Financial information
The Department is a large and complex organisation. In the year to 30th June 2007, $273m was spent to produce the Department's outputs.
06/07 Output Class expenditure (view
larger, JPG, 38K)
Of this amount, $122m (45%) was spent on personnel costs, $101m (37%) on operating costs, and the balance of $50m (18%) on asset related costs (e.g. depreciation and capital charge).
The Department has two major output classes. Management of Natural Heritage accounted
for $136m (50%) of the expenditure, and Management of Recreational Opportunities accounted for a further $111m (41%).
Total departmental expenditure (view
larger, JPG, 30K)
The Department's baseline funding has increased significantly since the 2001/02 financial year. This has been largely due to the recognition of visitor assets on the Department's balance sheet - with related depreciation and capital charge funding. Natural Heritage funding has also increased to reflect the New Zealand Biodiversity Strategy.
In addition to the Department's output class expenditure, a further $25m is spent for Non-Departmental purposes. The Department is also responsible for managing a substantial asset base. This includes Crown land (i.e. the conservation estate) and associated visitor assets (e.g. tracks, huts and structures).
|
Assets
|
Department
30 June 07
$000
|
Non Department
30 June 07
$000
|
|
Current assets
|
83,441
|
60,113
|
|
Visitor assets
|
265,665
|
0
|
|
Crown land
|
0
|
4,667,304
|
|
Other non current assets
|
120,604
|
123,458
|
|
Total assets
|
469,710
|
4,850,875
|
A number of Non-Departmental capital funds are also managed including the Nature Heritage Fund (NHF), Nga Whenua Rahui (NWR) and South Island Landless Natives Act (SILNA).
There are a number of financial issues currently being addressed with Ministers:
- Deleted - see Note on deletions
- Fencing assets located on the conservation estate are currently reflected on the Crown balance sheet. This means that the Department does not have access to depreciation funding required to effectively manage their replacement. Deleted - see Note on deletions
- Major flood risks have been highlighted in respect of Milford. The Department has been working with stakeholders to assess the risk and remedial action required. Deleted - see Note on deletions
This will enable project planning and resource consent processes to be undertaken with confidence, and the risk to be mitigated at the earliest opportunity.
- The Non-Departmental capital funds involve land negotiations that span across years. Significant delays are often experienced when undertaking negotiations and settling commitments entered into. The Department is working with Treasury over the timing and method of appropriations for these Funds. A Cabinet Paper will be required to seek an extension of the current timeframe available for finalising these commitments.
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