Archives New Zealand Annual Report 2010/11 HTML

July 2010 To January 2011

Presented to the House of Representatives pursuant to section 44(1) of the Public Finance Act 1989

Table of Contents

From the Minister Responsible for Archives New Zealand
From the Chief Executive Department of Internal Affairs
From the Chief Archivist

Part One: Overview and Achievements

Explanatory Note
Purpose and Role
Outcomes, Interventions and Achievements

Part Two: Statement of Service Performance and Financial Statements for the Seven Months ended 31 January 2011

Statement of Responsibility
Audit Report
Statement of Service Performance
Financial Statements
Notes to the Financial Statements for the Seven Months ended 31 January 2011
Financial Schedules: Non-Departmental for the Seven Months ended 31 January 2011
Notes to the Non-Departmental Schedule for the Seven Months ended 31 January 2011
Glossary
Directory

From the Minister

Archives New Zealand is an iconic institution trusted by the Government and New Zealanders to keep and protect our public
records, and ensure they are available for future generations.

It has a vitally important role in developing the country’s nationhood, identity and culture, and in ensuring that people have trust and confidence in both local and central Government.

The major development over the last 12 months has been the Government’s decision to integrate Archives New Zealand with the
National Library and the Department of Internal Affairs. The new Department officially began operation on 1 February of this year.

As the Minister for all three agencies I have been impressed with the way this merger has taken place.

The principle behind the integration is simple. It will allow expertise and resources to be combined while at the same time sharing the back office costs, leading to better services for the public and better value for the taxpayer.

The three agencies share natural synergies, particularly in the use of digital technology and making information widely available to the public. The new department will have an important role in information management across the public sector.

Government support for Archives New Zealand was made clear in last year’s Budget with $12.6 million allocated to build the Government Digital Archive. Work is underway on this innovative project to provide a secure system for storing, preserving and providing access to important public records.

As the Responsible Minister, I look forward to continuing to work closely with the Chief Archivist and his team. I want to thank all Archives staff who worked on the integration very professionally and diligently.

This final seven-month report for Archives New Zealand confirms my opinion that it is a high-achieving organisation. It has an exciting future and starts this journey with a strong foundation.

Hon Nathan Guy
Minister Responsible for Archives New Zealand

From the Chief Executive

I have great pleasure in welcoming Archives New Zealand as part of a new Department of Internal Affairs and taking responsibility
for the year-end financial statements outlined in this financial report.

The skills, experience and knowledge of the staff who have a crucial role in safeguarding the public record bring new opportunities and help us become a strong, effective Department.

Together we have a unique set of skills and talents to lead the Public Service in innovation and excellence and more especially in the changes Government is wanting across the public sector. These are the changes that will benefit taxpayers through better services, lower costs and making full use of proven technology.

The integration of Archives New Zealand, the National Library and Department of Internal Affairs provided us with the base to turn change into opportunity. We have used the time well preparing for the integration to build relationships and our understanding of each other and our respective businesses.

Integration was just the beginning. We now have to make sure we reach our potential. The new combination of talent and resources creates a number of new opportunities. The integration of Archives New Zealand, National Library and the Office of the Government Chief Information Officer in a single branch means we can greatly influence and lead the Public Service in the area of digital management of information.

The Department’s combined strengths in customer services enables us to provide quality services to enhance the trust and confidence people have in the Government and in the performance of public sector organisations.

The new Department has tremendous opportunities to embrace the changes required, improve its services and provide better value for money to the Government and in turn to all New Zealanders.

Brendan Boyle
Chief Executive
Department of Internal Affairs

From the Chief Archivist

The seven-month period leading up to Archives New Zealand’s integration with the Department of Internal Affairs has been
exceptionally busy as we have sought to maintain our work priorities and ensure a smooth transition into the new Department.

We have made significant progress on our top priorities to manage Government’s digital information and increase online access to digital archives through strategic business partnerships and our own thrust in this area.

Our successful integration with the Department of Internal Affairs on 1 February is also a significant milestone. Many staff made a valuable contribution to the integration process. This commitment has ensured Archives New Zealand steps into the Department from a position of strength.

As part of the Department’s core knowledge, information, research and technology business area Archives New Zealand is in a position to better achieve and make progress on both digital continuity and digitisation.

We will continue to use technology to transform how we work. There is great potential to take what we have already achieved to a new level in an organisation where we have access to a greater pool of resources.

The programme to establish the Government Digital Archive is well on track. An essential component of being a public archive in the 21st century, the digital archive will provide opportunities to improve and expand many of our services across the public sector and to the public of New Zealand.

Collaboration is integral to this work. We are working closely with the National Library as the Library’s National Digital Heritage Archive system will be reused as a base for the Government Digital Archive. Collaboration with public sector agencies will ensure the archive meets both government and agency needs.

The digital archive is a cornerstone of the Digital Continuity Action Plan. We further built on this plan with the launch of two new recordkeeping standards: the Disposal Standard and the Digital Recordkeeping Standard. These important standards assist public offices and local authorities to manage records effectively and efficiently for as long as they are needed.

The Public Records Act 2005 audit programme continues apace with 40 agencies in the process of being audited or with audits completed. Drafting the first Parliamentary report on the audit findings has begun.

Increasing access to the archives is a key focus for us. Archives New Zealand continues to prioritise making high-use material available online.

The shipping lists have all been digitised and many of these valuable heritage documents are now available on the FamilySearch website. The project to have all pre-1920 military personnel files available through our online finding aid Archway in time for the World War One commemoration activities in 2014 saw more than 16,000 files available by January 2011. All the South African War files will be online by 25 April 2011, ANZAC Day this year.

Our partnership with Māori to make historical documents available to iwi in ways which work for them is groundbreaking. The work with Ngāi Tahu, Tainui, Taranaki and Tūhoe has helped Archives New Zealand develop quality relationships with iwi.

As we end one era for Archives New Zealand and enter into another my thanks go to staff for their valuable contribution to the integration programme and to their successful achievements in this time of transition and change.

As Chief Archivist and General Manager of Archives New Zealand I look forward to maintaining our excellent record of success for innovation and results in the Department of Internal Affairs.

Greg Goulding
Chief Archivist

Part One

Overview and Achievements

Explanatory Note

Purpose and Role

Outcomes, Interventions and Achievements

Explanatory Note

Archives New Zealand was merged with the Department of Internal Affairs on 1 February 2011. Section 45J of the Public Finance Act 1989 requires that an entity that is disestablished before the end of a financial year must as soon as practicable after the date on which it is disestablished provide a final report for the period up to that date. This report therefore covers the period 1 July 2010 to 31 January 2011. A full report on the activities of Archives New Zealand for the year 1 July 2010 to 30 June 2011 will be included within the Annual Report of the Department of Internal Affairs.

Purpose and Role

Archives New Zealand has a governance role in shaping and, where necessary, intervening in the information management practices of public sector agencies. This includes developing standards for information creation and maintenance, and providing advice and training for those implementing these standards. The auditing of public offices from 1 July 2010 by Archives New Zealand will provide the public and the Crown with assurance that their information is being appropriately managed.

Records of long-term value are transferred to the public archive on the authority of the Chief Archivist, who has the statutory responsibility to determine what information should be kept and what should be disposed of. These then form the record of government.

Archives New Zealand ensures that public archives are preserved and well managed, while making those in the public arena accessible, both today and tomorrow. The majority of the public archive is held in our repositories in Auckland, Wellington, Christchurch and Dunedin. Holdings include the 1835 Declaration of Independence of the Northern Chiefs, the 1840 Tiriti o Waitangi, the 1893 Women’s Suffrage Petition, and government documents, maps, paintings, photographs and moving images.

Easy access to the public archive is promoted through the following:

This increase in the availability of information in a digital format ensures that people have ready access to their rights and entitlements, and also the stories of the nation that strengthen New Zealanders’ connection with their identity and history.

Archives New Zealand has a responsibility to provide leadership and support for archival activities across New Zealand, including the safekeeping of private and community records. The department works within the wider community, including with Māori, iwi and hapū, to provide local communities with access to records of local significance. Archives New Zealand supports government recordkeeping and community organisations, Māori, iwi and hapū with the care and management of archives. Collaborative work arrangements with iwi enable access to significant information about their people, using creative and innovative solutions to help manage their own records and tāonga.

Archives New Zealand provides advice to the Minister Responsible for Archives New Zealand who administers the National Archives Vote. The department also provides support to the Archives Council Te Rua Wānanga, which gives independent advice to the Minister Responsible for Archives New Zealand on recordkeeping and archival matters.

Outcomes, Interventions and Achievements

Archives New Zealand’s Outcomes

Our strategic direction is guided by an outcomes framework that illustrates the relationship between what we do and how this contributes towards the outcomes the Government seeks.

During 2010/11 our work contributed to the three societal outcomes embedded in the Public Records Act 2005. These are:

We worked towards achieving our four key intermediate outcomes:

Further information on the specific outcomes is provided in the text following.

This section of the Annual Report summarises Archives New Zealand’s major interventions and achievements during the period 1 July 2010 to 31 January 2011, along with the measures that contributed to achieving these outcomes.

Outcome One:

Full and accurate records are kept by public sector agencies

The public relies on public sector agencies to produce full and accurate records. Good information management is an essential component of any organisation’s effectiveness and efficiency. Without it, resources are wasted due to duplication of effort and loss of knowledge. Good records management allows for the preservation of those records that have long-term value to New Zealanders as archives and also the proper disposal of other records when they are no longer needed, thereby saving valuable resources.

Performance Measures

The output areas that significantly contribute to this outcome are:

Each output area has a number of specific outputs. For example, advice is provided through various channels, such as personal visits, forums, training sessions and telephone conversations and through the production of standards, guidelines and general advice. Written advice is available in hard-copy or on Archives New Zealand’s website.

To quantify the output volume in the advice area in the Statement of Service Performance, we have chosen to report the number of attendees at training sessions and forums, as well as the inquiries we receive. For the monitoring, audit and compliance area, we will report on the number of public offices audited.

The results are documented in the Statement of Service Performance in Part Two of this report. Demand for information management advice was less than anticipated during the seven months. The tight fiscal climate may have resulted in a lower level of recordkeeping projects being implemented across government. If this is the case, this is likely to result in a backlog of recordkeeping work that will need to be carried out by agencies at a later date.

Key Achievements

In our Statement of Intent 2010-2013, we said that we would:

The following progress has been made towards each of these activities:

Deliver recordkeeping audits of 40 public offices

Operational audit activity commenced as planned in July 2010 and remains on track for completion of the year one cohort by 30 June 2011. On 31 January, 40 public offices had been notified and contacts with all of these offices had been established. Eighteen audits were in progress and six audits had been completed.

Ensure that standards and guidance material provide current and relevant advice and support to public offices

Archives New Zealand has replaced the Electronic Recordkeeping Systems Standard with a new Digital Recordkeeping Standard, using the International Council on Archives’ Principles and Functional Requirements for Records in Electronic Office Environments. The Minister Responsible for Archives New Zealand launched this new standard and the new mandatory Disposal Standard in November 2010.

Migration of Continuum publications to the main Archives New Zealand website is 95 percent complete. A workstream is underway to review and refresh Continuum guides and factsheets to ensure they are current and relevant.

A standards’ steering committee has been established to provide internal governance for the standards’ projects and ensure the expected benefits are delivered.

Work with agencies without adequate records’ disposal authorities to address this gap

Eighteen deferral of transfer agreements have been made with government agencies, based on a requirement that public offices participate in the Legacy Records Programme. As part of this programme, contact has been made with agencies regarding their disposal coverage of records over 25 years of age.

Continue to work with public offices to develop processes to improve their information management in a way that meets their business needs

Archives New Zealand delivered 15 training courses to support recordkeeping across the state sector and local government, with 180 attendees. Feedback on our training courses continues to be positive with 95 percent of attendees rating the courses as ‘useful’ or ‘very useful’.

The courses offered were on the Public Records Act 2005; the appraisal and disposal of records; metadata; local government records and archives; and digitisation. These courses were held in Auckland, Christchurch, Kaikohe, Dunedin and Wellington.
We also delivered four Government Recordkeeping Forums in Wellington, Christchurch and Auckland, on a range of information management topics. These were attended by 324 people. Through online feedback more than 80 percent of attendees rated the forums ‘useful’ or ‘very useful’.

We continue to provide proactive and reactive advice to public sector agencies, including advice to agencies affected by the Christchurch earthquake in September 2010. During the seven months the Government Recordkeeping Group managed 333 advice queries.

Support appropriate business systems’ design and procurement across the public sector

The Digital Recordkeeping Standard, launched in November 2010, will support appropriate business systems’ design and procurement. Implementation of the standard is supported by appropriate communications, training, guidance and advice.

Raise understanding of digital continuity at a strategic level

Archives New Zealand staff delivered presentations on digital continuity to the following:

Investment Logic Mapping has begun with senior government information managers to identify a government vision for digital information management, and to examine the role of the Government Digital Archive within this. Focus groups were held with middle managers to inform and explain the work of the Government Digital Archive Programme.

Target at-risk areas of public sector digital information by providing advice and support

As part of the Digital Continuity Action Plan, high-risk digital records across Government have been identified. A digital information risk identification model was finalised, and a survey of agencies to identify risks to digital information completed.

Lead the implementation of the Government’s Digital Continuity Action Plan and the Government Digital Archive

By 31 January 2011, the main programme areas of the Digital Continuity Action Plan were being implemented including the identification of high-value/high-risk information and the establishment of digital archiving infrastructure for the Government Digital Archive. The development of a Digital Preservation Strategy, in collaboration with the National Library was also progressing.

The Government Digital Archive Programme was well established (refer Commence work on the Government Digital Archive).

Outcome Two:

Public archives are preserved and well managed

Archives New Zealand efficiently manages the transfer, description, preservation and storage of archives to ensure their long-term availability and discoverability. Given the value to current and future generations of the records under management, it is important to focus on the preservation and management of public archives. Archives are well managed when effective systems ensure the successful transfer of records of long-term value from public sector agencies to safe, secure and cost-efficient storage where they are appropriately managed for preservation and access.

Performance Measures

The output areas that significantly contribute to this outcome are:

Each area has a number of specific outputs. For example, archival records are described in context to improve the way online customers can search for records of interest to them. To keep the archive readily available for future generations, controlled storage is provided. Some records are in such a fragile condition they cannot be physically accessed and a service is provided to make these records available in a digital format.

To quantify the volume for the description and indexing output area in the Statement of Service Performance, we report on the number of items added to our archives management system, Archway, and the percentage of records meeting the descriptive standards. These services are key deliverables on which we can base our access services.

For preservation and storage services, we measure the number of public offices transferring records to the control of the Chief Archivist, the compliance status of our buildings to hold archives and the volume of archives we store.

The results are documented in the Statement of Service Performance in Part Two of this report. Demand from public offices for the transfer of their records to Archives New Zealand was less than anticipated during the seven months. This may be due to the tight fiscal climate.

Key Achievements

In our Statement of Intent 2010-2013, we said that we would:

The following progress has been made towards each of these activities:

Commence work on the Government Digital Archive

Significant activity to establish the new Government Digital Archive Programme occurred during the first seven months of 2010/11, including staff recruitment, budget planning, engagement of some key stakeholders and establishing governance arrangements. In addition, relevant programme activities were analysed to ensure they integrated fully with the Digital Continuity Action Plan.

Archives New Zealand is drafting the future business model and is starting to work out how business processes will need to be re-engineered. Contract negotiations for the digital repository infrastructure are almost complete and a collaborative working relationship has been established with the National Library of New Zealand.

Lead implementation of the Government’s Digital Continuity Action Plan to ensure that public sector digital information is available for as long as it is needed

Refer Lead the implementation of the Government’s Digital Continuity Action Plan and the Government Digital Archive, and Commence work on the Government Digital Archive.

Establish our new repository management and ordering system, to better assist our staff to manage the location of the archives within our repositories. This will be integrated with our website so that systems for ordering archives are more streamlined and accessible to customers

The new Archives Location Finder system has been implemented across the department and is working well for both staff and public users. The public has benefited from the new functionality, including the introduction of new options for ordering archives to view. The new system, which tracks archives, has improved the efficiency of the retrieval, issues and updating processes.

Outcome Three:

Public archives are accessible and well used

Archives New Zealand makes our country’s public archives accessible in order to support the accountability of Government and maintain the transparency of government decision making and actions. Public archives are also primary educational and cultural resources that enable people to research their personal history/whakapapa and interpret the stories of their communities. This contributes to New Zealand’s sense of nationhood and social cohesion.

Performance Measures

The output area that significantly contributes to this outcome is archives access and protection.

The results are documented in the Statement of Service Performance in Part Two of this report. These output measures make comparisons between traditional services – remote requests and in-person services – and the growing importance of online service outputs. During the year to January 2011, the demand for searching online using Archway, increased beyond the level anticipated. This is possibly due to additional information relating to frequently used archives being added to Archway, for example, information regarding New Zealand Defence Force personnel records.

Key Achievements

In our Statement of Intent 2010-2013, we said that we would:

Continue to improve the department’s services and processes to provide cost-effective access to archives, including developmental work on online services and the Digital Copying Centre

Work has started on developing an online services programme. This included drafting a strategy for the online delivery of 80 percent of Archives New Zealand’s services by 2015 and to digitise and make available online 90 percent of Archives New Zealand’s high-use archives by 2018. Policy and procedures have been drafted to assess the privacy impact of making archives available online. An online reader request system has been introduced to enable readers to pre-order records to view in one of our reading rooms via the Archway system.

The Digital Copying Centre was established in September 2010 as a service hub to meet the reprographic needs of Archives New Zealand and its customers. These customers include the New Zealand Police and the Ministry of Social Development. Temporary staff have been employed to progress work in this new facility, including the digitisation of New Zealand Defence Force personnel records.

Other projects that contribute to the online programme are also underway, such as the Secondary Finding Aids project. A tool is being developed to enable digitised archives to be added to the Interim Digital Archive making them accessible to the public on Archway. By January 2011, requirements were defined, server storage was expanded and development commenced.

Increase collaborative partnerships with public and private partners

Relationships with the Ministry of Education, the Ministry for Culture and Heritage and Wingnut Pictures have been further developed with a view to making more of Archives New Zealand’s audio-visual material available for educational purposes, and encouraging greater use of this material in the school curriculum.

The working relationship with the Alexander Turnbull Library and Archives New Zealand has continued to develop with staff based in Archives New Zealand’s Wellington office sharing their knowledge of collections held by both organisations.

Archives New Zealand has continued to collaborate with the Auckland Museum and the Electronic Text Centre to link their databases of military service personnel to Archives New Zealand’s online holdings. During this period we have also continued to work in close partnership with FamilySearch to digitise and make available online genealogically significant shipping lists from 1839 to 1972

In July, a Letter of Commitment was signed with Te Reo o Taranaki Trust to formalise the relationship between the two organisations. The letter confirms a further 12-month work programme to digitise records pertaining to the revival of Te Reo o Taranaki as part of the Taranaki Iwi Māori Language Strategy. The anticipated outreach for end users consists of more than 40,000 descendants of Taranaki Iwi.

During the year, Archives New Zealand worked closely with the National Library of New Zealand, Te Papa Tongarewa and the Department of Internal Affairs on the cultural redress package for the Ngati Pōrou Treaty Settlements.

Archives New Zealand prepared information and provided advice to government agencies following the September Christchurch earthquake. We also collaborated with the National Preservation Office and Te Papa Tongarewa in a salvage response to the disaster. Preservation supplies were sent to institutions damaged by the earthquake. Archives New Zealand provided advice on disaster recovery through its website and also for the New Zealand Conservators of Cultural Materials’ website.

Increase readers’ capability to self-guided discovery through improving finding aids

The indexing of digitised shipping records by FamilySearch volunteers is ongoing. As a result of this work, 52 percent of shipping lists held by Archives New Zealand were indexed by January 2011, including all pre-1876 passenger and crew lists.

A new range of reference guides has been produced, including a guide to Land Information New Zealand (LINZ) archives held in Archives New Zealand repositories.

The opening of a Land Register Room in Archives New Zealand’s Christchurch Office during the quarter proved successful, allowing land researchers to search material covering the land districts of Westland, Canterbury, Nelson and Marlborough.

The Secondary Finding Aids Project is underway to enhance access to archives through increased online indexing.

Increase accessibility to high-use records through a continuing programme of digitisation

Archives New Zealand is working in partnership with Land Information New Zealand to digitise and make available online most of the indexes and some registers of the deeds registration system of all land districts. Digitisation of the indexes began in September 2010 and will continue throughout 2011. By 31 January 2011, the digitisation of the Otago and Southland indexes had been completed and the digitisation of the Auckland and Gisborne indexes was underway. Archives New Zealand is developing a user interface to allow users to access large digital files created through this digitisation process.

A number of high-use paper reproductions in the Wellington reading room have been replaced with digital versions. Planning is underway to make digitised Māori Land Court records available through the reading room.

The Probate Digitisation Project is underway, with the preservation, listing and digitisation of the probates progressing well. The space for the project has been expanded and FamilySearch volunteers are digitising these records. By 31 January 2011, all the Blenheim probates (1876-1990) had been digitised, and 50 percent of the Nelson probates (1849-1991) had been digitised.

The work of the new Digital Copying Centre also increases accessibility to archives (refer Continue to improve the department’s services and processes to provide cost-effective access to archives, including developmental work on online services and the Digital Copying Centre).

Increase the depth of Archives New Zealand’s knowledge of customer needs and match our services to those needs

In July, the results of the Customer Satisfaction survey were presented, and a Customer Service Improvement Programme was initiated to address some of the issues arising out of the survey. Access Services staff from all offices have attended customer service courses.

Outcome Four:

The archiving community is coordinated and well led

By differentiating between the management of public archives and the outcomes we seek within the broader archiving community, we can more clearly focus on the outputs required to achieve these different outcomes.

Many records and memories of long-term historic value to New Zealanders are held outside the control of the Chief Archivist in community archives, with Māori, iwi and hapū, as well as in museums, art galleries, educational institutions, special research institutions, historical societies and religious and voluntary organisations. These archival organisations hold many records that form a significant part of New Zealand history and help create a strong sense of community identity. There is an increasing demand for community archivists to manage and preserve these collections. Archives New Zealand recognises the important contribution of communities, Māori, iwi and hapū to the care and management of significant records and their role in creating a greater sense of identity for New Zealanders.

To ensure that archives are managed so they can remain in the community, the department provides leadership, training and support for community archival activities across New Zealand. This assists them to realise their information aspirations. Archives New Zealand works collaboratively with government agencies to ensure the description of archival material is coordinated and standardised to enable future public access.

Archives New Zealand takes a leadership role within the Pacific Regional Branch of the International Council on Archives (PARBICA) that provides support for recordkeeping and archival development in the Pacific region. We coordinate with public archive authorities across Australia and internationally to leverage knowledge and provide state-of-the-art services. For example, the Digitisation Standard, developed by Archives New Zealand has formed the basis of an International Standards Organisation (ISO) guideline (ISO/TR 13028:2010).

Performance Measures

The output areas that significantly contribute to this outcome are:

In our Statement of Intent 2010-2013, we said that we would:

Increase accessibility to the archives for Māori, for example, by developing reference guides to records of significance to Māori

In the Wellington Office, Māori Land Court minute books are being moved into the reading room to allow the public easier access to this material. Also, an initiative is underway to provide access to digital copies of the minute books in Archives New Zealand’s other reading rooms.

An introductory fact sheet on Māori land research strategies and a guide to Māori land research are being prepared.

Distribute the Directory of Archives in New Zealand

The Directory of Archives in New Zealand was made available throughout the year.

Provide training workshops about The Community Archive to community groups

One workshop has been held in Whanganui which included preservation and disaster planning, and use of The Community Archive website.

A training strategy is being developed. A training consultation hui with key stakeholders has been held and a report has been collated. This has provided four strategic priorities from which an annual training plan can be drawn up.

Continue to work with Māori to digitise records of significance to iwi

The production of the DVD and book (tāonga) for the Tūhoe digitisation project was completed. Considerable interest was generated as a result of a preview held with representatives of the four Tūhoe Executives. The launch of the tāonga was held on 25 November 2010 at Waimana in the Eastern Bay of Plenty.

Archives New Zealand is supporting Ngāti Rangitihi in a twelve-month research project. This involves providing training and access to digitised archives of significance, particularly in relation to Tarawera. Rangitihi is a key ancestor for many of the iwi and hapu from the Arawa waka who today live in the Rotorua district.

There is an increase in the number of iwi seeking formal relationships with Archives New Zealand either as part of the cultural redress under their Treaty Settlement or through formal agreements. To date this includes Ngāti Pahauwera, Ngāti Pōrou and Taranaki Whanui Ki Te Upoko o Te Ika. (Refer Increase collaborative partnerships with public and private partners.)

Support the development and implementation of a recordkeeping toolkit for good governance in the Pacific Islands, with PARBICA

Archives New Zealand continues to work with its Pacific colleagues to better improve recordkeeping capacity in the region. During the year to 31 January 2011, this included participation in workshops in Brisbane and Rarotonga to develop electronic recordkeeping guidance.

Archives New Zealand continues to manage the Pacific Regional Branch of the International Council of Archives (PARBICA) Bureau through the secretariat, and has a lead role in planning the 14th PARBICA conference, in August 2011.

Part Two

Statement of Service Performance and Financial Statements for the Seven Months Ended 31 January 2011

Statement of Responsibility

Audit Report

Statement of Service Performance

Financial Performance for Output Class

Financial Statements

Glossary

Directory

Statement of Responsibility

As the Chief Executive of the Department of Internal Affairs, I am responsible under the Public Finance Act 1989 for the preparation of Archives New Zealand’s financial statements and the statement of service performance that follows and for the judgements made in the process of producing those statements.

Archives New Zealand has a system of internal control and this has provided reasonable assurance as to the integrity and reliability of financial reporting.

My signature below marks my opinion that the financial statements and statement of service performance fairly reflect the financial position and operations of Archives New Zealand for the seven months ended 31 January 2011.
 

Brendan Boyle
Chief Executive
Department of Internal Affairs
Date: 29 April 2011

Countersigned by:
Shirley Smith
Chief Financial Officer
Department of Internal Affairs
Date: 29 April 2011

Independent Auditor’s Report

To the readers of Archives New Zealand's Financial Statements, Statement of Service Performance and Schedules of Non-Departmental Activities for the Seven Months Ended 31 January 2011

The Auditor-General is the auditor of Archives New Zealand (Archives). The Auditor-General has appointed me, Alex Skinner, using the staff and resources of KPMG, to carry out the audit of the financial statements, statement of service performance and schedules of non-departmental activities of Archives on her behalf.

We have audited:

Opinion

In our opinion:

Emphasis of Matter - The financial statements are appropriately prepared on a disestablishment basis

Without modifying our opinion, we considered the accounting policy on page 36 about the financial statements being prepared on a disestablishment basis. Archives merged with the Department of Internal Affairs (the Department) from 1 February 2011 and vested its assets and liabilities in the Department. We consider the basis of preparation of the financial statements and the related disclosures to be appropriate to the Department’s circumstances.

Our audit was completed on 29 April 2011. This is the date at which our opinion is expressed.

The basis of our opinion is explained below. In addition, we outline the responsibilities of the Chief Executive of Archives, the Chief Executive of the Department and our responsibilities, and we explain our independence.

Basis of opinion

We carried out our audit in accordance with the Auditor-General’s Auditing Standards, which incorporate the International Standards on Auditing (New Zealand). Those standards require that we comply with ethical requirements and plan and carry out our audit to obtain reasonable assurance about whether the financial statements, statement of service performance and schedules of non-departmental activities are free from material misstatement.

Material misstatements are differences or omissions of amounts and disclosures that would affect a reader’s overall understanding of the financial statements, statement of service performance and schedules of non-departmental activities. If we had found material misstatements that were not corrected, we would have referred to them in our opinion.

An audit involves carrying out procedures to obtain audit evidence about the amounts and disclosures in the financial statements, statement of service performance and schedules of non-departmental activities. The procedures selected depend on our judgement, including our assessment of risks of material misstatement of the financial statements, statement of service performance and schedules of non-departmental activities, whether due to fraud or error. In making those risk assessments, we consider internal control relevant to the preparation of the financial statements, statement of service performance and schedules of non-departmental activities that fairly reflect the matters to which they relate. We consider internal control in order to design audit procedures that are appropriate in the circumstances but not for the purpose of expressing an opinion on the effectiveness of the internal control.

An audit also involves evaluating:

We did not examine every transaction, nor do we guarantee complete accuracy of the financial statements, statement of service performance and schedules of non-departmental activities. We have obtained all the information and explanations we have required and we believe we have obtained sufficient and appropriate audit evidence to provide a basis for our audit opinion.

Responsibilities of the Chief Executive of the Department and the Chief Executive of Archives

Archives’ financial statements, statement of service performance and schedules of non-departmental activities for the seven months ended 31 January 2011 have been completed by the Chief Executive of the Department under the authority from the Minister of Finance in accordance with section 45J of the Public Finance Act 1989. The Chief Executive of the Department is responsible for preparing:

Up until 31 January 2011, the Chief Executive of Archives was responsible for such internal control as determined necessary to enable the preparation of financial statements, a statement of service performance and schedules of non-departmental activities that are free from material misstatement, whether due to fraud or error. From 1 February 2011, the Chief Executive of the Department took over these responsibilities to enable the completion of the financial statements, statement of service performance and schedules of non-departmental activities.

The Chief Executives’ responsibilities arise from the Public Finance Act 1989.

Responsibilities of the Auditor

We are responsible for expressing an independent opinion on the financial statements, statement of service performance and schedules of non-departmental activities and reporting that opinion to you based on our audit. Our responsibility arises from section 15 of the Public Audit Act 2001 and the Public Finance Act 1989.

Independence

When carrying out the audit, we followed the independence requirements of the Auditor-General, which incorporate the independence requirements of the New Zealand Institute of Chartered Accountants.

Our firm has also provided Public Records Act 2005 audits to Archives. Partners and employees of our firm may also deal with Archives New Zealand on normal terms within the ordinary course of their activities. These matters have not impaired our independence as auditors of Archives. We have no other relationship with or interests in Archives.

Alex Skinner
KPMG
On behalf of the Auditor-General
Wellington, New Zealand

Matters Relating to the Electronic Presentation of the Audited Financial Statements, Statement of Service Performance and Schedules of Non-departmental Activities

This audit report relates to the financial statements, statement of service performance and schedules of non-departmental activities of Archives New Zealand for the period ending 31 January 2011 included on Archives New Zealand’s website. The Chief Executive of the Department of Internal Affairs is responsible for the maintenance and integrity of Archives New Zealand’s website. We have not been engaged to report on the integrity of Archives New Zealand’s website. We accept no responsibility for any changes that may have occurred to the financial statements, statement of service performance and schedules of non-departmental activities since they were initially presented on the website.

The audit report refers only to the financial statements, statement of service performance and schedules of non-departmental activities named above. It does not provide an opinion on any other information which may have been hyperlinked to or from the financial statements, statement of service performance and schedules of non-departmental activities. If readers of this report are concerned with the inherent risks arising from electronic data communication they should refer to the published hard copy of the audited financial statements, statement of service performance and schedules of non-departmental activities and related audit report dated 29 April 2011 to confirm the information included in the audited financial statements, statement of service performance and schedules of non-departmental activities presented on this website.

Legislation in New Zealand governing the preparation and dissemination of financial information may differ from legislation in other jurisdictions.

KPMG
On behalf of the Auditor-General

Statement of Service Performance

Output Class: National Archival Services

Scope of Appropriation

The assessment, collection, storage, preservation and provision of access to public archives. It also includes policy advice and conducting programmes aimed at improving government recordkeeping.

Output Performance Measures and Standards

Performance Improvement Actions

Measures 2011
7 Months
Actual
2011
7 Months
Target
(pro-rata)
2011
Annual Target
Implementation of decisions from the Machinery of Government Review of Archives New Zealand Achieved. All decisions were implemented by 31 January 2011 Government’s decisions are implemented within the required timeframe Government’s decisions are implemented within the required timeframe
Management of the Government’s digital information In progress. Refer to Part 1 for further details Progress the implementation of the Digital Continuity Action Plan, including the Government Digital Archive Progress the implementation of the Digital Continuity Action Plan, including the Government Digital Archive
Increasing online access to digital archives through collaboration Refer to the measures for Archives accessibility set out below, and to Part 1 for further details Refer to the measures for Archives accessibility set out below Refer to the measures for Archives accessibility set out below

 

Full and Accurate Records are Kept by Public Sector Agencies

Measures 2011
7 Months
Actual
2011
7 Months
Target
(pro-rata)
2011
Annual Target
Number of public offices that have transferred records to Archives New Zealand 91 15 25
Number of recordkeeping advice queries responded to by the Government Recordkeeping Group 3332 525 900
Over a 5-year period commencing 1 July 2010 conduct 200 audits of public offices (in accordance with Archives New Zealand auditing standards and procedures) recordkeeping to ensure good information management across government that supports accountability and good business practice 63 23 40 audits of public offices

 

1 The demand from public offices for the transfer of records in the first seven months was not as high as forecast. However, it is planned that the annual target will be achieved by 30 June 2011.

2 Fewer recordkeeping advice queries were received than anticipated.

3 It is planned that progress on this measure will be spread unevenly during the year with more audits being completed near the end of the year. The annual target of 40 audits is on track to be achieved by 30 June 2011.

Public Archives are Preserved and Well Managed

Measures 2011
7 Months
Actual
2011
7 Months
Target
(pro-rata)
2011
Annual Target
Quantity of archives held in storage (metres) 96,538 96,965 97,500
Number of attendees at Government Recordkeeping Forums 3244 467 800
Number of approved items added to Archives New Zealand’s online index to the archives (Archway) 129,9195 233,333 400,000
An increasing proportion of contextual documentation, which describes archived records, will be assessed as meeting quality standards 46% 47% 50%
Number of pages of records digitised 132,2736 116,667 200,000

 

4 The demand to attend forums was not as high as forecast.

5 The seven-months standard was not achieved due to delays caused by programmed technical work, including the replacement of the old repository management system with the Archives Location Finder system. These barriers have been removed and we aim to achieve the annual target by 30 June 2011.

6 The seven-months standard was over achieved due to operational efficiencies resulting from the establishment of the Digital Copying Centre in the Wellington Office.

Public Archives are Accessible and Used

Measures 2011
7 Months
Actual
2011
7 Months
Target
(pro-rata)
2011
Annual Target
Implement the capability to measure the number of times a digital item is viewed online To be reported at 30 June 2011 By 30 June 2011 By 30 June 2011
Number of customers served in Archives New Zealand’s reading rooms 8,9157 9,625 16,500
Number of records provided in Archives New Zealand’s reading rooms 31,512 32,083 55,000
Number of remote written access request services provided 8,339 8,166 14,000
Number of people who use Archives New Zealand’s online index to the archives (Archway) 84,2948 58,333 100,000
Number of searches conducted on Archives New Zealand’s online index to the archives (Archway) 516,0739 408,333 700,000

 

7 Progress towards the annual target is uneven each year, with the months of December and January normally expected to have fewer customers in the reading rooms. Although it is anticipated that the difference between the standard and the actual figure will reduce by 30 June 2011 the annual target may not be achieved due to the effect of the Christchurch earthquake in September 2010 on visits to the Christchurch reading room.

8 The result exceeded the seven-months standard due to the annual target being underestimated. It is anticipated that the number of customers will grow annually as the public increasingly become aware of Archway’s online services. The target for 2011/12 will be reviewed in light of this continued growth.

9 The result exceeded the seven-months standard due to the annual target being underestimated. It is anticipated that the number of searches will grow annually as the public increasingly become aware of and use Archway’s online services. The target for 2011/12 will be reviewed in light of this continued growth.

The Archiving Community is Coordinated and Well Led

Measures 2011
7 Months
Actual
2011
7 Months
Target
(pro-rata)
2011
Annual Target
Number of contributor institutions to The Community Archive 35910 320 320
Number of community archives quarterly newsletters produced 111 2 4
Number of community archives training courses delivered 112 3 5
Average number of people attending each community archives training course 28 20 20

 

10 The result exceeded the seven-months standard due to the annual target being underestimated. This will be remedied by reviewing the target for 2011/12.

11 The seven-months standard was not achieved due to staff changes. However, it is planned that the annual target of four newsletters will be achieved by 30 June 2011.

12 The seven-months standard was not achieved due to staff changes. However, it is planned that the annual target of five training sessions will be achieved by 30 June 2011.

Policy Advice

Measures 2011
7 Months
Actual
2011
7 Months
Target
(pro-rata)
2011
Annual Target
Briefings and other services are provided to the Minister in agreed timeframes and to acceptable quality standards
 
 
100%13 100% Conformance to agreed timeframes
1614 32 55 written briefings
0 0 There are no written briefings returned for correction
Support is provided to the Archives Council that meets the satisfaction of the Chair of the Council The Chair is satisfied The Chair is satisfied The Chair is satisfied with the support provided

 

13 Two parliamentary questions, seven ministerials and 16 briefing papers were provided. These were all provided within the agreed timeframes.

14 The demand for written briefings was not as high as forecast.

Financial Performance for Output Class

The output class of National Archival Services has been provided with the appropriated sum of $22,830,000 excluding GST for the financial year 2010/11. The actual total cost of this output for the seven months to 31 January 2011 was $13,284,000 excluding GST. For the remaining five months of the financial year the appropriation for the output class of National Archival Services will be managed by the Department of Internal Affairs.

Financial Statements

Statement of Comprehensive Income for the Seven Months ended 31 January 2011

Actual   Note Actual Main Estimates Budget15
2010
12 months
$000
  2011
7 months
$000
2011
12 months
$000
2011
7 months
$000
  Income 
22,343 Revenue Crown 12,843 21,914 12,843
338 Revenue government department 228 367 202
550 Revenue other 2 219 549 230
23,231 Total Income 13,290 22,830 13,275
  Expenditure
9,744 Personnel 3 5,565 8,789 5,515
5,634 Other operating expenses 4 3,093 5,463 2,957
1,948 Depreciation 7 1,132 2,250 1,118
448 Amortisation 8 300 756 372
5,443 Capital Charge 5 3,147 5,572 3,141
2 Non-operating expenses 47 0 50
23,219 Total Expenditure 13,284 22,830 13,153
12 Net Surplus/(deficit) 6 0 122
  Other comprehensive income
0 Gain/(Loss) on property revaluations 0 0 0
(903) Adjustment to previous revaluation increment 0 0 0
(891) Total Comprehensive Income 6 0 122

 

The accompanying accounting policies and notes form part of these financial statements.

15 Budget is based on a phased internally approved budget which is derived from the October Baseline Update 2010 (OBU). OBU is the first baseline update to the Main Estimates.

Statement of Movements in Taxpayers' Funds for the Seven Months ended 31 January 2011

Actual   Note Actual Main Estimates Budget16
2010
12 months
$000
  2011
7 months
$000
2011
12 months
$000
2011
7 months
$000
12 Net surplus for the period 6 0 12
0 Increase/(decrease) in revaluation reserve 7 0 0 0
0 Increase in capital contributions 1,767 1,767 3,165
(903) Adjustment to previous revaluation increment 0 0 0
(891) Total Comprehensive Income 1,773 1,767 3,287
(12) Provision for Repayment of Surplus (6) 0 (122)
(903) Movements in Equity for the period 1,767 1,767 3,165
72,573 Taxpayers’ Funds as at 1 July 2010 71,670 72,572 71,670
71,670 Taxpayers’ Funds as at 31 January 2011 73,437 74,339 74,835

 

The accompanying accounting policies and notes form part of these financial statements.

16 Budget is based on a phased internally approved budget which is derived from the October Baseline Update 2010 (OBU). OBU is the first baseline update to the Main Estimates.

Statement of Financial Position as at 31 January 2011

Actual   Note Actual Main Estimates Budget17
2010   
 
2011 2011 2011
$000 $000 $000 $000
  Current Assets
8,582 Cash and cash equivalents 9,257 8,294 7,686
137 Debtors and other receivables 6 196 66 66
44 Prepayments 165 59 59
63,405 Property, plant and equipment 7 63,150 63,007 63,945
2,449 Intangible assets 8 2,879 4,239 4,554
74,671 Total Current Assets   75,647 75,665 76,310
  Current Liabilities
2,231 Creditors and other payables 9 1,473 724 724
12 Repayment of surplus 10 6 0 122
704 Employee entitlements 11 731 602 629
2,947 Total Current Liabilities 2,210 1,326 1,475
  Taxpayers' Funds
50,494 General funds 12 52,261 52,261 53,659
21,176 Revaluation reserve 12 21,176 22,078 21,176
71,670 Total Taxpayers' Funds 73,437 74,339 74,835
74,617 Total Liabilities and Taxpayers’ Funds 75,647 75,665 76,310

 

The accompanying accounting policies and notes form part of these financial statements.

17 Budget is expected amounts at seven months, derived from the full year values approved in the October Baseline Update 2010 (OBU). OBU is the first baseline update to the Main Estimates.

Statement of Cash Flows for the Seven Months ended 31 January 2011

Actual   Note Actual Main Estimates Budget18
2010   
  
 
2011 2011 2011
12 months 7 months 12 months 7 months
$000 $000 $000 $000
  Cash Flows from Operating Activities
22,343 Receipts from Crown 12,773 21,914 12,843
888 Receipts from revenue other 287 916 432
(9,694) Payments to employees (5,538) (8,789) (5,515)
(5,087) Payments to suppliers (4,306) (5,463) (4,985)
(5,443) Capital charge paid (2,689) (5,572) (2,689)
3,007 Net Cash Flows from Operating Activities 13 527 3,006 86
  Cash Flows from Investing Activities 
(1,971) Purchase of property, plant and equipment (877) (631) (1,658)
(1,590) Purchase of intangible assets (730) (1,937) (2,477)
(3,561) Net Cash Flows from Investing Activities (1,607) (2,568) (4,135)
  Cash Flows from Financing Activities 
0 Capital Contributions 1,767 1,767 3,165
(24) Payment of surplus to Crown (12) 0 (12)
(24) Net Cash Flow from Financing Activities 1,755 1,767 3,153
(578) Net increase/(decrease) in cash held 675 2,205 (896)
9160 Cash at beginning of the year 8,582 6,089 8,582
8,582 Cash at the End of the Year 9,257 8,294 7,686

 

The accompanying accounting policies and notes form part of these financial statements.

18 Budget is derived from the Statement of Comprehensive Income and Movements in the budgeted Statement of Financial Position.
 

Statement of Commitments as at 31 January 2011

 

Operating Commitments

Operating Commitments are the aggregate amount of non-capital expenditure contracted for the acquisition of goods and services that have not been paid for or not recognised as a liability at the balance sheet date.

Capital Commitments

Capital Commitments are the aggregate amount of capital expenditure contracted for the acquisition of property, plant and equipment and intangible assets that have not been paid for or not recognised as a liability at the balance sheet date.

Actual  
 
 
Actual
2010 2011
$000 $000
  Operating Commitments
1,072 Less than one year 792
487 One to two years 287
242 Two to five years 137
122 Over five years 102
1,923 Total Operating Commitments 1,318
0 Capital Commitments 105
1,923 Total Commitments 1,423

 

Commitments will be transferred to the Department of Internal Affairs as a result of the integration.

 

Statement of Contingent Liabilities as at 31 January 2011

Archives New Zealand had one contingent liability as at 31 January 2011 (30 June 2010: nil).

Actual Quantifiable Contingent Liabilities Actual
2010  
 
2011
$000 $000
0 Employee Study Fees 6
0 Total Quantifiable Contingent Liabilities 6

 

The accompanying accounting policies and notes form part of these financial statements.

 

Statement of Departmental Expenses and Capital Expenditure against Appropriations for the Seven Months ended 31 January 2011

Expenditure after Remeasurements (Figures are GST exclusive) Expenditure before Remeasurements Remeasurements Expenditure after Remeasurements Appropriation Voted (Main Estimates)
2010  
 
 
2011 2011 2011 2011
12 months 7 months 7 months 7 months 12 months
$000 $000 $000 $000 $000
23,219 Vote National Archives
Appropriation for Classes of Output
National Archival Services
Expenditure as reflected in the Statement of Financial Performance
13,284 0 13,284 22,830
23,219 Total 13,284 0 13,284 22,830
  Appropriation for Capital Contribution  
0 Capital Investment 1,767 0 1,767 1,767
23,219 Total Appropriations 15,051 0 15,051 24,597

 

Statement of Departmental Unappropriated Expenditure and Capital Expenditure for the Seven Months ended 31 January 2011

The Statement of Unappropriated Expenditure details the amount of expenditure incurred above appropriation.

There was no unappropriated expenditure for the period ended 31 January 2011 (2010: nil).

 

Breaches in Net Asset Schedule

Archives New Zealand did not breach its approved net asset schedule during 2011 (2010: nil).

The accompanying accounting policies and notes form part of these financial statements.

 

Notes to the Financial Statements for the Seven Months ended 31 January 2011

1 Statement of Accounting Policies

 

Reporting Framework

Archives New Zealand is a government department as defined by Section 2 of the Public Finance Act 1989.

These are the financial statements for Archives New Zealand, which have been prepared in accordance with Section 35 of the Public Finance Act.

Archives New Zealand Te Rua Mahara o te Kāwanatanga leads in advising on and monitoring the public record, and in the preservation of public records of long-term value. Archives New Zealand administers the Public Records Act 2005 (the Act) which sets the functions Archives New Zealand is required to provide and the powers necessary to carry out these functions.

In addition Archives New Zealand has reported the Crown activities which it administers.

Archives New Zealand has designated itself as a public benefit entity for the purposes of New Zealand equivalents to International Financial Reporting Standards (NZ IFRS). The financial statements of Archives New Zealand were authorised for issue by the Chief Executive and Chief Financial Officer of the Department of Internal Affairs on 29 April 2011.

 

Integration with the Department of Internal Affairs – Consideration of the Going Concern Basis

A Cabinet Decision had been made to integrate Archives New Zealand with two other Government Departments (the Department of Internal Affairs and National Library of New Zealand). The integration was confirmed by legislation passed on 20 December 2010 effective from 1 February 2011.

As Archives New Zealand ceases to exist as an entity on 1 February 2011, all non-current Assets and Liabilities are reflected as current Assets and Liabilities in these Statements.

The Expenditure Appropriations and Assets and Liabilities of Archives New Zealand will be transferred to the Department of Internal Affairs. The transfer value of Assets and Liabilities are not expected to be materially different from their value recorded in the Statement of Financial Position.

 

Reporting Period

The reporting period for these financial statements is the seven months ended 31 January 2011.

 

Measurement System

The financial statements have been prepared on an historical cost basis, modified by the revaluation of certain property, plant and equipment.

 

Accounting Policies

The accounting policies set out here have been applied consistently to all periods presented in these financial
statements.

The accrual basis of accounting has been used unless otherwise stated. These financial statements are
presented in New Zealand dollars rounded to the nearest thousand.

 

Statement of Compliance

These financial statements have been prepared in accordance with New Zealand Generally Accepted Accounting Practice (NZ GAAP). They comply with New Zealand equivalents to International Financial Reporting Standards (NZ IFRS) and other applicable Financial Reporting Standards, as appropriate for public benefit entities.

Budget Figures

The budget within each respective Statement is derived as follows:

Statement of Comprehensive Income: The budget figures are based on a phased internally approved budget which is derived from the October Baseline Update (OBU). OBU is the first baseline update to the Main Estimates that is funded by the Second Imprest Supply until validated by the Supplementary Estimates.

Statement of Movements in Taxpayers’ Funds: Budget is based on an internally approved budget which is derived from the OBU 2010.

Statement of Financial Position: Budget is expected amounts at seven months, derived from the full year values approved in the OBU 2010.

Statement of Cash Flows: Budget is derived from the budgeted Statement of Comprehensive Income and Movements in budgeted Statement of Financial Position.

Judgements and Estimations

The preparation of financial statements in conformity with NZ IFRS requires judgements, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, revenue and expenses.

These estimates and assumptions may differ from the subsequent actual results. Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Significant judgements include the revaluation of land and buildings, and the calculation of employee entitlements.

 

Revenue

 

Operations

Archives New Zealand derives revenue through the provision of outputs to the Crown for services to third parties. Such revenue is recognised when earned and is reported in the financial period to which it relates. Revenue from the supply of goods and services is measured at the fair value of consideration received. Revenue from the supply of goods is recognised when the significant risks and rewards of ownership have been transferred to the buyer. Revenue from the supply of services is recognised in proportion to the stage of completion of the transaction at balance date.

Donated or Subsidised Assets

Where a physical asset is acquired for nil or nominal consideration the fair value of the asset received is recognised as revenue in the Statement of Financial Performance.
 

Debtors and Receivables

Receivables are recorded at amortised cost less impairment losses.

Leases

Archives New Zealand leases office equipment and accommodation. All leases are operating leases.

Operating leases, where the lessor substantially retains the risks and rewards of ownership, are recognised in a systematic manner over the term of the lease. Lease incentives received are recognised evenly over the term of the lease as a reduction in rental expense.

 

Foreign Currency

Archives New Zealand’s Financial Information Management System has only one currency, which is New Zealand dollars. Archives New Zealand has not been involved in any activities which require entry into derivative financial instruments.

Property, Plant and Equipment

Items of property, plant and equipment are initially recorded at cost. Where an asset is acquired for nil or nominal consideration the asset is recognised at fair value as at the date of acquisition, with a corresponding recognition of revenue in the Statement of Financial Performance.

Classes of property, plant and equipment that are revalued, are revalued at least every three years or whenever the carrying amount differs materially to fair value. Unrealised gains and losses arising from changes in the value of property, plant and equipment are recognised as at balance date; to the extent that a gain reverses a loss previously charged to the Statement of Financial Performance for the asset class, the gain is credited to the Statement of Financial Performance. Otherwise, gains are credited to an asset revaluation reserve for that class of asset, to the extent that there is a balance in the asset revaluation reserve.

 

Land and Buildings

Land and buildings are recorded at fair value less impairment losses and for buildings, less depreciation accumulated since the assets were last revalued. Valuations undertaken in accordance with standards issued by the New Zealand Property Institute are used where available. Otherwise, valuations conducted in accordance with the Rating Valuation Act 1998, which have been confirmed as appropriate by an independent valuer have been used.

Other Property Plant and Equipment

Other property, plant and equipment, which includes plant and equipment, furniture and fittings and Information Technology (IT) equipment, are recorded at cost less accumulated depreciation and accumulated impairment losses.

Accumulated depreciation at revaluation date is eliminated against the gross carrying amount so that the carrying amount after revaluation equals the revalued amount. The elimination approach is applied unless otherwise indicated.

Realised gains and losses arising from disposal of property, plant and equipment are recognised in the Statement of Financial Performance in the period in which the transaction occurs. Any balance attributable to the disposed asset in the asset revaluation reserve is transferred to retained earnings.

All other items of property, plant, and equipment costing more than $5,000 are capitalised at cost.

 

Depreciation

Depreciation is charged on a straight-line basis on all property, plant, and equipment (except land, antiques and works of art, and capital work in progress) at a rate which will write-off the cost (or valuation) of the assets to their estimated residual value over their useful lives at rates calculated to allocate the cost or valuation of an item of property, plant and equipment, less any estimated residual value, over its estimated useful life.

The estimated useful lives of different classes of property, plant and equipment are as follows:

Buildings 15-90 years

Plant and Equipment 5-100 years

Furniture and Fittings 5-10 years

Motor Vehicles 2-6 years

IT Equipment 3-5 years

Intangible Assets

Intangible assets are initially recorded at cost. The cost of an internally generated intangible asset represents expenditure incurred in the development phase of the asset only. The development phase occurs after the following can be demonstrated: technical feasibility; intention to complete the asset; ability to sell or use; and development expenditure can be reliably measured. Expenditure incurred on research of an internally generated intangible asset is expensed when it is incurred. Where the research phase cannot be distinguished from the development phase, the expenditure is expensed when it is incurred.

Intangible assets with finite lives are subsequently recorded at cost less any amortisation and impairment losses. Amortisation is charged to the Statement of Financial Performance on a straight-line basis over the useful life of the asset.

Acquired Software 3-10 years

Internally Generated Software 3-10 years

The range of useful life for both Acquired Software and Internally Generated Software has been extended. Previously the range for both was 3-5 years and this has been changed to 3-10 years. In the seven months covered by this report the impact of this change is that amortisation was $20,000 less than it would have been if no change had been made. It is impracticable to calculate the impact of this change on future periods because of the large number of variables involved.

 

Employee Benefits

 

Defined Contribution Schemes

Obligations for contributions to the State Sector Retirement Savings Scheme, KiwiSaver and the Government Superannuation Fund are accounted for as defined contribution schemes and are recognised as an expense in the Statement of Financial Performance as incurred.

Short-Term Employee Entitlements

Short-term employee entitlements to salaries and wages, sick leave, annual leave and other similar benefits are recognised in the Statement of Financial Performance when they accrue to employees. They are measured at nominal values based on accrued entitlements at current rates of pay.

Long-Term Employee Entitlements

Long-term employee entitlements that are payable beyond 12 months, such as long service leave and retiring leave, have been calculated on an actuarial basis.

Likely future entitlements are based on years of service, years to entitlement, the likelihood that staff will reach the point of entitlement and contractual entitlements information, and the present value of the estimated future cash flows. A discount rate of 4.80 percent, and salary inflation factors of 2.00 percent for the next five years then 3.50 percent thereafter were used. The discount rate is based on the annualised (before tax) market yield at 31 January 2011 on long-term New Zealand government bonds. The salary inflation factor is based on the expected long-term increase in remuneration for employees.

The liability for long-term employee entitlements is reported on an actual basis, based on present value of the expected future entitlements.

The liability for long-term employee entitlements will be transferred as part of the integration with the Department of Internal Affairs. For the purposes of these financial statements they have been added to short-term employee entitlements and recorded as current liabilities in line with the Integration with the Department of Internal Affairs – Consideration of the Going Concern Basis note above.

Termination Benefits

Termination benefits are recognised in the Statement of Financial Performance only when there is a demonstrable commitment to either terminate employment prior to normal retirement date or to provide such benefits as a result of an offer to encourage voluntary redundancy. Termination benefits settled within 12 months are reported at the amount expected to be paid, otherwise they are reported as the present value of the estimated future cash outflows.
 

Taxation

Archives New Zealand is exempt from income tax in terms of the Income Tax Act 2004. Accordingly no charge for income tax has been provided for. Archives New Zealand is subject to fringe benefit tax (FBT), goods and services tax (GST), and pay as you earn tax (PAYE).

Financial Instruments

Archives New Zealand is party to financial instruments as part of its normal operations. These financial instruments include bank accounts, accounts receivable and accounts payable. Archives New Zealand has not been involved in any activities which require entry into derivative financial instruments.

Designation of financial assets and financial liabilities by individual entities into instrument categories is determined by the business purpose of the financial instruments, policies and practices for their management, their relationship with other instruments and the reporting costs and benefits associated with each designation.

Cash and cash equivalents include cash on hand, cash in transit, bank accounts and deposits with a maturity of no more than three months from date of acquisition.

All financial instruments are recognised in the Statement of Financial Position at fair value and subsequently measured at amortised cost. All revenues and expenses in relation to financial instruments are recognised in the Statement of Financial Performance.

Creditors and Other Liabilities

Creditors and other liabilities are initially recorded at fair value and subsequently measured at amortised cost, using the effective interest method.
 

Goods and Services Tax (GST)

The Statement of Unappropriated Expenditure and the Statements of Departmental and Non-Departmental Expenditure and Appropriations are exclusive of GST. The Statement of Financial Position is exclusive of GST, except for Accounts Receivable and Accounts Payable, which are GST inclusive. All other statements are GST exclusive.

The amount of GST owing to the Inland Revenue Department at balance date, being the difference between Output GST and Input GST, is included in Current Liabilities or Current Assets as appropriate.

 

Commitments

Future expenses and liabilities to be incurred on contracts that have been entered into at balance date are disclosed as commitments to the extent that there are equally unperformed obligations.

Contingent Assets and Contingent Liabilities

Contingent assets and contingent liabilities are recorded in the Statement of Contingent Assets and Liabilities at the point at which the contingency is evident. Contingent assets are disclosed if it is probable that the benefits will be realised. Contingent liabilities are disclosed if the possibility that they will crystallise is not remote.

Taxpayers’ Funds

This is the Crown’s net investment in Archives New Zealand.
 

Related Parties

The government reporting entity comprises a number of entities and branches of government with key personnel that transact with the government reporting entity on a regular basis, for example, for the purchase of postage stamps for their personal use or registration of personal vehicles. These transactions are conducted at an arm’s length basis. Any transactions not conducted at arm’s length will be disclosed in the financial statements of the relevant entity.

Standards and Interpretations Issued But Not Yet Effective

Several standards, amendments and interpretations have been issued, but are not yet effective although they may be adopted early. These are not expected to have a significant impact on the financial statements of Archives New Zealand so have not been adopted early.

The standards amendments and interpretations issued but not yet effective, that could impact the financial statements of Archives New Zealand are:

Improvements to NZ IFRS 2010 - NZ IFRS 7 Financial Instruments: Disclosures

NZ IAS 24 Related Party Disclosures (revised 2009)

NZ IFRS 9 Financial Instruments (2010)
 

2 Revenue Other

Actual  
 
Actual
2010 2011
12 months 7 months
$000 $000
39 Rentals 18
143 Photocopying/reproduction charges 78
10 Sales of goods 10
101 Research services 48
257 Other 65
550 Total Revenue Other 219

 

3 Personnel Costs

Actual  
 
Actual
2010 2011
12 months 7 months
$000 $000
9,420 Salaries and wages 5,386
248 Employer contribution to defined contribution plans 156
46 Increase/(decrease) in employee entitlements 12
30 Recruitment costs 11
257 Other 65
9,744 Total Personnel Costs 5,565

 

Employer contributions to defined contribution plans include contributions to the State Sector Retirement Savings Scheme, KiwiSaver and the Government Superannuation Fund.

 

4 Other Operating Expenses

Actual  
 
Actual
2010 2011
12 months 7 months
$000 $000
72 Audit fees for the financial statement audit 64
3 Accommodation leases 3
1,200 Other premises costs 707
763 Information systems costs 463
205 Equipment maintenance 138
15 Operating lease payments 6
428 Professional fees 107
174 Communications 87
2,774 Other operating costs 1,518
5,634 Total Other Operating Expenses 3,093

 

5 Capital Charge

Archives New Zealand pays a capital charge to the Crown on its taxpayers’ funds as at 30 June and 31 December each year. The capital charge rate for the seven months ended 31 January 2011 was 7.5 percent (2010: 7.5 percent).

 

6 Debtors and Other Receivables

Actual   Actual
2010 2011
12 months 7 months
$000 $000
137 Trade receivables 196
(0) Less provision for doubtful debts (0)
137 Total Debtors and Other Receivables 196

 

The carrying amount of debtors approximates their fair values.

 

As at 31 January 2011 and 30 June 2010, all overdue receivables have been assessed for impairment. No impairments were considered necessary, as detailed below:

 

$000
 
June 2010 January 2011
Gross Impairment Net Gross Impairment Net
Not past due 135 0 135 137 0 137
Past due 1-30 days 2 0 2 51 0 51
Past due 31-60 days 0 0 0 1 0 1
Past due 61-90 days 0 0 0 7 0 7
Past due >91 days 0 0 0 0 0 0
Total 137 0 137 196 0 196

 

 

7 Property, Plant and Equipment

 
Cost or Valuation
Land Buildings Plant and Equipment Furniture and Fittings IT Equipment Motor Vehicles Total
$000 $000 $000 $000 $000 $000 $000
Balance at 1 July 2009 24,587 33,762 8,348 1,182 1,870 126 69,875
Additions 0 1.222 640 74 157 0 2,093
Adjustment to previous revaluation increment 0 (903) 0 0 0 0 (903)
Re categorisation 0 0 0 0 (550) 0 (550)
Disposals 0 0 (170) (12) (12) 0 (194)
Balance at 30 June 2010 24,587 34,081 8,818 1,244 1,465 126 70,321
Balance at 1 July 2010 24,587 34,081 8,818 1,244 1,465 126 70,321
Additions 0 473 142 14 298 0 927
Adjustment to previous revaluation increment 0 0 0 0 0 0 0
Re categorisation 0 0 0 0 (50) 0 (50)
Disposals 0 (10) (33) (7) (365) 0 (415)
Balance at 31 January 2011 24,587 34,544 8,927 1,251 1,348 126 70,783
Accumulated Depreciation and Impairment Losses    
Balance at 1 July 2009 0 0 3,793 785 886 126 5,590
Depreciation expense 0 1,274 330 52 292 0 1,948
Re categorisation 0 0 0 0 (440) 0 (440)
Eliminate on disposal 0 0 (162) (12) (8) 0 (182)
Eliminate on revaluation 0 0 0 0 0 0 0
Impairment losses 0 0 0 0 0 0 0
Balance at 30 June 2010 0 1,274 3,961 825 730 126 6,916
Balance at 1 July 2010 0 1,274 3,961 825 730 126 6,916
Depreciation expense 0 727 200 33 172 0 1,132
Re categorisation 0 0 0 0 (10) 0 (10)
Eliminate on disposal 0 (3) (32) (7) (363) 0 (405)
Eliminate on revaluation 0 0 0 0 0 0 0
Impairment losses 0 0 0 0 0 0 0
Balance at 31 January 2011 0 1,998 4,129 851 529 126 7,633
Carrying Amounts    
At 1 July 2009 24,587 33,762 4,555 397 984 0 64,285
At 30 June and 1 July 2010 24,587 32,807 4,857 419 735 0 63,405
At 31 January 2011 24,587 32,546 4,798 400 819 0 63,150

 

Land and Buildings

Valuations of land and buildings were undertaken as at 30 June 2009 by Mr Chris Orchard, FNZIV, FPINZ of Darroch Valuations Limited (Wellington property), Mr John Darroch FNZIV, FPINZ of Darroch Valuations Limited (Auckland property), Mr Mark Dow, FNZIV, FPINZ of Darroch Valuations Limited (Christchurch property) and Mr Stephen Cairns, SPINZ, of Colliers International (Dunedin property), all being independent valuers. All properties have been valued using a depreciated replacement cost methodology, except the Dunedin property which has been valued using market based evidence.

 

8 Intangible Assets

 
 
Acquired Software Internally Generated Software Total
$000 $000 $000
Cost
Balance at 1 July 2009 2,589 2,439 5,028
Additions 56 1,424 1,480
Re categorisation 0 550 550
Disposals (235) (2,434) (2,669)
Balance at 30 June 2010 2,410 1,979 4,389
Balance at 1 July 2010 2,410 1,979 4,389
Additions 13 727 740
Re categorisation 0 50 50
Disposals (235) (175) (410)
Balance at 31 January 2011 2,188 2,581 4,769
Accumulated Amortisation and Impairment Losses
Balance at 1 July 2009 1,776 1,945 3,721
Amortisation expense 171 277 448
Re categorisation 0 440 440
Disposals (235) (2,434) (2,669)
Impairment losses 0 0 0
Balance at 30 June 2010 1,712 228 1,940
Balance at 1 July 2010 1,712 228 1,940
Amortisation expense 60 240 300
Re categorisation 0 10 10
Disposals (220) (140) (360)
Impairment losses 0 0 0
Balance at 31 January 2011 1,552 338 1,890
Carrying Amounts
At 1 July 2009 813 494 1,307
At 30 June and 1 July 2010 698 1,751 2,449
At 31 January 2011 636 2,243 2,879

 

Work in progress (WIP) is included in the carrying amount of Property, Plant and Equipment and Intangibles for the following amounts:

 

Actual  
 
 
Actual
2010 2011
12 months 7 months
$000 Property, Plant and Equipment $000
102 Buildings 323
6 IT equipment 0
0 Plant and equipment 79
  Intangibles
97 Acquired software 0
1,376 Internally generated software 451
1,581 Total WIP 853

 

9 Creditors and Other Payables

 

Trade Creditors

Actual   Actual
2010 2011
12 months 7 months
$000 $000
1,011 Creditors 0
940 Accrued expenses 1,266
267 GST payable 207
13 Prepaid revenue 0
2,231 Total Creditors and Other Payables 1,473

 

Creditors and other payables are non-interest bearing and are normally settled in seven days and/or 20th of the month, therefore their carrying values approximate their fair values.

 

Restructuring Provision

Actual   Actual
2010 2011
12 months 7 months
$000 $000
285 Provision for Severance Pay 147
285 Total current portion 147

 

A restructuring provision was raised in the year ended 30 June 2010. The provision arises from the integration of Archives New Zealand with the Department of Internal Affairs. As a result of the integration Archives New Zealand will cease to be a separate department.

 

  Restructuring $000
Balance at 1 July 2009 0
Additional provisions made 285
Amounts used 0
Unused amounts reversed 0
Balance at 30 June 2010 285
Balance at 1 July 2010 285
Additional provisions 0
Amounts used (138)
Unused amounts reversed 0
Balance at 31 January 2011 147

 

10 Repayment of Surplus

Actual   Actual
2010 2011
12 months 7 months
$000 $000
12 Net surplus 6
12 Total Repayment of Surplus 6

 

The appropriation for Vote: National Archives is for the year ending 30 June 2011. The final surplus for the vote will be determined as at that date, and will be repaid to the Crown by 31 October 2011.

 

11 Employee Entitlements

Actual  
 
 
Actual
2010 2011
12 months 7 months
$000 Current Employee Entitlements are represented by: $000
495 Annual leave 486
10 Sick leave 14
10 Time off in lieu 12
189 Retirement leave, service recognition leave and long service leave 219
704 Total Current Employee Entitlements 731

 

12 Taxpayers' Funds

Taxpayers' Funds comprises:

Actual  
 
 
Actual
2010 2011
12 months 7 months
$000 General Funds $000
50,494 Balance as at 1 July 2010 50,494
12 Net surplus 6
0 Capital contribution 1,767
(12) Provision for repayment of surplus to the Crown (6)
50,494 General Funds as at 31 January 2011 52,261
  Revaluation Reserves
22,079 As at 1 July 2010 21,176
(903) Revaluation gains and other adjustments 0
21,176 Revaluation Reserves at 31 January 2011 21,176
71,670 Total taxpayers’ funds 73,437
  Revaluation Reserves Consist of:
20,947 Land and buildings reserve 20,947
229 Other assets reserve 229
21,176 Revaluation Reserve at 31 January 2011 21,176

 

13 Reconciliation of Net Surplus/(Deficit) to Net Cash from Operating Activities

Actual  
 
 
Actual
2010 2011
12 months 7 months
$000 Net Surplus/(Deficit) $000
  Add/(Less) Non Cash Items
1,948 Depreciation 1,132
448 Amortisation 300
26 Retirement and long service leave 30
2,422 Total Non Cash Items 1,462
  Add/(Deduct) Movements in Working Capital Items
(12) (Increase)/decrease in accounts receivable (59)
50 (Increase)/decrease in prepayments (121)
526 Increase/(decrease) in creditors and other payables (698)
23 Increase/(decrease) in employee entitlements (3)
(14) Increase/(decrease) in GST payable/receivable (60)
573 Movement in Working Capital (941)
3,007 Net Cash flows from Operating Activities 527

 

14 Related Party Transactions and Key Management Personnel

Archives New Zealand is a wholly-owned entity of the Crown. The Government significantly influences the roles of Archives New Zealand as well as being its major source of revenue.

Archives New Zealand enters into numerous transactions with other government departments, Crown agencies and state-owned enterprises on an arm’s length basis. Those transactions that occur within a normal supplier or client relationship on terms and conditions no more or less favourable than those which it is reasonable to expect Archives New Zealand would have adopted if dealing with that entity at arm’s length in the same circumstance are not disclosed.

There was one transaction carried out with related parties. During the seven months Archives New Zealand used the services of a Kaumatua for several functions to a value of $5,250 (2010: $16,250). The Kaumatua is the husband of Archives New Zealand’s Kaihautū.

Apart from this transaction, Archives New Zealand has not entered into any related party transactions.

 

Key Management Personnel Compensation

Actual   Actual
2010 2011
12 months 7 months
$000 $000
1,068 Salaries and other short-term employee benefits 744
44 Post-employment benefits 32
1,112 Total key management personnel compensation 776

 

Key management personnel include the Chief Executive and the seven other members of the Strategic Management Group.

 

15 Events After the Balance Sheet Date

A Cabinet Decision had been made to integrate Archives New Zealand with two other Government Departments (the Department of Internal Affairs and National Library of New Zealand). The integration was confirmed by legislation passed on 20 December 2010 effective from 1 February 2011. Although Archives New Zealand will not exist as a separate entity its roles and functions will continue within the structure of the Department of Internal Affairs. The Expenditure Appropriations and Assets and Liabilities of Archives New Zealand will be transferred to the Department of Internal Affairs.

The Archives New Zealand building in Christchurch had moderate damage from the February 2011 earthquake. The damage is largely covered by insurance.

 

16 Financial Instrument Risks

Archives New Zealand is party to financial instrument arrangements as part of its everyday operations. These include instruments such as bank balances, accounts receivable, and accounts payable.

Credit Risk

Credit risk is the risk that a third party will default on its obligations to Archives New Zealand, causing Archives New Zealand to incur a loss. In the normal course of its business, Archives New Zealand incurs credit risk from trade debtors, and transactions with financial institutions and the New Zealand Debt Management Office (NZDMO).

Archives New Zealand does not require any collateral or security to support financial instruments with financial institutions that Archives New Zealand deals with, or with the NZDMO, as these entities have high credit ratings. For its other financial instruments, Archives New Zealand does not have significant concentrations of credit risk.

Archives New Zealand’s maximum credit exposure for each class of financial instrument is represented by the total carrying amount of cash and cash equivalents and debtors.

Currency Risk

Archives New Zealand has no significant exposure to foreign exchange currency risk, given it does not transact in foreign currencies.

Interest Rate Risk

Archives New Zealand has no significant exposure to interest rate risk on its financial instruments, given it has no interest bearing financial instruments.

Fair Value

The fair value of all financial instruments is equivalent to the carrying amount disclosed in the Statement of Financial Position.

Liquidity Risk

Liquidity risk is the risk that Archives New Zealand will encounter difficulty raising liquid funds to meet commitments as they fall due.

In meeting its liquidity requirements, Archives New Zealand closely monitors its forecast cash requirements with expected cash draw downs from the NZDMO. Archives New Zealand maintains a target level of available cash to meet liquidity requirements.

The table below analyses Archives New Zealand’s financial liabilities that will be settled based on the remaining period of the balance sheet date to the contractual maturity date. The amounts disclosed are the contractual undiscounted cash flows.

 

  Less Than 6 Months $000 Between 6 Months and 1 Year $000 Between 1 and 5 Years $000 Over 5 Years $000
2010 Creditors and other payables (note 9) 2,231 0 0 0
2011 Creditors and other payables (note 9) 1,473 0 0 0

 

17 Categories of Financial Instruments

Actual  
 
 
Actual
2010 2011
12 months 7 months
$000 Financial Liabilities at Amortised Cost: $000
2,231 Creditors and other payables 1,473
2,231 Total financial liabilities at amortised cost 1,473
  Financial Assets:
8,582 Cash and cash equivalents 9,257
137 Debtors and other receivables 196
8,719 Total loans and receivables 9,453

 

18 Capital Management

Archives New Zealand’s capital is its equity (or taxpayers’ funds), which comprise general funds and revaluation reserves. Equity is represented by net assets.

Archives New Zealand manages its revenues, expenses, assets, liabilities and general financial dealings prudently. Archives New Zealand’s equity is largely managed as a by-product of managing income, expenses, assets, liabilities and compliance with the Government Budget processes and with Treasury instructions.

The objective of managing Archives New Zealand’s equity is to ensure Archives New Zealand effectively achieves
its goals and objectives for which it had been established.

 

19 Explanation of Major Variations Against Budget

The following notes explain the significant variances between budgeted figures and Archives New Zealand’s actual results. The Statement of Accounting Policies outlines how the budget values are derived.

Statement of Financial Performance Variances

Other Operating Expenses: The increase of $136,000 relates to timing issues of audit fees and the contribution costs for the integration with the Department of Internal Affairs. These expenses were forecast later in the financial year.

Statement of Financial Position Variances

Cash and Cash Equivalents: There was an increase of $1,571,000. This was mainly due to a decrease in purchases of intangibles assets and property, plant and equipment compared to what was anticipated in the budget (see below).

Intangible Assets: There was a decrease of $1,675,000. This was due in part to a decrease in purchases of intangible assets compared to what was anticipated in the budget – because of work associated with the integration with the Department of Internal Affairs there was less staff resource available to work on capital projects. The decrease was also due in part to some intangible assets being decommissioned as a result of the integration with the Department of Internal Affairs.

Creditors and Other Payables: The increase of $749,000 was due to a larger amount of accrued expenditure than the budget anticipated.

Statement of Cash Flows Variances

Payment to Suppliers: The increase of $679,000 was because all outstanding supplier invoices were paid on 31 January, in many cases earlier than normal payment terms. This was done so that there were no creditors at the time of the integration with the Department of Internal Affairs.

Purchase of Property, Plant and Equipment: The decrease of $781,000 was due to a decrease in purchases compared to what was anticipated in the budget – because of work associated with the integration with the Department of Internal Affairs there was less staff resource available to work on capital projects.

Purchase of Intangible Assets: The decrease of $1,747,000 was due to a decrease in purchases compared to what was anticipated in the budget – because of work associated with the integration with the Department of Internal Affairs there was less staff resource available to work on capital projects.

Capital Contributions: The decrease of $1,398,000 was because an additional Capital Contribution was approved as part of the OBU, and this amount has not yet been drawn down.

 

Financial Schedules: Non-Departmental for the Seven Months ended 31 January 2011

The following non-departmental schedules record the revenue and = assets that Archives New Zealand manages on behalf of the Crown.

 

Schedule of Non-Departmental Income for the Seven Months ended 31 January 2011

Actual   Note Actual Budgeted
2010   
 
2011 2011
12 months 7 months 12 months
$000 Income $000 $000
9,133 National Archive Collection received from other government departments and the public 2 6,117 0
9,133 Total Non-Departmental Income 6,117 0

 

Schedule of Non-Departmental Assets as at 31 January 2011

Actual   Note Actual Budgeted
2010   
 
2011 2011
12 months 7 months 12 months
$000 Non-Current Assets $000 $000
522,316 National Archive Collection 2 528,433 522,316
522,316 Total Non-Departmental Assets 528,433 522,316

 

Archives New Zealand has no non-departmental expenditures, liabilities, commitments or contingencies.

 

The accompanying accounting policies and notes form part of these financial statements.

 

Notes to the Non-Departmental Schedule for the Seven Months ended 31 January 2011

1 Statement of Accounting Policies

 

Reporting Entity

The non-departmental schedules present financial information on public assets managed by Archives New Zealand on behalf of the Crown. Following integration of Archives New Zealand with the Department of Internal Affairs these assets will be managed by the Department of Internal Affairs.

These non-departmental balances are consolidated into the Financial Statements of the Government. For a full understanding of the Crown’s financial position, results of operations and cash flows for the year, reference should also be made to the Financial Statements of the Government.

Accounting Policies

The non-departmental schedules have been prepared in accordance with the Government’s accounting policies as set out in the Financial Statements of the Government, and in accordance with relevant Treasury Instructions and Treasury Circulars.

Measurement and recognition rules applied in the preparation of these non-departmental schedules are consistent with the New Zealand Generally Accepted Accounting Practice as appropriate for public benefit entities.

The accounting policies set out below have been applied consistently to all periods presented in these financial statements.

Revenue

Where a physical asset is donated for nil or nominal consideration the fair value of the asset received is recognised as revenue. Donated assets are recognised as revenue when control over the asset is obtained.
 

2 National Archive Collection

The National Archive Collection is a Crown asset and is included in the Crown Financial Statements rather than in the Financial Statements for Archives New Zealand. Non-exceptional items are revalued every three years and were revalued in June 2008 using a methodology that divided the collection into categories by format and age, to associate records that together could be said to have a broad commonality of value. Benchmark valuations were obtained from an independent valuer, Dunbar Sloane, through market assessments and from other collections of a similar nature to Government archives. Accessions since the date of valuation are valued on the basis of these benchmarks.

The value of the Treaty of Waitangi was based on a valuation as at 30 June 2008 supported by Sotheby’s, an independent valuer. Other exceptional items are based on a valuation as at 30 June 2008 from Dunbar Sloane. These valuations were based on market assessments and from other collections of a similar nature.
 

Cost or valuation $000
Balance at 1 July 2009 513,183
Addition 9,133
Revaluation decrease 0
Disposals 0
Balance at 30 June 2010 522,316
Balance at 1 July 2010 522,316
Additions 6,117
Revaluation 0
Disposals 0
Balance at 31 January 2011 528,433
Carrying amounts
At 1 July 2009 513,183
At 30 June and 1 July 2010 522,316
At 31 January 2011 528,433

 

Glossary

Appraisal

The process of evaluation to determine which records are to be retained as archives, which are to be kept for specific periods, and which will be destroyed.

Archives

Those records that are appraised as having ongoing value. Traditionally, the term has been used to describe records no longer required for current use which have been selected for permanent preservation.

The place (building/room/storage area) where archival material is kept.

An organisation (or part of an organisation) responsible for appraising, acquiring, preserving and making available archival material.

Archives Council, Te Rua Wānanga

The Archives Council is a Ministerial Committee established under the Public Records Act 2005. Its role is to provide independent advice on recordkeeping and archival matters to the Minister Responsible for Archives New Zealand.

Archway

Archway is an automated documentation system that manages:

information about government records

information about the context in which they were created

the core archival business processes (appraisal, transfer and description) that generate this information.

Continuum

Continuum is a whole of government approach to recordkeeping. The Continuum Programme has been designed to provide the most effective tools and services to government agencies to enable them to meet best practice recordkeeping standards. Further information about Continuum is available at the continuum-resource-kit

Disposal

The final decision concerning the fate of records, ie, destruction or transfer to the archives. On rare occasions the disposal may be by sale or donation. Other forms of disposal that can be authorised under the Public Records Act 2005 include alteration and discharge.

General Disposal Authority

A disposal authority that authorises government agencies to dispose of housekeeping and other records common across public offices, for example, financial records.

National Digital Forum

The forum comprises museums, archives, art galleries, libraries and government departments working together to improve electronic access to New Zealand’s culture and heritage.

PARBICA

PARBICA is the Pacific Regional Branch of the International Council on Archives (ICA). It represents archives and archival activities in the Pacific, including Australia and New Zealand.

Public Offices

The legislative, executive and judicial branches of the Government of New Zealand and their agencies or instruments, including departments, offices of Parliament, state-owned enterprises, Crown entities, Police, Defence Force, and the Security Intelligence Service. Crown entities include district health boards, school boards of trustees and tertiary education institutions (Public Records Act 2005, s4).

 

Public Record

A record or a class of records, in any form, in whole or in part, created or received […] by a public office in the conduct of its affairs (Public Records Act 2005).

Record

Information, whether in its original form or otherwise, including […] a document, a signature, a seal, text, images, sound, speech, or data compiled, recorded, or stored [...], (a) in written form on any material; or (b) on film, negative, tape, or other medium so as to be capable of being reproduced; or (c) by means of any recording device or process, computer, or other electronic device or process (Public Records Act 2005).

Te Pae Whakawairua

Archives New Zealand Māori advisory group appointed by the Chief Archivist.

The Community Archive

The Community Archive (formerly the National Register of Archives and Manuscripts (NRAM)) is a web-based guide to archival and manuscript holdings of archives, libraries, museums, galleries, schools and societies across New Zealand. The Community Archive’s listings may be searched or browsed via a number of criteria.
 

Directory

Archives New Zealand
Te Rua Mahara o te Kāwanatanga
www.archives.govt.nz

 

National Office

10 Mulgrave Street, Thorndon
PO Box 12 050
Wellington 6144
Telephone: (04) 499 5595
Fax: (04) 495 6210
Email: enquiries@archives.govt.nz

Auckland Regional Office

95 Richard Pearse Drive, Mangere
PO Box 201 103
Auckland Airport
Manukau 2150
Telephone: (09) 270 1100
Fax: (09) 276 4472
Email: auckland@archives.govt.nz

Christchurch Regional Office

90 Peterborough Street
PO Box 642
Christchurch 8140
Telephone: (03) 377 0760
Fax: (03) 365 2662
Email: christchurch@archives.govt.nz

Dunedin Regional Office

556 George Street
PO Box 6183
Dunedin 9059
Telephone: (03) 477 0404
Fax: (03) 477 0422
Email: dunedin@archives.govt.nz