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Statement of cash flows

for the year ended 30 June 2005

  Note 2005
Actual
$000
2005
Main
Estimates
$000
2005
Supplementary
Estimates
$000
2004
Actual
$000
Cash flows for operating activities
Cash was provided from:
Supply of outputs to Crown   10,015 7,280 13,497 6,477
Supply of outputs to customers   13,010 10,448 13,830 9,762
 
Cash was applied to:          
Output expenses   (25,454) (16,289) (34,418) (13,954)
Capital charge   (301) (295) (295) (253)
Net cash flows from operating activities 12 (2,730) 1,144 (7,386) 2,032
 
Cash flows for investing activities
Cash was provided from:
Supply of fixed assets   - - - 14
 
Cash was disbursed for:
Purchase of fixed assets   (1,511) (1,030) (1,853) (974)
Net cash flows from investing activities   (1,511) (1,030) (1,853) (960)
 
Cash flows for financing activities
Cash was provided from:
Capital contributions   5,124 380 10,264 320
Cash was disbursed for:
Repayment of surplus   (747) (488) (747) (1,376)
Net cash flows from financing activities   4,377 (108) 9,517 (1,056)
Net increase/(decrease) in cash held   136 6 278 16
Opening cash and deposits   31 78 31 15
Closing cash   167 84 309 31

Statement of Commitments

as at 30 June 2005

  2005
Actual
$000
2004
Actual
$000
Operating Lease Commitments
Less than 1 year 1,108 713
1 to 2 years 887 570
2 to 5 years 598 730
Over 5 years - -
Total Operating Lease Commitments 2,593 2,013
Capital Commitments 583 -
Total Commitments 3,176 2,013

Statement of Contingent Liabilities

as at 30 June 2005

  2005
Actual
$000
2004
Actual
$000
Contingent Liabilities
Personal Grievance 5 -
Total Contingent Liabilities 5 -

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Building and housing weathertightness litigation

The Building Industry Authority was one of a number of defendants in lawsuits alleging negligence on the part of the Authority regarding its performance on weathertightness of homes issues. During the 2005 financial year the Building Industry Authority merged with the Ministry of Housing to form the Department of Building and Housing. At that time the Department assumed responsibility for these contingent liabilities.

It is likely other proceedings will be brought regarding weathertightness issues both in the High Court and under the Weathertight Homes Resolution Services Act.

The Authority had no direct involvement with any of the buildings concerned. The outcome of the claims essentially depends on questions of law relating to the Authority's performance of its statutory duties. It is considered that the Authority had at all times performed those duties properly. In the absence of decided cases on the relevant questions of law, there is no certainty as to the outcome of the claims.

Notwithstanding the outcomes of the claims, should the Department be found to be liable, the amounts payable will depend on the amounts paid by other defendants who are also held to be liable. It is therefore not currently possible to quantify the Department's contingent liabilities.

From 1 July 2005 the Crown assumed responsibility for any of these claims.

These financial statements to be read in conjunction with the attached accounting policies and notes to the financial statements.

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