CANBERRA INSTITUTE OF TECHNOLOGY
Objectives
The Canberra Institute of Technology (CIT) aims to train a workforce with skills appropriate to the current and forecast needs of industry in the ACT and region, and with enhanced career prospects and quality of life.
Five key themes are identified in the CIT Strategic Plan 2005‑2009 that demonstrate CIT’s commitment to create a learning community providing practical, relevant and affordable post‑secondary education and training where students and staff can reach their full potential for education, work and life.
The five themes are:
•	teaching and learning;
•	relationships;
•	resources and systems;
•	organisational culture; and
•	global networks.
2005-06 Highlights
Strategic and operational issues that will be pursued in 2005‑06 include:
•	building stronger relationships with schools and colleges to provide alternative  vocational education and training (VET) opportunities;
•	collaborating to combine the VET research capabilities of CIT and the Department of Education and Training (DET);
•	improving course delivery to address industry’s skill requirements and unmet demand in the ACT and region through developing a cooperative understanding with stakeholders;
•	expanding national and global education networks to provide staff and students with access to global knowledge and international educational experiences;
•	promoting CIT as an attractive and desirable destination for international students to study, enabling the expansion of international student enrolments through the development of new markets;
•	developing a strategy to upgrade the Reid Campus with the preparation of a master plan under the Department of Education, Science and Training (DEST) Strategic Infrastructure Management Plan;
•	creating ‘smart classrooms’ with the introduction of the latest educational technology; and
•	researching leading-edge approaches to education and training.

2005-06 Capital Works Program
Departmental
 	Estimated	Estimated	2005-06	2006-07	2007-08	Expected 	
	Total	Expenditure	Financing	Financing	Financing	Completion 	
	Cost1	Pre 2005-06				Date  	
 	$’000	$’000	$’000	$’000	$’000	 	
							
New Capital Works							
							
Capital Upgrades							
Buildings Improvements	2  000	-	2  000	-	-		
							
Total Capital Upgrades	2  000	-	2  000	-	-		
							
Total Departmental Capital Works	2  000	-	2  000	-	-	 	

Canberra Institute of Technology	
Operating Statement	
  2004-05			  2004-05	   2005-06		  2006-07	  2007-08	  2008-09		
    Budget			Est.Outcome	   Budget	   Var	  Estimate	   Estimate	  Estimate		
    $'000			   $'000	   $'000	    %	   $'000	    $'000	   $'000		
		Income								
		Revenue								
12  293		User Charges - Non ACT Government	12  293	12  470	1	12  782	13  101	13  429		
59  657		User Charges - ACT Government	64  606	64  777	..	65  685	66  802	67  923		
319		Interest	355	292	-18	257	223	188		
218		Dividend Revenue	200	218	9	218	218	218		
3  279		Other Revenue	4  340	3  361	-23	3  445	3  532	3  619		
35		Resources Received free of charge	52	35	-33	35	35	35		
75  801		Total Revenue	81  846	81  153	-1	82  422	83  911	85  412		
		Gains								
0		Total Gains	0	0	-	0	0	0		
75  801		Total Income	81  846	81  153	-1	82  422	83  911	85  412		
		Expenses								
44  542		Employee Expenses	50  272	50  270	..	50  532	51  147	51  752		
7  771		Superannuation Expenses	7  519	7  618	1	7  716	7  827	7  931		
23  574		Supplies and Services	21  763	22  737	4	23  254	23  865	24  499		
3  655		Depreciation and Amortisation	3  655	3  755	3	3  805	3  855	3  905		
841		Other Expenses	2  481	1  360	-45	1  382	1  405	1  428		
80  383		Total Ordinary Expenses	85  690	85  740	..	86  689	88  099	89  515		
-4  582		Operating Result	-3  844	-4  587	-19	-4  267	-4  188	-4  103		

Canberra Institute of Technology	
Balance Sheet	
    Budget			Est.Outcome	   Planned		   Planned	   Planned	   Planned		
as at 30/6/05			as at 30/6/05	as at 30/6/06	   Var	as at 30/6/07	as at 30/6/08	as at 30/6/09		
   $'000			   $'000	    $'000	    %	    $'000	    $'000	    $'000		
		Current Assets								
2  149		Cash	1  893	1  941	3	2  109	2  405	2  832		
4  979		Receivables	6  113	6  113	-	6  113	6  113	6  113		
5  486		Investments	4  622	3  994	-14	3  366	2  738	2  110		
340		Other	42	42	-	42	42	42		
12  954		Total Current Assets	12  670	12  090	-5	11  630	11  298	11  097		
		Non Current Assets								
20		Investments	20	20	-	20	20	20		
126  213		Property, Plant and Equipment	125  828	128  013	2	130  108	132  153	134  148		
211		Intangibles	572	532	-7	532	532	532		
1  824		Capital Works in Progress	2  248	2  048	-9	1  848	1  648	1  448		
128  268		Total Non Current Assets	128  668	130  613	2	132  508	134  353	136  148		
141  222		TOTAL ASSETS	141  338	142  703	1	144  138	145  651	147  245		
		Current Liabilities								
2  573		Payables	2  280	2  280	-	2  280	2  280	2  280		
5  197		Employee Benefits	5  823	6  373	9	6  865	7  357	7  845		
7  685		Other	6  287	6  287	-	6  287	6  287	6  287		
15  455		Total Current Liabilities	14  390	14  940	4	15  432	15  924	16  412		
		Non Current Liabilities								
6  920		Employee Benefits	7  182	7  414	3	7  454	7  493	7  532		
6  920		Total Non Current Liabilities	7  182	7  414	3	7  454	7  493	7  532		
22  375		TOTAL LIABILITIES	21  572	22  354	4	22  886	23  417	23  944		
118  847		NET ASSETS	119  766	120  349	..	121  252	122  234	123  301		
		REPRESENTED BY FUNDS EMPLOYED								
117  957		Accumulated Funds	118  876	119  459	..	120  362	121  344	122  411		
890		Reserves	890	890	-	890	890	890		
118  847		TOTAL FUNDS EMPLOYED	119  766	120  349	..	121  252	122  234	123  301		

Canberra Institute of Technology	
Cash Flow Statement	
  2004-05			  2004-05	   2005-06		  2006-07	  2007-08	  2008-09		
    Budget			Est.Outcome	   Budget	   Var	  Estimate	   Estimate	  Estimate		
    $'000			   $'000	   $'000	    %	   $'000	    $'000	   $'000		
		CASH FLOWS FROM OPERATING ACTIVITIES								
		Receipts								
71  950		User Charges	76  855	77  247	1	78  467	79  903	81  352		
319		Interest Received	355	292	-18	257	223	188		
6  631		Other Revenue	7  631	6  803	-11	6  971	7  147	7  325		
78  900		Operating Receipts	84  841	84  342	-1	85  695	87  273	88  865		
		Payments								
51  747		Related to Employees	57  204	57  106	..	57  716	58  443	59  156		
23  539		Related to Supplies and Services	23  755	22  702	-4	23  219	23  830	24  464		
4  223		Other	5  823	4  832	-17	4  938	5  050	5  164		
79  509		Operating Payments	86  782	84  640	-2	85  873	87  323	88  784		
-609		NET CASH INFLOW/(OUTFLOW) FROM OPERATING ACTIVITIES	-1  941	-298	85	-178	-50	81		
		CASH FLOWS FROM INVESTING ACTIVITIES								
		Receipts								
678		Proceeds from Sale/Maturities of Investments	2  678	628	-77	628	628	628		
218		Dividends	200	218	9	218	218	218		
896		Investing Receipts	2  878	846	-71	846	846	846		
		Payments								
5  670		Purchase of Property, Plant and Equipment	6  110	5  670	-7	5  670	5  670	5  670		
5  670		Investing Payments	6  110	5  670	-7	5  670	5  670	5  670		
-4  774		NET CASH INFLOW/(OUTFLOW) FROM INVESTING ACTIVITIES	-3  232	-4  824	-49	-4  824	-4  824	-4  824		
		CASH FLOWS FROM FINANCING ACTIVITIES								
		Receipts								
5  410		Capital Injection from Government	5  170	5  170	-	5  170	5  170	5  170		
5  410		Financing Receipts	5  170	5  170	-	5  170	5  170	5  170		
5  410		NET CASH INFLOW/(OUTFLOW) FROM FINANCING ACTIVITIES	5  170	5  170	-	5  170	5  170	5  170		
27		NET INCREASE/(DECREASE) IN CASH HELD	-3	48	#	168	296	427		
2  122		CASH AT BEGINNING OF REPORTING PERIOD	1  896	1  893	..	1  941	2  109	2  405		
2  149		CASH AT THE END OF THE REPORTING PERIOD	1  893	1  941	3	2  109	2  405	2  832		

Canberra Institute of Technology	
Statement of Changes in Equity	
    Budget			Est.Outcome	   Planned		   Planned	   Planned	   Planned		
as at 30/6/05			as at 30/6/05	as at 30/6/06	   Var	as at 30/6/07	as at 30/6/08	as at 30/6/09		
   $'000			   $'000	    $'000	    %	    $'000	    $'000	    $'000		
118  019		Opening Balance	118  440	119  766	1	120  349	121  252	122  234		
		Accumulated Funds								
-4  582		Operating Result for the Period	-3  844	-4  587	-19	-4  267	-4  188	-4  103		
		Reserves								
-4  582		Total Income And Expense For The Period	-3  844	-4  587	-19	-4  267	-4  188	-4  103		
		Transactions Involving Equity Holders Affecting Accumulated Funds								
5  410		Capital Injections	5  170	5  170	-	5  170	5  170	5  170		
118  847		Closing Balance	119  766	120  349	..	121  252	122  234	123  301		
Notes to the Budget Statements
Significant variation as are follows:
Operating Statement 
•	user charges – ACT Government:  
•	the increase of $4.949m in the 2004‑05 estimated outcome from original budget relates to supplementation for the full year effect of wage increases ($3.549m), additional revenue provided to the ACT under the User Choice program for increased numbers of apprentices and trainees ($2m), offset by reduced transactions with the subsidiary company, CIT Solutions Pty Ltd ($0.6m); and
•	the increase of $0.171m in the 2005‑06 Budget from the 2004‑05 estimated outcome primarily relates to supplementation of wage increases for teaching and general staff, offset by savings due to reduced charges from InTACT for IT services ($0.169m).
•	other revenue:  the increase of $1.061m in the 2004‑05 estimated outcome from the original budget, and the decrease of $0.979m in the 2005‑06 Budget from the 2004‑05 estimated outcome relates to CIT management of the National Communication and Leadership program (under the Australian Flexible Learning Framework agreement with DEST) during 2004‑05;
•	employee and superannuation expenses:  the increase of $5.478m in the 2004‑05 estimated outcome from the original budget is due to the wage increases awarded in 2004‑05 under the CIT new Certified Agreements and increased delivery of training under the ACT User Choice program;
•	supplies and services:  the decrease of $1.811m in the 2004‑05 estimated outcome from the original budget is mainly due to reduced costs for IT services.  The increase of $0.974m in the 2005‑06 Budget from the 2004‑05 estimated outcome is due to indexation, increased facilities based costs such as repairs and maintenance, and the expensing of capital funding on operating costs such as computer and equipment leases; and
•	other expenses:  the increase of $1.640m in the 2004-05 estimated outcome from the original budget is due to the CIT management of the National Communication and Leadership program.  The decrease of $1.121m in the 2005‑06 Budget from the 2004‑05 estimated outcome is due to an expected reduction in funding associated with the completion of the program.
Balance Sheet
•	current assets:  
•	the decrease of $0.284m in the 2004‑05 estimated outcome from the original budget relates to lower levels of cash and investments through the reduction of cash held in advance for training programs and national projects ($1.120m), higher levels of receivables through increased activities under the ACT User Choice Program ($1.134m), and lower levels of other current assets due to lower levels of prepayments relating to IT maintenance agreements ($0.298m); and
•	the decrease of $0.580m in the 2005‑06 Budget from the 2004‑05 estimated outcome is mainly due to lower levels of investments through the reduction of cash held in advance for training programs and national projects ($0.628m).
•	non-current assets:  
•	the increase of $0.4m in the 2004‑05 estimated outcome from the original budget is due to a higher level of capital works in progress expected at 30 June 2005; and
•	the increase of $1.945m in the 2005‑06 Budget from the 2004‑05 estimated outcome is due to the upgrade of infrastructure under the capital works program.
•	total liabilities:  
•	the decrease of $0.803m in the 2004‑05 estimated outcome from the original budget mainly relates to a reduced level of funding held in advance for training programs and national projects ($1.398m), and a lower level of creditors in relation to a reduction in InTACT charges ($0.293m), offset by higher employee benefits arising from wage increases ($0.888m); and
•	the increase of $0.782m in the 2005‑06 Budget from the 2004‑05 estimated outcome relates to a higher level of employee benefits associated with wage increases.