2017 Annu al Report
scu.edu.au
CRICOS Provider: 01241G
Letter of
Submission
1
Teaching
and Learning
8
Management
and Activities
2
Research
10
Student
Feedback and
Consumer
Response
17
Financial
Statements
26
Financial
Performance
25
Strategic Plan
2016 – 2020
4
Engagement
12
People
14
Governance
19
Appendices
117
Table of Contents
Southern Cross University Annual Report 2017 1
www.scu.edu.au
Lismore
PO Box 157, Lismore NSW 2480 Australia
T +61 2 6620 3000 F +61 2 6620 3700
CRICOS Provider 01241G
12 April 2018
The Hon Rob Stokes MP
Minister for Education
Parliament House
Sydney NSW 2000
Dear Minister
The Council of Southern Cross University submits the University’s Annual Report of
proceedings for the year ending 31 December 2017 for presentation to Parliament.
The Annual Report has been prepared in accordance with the Annual Reports
(Statutory Bodies) Act 1984 (NSW) and the Public Finance and Audit Act 1983
(NSW).
Yours sincerely
Mr Nick Burton Taylor AM
Chancellor Southern Cross University
Professor Adam Shoemaker
Vice Chancellor Southern Cross University
2 Southern Cross University Annual Report 2017
Management
and
Activities/
Major Works
The University reviewed
key elements of its
performance and
formulated a revised
strategy at its annual
Senior Staff Conference
in February 2017.
Reflecting upon the results
of a comprehensive
institutional review
undertaken by Phillips
KPA, the senior leadership
group agreed a set of
short, medium and longterm
actions geared
towards maximising
sustainable growth.
Key amongst these was the
reinvigoration of the University’s
undergraduate and postgraduate
courses, an increase in market
reach, and growth in student
employability. In April, the
University Council adopted seven
Key Performance Indicators to
measure performance and to
drive accountability for outcomes
out to 2020.
A transformative revisioning
and rebranding exercise was
undertaken to underpin the
University’s growth agenda.
The University logo was revised
to inspire students, staff and
community alike to connect
better with a new approach to
the world-class learning and
research being conducted in our
very own backyard – to influence
the front yard and the rest of
the world. This new approach
included the launch of a major
paper proposing a New Regional
Deal for Australia – making a
significant case for increased
support for regional communities
by improving funding and
opportunities for growth for the
regional university campuses that
support them.
The University played a key
role in supporting the recovery
and rebuilding from the worst
flooding in Lismore since 1974.
The University’s Function Centre
at the Lismore campus was
transformed into an Evacuation
Centre. Hundreds of floodedout
local residents utilised the
campus facilities with many
sleeping at the centre, and local
businesses were provided space
to operate within the University’s
state-of-the-art Enterprise Lab.
In response to this clear area
of community need, Southern
Cross introduced Australia’s
first-ever degree in Coastal
Systems Engineering – designed
to produce industry-capable
graduates for work in water
engineering, coastal engineering
and catchment management.
Southern Cross was recognised
among the top 500 universities
in the world in The Times Higher
Education University Rankings

1. This followed the University
   receiving three five-star ratings
   in the Good Universities Guide
   for the humanities, culture, social
   sciences, and psychology fields
   of study.
   The third phase of the University’s
   Gold Coast Campus expansion
   was completed with the opening
   of Building C and its adjoining
   560 seat lecture theatre. This
   major capital works program
   provided for an innovative
   new two-storey library and
   additional teaching and learning
   spaces. Planning commenced
   for construction of a $12 million
   clinical and allied health facility
   at the University’s Coffs Harbour
   Campus to greatly expand the
   breadth of health science
   degrees available in the Coffs
   Coast region.
   In addition, the University
   explored options to deliver
   student accommodation at its
   Gold Coast campus, given the
   strong demand for such a
   facility at that site.
   In partnership with the
   Department of Primary Industries,
   the University launched the
   Centre for Organics Research
   to support the productivity and
   sustainability of the organic food
   industry in Australia – through
   collaborative regional, national
   Southern Cross University Annual Report 2017 3
   Southern Cross was recognised among
   the top 500 universities in the world in
   The Times Higher Education University
   Rankings 2017.
   and international partnerships.
   This included research into the
   comprehensive reach of organic
   production including integrated
   production systems, sustainable
   resource management,
   economics and markets, and
   education and health. Professor
   Carlo Leifert – formerly of
   Newcastle University (UK) –
   was appointed as inaugural
   Centre Director.
   On 1 August 2017, the University
   responded decisively to the
   Australian Human Rights
   Commission’s National Report
   on Sexual Assault and Sexual
   Harassment at Australian
   Universities, by implementing
   a range of proactive measures
   designed to maximise student
   safety both on and off campus.
   The University resolved to fully
   implement Universities Australia’s
   10-point plan and work continued
   throughout 2017 to this end.
   The University’s Farm Cooperatives
   and Collaboration
   pilot program (known as Farming
   Together) continued to boost
   profitability and sustainability
   across Australian agriculture, with
   more than 20,000 producers and
   farmers involved. The Program
   contracted a pool of more
   than 200 specialist advisers,
   supported 530 producer groups,
   delivered 770 expert support
   services, enrolled 90 producers in
   cooperatives governance training
   and helped 117 new co-ops to
   register for operations.
   An inaugural University
   Council and Indigenous Elders
   meeting was held to consider
   the Reconciliation Action Plan
   (RAP) and to facilitate a broad
   discussion of the Elders vision
   for Southern Cross. The meeting
   informed the University Council’s
   subsequent approval of the RAP
   and underscored the alignment of
   management and the governing
   body in implementing the
   principles and actions it contained.
   The Aboriginal and Torres Strait
   Islander Education Strategy 2017-
   2020 was also endorsed.
   The University’s Gold Coast
   Campus enjoyed the strongest
   rates of student load growth, while
   joint-venture operations continued
   to perform strongly, with the Hotel
   School Sydney and Melbourne
   producing good earnings.
   Educational collaboration partners
   EduCo and Keypath (online)
   grew substantially. EduCO and
   Southern Cross expanded to a
   new campus site in Perth, with
   a particular focus on building
   market share for postgraduate
   programs from the Asian and
   Indo-Pacific regions.
   At its November 2017 meeting,
   the University Council adopted
   a historic, unanimous
   resolution in favour of
   Australian Marriage Equality.
   4 Southern Cross University Annual Report 2017
   Strategic
   Plan
   2016 –
   2020
   Values
   Collegiality
   We demonstrate collegiality
   through:
   Openness and Respect
   • Being open with each other
   and open in our thinking
   • Saying what we believe and
   doing it in a constructive
   and respectful manner
   • Engaging with diverse
   cultural and Indigenous
   perspectives in both global
   and local settings.
   Collaboration and Trust
   • Working as a team, drawing
   on combined strengths to
   meet our shared goals
   • Trusting our colleagues to
   challenge us in a positive
   manner, and supporting
   each other
   • Engaging with our local and
   global communities and
   partners for mutual benefit.
   Integrity
   We demonstrate integrity
   through:
   Honesty and Ethical
   Behaviour
   • Being truthful in all our
   dealings
   • Acting consistently with
   what is said and the
   principles held
   • Pursuing practices that
   develop the social,
   economic, cultural and
   environmental sustainability
   of our University, and local
   and global communities
   • Advancing human rights
   and our commitment to
   providing opportunities
   for students and staff in
   an inclusive, culturally
   safe environment.
   Drive and Accountability
   • Striving to ensure the
   University’s ongoing
   success
   • Having the drive and
   commitment to innovate
   based on rigorous analysis
   • Being accountable for our
   individual and collective
   actions and for the
   performance of those
   we lead.
   Vision
   Southern Cross University
   will be recognised for
   enriching our communities
   through the excellence
   of our scholarship and
   the achievements of
   our graduates.
   Mission
   We equip our students to
   live a life they value and to
   be effective global citizens.
   We do this by creating
   inspirational and engaged
   learning experiences. We
   create and apply knowledge
   in partnership with our
   communities in fields that
   are regionally relevant and
   globally significant.
   Southern Cross University Annual Report 2017 5
   6 Southern Cross University Annual Report 2017
   Strategic
   Plan
   2016 –
   2020
   Southern Cross University Annual Report 2017 7
   Goal two: We will
   strategically grow
   our research profile,
   building a sustainable
   culture of research
   excellence.
   Goal one: We will
   equip our students
   for diverse futures
   and global careers
   that enrich society.
   Goal three: We will
   pursue targeted
   growth to ensure a
   sustainable future.
   Goal five: We will
   transform our service
   delivery, building a
   culture among our
   professional and
   academic staff of
   providing the
   highest level of
   flexible support.
   Our Goals
   Goal four: We will
   create distinctive
   opportunities for
   engaged learning
   and research, as
   a hallmark of the
   Southern Cross
   experience.
   At a glance 2017
   Total Number of Students
   Total (Persons) 17,191
   Total (EFTSL) 10,231
   Students (persons) by location
   Lismore campus 2,705
   Gold Coast campus 4,115
   Coffs Harbour campus 1,216
   Other Australian locations 2,124
   Online 6,457
   Offshore 574
   International Students (Persons) 3,525
   Onshore 2,964
   Offshore 561
   Total Staff (FTE)* 839.7
   Academic Staff (FTE) 313.2
   Professional Staff (FTE) 526.5

• The total FTE figure does not include Sessional or Casual FTE
  Source: MIS Government Student Statistics Cube and MIS Government Staff Cube
  8 Southern Cross University Annual Report 2017
  Teaching
  and Learning
  The Foundations of University
  Teaching Practice program and
  integrated webinar presentations
  strengthened professional
  development in addition to
  the learning support provided
  by projects for embedding
  academic skills in curricula,
  increased awareness of academic
  integrity and additional academic
  support for the new Assessment
  Policy. Learning technologies
  transformed teaching and
  learning support through online
  study guides, eLearning unit
  design models and delivery of
  study support during and after
  business hours as well as through
  new mobile applications. With
  new University branding, a
  fresh suite of online referencing
  video resources and recorded
  workshop sessions provided
  the highest levels of flexible
  study support to engage our
  diverse students.
  Teaching Symposium
  The annual Scholarship of
  Teaching Symposium was held on
  11 October at Gold Coast campus.
  The theme, ‘Transformation and
  Change’, provided an opportunity
  for staff to share their scholarship
  of teaching and reflections on
  practice. The keynote presenter
  was Associate Professor Phillip
  Dawson presenting ‘Assessment:
  Myths, evidence and possibilities’.
  Staff contributed a further 27
  presentations, three roundtable
  discussions and six posters.
  The 91 delegates voted the Best
  Presentation award to Anne
  Bellert for ‘Fine-tuning feedback:
  A scaffolded approach’. The
  Steering Group awarded the Most
  Thought-Provoking Contribution
  to Peter Cook for ‘Presence in
  the online environment’ and
  Best Poster to Leanne Baker for
  ‘Embedding a careers mindset
  into the curriculum’.
  In 2017, the Centre for
  Teaching and Learning
  expanded support across
  campuses and academic
  schools through a
  distributed model of
  innovative strategies.
  Southern Cross University Annual Report 2017 9
  Learning technologies transformed
  teaching and learning support
  through online study guides,
  eLearning unit design models
  and delivery of study support.
  Visiting Scholars
  A key part of the teaching and
  learning strategy is to bring
  higher education researchers,
  thinkers and practitioners to
  Southern Cross University. In
  2017, a highlight was the visit
  by Associate Professor Phillip
  Dawson, Associate Director
  of the Centre for Research
  in Assessment and Digital
  Learning (CRADLE), Deakin
  University. In addition to
  presenting the keynote address
  at the Scholarship of Teaching
  Symposium, he led two
  workshops on assessment the
  following day.
  Australian Awards for
  University Teaching
  Citations for Outstanding
  Contributions to Student
  Learning
  Citations are awarded
  to individuals and teams
  demonstrating an outstanding
  contribution to student learning,
  student engagement, or the
  overall student experience.
  2017 Citations for
  Outstanding Contributions
  to Student Learning
  Brendan Kelaher and Anna
  Scott, School of Environment,
  Science and Engineering
  For creating a teaching-industry
  nexus that enriches student
  learning and provides the skills
  needed for a successful career
  in marine management.
  COMPASS Team: Andrew
  Woods, Michael Grande, Fiona
  Lotherington, Paula Steffensen
  and Theane Theophilos, School
  of Health and Human Sciences
  For the COMPASS program:
  Fostering Peer Assisted
  Learning communities in clinical
  laboratories which enhance
  student confidence, clinical skill
  acquisition, leadership skills and
  professional socialisation.
  Christos Markopoulos, School
  of Education
  For inspiring and empowering
  beginning teacher-education
  students in a large-enrolment,
  first-year mathematics discipline
  unit, through innovative
  teaching and being an
  enthusiastic and encouraging
  educator.
  2017 Citations for
  Excellence in Student
  Engagement
  Mandy Hughes, School of Arts
  and Social Sciences
  For creating a supportive space
  where online Social Science
  students can critically engage in
  sociological ideas as members
  of a compassionate and wellinformed
  learning community.
  Emma Kearney, School of Arts
  and Social Sciences
  For engaging first year students
  with their transition to university
  through a supportive classroom
  environment that promotes
  student wellbeing and a passion
  for learning.
  Nick Mattingly, School of Arts
  and Social Sciences
  For cultivating empathy in
  students by engendering
  critical self-reflection in the
  arts and humanities.
  Kayleen Wood, School of
  Business and Tourism
  For engaging first year students
  with their transition to university
  through a supportive classroom
  environment that promotes
  student wellbeing and a passion
  for learning.
  Teacher Commendations
  In 2017 staff and students
  were invited to submit teacher
  commendations of 50-200
  words for teachers they
  considered outstanding.
  These complimentary
  comments were forwarded to
  the individual or team as well
  as their School. In total, 304
  commendations were received
  for 171 unique individuals and
  22 groups of staff.
  Dr Rob Garbutt, School of Arts
  and Social Sciences
  For enabling students in the
  arts and social sciences to
  successfully make the transition
  into university culture as
  beginning students and as
  beginning researchers.
  Vice Chancellor’s Awards for Teaching
  10 Southern Cross University Annual Report 2017
  These foundations, and a
  commitment to investment in
  key infrastructure, have led to the
  development of demonstrated
  research excellence. In the
  2015 Excellence in Research for
  Australia (ERA) national report
  our research quality was rated
  at world standard and above
  in 24 key areas, up from 10 in
  ERA 2012. These areas include
  geochemistry, oceanography,
  environmental science and
  management, zoology, crop
  and pasture production, forestry
  sciences, ecology, fisheries
  sciences, civil engineering,
  resources engineering
  and extractive metallurgy,
  complementary and alternative
  medicine, nursing, human
  movement and sports science,
  tourism, education and policy
  and administration.
  As a relatively young institution
  we have managed to build a
  portfolio of quality research
  outputs, and this have facilitated
  a growth in our research income.
  Simultaneously, we have fostered
  stakeholder linkages which
  has also resulted in engaged
  programs that deliver practical
  outcomes. Our researchers
  are key to this excellence,
  and we remain committed
  to their development by
  offering a suite of professional
  development opportunities with
  the establishment of a Mid-
  Career Researcher Development
  Program. These programs are
  aimed to target each career
  stage ensuring we invest in the
  development of new research
  leaders and researchers who
  are capable of developing and
  managing large collaborative
  projects which deliver solutions
  for real world problems.
  Opportunities to extend our
  research training programs
  continues to be central to
  building a sustainable research
  environment, and underpinning
  the capacity of the University as
  a whole.
  It has been a combination
  of leadership, capacity and
  commitment, which has allowed
  Southern Cross University to
  develop a strong foundation
  for research excellence.
  This combination has ensured
  that we have been able to secure
  income through competitive
  funding schemes and other
  sources by which we can
  support the human and physical
  infrastructure necessary to
  produce research outcomes.
  During 2017 our Centre for
  Organics Research, a joint
  initiative with NSW Department
  of Primary Industries, was
  established as a multidisciplinary
  entity and is now laying
  down a research direction in
  collaboration with the growing
  network of industry members.
  Alongside this, we continue to
  drive growth and collaboration
  through our existing research
  strengths in our academic
  schools and the following
  research centres:
  • Centre for Children and
  Young People
  • Southern Cross GeoScience
  • Centre for Coastal
  Biogeochemistry Research
  • Forest Research Centre
  • Marine Ecology Research
  Centre
  • National Marine Science Centre
  • Southern Cross GeoScience
  • Southern Cross Plant Science
  Research
  As an institution
  Southern Cross
  University embraces
  opportunities to
  be a world leader
  in research. As our
  national framework
  continues to shift we
  have responded by
  laying a foundation
  for a new strategic
  direction which will
  underpin the growth
  of our overall research
  excellence and impact.
  The move nationally to
  formally encourage and
  measure engagement
  and impact comes at
  a critical time in our
  history, and reflects that
  our research has grown
  alongside the interests
  of the stakeholders
  in the regional
  footprints of our three
  main campuses.
  Southern Cross University Annual Report 2017 11
  12 Southern Cross University Annual Report 2017
  Engagement
  Our Alumni Community
  Each year we welcome more
  members into our Alumni
  community, a community
  now greater than 60,000
  in number. As our Alumni
  community includes graduates
  of our predecessor institutions,
  maintaining up to date contact
  details is a constant focus. The
  number of contactable alumni has
  increased from 43% in 2016 to
  61% in 2017. This makes the total
  number of contactable alumni

1. This is an increase of both
   new alumni members and lost
   alumni members.
   Our flagship annual gala event,
   the Alumni of the Year Awards. A
   record number of 58 nominations
   were received from all academic
   schools and colleges. The Awards
   celebrated the outstanding
   achievements from across our
   Alumni community with 150
   alumni, family and friends in
   attendance in the Enterprise Lab
   at the Lismore campus.
   Student Scholarships
   Since its first inception in 1994,
   the Rising Stars Scholarship
   Program has consistently
   provided hundreds of students
   with access to higher education.
   Students who may not have
   had the means to follow their
   educational dreams, were given
   the opportunity to do so through
   the financial support of our
   generous donors.
   We celebrated our generous
   scholarship donors and the
   achievements of the student
   recipients at scholarship
   ceremonies at our Lismore,
   Coffs Harbour and Gold Coast
   campuses. The total number of
   scholarships remained constant
   at 37 supporting a total of 63
   recipients.
   Workplace Giving
   Creating a culture of giving
   across the entire Southern Cross
   family was identified as a strategic
   priority by University Council.
   This emphasis reflects the deep
   commitment staff and students
   demonstrate to being actively
   engaged in issues experienced by
   the communities in which we live
   and work.
   A Giving University program was
   piloted with staff in the lead up
   to Christmas and this program
   raised almost $10,000 as the
   first investment in the newly
   created Student Opportunities
   Fund. Staff from our finance and
   human resources teams reached
   the significant milestone of
   $100,000 in personal donations
   to the Westpac Rescue Helicopter
   Service.
   Sponsorships
   The University is proud to
   support our local communities
   through sponsorship of events
   and activities that are mutually
   beneficial to our region and the
   University. Our giving in the form
   of sponsorships spans in-kind
   use of the University’s assets
   through to the provision of cash
   sponsorship to a select number
   of organisations across the
   University’s campus footprint.
   Major sponsorships include the
   Byron Writers Festival and Gold
   Coast Marathon.
   Sponsorship of local not-for-profit
   organisations gives much needed
   support back to our community
   through business awards;
   The engagement
   portfolio continued
   to bring to life the
   University’s vision to
   ‘enrich our communities
   through the excellence
   of our scholarship and
   the achievements of
   our graduates’. The
   establishment of a new
   executive portfolio
   under the leadership of
   the Pro Vice Chancellor
   (Engagement) reflected
   the strategic importance
   placed on partnering
   with communities
   for mutual benefit and
   public impact.
   Southern Cross University Annual Report 2017 13
   providing opportunities for unwell
   and disadvantaged children and
   young people; prizes for high
   school students; and fostering of
   healthier communities in sporting
   activities such as Indigenous
   rugby league and masters games.
   Live Ideas
   Developed in 2015 to increase
   connectivity between the needs
   of our communities and our
   teaching and research strengths,
   the Live Ideas program has
   continued to grow. There has
   been an overwhelming response
   to the program from industry and
   community, with 116 projects and
   155 applications from staff and
   students to join these projects
   in 2017. Live Ideas (projects) were
   submitted by partners located
   in the Northern Rivers
   of NSW (44 per cent), South East
   Queensland (15 per cent), the
   Mid North Coast of NSW (13 per
   cent), others across Australia and
   even international participants.
   Projects have been completed
   by students ranging from whole
   class graphic design briefs to
   more in-depth research projects
   at the postgraduate level.
   Excellence In
   Engagement Awards
   In 2017, the seventh annual
   Southern Cross Excellence
   in Engagement Awards were
   celebrated in October. The
   awards acknowledge the
   contribution of University staff
   and community partners who
   have enriched our communities
   during the previous 12 months
   through engaged teaching
   and research. Award recipients
   epitomise the mission and
   values of Southern Cross and
   demonstrate exemplary active
   citizenship through vision,
   leadership and excellence in
   scholarship and service. Awards
   were conveyed in the categories
   of Community Impact, Engaged
   Learning and Engaged Research.
   Southern Cross
   Enterprise Lab
   In July, the Honourable Gladys
   Berejiklian MP and Premier of
   NSW launched the Southern
   Cross Enterprise Lab as a flagship
   facility for the Northern Rivers
   focused on cultivating future
   entrepreneurs. The Enterprise
   Lab is located in the top floor of
   A Block, the site of the former
   library on the Lismore campus.
   The NSW Government’s Boosting
   Business program funded the
   refurbishment and associated
   business engagement programs.
   It forms part of the NSW
   innovation ecosystem as a 12-
   node network comprising all NSW
   universities and the CSIRO.
   Flagship National Pilot
   Program – Farming Together
   As a flagship industry
   engagement initiative, the
   national Farm Co-operatives
   and Collaboration Pilot Program
   (known as ‘Farming Together’)
   reached in excess of 19,000
   primary producers, eclipsing
   the target of 2,000 by end of
   program. Within its first 12 months
   of operation, from a $9.21m
   Commonwealth investment, the
   program generated $20.45m of
   value-add to production, $14.3m
   in household income and 131 fulltime
   equivalent jobs.
   This game-changing program
   provides farmers, fishers and
   foresters with access to more
   than 200 specialist advisers to
   enhance knowledge, skills and
   practical aspects of strengthening
   their farm businesses. The
   program is lifting awareness into
   how cooperatives, collective
   strategies and supply chain
   negotiations improve farmers’
   returns. It offers advice on
   suitable business models
   and collaboration options for
   marketing, and offers specialist
   business, legal and financial
   advice. It helps primary producers
   improve returns by capitalising on
   opportunities, strengthening their
   financial position, becoming more
   attractive to investors, improving
   their bargaining power and
   operating beyond the farm gate.
   Farming Together’s legacy
   projects include a 100 per cent
   farmer-owned mutual for crop risk
   products and a national online
   auction system for fishing co-ops.
   Creating a culture of giving across the entire Southern Cross family
   was identified as a strategic priority by University Council.
   14 Southern Cross University Annual Report 2017
   Organisational Initiatives
   A staff engagement survey was
   undertaken in 2017 capturing the
   views, perceptions and feedback
   on workplace issues from over
   700 employees. This was the first
   engagement survey offered since
   2010 and the feedback will be
   used to develop and implement
   initiatives and activities to
   improve the culture and morale
   of staff.
   The Southern Cross University
   Emeritus Faculty was launched
   this year with the aim of
   providing an opportunity for our
   academic community to continue
   associating with the scholarly,
   creative, and cultural life of the
   University upon retirement.
   There have been 14 applications
   approved and the convening
   of the Emeritus Faculty and its
   activities is being coordinated
   by the Deputy Vice Chancellor
   (Research).
   A comprehensive review of the
   annual employee performance
   review and planning process
   was undertaken by HR Services.
   Based on feedback from staff
   through focus groups, a new
   process, documentation and
   policy amendments were
   implemented. “Performance
   Review and Planning” now
   focuses more strongly on the
   direct conversations about
   performance, achieving goals
   and career planning. The priority
   of building the capability and
   confidence of staff to engage
   positively in this important
   process is also continuing.
   Staff Development
   and Performance
   The University continued to
   develop the capabilities of
   staff through Professional
   Learning programs, Study
   Assistance and the Special
   Studies Leave program.
   Three senior positions were
   recruited during 2017 – the Pro
   Vice Chancellor (Students) and
   Dean of Education; Director of
   Property Services; and Dean
   of Business and Head of Gold
   Coast Campus.
   The full breakdown of current
   Southern Cross University staff
   is included at Appendix A. The
   number of senior executives is
   included at Appendix B.
   Workplace Health and Safety
   The health and wellbeing
   of employees, students and
   visitors continued as a strong
   priority for the University. There
   was a consistent uptake of the
   University’s wellbeing initiatives
   and support with over 750
   employees taking advantage of
   free flu vaccinations, counselling
   services, wellbeing coaching
   and subsidised gym and pool
   memberships and natural
   therapy consultations. The new
   Employee Assistance Program
   was introduced and achieved an
   increase on forecasted utilisation
   rate by over 30 per cent.
   Fifteen workers’ compensation
   claims were received during 2017.
   A proactive approach by the
   University in injury management
   resulted in only four of the 15
   claims resulting in time off work.
   Support provided to injured
   workers by the University’s return
   to work coordinator and external
   rehabilitation providers has
   enabled a faster return to work
   and pre-injury duties.
   Both scheduled and on-request
   inspections were undertaken
   of a number of work areas
   throughout the University,
   with particular focus on
   high-risk areas. Results and
   recommendations were reported
   and further support provided
   in areas of need identified.
   The work, health and safety
   training programs attracted
   over 150 attendees in 2017.
   Programs included Mental Health
   Awareness, First Aid, Dangerous
   Goods, Emergency Warden,
   Spill Response, Manual Handling,
   Radiation of Sealed Sources,
   Safety Culture, Laboratory Safety
   and Safety Support Officer.
   Workforce Diversity
   The Southern Cross University
   Equity and Diversity Plan 2016-
   2020 plays a significant role
   in leading the University’s
   commitment to address issues
   of student and staff equity,
   social inclusion and diversity.
   Key achievements in 2017
   included:
   • Participated in the Science in
   Australia Gender Equity (SAGE)
   pilot of the Athena SWAN
   Charter Australia.
   • Continued to deliver the
   Understanding Gender and
   Sexuality Diversity professional
   development workshops for all
   staff.
   • Continued to deliver the
   Courageous Conversations
   about Race program across the
   People
   Southern Cross University Annual Report 2017 15
   University with workshops
   for supervisors, managers
   and all staff.
   • Continued to deliver equal
   opportunity and antidiscrimination
   training as
   a compulsory part of new
   staff induction.
   • Promoted and affirmed staff
   and student awareness of
   equal opportunity and cultural
   diversity through cultural
   celebrations, workshops,
   promotional materials and
   events.
   • Continued to implement key
   strategies from the University’s
   Disability Action Plan 2014-2017.
   • Commenced implementation
   of the University’s Aboriginal
   and Torres Strait Islander
   Employment Strategy 2016-
   2020.
   Key strategies for 2018
   • Undertake a refresh of the
   University’s Equity and Diversity
   Plan 2016-2020.
   • Implement an Ally Program.
   • Develop a new Disability
   Action Plan.
   The trends in the representation
   of employees in diversity groups
   is included at Appendix C.
   Disability Inclusion
   Action Plan
   In line with the University’s
   Disability Action Plan 2014-
   2017, the Student Access and
   Inclusion team provides staff
   with disability awareness training
   on an annual basis, focusing on
   developing a deep understanding
   of the intersectional nature of the
   disability experience.
   The Disability Action Plan will be
   updated during 2018 with input
   from the disability community,
   including those from culturally
   diverse backgrounds.
   Multicultural Plan
   Focus Areas Outcomes
2. Service delivery
   The proportion of domestic
   students speaking a language
   other than English in the home
   grew to 3.9 per cent, up from
   3.2 per cent in 2015. Students are
   required to meet a level of English
   language proficiency. A range of
   support services were available
   for all students, including
   counselling, medical services,
   childcare services, support for
   students with disability, loans,
   career advice and pastoral care
   and support.
   The UniMentor peer mentoring
   program was offered to all first
   year undergraduate students
   studying on campus or online.
   Eight percent of mentees
   were from culturally diverse
   backgrounds and 17 percent
   were Aboriginal and Torres Strait
   Islander students.
   Settlement Services
   In 2017 the University, together
   with TAFE NSW and Anglicare
   collaborated to offer the “3Es to
   Freedom (Education, Employment
   and Empowerment)” – a program
   for women from a refugee
   background in the Coffs Harbour
   region.
   Fifteen students graduated
   from the Graduate Certificate
   of Australian Nursing (EPIQ
   – Education Program for
   Internationally Qualified Nurses),
   designed for internationally
   qualified registered nurses who
   wish to practise as a registered
   nurse in Australia.
   For Refugee Week, the University
   through the Equity and Diversity
   office, collaborated with the
   African refugee community and
   Saint Vincent de Paul Society’s
   North Coast Settlement Service
   to create the “I’m A Local…”
   poster project. The project
   provided opportunities to better
   understand the lived experience
   of people who come to Australia
   as refugees, with displays
   featured in more than 40 local
   businesses, organisations and
   schools. The project won the
   University’s 2017 Excellence in
   Engagement: Community Impact
   award. It has subsequently
   been embedded in a School of
   Arts and Social Sciences unit,
   “Borderlands”, along with the
   development of other resources.
   Languages Services
   The Academic Culture, Critical
   Thinking and English Study
   Skills program (ACCESS)
   continued during 2017 for
   Australian permanent residents
   from refugee and non-English
   speaking backgrounds. This
   pathway program offered the
   opportunity to undertake a
   specialised preparatory course
   and potentially qualify for entry to
   an award course at the University.
3. Equity and Diversity
   The University’s Equity and
   Diversity Plan 2016-2020 includes
   strategies on supporting and
   promoting an inclusive culture for
   students and staff, and embracing
   a knowledge of, and respect for,
   equity and diversity.
   The health and wellbeing of employees, students and visitors
   continued as a strong priority for the University.
   16 Southern Cross University Annual Report 2017
   The plan will be updated in
   2018 and will continue to reflect
   the values articulated in the
   University’s Strategic Plan 2016-
   2020 including:
   • Engaging with diverse cultural
   and Indigenous perspectives in
   both global and local settings.
   • Engaging with our local and
   global communities and
   partners for mutual benefit.
   • Advancing human rights and
   our commitment to providing
   opportunities for students and
   staff in an inclusive, culturally
   safe environment.
4. Leadership
   The Equity and Diversity
   Committee was responsible
   for ensuring comprehensive
   integration of equity and cultural
   diversity matters across the
   University in 2017. The Committee
   was chaired by the Pro Vice
   Chancellor (Students), with
   diverse membership.
   The University’s Inclusive
   Language Guidelines (which
   include language relating to
   culture, race and ethnicity) were
   reviewed and updated.
   The Courageous Conversations
   About Race anti-racism and
   cultural competency staff
   training program was held three
   times, with 33 participants. It
   specifically addresses a model of
   cultural competence training for
   the Australian higher education
   context. Equal Opportunity
   training (EO Online) was a
   compulsory part of induction for
   all new employees, with 197 staff
   completing the main module
   during 2017.
5. Engagement
   During 2017, the annual Diversity
   Calendar was actively promoted
   across the University community.
   The University’s annual Fusion
   Festival was held in September.
   Themed Unity In Diversity: The
   Coming Together of Cultures
   and Communities, the festival
   provided opportunities to
   celebrate cultural diversity.
   Students from culturally diverse
   backgrounds were employed by
   the University to help coordinate
   festival events and activities.
   Strategies for 2018 include:
   • Refreshing the Equity and
   Diversity Plan 2016 -2020.
   • Offering student peer
   mentoring to support students
   from non-English speaking
   backgrounds in their transition
   to University.
   • Encouraging all staff to access
   relevant training including
   equal opportunity training (EO
   Online) and anti-racism training
   (Courageous Conversations
   About Race).
   • Promoting a University
   culture (including online) that
   is free from discrimination
   and supportive of diversity,
   to attract and retain staff
   and students from culturally
   and linguistically diverse
   backgrounds.
   • Delivering cultural festivals and
   diversity symposia to students,
   staff and the wider community
   to promote diversity and
   harmony, in partnership with
   people from culturally diverse
   backgrounds.
   • Providing alternative entry
   pathways to encourage
   participation of students from
   culturally and linguistically
   diverse backgrounds.
   People
   Southern Cross University Annual Report 2017 17
   Student
   Feedback
   and
   Consumer
   Response
   Complaints Framework
   The University’s Complaints
   Framework recognises that many
   complaints can be resolved
   informally with a relevant
   member of staff. When this is not
   possible, students or members
   of the public can lodge a formal
   complaint with the Complaints
   Assistance Officer under the
   Complaints Policy – Students
   and Members of the Public.
   An important function of the
   Complaints Assistance Officer is
   to provide advice and assistance
   to students about their options.
   During 2017, a total of 116
   complaints were received by the
   Complaints Assistance Officer.
   Fifty-nine complaints were
   resolved informally and 57 were
   formalised and actioned pursuant
   to the Complaints Policy. Of the
   formalised complaints:
   (a) twenty complaints were
   resolved to the student’s
   satisfaction and included
   recommendations made for
   changes and improvements to
   University procedures;
   (b) two were not upheld and
   advice and information was
   provided to the complainant as
   to the reasons for the decision;
   (c) eight complaints were
   referred to be dealt with
   under other policies;
   (d) one complaint was withdrawn;
   and
   (e) twenty-six complaints have
   been referred for investigation
   and are yet to be finalised.
   The majority of these
   complaints relate to one
   issue and are being dealt
   with collectively.
   Academic Appeals
   The Academic Board
   Appeals Committee
   is a Committee of the
   University’s Academic Board
   that assists in assuring
   quality and integrity in
   academic outcomes for
   students by considering
   potential irregularities in
   academic assessment and
   progression processes.
   Academic Appeal
   Committee Determinations
   Appeals 2017
   Considered 18
   Successful 1
   18 Southern Cross University Annual Report 2017
   Southern Cross University Annual Report 2017 19
   The University’s principal
   functions for the promotion
   of its object are:
   (a) the provision of facilities for
   education and research of
   university standard, having
   particular regard to the needs
   of the North Coast region of
   the state;
   (b) the encouragement of the
   dissemination, advancement,
   development and application
   of knowledge informed by
   free inquiry;
   (c) the provision of courses of
   study or instruction across
   a range of fields, and the
   carrying out of research,
   to meet the needs of the
   community;
   (d) the participation in public
   discourse;
   (e) the conferring of degrees,
   including those of Bachelor,
   Master and Doctor, and
   the awarding of diplomas,
   certificates and other awards;
   (f) the provision of teaching and
   learning that engages with
   advanced knowledge and
   inquiry; and
   (g) the development of
   governance, procedural
   rules, admission policies,
   financial arrangements and
   quality assurance processes
   that are underpinned by the
   values and goals referred
   to in the functions set out
   in this subsection, and that
   are sufficient to ensure the
   integrity of the University’s
   academic programs.
   The University is governed by a
   Council to which the University’s
   Chief Executive Officer, the Vice
   Chancellor, reports. The Council
   is chaired by the Chancellor and
   has 13 members: the Chancellor,
   the Vice Chancellor, the Chair
   of the Academic Board, two
   members appointed by the
   Minister, four members appointed
   by Council, three elected staff
   members and one elected
   student member.
   The Academic Board is the
   principal academic body
   responsible for establishing and
   maintaining the highest standards
   in teaching and learning and
   research in the University.
   It is also the primary advisory
   committee of the Council on
   academic matters.
   Governance
   CHARTER
   Southern Cross
   University was
   established under
   the Southern Cross
   University Act 1993
   (NSW). Under s. 6 of
   the Act the object of
   the University is the
   promotion, within the
   limits of the University’s
   resources, of scholarship,
   research, free inquiry, the
   interaction of research
   and teaching, and
   academic excellence.
   20 Southern Cross University Annual Report 2017
   ORGANISATIONAL STRUCTURE
   As at 31 December 2017
   University Council
   Vice Chancellor and President
   Head of Coffs Harbour Campus Governance Services
   HR Services Marketing, Publications and Media
   Deputy Vice Chancellor (Academic)
   Centre for Teaching and Learning Planning, Quality and Review
   SCU College School of Arts and Social Sciences
   School of Environment, Science and Engineering Gnibi College of Indigenous Australian Peoples
   School of Health and Human Sciences School of Law and Justice
   School of Business and Tourism
   Vice President (Global)
   SCU International Enterprise
   Deputy Vice Chancellor (Research)
   Office of Research Graduate School
   Southern Cross Plant Science Environmental Analysis Laboratory
   Southern Cross Geoscience Centre for Organics Research
   Vice President (Operations)
   Technology Services Property Services
   University Library Student Administration Services
   Vice President (Financial)
   Financial Operations Management Accounting
   Pro Vice Chancellor (Engagement)
   Alumni and Giving Campus Services
   Strategic Projects Engagement and Partnerships
   Pro Vice Chancellor (Students) and Dean of Education
   School of Education Student Success
   Employability Equity and Diversity
   Governance
   Southern Cross University Annual Report 2017 21
   UNIVERSITY COUNCIL MEMBERS FOR
   THE PERIOD 1 JANUARY 2017 TO 31
   DECEMBER 2017
   Chancellor and Chair of Council
   Mr Nicholas Burton Taylor AM, BEc(Syd), FCA,
   FCPA, FFin, FAICD
   Current term expires 25 September 2018
   Deputy Chancellor from 7 July 2017
   Mr Murray d’Almeida FAICD
   Ministerially appointed member
   Current term expires 31 December 2017
   Vice Chancellor
   Professor Adam Shoemaker BA (Hons)
   (Queen’s Canada), PhD (ANU)
   Current term expires 23 September 2021
   Chair of Academic Board
   Prof Mark Hughes BSW(Hons)(JCU), PhD(UQ)
   Current term expires 31 December 2020
   Dr Austin Curtin MB MD BS(Syd), FRACS
   Council appointed member
   Current term expires 11 September 2018
   Professor William Boyd BSc(Hons)(StAnd),
   MEdLead(HigherEd)(MACQU), DSc(StAnd),
   PhD(Glas)
   Elected member – academic staff
   Current term expires 9 September 2018
   Ms Julie Granger BA/LLB(Hons)(SCU),
   LLM(UNSW)
   Council appointed member
   Current term expires 9 November 2018
   Ms Toni Ledgerwood ADipAppSc(LibTech)(ECU)
   Elected member – non-academic staff
   Current term expires 9 September 2018
   Ms Lynda O’Grady BCom(Hons)(UQ), FAICD
   Council appointed member
   Current term expires 16 February 2021
   Associate Professor Adele Wessell BA(Hons)
   (UNSW), PhD(UNSW), GradCertHEd(L&T)(SCU)
   Elected member – academic staff
   Current term expires 9 September 2018
   Mr Michael Jones DipCommServ(Mental/Hlth)
   NSW TAFE
   Elected Student representative member –
   student
   From 10 September 2016. Current term expires
   9 September 2018
   Council Secretary
   Ms Belinda Atkinson BComm(UQ), LLB(UQ)
   From 21 August 2017
   Mr Nicholas Hyde BEcSocSc(Hons)(Syd)
   To 20 August 2017
   The following members’ appointments
   concluded during 2017
   Mr Neale Genge BBus (SCU) MPA (SCU)
   Council appointed member (Graduate)
   Resigned 28 February 2017
   Mr Christian Lugnan BBus(SCU), CPA, MAICD
   Council appointed member (Graduate)
   From 4 September 2017
   Resigned 8 November 2017
   Mr Anthony Matis BBus (SCU), FCPA
   Council appointed member (Graduate)
   Resigned 13 June 2017
   Chair of Academic Board
   Professor Susan Nancarrow BAppSc(Pod)
   (QUT), MAppSc(QUT), PhD(ANU), GAICD
   To 21 August 2017
   Deputy Chancellor to 7 July 2017
   Mr John Shanahan MCom(Hons)(NSW), FCA,
   MAICD, SF Fin
   Council appointed member
   Term expired 3 September 2017
   Ms Margot Sweeny MEc(NE), BBus(NRCAE)
   CPA, SA Fin, FAMI, MACS CT, JP
   Council appointed member
   Term expired 17 February 2017
   Frequency of meetings and members’
   attendance is included at Appendix D.
   EXECUTIVE OFFICERS
   Vice Chancellor
   Professor Adam Shoemaker BA (Hons) (Queen’s
   Canada), PhD (ANU)
   Deputy Vice Chancellor (Research)
   Professor Geraldine Mackenzie LLB(QIT),
   LLM(QUT), PhD(UNSW), Barrister-at-law,
   FAIM, FQA
   To 1 September 2017
   Professor Susan Nancarrow BAppSc(Pod)
   (QUT), MAppSc(QUT), PhD(ANU), GAICD
   From 4 September 2017
   Management and Structure
   22 Southern Cross University Annual Report 2017
   Deputy Vice Chancellor (Academic)
   Professor Andrew McAuley BA(Hons) PhD
   (Nottm) MAM MCIM
   To 31 December 2017
   Professor John Jenkins GAICE, BA(Hons)(NE),
   PhD(UNE)
   From 10 July 2017
   Executive Director, Community and Corporate
   Relations
   Ms Helen Hughes BA(Qld)
   To 3 July 2017
   Pro Vice Chancellor (International and
   Enterprise)/Vice President (Global)*
   Mr Chris Patton BA(UBC), MA(Guelph)
   To 25 August 2017
   Mr Monty Singh BSci(OS), GradDip(CompScI)
   (UC), MIT(Macq),
   From 28 August 2017
   Executive Director, Information and Physical
   Resources/Vice President (Operations)*
   Mr Allan Morris GradDipInfoTech(Monash)
   Executive Director, Financial and Human
   Resources/Vice President (Finance)*
   Travis Walker B Bus (Accounting)(RMIT),
   MBA(LaT)
   Pro Vice Chancellor (Engagement)*
   Mr Ben Roche BSc(Hons)(UNSW), Med(UTS)
   From 1 June 2017
   Pro Vice Chancellor (Students) and Dean of
   Education
   Prof Nan Bahr DipEd(Adelaide), BA(Flinders),
   BEd, BMus(Adelaide), MEd(UQ), PhD(UQ)
   From 25 September 2017
   *New Executive structure implemented 1 June 2017.
   Legal Change
   During 2017, changes were
   made to Acts and subordinate
   legislation and judicial decisions
   which affected the University or
   users of the University’s services
   as follows:
   Education Legislation Amendment
   (Provider Integrity and Other
   Measures) Act 2017 (Cth)
   This Act amended the following
   legislation:
   • Education Services for Overseas
   Students Act 2000 (Cth) –
   amended to strengthen fit and
   proper person and financial
   viability requirements, and
   extend reporting requirements
   and information sharing
   provisions.
   • Tertiary Education Quality and
   Standards Agency Act 2011
   (Cth) – amended to introduce
   additional considerations
   into the assurance activities
   of the Tertiary Education
   Quality and Standards Agency,
   including fit and proper person
   requirements and strengthened
   financial viability requirements.
   • Higher Education Support Act
   2003 (Cth) – amended to detail
   monitoring and regulatory
   powers including civil penalties
   in cases of non‑compliance,
   and apply additional
   regulations to non-university
   higher education providers.
   National Code of Practice for
   Providers of Education and
   Training to Overseas Students
   2018 (National Code 2018)
   The National Code of Practice
   for Providers of Education and
   Training to Overseas Students
   made under the Education
   Services for Overseas Students
   Act 2000 (Cth) sets nationally
   consistent standards that govern
   the protection of international
   students and delivery of courses
   to those students by providers
   registered on the Commonwealth
   Register of Institutions and
   Courses for Overseas Students
   (CRICOS).
   The National Code 2018 was
   released in September 2017 with a
   commencement date of 1 January
6. The National Code 2018
   replaced the National Code of
   Practice for Providers of Education
   and Training to Overseas Students
   2017 with the key changes
   including:
   • requiring more detail on a
   student’s course and refund
   arrangements in the written
   agreement between students
   and providers;
   • strengthening arrangements
   for the care and welfare of
   students under the age of 18;
   • greater guidance for providers
   on the circumstances in which
   student transfer requests
   should be granted; and
   • strengthening the provisions to
   monitoring overseas students’
   course attendance and
   progress.
   Fair Work Amendment (Protecting
   Vulnerable Workers) Act 2017 (Cth)
   This Act made the following
   changes to the Fair Work Act
   2009 (Cth):
   • increased penalties for ‘serious
   contraventions’ of workplace
   laws;
   • clarified that employers
   can’t ask for ‘cashback’ from
   employees or prospective
   employees;
   • increased penalties for
   breaches of record-keeping
   and pay slip obligations;
   Southern Cross University Annual Report 2017 23
   • employers who don’t meet
   record-keeping or pay
   slip obligations without a
   reasonable excuse will need
   to disprove wage claims made
   in a court;
   • strengthen powers for the Fair
   Work Ombudsman to collect
   evidence in investigations; and
   • new penalties for giving false
   or misleading information to
   the Fair Work Ombudsman, or
   hindering or obstructing its
   investigations.
   Independent Commission against
   Corruption Amendment Act
   2016 (NSW)
   This Act was passed in November
   2016 and came into effect on
   7 August 2017. It amended the
   Independent Commission against
   Corruption Act 1988 (NSW)
   with respect to the structure,
   management and procedure of
   the Independent Commission
   Against Corruption.
   Universities Legislation
   Amendment (Planning
   Agreements) Act 2017 (NSW)
   The Act amended the Southern
   Cross University Act 1993 (NSW) to
   permit the University to enter into
   voluntary planning agreements
   under the Environmental Planning
   and Assessment Act 1979 without
   the approval of the Minister other
   than where it relates to land
   acquired by the University for
   nominal or less than marked value
   to be dedicated free of cost.
   Statute Law (Miscellaneous
   Provisions) Act 2017 (NSW)
   This Act amended the Southern
   Cross University Act 1993 (NSW)
   to more clearly delineate the
   ambit of provisions that confer
   powers on the Council with
   respect to the control and
   management of the financial
   affairs of the University and the
   acquisition and management
   of property.
   Work Health and Safety and
   Other Legislation Amendment
   Act 2017 (Qld)
   The Work Health and Safety
   Act 2011 (Qld) (“the WHS Act”)
   applies to the University’s Gold
   Coast campus. The Work Health
   and Safety and Other Legislation
   Amendment Act 2017 (Qld) made
   a number of changes to the
   WHS Act and related legislation
   including:
   • creating an industrial
   manslaughter offence;
   • establishing an independent
   statutory office for work health
   and safety (WHS) prosecutions;
   • prohibiting enforceable
   undertakings being accepted
   for any contraventions of the
   WHS Act involving a fatality;
   • reintroducing the role of
   Workplace Health and Safety
   Officers;
   • restoring the status of Codes
   of Practice; and
   • Increasing support for Health
   and Safety Representatives.
   Higher Education Standards
   Framework (Threshold
   Standards) 2015
   These Standards, made under
   the Tertiary Education Quality
   Standards Agency Act 2011 (Cth),
   took effect from 1 January 2017.
   They prescribe requirements for
   the provision of higher education
   in or from Australia. The
   Standards also provide a model
   framework for managing internal
   monitoring, quality assurance
   and quality improvement.
   Privacy and Personal
   Information
   The University is committed
   to ensuring a culture of
   understanding and compliance
   with its obligation under the
   Privacy and Personal Information
   Protection Act 1998 (NSW) (“PPIP
   Act”) and the Health Records and
   Information Privacy Act 2002
   (NSW) (“HRIP Act”). During 2017,
   the following measures were
   taken to support compliance:
   • providing staff information
   sessions on the operation of
   the PPIP and HRIP Acts; and
   • providing advice to staff on
   the application of the PPIP
   and HRIP Acts.
   The University received one
   application for internal review
   under Part 5 of the PPIP Act in
   the 2017 calendar year. The
   University completed the review
   within 60 days from the date of
   application and kept the Privacy
   Commissioner informed of the
   conduct of the review.
   The applicant applied to the
   NSW Civil and Administrative
   Tribunal (NCAT) for a review of the
   decision made by the University.
   The matter is currently being
   considered by NCAT.
   Government Information
   Public Access
   Program for the release
   of information
   Much of the information the
   University provides on its website
   is information that the University
   voluntarily makes public as it
   24 Southern Cross University Annual Report 2017
   believes that the public, including
   students and other stakeholders,
   may have an interest in that
   information.
   In addition, the University reviews
   all information released by it
   to an individual as a result of
   an access application under
   Government Information (Public
   Access) Act 2009 (NSW) (“GIPA
   Act”) to determine whether it is
   in the public interest to make that
   information publicly available.
   In compliance with s. 7(3) of the
   GIPA Act, the University reviewed
   its program for proactively
   releasing information during 2017
   and did not identify any additional
   information for release.
   Number of access
   applications received
   In 2017, the University received
   two valid access applications
   under the GIPA Act. Statistical
   information relating to the number
   and type of applications received
   by the University within the
   reporting period is provided in
   Appendix E to this Annual Report.
   The University partially refused
   one application on the basis that
   the application was for disclosure
   of information which fell within
   the categories of information
   described in Schedule 1 of the
   GIPA Act (i.e. information for
   which there is a conclusive
   presumption of overriding public
   interest against disclosure).
   Public Interest Disclosures
   The Public Interest Disclosures Act
   1994 (NSW) (“PID Act”) establishes
   a system for public officials to
   report serious wrongdoing.
   The University’s Public Interest
   Disclosures Policy establishes
   an internal system for receiving,
   assessing and dealing with reports
   of wrongdoing under the PID
   Act. The PID Policy is available
   to staff on the University’s policy
   site. Staff are also provided with
   information on reporting corrupt
   conduct, maladministration and
   serious or substantial waste of
   public resources in accordance
   with the PID Act in the Code of
   Conduct. The Code of Conduct
   forms part of staff members’
   conditions of employment
   and commencing staff must
   certify that they have read and
   understood the Code of Conduct.
   The University’s report in relation
   to public interest disclosures
   made in 2017 is as follows:
   Risk
   Management
   The University’s approach to
   risk management is aligned with
   the Australian and New Zealand
   Standard for Risk Management
   (AS/NZS ISO 31000:2009 Risk
   Management – Principles and
   Guidelines). Oversight of the
   University’s Risk Management
   framework is provided by
   Council and the Audit and Risk
   Management Committee.
   In the second half of 2017, a
   refresh of the strategic risk
   register and associated reporting
   framework was completed and
   approved by Council. The new
   reporting framework provides
   more robust reporting on
   strategic risk to each Audit and
   Risk Management Committee
   meeting. In addition, work to
   enhance documentation and
   management of operational risk
   registers was commenced.
   Insurance
   The University maintained
   appropriate insurances for
   its property and operations
   throughout 2017.
   The primary areas of the
   University’s program were
   renewed through Unimutual
   Limited, Austbrokers Canberra
   Pty Ltd and Employers Mutual.
   These include property
   protection, general and products
   liability, professional indemnity,
   malpractice, clinical trials, cyber,
   environmental liability and
   workers’ compensation. Other
   classes of insurance held include,
   but are not limited to corporate
   travel, group personal accident
   and comprehensive motor vehicle.
   New and emerging risks and the
   degree to which the University
   is exposed to such risks is taken
   into account when determining
   the limits of insurance, policy
   deductibles and classes of cover
   during the annual renewal process.
   Number of public officials who made Public Interest
   Disclosures (PIDs) to the University
   0
   Number of PIDs received by the University 0
   Of PIDs received by the University, number primarily about:
   Corrupt conduct
   Maladministration
   Serious and substantial waste of public money
   Government information contravention
   N/A
   Number of PIDs finalised N/A
   (1) PIDs made by public officials in performing their day-today
   functions
   0
   (2) PIDs not covered by (1) that are made under a statutory
   or other legal obligation
   0
   (3) All other public interest disclosures 0
   Southern Cross University Annual Report 2017 25
   Financial
   Performance
   The financial statements
   include Southern Cross
   University as the parent
   entity and the consolidated
   entity comprising Southern
   Cross University and its
   controlled entity Southern
   Cross Campus Services
   Limited (previously
   Norsearch Limited).
   Southern Cross Campus
   Services Limited’s objective
   is to provide services and
   amenities to students and
   staff of the University. Its
   principal activities are the
   provision of a licenced bar
   and on-campus catering
   service; gymnasium and pool;
   and conferencing facilities.
   Review of Operations
   Southern Cross University
   and its controlled entities
   reported a consolidated net
   loss of $4.2 million for the
   year ending 31 December
   2017 (2016: $16.7 million
   profit). The University
   reported a net loss of $3.8
   million (2016: $17.0 million
   profit). The 2016 result
   included capital grant
   revenue of $15.7m.
   Net cash from operating
   activities was $23.8 million
   (2016: $28.2 million).
   Total University revenue,
   excluding capital grants,
   grew by 8 per cent compared
   to the previous year while
   total expenses rose by 10
   per cent. Total salaries and
   wages grew
   by 6 per cent.
   26 Southern Cross University Annual Report 2017
   Financial
   Statements
   Statement of
   Comprehensive
   Income
   29
   Statement by
   the Members
   of Council
   27
   Statement
   of Financial
   Position
   30
   Notes to the
   Financial
   Statements
   33
   Income
   Statement
   28
   Statement
   of Changes
   in Equity
   31
   Statement of
   Cash Flows
   32
   Independent
   Auditor’s
   Report
   85
   Southern Cross University
   and Controlled Entities
   ABN 41 995 651 524
   Financial Statements
   for the 2017 Reporting Period
   Southern Cross University Annual Report 2017 27
   In accordance with a resolution of the Council of Southern Cross University and pursuant to Section 41 C (1B)
   and (1C) of the Public Finance and Audit Act 1983, we state that:
   (a) The financial statements of Southern Cross University exhibit a true and fair view of the financial position as
   at 31 December 2017 and financial performance of the University for the financial year ended on that date;
   (b) The amount of Australian Government financial assistance expended during the reporting period was
   for the purpose(s) for which it was intended and Southern Cross University has complied with applicable
   legislation, contracts, agreements and program guidelines in making expenditure;
   (c) The financial statements have been prepared in accordance with Australian Accounting Standards, other
   mandatory professional reporting requirements, the provisions of the Public Finance and Audit Act 1983,
   Public Finance and Audit Regulation 2015, Australian Charities and Not-for-profits Commission Act (2012),
   Australian Charities and Not-for-profits Commission Regulation 2013 and the Financial Statement Guidelines
   for Australian Higher Education Providers 2017;
   (d) Southern Cross University charged Student Services and Amenities Fees strictly in accordance with the
   Higher Education Support Act 2003 and the Administration Guidelines under the Act. Revenue from the fees
   was spent strictly in accordance with the Act and only on services and amenities specified in subsection 19
   clause 38 (4) of the Act.
   In addition, we are not aware at the date of signing these statements of any circumstances which would render
   any particulars included in the financial statements to be misleading or inaccurate and there are reasonable
   grounds to believe that Southern Cross University will be able to pay its debts as and when they fall due.
   Dated 12 April 2018
   Statement by
   the Members
   of Council
   31 December 2017
   Southern Cross University ABN 41 995 651 524
   Southern Cross University ABN 41 995 651 524
   The above Income Statement should be read in conjunction with the accompanying notes.
   28 Southern Cross University Annual Report 2017
   Income
   Statement
   For the Year Ended
   31 December 2017
   Consolidated Parent
   Note
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Income from continuing operations
   Australian Government financial assistance
   Australian Government grants 2 100,498 117,505 100,498 117,505
   HELP Australian Government payments 2(b) 59,578 55,691 59,578 55,691
   State and local government financial
   assistance 3 1,628 2 ,143 1,628 2,143
   HECS HELP – Student payments 1,944 2,249 1,944 2,249
   Fees and charges 4 52,894 41,420 52,894 41,420
   Investment revenue 5 906 750 904 749
   Royalties, trademarks and licences 852 590 852 590
   Consultancy and contracts 6 6,526 5,006 6,526 5,006
   Other revenue 7 12,191 10,501 10,594 9,187
   Total income from continuing operations 237,017 235,855 235,418 234,540
   Share of profit/(loss) on investments
   accounted for using the equity method 14 (11) (4) – –
   Total revenue and income from continuing
   operations 237,006 235,851 235,418 234,540
   Expenses from continuing operations
   Employee related expenses 8 133,741 126,647 132,000 125,254
   Depreciation and amortisation 9 13,218 12,714 13,183 12,681
   Repairs and maintenance 3,317 3,089 3,311 3,077
   Borrowing costs 583 768 583 768
   Impairment of assets 10 1,238 323 1,238 323
   Losses on disposal of assets 119 396 113 402
   Loss on exchange differences 108 138 108 138
   Other expenses 11 88,840 75,007 88,648 74,886
   Total expenses from continuing operations 241,164 219,082 239,184 217,529
   Net result from continuing operations (4,158) 16,769 (3,766) 17,011
   Southern Cross University Annual Report 2017 29
   The above Statement of Comprehensive Income should be read in conjunction with accompanying notes.
   Southern Cross University ABN 41 995 651 524
   Statement of
   Comprehensive
   Income
   For the Year Ended
   31 December 2017
   Consolidated Parent
   Note
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Net result from continuing operations (4,158) 16,769 (3,766) 17,011
   Items that may be reclassified
   to profit or loss
   Gain on revaluation of available for sale
   financial assets 21(a) 4,673 1,829 4,673 1,829
   Total 4,673 1,829 4,673 1,829
   Items that will not be reclassified
   to profit or loss
   Remeasurement relating
   to defined benefit plans 33(e) (141) (2) (141) (2)
   Total (141) (2) (141) (2)
   Total other comprehensive income 4,532 1,827 4,532 1,827
   Total comprehensive income attributable
   to members of Southern Cross University 374 18,596 766 18,838
   Southern Cross University ABN 41 995 651 524
   30 Southern Cross University Annual Report 2017
   Statement
   of Financial
   Position
   As At 31 December 2017
   Consolidated Parent
   Note
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Assets
   Current assets
   Cash and cash equivalents 12 16,617 20,404 16,545 20,334
   Receivables 13 10,587 14,612 11,119 14,780
   Inventories 191 129 161 99
   Prepayments 2,912 3,028 2,912 3,024
   Total current assets 30,307 38,173 30,737 38,237
   Non‑current assets
   Receivables 13 92,175 87,061 92,175 87,061
   Investments accounted for using the equity
   method 14 301 312 175 175
   Other financial assets 15 15,700 11,027 15,700 11,027
   Property, plant and equipment 16 270,997 260,991 270,859 260,851
   Intangible assets – 73 – 73
   Prepayments 976 942 976 942
   Total non‑current assets 380,149 360,406 379,885 360,129
   Total assets 410,456 398,579 410,622 398,366
   Liabilities
   Current liabilities
   Trade and other payables 17 18,283 14,873 18,200 14,770
   Borrowings 18 2,440 2,440 2,440 2,440
   Employee benefit provisions 19 25,903 24,916 25,798 24,842
   Other liabilities 20 17,901 13,083 17,860 13,054
   Total current liabilities 64,527 55,312 64,298 55,106
   Non‑current liabilities
   Borrowings 18 7,580 10,020 7,580 10,020
   Employee benefit provisions 19 95,751 90,673 95,743 90,655
   Other liabilities 20 1,542 1,597 1,542 1,597
   Derivative financial instrument – 295 – 295
   Total non‑current liabilities 104,873 102,585 104,865 102,567
   Total liabilities 169,400 157,897 169,163 157,673
   Net assets 241,056 240,682 241,459 240,693
   Equity
   Reserves 21 15,700 11,027 15,700 11,027
   Retained earnings 21 225,356 229,655 225,759 229,666
   Total equity 241,056 240,682 241,459 240,693
   The above Statement of Financial Position should be read in conjunction with accompanying notes.
   Southern Cross University Annual Report 2017 31
   Southern Cross University ABN 41 995 651 524
   Parent
   Note
   Retained
   Earnings
   $’000
   Reserves
   $’000
   Total
   $’000
   Balance at 1 January 2016 212,657 9,198 221,855
   Net result 17,011 – 17,011
   Gain on revaluation of available for sale financial assets – 1,829 1,829
   Remeasurements of defined benefit plans (2) – (2)
   Total comprehensive income 17,009 1,829 18,838
   Balance at 31 December 2016 229,666 11,027 240,693
   Balance at 1 January 2017 21 229,666 11,027 240,693
   Net result (3,766) – (3,766)
   Gain on revaluation of available for sale financial assets – 4,673 4,673
   Remeasurements of defined benefit plans (141) – (141)
   Total comprehensive income (3,907) 4,673 766
   Balance at 31 December 2017 225,759 15,700 241,459
   Consolidated
   Retained
   Earnings
   $’000
   Reserves
   $’000
   Total
   $’000
   Balance at 1 January 2016 212,888 9,198 222,086
   Net result 16,769 – 16,769
   Gain on revaluation of available for sale financial assets – 1,829 1,829
   Remeasurements of defined benefit plans (2) – (2)
   Total comprehensive income 16,767 1,829 18,596
   Balance at 31 December 2016 229,655 11,027 240,682
   Balance at 1 January 2017 21 229,655 11,027 240,682
   Net result (4,158) – (4,158)
   Gain on revaluation of available for sale financial assets – 4,673 4,673
   Remeasurements of defined benefit plans (141) – (141)
   Total comprehensive income (4,299) 4,673 374
   Balance at 31 December 2017 225,356 15,700 241,056
   Statement of
   Changes in
   Equity
   For the Year Ended
   31 December 2017
   The above Statement of Changes in Equity should be read in conjunction with accompanying notes.
   32 Southern Cross University Annual Report 2017
   Statement
   of Cash Flows
   For the Year Ended
   31 December 2017
   Consolidated Parent
   Note
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Cash flows from operating activities:
   Australian Government Grants 168,005 170,155 168,005 170,155
   OS‑HELP (net) (150) (103) (150) (103)
   State Government Grants 1,628 2,143 1,628 2,143
   HECS‑HELP – Student payments 1,944 2,249 1,944 2,249
   Receipts from student fees and other customers 72,790 56,853 73,665 55,566
   Payments to suppliers and employees (227,541) (209,924) (228,575) (208,497)
   Interest received 415 747 413 746
   Interest and other costs of finance (880) (877) (880) (877)
   GST recovered/paid 7,599 6,968 7,719 6,854
   Net cash provided by operating activities 30 23,810 28,211 23,769 28,236
   Cash flows from investing activities:
   Proceeds from sale of property, plant and
   equipment 690 2,551 674 2,545
   Payments for property, plant and equipment (25,847) (28,691) (25,792) (28,691)
   Net cash used in investing activities (25,157) (26,140) (25,118) (26,146)
   Cash flows from financing activities:
   Repayment of borrowings (2,440) (2,440) (2,440) (2,440)
   Net cash provided by/(used in)
   financing activities (2,440) (2,440) (2,440) (2,440)
   Net (decrease) in cash and cash equivalents (3,787) (369) (3,789) (350)
   Cash and cash equivalents at beginning
   of the financial year 20,404 20,773 20,334 20,684
   Cash and cash equivalents
   at the end of the financial year 12 16,617 20,404 16,545 20,334
   Southern Cross University ABN 41 995 651 524
   The above Statement of Cash Flows should be read in conjunction with accompanying notes.
   Southern Cross University Annual Report 2017 33
   Contents Page
   Notes to the Financial Statements
   Note 1 Summary of Significant Accounting Policies 34
   Note 2 Australian Government financial assistance including Australian Government loan programs (HELP) 38
   Note 3 State and local government financial assistance 40
   Note 4 Fees and charges 40
   Note 5 Investment revenue 41
   Note 6 Consultancy and contracts 41
   Note 7 Other revenue 41
   Note 8 Employee related expenses 42
   Note 9 Depreciation and amortisation 43
   Note 10 Impairment of assets 44
   Note 11 Other expenses 44
   Note 12 Cash and cash equivalents 45
   Note 13 Receivables 45
   Note 14 Investments accounted for using the equity method 48
   Note 15 Other financial assets 49
   Note 16 Property, plant and equipment 50
   Note 17 Trade and other payables 54
   Note 18 Borrowings 54
   Note 19 Provisions 56
   Note 20 Other liabilities 58
   Note 21 Reserves and retained earnings 58
   Note 22 Key management personnel disclosures 59
   Note 23 Remuneration of auditors 61
   Note 24 Contingencies 61
   Note 25 Commitments 62
   Note 26 Related Parties 62
   Note 27 Subsidiaries 63
   Note 28 Joint Operations 64
   Note 29 Events Occurring After the Reporting Date 65
   Note 30 Reconciliation of net result to net cash provided by / (used in) operating activities 65
   Note 31 Financial risk management 66
   Note 32 Fair value measurements 69
   Note 33 Retirement benefit obligations 72
   Note 34 Acquittal of Australian government financial assistance 80
   Notes to the
   Financial
   Statements
   For the Year Ended
   31 December 2017
   Southern Cross University ABN 41 995 651 524
   34 Southern Cross University Annual Report 2017
   1 Summary of Significant Accounting Policies
   The principal accounting policies adopted in the preparation of these consolidated financial statements are set out below
   and where applicable, throughout the notes to the accounts. The policies have been consistently applied for all years
   reported unless otherwise stated.
   The financial statements include separate statements for Southern Cross University as the parent entity and the
   consolidated entity consisting of Southern Cross University and its subsidiary.
   Southern Cross University is a Higher Education Provider which has been established under the Southern Cross University
   Act 1993. The principal address of Southern Cross University is Military Road, Lismore NSW 2480.
   (a) Basis of Preparation
   The financial statements are general purpose financial statements which have been prepared on an accrual basis in
   accordance with Australian Accounting Standards, the requirements of the Higher Education Support Act 2003 (Financial
   Statement Guidelines), the Public Finance and Audit Act 1983 and the Public Finance and Audit Regulation 2015.
   The University applies Tier 1 reporting requirements.
   Southern Cross University is a not‑for‑profit entity and these statements have been prepared on that basis. The Australian
   Accounting Standards include requirements for not‑for‑profit entities which are inconsistent with International Financial
   Reporting Standards (IFRS) and to the extent these inconsistencies are applied, these financial statements do not comply
   with IFRS. The main impact is in the following accounting treatments:
   ‑ the offsetting of impairment losses within a class of assets
   ‑ the timing of the recognition of non‑reciprocal revenue.
   Date of authorisation for issue
   The financial statements were authorised for issue by the members of Southern Cross University on 12 April 2018.
   Historical cost convention
   These financial statements have been prepared under the historical cost convention, as modified by the revaluation
   of available‑for‑sale financial assets, financial assets and liabilities at fair value through profit and loss, and library rare
   book collection.
   Critical accounting estimates
   The preparation of financial statements in conformity with Australian Accounting Standards requires the use of certain
   critical accounting estimates. It also requires management to exercise its judgement in the process of applying Southern
   Cross University’s accounting policies.
   The estimates and underlying assumptions are reviewed on an ongoing basis.
   The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant
   to the financial statements, are disclosed below:
   ‑ Estimated useful life assessments of property, plant and equipment assets (note 9)
   ‑ Measurement and recognition of employee benefits provisions (note 19)
   ‑ Impairment of trade and other receivables (note 10)
   ‑ Measurement of financial assets (note 32)
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 35
   1 Summary of Significant Accounting Policies (continued)
   (b) Foreign currency translation
   (i) Functional and presentation currency
   Items included in the financial statements of each of the University’s entities are measured using the currency of the
   primary economic environment in which the entity operates (‘the functional currency’). The consolidated financial
   statements are presented in Australian dollars, which is Southern Cross University’s functional and presentation currency.
   (c) Income Tax
   Southern Cross University does not provide for Australian income tax as it is exempt under the provisions of Division
   50 of the Income Tax Assessment Act 1997 (ITAA).
   (d) Rounding of amounts
   Amounts have been rounded off to the nearest thousand dollars.
   (e) Goods and Services Tax (GST)
   Revenues, expenses and assets are recognised net of the amount of associated GST, unless the GST incurred is not
   recoverable from the taxation authority. In this case, it is recognised as part of the cost acquisition of the asset or as part
   of the expense.
   Receivables and payables are stated inclusive of the amount of GST receivable or payable. The net amount of GST
   recoverable from, or payable to, the taxation authority is included with other receivables or payables in the statement of
   financial position.
   Cash flows are presented on a gross basis. The GST components of cash flows arising from investing or financing activities
   which are recoverable from, or payable to the taxation authority, are presented as operating cash flows.
   (f) Comparative Amounts
   Where necessary, comparative information has been reclassified to enhance comparability in respect of changes
   in presentation adopted in the current year.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   36 Southern Cross University Annual Report 2017
   1 Summary of significant Accounting Policies (continued)
   (g) New Accounting Standards and Interpretations
   The AASB has issued new and amended Accounting Standards and Interpretations that have mandatory application
   dates for future reporting periods. The University has decided not to early adopt these Standards. The following table
   summarises those future requirements, and their impact on the University where the standard is relevant:
   Standard Name
   Mandatory
   Application
   Date
   Requirements Impact
   AASB 15 Revenue
   from Contracts
   with customers,
   AASB 1058 Income
   of Not‑for‑Profit
   Entities, and
   amending
   standards
   1 January
   2019
   AASB 15 establishes a single and
   comprehensive framework which
   sets out how and when revenue
   is recognised. The core principle
   of AASB 15 is that revenue is
   recognised when transfers of goods
   or services to customers occur in
   exchange for consideration which
   the vendor expects to be entitled to
   in exchange for the provision of those
   goods or services (i.e. fulfilment of
   performance obligations). Revenue
   will only be recognised when
   control over the goods or services is
   transferred to the customer, which is
   either over time or at a point in time.
   Furthermore, AASB 1058 amends the
   income recognition requirements
   that apply to not‑for‑profit entities
   and establishes principles for
   not‑for‑profit entities that apply to:
   (a) transactions where the
   consideration to acquire an asset
   is significantly less than fair value
   principally to enable a not‑for‑profit
   entity to further its objectives;
   (b) the receipt of volunteer services;
   and
   (c) transfers made to enable an entity
   to acquire or construct a non‑financial
   asset for its own use.
   The University is in the process of
   assessing the changes, if any, to its
   revenue recognition policies upon
   the adoption of AASB 15 and AASB
7. Until management completes
   that process, the University is unable
   to reasonably quantify the expected
   financial impacts of those Standards
   in future periods.
   The University intends to adopt the
   ‘modified retrospective’ approach to
   the initial application of AASB 15 and
   AASB 1058. That approach applies
   the new standards from the date of
   initial application on 1 January 2019
   and will not result in the restatement
   of FY 2018 comparative financial
   information.
   AASB 16 Leases 1 January 2019 AASB 16 was issued in February 2016.
   It will result in almost all leases being
   recognised on the balance sheet, as
   the distinction between operating
   and finance leases is removed. Under
   the new standard, an asset (the right
   to use the leased item) and a financial
   liability to pay rentals are recognised.
   The only exceptions are short term
   and low‑value leases. The accounting
   for lessors will not significantly
   change.
   The standard will affect primarily
   the accounting for the University’s
   operating leases. As at the
   reporting date, the University has
   non‑cancellable operating lease
   commitments of $78,899,000, see
   note 25(b). However, the University
   has not yet determined to what extent
   these commitments will result in the
   recognition of an asset and a liability
   for future payments and how this will
   affect the University’s net result and
   classification of cash flows, although
   no impact on net cash outflows
   expected. Some of the commitments
   may be covered by the exception for
   short‑term and low value leases and
   some commitments may relate to
   arrangements that will not qualify as
   leases under AASB 16. At this stage,
   the group does not intend to adopt
   the standard before its effective date.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 37
   1 Summary of significant Accounting Policies (continued)
   (g) New Accounting Standards and Interpretations (continued)
   Standard Name
   Mandatory
   Application
   Date
   Requirements Impact
   AASB 9 Financial
   Instruments and
   amending standards
   1 January
   2018
   Changes to the classification
   and measurement requirements
   for financial assets and financial
   liabilities. There will be no impact
   on the University’s accounting
   for financial liabilities, as the
   new requirements only affect the
   accounting for financial liabilities that
   are designated at fair value through
   profit or loss and the University does
   not have any such liabilities. As a
   general rule it will be easier to apply
   hedge accounting going forward.
   The new standard also introduces
   expanded disclosure requirements
   and changes in presentation.
   The University no longer has hedging
   arrangements in place and will not
   adopt any parts of AASB 9 early.
   AASB 2016‑2
   Amendments to
   Australian
   Accounting
   Standards ‑
   Disclosure Initiative:
   Amendments to
   AASB to AASB 107
   1 January 2019 This amendment requires disclosure
   of changes in liabilities.
   The University has elected not
   to adopt the standard before its
   effective due to the limited nature
   and value of its borrowing facilities.
   AASB 2016‑3
   Amendments
   to Australian
   Accounting
   Standards ‑
   Clarification
   to AASB 15
   1 January 2018 Clarifies the requirements on
   identifying performance obligations,
   principal vs agent considerations and
   the timing of recognising revenue
   from granting a licence. In addition, it
   provides further practical expedients
   on transition to AASB 15.
   The potential impact of this standard
   is currently being determined.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   38 Southern Cross University Annual Report 2017
   Consolidated Parent
   Note
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Commonwealth Grants Scheme 78,081 79,320 78,081 79,320
   Indigenous Student Success Program 2,053 1,372 2,053 1,372
   Higher Education Participation Program 2,861 3,763 2,861 3,763
   Disability Performance Funding 96 95 96 95
   Australian Maths and Science Partnership Program 32 390 32 390
   Improving the Quality of Maths and Science
   Teaching Programs 72 282 72 282
   Promotion of Excellence in Learning and Teaching 10 10 10 10
   Total Commonwealth Grant Scheme and Other Grants 34(a) 83,205 85,232 83,205 85,232
   (b) Higher Education Loan Programs
   HECS ‑ HELP 48,314 46,271 48,314 46,271
   FEE ‑ HELP 10,148 8,312 10,148 8,312
   SA‑HELP payments 1,116 1,108 1,116 1,108
   Total Higher Education Loan Programs 34(b) 59,578 55,691 59,578 55,691
   (c) Scholarships
   Research Training Program 4,417 4,678 4,417 4,678
   Total Scholarships 34(c) 4,417 4,678 4,417 4,678
   (d) Research
   Research Support Program 3,270 3,201 3,270 3,201
   Total Research 34(c) 3,270 3,201 3,270 3,201
   (e) Other Capital Funding
   Linkage Infrastructure, Equipment and Facilities grant 552 – 552 –
   Education Investment Fund – 15,688 – 15,688
   Total Other Capital Funding 34(e) 552 15,688 552 15,688
   (f) Australian Research Council
   Discovery 916 847 916 847
   Linkages 621 659 621 659
   Total ARC 34(f) 1,537 1,506 1,537 1,506
   2 Australian government financial assistance including Australian government loan programs (HELP)
   (a) Commonwealth Grants Scheme and Other Grants
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 39
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Non‑capital
   Department of Agriculture and Water Resources
   (Farm Co‑op) 6,538 3,944 6,538 3,944
   Department of Agriculture and Water Resources (Other) 25 – 25 –
   Department of Education 271 484 271 484
   Department of Environment and Energy 10 – 10 –
   Department of Foreign Affairs 171 – 171 –
   Department of Health – 94 – 94
   Department of Prime Minister & Cabinet – 450 – 450
   Aust’n Ctr for International Agricultural Research 502 982 502 982
   Horticultural Innovation Australia Ltd – 140 – 140
   Rural Industries Research & Dev Corporation – 156 – 156
   Other – 950 – 950
   Total non‑capital 7,517 7,200 7,517 7,200
   Total Other Australian Government Financial
   Assistance 7,517 7,200 7,517 7,200
   Total Australian Government financial assistance 160,076 173,196 160,076 173,196
   The University recognises revenue when the amount of revenue can be reliably measured, it is probable that future
   economic benefits will flow to the University and specific criteria have been met for each of the University’s activities as
   described below. In some cases this may not be probable until consideration is received or an uncertainty is removed.
   The University bases its estimates on historical results, taking into consideration the type of customer, the type of transaction
   and the specifics of each arrangement. This applies to revenue items recognised in notes 2 through to 7.
   The University recognises grants received form the Australian government in note 2 as income when the University obtains
   control of the right to receive the grant, it is probable that economic benefits will flow to the University and it can be
   reliably measured.
   Revenue from HELP is categorised into those received from the Australian Government (note 2 (a)) and those received
   directly from students (note 2 (b)). Revenue is recognised and measured in accordance with the above disclosure.
   2 Australian government financial assistance including Australian government loan programs (HELP) (continued)
   (g) Other Australian Government Financial Assistance
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   40 Southern Cross University Annual Report 2017
   3 State and local government financial assistance
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Non‑capital
   New South Wales 1,323 758 1,323 758
   Queensland 51 157 51 157
   Victoria 227 255 227 255
   South Australia 12 90 12 90
   Western Australia 15 3 15 3
   Total 1,628 1,263 1,628 1,263
   Capital
   New South Wales – 880 – 880
   Total – 880 – 880
   Total State and Local Government Financial Assistance 1,628 2,143 1,628 2,143
   The University recognises contributions and grants received from State governments as revenue when the University
   obtains control of the right to receive the grant, it is probable that economic benefits will flow to the University and it can
   be reliably measured.
   4 Fees and charges
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Fee‑paying onshore overseas students 44,997 34,367 44,997 34,367
   Fee‑paying offshore overseas students 2,008 2,039 2,008 2,039
   Continuing education 47 124 47 124
   Fee‑paying domestic postgraduate students 3,680 2,736 3,680 2,736
   Fee‑paying domestic undergraduate students 542 540 542 540
   Fee‑paying domestic non‑award students 71 25 71 25
   Total Course Fees and Charges 51,345 39,831 51,345 39,831
   Other Non‑Course Fees and Charges
   Student services and amenities fees 895 848 895 848
   Late fees 92 94 92 94
   Student accommodation 335 438 335 438
   Other services 227 209 227 209
   Total Other Fees and Charges 1,549 1,589 1,549 1,589
   Total Fees and Charges 52,894 41,420 52,894 41,420
   Fees and charges are recognised as income in the year of receipt, except to the extent that fees and charges relate to courses
   to be held in future periods. Such receipts (or portion thereof) are treated as income in advance in liabilities. Conversely, fees
   and charges relating to debtors are recognised as revenue in the year to which the prescribed course relates.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 41
   5 Investment revenue
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Interest income 406 750 404 749
   Dividends 500 – 500 –
   Total investment revenue 906 750 904 749
   Interest revenue is recognised as it is earned. Dividends are recognised when the dividend is declared.
   6 Consultancy and contracts
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Consultancy 2,574 2,158 2,574 2,158
   Contract research 3,952 2,848 3,952 2,848
   Total consultancy and contracts 6,526 5,006 6,526 5,006
   Consultancy revenue and contract research is recognised in accordance with the percentage of completion method.
   The stage of completion is measured by reference to labour hours incurred to date as a percentage of estimated total labour
   hours for each contract.
   7 Other revenue
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Donations and bequests 129 28 129 28
   Scholarships and prizes 218 208 218 208
   Sale of goods 777 725 149 213
   Rental and facilities hire 642 774 623 771
   Cost recoveries 3,817 3,393 3,815 3,392
   Memberships and registrations 1,165 870 275 153
   Laboratory services 4,244 3,507 4,244 3,507
   Conferences and workshops 102 62 102 62
   Other revenue 1,097 934 1,039 853
   Total other revenue 12,191 10,501 10,594 9,187
   Contributions, donations and gifts that are non‑reciprocal in nature are recognised as revenue in the year in which the group
   obtains control over them. Where grants are received that are reciprocal in nature, revenue is recognised over the term
   of the funding arrangements.
   Other revenue is recognised when the goods and services are provided.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   42 Southern Cross University Annual Report 2017
   8 Employee related expenses
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Academic
   Salaries 48,748 46,559 48,748 46,559
   Contributions to funded superannuation schemes 7,434 7,024 7,434 7,024
   Payroll tax 3,231 3,063 3,231 3,063
   Worker’s compensation 320 390 320 390
   Long service leave 1,258 1,223 1,258 1,223
   Annual leave 3,086 3,005 3,086 3,005
   Other 590 558 590 558
   Total academic 64,667 61,822 64,667 61,822
   Non‑academic
   Salaries 51,308 47,602 49,877 46,457
   Contributions to funded superannuation schemes 8,191 7,724 8,053 7,613
   Payroll tax 3,356 3,161 3,262 3,088
   Worker’s compensation 341 406 325 392
   Long service leave 1,335 1,636 1,329 1,624
   Annual leave 3,477 3,218 3,422 3,180
   Other 1,066 1,078 1,065 1,078
   Total non‑academic 69,074 64,825 67,333 63,432
   Total employee related expenses 133,741 126,647 132,000 125,254
   Contributions to the defined contribution section of Southern Cross University’s superannuation fund and other
   independent defined contribution superannuation funds are recognised as an expense as they become payable.
   Past service costs are recognised in profit or loss immediately.
   Refer to note 19 for accounting policies on employee benefits and note 33 for retirement benefit obligations.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 43
   9 Depreciation and amortisation
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Depreciation
   Buildings 6,198 5,936 6,198 5,936
   Infrastructure 687 836 687 836
   Plant and equipment 6,258 5,825 6,223 5,792
   Leasehold improvements 2 3 2 3
   Total depreciation 13,145 12,600 13,110 12,567
   Amortisation
   Computer software 73 114 73 114
   Total depreciation and amortisation 13,218 12,714 13,183 12,681
   Land is not depreciated. Depreciation on other assets is calculated using the straight line method to allocate their cost,
   net of their residual values, over their estimated useful lives, as follows:
   2017
   Useful Lives
   (Years)
   2016
   Useful Lives
   (Years)
   Depreciable assets
   Buildings 10‑60 10‑60
   Plant and equipment 2‑30 2‑30
   Improvements 5 5
   Infrastructure 7‑70 7‑70
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   44 Southern Cross University Annual Report 2017
   10 Impairment of assets
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Trade receivables 1,238 491 1,238 491
   Infrastructure – (168) – (168)
   Total impairment of assets 1,238 323 1,238 323
   Assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not
   be recoverable. An impairment loss is recognised for the amount by which the asset’s carrying amount exceeds its recoverable
   amount. The recoverable amount is the higher of an asset’s fair value less costs of disposal and value in use. For the purposes of
   assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash flows which are largely
   independent of the cash inflows from other assets or groups of assets (cash generating units). Non‑financial assets, other than
   goodwill, that suffered impairment are reviewed for possible reversal of the impairment at each reporting date.
   11 Other expenses
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Advertising, marketing and promotional expenses 2,804 3,913 2,800 3,908
   Audit fees, bank charges, insurance and taxes 1,624 1,542 1,540 1,473
   Books and subscriptions 4,038 3,515 4,037 3,514
   Consulting and professional fees 13,050 12,306 12,927 12,227
   External education services 28,091 19,297 28,091 19,297
   Grants & contributions 4,178 668 4,178 668
   Leased asset charges 4,234 3,998 4,234 3,998
   Non‑capitalised equipment 3,036 2,353 2,979 2,311
   Printing and stationery 1,285 1,177 1,278 1,173
   Property and facility costs 6,980 6,921 6,674 6,618
   Scholarships, grants and prizes 4,877 5,141 4,875 5,141
   Software expenses 3,790 3,729 3,790 3,729
   Telecommunications 1,302 1,092 1,293 1,086
   Travel, entertainment and staff development 4,660 4,721 4,820 4,851
   Other expenses 4,891 4,634 5,132 4,892
   Total other expenses 88,840 75,007 88,648 74,886
   Leased asset charges in which a significant portion of the risks and rewards of ownership are retained by the lessor are
   classified as operating leases (note 25). Payments made under operating leases (net of any incentives received from the
   lessor) are charged to the income statement on a straight‑line basis, over the period of the lease and are included in other
   expenses above.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 45
   12 Cash and cash equivalents
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Cash at bank and on hand 5,067 4,854 4,995 4,784
   Short term deposits at call 11,550 15,550 11,550 15,550
   Total cash and cash equivalent in the statement
   of financial position and cashflows 16,617 20,404 16,545 20,334
   (a) Cash at bank and on hand
   Cash on hand is non‑interest bearing. Cash at bank earned a floating interest rate of 1.30% (2016:1.30% to 1.80%).
   (b) Deposits at call
   The deposits are bearing floating interest rates between 1.50% and 2.31% (2016: 1.50% and 2.75%). The deposits have an
   average maturity of 31 days.
   For statement of cash flows presentation purposes, cash and cash equivalents includes cash on hand, deposits held at call
   with financial institutions, other short‑term, highly liquid investments with original maturities of three months or less that are
   readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value, and bank
   overdrafts. Bank overdrafts are shown within borrowings in current liabilities on the statement of financial position.
   13 Receivables
   Consolidated Parent
   Note
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Current
   Trade receivables 5,506 4,146 5,482 4,130
   Student fees 5,145 4,224 5,145 4,224
   Less: Provision for impaired receivables (2,313) (1,870) (2,313) (1,870)
   8,338 6,500 8,314 6,484
   Related party receivables 26(e)(f) 16 16 578 205
   Other receivables 2,233 8,096 2,227 8,091
   Total current receivables 10,587 14,612 11,119 14,780
   Non‑current
   Deferred government benefit for
   superannuation 33(d) 92,175 87,061 92,175 87,061
   Total non‑current receivables 92,175 87,061 92,175 87,061
   Total receivables 102,762 101,673 103,294 101,841
   Trade receivables are recognised initially at fair value and subsequently measured at amortised cost using the effective
   interest method, less provision for impairment. Trade receivables are due for settlement no more than 30 days from the date
   of recognition for trade debtors.
   The non‑current receivable for deferred government superannuation benefits are the amounts recognised as
   reimbursement rights expected to be received from the Australian and New South Wales (NSW) Governments.
   This amount is offset by a liability in respect of defined benefit superannuation plans in Note 19.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   46 Southern Cross University Annual Report 2017
   13 Receivables (continued)
   As at 31 December 2017 current receivables of $374,939 (2016: $327,044 ) were past due but not impaired. These relate to
   a number of student fees not yet collected and trade debtors for whom there is no recent history of default. The ageing
   analysis of these receivables is as follows:
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   3 to 6 months 206 322 206 322
   6 to 12 months 131 – 131 –
   Over 12 months 38 5 38 5
   Total past due but not impaired current receivables 375 327 375 327
   (a) Impaired receivables
   As at 31 December 2017 current receivables of the University with a nominal value of $2,313,448 (2016: $1,870,139) were
   impaired. The amount of the provision was $2,313,448 (2016: $1,870,139). The individually impaired receivables mainly relate
   to student fees not yet collected and a wide variety of trade debtors. It was assessed that a portion of the receivables is
   expected to be recovered.
   The ageing of these receivables is as follows:
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   0 to 3 months 140 7 140 7
   3 to 6 months 984 603 984 603
   6 to 12 months 262 467 262 467
   Over 12 months 927 793 927 793
   2,313 1,870 2,313 1,870
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 47
   13 Receivables (continued)
   (a) Impaired receivables (continued)
   Movements in the provision for impaired receivables are as follows:
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   At 1 January 1,870 1,846 1,870 1,845
   Provision for impairment recognised during the year 2,313 1,870 2,313 1,870
   Receivables written off during the year as
   uncollectible 787 501 787 501
   Unused amount reversed (2,657) (2,347) (2,657) (2,346)
   At 31 December 2,313 1,870 2,313 1,870
   The creation and release of the provision for impaired receivables has been included in ‘impairment of assets’ in the income
   statement. Amounts charged to the provision account are generally written off when there is no expectation of recovering
   additional cash.
   The other amounts within receivables do not contain impaired assets and are not past due. Based on credit history, it is
   expected that these amounts will be received when due.
   Collectability of trade receivables is reviewed on an ongoing basis. Debts that are known to be uncollectible are written
   off. A provision for impairment of receivables is established when there is objective evidence that the University will not
   be able to collect all amounts due according to the original terms of receivables. Significant financial difficulties of the
   debtor, probability that the debtor will enter bankruptcy or financial reorganisation, and default or delinquency in payments
   (more than 30 days overdue) are considered indicators that the trade receivable is impaired. The amount of the provision
   is the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted at
   the effective interest rate. Cash flows relating to short‑term receivables are not discounted if the effect of discounting is
   immaterial. The amount of the provision is recognised in the income statement.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   48 Southern Cross University Annual Report 2017
   14 Investments accounted for using the equity method
   Associates
   Quoted fair value $ Ownership Interest %
   Name of Entity
   Place of business/
   Country of
   incorporation
   Measurement
   method 2017 2016 2017 2016
   Coffs Harbour
   Technology Park Ltd Coffs Harbour, Australia At Cost 175 175 33.33 33.33
   Summarised financial information for individually material associates is set out below:
   2017
   $’000
   2016
   $’000
   Financial Position
   Current assets 101 104
   Non‑current assets 921 954
   Total assets 1,022 1,058
   Current liabilities 25 28
   Non‑current liabilities 96 96
   Total liabilities 121 124
   Net assets 901 934
   Reconciliation of carrying amounts:
   Balance at 1 January 312 316
   Share of profit/(loss) for year (11) (4)
   Balance at 31 December 301 312
   Financial Performance
   Income 110 102
   Profit/(loss) from continuing operations (34) (13)
   Total comprehensive income (34) (13)
   Share of associates’ profit/(loss) (11) (4)
   (a) Associates
   Associates are all entities over which the University has significant influence but not control. Investments in associates are
   accounted for in the parent entity financial statements using the cost method or the equity method, and in the consolidated
   financial statements using the equity method of accounting, after initially being recognised at cost. The University’s
   investment in associates includes goodwill (net of any accumulated impairment loss) identified on acquisition
   The University’s share of its associates’ post acquisition profits or losses is recognised in the income statement, and its
   share of post acquisition movements in reserves is recognised in reserves. The cumulative post acquisition movements
   are adjusted against the carrying amount of the investment. Dividends receivable from associates are recognised in the
   parent entity’s income statement, while in the consolidated financial statements they reduce the carrying amount of the
   investment.
   Gains or losses resulting from ‘upstream’ and ‘downstream’ transactions, involving assets that do not constitute a business,
   are recognised in the parent’s financial statements only to the extent of unrelated investors’ interests in the associate or
   joint venture. Gains or losses resulting from the contribution of non‑monetary assets in exchange for an equity interest are
   accounted for in the same method.
   When the University’s share of losses in an associate equals or exceeds its interest in the associate, including any other
   unsecured receivables, the University does not recognise further losses, unless it has incurred obligations or made payments
   on behalf of the associate.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 49
   15 Other financial assets
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Non‑current
   Available for sale
   ‑ Shares in unlisted entities 15,700 11,027 15,700 11,027
   Total non‑current other financial assets 15,700 11,027 15,700 11,027
   Classification
   The University classifies its investments in the following categories: financial assets at fair value through profit or loss, loans
   and receivables, held‑to‑maturity investments, and available‑for‑sale financial assets. The classification depends on the
   purpose for which the investments were acquired. Management determines the classification of its investments at initial
   recognition and, in the case of assets classified as held‑to‑maturity, re‑evaluates this designation at each reporting date.
   (i) Available‑for‑sale financial assets
   Available‑for‑sale financial assets, comprising principally marketable equity securities, are non‑derivatives that are either
   designated in this category or not classified in any of the other categories. They are included in non‑current assets unless
   management intends to dispose of the investment within 12 months of the end of the reporting period.
   Regular purchases and sales of financial assets are recognised on trade date ‑ the date on which the University commits to
   purchase or sell the asset. Investments are initially recognised at fair value plus transaction costs for all financial assets not
   carried at fair value through profit or loss. Financial assets carried at fair value through profit or loss are initially recognised
   at fair value and transaction costs are expensed in the income statement. Financial assets are derecognised when the rights
   to receive cash flows from the financial assets have expired or have been transferred and the University has transferred
   substantially all the risks and rewards of ownership.
   When securities classified as available‑for‑sale are sold, the accumulated fair value adjustments recognised in other
   comprehensive income are included in the income statement as gains and losses from investment securities.
   Subsequent measurement
   Available‑for‑sale financial assets and financial assets at fair value through profit or loss are subsequently carried at fair
   value. Loans and receivables and held‑to‑maturity investments are carried at amortised cost using the effective interest
   method. Gains or losses arising from changes in the fair value of the ‘financial assets at fair value through profit or loss’
   category are included in the income statement within other income or other expenses in the period in which they arise.
   Impairment
   The University assesses at each balance date whether there is objective evidence that a financial asset or group of financial
   assets is impaired. In the case of equity securities classified as available‑for‑sale, a significant or prolonged decline in the
   fair value of a security below its cost is considered in determining whether the security is impaired. If any such evidence
   exists for available‑for‑sale financial assets, the cumulative loss measured as the difference between the acquisition cost
   and the current fair value, less any impairment loss on that financial asset previously recognised in profit or loss ‑ is removed
   from equity and recognised in the income statement. Impairment losses recognised in the income statement on equity
   instruments are not reversed through the income statement.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   50 Southern Cross University Annual Report 2017
   16 Property, plant and equipment
   Parent
   Land
   $’000
   Buildings
   $’000
   Plant and
   equipment
   $’000
   Infrastructure
   $’000
   Improvements
   $’000
   Library
   collections
   $’000
   Capital Works
   in Progress
   $’000
   Total
   $’000
   At 1 January 2016
   At cost 12,224 222,647 60,810 25,630 43 8,827 5,378 335,559
   Accumulated depreciation – (47,438) (27,969) (4,438) (4) (8,027) – (87,876)
   Accumulated impairment – (112) – (1,431) – (683) – (2,226)
   Net book amount 12,224 175,097 32,841 19,761 39 117 5,378 245,457
   Year ended 31 December 2016
   Opening net book amount 12,224 175,097 32,841 19,761 39 117 5,378 245,457
   Additions – 23 4,014 56 – – 26,647 30,740
   Disposals (250) (1,983) (365) (349) – – – (2,947)
   Depreciation charge – (5,936) (5,792) (836) (3) – – (12,567)
   Impairment reversal in income – – – 168 – – – 168
   Transfers – 113 413 561 – – (1,087) –
   Closing net book amount 11,974 167,314 31,111 19,361 36 117 30,938 260,851
   At 31 December 2016
   At cost 11,974 220,036 62,105 25,790 43 8,827 30,938 359,713
   Accumulated depreciation – (52,610) (30,994) (5,166) (7) (8,027) – (96,804)
   Accumulated impairment – (112) – (1,263) – (683) – (2,058)
   Net book amount 11,974 167,314 31,111 19,361 36 117 30,938 260,851
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 51
   16 Property, plant and equipment (continued)
   Parent
   Land
   $’000
   Buildings
   $’000
   Plant and
   equipment
   $’000
   Infrastructure
   $’000
   Improvements
   $’000
   Library
   collections
   $’000
   Capital Works
   in Progress
   $’000
   Total
   $’000
   At 1 January 2017
   At cost 11,974 220,036 62,105 25,790 43 8,827 30,938 359,713
   Accumulated depreciation – (52,610) (30,994) (5,166) (7) (8,027) – (96,804)
   Accumulated impairment – (112) – (1,263) – (683) – (2,058)
   Net book amount 11,974 167,314 31,111 19,361 36 117 30,938 260,851
   Year ended 31 December 2017
   Opening net book amount 11,974 167,314 31,111 19,361 36 117 30,938 260,851
   Additions – – 4,932 79 – – 18,893 23,904
   Disposals – – (786) – – – – (786)
   Depreciation expense – (6,198) (6,223) (687) (2) – – (13,110)
   Transfers – 33,927 9,463 900 – – (44,290) –
   Closing net book amount 11,974 195,043 38,497 19,653 34 117 5,541 270,859
   At 31 December 2017
   At cost 11,974 253,963 72,359 26,770 43 8,827 5,541 379,477
   Accumulated depreciation – (58,808) (33,862) (5,854) (9) (8,027) – (106,560)
   Accumulated Impairment – (112) – (1,263) – (683) – (2,058)
   Net book amount 11,974 195,043 38,497 19,653 34 117 5,541 270,859
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   52 Southern Cross University Annual Report 2017
   16 Property, plant and equipment (continued)
   Consolidated
   Land
   $’000
   Buildings
   $’000
   Plant and
   equipment
   $’000
   Infrastructure
   $’000
   Improvements
   $’000
   Library
   collections
   $’000
   Capital Works
   in Progress
   $’000
   Total
   $’000
   At 1 January 2016
   At cost 12,224 222,647 61,047 25,630 43 8,827 5,378 335,796
   Accumulated depreciation – (47,438) (28,033) (4,438) (4) (8,027) – (87,940)
   Accumulated impairment – (112) – (1,431) – (683) – (2,226)
   Net book amount 12,224 175,097 33,014 19,761 39 117 5,378 245,630
   Year ended 31 December 2016
   Opening net book amount 12,224 175,097 33,014 19,761 39 117 5,378 245,630
   Additions – 23 4,014 56 – – 26,647 30,740
   Disposals (250) (1,983) (365) (349) – – – (2,947)
   Depreciation expense – (5,936) (5,825) (836) (3) – – (12,600)
   Impairment reversal in income – – – 168 – – – 168
   Transfers – 113 413 561 – – (1,087) –
   Closing net book amount 11,974 167,314 31,251 19,361 36 117 30,938 260,991
   At 31 December 2016
   At cost 11,974 220,036 62,313 25,790 43 8,827 30,938 359,921
   Accumulated depreciation – (52,610) (31,062) (5,166) (7) (8,027) – (96,872)
   Accumulated impairment – (112) – (1,263) – (683) – (2,058)
   Net book amount 11,974 167,314 31,251 19,361 36 117 30,938 260,991
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 53
   16 Property, plant and equipment (continued)
   Consolidated
   Land
   $’000
   Buildings
   $’000
   Plant and
   equipment
   $’000
   Infrastructure
   $’000
   Improvements
   $’000
   Library
   collections
   $’000
   Capital Works in
   Progress
   $’000
   Total
   $’000
   At 1 January 2017
   At cost 11,974 220,036 62,313 25,790 43 8,827 30,938 359,921
   Accumulated depreciation – (52,610) (31,062) (5,166) (7) (8,027) – (96,872)
   Accumulated impairment – (112) – (1,263) – (683) – (2,058)
   Net book amount 11,974 167,314 31,251 19,361 36 117 30,938 260,991
   Year ended 31 December 2017
   Opening net book amount 11,974 167,314 31,251 19,361 36 117 30,938 260,991
   Additions – – 4,986 79 – – 18,893 23,958
   Disposals – – (807) – – – – (807)
   Depreciation expense – (6,198) (6,258) (687) (2) – – (13,145)
   Transfers – 33,927 9,463 900 – – (44,290) –
   Closing net book amount 11,974 195,043 38,635 19,653 34 117 5,541 270,997
   At 31 December 2017
   At cost 11,974 253,963 72,598 26,770 43 8,827 5,541 379,716
   Accumulated depreciation – (58,808) (33,963) (5,854) (9) (8,027) – (106,661)
   Accumulated impairment – (112) – (1,263) – (683) – (2,058)
   Net book amount 11,974 195,043 38,635 19,653 34 117 5,541 270,997
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   54 Southern Cross University Annual Report 2017
   16 Property, plant and equipment (continued)
   Property, plant and equipment is shown at cost less depreciation. Historical cost includes expenditure that is directly
   attributable to the acquisition of the items.
   Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset, as appropriate, only when
   it is probable that future economic benefits associated with the item will flow to the University and the cost of the item can
   be measured reliably. All other repairs and maintenance are charged to the income statement during the financial period in
   which they are incurred.
   The assets’ residual values and useful lives are reviewed, and adjusted if appropriate, at the end of each reporting period.
   An asset’s carrying amount is written down immediately to its recoverable amount if the asset’s carrying amount is greater
   than its estimated recoverable amount.
   17 Trade and other payables
   Consolidated Parent
   Note
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Current
   Trade creditors 14,474 14,697 14,391 14,594
   Australian Government unspent financial
   assistance 3,783 – 3,783 –
   OS‑HELP liability to Australian Government 34(h) 26 176 26 176
   Total current trade and other payables 18,283 14,873 18,200 14,770
   These amounts represent liabilities for goods and services provided to the University prior to the end of financial year, which
   are unpaid. The amounts are unsecured and are usually paid within 30 days of recognition.
   18 Borrowings
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Current Borrowings
   Unsecured
   Bank loans 2,440 2,440 2,440 2,440
   Total current borrowings 2,440 2,440 2,440 2,440
   Non‑current Borrowings
   Unsecured
   Bank loans 7,580 10,020 7,580 10,020
   Total non‑current borrowings 7,580 10,020 7,580 10,020
   Total borrowings 10,020 12,460 10,020 12,460
   (a) Assets pledged as security
   The University has no assets pledged as security for borrowings drawn during the year ended 31 December 2017 (2016: Nil).
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 55
   18 Borrowings (continued)
   (b) Financing arrangements
   Unrestricted access was available at reporting date to the following lines of credit:
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Credit standby arrangements
   Total facilities 5,000 5,000 5,000 5,000
   Used at balance date (168) (166) (168) (166)
   Total unused at balance date 4,832 4,834 4,832 4,834
   Bank loan facilities
   Total facilities 34,000 36,460 34,000 36,460
   Used at balance date (10,020) (12,460) (10,020) (12,460)
   Total unused at balance date 23,980 24,000 23,980 24,000
   (c) Bank loans
   On 21 December 2017, Southern Cross University re‑negotiated its loan facility with the ANZ Banking Group Limited
   to reduce its facility to $34 million for a term of 5 years.
   (d) Fair value
   The carrying amounts and fair values of borrowings at reporting date are:
   2017 2016
   Carrying
   amount
   $’000
   Fair
   value
   $’000
   Carrying
   amount
   $’000
   Fair
   value
   $’000
   On‑balance sheet
   Bank loans 10,020 10,020 12,460 12,460
   Total borrowings 10,020 10,020 12,460 12,460
   The fair value of current borrowings equals their carrying amount as the impact of discounting is not significant.
   (e) Risk exposures
   The exposure of the University’s borrowings to interest rate changes and the contractual repricing dates at the balance
   dates are as follows:
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Between one and five years 10,020 12,460 10,020 12,460
   Total borrowings 10,020 12,460 10,020 12,460
   Current borrowings 2,440 2,440 2,440 2,440
   Non‑current borrowings 7,580 10,020 7,580 10,020
   Total borrowings 10,020 12,460 10,020 12,460
   The carrying amounts of the University’s borrowings are denominated in Australian dollars. For an analysis of the sensitivity
   of borrowings to interest rate risk, refer to note 31.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   56 Southern Cross University Annual Report 2017
   18 Borrowings (continued)
   (f) Reconciliation of liabilities arising from financing activities
   2016 Cash flows 2017
   $’000 $’000 $’000
   Long‑term borrowings 12,460 (2,440) 10,020
   Total liabilities from financing activities 12,460 (2,440) 10,020
   Borrowings are initially recognised at fair value, net of transaction costs incurred. Borrowings are subsequently measured at
   amortised cost. Any difference between the proceeds (net of transaction costs) and the redemption amount is recognised in
   the income statement over the period of the borrowings using the effective interest method. Fees paid on the establishment
   of loan facilities, which are not an incremental cost relating to the actual draw‑down of the facility, are recognised as
   prepayments and amortised on a straight‑line basis over the term of the facility.
   Borrowings are removed from the statement of financial position when the obligation specified in the contract is discharged,
   cancelled or expired. The difference between the carrying amount of a financial liability that has been extinguished or
   transferred to another party and the consideration paid, including any non‑cash assets transferred or liabilities assumed, is
   recognised in other income or other expenses.
   Borrowings are classified as current liabilities unless the University has an unconditional right to defer settlement of the
   liability for at least 12 months after the end of the reporting period and does not expect to settle the liability for at least
   12 months after the end of the reporting period.
   19 Provisions
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Current provisions expected to be settled within
   12 months
   Employee benefits
   Annual leave 6,919 6,617 6,873 6,581
   Long service leave 4,738 4,349 4,733 4,346
   11,657 10,966 11,606 10,927
   Current provisions expected to be settled after
   more than 12 months
   Employee benefits
   Annual leave 1,803 1,906 1,772 1,882
   Long service leave 12,443 12,044 12,420 12,033
   14,246 13,950 14,192 13,915
   Total current provisions 25,903 24,916 25,798 24,842
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 57
   19 Provisions (continued)
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Non‑current provisions
   Employee benefits
   Long service leave 3,389 3,565 3,381 3,547
   Defined benefit obligation 92,362 87,108 92,362 87,108
   Total non‑current provisions 95,751 90,673 95,743 90,655
   Total provisions 121,654 115,589 121,541 115,497
   Provisions are measured at the present value of management’s best estimate of the expenditure required to settle the
   present obligation at the end of the reporting period. The discount rate used to determine the present value reflects current
   market assessments of the time value of money and the risks specific to the liability.
   Where there are a number of similar obligations, the likelihood that an outflow will be required in settlement is determined
   by considering the class of obligations as a whole. A provision is recognised even if the likelihood of an outflow with respect
   to any one item included in the same class of obligations may be small.
   Employee benefits
   (i) Short‑term obligations
   Liabilities for short‑term employee benefits including wages and salaries, non‑monetary benefits are measured at the
   amount expected to be paid when the liability is settled, if it is expected to be settled wholly before 12 months after the end
   of the reporting period, and is recognised in other payables. Liabilities for non‑accumulating sick leave are recognised when
   the leave is taken and measured at the rates payable.
   (ii) Other long‑term obligations
   The liability for other long‑term benefits are those that are not expected to be settled wholly before twelve months after
   the end of the annual reporting period. Other long‑term employee benefits include such things as annual leave and long
   service leave liabilities.
   It is measured at the present value of expected future payments to be made in respect of services provided by employees
   up to the reporting date using the projected unit credit method. Consideration is given to expected future wage and salary
   levels, experience of employee departures and periods of service. Expected future payments are discounted using market
   yields at the reporting date on national government bonds with terms to maturity and currency that match, as closely as
   possible, the estimated future cash outflows.
   Regardless of the expected timing of settlements, provisions made in respect of employee benefits are classified as a
   current liability, unless there is an unconditional right to defer the settlement of the liability for at least 12 months after the
   reporting date, in which case it would be classified as a non‑current liability.
   (iii) Retirement benefit obligations
   Refer to note 33.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   58 Southern Cross University Annual Report 2017
   20 Other liabilities
   Consolidated Parent
   Note
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Current
   Lease incentive 54 54 54 54
   Other income received in advance 3,764 3,476 3,764 3,476
   Student Fees received in advance 14,083 9,553 14,042 9,524
   Total current other liabilities 17,901 13,083 17,860 13,054
   Non‑current
   Lease incentive 1,542 1,597 1,542 1,597
   Total non‑current other liabilities 1,542 1,597 1,542 1,597
   Total other liabilities 19,443 14,680 19,402 14,651
   21 Reserves and retained earnings
   (a) Reserves
   Consolidated Parent
   Note
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Reserves
   Available‑for‑sale investments revaluation
   surplus 15,700 11,027 15,700 11,027
   Total reserves 15,700 11,027 15,700 11,027
   Movements
   Available‑for‑sale investments revaluation
   surplus
   Balance 1 January 11,027 9,198 11,027 9,198
   Gain on revaluation of available for sale
   financial assets 4,673 1,829 4,673 1,829
   Balance 31 December 15,700 11,027 15,700 11,027
   Total reserves 15,700 11,027 15,700 11,027
   Retained earnings at 1 January 229,655 212,888 229,666 212,657
   Net result for the period (4,158) 16,769 (3,766) 17,011
   Remeasurements of defined benefit plans 33(e) (141) (2) (141) (2)
   Retained earnings at 31 December 225,356 229,655 225,759 229,666
   (b) Nature and purpose of reserves
   Available‑for‑sale investments revaluation reserve
   The reserve reflects the difference between the carrying cost and market value of available‑for‑sale investments.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 59
   22 Key management personnel disclosures
   (a) Names of responsible persons
   The following persons were responsible persons of Southern Cross University during the financial year:
   Official Council Members
   Mr Nicholas Burton Taylor AM, Chancellor
   Professor Adam Shoemaker, Vice Chancellor
   Professor Susan Nancarrow, Chair Academic Board
   Professor Mark Hughes, Chair Academic Board
   Ministerial Appointments
   Murray d’Almeida
   Elected Council Members
   Professor William Boyd
   Associate Professor Adele Wessell
   Toni Ledgerwood
   Michael Jones
   Council Appointed Members
   Dr Austin Curtin
   Neale Genge
   Julie Granger
   Anthony Matis
   John Shanahan
   Margot Sweeny
   Christian Lugnan
   Lynda O’Grady
   Council members whose term concluded in 2017 are as follows:
   Margot Sweeny
   John Shanahan
   Neale Genge
   Christian Lugnan
   Anthony Matis
   Susan Nancarrow
   (b) Names of executive officers
   The following persons had executive authority and responsibility for planning, directing and controlling the activities
   of Southern Cross University during the financial year:
   Professor Adam Shoemaker Vice Chancellor
   Professor Geraldine Mackenzie Deputy Vice Chancellor (Research)
   Professor Susan Nancarrow Associate Deputy Vice Chancellor (Research)/
   Deputy Vice Chancellor (Research)
   Professor Andrew McAuley Deputy Vice Chancellor (Academic)
   Professor John Jenkins Deputy Vice Chancellor (Academic)
   Professor Nanette Bahr Pro Vice Chancellor (Students) and Dean of Education
   Chris Patton Vice President (Global)
   Monty Singh Vice President (Global)
   Helen Hughes Executive Director, Community and Corporate Relations
   Allan Morris Vice President (Operations)
   Travis Walker Vice President (Finance)
   Ben Roche Pro Vice Chancellor (Engagement)
   At the reporting date of 31 December 2017, Professor Geraldine Mackenzie, Professor Andrew McAuley, Chris Patton
   and Helen Hughes were no longer executive officers.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   60 Southern Cross University Annual Report 2017
   22 Key management personnel disclosures (continued)
   (c) Remuneration of board members and executives
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Remuneration of Board Members
   Nil to $14,999 11 10 11 10
   $15,000 to $29,999 1 – 1 –
   $90,000 to $104,999 1 – 1 –
   $105,000 to $119,999 – 1 – 1
   $120,000 to $134,999 1 – 1 –
   $135,000 to $149,999 – 1 – 1
   $180,000 to $194,999 2 2 2 2
   $210,000 to $224,999 – 1 – 1
   $495,000 to $509,999 – 1 – 1
   $750,000 to $764,999 1 – 1 –
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Remuneration of executive officers
   $75,000 to $89,999 1 – 1 –
   $90,000 to $104,999 1 – 1 –
   $120,000 to $134,999 1 – 1 –
   $180,000 to $194,999 1 1 1 1
   $195,000 to $209,999 1 – 1 –
   $270,000 to $284,999 1 – 1 –
   $315,000 to $329,999 – 2 – 2
   $330,000 to $344,999 4 3 4 3
   $405,000 to $419,999 – 1 – 1
   $450,000 to $464,999 1 1 1 1
   $495,000 to $509,999 – 1 – 1
   $750,000 to $764,999 1 – 1 –
   Remuneration bands for the Vice Chancellor appear in both tables above as this management position is a responsible
   person and an executive officer.
   Four executive officers ceased in 2017, three new executive officers commenced and two executive officer positions were
   filled in an acting capacity.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 61
   22 Key management personnel disclosures (continued)
   (d) Key management personnel compensation
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Short‑term employee benefits 3,219 3,314 3,219 3,314
   Post‑employment benefits 480 486 480 486
   Other long‑term benefits 78 33 78 33
   Termination benefits 354 61 354 61
   4,131 3,894 4,131 3,894
   23 Remuneration of auditors
   During the year, the following fees were paid for services provided by the auditor of the parent entity, its related practices
   and non‑related audit firms:
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Audit of the Financial Statements
   Fees paid to the Audit Office of NSW 201 197 173 170
   Total paid for audit 201 197 173 170
   Other audit and assurance services
   Fees paid to the Audit Office of NSW 11 11 11 11
   Fees paid to firms unrelated to the
   Audit Office of NSW 115 112 115 112
   Total paid for audit and assurance 126 123 126 123
   24 Contingencies
   (a) Contingent liabilities
   Bank Guarantees
   The University has entered into bank guarantees with ANZ Banking Group Limited for $167,868 (2016: $165,520).
   These guarantees are in respect of leased premises at the University’s Gold Coast and Sydney campuses.
   Claims
   There are no litigation claims in progress against the University at balance date.
   Letter of comfort to subsidiary
   The University has provided its subsidiary (Southern Cross Campus Services Ltd formerly Norsearch Limited) a letter
   of comfort guaranteeing the liabilities of the controlled entity. At the date of this report the net liabilities of the controlled
   entity total $‑530,491 (2016: $‑151,749).
   (b) Contingent assets
   Bonds and guarantees
   The University entered into a construction contract in 2015. The parties agreed to enter into a performance bond up to
   $84,916 and a maintenance bond up to $900,947, both in favour of the University. These performance bonds are in respect
   to obligations for the construction of a building.
   The University has entered into a bank guarantee with Commonwealth Bank of Australia for $12,354 in favour of the
   University. This bank guarantee is in respect of obligations for the provision of a laboratory.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   62 Southern Cross University Annual Report 2017
   25 Commitments
   (a) Capital commitments
   Capital expenditure contracted for purpose of acquiring property, plant and equipment assets at the reporting date, but not
   recognised as liabilities are:
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Property, plant and equipment
   Within one year 2,355 16,897 2,355 16,897
   Between one and five years – 459 – 459
   Total capital commitments 2,355 17,356 2,355 17,356
   (b) Operating lease commitments
   The University leases office space, equipment, carparks and premises under non‑cancelable operating leases expiring within
   one to thirty years. The leases have varying terms and renewal rights. On renewal, the terms of the leases are renegotiated.
   Commitments for minimum lease payments in relation to non‑cancelable operating leases are payable as follows:
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Within one year 3,532 3,579 3,532 3,579
   Between one and five years 8,114 8,386 8,114 8,386
   Later than five years 67,253 68,521 67,253 68,521
   Total future minimum lease payments 78,899 80,486 78,899 80,486
   26 Related Parties
   (a) Parent entities
   The ultimate parent entity is Southern Cross University, which is incorporated in Australia.
   (b) Subsidiaries
   Interests in subsidiaries are set out in note 27.
   (c) Key management personnel
   Disclosures relating to directors and specified executives are set out in note 22.
   (d) Transactions with related parties
   The following transactions occurred between related parties:
   Parent
   2017
   $’000
   2016
   $’000
   Sale of goods and services
   Recoveries for other expenses 2 3
   Purchase of goods
   Catering and accommodation 217 165
   External labour hire 559 597
   Management fees – 21
   Other transactions
   Other costs 115 31
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 63
   26 Related Parties (continued)
   (e) Loans to related parties
   Consolidated Parent
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Loans to associated companies
   Beginning of the year 16 16 16 16
   End of year 16 16 16 16
   (f) Outstanding balances
   The following balances are outstanding at the reporting date in relation to transactions with related parties:
   Current receivables
   Subsidiary 562 189
   No provisions for doubtful debts have been raised in relation to any outstanding balances, and no expense has been
   recognised in respect of bad or doubtful debts due from related parties.
   (g) Guarantees
   There have been no guarantees given by the parent entity to its subsidiary as at balance date (2016: Nil)
   A letter of unconditional financial support has been provided by Southern Cross University to Southern Cross Campus
   Services Limited. The ultimate parent entity will support the entity financially to ensure that the entity can pay its debts as
   and when they fall due.
   (h) Terms and Conditions
   Related party outstanding balances are unsecured and have been provided on interest‑free terms.
   Transactions between related parties are on normal commercial terms and conditions no more favourable than those
   available to other parties unless otherwise stated.
   27 Subsidiaries
   The consolidated financial statements incorporate the assets, liabilities and results of the following subsidiary in accordance
   with the accounting policy described below.
   Ownership interest
   Name of Entity Principle place of business 2017 % 2016 %
   Southern Cross Campus Services Limited
   (previously Norsearch Limited) Australia 100.00 100.00
   Subsidiaries
   The consolidated financial statements incorporate the assets and liabilities of the subsidiary of Southern Cross University
   (‘’parent entity’’) as at 31 December 2017 and the results of all subsidiary for the year then ended. Southern Cross University
   and its subsidiary together are referred to in this financial report as the University or the consolidated entity.
   Subsidiaries are all those entities (including structured entities) over which the University has control. The University has
   control over an investee when it is exposed, or has rights, to variable returns from its involvement with the investee and has
   the ability to affect those returns through its power over the investee. Power over the investee exists when the Group has
   existing rights that give it current ability to direct the relevant activities of the investee. The existence and effect of potential
   voting rights that are currently exercisable or convertible are considered when assessing whether the University controls
   another entity.
   Subsidiaries are fully consolidated from the date on which control is transferred to the University. They are de‑consolidated
   from the date that control ceases.
   Intercompany transactions, balances and unrealised gains on transactions between Group companies are eliminated.
   Unrealised losses are also eliminated unless the transaction provides evidence of the impairment of the asset transferred.
   Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted
   by the University.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   64 Southern Cross University Annual Report 2017
   28 Joint Operations
   The University has entered into the following joint operations.
   Controlling Interest
   Name of joint operation Nature of relationship Principle place of business 2017 2016
   The Hotel School
   Represents a partnership with
   Mulpha Education Group Pty
   Ltd for the purpose of the
   education and development
   of students who are either
   employed, or wishing to be
   employed, in the hotel and
   tourism industries.
   Sydney and Melbourne 50.00 50.00
   Coffs Harbour Education
   Campus
   Represents the development
   and continued operation of a
   joint educational precinct with
   Coffs Harbour Senior College
   and North Coast TAFE at the
   Coffs Harbour campus
   Coffs Harbour 33.33 33.33
   Under AASB11 investments in joint arrangements are classified as either joint operations or joint ventures depending on the
   contractual rights and obligations each investor has, rather than the legal structure of the joint arrangement.
   The University’s share of assets, liabilities, revenue and expenses of each joint operation have been incorporated in the
   financial statements under the appropriate headings.
   The assets and liabilities employed in the above jointly controlled operations, including the Southern Cross University’s
   share of any assets and liabilities held jointly, are detailed below.
   The amounts are included in the financial statements under their respective categories.
   2017
   $’000
   2016
   $’000
   Assets (including share of jointly held assets) 20,591 21,109
   Liabilities (including jointly incurred) 944 772
   The revenue and expenses raised or incurred in the above jointly controlled operations, including the Southern Cross
   University’s share of any revenue or jointly incurred expenses, are detailed below. The amounts are included in financial
   statements under their respective categories.
   Share of revenue from joint operation 5,150 4,096
   Expenses (including jointly incurred) 3,956 2,918
   29 Events Occurring After the Reporting Date
   No matters or circumstances have arisen since the end of the financial year which significantly affected or could significantly
   affect the operations of the University, the results of those operations, or the state of affairs of the University in future
   financial years.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 65
   30 Reconciliation of net result to net cash provided by / (used in) operating activities
   Consolidated Parent
   Note
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Net result for the period (4,158) 16,769 (3,766) 17,011
   Depreciation and amortisation 9 13,218 12,714 13,183 12,681
   Impairment loss on assets 10 1,238 323 1,238 323
   Net loss on sale of non‑current assets 119 396 113 402
   Net foreign exchange differences 108 138 108 138
   Share of associate net profit after income tax
   and dividends 11 4 – –
   Fair value adjustments to derivative financial
   liabilities – (121) – (121)
   Change in operating assets and liabilities:
   (Increase) / decrease in trade and other
   receivables 2,538 (5,689) 2,174 (5,862)
   (Increase) / decrease in inventories (62) (104) (62) (92)
   (Increase) / decrease in other assets 78 (315) 78 (315)
   Increase / (decrease) in trade payables and
   accruals 5,298 1,369 5,317 1,343
   Increase / (decrease) in other provisions 951 1,590 930 1,580
   Increase / (decrease) in other operating
   liabilities 4,471 1,137 4,456 1,148
   Net cash provided by / (used in)
   operating activities 23,810 28,211 23,769 28,236
   31 Financial risk management
   The University’s activities expose it to a variety of financial risks such as: market risk (including currency risk, fair value
   interest rate risk, cash flow interest rate risk and price risk), credit risk and liquidity risk. The University’s overall risk
   management program focuses on the unpredictability of financial markets and seeks to minimise potential adverse
   effects on the financial performance of the University.
   The University may use derivative financial instruments such as interest rate swaps to hedge certain risk exposures.
   The University uses different methods to measure different types of risk to which it is exposed. These methods include
   sensitivity analysis in the case of interest rate, foreign exchange and other price risks and ageing analysis for credit risk.
   Risk management is carried out by a central group treasury department under policies approved by the University Council.
   The University does not enter into or trade financial instruments for speculative purposes.
   (a) Market risk
   (i) Foreign exchange risk
   The University undertakes transactions with other educational institutions denominated in foreign currencies, hence
   exposures to exchange rate fluctuations arise. At reporting date the transactions were insignificant and the movement
   in rates throughout the year was not considered high risk.
   (ii) Price risk
   Price risk arises on financial instruments because of changes in equity prices in shares in unlisted entities.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   66 Southern Cross University Annual Report 2017
   31 Financial risk management (continued)
   (a) Market risk (continued)
   (iii) Cash flow and fair value interest rate risk
   Interest rate risk refers to the risk that the value of a financial instrument or cash flows associated with the instrument will
   fluctuate due to changes in market interest rates.
   The University’s exposure to market interest rates relates primarily to the University’s long term borrowings and investments
   held as interest bearing deposits and on‑call bank deposits. It is policy to protect part of the borrowings from exposure to
   increasing interest rates.
   The University exited an interest rate swap on 24 April 2017 which was originally entered into on 23 May 2014, for a term
   of 4 years. As a result, at 31 December 2017 the interest rate swap liability had a market value of $0 (2016: $294,613).
   The liability was recorded in derivative financial instruments in the statement of financial position.
   Any gain or loss from remeasuring the hedging instruments at fair value is deferred in equity in the hedging reserve, to the
   extent that the hedge is effective, and reclassified to income statement when the hedged interest expense is recognised.
   The ineffective portion is recognised in the income statement immediately.
   The swap noted above was not effective for hedge accounting, and remeasurements to fair value have therefore been
   recognised in the income statement as borrowing costs.
   (iv) Summarised sensitivity analysis
   The following table summarises the sensitivity of the University’s financial assets and financial liabilities to interest rate risk,
   foreign exchange risk and other price risk.
   31 December
   2017 Interest rate risk Foreign exchange risk Other price risk
   ‑1% +1% ‑1% +1% ‑10% +10%
   Carrying
   amount
   Result
   $’000
   Equity
   $’000
   Result
   $’000
   Equity
   $’000
   Result
   $’000
   Equity
   $’000
   Result
   $’000
   Equity
   $’000
   Result
   $’000
   Equity
   $’000
   Result
   $’000
   Equity
   $’000
   Financial
   assets
   Cash
   and cash
   tequivalents
   16,616 (116) (116) 116 116 – – – – – – – –
   Receivables 102,316 – – – – – – – – – – – –
   Other
   financial
   assets ‑
   Available
   for sale
   15,700 – – – – – – – – – (1,570) – 1,570
   Financial
   liabilities
   Trade
   and other
   payables
   (15,933) – – – – – – – – – – – –
   Borrowings (10,020) 100 100 (100) (100) – – – – – – – –
   Total (16) (16) 16 16 – – – – – (1,570) – 1,570
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 67
   31 Financial risk management (continued)
   (a) Market risk (continued)
   (iv) Summarised sensitivity analysis
   31 December
   2016 Interest rate risk Foreign exchange risk Other price risk
   ‑1% +1% ‑1% +1% ‑10% +10%
   Carrying
   amount
   Result
   $’000
   Equity
   $’000
   Result
   $’000
   Equity
   $’000
   Result
   $’000
   Equity
   $’000
   Result
   $’000
   Equity
   $’000
   Result
   $’000
   Equity
   $’000
   Result
   $’000
   Equity
   $’000
   Financial
   assets
   Cash and cash
   equivalents 20,404 (156) (156) 156 156 – – – – – – – –
   Receivables 100,977 – – – – 3 3 (3) (3) – – – –
   Other financial
   assets ‑
   Available for
   sale
   11,027 – – – – – – – – – (1,103) – 1,103
   Financial
   liabilities
   Trade and
   other payables (12,390) – – – – – – – – – – – –
   Borrowings (12,460) 125 125 (125) (125) – – – – – – – –
   Derivative
   financial
   instrument
   (295) (3) (3) 3 3 – – – – – – – –
   Total (34) (34) 34 34 3 3 (3) (3) – (1,103) – 1,103
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   68 Southern Cross University Annual Report 2017
   31 Financial risk management (continued)
   (b) Credit risk
   Trade accounts receivable consist of a large number of customers, spread across diverse industries and geographical areas.
   The receivables are assessed after 90 days and action taken to collect the debt.
   Impairment and provision against debtors has been duly considered in determining the carrying amounts of financial assets.
   There has been no change in managing credit risk since the prior year.
   The carrying amount of financial assets (as contained in the table in subnote 32(a) represents the University’s maximum
   exposure to credit risk.
   (c) Liquidity risk
   The University manages liquidity risk by maintaining adequate reserves, banking facilities and continuously monitoring forecast
   and actual cash flows to ensure that there is adequate liquidity to meet the University’s obligations over the near term.
   The interest bearing deposits and deposits at call have an average maturity of 31 days.
   There has been no variation to the objectives, policies and processes for liquidity risk since the prior period.
   The following tables summarise the maturity of the University’s financial assets and financial liabilities:
   Average
   Interest rate
   Variable
   interest rate
   Non
   Interest
   Within
   1 year 1 ‑ 5 years Total
   2017 2016
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Financial Assets:
   Cash and cash
   equivalents 1.98 2.28 16,587 20,373 29 31 16,588 20,373 – – 16,617 20,404
   Receivables – – – – 102,316 100,977 – – – – 102,316 100,977
   Total financial assets 16,587 20,373 102,345 101,008 16,588 20,373 – – 118,933 121,381
   Financial Liabilities:
   Payables – – – – 15,933 12,390 – – – – 15,933 12,390
   Borrowings 3.70 4.17 10,020 12,460 – – 2,440 2,440 7,580 10,020 10,020 12,460
   Derivative financial
   instrument – 3.16 – – – – – – – 295 – 295
   Total financial liabilities 10,020 12,460 15,933 12,390 2,440 2,440 7,580 10,315 25,953 25,145
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 69
   32 Fair value measurements
   (a) Fair value measurements
   The fair value of certain financial assets and financial liabilities must be estimated for recognition and measurement
   or for disclosure purposes.
   Due to the short‑term nature of current receivables, the carrying value is assumed to approximate the fair value and based
   on credit history, it is expected that the receivables that are neither past due nor impaired will be received when due.
   The carrying amounts and aggregate net fair values of financial assets and liabilities at balance date are:
   Carrying Amount Fair Value
   Consolidated
   2017
   $’000
   2016
   $’000
   2017
   $’000
   2016
   $’000
   Financial assets
   Cash and cash equivalents 16,617 20,404 16,617 20,404
   Receivables 102,316 100,977 102,316 100,977
   Investments using the equity method 301 312 301 312
   Other financial assets 15,700 11,027 15,700 11,027
   Total financial assets 134,934 132,720 134,934 132,720
   Financial Liabilities
   Payables 15,933 12,390 15,933 12,390
   Borrowings 10,020 12,460 10,020 12,460
   Derivative financial instrument – 295 – 295
   Total financial liabilities 25,953 25,145 25,953 25,145
   Parent
   Financial assets
   Cash and cash equivalents 16,545 20,334 16,545 20,334
   Receivables 102,292 100,961 102,292 100,961
   Investments using the equity method 175 175 175 175
   Other financial assets 15,700 11,027 15,700 11,027
   Total financial assets 134,712 132,497 134,712 132,497
   Financial Liabilities
   Payables 15,887 12,328 15,887 12,328
   Borrowings 10,020 12,460 10,020 12,460
   Derivative financial instrument – 295 – 295
   Total financial liabilities 25,907 25,083 25,907 25,083
   The University measures and recognises the following assets and liabilities at fair value on a recurring basis:
   ‑ Investments using the equity method
   ‑ Other financial assets
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   70 Southern Cross University Annual Report 2017
   32 Fair value measurements (continued)
   (b) Fair value hierarchy
   The University categorises financial assets and liabilities measured at fair value into a hierarchy based on the level of inputs
   used in measurements.
   Other
   Level 1 quoted prices (unadjusted) in active markets for identical assets or liabilities.
   Level 2 inputs other than quoted prices included within Level 1 that are observable for the asset or liability,
   either directly or indirectly.
   Level 3 inputs for the asset or liability that are not based on observable market data (unobservable inputs)
   (b) Fair value hierarchy (continued)
   (i) Recognised fair value measurements
   Fair value measurements recognised in the statement of financial position are categorised into the following levels.
   Fair value measurements at 31 December 2017
   Note
   2017
   $’000
   Level 2
   $’000
   Level 3
   $’000
   Financial assets
   Available‑for‑sale financial assets 15
   Equity instruments 15,700 15,700 –
   Investments using the equity method 14
   Associates 301 – 301
   Total financial assets 16,001 15,700 301
   Fair value measurements at 31 December 2016
   Note
   2016
   $’000
   Level 2
   $’000
   Level 3
   $’000
   Financial assets
   Available‑for‑sale financial assets 15
   ‑ Equity securities 11,027 11,027 –
   Investments using the equity method 14
   ‑ Associates 312 – 312
   Total financial assets 11,339 11,027 312
   Financial liabilities
   Derivatives financial instrument 295 295 –
   Total financial liabilities 295 295 –
   There were no transfers between levels 1,2 and 3 for recurring fair value measurements during the year.
   Southern Cross University’s policy is to recognise transfers into and transfers out of fair value hierarchy levels as at the end
   of the reporting period.
   (ii) Disclosed fair values
   Southern Cross University has a number of assets and liabilities which are not measured at fair value, but for which the fair
   values are disclosed in the notes.
   The carrying value less impairment provision of trade receivables and payables is a reasonable approximation of their fair
   values due to the short‑term nature of trade receivables.
   The fair value of current borrowings approximates the carrying amount, as the impact of discounting is not significant.
   Southern Cross University ABN 41 995 651 524
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 71
   32 Fair value measurements (continued)
   (c) Valuation techniques used to derive level 2 and level 3 fair values
   The fair value of financial instruments that are not traded in an active market is determined using valuation techniques.
   These valuation techniques maximise the use of observable market data where it is available and rely as little as possible
   on entity specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument
   is included in level 2.
   If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. This is
   the case for unlisted associated companies.
   The University uses a variety of methods and makes assumptions that are based on market conditions existing at each
   balance date. Specific valuation techniques used to value financial instruments include:

• The use of quoted market prices discounted to reflect the limited liquidity in the market for shareholders to sell their
  holding and the likely impact of a trade sale should the shareholders realise the value of their equity interests;
• Share of the net assets of unlisted entities;
• The fair value of interest rate swaps is calculated as the present value of the estimated future cash flows based
  on observable yield curves.
  All of the resulting fair value estimates are included in level 2 except for unlisted Associates.
  (d) Fair value measurements using significant unobservable inputs (level 3)
  The following table is a reconciliation of level 3 items for the periods ended 31 December 2017 and 2016.
  Level 3 Fair Value Measurement 2017
  Associates
  $’000
  Opening balance 312
  Recognised in net result (11)
  Closing balance 301
  Level 3 Fair Value Measurement 2016
  Opening balance 316
  Recognised in net result (4)
  Closing balance 312
  (i) Transfers between levels 2 and 3 and changes in valuation techniques
  There were no transfers of assets/liabilities between levels 2 and 3 during the financial year ended 31 December 2017.
  (ii) Valuation inputs and relationships to fair value
  There were no significant inter‑relationship between unobservable inputs that materially affects fair value
  Southern Cross University ABN 41 995 651 524
  Notes to the Financial Statements
  For the year ended 31 December 2017
  72 Southern Cross University Annual Report 2017
  33 Retirement benefit obligations
  All University employees, including casuals, receive superannuation benefits equal or exceeding the government
  superannuation guarantee levy.
  Defined Contribution Plan (Unisuper)
  The University contributes to the UniSuper Defined Benefit Plan (‘Unisuper) (formerly Superannuation Scheme for Australian
  Universities) SSAU for academic staff appointed since 1 March 1988 and all other staff from 1 July 1991. Unisuper is a post
  employment defined contribution plan into which the University pays fixed contributions. The Unisuper Defined Benefit
  Division (DBD) is a defined benefit plan under Superannuation Law but, as a result of Clause 34 of the Unisuper Trust Deed,
  a defined contribution plan under Accounting Standard AASB 119.
  Defined Benefit Plans (State Funds)
  The University contributes to three closed state pension schemes (as detailed in Note 33(a)), which are subject to
  reimbursement arrangements under the Higher Education Support Act 2003 in the proportion of 78:22 from the
  Commonwealth and the NSW State Government respectively.
  A non‑current receivable for deferred government superannuation benefits are the amounts recognised as reimbursement
  rights as they are the amounts expected to be received from the Australian and New South Wales (NSW) Governments for
  the emerging costs of the superannuation funds for the life of the liability.
  A liability in respect of defined benefit superannuation plans is recognised in the statement of financial position, and
  is measured as the present value of the defined benefit obligation at the reporting date less the fair value of the superannuation
  fund’s assets at that date. The present value of the defined benefit obligation is based on expected future payments which
  arise from membership of the fund to the reporting date, calculated annually by independent actuaries. Consideration
  is given to expected future wage and salary levels, experience of employee departures and periods of service.
  Expected future payments are discounted using market yields at the reporting date on national government bonds with
  terms to maturity and currency that match, as closely as possible, the estimated future cash outflows.
  Remeasurement gains and losses arising from experience adjustments and changes in actuarial assumptions are recognised
  in the period in which they occur, directly in other comprehensive income. They are included in retained earnings in the
  statement of changes in equity and in the statement of financial position. Past service costs are recognised in profit or loss
  immediately.
  The liabilities recorded in the statement of financial position under provisions, for all NSW Universities, have been determined
  by Mercer (Australia) Pty Ltd using consistent valuation techniques.
  (a) Fund specific disclosure
  i) Nature of the benefits provided
  The Pooled Fund holds in trust the investments of the closed NSW public sector superannuation schemes:
  ‑ State Superannuation Scheme (SSS)
  ‑ State Authorities Non‑Contributory Superannuation Scheme (SANCS)
  ‑ State Authorities Superannuation Scheme (SASS)
  These schemes are all defined benefit schemes ‑ at least a component of the final benefit is derived from a multiple of member
  salary and years of membership. Members receive a lump sum or pension benefits on retirement, death, disablement and
  withdrawal. All schemes are closed to new members.
  Southern Cross University ABN 41 995 651 524
  Notes to the Financial Statements
  For the year ended 31 December 2017
  Southern Cross University Annual Report 2017 73
  33 Retirement benefit obligations (continued)
  ii) Description of the regulatory framework
  The schemes in the Pooled Fund are established and governed by the following NSW legislation:
  ‑ Superannuation Act 1916
  ‑ State Authorities Superannuation Act 1987
  ‑ State Authorities Non‑Contributory Superannuation Scheme Act 1987, and their associated regulations
  The schemes in the Pooled Fund are exempt public sector superannuation schemes under the Commonwealth
  Superannuation Industry (Supervision) Act 1993 (SIS). The SIS Legislation treats exempt public sector superannuation funds
  as complying funds for concessional taxation and superannuation guarantee purposes.
  Under a Heads of Government agreement, the New South Wales Government undertakes to ensure that the Pooled Fund will
  conform with the principles of the Commonwealth retirement incomes policy relating to preservation, vesting and reporting
  to members and that members’ benefits are adequately protected.
  The New South Wales Government prudentially monitors and audits the Pooled Fund and the Trustee Board activities in a
  manner consistent with the prudential controls of the SIS legislation. These provisions are in addition to other legislative
  obligations on the Trustee Board and internal processes that monitor the Trustee Board’s adherence to the principles of the
  Commonwealth retirement incomes policy.
  An actuarial investigation of the Pooled Fund is performed every three years. The last actuarial investigation was performed
  as at 30 June 2015. The next actuarial investigation will be performed at 30 June 2018.
  iii) Description of other entities’ responsibilities for the governance of the funds
  The Fund’s Trustee is responsible for the governance of the Fund. The Trustee has a legal obligation to act solely in the best
  interests of fund beneficiaries. The Trustee has the following roles:
  ‑ Administration of the fund and payment to the beneficiaries from fund assets when required in accordance with the fund
  rules;
  ‑ Management and investment of the fund assets; and
  ‑ Compliance with other applicable regulations.
  iv) Description of risks
  There are a number of risks to which the Fund exposes the Employer. The more significant risks relating to the defined
  benefits are:
  ‑ Investment risk: the risk that investment returns will be lower than assumed and the Employer will need to increase
  contributions to offset this shortfall;
  ‑ Longevity risk: The risk that pensioners live longer than assumed, increasing future pensions;
  ‑ Pension indexation risk: the risk that pensions will increase at a rate greater than assumed, increasing future pensions;
  ‑ Salary growth risk: The risk that wages or salaries (on which future benefit amounts for active members will be based)
  will rise more rapidly than assumed, increasing defined benefit amounts and thereby requiring additional employer
  contributions.
  ‑ Legislative risk: the risk is that Legislative changes could be made which increase the cost of providing the defined
  benefits.
  The defined benefit fund assets are invested with independent fund managers and have a diversified asset mix. The Fund
  has no significant concentration of investment risk or liquidity risk.
  The trustee monitors its asset‑liability risk continuously in setting its investment strategy. It also monitors cashflows
  to manage liquidity requirements. No explicit asset‑liability matching strategy is used by the Trustee.
  Southern Cross University ABN 41 995 651 524
  Notes to the Financial Statements
  For the year ended 31 December 2017
  74 Southern Cross University Annual Report 2017
  33 Retirement benefit obligations (continued)
  (a) Fund specific disclosure (continued)
  v) Description of any plan amendments, curtailments and settlements
  There were no fund amendments, curtailments or settlements during the year.
  vi) Expected Contributions
  The University expects to make employer contribution’s of $395,267 (2016: $456,875) to the defined benefit plan during the
  next financial year.
  vii) Maturity Profile
  The weighted average duration of the defined benefit obligation is 12.6 years (2016 12.9 years). The expected maturity
  analysis of undiscounted benefit obligations is as follows:
  Less
  than
  1 year
  $’000
  Between
  1 and
  2 years
  $’000
  Between
  2 and
  5 years
  $’000
  Over
  5 years
  $’000
  Total
  $’000
  Defined benefit obligations ‑ 31 December 2017 5,240 5,335 16,371 109,792 136,738
  Defined benefit obligations ‑ 31 December 2016 5,523 5,615 16,846 121,113 149,097
  (b) Categories of plan assets
  The analysis of the plan assets at the end of the reporting period is as follows:
  2017 (%) 2016 (%)
  Active Market No Active
  Market Active Market No Active
  Market
  Short term securities 9.50 – 5.70 –
  Australian fixed interest 6.90 – 5.60 –
  International fixed interest 3.60 – 1.90 –
  Australian equities 22.40 – 24.70 –
  International equities 29.60 – 28.40 2.60
  Property 3.60 5.10 3.90 5.10
  Alternatives 9.80 9.60 12.40 9.70
  Total 85.40 14.70 82.60 17.40
  Southern Cross University ABN 41 995 651 524
  Notes to the Financial Statements
  For the year ended 31 December 2017
  Southern Cross University Annual Report 2017 75
  33 Retirement benefit obligations (continued)
  (b) Categories of plan assets (continued)
  The principal assumptions used for the purposes of the actuarial valuations (expressed as weighted averages) were:
  2017
  %
  2016
  %
  Discount rate(s) 2.65 2.78
  Expected rate of return on fund assets backing current pension liabilities 7.4 7.4
  Expected rate of return on fund assets backing other liabilities 6.4 6.4
  Expected rate(s) of salary increase 2.7 to 3.2 2.7 to 3.2
  Expected rate of CPI increase 2.2 2.2
  (c) Actuarial assumptions and sensitivity
  The sensitivity of the defined benefit obligation to change in the significant assumptions is:
  Impact on defined obligation
  Change in assumption Increase in assumption Decrease in assumption
  Discount rate 1.00% Increase by 14% Decrease by ‑11%
  Rate of CPI 0.50% Increase by 6% Decrease by ‑6%
  Salary inflation rate 0.50% Increase by 0.4% Decrease by 0.3%
  Pensioner mortality 5.00% Decrease by 2% Increase by ‑1%
  The above sensitivity analyses are based on a change in an assumption while holding all the other assumptions constant.
  In practice this is unlikely to occur, and changes in some of the assumptions may be correlated. When calculating the
  sensitivity of the defined benefit obligation to significant actuarial assumptions the same method has been applied as
  when calculating the defined benefit liability recognised in the statement of financial position.The methods and types
  of assumptions used in the preparation of the sensitivity analysis did not change compared to the prior period.
  Southern Cross University ABN 41 995 651 524
  Notes to the Financial Statements
  For the year ended 31 December 2017
  76 Southern Cross University Annual Report 2017
  33 Retirement benefit obligations (continued)
  (d) Statement of financial position amounts
  Note
  $’000
  SASS
  $’000
  SANCS
  $’000
  SSS
  $’000
  Total
  Liabilities
  Provision for deferred government
  benefits for superannuation 4,661 1,012 86,689 92,362
  Assets
  Receivable for deferred government
  benefit for superannuation 4,659 996 86,520 92,175
  Net liability recognised in the
  statement of financial position 2 16 169 187
  Net liability reconciliation ‑ 2017
  Defined benefit obligation 9,358 1,945 102,805 114,108
  Fair value of plan assets (4,696) (933) (16,117) (21,746)
  Net liability 19 4,662 1,012 86,688 92,362
  Reimbursement right (4,660) (996) (86,519) (92,175)
  Total net liability/(asset) 2 16 169 187
  Reimbursement rights ‑ 2017
  Opening value of reimbursement right 4,266 626 82,169 87,061
  Return on reimbursement rights 162 (5) 2,426 2,583
  Remeasurements 232 375 1,924 2,531
  Closing value of reimbursement right 13 4,660 996 86,519 92,175
  Southern Cross University ABN 41 995 651 524
  Notes to the Financial Statements
  For the year ended 31 December 2017
  Southern Cross University Annual Report 2017 77
  33 Retirement benefit obligations (continued)
  (d) Statement of financial position amounts (continued)
  Note
  $’000
  SASS
  $’000
  SANCS
  $’000
  SSS
  $’000
  Total
  Present value of obligation ‑ 2017
  Opening defined benefit obligation 9,069 1,892 100,906 111,867
  Current service cost 285 70 270 625
  Interest expense 234 49 2,754 3,037
  9,588 2,011 103,930 115,529
  Remeasurements
  Actuarial losses/(gains) arising from
  changes in financial assumptions 39 12 1,315 1,366
  Experience (gains)/losses 428 380 953 1,761
  Contributions 467 392 2,268 3,127
  Plan Participants 119 – 96 215
  Payments from plan
  Benefits paid (752) (134) (3,938) (4,824)
  Taxes, premiums and expenses (67) (323) 449 59
  (819) (457) (3,489) (4,765)
  Closing defined benefit obligation 9,355 1,946 102,805 114,106
  Note
  $’000
  SASS
  $’000
  SANCS
  $’000
  SSS
  $’000
  Total
  Present value of plan assets ‑ 2017
  Opening fair value of plan assets 4,803 1,261 18,696 24,760
  Interest (income) 119 33 470 622
  4,922 1,294 19,166 25,382
  Remeasurements
  Return on plan assets, excluding amounts
  included in net interest expense 235 5 217 457
  Contributions
  Employers 239 92 127 458
  Plan participants 119 – 96 215
  358 92 223 673
  Payments from plan
  Benefits paid (752) (134) (3,938) (4,824)
  Settlements (67) (323) 449 59
  (819) (457) (3,489) (4,765)
  Closing fair value of plans assets 4,696 934 16,117 21,747
  Southern Cross University ABN 41 995 651 524
  Notes to the Financial Statements
  For the year ended 31 December 2017
  78 Southern Cross University Annual Report 2017
  33 Retirement benefit obligations (continued)
  (d) Statement of financial position amounts (continued)
  Note
  $’000
  SASS
  $’000
  SANCS
  $’000
  SSS
  $’000
  Total
  Amounts recognised in the statement
  of financial position ‑ 2016
  Liabilities
  Provision for deferred government benefits
  for superannuation 4,267 630 82,211 87,108
  Assets
  Receivable for deferred government benefit
  for superannuation 4,266 626 82,169 87,061
  Net liability recognised in the
  statement of financial position 1 4 42 47
  Note
  $’000
  SASS
  $’000
  SANCS
  $’000
  SSS
  $’000
  Total
  Net liability reconciliation 2016
  Defined benefit obligation 9,070 1,891 100,906 111,867
  Fair value of plan assets (4,803) (1,261) (18,695) (24,759)
  Net liability 19 4,267 630 82,211 87,108
  Reimbursement right 13 (4,266) (626) (82,169) (87,061)
  Total net liability/(asset) 1 4 42 47
  Reimbursement rights 2016
  Opening value of reimbursement right 4,382 671 81,405 86,458
  Return on reimbursement rights 169 19 2,523 2,711
  Remeasurements (285) (64) (1,759) (2,108)
  Closing value of reimbursement right 13 4,266 626 82,169 87,061
  Present value of obligation 2016
  Opening defined benefit obligation 10,477 2,080 102,213 114,770
  Current service cost 350 80 289 719
  Interest expense 288 57 2,911 3,256
  11,115 2,217 105,413 118,745
  Remeasurements
  Actuarial losses/(gains) arising from
  changes in demographic assumptions 38 12 573 623
  Experience (gains)/losses (279) (102) (2,027) (2,408)
  Contributions (241) (90) (1,454) (1,785)
  Plan Participants 149 – 95 244
  Payments from plan
  Benefits paid (1,898) (217) (3,563) (5,678)
  Taxes, premiums and expenses (56) (18) 415 341
  (1,954) (235) (3,148) (5,337)
  9,069 1,892 100,906 111,867
  Closing defined benefit obligation 9,069 1,892 100,906 111,867
  Southern Cross University ABN 41 995 651 524
  Notes to the Financial Statements
  For the year ended 31 December 2017
  Southern Cross University Annual Report 2017 79
  33 Retirement benefit obligations (continued)
  (d) Statement of financial position amounts (continued)
  Present value of plan assets ‑ 2016
  $’000
  SASS
  $’000
  SANCS
  $’000
  SSS
  $’000
  Total
  Opening fair value of plan assets 6,016 1,365 20,807 28,188
  Interest (income) 163 37 552 752
  6,179 1,402 21,359 28,940
  Remeasurements
  Return on plan assets, excluding amounts
  included in net interest expense 124 13 264 401
  Contributions
  Employers 305 81 125 511
  Plan participants 149 – 95 244
  454 81 220 755
  Payments from plan
  Benefits paid (1,898) (217) (3,563) (5,678)
  Settlements (56) (18) 415 341
  (1,954) (235) (3,148) (5,337)
  Closing fair value of plans assets 4,803 1,261 18,695 24,759
  (e) Amounts recognised in other statements
  The following amounts are recognised in the statement of comprehensive income and included in retained earnings
  (note 21(a)).
  Amounts recognised in other comprehensive income Note 2017 2016
  Remeasurements
  Actuarial losses (gains) arising from changes in financial assumptions (1,367) (623)
  Actuarial (losses) gains arising from liability experience (1,761) 2,408
  Remeasurement of reimbursement right 2,531 (2,187)
  Actual return on plan assets less interest income 456 400
  Total amounts recognised in the Statement of Comprehensive Income 21(a) (141) (2)
  Southern Cross University ABN 41 995 651 524
  Notes to the Financial Statements
  For the year ended 31 December 2017
  80 Southern Cross University Annual Report 2017
  34 Acquittal of Australian government financial assistance
  (a) Education ‑ CGS and other Education grants
  Commonwealth Grants
  Scheme #1
  Indigenous Student
  Success Program#2
  Access and
  Participation Fund
  Disability Performance
  Funding #3
  Australian Maths &
  Science Partnership
  Program
  Parent Entity (University) Only
  Note
  2017
  $’000
  2016
  $’000
  2017
  $’000
  2016
  $’000
  2017
  $’000
  2016
  $’000
  2017
  $’000
  2016
  $’000
  2017
  $’000
  2016
  $’000
  Financial assistance received in CASH during
  the reporting period (total cash received from
  Australian Government for the program)
  81,050 78,758 1,865 1,372 2,861 3,610 96 95 – 332
  Net accrual adjustments (2,969) 562 188 – – 153 – – 32 58
  Revenue for the period 2(a) 78,081 79,320 2,053 1,372 2,861 3,763 96 95 32 390
  Surplus/(deficit) from the previous year – – 10 – – – – – – –
  Total revenue including accrued revenue 78,081 79,320 2,063 1,372 2,861 3,763 96 95 32 390
  Less expenses including accrued expenses (78,081) (79,320) (1,813) (1,362) (2,861) (3,763) (96) (95) (32) (390)
  Surplus/(deficit) for the reporting period – – 250 10 – – – – – –
  Improving the Quality of Maths
  & Science Teaching Programs
  Promo of Exc in Learning and
  Teaching
  Total
  Parent Entity (University) Only Note
  2017
  $’000
  2016
  $’000
  2017
  $’000
  2016
  $’000
  2017
  $’000
  2016
  $’000
  Financial assistance received in CASH during the reporting period
  (total cash received from Australian Government for the program) – 262 10 10 85,882 84,439
  Net accrual adjustments 72 20 – – (2,677) 793
  Revenue for the period 2(a) 72 282 10 10 83,205 85,232
  Surplus/(deficit) from the previous year – – 24 16 34 16
  Total revenue including accrued revenue 72 282 34 26 83,239 85,248
  Less expenses including accrued expenses (72) (282) (1) (2) (82,956) (85,214)
  Surplus/(deficit) for the reporting period – – 33 24 283 34

1 Includes the basic CGS grant amount, CGS – Regional Loading, CGS – Enabling Loading, Allocated Places, Non‑Designated Courses and CGS‑Special.

2 Indigenous Student Success Program has replaced the Indigenous Commonwealth Scholarships Program and the Indigenous Support Program as of 1 January 2017. Prior year

programs are combined and reported in Indigenous Student Success Program for 2016. The reported surplus for this program of $250,000 for 2017 has approval to be rolled over for
future use by the University.

3 Disability Performance Funding includes Additional Support for Students with Disabilities and Australian Disability Clearinghouse on Education & Training.

Southern Cross University ABN 41 995 651 524
Notes to the Financial Statements
For the year ended 31 December 2017
Southern Cross University Annual Report 2017 81
34 Acquittal of Australian government financial assistance (continued)
(b) Higher education loan programs (excl OS‑HELP)
HECS‑HELP (Aust.
Government payments
only)
FEE‑HELP #4 SA‑HELP Total
Parent Entity (University) Only Note
2017
$’000
2016
$’000
2017
$’000
2016
$’000
2017
$’000
2016
$’000
2017
$’000
2016
$’000
Cash Payable/(Receivable) at the beginning of the year (1,443) (1,711) (2,284) (30) (49) (48) (3,776) (1,789)
Financial assistance received in cash during the reporting period 50,889 46,539 12,153 6,058 1,147 1,107 64,189 53,704
Cash available for the period 49,446 44,828 9,869 6,028 1,098 1,059 60,413 51,915
Less: Revenue earned 2(b) 48,314 46,271 10,148 8,312 1,116 1,108 59,578 55,691
Cash Payable/(Receivable) at the end of the year 1,132 (1,443) (279) (2,284) (18) (49) 835 (3,776)

4 Program is in respect of FEE‑HELP for Higher Education only and excludes funds received in respect of VET FEE‑HELP

(c) Department of Education and Training Research #5
Research Training Program #5 Research Support Program #6 Total
Parent Entity (University) Only Note
2017
$’000
2016
$’000
2017
$’000
2016
$’000
2017
$’000
2016
$’000
Financial assistance received in CASH during the reporting period
(total cash received from the Australian Government for the
program)
4,417 4,678 3,270 3,201 7,687 7,879
Revenue for the period 2(c)&2(d) 4,417 4,678 3,270 3,201 7,687 7,879
Surplus/(deficit) from the previous year 318 361 65 37 383 398
Total revenue including accrued revenue 4,735 5,039 3,335 3,238 8,070 8,277
Less expenses including accrued expenses (4,735) (4,721) (3,335) (3,173) (8,070) (7,894)
Surplus/(deficit) for reporting period – 318 – 65 – 383

5 Research Training Program has replaced Australian Postgraduate Awards, International Postgraduate Research Scholarships and Research Training Scheme in 2017. 2016 data for the

programs that have been replaced is reported in the Research Training Program comparatives.

6 Research Support Program has replaced Joint Research Engagement, JRE Engineering Cadetships, Research Block Grants and Sustainable Research Excellence in Universities in 2017.

2016 data for the programs that have been replaced is reported in the Research Support Program comparatives.
Southern Cross University ABN 41 995 651 524
Notes to the Financial Statements
For the year ended 31 December 2017
82 Southern Cross University Annual Report 2017
34 Acquittal of Australian government financial assistance (continued)
(d) Total Higher Education Provider Research Training Program expenditure
Total domestic students
$’000
Total overseas students
$’000
Research Training Program Fees offsets 3,187 167
Research Training Program Stipends 1,176 157
Research Training Program Allowances 30 18
Total for all types of support 4,393 342
(e) Other Capital Funding
Linkage
Infrastructure,
Equipment and
Facilities Grant
Teaching
and Learning
Capital Fund
Education
Investment Fund Total
Parent Entity (University) Only Note
2017
$’000
2016
$’000
2017
$’000
2016
$’000
2017
$’000
2016
$’000
2017
$’000
2016
$’000
Financial assistance received in CASH during the reporting period (total
cash received from Australian Government for the program) 552 – – – – 15,688 552 15,688
Revenue for the period 2(e) 552 – – – – 15,688 552 15,688
Surplus/(deficit) from the previous year – – – 5,826 – (235) – 5,591
Total revenue including accrued revenue 552 – – 5,826 – 15,453 552 21,279
Less expenses including accrued expenses (552) – – (5,826) – (15,453) (552) (21,279)
Surplus/(deficit) for the reporting period – – – – – – – –
Southern Cross University ABN 41 995 651 524
Notes to the Financial Statements
For the year ended 31 December 2017
Southern Cross University Annual Report 2017 83
34 Acquittal of Australian government financial assistance (continued)
(f) Australian Research Council Grants
Discovery Linkages Total
Parent Entity (University) Only
2017
$’000
2016
$’000
2017
$’000
2016
$’000
2017
$’000
2016
$’000
Financial assistance received in CASH during the reporting period (total
cash received from the Australian Government for the program) 916 847 621 659 1,537 1,506
Revenue for the period 2(f) 916 847 621 659 1,537 1,506
Surplus/(deficit) from the previous year 299 390 555 379 854 769
Total revenue including accrued revenue 1,215 1,237 1,176 1,038 2,391 2,275
Less expenses including accrued expenses (626) (938) (1,010) (483) (1,636) (1,421)
Surplus/(deficit) for reporting period 589 299 166 555 755 854
(g) Other Australian Government Financial Assistance
Parent Entity (University) Only
2017
$’000
2016
$’000
Cash received during the reporting period 7,518 7,200
Cash spent during the reporting period (7,825) (4,322)
Net cash received (307) 2,878
Cash surplus/(deficit) from the previous period 2,963 85
Cash surplus/(deficit) for reporting period 2,656 2,963
Southern Cross University ABN 41 995 651 524
Notes to the Financial Statements
For the year ended 31 December 2017
84 Southern Cross University Annual Report 2017
34 Acquittal of Australian government financial assistance (continued)
(h) OS‑HELP
Parent Entity (University) Only Note
2017
$’000
2016
$’000
Cash received during the reporting period 641 607
Cash spent during the reporting period (791) (710)
Net cash received 2 (150) (103)
Cash surplus/(deficit) from the previous period 176 279
Cash surplus/(deficit) for the reporting period 17 26 176
(i) Student Services and Amenities Fee
Parent Entity (University) Only
2017
$’000
2016
$’000
Unspent/(overspent) revenue from previous period 44 529
SA‑HELP revenue earned 2(b) 1,116 1,108
Student services and amenities fees 4 895 848
Total revenue expendable in period 2,055 2,485
Student services expenses during period (2,325) (2,441)
Unspent/(overspent) student services revenue (270) 44
Southern Cross University ABN 41 995 651 524
Notes to the Financial Statements
For the year ended 31 December 2017
Southern Cross University Annual Report 2017 85
INDEPENDENT AUDITOR’S REPORT
Southern Cross University
To Members of the New South Wales Parliament
Opinion
I have audited the accompanying financial statements of Southern Cross University (the University), which comprise
the Statement by the Members of Council, the Income Statement and Statement of Comprehensive Income for the
year ended 31 December 2017, the Statement of Financial Position as at 31 December 2017, the Statement of
Changes in Equity and the Statement of Cash Flows for the year then ended and Notes to the Financial Statements
comprising a Summary of Significant Accounting Policies and other explanatory information of the University and the
consolidated entity.
The consolidated entity comprises the University and the entities it controlled at the year’s end or from time to time
during the financial year.
In my opinion, the financial statements:
• give a true and fair view of the financial position of the University and the consolidated entity, as at 31
December 2017, and of their financial performance and cash flows for the year then ended in
accordance with Australian Accounting Standards
• are in accordance with section 41B of the Public Finance and Audit Act 1983 (PF&A Act) and the Public
Finance and Audit Regulation 2015
• comply with the ‘Financial Statement Guidelines for Australian Higher Education Providers for the 2017
Reporting Period’ (the Guidelines), issued by the Australian Government Department of Education and
Training, pursuant to the Higher Education Support Act 2003, the Higher Education Funding Act 1988
and the Australian Research Council Act 2001
• have been prepared in accordance with Division 60 of the Australian Charities and
Not-for-profits Commission Act 2012 and Division 60 of the Australian Charities and Not-for- profits
Commission Regulation 2013.
My opinion should be read in conjunction with the rest of this report.
Basis for Opinion
I conducted my audit in accordance with Australian Auditing Standards. My responsibilities under the standards are
described in the ‘Auditor’s Responsibilities for the Audit of the Financial Statements’ section of my report.
I am independent of the University in accordance with the requirements of the:
• Australian Auditing Standards
• Accounting Professional and Ethical Standards Board’s APES 110 ‘Code of Ethics for Professional
Accountants’ (APES 110).
I have fulfilled my other ethical responsibilities in accordance with APES 110.
Parliament promotes independence by ensuring the Auditor-General and the Audit Office of New South Wales are not
compromised in their roles by:
• providing that only Parliament, and not the executive government, can remove an Auditor-General
• mandating the Auditor-General as auditor of public sector agencies
• precluding the Auditor-General from providing non-audit services.
I believe the audit evidence I have obtained is sufficient and appropriate to provide a basis for my audit opinion.
86 Southern Cross University Annual Report 2017
Other information
The members of the Council of the University are responsible for the Other Information, which comprises the
information in the University’s annual report for the year ended 31 December 2017, other than the financial
report and my Independent Auditor’s Report thereon.
My opinion on the financial report does not cover the Other Information. Accordingly, I do not express any form of
assurance conclusion on the Other Information. However, I must read the Other Information and consider whether it
is materially inconsistent with the financial report, the knowledge I obtained during the audit, or appears to be
materially misstated.
If, based on the work I performed, I conclude there is a material misstatement in the Other Information, I must report
that fact.
I have nothing to report in this regard.
University Council’s Responsibilities for the Financial Statements
The Council is responsible for the preparation and fair presentation of the financial statements in accordance with
Australian Accounting Standards, the PF&A Act and the Guidelines, the Australian Charities and Not-for-profits
Commission Act 2012, and for such internal control as the Council determines is necessary to enable the
preparation and fair presentation of the financial statements that are free from material misstatement, whether due
to fraud or error.
In preparing the financial statements, the Council is responsible for assessing the University’s ability to continue as a
going concern, disclosing as applicable, matters related to going concern and using the going concern basis of
accounting except where the University will be dissolved by an Act of Parliament or otherwise cease operations.
Auditor’s Responsibilities for the Audit of the Financial Statements
My objectives are to:
• obtain reasonable assurance about whether the financial statements as a whole are free from material
misstatement, whether due to fraud or error
• issue an Independent Auditor’s Report including my opinion.
Reasonable assurance is a high level of assurance, but does not guarantee an audit conducted in accordance
with Australian Auditing Standards will always detect material misstatements.
Misstatements can arise from fraud or error. Misstatements are considered material if, individually or in aggregate,
they could reasonably be expected to influence the economic decisions users take based on the financial statements.
A description of my responsibilities for the audit of the financial statements is located at the Auditing and Assurance
Standards Board website at http://www.auasb.gov.au/auditors_responsibilities/ar3.pdf The description forms part of
my auditor’s report.
My opinion does not provide assurance:
• that the University carried out its activities effectively, efficiently and economically
• about the security and controls over the electronic publication of the audited financial statements on any
website where they may be presented
• about any other information which may have been hyperlinked to/from the financial statements.
Ian Goodwin
Acting Auditor-General of NSW
12 April 2018
SYDNEY
Directors’
Report
88
Statement
of Financial
Position
93
Auditors
Independence
Declaration
91
Statement of
Changes in
Equity
94
Directors’
Declaration
114
Statement of
Profit or Loss
and Other
Comprehensive
Income
Statement of
Cash Flows
95
Notes to the
Financial
Statements
96
Independent
Auditor’s Report
115
Southern Cross Campus
Services Limited (formerly
Norsearch Limited)
ABN 57 003 082 406
Financial Statements
For the Year Ended 31 December 2017
Southern Cross University Annual Report 2017 87
92
88 Southern Cross University Annual Report 2017
Directors’
Report
31 December 2017
The directors present their report on Southern Cross Campus Services Limited for the financial year ended 31 December 2017.
Change of Company Name
On 7 April 2017, the Southern Cross University Council, in accordance with the company’s constitution, resolved to change
the name of the company to Southern Cross Campus Services Limited with effect from 3 July 2017.
Information on directors
The names of each person who has been a director during the year and to the date of this report are:
Benjamin Roche
Qualifications BSc(Hons)(UNSW), MEd(UTS)
Experience
Ben Roche is currently the Pro Vice Chancellor (Engagement) at Southern Cross University,
a Senior Associate of the AtKisson Group of international sustainability thinkers and a Director
of The Connect Project. He is Chair of the national Farming Together program, Chair of
Engagement Australia and Deputy Chair of Regional Arts NSW. Ben has worked with a range
of agencies from small not for profits to Universities, Government and the United Nations
Environment Programme on strategic approaches to education and engagement.
Appointed 3 July 2017
Special responsibilities Pro Vice Chancellor (Engagement) at Southern Cross University
David Lynch
Qualifications BEd (JCU), Med (School Admin) (JCU), DipTeach (JCU), EdD (CQU), FAACLM (OTHAUS)
Experience Over thirty years experience in the public education sector.
Special responsibilities Professor (School of Education) at Southern Cross University
Donna Moffitt
Qualifications BCom (Griffith), MStratHRM (UOW)
Experience Over thirteen years experience in the higher education sector.
Special responsibilities Director of Student Services at Southern Cross University
Paul Deegan
Qualifications BBuild (UNSW), Licensed Real Estate Agent
Experience Over thirty years experience in the property and construction industries.
Special responsibilities Real Estate Agent at LJ Hooker, Lismore NSW 2480
Chris Patton
Qualifications BA (UBC), MA (Guelph)
Experience Over twenty years experience in both the public and private education sector.
Resigned 25 August 2017
Special responsibilities Vice President (Global) at Southern Cross University
Directors have been in office since the start of the financial year to the date of this report unless otherwise stated.
Southern Cross Campus Services Limited ABN 57 003 082 406
Southern Cross University Annual Report 2017 89
Directors’
Report
31 December 2017
Company Secretary
Belinda Atkinson is a Lawyer and the Head, Governance Services at Southern Cross University. Belinda has been the Company
Secretary of Southern Cross Campus Services Limited for 1 year.
Principal activities
The principal activity of Southern Cross Campus Services Limited (‘the company’) during the financial year was to provide
on‑campus amenities and services to students and staff of Southern Cross University. These principal activities include
operating a licensed bar, function room, pool and gymnasium.
No significant changes in the nature of the Company’s activities occurred during the financial year.
Short term and long term objectives
The Company’s short and long term objective is to provide services and amenities to students and staff of the University.
Strategy for achieving the objectives
To achieve these objectives, the Company has adopted the strategy to provide high quality service in the provision
of on‑campus food and beverage services and other amenities.
Performance measure
The Company measures performance through the analysis of metrics relating to student and staff usage of facilities provided.
Members guarantee
The Company is incorporated under the Corporations Act 2001 and is a Company limited by guarantee. On 7 April 2017, the
Southern Cross University Council, in accordance with the company’s constitution, resolved to terminate the membership
of Chris Patton, David Lynch, Donna Moffitt and Paul Deegan and appoint itself as the sole member of the company. As the
sole member, Southern Cross University, undertakes to contribute to the property of the Company, in the event of it being
wound up, such an amount as may be required not exceeding $ 20. At 31 December 2017, the collective liability of members
was $ 20 (2016: $ 80).
Going concern
Notwithstanding the deficiency of net assets, the financial report has been prepared on a going concern basis as the
directors have received a guarantee of continued financial support from the Company’s ultimate parent entity, Southern
Cross University and the directors believe that such financial support will continue to be made available.
Southern Cross Campus Services Limited ABN 57 003 082 406
90 Southern Cross University Annual Report 2017
Directors’
Report
31 December 2017
Meetings of directors
During the financial year, 3 meetings of directors (including committees of directors) were held. Attendances by each
director during the year were as follows:
Directors’ Meetings
Number eligible
to attend
Number
attended
Benjamin Roche 2 2
David Lynch 3 2
Donna Moffitt 3 2
Paul Deegan 3 3
Chris Patton 2 1
Auditor’s independence declaration
The lead auditor’s independence declaration in accordance with section 307C of the Corporations Act 2001, for the year
ended 31 December 2017 has been received and can be found on page 4 of the financial report.
Signed on behalf of and in accordance with the resolution of the Board of Directors in accordance with section 298(2)(a)
of the Corporations Act 2001:
Southern Cross Campus Services Limited ABN 57 003 082 406
Southern Cross University Annual Report 2017 91
To the Directors
Southern Cross Campus Services Limited
Auditor’s Independence Declaration
As auditor for the audit of the financial statements of Southern Cross Campus Services Limited for the
year ended 31 December 2017, I declare, to the best of my knowledge and belief, there have been no
contraventions of:
• the auditor independence requirements of the Corporations Act 2001 in relation to the audit
• any applicable code of professional conduct in relation to the audit.
Margaret Crawford
Auditor-General of NSW
21 March 2018
SYDNEY
92 Southern Cross University Annual Report 2017
Southern Cross Campus Services Limited ABN 57 003 082 406
Statement of
Profit or Loss
and Other
Comprehensive
Income
For the Year Ended
31 December 2017
Note
2017
$
2016
$
Revenue 2 1,786,302 1,460,033
Other income 2 704,936 672,238
Costs of goods sold (331,405) (294,083)
Employee benefits expense (1,743,189) (1,395,480)
Impairment expense 152 (152)
Depreciation expense (35,590) (33,526)
Other expenses 3 (759,949) (649,110)
Net loss for the year from continuing operations (378,743) (240,080)
Total comprehensive income (378,743) (240,080)
Net loss attributable to members of equity (378,743) (240,080)
The accompanying notes form part of these financial statements.
Southern Cross University Annual Report 2017 93
Southern Cross Campus Services Limited ABN 57 003 082 406
Statement
of Financial
Position
As At 31 December 2017
Note
2017
$
2016
$
Assets
Current assets
Cash and cash equivalents 4 71,565 70,142
Trade and other receivables 5 33,474 20,193
Inventories 6 29,139 30,614
Prepayments 1,655 –
Total current assets 135,833 120,949
Non‑current assets
Property, plant and equipment 7 138,848 139,619
Total non‑current assets 138,848 139,619
Total assets 274,681 260,568
Liabilities
Current liabilities
Trade and other payables 8 645,578 292,453
Provisions 9 105,612 73,020
Deferred revenue 45,319 29,143
Total current liabilities 796,509 394,616
Non‑current liabilities
Provisions 9 8,663 17,700
Total non‑current liabilities 8,663 17,700
Total liabilities 805,172 412,316
Net liabilities (530,491) (151,748)
Equity
Accumulated losses 10 (530,491) (151,748)
Total equity (530,491) (151,748)
The accompanying notes form part of these financial statements.
94 Southern Cross University Annual Report 2017
Southern Cross Campus Services Limited ABN 57 003 082 406
Accumulated
losses
$
Balance at 1 January 2016 88,332
Net loss attributable to members of equity (240,080)
Balance at 31 December 2016 (151,748)
Balance at 1 January 2017 (151,748)
Net loss attributable to members of equity (378,743)
Balance at 31 December 2017 (530,491)
Statement
of Changes
in Equity
For the Year Ended
31 December 2017
The accompanying notes form part of these financial statements.
Southern Cross University Annual Report 2017 95
Southern Cross Campus Services Limited ABN 57 003 082 406
Statement
of Cash Flows
For the Year Ended
31 December 2017
Note
2017
$
2016
$
Cash flows from operating activities:
Receipts from customers 2,455,289 2,035,959
Payments to suppliers and employees (2,665,301) (2,175,205)
Amounts advanced from related parties 315,989 189,238
GST paid (120,918) (74,260)
Net cash used in operating activities 16 (14,941) (24,268)
Cash flows from investing activities:
Proceeds from sale of plant and equipment 16,364 5,265
Net cash generated by investing activities 16,364 5,265
Cash flows from financing activities:
Net cash generated by financing activities – –
Net increase / (decrease) in cash and cash equivalents held 1,423 (19,003)
Cash and cash equivalents at beginning of year 70,142 89,145
Cash and cash equivalents at end of financial year 4 71,565 70,142
The accompanying notes form part of these financial statements.
96 Southern Cross University Annual Report 2017
Southern Cross Campus Services Limited ABN 57 003 082 406
Notes to the Financial Statements
For the year ended 31 December 2017
1 Summary of Significant Accounting Policies
The principal accounting policies adopted in the preparation of the financial statements are set out below. These policies
have been consistently applied to all years reported, unless otherwise stated.
(a) Basis of Preparation
The financial statements are general purpose financial statements that have been prepared in accordance with Australian
Accounting Standards.
Material accounting policies adopted in the preparation of these financial statements are presented below and have been
consistently applied unless otherwise stated.
Additionally the statements have been prepared in accordance with following statutory requirements:
• Corporations Act 2001
• Public Finance and Audit Act 1983 and the Public Finance and Audit Regulation 2015
• Australian Charities and Not for profit Commission Act 2012 and Australian Charities and Not for profit Commission
Regulations 2013
Southern Cross Campus Services Limited is a not‑for‑profit entity and these statements have been prepared on that basis.
Some of the requirements for not‑for‑profit entities are inconsistent with the IFRS requirements. The main impact is in the
following accounting treatments:
• the offsetting of impairment losses within a class of assets
• the timing of the recognition of non‑reciprocal revenue
Date of authorisation for issue
The financial statements were authorised for issue by the directors of Southern Cross Campus Services Limited on 27 March
2018.
Historical cost convention
These financial statements have been prepared on an accrual basis and under the historical cost convention, as modified
by the revaluation of financial assets and liabilities and certain classes of property, plant and equipment and investment
property, where applicable.
Critical accounting estimates
The preparation of financial statements in conformity with Australian Accounting Standards requires the use of certain
critical accounting estimates.
It also requires management to exercise its judgment in the process of applying Southern Cross Campus Services Limited’s
accounting policies.
The areas involving a higher degree of judgment or complexity, or areas where assumptions and estimates are significant to
the financial statements, are disclosed below:
‑ Measurement and recognition of employee benefits provisions

• Impairment of trade and other receivables
  ‑ Estimated useful life assessments of property, plant and equipment assets
  ‑ Impairment of property, plant and equipment assets
  Going concern
  The financial statements have been prepared on a going concern basis, which contemplates continuity of normal business
  activities and the realisation of assets and settlement of liabilities in the ordinary course of business.
  A letter of unconditional financial support has been provided by Southern Cross University, the Company’s ultimate parent
  entity. The parent entity will support the Company financially to ensure the Company can pay its debts as and when they
  fall due.
  Southern Cross University Annual Report 2017 97
  Southern Cross Campus Services Limited ABN 57 003 082 406
  Notes to the Financial Statements
  For the year ended 31 December 2017
  1 Summary of Significant Accounting Policies (continued)
  (b) Comparative Amounts
  Where necessary, comparative information has been reclassified to enhance comparability in respect of changes
  in presentation adopted in the current year. Comparative information has been reclassified to enhance comparability
  in respect of changes in presentation adopted in the current year.
  (c) Revenue and other income
  Revenue is recognised when the amount of the revenue can be measured reliably, it is probable that economic benefits
  associated with the transaction will flow to the entity and specific criteria relating to the type of revenue as noted below,
  has been satisfied.
  Revenue is measured at the fair value of the consideration received or receivable and is presented net of returns, discounts
  and rebates.
  All revenue is stated net of the amount of goods and services tax (GST).
  Revenue from the rendering of services is recognised when the outcome of the services provided can be measured reliably.
  If this is the case then the stage of completion of the services is used to determine the appropriate level of revenue to be
  recognised in the period.
  If the outcome cannot be reliably measured then revenue is recognised to the extent of expenses recognised that are
  recoverable. Revenue is recognised when the significant risks and rewards of ownership of the goods have passed to the
  buyer and can be measured reliably. Risks and rewards are considered passed to the buyer at the time of delivery to the
  customer.
  Revenue from the sale of goods is recognised on transfer of goods to the customer as this is deemed to be the point in time
  when risks and rewards are transferred and there is no longer any ownership or effective control over the goods.
  Membership revenue is recognised as income in the year of receipt, except to the extent that membership revenue relates
  to future periods. Such receipts (or portion thereof) are treated as deferred revenue in the statement of financial position.
  Interest revenue is recognised using the effective interest method.
  (d) Employee benefits
  i) Wages and salaries
  Liabilities for short‑term employee benefits including wages and salaries, non‑monetary benefits and profit‑sharing bonuses
  which are expected to be settled wholly before 12 months after the end of the period are measured at the amount expected
  to be paid when the liability is settled and recognised in other payables.
  ii) Annual leave and sick leave
  A liability is recognised for benefits accruing to employees in respect of wages and salaries, annual leave and sick leave
  in the period the related service is rendered.
  Liabilities recognised in respect of short‑term employee benefits, are measured at their nominal values using the
  remuneration rate expected to apply at the time of settlement.
  Liabilities recognised in respect of long‑term employee benefits are measured as the present value of the estimated future
  cash outflows to be made by the Company in respect of services provided by employees up to reporting date.
  iii) Long service leave
  The liability for long service leave is recognised in the provision for employee benefits and measured as the present value
  of expected future payments to be made in respect of services provided by employees up to the reporting date using
  the projected unit credit method. An actuarial assessment is performed every year and gives consideration to expected
  future wage and salary levels, experience of employee departures and periods of service. Expected future payments are
  discounted using market yields at the reporting date on Commonwealth government bonds with terms to maturity and
  currency that match, as closely as possible, the estimated future cash outflows.
  iv) Termination benefits
  Termination benefits are payable when employment is terminated before the normal retirement date, or when an employee
  accepts voluntary redundancy in exchange for these benefits. The company recognises termination benefits when it is
  demonstrably committed to either terminating the employment of current employees according to a detailed formal plan
  without possibility of withdrawal or providing termination benefits as a result of an offer made to encourage voluntary
  redundancy. Benefits not expected to be settled wholly before 12 months after balance date are discounted to present value.
  98 Southern Cross University Annual Report 2017
  1 Summary of Significant Accounting Policies (continued)
  (e) Trade and other payables
  These amounts represent liabilities for goods and services provided to the Company prior to the end of the financial year,
  which are unpaid. The amounts are unsecured and are usually paid within 30 days of recognition.
  (f) Leases
  (i) Finance leases
  Leases of fixed assets where substantially all the risks and benefits incidental to the ownership of the asset, but not the legal
  ownership that are transferred to the Company are classified as finance leases.
  Finance leases are capitalised by recording an asset and a liability at the lower of the amounts equal to the fair value of the
  leased property or the present value of the minimum lease payments, including any guaranteed residual values.
  Lease payments are allocated between the reduction of the lease liability and the lease interest expense for that period.
  Leased assets are depreciated on a straight‑line basis over their estimated useful lives where it is likely that the Company
  will obtain ownership of the asset or over the term of the lease.
  (ii) Operating leases
  Lease payments for operating leases, where substantially all of the risks and benefits remain with the lessor, are charged as
  expenses on a straight‑line basis over the life of the lease term. Lease incentives under operating leases are recognised as
  a liability and amortised on a straight‑line basis over the life of the lease term.
  (g) Cash and cash equivalents
  Cash and cash equivalents include cash on hand, deposits held at call with banks, other short‑term highly liquid investments
  with original maturities of three months or less, and bank overdrafts.
  (h) Trade receivables
  Trade receivables are recognised initially at fair value and subsequently measured at amortised cost using the effective
  interest method, less provision for impairment. Trade receivables are due for settlement no more than 30 days from the
  date of recognition.
  Collectability of trade receivables is reviewed on an ongoing basis. Debts known to be uncollectible are written off.
  A provision for impairment of receivables is established when there is objective evidence that the Company will not be able
  to collect all amounts due according to the original terms of receivables. Significant financial difficulties of the debtor,
  probability that the debtor will enter bankruptcy or financial reorganisation and default or delinquency in payments (more
  than 30 days overdue) are considered indicators that the trade receivable is impaired.
  The amount of the provision is the difference between the asset’s carrying amount and the present value of estimated future
  cash flows, discounted at the effective interest rate. Cash flows relating to short‑term receivable are not discounted if the
  effect of discounting is immaterial. The amount of the provision is recognised in the statement of comprehensive income.
  (i) Inventories
  Inventories are measured at the lower of cost and net realisable value. Cost of inventory is determined using the
  first‑in‑first‑out basis and are net of any rebates and discounts received.
  Net realisable value is the estimated selling price in the ordinary course of business, less the estimated costs of completion
  and the costs necessary to make the sale. Net realisable value is estimated using the most reliable evidence available at the
  reporting date and inventory is written down through an obsolescence provision if necessary.
  Southern Cross Campus Services Limited ABN 57 003 082 406
  Notes to the Financial Statements
  For the year ended 31 December 2017
  Southern Cross University Annual Report 2017 99
  1 Summary of Significant Accounting Policies (continued)
  (j) Property, Plant and Equipment
  All property, plant and equipment is stated at historical cost less accumulated depreciation and impairment losses. Historical
  cost includes expenditure that is directly attributable to the acquisition of the items. Cost may also include gains or losses
  that were recognised in other comprehensive income on qualifying cash flow hedges of foreign currency purchases
  of property, plant and equipment.
  Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset, as appropriate, only when
  it is probable that future economic benefits associated with the item will flow to the Company and the cost of the item can
  be measured reliably.
  All other repairs and maintenance are charged to the Statement of Profit or Loss and Other Comprehensive Income during
  the financial period in which they are incurred.
  Depreciation on assets is calculated using the straight‑line method to allocate their cost, net of their residual values, over
  their estimated useful lives, as follows:
  Class of Asset Useful life (yrs)
  Plant and Equipment 5 ‑ 10
  Motor Vehicles 5
  The assets’ residual values and useful lives are reviewed, and adjusted if appropriate, at each reporting date.
  An asset’s carrying amount is written down immediately to its recoverable amount if the asset’s carrying amount is greater
  than its estimated recoverable amount.
  An item of property, plant and equipment is derecognised upon disposal or when no future economic benefits are expected
  to arise from the continued use of the asset. Any gain or loss arising on the disposal or retirement of an item of property,
  plant and equipment is determined as the difference between the sales proceeds and the carrying amount of the asset and
  is recognised in profit or loss.
  Southern Cross Campus Services Limited ABN 57 003 082 406
  Notes to the Financial Statements
  For the year ended 31 December 2017
  100 Southern Cross University Annual Report 2017
  1 Summary of Significant Accounting Policies (continued)
  (k) Financial instruments
  Initial recognition and measurement
  Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions
  of the instrument. For financial assets, this is the equivalent to the date that the Company commits itself to either the
  purchase or sale of the asset (i.e. trade date accounting is adopted).
  Financial instruments are initially measured at fair value plus transactions costs, except where the instrument is classified
  ‘at fair value through profit or loss’ in which case transaction costs are expensed to profit or loss immediately.
  Classification and subsequent measurement
  Financial instruments are subsequently measured at either amortised cost using the effective interest rate method or cost.
  Amortised cost is calculated as:
  (a) the amount at which the financial asset or financial liability is measured at initial recognition
  (b) less principal repayments
  (c) plus or minus the cumulative amortisation of the difference, if any, between the amount initially recognised and the
  maturity amount calculated using the effective interest method
  (d) less any reduction for impairment.
  The effective interest method is used to allocate interest income or interest expense over the relevant period and is equivalent
  to the rate that exactly discounts estimated future cash payments or receipts (including fees, transaction costs and other
  premiums or discounts) through the expected life (or when this cannot be reliably predicted, the contractual term) of the
  financial instrument to the net carrying amount of the financial asset or financial liability. Revisions to expected future net
  cash flows will necessitate an adjustment to the carrying value with a consequential recognition of an income or expense
  in profit or loss.
  (i) Receivables
  Receivables are non‑derivative financial assets with fixed or determinable payments that are not quoted in an active market
  and are subsequently measured at amortised cost.
  Receivables are included in current assets, except for those which are not expected to mature within 12 months after the
  end of the reporting year.
  (ii) Financial liabilities
  Non‑derivative financial liabilities (excluding financial guarantees) are subsequently measured at amortised cost. Fees payable
  on the establishment of loan facilities are recognised as transaction costs of the loan.
  (iii) Impairment
  At the end of the reporting period the Company assesses whether there is any objective evidence that a financial asset or
  group of financial assets is impaired.
  If there is objective evidence that an impairment loss on financial assets carried at amortised cost has been incurred,
  the amount of the loss is measured as the difference between the asset’s carrying amount and the present value of the
  estimated future cash flows discounted at the financial assets original effective interest rate.
  Impairment on receivables is reduced through the use of an allowance accounts, all other impairment losses on financial
  assets at amortised cost are taken directly to the asset.
  (l) Income Tax
  No provision for income tax has been raised as the Company is exempt from income tax under Div 50 of the Income Tax
  Assessment Act 1997.
  Southern Cross Campus Services Limited ABN 57 003 082 406
  Notes to the Financial Statements
  For the year ended 31 December 2017
  Southern Cross University Annual Report 2017 101
  1 Summary of Significant Accounting Policies (continued)
  (m) Goods and Services Tax (GST)
  Revenue, expenses and assets are recognised net of the amount of goods and services tax (GST), except where the amount
  of GST incurred is not recoverable from the Australian Taxation Office (ATO).
  Receivables and payables are stated inclusive of GST. The net amount of GST recoverable from, or payable to, the ATO
  is included as part of receivables or payables in the statement of financial position.
  Cash flows in the statement of cash flows are included on a gross basis and the GST component of cash flows arising from
  investing and financing activities which is recoverable from, or payable to, the taxation authority is classified as operating
  cash flows.
  (n) Impairment of assets
  Assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may
  not be recoverable. An impairment loss is recognised for the amount by which the asset’s carrying amount exceeds its
  recoverable amount. The recoverable amount is the higher of an asset’s fair value less costs of disposal and value in use.
  For the purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable
  cash flows which are largely independent of the cash inflows from other assets or groups of assets (cash generating units).
  Non‑financial assets other than goodwill that suffered an impairment are reviewed for possible reversal of the impairment
  at each reporting date.
  (o) New Accounting Standards and Interpretations
  The AASB has issued new and amended Accounting Standards and Interpretations that have mandatory application dates
  for future reporting periods. The Company has decided against early adoption of these Standards. The following table
  summarises those future requirements, and their impact on the Company:
  Standard
  Name
  Effective
  date for
  entity
  Requirements Impact
  AASB 9
  Financial
  Instruments
  and amending
  standards
  AASB 2010‑7 /
  AASB 2014‑7
  1 January
  2018
  Changes to the classification and
  measurement requirements for
  financial assets and financial liabilities.
  New rules relating to derecognition
  of financial instruments.
  The impact of AASB 9 has not yet been
  determined.
  Southern Cross Campus Services Limited ABN 57 003 082 406
  Notes to the Financial Statements
  For the year ended 31 December 2017
  102 Southern Cross University Annual Report 2017
  1 Summary of Significant Accounting Policies (continued)
  (o) New Accounting Standards and Interpretations (continued)
  Standard
  Name
  Effective
  date for
  entity
  Requirements Impact
  AASB 15
  Revenue from
  Contracts with
  Customers,
  AASB 1058
  Income
  of Not‑for‑Profit
  Entities, and
  amending
  standards.
  1 January
  2019
  AASB 15 establishes a single and
  comprehensive framework which
  sets out how and when revenue is
  recognised. The core principle of
  AASB 15 is that revenue is recognised
  when transfers of goods or services
  to customers occur in exchange
  for consideration which the vendor
  expects to be entitled to in exchange
  for the provision of those goods or
  services (i.e. fulfilment of performance
  obligations). Revenue will only be
  recognised when control over the
  goods or services is transferred to the
  customer, which is either over time or
  at a point in time.
  Furthermore, AASB 1058 amends the
  income recognition requirements
  that apply to not‑for‑profit entities
  and establishes principles for
  not‑for‑profit entities that apply to:
  (a) transactions where the consideration
  to acquire an asset is significantly less
  than fair value principally to enable
  a not‑for‑profit entity to further its
  objectives;
  (b) the receipt of volunteer services;
  and
  (c) transfers made to enable an entity
  to acquire or construct a non‑financial
  asset for its own use.
  The company is in the process of
  assessing the changes, if any, to its
  revenue recognition policies upon
  the adoption of AASB 15 and AASB

1. Until management completes
   that process, the company is unable
   to reasonably quantify the expected
   financial impacts of those Standards
   in future periods.
   The company intends to adopt the
   ‘modified retrospective’ approach to
   the initial application of AASB 15 and
   AASB 1058. That approach applies the
   new standards from the date of initial
   application on 1 January 2019 and will
   not result in the restatement of FY 2018
   comparative financial information.
   Southern Cross Campus Services Limited ABN 57 003 082 406
   Notes to the Financial Statements
   For the year ended 31 December 2017
   Southern Cross University Annual Report 2017 103
   2 Revenue and Other Income
   2017 2016
   $ $
   Revenue
   Membership revenue 888,851 734,334
   Facilities hire revenue 28,858 5,220
   Catering revenue 606,084 468,423
   Bar sales 187,787 186,844
   1,711,580 1,394,821
   Other revenue 74,722 65,212
   Total Revenue 1,786,302 1,460,033
   Other Income
   Cost recoveries 704,936 666,973
   Net gain on disposal of plant and equipment – 5,265
   Total Other income 704,936 672,238
   3 Other expenses
   Utilities 241,029 241,995
   Fees and charges 190,360 130,286
   Audit fees 27,540 27,000
   Cleaning services 43,410 50,051
   Security costs 22,697 11,734
   Net loss on disposal of plant and equipment 5,543 –
   Other costs 229,370 188,044
   Total Other expenses 759,949 649,110
   4 Cash and cash equivalents
   Cash at bank and in hand 71,565 70,142
   Total cash and cash equivalents 71,565 70,142
   Southern Cross Campus Services Limited ABN 57 003 082 406
   Notes to the Financial Statements
   For the year ended 31 December 2017
   104 Southern Cross University Annual Report 2017
   4 Cash and cash equivalents (continued)
   (a) Reconciliation to cash at the end of the year
   The above figures are reconciled to cash at the end of the year as shown in the statement of cash flows as follows:
   2017
   $
   2016
   $
   Balances as above 71,565 70,142
   Statement of cash flows balance 71,565 70,142
   (b) Cash at bank
   Cash in operating accounts earns interest at variable interest rates.
   5 Trade and other receivables
   Current
   Trade receivables 28,307 15,504
   Provision for impairment – (152)
   28,307 15,352
   Other receivables 5,167 4,841
   Total current trade and other receivables 33,474 20,193
   Impaired receivables
   As at 31 December 2017 current receivables of the Company with a nominal value of $Nil (2016: $152) were impaired.
   The amount of the provision was $Nil (2016: $152).
   The ageing of these receivables is as follows:
   Current receivables
   6 to 12 months – 103
   Over 12 months – 49

• 152
  Southern Cross Campus Services Limited ABN 57 003 082 406
  Notes to the Financial Statements
  For the year ended 31 December 2017
  Southern Cross University Annual Report 2017 105
  5 Trade and other receivables (continued)
  As at 31 December 2017 trade receivables of $13,669 (2016:$2,422) were past due but not impaired. These relate to a
  number of independent customers for whom there is no recent history of default. The ageing analysis of these receivables
  is as follows:
  2017
  $
  2016
  $
  Past due but not impaired receivables
  Between 0 to 3 months 13,669 2,422
  Movements in the provision for impaired receivables are as follows:
  At 1 January 152 –
  Provision for impairment recognised during the year – 152
  Unused amount reversed (152) –
  At 31 December – 152
  The creation and release of the provision for impaired receivables has been included in impairment expenses in the
  statement of profit or loss and other comprehensive income. Amounts charged to the provision account are generally
  written off when there is no expectation of recovering additional cash.
  The other amounts within receivables do not contain impaired assets and are not past due. Based on credit history, it is
  expected that these amounts will be received when due.
  The carrying value of trade receivables is considered a reasonable approximation of fair value due to the short‑term nature
  of the balances.
  The maximum exposure to credit risk at the reporting date is the fair value of each class of receivable in the financial statements.
  6 Inventories
  Current
  At cost:
  Food and beverage stock 29,139 30,614
  Total inventories 29,139 30,614
  Southern Cross Campus Services Limited ABN 57 003 082 406
  Notes to the Financial Statements
  For the year ended 31 December 2017
  106 Southern Cross University Annual Report 2017
  7 Property, plant and equipment
  2017
  $
  2016
  $
  Plant and equipment
  At cost 182,464 208,434
  Accumulated depreciation (97,544) (68,815)
  Total plant and equipment 84,920 139,619
  Motor vehicles
  At cost 56,725 –
  Accumulated depreciation (2,797) –
  Total motor vehicles 53,928 –
  Total property, plant and equipment 138,848 139,619
  Movement in the carrying amounts for each class of property, plant and equipment between the beginning and the end
  of the current financial year are as follows:
  Plant and
  Equipment
  $
  Capital
  Works in
  Progress
  $
  Total
  $
  Year ended 31 December 2016
  Opening net book value 147,175 25,970 173,145
  Transfers 25,970 (25,970) –
  Depreciation (33,526) – (33,526)
  Closing net book amount 139,619 – 139,619
  Plant and
  Equipment
  $
  Motor
  Vehicles
  $
  Total
  $
  Year ended 31 December 2017
  Opening net book value 139,619 – 139,619
  Additions – 56,725 56,725
  Disposals (21,907) – (21,907)
  Depreciation expense (32,792) (2,797) (35,589)
  Closing net book amount 84,920 53,928 138,848
  Southern Cross Campus Services Limited ABN 57 003 082 406
  Notes to the Financial Statements
  For the year ended 31 December 2017
  Southern Cross University Annual Report 2017 107
  8 Trade and other payables
  Note
  2017
  $
  2016
  $
  Current
  Trade payables 1,314 5,615
  Related party payables 15(c) 561,952 189,238
  Other payables 82,312 97,600
  Total current trade and other payables 645,578 292,453
  9 Provisions
  Current provisions expected to be settled wholly within 12 months
  Employee benefits
  Annual leave 46,661 35,819
  Long service leave 4,836 2,463
  51,497 38,282
  Current provisions expected to be settled
  wholly after more than 12 months
  Employee benefits
  Annual leave 31,342 24,092
  Long service leave 22,773 10,646
  54,115 34,738
  Total current provisions 105,612 73,020
  Non‑current provisions
  Employee benefits
  Long service leave 8,663 17,700
  Total non‑current provisions 8,663 17,700
  10 Accumulated losses
  (Accumulated losses)/retained earnings at the beginning of the financial year (151,748) 88,332
  Net result for the year (378,743) (240,080)
  Accumulated losses at end of the financial year (530,491) (151,748)
  Southern Cross Campus Services Limited ABN 57 003 082 406
  Notes to the Financial Statements
  For the year ended 31 December 2017
  108 Southern Cross University Annual Report 2017
  11 Remuneration of Auditors
  2017
  $
  2016
  $
  Remuneration of the auditor of the Company, Audit Office of NSW, for:
  Auditing the financial report 27,540 27,000
  12 Contingencies
  In the opinion of the Directors, the Company did not have any contingencies at 31 December 2017 (31 December 2016: None).
  13 Events Occurring After the Reporting Date
  No matters or circumstances have arisen since the end of the financial year which significantly affected or may significantly
  affect the operations of the Company, the results of those operations or the state of affairs of the Company in future
  financial years.
  14 Key Management Personnel Disclosures
  (a) Directors
  The names of directors of Southern Cross Campus Services Limited who held office during the financial year are:
  Benjamin Roche Appointed 3 July 2017
  David Lynch
  Donna Moffitt
  Paul Deegan
  Chris Patton Resigned 25 August 2017
  The above persons have been in office since the start of the year unless otherwise stated.
  (b) Directors and responsible officers remuneration
  No income is paid or payable, or otherwise made available, to board members by the company in connection with the
  management of affairs of the company.
  The independent board member, Paul Deegan, is external to the company and is not remunerated. The remaining board
  members and responsible officers are remunerated by the company’s ultimate parent entity Southern Cross University.
  Southern Cross Campus Services Limited ABN 57 003 082 406
  Notes to the Financial Statements
  For the year ended 31 December 2017
  Southern Cross University Annual Report 2017 109
  15 Related Parties
  Transactions between related parties are on normal commercial terms and conditions no more favourable than those
  available to other parties unless otherwise stated.
  (a) Ultimate Parent Entity
  The Company is a wholly owned subsidiary of its ultimate parent entity, Southern Cross University.
  Transactions with Southern Cross University for services provided are fully re‑imbursed by the Company. The Company
  operates from premises owned by Southern Cross University at no charge and the Company is unable to determine the
  value for this charge.
  (b) Transactions with related parties
  The following transactions occurred with related parties:
  Note
  2017
  $
  2016
  $
  Parent
  Catering services 176,855 144,246
  Cost recoveries 704,936 666,973
  Equipment hire 9,445 2,098
  Other costs (1,715) (3,300)
  (c) Balances to related parties
  Current
  Amount payable to:
  Ultimate parent entity 8 561,952 189,238
  (d) Terms and Conditions
  Related party outstanding balances are unsecured and have been provided on interest‑free terms.
  Southern Cross Campus Services Limited ABN 57 003 082 406
  Notes to the Financial Statements
  For the year ended 31 December 2017
  110 Southern Cross University Annual Report 2017
  16 Reconciliation of result for the year to cashflows from operating activities
  Reconciliation of net income to net cash provided by operating activities:
  2017 2016
  $ $
  Net result for the year (378,743) (240,080)
  Cash flows excluded from profit attributable to operating activities
  Non‑cash flows in net result:
  Depreciation expense 35,590 33,526
  Net loss/(gain) on disposal of plant and equipment 5,543 (5,265)
  Impairment of trade receivables – 152
  Changes in assets and liabilities:
  (Increase)/decrease in trade and other receivables (13,281) (14,225)
  (Increase)/decrease in other assets (1,655) 998
  (Increase)/decrease in inventories 1,475 (13,035)
  Increase/(decrease) in trade and other payables 296,399 214,977
  Increase/(decrease) in provisions 23,555 9,464
  Increase/(decrease) in other liabilities 16,176 (10,780)
  Cash flows used in operating activities (14,941) (24,268)
  17 Fair Value Measurement
  (a) Fair value measurements
  The fair value of financial assets and financial liabilities must be estimated for recognition and measurement or for disclosure
  purposes, where applicable.
  Due to the short‑term nature of the current receivables, the carrying value is assumed to approximate the fair value and based
  on credit history it is expected that the receivables that are neither past due nor impaired will be received when due.
  The carrying amounts and aggregate net fair values of financial assets and liabilities at balance date are:
  Carrying Amount Fair Value
  2017
  $
  2016
  $
  2017
  $
  2016
  $
  Financial assets
  Cash and cash equivalents 71,565 70,142 71,565 70,142
  Trade and other receivables 28,415 15,534 28,415 15,534
  Total financial assets 99,980 85,676 99,980 85,676
  Financial Liabilities
  Trade and other payables 626,376 272,554 626,376 272,554
  Total financial liabilities 626,376 272,554 626,376 272,554
  Southern Cross Campus Services Limited ABN 57 003 082 406
  Notes to the Financial Statements
  For the year ended 31 December 2017
  Southern Cross University Annual Report 2017 111
  18 Company Details
  The registered office of and principal place of business of the company is:
  Southern Cross Campus Services Limited
  Southern Cross University
  Military Road
  EAST LISMORE NSW 2480
  19 Financial Risk Management
  The Company’s activities expose it to a variety of financial risks: market risk, credit risk and liquidity risk. The Company’s
  overall risk management program focuses on the unpredictability of financial markets and seeks to minimise potential
  adverse effects on the financial performance of the entity.
  The Company uses different methods to measure different types of risk to which it is exposed. These methods include
  sensitivity analysis in the case of interest rate, foreign exchange and other price risks, ageing analysis for credit risk and daily
  assessment of investment portfolios to determine market risk.
  The Company does not actively engage in the trading of financial assets for speculative purposes nor does it write options.
  (a) Market risk
  (i) Foreign exchange risk
  The company does not undertake transactions in foreign currency or hold any financial instruments in a foreign currency.
  As such the company is not exposed to currency risk.
  (ii) Price risk
  Price risk arises on financial instruments because of changes in commodity prices or equity prices. The Company is not
  exposed to any material commodity price risk.
  (iii) Cash flow and fair value interest rate risk
  Interest rate risk refers to the risk that the value of a financial instrument will fluctuate as a result of changes in market
  interest rates.
  The Company’s exposure to market interest rates relates primarily to the Company’s investments on‑call bank deposits.
  The following table summarises the sensitivity of the Company’s financial assets and financial liabilities to interest rate risk.
  Southern Cross Campus Services Limited ABN 57 003 082 406
  Notes to the Financial Statements
  For the year ended 31 December 2017
  112 Southern Cross University Annual Report 2017
  19 Financial Risk Management (continued)
  (a) Market risk (continued)
  31 December 2017 Interest rate risk
  ‑1% +1%
  Carrying
  amount
  $
  Result
  $
  Equity
  $
  Result
  $
  Equity
  $
  Financial assets
  Cash and cash equivalents 71,565 (716) (716) 716 716
  Trade and other receivables 28,415 – – – –
  Financial liabilities
  Trade and other payables 626,376 – – – –
  Total increase/(decrease) (716) (716) 716 716
  31 December 2016 Interest rate risk
  ‑1% +1%
  Carrying
  amount
  $
  Result
  $
  Equity
  $
  Result
  $
  Equity
  $
  Financial assets
  Cash and cash equivalents 70,142 (701) (701) 701 701
  Trade and other receivables 15,534 – – – –
  Financial liabilities
  Trade and other payables 272,554 – – – –
  Total increase/(decrease) (701) (701) 701 701
  (b) Credit risk
  Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in a financial loss
  to the Company.
  Credit risk arises from cash and cash equivalents, derivative financial instruments and deposits with banks and financial
  institutions, as well as credit exposure to wholesale and retail customers, including outstanding receivables and committed
  transactions.
  Trade receivables consist of a large number of customers, spread across diverse industries and geographical areas. Ongoing
  credit evaluation is performed on the financial condition of accounts receivable. Trade receivables are assessed after
  60 days and action taken to collect the debt. There has been no change in managing credit risk since the prior year.
  Southern Cross Campus Services Limited ABN 57 003 082 406
  Notes to the Financial Statements
  For the year ended 31 December 2017
  Southern Cross University Annual Report 2017 113
  19 Financial Risk Management (continued)
  (c) Liquidity risk
  Liquidity risk arises from the Company’s management of working capital and the finance charges and principal repayments
  on its debt instruments. It is the risk that the Company will encounter difficulty in meeting its financial obligations as they
  fall due.
  The Company manages its liquidity needs by maintaining adequate reserves, banking facilities and continuously monitoring
  forecast and actual cash flows.
  There have been no variations to the objects, policies and processes for liquidity risk since the prior period.
  The following tables summarise the maturity of the Company’s financial assets and financial liabilities:
  Average
  Interest rate
  Variable
  interest rate
  Non‑Interest
  Bearing
  Within
  1 year
  2017
  %
  2016
  %
  2017
  $
  2016
  $
  2017
  $
  2016
  $
  2017
  $
  2016
  $
  Financial Assets:
  Cash and cash equivalents 1.30 1.30 67,525 63,658 4,040 6,484 71,565 70,142
  Trade and other receivables – – – – 28,415 15,534 28,415 15,534
  Total Financial Assets 67,525 63,658 32,455 22,018 99,980 85,676
  Financial Liabilities:
  Trade and other payables – – – – 626,376 272,554 626,376 272,554
  Total Financial Liabilities – – – – 626,376 272,554 626,376 272,554
  Southern Cross Campus Services Limited ABN 57 003 082 406
  Notes to the Financial Statements
  For the year ended 31 December 2017
  Southern Cross University ABN 41 995 651 524
  114 Southern Cross University Annual Report 2017
  The directors of the Company declare that:

1. The financial statements and notes, set out on pages 92 to 113, are in accordance with the Corporations Act 2001 and:
   a. comply with Australian Accounting Standards, the Public Finance and Audit Act 1983, Public Finance and Audit
   Regulation 2015, Australian Charities and Not‑for‑profit Commission Act 2012 and Australian Charities and Not‑for‑profit
   Commission Regulation 2013; and
   b. give a true and fair view of the financial position as at 31 December 2017 and of the performance for the year ended
   on that date of the Company.
2. In the directors opinion, there are reasonable grounds to believe that the Company will be able to pay its debts as and
   when they become due and payable with the continuing support of creditors.
   This declaration is made in accordance with a resolution of the Board of Directors in accordance with section 295(5)(a) of the
   Corporations Act 2001.
   Directors’
   Declaration
   Southern Cross Campus Services Limited ABN 57 003 082 406
   Southern Cross University Annual Report 2017 115
   Southern Cross University ABN 41 995 651 524
   116 Southern Cross University Annual Report 2017
   Appendix A
   Staff employment
   ALL STAFF FTE*
   Nominal FTE 2011 2012 2013 2014 2015 2016 2017
   Academic 331.9 347.3 363.7 326.0 319.0 310.7 313.2
   Professional 557.1 563.1 575.0 553.4 519.0 515.2 526.5
   TOTAL 889.0 910.4 938.8 879.4 838.0 825.9 839.7
   *This data excludes staff employed on a casual/sessional basis.
   Figures might not add exactly to the total FTE due to rounding.
   Academic Staff
   Nominal FTE 2011 2012 2013 2014 2015 2016 2017
   Above Senior lecturer 71.1 73.0 75.6 68.6 77.1 73.0 75.3
   Senior lecturer 85.1 88.0 91.4 79.0 80.2 84.0 82.8
   Lecturer 113.9 147.2 152.8 142.0 122.4 118.9 123.9
   Below lecturer 61.8 39.1 44.0 36.4 39.3 34.9 31.2
   TOTAL 331.9 347.3 363.7 326.0 319.0 310.7 313.2
   Profess
   Above senior lecturer = Levels D, E (plus VC and SDVC)
   Senior lecturer = Level C
   Lecturer = Level B
   Below lecturer = Level A
   Professional staff
   Nominal FTE 2011 2012 2013 2014 2015 2016 2017
   HEW 1 1.6 8.2 6.6 7.0 8.0 7.8 7.6
   HEW 2 2.5 2.5 3.1 3.5 2.0 0.5 1.0
   HEW 3 30.7 20.6 16.0 16.8 17.4 12.1 12.4
   HEW 4 143.2 145.2 146.3 139.0 124.4 117.4 118.2
   HEW 5 148.1 142.6 149.4 142.3 133.9 132.7 129.1
   HEW 6 86.2 90.4 92.5 89.7 79.1 89.2 97.6
   HEW 7 69.9 73.9 82.6 85.0 88.5 89.7 92.9
   HEW 8 42.2 42.9 38.5 32.6 27.0 31.0 30.2
   HEW 9 10.4 10.4 12.1 10.6 13.8 12.0 12.0
   HEW 10 9.5 11.5 15.0 12.0 12.0 9.0 10.0
   Above Level 10 13.0 15.0 13.0 15.0 12.9 13.9 15.5
   TOTAL 557.1 563.1 575.0 553.4 519.0 515.2 526.5
   *This data excludes staff employed on a casual/sessional basis. Figures might not add exactly to the total FTE due to rounding.
   Source: MIS Government Staff Cube – 27th February 2018
   Southern Cross University Annual Report 2017 117
   118 Southern Cross University Annual Report 2017
   Appendix B
   Senior Executives
   2017 2016
   Band Female Male Female Male
   Band 1(Executive) 1
   Band 2 (Executive) 2 2 1 2
   Band 3 (Executive) 2 1 2
   Band 4 (Executive)
   Above Band 4 (Executive) 1 1
   Totals 2 6 2 5
   8 7
   In 2017, 2.11% of the Southern Cross University’s employee related expenditure was related to senior executives, compared to
   2.16% in 2016.
   Band Range $ Average remuneration
   2017 $ 2016 $
   Band 1 (Executive) $183,300 to $261,450 $238,500 $0
   Band 2 (Executive) $261,451 to $328,900 $299,650 $322,867
   Band 3 (Executive) $328,901 to $463,550 $338,750 $352,233
   Band 4 (Executive) $463,551 to $535,550 $0 $0
   Above Band 4 (Executive) Over $535,550 $712,300 $713,700
   Southern Cross University Annual Report 2017 119
   Appendix C
   Trends in the representation of employees in diversity groups
   Extract of data for 2016/2017 reporting period (as at 31 March 2017; excludes casual staff)
   Academic Staff Benchmark
   or target 2014 2015 2016 2017
   Women 50% 49.2% 50.3% 49.8% 49.3%
   Aboriginal people and Torres Strait Islanders 2.6% 1.4% 1.5% 1.8% 1.8%
   People whose first language was not English 19% 7.3% 7.4% 8.7% 8.4%
   People with disability NA 6.4% 6.5% 6.3% 6.6%
   People with disability requiring
   work-related adjustment 1.1% 0.8% 0.6% 0.6% 0.6%
   Professional Staff Benchmark
   or target 2014 2015 2016 2017
   Women 50% 66.8% 67.9% 67.1% 66.3%
   Aboriginal people and Torres Strait Islanders 2.6% 3.5% 3.2% 3.2% 2.8%
   People whose first language was not English 19% 3% 3% 2.8% 3.8%
   People with disability NA 4% 3.5% 3.6% 3.3%
   People with disability requiring
   work-related adjustment 1.1% 0.3% 0.2% 0.2% 0.2%
   120 Southern Cross University Annual Report 2017
   Appendix C
   Trends in the distribution of employees in diversity groups #
   Academic Staff Benchmark
   or target
   Distribution Index
   2014 2015 2016 2017
   Women 100 90 90 93 88
   Aboriginal people and Torres Strait Islanders 100 119 139 120 107
   People whose first language was not English 100 92 93 89 98
   People with disability 100 100 101 93 104
   People with disability requiring work-related
   adjustment 100 136 127 89 89
   Professional Staff Benchmark
   or target
   Distribution Index
   2014 2015 2016 2017
   Women 100 87 90 89 91
   Aboriginal people and Torres Strait Islanders 100 87 81 87 85
   People whose first language was not English 100 92 94 92 93
   People with disability 100 102 105 102 100
   People with disability requiring work-related
   adjustment
   100 119 106 104 104

A Distribution Index of 100 indicates that the centre of the distribution of the EEO groups across salary levels is equivalent

to that of other staff. Values less than 100 mean that the EEO group tends to be more concentrated at lower salary levels than
is the case for other staff. The more pronounced this tendency is, the lower the index will be. In some cases the index may be
more than 100, indicating that the EEO group is less concentrated at lower salary levels.
Southern Cross University Annual Report 2017 121
Appendix D
Frequency of meetings and members’ attendance at meetings
Council 2017
9 Feb 7 Apr 9 Jun 22 Sep 23 Nov
B Boyd   
N Burton Taylor     
A Curtin     
M d’Almeida    
N Genge Resigned 28 Feb 2017
J Granger    
M Hughes  
Term commenced
21 Aug 2017
M Jones     
T Ledgerwood     
C Lugnan 
Term commenced
4 Sep 2017,
resigned 8 Nov 2017
A Matis   Resigned 13 June 2017
S Nancarrow   
Term concluded
21 Aug 2017
L O’Grady   
Term commenced
17 Feb 2017
J Shanahan   
Term concluded
3 Sep 2017
A Shoemaker     
M Sweeny 
Term concluded
18 Feb 2017
A Wessell     
Legend
Attended meeting 
Absent from meeting
122 Southern Cross University Annual Report 2017
Statistical information about access applications – Clause 7(d) and Schedule 2
Table A: Number of applications by type of applicant and outcome*
Access
granted
in full
Access
granted
in part
Access
refused
in full
Information
not held
Information
already
available
Refuse to
deal with
application
Refuse to
confirm/
deny
whether
information
is held
Application
withdrawn
Media
Members of
Parliament
Private sector
business
Not for profit
organisations or
community groups
1
Members of
the public
(application by legal
representative)
Members of the
public (other) 2 1

• More than one decision can be made in respect of a particular access application. If so, a recording must be made in relation
  to each such decision. This also applies to Table B.
  Table B: Number of applications by type of application and outcome
  Access
  granted
  in full
  Access
  granted
  in part
  Access
  refused
  in full
  Information
  not held
  Information
  already
  available
  Refuse to
  deal with
  application
  Refuse to
  confirm/
  deny
  whether
  information
  is held
  Application
  withdrawn
  Personal information
  applications*
  Access applications
  (other than personal
  information
  applications)
  Access applications
  that are partly
  personal information
  applications and
  partly other
  2 1
• A personal information application is an access application for personal information (as defined in clause 4 of Schedule 4 to
  the Act) about the applicant (the applicant being an individual).
  Appendix E
  Southern Cross University Annual Report 2017 123
  Table C: Invalid applications
  Reason for invalidity No of applications
  Application does not comply with formal requirements (section 41 of the Act) 1
  Application is for excluded information of the agency (section 43 of the Act)
  Application contravenes restraint order (section 110 of the Act)
  Total number of invalid applications received 1
  Invalid applications that subsequently became valid applications 1*
  This application became valid in 2018 so the details are not included in this Annual Report Table D: Conclusive presumption of overriding public interest against disclosure: matters listed in Schedule 1 to Act Number of times consideration used
  Overriding secrecy laws
  Cabinet information
  Executive Council information
  Contempt
  Legal professional privilege 1
  Excluded information
  Documents affecting law enforcement and public safety
  Transport safety
  Adoption
  Care and protection of children
  Ministerial code of conduct
  Aboriginal and environmental heritage
• More than one public interest consideration may apply in relation to a particular access application and, if so, each such
  consideration is to be recorded (but only once per application). This also applies in relation to Table E.
  Table E: Other public interest considerations against disclosure: matters listed in table to section 14 of Act
  Number of occasions when application not successful
  Responsible and effective government 2
  Law enforcement and security 0
  Individual rights, judicial processes and natural justice 2
  Business interests of agencies and other persons 0
  Environment, culture, economy and general matters 0
  Secrecy provisions 0
  Exempt documents under interstate Freedom of Information legislation 0
  Appendix E
  124 Southern Cross University Annual Report 2017
  Table F: Timeliness
  Number of applications
  Decided within the statutory timeframe (20 days plus any extensions) 2
  Decided after 35 days (by agreement with applicant)
  Not decided within time (deemed refusal)
  Total 2
  Table G: Number of applications reviewed under Part 5 of the Act (by type of review and outcome)
  Decision varied Decision upheld Total
  Internal review 1 1
  Review by Information Commissioner* 0
  Internal review following recommendation under section 93 of Act 0
  Review by ADT 0
  Total 1 1
• The Information Commissioner does not have the authority to vary decisions, but can make recommendations to the original
  decision-maker. The data in this case indicates that a recommendation to vary or uphold the original decision has been made
  by the Information Commissioner.
  Table H: Applications for review under Part 5 of the Act (by type of applicant)
  Number of applications for review
  Applications by access applicants 1
  Applications by persons to whom information the subject
  of access application relates (see section 54 of the Act) 0
  Table I: Applications transferred to other agencies under Division 2 of Part 4 of the Act (by type of transfer)
  Number of applications transferred
  Agency-initiated transfers 0
  Applicant-initiated transfers 0
  Appendix E
  Southern Cross University Annual Report 2017 125
  Financial Compliance
  Investment Performance
  The University held investment funds of $12 million as at 31 December 2017 which were made up of cash investments (maturing
  30 days or less).
  The average rate of return on term deposits is shown below in comparison to the TCorp Cash Hourglass Facility.
  Cash Investments 2.31%
  TCorp Hourglass Facility – Cash 2.28%
  As investments are held as interest bearing deposits and on-call bank deposits the only impact of economic events has been
  on the future earning potential due to lower interest rates, with no impact on the invested values.
  Credit card certification
  During the 2017 financial year, credit card use was in accordance with the University’s Corporate Credit Card and Procurement
  policies. These policies are based on the requirements of the New South Wales Treasurer’s Directions.
  Payment of Accounts
  The University’s payment terms in respect of its creditors are 30 days. In 2017, 79 per cent of invoices were paid in accordance
  with these terms. Interest of $263 was incurred during 2017.
  Aged analysis at the end of each quarter
  Quarter
  Mar-17 Jun-17 Sep-17 Dec-17
  $ $ $ $
  Current 5,309,618 471,149 399,995 528,905
  Between 30-60 days 572,968 38,077 36,795 146,851
  Between 60-90 days 43,059 1,768 17,637 –
  Over 90 days 22,981 693 196,006 –
  Total 5,948,626 511,688 650,433 675,757
  Accounts paid within each quarter
  Measure Mar-17 Jun-17 Sep-17 Dec-17 Annual
  Number of accounts paid 832 809 860 918 1,622
  Number of invoices paid on time 3,141 3,302 3,638 3,837 13,918
  Actual percentage of invoices paid
  on time (based on number of invoices) 79% 77% 80% 80% 79%
  Number of payments for interest
  on overdue accounts 2 – – 1 3
  Interest paid on overdue accounts 157 – – 106 263
  Total number of invoices paid 3999 4269 4542 4810 17620
  Land Disposal
  The University did not dispose of any land holdings greater than $5,000,000 in 2017.
  Overseas Travel
  Appendix F
  126 Southern Cross University Annual Report 2017
  Appendix F
  The University spent $1.47 million on a variety of overseas visits in 2017 ($1.29 million in 2016) for the purposes of promotion
  and marketing of the University and specific programs, visits to overseas partners and the development of new partner
  relationships, the attendance and presentation of research papers at international conferences, and research and teaching
  at affiliated universities.
  Consultants
  The University engaged a range of consultants to provide recommendations or high level specialist or professional advice to
  assist in decision making by management. Table 1 lists the consultancies that were engaged by the University and the fees
  paid for their services during the year ended 31 December 2017. Table 2 lists those consultants costing greater than $50,000.
  Table 1: Consultancies costing less than $50,000
  Consultancy No.
  Amount
  $’000
  Financial Services 1 9
  IT 1 24
  Planning & Environment 2 8
  Architect & Engineering 2 30
  Organisation Review 2 78
  Total Consultancies costing less than $50,000 149
  Table 2: Consultancies costing more than $50,000
  Consultant Name Description
  Amount
  $’000
  Philips KPA Strategic Analysis 75
  Strategic Project Partners Feasibility Assessment 50
  McCullough Robertson Lawyers Dispute Resolution 130
  Total Consultancies costing more than $50,000 255
  Southern Cross University Annual Report 2017 127
  Southern Cross University ABN 41 995 651 524
  Operations
  Lismore Coffs Harbour Gold Coast
  PO Box 157, Lismore NSW 2480 Australia Hogbin Drive, Coffs Harbour NSW 2450 Australia Locked Mail Bag 4, Coolangatta QLD 4225 Australia
  T +61 2 6620 3000 F +61 2 6620 3700 T +61 2 6659 3777 T +61 7 5589 3000 F +61 7 5589 3700
  CRICOS Provider 01241G
  Digital Information Security Annual Attestation and
  Evidence of Certification Statement for 2017
  I, Allan Morris, Vice President, Operations, Southern Cross University am of the opinion
  that Southern Cross University had an Information Security Management System in place
  during the financial year being reported on that is consistent with the Core Requirements
  set out in the NSW Government Digital Information Security Policy.
  The controls in place to mitigate identified risks to the digital information and digital
  information systems of Southern Cross University are adequate.
  There is no agency under the control of Southern Cross University which is required to
  develop an independent ISMS in accordance with the NSW Government Digital
  Information Security Policy.
  Allan Morris
  Vice President, Operations
  www.scu.edu.au
  128 Southern Cross University Annual Report 2017
  Appendix H
  Budget and Actual Performance (Parent entity only)
  Southern Cross University Actual Budget Budget
  Statement of Comprehensive Income 2017 2017 2018
  $’000 $’000 $’000
  Income from continuing operations
  Australian Government financial assistance
  Australian Government grants 100,498 98,739 114,602
  HELP – Australian Government payment 59,578 58,319 65,880
  State and local Government financial assistance 1,628 7,018 3,329
  HECS-HELP – Student payment 1,944 2,600 1,650
  Fees and charges 52,894 56,960 61,894
  Investment revenue 904 320 200
  Royalties, trademarks and licences 852 600 900
  Consultancy and contracts 6,526 5,000 6,750
  Other revenue 10,594 7,731 11,751
  Total revenue from continuing operations 235,418 237,287 266,956
  Expenses from continuing operations
  Employee related expenses 132,000 128,999 135,817
  Depreciation and amortisation 13,183 14,018 14,676
  Repairs and maintenance 3,311 3,299 3,500
  Borrowing costs 583 1,076 1,180
  Impairment of assets 1,238 500 1,032
  Loss on disposal of assets 113 250 100
  Loss on foreign exchange differences 108 – 91
  Other expenses 88,648 92,921 101,544
  Total expenses from continuing operations 239,184 241,063 257,940
  Net result from continuing operations (3,766) (3,776) 9,016
  Net result attributable to members of Southern Cross University (3,766) (3,776) 9,016
  Southern Cross University
  Annual Report 2017
  www.scu.edu.au/publications
  Production costs: $2,630
  Locations
  Lismore campus
  Military Road
  East Lismore NSW 2480
  Coffs Harbour campus
  Hogbin Drive
  Coffs Harbour NSW 2450
  Gold Coast campus
  Southern Cross Drive
  Bilinga QLD 4225
  CRICOS Provider: 01241G
  SCU6928
  scu.edu.au