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Australian Electoral Commission—Report for 2017-18


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Australian Electoral Commission

ANNUAL REPORT 2017-18

Australian Electoral Commission

ANNUAL REPORT 2017-18

iv Australian Electoral Commission Annual Report 2017-18

© Commonwealth of Australia 2018

ISSN: 0814-4508

Unless otherwise noted, the Australian Electoral Commission has applied the Creative Commons Attribution 4.0 International Licence to this publication with the exception of the Commonwealth Coat of Arms, the AEC’s logos, the AEC’s maps and content supplied by third parties.

Use of material subject to the licence must not assert or imply any connection with or endorsement by the AEC unless with express prior written permission.

The commission asserts the right of recognition as author of the original material. The publication should be attributed as Australian Electoral Commission Annual Report 2017-18. The term ‘Indigenous’ in this report refers to Aboriginal and Torres Strait Islander people unless otherwise stated.

This report may contain the names and images of Aboriginal and Torres Strait Islander people now deceased.

Produced by: Australian Electoral Commission Printed by: Canprint Pty Ltd Web address: annualreport.aec.gov.au/2018

AEC website: www.aec.gov.au

Feedback and enquiries should be directed to:

Chief Finance Officer Australian Electoral Commission 50 Marcus Clarke Street Canberra ACT 2600

Locked Bag 4007 Canberra ACT 2601

Telephone: 02 6271 4476 Fax: 02 6215 9999

Or make an online enquiry at www.aec.gov.au/enquiry

Accessible services: visit www.aec.gov.au for telephone interpreter services in 16 languages.

Readers who are deaf or who have a hearing or speech impairment can contact the AEC through the National Relay Service (NRS).

• TTY users phone 13 36 77 and ask for 13 23 26. • Speak and Listen users phone 1300 555 727 and ask for 13 23 26. • Internet relay users connect to the NRS and ask for 13 23 26.

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Australian Electoral Commission Annual Report 2017-18 v

v Contents

vi Figures

vii Tables

viii About this report ix Letter of transmittal

1 Section 1 Commissioner’s review 2 Complexity

3 Meeting our challenges 5 Looking forward

6 Section 2 Overview of the AEC 8 Role and function

8 Organisational structure

12 Section 3 Performance report 15 Annual performance statement 15 Statement by the Electoral Commissioner 17 Performance statement - agency direction one 20 Performance statement - agency direction two 22 Performance statement - agency direction three 24 Performance statement - agency direction four 26 Performance statement - agency direction five 28 Performance statement - agency direction six 32 Other performance

34 Section 4 AEC functions 36 Active electoral roll management 38 Conducting successful electoral events 42 Undertaking public awareness activities 45 Supporting electoral redistributions 46 Administering political party registrations and financial

disclosure

48 Section 5 Management and accountability 50 Corporate governance - principles and objectives 52 External scrutiny 54 Managing and developing staff 58 Assets management 59 Purchasing

Contents

vi Australian Electoral Commission Annual Report 2017-18

62 Section 6 Financial statements 64 Financial performance summary 66 List of financial statements 67 Certification 70 Primary financial statements 75 Administered schedules 78 Overview 81 Notes to the financial statements

98 Section 7 Appendices 100 Appendix A Resources 103 Appendix B Governance 107 Appendix C Commonwealth Electoral Roll information 113 Appendix D Electoral events data 115 Appendix E Public awareness data 116 Appendix F Electoral redistribution data 119 Appendix G Political party registrations and

financial disclosure data 121 Appendix H Workforce statistics

130 Section 8 Reader guides 132 Abbreviations and acronyms 133 Glossary 136 Index to list of annual report requirements 140 General index

Figures 16 Figure 1: Performance criteria from the AEC Portfolio Budget Statement mapped against agency directions 47 Figure 2: Australia’s 150 electoral divisions as at 30 June 2018 55 Figure 3: AEC APS workforce by employment type as at 30 June 2018 107 Figure 4: Enrolment rate-trend from 9 October 2004 to 30 June 2018

Contents

Australian Electoral Commission Annual Report 2017-18 vii

Tables 32 Table 1: AEC performance against the regulator performance framework 54 Table 2: AEC APS workforce by employment type and classification (excluding statutory office holders) as at 30 June 2018 57 Table 3: New claims for compensable and non-compensable injuries 101 Table 4: Agency resource statement 2017-18 102 Table 5: Expenses and resources for Outcome 1 102 Table 6: Average staffing levels 2015-16 to 2017-18 103 Table 7: Business planning documents 104 Table 8: AEC management committees 106 Table 9: AEC discussion forums 108 Table 10: Recipients of electoral roll extracts July 2017-June 2018 109 Table 11: Roll information for registered political parties - parties provided with electoral

roll extracts

111 Table 12: Government departments and agencies that received electoral extracts, July 2017-June 2018 112 Table 13: Medical and electoral researchers provided with electoral roll extracts, July 2017-June 2018 112 Table 14: Provision of electoral roll information to organisations verifying identity for financial

purposes, July 2017-June 2018 113 Table 15: Results from Senate special counts conducted in 2017-18 113 Table 16: By-elections conducted during 2017-18 114 Table 17: Key voting data for each 2017 by-election 115 Table 18: Advertising and media placement payments, $13,500 or more 116 Table 19: Summary of electoral redistributions concluded in 2017-18 117 Table 20: Summary of electoral redistributions commenced in 2017-18 119 Table 21: 2017 New England by-election payment to political parties and candidates 119 Table 22: 2017 Bennelong by-election payment to political parties 120 Table 23: 2018 Batman by-election payment to political parties 120 Table 24: Party registration related applications and requests 2017-18 121 Table 25: APS ongoing staff demographics as at 30 June 2017 and 30 June 2018 124 Table 26: APS non-ongoing staff demographics as at 30 June 2017 and 30 June 2018 126 Table 27: Staff employed under the Commonwealth Electoral Act 1918 by demographics as

at 30 June 2017 and 30 June 2018 128 Table 28: Statutory appointments under the Commonwealth Electoral Act 1918 as of 30 June 2018

viii Australian Electoral Commission Annual Report 2017-18

This report outlines the performance of the Australian Electoral Commission (AEC) for the financial year ending 30 June 2018.

The report meets the requirements of the Commonwealth Electoral Act 1918, the Public Governance, Performance and Accountability Act 2013, and the Public Governance, Performance and Accountability Rule for annual reports.

There are eight sections:

1. Commissioner’s review—the Electoral Commissioner reflects on the year.

2. Overview of the AEC—the AEC’s role, functions and organisational structure.

3. Performance report—performance against the agency purpose and directions in the AEC Corporate Plan 2017-2021 with reference to the Portfolio Budget Statements.

4. AEC functions—the functions which deliver the AEC’s purpose and highlights of the year.

5. Management and accountability— information on the management and accountability of the AEC.

6. Financial statements—financial performance for 2017-18 including audited financial statements.

7. Appendices—additional information.

8. Reader guides—abbreviations and acronyms, glossary, index to the list of annual report requirements and a general index.

Tools to assist readers This publication has:

• a table of contents

• lists of figures and tables

• an alphabetical index

• a list of requirements

• cross references

• an abbreviations and acronyms section

• a glossary

See page iv for accessible services.

This report is available online at annualreport.aec.gov.au/2018

A PDF version is also available.

About this report

Australian Electoral Commission Annual Report 2017-18 ix

Letter of transmittal

Three by-elections

Seven special Senate counts

Five redistributions

Australian Electoral Commission Annual Report 2017-18 1

Commissioner’s review

Section 1

IN THIS SECTION

2 Commissioner’s review

2 Complexity

3 Meeting our challenges

5 Looking forward

The Electoral Commissioner, Tom Rogers, reflects on the year and looks towards the next federal election.

Australian Electoral Commission Annual Report 2017-18

1 Commissioner’s review

2 Australian Electoral Commission Annual Report 2017-18

Section 1

Commissioner’s review

We’ve been busy. The AEC continued to experience significant change and operational turbulence during this year.

A combination of unique external events, largely centered on the operation of section 44 of the Australian Constitution, created a challenging operational environment and tested our organisational agility. AEC staff responded to the challenge, and the agency continued to evolve, improve procedures, and consistently deliver successful electoral events.

The last 12 months have been one of the busiest periods in the agency’s history. Even though this was not a federal election year, the AEC delivered three by-elections, seven Senate special counts, and five redistributions. We were also involved in six public Parliamentary committee inquiries, and completed one of the largest close of rolls in the history of our agency for the Australian Marriage Law Postal Survey.

As evidenced throughout the year, a dynamic political situation can create a speculative electoral environment. Accordingly, as well as ensuring our

preparedness for the next federal election, it was critical for the AEC to have robust planning principles in place to enable the agency to adapt as circumstances continued to evolve.

Complexity The AEC operates within a highly complex environment. Federal elections and by-elections are large events involving compulsory citizen attendance, strictly regulated behaviour by political parties, and the short notice recruitment, training and deployment of a large temporary workforce. This innate complexity is further rendered by ever evolving citizen expectations. Australian citizens demand both surety and speed from the electoral process, and media commentary (and social media activity) is increasingly focused on key metrics such as the speed of the count. In brief, given their experiences with technology in other areas of society, citizens have developed digital expectations from what is a mostly analogue process.

Australian Electoral Commission Annual Report 2017-18 3

High-profile local and international cyber security incidents have highlighted the potential for catastrophic failure if electoral processes and systems aren’t carefully controlled and monitored. Maintaining pace is made more challenging by highly prescriptive and somewhat antiquated legislation and ageing IT systems. The AEC has devoted a significant amount of resources and focus on this matter over the last 12 months. In partnership with other relevant security agencies, and state and territory electoral commissions, we have continued to analyse the security situation, implement risk mitigation strategies, and prepare for the future of an evolving cyber security environment.

Against this backdrop, the AEC maintains an ongoing and overwhelming focus on being ready to deliver efficient and high integrity electoral events. Implementing changes to electoral process following the 2016 federal election evaluation and mobilising to maintain election readiness is, in itself, a considerable workload. We also delivered three by-elections and seven Senate special counts triggered by parliamentary resignations. Most of these resignations resulted from High Court decisions on eligibility requirements under section 44 of the Constitution. When a further four Members of Parliament resigned in May 2018 due to eligibility requirements, the Government progressed regulations enshrining changes to the nomination process for people wishing to stand as candidates. The AEC implemented these changes, including a qualification checklist, to help candidates provide information on their eligibility to be elected to Parliament having regard to section 44 of the Constitution.

The Australian Marriage Law Postal Survey, a unique event, showcased our ability to swiftly process a huge volume of enrolments at short notice. During the two weeks of close of rolls we processed almost one million enrolments, vastly exceeding volumes at the 2016 federal election. More than 55,000 calls to the AEC hotline, three million plus website visits, thousands of emails and hundreds of social media interactions were other features of that unique event.

Australia now has the largest and most complete Commonwealth Electoral Roll since Federation, with more than 16 million Australians enrolled to vote.

The AEC has managed an intense workload this year. While we have been agile in our response to implement the required legislative changes and conduct a number of events and redistributions, non-election resourcing remains tight. We continue to work with our key stakeholders to raise awareness of the risks inherent in under investment in the electoral process.

Meeting our challenges

Delivering high quality electoral events While this year’s many challenges tested our agility, they also provided us with an opportunity to test and implement changes to improve voter experience before the next federal election.

1 Commissioner’s review

4 Australian Electoral Commission Annual Report 2017-18

Our early planning to complete the largest close of rolls in agency history for the Australian Marriage Law Postal Survey, allowed us to provide invaluable support to the Australian Bureau of Statistics. As a result of our ongoing focus on roll growth and roll integrity, Australia now has the largest and most complete Commonwealth Electoral Roll since Federation, with more than 16 million Australians enrolled to vote.

For the New England by-election on 2 December 2017 we delivered election results in record time—the poll was declared and the writ returned in just four days. Close on its heels, the Bennelong by-election on 16 December created an intense end of year workload. AEC staff worked through the Christmas period to quickly declare the poll and return the writ. We conducted a further by-election in Batman on 17 March 2018 and produced another incredibly fast turnaround to declare the poll. This succession of by-elections allowed us to collect data on polling place operations, and tested our new data driven approach to forecasting polling place resources.

On 24 May the Speaker of the House of Representatives advised Parliament that the proposed polling day for by-elections in the federal electoral divisions of Braddon, Fremantle, Longman, Mayo and Perth would be 28 July 2018. This resulted in the largest number of by-elections conducted at any one point in time since Federation. We have also implemented regulatory changes to the nominations process for candidates in time for the upcoming by-elections.

In 2017-18 we also delivered 1300 industrial and commercial elections, which was 500 more than in 2016-17.

Continuous improvement We are continuously improving the way we do business to ensure we meet community and stakeholder expectations. Part of this has involved working with key stakeholders such as the Joint Standing Committee on Electoral Matters (JSCEM) on the complexities of electoral processes and confirming the need to modernise our overall approach.

Additional mid-year funding allowed us to begin a business case to modernise the AEC’s election and roll management systems. We also focused on more effective supply chain management to create further efficiencies in polling places.

We are implementing an organisational design review to ensure we have the necessary capability and agility to effectively deliver our core functions in a changing environment and to set us up for the future.

We will continue to ensure electoral communication is authorised in accordance with the new rules which came into effect in March. These extend authorisation requirements to contemporary communications channels such as online platforms, bulk text messages and robocalls.

Our commitment to cyber security also continues and we have significantly increased our focus in this area. We are working with the Australian Cyber Security Centre on a cyber security review of electoral processes and we are participating in a cyber security health check along with our colleagues in the Electoral Council of Australia and New Zealand (ECANZ).

Australian Electoral Commission Annual Report 2017-18 5

Progress in modernising our systems, addressing temporary workforce challenges and overly prescriptive parts of the Commonwealth Electoral Act 1918 (the Electoral Act), are reviewed every six months by JSCEM. We have been able to finance most of these modernisation initiatives within our existing funding belt, however we are working with our stakeholders to acquire the resources to create more meaningful, long-term change.

Professionalising our workforce All our staff contribute to the successful delivery of each federal election, so we are investing in our people through a new approach to learning and development. Every aspect of our learning is driven by our new Learning Governance Committee which focuses on national consistency. This is underpinned by our values of professionalism, agility and quality.

As well as improving online learning programs, we began delivering a nine and a half day Election Readiness Program during the year. Since its launch in February 2018, this training initiative has been provided to more than 240 staff.

Staff can also experience an election role ‘hands on’, through the Election Experience Program, and build knowledge and understanding by participating in an electoral event. For our temporary election workforce, we’ve created short, task focused videos for online, face-to-face and ‘just in time training’.

Looking forward Everything we’ve achieved this year demonstrates significant progress since the 2016 federal election. Work priorities identified through our election evaluation have mostly progressed to

business-as-usual. Improvements have been embedded to enhance the voter experience.

The urgent need to respond to changing community and stakeholder expectations continues to drive improvements to every area of our work. Our corporate plan and agency directions help focus our energy while working to capacity within our resources. The next federal election will enable us to further track and evaluate our achievements and evolution.

The urgent need to respond to changing community and stakeholder expectations continues to drive improvements to every area of our work.

While we progress the business case to modernise the AEC’s internal election and roll management IT systems, the voter experience will also be improved. More electronic certified lists at polling places will make it faster to find voters on the list. Voters will be able to download the AEC mobile app to help polling officials locate their details faster. This helps to reduce wait and queue times.

The semi-automated counting of Senate ballot papers will continue. This will reduce the Senate vote counting time, enable us to streamline the movement of election supplies, and to benefit from the efficiencies and security this provides.

While the future holds many unknowns, challenges and opportunities, I am confident that we are building a solid foundation for continuous improvement, and that our ability to continue evolving will safeguard the integrity of Australia’s electoral system.

One Purpose

One outcome

One program: 1.1 to deliver electoral events

Australian Electoral Commission Annual Report 2017-18 7

Section 2

Australian Electoral Commission Annual Report 2017-18

Overview of the AEC

IN THIS SECTION

8 Role and function

8 Organisational structure

The role, functions and organisational structure of the Australian Electoral Commission.

2 Overview of the AEC

8 Australian Electoral Commission Annual Report 2017-18

Section 2

Overview of the AEC

Role and function The AEC is an independent statutory authority established by the Australian Government. It is funded to deliver one purpose and one outcome:

Maintain an impartial and independent electoral system for eligible voters through active electoral roll management, efficient delivery of polling services, and targeted education and public awareness programs.

The AEC has one program:

1.1 To deliver electoral events.

Its functions are:

• conducting successful electoral events, including federal elections, by-elections and referendums, and industrial and commercial elections

• ensuring confidence in the electoral roll

• administering political party registrations and financial disclosure

• supporting electoral redistributions

• undertaking public awareness activities

The AEC must also provide a range of electoral information and education programs both in Australia and in support of Australia’s national interests.

More information on the AEC’s functions is in section 4.

Organisational structure The Electoral Commissioner, Tom Rogers, is appointed under the Commonwealth Electoral Act 1918 and is responsible for managing and operating the AEC. The Electoral Commissioner is the AEC’s Accountable Authority and works as part of the Executive Leadership Team to manage the organisation.

At 30 June the AEC’s Executive Leadership Team was:

• Tom Rogers, Electoral Commissioner

• Jeff Pope APM, Deputy Electoral Commissioner

• Andrew Gately, First Assistant Commissioner

• Tim Courtney, First Assistant Commissioner

An organisational chart that includes senior executive and their responsibilities is on page 10.

The AEC has a three-tier structure with:

• a national office in Canberra

• state and territory offices

• divisional offices

Australian Electoral Commission Annual Report 2017-18 9 Australian Electoral Commission Annual Report 2017-18 9

Senior Executive 2017-18

Back row left to right: Martyn Hagan, Thomas Ryan, Paul Pirani, David Lang, Warwick Austin, Steve Kennedy, Gabrielle Paten, Jonathan Nicholl, Fleur Hill, David Molnar

Front row, left to right: Anna Stewart, Stephen Blackburn, Andrew Gately, Tom Rogers, Jeff Pope, Robyn Legg, Lynn White

Absent: Tim Courtney

Section 6 of the Electoral Act established a three-person Commission which has exclusive powers, particularly in relation to electoral redistributions, political party registration, and funding and disclosure.

At 30 June the members of the Commission were:

• Chairperson: Hon. Dennis Cowdroy OAM QC

• Electoral Commissioner: Tom Rogers

• Non-judicial member: David Kalisch

AEC Organisation Chart June 2018 Tom Rogers Electoral Commissioner

Jeff Pope Deputy Electoral Commissioner

Andrew Gately First Assistant Commissioner/National Elections Management (NEM)

Australian Electoral Commission (the Commission) Chairperson

Non-judicial member

Electoral Commissioner

Tim Courtney First Assistant Commissioner

*Function to shift into Network and Election Operations Division following next federal election.

Legal and Procurement Branch

Paul Pirani Chief Legal Officer

Deputy Chief

Legal Officer

Commercial Law and Procurement

Electoral Authorisations

National Training and Education Unit

International Services Doctrine and Lessons

Management

Roll Management and Community Engagement Branch

Robyn Legg Assistant Commissioner

Roll Program and Community Engagement

National Enrolment Services

Redistributions

Operations Branch

Anna Stewart Assistant Commissioner

Operations Capability and Coordination

Systems Delivery and Modernisation

Business Intelligence, Research and Electoral Integrity

Elections Branch

Lynn White Assistant Commissioner

Election Design and Planning

Voter Services

Event Management

Corporate Services Branch

Jonathan Nicholl Assistant Commissioner

People Services

Chief Finance Officer and Resource Management

Financial Management

People, Integrity and Security

Election Workforce and Systems

Disclosure, Assurance and Engagement Branch

Gabrielle Paten Assistant Commissioner

Risk and Assurance

Parliamentary and Party Registration

Compliance and Disclosure

Communications

Information, Communication and Technology

David Lang Assistant Commissioner

Engineering, Infrastructure and Operations

Information Security, Governance and Assurance

Architecture and Modernisation

IT Solutions

Information Management and Digital Communications

ICT Program

Supply Chain Management*

Stephen Blackburn Program Manager

Australian Electoral Officer/State Manager

New South Wales and Australian Capital Territory Warwick Austin

Victoria Steve Kennedy

Queensland and Northern Territory Thomas Ryan

Western Australia Fleur Hill

South Australia Martyn Hagan

Tasmania David Molnar

Network and Election Operations Division

Capability Division

2 Overview of the AEC

10 Australian Electoral Commission Annual Report 2017-18

AEC Organisation Chart June 2018 Tom Rogers Electoral Commissioner

Jeff Pope Deputy Electoral Commissioner

Andrew Gately First Assistant Commissioner/National Elections Management (NEM)

Australian Electoral Commission (the Commission) Chairperson

Non-judicial member

Electoral Commissioner

Tim Courtney First Assistant Commissioner

*Function to shift into Network and Election Operations Division following next federal election.

Legal and Procurement Branch

Paul Pirani Chief Legal Officer

Deputy Chief

Legal Officer

Commercial Law and Procurement

Electoral Authorisations

National Training and Education Unit

International Services Doctrine and Lessons

Management

Roll Management and Community Engagement Branch

Robyn Legg Assistant Commissioner

Roll Program and Community Engagement

National Enrolment Services

Redistributions

Operations Branch

Anna Stewart Assistant Commissioner

Operations Capability and Coordination

Systems Delivery and Modernisation

Business Intelligence, Research and Electoral Integrity

Elections Branch

Lynn White Assistant Commissioner

Election Design and Planning

Voter Services

Event Management

Corporate Services Branch

Jonathan Nicholl Assistant Commissioner

People Services

Chief Finance Officer and Resource Management

Financial Management

People, Integrity and Security

Election Workforce and Systems

Disclosure, Assurance and Engagement Branch

Gabrielle Paten Assistant Commissioner

Risk and Assurance

Parliamentary and Party Registration

Compliance and Disclosure

Communications

Information, Communication and Technology

David Lang Assistant Commissioner

Engineering, Infrastructure and Operations

Information Security, Governance and Assurance

Architecture and Modernisation

IT Solutions

Information Management and Digital Communications

ICT Program

Supply Chain Management*

Stephen Blackburn Program Manager

Australian Electoral Officer/State Manager

New South Wales and Australian Capital Territory Warwick Austin

Victoria Steve Kennedy

Queensland and Northern Territory Thomas Ryan

Western Australia Fleur Hill

South Australia Martyn Hagan

Tasmania David Molnar

Network and Election Operations Division

Capability Division

Australian Electoral Commission Annual Report 2017-18 11

Six agency directions

18 performance measures 14 met, 4 partly met, 0 not met

Australian Electoral Commission Annual Report 2017-18 13

Performance report

Section 3

IN THIS SECTION

14 Performance report

15 Annual performance statement

15 Statement by the Electoral Commissioner

17 Performance statements

32 Other performance

Performance against the agency purpose and directions in the AEC Corporate Plan 2017-2021 with reference to the Portfolio Budget Statements.

Australian Electoral Commission Annual Report 2017-18

3 Performance report

14 Australian Electoral Commission Annual Report 2017-18

Section 3

Performance report

The AEC’s performance is measured against the agency purpose, the six agency directions in the AEC Corporate Plan 2017-2021 and the performance criteria in the Portfolio Budget Statements (PBS). The agency directions and PBS performance criteria are aligned, and both work towards the purpose as shown in Figure 1 (overleaf).

The AEC’s six agency directions are medium to long-term objectives:

1 Continue to improve and modernise the delivery model for electoral events.

2 Govern the organisation for quality and assurance.

3 Professionalise the workforce.

4 Uphold the reputation of the AEC.

5 Build an agile and responsive organisation.

6 Deliver high quality electoral services.

The agency directions guide the AEC’s activities and priorities and promote continuous improvement, enabling the agency to effectively deliver its purpose. The performance measures under each direction deliver the AEC’s purpose directly or through enabling activities.

To achieve the AEC’s purpose, agency directions and expected performance, the AEC manages two cycles; the Public Governance Public Accountability Act 2013 performance cycle and the three-year federal electoral cycle. Using the Election Readiness Framework, the AEC comprehensively prepares for federal elections, and other electoral events. The Election Readiness Framework gives assurance to the Electoral Commissioner that the agency is at a ‘level of readiness’ to conduct an election.

The framework encompasses the three phases of election readiness: evaluate and learn, implement change, and mobilisation. Through the Election Ready Road Map, each phase directs the activities to be undertaken. Throughout 2017-18 the AEC has been in the ‘implement change’ phase. This phase has been guided by lessons learnt from the 2016 federal election, and the work

Australian Electoral Commission Annual Report 2017-18 15

program priorities that resulted. All of these priorities will be completed by, or implemented at, the next federal election in 2018-19. More information on the priorities is on page 39.

During 2017-18 the AEC also delivered three by-elections, 1300 industrial and commercial elections and supported a number of other events. The AEC is looking beyond the next federal electoral cycle to begin defining and shaping future organisational capability and to further modernise the model for delivering elections.

Annual performance statement The annual performance statement details the AEC’s performance against each of the six agency directions. They include a result per criterion—either ‘not met’, ‘partly met’ or ‘met’—and an explanation.

The performance statements for 2017-18 are signed off by the Accountable Authority.

Statement by the Electoral Commissioner I, as the Accountable Authority of the Australian Electoral Commission, present the 2017-18 annual performance statements of the Australian Electoral Commission as required under paragraph 39(1)(a) of the Public Governance, Performance and Accountability Act 2013. In my opinion, these annual performance statements are based on properly maintained records, accurately reflect the performance of the entity, and comply with subsection 39(2) of the Act.

Tom Rogers Electoral Commissioner 30 August 2018

3 Performance report

16 Australian Electoral Commission Annual Report 2017-18

Figure 1: Performance criteria from the AEC Portfolio Budget Statement mapped against agency directions

Portfolio Budget Statement (PBS) Corporate plan

Maintain an impartial and independent electoral system for eligible voters through active electoral roll management, efficient delivery of polling services, and targeted education and public awareness programs.

Outcome in the PBS Purpose in our corporate plan

One program: 1.1 To deliver electoral events Six agency directions

Performance criteria

1 2 3 4 5 6

Elections, by-elections and referendums

• Federal electoral events are successfully delivered.

• Federal electoral events are successfully delivered.

• Maintain ability to conduct a federal electoral event within a timeframe.

• Timely conduct of redistribution activities.

• Industrial elections, protected action ballots, and Torres Strait Regional Authority elections are delivered in accordance with the relevant legislation and rules.

1 2 4 5 6

Electoral roll management

• High level of confidence in the electoral roll.

2 4 5 6

Party registrations and financial disclosure

• Party registration processed in accordance with the Electoral Act.

• Financial disclosures obtained and placed on the public record in accordance with the Electoral Act.

2 3 4 6

Public awareness

• Deliver communication, education and public awareness activities to inform all Australians of electoral matters.

3 4 5 6

Result key Met Partly Met Not met

Australian Electoral Commission Annual Report 2017-18 17

Performance statement - agency direction one

Continue to improve and modernise the delivery model for electoral events

Performance measure in AEC corporate plan* Link to purpose Result Explanation of result

1.1 Maintain the ability to conduct a federal election event within required timeframes

Efficient delivery of polling services

At June 2018, election planning governed by the Election Readiness Framework was broadly on track in relation to the Directed Level of Election Readiness set by the Electoral Commissioner.

Ongoing planning efforts for the next federal election were balanced with the delivery of three federal by-elections, seven Senate special counts and support for the Australian Marriage Law Postal Survey (see page 37).

1.2 Operational planning is integrated through the national Election Ready Road Map

Efficient delivery of polling services

An integrated operational planning framework, linking all layers of election planning (national, state and divisional), was developed and associated election plans were assured. This follows lessons from the 2016-17 election.

Divisional and state office staff participated in learning programs designed to develop consistent planning skills and test this capability.

1.3 Increase the efficiency and effectiveness of election delivery through enhanced coordination and consolidation of electoral business processes

Efficient delivery of polling services

The AEC’s two largest work priorities-Counting the Senate (see page 38) and Supply Chain Management (see page 39)-focus on implementing nationally consistent, streamlined processes to increase the effectiveness and efficiency of election delivery.

At June 2018 Counting the Senate is on track to deliver an effective ongoing model for counting Senate ballot papers and embedding this work for multi-election use.

At June 2018 a centrally-led and coordinated supply chain model had been trialled at a by-election. This capability is designed to supply, distribute and return election materials and equipment to and from multiple areas of the AEC during an election event.

This performance measure is assessed as partly met, as neither capability will be fully tested until the next federal election.

Result key Met Partly Met Not met

3 Performance report

18 Australian Electoral Commission Annual Report 2017-18

Performance measure in AEC corporate plan* Link to purpose Result Explanation of result

1.4 Clear two-way internal communication channels enable timely exchange of information at all levels

Enabling The AEC made incremental improvements to support

effective internal communication following lessons from the 2016 federal election. These improvements are designed to enable staff across the AEC’s Australia-wide network to access the right information, at the right time, during an election event.

They include a communication blueprint to guide AEC internal communication, an enhanced intranet homepage, a new service management tool to support internal service desks, and an operational issues management protocol to communicate with officers in charge during polling and with staff in out-posted centres following polling.

These approaches will be implemented at July 2018 by-elections and at the next federal election.

1.5 Industrial elections, Protected Action Ballots and Torres Strait Regional Authority elections are delivered in accordance with legislation and rules

Efficient delivery of polling services

The AEC conducted 1300 industrial and commercial election events in 2017-18.

The number of industrial and commercial elections increased by 60% from 2016-17. Compliance with legislation and rules was consistently monitored with two per cent of events reporting an issue requiring further management. This met the AEC performance target (see page 41).

An important element of this performance measure is the ongoing commitment to continually improve and modernise our delivery of industrial and commercial elections. As a result, this performance measure is assessed as partly met.

During 2017-18 the AEC released a new event management system and updated policies and procedures to support nationally consistent delivery of industrial and commercial elections.

The future operating model for delivering industrial and commercial elections will be finalised following the next federal election.

One Torres Strait Regional Authority casual vacancy election was also conducted in accordance with legislation and rules.

* Source: AEC Corporate Plan 2017-2021, p. 9.

Australian Electoral Commission Annual Report 2017-18 19

What we did:

Throughout 2017-18 the AEC focused on continually improving and modernising delivery of electoral events. This included:

• maintaining an appropriate level of election planning and readiness using the Election Readiness Framework. The Election Ready Road Map (planning path for federal elections) was in the ‘implement change’ phase throughout the year

• implementing targeted enhancements to election planning, delivery and voter services through the 13 work priorities identified following the 2016 election. Key focus areas included planning, coordinating and consolidating, communication and information management, and training and recruiting (see page 39)

• implementing legislative and procedural change, while maintaining ongoing planning efforts for the next federal election. This included implementing changes to electoral authorisation requirements as a result of the Electoral and Other Legislation Amendment Act 2017, and changes to the nomination process for people wishing to stand as candidates in elections. A qualification checklist was introduced as a result of the Electoral and Referendum Amendment (Eligibility) Regulations 2018 (see page 46)

• delivering elements of the Australian Marriage Law Postal Survey on behalf of the Australian Bureau of Statistics (see page 37)

• standing ready to deliver election events as they arose. Three by-elections provided opportunities to pilot and trial key work priorities in an operational environment, and to collect data and evidence to continue improving election delivery and voter services (see page 39)

In 2018-19 we are:

• maintaining an appropriate level of election readiness

• conducting assurance checks, reviewing key activities, and rehearsing and training staff before mobilisation to deliver a federal election expected in 2018-19

• implementing work priorities at the next federal election. As we move into an ‘evaluate and learn’ phase (depending on the timing of the federal election), a new set of priorities based on lessons from election delivery will then be determined

Result key Met Partly Met Not met

3 Performance report

20 Australian Electoral Commission Annual Report 2017-18

Performance statement - agency direction two

Govern the organisation for quality and assurance

Performance measure in AEC corporate plan* Link to purpose Result Explanation of result

2.1 The governance framework is effective in supporting business outcomes

Enabling In 2017-18 AEC governance committees remained

focused on business improvement and assurance (see page 50)

Overarching frameworks and reporting support these committees, and were maintained and enhanced throughout the year. Performance, risk and project management were a focus.

An annual survey of governance committee members was undertaken to confirm committees are working effectively and supporting agency directions.

2.2 High level of confidence in the electoral roll

Active electoral roll management

At June 2018 electoral roll completeness— measured through the enrolment rate—remained at a historic high rate of 96.3%.

Accuracy and integrity of the electoral roll—at the divisional and individual address level—remained high at 96% and 93% respectively.

In 2017-18 the AEC’s target of 95 per cent for enrolment processing over five days was achieved, with the 30-day processing rate falling 0.2% under the 99.5% target.

Enhancements to the AEC’s Online Enrolment System saw an average of 44.3% of enrolment transactions automatically approved through this system in 2017-18.

2.3 Timely conduct of redistributions Active electoral roll management

In 2017-18 the AEC supported five federal redistributions in Tasmania, Queensland, Victoria, South Australia and the Australian Capital Territory (see page 45).

Redistribution timeframes were met in accordance with the Commonwealth Electoral Act 1918. The Tasmanian redistribution was determined in November 2017 and Queensland in March 2018 and all legislative requirements were met (see page 116).

* Source: AEC Corporate Plan 2017-2021, p. 10.

Australian Electoral Commission Annual Report 2017-18 21

What we did:

Throughout the year we emphasised quality assurance and continued to increase the maturity of agency-wide governance arrangements. Work included:

• undertaking a comprehensive review of the AEC’s risk management function • updating the AEC’s project management processes including a new project

management engagement model • reviewing our approach to performance reporting following the last Public

Governance, Performance and Accountability Act 2013 reporting cycle. This included redeveloping the AEC Performance Reporting Framework • managing the Commonwealth Electoral

Roll to ensure public and stakeholder confidence in roll completeness, accuracy and integrity. The enrolment rate stands at 96.3 per cent with 16,136,122 Australians enrolled at June 2018. This high level of enrolment is supported by the Federal Direct Enrolment Update Program and Online Enrolment System, alongside increased enrolment activity through the 2016 federal election and the Australian Marriage Law Postal Survey (see page 37). High accuracy and integrity measures were reported through the Annual Roll Integrity Report (ARIR) at the divisional and address-level. These high rates of accuracy are also associated with a high enrolment rate and improved enrolment processes (see page 37) • processing over 3.3 million enrolment

transactions, with 97.7 per cent completed within five days and 99.3 per cent in 30 days. This exceeds the agency target of 95 per cent for five day processing and is just short of the target of 99.5 per cent for 30 day processing

• enhancing the AEC Online Enrolment System to improve services for electors and increase the accuracy and efficiency of enrolment processing. In 2017-18 an average of 44.3 per cent of transactions were approved automatically, slightly below the target of 45 per cent. In July 2017, 49.1 per cent of transactions were approved automatically, increasing to 60.3 per cent in June 2018. Transaction processing figures were slightly below target in August and September 2017 due to increased enrolment activity around the marriage law survey

• supporting the timely conduct of five federal redistributions. Redistributions were determined for Tasmania in November 2017 and Queensland in March 2018. Redistributions for Victoria, South Australia and the ACT were determined in July 2018 with all legislative requirements anticipated to be completed by October 2018 (see page 45)

In 2018-19 we are:

• reviewing the AEC’s funding model to better align agency resources with priorities and functions

• preparing a risk appetite statement to define the level and type of risk that the AEC is willing to accept to meet agency objectives and day to day operations

• continuing to actively manage the electoral roll to ensure the public and stakeholders retain a high level of confidence in the roll. With the current high rate of enrolment, community engagement efforts will focus on Australians that may face barriers to enrolment

Result key Met Partly Met Not met

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Performance statement - agency direction three

Professionalise the workforce

Performance measure in AEC corporate plan* Link to purpose Result Explanation of result

3.1 Staff are role capable and have a clear understanding of expectations and accountabilities

Enabling In 2017-18 the AEC made significant investment

in face-to-face training for staff at all levels across the national, state and divisional office network. Programs were designed to support critical operational and leadership capabilities and included:

• the Election Readiness Program

• the Australian Electoral Officer Capacity Building Program

• divisional and state election planning and learning programs

• the Election Experience Program

• design of large scale rehearsals of critical election processes, to be delivered in 2018-19

• enhanced online and face-to-face training for the temporary election workforce

The AEC also supported broad based eLearning, with:

• 95% of identified divisional and state office staff completing election-specific eLearning

• 92% of identified AEC staff completing mandatory corporate online training on core public service skills and knowledge

Completion rates met the 90 per cent targets set for this training (see page 58).

3.2 Regular use of human resource analytics supports current and future workforce planning

Enabling Established human resource metrics are reported

monthly through the Human Resources Scorecard, including targeted approaches to excess recreation leave, higher duties, mandatory corporate training and unscheduled absences.

This indicator has been partly met as the current approach is not yet supported by business intelligence systems and approaches that can inform broader workforce planning efforts. As part of the AEC’s new organisational design, a dedicated business intelligence capability is being established with tools to support further development of analytics in this area.

*Source: AEC Corporate Plan 2017-2021 p. 10.

Australian Electoral Commission Annual Report 2017-18 23

What we did The AEC‘s core and temporary workforce is critical to the successful delivery of electoral events and services, and enables the AEC to deliver its purpose. The AEC workforce surges to around 80,000 on polling day for a federal election.

Throughout 2017-18 the AEC continued its significant investment in learning programs, approaches and tools. These are designed to build the core capabilities of staff and supports the temporary election workforce. Face-to-face training and development programs help develop professional, skilled and knowledgeable staff who understand their roles and accountabilities, and who can perform their role effectively during an electoral event (see page 58). These programs included:

• the Election Readiness Program— the AEC’s flagship professional development program was delivered to 240 AEC staff undertaking the role of Divisional Returning Officer and other critical operational roles at the next federal election. A training facility at Essendon Fields has been established with learning spaces replicating key election environments. The program’s objectives are:

1. building and enhancing critical operational and leadership capabilities that underpin election readiness

2. building peer networks

3. providing participants with a ‘realistic preview’ of election period activities and a simulation of key election activities

• the Australian Electoral Officer Capacity Building Program—delivered to 25 AEC senior leaders

• divisional and state election planning and learning programs—a holistic approach to planning and learning activities for divisional and state office staff which was delivered as part of election readiness

• the Election Experience Program— delivered to 51 staff with little or no election experience to build their knowledge and understanding through participation in an electoral event

• designing large scale rehearsals of election critical processes—for delivery to AEC staff nationally. These rehearsals were postponed and rescheduled to 2018-19 due to by-elections and impending legislative change regarding nominations. A declaration exchange rehearsal will commence in October 2018 and a nominations rehearsal date is yet to be determined

• reviewing and enhancing eLearning and face-to-face training programs for the temporary election workforce to be delivered before the next federal election. Eleven videos were produced to complement self-paced online and face-to-face training, and are also a stand-alone learning aid for just-in-time training

In 2018-19 we are:

• assessing the benefits and lessons to be learnt from our training and development programs before and after delivery of the next federal election. This will help guide longer-term approaches for the next electoral cycle

Result key Met Partly Met Not met

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Performance statement - agency direction four

Uphold the reputation of the AEC

Performance measure in AEC corporate plan* Link to purpose Result Explanation of result

4.1 Productive relationships with the Minister, Parliament, key agencies and other stakeholders are maintained

Maintain an impartial and independent electoral system

In 2017-18 productive working relationships were maintained with the Minister and Parliament by:

• providing the Minister’s office with 70 submissions and 63 items of correspondence that met performance targets

• receiving no complaints from Parliamentary committees on timeliness or quality of AEC responses to requests for information or submissions, including Questions on Notice

A key feature of AEC engagement over the reporting period was informing political stakeholders of changes to legislative requirements that would apply to by-elections.

This was supported with briefing scripts for candidate and political party information sessions to be held in the by-election divisions (see page 53).

4.2 High quality reporting and advice supports the future direction of the AEC

Maintain an impartial and independent electoral system

In 2017-18 the AEC provided timely information and advice on electoral management and delivery of electoral services:

• to three parliamentary committees for six inquiries, which included providing 10 submissions and attending eight public hearings

• in response to requests for information to support various government agencies

• by attending three Senate Estimates hearings and responding to 48 Senate Estimates Questions on Notice within the timeframes allocated by the Finance and Public Administration Legislation Committee (see page 53)

*Source: AEC Corporate Plan 2017-2021, p. 10.

Australian Electoral Commission Annual Report 2017-18 25

What we did The AEC is required or invited to provide accurate and timely technical information and advice on electoral management and operations to a range of stakeholders. This includes to the government, the Parliament, government agencies, political parties and the public. As an independent statutory body, the AEC undertakes this role to support an impartial and independent electoral system, a core aspect of the agency’s purpose (see page 53). In 2017-18 this included:

• engaging regularly with key stakeholders and providing information and services that allow them to carry out their obligations and responsibilities under the Electoral Act 1918. This included providing information on:

- the requirements for political party registration

- maintaining the funding and disclosure scheme for political parties

- the supply of electoral roll products and services to state and territory electoral commissions

- providing clear information to political stakeholders on changes to legislative requirements that applied to by-elections. This included formal correspondence from the Electoral Commissioner and developing briefing scripts for candidate and political party information sessions

- achieving a positive response to the quality of the AEC’s contributions to key committees. This included comments from the Chair of the Joint Standing Committee on Electoral Matters who noted the significant breadth of work undertaken by the AEC on modernisation and reform since the 2016 federal election

In 2018-19 we are:

• developing a digital portal (online self-service solution) to more efficiently engage with political parties as they carry out their legislative responsibilities and obligations

• engaging and collaborating with national and international electoral management bodies to improve systems, services and learning through knowledge sharing

• transitioning to the Parliamentary Document Management System, which will enhance tracking and reporting of indicators under this agency direction

Result key Met Partly Met Not met

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Performance statement - agency direction five

Build an agile and responsive organisation

Performance measure in AEC corporate plan* Link to purpose Result Explanation of result

5.1 Create an environment to encourage innovative practices to support the AEC and the conduct of electoral events

Enabling In 2017-18 the AEC continued to use the lessons

learned framework to enhance the way it operates and to foster greater innovation. The current suite of 13 agency work priorities embody this approach.

The Polling Place Operations work priority (including the modelling of key election metrics) is an important example of how innovation can be used to integrate lessons and data back into AEC election planning and delivery (see page 39).

5.2 Define a vision of future organisational capability

Enabling In 2017-18 a new organisational design structure

was implemented for non-election periods, in both national and state offices.

This result is only partly met. While the resources and capabilities for the new structure for election periods is close to being finalised, the organisational structure for AEC divisional offices and the delivery of industrial and commercial elections will be implemented after the next federal election.

The AEC also pursued a nationally coordinated whole-of-agency approach to staff training and development including:

• an agreed funding model

• the launch of an online ‘learning hub’

• oversight by the Learning Governance Committee established in June 2017

Following a strong operational emphasis, the focus is now moving to developing a long-term strategic approach to AEC training and development (see pages 22 and 58).

5.3 Ability to identify and respond to emerging opportunities and risks

Enabling In 2017-18 the AEC began developing a business

case to modernise the agency’s main election and enrolment systems. A dedicated team has been established and the business case is progressing in accordance with agreed milestones.

*Source: AEC Corporate Plan 2017-2021, p. 11.

Australian Electoral Commission Annual Report 2017-18 27

What we did Throughout 2017-18 the AEC invested in its people and systems to build organisational capability and support responsiveness and agility. This included:

• continuing to use the AEC lessons learned framework to foster innovation and enhance the way the AEC operates. The framework standardises the way we gather observations on AEC operations, including processes, procedures, systems, materials and policies. These observations are then reviewed and analysed, and actions defined. AEC staff continued providing their observations at by-elections throughout 2017-18

• improving the voter experience, in particular queuing, which was identified as a lesson to be learned following the 2016 federal election. Through the Polling Place Operations work priority (including the Modelling Key Election Metrics Project) the AEC engaged Deakin University to simulate polling place operations and capture key data to improve the voter experience for the next federal election. The Bennelong by-election also enabled us to validate some of this data in a live polling environment. The data collected by Deakin University using time and motion studies, and modelling and process design, was used to develop computer based models to improve polling place processes and the positioning of staff and materials (see page 40).

• implementing a new organisational design. The AEC was allocated funding in 2017-18 through the

Department of Finance’s Public Sector Modernisation Fund. Building on work undertaken in 2016-17, this funding was received to review how the AEC will:

- provide the necessary capability and organisational agility to deliver AEC functions within average staffing levels

- respond to the increasing complexity of electoral operations and plan for future demands on the agency

- The review will be finalised following the next federal election (see page 43)

• engaging with key stakeholders - including the Joint Standing Committee on Electoral Matters, the Department of Finance and a range of government agencies - on the need to modernise core electoral systems. The AEC is developing a business case to modernise election and roll management systems. The business case is being prepared in line with milestones set by the ICT investment approval process and is expected to be delivered in August 2018

In 2018-19 we are:

• exploring opportunities to use and augment business intelligence and data to support effective decision-making and electoral operations

• finalising the organisational structure for the network of divisional offices, delivering industrial and commercial elections, and delivering the Indigenous electoral participation program after the next federal election

Result key Met Partly Met Not met

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Performance statement - agency direction six

Deliver high quality electoral services

Performance measure in AEC corporate plan* Link to purpose Result Explanation of result

6.1 Staff apply the AEC service charter and its principles, and legislative requirements are embedded in the design and delivery of services

Enabling In 2017-18 up-to-date public engagement policies

and procedures were in place to help staff respond to public enquiries and complaints in a manner consistent with the AEC Service Charter.

By-election service plans were published following the issue of writs for the divisions of New England, Bennelong, Batman, Braddon, Fremantle, Longman, Mayo and Perth. These plans outlined services the AEC would provide in accordance with the Commonwealth Electoral Act 1918. A service plan for the next federal election is being developed.

Work to leverage data and technology to improve the design and delivery of electoral and voter services, including in polling places, was also undertaken.

6.2 Information provided to the public is timely and accurate, uses appropriate technology and channels, and meets accessibility standards

Targeted education and public awareness programs

Accurate and timely information was provided to the public about electoral matters. This included converting the 2016 federal election public information campaign, which referenced the ‘new Senate voting rules’ theme introduced in 2016, into a standard campaign for future federal elections. Proposed changes were subject to qualitative market research to re-test elements of the formality advertising and the official guide. Following analysis of the latest census data, key aspects of the public information campaign will be expanded from 28 to 30 languages.

To inform the public and stakeholders—and ensure the AEC’s information campaign materials are compliant—up-to-date communication channels were maintained (website, publication media and social media) for the:

• Australian Marriage Law Survey

• three by-elections

• legislative change through the Electoral and other Legislation Amendment Act 2017 and the Electoral (Authorisation of Voter Communication) Determination 2018 (see pages 52-56)

Result key Met Partly Met Not met

Australian Electoral Commission Annual Report 2017-18 29

Performance measure in AEC corporate plan* Link to purpose Result Explanation of result

6.3 Support electoral participation through communication, education and public awareness activities that inform all Australians of electoral matters

Targeted education and public awareness programs

A targeted approach to engagement and education was undertaken during the year including:

• establishing an integrated approach to community engagement with those who may experience barriers to electoral participation, and trialling a range of initiatives (see page 45)

• integrating evaluation outcomes from the Indigenous Electoral Participation Program (delivered at the 2016 federal election), and working in partnership to trial programs in Indigenous communities that address electoral participation (see page 42)

• working with schools, teachers and school children to deliver a range of engaging electoral education experiences and materials (see page 45)

The majority of performance targets for AEC education were met.

The National Electoral Education Centre continued operating at capacity, with 90,563 visitors in 2017-18. Attendance and customer satisfaction targets were met.

The AEC online platform - AEC for Schools - had 76,368 visits, and the number of professional development opportunities for electoral educators increased.

*Source: AEC Corporate Plan 2017-2021, p. 11.

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What we did In 2017-18 the AEC introduced a sixth agency direction to maintain our focus on providing high quality electoral services including:

• reinforcing the role of service delivery through internal communication to staff before and after electoral events, and by communicating the role of the agency directions

• examining and anticipating trends in enquiries to enhance the services and information provided to the public through the website, our 13 23 26 national enquiry line, frontline staff and social media channels

• managing a significant increase in the AEC’s public engagement associated with the marriage law survey. The AEC managed the close of the electoral roll and maintained a help desk for silent electors (see page 37)

• developing public engagement materials for:

- constitutional disqualifications and candidate eligibility

- overseas enrolment

- the marriage law survey

- federal redistributions

- Senate special counts

- by-elections

- new rules for electoral communications and authorisation requirements

- new candidate nominations processes

- working at the next federal election

• producing and publishing by-election service plans outlining the services and standards that underpin the AEC‘s delivery of electoral events. The commitments outlined in these service plans embody the AEC’s values of quality, agility and professionalism, and reflect our four AEC service standards:

1. voters and candidates receive timely and accurate information

2. the AEC delivers a high quality service

3. votes will be counted in accordance with the Electoral Act, and the public and stakeholders will have confidence in the result

4. the public and stakeholders have confidence the electoral process is well managed

• seeking opportunities to leverage technology and data to enhance delivery of our electoral services. Capturing data through the Polling Place Operations work priority allows data-driven decisions to be made on polling place resourcing to improve service delivery and working hours for polling officials (see page 40)

• developing and delivering targeted public awareness and education activities to support electoral participation. This includes establishing an integrated community engagement approach for people who experience barriers to electoral participation. Based on evidence, activities targeting Indigenous communities, young people, culturally and linguistically

Australian Electoral Commission Annual Report 2017-18 31

diverse communities, people with disability and the homeless, will be in place for the next federal election. Some of these initiatives include:

- developing partnerships that support engagement with homeless electors

- a trial to build electoral awareness and enrolment targeted at young people

- working with national and regional Indigenous organisations, community partners and other government agencies to address:

▪ electoral participation by partnering with the Indigenous Mayor Councils and the Indigenous Education Centres to trial education programs

▪ electoral education, low enrolment and participation in remote communities by delivering the Northern Territory Remote Community Engagement Project (see page 42)

In 2018-19 we are:

• Delivering electoral events in accordance with legislation, the AEC’s event strategy and the election service plan

• Developing a centralised complaints management model and a new complaints management system to provide greater consistency and improve response times and governance

• Looking for opportunities to increase technology use to gather evidence and data, and enhance enrolment and polling services. This will also help support groups or communities that may experience barriers to electoral participation

• Expecting to more than double the number of electronic certified lists used at polling places during the next federal election. Device numbers will increase from approximately 1500 at the 2016 election to 3900 (see page 40)

Result key Met Partly Met Not met

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Other performance

The regulator performance framework As a regulatory body the AEC aims to reduce the regulatory burden for electors through more efficient enrolment and voting services.

In line with the Australian Government’s commitment to reducing the cost of unnecessary and inefficient regulation

on individuals, business and community organisations, the AEC’s performance is measured against the regulator performance framework.

The AEC reports against six mandatory key performance indicators as set by the Australian Government. The AEC’s performance for 2017-18 is outlined in Table 1. Results are cross-referenced with the agency directions reported earlier in this section.

Table 1: AEC performance against the regulator performance framework

Mandatory key performance indicators under the regulator performance framework

AEC performance criteria - what the AEC does to ensure performance indicators are met Result

Regulators do not unnecessarily impede the efficient operation of regulated entities

Support electoral participation through communication, education and public awareness activities that inform all Australians of electoral matters

See performance under agency direction six (pages 38-41)

Communication with regulated entities is clear, targeted and effective

Information provided to the public is timely and accurate, uses appropriate technology and channels, and meets accessibility standards

See performance under agency direction six (pages 38-41)

Actions undertaken by regulators are proportionate to the regulatory risk being managed

Maintain the ability to conduct a federal electoral event within required timeframes

See performance under agency direction one (pages 27-29)

Compliance and monitoring approaches are streamlined and coordinated

The governance framework is effective in supporting business outcomes

See performance under agency direction two (pages 30-31)

Regulators are open and transparent in their dealings with regulated entities

Productive relationships are maintained with the Minister, Parliament, key agencies and other stakeholders

See performance under agency direction four (pages 34-35)

Regulators actively contribute to the continuous improvement of regulatory frameworks

Create an environment to encourage innovative practices to support the AEC and electoral events

See performance under agency direction five (pages 36-37)

Australian Electoral Commission Annual Report 2017-18 33

Over three million enrolment transactions Six public Parliamentary committee inquiries

Australian Electoral Commission Annual Report 2017-18 35

AEC functions Section 4

Australian Electoral Commission Annual Report 2017-18

IN THIS SECTION

36 AEC functions

36 Active electoral roll management

38 Conducting successful electoral events

42 Undertaking public awareness activities

45 Supporting electoral redistributions

46 Administering political party registrations and financial disclosure

The functions which deliver the AEC’s purpose, highlights and data from the year.

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36 Australian Electoral Commission Annual Report 2017-18

Section 4

AEC functions

The functions we perform to deliver our purpose are:

• ensuring confidence in the electoral roll • conducting successful electoral events, including federal elections, by-elections and referendums • administering political party registrations and financial disclosure • supporting electoral redistributions • undertaking public awareness activities

Active electoral roll management The Commonwealth Electoral Roll—the list of Australians eligible to vote at federal elections—is integral to election delivery. The AEC’s key electoral roll activities are:

• encouraging eligible voters to enrol and keep their enrolment up to date

• targeted enrolment programs

• enrolment processing

• measuring accuracy of the roll

The AEC also supports state, territory and local government elections, by-elections and referendums by managing the electoral roll through joint roll arrangements.

Information from the roll is provided to authorised people and groups in accordance with the Electoral Act (see appendix A).

Highlights of the year

Largest ever electoral roll Australia now has the largest and most complete Commonwealth Electoral Roll since Federation, with more than 16 million Australians enrolled to vote. The Commonwealth electoral roll grew by 253,000 in 2017-18, and the enrolment rate of 96.3 per cent continued to exceed the AEC’s target of 95 per cent. With the growth in the electoral roll, the number of voters missing from the roll has declined, from 810,904 in 2016-17 to 628,547 in 2017-18. The AEC’s ongoing efforts to encourage eligible electors to enrol and keep their enrolment up to date, and electoral events, such as by-elections and the marriage law survey help drive enrolments.

Australian Electoral Commission Annual Report 2017-18 37

The Australian Marriage Law Postal Survey In the lead-up to the marriage law survey, the AEC processed more than 930,000 enrolment transactions, delivering the single largest close of rolls in AEC history.

The AEC played a significant role in this unique and complex event, providing the Australian Bureau of Statistics (ABS) with the electoral roll and conducting the largest ever ‘roll close’. This was a considerable logistical exercise, with a large proportion of the annual electoral roll workload undertaken in just two weeks. The timeframe was tight and the AEC’s early planning for a potential plebiscite proved invaluable.

The AEC provided services directly to 120,000 silent electors—those whose address does not appear on the electoral roll for reasons of personal safety. Unable to provide silent electors’ details to the Australian Bureau of Statistics under the Electoral Act, the AEC arranged for survey forms to be produced and sent directly to these electors.

The AEC also helped the ABS develop its remote area fieldwork strategy, assisted with IT security, and worked closely with the ABS media team to ensure consistency of messaging across agencies.

Annual Roll Integrity Review Introduced in 2017-18, the Annual Roll Integrity Review (ARIR) replaced Sample Audit Fieldwork exercises. The ARIR measures the accuracy and completeness of the electoral roll, more efficiently and precisely.

ARIR compares client names and addresses from other government agencies with information on the electoral roll, and determines if electors are enrolled in the correct electoral division and at the right address. By comparing millions of data points, ARIR provides a comprehensive picture of the roll’s health.

Data highlights • The electoral roll is the largest and most complete since Federation with:

- more than 16.1 electors now enrolled, an increase of 253,000 voters since last year.

- 96.3 per cent enrolment rate. This exceeds both the AEC’s target of 95.0 per cent and last year’s result of 95.7 per cent.

- over 3 million enrolment transactions processed in 2017-18

• 85 per cent of elector initiated enrolment transactions are now completed online

• 340 non-election roll information extracts provided to state electoral bodies under the joint roll arrangements. Roll data or extracts were provided to:

- 32 registered political parties

- 14 government departments

- 37 other recipients

• 98 roll closes to support:

- eight federal by-elections

- three state elections

- 86 local government elections

- the marriage law survey

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• During the marriage law survey the AEC:

- processed 933,592 transactions

- received 3.3 million visitors to the AEC website

- responded to 7,725 email enquiries

- engaged in 630 social media interactions

- responded to 55,034 phone calls

- provided services to over 120,000 silent electors

For more information go to:

• the performance statement on page 20

• appendix A

• www.aec.gov.au

Conducting successful electoral events The AEC provides polling services for federal elections, by-elections and referendums. It is compulsory for all eligible Australian citizens to enrol and vote in these electoral events, so the AEC provides a range of voting options and monitors and responds to voter turnout and formality.

Outside of a full federal election, the AEC provides polling services for by-elections and conducts Senate special counts, which are usually triggered by parliamentary resignations.

The AEC also delivers elections for the Torres Strait Regional Authority board, and conducts elections and ballots for other organisations such as industrial elections, protected action ballots and fee-for-service elections and ballots.

Highlights of the year

Senate special counts In 2017-18 seven senate recounts were triggered by parliamentary resignations following judgments of the High Court of Australia sitting as the Court of Disputed Returns.

The AEC was ordered to conduct special counts of formal 2016 Senate ballot papers to determine candidates elected in New South Wales, Queensland, Western Australia, South Australia, Tasmania and the Australian Capital Territory.

Special counts were conducted using data already taken from voter preferences on the ballot papers of votes cast at the 2016 federal election.

Once completed, results were provided to the High Court of Australia for consideration. Results are in Table 15 at appendix D.

By-elections for the House of Representatives In 2017-18, three by-elections for the House of Representatives were triggered by parliamentary resignations following judgments of the High Court of Australia. These were for the divisions of Batman, Bennelong, and New England.

Australian Electoral Commission Annual Report 2017-18 39

The AEC applied significant resources from across the organisation to quickly declare the results, with all three by-elections declared within five days after polling day.

These by-elections demonstrate a clear demand for a range of voter services. Pre-poll and postal voting accounted for nearly one-third of all votes issued at by-elections, continuing the trend of increased early voting.

The results from the by-elections are in Table 16 at appendix D.

Managing our supply chain The evaluation of the 2016 federal election highlighted the need to establish a professional, nationally-coordinated logistics capability to bring efficiencies and process improvements to the AEC’s supply chain management: the distribution and return of election materials and equipment to and from multiple locations. In 2017-18 procurements and contract negotiations for the new approach were an AEC priority.

Working with industry experts, the revised approach is integral to the AEC’s commitment to modernise the delivery of electoral events. Incorporating better practices to improve the cost, time and efficiency of transport and the integrity of the supply chain, these improvements bring national consistency to logistics planning and execution. They also create an ongoing supply chain capability and greater assurance of the AEC’s ballot paper principles.

The by-election for the division of Batman tested the new approach, with future by-election events providing further

testing opportunities. Suppliers and service providers are already engaged and prepared for the next federal election which will be the first nationwide test of the new supply chain model (see performance statement on page 17).

Seven senate recounts and three by-elections for the House of Representatives were triggered by parliamentary resignations following judgments of the High Court.

Work priorities This year has been a milestone for completing many of the work priorities, in preparation for the next federal election.

Conducting the previous federal election on 2 July 2016, the AEC’s election evaluation resulted in eight ‘lessons to be learned’ and 13 cross-agency Work Priority Projects. These work priorities focused around four key themes:

• consolidate and coordinate

• training and recruitment

• communication and Information management

• planning

These cross agency projects address the most pressing issues and targeted enhancements which emerged from the 2016 federal election, and will be implemented at the next federal election. Individual projects and associated activities are referenced in the performance statements (see page 39).

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Electronic Certified Lists The AEC has been working to extend the use of electronic certified lists (ECLs) at the next federal election. ECLs, which replace printed certified lists, can have significant benefits in conducting electoral events. They can:

• improve the voter experience and potentially reduce wait and queuing times

• allow ballot paper stocks to be monitored in real time, reducing the amount of partially admitted votes1 at elections

While the current ECL system is not scalable to a national rollout, the AEC is more than doubling the number of ECLs for the next federal election deploying an estimated 3,900 ECL devices and 2,300 printers.

Polling place data analytics The AEC worked with Deakin University to develop a computer based model of polling places to analyse the effect of different staffing levels on various polling place sizes. This data-analysis and adjustment to election planning parameters has the potential to reduce queues, better manage ballot paper stocks and improve the working hours of polling officials. Learnings from this work will be implemented at the next federal election.

1. Votes can be partially admitted for a range of reasons such as incomplete or incorrect completion of the declaration vote form, the voter was not enrolled or the vote was received too late.

Information communications and technology infrastructure and cyber security A strong technology platform is vital to the AEC’s ability to quickly scale-up to deliver an election. During 2017-18 the AEC commenced work on a business case to modernise the main election and enrolment systems (see performance statement page 17). In addition, the AEC began implementing changes to:

• mobile end-user services for a temporary election event network

• server, network and backup capability

• version patching and image maintenance across cloud-based and on-premises equipment

• information management systems

A strong technology platform is vital to the AEC’s ability to quickly scale-up to deliver an election.

Cyber security is critical to delivering federal electoral events. The AEC has been alert to cyber security for many years and consistently works to enhance its cyber security ‘posture’. This year, the AEC continued to work with external parties and stakeholders, such as the Australian Signals Directorate (ASD), to maintain awareness of current attacks and trends.

Australian Electoral Commission Annual Report 2017-18 41

This includes:

• Security testing activities undertaken regularly using external authorities and experts to assure the confidentiality, integrity and availability of AEC systems

• Implementing appropriate mitigation strategies to protect the AEC network, including the ASD ‘Top 4’ to mitigate cyber intrusions

• Mandatory security awareness training for AEC staff

• Continuing to improve the AEC’s technical and people capability to manage cyber risks

Industrial and commercial elections During the year, the AEC conducted 1300 industrial and commercial elections or ballots, and replaced a legacy electoral event management system with a modern, fit-for-purpose system. Major components of the new system were implemented in October 2017, with the remainder finalised before 30 June 2018 (see page 18).

Torres Strait Regional Authority elections In 2017-18 a casual vacancy election was held for the ward of Erub Island. The declaration of results was signed by the returning officer on 29 September 2017.

Data highlights This year the AEC conducted:

• Three by-elections, with planning for another five to be held on 28 July 2018

• Seven Senate special counts

• 1300 industrial and commercial elections and ballots.

• One Torres Strait Regional Authority election

For more information go to:

• the performance statement on page 17

• appendix B

• www.aec.gov.au

4 AEC functions

42 Australian Electoral Commission Annual Report 2017-18

Undertaking public awareness activities To support an Australian community that is well informed about electoral matters, the AEC delivers national training and education, community engagement and communication activities.

All Australian citizens aged 18 years and over are required by law to enrol and vote. Ensuring Australians know and understand this right and obligation requires the AEC to engage with the community and provide information and advice to all eligible voters.

The National Training and Education Unit (NTEU), established in early 2018 as part of the Organisational Design Review, centrally-leads and coordinates AEC internal training and electoral education to external audiences (see how we develop our people on page 43). Schools can visit the National Electoral Education Centre (NEEC) in Canberra for electoral education programs and the AEC for Schools website provides free educational resources and programs, including election materials to run school elections. Professional learning is provided to teachers to encourage electoral education in primary and secondary schools.

The AEC places strong importance on providing information and advice to voters, with consideration for those with diverse needs. Education and communication initiatives are in place to meet the needs of Australians with disability, and the AEC’s Indigenous Electoral Participation Program (IEPP) aims to increase electoral knowledge,

enrolment, turnout and vote formality for Aboriginal and Torres Strait Islander people.

Under section 7(1) (fa) of the Electoral Act the AEC provides assistance to international electoral management bodies. This is provided through the deployment of AEC officers overseas, the delivery of international training programs, and as hosts to international counterparts visiting Australia. These activities further strengthen our international relationships. The AEC, together with international partners, delivers the Building Resources in Democracy, Governance and Elections (BRIDGE) professional development program.

Highlights of the year

Electoral participation by Indigenous Australians The Indigenous Electoral Participation Program (IEPP) delivers culturally appropriate services to Indigenous Australians to support Indigenous electoral participation. IEPP services are delivered Australia-wide. In 2017-18, the IEPP delivered services to support Indigenous electoral participation in three by-elections and the Australian Marriage Law Postal Survey, and implemented the national plan for 2017-18 in preparation for the federal election.

Cultural awareness training and staff development also continued as part of the AEC’s Reconciliation Action Plan.

Throughout the year, the AEC has started to adapt the delivery of IEPP services through greater use of national and regional partnerships.

Australian Electoral Commission Annual Report 2017-18 43

These included:

• development of two pilot programs in the Northern Territory to educate, enrol and increase electoral participation

• the formation of the Indigenous Support Group in Western Australia

• an Indigenous Employment Strategy which aims to employ an Aboriginal and Torres Strait Islander temporary election workforce of five per cent for the next electoral event. This strategy was activated for the Fremantle and Perth by-elections on 28 July 2018, achieving a 4.8 per cent Indigenous temporary election workforce.

Communication In 2017-18 the AEC’s advertising, public relations and communication strategies focused on the marriage law survey, federal by-elections, Senate special counts and federal redistributions.

Media enquiries on eligibility under section 44 of the Constitution were frequent and information was provided to the media about the AEC’s role in conducting the Senate special counts. The results for each special count were published on the AEC website.

Work for delivery of the Your vote will help shape Australia communication campaign was completed for the next federal election to ensure messaging was clear and effective, and compliant with new Authorisation rules. Non-campaign newspaper advertisements supported federal redistributions, by-elections and party registration processes. Details of advertising payments are at appendix E.

Communications were prepared for the further five by-elections to be held on 28 July including for the close of rolls period and advice on the candidate qualification checklist.

International services Through close cooperation with and funding from the Department of Foreign Affairs and Trade (DFAT) the AEC was involved in key activities in the Pacific Region including, Fiji, Papua New Guinea, Solomon Islands, and Tonga.

Through close cooperation with and funding from the Department of Foreign Affairs and Trade the AEC was involved in key activities in the Pacific Region.

The AEC worked with providers of international electoral assistance, including the:

• International Foundation for Electoral Systems (IFES)

• International Institute for Democracy and Electoral Assistance (International IDEA)

• United Nations Electoral Assistance Division (UNEAD)

• United Nations Development Programme (UNDP)

In 2017-18, as a part of developing a new version of the BRIDGE curriculum, work continued on updating and consolidating modules.

With Australian Government bilateral assistance, the AEC engaged with electoral management bodies throughout

4 AEC functions

44 Australian Electoral Commission Annual Report 2017-18

the Pacific region in close cooperation with, and funded by, DFAT. Through the Pacific Islands, Australia and New Zealand Electoral Administrators network (PIANZEA), which is funded by DFAT, the AEC provides secretariat services, representation on the network’s advisory group, and facilitation of peer to peer support for electoral administrators across Melanesia, Micronesia, Polynesia, and the Pacific in regional groupings. In 2017-18 the AEC:

• provided technical assistance to the PNG Electoral Commission in the lead up to, and during, the 2017 National Elections. This included assistance with training, operational support and the development of procedures and manuals

• provided technical assistance to the Tonga Electoral Office to support the delivery of elections in 2017. This included operational support and material assistance

• delivered a BRIDGE workshop on strategic planning and a PIANZEA Network meeting for senior election management staff from the Cook Islands, Federated States of Micronesia, Kiribati, Marshall Islands, Nauru, New Zealand, Palau, Papua New Guinea, Samoa, Solomon Islands, Tonga and Tuvalu

• supported the Fijian Elections Office conduct an election simulation in February 2018. This included assistance with operational planning for logistics ahead of elections later this year

• updated several modules of the BRIDGE curriculum. This included hosting a curriculum development workshop, in partnership with International IDEA, on the electoral costs and finances module.

The AEC hosted key international partners and study programs from several countries throughout the year. Participants met with senior executive staff and technical experts, arranged through the Australian Political Exchange Council, universities, and intergovernmental visits. Delegations included Iraq, Japan, Kenya, Korea, New Zealand, Papua New Guinea, the Philippines, Singapore, the United States of America and Vietnam.

Data Highlights

Training • 240 AEC staff undertook the Election Readiness Program

• 51 staff undertook the Election Experience Program

Education • The NEEC operated at full capacity, delivering 2,584 free education sessions to 90,500 visitors from all 150

electoral divisions

• 75,264 primary schools students 7,413 secondary students and 7,886 adults visited the NEEC as part of their civics and citizenship studies

• An average 9,000 online visitors per month to the Get Voting website

• 275 election packs sent to schools through Get Voting

• Around 100 educators completed Voting in the Classroom online learning module

• Seven professional development sessions were provided to over 50 in-service teachers

• Six universities were visited to talk to over 500 pre-service teachers

• Three civics education conferences were attended with workshops provided to over 80 participants

Australian Electoral Commission Annual Report 2017-18 45

Public engagement • During by-election events, public engagement services included 16 dedicated language-specific telephone

interpreter information lines and a multi-language line, handling a total of 1029 calls, including 629 callers who used the translator service to speak directly to AEC staff

• The top three languages used by the AEC’s telephone interpreter services were Mandarin (343 calls), Cantonese (155 calls) and Vietnamese (138 calls)

• 130 media enquiries were received per week during the Marriage Law Survey

For more information go to:

• the performance statement on page 22

• appendix E

• www.aec.gov.au

Supporting electoral redistributions A redistribution of electoral boundaries is undertaken in accordance with Part IV of the Electoral Act. Redistributions ensure— as close as practical—that an equal number of electors are in each electoral division for a state or territory. Each member in the House of Representatives represents an electoral division.

A redistribution is required when:

• there is a change in the number of members in the House of Representatives to which a state or territory is entitled to

• the number of voters in more than one third of the electoral divisions of a state deviates from the average divisional

enrolment by over 10 per cent for a period of more than two months

• seven years has elapsed since the last redistribution

The Redistribution Committee conducts redistributions. The committee comprises of the:

• Electoral Commissioner

• relevant state or territory:

- Australian Electoral Officer

- Surveyor-General (or equivalent officer)

- Auditor-General

Highlights of the year

Redistributions On 31 August 2017 the Electoral Commissioner determined that the number of members to be elected to the House of Representatives at the next federal election would increase from 150 to 151:

• Victoria will increase from 37 to 38 members

• South Australia decreases from 11 to 10 members

• the Australian Capital Territory increases from two to three members.

In 2017-18 the AEC completed two redistributions: one in Tasmania and one in Queensland. Redistributions were commenced in the Australian Capital Territory, Victoria and South Australia, and are expected to be finished in 2018. See appendix E for redistribution process milestones in 2017-18.

4 AEC functions

46 Australian Electoral Commission Annual Report 2017-18

Data highlights • Two redistributions completed

• Three redistributions commenced

• 133 submissions considered

• 151 electorates determined for the next federal election

For more information go to:

• the performance statement on page 20

• appendix F

• www.aec.gov.au

Administering political party registrations and financial disclosure The AEC helps key stakeholders to carry out their obligations and responsibilities under the Commonwealth Electoral Act 2018. This includes maintaining the funding and disclosure scheme and providing information on the requirements for political party registration.

The AEC maintains the Register of Political Parties, and under the Commonwealth funding and financial disclosure scheme, requires groups and individuals to lodge annual or election period financial disclosure returns. Returns disclose detailed financial information about donations to political parties and election campaigns, and can be securely lodged online through the AEC’s eReturns system. The AEC undertakes annual compliance reviews of disclosure returns.

The AEC administers public funding for political parties and candidates contesting federal elections. The election funding rates are on the AEC website.

Highlights of the year

Review of political party eligibility In 2017-18, the AEC reviewed the eligibility of political parties to remain on the register, under section 138A of the Electoral Act. These reviews were a significant AEC activity, contributing to a larger number of political party’s deregistering than in 2016-17.

Data highlights • Two new political parties registered

• Eight political parties deregistered

• Five applications requesting a review of a delegate’s decision not to approve an application for registration as a political party. Three were still under consideration at 30 June 2018

• The number of returns lodged for the past three financial years is at appendix G

Financial disclosure returns • received 29 election returns

• reviewed 670 annual financial disclosure returns and amendments

• 80 per cent of returns completed online

• 24 compliance reviews of disclosure returns resulted in 17 amended returns being lodged by the party or entity

For more information go to:

• the performance statements on page 24

• appendix G

• the AEC website at www.aec.gov.au

Figure 2: Australia’s 150 electoral divisions as at 30 June 2018

16WA

2NT 30QLD

11SA

37VIC

47NSW 2ACT 5TAS

New South Wales Banks Barton Bennelong Berowra Blaxland Bradfield Calare Chifley Cook Cowper Cunningham Dobell Eden-Monaro Farrer Fowler Gilmore Grayndler Greenway Hughes Hume Hunter Kingsford Smith Lindsay Lyne

Macarthur Mackellar Macquarie McMahon Mitchell Newcastle New England North Sydney Page Parkes Parramatta Paterson Reid Richmond Riverina Robertson Shortland Sydney Warringah Watson Wentworth Werriwa Whitlam

Tasmania Bass Braddon Clark

Franklin Lyons

Victoria Aston Ballarat Batman Bendigo Bruce Calwell Casey Chisholm Corangamite Corio Deakin Dunkley Flinders Gellibrand Gippsland Goldstein Gorton Higgins Holt

Hotham Indi Isaacs Jagajaga Kooyong Lalor La Trobe McEwen McMillan Mallee Maribyrnong Melbourne Melbourne Ports Menzies Murray Scullin Wannon Wills

Western Australia Brand Burt Canning Cowan Curtin Durack Forrest Fremantle

Hasluck Moore O’Connor Pearce Perth Stirling Swan Tangney

Queensland Blair Bonner Bowman Brisbane Capricornia Dawson Dickson Fadden Fairfax Fisher Flynn Forde Griffith Groom Herbert

Hinkler Kennedy Leichhardt Lilley Longman Maranoa McPherson Moncrieff Moreton Oxley Petrie Rankin Ryan Wide Bay Wright

South Australia Adelaide Barker Boothby Grey Hindmarsh Kingston

Makin Mayo Port Adelaide Sturt Wakefield

Northern Territory Lingiari Solomon

Australian Capital Territory Canberra Fenner

150 Australian Electoral Divisions

Australian Electoral Commission Annual Report 2017-18 47

813 APS employees

240 staff complete the Election Readiness Program

Australian Electoral Commission Annual Report 2017-18 49

Management and accountability

Section 5

IN THIS SECTION

50 Corporate governance - principles and objectives

52 External scrutiny

54 Managing and developing staff

58 Assets management

59 Purchasing

Information on the management and accountability of the AEC, including governance, scrutiny and managing staff and assets.

Australian Electoral Commission Annual Report 2017-18

5 Management and accountability

50 Australian Electoral Commission Annual Report 2017-18

Section 5

Management and accountability

Corporate governance - principles and objectives The AEC has the following structures in place to implement the principles and objectives of corporate governance:

• an executive leadership team which monitors performance, ensures accountability and steers the agency

• decision-making management committees - see Table 9 for a list as well as functions and membership

• discussion forums (see Appendix B)

Ethical standards The AEC’s ethical standards are implicit in:

• our values of electoral integrity through professionalism, agility and quality

• the Australian Public Service ICARE values of impartiality, committed to service, accountable, respectful, and ethical

• our Enterprise Agreement 2016-2019, which reflects the values and ethical standards of the Australian Public Service Code of Conduct

• the AEC’s strategic planning framework and staff conduct policies

Internal audit The Business Assurance Committee and the Internal Audit program oversee the AEC’s internal audit arrangements and approach.

The committee provides independent assurance that the AEC’s risk management, governance and internal control processes are operating effectively. The scope, responsibilities and independence requirements for audit functions are in the AEC audit charter endorsed by this committee.

Risk management Risk management is discussed in AEC committees. These include the:

• Executive Leadership Team

• National Election Delivery Committee

• Business Assurance Committee

• Fraud Control Committee

• Organisational Health Committee

More information on committees is in Table 8.

To assess risk maturity, the AEC participates in Comcover’s risk management annual benchmarking survey. In 2017-18 the AEC’s risk management activities included a risk culture review to identify strengths, challenges and opportunities.

Electoral integrity

Professionalism

Quality

Agility

Australian Electoral Commission Annual Report 2017-18 51

Fraud control The AEC Fraud Control Plan highlights the AEC’s low tolerance to fraud regarding AEC operations and services. As required by section 10 of the Public Governance, Performance and Accountability Act 2013, we have:

• prepared fraud risk assessments and fraud control plans

• appropriate fraud prevention, detection, investigation and reporting mechanisms that meet the AEC’s specific needs

• taken all reasonable measures to deal with fraud appropriately

The AEC Fraud Control Plan outlines strategies to prevent, detect and respond to fraud, including prevention strategies for both corporate and electoral fraud. Our Fraud Control Committee (see Table 8) oversees the plan.

The AEC examines all allegations of suspected fraud including complaints related to the Australian Marriage Law Postal Survey.

Information on reporting suspected fraud is available to staff through the intranet and mandatory fraud awareness training. For the public, this information is on the AEC website.

Internal planning processes The AEC’s corporate planning processes support corporate governance and are undertaken in line with the requirements of the PGPA Act. The corporate plan, available on the AEC website, informs operational planning and performance and is reflected in the AEC’s corporate planning documents (see appendix B).

The corporate plan informs operational planning and performance and is reflected in the AEC’s corporate planning documents.

Internal reporting and mid-term performance assessments help track progress against performance criteria. Information on how the corporate plan contributes to specified outcomes is in the performance statement on page 12.

Corporate planning documents, including internal monitoring and reporting mechanisms, are listed in Table 7 of appendix B.

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52 Australian Electoral Commission Annual Report 2017-18

External scrutiny

Judicial decisions Candidate and Members of Parliament qualifications under section 44 of the Constitution

In 2017-18 the High Court - sitting as the Court of Disputed Returns - made decisions that involved the qualifications of candidates and members of Parliament under section 44 of the Constitution.

Under an Administrative Arrangements Order made by the Governor-General, responsibility for administering the Constitution sits with the Attorney-General’s Department.

Where the High Court, sitting as the Court of Disputed Returns, finds that a member of Parliament is disqualified by the operation of section 44 of the Constitution, the AEC is instructed to fill the vacancy that is created by conducting either a special count (where the matter involves a sitting Senator) or a by-election (where the matter involves a sitting Member of the House of Representatives).

Decisions of the Court of Disputed Returns during the reporting period include:

• Re Culleton (No. 2) [2017] HCA 4

• Re Day (No. 2) [2017] HCA 14

• Re Canavan; Re Ludlam; Re Waters; Re Roberts [No 2]; Re Joyce; Re Nash; Re Xenophon [2017] HCA 45

• Re Nash (No.2) [2017] HCA 52

• Re Lambie [2018] HCA 5

• Re Kakoschke-Moore [2018] HCA 10, and

• Re Gallagher [2018] 17

The Australian Marriage Law Postal Survey In assisting the Australian Bureau of Statistics to conduct the Australian Marriage Law Postal Survey, the AEC was a party to the proceedings in Wilkie v The Commonwealth; Australian Marriage Equality Ltd v Cormann [2017] HCA 40.

The High Court considered the power of the AEC to enter into arrangements for the supply of goods or services to any person or body under section 7A of the Electoral Act. The plaintiff argued that the AEC did not have the power to enter into the arrangements with the ABS to help conduct the postal survey as this was outside the ‘functions’ of the AEC identified in section 7 of the Electoral Act.

The AEC values of electoral integrity through quality, agility and professionalism, guide the work of AEC.

The High Court dismissed the plaintiff’s argument on this issue, finding that making and honouring arrangements under section 7A is itself one of the functions of the AEC identified in section 7(1)(a) of the Electoral Act. The AEC was able to continue to provide services to the ABS and helped conduct the postal survey.

More information on the AEC’s involvement in the Marriage Law Survey is on pages 29, 47 and 53.

Australian Electoral Commission Annual Report 2017-18 53

Administrative Appeals Tribunal decisions In 2017-18 one matter before the Administrative Appeals Tribunal had significant impact on the AEC: Watson v Australian Electoral Commission and Anor - AAT 2017/3419.

On 19 June 2017 the Administrative Appeals Tribunal notified the AEC of an application under the Electoral Act to register the logo of the Australia First Party (NSW) Incorporated. This logo includes a representation of the Eureka flag. Objections to the logo registration were based on its reputed creation as a symbol of defiance.

Due to the operation of section 127 of the Electoral Act (including the issuing of writs for various by-elections) throughout the reporting period, this matter has not yet been set down for hearing.

Australian Information Commissioner decisions There were no reports of privacy breaches to the Australian Information Commissioner during the reporting period. However, the AEC did receive a notice from the Office of the Australian Information Commissioner relating to a complaint about handling information on a silent elector. The AEC’s response was that the complaint was misconceived.

Australian Human Rights Commission The AEC conducts criminal record checks as part of its vetting process for senior polling officials. In June and

July the AEC was notified of several complaints lodged with the Australian Human Rights Commission alleging criminal record discrimination under the Australian Human Rights Commission Act 1986. One complaint, which was outstanding at the end of the previous reporting period, was subsequently dismissed.

In May 2018 the AEC was notified of an allegation of disability discrimination related to an employee redundancy offer. This complaint is still outstanding.

Auditor-General reports There were no Auditor-General reports during the reporting period.

Parliamentary committees The AEC works closely with the Joint Standing Committee on Electoral Matters and the Department of Finance to promote opportunities and risks in the electoral environment and the need to modernise key election management systems.

In 2017-18 the AEC:

• provided information and advice on electoral management and the delivery of electoral services to three parliamentary committees for six inquiries

• made 10 submissions and attended eight public hearings

• attended three Senate Estimates hearings and responded to 48 Senate Estimates Questions on Notice

5 Management and accountability

54 Australian Electoral Commission Annual Report 2017-18

Table 2: AEC APS workforce by employment type and classification (excluding statuary office holders) as at 30 June 2018

Classification Ongoing

Non-ongoing Specified term Casual

SES Band 2 2 0 0

SES Band 1 10 0 0

EL 2 40 2 0

EL 1 121 8 1

APS 6 194 10 3

APS 5 94 11 0

APS 4 67 7 7

APS 3 118 12 1

APS 2 109 8 0

APS 1 0 0 974

Detailed workforce statistics are available at appendix H.

Commonwealth Ombudsman investigations There were no investigations undertaken by the Ombudsman into the AEC’s administration during the reporting period.

Freedom of information The AEC’s Information Publication Scheme under the Freedom of Information Act 1982 can be found at www.aec.gov.au

Customer scrutiny The AEC’s service charter - available www.aec.gov.au - outlines the agency’s role and purpose and the services the public can expected to receive.

Public engagement policies, procedures and tools are also available for staff. The AEC routinely examines enquiry trends to improve public information and services.

Managing and developing staff The AEC effectively manages and develops employees to deliver electoral events and services through the AEC’s training and performance management programs.

Terms and conditions of employment At 30 June 2018 the AEC had a regular workforce of 813 APS employees, a casual workforce of 986 APS employees and eight statutory office holders. Twenty-five APS staff had identified as Aboriginal and Torres Strait Islander (13 ongoing, two non-ongoing and 10 casual).See page 56 for information on disability reporting.

A table of statutory appointments is at appendix H, Table 28.

Employees are also engaged to work on election events. A breakdown of APS ongoing, non-ongoing and casual staff by classification is shown in Appendix H, Table 25.

Australian Electoral Commission Annual Report 2017-18 55

Figure 3: AEC APS workforce by employment type as at 30 June 2018

1500

1200

900

600

300

0

798

188

224

35

23

531

MALE FEMALE

ON-GOING

NON-ONGOING

CASUAL

Most AEC staff are covered by the AEC Enterprise Agreement 2016-2019 published on the AEC website. This outlines salaries and conditions of employment. Under the Agreement, staff receive a range of non-salary benefits.

The AEC supports employees with caring responsibilities as outlined in the Carer Recognition Act 2010. Employees are eligible for paid personal leave (carer’s) under the agreement.

The Electoral Commissioner may agree to individual flexibility arrangements with employees, which can vary the effect of the terms of the Enterprise Agreement. The Electoral Commissioner agreed to 29 new individual flexibility arrangements, with 23 of these still active at 30 June 2018.

The AEC also has a collective determination for staff engaged under section 35(1) of the Electoral Act. Set by the Electoral Commissioner, this determination covers temporary staff such as polling officials (election period only). The collective determination is being reviewed for the next federal election.

Performance pay The agreement requires all employees engaged under section 22(2) of the Public Service Act 1999 to participate in the AEC’s Performance Management Program. Eligible employees who meet the requirements receive salary advancement. The AEC does not provide performance bonuses.

5 Management and accountability

56 Australian Electoral Commission Annual Report 2017-18

Terms and conditions of SES employees The AEC has 12 SES staff. The terms and conditions of employment, predominantly for senior executive service and executive level officers, can be set with individual determinations by the Electoral Commissioner under section 24(1) of the Public Service Act 1999.

In 2017-18 the terms and conditions of employment of ten employees, predominantly senior executive service and executive level officers, were set by individual determinations by the Electoral Commissioner under section 24(1) of the Public Service Act 1999.

The Remuneration Tribunal determines the Electoral Commissioner’s remuneration under the Remuneration Tribunal Act 1973. Other statutory appointees were part of the principal executive officer structure under the Remuneration Tribunal Act 1973. The Electoral Commissioner determined the remuneration and conditions for these appointees within parameters set by the tribunal. All statutory appointment holders in the AEC transitioned to the full-time office holder structure from 30 April 2018. The Remuneration Tribunal now determines the remuneration for these positions. Details of executive remuneration are published on the AEC and Remuneration Tribunal websites. For full disclosure of remuneration see the financial statements on page 62.

Disability reporting mechanisms The AEC provides a variety of education and communication initiatives to meet the needs of Australians with disability. These are reported through the National Disability Strategy 2010-2020 and the State of the Service report.

Since 1994 non-corporate Commonwealth entities have reported on their performance as policy adviser, purchaser, employer, regulator and provider under the Commonwealth Disability Strategy. In 2007-08 reporting on the employer role was transferred to the Australian Public Service Commission’s State of the Service reports and the APS Statistical Bulletin. These reports are available at www.apsc.gov.au

From 2010-11 entities have no longer been required to report on these functions.

The Commonwealth Disability Strategy has been overtaken by the National Disability Strategy 2010-2020 which sets out a 10-year national policy framework to improve the lives of people with disability, promote participation and create a more inclusive society. A high-level, two-yearly report will track progress against each of the six outcome areas of the strategy and present a picture of how people with disability are faring. The first of these progress reports was published in 2014 and can be found at www.dss.gov.au

Australian Electoral Commission Annual Report 2017-18 57

Table 3: New claims for compensable and non-compensable injuries

Case management type 2013-14 2014-15 2015-16 2016-17 2017-18

Compensable 17 14 14 23 12

Non-compensable 32 19 41 42 41

Early intervention NA NA NA NA 2

Total 49 33 55 65 58

Workforce planning The AEC develops workforce strategies to reduce identified risks for both day-to-day operations and delivery of electoral events.

Workforce planning is done at three levels (divisional, state/branch/agency-wide) and is informed by operational plans, business plans and the corporate plan.

To improve workforce planning the AEC is increasingly using business intelligence and data to support decision-making and service delivery.

Work health and safety As part of its compliance obligations under the Work Health and Safety Act 2011, the Safety, Rehabilitation and Compensation Act 1988 and the Guidelines for Rehabilitation Authorities 2012, the AEC has the following systems to monitor, evaluate and maintain health, safety and welfare:

• our Rehabilitation Management System which meets Comcare’s Guidelines for Rehabilitation Authorities 2012 under section 41 of the Safety Rehabilitation and Compensation Act 1988

• our work health and safety management system AECsafety

• an electronic incident management system through Aurion

There were 175 health and safety incidents reported this year, compared with 104 for the previous year.

Additional initiatives to monitor, evaluate and maintain health, safety and welfare across the AEC include:

• our Employee Assistance Program

• annual influenza vaccinations

• an early intervention program

• resilience workshops

• workstation assessments and ergonomic equipment

• making reasonable workplace adjustments to enable a person with a disability or other circumstances to perform their role and participate equally in working life

Claims management Injury and illness claims during the year consisted of:

• 13 new cases for compensation (of which nine were accepted by Comcare and two were withdrawn) (see Table 3)

• 19 continuing cases for compensation

• 37 new cases of non-compensable injuries or illness

• five continuing cases of non-compensable injuries or illness

5 Management and accountability

58 Australian Electoral Commission Annual Report 2017-18

Five incidents were reported to Comcare. None were notifiable for serious injury or illness, and one was notifiable for a dangerous occurrence. No Comcare investigations were undertaken and there were no liaison inspections.

The AEC conducted one investigation during 2017-18.

Developing people The National Training and Education Unit (NTEU) was established in early 2018 as part of the Organisational Design Review and centrally-leads and coordinates AEC training and education. It reflects the AEC’s significant investment in revising the approach to staff learning and development at all levels.

The revised approach builds:

• critical operational and leadership capabilities that underpin election readiness

• a culture of compliance, electoral integrity and professionalism

Programs include:

• an Australian electoral officer capacity building program to train and support staff to deliver elections in their state or territory

• the AEC’s flagship training initiative, the Election Readiness Program. This builds critical operational and leadership capabilities for divisional returning officers. Since its launch in February 2018 the initiative has been provided to more than 240 AEC staff

• the Election Experience Program which provides hands-on practical election experience

The by-elections conducted this year provided hands-on experience through the Election Experience Program. Participants were able to work at both a polling centre on polling day and an out-posted centre after polling day.

The establishment of the National Training and Education Unit reflects the AEC’s significant investment in revising the approach to staff learning and development.

AEC e-learning courses were improved, enabling staff to improve knowledge in areas related to their roles and responsibilities, including legislation and policy requirements.

More information on how the AEC is developing the workforce is at page 28.

Assets management

Physical assets The AEC’s physical assets are managed on an end of life or end of lease schedule. These include machines, equipment and office fit-outs. Asset management is not a significant aspect of the AEC’s strategic business, and service and maintenance agreements are used when they represent value for money.

Environmental performance and sustainable development In accordance with section 516A of the Environment Protection and Biodiversity Conservation Act 1999, the AEC reports on environmental performance and

Australian Electoral Commission Annual Report 2017-18 59

measures that minimise environmental impact, including:

• recommendations of the Australian National Audit Office’s Performance Audit Report No.47 of 1998-99

• the Department of Environment and Energy’s Energy Efficiency in Government Operations policy

• fleet monitoring body guidelines for use of ethanol

The AEC’s environment management commitment is on the AEC website.

Standards, programs and innovative practices are in place to improve energy efficiency and minimise the effect of office operations on the environment. These include:

• recycling paper, cardboard, plastics, aluminium and glass toner cartridges

• applying double-sided default printer settings

• using recyclable products where possible

• conserving water

• promoting use of E10 petrol in AEC vehicles and selecting vehicles in accordance with Department of Finance policy

• considering environmental impacts in the design and layout of new and upgraded accommodation

For 2017-18 energy used across all AEC premises was 11,863 megajoules per person. This represents a 34.26 per cent increase on the previous year, due to extended office hours during by-elections.

Unattainable energy usage data was calculated at 500mj/m2 in line with Energy Efficiency in Government Operations Policy.

The National Electoral Education Centre in Canberra was accredited as an ACTSmart business for the eighth year.

Purchasing The AEC’s approach to procuring goods and services is consistent with the:

• Public Governance Performance and Accountability Act 2013

• Commonwealth Procurement Rules

• Department of the Environment and Energy’s Sustainable Procurement Guide

The AEC applies these rules through its accountable authority instructions, supporting operational guidelines, and by continuing to develop procurement skills and processes to improve efficiency and value-for-money.

The AEC has a centralised area of expertise to manage procurement and contracting, including panel arrangements. Tenders are evaluated for:

• energy and consumption demand

• unnecessary consumption

• end-of-life disposal arrangements

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60 Australian Electoral Commission Annual Report 2017-18

Australian National Audit Office access clauses All AEC contract templates include a standard clause to provide Auditor- General access to a contractor’s premises. The AEC did not execute any contracts without the Australian National Audit Office access provisions.

Small business The AEC supports small business participation in the Commonwealth Government procurement market. Small and medium enterprises (SME) and small enterprise participation statistics are on the Department of Finance website at www.finance.gov.au

The AEC recognises the importance of ensuring small businesses are paid on time. The results of the Survey of Australian Government Payments to Small Business are available on Treasury’s website at www.treasury.gov.au

Publication of contracts on AusTender Information on the value of AEC contracts and consultancies is available on the Austender website at www.tenders.gov.au. In 2017-18:

• no contracts or standing offers greater than $10,000 (including GST) were exempt from publication on AusTender on the basis that they would disclose exempt information under the Freedom of Information Act 1982

• the AEC did not administer any discretionary grant programs

• three open tender requests were published

The value of AEC contracts and consultancies in 2017-18 as well as expected procurements are available on AusTender at www.tenders.gov.au

Consultants Consultants may be engaged to provide specialist expertise, independent research, or to review or assess electoral event matters. These decisions are made in accordance with section 35(2) of the Commonwealth Electoral Act 1918, the PGPA Act and related Regulations (including the Commonwealth Procurement Rules), and relevant internal policies.

During 2017-18, 11 new consultancy contracts were established involving total expenditure of $660,300 including GST.

Five ongoing consultancy contracts were also active during the year involving total expenditure of $785,365 including GST.

Further information on consultancy expenditure is in the financial statements in the following section.

Australian Electoral Commission Annual Report 2017-18 61

Australian Electoral Commission Annual Report 2017-18 63

Section 6

Australian Electoral Commission Annual Report 2017-18

Financial statements

IN THIS SECTION

64 Financial statements

64 Financial performance summary

66 List of financial statements

67 Certification

70 Primary financial statements

75 Administered schedules

78 Overview

81 Notes to the financial statements

The AEC’s financial performance for 2017-18 including audited financial statements.

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64 Australian Electoral Commission Annual Report 2017-18

Section 6

Financial statements

The AEC’s 2017-18 financial results were influenced by expenditure on three by-elections, preparation for the next federal election and electoral integrity reforms. The Australian National Audit Office has issued an unqualified audit opinion for the AEC’s 2017-18 financial statements.

The AEC’s financial reporting consists of a financial performance summary, together with the financial statements and supporting notes. The financial performance summary is a snapshot of the AEC’s deficit, surplus, balance sheet and net asset information.

The financial statements consist of the auditor’s report, the Electoral Commissioner and Chief Finance Officer statement, and various financial statements and administered schedules. Further information on the financial performance of the AEC is provided in the notes section.

Financial performance summary The AEC’s 2017-18 financial results are positive, spending within allocated funding and achieving an operating surplus at year end. The AEC’s operating surplus was $6.3 million compared to an operating surplus of $36.0 million in 2016-17. The 2017-18 result was influenced by expenditure on three by-elections, preparation for the next federal election and electoral integrity reforms.

The statement of financial position at 30 June 2018 shows total assets of $153.2 million and total liabilities of

Australian Electoral Commission Annual Report 2017-18 65

$37.8 million for a net asset position of $115.4 million. Total assets have increased from the previous year mainly as a result of an increase in appropriation receivables. Additional appropriation received for electoral integrity reforms was not fully spent and work has rolled forward into 2018-19. Liabilities have remained at a similar level to 2016-17.

The Australian National Audit Office has issued an unqualified audit opinion for the AEC’s 2017-18 financial statements.

No significant issues of non-compliance in relation to the finance law were reported to the Special Minister of State in 2017-18. This included any failure to comply with the duties of accountable authorities (section 15-19 of the PGPA Act), significant fraudulent activity and other serious breaches (section 25-29 of the PGPA Act).

The current funding model presents an ongoing challenge for the AEC and poses significant risk in managing the increasing complexity of federal elections and the ongoing growth in the size of the electoral roll. During 2017-18 the AEC successfully

secured additional funding for federal elections, however funding received between elections for ongoing operations is insufficient to provide long-term election system sustainability or ongoing innovation. The AEC received funding during 2017-18 to consider the long-term sustainability of election systems and also commenced work with the Department of Finance on an overarching funding review. This review is expected to be completed in 2018-19.

The AEC’s 2017-18 financial results are positive, spending within allocated funding and achieving an operating surplus at year end.

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66 Australian Electoral Commission Annual Report 2017-18

List of financial statements

67 Certification 67 Auditor’s report 69 Statement by the Electoral Commissioner and Chief Finance Officer

70 Primary financial statements 70 Statement of comprehensive income for the period ended 30 June 2018 71 Statement of financial position as at 30 June 2018 72 Statement of changes in equity for the period ended 30 June 2018 74 Cash flow statement for the period ended 30 June 2018

75 Administered schedules 75 Administered schedule of comprehensive income for the period ended 30 June 2018 76 Administered schedule of assets and liabilities as at 30 June 2018 76 Administered reconciliation schedule 77 Administered cash flow statement for the period ended 30 June 2018

78 Overview 78 Basis of preparation 78 New accounting standards 80 Accounting judgements and estimates 80 Taxation 80 Events after the reporting period

81 Notes to the financial statements 81 1. Funding 81 1.1 Revenue from Government 82 1.2 Own-source revenue and gains 83 1.3 Special accounts 84 1.4 Net cash appropriation arrangements 84 2. Departmental financial position and managing uncertainties 84 2.1 Financial instruments 86 2.2 Other fnancial assets 87 2.3 Non-financial assets 90 2.4 Other payables and provisions 91 2.5 Contingent assets and liabilities 92 3. People and relationships 92 3.1 Employee benefits 92 3.2 Employee provisions 93 3.3 Key management personnel remuneration 93 3.4 Related party disclosures 94 4. Other information 94 4.1 Expenses

96 5. Items administered on behalf of Government 96 5.1 Administered - expenses 96 5.2 Administered - income 97 5.3 Administered - assets and liabilities 97 5.4 Administered - financial instruments 97 5.5 Administered - contingent assets and liabilities

Australian Electoral Commission Annual Report 2017-18 67

Certification

Auditor’s report

GPO Box 707 CANBERRA ACT 2601 19 National Circuit BARTON ACT Phone (02) 6203 7300 Fax (02) 6203 7777

INDEPENDENT AUDITOR’S REPORT

To the Special Minister of State

Opinion

In my opinion, the financial statements of the Australian Electoral Commission for the year ended 30 June 2018:

(a) comply with Australian Accounting Standards - Reduced Disclosure Requirements and the Public Governance, Performance and Accountability (Financial Reporting) Rule 2015; and

(b) present fairly the financial position of the Australian Electoral Commission as at 30 June 2018 and its financial performance and cash flows for the year then ended.

The financial statements of the Australian Electoral Commission, which I have audited, comprise the following statements as at 30 June 2018 and for the year then ended:

• Statement by the Electoral Commissioner and Chief Finance Officer; • Statement of Comprehensive Income; • Statement of Financial Position; • Statement of Changes in Equity; • Cash Flow Statement; • Administered Schedule of Comprehensive Income; • Administered Schedule of Assets and Liabilities; • Administered Reconciliation Schedule; • Administered Cash Flow Statement; and • Notes to the financial statements, comprising of a Summary of Significant Accounting Policies and

other explanatory information.

Basis for Opinion

I conducted my audit in accordance with the Australian National Audit Office Auditing Standards, which incorporate the Australian Auditing Standards. My responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of my report. I am independent of the Australian Electoral Commission in accordance with the relevant ethical requirements for financial statement audits conducted by the Auditor-General and his delegates. These include the relevant independence requirements of the Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (the Code) to the extent that they are not in conflict with the Auditor-General Act 1997. I have also fulfilled my other responsibilities in accordance with the Code. I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my opinion.

Accountable Authority’s Responsibility for the Financial Statements

As the Accountable Authority of the Australian Electoral Commission, the Electoral Commissioner is responsible under the Public Governance, Performance and Accountability Act 2013 for the preparation and fair presentation of annual financial statements that comply with Australian Accounting Standards - Reduced Disclosure Requirements and the rules made under that Act. The Electoral Commissioner is also responsible for such internal control as the Electoral Commissioner determines is necessary to enable the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Electoral Commissioner is responsible for assessing the Australian Electoral Commissioner’s ability to continue as a going concern, taking into account whether the entity’s operations will cease as a result of an administrative restructure or for any other reason.

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68 Australian Electoral Commission Annual Report 2017-18

The Electoral Commissioner is also responsible for disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the assessment indicates that it is not appropriate.

Auditor’s Responsibilities for the Audit of the Financial Statements

My objective is to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes my opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Australian National Audit Office Auditing Standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the financial statements.

As part of an audit in accordance with the Australian National Audit Office Auditing Standards, I exercise professional judgement and maintain professional scepticism throughout the audit. I also:

• identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for my opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control; • obtain an understanding of internal control relevant to the audit in order to design audit procedures

that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control; • evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Accountable Authority; • conclude on the appropriateness of the Accountable Authority’s use of the going concern basis of

accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the entity’s ability to continue as a going concern. If I conclude that a material uncertainty exists, I am required to draw attention in my auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify my opinion. My conclusions are based on the audit evidence obtained up to the date of my auditor’s report. However, future events or conditions may cause the entity to cease to continue as a going concern; • evaluate the overall presentation, structure and content of the financial statements, including the

disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation; and • obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the entity to express an opinion on the financial report. I am responsible

for the direction, supervision and performance of the entity audit. I remain solely responsible for my audit opinion.

I communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that I identify during my audit.

Australian National Audit Office

Rahul Tejani Acting Executive Director Delegate of the Auditor-General

Canberra 3 September 2018

Australian Electoral Commission Annual Report 2017-18 69

Statement by the Electoral Commissioner and Chief Finance Officer

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70 Australian Electoral Commission Annual Report 2017-18

Primary financial statements

Statement of comprehensive income for the period ended 30 June 2018

Notes

2018 $’000

2017 $’000

Original Budget $’000

NET COST OF SERVICES Expenses Employee benefits 3.1 86,679 152,607 83,850

Suppliers 4.1A 75,987 135,675 59,344

Depreciation and amortisation 2.3A 9,500 9,229 8,206

Finance costs 2.4B 52 22 85

Write-down and impairment of assets 4.1B (6) 1,502 -

Losses from asset disposals 2.3A 315 658 -

Total expenses 172,527 299,693 151,485

OWN-SOURCE INCOME Own-source revenue Sale of goods and rendering of services 1.2A 17,285 18,235 11,038

Other revenue 1.2B 273 219 -

Total own-source revenue 17,558 18,454 11,038

Gains Other gains 1.2C 47 48 85

Total gains 47 48 85

Total own-source income 17,558 18,454 11,123

Net (cost of) services (154,922) (281,191) (140,362)

Revenue from Government Revenue from Government 1.1A 161,198 317,187 132,156

Surplus/(Deficit) on continuing operations 6,276 35,996 (8,206)

OTHER COMPREHENSIVE INCOME Items not subject to subsequent reclassification to net cost of services Changes in asset revaluation surplus 178 (311) -

Total other comprehensive income 178 (311) -

Total comprehensive income/(loss) 1.4 6,454 35,685 (8,206)

The above statement should be read in conjunction with the accompanying notes.

BUDGET VARIANCES COMMENTARY

Statement of comprehensive income The AEC’s expenditure, both employee and supplier expenses, were higher than anticipated due to the conduct of three by-elections, preparation for the next federal election, the payment of a number of redundancies and also expenditure on electoral integrity reforms. The AEC’s own-source revenue was higher than anticipated as there was increased activity on industrial and commercial elections, particularly in relation to protected action ballots. Revenue from Government was also higher than anticipated as additional funding was secured in order to deliver electoral integrity reforms.

Australian Electoral Commission Annual Report 2017-18 71

Statement of financial position as at 30 June 2018

Notes

2018 $’000

2017 $’000

Original Budget $’000

ASSETS Financial assets Cash and cash equivalents 2.1A 1,715 4,220 17,932

Receivables for goods and services 2.1A 896 1,687 1,343

Appropriations receivable 2.2A 117,564 83,179 89,105

Other receivables 2.2B 963 674 5,190

Total financial assets 121,138 89,760 113,570

Non-financial assets Leasehold Improvements 2.3A 6,757 8,424 9,082

Plant and equipment 2.3A 7,273 6,603 11,305

Computer software 2.3A 8,477 9,071 14,261

Intellectual property 2.3A 1,663 1,912 -

Inventories 2.3B 5,104 3,909 14,599

Other non-financial assets 2.3C 2,773 3,135 7,115

Total non-financial assets 32,047 33,054 56,362

Total assets 153,185 122,814 169,932

LIABILITIES Payables Suppliers 2.1A 9,894 5,506 72,637

Other payables 2.4A 3,908 3,947 4,103

Total payables 13,802 9,453 76,740

Provisions Employee provisions 3.2 22,251 25,130 31,757

Other provisions 2.4B 1,780 1,570 1,525

Total provisions 24,031 26,700 33,282

Total liabilities 37,833 36,153 110,022

Net assets 115,352 86,661 59,910

EQUITY Contributed equity 82,743 60,373 71,157

Asset revaluation surplus 22,852 22,674 22,985

Retained earnings 9,757 3,614 (34,232)

Total equity 115,352 86,661 59,910

The above statement should be read in conjunction with the accompanying notes.

BUDGET VARIANCES COMMENTARY

Statement of financial position Total payables and cash are significantly lower than expected as suppliers were paid in the financial year and cash was not required to be on hand for payment immediately following end of financial year. The lower cash balance offsets a large proportion of the higher appropriation receivable balance, with the further increase in appropriation receivable resulting from the receipt of additional funding during the year for electoral integrity reforms that was not full spent.

Non-financial assets are lower than budgeted mainly due to a decrease in inventory as it was expected that in preparation for the next federal election the AEC would have purchased additional inventory during the financial year. Employee provisions were lower than expected due to the payment of a number of redundancies as a result of the organisational design review.

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72 Australian Electoral Commission Annual Report 2017-18

Statement of changes in equity for the period ended 30 June 2018

2018 $’000

2017 $’000

Original Budget $’000

CONTRIBUTED EQUITY Opening balance Balance carried forward from previous period 60,373 54,202 60,373

Adjusted opening balance 60,373 54,202 60,373

Transactions with owners Contributions by owners Departmental Capital Budget 22,370 6,171 10,784

Total transactions with owners 22,370 6,171 10,784

Closing balance as at 30 June 82,743 60,373 71,157

RETAINED EARNINGS Opening balance Balance carried forward from previous period 3,614 (32,382) (26,026)

Adjustment to opening balance (133) - -

Adjusted opening balance 3,481 (32,382) (26,026)

Comprehensive income Surplus / (deficit) for the period 6,276 35,996 (8,206)

Total comprehensive income 6,276 35,996 (8,206)

Closing balance as at 30 June 9,757 3,614 (34,232)

ASSET REVALUATION RESERVE Opening balance Balance carried forward from previous period 22,674 22,985 22,985

Adjusted opening balance 22,674 22,985 22,985

Comprehensive income Other comprehensive income 178 (311) -

Total comprehensive income 178 (311) -

Closing balance as at 30 June 22,852 22,674 22,985

TOTAL EQUITY Opening balance Balance carried forward from previous period 86,661 44,805 57,332

Adjustment to opening balance (133) - -

Adjusted opening balance 86,528 44,805 57,332

Comprehensive income Surplus/(deficit) for the period 6,276 35,996 (8,206)

Other comprehensive income 178 (311) -

Total comprehensive income 6,454 35,685 (8,206)

Transactions with owners Contributions by owners Departmental Capital Budget 22,370 6,171 10,784

Total transactions with owners 22,370 6,171 10,784

Closing balance as at 30 June 115,352 86,661 59,910

The above statement should be read in conjunction with the accompanying notes.

Australian Electoral Commission Annual Report 2017-18 73

ACCOUNTING POLICY

Contributions by owners Amounts appropriated which are designated as ‘equity injections’ for a year (less any formal reductions) and Departmental Capital Budgets (DCBs) are recognised directly in contributed equity in that year.

BUDGET VARIANCES COMMENTARY

Statement of changes in equity The AEC incurred a higher than anticipated equity position as additional Departmental Capital Budget was received during the year and the financial result was higher than expected with a surplus of $6.276 million achieved against an expected deficit of $8.206 million. This occurred as additional funding was received during the year and was not fully spent.

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74 Australian Electoral Commission Annual Report 2017-18

Cash flow statement for the period ended 30 June 2018

Notes

2018 $’000

2017 $’000

Original Budget $’000

OPERATING ACTIVITIES Cash received Appropriations 144,757 311,069 132,156

Sales of goods and rendering of services 19,316 19,984 11,038

Net GST received 5,849 19,604 -

Total cash received 169,922 350,657 143,194

Cash used Employees 86,859 157,530 83,850

Suppliers 86,966 206,335 59,344

Total cash used 173,825 363,865 143,194

Net cash (used by)/from operating activities (3,903) (13,208) -

INVESTING ACTIVITIES Cash used Purchase of property, plant and equipment 3,028 1,800 10,784

Purchase of intangibles - 1,844 -

Total cash used 3,028 3,644 10,784

Net cash (used by) investing activities (3,028) (3,644) (10,784)

FINANCING ACTIVITIES Cash received Contributed equity - - 10,784

Departmental Capital Budget 4,426 3,140 -

Total cash received 4,426 3,140 10,784

Net cash from financing activities 4,426 3,140 10,784

Net (decrease) in cash held (2,505) (13,712) -

Cash and cash equivalents at the beginning of the reporting period 4,220 17,932 17,932

Cash and cash equivalents at the end of the reporting period 2.1A 1,715 4,220 17,932

The above statement should be read in conjunction with the accompanying notes.

BUDGET VARIANCES COMMENTARY

Cash flow statement The AEC’s operating cash received was higher than anticipated as there was increased activity on industrial and commercial elections, particularly in relation to protected action ballots and also, additional funding was secured from Government in order to deliver electoral integrity reforms. Operating cash used was higher than budgeted as a result of the three by-elections, preparation for the next federal election, the payment of a number of redundancies and also expenditure on electoral integrity reforms. Investing and financing cash used and received was lower than anticipated as capital works were not completed during the financial year and work rolled forward into 2018-19.

Australian Electoral Commission Annual Report 2017-18 75

Administered schedules

Administered schedule of comprehensive income for the period ended 30 June 2018

Notes

2018 $’000

2017 $’000

Original Budget $’000

NET COST OF SERVICES EXPENSES

Other expenses 5.1A 618 62,883 -

Total expenses 618 62,883 -

INCOME Revenue Non-taxation revenue Electoral fines/penalties 5.2A 276 3,746 33

Other 5.2A 6 - -

Total non-taxation revenue 282 3,746 33

Total revenue 282 3,746 33

Net contribution by services (337) (59,137) 33

(Deficit)/Surplus (337) (59,137) 33

This schedule should be read in conjunction with the accompanying notes.

BUDGET VARIANCES COMMENTARY

Schedule of comprehensive income The AEC’s administered expenditure and revenue was higher than anticipated due to the three by-elections conducted during the financial year.

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76 Australian Electoral Commission Annual Report 2017-18

Administered schedule of assets and liabilities as at 30 June 2018

Notes

2018 $’000

2017 $’000

Original Budget $’000

ASSETS Financial assets Cash and cash equivalents 5.3A 1,328 3,560 -

Total financial assets 1,328 3,560 -

Total assets administered on behalf of Government 1,328 3,560 -

Net assets 1,328 3,560 -

The above schedule should be read in conjunction with the accompanying notes.

Administered reconciliation schedule

2018 $’000

2017 $’000

Opening assets less liabilities as at 1 July 3,560 2,268

Net cost of/(contribution by) services:

Income 337 3,748

Expenses (630) (63,815)

Transfers (to)/from the Australian Government:

Appropriation transfers from Official Public Account Special appropriations (limited) 730 65,105

Appropriation transfers to OPA Transfers to OPA (2,669) (3,746)

Closing assets less liabilities as at 30 June 1,328 3,560

This schedule should be read in conjunction with the accompanying notes.

ACCOUNTING POLICY

Administered cash transfers to and from the Official Public Account Revenue collected by the AEC for use by the Government rather than the AEC is administered revenue. Collections are transferred to the Official Public Account (OPA) maintained by the Department of Finance. Conversely, cash is drawn from the OPA to make payments under Parliamentary appropriation on behalf of Government. These transfers to and from the OPA are adjustments to the administered cash held by the entity on behalf of the Government and reported as such in the schedule of administered cash flows and in the administered reconciliation schedule.

Australian Electoral Commission Annual Report 2017-18 77

Administered cash flow statement for the period ended 30 June 2018

Notes

2018 $’000

2017 $’000

OPERATING ACTIVITIES Cash received Electoral fines/penalties 276 3,746

Other 61 2

Total cash received 337 3,748

Cash used Political Parties/Candidates 630 63,710

Refund of Electoral fines/penalties - 105

Total cash used 630 63,815

Net cash flows (used by)/from operating activities (293) (60,067)

Cash from Official Public Account Appropriations 730 65,105

Total cash from official public account 730 65,105

Cash to Official Public Account Appropriations (2,669) (3,746)

Total cash to official public account (2,669) (3,746)

Cash and cash equivalents at the beginning of the reporting period 3,560 2,268

Cash and cash equivalents at the end of the reporting period 1.3 1,328 3,560

This schedule should be read in conjunction with the accompanying notes.

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78 Australian Electoral Commission Annual Report 2017-18

Overview

Basis of preparation The financial statements are general purpose financial statements and are required by section 42 of the Public Governance, Performance and Accountability Act 2013.

The financial statements have been prepared in accordance with:

a. Public Governance, Performance and Accountability (Financial Reporting) Rule 2015 (FRR)

b. Australian Accounting Standards and Interpretations - Reduced Disclosure Requirements issued by the Australian Accounting Standards Board (AASB) that apply for the reporting period

The financial statements have been prepared on an accrual basis and in accordance with the historical cost convention, except for certain assets at fair value. Except where stated, no allowance is made for the effect of changing prices on the results or the financial position. The financial statements are presented in Australian dollars and values are rounded to the nearest thousand dollars unless otherwise specified.

New accounting standards

Future Australian Accounting Standard requirements The following new/revised/amending standards and/or interpretations were issued by the Australian Accounting Standards Board prior to the signing of the statement by the accountable authority and chief finance officer, which are expected to have an impact on the entity’s financial statements for future reporting period(s):

Australian Electoral Commission Annual Report 2017-18 79

Accounting Standards

Effective date

Nature of impending change/s in accounting policy and likely impact on initial application Possible impact

AASB 9 Financial Instruments (December 2014)

1 Jan 2019 The new standard AASB 9 includes revised guidance on the classification and measurement of financial assets, including a new expected credit loss model for calculating impairment, and supplements the new general hedge accounting requirements previously published. It supersedes AASB 9 (issued in December 2009 - as amended) and AASB 9 (issued in December 2010 - as amended).

Minimal

AASB 15 Revenue from Contracts with Customers

1 Jan 2019 AASB 15 contains a single model that applies to contracts with customers and two approaches to recognising revenue: at a point in time or over time. The model features a contract-based five-step analysis of transactions to determine whether, how much and when revenue is recognised. The compiled AASB 15 does not apply mandatorily to not-for-profit entities. However, earlier application is permitted for annual reporting periods beginning before 1 January 2019.

Moderate

AASB 16 Leases 1 Jan 2019 AASB 16 removes the classification of leases as either operating leases or finance leases - for the lessee - effectively treating all leases as finance leases. AASB 16 requires a lessee to recognise assets and liabilities for all leases with a term of more than 12 months, unless the underlying asset is of low value. A lessee is required to recognise a right-of-use asset representing its right to use the underlying leased asset and a lease liability representing its obligations to make lease payments.

AASB 16 requires enhanced disclosures for both lessees and lessors to improve information disclosed about an entity’s exposure to leases.

Moderate - High

AASB 1058 Income of Not-for-Profit Entities

1 Jan 2019 AASB 1058 replaces the income recognition requirements relating to private sector not-for-profit (NFP) entities, as well as the majority of income recognition requirements relating to public sector NFP entities previously reflected in AASB 1004 Contributions.

Moderate

1. The entity’s expected initial application date is when the accounting standard becomes operative at the beginning of the entity’s reporting period

All other new/revised/amending standards and/or interpretations that were issued prior to the sign-off date and are applicable to future reporting period(s) are not expected to have a future material impact on the entity’s financial statements.

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80 Australian Electoral Commission Annual Report 2017-18

Accounting judgements and estimates No accounting assumptions or estimates have been identified that have a significant risk of causing a material adjustment to the carrying amounts of any assets or liabilities within the next reporting period.

Taxation The AEC is exempt from all forms of taxation except Fringe Benefits Tax (FBT) and the Goods and Services Tax (GST).

REPORTING OF ADMINISTERED ACTIVITIES Administered revenues, expenses, assets, liabilities and cash flows are disclosed in the administered schedules and related notes.

Except where otherwise stated, administered items are accounted for on the same basis and using the same policies as for departmental items, including the application of Australian Accounting Standards.

In accordance with the FRR Special Account cash balances held in AEC bank accounts and in the Official Public Account are included in the Administered assets, liabilities, reconciliation schedule and cash flows.

Events after the reporting period

Departmental There are no events after the reporting date that will materially affect the financial statements.

ADMINISTERED There are no events after the reporting date that will materially affect the financial statements.

Australian Electoral Commission Annual Report 2017-18 81

Notes to the Financial Statements

1. Funding This section identifies the AEC’s funding structure and the funds available to the AEC.

1.1 Revenue from Government

ACCOUNTING POLICY

Revenue from Government Amounts appropriated for departmental appropriations for the year (adjusted for any formal additions and reductions) are recognised as Revenue from Government when the AEC gains control of the appropriation, except for certain amounts that relate to activities that are reciprocal in nature, in which case revenue is recognised only when it has been earned. Appropriations receivable are recognised at their nominal amounts.

1.1A: Revenue from Government

Notes

2018 $’000

2017 $’000

Appropriations Departmental appropriation - operating1 1.1B 146,298 308,187

Departmental Special Appropriations 1.1D 14,900 9,000

Total Revenue from Government 161,198 317,187

1.1B: Annual appropriations (recoverable GST exclusive)

2018 $’000

2017 $’000

Ordinary annual services Annual appropriation Operating Operating1 146,298 308,187

Section 74 receipts of PGPA Act 18,043 18,754

Total operating appropriation 164,341 326,941

Capital Budget 22,370 6,171

Total 186,711 333,112

Appropriation applied Operating (147,900) (320,823)

Capital Departmental Capital Budget (4,426) (3,140)

Total capital appropriation applied (4,426) (3,140)

Total appropriation applied (152,326) (323,963)

Variance1,2 34,385 9,149

1. An amount of $4 million is held in quarantine from the Departmental Appropriation Act (No.1) - Operating

2. $17.944 million of the variance of $34.385 million outlined in table 1.1B relates to DCB funding. This amount will be drawn down in 2018-19 as capital accruals are paid and delayed works are completed. $12.441 million of the variance relates to using prior year non-lapsed appropriations to fund operating expenditure incurred in the current financial year. The remaining $4 million variance is due to the $4 million held in quarantine from the Departmental Appropriation Act (No.1) - Operating

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82 Australian Electoral Commission Annual Report 2017-18

1.1C: Unspent annual appropriations (recoverable GST exclusive)

2018 $’000

2017 $’000

DEPARTMENTAL Cash and cash equivalents Appropriation Act 1 - 2017-18 - Cash 1,715 -

Appropriation Act 1 - 2016-17 - Cash - 4,220

Total Cash and cash equivalents 1,715 4,220

Appropriations Receivable Appropriation Act 1 - 2017-18 70,416 -

Appropriation Act 3 - 2017-18 23,142 -

Appropriation Act 1 - 2017-18 - Departmental Capital Budget 9,389 -

Appropriation Act 3 - 2017-18 - Departmental Capital Budget 11,586 -

Appropriation Act 1 - 2016-17 3,031 76,308

Appropriation Act 3 - 2016-17 - 3,840

Supply Act 1 - 2016-17 - Departmental Capital Budget - 3,031

Total Appropriations Receivable 117,564 83,179

Total departmental 119,279 87,399

1.1D: Special appropriations (recoverable GST exclusive)

Authority

Appropriation applied 2018 $’000 2017

$’000

Commonwealth Electoral Act 1918 (Departmental) 14,900 9,000

Commonwealth Electoral Act 1918 (Administered) 730 65,105

Public Governance, Performance and Accountability Act 2013 - s77 - -

Total special appropriations applied 15,630 74,105

No entities spent money from the Consolidated Revenue Fund on behalf of the AEC.

1.2 Own-source revenue and gains

1.2A: Sale of goods and rendering of services

2018 $’000

2017 $’000

Sale of goods 9,950 10,720

Rendering of services 7,335 7,515

Total sale of goods and rendering of services 17,285 18,235

ACCOUNTING POLICY Revenue from the sale of goods is recognised when:

a. the risks and rewards of ownership have been transferred to the buyer; and

b. the AEC retains no managerial involvement or effective control over the goods.

The stage of completion of contracts at the reporting date is determined by reference to the proportion that costs incurred to date compared with the estimated total costs of the transaction.

Receivables for goods and services, which have 30 day terms, are recognised at the nominal amounts due less any impairment allowance account. Collectability of debts is reviewed at the end of the reporting period. Allowances are made when collectability of the debt is no longer probable.

Australian Electoral Commission Annual Report 2017-18 83

1.2B: Other revenue

2018 $’000

2017 $’000

Other 90 55

Resources received free of charge Remuneration of auditors 85 85

Other 98 79

Total other revenue 273 219

ACCOUNTING POLICY

Resources received free of charge Resources received free of charge are recognised as revenue when, and only when, a fair value can be reliably determined and the services would have been purchased if they had not been donated. Use of those resources is recognised as an expense. Resources received free of charge are recorded as either revenue or gains depending on their nature.

1.2C: Gains

2018 $’000

2017 $’000

Makegood Gains 46 48

Gains from sale of assets 1 -

Total gains 47 48

1.3 Special accounts

2018 $’000

2017 $’000

Services for other Entities and Trust Monies (SOETM)1 Balance brought forward from previous period 1,285 2,268

Increases 55 2

Total increases 55 2

Available for payments 1,340 2,270

Decreases Administered 12 932

Total Administered 12 932

Total decreases 12 932

Total balance carried to the next period 1,328 1,338

Balance represented by:

Cash held in AEC bank accounts - 53

Cash held in the Official Public Account 1,328 1,285

1. Appropriation: Public Governance, Performance and Accountability Act 2013 section 80. Establishing Instrument: Financial Management and Accountability Act 1997 section 20. Purpose: for the expenditure of monies temporarily held in trust or otherwise for the benefit of a person other than the Commonwealth. For example, candidate deposits.

2. These amounts are included in the Administered Schedule of Asset and Liabilities, Administered Reconciliation Schedule and Administered Cash Flow Statement.

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1.4 Net cash appropriation arrangements

2018 $’000

2017 $’000

Total comprehensive income/(loss) less depreciation/amortisation expenses previously funded through revenue appropriations 15,954 44,914

Plus: depreciation/amortisation expenses previously funded through revenue appropriation (9,500) ( 9,229)

Total comprehensive income/(loss) - as per the Statement of Comprehensive Income 6,454 35,685

2. Departmental financial position and managing uncertainties This section analyses the AEC’s assets used to conduct its operations and the operating liabilities incurred as a result and how the AEC manages financial risks related to these and its operating environment. Employee related information is disclosed in the People and Relationships section.

2.1 Financial instruments

2.1A: Categories of financial instruments

2018 $’000

2017 $’000

FINANCIAL ASSETS Cash and cash equivalents Cash on hand or on deposit 1,715 4,220

Total cash and cash equivalents 1,715 4,220

Loans and receivables Receivables Receivables for goods and services 896 1,697

Less impairment allowance - (10)

Total receivables 896 1,687

Total loans and receivables 896 1,687

Total financial assets 2,611 5,907

FINANCIAL LIABILITIES Financial liabilities measured at amortised cost Supplier payables 7,252 5,506

Finance Lease rentals 2,642 -

Total financial liabilities measured at amortised cost 9,894 5,506

Total financial liabilities 9,894 5,506

Credit terms for goods and services were within 30 days (2017: 30 days). Settlement of suppliers payable is usually made within 30 days.

Decrease in Impairment allowance for the period of $10,000 (2017: $8,000) has been recognised in relation to loans and receivables and included in the net cost of service. $4,000 (2017: nil) has been written off.

Australian Electoral Commission Annual Report 2017-18 85

ACCOUNTING POLICY

Financial assets The AEC classifies its financial assets in the following categories:

a. financial assets at fair value through profit or loss

b. held-to-maturity investments

c. available-for-sale financial assets

d. loans and receivables

The classification depends on the nature and purpose of the financial assets and is determined at the time of initial recognition. Financial assets are recognised and derecognised upon trade date.

Loans and receivables Trade receivables, loans and other receivables that have fixed or determinable payments and that are not quoted in an active market are classified as ‘loans and receivables’. Loans and receivables are measured at amortised cost using the effective interest method less impairment.

Cash is recognised at its nominal amount. Cash and cash equivalents includes:

a. cash on hand

b. demand deposits in bank accounts with an original maturity of 3 months or less that are readily convertible to known amounts of cash and subject to insignificant risk of changes in value

c. cash in special accounts

Effective interest method Income is recognised on an effective interest rate basis  except for financial assets that are recognised at fair value through profit or loss.

Impairment of Financial Assets Financial assets are assessed for impairment at the end of each reporting period.

Financial assets held at amortised cost - if there is objective evidence that an impairment loss has been incurred for loans and receivables or held to maturity investments held at amortised cost, the amount of the loss is measured as the difference between the asset’s carrying amount and the present value of estimated future cash flows discounted at the asset’s original effective interest rate. The carrying amount is reduced by way of an allowance account. The loss is recognised in the Statement of Comprehensive Income.

Financial liabilities Financial liabilities are classified as either financial liabilities ‘at fair value through profit or loss’ or other financial liabilities. Financial liabilities are recognised and derecognised upon ‘trade date’.

Supplier and other payables are recognised at amortised cost. Liabilities are recognised to the extent that the goods or services have been received (and irrespective of having been invoiced).

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2.2 Other financial assets

2.2A: Appropriation receivable

2018 $’000

2017 $’000

Appropriation receivables 117,564 83,179

Total Appropriation receivable 117,564 83,179

ACCOUNTING POLICY Refer to Note 1.1.

2.2B: Other receivables

2018 $’000

2017 $’000

Statutory receivables 861 674

Comcare Payments 102 -

Total other receivables 963 674

Other receivables are not past due or impaired.

ACCOUNTING POLICY Statutory receivables are amounts owed to the AEC from the Australian Taxation Office in relation to the refund of GST collected.

Australian Electoral Commission Annual Report 2017-18 87

2.3 Non-financial assets

2.3A: Reconciliation of the opening and closing balances of property, plant and equipment and intangibles

Reconciliation of the opening and closing balances of property, plant and equipment and intangibles for 2018.

Leasehold Improvements $’000

Plant & Equipment $’000

Computer Software1 $’000

Intellectual Property $’000

Total $’000

As at 1 July 2017 Gross book value 8,424 6,603 54,248 2,304 71,579

Accumulated depreciation, amortisation and impairment - - (45,177) (392) (45,569)

Total as at 1 July 2017 8,424 6,603 9,071 1,912 26,010

Additions Purchase 1,195 692 2,228 - 4,115

Lease2 - 3,791 - - 3,791

Revaluations and impairments recognised in other comprehensive income (611) 730 - - 119

Impairments recognised in net cost of services - - - - -

Depreciation and amortisation (2,251) (2,474) (4,526) (249) (9,500)

Other movements -

Asset transfers - (1,754) 1,704 - (50)

Disposals - (315) - - (315)

Total as at 30 June 2018 6,757 7,273 8,477 1,663 24,170

Total as at 30 June 2018 represented by Gross book value 7,023 7,485 58,180 2,304 74,992

Accumulated depreciation, amortisation and impairment (266) (212) (49,703) (641) (50,822)

Total as at 30 June 2018 represented by 6,757 7,273 8,477 1,663 24,170

1. The carrying amount of computer software included $1,899,710 of purchased software and $6,576,723 of internally generated software

2. Leased Plant & Equipment is measured at cost less depreciation

No indicators of impairment were found for property, plant and equipment and intangibles (2017: nil).

No property, plant and equipment and intangibles are expected to be sold or disposed of within the next 12 months.

Revaluations of non-financial assets

All revaluations were conducted in accordance with the revaluation policy stated in this note. On 30 June 2018, an independent valuer conducted the revaluations.

A revaluation decrement of $611,244 for leasehold improvements (2017: $364,976 decrement) was debited to the asset revaluation surplus by asset class and included in the equity section of the statement of financial position. A revaluation decrement for provision for restoration of $58,489 (2017: $249,331) was credited to the asset revaluation surplus. An increment of $729,892 for property, plant and equipment (2017: $129,513) was credited to the asset revaluation surplus and included in the equity section of the statement of financial position.

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Contractual commitments for the acquisition of property, plant, equipment and intangible assets

At 30 June 2018 there were no significant contractual commitments for the acquisition of property, plant, equipment and intangible assets.

Fair value measurement1, 2, 3

The following tables provide an analysis of assets and liabilities that are measured at fair value. The remaining assets and liabilities disclosed in the statement of financial position do not apply the fair value hierarchy.

Fair value measurements at the end of the reporting period 2018 $’000

2017 $’000

Non-financial assets Leasehold improvements 6,757 8,424

Plant and equipment 7,273 6,603

1. Fair value measurements occur each financial year 2. There are no changes in valuation techniques 3. The remaining assets and liabilities reported by the AEC are not measured at fair value in the Statement of Financial Position

ACCOUNTING POLICY Assets are recorded at cost on acquisition except as stated below. The cost of acquisition includes the fair value of assets transferred in exchange and liabilities undertaken. Financial assets are initially measured at their fair value plus transaction costs where appropriate.

Assets acquired at no cost, or for nominal consideration, are initially recognised as assets and income at their fair value at the date of acquisition, unless acquired as a consequence of restructuring of administrative arrangements. In the latter case, assets are initially recognised as contributions by owners at the amounts at which they were recognised in the transferor’s accounts immediately prior to the restructuring.

Asset Recognition Threshold Purchases of plant and equipment are recognised initially at cost in the statement of financial position, except for purchases costing less than $2,000, which are expensed in the year of acquisition (other than where they form part of a group of similar items which are significant in total).

The initial cost of an asset includes an estimate of the cost of dismantling and removing the item and restoring the site on which it is located. This is particularly relevant to ‘makegood’ provisions in property leases taken up by the AEC where there exists an obligation to restore the property to its original condition. These costs are included in the value of the AEC’s leasehold improvements with a corresponding provision for ‘make good’ recognised.

Revaluations Following initial recognition at cost, plant and equipment are carried at fair value less subsequent accumulated depreciation and accumulated impairment losses. Valuations are conducted with sufficient frequency to ensure that the carrying amounts of assets did not differ materially from the assets’ fair values as at the reporting date. The regularity of independent valuations depended upon the volatility of movements in market values for the relevant assets.

Revaluation adjustments are made on a class basis. Any revaluation increment is credited to equity under the heading of asset revaluation reserve except to the extent that it reversed a previous revaluation decrement of the same asset class that was previously recognised in the surplus/deficit. Revaluation decrements for a class of assets are recognised directly in the surplus/deficit except to the extent that they reversed a previous revaluation increment for that class.

Any accumulated depreciation as at the revaluation date is eliminated against the gross carrying amount of the asset and the asset restated to the revalued amount.

Australian Electoral Commission Annual Report 2017-18 89

Depreciation Depreciable plant and equipment assets are written-off to their estimated residual values over their estimated useful lives to the AEC, in all cases, the straight-line method of depreciation.

Depreciation rates (useful lives), residual values and methods are reviewed at each reporting date and necessary adjustments are recognised in the current, or current and future reporting periods, as appropriate.

Depreciation rates applying to each class of depreciable asset are based on the following useful lives:

2018 2017

Leasehold improvements Lesser of lease term/useful life Lesser of lease term/useful life Plant and equipment 5 to 10 years 5 to 10 years

IT Equipment 3 to 5 years 3 to 5 years

Impairment All assets were assessed for impairment at 30 June 2018. Where indications of impairment exist, the asset’s recoverable amount is estimated and an impairment adjustment made if the asset’s recoverable amount is less than its carrying amount.

The recoverable amount of an asset is the higher of its fair value less costs of disposal and its value in use. Value in use is the present value of the future cash flows expected to be derived from the asset. Where the future economic benefit of an asset is not primarily dependent on the asset’s ability to generate future cash flows, and the asset would be replaced if the AEC were deprived of the asset, its value in use is taken to be its depreciated replacement cost.

Derecognition An item of plant and equipment is derecognised upon disposal or when no further future economic benefits are expected from its use or disposal.

Intangibles The AEC’s intangibles comprise internally developed software, purchased software and intellectual property for internal use. These assets are carried at cost less accumulated amortisation and accumulated impairment losses.

Intangible assets are amortised on a straight-line basis over its anticipated useful life.The useful lives of the AEC’s software are 1 to 10 years (2017: 1 to 10 years) and the useful lives of the AEC’s intellectual property are 0 to 4 years (2017: 0 to 4 years).

All intangible assets were assessed for indications of impairment as at 30 June 2018.

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2.3B: Inventories

2018 $’000

2017 $’000

Inventories held for distribution 5,104 3,909

Total inventories 5,104 3,909

ACCOUNTING POLICY Inventories held for distribution are valued at cost, adjusted for any loss of service potential.

Costs incurred in bringing each item of inventory to its present location and condition are assigned as follows:

a. raw materials and stores - purchase cost on a first-in-first-out basis

b. finished goods and work-in-progress - cost of direct materials and labour plus attributable costs that can be allocated on a reasonable basis

Inventories acquired at no cost or nominal consideration are initially measured at current replacement cost at the date of acquisition.

2.3C: Other non-financial assets

2018 $’000

2017 $’000

Prepayments 2,773 3,135

Total other non-financial assets 2,773 3,135

No indicators of impairment were found for other non-financial assets (2017: nil).

2.4 Other payables and provisions

2.4A: Other payables

2018 $’000

2017 $’000

Salaries and wages 708 492

Superannuation 88 398

Separations and redundancies 152 433

Lease incentives 2,378 2,255

Straight-line leases 582 369

Total other payables 3,908 3,947

ACCOUNTING POLICY

Parental leave payments scheme Amounts received under the Parental Leave Payments Scheme by the AEC not yet paid to employees were presented as cash and a liability (payable). The total amount received under this scheme was $56,407 (2017: $81,862).

Employee benefits Refer to Note 3.2.

Leases Refer to Note 4.1A.

Australian Electoral Commission Annual Report 2017-18 91

2.4B: Other provisions

Provision for restoration $’000

As at 1 July 2017 1,570

Additional provisions made 262

Amounts used -

Amounts reversed (46)

Revaluation of provision (58)

Unwinding of discount or change in discount rate 52

Total as at 30 June 2018 1,780

The AEC currently has 32 (2017: 31) agreements for the leasing of premises which have provisions requiring the AEC to restore the premises to their original condition at the conclusion of the lease. The AEC has made a provision to reflect the present value of this obligation.

2.5 Contingent assets and liabilities

Contingent Assets At 30 June 2018, the AEC had no contingent assets (2017: nil).

Contingent Liabilities At 30 June 2018, the AEC had no contingent liabilities (2017: nil).

Quantifiable Contingencies At 30 June 2018, the AEC had no quantifiable contingencies (2017: nil).

Unquantifiable Contingencies At 30 June 2018, the AEC had no unquantifiable contingencies (2017: nil).

Significant Remote Contingencies The AEC has no significant remote contingencies (2017: nil).

ACCOUNTING POLICY Contingent liabilities and contingent assets are not recognised in the statement of financial position but are reported in the notes. They may arise from uncertainty as to the existence of a liability or asset or represent an asset or liability in respect of which the amount cannot be reliably measured. Contingent assets are disclosed when settlement is probable but not virtually certain and contingent liabilities are disclosed when settlement is greater than remote.

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3. People and relationships This section describes a range of employment and post employment benefits provided to our people and our relationships with other key people.

3.1 Employee benefits

2018 $’000

2017 $’000

Wages and salaries 64,334 128,594

Superannuation:

Defined contribution plans 5,693 8,436

Defined benefit plans 6,022 6,978

Leave and other entitlements 6,502 7,803

Separation and redundancies 4,128 796

Total employee benefits 86,679 152,607

3.2 Employee provisions

2018 $’000

2017 $’000

Leave 22,251 25,130

Total employee provisions 22,251 25,130

ACCOUNTING POLICY Liabilities for short-term employee benefits and termination benefits expected within twelve months of the end of reporting period are measured at their nominal amounts.

Other long-term employee benefits are measured as net total of the present value of the defined benefit obligation at the end of the reporting period minus the fair value at the end of the reporting period of plan assets (if any) out of which the obligations are to be settled directly.

Leave The liability for employee benefits includes provision for annual leave and long service leave. The leave liabilities are calculated on the basis of employees remuneration at the estimated salary rates that will be applied at the time the leave is taken, including the entity’s superannuation contribution rates to the extent that the leave is likely to be taken during service rather than paid out on termination.

The liability for long service leave has been determined by reference to the shorthand method as at 30 June 2018. The estimate of the present value of the liability takes into account attrition rates and pay increases through promotion and inflation.

Superannuation The AEC’s staff are members of the Commonwealth Superannuation Scheme (CSS), the Public Sector Superannuation Scheme (PSS), or the PSS accumulation plan (PSSap), or other superannuation funds held outside the Australian Government.

The CSS and PSS are defined benefit schemes for the Australian Government. The PSSap is a defined contribution scheme.

The liability for defined benefits is recognised in the financial statements of the Australian Government and is settled by the Australian Government in due course. This liability is reported in the Department of Finance’s administered schedules and notes.

The AEC makes employer contributions to the employees’ defined benefit superannuation scheme at rates determined by an actuary to be sufficient to meet the current cost to the Government. The AEC accounts for the contributions as if they were contributions to defined contribution plans.

The liability for superannuation recognised as at 30 June represents outstanding contributions.

Australian Electoral Commission Annual Report 2017-18 93

3.3 Key management personnel remuneration

Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the AEC, directly or indirectly, including any director (whether executive or otherwise) of the AEC. The AEC has determined the key management personnel to be the Electoral Commissioner, Deputy Electoral Commissioner and the two First Assistant Commissioners. Key management personnel remuneration is reported in the table below:

2018 $’000

2017 $’000

Short-term employee benefits 1,300 1,478

Post-employment benefits 309 387

Other long-term employee benefits 122 133

Total key management personnel remuneration expenses1 1,731 1,998

1.The above key management personnel remuneration excludes the remuneration and other benefits of the Portfolio Minister. The Portfolio Minister’s remuneration and other benefits are set by the Remuneration Tribunal and are not paid by the AEC.

The total number of key management personnel that are included in the above table is 4 (2017: 7).

During the year the number of positions included in key management personnel was 4 (2017:4.5).

3.4 Related party disclosures

Related party relationships:

The AEC is an Australian Government controlled entity. Related parties to the AEC are Key Management Personnel, the Portfolio Minister and Executive, and other Australian Government entities.

Transactions with related parties:

Given the breadth of Government activities, related parties may transact with the government sector in the same capacity as ordinary citizens. Such transactions include the payment or refund of taxes, receipt of a Medicare rebate or higher education loans. These transactions have not been separately disclosed in this note.

Significant transactions with related parties can include:

• the payments of grants or loans

• purchases of goods or services

• receipts to provide services

• payments for superannuation

• asset purchases, sales transfers or leases

Giving consideration to relationships with related entities, and transactions entered into during the reporting period by the entity, it has been determined that there are no related party transactions to be separately disclosed.

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4. Other information This section includes additional financial information that is either required by AAS or the PGPA FRR or is relevant to assist users in understanding the financial statements.

4.1 Expenses

4.1A: Suppliers

2018 $’000

2017 $’000

Goods and services supplied or rendered Consultants 914 2,312

Contractors 18,433 35,110

Travel 4,464 4,378

IT services 14,577 19,809

Employee related expenses 2,249 1,811

Inventory 3,349 8,786

Furniture and venue hire 726 8,919

Property 4,826 9,046

Mail and freight 6,049 18,062

Office supplies 1,091 854

Advertising 1,520 2,313

Printing 511 6,071

Other 1,131 3,170

Total goods and services supplied or rendered 59,840 120,641

Goods supplied 17,149 53,104

Services rendered 42,691 67,537

Total goods and services supplied or rendered 59,840 120,641

Other suppliers Operating lease rentals 13,288 12,295

Lease restoration 262 15

Workers compensation expenses 2,597 2,724

Total other suppliers 16,147 15,034

Total suppliers 75,987 135,675

Australian Electoral Commission Annual Report 2017-18 95

Leasing commitments The AEC in its capacity as a lessee, leases office accommodation and storage that are effectively non-cancellable. The lease payments can be varied periodically to take account of an annual Consumer Price Index increase, a fixed increase or a market increase. Commitments are GST inclusive where relevant.

Commitments for minimum lease payments in relation to non-cancellable operating leases are payable as follows:

2018 $’000

2017 $’000

Within 1 year 15,061 14,432

Between 1 to 5 years 30,569 30,076

More than 5 years - 2,569

Total operating lease commitments 45,630 47,077

ACCOUNTING POLICY Operating lease payments are expensed on a straight-line basis which is representative of the pattern of benefits derived from the leased assets.

4.1B: Write-down and impairment of assets

2018 $’000

2017 $’000

Impairment on financial instruments (6) 8

Impairment on intangible assets - 1,494

Total write-down and impairment of assets (6) 1,502

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5. Items administered on behalf of Government This section analyses the activities that the AEC does not control but administers on behalf of the Government. Unless otherwise noted, the accounting policies adopted are consistent with those applied for departmental reporting.

5.1 Administered - expenses

5.1A: Other expenses

2018 $’000

2017 $’000

Refunds - electoral fines/penalties - 105

Political Party funding 618 62,778

Total other expenses 618 62,883

5.2 Administered - income

5.2A: Fees and fines

2018 $’000

2017 $’000

Revenue Non-Taxation Revenue Electoral fines/penalties 276 3,746

Party Registration 6 -

Total fees and fines 282 3,746

ACCOUNTING POLICY All administered revenues are revenues relating to ordinary activities performed by the AEC on behalf of the Australian Government. As such, administered appropriations are not revenues of the individual entity that oversees distribution or expenditure of the funds as directed.

Fines are charged for non-voters of federal elections, by-elections and referendums. Administered fee revenue is recognised when received.

Each nomination for the Senate and the House of Representatives must be accompanied by a deposit.

Australian Electoral Commission Annual Report 2017-18 97

5.3 Administered - assets and liabilities

5.3A: Cash and cash equivalents

2018 $’000

2017 $’000

Cash on hand or on deposit - 2,222

Cash on hand - special account - 53

Cash held at the OPA - special account 1,328 1,285

Total cash and cash equivalents 1,328 3,560

5.4 Administered - financial instruments

2018 $’000

2017 $’000

Financial Assets Cash and Cash Equivalents Cash on hand or on deposit - 2,222

Cash on hand - special account - 53

Cash held at the OPA - special account 1,328 1,285

Total cash and cash equivalents 1,328 3,560

Total financial assets 1,328 3,560

Receivables (net) are expected to be recovered within 12 months (2017: within 12 months).

Credit terms for goods and services were within 30 days (2017: 30 days). Settlement of suppliers payable is usually made within 30 days.

5.5 Administered - contingent assets and liabilities

There are no administered contingencies, remote or quantifiable, for the AEC (2017: nil).

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Appendices Section 7

Australian Electoral Commission Annual Report 2017-18

IN THIS SECTION

100 Appendix A: Resources

103 Appendix B: Governance

107 Appendix C: Commonwealth Electoral Roll information

113 Appendix D: Electoral events data

115 Appendix E: Public awareness data

116 Appendix F: Electoral redistribution data

119 Appendix G: Political party registrations and financial disclosure data

121 Appendix H: Workforce statistics

Additional information including tables, graphs and data.

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Appendix A

Resources

This appendix provides details of the AEC’s resources and expenses in 2017-18, as required by the Joint Committee of Public Accounts and Audit Requirements for annual reports for departments, executive agencies and other non corporate commonwealth entities, 25 June 2015.

The tables in this appendix correspond to tables in the Portfolio Budget Statements 2017-18 and staff statistics, namely:

• the Agency Resource Statement, which provides information about the various funding sources that the AEC was able to draw on during the year (Table 4)

• expenses and resources by outcome, showing the detail of Budget appropriations and total resourcing for Outcome 1 (Table 5)

• Average staffing levels from 2015-16 to 2017-18 (Table 6)

Australian Electoral Commission Annual Report 2017-18 101

Table 4: Agency resource statement 2017-18

Actual

appropriation for 2017-18 $’000

“Payments made for 2017-18” $’000

“Balance remaining 2017-18” $’000

Ordinary annual servicesa

Prior Year Departmental appropriation 83,179 80,148 3,031

Departmental appropriationb 168,668 54,135 114,533

Section 74 relevant agency receipts 18,043 18,043 -

Total ordinary annual services A 269,890 152,326 117,564

Special appropriations

Special appropriations limited by criteria/ entitlement

Commonwealth Electoral Act 1918 (Administered) 730 730 -

Commonwealth Electoral Act 1918 (Departmental) 14,900 14,900 -

Total special appropriations B 15,630 15,630 -

Special accountsc

Opening balance 1,285 0

Non-appropriation receipts to special accounts 55 0

Payments made 0 12

Total special accounts C 1,340 12

Total resourcing (A + B + C ) 286,860 167,968

Total net resourcing for agency 286,860 167,968

a. Appropriation Bill (No. 1) 2017-18 and Appropriation Bill (No. 3) 2017-18. This also includes prior year departmental appropriation and section 74 relevant agency receipts.

b. Includes an amount of $22.370 million in 2017-18 for the Departmental Capital Budget. For accounting purposes this amount has been designated as ‘contributions by owners’.

c. Includes ‘Special Public Money’ held in accounts like Other Trust Monies accounts (OTM), Services for other Government and Non agency Bodies accounts (SOG) or Services for Other Entities and Trust Moneys Special accounts (SOETM).

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Table 5: Expenses and resources for Outcome 1

Budgeta 2017-18 $’000

Actual expenses 2017-18 $’000

Variation $’000

Program 1.1

Administered expenses

Special appropriations 644 618 26

Departmental expenses

Departmental appropriationb 164,341 148,127 16,214

Special appropriations 14,900 14,900 0

Expenses not requiring appropriation in the Budget year

8,206 9,500 (1,294)

Total for Program 1.1 188,091 173,145 14,946

Total expenses for Outcome 1 188,091 173,145 14,946

a. Full-year budget, including any subsequent adjustment made to the 2017-18 Budget at Additional Estimates.

b. Departmental appropriation combines ‘Ordinary annual services (Appropriation Bill No. 1)’ and ‘Revenue from independent sources (section 74)’, and excludes Departmental Capital Budget.

Table 6: Average staffing levels 2015-16 to 2017-18

2015-16 2016-17 2017-18

Average staffing level (number) 819 809 795

Australian Electoral Commission Annual Report 2017-18 103

Appendix B

Governance

Business planning documents

Table 7: Business planning documents

Document Purpose Reviewed

Business Planning and Performance Reporting Framework

Supports staff to deliver outcomes in the AEC corporate plan, manage resources and finances and supports requirements of the PGPA Act.

Annually

Business Plans (Branch/state and territory)

Align branch and state and territory activities with business planning and reporting. Annually

Election Readiness Framework Sets out and monitors the program of activity required to maintain election readiness.

Every election cycle

Information Technology Strategic Plan Sets the AEC’s desired information technology vision to 2020 and is supported by the IT Architecture Plan.

Annually

Fraud Control Plan To prevent, detect and respond to fraud in accordance with Commonwealth law, fraud control policies and memorandums of understanding.

Every two years (or if significant organisational change occurs)

Strategic Risk Management Plan Details strategic risks that affect the AEC and how these will be managed.

Biannually

Assurance Plan Outlines assurance activities that target the AEC’s key/high-risk business processes. Annually

Internal Audit Plan Sets the internal audit program for the financial year (contained within the Assurance Plan). Annually

Business Continuity Plans Ensures continuation of identified time critical business processes during and following a significant

disruption to normal operations.

Annually

Disability Inclusion Strategy Identifies relevant target outcomes from the National Disability Strategy 2010-2020.

Reported on annually

Reconciliation Action Plan Sets activities to recognise and respect Aboriginal and Torres Strait Islander peoples in internal and external

arrangements and activities.

Annually

Property Plan Direction on long-term management of leased property. Annually

7 Appendices

104 Australian Electoral Commission Annual Report 2017-18

Document Purpose Reviewed

Security Plan Strategies to protect staff, visitors, information, equipment and premises against harm, loss, interference and compromise.

Biannually

Division, Branch/state Workforce Plans The continuous process of identifying and mitigating potential workforce risks and plan future workforce

strategies.

Biannually

AEC Strategic Workforce Plan

Examines workforce issues at the organisational level, informed by the division, branch and state workforce plans.

Annually

AEC management committees and discussion forums

Table 8: AEC management committees

Committee Function Members*

Meeting frequency

Executive Leadership Team (ELT)

Senior management team helping to deliver strategic leadership and operational management.

EC, DEC, FAC Capability, FAC Network and Elections Operations/ National Election Manager.

Weekly

Organisational Health Committee Monitors performance, risk management, compliance and

controls. Provides advice and recommendations to the ELT.

DEC; FAC Capability; FAC Network and Election Operations; National Elections Manager; AC Corporate Services; Chief Finance Officer; AC Disclosure, Assurance and Engagement; State Manager, NSW; State Manager, WA.

Monthly

Capability Committee

Monitors organisational capability and progresses projects to support strategic direction. Monitors project outputs and significant organisational initiatives, and provides advice on future capability.

FAC Capability; FAC Network and Election Operations /National Election Manager; Chief Finance Officer; AC Roll Management and Community Engagement; AC Information, Communication and Technology; State Manager, QLD; State Manager, Tas; Program Manager, Supply Chain.

Monthly

Learning Governance Committee Provides whole of agency governance to learning and

development. Sets strategic direction and operating models and guides the National Training and Education Unit.

DEC, FAC Network and Election Operations/National Election Manager, AC Corporate Services, AC Operations, AC Information, Communication and Technology, State Manager, QLD, State Manager NSW, Director Operations, Vic.

Every three weeks

Australian Electoral Commission Annual Report 2017-18 105

Committee Function Members*

Meeting frequency

Business Assurance Committee (BAC) The AEC’s Audit Committee. Provides independent advice

on the AEC’s internal audit resourcing and coverage in relation to key risks. Approves the internal audit program and oversees the operation of audit committees and fraud control under the PGPA Act.

Three or more members appointed by EC (the majority external to AEC); additional AEC advisers are permitted to attend. In 2017-18, BAC had four members and three AEC advisers.

Quarterly

Fraud Control Committee (FCC) Subcommittee of BAC. Advises BAC on the appropriateness

and effectiveness of the AEC’s fraud control plans, policies and procedures.

AC Roll Management and Community Engagement Branch; AC Information, Communication and Technology Branch; State Manager Vic; State Manager, SA; Chief Legal Officer (observer); Chief Finance Officer (observer).

Quarterly

National Election Delivery Committee (NEDC)

Supports the National Election Manager (NEM) to oversee and monitor preparations for, and successful conduct of, federal electoral events (including by-elections, plebiscites and referendums). The NEM reports regularly on behalf of the NEDC to ELT and the Electoral Commissioner.

FAC Network and Elections Operations/ National Election Manager; all State Managers; AC’s (membership expands approaching elections).

Regularly; monthly, weekly or daily as required (i.e. in run-up to an election)

Security Committee Provides strategic oversight of the AEC’s protective and IT security programs.

DEC, FAC Capability, FAC Network and Elections Operations/ National Election Manager, AC Corporate Services Branch, AC Information, Communication and Technology Branch, State Managers, NSW and Vic.

Monthly, with more meetings as required (i.e. in run-up to an election)

Work health and safety committees A consultative forum to address health and safety at a national

and strategic level, with reference to the requirements of the Work Health and Safety Act 2011 and the Work Health and Safety Regulations 2011.

Chair; management representatives; employee representatives; advisers from Corporate Services Branch.

Quarterly, and out-of-session as required

* Electoral Commissioner (EC); Deputy Electoral Commissioner (DEC); First Assistant Commissioners (FAC); Assistant Commissioner’s (AC)

7 Appendices

106 Australian Electoral Commission Annual Report 2017-18

Table 9: AEC discussion forums

Forum name Function Members*

Meeting frequency

Director Operations Network To support NEDC (see Table 8) and other bodies through project

work. Forum to discuss risk, issues facing the operational network, operational policy and procedures, implementation issues and change, and to provide feedback to the NEDC.

All directors of operations. Fortnightly with at least three face-to-face meetings a year.

National Office Directors Network To enable directors to collectively influence strategy and operations,

present new ideas and opportunities, raise operational risks, and promote engagement with AEC governance organisation-wide.

FAC capability; all directors (EL2 officers) working in National Office.

Quarterly

AEC Consultative Forums (national and state and territory)

To support effective workplace relations that value communication, consultation and cooperation.

FAC capability; AC Corporate Services Branch; State Manager; three elected employee representatives; Union Representative Delegate or Nominee.

Bi-monthly as required

* First Assistant Commissioners (FAC); Assistant Commissioner’s (AC)

Australian Electoral Commission Annual Report 2017-18 107

Appendix C

Commonwealth Electoral Roll information Enrolment rate and enrolled population

Figure 4: Enrolment rate - trend from 9 October 2004 to 30 June 2018

Federal Election 2016

Federal Election 2013

Federal Election 2010

Federal Election 2007

NUMBER OF PEOPLE ENROLLED (MILLION)

100%

95%

90%

85%

80%

75%

70%

65%

17

16

15

14

13

12

11

10

9 October 2004

30 June 2005

30 June 2006

30 June 2007

24 November 2007

30 June 2008

30 June 2008

30 June 2010

30 June 2011

30 June 2012

30 June 2013

7 September 2013

30 June 2014

30 June 2015

30 June 2017

30 June 2018

2 July 2016

21 August 2010

PROPORTION OF ELIGIBLE AUSTRALIANS ENROLLED

Federal Election 2004

PEOPLE ENROLLED PROPORTION OF ELEGIBLE AUSTRALIANS ENROLLED TARGET PARTICIPATION

7 Appendices

108 Australian Electoral Commission Annual Report 2017-18

Commonwealth Electoral Roll extracts

Table 10: Recipients of electoral roll extracts July 2017-June 2018

Name Electorate/State

Roll data provided Date provided

The Hon Linda Burney MP Member for Barton Barton Jul 2017 - Jun 2018

Mr Andrew Gee MP Member for Calare Calare Jul 2017 - Jun 2018

Mr Andrew Hastie MP Member for Canning Canning Jul 2017 - Jun 2018

Mr Andrew Wilkie MP Member for Clark Clark Jul 2017 - Jun 2018

Mr George Christensen MP Member for Dawson Dawson Apr 2018 - Jun 2018

Mr Ted O’Brien MP Member for Fairfax Fairfax Apr 2018 - May 2018

Ms Catherine McGowan AO, MP Member for Indi Indi Jul 2017 - Jun 2018

The Hon Robert Katter MP Member for Kennedy Kennedy Jul 2017 - Jun 2018

Ms Susan Lamb MP Member for Longman Longman Jul 2017 - Apr 2018

Ms Rebekha Sharkie MP Member for Mayo Mayo Jul 2017 - Apr 2018

The Hon Karen Andrews Member for McPherson McPherson Apr 2018

Mr Adam Bandt MP Member for Melbourne Melbourne Jul 2017 - Jun 2018

The Hon Damian Drum MP Member for Murray Murray Jul 2017 - May 2018

Senator Brian Burston Senator for New South Wales New South Wales May 2018

Senator Sam Dastyari Senator for New South Wales New South Wales Jul 2017 - Dec 2017

Senator the Hon Concetta Fierravanti-Wells Senator for New South Wales New South Wales Jul 2017 - Jun 2018

Senator the Hon Marise Payne

Senator for New South Wales New South Wales Jul 2017 - Jun 2018

Senator Lee Rhiannon Senator for New South Wales New South Wales Jul 2017 - Jun 2018

Senator the Hon Arthur Sinodinos Senator for New South Wales New South Wales Jul 2017 - Jun 2018

Senator John Williams Senator for New South Wales New South Wales Jul 2017 - Jun 2018

Senator Pauline Hanson Senator for Queensland Queensland Jul 2017 - Jun 2018

Senator the Hon Ian Macdonald

Senator for Queensland Queensland Jul 2017 - Jun 2018

Senator Barry O’Sullivan Senator for Queensland Queensland Jul 2017 - Jun 2018

Senator Cory Bernardi Senator for South Australia South Australia Jul 2017 - Jun 2018

Senator the Hon Simon Birmingham

Senator for South Australia South Australia Jul 2017 - Jun 2018

Senator Stirling Griff Senator for South Australia South Australia Jul 2017 - Jun 2018

Australian Electoral Commission Annual Report 2017-18 109

Name Electorate/State

Roll data provided Date provided

Senator Skye Kakoschke-Moore

Senator for South Australia South Australia Jul2016 - Nov 2017

Senator the Hon Anne Ruston

Senator for South Australia South Australia Jul 2017 - Jun 2018

Senator Nicholas Xenophon Senator for South Australia South Australia Jul 2017 - Nov 2017

Senator Nicholas McKim Senator for Tasmania Tasmania Jul 2017 - Jun 2018

Senator the Hon Stephen Parry

Senator for Tasmania Tasmania Jul 2017 - Nov 2017

Senator the Hon Lisa Singh Senator for Tasmania Tasmania Jul 2017 - Nov 2018

Senator Peter Whish-Wilson Senator for Tasmania Tasmania Jul 2017 - Jun 2018

Senator Christopher Back Senator for Western Australia Western Australia Jul 2017

Senator Peter Georgiou Senator for Western Australia Western Australia Jul 2017 - Jun 2018

Senator Dean Smith Senator for Western Australia Western Australia Jul 2017 - Jun 2018

Table 11: Roll information for registered political parties - parties provided with electoral roll extracts

Registered political party Roll data provided Date provided

Animal Justice Party New South Wales Jul 2017 - Dec 2017

Mar 2018 - May 2018

Australia First Party (NSW) Incorporated New South Wales Jul 2017 - Nov 2017

Australian Christians Western Australia Jul 2017 - Jun 2018

Australian Conservatives Party National

South Australia

Aug 2017 - Jun 2018 Jul 2017

Australian Country Party Victoria Jul 2017 - Jun 2018

Australian Greens National Jul 2017 - Jun 2018

Australian Labor Party (ALP) National Jul 2017 - Jun 2018

Australian Liberty Alliance Victoria May 2018 - Jun 2018

Australian Sex Party Victoria Jul 2017 - Aug 2017

Centre Alliance South Australia Nov 2017 - Jun 2018

Democratic Labour Party (DLP) New South Wales, Victoria, Queensland, Western Australia Jul 2017 - Jun 2018

Family First Party Victoria, South Australia,

Queensland

Jul 2017 - Sep 2017

7 Appendices

110 Australian Electoral Commission Annual Report 2017-18

Registered political party Roll data provided Date provided

Health Australia Party Victoria Jul 2017 - Jun 2018

Jacqui Lambie Network Tasmania Jul 2017 - Jun 2018

Liberal Democratic Party New South Wales Jul 2017 - Jun 2018

Australian Capital Territory, Queensland, South Australia, Victoria, Western Australia

Apr 2018 - Jun 2018

Liberal National Party of Queensland Queensland Jul 2017 - Jun 2018

Liberal Party of Australia National Jul 2017 - Jun 2018

Liberal Party of Australia (SA Division) South Australia Jul 2017 - Jun 2018

National Party of Australia New South Wales, Victoria,

South Australia, Western Australia Jul 2017 - Jun 2018

National Party of Australia - Victoria Victoria Jul 2017 - Jun 2018

National Party of Australia - (SA) Inc. South Australia Jul 2017 - Jun 2018

Non-Custodial Parents Party (Equal Parenting) New South Wales Jul 2017 - Jun 2018

Pauline Hanson’s One Nation Queensland, New South Wales,

Western Australia

Jul 2017 - May 2018

Queensland Greens Queensland Jul 2017 - Jun 2018

Republican Party of Australia New South Wales Nov 2017 - Jun 2018

Rise Up Australia Party Victoria Jul 2017 - Jun 2018

Science Party New South Wales Jul 2017 - Jun 2018

Shooters, Fishers and Farmers Party New South Wales Jul 2017 - Jun 2018

The Greens NSW New South Wales Jul 2017 - Jun 2018

The Greens - Victoria Branch Victoria Jul 2017 - Jun 2018

The Greens (WA) Inc. Western Australia Jul 2017 - Jun 2018

Voluntary Euthanasia Party New South Wales Mar 2018

Australian Electoral Commission Annual Report 2017-18 111

Recipients of roll information

Table 12: Government departments and agencies that received electoral extracts, as at July 2017-June 2018

Institution Data provided

Aug 2017 Nov 2017 Feb 2018 May 2018

Australian Bureau of Statistics — Yes — —

Australian Commission for Law Enforcement Integrity Yes Yes Yes Yes

Australian Criminal Intelligence Commission Yes Yes —

Australian Federal Police Yes Yes Yes Yes

Australian Financial Security Authority — Yes Yes Yes

Australian Securities and Investments Commission Yes Yes Yes

Australian Security Intelligence Organisation Yes Yes Yes Yes

Australian Taxation Office Yes Yes Yes Yes

Commonwealth Superannuation Commission Yes Yes Yes Yes

Australian Competition and Consumer Commission Yes — — —

Department of Foreign Affairs and Trade - Australian Passport Office

Yes Yes Yes Yes

Department of Human Services - Centrelink Yes Yes Yes Yes

Australian Transaction Reports and Analysis Centre (Austrac) Yes Yes Yes Yes

Home Affairs Yes Yes Yes Yes

7 Appendices

112 Australian Electoral Commission Annual Report 2017-18

Table 13: Medical and electoral researchers provided with electoral roll extracts, July 2017-June 2018

Contact, institution Data provided

Electoral researchers

Associate Professor Betsy Blunsdon, Australian Consortium for Social and Political Research Incorporated

Two random samples of 2,500 records of men and women in two-year age ranges across all states and territories for the study: ‘2017-18 Australian Survey of Social Attitudes: Role of Government’.

Table 14: Provision of electoral roll information to organisations verifying identity for financial purposes, July 2017-June 2018

Institution Data provided

Aug 2017 Feb 2018 May 2018

FCS OnLine (Dunn and Bradstreet/Illion) Yes Yes Yes

VEDA Advantage Information Services and Solutions Ltd (EQUIFAX) Yes Yes Yes

Australian Electoral Commission Annual Report 2017-18 113

Appendix D

Electoral events data

Special Senate counts voting data

Table 15: Results from Senate special counts conducted in 2017-18

State

Date of Special Count Vacancies Former Senator Elected Senator

QLD 6 Nov 2017 2 Larissa Waters Andrew Bartlett

Malcolm Roberts Fraser Anning

WA 6 Nov 2017 1 Scott Ludlam Jordan Steele-John

NSW 6 Nov 2017 1 Fiona Nash *

22 Nov 2017 1 * Andrew James

Molan

TAS 12 Dec 2017 2 Stephen Parry Richard Colbeck

Jacquie Lambie Steven Martin

SA 15 Feb 2018 1 Skye Kakoschke-

Moore

Timothy Storer

ACT 18 May 2018 1 Katy Gallagher David Smith

*On 10 November 2017 the Court of Disputed Returns considered the report of the results of the special count and deferred a decision. On 15 November 2017 the Court determined that Hollie Hughes was ineligible to be elected and ordered an additional special count to be conducted in New South Wales.

By-elections voting data

Table 16: By-elections conducted during 2017-18

By-election Polling day Result declared No. of candidates Former

member

Elected member

New England 2 Dec 2017 6 Dec 2017 17 Barnaby Joyce Barnaby Joyce

Bennelong 16 Dec 2017 21 December

2017

12 John Alexander John Alexander

Batman 17 Mar 2018 21 Mar 2018 10 David Feeney Ged Kearney

7 Appendices

114 Australian Electoral Commission Annual Report 2017-18

Table 17: Key voting data for each 2017 by-election*

Vote type Ordinary Absent Provisional

Declaration pre-poll Postal Total

Division Votes % Votes % Votes % Votes % Votes % Votes %

Batman

48 polling places (incl. pre-poll voting places, special hospital teams and divisional office)

Formal 74,059 93.40 0 0 322 95.27 196 98.99 10,827 96.47 85,404 93.79

Informal 5,236 6.60 0 0 16 4.73 2 1.01 396 3.53 5,650 6.21

Total Votes 79,295 87.09 0 0 338 0.37 198 0.22 11,223 12.33 91,054 81.46*

Bennelong

41 polling places (incl. pre-poll voting places, special hospital teams and divisional office)

Formal 71,951 91.37 0 0 208 86.31 179 95.21 11,807 95.18 84,145 91.88

Informal 6,796 8.63 0 0 33 13.69 9 4.79 598 4.82 7,436 8.12

Total Votes 78,747 85.99 0 0 241 0.26 188 0.21 12,405 13.55 91,581 85.96*

New England

108 polling places (incl. pre-poll voting places, special hospital teams and divisional office)

Formal 82,496 90.82 0 0 211 90.95 396 93.18 4,720 95.37 87,823 91.06

Informal 8,339 9.18 0 0 21 9.05 29 6.82 229 4.63 8,618 8.94

Total Votes 90,835 94.19 0 0 232 0.24 425 0.44 4,949 5.13 96,441 87.13*

*These total percentage figures reflect the turnout (total votes as a percentage of enrolment).

Australian Electoral Commission Annual Report 2017-18 115

Appendix E

Public awareness data

Advertising and market research The AEC did not conduct a national advertising campaign in 2017-18.

Non-campaign newspaper advertisements supported federal redistributions, by-elections and party registration processes.

Table 18 shows payments of $13,500 or more (GST inclusive) to advertising agencies and market research, polling, direct mail and media advertising organisations, as required under section 311A of the Commonwealth Electoral Act 1918. Figures reflect payments above the threshold unless otherwise specified (there were no payments of $13,500 or more to polling or direct mail organisations).

Table 18: Advertising and media placement payments, $13,500 or more

Agency type Agency name Details

Amount (GST

inclusive)

Advertising agency

BMF Advertising Creative head hours associated with AEC advertising campaigns. $24,912.25

Market research Orima Refinement testing of AEC federal election advertising campaigns. $103,789.62

Media advertising organisations Dentsu Mitchell* Advertising placement including electoral redistributions; party registrations and non-

campaign advertising associated with by-elections in the divisions of New England, Bennelong and Batman.

$457,855.41

Total $586,557.28

*Due to the way payments are reported to the AEC, figures from Dentsu Mitchell include invoices below the threshold

7 Appendices

116 Australian Electoral Commission Annual Report 2017-18

Appendix F

Electoral redistribution data

Electoral redistributions concluded and commenced

Table 19: Summary of electoral redistributions concluded in 2017-18

Electoral redistributions Tasmania Queensland

Basis for AEC’s determination triggering a redistribution More than seven years had elapsed since the last redistribution was

determined. Tasmania retained its entitlement to five members of the House of Representatives

More than seven years had elapsed since the last redistribution was determined. Queensland retained its entitlement to 30 members of the House of Representatives

Direction to commence redistribution 1 September 2016 6 January 2017

Release of Redistribution Committee’s proposed redistribution

5 May 2017 29 September 2017

Public input relating to the proposed redistribution There were 11 written objections received between 5 May and

2 June 2017

There were 23 written objections received between 29 September and 27 October 2018

Eight written comments on objections were received between 5 June and 16 June 2017

Six written comments on objections were received between 30 October and 10 November 2018

Augmented Electoral Commission activities Inquiries held: six submissions were made at the inquiry held in Launceston

and five were made at the inquiry held in Hobart

Decision: Augmented Electoral Commission’s proposed redistribution was significantly different to the Redistribution Committee’s proposal, requiring a further objections process

Announcement of decision: 20 July 2017

Inquiries held: four submissions were made at the inquiry held in Brisbane

Decision: adopt the proposed redistribution

Announcement of decision: 5 January 2018

Public input relating to augmented Electoral Commission’s proposed redistribution

Twenty-two written further objections were received between 20 July and 26 July 2017

Not required

Australian Electoral Commission Annual Report 2017-18 117

Electoral redistributions Tasmania Queensland

Augmented Electoral Commission activities Inquiries held: 10 submissions were made at the inquiry held in Launceston

on 7 August 2017

Decision: adopt the augmented Electoral Commission’s proposal

Announcement of decision: 27 September 2017

Not required

Gazettal of determination of names and boundaries of electoral divisions

14 November 2017 27 March 2018

Table 20: Summary of electoral redistributions commenced in 2017-18

Electoral redistributions Victoria

Australian Capital Territory South Australia

Basis for AEC’s determination triggering a redistribution

On 31 August 2017 the Electoral Commissioner determined that the number of members of the House of Representatives to be chosen by Victoria at a general election had increased from 37 to 38

On 31 August 2017 the Electoral Commissioner determined that the number of members of the House of Representatives to be chosen by the Australian Capital Territory at a general election had increased from two to three

On 31 August 2017 the Electoral Commissioner determined that the number of members of the House of Representatives to be chosen by South Australia at a general election had decreased from 11 to 10

Direction to commence redistribution 4 September 2017 4 September 2017 4 September 2017

7 Appendices

118 Australian Electoral Commission Annual Report 2017-18

Electoral redistributions Victoria

Australian Capital Territory South Australia

Public input relating to the redistribution There were 67 federal written suggestions

received between 18 October and 17 November 2017

There were 16 written suggestions received between 25 October and 24 November 2017

There were 211 written suggestions received between 1 November and 1 December 2017

There were 58 written comments on suggestions received between 20 November and 1 December 2017

Six written comments on suggestions were received between 27 November and 8 December 2017

There were 32 written comments on suggestions received between 4 December and 15 December 2017

Release of Redistribution Committee’s proposed redistribution

6 April 2018 6 April 2018 3 April 2018

Public input relating to the proposed redistribution

There were 413 written objections received between 6 April and 4 May 2018

There were 100 written comments on objections received between 7 May and 18 May 2018

There were 75 written objections received between 6 April and 4 May 2018

There were 30 written comments on objections received between 7 May and 18 May 2018

There were 321 written objections received between 13 April and 11 May 2018

There were 42 written comments on objections received between 14 May and 25 May 2018

Augmented Electoral Commission activities Inquiries held: 36 submissions were made

at the inquiry held in Winchelsea and 35 submissions were held at the inquiry held in Melbourne

Decision: adopt the proposed redistribution, with changes

Announcement of decision: 20 June 2018

Inquiries held: 26 submissions were made at the inquiry held in Canberra

Decision: adopt the proposed redistribution with changes

Announcement of decision: during 2018-19

Inquiries held: 11 submissions were made at the inquiry held in Adelaide

Decision: adopt the proposed redistribution

Announcement of decision: 26 June 2018

Australian Electoral Commission Annual Report 2017-18 119

Appendix G

Political party registrations and financial disclosure data

Breakdown of details of annual financial disclosure returns and amendments Annual financial disclosure returns and amendments received in 2017-18 include:

• 670 annual financial disclosure returns and amendments three election returns from the 2016 federal election

• 554 returns and 28 amendments for the 2016-17 financial year

• 103 returns and 92 amendments for the 2015-16 financial year

• 13 returns and 11 amendments relating to returns received before 2015-16

Details of funding payments for 2017-18 by-elections

Table 21: 2017 New England by-election payment to political parties and candidates

Political party/candidate Amount

National Party of Australia (NSW) $152,992.17

Australian Labor Party (NSW Branch) $ 26,199.94

Robert Edwin Taber $ 15,989.90

The Greens NSW $ 10,261.02

Total $205,443.03

Table 22: 2017 Bennelong by-election payment to political parties

Political party/candidate Amount

Liberal Party of Australia $101,692.46

Australian Labor Party $ 80,727.68

The Greens NSW $ 15,262.72

Australian Conservatives $ 9,684.10

Total $207,366.96

7 Appendices

120 Australian Electoral Commission Annual Report 2017-18

Table 23: 2018 Batman by-election payment to political parties

Political party/candidate Amount

Australian Labor Party (Victorian Branch) $ 99,644.46

The Australian Greens $ 91,219.04

Australian Conservatives $ 14,797.91

Total $205,661.41

Details of Party registrations

Table 24: Party registration related applications and requests 2017-18

Application/requests Approved

Register a new political party 2

Voluntarily deregister a political party 6

Political party deregistered by a delegate of the Electoral Commission 8

Change party details (including name, abbreviation and logo) 2

Update party office holder information - change registered officer 23

Update party office holder information - change other party officials 85

Australian Electoral Commission Annual Report 2017-18 121

Appendix H

Workforce statistics

Table 25: APS ongoing staff demographics as at 30 June 2017 and 30 June 2018

Location

Classification

Female part-time

Female full-time

Male part-time

Male full-time Total

2017 2018 2017 2018 2017 2018 2017 2018 2017 2018

NSW

AEO 0 0 0 0 0 0 1 0 1 0

EL 2 0 0 2 3 0 0 0 0 2 3

EL 1 1 0 7 4 0 0 5 6 13 10

APS 6 2 3 24 27 0 0 14 13 40 43

APS 5 0 0 9 12 0 0 8 7 17 19

APS 4 1 1 9 6 0 0 2 5 12 12

APS 3 4 2 23 23 0 0 5 7 32 32

APS 2 22 33 3 6 3 2 1 1 29 42

Total 30 39 77 81 3 2 36 39 146 161

Vic

AEO 0 0 1 0 0 0 0 0 1 0

EL 2 0 0 2 2 0 0 0 0 2 2

EL 1 0 0 6 8 0 0 2 1 8 9

APS 6 0 0 24 21 0 0 22 19 46 40

APS 5 1 1 4 6 0 0 2 0 7 7

APS 4 0 1 3 4 1 1 0 0 4 6

APS 3 5 3 22 21 0 0 4 5 31 29

APS 2 26 22 4 2 2 1 1 1 33 26

Total 32 27 66 64 3 2 31 26 132 119

7 Appendices

122 Australian Electoral Commission Annual Report 2017-18

Location

Classification

Female part-time

Female full-time

Male part-time

Male full-time Total

2017 2018 2017 2018 2017 2018 2017 2018 2017 2018

Qld

AEO 0 0 0 0 0 0 0 0 0 0

EL 2 0 0 0 0 0 0 1 1 1 1

EL 1 0 0 4 5 0 0 3 2 7 7

APS 6 0 0 15 14 0 0 7 8 22 22

APS 5 1 0 10 10 0 0 7 5 18 15

APS 4 0 0 8 7 0 0 1 1 9 8

APS 3 5 4 13 17 0 0 3 3 21 24

APS 2 16 18 6 6 0 0 1 0 23 24

Total 22 22 56 59 0 0 23 20 101 101

WA

AEO 0 0 0 0 0 0 0 0 0 0

EL 2 0 0 0 0 0 0 1 1 1 1

EL 1 0 0 1 1 0 0 2 1 3 2

APS 6 0 0 6 8 0 0 6 4 12 12

APS 5 0 0 8 10 0 0 4 3 12 13

APS 4 2 0 5 3 0 0 1 0 8 3

APS 3 4 3 10 12 0 0 0 0 14 15

APS 2 11 7 0 4 0 0 0 0 11 11

Total 17 10 30 38 0 0 14 9 61 57

SA

AEO 0 0 0 0 0 0 0 0 0 0

EL 2 0 0 0 0 0 0 1 1 1 1

EL 1 0 0 3 4 0 0 0 0 3 4

APS 6 0 0 8 7 0 0 1 1 9 8

APS 5 0 0 4 3 0 0 2 4 6 7

APS 4 0 0 1 2 0 0 3 1 4 3

APS 3 0 1 7 4 0 0 2 0 9 5

APS 2 3 0 1 1 0 0 0 0 4 1

Total 3 1 24 21 0 0 9 7 36 29

Australian Electoral Commission Annual Report 2017-18 123

Location

Classification

Female part-time

Female full-time

Male part-time

Male full-time Total

2017 2018 2017 2018 2017 2018 2017 2018 2017 2018

Tas

AEO 0 0 0 0 0 0 0 0 0 0

EL 1 0 0 0 0 0 0 1 2 1 2

APS 6 1 0 3 5 0 0 1 0 5 5

APS 5 0 0 3 1 0 0 2 2 5 3

APS 4 1 0 0 1 0 0 0 0 1 1

APS 3 1 1 3 3 0 0 1 1 5 5

APS 2 1 1 1 2 0 0 0 0 2 3

Total 4 2 10 12 0 0 5 5 19 19

ACT

SES Band 2 0 0 0 0 0 0 3 2 3 2

SES Band 1 1 0 4 5 0 0 5 4 10 9

EL 2 1 0 18 20 0 1 16 11 35 32

EL 1 11 9 41 38 4 2 37 37 93 86

APS 6 6 7 42 31 0 2 29 23 77 63

APS 5 3 1 18 14 1 0 12 14 34 29

APS 4 7 9 13 17 0 1 4 7 24 34

APS 3 1 0 3 2 0 0 1 5 5 7

APS 2 0 0 0 0 0 2 1 0 1 2

Total 30 26 139 127 5 8 108 103 282 264

NT

AEO 0 0 0 0 0 0 1 1 1 1

EL 1 0 0 0 0 0 0 0 1 0 1

APS 6 0 0 1 1 0 0 0 0 1 1

APS 5 0 0 2 0 0 0 1 1 3 1

APS 4 0 0 1 0 0 0 1 0 2 0

APS 3 0 0 2 1 0 0 1 0 3 1

APS 2 0 0 2 0 0 0 0 0 2 0

Total 0 0 8 2 0 0 4 3 12 5

AEC total 138 127 410 404 11 12 230 212 789 755

* including staff on higher duties arrangements

AEO = Australian Electoral Officer, APS = Australian Public Service, SES = Senior Executive Service. Figures include all ongoing staff employed at 30 June 2018 under the Public Service Act 1999. ACT electoral divisions are co-located with National Office employees in the ACT. Source: Aurion HR System.

7 Appendices

124 Australian Electoral Commission Annual Report 2017-18

Table 26: APS non-ongoing staff* demographics as at 30 June 2017 and 30 June 2018

Location Classification

Female part-time

Female full-time

Male part-time

Male full-time Total

2017 2018 2017 2018 2017 2018 2017 2018 2017 2018

NSW

EL 2 0 0 0 0 0 0 0 0 0 0

EL 1 0 0 0 0 0 0 1 0 1 0

APS 6 0 0 1 0 0 0 0 0 1 0

APS 5 0 0 0 0 0 0 0 0 0 0

APS 4 0 0 0 0 0 0 1 0 1 0

APS 3 0 0 0 0 0 0 0 0 0 0

APS 2 1 1 0 0 0 0 0 0 1 1

Total 1 1 1 0 0 0 2 0 4 1

Vic

AEO 0 0 0 0 0 0 1 0 1 0

EL 1 0 0 1 1 0 0 0 0 1 1

APS 6 0 0 0 0 0 0 0 0 0 0

APS 5 0 0 0 0 0 0 0 0 0 0

APS 4 0 0 0 0 0 0 0 0 0 0

APS 3 0 0 0 0 0 0 0 0 0 0

APS 2 0 1 0 1 0 0 0 0 0 2

Total 0 1 1 2 0 0 1 0 2 3

Qld

EL 1 0 0 0 0 0 0 0 0 0 0

APS 6 0 0 1 1 0 0 1 1 2 2

APS 5 0 0 1 0 0 1 1 2 2 3

APS 4 0 0 0 0 0 0 0 0 0 0

APS 3 0 0 0 1 0 0 0 1 0 2

APS 2 1 0 0 0 0 0 0 0 1 0

Total 1 0 2 2 0 1 2 4 5 7

WA

EL 1 0 0 0 0 0 0 0 0 0 0

APS 6 0 0 0 0 0 0 0 0 0 0

APS 5 0 0 0 0 0 0 0 0 0 0

APS 4 0 0 0 0 0 0 0 0 0 0

APS 3 0 0 0 2 0 0 0 2 0 4

APS 2 0 0 0 0 0 0 0 0 0 0

Total 0 0 0 2 0 0 0 2 0 4

Australian Electoral Commission Annual Report 2017-18 125

Location Classification

Female part-time

Female full-time

Male part-time

Male full-time Total

2017 2018 2017 2018 2017 2018 2017 2018 2017 2018

SA

EL 1 0 0 0 1 0 0 0 0 0 1

APS 6 0 0 0 0 0 0 0 0 0 0

APS 5 0 1 0 0 0 0 0 0 0 1

APS 4 0 0 0 0 0 0 0 0 0 0

APS 3 0 0 0 2 1 0 0 2 1 4

APS 2 1 3 0 0 0 1 0 1 1 5

Total 1 4 0 3 1 1 0 3 2 11

Tas

APS 6 0 0 0 0 0 0 0 0 0 0

APS 5 0 0 0 0 0 0 0 0 0 0

APS 4 0 0 0 0 0 0 0 0 0 0

APS 3 0 0 0 0 0 0 0 0 0 0

APS 2 0 0 0 2 0 0 0 0 0 2

Total 0 0 0 2 0 0 0 0 0 2

ACT

SES Band 1 0 0 0 0 0 0 0 0 0 0

EL 2 0 0 1 1 0 0 0 1 1 2

EL 1 1 0 2 2 0 0 1 4 4 6

APS 6 1 1 2 3 0 2 2 2 5 8

APS 5 0 0 2 4 0 0 3 3 5 7

APS 4 6 1 4 6 0 0 2 0 12 7

APS 3 0 0 1 0 0 0 0 0 1 0

APS 2 0 0 0 0 1 0 0 0 1 0

Total 8 2 12 16 1 2 8 10 29 30

NT

AEO 0 0 0 0 0 0 0 0 0 0

EL 1 0 0 0 0 0 0 0 0 0 0

APS 6 0 0 0 0 0 0 0 0 0 0

APS 5 0 0 0 0 0 0 0 0 0 0

APS 4 0 0 0 0 0 0 0 0 0 0

APS 3 0 0 0 0 0 0 0 0 0 0

APS 2 0 0 0 0 0 0 0 0 0 0

Total 0 0 0 0 0 0 0 0 0 0

AEC total 11 8 16 27 2 4 13 19 42 58

* including staff on higher duties arrangements

AEO = Australian Electoral Officer, APS = Australian Public Service, SES = Senior Executive Service. Figures include all ongoing staff employed at 30 June 2018 under the Public Service Act 1999. ACT electoral divisions are co-located with National Office employees in the ACT. Source: Aurion HR System.

7 Appendices

126 Australian Electoral Commission Annual Report 2017-18

Table 27: Staff employed under the Commonwealth Electoral Act 1918 by demographics as at 30 June 2017 and 30 June 2018

Location Classification

Female part-time

Female full-time

Male part-time

Male full-time Total

2017 2018 2017 2018 2017 2018 2017 2018 2017 2018

NSW

AEO NSW 0 0 0 0 0 0 0 1 0 1

EL 1 0 0 0 0 0 0 0 0 0 0

APS 6 0 0 0 0 0 0 0 0 0 0

APS 5 0 0 0 0 0 0 0 0 0 0

APS 4 0 0 0 0 0 0 0 0 0 0

APS 3 0 0 0 0 0 0 0 0 0 0

APS 2 0 0 0 0 0 0 0 0 0 0

Total 0 0 0 0 0 0 0 1 0 1

Vic

AEO VIC 0 0 0 0 0 0 0 1 0 1

EL 1 0 0 0 0 0 0 0 0 0 0

APS 6 0 0 0 0 0 0 0 0 0 0

APS 5 0 0 0 0 0 0 0 0 0 0

APS 4 0 0 0 0 0 0 0 0 0 0

APS 3 0 0 0 0 0 0 0 0 0 0

APS 2 0 0 0 0 0 0 0 0 0 0

Total 0 0 0 0 0 0 0 1 0 1

Qld

AEO QLD 0 0 0 0 0 0 1 1 1 1

EL 1 0 0 0 0 0 0 0 0 0 0

APS 6 0 0 0 0 0 0 0 0 0 0

APS 5 0 0 0 0 0 0 0 0 0 0

APS 4 0 0 0 0 0 0 0 0 0 0

APS 3 0 0 0 0 0 0 0 0 0 0

APS 2 0 0 0 0 0 0 0 0 0 0

Total 0 0 0 0 0 0 1 1 1 1

WA

AEO WA 0 0 1 1 0 0 0 0 1 1

APS 6 0 0 0 0 0 0 0 0 0 0

APS 5 0 0 0 0 0 0 0 0 0 0

APS 4 0 0 0 0 0 0 0 0 0 0

APS 3 0 0 0 0 0 0 0 0 0 0

APS 2 0 0 0 0 0 0 0 0 0 0

Total 0 0 1 1 0 0 0 0 1 1

Australian Electoral Commission Annual Report 2017-18 127

Location Classification

Female part-time

Female full-time

Male part-time

Male full-time Total

2017 2018 2017 2018 2017 2018 2017 2018 2017 2018

SA

AEO SA 0 0 0 0 0 0 1 1 1 1

EL 1 0 0 0 0 0 0 0 0 0 0

APS 6 0 0 0 0 0 0 0 0 0 0

APS 5 0 0 0 0 0 0 0 0 0 0

APS 4 0 0 0 0 0 0 0 0 0 0

APS 3 0 0 0 0 0 0 0 0 0 0

APS 2 0 0 0 0 0 0 0 0 0 0

Total 0 0 0 0 0 0 1 1 1 1

Tas

AEO TAS 0 0 0 0 0 0 1 1 1 1

APS 6 0 0 0 0 0 0 0 0 0 0

APS 5 0 0 0 0 0 0 0 0 0 0

APS 4 0 0 0 0 0 0 0 0 0 0

APS 3 0 0 0 0 0 0 0 0 0 0

APS 2 0 0 0 0 0 0 0 0 0 0

Total 0 0 0 0 0 0 1 1 1 1

ACT

Electoral

Commissioner 0 0 0 0 0 0 1 1 1 1

Deputy Electoral

Commissioner 0 0 0 0 0 0 1 1 1 1

SES Band 1 0 0 0 0 0 0 0 0 0 0

EL 2 0 0 0 0 0 0 0 0 0 0

EL 1 0 0 0 0 0 0 0 0 0 0

APS 6 0 0 0 0 0 0 0 0 0 0

APS 5 0 0 0 0 0 0 0 0 0 0

APS 4 0 0 0 0 0 0 0 0 0 0

APS 3 0 0 0 0 0 0 0 0 0 0

APS 2 0 0 0 0 0 0 0 0 0 0

Total 0 0 0 0 0 0 2 2 2 2

NT

AEO NT 0 0 0 0 0 0 0 0 0 0

EL 1 0 0 0 0 0 0 0 0 0 0

APS 6 0 0 0 0 0 0 0 0 0 0

APS 5 0 0 0 0 0 0 0 0 0 0

APS 4 0 0 0 0 0 0 0 0 0 0

APS 3 0 0 0 0 0 0 0 0 0 0

APS 2 0 0 0 0 0 0 0 0 0 0

NT Total

0 0 0 0 0 0 0 0 0 0

AEC total 0 0 1 1 0 0 5 7 6 8

* including staff on higher duties arrangements

AEO = Australian Electoral Officer, APS = Australian Public Service, SES = Senior Executive Service. Figures include all ongoing staff employed at 30 June 2018 under the Public Service Act 1999. ACT electoral divisions are co-located with National Office employees in the ACT. Source: Aurion HR System.

7 Appendices

128 Australian Electoral Commission Annual Report 2017-18

Table 28: Statutory appointments under the Commonwealth Electoral Act 1918 as of 30 June 2018

Statutory appointments under the Commonwealth Electoral Act 1918

Position

Legislative provision for existence of role Current occupant Current term

Electoral Commissioner Australian Electoral Commission

Subsection 18(1) of the Commonwealth Electoral Act 1918 Tom Rogers Five years from

15/12/2014

Deputy Electoral Commissioner Subsection 19(1) of the Commonwealth Electoral Act 1918

Jeff Pope APM Five years from 19/12/2016

Australian Electoral Officer NSW Subsection 20(1) of the Commonwealth Electoral Act 1918

Warwick Austin Five years from 02/11/2017

Australian Electoral Officer Vic Subsection 20(1) of the Commonwealth Electoral Act 1918

Steve Kennedy Five years from 15/06/2017

Australian Electoral Officer Qld Subsection 20(1) of the Commonwealth Electoral Act 1918

Thomas Ryan Five years from

03/09/2015

Australian Electoral Officer WA Subsection 20(1) of the Commonwealth Electoral Act 1918

Fleur Hill Five years from

23/03/2017

Australian Electoral Officer SA Subsection 20(1) of the Commonwealth Electoral Act 1918

Martyn Hagan Five years from 8/12/2016

Australian Electoral Officer Tas Subsection 20(1) of the Commonwealth Electoral Act 1918

David Molnar Five years from

8/12/2016

Australian Electoral Officer NT Subsection 20(1) of the Commonwealth Electoral Act 1918

Vacant 1 Vacant. Term not to

exceed seven years

Chairperson Australian Electoral Commission Subsection 6(2)(a) of the Commonwealth Electoral Act 1918

The Hon. Dennis Cowdroy OAM QC Five years from 23/03/2015

Non-judicial member Australian Electoral Commission

Subsection 6(2)(c) of the Commonwealth Electoral Act 1918 David Kalisch Five years from

30/04/2015

1. These duties are being performed by Adrian McCabe in an acting capacity.

Australian Electoral Commission Annual Report 2017-18 129

Australian Electoral Commission Annual Report 2017-18 131

Reader guides Section 8

Australian Electoral Commission Annual Report 2017-18

IN THIS SECTION

132 Abbreviations and acronyms

133 Glossary

136 Index to list of annual report requirements

140 General index

Abbreviations and acronyms, glossary, index to the list of annual report requierments and a general index.

8 Reader guides

132 Australian Electoral Commission Annual Report 2017-18

Reader guides

Abbreviations and acronyms Term Description

AAS Australian Accounting Standards

ABS Australian Bureau of Statistics

ACT Australian Capital Territory

AEC Australian Electoral Commission

AEO Australian Electoral Officer

AMLPS Australian Marriage Law Postal Survey

ANAO Australian National Audit Office

APS Australian Public Service

APSC Australian Public Service Commission

ARIR Annual Roll Integrity Report

BAC Business Assurance Committee

BRIDGE Building Resources in Democracy, Governance and Elections

DFAT Department of Foreign Affairs and Trade

DLER Directed Level of Election Readiness

EA Enterprise Agreement

ECANZ Electoral Council of Australia and New Zealand

EL Executive level

ELT Executive Leadership Team

ERP Election Readiness Program

ERRM Election Ready Road Map

FCC Fraud Control Committee

FDEU Federal Direct Enrolment and Update

Term Description

FOI Freedom of Information

FRR Financial Reporting Rule

ICARE APS values—impartial, committed to service, accountable, respectful, ethical

ICT Information and communications technology

IPS Information Publication Scheme

JSCEM Joint Standing Committee on Electoral Matters

NEDC National Election Delivery Committee

NEM National Election Manager

NRS National Relay Service

NTEU National Training and Education Unit

OHC Organisational Health Committee

PBS Portfolio Budget Statement

PGPA Act Public Governance, Performance and Accountability Act 2013

PIANZEA Pacific Islands, Australia and New Zealand Electoral Administrators

SES Senior executive service

SMS Short message service

VITS Victorian Interpreting and Translating Service

WHS Work health and safety

Australian Electoral Commission Annual Report 2017-18 133

Glossary Term Description

Amortisation Reductions in the value of assets to reflect their reduced worth over time.

Ballot A secret vote, normally written.

Ballot box The sealed container into which voter places a completed ballot paper.

Ballot paper A paper that shows the questions to be put or the names of the candidates who are standing for election and on which voters mark their vote.

By-election An election held to fill a single vacancy in the House of Representatives.

Candidate A person standing for election to the House of Representatives or Senate.

Certified list The official electoral roll used to mark off voters at an election.

Claims for enrolment Application form to enrol to vote or update enrolment.

Close of rolls The date the electoral roll closes for the federal election, which is 8pm local Australian time on the seventh calendar day after the writs are issued.

Compulsory voting The requirement for Australian citizens aged 18 years and over to enrol to vote and to vote at each election.

Constitution (Australian) The document that sets out the structure under which the Australian Government operates. It can only be amended through a referendum.

Court of Disputed Returns A court (in Australia, the High Court) that determines disputes about elections.

Declaration vote Any vote where, instead of the voter being marked off the certified list, the vote is sealed in an envelope and signed by the voter and admitted to the count only after further checks are completed.

Declaration of nominations Formal announcement of registered candidates, whose names will appear on a ballot paper in an election.

Depreciation A method of allocating the cost of a tangible asset over its useful life.

Elector A person whose name appears on an electoral roll.

Electoral cycle The period from one federal election to the next, usually three years.

Electoral division The voting area, containing approximately equal numbers of voters, for which one member is elected to the House of Representatives. Australia is divided into 150 electoral divisions.

Electoral Roll The list of people entitled to vote in an election or referendum.

Electorate See ‘electoral division’ above.

Employee Member of staff that is ongoing, non-ongoing, intermittent or irregular.

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134 Australian Electoral Commission Annual Report 2017-18

Term Description

Enrolment form Application form to enrol to vote or update enrolment.

Federal election A general election for the House of Representatives and Senate.

Fee-for-service election An election or ballot conducted on a full cost recovery basis.

Financial disclosure return A document detailing information on the receipts and expenditure of participants in the political process.

Formality or formal vote A vote in an election or referendum where the ballot paper has been marked correctly and is counted towards the result. A ballot paper incorrectly marked is called informal.

Franchise The right to vote.

Funding and disclosure Public funding of election campaigns and disclosure of certain financial details by candidates, political parties and others.

General postal voter A voter who is registered to have postal ballot papers sent automatically.

House of Representatives The house of Parliament in which the government is formed. Under a preferential voting system, each electoral division elects one member of the House of Representatives.

Inventory balance The worth of held goods and materials.

Joint Standing Committee on Electoral Matters The parliamentary committee that reports on, and refers inquiries into, matters relating to electoral laws, practices and administration.

Member Any person elected to Parliament, but commonly used for the House of Representatives.

Mobile polling team Polling officials who bring polling to hospitals, nursing homes and remote locations.

Nomination Submission for candidacy for election to the Senate or House of Representatives.

Operating deficit Financial status in which expenditure exceeds revenue.

Ordinary vote A vote cast on or before election day within the electoral division in which the voter is enrolled.

Outposted centre Premises established to house key election activities such as scrutinies and despatch and return of materials to and from polling places.

Poll An election - a count of votes or opinions.

Polling day The day fixed for the election.

Polling place A location for people to vote.

Postal vote Ballot papers sent to a voter and posted back.

Preferential voting A system of voting where a voter shows an order of preference for candidates by numbering their choices.

Pre-poll vote A vote cast before election day.

Australian Electoral Commission Annual Report 2017-18 135

Term Description

Protected action ballot A workplace voting system whereby employees participate in a fair and secret ballot to determine whether industrial action should proceed in their workplace.

Provisional vote Vote cast at a polling place where the elector’s name cannot be found on the roll, the name has been marked off, or the voter has a silent enrolment.

Redistribution A redrawing of electoral boundaries to ensure (as closely as possible) the same number of voters in each electoral division.

Referendum A vote to change the Constitution.

Returned candidate Candidate who is officially declared elected by a returning officer.

Returning officer The person responsible for conducting an election in a particular area. A divisional returning officer is responsible for conducting the House of Representatives election in their electoral division. An Australian electoral officer is the returning officer for the Senate election in their state or territory.

Registered political party A party registered with the AEC under Part XI of the Commonwealth Electoral Act 1918.

Revenue appropriations Federal funds set aside each year for specific government programs.

Roll The list of people entitled to vote in an election or referendum.

Scrutineer Someone nominated by a candidate to watch the counting or scrutiny of votes.

Scrutiny The counting of votes is also known as the scrutiny.

Secret ballot A vote made in secret.

Senate The house of Parliament representing the states. A total of 76 senators

are elected - 12 from each state and two from each territory - under a proportional representation system.

Silent elector A voter whose address does not appear on the electoral roll for reasons of personal safety.

Turnout The percentage of people who voted in the election (formal and informal votes as a percentage of eligible enrolled electors).

Vote To choose a representative, or indicate a preference, in an election.

Writ A document commanding an electoral officer to hold an election, containing

dates for the close of rolls, the close of nominations, the election day and the return of the writ.

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136 Australian Electoral Commission Annual Report 2017-18

Index to list of annual report requirements Section and description Requirement Page

Opening pages

Letter of transmittal Mandatory ix

Table of contents Mandatory v-vi

Internet home page address and internet address for report Mandatory iv

Contact officer(s) Mandatory iv

Reader guides

Index Mandatory 140-156

Glossary (including abbreviations and acronyms) Mandatory 132-135

List of requirements Mandatory 136-139

Review by accountable authority

Review by Commissioner Mandatory 2-5

Summary of significant issues and developments Suggested 2-5

Overview of agency performance and financial results Suggested 14, 64-65

Outlook for following year Suggested 5

Significant issues and developments - portfolio Suggested

for portfolio departments

N/A

AEC overview

Role and functions (including agency purpose) Mandatory 88

Organisational structure Mandatory 10-11

Outcome and program structure Mandatory 14-32

Where outcome and program structures differ from Portfolio Budget Statements/Portfolio Additional Estimates Statements or other portfolio statements accompanying any other additional appropriation bills (other portfolio statements), details of variation and reasons for change

Mandatory if applicable N/A

Portfolio structure Mandatory

for portfolio departments

N/A

Report on performance

Annual performance statement Mandatory 14-15

Performance report in relation to deliverables and key performance indicators set out in Portfolio Budget Statements/Portfolio Additional Estimates Statements or other portfolio statements

Mandatory 14-32

Where performance targets differ from the Portfolio Budget Statements/Portfolio Additional Estimates Statements, details of both former and new targets, and reasons for the change

Mandatory 14

Australian Electoral Commission Annual Report 2017-18 137

Section and description Requirement Page

Narrative discussion and analysis of performance Mandatory 14-15

Significant changes in nature of principal functions/services Suggested if

applicable

N/A

Performance of purchaser/provider arrangements Suggested 39

Factors, events or trends influencing agency performance Suggested 14-32

Discussion and analysis of the agency’s financial performance Mandatory 64, 65

Discussion of any significant changes in financial results from the prior year, from budget or anticipated to have a significant impact on future operations Mandatory 64-65

Agency resource statement summarising the total resources and total payments of the entity Mandatory 48

Management and accountability

Corporate governance

Agency heads are required to certify their agency’s actions in dealing with fraud Mandatory ix

Information on preventing, detecting and dealing with fraud Mandatory 103-106

Outline of structures and processes in place for implementing principles and objectives of corporate governance Mandatory 103

Statement of any significant issue reported to the responsible minister that relates to non-compliance with finance law Mandatory if applicable

N/A

Names of the senior executive and their responsibilities Suggested 10-11

Senior management committees and their roles Suggested 50-53,

104-106

Internal audit arrangements including approach adopted to identifying areas of significant financial or operational risk and arrangements to manage those risks Suggested 50

Policy and practices on the establishment and maintenance of appropriate ethical standards Suggested 50

How nature and amount of remuneration for Senior Executive Service officers is determined Mandatory 56

External scrutiny

Significant developments in external scrutiny Mandatory 54

Judicial decisions and decisions of administrative tribunals and by the Australian Information Commissioner Mandatory 52

Reports by the Auditor-General, a Parliamentary Committee, the Commonwealth Ombudsman Mandatory 53

Capability reviews released during period Mandatory if

applicable

N/A

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138 Australian Electoral Commission Annual Report 2017-18

Section and description Requirement Page

Management of human resources

Assessment of effectiveness in managing and developing human resources to achieve agency objectives Mandatory 22-23

Workforce planning, employee retention and turnover Suggested 54, 57

Enterprise or collective agreements, individual flexibility agreements, determinations, common law contracts and Australian Workplace Agreements Mandatory 54-55

Non-salary beneftis; salary ranges Mandatory for

APS staff

54-55

Training and development undertaken and its impact Suggested 58

Work health and safety performance Suggested 57

Statistics on APS employees (ongoing and non-ongoing) Mandatory 54

Number of SES and non SES employees covered by Agreements Mandatory 54-55

Performance pay Mandatory 55

Assets management

Assessment of effectiveness of assets management Mandatory if

applicable

58-59

Purchasing

Assessment of performance against Commonwealth Procurement Rules Mandatory 59

Consultants

Summary statements detailing the number of new consultancy services contracts let during the year; the total actual expenditure on all such contracts (GST incl.); the number of ongoing consultancy contracts entered into in a previous year; and the total actual expenditure in the reporting year on the ongoing consultancy contracts (GST incl.)

Mandatory 60

Summary of policies for selecting and engaging consultants; procedures for selecting consultants; and main categories of purposes for which consultants were engaged

Mandatory 60

Statement noting that information on contracts and consultancies is available on the AusTender website Mandatory 59-60

Australian National Audit Office access clauses

Absence of provisions in contracts allowing access by the Auditor-General Mandatory 60

Australian Electoral Commission Annual Report 2017-18 139

Section and description Requirement Page

Exempt contracts

Contracts exempted from publication in AusTender Mandatory 60

Small business

Procurement practices to support small business Mandatory 60

Financial statements

Financial statements Mandatory 63-97

Other mandatory information

Work health and safety (Schedule 2, Part 4 of the Work Health and Safety Act 2011) Mandatory 57

Advertising campaigns (section 311A of the Commonwealth Electoral Act 1918) statement Mandatory 115

Ecologically sustainable development and environmental performance (section 516A of the Environment Protection and Biodiversity Conservation Act 1999) Mandatory 58-59

Compliance with the agency’s obligations under the Carer Recognition Act 2010 Mandatory if applicable 55

Grants awarded Mandatory 60

Disability reporting - mechanisms of disability reporting, including reference to website for further information Mandatory 56-57

Information Publication Scheme statement Mandatory 54

Correction of material errors in previous annual report Mandatory if

applicable

N/A

Agency resource statements and resources for outcomes Mandatory 101-102

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140 Australian Electoral Commission Annual Report 2017-18

General index

A Aboriginal Australians, see Indigenous Australians

accountability and management, 49-60

Accountable Authority, 8

ACTSmart business accreditation, 59

Administrative Appeals Tribunal decisions, 53

advertising, 28, 43, 115

AEC for Schools website, 29, 42

agency directions, 14, 16-31

agency resource statement, 100, 101

annual performance statement, 15, 17-32

Annual Roll Integrity Review (ARIR), 37

assets and assets management, 58-9, 64-5

audits, 50, 65

AusTender, 60

Australia First Party (NSW) Incorporated, 53

Australian Bureau of Statistics (ABS), 37, 52

Australian Capital Territory

redistributions, 45, 117-8

special Senate Count, 38, 113

Australian Constitution, eligibility under section 34, 3, 43, 52

Australian Cyber Security Centre, 4

Australian Electoral Officer Capacity Building Program, 23

Australian Human Rights Commission, 53

Australian Information Commissioner, 53

Australian Marriage Law Postal Survey, 37, 38, 42, 45, 52

Australian National Audit Office (Auditor-General), 53, 60, 65

average staffing levels, 100, 102

B Batman by-election, 4, 28, 38-9, 113, 114

Bennelong by-election, 4, 28, 38-9, 113, 114

polling place operations, 27

Braddon by-election, 4, 28

Building Resources in Democracy, Governance and Elections (BRIDGE), 44

Business Assurance Committee, 50, 105

business intelligence capability, 22

by-elections, 4, 38-9, 113-4

information to political stakeholders on legislative requirements, 25

internal communication approaches, 18

polling place operations, 27

public engagement services, 45

service plans, 28, 30

supply chain model trial, 17, 39

C candidate nomination process, 3

carer’s leave, 55

casual workforce, 53, 55

during elections, 23, 43

civics education conferences, 44

claims management, 57-8

classification of staff, 54, 121-7

Comcare, 57, 58

Comcover, 50

commercial and industrial elections, 18, 41

Commission members, 9

Commissioner, see Electoral Commissioner

Commonwealth Electoral Act 1918, 9, 60, 115

arrangements for supply of goods or services, 52

Australian Electoral Commission Annual Report 2017-18 141

by-election service plans, 28, 30

information to political stakeholders on requirements, 25

international services, 42

logo application, 53

political parties, 46

redistribution timeframes, 20

silent elector details, 37

staff engaged under, 55, 56, 126-7

statutory appointments under, 54, 128

Commonwealth Electoral Roll, see electoral roll

Commonwealth Ombudsman, 54

community engagement, 28-31, 42-5, 115

compensation claims, 57

complaints, 53

management model, 31

Constitution, eligibility under section 44, 3, 43, 52

consultants, 60

contracts (purchasing), 59-60, 115

Cook Islands, 44

corporate governance, 20, 21, 50-1, 103-6

corporate plan, 51

agency directions, 14, 16-31

Counting the Senate, 17

court decisions, 3, 28, 43, 52

criminal record checks, 53

customer scrutiny, 54

cyber security, 3, 4, 40-1

D Deakin University, 27, 40

declaration exchange rehearsal, 23

Department of Finance, 27, 53, 65

Department of Foreign Affairs and Trade (DFAT), 44

Deputy Electoral Commissioner, 8

disability discrimination allegation, 53

disability reporting mechanisms, 56

disputed returns (section 44 eligibility), 3, 38, 43, 52

document management, 25

E early voting, 39

education programs, see electoral education; staff training and development

eLearning programs, 22, 23

election event management system, 18, 41

Election Experience Program, 23

Election Readiness Framework, 14, 17

Election Readiness Program, 23

Election Ready Road Map, 14, 17

elections and election events, 14-5, 17-9, 38-41, 113-4

2016, 19, 28, 39

international services, 44

public information campaigns, 28

special Senate counts, 38, 43, 52, 113

staff training, 22, 23

Your Vote will help shape Australia communication campaign, 43

see also by-elections

Electoral Act, see Commonwealth Electoral Act 1918

Electoral and Other Legislation Amendment Act 2017, 19

Electoral and Referendum Amendment (Eligibility) Regulations, 19

electoral candidate nomination process, 3

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142 Australian Electoral Commission Annual Report 2017-18

Electoral Commission members, 9

Electoral Commissioner, 8, 9, 15

Election Readiness Framework, 14, 17

number of House of Representatives members determination, 45

remuneration, 56

review of year, 2-5

staffing powers, 55, 56

statement presenting annual performance statements, 15

Electoral Council of Australia and New Zealand (ECANZ), 4

electoral divisions and redistributions, 20, 45-7, 116-8

electoral education, 29, 31, 42, 59

electoral roll, 20, 21, 36-8, 107-12

silent electors, 30, 37, 53

electronic certified lists (ECLs), 40

email enquiries, during marriage law survey, 38

employees, see staff

energy efficiency and use, 59

Enterprise Agreement 2016-2019, 50, 55

environmental performance and sustainable development, 58-9

Erub Island, 41

ethical standards, 50

Executive Leadership Team, 8, 104

external scrutiny, 52-4

F federal elections, see elections

Federated States of Micronesia, 44

Fijian Elections Office, 44

finance, 63-97, 100, 101-2

purchasing, 59-60; advertising and market research, 115

remuneration and salaries, 55-6

Finance and Public Administration Legislation Committee, 24

financial disclosure by political parties, 46, 119-20

First Assistant Commissioners, 8

fraud control, 51, 105

freedom of information, 54

Fremantle by-election, 4, 28, 43

functions, 8, 35-47

G Get Voting website, 44

governance, 20, 21, 50-1, 103-6

government agencies provided with roll data or extracts, 37, 111

H health and safety, 57-8

High Court decisions, 3, 38, 43, 52

homeless electors, 31

human resources, see staff

Human Resources Scorecard, 22

Human Rights Commission, 53

I Indigenous Australians, 29, 31, 42-3

staff, 53; temporary election workforce, 43

Torres Strait Regional Authority elections, 41

Indigenous Electoral Participation Program (IEPP), 29, 42-3

Indigenous Employment Strategy, 43

individual flexibility arrangements, 55

industrial and commercial elections, 18, 41

information communications and technology, 25, 37, 40-1

Australian Electoral Commission Annual Report 2017-18 143

eLearning programs, 22, 23

election and enrolment system, 21, 27

security, 3, 4, 40-1

see also websites

Information Publication Scheme, 54

internal audit, 50

internal communications, 18

International IDEA, 44

international services, 42, 43-4

interpreting services, telephone callers using, 45

J Joint Standing Committee on Electoral Matters (JSCEM), 5, 25, 53

judicial decisions, 3, 38, 43, 52

K Kiribati, 44

L Learning Governance Committee, 26, 104

legal decisions, 3, 38, 43, 52-3

legislation, 3, 19, 28

Constitution, eligibility under section 34, 3, 43, 52

employment terms and conditions powers under, 55, 56

environmental performance and sustainable development report, 58-9

marriage law survey, 37, 38, 42, 45, 52

non-compliance with finance law, 65

Public Governance, Performance and Accountability Act 2013, 15, 51, 59, 65; performance cycle, 14, 21

work health and safety obligations, 57

see also Commonwealth Electoral Act 1918

lessons learned framework, 27

2016 evaluation, 39

liabilities, 64-5

local government elections, 37

Longman by-election, 4, 28

M management and accountability, 49-60

management committees and discussion forums, 104-6

market research, 28, 115

marriage law survey, 37, 38, 42, 45, 52

Marshall Islands, 44

Mayo by-election, 4, 28

media enquiries, 43, 45

Members of Parliament, see parliamentarians

Micronesia, 44

ministerial correspondence, 24

ministerial submissions, 24

N National Electoral Education Centre (NEEC), 29, 44, 59

National Training and Education Unit, 42, 58

Nauru, 44

New England by-election, 4, 28, 38-9, 113, 114

New South Wales

by-elections, 4, 28, 38-9, 113, 114; polling place operations, 27

special Senate Count, 38, 113

New Zealand, 44

nomination process, 3

non-ongoing staff, 54, 55, 124-5

Northern Territory, 43

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144 Australian Electoral Commission Annual Report 2017-18

O occupational health and safety, 57-8

Office of the Australian Information Commissioner, 53

Ombudsman, 54

ongoing staff, 54, 55, 121-3

online services, see information communications and technology; websites

operating result, 64-5

organisational structure, 8-11

new design, 22, 26, 27, 42

outcome and program, 8

P Pacific Islands, Australia and New Zealand Electoral Administrators (PIANZEA) network, 44

paid personal leave (carer’s), 55

Palau, 44

Papua New Guinea, 44

parliamentarians

eligibility under Constitution section 34, 3, 43, 52

roll data or extracts provided to, 108-9

Parliamentary committees, 24, 53

Joint Standing Committee on Electoral Matters (JSCEM), 5, 25, 53

Parliamentary Document Management System, 25

performance pay, 55

performance report, 13-32

Perth by-election, 4, 28, 43

phone calls, 38, 45

plans and planning, 51, 103-4

elections, 14-5, 17-9; staff programs, 23

reconciliation action, 42

workforce, 57

political parties, 25

logo applications, 53

registrations and financial disclosure, 46, 119-20

roll information provided to, 37, 109-10

polling place operations, 27, 40

criminal record checks, 53

Portfolio Budget Statements (PBS), 100

performance criteria, 14, 16

postal voting, 39

pre-poll voting, 39

privacy, 53

procurement, 59-60, 115

professional development programs, 42, 44

program and outcome, 8

project management, 21

public awareness programs, 28-31, 42-5, 115

Public Governance, Performance and Accountability Act 2013, 15, 51, 59, 65

performance cycle, 14, 21

Public Sector Modernisation Fund, 27

purchasing, 59-60

advertising and market research, 115

purpose, 8, 14

Q Queensland

Longman by-election, 4, 28

redistributions, 116-7

special Senate Count, 38, 113

questions on notice, 24

Australian Electoral Commission Annual Report 2017-18 145

R Reconciliation Action Plan, 42

redistributions, 20, 45-6, 116-8

registration of political parties, 46, 120

regulator performance framework, 32

Rehabilitation Management System, 57

remuneration and salaries, 55-6

researchers, roll extracts provided to, 112

resources, 100-2

assets and assets management, 58-9, 64-5

see also finance; information communications and technology; staff

risk management, 21, 50

role, 8

S safety and health, 57-8

salaries and remuneration, 55-6

Samoa, 44

Sample Audit Fieldwork exercises, 37

school electoral education programs, 29, 42, 44

section 44 eligibility, 3, 43, 52

security of IT (cyber security), 3, 4, 50-1

Senate, 17, 28

special counts, 38, 43, 52, 113

Senate Estimates hearings, 24

senior executive service (SES) employees, 56

service charter, 28, 54

silent electors, 30, 37, 53

small business support, 60

social media, 28, 38

Solomon Islands, 44

South Australia

Mayo by-election, 4, 28

redistributions, 45, 117-8

special Senate Count, 38, 113

staff, 54-8, 121-8

average staffing levels, 100, 102

communication with, 18

disability discrimination allegation, 53

metrics, 22

overseas deployment, 42

temporary election workforce, 23, 43

staff training and development, 22-3, 26, 58

cultural awareness, 42

Learning Governance Committee, 26, 104

for Pacific electoral administrations, 44

security awareness, 41

state elections, 37

planning and learning programs, 23

statutory appointments, 54, 56, 128

submissions, 24

made to Parliamentary committees, 53

received about redistributions, 46

supply chain, 17, 39

sustainable development, 58-9

T Tasmania

Braddon by-election, 4, 28

redistributions, 116-7

special Senate Count, 38, 113

teacher professional development, 42, 44

telephone calls, 38, 45

Tonga, 44

Torres Strait Islanders, see Indigenous Australians

Torres Strait Regional Authority elections, 41

training, see electoral education; staff training and development

8 Reader guides

146 Australian Electoral Commission Annual Report 2017-18

translation services, telephone callers using, 45

tribunal decisions, 53

Tuvalu, 44

U universities, 44

V Victoria

Batman by-election, 4, 28, 38-9, 113, 114

redistributions, 45, 117-8

Voting in the Classroom module completions, 44

W Watson v Australian Electoral Commission and Anor, 53

websites, 28

AEC for Schools, 29, 42

AusTender, 60

Get Voting, 44

visits during marriage law survey, 38

Western Australia, 43

by-elections, 4, 28, 43

special Senate Count, 38, 113

Wilkie v The Commonwealth; Australian Marriage Equality Ltd v Cormann, 52-4

work health and safety, 57-8

work priorities, 17, 19, 27, 39

workforce, see staff

workforce planning, 57

Y young people, 31

electoral education, 29, 42

Your Vote will help shape Australia communication campaign, 43