Statement of Objectives Specifying the Estimated Financial Performance 

to 30 June 2005 

And Forecast Financial Performance 

For the year ending 30 June 2006

	Unit	2004/05 Budgeted	2004/05 Estimated Actual	2005/06 Budget
Operating expenses
Revenue: other	$000	15,998	15,998	28,417
Output expenses	$000	34,418	34,418	58,621
Operating surplus before capital charge	$000	295	295	355
Surplus/(deficit) from operations	$000	(5,833)	(5,833)	(1,805)
Working capital
Net current assets	$000	4,654	4,654	10,011
Resource utilisation
Physical assets:
Total physical assets at year end	$000	3,347	3,347	5,761
Taxpayers' funds:
Level at year end	$000	7,732	7,732	15,503
Forecast net cash flows
Surplus/(deficit) operating activities	$000	(7,386)	(7,386)	(4,356)
Surplus/(deficit) investing activities	$000	(1,853)	(1,853)	(4,150)
Surplus/(deficit) financing activities	$000	9,517	9,517	9,576
Net increase/(decrease) in cash held	$000	278	278	1,070

Reconciliation of Appropriation and Operating Expenses 

to 30 June 2006

	Appropriation $000	Expenses $000
Output Expense
Residential Tenancy Services	17,838	17,838
State Housing Appeals Services	67	67
Purchase and Monitoring - Housing New Zealand Corporation	400	400
Sector and Regulatory Policy	3,726	3,726
Building Act 2004 Implementation	4,919	4,919
Occupational Licensing	4,125	4,125
Building Regulation and Control	12,265	12,265
Weathertight Homes Resolution Service	17,689	17,689
Total	61,029	61,029

Statement of Significant Underlying Assumptions

These statements have been compiled on the basis of government policies at the time the statements were finalised.

These forecast financial statements comply with generally accepted accounting practice and the Public Finance Act 1989.

The measurement base applied is historical cost.

The accrual basis of accounting has been used for the preparation of these financial statements.

These statements have been prepared on a going-concern basis.