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Note 4. Assets and Liabilities Administered on Behalf of the Government

This section analyses assets used to conduct its operations and the operating liabilities incurred as a result DVA 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.

Note 4.1. Administered — Financial Assets

  2018 2017
  $'m $'m
  1. DVA recovers overpayments of pensions in accordance with relevant legislative requirements.
  2. Includes amounts owing from June 2018 Business Activity Statement and GST amounts on accrued expenses as at 30 June 2018.
Note 4.1A: Cash and Cash Equivalents    
Cash on hand or on deposit 41 56
Cash in special accounts 16 21
Total cash and cash equivalents 57 77
     
Note 4.1B: Receivables    
Pensions1 50 50
Statutory receivables2 4 4
Other receivables 12 29
Total  receivables (gross) 66 83
     
Less Impairment allowance    
Pensions (3) (4)
Total impairment allowance (3) (4)
Total receivables (net) 63 79

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Reconciliation of the Impairment Allowance

Movements in relation to 2018
  Pensions Other
receivables
Total
  $'m $'m $'m
As at 1 July 2017 4 4
Decrease recognised in net cost of services (1) (1)
Total as at 30 June 2018 3 3
Movements in relation to 2017
  Pensions Other
receivables
Total
  $'m $'m $'m
As at 1 July 2016 3 3
Amounts written off 1 1
Total as at 30 June 2017 4 4

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  2018 2017
  $'m $'m
1.  The value shown for the Australian War Memorial is at fair value and is based upon the audited net asset position as at 30 June 2018.
The Commonwealth owns 100% of the investment in the Australian War Memorial whose principal activity is to commemorate the sacrifice of those Australians who have died in war. It does this by assisting Australians to remember, interpret and understand the Australian experience of war and its enduring impact on Australian society.
Note 4.1C: Equity Accounted Investments    
Investment in Commonwealth authorities    
   Australian War Memorial1 1,463 1,430
Total investments accounted for using the equity method 1,463 1,430

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Note 4.2. Administered — Non-Financial Assets

Note 4.2A: Reconciliation of the Opening and Closing Balances of Buildings

Reconciliation of the opening and closing balances of buildings for 2018
  Buildings Total
  $'m $'m
The fair value measurement of the financial and non- financial assets are disclosed in the above notes.
As at 1 July 2017    
Gross book value 5 5
Accumulated depreciation and impairment
Total as at 1 July 2017 5 5
     
Additions    
   Transfer of Sir John Monash Centre from Department of Defence 65 65
Total as at 30 June 2018 70 70
Total as at 30 June 2018 represented by    
Gross value    
   Fair value
   Work in progress 70 70
Accumulated depreciation and impairment
Total as at 30 June 2018 70 70

Note 4.3. Administered—Payables

  2018 2017
  $'m $'m
Note 4.3A: Personal Benefits Payables    
Direct    
Pension accruals 163 173
Total personal benefits payables 163 173
  2018 2017
  $'m $'m
Note 4.3B: Health Care Payables    
Indirect    
Health services 50 47
Total health care payables 50 47

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Note 4.4. Administered — Provisions

  2018 2017
  $'m $'m
Note 4.4A: Personal Benefit Provisions    
Military compensation 8,559 7,099
Total personal benefit provisions 8,559 7,099
     
Personal benefit provisions expected to be settled    
   No more than 12 months 758 496
   More than 12 months 7,801 6,603
Total personal benefit provisions 8,559 7,099
     
Note 4.4B: Health Care Provisions    
Military compensation 4,693 3,855
Outstanding Treatment Accounts System (TAS) claims 152 160
Repatriation Pharmaceutical Benefits Scheme (RPBS) 17 16
Public Hospitals 34 59
Total health care provisions 4,896 4,090
     
Total health care provisions expected to be settled    
   No more than 12 months 349 354
   More than 12 months 4,547 3,736
Total personal benefit provisions 4,896 4,090

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Personal benefits Health care
Military
compensation
Military
compensation
Outstanding
TAS claims
RPBS Hospitals
  $'m $'m $'m $'m $'m
As at 1 July 2017 7,099 3,855 160 16 59
Actuarial changes in provisions 1,075 206
Increase in provisions 703 293 152 17 34
Claims paid during the year (751) (136) (160) (16) (59)
Unwinding of discount 133 67
Change in interest rate 300 408
As at 30 June 2018 8,559 4,693 152 17 34

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