Section 4: Purchaser/provider and cost recovery arrangements

Summary of cost recovery impact statement

Cost recovery arrangements have been negotiated with the large Authorised Deposit Taking Institutions for services in relation to the implementation of the Basel Accord. While the final amounts have yet to be determined, the budgeted impact of this arrangement in 2003-04 is expected to result in revenue flows of the order of $1.5 million. Cost recovery arrangements are currently being negotiated with the Australian Bureau of Statistics and Reserve Bank of Australia for the provision of certain statistical services provided to them. Recoveries are estimated to be about $0.9 million for these services.

These costs are reflected in the Departmental Statement of Financial Performance (Table 3.1) as part of other revenue from ordinary activities.