ACARA
Annual Report 2013–14

© Australian Curriculum, Assessment and Reporting Authority 2014
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ACARA Copyright AdministrationACARA                                                                        
Level 10, 255 Pitt Street Sydney NSW 2000                                                                                                      
Email: info@acara.edu.au

1.    Overview	6	

1.1	Chair’s foreword	6	
1.2	CEO’s report	7	
1.3	History and profile	9	
1.4	ACARA’s Board and committees	9	

2.    Performance	10	

2.1	Provision of a national curriculum	10	
2.2	Provision of a national assessment program	16	
2.3	Provision of a national data collection and reporting program	20	

3.    Management and Accountability	23	

3.1	Governance and management framework 	23	
3.2	Risk management	23	
3.3	Financial management	24	
3.4	Communications and strategic relations	25	
3.5	Workforce management	26	

4.    Financial Performance 	29	

4.1	Statement by directors	29	
4.2	Independent auditor’s report	30	
4.3	Financial statements	32	
4.4	Notes to financial statements	37	

5.    Additional Information 	64	

5.1	Board and committee membership	64	
5.2	Board and committee meetings	72	
5.3	Advisory groups and membership	73	
5.4	Evidence to parliamentary committees	77	
5.5	Judicial decisions and reviews by outside bodies	77	
5.6	Work health and safety	77	
5.7	Legislative reporting requirements	78	
5.8	Providing access for people with disability	78	
5.9	Sustainable practices	78	
5.10	Acronyms and glossary	78	
5.11	Compliance index	81 	

ACARA
Establishment and functions
ACARA’s main functions are the development and administration of a national school curriculum, national assessments, and the collection, management and analysis of school data relating to school education and performance for publication. In supporting these functions, ACARA also provides some school curriculum resources and educational research services. 
ACARA was established on 8 December 2008 under the Australian Curriculum, Assessment and Reporting Authority Act 2008 (the ACARA Act) and began operations with the appointment of the ACARA Board in May 2009. A new ACARA Board was appointed on 8 May 2012. ACARA is a cooperative enterprise between state and federal jurisdictions, receiving funding for its activities jointly from the Australian Government and state and territory governments.
Mission
Through world-class school curriculum, assessment and reporting, ACARA will improve the learning of all young Australians.
Future directions
At its 13–14 June 2013 meeting, the ACARA Board endorsed strategic directions to guide the work of the authority from 2013–14 to 2015–16. 
ACARA will continue to work towards:
•	developing a rigorous, world-class national curriculum from Foundation to Year 12 called the Australian Curriculum, to cater for and engage all Australian students
•	consolidating a robust national assessment program that measures students’ progress
•	aligning the National Assessment Program with the Australian Curriculum, as well as bringing the program online
•	enhancing national data collection and reporting programs that support accountability and improvement
•	building productive partnerships that foster a national approach and support improvement across the sector
•	aligning governance and operations within ACARA and creating a high-performance organisation that fully meets the expectations of the Australian public.
However, the strategic directions highlight five areas of focus to guide how ACARA goes about its work. These are outlined on the areas of focus diagram on the next page.
Annual report requirements
This annual report has been prepared in compliance with the Commonwealth Authorities and Companies Act 1997 and the Commonwealth Authorities and Companies (Report of Operations) Orders 2011.

	Areas of focus	
	Partnerships	Community
engagement	Sustainability	Performance	Capacity	
	Directions	
	Collaborate with ACARA’s partners in addressing and enabling the national education agenda agreed by ministers.

	Engage and communicate with parents, principals, teachers, students and the broader community about ACARA’s work.	Increase policy relevance and continue to make a positive difference within an evolving Australian education landscape.	Continue to improve the quality, timeliness and impact of all ACARA’s work.	Attract highly competent staff, and promote and maintain a positive, agile and 
high-performing work culture.	

Overview
1.1 Chair’s foreword
Our children are our nation’s future. For the past five years, ACARA has built towards a better future – one where young Australians have access to a world-class school curriculum, and a world class assessment and reporting system. ACARA has a vital role to play in shifting conversations about education to a national level, with a 21st century focus.
The task of deciding what is essential content for students to learn and on which to be assessed is a challenging one. It is ACARA’s role to set the national expectations for Australian schools but to do so collaboratively.
With the Australian Curriculum for English and mathematics, as well as the general capabilities (numeracy and literacy) being implemented from Foundation to Year 10 around Australia, ACARA is working to redesign NAPLAN assessments. This will ensure alignment  with the Australian Curriculum and we anticipate changes being in place for NAPLAN in 2016.
Thousands of teachers, academics and community members actively and productively participate in ACARA’s work – via email, social media or face-to-face. I would like to thank everyone who has helped us with our work. Their involvement is valued and appreciated.
A national approach to curriculum and assessment means that no matter where students live, they have access to the same essential curriculum content. Their teachers have the same achievement standards to better understand and assess student learning.
NAPLAN, now in its seventh year, builds on this national approach by assisting governments, education authorities and schools determine whether young Australians are meeting important goals in literacy and numeracy. It allows those people with the power to help our children, to direct resources to where they are most needed. We will 
continue to work with all governments to make changes to NAPLAN so it meets expectations. This includes consideration of faster turnaround of results and moving tests online.
The 2014 update of My School builds on four years of sharing information with the Australian public about the performance and resources of schools. My School’s value is that it enables parents, school communities, educators and community members to:
search for schools in their local area or elsewhere
view school-level NAPLAN results and progress over time
compare schools with students from similar levels of socio-educational advantage
identify schools that are doing well and share successful strategies.
During this year, we farewelled six retiring members of the ACARA Board: Mr Tony Mackay (Deputy Chair), Dr Brian Croke, Ms Lesley Englert, Mr Angus James, Ms Dianne Kerr and Mr Garry Le Duff. I would like to express my appreciation for the effort and passion of these members over the past five years. Professor Brian Caldwell (Deputy Chair), Dr Paul Sharkey, Ms Valerie Gould, Mr Stephen Gniel, Ms Patrea Walton and Cr Michael Hewitson, have been nominated as new members of the Board. We welcome them.
I am proud to have served as Chairman of the ACARA Board for the past five years. I look forward to guiding ACARA to achieve further milestones in the coming year.
Professor Barry McGaw AO, PhDChair

1.2 CEO’s report
In 2013–14, ACARA’s fifth full year in operation, the authority continued to grow, to achieve, and to consolidate its accomplishments in the Australian education landscape.
Curriculum 
Over the last five years, ACARA has undertaken consultations on F–10 and senior secondary curriculum. We have received more than 13 000 consultation submissions from individuals, groups and organisations. 
Implementation of the Australian Curriculum for English, mathematics, science and history for Foundation to Year 10 is underway across the country. 
In 2013–14, development of the Australian Curriculum continued with publication of the arts curriculum in February 2014. The Australian Curriculum in technologies, health and physical education, economics and business, and civics and citizenship  was noted and made available for use in February 2014. 
Assessment 
For the seventh year, over one million Australian students across more than 9500 Australian schools took the NAPLAN tests in May 2014. For the Year 9 students, this was their last round of NAPLAN testing. They have come full circle from being the first students to take the tests as third graders in 2008.
NAPLAN allows every student across the nation to take the same test at a similar time, resulting in a national snapshot of the achievement of students in the vital life skills of literacy and numeracy. 
NAPLAN allows us to take stock of where students are on a national scale, celebrating and encouraging success or addressing areas for greater improvement or development. 
National sample assessments have been carried out on a triennial basis since 2003, comprising NAP – Civics and Citizenship, NAP – Science Literacy and NAP – ICT Literacy. For the first time, the NAP – Civics and Citizenship tests were delivered online. 
During 2013–14 ACARA has also undertaken extensive research and planning activities designed to inform moves over the next few years to deliver NAPLAN online.
Reporting 
The fifth My School release occurred on 5 March 2014. My School provides the opportunity for educators, parents and the wider community to view up-to-date information on all schools across Australia, and to make comparisons between them. A new feature of this year’s My School release is a mapping function, which allows visitors to the site to view the school’s location and other local schools on the same map. ACARA also enhanced the calculation of the Index of Community Socio-Educational Advantage (ICSEA). In the last 12 months, there were over 17 million page views of the My School website. 
ACARA’s people 
This year we farewelled Peter Adams, General Manager, Assessment and Reporting. Peter made a significant contribution to ACARA and we wish him the very best for the future. 
ACARA has a diverse and talented workforce. We continue to employ a full complement of staff in our Sydney headquarters, as well as in our offices in Melbourne and Perth. This year ACARA developed a performance and recognition system and undertook training and remuneration reviews. We continue to work within the requirements of our enterprise agreement (EA). 
I look forward to welcoming our new General Manager, Assessment and Reporting and to working closely with the ACARA Board, executive and all ACARA staff as ACARA continues on its journey to provide all Australia’s students with access to world-class curriculum, assessment and reporting.
Robert Randall
Chief Executive Officer

1.3 History and profile
History
ACARA was established in December 2008 and became operational at the end of May 2009.
On 28 May 2009, the Minister for Education, the Hon. Julia Gillard MP, announced the appointment of the inaugural ACARA Board members.
Purpose, enabling legislation and functions
ACARA is responsible for delivering a national curriculum, a national assessment program, and national data collection and performance reporting programs.
ACARA was established under the Australian Curriculum, Assessment and Reporting Authority Act 2008 (ACARA Act) by the Parliament of the Commonwealth of Australia on 8 December 2008.
ACARA is a cooperative enterprise between state, territory and federal jurisdictions and its activities are jointly funded by Commonwealth, state and territory governments.
ACARA’s work contributes to improving the quality and consistency of school education in Australia through a national curriculum, national assessment, data collection and performance reporting.
The ACARA Act outlines the authority’s functions, which are to:
develop and administer a national school curriculum, including curriculum content and achievement standards, for school subjects specified by the Ministerial 1 Council’s charter for ACARA
develop and administer national assessments
collect, manage and analyse student assessment data and other data relating to schools and comparative school performance
facilitate information-sharing arrangements between Australian government bodies in relation to the collection, management and analysis of school data
publish information relating to school education, including information relating to comparative school performance
provide school curriculum resources services, education research services and other related services
provide information, resources, support and guidance to the teaching profession
perform other related functions.
Directions of the Standing Council
Section 7 (3) of the ACARA Act requires ACARA to perform its functions and exercise its powers in line with the charter set by the Standing Council.
ACARA reports to the Standing Council and to the federal Minister for Education about requirements under the Commonwealth Authorities and Companies Act 1997 (CAC Act).

Responsible minister
For the 2013–14 financial year, the Minister responsible for ACARA was the Hon. Bill Shorten MP (from 1 July, 2013 until 18 September 2013) and the Hon. Christopher Pyne MP, Minister for Education (from 18 September 2013).
Location
ACARA’s headquarters are at Level 10, 255 Pitt Street, Sydney NSW 2000.

1.4 ACARA’s Board and committees
The ACARA Board
The ACARA Board is responsible for ensuring the proper and efficient performance of the Australian Curriculum, Assessment and Reporting Authority’s functions.
The Board is comprised of 13 members who are nominated by federal, state and territory education ministers, as well as by the National Catholic Education Commission (NCEC) and the Independent Schools Council of Australia (ISCA).
Changes were made to the membership of the Board during the reporting period in accordance with section 14 of the ACARA Act. Six members retired from the Board in May 2014, with the appointment process for six new and three re-nominated members to be finalised in July 2014. 
The annual review of the Board was facilitated by the Chair and involved completion of a questionnaire and board-level discussion.
During the reporting period, the Board was supported by the Audit and Risk Committee and the Curriculum Committee. All three bodies comprise non-executive members.
Audit and Risk Committee
The ACARA Board established the Audit and Risk Committee at its second meeting on 29 June 2009, in compliance with section 32 of the CAC Act. The committee was chaired by Ms Dianne Kerr until her retirement on 7 May 2014. The Audit and Risk Committee provides assurance and assistance on ACARA’s risk, control and compliance framework and its external accountability responsibilities.
Curriculum Committee
The ACARA Board established the Curriculum Committee at its meeting of 7 February 2013, in accordance with section 35 of the ACARA Act. The committee is chaired by Professor Barry McGaw, AO, PhD. The committee makes decisions and provides advice to the Board on matters relating to the development of the Australian Curriculum.

Performance
2.1 Provision of a national curriculum
Overview
ACARA leads national collaboration to produce the Foundation – Year 12 Australian Curriculum.
The Australian Curriculum sets consistent high standards for what all young Australians should learn as they progress through schooling. It prepares Australia’s next generation for the future and lays the building blocks for generations to come. It facilitates national collaboration to develop and share high-quality resources and teaching practices.
ACARA draws on the best national talent and expertise to draft the curriculum. Each step in the development process involves extensive consultation with teachers, principals, state and territory education authorities, professional education associations, business, industry, community groups, the general public and all governments in a transparent process to ensure a balanced, rigorous curriculum is developed. ACARA considered over 19 500 submissions in developing the curriculum now available on the Australian Curriculum website. 
The overall development of the Australian Curriculum has been guided by the Shape of the Australian Curriculum (v1.0–4.0). The process for developing the national curriculum has four stages: shaping, writing, implementation, and monitoring and evaluation, and is outlined in ACARA’s Curriculum Development Process (v6.0). Design specifications for the Australian Curriculum are outlined in the Curriculum Design Paper (v3.1). These documents are available on ACARA’s website.
The Australian Curriculum focuses on learning area content and achievement standards that describe what students will learn and teachers will teach. There are eight learning areas: English, mathematics, science, humanities and social sciences (incorporating the subjects of history, geography, civics and citizenship, and economics and business), the arts (incorporating the subjects of dance, drama, media arts, music and visual arts), health and physical education, technologies (incorporating the subjects of design and technologies, and digital technologies) and languages (incorporating 11 language-specific curriculum and a framework for Aboriginal languages and Torres Strait Islander languages). 
The Australian Curriculum gives attention to seven general capabilities that are important for life and work in the 21st century and to three issues identified in the Melbourne Declaration as needing more attention than they have received in curriculums to date. The general capabilities and the cross-curriculum priorities are not added as extra subjects. They are dealt with, where relevant, through the learning area content on which the curriculum is built.
The seven general capabilities are literacy, numeracy, information and communication technology (ICT) capability, critical and creative thinking, personal and social capability, ethical understanding and intercultural understanding.
The three cross-curriculum priorities are Aboriginal and Torres Strait Islander histories and cultures, Asia and Australia’s engagement with Asia, and sustainability.
ACARA is continuing to develop subjects within the Australian Curriculum, including the languages and work studies curriculums. ACARA is also developing materials to support teachers as the curriculum is being implemented. 
As a part of agreed monitoring and evaluation processes, ACARA is gathering information about the effectiveness of the Australian Curriculum and identifying ways in which the curriculum could be improved over time. Considerations include ensuring the curriculum continues to meet the needs of students in a changing world, is practical for teachers across Australia, reflects best practice nationally and internationally, and requires comparable achievements to those of other high-performing nations. ACARA uses this information to prepare a future work plan for consideration by all education ministers.
ACARA collaborates with other national agencies in supporting the development and implementation of the Australian Curriculum. For example, ACARA continues to work with Education Services Australia regarding online resource discovery and the Australian Institute for Teaching and School Leadership on professional learning requirements for the Australian Curriculum.
Achievements
During 2013–14, ACARA made significant progress in developing the Australian Curriculum. Notable achievements include the following:
•	the Australian Curriculum: Geography Years 11–12 was published in August 2013
•	F–10 Australian Curriculum for health and physical education, economics and business, civics and citizenship, technologies and the arts were noted by education ministers and made available for state and territory use on the Australian Curriculum website in February 2014
•	the F–10 Australian Curriculum for languages for Chinese, French, Indonesian and Italian were noted by education ministers and published on the Australian Curriculum website in June 2014
•	the publication of 132 enhanced student work sample portfolios for F–10 English, mathematics, science and history (comprising over 1080 individual annotated work samples) that illustrate three levels of student achievement at each year level 
•	the addition of 11 illustrations of personalised learning to the student diversity section of the Australian Curriculum website; each illustration presents a view of school-based examples of teaching/learning from diverse school settings.
English, mathematics, science and history
The F–10 Australian Curriculum for English, mathematics, science and history is being implemented in all Australian states and territories. 
Senior secondary curriculums in 14 subjects for English, mathematics, science and history are available on the Australian Curriculum website for state and territory integration and implementation. In 2013 and 2014, ACARA continues to work with states and territories to identify the senior secondary curriculum content that will be integrated into their respective courses, and the timelines and processes for this integration. In 2014, ACARA is collaborating with states and territories that have begun or are soon to begin implementation of courses that incorporate senior secondary Australian Curriculum content, and is developing strategies to improve the achievement standards.
Geography, languages and the arts curriculum development
The senior secondary geography curriculum was endorsed by education ministers in July 2013. In 2014, states and territories are preparing for the planning, teaching and assessment of the F–10 geography curriculum. 
The languages curriculum includes both language-specific curriculum and a framework for Aboriginal Languages and Torres Strait Islander Languages. The organisation of the curriculum addresses the key variables of learner background in the target language and time on task. It also takes account of the different entry points into languages, across F–10 years, which reflects current practice.
During the reporting year, significant progress was made on the development of the Australian Curriculum for languages. Chinese (three pathways) and Italian were approved by the ACARA Board in December 2013, and French and Indonesian were approved in February 2014. The curriculums for Chinese, French, Indonesian and Italian were noted by education ministers, and made available for use; awaiting final endorsement. The curriculums for Arabic, German, Japanese, Korean, Modern Greek, Spanish and Vietnamese, as well as the Framework for Aboriginal Languages and Torres Strait Islander Languages, are due for publication in late 2014. 
The F–10 Australian Curriculum: The Arts (comprising five subjects: dance, drama, media arts, music and visual arts) was endorsed by education ministers in July 2013, subject to further consultation with Western Australia, which has now concluded. In February 2014, the arts curriculum was made available for state and territory use on the Australian Curriculum website.
Technologies, health and physical education, civics and citizenship, and economics and business curriculum development
The technologies curriculum draws together the distinct but related subjects of design and technologies and digital technologies. The technologies curriculum, comprising design and technologies and digital technologies subjects, was noted by education ministers at the November 2013 meeting and has been made available for use by states and territories. As at June 2014, it was awaiting final endorsement.
The health and physical education curriculum is one of five (including English, mathematics, science and history) that is to be taught to all students from Foundation through to Year 10. It comprises two interrelated strands and covers concepts such as the acquisition of movement skills and development of health literacy competencies. The health and physical education curriculum was noted by education ministers at the November 2013 meeting and has been made available for use by states and territories. As at June 2014, it was awaiting final endorsement by education ministers.
The humanities and social sciences learning area has been finished with the addition of economics and business, and civics and citizenship. The humanities and social sciences learning area now comprises four subjects: history, geography, economics and business, and civics and citizenship. 
The civics and citizenship curriculum develops students’ understanding of Australia’s political and legal systems, as well as effective participatory citizenship in contemporary Australian society. The economics and business curriculum equips students to identify and make informed decisions and to respond to contemporary economic and business issues and events in local, national, regional and global contexts. The economics and business and civics and citizenship curriculums were noted by education ministers at the November 2013 meeting and have been made available for use by the states and territories. As at June 2014, both curriculums are awaiting final endorsement by education ministers.
National Trade Cadetships
The draft Australian Curriculum: Work Studies Years 9–10 underwent national consultation from September to December 2013. The ACARA Board approved the revised curriculum in March 2014, for endorsement at the August 2014 meeting of education ministers. 
In light of the Standing Council decision to update the 2001 Vocational Education in Schools framework, the Australian Government is currently considering whether the National Trade Cadetships initiative – in its current form – best meets the needs of industry and students. In May 2014 the Department of Education requested that ACARA pause all work on the Year 11–12 curriculum until further advised.
Primary curriculum
During 2014, ACARA worked with state and territory curriculum directors and peak bodies in primary education to help share approaches being implemented nationally. The authority is implementing a number of strategies to support primary schools in their management of the Australian Curriculum. 
ACARA has completed a video collection illustrating how 10 primary schools from across Australia are successfully managing the Australian curriculum. The video is being prepared for publishing on the Australian Curriculum website, later in 2014. This will assist primary schools to analyse and plan effective ways of engaging with the Australian Curriculum. 
In April 2014, ACARA published and distributed the initial quarterly newsletter entitled Primary Matters to primary schools across Australia. The Australian Primary Principals Association supported the distribution of the newsletter. 
ACARA has developed various ways the Australian Curriculum can be viewed and organised when accessed through the Australian Curriculum website. The increased functionality of the website will be launched in July 2014 and will further support primary teachers and schools with programming and planning. 
To support primary schools and their principals, the authority has been involved in many presentations across Australia regarding the management of the Australian Curriculum in primary schools. 
Senior secondary
In November 2013, ACARA provided SCSEEC with advice in relation to how the content for the 15 endorsed senior secondary Australian Curriculum subjects are, or will be, integrated into state and territory courses. 
In 2014, ACARA established a discussion group with states and territories to develop and undertake a process to improve the Australian Curriculum senior secondary achievement standards. In particular, ACARA is working with the Australian Capital Territory, as the first jurisdiction where teachers have begun to use the senior secondary Australian Curriculum subjects. 
ACARA has established a discussion group with all states and territories to develop agreed processes, options and timelines for further senior secondary Australian Curriculum subjects. 
General capabilities
General capabilities were first published in 2010 and have continued to be strengthened over time. The general capabilities continua, available on the Australian Curriculum website, support teacher understanding of the progression of learning for each capability and how they can be used to enrich teaching and learning. 
As ACARA finalises the development of F–10 Australian Curriculum, intensive work has been undertaken to review the identification of general capabilities in learning area content. This work has involved general capabilities being identified, to the sub-element level, in content descriptions and content elaborations in the following curriculum: English, mathematics, science, history, geography, the arts, health and physical education, technologies, civics and citizenship, economics and business, work studies, and the languages of Chinese, French, Indonesian and Italian.
This process has confirmed that general capabilities are identified in appropriate learning area content and will be used to create a general capabilities view on the Australian Curriculum website. The data collected from this work will be analysed and used in the verification of the general capabilities learning continua, and are contributing to the 2014 report on monitoring the effectiveness of the Australian Curriculum.
Cross-curriculum priorities 
ACARA formed cross-curriculum writing groups with specific learning area and priority expertise, to guide the incorporation of the priorities (in the shaping and writing stages of curriculum development) in each learning area. The development of the priorities continues with the mapping of cross-curriculum priority organising ideas to content across and between all learning areas.
Student diversity
The Students with Disability Advisory Group, which provides ACARA with high-level advice in relation to students with disability, met four times during 2013–14. The group advised on a range of matters, from the structure of the Australian Curriculum for students with disability to suitable adjustments for students to access assessments.
During the latter half of 2013, ACARA enhanced student diversity materials for teachers and school leaders to enable all students, including students with disability, gifted and talented students and students for whom English is an additional language or dialect (EAL/D), to access and participate in the Australian Curriculum. This updated advice is available in the student diversity section of the Australian Curriculum website.
Additionally, new materials were published on the Australian Curriculum website. These are:
•	an extended learning continua for the personal and social capability
•	illustrations of personalised learning (short videos).
The personalised learning videos are examples of high-quality educational practice in various schools and illustrate different approaches that teachers have taken to ensure that all their students are able to access and participate in the Australian Curriculum. 
Recognition of alternative curriculum frameworks
ACARA continues to evaluate well-established, national curriculum frameworks for placement on the authority’s recognition register. Submissions made by the International Baccalaureate Organisation, Steiner Education Australia and the Montessori Australia Foundation, for the recognition of geography, were received in 2013 and have been subject to extensive review. 
Resubmissions are being assessed as part of the 2014 cycle of recognition. Assessments are published in the recognition register on ACARA’s website. The process of recognition is being revised to include the newly available learning areas and subjects. 
New appointments have been made to ACARA’s Recognition Committee and Recognition Review Panel, to ensure the broad representation of sectors, as well as state and territory school registration authorities. 
Monitoring and evaluation
ACARA’s charter requires the authority to advise on the most effective processes for ensuring continuous improvement of the Australian Curriculum. 
Following consultation with states and territories, the ACARA Board in October 2013 approved processes for monitoring and evaluating the effectiveness of the Australian Curriculum. These processes were noted by education ministers in November 2013 and are published on the ACARA website. In accordance with these published processes, the following actions have been undertaken: 
•	state and territory school and curriculum authorities have been invited to contribute reports of their findings by July 2014
•	feedback opportunities have been enhanced on the Australian Curriculum website, including specific mechanisms for each content description and elaboration of each learning area 
•	systematic processes have been established by ACARA for the collection and analysis of data including: state and territory reports, feedback on the Australian Curriculum website, various forms of correspondence, media, research or developments in international curriculum.
The first monitoring report on the findings from monitoring activities will be provided to the ACARA Board in October 2014. The Board will review annual monitoring information to determine if any identified issues warrant evaluation.
Nationally agreed and consistent approaches for assessment and reporting
With the Australian Curriculum being progressively implemented across the country, parents and the broader community can expect greater consistency in the assessment and reporting of student learning and achievement.
ACARA worked with states and territories to consider approaches to identifying areas of consistency in assessment and reporting in each state and territory. ACARA reported the findings from this work to education ministers in November 2013.
Functional enhancements to the Australian Curriculum website
As a result of a usability study of the Australian Curriculum website carried out with teachers and other key stakeholders, a number of changes were recommended to improve visual presentation, content, structure, functionality and navigation.
These recommendations have been implemented and new features of the Australian Curriculum website include: 
•	home page – a ‘what’s new’ section, a general monitoring feedback area, an organised area for guided tours, FAQs, user guides, a state and territory curriculum resource area and a section for Australian Curriculum connections (where content links in and across learning areas are displayed, as are opportunities for course development where content is drawn from two or more learning areas/subjects)
•	navigation – more consistent navigation allows users to better orient themselves on the site
•	mega footer – this feature at the bottom of each learning area page provides quick and direct access to learning areas and subjects 
•	feedback icon – this relates to content descriptions, content elaborations, general capabilities and cross-curriculum priorities and allows feedback to be monitored
•	curriculum views – this provides the ability to compare year/band level descriptions, content descriptions, achievement standards across a number of year levels
•	improved search engine – searches can be filtered through extra criteria such as year level
•	print/download – provides printed material in both PDF and Word format.
A beta version of the Australian Curriculum website’s new design was released in April 2014, with the existing Australian Curriculum website still being available for three months. This overlap period allowed ACARA to receive feedback from stakeholders, make required revisions and allow users to acquaint themselves with the new site features. The beta version will be released as version 7.0 of the Australian Curriculum website in July 2014.

Future directions
ACARA will continue the development of Australian curriculum for Arabic, German, Japanese, Korean, Modern Greek, Spanish and Vietnamese, as well as the Framework for Aboriginal Languages and Torres Strait Islander Languages. Publication is scheduled for late 2014.
In 2014 and 2015, ACARA will continue to work with schools across Australia to expand the number of portfolios of annotated student work samples for geography. ACARA will also develop portfolios of annotated student work samples for the arts, technologies, health and physical education, economics and business, civics and citizenship, and languages.
ACARA will work with states and territories to prepare advice on the integration and implementation of existing senior secondary Australian Curriculum subjects, as well as options for the development of further senior secondary curriculum. The authority will also continue its support for the management of the curriculum in primary schools.
Throughout 2014, the refinement of general capabilities in the Australian Curriculum will continue through verification processes. Work will also include refining website presentation to allow users to search and view information related to general capabilities.
The Australian Government’s Review of the Australian Curriculum will report to the Minister in mid-2014. ACARA will develop a plan of work and related budget for Board approval in response to SCSEEC’s agreed revisions to the Australian Curriculum.

2.2 Provision of a national assessment program
Overview
The National Assessment Program (NAP) is the means by which governments, education authorities and schools can determine whether or not young Australians are reaching important educational goals. The NAP also monitors progress towards the outcomes and targets of the Melbourne Declaration and those of the Council of Australian Governments (COAG).
As children progress through their school years, it is very important that checks are made along the way to see how well they are learning the skills of reading, writing, and mathematics – essential skills that will set them firmly on the path to success as adults.
It is important for parents to know that the National Assessment Program – Literacy and Numeracy (NAPLAN) is not a pass or fail test. It simply looks at what level students are achieving in literacy and numeracy against the national standard and compared with their peers throughout Australia.
NAPLAN assesses literacy and numeracy skills that students are already learning through the school curriculum. Children can prepare for NAPLAN through studying a broad, rich curriculum. On its own, NAPLAN is not a test that can be studied for and students are not expected to do so.
The elements of the NAP managed by ACARA are NAPLAN and the NAP Sample Assessments in Science Literacy, Civics and Citizenship, and Information and Communication Technology Literacy.
NAP tests are constructed to assess knowledge, understanding and skills appropriate for students in particular year levels, to be interesting and engaging to students throughout Australia, and to challenge students at all levels of ability.
NAPLAN
NAPLAN testing in the domains of reading, writing, language conventions and numeracy began in 2008. It is expected that all students in Year 3, 5, 7 and 9 sit the tests to provide a national picture of performance.
ACARA is responsible for the management of the test development process, including selection of subject matter, the creation of test items for review and trial, and the selection of test items for inclusion in the final tests.
Administration of the tests is managed by states and territories and contractors, which are responsible for printing and distributing the final materials, and for working directly with schools on test administration matters.

Achievements
NAPLAN 2014 test development process
The test development process is necessarily rigorous and comprehensive. For each new cycle it takes about 18 months to two years to produce high-quality tests. For example, development of items for the 2014 NAPLAN tests began in November 2012, with review and feedback by states and territories continuing through to July 2013. This preparation ensured the successful delivery of item trialling in August 2013.
NAPLAN equating and analysis
To ensure valid comparisons can be made between student performances across time, an equating study is routinely carried out immediately prior to and immediately following the test period. This equating study allows tests in future years to be measured on the same performance scale as previous tests. This process underpins the reports provided to parents, schools, as well as state, territory and federal governments.
NAPLAN 2014 equating
The equating study for the 2014 NAPLAN tests was carried out from late April to early May 2014, with students in approximately 240 schools (which subsequently participated in the 2014 NAPLAN tests). The equating analysis began in June 2014.
NAPLAN 2013 performance
In September 2013, ACARA provided the scaled test results of over one million students to states and territories for use in schools and for distribution to parents. ACARA also published the NAPLAN Summary (Preliminary) Report in September 2013, which provided an initial overview of NAPLAN outcomes across Australia.
The provision of individual student reports (ISRs) to schools, and hence distribution to parents, was delayed by up to six weeks in some jurisdictions. The delay was due to an error in the placement of data on two of the four report shells provided by ACARA to jurisdictions for the printing of the ISRs. ACARA has since undertaken a rigorous review of the ISR production process. For 2014, ACARA will implement a much improved ISR development process using new technology to significantly increase the precision of data placement on the reports. A new quality assurance process will also be put in place to further decrease the risk of errors in future ISR print files.
In December 2013, ACARA released the comprehensive 2013 NAPLAN National Report which provided a more detailed analysis of the 2013 test outcomes, including a detailed breakdown according to a number of characteristics such as sex, language background other than English, location and indigenous status. The report indicated that performance largely remained steady across year levels and domains.
NAPLAN test integrity
Reports of improper conduct remain rare in the context of all the students and schools participating in NAPLAN across the country.
In December 2013, ACARA published the fourth annual report on 2013 NAPLAN test incidents (which are breaches of the National Protocols for Test Administration) on the ACARA website.
This report reinforces the fact that teachers and schools work hard to ensure the integrity of NAPLAN tests. This is demonstrated by both the very small number of incidents across the entire country, as well as by the increasing numbers of schools reporting their own inadvertent breaches.
The report also showed a reduction in the already small number of substantiated claims of schools acting with intent to gain advantage, compared to both 2011 and 2012. There continues to be an increase in self-reporting of test incidents by schools, highlighting a greater awareness of the test protocols and an understanding of the processes for reporting irregularities. Incidents were generally of limited impact and of an administrative nature, such as accidental handling or inappropriate storage of tests.
ACARA continued to work with stakeholders during 2013 to bring greater consistency to the presentation of the test incidents report and develop a broader understanding of the nature of test incidents.
NAPLAN 2014 administration
ACARA coordinated the delivery of over one million NAPLAN tests to students between 13 and 15 May 2014, in collaboration with test administration authorities in each state and territory. These tests were administered in accordance with the agreed framework of ACARA’s National Protocols for Test Administration.
The protocols were developed in consultation with test administration authorities and establish both the standards and quality controls necessary for the efficient and equitable administration of the tests. These protocols also address such areas as test material security; uniform testing conditions; common directions and information to students, teachers and principals; and guidelines for providing adjustments in test sessions for students with disability.
ACARA has worked with the states and territories and contractors to enable a faster delivery of tables for the preparation of students’ reports. This is being undertaken so that parents and schools may have the NAPLAN reports earlier than has previously been the case. Additionally, ACARA is working on an alternative mechanism for the earlier delivery of the national summary report tables.
NAPLAN future directions
ACARA constantly reviews its testing program to ensure that it is of the highest standard with regard to quality, accessibility, test content and structure.
Online assessment research 
At SCSEEC’s direction, ACARA conducted research into the feasibility of delivering NAPLAN tests online. Initial findings from pilot studies in 2012 were promising and research continued with a number of studies in 2013 and 2014.
In August 2013, ACARA investigated the feasibility of proposed multistage, branching test design (tailored test design) for the implementation of NAPLAN as a computer-delivered assessment. More than 23 000 tests in reading, numeracy and writing were delivered in 250 schools during the trial period. 
In some schools, researchers carried out cognitive interviews with students, designed to investigate the impact of the test design on students’ test-taking behaviour and to gather information about students’ interactions with key branching testlets.
A particular focus was given to how the test may better accommodate Indigenous students and students with socioeconomic disadvantage. 
Research activities also focused on options made possible by online assessment delivery such as automated essay scoring and technically enhanced item types.
Studies in 2014 will finalise the measurement aspects of the tailored test design. 
National assessment platform
ACARA worked with Education Services Australia on the initial development of a national online assessment capability with priority given to work on an item authoring system, to develop items for online assessment, including items for the National Assessment Program.
Alignment of NAPLAN assessments with Australian Curriculum
Currently, the content of the NAPLAN tests is informed by the curriculum and learning frameworks of states and territories (with reference to the national Statements of Learning).
From 2016, the NAPLAN assessments will be aligned with the Australian Curriculum, using an assessment framework that ACARA has developed in consultation with states and territories.
NAP Sample Assessments
Test development for NAP Sample Assessments uses an equally rigorous and comprehensive process as that used for NAPLAN. For each new assessment cycle, it takes about two and a half years to produce the high-quality tests and the public report that is subsequently published. As such, work is occurring on a number of cycles at any one time. In the 2013–14 year the following has occurred:
NAP – Science Literacy 2012
The public report on the 2012 NAP – Science Literacy assessment was released in December 2013.
In October 2012, approximately 13 000 students in 600 schools sat the NAP – Science Literacy sample assessment. This assessment comprised a pencil and paper test, a practical task involving groups of three students (including an individual response) and a student survey.
NAP – Civics and Citizenship 2013
In October 2013, approximately 12 000 students in 670 schools sat the NAP – Civics and Citizenship sample assessment online. The national public report is due to be released later in 2014.
NAP – ICT Literacy 2014
A field trial for this assessment was held in March 2014. The data collected from the trial are being used to inform planning and preparation for the main study to be carried out in October and November 2014 with a sample of students. This sample assessment will be delivered online.
NAP – Science Literacy 2015
Work began on the test development process for the 2015 NAP – Science Literacy assessment. A review of the Science Literacy assessment framework also began, to align the existing framework with the F–10 Australian Curriculum: Science. For the first time, NAP – Science Literacy will be delivered online and will assess the Australian Curriculum.
Future directions of NAP Sample Assessments
SCSEEC has accepted ACARA’s advice to continue on the current cycle of NAP Sample Assessments until 2015. ACARA will review and develop options for NAP Sample Assessments from 2016 onwards.
National Assessment Program 2013–14 at a glance: 
•	Around five million NAPLAN test books printed
•	Over one million students in Year 3, 5, 7 and 9 participated in NAPLAN tests
•	Ten NAPLAN marking centres across Australia
•	1816 NAPLAN test markers
•	About 12 thousand students in 670 schools participated in the civics and citizenship sample test	

2.3 Provision of a national data collection and reporting program
Overview
ACARA is committed to working with all school sectors to enhance and expand public reporting on school education in Australia. The aim is to publish information that is relevant locally and nationally, that is timely, consistent and comparable, and that can be used to improve school performance and student outcomes. ACARA publishes information through the My School website, the National Report on Schooling in Australia, the NAP Sample Assessment reports, as well as the NAPLAN summary and national reports.
Achievements
My School 2014
The My School website provides the opportunity for educators, parents and the wider community to view updated information on all schools across Australia, and to make comparisons between them. My School also provides an opportunity for everyone to learn more about Australian schools and for Australian schools to learn more from each other. 
My School builds on the past years of sharing information with the Australian public about the performance and resources of more than 9500 schools throughout the country. The website presents a detailed profile on all schools, including outcomes from NAPLAN.
The fifth version of My School was released on 5 March 2014, with that day attracting a 72 per cent increase in visits on the 2013 figure. This year was another consolidation period, with limited changes to the site. The updated site provides:
•	a new map/school location function
•	an enhanced process for the calculation of Index of Community Socio-Educational Advantage (ICSEA), with ICSEA values that are more representative of each school
•	the latest (2013) profile and population data on each school
•	outcomes from the 2013 round of NAPLAN testing, plus six years of NAPLAN data for comparison
•	the latest financial figures on each school, including capital expenditure and sources of funding
•	generic information on each school’s profile page regarding school satisfaction reporting.
National Report on Schooling in Australia 
ACARA is responsible under its charter for compiling the annual National Report on Schooling in Australia on behalf of SCSEEC. Reports are prepared in consultation with jurisdictions and school sectors via ACARA’s National Report on Schooling Working Group. The report provides a range of statistical and other information on schooling in Australia, but its key focus is to report on progress towards the Melbourne Declaration on Educational Goals for Young Australians. The report also addresses key strategies and joint commitments for schooling and details the nationally agreed key performance measures (KPMs) defined in the Measurement Framework for Schooling in Australia.
The National Report on Schooling in Australia 2011, with the exception of Parts 7 and 8, was published on the ACARA website in August 2013, following approval by SCSEEC. Part 8 was published in June 2014 and Part 7 will be published later in 2014.
During 2013–14, the National Report on Schooling in Australia 2012, the fourth annual report on schooling to be produced by ACARA, was prepared and is due to be published early in the second half of 2014. ACARA also began the collection of data for the 2013 report. 
Measurement Framework for Schooling in Australia
The Measurement Framework for Schooling in Australia provides the basis for national reporting on the performance of schooling in Australia as agreed by education ministers. It defines the national KPMs for schooling, specifies the data sources for the KPMs and outlines the reporting cycle for the following period.
ACARA is responsible for revisions to the framework, in consultation with jurisdictions and sectors. The authority maintains the framework on behalf of SCSEEC and undertakes a full review of the framework at least every three years. 
The current edition of the framework, the Measurement Framework for Schooling in Australia 2012, was approved and published following a full review undertaken in 2012. ACARA will initiate a further periodic review of the measurement framework in consultation with all jurisdictions and school sectors as well as other relevant government agencies in 2014–15.
National school opinion survey
ACARA worked with service delivery partner Education Services Australia (ESA) to deploy a survey response data collection tool (School Survey) in August 2013. Schools and schooling systems across all states and territories and sectors accessed the tool to collect school opinion data from parents/caregivers, students and staff.
School Survey gives participating schools and schooling systems a way to collect information about their communities’ perceptions. The system also allows schools to share relevant response data with their administrative body in real time, where agreed.
Nationally agreed parent, staff and student satisfaction surveys are made available to schools by jurisdictions that opt to use them, either via School Survey or locally available data collection processes. Schools and systems may elect to use responses to these items as the basis for school satisfaction reporting required by the Australian Education Regulation 2013.
Schools are required by the Standing Council to publish their data in their annual reports with links to the My School website. My School contains a section on each school profile page referring readers to the school’s annual report for information on school satisfaction.
National Standards for Student Attendance Data Reporting
To enable nationally comparable reporting, ACARA finalised the National Standards for Student Attendance Data Reporting in late 2012, in collaboration with jurisdictions and sectors.
These standards will apply from 2014 onwards for all jurisdictions and sectors. This will allow the reporting of the national key performance measures (KPM) for student attendance in the National Report on Schooling in Australia and other reports from 2015.
At the direction of COAG and SCSEEC, ACARA also began work in May 2014 on the development of new national and school measures for student attendance data.
Senior secondary outcomes
At the direction of COAG and SCSEEC, ACARA undertook work on new national definitions and measures for senior secondary outcomes. These measures are intended to supplement existing measures of progress towards COAG targets for the completion of Year 12, or equivalent, using administrative data. This work was undertaken through ACARA’s Senior Secondary Outcomes Working Group. 
Future directions
ACARA will continue to compile the National Report on Schooling in Australia. In the coming year, the authority will undertake work on the reports for 2013 and 2014.
ACARA will initiate a periodic review of the Measurement Framework for Schooling in Australia, including consideration of a new KPM for student attendance data, building on the work of ACARA’s Student Attendance Data Working Group. Possible new performance measures for Year 12, or equivalent attainment/completion, will also be considered in the light of further work through the working group.
In preparation for future updates to the My School website, ACARA will continue to collaborate with stakeholders to identify a more consistent way of reporting schooling outcomes and indicators. This effort will include consideration of extra information covering the following areas: student attendance, senior secondary outcomes, post-school destinations, students with disability.
My School 2014 at a glance: 
•	Period: 5 March to 30 June 2014      
•	There were 555 081 visitors to My School 2014      
•	There were 340 465 unique visitors to My School 2014	

Management and Accountability
3.1 Governance and management framework
Overview
ACARA maintains a strong commitment to transparent and ethical corporate governance.
Among other responsibilities, ACARA Board members are required to disclose to their fellow directors any material personal interest they may have in a matter relating to the affairs of the authority. So that Board members can disclose potential or actual conflicts they might otherwise be unaware of, a list is provided at each Board meeting of any major procurement undertaken since the previous meeting. A record of all disclosures is maintained by ACARA.
ACARA’s Code of Conduct articulates the standards of behaviour expected from staff. These standards reflect ACARA’s values, which staff must adhere to in the performance of their duties.
ACARA’s governance and advisory structure allows for input and advice from key stakeholder groups and experts. This advice helps:
the Executive in making recommendations to the ACARA Board and to the Standing Council
ACARA in achieving the objectives and outcomes set out in its charter in a collaborative way.
Curriculum Committee
The Curriculum Committee is chaired by Professor Barry McGaw, AO, PhD, and comprises eight members. It was established on 7 February 2013, when there was a significant volume of curriculum development activity, to make decisions and provide advice to the Board on matters relating to the development of the Australian Curriculum.
Audit and Risk Committee
The ACARA Board established an Audit and Risk Committee at its second meeting on 29 June 2009 in compliance with section 32 of the CAC Act.
The committee was chaired by Ms Dianne Kerr until her retirement from the Board on 7 May 2014. The committee usually comprises five or six members, including one or two members who are independent of the Board. At the end of June, the committee had three members. Two or three new members will be appointed in 2014–15. The Audit and Risk Committee provides assurance and assistance on ACARA’s risk, control and compliance framework and its external accountability responsibilities.
Insurance and indemnities
During 2013–14, ACARA held insurance protecting directors and officers from liability for the consequences of managerial misconduct or negligence, to the extent that the provision of the indemnity is not prevented by applicable legislation. 

3.2 Risk management
Overview
ACARA has in place a risk management policy and a risk management framework. These set expectations and guidelines for risk management at all levels of the organisation. The aims are to:
enable ACARA to proactively identify and manage its risks in a systematic and structured way
integrate the risk management process into strategic and business planning
promote risk awareness and attention to the ongoing review, treatment, monitoring and reporting of risks throughout the organisation.
The structure of ACARA’s documents and the corresponding implementation process – including terminology, assessment and evaluation criteria – are based on the Australian Standard Risk management – Principles and guidelines (AS/NZS ISO 31000:2009).
ACARA established an internal Project and Risk Gateway Group in early 2014 to provide consistent oversight and strengthening of project risk management, as well as identification of risks for inclusion in the corporate risk register.
Fraud control
Under Australian Government policy, there is a requirement for all agencies to have in place a fraud control plan. The core objectives of the fraud control plan and policy are to identify potential fraud risk categories to which ACARA is exposed and to outline responsibilities for fraud control. The relevant standards are Risk management – Principles and guidelines (AS/NZS ISO 31000:2009) and Australian Standard Fraud and corruption control (AS 8001–2008).
ACARA’s fraud control policy and code of conduct were both updated to address legislative and other changes. The updated policy was provided to staff with advice about changes to whistleblowing provisions, as well as guidance around handling gifts and benefits offered by stakeholders or service providers, while engaged in ACARA business.

3.3 Financial management
ACARA’s ﬁnancial accountability and reporting responsibilities are set out in the CAC Act and are based on the efﬁcient, effective and ethical use of allocated resources. ACARA works within a ﬁnancial control framework which ensures it administers its responsibilities appropriately and effectively. 
Financial performance and future operations
Analysis of financial performance
ACARA operated within its annual budget for 2013–14 and reported a small operating surplus of $191,000. 
The percentage breakdown of expenditure for 2013–14 across the ﬁve business units was as follows: Curriculum including NTC (24.9%), Assessment and Reporting including NASOP (47.4%), Communications and Strategic Relations (2.9%), Ofﬁce of the CEO including the ACARA Board (11.3%) and Corporate Services (13.5%). This expenditure enabled a range of achievements during 2013–14, including releasing NAPLAN 2013 summary and national reports; continuation of the NAP sample assessments; conduct of the 2014 NAPLAN tests; release of My School 2014; publication of the senior secondary Australian Curriculum: Geography. It also enabled completion of F–10 curriculum for technologies, health and physical education, economics and business, civics and citizenship, the arts and four languages, which have been noted by ministers and are available for use on the Australian Curriculum website. This funding also enabled ACARA to develop annotated samples of student work, and illustrations of personalised learning in diverse schooling contexts to support teachers as they take up the Australian Curriculum.
ACARA continued its substantial research and consultation work – supported by funding from the Department of Education – to develop tests that can be administered online. ACARA continued to work with Education Services Australia, which is developing the platform for online assessment, the Department of Education and representatives from all school sectors, to progress work towards NAPLAN online. The ongoing development of the Australian Curriculum involves extensive consultation with teachers and other experts from around Australia and trialling in schools across all sectors. 
Staff comprised seconded personnel from state and territory education agencies, direct hire employees and temporary/agency staff. Due to the number of key personnel seconded from other agencies in addition to projects such as NASOP and the NTC initiative, the associated costs continue to contribute to some of the larger ﬁnancial transactions with third parties. 
ACARA is a collaborative initiative funded 50 per cent by the Australian Government and 50 per cent by the states and territories of Australia. The Standing Council on School Education and Early Childhood, which comprises all the funding parties, approved $109.2M of funding to meet ACARA’s operational requirements for the quadrennium of 1 July 2012 to 30 June 2016. 
Factors that have affected or may affect operations
No major ﬁnancial factors have impacted ACARA’s operations to date. ACARA’s operations are dependent on funding from state, territory and Commonwealth governments. 
Reportable events
Under section 15 of the CAC Act, ACARA must notify the federal Minister for Education of ‘signiﬁcant events’ as deﬁned in the Act. ACARA experienced no events reportable under these provisions in 2013–14. 
3.4 Communications and strategic relations
A key accountability of the ACARA Communications and Stakeholder Management Strategy is to establish and maintain strong working relationships with external partners and stakeholders. 
ACARA’s partners and stakeholders are diverse and committed and offer their time to ACARA generously. The Communications and Strategic Relations team’s goal is to work to manage the expectations and communication needs of all partners and stakeholders. 
The team’s work during 2013–14 has focused on improving understanding of partners and stakeholders, including how and when they wish to receive information, so that ACARA can continue to engage with them more effectively. 
ACARA’s partner and stakeholder map has been reviewed and expanded, with broader engagement, participation and consultation in ACARA’s decision-making, including with non-traditional stakeholder groups. 
From this research and planning, ACARA has delivered a number of new initiatives and provided wider and more sustained engagement with partners and stakeholders. Initiatives introduced during the past year include:
•	unique, creative and innovative approaches to communications and stakeholder management, including greater use of technology and videos and increased focus and reliance on two-way communications 
•	monthly CEO videos that allow ACARA to leverage the success of YouTube as the world’s fastest growing social media platform
•	improvements to the ACARA Update newsletter, which now has over 30 000 subscribers 
•	introduction of an ACARA blog, allowing for in-depth discussion of educational issues 
•	use of targeted surveys that improve ACARA’s understanding of stakeholders’ engagement and communication needs
•	use of stakeholder briefings for peak executive and national bodies (directly engaged in ACARA’s work), prior to release of major ACARA projects such as My School, national reports and NAPLAN 
•	establishment of a corporate communications calendar to assist with forward planning and improved communication with partners and stakeholders 
•	establishment of a National Assessment Program National Communications Group, to provide opportunities for communications experts to collaborate, share information and provide advice to ACARA on NAP communication activities 
•	development of ACARA’s social media on multiple platforms 
•	improved consultation with partners and stakeholders through technology-based workshops and roadshows. 
ACARA will continue to improve its communications and stakeholder management by using commonly available technologies leading to: 
•	more transparent and improved consultation processes with partners and stakeholders 
•	enhanced ability to genuinely communicate and engage with all stakeholders and partners, particularly those with limited budgets or those in regional and remote environments
•	wider contribution from parents and teachers on key decisions
•	improved ability to receive partner and stakeholder feedback 
•	cost-effective consultation with a wider range of partners and stakeholders.
Social media
Social media allows ACARA to engage and connect more widely and to directly communicate with its partners and stakeholders in a timely and sustained way. ACARA has continued to grow its social media presence on Twitter, Facebook, YouTube, LinkedIn and Instagram. As at 30 June 2014, ACARA had more than 2600 Twitter followers. At the same time last year, ACARA was not active in social media. This exponential growth has resulted in increased engagement with key stakeholders (particularly teachers), more targeted communications to industry professionals and improved communication with the general public. 
Media mentions
In 2013–14, there was a significant increase in positive media mentions of ACARA and its work. This increase in positive media is due to ACARA taking a more proactive role in its communications and stakeholder engagement and responding more promptly to public commentary about key ACARA work such as NAPLAN, My School and the Australian Curriculum. 
Presentations and publications
ACARA executive and staff members have presented at national and international conferences as key speakers and published articles and editorials in newspapers, journals and industry publications.
Communicating with stakeholders
ACARA’s monthly newsletter ACARA Update is sent to 30 000 subscribers – including teachers, principals, parents, education authorities and government departments – providing up-to-date information and latest news about ACARA. 
There were 883 953 user sessions of the ACARA website www.acara.edu.au this year. Affiliate websites also experienced a high volume of traffic. The Australian Curriculum website www.australiancurriculum.edu.au had 3.4 million user sessions, myschool.edu.au had 1.5 million user sessions and nap.edu.au had 939 012 user sessions. 
As the Communications and Strategic Relations team ends the reporting year, it has completed work leading to:
•	more engaged stakeholders with enhanced support and cooperation 
•	enhanced proactive communications messaging 
•	increased positive stories about ACARA and its work.

3.5 Workforce management
Overview
ACARA’s staff are committed to improving learning outcomes for young Australians. 
The authority is a respected training ground and launch pad for professional career development. ACARA’s unique environment requires that it meets the highest standards in every aspect of its work – across all of the programs and projects it delivers. 
ACARA recognises that the diversity of Australian students and their families must be reflected in the diversity of its people. ACARA people bring energy and passion to their work.
Highlights
In 2013–14, ACARA continued to focus on establishing a supportive and productive workplace environment that balances the need for a healthy work–life mix with the challenges of delivering core projects within short timeframes.
Key areas of work include: 
•	development and implementation of ACARA’s values: collaboration, respect, integrity, professionalism and passion
•	embedding of the ACARA enterprise agreement
•	development of the Learning and Professional Development Plan for 2014–2016
•	reorganisation of the Curriculum business unit to support the monitoring and evaluation aspects of the curriculum that have been implemented nationally
•	elevation of the Communications and Strategic Relations function to the Executive.
The Communications and Strategic Relations team works closely with the HR team to establish, maintain and grow internal communications. ACARA’s internal communications channels have been used to inform and educate staff about ACARA’s values. These channels include: all staff meetings, ACARA intranet, internal newsletters and videos.
The HR team in collaboration with the rest of the organisation is responsible for ensuring the enterprise agreement supports the needs of the staff and the organisation and including performance and recognition reviews.
The Director, Communications and Strategic Relations began with ACARA in July 2013. A revised Communications and Strategic Relations strategy and plan has been developed, and a restructure of the Communications team (including incorporating Strategic Relations into the team) has been completed.
Organisational structure
ACARA is made up of five business units. The two core business activities of Curriculum, and Assessment and Reporting, are supported by Communications and Strategic Relations, Corporate Services and the Office of the Chief Executive Officer (which includes the Board Secretariat). 
The Assessment and Reporting business unit’s responsibilities include the National Assessment Program, development and deployment of the My School website, and preparation and release of the National Report on Schooling in Australia. 
Within the Curriculum business unit, responsibilities are assigned for each of the learning areas/subjects under development. In addition, staff work across teams with defined responsibilities for other key elements of the curriculum such as general capabilities and cross-curriculum priorities.
The Office of the CEO is responsible for statutory reporting, governance (corporate risk management, providing secretariat support for the Board and Audit and Risk Committee), legal advice, contracts and procurement, and policy coordination. 
Communications and Strategic Relations is responsible for managing the expectations and communication needs of ACARA’s partners and stakeholders, as well as establishing and maintaining strong working relationships with both groups. 
Corporate Services is responsible for finance, information and communication technology, human resources and business services. ACARA engages specialist outsourcing partners as a cost-effective means of accessing high-quality finance and IT services to complement in-house capability.
Staff profile
As at 30 June 2014, ACARA’s workforce comprised 109 direct hires, as well as four staff on secondment from state and territory agencies.
A key aspect of ACARA’s work involves collaboration with a broad network of advisory and reference groups from the states and territories. Although members of these groups are not represented in ACARA’s staff profile, they make a significant national contribution to ACARA’s work and achievements.
Executive team
The executive team is responsible for ACARA’s day-to-day operations and contributing to ACARA’s strategic direction. The team has evolved with ACARA and comprised the following staff over the course of the financial year:
•	Chief Executive Officer: Mr Robert Randall (from November 2012)
•	General Manager, Curriculum: Dr Phil Lambert PSM (from April 2013)
•	General Manager, Assessment and Reporting: Mr Peter Adams (from December 2011 to May 2014)
•	Director, Communications and Strategic Relations: Ms Robyn Ziino (from July 2013)
•	Chief Operating Officer: Ms Deborrah Lambourne (from September 2010).

Chief Executive Officer: Mr Robert Randall
Robert Randall was appointed as Chief Executive Officer in November 2012. He has worked at ACARA since 2009 and was previously Deputy CEO and General Manager, Curriculum. Prior to joining ACARA, Robert was General Manager of the Interim National Curriculum Board.
Robert has significant experience and success in curriculum, assessment and reporting projects, from design through to implementation, at both state and national levels. He led the development of the F–10 Australian Curriculum in English, mathematics, science and history, which are at various stages of implementation across Australian states and territories.
Robert began his career as a teacher of mathematics in Perth, before holding a range of positions within and beyond schools in Western Australia, including Project Leader, Monitoring Standards in Education; Manager, Assessment and Reporting with the Education Department and Principal Consultant, Interim Curriculum Council of Western Australia. In 1996, Robert was appointed Director, Curriculum with the NSW Board of Studies and in 2001 took up the position of Director of Curriculum K–12 with the NSW Department of Education and Training.

General Manager, Curriculum: Dr Phil Lambert PSM FACE FACEL
Adjunct Associate Professor, University of SydneyAdjunct Professor, Nanjing Normal University, China
Phil Lambert has extensive experience in education as a principal, inspector, policy director, assistant director-general, regional director and general manager. He has authored and co-authored books and presented a number of papers and keynote speeches at state, national and international conferences, covering a range of topics.
Phil has a Master in Educational Administration and Management and in 2001 completed his doctorate at the University of Sydney. In 2006, he was conferred Adjunct Associate Professor at the University of Sydney and in 2011, Adjunct Professor at Nanjing Normal University, China. He is also a Fellow of the Australian College of Educators and the Australian Council for Educational Leaders. In May 2013, he was Visiting Professor at Southern Taiwan University of Science and Technology.
Phil has overseen a number of major policy initiatives in New South Wales in early childhood, primary education, rural education and Aboriginal education. He has received a number of honours, awards and acknowledgements during his career. In the 2012 Queen’s Birthday Honours, Phil was awarded the Public Service Medal for his outstanding contribution to education in New South Wales.
Chief Operating Officer: Ms Deborrah Lambourne
Deborrah Lambourne is a senior executive with experience as chief operating officer and chief financial officer. She was Director, Financial Strategy and Planning and General Manager, Project Management Office at the University of Sydney.
Deborrah has a strong track record in strategic planning, implementing change management initiatives to achieve greater organisational effectiveness and return on investment.
She has worked in the higher education, financial services and consumer finance sectors.
General Manager, Assessment and Reporting: Mr Peter Adams
Peter Adams was General Manager, Assessment and Reporting at ACARA until May 2014. Peter had responsibility for the National Assessment Program, which includes NAPLAN and the sample assessments in science literacy, ICT literacy and civics and citizenship. 
Peter project-directed the introduction  of NAPLAN, starting in 2008, and, was responsible for project directing the scope and specification of the Schools Data and Reporting System, which became the My School website.
Peter was also responsible for other aspects of ACARA’s performance data reporting, such as the annual National Report on Schooling in Australia and the provision of data for key performance measurement programs, such as COAG Reform Council reporting.
Director, Communications and Strategic Relations: Ms Robyn Ziino 
Robyn Ziino is responsible for ACARA’s ongoing positive collaboration with its partners and stakeholders, so they are informed and updated regularly on ACARA’s work via appropriate communications and stakeholder relationship initiatives.
Robyn is ACARA’s media spokesperson. She manages all external and internal communications, including monitoring of media, newsletters, publications and social media. Robyn is also ACARA’s Freedom of Information Officer and an authorised officer for the purposes of the Public Interest Disclosure Act 2013.
Robyn has a strong track record covering the fields of stakeholder relations, communication, law, compliance, government relations and regulation, having worked across these fields in various private sector industries for over 20 years.
Robyn holds a Master of Arts in Professional Communication (major in journalism and public relations), as well as Honours degrees in law, English literature and criminology. She is a qualified lawyer and a certified compliance professional by the Australasian Institute of Compliance.

Financial Performance
4.1 Statement by Directors
4.2 Independent auditor’s report

4.3 Financial statements
Statement of Comprehensive Income for the Year Ended 30 June 2014
	Note 	2014
$’000         	2013
$’000	
NET COST OF SERVICES
Expenses
Employee benefits
Supplier expenses
Depreciation and amortisation
Total expenses

Own Source Income
Revenue
Revenue from jurisdictions
Interest
Other revenue
Total own source revenue

Net cost of (contribution by) services
Revenue from government

Surplus attributable to the Australian Government
Other comprehensive income			
Total comprehensive income / (deficit) attributable to the Australian Government	

3(a)
3(b)
3(c)

4(a)
4(c)
4(d)

4(b)	

14,761
22,721
756
38,238

14,500
172
2
14,674

  (23,564)
     23,755

191
-
191	

13,914
24,602
862
39,378

15,450
281
215
15,946

(23,432)
23,816

384
-
384

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

Statement of Financial Position as at 30 June 2014
	Note 	2014
$’000    	2013
$’000    	
Assets
Financial assets
Cash and cash equivalents
Trade and other receivables
Total financial assets
Non-financial assets
Land and buildings
Plant and equipment
Intangibles
Other non-financial assets
Total non-financial assets
Total assets

Liabilities
Payables
Suppliers
Grants in advance (deferred revenue)
Other payables
Total payables
Provisions
Employee provisions
Total provisions
Total liabilities

Net assets
Equity
Retained surplus (accumulated deficit)
Total equity

5(a)
5(b)

6(a)
6(b.c)
6(d.e)
6(f)

7(a)
7(b)
7(c)

8	

12,647
5,778
18,425

1,110
293
15
90
1,508
19,933

6,865
7,471
1,493
15,829

1,677
1,677
17,506

2,427

2,427
2,427	

9,638
1,833
11,471

1,643
288
59
235
2,225
13,696

6,762
1,425
1,703
9,890

1,570
1,570
11,460

2,236

2,236
2,236	

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

Statement of Changes in Equity for the Year Ended 30 June 2014
	Retained     Earnings
2014  $’000   	Retained     Earnings
2013  $’000   	Total 
Equity
2014
$’000     	Total 
Equity
2013
$’000   	
Opening Balance
Balance carried forward from previous period
Adjusted opening balance
Comprehensive Income
Surplus for the period(s)
Total comprehensive income
Closing balance as at 30 June
	
2,236
2,236

191
191
2,427	
1,852
1,852

384
384
2,236	
2,236
2,236

191
191
2,427	
1,852
1,852

384
384
2,236	

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

Cash Flow Statement for the Year Ended 30 June 2014
	Note 	2014
$’000  	2013
$’000  	
Operating Activities
Cash received	
Receipts from jurisdictions	
Interest
Net GST received
Other cash received	
Total cash received	
Cash used	
Employees	
Suppliers	
GST paid 	
Total cash used	
Net cash from operating activities	

Investing Activities
Cash received
Investments 	
Total cash received	
Cash used	
Purchase of plant and equipment		
Total cash used	
Net cash by investing activities

Financing Activities
Net cash used by financing activities
Net increase in cash held
Cash and cash equivalents at the beginning of the reporting period
Cash and cash equivalents at the end of the reporting period

	
 4(c)
	
 4(d)	

	

	
9(b)	

	

	

	
	
 5(a)	

40,373
172
1,525
2  
42,072

(14,486)
(22,856)
(1,537)
(38,879)
3,193

-
-

(184)
(184)
(184)

-
3,009
9,638
12,647	

39,179
281
-
115
39,575

(16,075)
(17,649)
(417)
(34,141)
5,434

-
-

(190)
(190)
(190)

-
5,244
4,394
9,638	

Cash Flow Statement for the Year Ended 30 June 2014
	Note 	2014
$’000  	2013
$’000  	
Operating Activities
Cash received	
Receipts from jurisdictions	
Interest
Net GST received
Other cash received	
Total cash received	
Cash used	
Employees	
Suppliers	
GST paid 	
Total cash used	
Net cash from operating activities	

Investing Activities
Cash received
Investments 	
Total cash received	
Cash used	
Purchase of plant and equipment		
Total cash used	
Net cash by investing activities

Financing Activities
Net cash used by financing activities
Net increase in cash held
Cash and cash equivalents at the beginning of the reporting period
Cash and cash equivalents at the end of the reporting period

	
 4(c)
	
 4(d)	

	

	
9(b)	

	

	

	
	
 5(a)	

40,373
172
1,525
2  
42,072

(14,486)
(22,856)
(1,537)
(38,879)
3,193

-
-

(184)
(184)
(184)

-
3,009
9,638
12,647	

39,179
281
-
115
39,575

(16,075)
(17,649)
(417)
(34,141)
5,434

-
-

(190)
(190)
(190)

-
5,244
4,394
9,638	

Schedule of Commitments as at 30 June 2014
		2014
$’000  	2013
$’000  	
By Type
Commitments receivable	
Net GST recoverable on commitments
Total commitments receivable
Commitments payable
Other commitments
Operating leases1	
Project commitments	
Total commitments payable	
Net commitments by type	

By Maturity
Commitments receivable
Other commitments receivable
Within 1 year
Within 1 to 5 years
Total other commitments receivable
Total commitments receivable
Commitments payable
Operating lease commitments
Within 1 year
Within 1 to 5 years	
Total operating leases commitments1
Project commitments2	
Within 1 year	
Within 1 to 5 years	
Total project commitments
Total commitments payable
Net commitments by maturity

(898)
(898)

3,162
6,716
9,878
8,980

(578)
(320)
(898)
(898)

1,499
1,663
3,162

4,858
1,858
6,716
9,878
8,980	

(1,007)
(1,007)

4,243
6,839
11,082
10,075

(717)
(290)
(1,007)
(1,007)

1,369
2,874
4,243

6,521
318
6,839
11,082
10,075

1 Operating leases represent the accommodation at 255 Pitt St, Sydney to July 2016. 
2 Project commitments represent ACARA contracts for the provision of services from curriculum writers and advisors, experts in assessment and reporting from various agencies, organisations and individuals throughout Australia, as well as corporate service providers.

4.4 Notes to financial statements
Index to the Notes to the Financial Statements for the year ended 
30 June 2014

Note  Contents	

1	Summary of significant accounting policies	
2	Events After the reporting period	
3	Expenses	
4	Own-source income	
5	Financial assets	
6	Non-financial assets	
7	Payables	
8	Provisions	
9	Cash flow reconciliation	
10	Contingent assets and liabilities	
11	Directors remuneration	
12	Related party disclosures	
13	Senior executive remuneration	
14	Remuneration of auditors	
15	Financial instruments	
16	Financial assets reconciliation	
17	Compensation and debt relief	
18	Fair value measurement 	
18	Reporting of outcomes	

1. Summary of Significant Accounting Policies
1.1 Objectives of the Entity
The entity is an Australian Government controlled entity and not-for-profit entity. 
The entity is structured to meet the following outcomes: 
Outcome 1: to improve the quality and consistency of school education in Australia through the development of a national curriculum.
Outcome 2: development of a national assessment program.
Outcome 3: data collection and school performance reporting system
The continued existence of the entity in its present form and current programs is dependent on the Standing Council on Education and Early Childhood policy, and on continued funding by Commonwealth, State and Territory governments.
1.2 Basis of Preparation of the Financial Report
The financial statements and notes are general purpose financial statements required by clause 1(b) of Schedule 1 to the Commonwealth Authorities and Companies Act 1997.
The financial statements and notes have been prepared in accordance with:
Finance Minister’s Orders (FMO) for reporting periods ending on or after 1 July 2011; and
Australian Accounting Standards and Interpretations 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 is 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 of the financial position.
The financial statements are presented in Australian dollars and values are rounded to the nearest thousand dollars unless otherwise specified.
Unless an alternative treatment is specifically required by an accounting standard or the FMOs, assets and liabilities are recognised in the statement of financial position when and only when it is probable that future economic benefits will flow to the entity or a future sacrifice of economic benefits will be required and the amounts of the assets and liabilities can be reliably measured. However, assets and liabilities arising under executor contracts are not recognised unless required by an accounting standard. Liabilities and assets that are unrecognised are reported in the schedule of commitments or the schedule of contingencies.
Unless alterative treatment is specially required by an accounting standard, income and expenses are recognised in the Statement of Comprehensive Income when, and only when, the flow consumption or loss of economic benefits has occurred and can be reliably measured.
1.3 Significant Accounting Judgements and Estimates
No significant accounting assumptions and estimates have been made that would have a significant impact on the amounts recorded in the financial statements.
1.4 New Australian Accounting Standards
Adoption of New Australian Accounting Standard Requirements
Standard/Interpretation	Summary	
AASB 119 Employee Benefits	The impact of AASB 119 did not have a material impact in the current reporting period.	

No accounting standard has been adopted earlier than the application date as stated in the standard.
Future Australian accounting standard requirements
New standards, amendments to standards, and interpretations issued by the AASB are applicable to future reporting periods and are not expected to have a material financial impact on ACARA.
Standard/Interpretation	Applicable for annual reporting periods beginning or ending on	Summary	
AASB 1055 Budgetary Reporting	2014-2015	Expected to have no significant impact.	
AASB 10 Consolidated Financial Statements	2014-2015	Expected to have no significant impact.	
AASB 9 Financial Instruments	1 July 2016	Expected to have no significant impact.	
AASB 2010-7 Amendments to Australian Accounting Standards arising from AASB 9 (December 2010)	1 July 2016	Expected to have no significant impact.	
Interpretation 21 Levies	2014-2015	Expected to have no significant impact.	
AASB 2013-3 Recoverable Amount Disclosures for 
Non-financial Assets	2014-2015	Expected to have no significant impact.	

1.5 Revenue
The revenues described in this note are revenues relating to the core activities of ACARA.
Revenue from jurisdictions
Revenue from jurisdictions is recognised when:
•	ACARA has obtained control of the revenue or the right to receive the revenue;
•	The revenue can be reliably measured; and
•	It is probable that the economic benefits associated with the transaction will flow to the entity.
The distribution of government grant income for the initial four years of ACARA was determined by the Ministerial Council on Education, Employment, Training and Youth Affairs (MCEETYA) following its April 2009 meeting. Funding for ACARA for the next four years was determined by the Ministerial Council for Education, Early Childhood Development and Youth Affairs (MCEECDYA) at its October 2011 meeting. As at 30 June 2014, the relevant body was the Standing Council on School Education & Early Childhood (SCSEEC). 
Grants received in advance
Where ACARA receives grants in advance of the period to which the funds, or for specific projects for which work is yet to be completed, the grant is recognised in the Statement of Financial Position as a liability, Grants In Advance. At 30 June 2014 the amount recognised was $7,471,245 (2013: $1,425,350) this consisted of a 2014/15 annual contributions from jurisdictions and the Commonwealth.
Interest revenue
Interest revenue is recognised using the effective interest rate method as set out in AASB 139 Financial Instruments: Recognition and Measurement.
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 the resources is recognised as an expense.
1.6 Lease incentive, plant and equipment
Asset recognition threshold
Purchases of plant and equipment are recognised initially at cost in the Balance Sheet, except for purchases costing less than $1,000, 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.
Lease incentives relate to the right to use the office fit-out being plant and equipment. It is recognised at fair value on the establishment of the lease. 
Revaluations
Fair values for each class of asset are determined as shown below:
Asset class
Leasehold incentives
Infrastructure, plant and equipment     	Fair value measurement
Depreciated replacement cost
Depreciated replacement cost	

Following initial recognition at cost, plant and equipment were carried at fair value less subsequent accumulated depreciation and accumulated impairment losses. Valuations were 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 were made on a class basis. Any revaluation increment was credited to equity under the heading of asset revaluation reserve except to the extent that it reserved a previous revaluation decrement of the same asset class that was previously recognised directly in the surplus/deficit except to the extent that they reserved 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.
Depreciation
Depreciable plant and equipment assets are written-off to their estimated residual values over their estimated useful lives to ACARA using, in all cases, the straight-line method of depreciation. 
Depreciation rates, 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.

Furniture & fittings
Leasehold improvements
Equipment	2014
6.75 years
6.75 years
3 years	2013
6.75 years
6.75 years
3 years	

Impairment 
All assets were assessed for impairment at 30 June 2014. 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 value.
The recoverable amount of an asset is the higher of its fair value less costs to sell 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 entity 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.

1.7 Intangibles
ACARA’s intangibles comprise of software and are carried at cost less accumulated amortisation and accumulated impairment losses.
Software is amortised on a straight line method over the anticipated useful life. The useful lives of ACARA’s software are 3 years.
All assets were assessed for indications of impairment as at 30 June 2014.
1.8 Employee benefits
Liabilities
Liabilities for services rendered by employees are recognised at the reporting date to the extent that they have not been settled.
Liabilities for short-term employee benefits (as defined in AASB 119) and termination benefits expected within twelve months of the balance date are measured at their nominal amounts.
The nominal amount is calculated with regard to the rates expected to be paid on settlement of the liability.
All other employee benefit liabilities are measured at the present value of the estimated future cash outflows to be made in respect of services provided by employees up to the reporting date.
Leave
The liability for employee benefits includes provision for annual leave and long service leave. No provision has been made for sick leave as all sick leave entitlements are non-vesting and the average sick leave taken in future years by employees of ACARA is estimated to be less than the annual entitlement for sick leave.
The leave liabilities are calculated on the basis of the employees’ remuneration at the estimated salary rates that will be applied at the time the leave is taken, including ACARA’s employer superannuation contribution rates to the extent that the leave is likely to be taken during the service rather than paid out on termination.
The liability for long service leave has been determined by reference to the Australian Government shorthand method. In applying this method, the accrued long service leave for each employee as at reporting date is probability weighted, based on the Australian Government probability profile. The amount obtained for each employee is then discounted using the ten year Treasury bond rate. The estimate of the present value of the liability takes into account attrition rates and pay increases through promotion and inflation.
Separation and redundancy
ACARA recognises a provision for termination when it has developed a detailed formal plan for terminations and has informed those employees affected that it will carry out terminations. 
Superannuation
Upon commencing employment with ACARA, employees nominate an approved superannuation scheme of their choice. 
No ACARA employees are members of a defined benefits scheme. ACARA contributes a minimum of 9.75% of superannuable salaries on behalf of its employees. The liability for superannuation recognised as at 30 June represents outstanding contributions for the final month of the year.
1.9 Leases
A distinction is made between finance leases and operating leases. Finance leases effectively transfer from the lessor to the lessee substantially all the risks and rewards incidental to ownership of leased assets. An operating lease is a lease that is not a finance lease. In operating leases, the lessor effectively retains substantially all such risks and benefits.
Where an asset is acquired by means of a finance lease, the asset is capitalised at either the fair value of the lease property or, if lower, the present value of minimum lease payments at the inception of the contract and a liability is recognised at the same time and for the same amount.
The discount rate used is the interest rate implicit in the lease. Leased assets are amortised over the period of the lease. Lease payments are allocated between the principal component and the interest expense.
Operating lease payments are expensed on a straight-line basis which is representative of the pattern of benefits derived from the leased assets. 
1.10 Cash
Cash and cash equivalents includes notes and coins held and any 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. Cash is recognised at its nominal amount.
1.11 Financial assets
ACARA classifies its financial assets as 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’.
Effective interest rate method
The effective interest method is a method of calculating the amortised cost of a financial asset and of allocating interest income over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset, or, where appropriate, a shorter period. Income is recognised on an effective interest rate basis except for financial assets at fair value through profit or loss.
Loans and receivables
Trade receivables, loans and other receivables that have fixed or determinable payments that are not quoted in an active market are classified as loans and receivables. They are included in current assets, except for maturities greater than 12 months after the balance date. These are classified as non-current assets. Loans and receivables are measured at amortised cost using the effective interest method less impairment. Interest is recognised by applying the effective interest rate.
Impairment of financial assets
Financial assets are assessed for impairment at each balance date.
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.
Available-for-sale financial assets—if there is objective evidence that an impairment loss on an available-for-sale financial asset has been incurred, the amount of the difference between its cost, less principal repayments and amortisation, and its current fair value, less any impairment loss previously recognised in expenses, is transferred from equity to the Statement of Comprehensive Income.
Financial assets held at cost—if there is objective evidence that an impairment loss has been incurred, the amount of the impairment loss is the difference between the carrying amount of the asset and the present value of estimated future cash flows discounted at the current market rate for similar assets.
1.12 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’.
Financial liabilities at fair value through profit or loss
Financial liabilities at fair value through profit or loss are initially measured at fair value. Subsequent fair value adjustments are recognised in profit or loss. The net gain or loss recognised in profit or loss incorporates any interest paid on the financial liability.
Other financial liabilities
Other financial liabilities are initially measured at fair value, net of transaction costs. These liabilities are subsequently measured at amortised cost using the effective interest method, with interest expense recognised on an effective yield basis.
The effective interest method is a method of calculating the amortised cost of a financial liability and of allocating interest expense over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash payments through the expected life of the financial liability, or, where appropriate, a shorter period.
Supplier and other payables
Supplier and other payables are recognised at their nominal amounts, being the amounts at which the liabilities will be settled. Liabilities are recognised to the extent that the goods or services have been received (and irrespective of having been invoiced).
1.13 Contingent liabilities and contingent assets
Contingent liabilities and contingent assets are not recognised in the Statement of Financial Position but are reported in the relevant schedules and notes. They may arise from uncertainty as to the existence of a liability or asset, or represent an existing liability or asset in respect of which settlement is not probable or the amount cannot be reliably measured. Contingent assets are disclosed when settlement is probable but not virtually certain and contingent liabilities are recognised when settlement is greater than remote.                                                                                                  
1.14 Taxation
ACARA is exempt from income tax. All other forms of taxation are applicable.
Revenues, expenses and assets are recognised net of GST except:
where the amount of GST incurred is not recoverable from the Australian Taxation Office; and
for receivables and payables.
1.15 Insurance
ACARA has insured for risks through the Government’s insurable risk managed fund, Comcover. In addition ACARA holds a Workers Compensation policy with the Governments insurer Comcare.
1.16 Comparatives
Where required by Accounting Standards comparative figures have been adjusted to conform with changes to presentation for the current financial year. Comparative figures represent financial transactions for the period 1 July 2012 to 30 June 2013.
2. Events After The Reporting Period
Professor Emeritus Brian Caldwell, Ms Valerie Gould, Dr Paul Sharkey, Ms Patrea Walton, Mr Stephen Gniel and Cr Michael Hewitson were appointed to the ACARA Board on 7 July 2014.
ACARA is not aware of any events occurring after the reporting date that warrants disclosure or recording in the financial statements.

3. Expenses
	2014
$’000	2013
$’000	
3(a): Employee benefits
Wages and salaries 
	Superannuation – defined contribution plans	
	Leave and other entitlements	
Separations and redundancies
Total employee benefits	

3(b): Suppliers
Goods and services
Secondments, casual staff, contractors and consultants
Item development and testing
Website development and maintenance
Travel and accommodation
Staff related expenses - payroll tax and recruitment
Consultants – curriculum development
Office infrastructure
IT expenses
Other operational expenditure

Goods supplied in connection with
Related parties
External parties
Total goods supplied

Services rendered in connection with
Related parties
External parties
Total services rendered
Total goods and services supplied or rendered

Other supplier expenses
Operating lease rentals in connection with
External parties
Minimum lease payments
Workers compensation expense
Total other suppliers 
Total suppliers	
11,889
1,265
1,137
470
14,761

5,481
9,893
977
1,060
1,073
1,183
427
565
1,434
22,093

-
550
550

5,729
15,814
21,543
22,093

497
131
628
22,721
	
10,864
1,072
1,978
-
13,914

6,937
7,113
1,332
1,439
947
2,284
401
1,748
1,653
23,854

-
583
583

5,136
18,135
23,271
        23,854

595
153
748
24,602	
3(c): Depreciation and amortisation
Plant and equipment
Intangibles
Total depreciation and amortisation	
712
44
756	
714
148
862	

4. Own-Source Income
	2014
$’000	2013
$’000	
	Own Source
	4(a): Revenue from Jurisdictions
	State and Territory Governments
Total revenue from jurisdictions

Government				
4(b): Revenues from Government			
Australian Government - Department of Education
Total revenue from Government

4(c): Interest
Deposits
Total interest
	
4(d): Other Revenue
Resources received free of charge - services 
Total other revenue	
         14,500
14,500

23,755
23,755

172
172

2
2	

15,450
15,450

23,816
23,816

281
281

215
215

5. Financial Assets
	2014
$’000	2013
$’000	
	5(a): Cash and cash equivalents
	Cash on hand or on deposit
Total cash and cash equivalents

5(b): Trade and other receivables
Goods and services receivables in connection with
Related parties
External parties
Total goods and services receivables

Other receivables:
GST
Total trade and other receivables

Trade and other receivables expected to be recovered 	
No more than 12 months	
More than 12 Months	
Total trade and other receivables	

Trade and other receivables are aged as follows
Not overdue
Overdue by:
0 to 30 days
30 to 60 days
60 to 90 days
More than 90 days
	Total trade and other receivables 	
12,647
12,647

278
5,261
5,539

239
5,778

5,778
-
5,778

887

-
2,778
-
2,113
5,778
	
9,638
9,638

-
1,612
1,612

221
1,833

1,833
-
1,833

1,823

-
-
-
10
1,833	
There are no trade and other receivable impairments for this year or last year. Credit terms for goods and services receivable are 30 days from the due date.

6. Non-Financial Assets
	2014
$’000	2013
$’000	
6(a): Land and Buildings
Leasehold incentives
Fair value
Accumulated depreciation 
Total leasehold incentives

6(b): Plant and Equipment
Fair value
Accumulated depreciation
Total plant and equipment
Total non-financial assets 	

3,554
(2,444)
1,110

976
(683)
293
1,403	

3,554
     (1,911)
1,643

854
(566)
288
1,931

No indications of impairment were found for leasehold incentives, plant and equipment.
Revaluations are conducted in accordance with the revaluation policy stated at note 18. 
No revaluation or decrements were recorded during the year.
6(c): Reconciliation of Opening and Closing Balances Leasehold incentives, Plant and Equipment 2014

	Leasehold improvements 
$’000	Plant and equipment 
$’000	Total
$’000	
As at 1 July 2013
Additions – by purchase
Depreciation / amortisation expense
Net book value at 30 June 2014
	1,643
-
(533)
1,110	288
184
(179)
293	1,931
184
(712)
1,403	
Reconciliation of Opening and Closing Balances Leasehold Incentives, Plant and Equipment 2013

	Leasehold improvements 
$’000	Plant and equipment 
$’000	Total
$’000	
As at 1 July 2012
Additions – by purchase
Disposals
Depreciation / amortisation expense
Net book value at 30 June 2013	2,175
-
-
(532)
1,643	289
181
-
(182)
288
	2,464
181
-
(714)
1,931	

6(d): Intangibles
	2014
$’000	2013
$’000	
	Computer software
Software at cost
Accumulated amortisation 
Total computer software
Total Intangibles
	
599
(584)
15
15 	
599
(540)
59
59	
No indications of impairment were found for intangibles. No intangibles are expected to be sold or disposed 
of within the next 12 months.
6(e): Reconciliation of Opening and Closing Balances Intangibles (software)

	2014
$’000	2013
$’000	
	Total as at 1 July 2013
Additions –external purchases
Disposals
Amortisation expense
Total as at 30 June 2014	59
-
-
(44)
15	199
8
-
(148)
59	

6(f): Other Non-Financial Assets
	2014
$’000	2013
$’000	
	Prepayments – no more than 12 months
Total other non-financial assets	90
90
	235
235
	
No indicators of impairment were found for other non-financial assets.

7. Payables
	2014
$’000	2013
$’000	
	7(a): Suppliers
	Trade creditors and accruals
	Operating lease rentals
Total suppliers
Suppliers expected to be settled
No more than 12 months
More than 12 months
Total suppliers
Suppliers in connection with
Related parties
External parties
Total suppliers
Settlement was usually made net 30 days

7(b): Grants in advance
	State Grant 2014/15 Contribution
Commonwealth Project Funds
Total grants in advance

	7(c): Other payables
	Wages and salaries
	Superannuation
Provision for redundancies
	Rent subsidy – 255 Pitt St Sydney
Total other payables

Other payables are expected to be settled
No more than 12 months
More than 12 months
Total other payables	
6,865
-
6,865

6,865
-
6,865

1,783
5,082
6,865

7,471
-
7,471

327
32
148
986
1,493

957
536
1,493	
6,762
-
6,762

6,444
318
6,762

 4,377
2,385
6,762

1,425
-
1,425

285
25
-
1,393
1,703

688
1,015
1,703	

8. Provisions
	2014
$’000	2013
$’000	
Employee provisions
Leave
Total employee provisions
Employee provisions expected to be settled
Not more than 12 months
More than 12 months
Total employee provisions
	
1,677
1,677

1,030
647
1,677	
1,570
1,570

933
637
1,570	

9. Cash Flow Reconciliation
Reconciliation of cash and cash equivalents as per Statement of Financial Position to Cash Flow Statement
		2014
$’000	2013
$’000	
	(a) Cash and cash equivalents as per:
	Cash flow statement
	Statement of financial position
	Discrepancy
	
(b) Reconciliation of net cost of services 
to net cash from operating activities	
	Net cost of services
	Add revenue from Government and Interest
	Total comprehensive income / (deficit) 
	Adjustments for non-cash items
	Depreciation / amortisation
	Leasehold incentive
	Changes in assets/liabilities:
	(Increase) / Decrease in net receivables
	(Increase) / Decrease in other non-financial assets
	Increase / (Decrease) in suppliers payables  
	Increase / (Decrease) in grants in advance
	Increase / (Decrease) in other payables
	Increase / (Decrease) in employee provisions
	Net cash from operating activities

5(a)	
12,647
12,647
-

(38,238)
38,429
191

756
-

(3,946)
145
102
6,046
(208)
107
3,193	
9,638
9,638
-

(39,378)
39,762
384

862
-

13,504
(169)
4,588
(14,115)
(371)
751
5,434	

10. Contingent Assets and Liabilities
There are no contingent assets or liabilities at 
30 June 2014.

11. Directors’ Remuneration
The number of directors of ACARA included 
in these figures is shown below in the relevant remuneration bands.
	2014	2013	
$Nil - $29,999
$30,000 - $59,999
$60,000 - $89,000
$90,000 - $119,999
Total number of non-executive directors 

The total remuneration received or due and receivable by non-executive directors of ACARA
	11
1
-
1
13

$206,194
	13
1
-
1
15

$189,504	

The directors of ACARA are appointed 
by the Minister for Education

12. Related Party Disclosures
The following persons were Directors of ACARA during the year:
Professor Barry McGaw, Mr Anthony Mackay, Mr Tom Alegounarias, Dr Brian Croke, Ms Lesley Englert, Mr John Firth, Mr Angus James, Ms Dianne Kerr, Mr Garry Le Duff, Ms Helen Wildash, Professor Patrick Garnett, Ms Liz Banks and Ms Susan Bowden.

The following directors retired at 7th of May 2014: Mr Anthony Mackay, Dr Brian Croke, Ms Lesley Englert, Mr Angus James and Mr Garry Le Duff.
Several directors of ACARA held directorships or senior roles with other companies or government agencies. All transactions between ACARA and companies with a Director or key management personnel common to ACARA are conducted using commercial and arm-length principles.

	2014
$	2013
$	
	Transactions with directors or director related entities	5,333,864	5,136,365	
Details of companies and government agencies which ACARA has engaged for services and in which ACARA Directors are associated.
	2014
$	2013
$	
	Australian Council for Educational Research
Education Services Australia
Victorian Curriculum Assessment Authority
SA Dept. of Education and Child Development
University of Melbourne
Queensland Dept. of Education, Training and Employment
WA School Curriculum and Standards Authority
Office of Board of Studies, Teaching and Educational Standards NSW
Department of Education Tasmania
Association of Independent Schools of South Australia
Northern Territory Dept. of Education 

	4,485,325
943,545
62,036
27,856
40,663
1,018
29,636
108,096
10,810
18,821
775
5,728,581	3,798,855
601,499
275,377
563
56,090
2,004
318,805
-
42,452
29,789
10,931
5,136,365	

13. Senior Executive Remuneration
13(a). Senior Executive Remuneration Expense for the Reporting Period
	2014
$	2013
$	
Short-term employee benefits:
Salary
Change in annual leave provisions
Allowances
Total short-term employee benefits

Post-employment benefits:
Superannuation
Total post-employment benefits

Other long-term benefits:
Annual leave accrued
Long-service leave
Total other long-term benefits

Termination benefits
Total senior executive remuneration expenses
	 
1,344,093
21,769
-
1,365,862

 120,091
120,091

36,991
36,991

-
1,522,944	 
898,784
44,446
-
943,230

76,517
76,517

31,357
31,357

-
1,051,104	
Notes
1. Note 13a was prepared on an accrual basis. There were no bonus payments during the year 2013/14.
2. Note 13a excludes acting arrangements and part-year service where remuneration expensed was less than $195,000.

13(b). Average Annual Reportable Remuneration Paid to Substantive Senior Executives During the Reporting Period

Average annual reportable remuneration paid to substantive senior executives in 2014
Average annual reportable remuneration1	Substantive
Senior Executives	Reportable Salary2	Contributed Superannuation3	Reportable allowances	Bonus Paid	Total Reportable Remuneration	
	No.	$	$	$	$	$	
Total remuneration
(including part-time
arrangements):

less than $195,000
$195,000 to $224,999
$225,000 to $254,999
$285,000 to $314,999
$405,000 to $434,999

Total	

-
1
1
2
1

5	

-
201,045
218,067
270,280
384,421

-
19,602
24,811
25,339
25,000

-
-
-
-
-

-
-
-
-
-

-
220,647
242,878
295,619
409,421

Average annual reportable remuneration paid to substantive senior executives in 2013
Average annual reportable remuneration	Substantive
Senior Executives	Reportable Salary	Contributed Superannuation	Reportable allowances	Bonus Paid	Total Reportable Remuneration	
	No.	$	$	$	$	$	
Total remuneration
(including part-time
arrangements):

less than $195,000
$225,000 to $254,999
$285,000 to $314,999
$375,000 to $404,999

Total	

1
1
1
1

4	

49,164
215,919
268,705
364,996

4,547
23,520
23,450
25,000

          

-
-
-
-

           	

-
-
-
-

	

53,711
239,439
292,155
389,996
	
Notes                                                                                                        
1 This table reports substantive senior executives who received remuneration during the period. Each row is an averaged figure based on headcount for individuals in the band.
2 ˋReportable salaryˊ includes the following:
a) Gross payments
b) Reportable fringe benefits; and
b) Salary sacrificed benefits

3 The ˋcontributed superannuationˊ amount is the average cost to the entity for the provision of superannuation benefits to     substantive senior executives in that reportable remuneration band during the reporting period.

13c. Other Highly Paid Staff
Average annual reportable remuneration  to other highly paid staff in 2014
Average annual reportable remuneration1	Other Highly Paid Staff	Reportable Salary2	Contributed Superannuation	Reportable allowances	Bonus Paid	Total Reportable Remuneration	
	No.	$	$	$	$	$	
Total remuneration (including part-time arrangements):

$195,000 to $224,999
$255,000 to $284,999

Total number of other highly paid staff	

2
1

3	

186,122
260,645	

27,265
23,155

      
-
-

-
-

213,387
283,800

Average annual reportable remuneration to other highly paid staff in 2013
Average annual reportable remuneration1	Other Highly Paid Staff	Reportable Salary2	Contributed Superannuation	Reportable allowances	Bonus Paid	Total Reportable Remuneration	
	No.	$	$	$	$	$	
Total remuneration (including part-time arrangements):

$195,000 to $224,999

Total number of other highly paid staff

2

2

180,089	

16,559	

-

                                       	

-

	

196,6569	
Notes                                                                                                        
1 This table reports staff:
a) who are employed by the entity during the reporting period;
b) whose reportable remuneration was $195,000 or more for the financial period; and 
c) were not required to be disclosed in Tables A, B or director disclosures.
 Each row is an averaged figure based on headcount for individuals in the band.
2 ˋReportable salaryˊ include the following:
a) gross payments (less any bonuses paid, which are separated out and disclosed in the ˋbonuses paidˊ column);
b) reportable fringe benefits (at the net amount prior to ‘grossing up’ for tax purposes);
c) salary sacrificed benefits
The ‘contributed superannuation’ amount is the average cost to entity for the provision of superannuation benefits to substantive senior executives in that reportable remuneration band during the reporting period.
‘Reportable allowances’ are the average actual allowances paid as per the ‘total allowances’ line on individual’s payment summaries.

14. Remuneration of Auditors
Financial statement audit services provided by the Australian National Audit Office (ANAO)
	2014             $	2013                 $	
	Fair value of the services provided
Financial statement audit services
	
47,500	
45,000	

No other services were provided by the ANAO.

15. Financial Instruments
(a) Categories of financial instruments
		2014
$’000	2013
$’000	
Financial Assets
Loans and receivables
Cash on hand or cash equivalents                                                         
Trade and other receivables                                                                   
Total loans and receivables
Total financial assets

Financial liabilities
Financial liabilities measured at amortised costs
Trade creditors
Other payables                                                                                     
Total financial liabilities measured at amortised cost
Total financial liabilities

5(a)
5(b)

7(a)       
7(c)       	

12,647
5,539
18,186
18,186

6,865
1,493
8,358
8,358

9,638
1,612
11,250
11,250

6,762
1,703
8,465
8,465
	
Note GST is not a financial instrument and has not been included.

Fair value of financial instruments
The fair value of each class of ACARA’s financial assets and liabilities equal the carrying amount for the current reporting period.
(b) Net gains or lossess on financial assets
		2014
$’000	2013
$’000	
Loans and receivables
Interest revenue from deposits
Net gain from loans and receivables
Net gain from financial assets
	
4(c)	
172
172
172	
281
281
281	

(c) Credit risk
ACARA is exposed to minimal credit risk as financial assets consist of cash held with NAB and trade receivables. The maximum exposure to credit risk is the risk that arises from potential default of a debtor. This amount is equal to the total amount of trade receivables $5,539,962 (2013: $1,612,351).
For debtors other than government, it is ACARA’s policy to only deal with entities with high credit ratings.
There are no financial assets that have had their terms renegotiated so as to prevent them from being past due or impaired, and they are stated at the carrying amounts as indicated. The following tables disclose the ageing of financial assets that are past due:
The following table illustrates ACARA’s exposure to credit risk, excluding any collateral or credit enhancements.
		2014
$’000	2013
$’000	
Financial assets
Trade and other receivables: 
Debtors
Total

5(b)	

5,539
5,539	

1,612
1,612	

Credit quality of financial instruments not past due or individually determined as impaired

	

Debtors
Total
	Not past due nor impaired 
2014 
$’000

648
648	Not past due nor impaired 
2013 
$’000

1,602
1,602	Past due or 
impaired 
2014 
$’000

4,891
4,891	Past due or 
impaired 
2013 
$’000

10
10	

(d) Liquidity risk
ACARA financial liabilities are payables. The exposure to liquidity risk is based on the notion that ACARA will encounter difficulty in meeting obligations associated with its financial liabilities. This is unlikely as ACARA manages its budgeted funds to ensure it has adequate funds to meet payments as they fall due.
On Demdand	Within 1 year $’000	1-2 years $’000	Total $’000	
Maturities for non-derivative financial liabilities in 2014 

Trade creditors
Total

7(a)	

6,865
6,865	

-
-	

6,865
6,865	

On Demdand	Within 1 year $’000	1-2 years $’000	Total $’000	
Maturities for non-derivative financial liabilities in 2013

Trade creditors
Total
	7(a)	

6,444
6,444	

318
318	

6,762
6,762	

ACARA had no derivative financial liabilities in either 2014 or 2013

(e) Market risk
ACARA holds basic financial instruments that did not expose ACARA to certain market risks, such as ‘Currency risk’ and ‘Other price risk’.
(f) Interest rate risk
ACARA exposure to interest rate risk is limited to interest bearing deposits held with banks. ACARA does not hold any interest-bearing liabilities.
(b) Net gains or lossess on financial assets
		2014
$’000	2013
$’000	
Loans and receivables
Interest revenue from deposits
Net gain from loans and receivables
Net gain from financial assets
	
4(c)	
172
172
172	
281
281
281	

(c) Credit risk
ACARA is exposed to minimal credit risk as financial assets consist of cash held with NAB and trade receivables. The maximum exposure to credit risk is the risk that arises from potential default of a debtor. This amount is equal to the total amount of trade receivables $5,539,962 (2013: $1,612,351).
For debtors other than government, it is ACARA’s policy to only deal with entities with high credit ratings.

There are no financial assets that have had their terms renegotiated so as to prevent them from being past due or impaired, and they are stated at the carrying amounts as indicated. The following tables disclose the ageing of financial assets that are past due:
The following table illustrates ACARA’s exposure to credit risk, excluding any collateral or credit enhancements.
		2014
$’000	2013
$’000	
Financial assets
Trade and other receivables: 
Debtors
Total

5(b)	

5,539
5,539	

1,612
1,612	

Credit quality of financial instruments not past due or individually determined as impaired

	

Debtors
Total
	Not past due nor impaired 
2014 
$’000

648
648	Not past due nor impaired 
2013 
$’000

1,602
1,602	Past due or 
impaired 
2014 
$’000

4,891
4,891	Past due or 
impaired 
2013 
$’000

10
10	

(d) Liquidity risk
ACARA financial liabilities are payables. The exposure to liquidity risk is based on the notion that ACARA will encounter difficulty in meeting obligations associated with its financial liabilities. This is unlikely as ACARA manages its budgeted funds to ensure it has adequate funds to meet payments as they fall due.
On Demdand	Within 1 year $’000	1-2 years $’000	Total $’000	
Maturities for non-derivative financial liabilities in 2014 

Trade creditors
Total

7(a)	

6,865
6,865	

-
-	

6,865
6,865	

On Demdand	Within 1 year $’000	1-2 years $’000	Total $’000	
Maturities for non-derivative financial liabilities in 2013

Trade creditors
Total
	7(a)	

6,444
6,444	

318
318	

6,762
6,762	
ACARA had no derivative financial liabilities in either 2014 or 2013

(e) Market risk
ACARA holds basic financial instruments that did not expose ACARA to certain market risks, such as ‘Currency risk’ and ‘Other price risk’.
(f) Interest rate risk
ACARA exposure to interest rate risk is limited to interest bearing deposits held with banks. ACARA does not hold any interest-bearing liabilities.

16. Financial Assets Reconciliation
	2014
$’000	2013
$’000	
Financial assets
Total financial assets as per statement of financial position
Less: non-financial instrument components
Other receivables
Total non-financial instrument components	
Total financial assets per financial instruments note
		
18,425

239
239
18,186	
11,471

221
221
11,250	

17. Compensation and Debt Relief
There were no Act of Grace payments, or payments made under s73 of the Public Service Act 1999 or waivers during 2013-14 (2012-13: nil).
18. Fair Value Measurement
18(a) Fair value measurements
The following table provides an analysis of assets and liabilities that are measured at fair value.
The different levels of hierarchy are defined below.
Level 1: Quoted prices (adjusted) in active markets for identical assets or liabilities that the entity can access at measurement date.
Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly.
Level 3: Unobservable inputs for the asset or liability.

Fair value measurements at the end of the reporting period using hierarchy for assets and liabilities in 2014
Fair value
$’000	Level 1 
inputs $’000	Level 2 inputs $’000	Level 3 inputs $’000	
Non-financial assets
Lease incentives
Plant and equipment

Total fair value measurements of assets 
in the statement of financial position	
1,110
293

1,403
	
-
-

-
	
-
-

-
	
1,110
293

1,403

18(b): Level 1 and level 2 transfers for recurring fair value measurements
Recurring fair value measurements transferred between level 1 and level 2 for assets and liabilities
There has been no transfer between level 1 and level 2 for fair value measurement during 2013-2014.

18(c) Valuation technique and inputs for level 2 and level 3 fair value measurements
Level 2 and 3 measurements – valuation technique and the inputs used for assets and liabilities during 2014
	Category                      	Fair value
$’000	Valuation technique1	
Non-financial assets
Lease incentives
Other plant and equipment
	
Level 3
Level 3

1,110
293

Current replacement cost  
Current replacement cost 

1 No change in valuation technique occurred during the year.

Recurring and non-recurring level 3 fair value measurements – valuation processes 
Management have used  current replacement cost which reflects depreciated cost price on the basis that plant and equipment is less than three years old. Depreciation is calculated using standard rates.
18(d) Reconciliation for recurring level 3 fair value measurements 

Recurring level 3 fair value measurements – reconciliation for assets
	Non-financial assets	
	Other plant and equipment
2014
$’000	Total
2014
$’000	
Opening balance
Purchases
Disposals
Closing balance	288
184
(179)
293	288
184
(179)
293	

19. Reporting of Outcomes
ACARA’s work contributes towards the Outcome of improved quality and consistency of school education in Australia through a national curriculum, national assessment, data collection and performance reporting system, as described in Note 1.
a) Net cost of outcome delivery
	Outcome 		Total	

Expenses
Employee benefits
Supplier expenses
Depreciation and amortization
Total expenses

Own-source income
Revenue from jurisdictions
Interest
Other revenue
Total own source income
Net cost / (contribution of outcome)	2014
$’000

14,761
22,721
756
38,238

14,500
172
2
14,674
23,564
	2013
$’000

13,914
24,602
862
39,378

15,450
281
215
15,946
23,432
	2014
$’000

14,761
22,721
756
38,238

14,500
172
2
14,674
23,564
	2013
$’000

13,914
24,602
862
39,378

15,450
281
215
15,946
23,432

b) Major classes of assets and liabilities by outcome
	Outcome 		Total	

Assets
Cash and cash equivalents
Trade and other receivables
Other non-financial assets
Plant and equipment
Intangibles
Total assets

Liabilities
Suppliers
Grants in advance (deferred revenue)
Other payables
Employee provisions
Total liabilities	2014
$’000

12,647
5,778
90
1,403
15
19,933

6,865
7,471
1,493
1,677
17,506
	2013
$’000

9,638
1,833
235
1,931
59
13,696

6,762
1,425
1,703
1,570
11,460
	2014
$’000
0
12,647
5,778
90
1,403
15
19,933

6,865
7,471
1,493
1,677
17,506
	2013
$’000

9,638
1,833
235
1,931
59
13,696

6,762
1,425
1,703
1,570
11,460

Additional Information
5.1 Board and committee membership
Board membership
Membership of the ACARA Board is established under section 13 of the ACARA Act, and comprises nominees of education ministers and national peak non-government school bodies, agreed to by the Standing Council. The ACARA Board held six meetings and one teleconference during the 2013–14 reporting period.
Chair – Professor Barry McGaw AO
Professor Barry McGaw holds the position of Vice- Chancellor’s Fellow, University of Melbourne. He was previously Director for Education, Organisation for Economic Co-operation and Development (OECD) and Executive Director, Australian Council for Educational Research (ACER). Qualifications held: BSc, DipEd, BEd (Hons), EdM, PhD.
Deputy Chair – Mr Tony Mackay
Mr Tony Mackay is Executive Director of the Centre for Strategic Education in Melbourne and Chair of the Australian Institute of Teaching and School Leadership. He is an Honorary Fellow in the Graduate School of Education at the University of Melbourne, a Board Director of the Australian Council for Educational Research, a member of the Advisory Board of the Asia Education Foundation and a Board Director of the Foundation for Young Australians. Qualifications held: BEc, BEd, MA.
Retired from the Board on 7 May 2014
Mr Tom Alegounarias
Tom Alegounarias is President of the Board of Studies, Teaching and Educational Standards (BOSTES) (incorporating the former New South Wales Board of Studies), and nominee of the NSW education minister. Qualifications held: BEc, DipEd.
Ms Liz Banks 
Liz Banks is Deputy Secretary of the Tasmanian Department of Education, and nominee of the Tasmanian education minister. Qualifications held: Tasmanian Teaching Cert, DipTeaching.

Dr Brian Croke
Brian Croke is Executive Director of the Catholic Education Commission, New South Wales, and nominee of the National Catholic Education Commission. Qualifications held: BA (Hons), DipEd, DPhil, DLitt (Hons).
Retired from the Board on 7 May 2014
Ms Lesley Englert
Lesley Englert is the former Assistant Director General, Curriculum, Queensland Department of Education and Training, former Principal of Upper Coomera State College, and nominee of the Queensland education minister. Qualifications held: BA, TCert, Cert IV Training and Assessment.
Retired from the Board on 7 May 2014
Mr John Firth
John Firth is Chief Executive Officer of the Victorian Curriculum and Assessment Authority, and nominee of the Victorian education minister. Qualifications held: BComm, DipEd. 
Emeritus Professor Patrick Garnett 
Patrick Garnett is Chair of the School Curriculum and Standards Authority, Western Australia, and nominee of the WA education minister. Qualifications held: 
BSc (Hons), PhD, BEd, MA, HonDEd, FRACI, CChem, CompIEAust. 
Mr Angus James
Angus James is Principal Partner of Aquasia P/L and nominee of the federal education minister. Qualifications held: BEc.
Retired from the Board on 7 May 2014
Ms Helen Wildash
Helen Wildash is Executive Director, Teaching and Learning Services, South Australian Department for Education and Child Development and nominee of the SA education minister. Qualifications held: MEd (Hons), GradDipTeaching, BEd.
Mr Garry Le Duff
Garry Le Duff is former Chief Executive of the Association of Independent Schools of South Australia, and nominee of the Independent Schools Council of Australia. Qualifications held: BA (Hons), DipEd, MEd, GradDip EdAdmin, FACE.
Retired from the Board on 7 May 2014
Ms Dianne Kerr
Dianne Kerr is former Chair, Government Schools Education Council, Australian Capital Territory and nominee of the ACT education minister. Qualifications held: BA, DipEd, FACE.
Retired from the Board on 7 May 2014

Audit and Risk Committee membership
The Audit and Risk Committee comprises members of the ACARA Board and two independent members. The Audit and Risk Committee held four meetings during the 2013–14 reporting period.
Ms Dianne Kerr (Chair) (retired from the Board May 2014)
Ms Liz Banks 
Mr Paul Crombie (independent member)
Mr Angus James (retired from the Board 
May 2014)
Mr Tony Mackay (retired from the Board 
May 2014)
Mr Gilbert Smith (independent member, appointed to the Committee November 2013)

Curriculum Committee membership
The Curriculum Committee comprises members of the ACARA Board. The Curriculum Committee held five meetings during the 2013–14 reporting period. 
Prof. Barry McGaw AO (Chair) 
Mr Tom Alegounarias
Ms Lesley Englert (retired from the Board 
May 2014)
Mr John Firth
Ms Dianne Kerr (retired from the Board 
May 2014)
Mr Garry Le Duff (retired from the Board 
May 2014)
Mr Tony Mackay (retired from the Board 
May 2014)
Ms Helen Wildash
Members	Initial appointment	Appointment ending	
Prof. Barry McGaw AO	May 2009	May 2015	
Tony Mackay	May 2009	May 2014	
Tom Alegounarias	May 2009	May 2015	
Liz Banks	May 2012	May 2015	
Dr Brian Croke	May 2009	May 2014	
Lesley Englert	May 2009	May 2014	
John Firth	May 2009	May 2015	
Prof. Patrick Garnett	May 2012	May 2015	
Angus James	May 2009	May 2014	
Dianne Kerr	May 2009	May 2014	
Garry Le Duff	May 2009	May 2014	
Helen Wildash	May 2009	May 2015	
Board members may be reappointed.
The maximum period of appointment cannot exceed six years.	

5.2 Board and committee meetings
Board
Date	Meeting	Apologies	Location	
25 July 2013	Meeting 45	John Firth, Patrick Garnett	Telepresence	
28 August 2013	Teleconference	Tom Alegounarias, Brian Croke, Patrick Garnett, Angus James	Teleconference	
5 September 2013	Meeting 46	Nil	255 Pitt Street, Sydney	
17 October 2013	Meeting 47	Tony Mackay	255 Pitt Street, Sydney	
5 December 2013	Meeting 48	Brian Croke, Garry Le Duff, Tony Mackay	255 Pitt Street, Sydney	
24 February 2014	Meeting 49	Liz Banks	255 Pitt Street, Sydney	
3 April 2014	Meeting 50	Brian Croke, Angus James	255 Pitt Street, Sydney	

Committees of the Board
Audit and Risk Committee
Date	Meeting	Apologies	Location	
21 August 2013	Meeting 21	Nil	255 Pitt Street, Sydney	
20 November 2013	Meeting 22	Nil	255 Pitt Street, Sydney	
18 February 2014	Meeting 23	Angus James	255 Pitt Street, Sydney	
29 April 2014	Meeting 24	Tony Mackay	255 Pitt Street, Sydney	

Curriculum Committee
Date	Meeting	Apologies	Location	
25 July 2013	Meeting 4	Tom Alegounarias, John Firth	Telepresence	
5 September 2013	Meeting 5	Nil	255 Pitt Street, Sydney	
17 October 2013	Meeting 6	Nil	255 Pitt Street, Sydney	
5 December 2013	Meeting 7	Tom Alegounarias, 
Garry Le Duff, Tony Mackay	255 Pitt Street, Sydney	
24 February 2014	Meeting 8	Tom Alegounarias	255 Pitt Street, Sydney	

5.3 Advisory groups and membership
ACARA is supported by a number of advisory groups that provide input and expertise across all ACARA’s work priorities.
ACARA’s reference groups ensure that jurisdictions/organisations have regular and meaningful opportunities to provide advice to ACARA. Members are required to represent the high-level views of their jurisdiction/organisation on matters discussed by the reference groups and ensure, as far as practicable, that information relating to the work of the reference groups is communicated to all relevant parts of their jurisdiction/organisation. The member organisations are listed below under their respective reference group.
All other groups provide expert advice and development input. Membership is granted through a nomination process by jurisdictions and organisations and/or due to expertise in a given field.
Aboriginal and Torres Strait Islander Advisory Group
The Aboriginal and Torres Strait Islander Advisory Group provides ACARA with expert guidance and advice about representation of Aboriginal and Torres Strait Islander histories and cultures across ACARA’s areas of responsibility. The group comprises people with demonstrated expertise in Aboriginal and Torres Strait Islander education.
ACARA Research and Data Committee
The ACARA Research and Data Committee considers data requests for research and from third parties, other than requests from education ministers, for unpublished or sensitive data. The committee uses the framework set by the Data Access Protocols 2012 and the Principles and protocols for reporting on schooling in Australia, 2009 to make its decisions.
Curriculum Directors Group
The Curriculum Directors Group advises on ACARA’s curriculum development program. By keeping informed of work in progress, members are able to play a key communication role within their jurisdictions. 
F–12 Curriculum Reference Group
The F–12 Curriculum Reference Group gives high-level advice to the ACARA Executive to advance strategic priorities in ACARA’s work plan. It advises on: F–12 curriculum design and development policies and practices, strategies to respond to issues raised during curriculum development and consultation, and curriculum and implementation support strategies and materials. The group also reviews and provides feedback on draft curriculum documents.
It has representatives from the following organisations:
•	Australian Capital Territory Government Education and Training Directorate
•	Australian Capital Territory Board of Senior Secondary Studies
•	Australian Curriculum, Assessment and Reporting Authority
•	Department for Education and Child Development, South Australia
•	Department of Education, Northern Territory 
•	Department of Education, Tasmania
•	Australian Government / Department of Education (formerly the Department of Education, Employment and Workplace Relations)
•	School Curriculum and Standards Authority, Western Australia
•	Independent Schools Council of Australia
•	National Catholic Education Commission
•	Board of Studies, Teaching and Educational Standards (incorporating the former Board of Studies NSW)
•	Queensland Studies Authority
•	South Australian Certificate of Education Board
•	Tasmanian Qualifications Authority
•	Victorian Curriculum and Assessment Authority.
Finance Data Working Group
The Finance Data Working Group gives advice and assistance to ACARA’s Executive on ACARA’s national responsibilities associated with financial reporting on schooling and Australia’s schools. This helps ACARA in the collection and reporting of school finance data.
General Capabilities Advisory Group
The General Capabilities Advisory Group provides ACARA with expert guidance and advice on the further development of general capabilities and their representation across the curriculum. The group consists of leading academics with expertise in general capabilities, members of peak national bodies aligned with the general capabilities, community members, school educators and representatives of education authorities.
Learning area/subject national panels and advisory groups
National panels are responsible for providing state, territory, and professional association feedback to ACARA at key points in the shaping and writing phases of the curriculum development process. In particular, the panels identify from their perspectives the key risks, challenges and opportunities at those critical points.
Learning area/subject advisory groups provide guidance and advice to writing teams at prescribed points throughout projects, provide advice on groups or individuals to be consulted and review documentation prepared during the curriculum development process. Advisory groups comprise education professionals, teachers and education authority representatives with particular expertise in the relevant learning area/subject.
In 2013–14, national panels and advisory groups met for the following learning areas/subjects:
•	Aboriginal Languages and Torres Strait Islander Languages
•	Civics and Citizenship
•	Economics and Business Studies
•	Health and Physical Education
•	Languages
•	National Trade Cadetship Years 11–12
•	Technologies
•	Work Studies Years 9–10.

Marking Quality Team
The Marking Quality Team develops consensus scores for the training and control materials used to ensure national consistency of marking for the NAPLAN writing test. Members attend training in how to receive and then deliver a common marker training package in their jurisdiction to their state and territory markers. The group also advises on required changes to marking guide exemplars. The Marking Quality Team works closely with the National Testing Working Group.
Measurement Advisory Group
The Measurement Advisory Group gives ACARA’s Executive technical and quality assurance advice for the National Assessment Program (NAP), and in particular, the National Assessment Program – Literacy and Numeracy (NAPLAN).
NAP – Civics and Citizenship Working Group
The NAP – Civics and Citizenship Working Group gives ACARA advice about proposed civics and citizenship assessment materials from curriculum, psychometric, equity and technology perspectives. It examines draft assessment instruments to make sure they are of appropriate difficulty and are valid, free of bias and accessible to all participating students.
NAP – ICT Literacy Working Group
The NAP – ICT Literacy Working Group gives ACARA advice about proposed information and communication technology assessment materials from curriculum, psychometric and equity perspectives. It examines draft assessment instruments to make sure they are of appropriate difficulty and are valid, free of bias and accessible to all participating students.
NAP – Science Literacy Working Group
The NAP – Science Literacy Working Group advises ACARA about proposed science literacy assessment materials from curriculum, psychometric, equity and technology perspectives. It examines draft assessment instruments to make sure they are of appropriate difficulty and are valid, free of bias and accessible to all participating students.
NAPLAN Reporting Working Group
The NAPLAN Reporting Working Group advises on the reporting of NAPLAN national results. The working group considers the intersection of national reporting and the needs of jurisdictions for their own reporting, advises on reporting options which best represent an increasing number of years of data, and identifies enhancements to established modes of reporting including the faster turnaround of NAPLAN results. The working group considers the NAPLAN summary report (preliminary results) and the final NAPLAN national report, and the dynamic presentation of NAPLAN results on the National Assessment Program website (www.nap.edu.au). Recommendations from the group are provided to the National Assessment, Data, Analysis and Reporting Reference Group for review and endorsement.
National Assessment Program National Communications Group
The NAP National Communications Group provides opportunities for communication experts from the education sector to provide advice to ACARA on its planned communications activities, as well as  collaborate and share information on NAP and other online assessment communication activities. A particular focus of this group is to ensure that information about local readiness activities is disseminated to schools Australia-wide in atimely manner.
National Assessment, Data, Analysis and Reporting Reference Group
The National Assessment, Data, Analysis and Reporting Reference Group (NADAR) provides ACARA’s Executive with high-level advice on the appropriateness and suitability of, and opportunities and potential risks associated with, the work proposed and undertaken by ACARA’s assessment and reporting teams. The group ensures that jurisdictions/organisations have regular and meaningful opportunities to provide advice to ACARA on its assessment and reporting work program. Members are required to represent the high-level views of their jurisdiction/organisation on matters of national assessment, data collection and analysis, and reporting on schools, and to communicate about the work of the group to relevant parts of their jurisdiction/organisation.
NADAR has representatives from the following organisations:
•	Australian Bureau of Statistics
•	Australian Curriculum, Assessment and Reporting Authority
•	Australian Capital Territory Government Education and Training Directorate
•	Australian Government Department of Education (formerly the Department of Education, Employment and Workplace Relations)
•	Board of Studies, Teaching and Educational Standards (incorporating the former Board of Studies NSW)
•	Department for Education and Child Development, South Australia
•	Department of Education, Northern Territory
•	Department of Education, Tasmania
•	Department of Education, Western Australia
•	Department of Education and Early Childhood Development, Victoria
•	Department of Education, Training and Employment, Queensland
•	Independent Schools Council of Australia
•	Measurement Advisory Group (ACARA advisory group)
•	National Catholic Education Commission
•	NSW Department of Education and Communities
•	Productivity Commission
•	Secretariat for the Review of Government Service Provision
•	Victorian Curriculum and Assessment Authority
•	Western Australia School Curriculum and Standards Authority.
National Report on Schooling Working Group
The National Report on Schooling Working Group helps to develop the planning framework for the annual National Report on Schooling in Australia and reviews and comments on the draft report.
National School Opinion Survey Working Group
The National School Opinion Survey Working Group provides ACARA with high-level advice on implementation and reporting parameters for the National School Opinion Survey.
National Testing Working Group
The National Testing Working Group is a forum for information sharing and collaboration among ACARA, testing authorities and stakeholders about NAPLAN. The group gives feedback during item development, advises on administration and reporting activities and provides quality assurance to achieve high-quality tests in a nationally consistent framework.
Primary Perspectives Advisory Group
The Primary Perspectives Advisory Group provides ACARA with guidance and expert advice relating to issues that have been raised and actions that could be facilitated by ACARA regarding the implementation of the Australian Curriculum in primary schools.
Recognition Committee
The Recognition Committee oversees the process of assessing curriculum frameworks for recognition as an alternative means of delivering the Australian Curriculum, as well as the work of recognition review panels. The committee also provides advice to the ACARA CEO and the ACARA Board on refinements to the assessment process.
Recognition review panels 
Recognition review panels conduct the assessment of curriculum frameworks submitted for recognition as an alternative means of delivering the Australian Curriculum. The panels record and certify recommendations to the Recognition Committee, as well as providing explanatory comments. The panels also contribute advice to regular reviews of the assessment process.
Senior Secondary Outcomes Working Group
The Senior Secondary Outcomes Working Group gives ACARA high-level advice on developing recommendations to AEEYSOC and SCSEEC for possible new national definitions and measures on senior secondary (and equivalent) outcomes, to inform COAG and SCSEEC reporting and, subsidiary to this, options for reporting senior secondary outcome measures on My School.
Student Attendance Data Working Group
The Student Attendance Data Working Group advises ACARA about the development and implementation of a student attendance data methodology to collect and report consistent student attendance data across jurisdictions and Sector.
Students with Disability Advisory Group
The Students with Disability Advisory Group provides ACARA with high-level advice in relation to students with disability. This advice helps ACARA to contribute towards the goals of the Melbourne Declaration for students with disability.

5.4 Evidence to parliamentary committees
ACARA attended the following hearings of the Senate Education, Employment and Workplace Relations Committee to give evidence:
•	Supplementary Budget Estimates (20 November 2013)
•	Additional Estimates (26 February 2014)
•	Budget Estimates (4 June 2014).
ACARA also gave evidence to the Senate Select Committee on School Funding on 16 May 2014. 
Full transcripts of these hearings are available in Hansard.

5.5 Judicial decisions and reviews by outside bodies
For the financial year ending 30 June 2014:
there were no judicial decisions or decisions of administrative tribunals that had, or may have, a significant effect on ACARA’s operations 
there were no reports made about ACARA’s performance or ACARA’s officers or employees by the Auditor-General, parliamentary committees, the Commonwealth Ombudsman or the Office of the Australian Information Commissioner. 
The Senate Education and Employment References Committee published its final report titled Effectiveness of the National Assessment Program – Literacy and Numeracy, dated March 2014, which relates to part of ACARA’s work program. The report is available on the Australian parliamentary website (www.aph.gov.au). 

5.6 Work health and safety
Overview
Work health and safety (WHS) at ACARA covers a broad range of elements that bring together a common goal to provide a workplace where people feel safe and are not at risk of physical or mental injury.
ACARA’s training program is a key part of how the organisation ensures staff understand their obligations and ACARA’s role in providing and maintaining a safe workplace. This training takes the form of inductions, refresher courses and monthly presentations to business units. Workers learn about ACARA’s WHS policy; their legal WHS responsibilities; emergency evacuation instructions; how to report hazards, incidents and injury; work station ergonomics; and manual handling. Where practicable, demonstrations are provided to reinforce key concepts.
Monthly WHS presentations were launched in June 2014 to provide a reminder to staff of the importance of maintaining an understanding of work-related risks. Presentation themes include mental health, being active at work and travelling to work. Workers are exposed to risks when travelling to and from work and at work itself, and attention is placed on mitigating these risks to avoid physical or mental injury.
ACARA’s commitment to providing a safe workplace is implemented through its WHS Committee, which is made up of staff from each business group. The committee promotes awareness of WHS in the workplace and meets every two months to discuss health and safety issues identified by staff or during workplace inspections. ACARA’s two satellite offices in Perth and Melbourne each have a WHS representative on the committee to provide training to new workers, identify any hazards and report WHS issues. Regular WHS audits ensure continued improvement. 
A review was carried out in February 2014 as part of ACARA’s regular internal audit program. The review assessed the WHS operation within ACARA’s Safety Management System and ACARA’s compliance with the Work Health and Safety Act 2011 (the WHS Act). The following comment was made by the internal auditor on completion of the report: ‘The review and staff survey indicated that ACARA has built a robust and active framework which supports work health and safety’.
WHS performance
During 2013–14, one claim was submitted to Comcare. No Provisional Improvement Notices (section 90 of the WHS Act), Prohibition Notices (section 195) or Improvement Notices (section 191) were issued. There were no investigations undertaken by Comcare arising out of ACARA’s responsibility as a ‘person conducting a business or undertaking’ in accordance with the Act.
WHS has become a regular agenda item at all team meetings to provide and maintain a continuous improvement framework. Issues raised are then referred to the WHS Committee for resolution. ACARA’s Audit and Risk Committee is advised of any issues arising and the actions carried out to mitigate WHS risks.
5.7 Legislative reporting requirements
Ministerial directions
ACARA is required, under clause 12 of the Commonwealth Authorities and Companies (Report of Operations) Orders 2011, to provide particulars of any directions issued by the responsible minister, or other minister, under ACARA’s enabling legislation or other legislation. During 2013–14 ACARA was not subject to any Commonwealth ministerial directions.

5.8 Providing access for people with disability
Access to premises and facilities
ACARA’s main office is accessible to people with disability through the use of ramps, braille signage to bathrooms and specially designed toilet and shower facilities.
Where staff have specific requirements due to a disability, their work space is modified to accommodate their needs.

5.9 Sustainable practices
Office environment
ACARA has maintained its commitment to reduce the consumption of raw materials by:
•	using recycled paper in all printers
•	reviewing drafts electronically.

5.10 Acronyms and glossary
Acronym	Title	
ACARA	Australian Curriculum, Assessment and Reporting Authority	
ACARA Act	Australian Curriculum, Assessment and Reporting Authority Act 2008	
ACER	Australian Council for Educational Research	
Achievement standards	the quality of learning (the depth of understanding, extent of knowledge and sophistication of skill) demonstrated by students within a given subject	
AEEYSOC	Australian Education, Early Childhood Development and Youth Affairs Senior Officials Committee	
AG	Australian Government	
AITSL	Australian Institute for Teaching and School Leadership	
Band level	The NAPLAN assessment scale is divided into 10 bands, used to report student progress through Years 3, 5, 7 and 9. Band 1 is the lowest band and band 10 is the highest band. A band has a high and low range and is not a specific point.	
CAC Act	Commonwealth Authorities and Companies Act 1997	
CEO	chief executive officer	
COAG	Council of Australian Governments 	
Content descriptions	the specific subject-based knowledge, understanding and skills to be taught and learned as part of the Australian Curriculum	
Content elaborations	support material providing illustration or exemplification of Australian Curriculum content descriptions 	
Cross-curriculum priorities	Aboriginal and Torres Strait Islander histories and cultures; Asia and Australia’s engagement with Asia; and sustainability	
Domain	relating predominantly to NAP tests, this refers to particular learning areas (for example, reading, writing, language conventions, numeracy)	
EAL/D	English as an Additional Language/Dialect	
EA	enterprise agreement	
ESA	Education Services Australia	
F	Foundation – denotes the year prior to Year 1, which is known variously as kindergarten, preparatory (prep), reception, transition, or pre-primary in different states and territories. This terminology was adopted with the publication of the Australian Curriculum.	
F–10	school years from Foundation to Year 10	
F–12	school years from Foundation to Year 12	
FMO	Finance Minister’s Orders	
General capabilities	literacy; numeracy; information and communication technology capability; critical and creative thinking; personal and social capability; ethical understanding; intercultural understanding	
ICSEA	Index of Community Socio-Educational Advantage	
ICT	information and communication technology	
Learning continua	a sequence that describes the knowledge, skills and behaviours that students can reasonably be expected to have developed by the end of particular year of schooling, with respect to general capabilities as defined in the Australian Curriculum	
LBOTE	Language Background Other than English (see EAL/D)	
Melbourne Declaration	Melbourne Declaration on Educational Goals for Young Australians 2008, which sets the direction of Australian schooling for the next 10 years	
My School	a website which has been developed so that parents and the community have access to information about their child’s school and other schools in Australia	
NTC	National Trade Cadetships	
NAP	National Assessment Program 	
NAPLAN	National Assessment Program – Literacy and Numeracy	
SCSEEC	Standing Council on School Education and Early Childhood (also referred to in this annual report as ‘the Standing Council’)	
Senior secondary	final two years of secondary schooling, generally Year 11 and 12	
Standing Council	Standing Council on School Education and Early Childhood (also referred to in this annual report as ‘SCSEEC’)	
Statements of learning	statements agreed by ministers for education on essential skills, knowledge, understandings and capacities that all young Australians should have the opportunity to learn in particular learning areas	
SWD	students with disability	
Testlet	a self-contained set of test items; in the context of multistage adaptive testing students would progress through a number of testlets as part of a test	
WHS	work health and safety 	

5.11 Compliance index
Requirement	Reference	Annual report section	
Commonwealth Authorities and Companies Act 1997	
Financial statements	Schedule 1, subclause 1(b) and subclause 2(1)	Section 4	
Financial statements certification: a statement, signed by the directors	Schedule 1, subclause 2(3)	Section 4	
Financial statements certification: Auditor-General’s Report	Schedule 1, subclause 1(c)	Section 4	
Commonwealth Authorities and Companies (Annual Reporting) Orders 2011	
Approval of the report by directors	Clause 6	Letter of transmittal	
Audit committee	Clause 14	Sections 1.4, 3.1, 5.1	
Ecologically sustainable development and environmental performance	Clause 12, with reference to the Environment Protection and Biodiversity Conservation Act 1999, section 516A	Section 5.9	
Effects of ministerial directions and notification of general policies of government	Clause 12	Sections 1.3, 5.7	
Enabling legislation, functions and objectives	Clause 10	Section 1.3	
Indemnities and insurance premiums for officers	Clause 19	Section 3.1	
Information about directors	Clause 13 and 14	Sections 1.4, 5.1, 5.2	
Judicial decisions and reviews by outside bodies	Clause 17 a.	Section 5.5	
Key activities and changes affecting the authority	Clause 16	Section 3.5	
Location of major activities and facilities	Clause 14	Section 1.3	
Organisational structure	Clause 14	Section 3.5	
Related entity transactions	Clause 15	Notes to the financial statements – note 12	
Reports on the operations of the authority by the Auditor-General, a Parliamentary committee, the Commonwealth Ombudsman or the Office of the Australian Information Commissioner	Clause 17 b.	Section 5.4	
Responsible minister(s)	Clause 11	Section 1.3	
Significant events referred to in section 15 of the Commonwealth Authorities and Companies 
Act 1997	Clause 16	Notes to the financial statements – Note 2	
Statement on governance	Clause 14	Section 3.1	
Work health and safety	Clause 12, with reference to the Work Health and Safety Act 2011, Schedule 2, Part 4	Section 5.6