✨ Financial Statements and Notes
THE WAIKATO COMMUNITY TRUST INCORPORATED
NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2013
17. TE KETE PUTEA LIMITED PARTNERSHIP (2012: DATABASE LOAN)
The Trust and ten of the other eleven Community Trusts established under the 1988 Trustee Bank Restructuring Act have combined resources to own and operate an integrated donations and financial management system. The system has been implemented and is owned and operated by a limited partnership TKPLP, which was registered on 18 December 2012. The total cost of the project was $2,380,000. The Trust contribution to these costs was 8.2%
The capital of TKPLP consists of 10,000 units and each Trust holds units broadly in proportion to its audited capital at 31 March 2008. The Trust holds 820 units. The value of each unit has been determined at $238.22. Until such time as TKPLP was established, ASB Community Trust (ASBCT) entered into project contracts with vendors on behalf of the Trusts and met the funding requirements for the project in terms of a letter of indemnity from each of the participating Trusts. The contracts with the vendors provided for the contracts to be novated to TKPLP once it became established.
The Trust met its funding proportion for the project by way of a loan to ASBCT, which agreed to undertake the work on the project and incur the project commitments. The Trust granted an indemnity in favour of ASBCT in respect of such commitments. This loan, shown in the Statement of Financial Position as at 31 March 2012, was unsecured and interest free. On the formation of TKPLP, the loan from the Trust was extinguished by application by ASBCT towards the Trust capital contribution to TKPLP. TKPLP acquired the assets on 15 March 2013.
The investment in TKPLP was initially valued at $195k. Subsequent to initial recognition, the investment will be recorded at fair value. Fair value is determined using an appropriate valuation technique.
Full NZ IFRS Financial Statements for the year ended 31 March 2013
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NZ Gazette 2013, No 109
✨ LLM interpretation of page content
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Financial Statements of The Waikato Community Trust Incorporated
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🏢 State Enterprises & InsuranceFinancial statements, Community Trusts, Waikato, Property Plant and Equipment, Depreciation, Impairment
🏢 Notes to Financial Statements of The Waikato Community Trust Incorporated
🏢 State Enterprises & InsuranceFinancial notes, Community Trusts, Waikato, TE KETE PUTEA LIMITED PARTNERSHIP, Financial management system