Contents

Letter of transmittal
List of figures
Guide to the report

PART 1 - OVERVIEW

The Chief Executive Officer's review

Our role
Our operating environment
Performance in 2006-07
The year ahead
A thank you

Agency overview

Role and functions
New organisational arrangements
Organisational structure
Minister and portfolio
Authority and power
Outcome and Output framework
Key priorities

PART 2 - CUSTOMS PERFORMANCE

Customs Outcome

Effectiveness of our performance
Funding for Outcomes and Outputs
Resources allocated for the Outcome
Portfolio Budget Statements
Portfolio Additional Estimate Statements
Customs contribution to other agencies
Other agencies contribution to Customs Outcome

Output 1 - Passenger movement and intelligence

Performance against targets
Output 1 at a glance
Major Government initiatives
Review of Customs functions
Operational performance and improvement initiatives
Cooperation with key stakeholders
Summary of key legislative changes
Building for the future

A FOCUS ON CUSTOMS 2006-07 IMPROVEMENT PRIORITY:
working with external law enforcement agencies to enhance our response to the threat posed by illicit drugs, particularly the shift to the use of methamphetamines.

Output 2 - Border compliance and enforcement

Performance against targets
Output 2 at a glance
Major Government initiatives
Operational performance and improvement initiatives
New technologies
Summary of key legislative changes
Building for the future

A FOCUS ON CUSTOMS 2006-07 IMPROVEMENT PRIORITY:
enhancing our intelligence and targeting capabilities, including working cooperatively with other agencies and the community.

Output 3 - Cargo regulation, trade facilitation and revenue collection

Performance against targets
Output 3 at a glance
Review of Customs functions
Operational performance and improvement initiatives
Cooperation with key stakeholders
Summary of key legislative changes
Building for the future

A FOCUS ON CUSTOMS 2006-07 IMPROVEMENT PRIORITIES:
working with industry to deliver material benefi ts to industry and Government from the implementation of the Integrated Cargo System as well as improving the consistency and effi ciency of our operations.

Output 4 - Civil maritime surveillance and response

Performance against targets
Output 4 at a glance
Major Government initiatives
Operational performance and improvement initiatives
Surveillance technology
Building for the future

A FOCUS ON CUSTOMS 2006-07 IMPROVEMENT PRIORITY:
provide leadership in delivering an enhanced whole-of-government response to illegal foreign fi shing in Australia's northern waters.

PART 3 - ENABLING OUTPUTS

Corporate governance

Customs management forums
Internal consultation
External consultation
Cooperation with key international stakeholders
International programs
Corporate planning
Risk management practices
Internal audit
Certification of fraud measures

Human resources management

Workforce planning
Recruitment
Staffing profile
Australian workplace agreements and certified agreements
Collective agreement
Performance management
Workplace diversity
Integrity
Investigations of employee misconduct
Security clearances
Physical security
Learning and development strategies
Occupational health and safety performance
Workers compensation claims
Customs human resource application

Corporate resource management

Financial management
Purchasing
Assets management
Consultants
Selection and engagement of consultants
Competitive tendering and contracting
Exempt contracts
Advertising and market research
Discretionary grants
National pay and accounts centre
Customs information technology (IT)
IT applications
Customs use of legal services

External scrutiny

Freedom of information
Ministerial representations
Judicial decisions and decisions of administrative tribunals
Privacy matters
Commonwealth ombudsman matters
Auditor-General's reports
Parliamentary committee reports

Accountability to clients

Client service
Complaints and compliments
Customs media and public affairs

Environmental, social and economic impact

Environmental impact
Social impact
Economic impact
Global Reporting Initiative environmental indicators

A FOCUS ON CUSTOMS 2006-07 CORPORATE PRIORITY:
maintaining the community's confi dence in the way we go about performing our role.

PART 4 - FINANCIAL STATEMENTS

Overview of Financial Statements

Audited Financial Statements
Agency Statements
Administered Schedule

Financial statements

PART 5 - APPENDICES

Appendix A - Occupational health and safety
Appendix B - Freedom of information
Appendix C - Advertising and market research
Appendix D - Administrative Appeals Tribunal and Administrative Decisions (Judicial Review) Act 1977
Appendix E - Commonwealth Disability Strategy
Appendix F - Correction of errors

PART 6 - REFERENCE INFORMATION

Glossary and acronyms
Customs offices