2020-07-13 General Committee Agenda

GENERAL COMMITTEE MEETING AGENDA                                                                        13 JULY 2020



5      FINANCIAL PERFORMANCE REPORT – JUNE 2020 INTERIM POSITION


Author                Manager Financial Services, Trent Grauf
                      Corporate Services Department

Index                 ECM/ Subject/ 22.09 – Monthly Financial Performance Report

Attachments           1.     Statement of Income and Expenditure (Profit & Loss and Capital)
                      2.     Statement of Financial Position
                      3.     Statement of Cash Flows
                      4.     Summary of Key Materials and Services Expenditure



EXECUTIVE SUMMARY
Financial performance for the 2019/20 year has resulted in an interim operating surplus of $0.4
million, capital revenue of $9.7 million and capital expenditure of $24.7 million.

Note that year-end financial adjustments are still in progress. A further report on final 2019/20
financial performance will be provided to Council in November 2020 following the finalisation and
audit of the financial statements in October 2020.

                              Budget         Actual     Variance      Variance
                                                                                       Status
                                 $m             $m           $m             %
 Operating Revenue              $99.8         $98.3          -$1.5          -1.5%   Below Budget
 Operating Expense              $99.8         $98.0           $1.8          1.9%    Below Budget
 Operating Position               $0.0          $0.4          $0.3
 Capital Revenue                  $9.4          $9.7          $0.3          3.4%    Above Budget
 Capital Expenditure*           $30.9         $24.7           $6.2          20.1%   Below Budget
* Reflects constructed assets and intangibles only (excludes contributed)


The $0.4 million interim operating surplus comprises both an $800k unconstrained operating deficit
from activities funded through Council’s general rate and regulatory fees; offset by savings in
unspent levy funds ($1.2 million) which are constrained in reserve for future use.

                                                                                           Actual
                                                                                              $m
 General business operating position (unconstrained funds)                                      -$0.8
 Unspent levies (constrained funds)                                                             $1.2
 Total Council Operating Position                                                               $0.4

The COVID-19 pandemic has resulted in financial impacts through lost revenues associated with
the closure of key community facilities between March and mid-June, as well as through the
provision of business and community financial support measures, reductions in waste
management collection charges and disposal fees, and additional expenditures incurred for
cleaning, personal protective equipment, lifeguard contract services etc.

Financial statements including Statement of Income & Expenditure, Statement of Financial
Position (balance sheet), and Statement of Cash Flows are included as attachments for information
for Council.


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