2019-03-12 Services & Organisation Committee Agenda

SERVICES & ORGANISATION COMMITTEE MEETING AGENDA                                                     12 MARCH 2019


While aqua aerobics class attendance numbers for the year align with the year prior, circuit class
attendance has grown by 30% from 2,397 attendees in the first half of 2017/18 to 3,126 in
2018/19. One of the challenges of such growth is accommodating the extra visits in the limited
confines of the gym. Management believe there is merit in investigating the possibility of adding
additional dryland space at the centre and this is something which will be considered in more
detail during the development of the NAC’s 10-year masterplan.

Expenditure savings relate mainly to water and maintenance costs which will largely be resolved
as the timing of charges smooths throughout the remainder of financial year. Employee benefits
costs are over budget by $4,480, a pleasing result given the absorption of additional lifeguard
costs (roughly $25k for the period) associated with increased supervision levels of the leisure
pool.

Other expense items of note include the cost of chemicals being over budget by nearly $9k due
to supplier price increases, and an increase in contract fitness instructor expenses, offset by
related savings in labour costs.

For further financial performance context, historical figures are shown below:

                Historical half-yearly financial performance - Noosa Aquatic Centre (NAC)

                                               2015/16 YTD          2016/17 YTD          2017/18 YTD          2018/19 YTD
Revenue                                 actuals as at 31 Dec actuals as at 31 Dec actuals as at 31 Dec actuals as at 31 Dec
40023 - Miscellaneous Fees & Charges             (13,358.94)            (9,291.65)           (8,273.89)           (9,531.87)
40029 - Rent Revenue                               (6,149.87)           (7,000.00)           (6,500.00)           (6,662.50)
40034 - Lease Revenue                            (30,003.63)          (30,569.09)          (34,049.42)          (27,499.98)
41153 - Admission Fees                          (227,645.65)         (251,016.68)         (279,397.23)         (260,929.71)
42000 - Other - Commission Received                (2,899.91)                 0.00                 0.00                 0.00
42020 - Other - Sales - Retail                   (77,720.82)          (89,590.78)          (90,422.76)          (84,122.51)
42042 - Other - Miscellaneous Revenue                    0.00                 0.00                 0.00                 0.00
42072 - Learn to Swim Revenue                   (315,352.74)         (347,759.67)         (339,342.14)         (331,055.21)
42073 - Squad Revenue                            (23,902.54)          (44,451.88)          (51,204.97)          (62,561.23)
42074 - Group Fitness Revenue                    (38,344.73)          (61,357.02)          (75,565.51)          (75,109.77)
42075 - Gym Revenue                              (74,193.29)          (35,105.92)          (70,056.60)          (79,929.08)
42076 - Creche Revenue                             (2,591.52)           (4,755.82)           (4,801.08)           (4,331.10)
                                                    (812,164)            (880,899)            (959,614)            (941,733)


Controllable expenses
6EX01 - Employee Benefits                        511,795.94           576,354.01            563,491.57           621,084.13
6EX03 - Materials & Services                     294,266.16           375,065.53            331,005.77           362,926.42
6EX06 - Other Expenses                               478.10               494.80                512.10               530.00
                                                    806,540              951,914               895,009              984,541

Net operating result                                 5,623               -71,016               64,604               -42,808


Uncontrollable expenses
6EX04 - Depreciation & Amortization               78,955.74            97,005.37            102,509.11           102,810.90
6EX12 - Internal Charges                         152,801.79           223,035.47            323,262.78           292,068.60
                                                    231,758              320,041               425,772              394,880

Total operating result                             -226,134             -391,057             -361,168              -437,687




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