2018-04-10 S&O Agenda - Attachment 1 to Item 6 - Sand Recycling System Asset Management Plan

6. Financial Summary
6.1      Financial Statements and Projections
The Infrastructure Planning, Design and Delivery Branch Plan details the financial statements and
projections associated with the total management of the SRS on an annual basis.


6.2      Funding Strategies
The immediate improvements to funding requests for maintenance and renewals in the budget
process are now evidence based and are supported from the condition assessments that have been
carried out.

The funding strategy, key assumptions, reliability and confidence levels are detailed in the Council’s
long-term financial plan. More detailed funding strategies that promote the long-term sustainability
of the SRS will be further developed and defined in future asset management plans.


6.3      Budget Forecasts
Budget forecasts will continue to be developed as information is captured and reported from the
Technology One (T1) financial system. Through the annual review of actuals, maintenance and
renewal activities against budget will initiate further development and identify trends that are
reportable and reflect future year forecasts.

The figure below identifies the current forecasts for the operational, maintenance and renewal
expenses to demonstrate the whole of life costs over a 10-year period for the SRS. In summarising,
the 10-year forecast has an overall expenditure of $580k p.a. to $760k p.a. from year 1 to year 10.
There are no significant asset renewals or major maintenance activities planned until year 10 due to
the SRS assets being in a very good condition. However there is a $50k allocation every second
year for a pipe replacement program


                                         Forecast Expenditures
 $800,000.00


 $700,000.00


 $600,000.00


 $500,000.00                                                                                    Operating
                                                                                                Maintenance
 $400,000.00
                                                                                                Renewals
                                                                                                Total Costs
 $300,000.00
                                                                                                Linear (Total Costs)
 $200,000.00


 $100,000.00


       $0.00
               2018/19   2019/20   2020/21   2021/22   2022/23   2023/24   2024/25   2025/26   2026/27   2027/28

Figure 7: SRS forecasted expenditures


Asset Management Plan: Noosa Main Beach Sand Recycling System                                                 Page 17