2016-08-15 General Committee Agenda

GENERAL COMMITTEE MEETING AGENDA                                                   15 AUGUST 2016


RECOMMENDATION
That Council note the report by the Manager Financial Services to the General Committee Meeting
dated 15 August 2016 providing the July YTD monthly financial performance report for the 2016/17
financial year.


REPORT
Recurrent Revenue (YTD Benchmark 8.3%)

Council has recognised 39% ($34.3 million) of its recurrent revenue budget of $89 million as at the
end of July 2016. Commentary on each recurrent revenue type is provided below:
 Rates and Levies – $31.9m (51%) of the annual budget of $62.3m has been recorded. General
   rates are at forecast levels and waste collection charges slightly exceeding YTD budget. Note
   that revenue is recognised when the rates are levied, which occurred in July, with payments
   made progressively by ratepayers over the following weeks with most payments made on or
   before the discount due date.
 Fees and Charges – Fees and charges earned ($752k) totals 17% of the full year forecast.
   Licences & permits, and property searches fees exceed current YTD estimates; and building &
   development fees are currently below forecast levels.
 Interest Received – Interest from investments is currently marginally ahead of YTD forecast
   levels due to a higher opening balance than originally estimated, though the budget will need
   to be closely monitored in light of recent reductions in the official cash rate by the Reserve Bank
   of Australia and the subsequent impact on investment returns. Profiling of income from rate
   arrears interest explains the variance of $20k.
 Dividend and Tax – Dividends and the payment of tax equivalent from Unitywater are in line
   with budget forecasts.
 Other Revenue – Lease revenue is marginally below forecast levels, though Caravan Parks
   and Noosa Aquatic Centre fees are currently above budget forecasts.
 Grants and Subsidies – Receipts for operational grants are generally tracking in accordance
   with the budget forecast.

Figure 2: Recurrent Revenue Position by Type (Excluding Rates)

 $0.9
 $0.8                             YTD Budget ($m)
                                  YTD Actual ($m)
 $0.7
 $0.6
 $0.5
 $0.4
 $0.3
 $0.2
 $0.1
 $0.0
                                                         Other




                                                                    Grants
            Fees




                       Dividend




                                              Tax
                                   Interest




                                                                                      Page 13 of 61