2016-08-15 General Committee Agenda

GENERAL COMMITTEE MEETING AGENDA                                                   15 AUGUST 2016


10                       BUDGET REVIEW - CARRYOVER FROM 2015/16 TO 2016/17
DOCUMENT INFORM AT ION




Author                            Manager Financial Services, Wayne Jensen
                                  Corporate Services Department

Index                             ECM/ Subject/ 7.12 – 2016-2017 Budget

Attachments                       1.   Proposed Carryover Requests – Operating
                                  2.   Proposed Carryover Requests – Capital
                                  3.   Summary of Submissions
                                  4.   Revised Budget Financial Statements


EXECUTIVE SUMMARY
The Local Government Act 2009 and Regulations require Council to undertake regular reviews of
the adopted budget to ensure it remains reflective of planned activities to be funded through the
budget period. At the close of each financial year, any uncompleted operating and capital projects
are considered for possible carryover into the current budget year.

RECOMMENDATION
That Council note the report by the Manager Financial Services to the General Committee Meeting
dated 15 August 2016 and approve the requested changes to the budget for the 2016/17 financial
year as outlined in the Revised Budget Financial Statements provided at Attachment 4 to the
report.


REPORT
The Local Government Regulation 2012, section 170(3) allows Council, by resolution, to amend
the budget for a financial year at any time before the end of the financial year.

Along with regular quarterly reviews of the adopted budget, in October, January and April of each
year, a full review of uncompleted projects is undertaken in July to consider the carryover of these
projects into the following budget year. To qualify for consideration, there must be an operating
surplus, and there must also be sufficient funds from the original project budget to complete the
works in the new financial year.

Proposals for new projects or adjustments to the original budget are generally left until the end of
the first quarter to determine possible savings, additional revenue, or other revenue to fund these
activities.

1.                       Operating Carryovers Proposed

Attachment 1 shows all of the proposed operational carryovers, and includes $231k in
submissions. This includes projects funded from operational grants; projects identified in Council
resolutions; and projects where there are specific contractual obligations. The review also includes
adjustments to the original budget, with a net impact of ($100k) in savings, leaving an overall impact
of $132k on the budget position.




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