2014-07-22 Planning & Organisation Committee Agenda

PLANNING & ORGANISATION COMMITTEE MEETING AGENDA                                                      22 JULY 2014


8                         FINANCIAL PERFORMANCE REPORT JUNE 2014
DOCUMENT IN FOR MATI ON




Author                               Manager Financial Services, Wayne Jensen
                                     Corporate Services Department

Index                                ECM / Financial Management / Accounting – Monthly Exception
                                     Report

Attachments                          1.    Statement of Comprehensive Income
                                     2.    Capital Works Schedule


EXECUTIVE SUMMARY
Overall, the financial statements are showing a favourable variance as at the end of June of
around $1.28 million. It is noted that the interim figures presented are provided as guidance
pending finalisation of all accounting adjustments.

RECOMMENDATION
That Council note the report by the Manager Financial Services to the Planning &
Organisation Committee Meeting dated 22 July 2014 regarding the Financial Performance
Report for June 2014.


REPORT
The final balance sheet transfer from Sunshine Coast Council remains outstanding, with a
number of items referred to the Minister for adjudication, and as such the statements
presented reflect original estimates of the total amount rather than any revised position.
Commentary on items of significant variance appears below, with few significant changes to
what has been previously reported to Council.

1.                        Operating Revenue

                        Rates and charges – revenue shown in the reports includes additional income from
                          waste charges, but with the overall position distorted by the delay in recognition of
                          prepaid rates transferred from Sunshine Coast Council. The final recognition is
                          expected to push revenue beyond the forecast level, but this is not likely to happen
                          until the end of June once year-end adjustments have been processed.
                        Fees and charges – revenue received is generally as forecast, though there are
                          favourable variances for planning application fees, holiday park revenue, search fees
                          and changes of ownership.
                        Interest received – as previously reported, the unfavourable variance with the level of
                          revenue from investment of surplus cash is associated with delays in the transfer of
                          the “final” cash balance from Sunshine Coast Council. However, the final adjustment
                          will include an adjustment for interest on the difference from 1 January 2014 up until
                          the date of transfer.
                        Grants, subsidies, contributions and donations – there is an unfavourable variance due
                          to a change in the payment of financial assistance grants received from the
                          Commonwealth Government. For the last few years there has been an advance
                          payment that was discontinued in the latest Commonwealth budget.
                        Other income – the small favourable variance relates to income from the sale of
                          recyclable materials recovered through waste activities.


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