2016-04-19 Services & Organisation Committee Agenda

SERVICES & ORGANISATION COMMITTEE MEETING AGENDA                                 19 APRIL 2016


RECOMMENDATION
That Council note the report by the Manager Financial Services to the Services & Organisation
Committee Meeting dated 19 April 2016 providing the March YTD monthly financial performance
report for the 2015/16 financial year.


REPORT
Recurrent Revenue (YTD Benchmark 75%)

Council has received 94% ($82.8 million) of its recurrent revenue budget of $88 million as at the
end of March 2016. Commentary on each recurrent revenue type is provided below:

      Rates and Levies – $60.6m (100%) of the annual budget of $60.5m has been recorded.
        General rates are marginally below forecast levels although waste collection charges
        exceed budget.
      Fees and Charges – Fees and charges earned ($4.7m) totals 92% of the revised full year
        forecast. Planning, development, parking fees, land use permits, and property searches
        fees continue to exceed current YTD estimates. Significant variances will be reviewed to
        determine the need for possible changes to the year-end forecast.
      Interest Received – Currently 6% above YTD forecast levels due to positive cash flow
        timing issues. No adjustments to the year-end forecast have been proposed at this stage,
        but will be monitored for possible amendment at the March quarter budget review in line
        with anticipated cash flow requirements over the remaining months until 30 June.
      Dividend and Tax – Dividends and the payment of tax equivalent from Unitywater are in
        line with budget forecasts.
      Other Revenue – holiday parks, rental income, learn to swim, and waste fees are
        marginally above budget forecasts, with sale of recyclable materials (concrete and scrap
        metal) currently below forecasts. Sale of quarry products for material used in the
        construction of Dr Pages Road has contributed to this favourable variance, but this is
        partially offset by an increase in operational costs. All variances will continue to be
        monitored to determine whether further adjustments should be made as part of the next
        budget review.
      Grants and Subsidies – Receipts for operational grants are generally tracking in
        accordance with adjustments to the revised budget forecast.

Figure 2: Recurrent Revenue Position by Type (Excluding Rates)
 $9.0
 $8.0
                                   YTD Budget ($m)
 $7.0
                                   YTD Actual ($m)
 $6.0
 $5.0
 $4.0
 $3.0
 $2.0
 $1.0
 $0.0
                                                       Other




                                                                 Grants
             Fees




                        Dividend




                                                Tax
                                     Interest




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