2016-11-14 General Committee Meeting Notes

GENERAL COMMITTEE MEETING AGENDA                                                                14 NOVEMBER 2016


•                     Depreciation – Actual depreciation expense exceeded budget by $300k reflecting the
                      outcomes of asset componentisation for roads and buildings, in addition to the bring
                      forward of the commissioning of cell 2.2 for use at the landfill (which was not anticipated for
                      2015/16).


Figure 2: Operating Expenditure Position by Type
       Depreciation




                                                        YTD Actual ($m)
    Finance
     Costs




                                                        YTD Budget ($m)
       Materials
       Employees




                      $0          $10          $20          $30           $40         $50


Capital Revenue

Recorded capital revenue for Council for 2015/16 totalled $8m against a budget of $7.3m. A
breakdown of capital revenue items appears in the table below:

Table 3: Capital Revenue Performance by Type

Revenue Type                                                Budget        Actual    Variance
                                                               $m            $m           $m
Developer Contributions                                       $2.6          $2.5       ($0.1)
Grants                                                        $4.8          $5.2         $0.4
Investment Property Revaluation                                 $-          $0.3         $0.3
Total                                                         $7.3          $8.0         $0.7
Note: Some rounding


The investment property valuation increase relates to the annual valuation required for the
Sunrise Shops which is based on a cash flow valuation methodology to comply with accounting
standards. As this is a non-cash movement it is not budgeted nor anticipated each year.

Capital Expenditure

Actual capital expenditure of $29m achieved 88% of the total budget of $33m (budget excludes
funds transferred to reserve for future use). $4m of works in progress were carried over to the
current 2016/17 budget.

Council’s actual asset sustainability ratio for the 2015/16 year was 88.36%, slightly below the
state government benchmark of 90% albeit higher than the 2014/15 ratio of 65.1%.


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