2019-12-10 Services & Organisation Committee Agenda

SERVICES & ORGANISATION COMMITTEE MEETING AGENDA                          10 DECEMBER 2019


A breakdown of revenue and expense performance against budget will be provided further in this
report. Council has achieved another firm annual financial result which reflects responsible
budget setting, oversight and delivery on behalf of the community.

 Council has met the requirements of its financial sustainability policy with respect to the
 operating surplus ratio, with the ratio of 11.6% slightly above the 0-10% target range set by
 the state government. An accounting change to the treatment of prepaid rates and operating
 revenue collected for capital expenditure has contributed to the result being above the target
 change.


Operating Revenue

Council received $99 million of its operating revenue compared to the budget of $95 million,
reflecting the prudent budgeting approach adopted to manage any downside revenue risk. A
breakdown on each of Council’s revenue streams is contained in the following table:

Table 1: Operating Revenue Performance by Type
 Revenue Type           Budget        Actual     Variance
                           $m            $m            $m
 Rates                   $65.3         $66.5          $1.2
 Fees                     $6.4          $7.1          $0.7
 Sales                    $9.3          $9.7          $0.4
 Unitywater               $5.6          $5.8          $0.2
 Interest                 $2.0          $2.2          $0.2
 Other                    $2.2          $2.5          $0.3
 Grants                   $4.2          $5.4          $1.2
 Total                   $95.1         $99.2          $4.1
Note: Some rounding


Figure 1: Operating Revenue Position by Type (Excluding Rates)
  Grants
  Other
  Interest




                                               YTD Actual ($m)
                                               YTD Budget ($m)
  U/water
  Sales
  Fees




     $0.0        $2.0    $4.0        $6.0        $8.0        $10.0      $12.0




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