2016-03-10 Ordinary Meeting Agenda

ORDINARY MEETING AGENDA                                                                    10 MARCH 2016


Recurrent Expenditure (YTD Benchmark 67%)

Operating expenditure is currently 62% of the full year budget forecast. Areas of significant
variance will continue to be monitored for possible adjustments with areas of significant variance
addressed as part of the March quarter budget review. Detailed commentary for significant items
appears below.

     Employee Costs – Actuals of $17.9m against the YTD budget of $17.9m and equates to 65%
      of the full year budget. Whilst the total is within the budget, this is actually represented by a
      range of minor variances across operational areas, which will continue to be monitored.
     Materials and Services – 59% of the full year budget ($23.6m) has been expended compared
      to the YTD budget of $25.7m. Variances relate to under-expenditure against contract
      services, maintenance and special levies ($316k). Specifically, there is under-expenditure
      against buildings and facilities maintenance ($164k), with works expected to be undertaken
      later in the year; savings against fleet operations associated with lower fuel prices and
      savings to lease and insurance costs ($259k); Waste operations currently running under
      original forecasts ($400k); and Civil Operations is currently running approximately $600k
      behind forecast levels.
     Finance Costs – generally in accordance with budget, and it is noted that the credit card
      surcharge has effectively reduced Council costs by approximately $60k.
     Depreciation expenses are currently running in accordance with budget forecasts.
     Other Expenses – generally in accordance with budget.

Figure 3: Recurrent Expenditure Position by Type
    $30

    $25                                                   YTD Budget ($m)

    $20                                                   YTD Actual ($m)


    $15

    $10

     $5

     $0
                                          Finance Costs
                            Materials




                                                                    Depreciation
               Employees




                                                                                   Other




Capital Revenue

YTD capital revenue of $4.8 million received includes cash contributions from developers ($2.2
million), together with $2.6 million received as grant funding towards capital projects.

Capital Works Program

Actual capital expenditure (excluding commitments) is $17 million against the current full-year
budget of $35.4 million. Committed expenditure totals a further $8.3 million bringing the total of
actual and committed funds to $25.3 million (71.5% of the total program). Detailed discussion of
progress in the delivery of the capital works program is provided quarterly to the Infrastructure
and Services Committee.

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