2016-02-08 General Committee Agenda

GENERAL COMMITTEE MEETING AGENDA                                              8 FEBRUARY 2016


RECOMMENDATION
That Council note the report by the Manager Financial Services to the General Committee
Meeting dated 8 February 2016 providing the January YTD financial performance report for the
2015/16 financial year.


REPORT
Recurrent Revenue (YTD Benchmark 58%)

Council has received 91% ($79.7 million) of its recurrent revenue budget of $87.5 million as at
the end of January 2016. Based on current projects Council will achieve its budgeted revenue
targets. Commentary on each recurrent revenue type is provided below:

      Rates and Levies – $61.4m (102%) of the annual budget of $60.5m has been recorded
        following the January issue of rate notices. Whilst general rate revenue is slightly below
        forecast levels, waste collection charges received are above budget. The impact of
        discounts to be applied to general rate revenue in February will reduce the total rate
        revenue collected by approximately $800k.
      Fees and Charges – Fees and charges earned ($4.9m) totals 84% of the full year forecast.
        Favourable variances exist for cemetery operations, parking, and development related
        fees, with adjustments proposed as part of the December quarter budget review.
      Interest Received – Currently 4.2% above forecast levels due to higher cash balances than
        originally estimated. 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.
      Dividend and Tax – Dividends and the payment of tax equivalent from Unitywater are in
        line with budget forecasts.
      Other Revenue – areas including waste fees are marginally above budget predictions, with
        sale of recyclable materials (particularly scrap metal) currently below forecasts. All
        variances will continue to be monitored to determine whether adjustments should be made
        as part of the next budget review.
      Grants and Subsidies – Overall receipts for operational grants are generally in accordance
        with adjustments to the revised budget forecast proposed to account for variances due to
        additional funding received not previously recognised.

Figure 2: Recurrent Revenue Position by Type (Excluding Rates)
 $7.0

 $6.0
                                   YTD Budget ($m)
 $5.0                              YTD Actual ($m)

 $4.0

 $3.0

 $2.0

 $1.0

 $0.0
                                                         Other
              Fees




                                                                    Grants
                        Dividend




                                                Tax
                                     Interest




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