2017-06-12 General Committee Agenda

GENERAL COMMITTEE MEETING AGENDA                                                           12 JUNE 2017


Operating Expenditure (YTD Benchmark 91.7% - 11 months)

Actual operating expenditure is currently 78% of full year budget. Detailed commentary for each
expenditure category appears below:

        Employee Costs – Actuals of $25m against the YTD budget of $25.3m (variance of $273k)
          equates to 87% of full year budget spend. This is primarily represented by a YTD under-
          expenditure of the training allocation ($163k) and additional allocation of employee costs to
          capital projects.
        Materials and Services – $32.9m (81% of the full year budget) has been expended
          compared to the YTD budget of $33.6m (variance of $681k). Year to date variances
          primarily relate to contract services budgets, specifically under expenditure in waste
          collection ($303k); libraries programs and collections ($118k), electricity costs ($114k); ICT
          telecommunications ($105k); works operations ($96k), pest management ($84k), parks
          ($58k) and cemeteries ($52k) all behind YTD budget. Materials and services costs
          associated with the clean-up from damage caused by ex-cyclone Debbie total $259k as at
          the end of May 2017.
        Finance Costs – bank merchant fees ($17k) and interest on QTC loans ($100k) are
          currently behind YTD budget.
        Depreciation Expense – in line with YTD budget.
        Other Expenses – above YTD budget by $23k due to additional infringement notices
          referred to SPER for collection (recovered once fines are collected).

Figure 3: Operating Expenditure Position by Type
 $40
 $35
                                                       YTD Budget ($m)
 $30
                                                       YTD Actual ($m)
 $25
 $20
 $15
 $10
     $5
     $0
                                                Finance Costs
                                 Materials




                                                                    Depreciation
                 Employees




                                                                                   Other




Capital Revenue

YTD capital revenue of $10.2m received includes $2.8m of cash contributions from developers,
contributed assets of $4.7m (new infrastructure assets provided as a condition of development),
together with $2.7m received as grant funding towards capital projects, including $1.3m
(Commonwealth Roads to Recovery funding for renewal road works), $200k (TIDS); $153k
(Natural Disaster Relief and Recovery); $303k (Rufous Street Digital Hub); $75k (Natural
Disaster Resilience Program – Flood studies and flood gauges); $275k (Bus Shelter Disability
Upgrade program); $288k (Cycle Network Program); $20k (Tait Duke Cottage refurbishment),
and $11k Road Safety Grant.


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