2020-08-17 General Committee Agenda

GENERAL COMMITTEE MEETING AGENDA                                                   17 AUGUST 2020


REPORTS DIRECT TO GENERAL COMMITTEE


6      BUDGET REVIEW 1 (BR1) FOR THE 2020/21 FINANCIAL YEAR

Author             Manager Financial Services, Trent Grauf
                   Corporate Services Department

Index              ECM/ Subject/ 7.26 – 2020-2021 Budget

Attachments        1.   Proposed Operating Budget Submissions
                   2.   Proposed Capital Budget Submissions
                   3.   Revised Capital Program
                   4.   Revised Statement of Income and Expenditure
                   5.   Revised Budget Financial Statements


EXECUTIVE SUMMARY
The Local Government Act 2009 and Local Government Regulation 2012 require Council to
undertake regular reviews of the adopted budget to ensure it remains reflective of planned activities
to be funded through the financial year. This first budget review for the 2020/21 financial year (BR1)
incorporates:
 Any capital or operating projects that were incomplete with unspent budgets at the close of the
    2019/20 financial year and are eligible for carryover into the current budget year.
 Any new or emergent actions arising from Council resolution, Executive Team or Capital Works
    Executive action since the adoption of the original budget in July 2020.

In summary the budget review is proposing an increase of $394k to Council’s operating deficit
resulting in a revised operating deficit of $2.2 million. Capital grant revenue has increased by $4.1
million and the revised capital expenditure program has increased by $8.2 million to $35.3 million.

Item                                       Original Budget        Adjustments Proposed Budget
                                                    ($’000)            ($’000)    (BR1) ($’000)

Operating Revenue                                  $96,198                $378             $96,575
Operating Expenditure                              $98,017                $772             $98,788
Operating Result                                   ($1,819)              ($394)            ($2,213)
Capital Grants and Contributions Revenue            $7,254              $4,086             $11,340
Capital Works Expenditure                          $27,037              $8,245             $35,282


RECOMMENDATION
That Council note the report by the Manager Financial Services to the General Committee Meeting
dated 17 August 2020 and approve the proposed changes to the budget for the 2020/21 financial
year as outlined in the Revised Budget Financial Statements attached to the report.


REPORT
Section 170(3) of the Local Government Regulation 2012 allows Council, by resolution, to amend
the budget at any time before the end of the financial year.




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