Financial Performance Report – January 2024

Frank Wilkie50:07

You. The next item is the Financial Performance Report for January written by financial services manager acting Pauline Coles and we have Trent Grauf as well. Welcome Pauline and Trent. Colleen good afternoon. Good afternoon. Could you give us an overview please? Sure I can. Of the finances for January.

So firstly I'd like to bring to your attention that the January 2024 year-to-date results now reflect the Budget Review 2 that was adopted by Council at the January Ordinary Meeting. To-date year January operating revenues continue to outperform our forecast and operating percentages are under forecast year-to-date to the end of January. Operating revenue is $420,000 above budget which is driven by interest income of $325,000. Sales of goods and services of $466,000 which is predominantly from holiday parks, waste and some community facilities and if this is offset by lower than forecast, revenue from Fees and Charges relating to development assessment, building and plumbing and local laws. Operating expenditure is $861,000 underspent with the majority of this relating to employee costs. About a million dollars this is a result of some vacancies and recruitment timing as well. It is compounded at this time of year by the timing of leave being taken by staff and the accrual provisions and that's equivalent to about $300,000 so it's sort of overstate just because everyone takes a lot of leave around January but we don't accrue it in the system that way. Materials and services are slightly overspent about $122,000 and economic tourism economic development expenditure is on track as forecast. Overall council's operating position at the end of January is $1.3 million above budget obviously noting that some of this relates to some issues. Year to date excluding our disaster projects councils have spent 38% of its full year capital program which equates to about $17.6 million with a further $10 million in commitments. Of the disaster program $15 million been spent to date. Due to the timing obviously it's a little bit slower over the December /January quarter but that should ramp up into the remainder of this year. Council's cash holding at the end of January was $110 million with $35 million of these funds invested in term deposits. With the second rate cycle happening in January cash is again at its peak and it will decline over time as operational expenditure occurs and the capital program is delivered. Overall council's financial performance continues to be strong.