Financial Sustainability

Home | Contacts | Payments | Site Index

» Search «

Photos

Council Plan

Budget

You are here : Home > About Council > Council Publications > Annual Report >

Strategic Objective 5: Responsible Corporate Governance

5.2 Financial Sustainability

The Council Plan, which is developed at least every 4 years, includes a Strategic Resource Plan that identifies the financial and other resources required to achieve the objectives set out in the Council Plan for the next 4 years.

Council's Strategic Resource Plan, adopted in June 2006 (updated annually, a new Council Plan was adopted in June 2009), included a Financial Plan based on ensuring the long-term financial stability and viability of the City. Key objectives include a four-year operating and capital works expenditure program and associated rating and revenue strategies to ensure Council's strong financial position is maintained along with a modest debt level at $10M.

As part of the Financial Plan, Council adopted a set of strategies, which underpin the financial management of Council. Council's financial performance for 2008/09 is evaluated below in terms of its alignment with these strategies.

Financial Performance

Financial Plan Strategy: The funding of both operating expenditure and base capital works from recurrent revenue sources and capital subsidies.

Compared to 2007/08, Council's Financial Performance has improved from a deficit of $636K to a surplus of $3.8M in 2008/09. That has predominantly been driven by the increase in non-cash developer contributions of public open space, roads and other infrastructure. After adjusting for this and the non-cash items in both years, Council's underlying comparative result is:

2008/09 Deficit of $1.372M
2007/08 Deficit of $1.224M

In 2008/09, Council provided $15.5M from recurrent revenue sources for its Base Capital Works program.

As the chart below indicates, the funding allocation for this program has increased markedly since 2000/01 as the annual ongoing requirements to maintain the City's existing infrastructure have become, through the development of Asset Management Plans (AMPs), more clearly identified and quantified. While the difference between annual depreciation and the base capital works program is not considered material given the current age and condition of Council assets, the continuing development of Plans for the management of each category of community asset will ensure funding allocations more closely align with the renewal requirements of the City’s infrastructure.

Base Capital Works Budget

Note: 2007/08 reflects completion of Clayton Community Centre

Page top

Updated: 22 October 2009

[ Up: Annual Report | Forward: Revenue ]

Photos

Strategic Objective 5: Responsible Corporate Governance

5.2 Financial Sustainability

Financial Sustainability

Financial Performance

Quick Links

Main Topics:

About Council topics:

Direct Links:

Document Information