2017/18 Budget Introduction and Summary from the Mayor
The 2017/18 budget was prepared by operational staff along with Councillors over the past two months through portfolio meetings and two full budget workshops.
Council has considered carefully the need to maintain strong financial management whilst maintaining services and delivering for community and nominated a rates rise of 3%. This rise is above CPI and is required in order for the Council to maintain a strong position and meet rising costs. The rise will be a modest increase in revenue of $78,642 bringing the total rates revenue to $2,841,852.
The Operational budget proposed will see revenue of $21,626,108 and expenditure of $20,032,592 and provide for a positive cash position at 30th June 2018 of $1,593,516.
The operational services of Council have been maintained in their entirety. The allocation for roads maintenance is $1,100,000 and the McKinlay Shire Roads Strategy has been utilised to inform the operational budget and capital expenditure in this area. There are some carry overs of projects from the 2016/17 financial year such as the Tourism Plan and Economic Development Plan as examples.
The Capital Works proposed has revenue of $7,195,620 and expenditure of $12,469,865. Some of these projects are funded through State Government programs such as Works for Queensland while a significant project of the RV Site and Cattle Yards Upgrade is dependent on a successful funding announcement from the Federal Government. The Combo Waterhole project has been accounted for in the budget on the provision that the State Government funding allocation increases from 50% to a minimum of 90%. The Julia Creek Airport Upgrade budget is expected to be slightly reduced however the full amount has been accounted at this point. Extra funding may be forthcoming from the State Government towards this project from a current funding application thus reducing Council’s exposure in this area. The Capital Works program is financially responsible providing economic and community benefit as well as focusing on renewing assets where possible.
Council is proposing to maintain a strong reserve of $1.3 million dollars allocated as per below
Roads and Reseal $530,000
Housing Upgrades $200,000
Culverts & Bridges $50,000
Water & Sewerage $250,000
Overall this budget ensures that good financial management is maintained and many capital projects are carryover from the allocation of Works for Queensland funding during the later half of 16/17. Ongoing completion of planning such as Planning Scheme, Tourism Plan and Economic Development Plan all to be completed in the first half of 17/18 will provide Council with a focused direction into the future. All services to community are maintained and the rates rise of 3% will ensure sustainability for Council for the coming year. Council will present the adopted budget during July in meetings across the Shire and through normal community communication channels.