ARARAT Rural City Council’s quarterly expenditure is on track with year-to-date projections.
A finance and performance report was presented to councillors at the council’s August meeting on Tuesday night.
It offered an overview of the quarterly spending in line with the 2017-18 Budget.
Chief executive Alan Bawden presented the report on the behalf of corporate support manager Don Cole at the meeting.
Mr Bawden said the report detailed the council’s finances up until June 30.
“The report includes our Comprehensive Income Statement and all the reports that form our end-of-year report, including the performance statement that goes into that annual report,” he said.
The report revealed that council generated $32.292 million in revenue and $29.214 million in expenditure up until June 30. This resulted in a surplus of $3.078 million for the year.
Council’s surplus of $3.078 million included in the Comprehensive Income Statement compares unfavourably with the surplus of $4.756 million in 2017-18.
The actual results for both years were inflated as council received advanced payments from the Victorian Grants Commission. Income was $0.669 million less than 2016-17 and expenditure was $1.009 million more than 2016-17.
The Cash Flow Statement revealed a decrease of $2.258 million, while the net transfer to reserves was $0.630 million.
A loan of $1 million included in the Budget was not required in 2017-18 as council had sufficient funds to meet the cost of the Ararat Arts Precinct.
However the loan may be taken up in 2018-19, which will improve council’s cash position.
Cr David Pettman moved a motion to request that council’s governance costs associated with the commission of inquiry would also be included the quarterly reports.
All councilors were in favour of the motion and it was carried unanimously.