2014 Maroondah Logo RGB.jpg

 

Ordinary Meeting of Council

 

Attachments

 

 

 

Monday 24 November 2014

 

 

 

Council Chambers, Braeside Avenue, Ringwood

 

 


ATTACHMENTS

 

 

Director Corporate Services

1.       Reports of Assembly of Councillors

Attachment 1: ..... 2014 October 20 - Assemby of Councillors - Public Record.............. 3

Attachment 2: ..... 2014 November 17 - Assembly of Councillors - Public Record.......... 5


ATTACHMENT No: 1 - 2014 October 20 - Assemby of Councillors - Public Record

 

Item  2

 

2014 Maroondah Logo RGB.jpg

 

ASSEMBLY OF COUNCILLORS – PUBLIC RECORD

 

Assembly Details:

 

 

 

 

 

Date: Monday 20 October 2014

Time: 6.00pm

Location: Meeting Room 4

 

 

 

Attendees:

 

 

 

 

 

Councillors

 

 

Cr Les Willmott, JP

Cr Tony Dib, JP

Cr Nora Lamont

Cr Liam Fitzgerald

Cr Christina Gleeson

(entered at 6.20pm)

Cr Samantha Marks

Cr Rob Steane

Cr Natalie Thomas

Cr Mary-Anne Lowe

 

 

 

Council Officers:

 

 

Steve Kozlowski

Chief Executive Officer

Marianne Di Giallonardo

Director Corporate Services

Phil Turner

Director City Development

Wendy King

Director Community & Leisure Services

Andrew Taylor

Acting Director Operations & Infrastructure

Jenny Scicluna

Operational Project Manager Aquanation                  Item 2

Dianne Vrahnas

Manager Human Resources                                      Item 3  

Stephen Onans

Team Leader Governance

 

 

Others:

 

 

 

 

 

Apologies:

 

 

Councillors:

Nil

Council Officers:

Trevor Welsh, Director Operations & Infrastructure

 

 

 

Conflict of Interest Disclosure:

 

Councillors:

Nil

 

Council Officers:

Nil

 

 

Matters Discussed:

## Confidential Item

 

 

 

 

1

Aquanation Service Provision

2

Council Meeting Agenda

3

Volunteers Strategy

4

Proposed Timeline Annual Budget 2015-16

5

Croydon Hotel Gaming Application

 

Record completed by:

Council Officer

Stephen Onans

Title

Team Leader Governance

 


ATTACHMENT No: 2 - 2014 November 17 - Assembly of Councillors - Public Record

 

Item  2

 

 

 

 2014 Maroondah Logo RGB.jpg

 

ASSEMBLY OF COUNCILLORS – PUBLIC RECORD

 

 

Assembly Details:

 

 

 

 

 

Date: Monday 17 November                     2014

Time: 6.00pm

Location: Meeting Room 4

 

 

 

Attendees:

 

 

 

 

 

Councillors

 

 

Cr Tony Dib, JP

Cr Nora Lamont

Cr Les Willmott, JP

Cr Natalie Thomas

Cr Mary-Anne Lowe

Cr Liam Fitzgerald
– arrived at 6.25pm

 

Cr Samantha Marks

Cr Rob Steane

 

 

 

Council Officers:

 

 

Steve Kozlowski

Chief Executive Officer

Marianne Di Giallonardo

Director Corporate Services

Phil Turner

Director City Development

Wendy King

Director Community & Leisure Services

Trevor Welsh

Director Operations & Infrastructure

Adam Cooper

Team Leader Youth Services                             Items 1 & 2

Heather Cummings

Youth Planning & Policy Officer                                Item 1

Mel Jeffery

Youth Program Worker                                              Item 2

Grant Meyer

Manager Integrated Planning                                     Item 4

Alan Ellis

Manager Finance & Governance                              Item 7

Stephen Onans

Team Leader Governance

Others:

 

 

 

 

 

 

Apologies:

 

 

Councillors:

Cr Christina Gleeson

Council Officers:

Nil

 

 

 

Conflict of Interest Disclosure:

 

 

Councillors:

Nil

 

Council Officers:

Marianne Di Giallonardo

Item 7 – Aquanation Borrowings Tender

Husband is employed by the ANZ Bank

 


 

 

 

Matters Discussed:

## Confidential Item

 

 

 

 

1

Youth Plan - Year 2 Update

2

LGBTI Inclusive Initiatives

3

Community Assistance Fund

4

Heritage Issues

5

2015 Council Meeting Schedule

6

Councillor Representation on Committees

7 ##

Aquanation Borrowings Tender

8

Items of a General Nature raised by Councillors

 

Record completed by:

Council Officer

Stephen Onans

Title

Team Leader Governance


 

2.       Councillor Representation Reports

Attachment 1: ..... Minutes - Maroondah Partners in Community Wellbeing Committee 22 September 2014.............................................................................................. 7

Attachment 2: ..... Minutes - Maroondah Disability Advisory Committee 9 October 2014 10

Attachment 3: ..... Minutes  - Metropolitan Local Governments' Waste Forum 9 October 2014 14


ATTACHMENT No: 1 - Minutes - Maroondah Partners in Community Wellbeing Committee 22 September 2014

 

Item  3

 

 

Maroondah Partners in Community Wellbeing Committee

Monday 22 September 2014 (9.30-11.30am)

Room 4 (Braeside Avenue)

 

MINUTES

 

 

Present:   

Bill Wilkins (Chair & Community Representative), Cr Nora Lamont (MCC), Noelene Greene (MCC), Lisa Pirie (MCC, minutes), Maidie Graham (Wesley Homelessness and Support Services), Vic North (Eastern Volunteers), Laura Newstead (Outer East Primary Care Partnership) & Christine Farnan (Dept Health)

 

Apologies:

Grant Meyer (MCC), Cr Samantha Marks (MCC), Deborah Locco (DEECD), Mervat Dahdoule (Migrant Information Centre); Sue Rosenhain (Women’s Health East); Vanessa Czerbuawski (Women’s Health East);

 

1.       Welcome – Bill Wilkins

 

Bill welcomed committee members to the meeting. A brief round table introduction was carried out for the purpose of new attendees. 

 

2.       Declaring a conflict of interest

 

Bill explained to the group the purpose of this item and advised that a conflict of interest could be declared at any point in the meeting.  No declarations were made.

 

3.       Confirmation of the Minutes of the last meeting

 

The minutes of the last meeting were confirmed. These were accepted as an accurate record of proceedings. Moved: Vic North, Seconded: Christine Farnan

 

4.       Maroondah 2040 – Community Vision. (Phil Turner, Director City Development)

Phil Turner, Director City Development introduced himself to the group and took the opportunity to provide a brief outline of the Maroondah 2040 document and its purpose.

Phil outlined that 2,500 comments were received from the community overall.

A copy of the Maroondah 2040 plan and summary document were distributed to all group members.

A discussion ensued about the synergies between the Maroondah 2040 and the Maroondah Community Wellbeing Plan

 

 

 

Phil noted that safety has emerged as an issue in Maroondah  2040 and was also identified  as a key issue in the Maroondah Youth Plan.

Phil advised that it may be beneficial to have Council’s Integrated Planning Advisor, Phil Medley, attend a future meeting to further discuss how Council will move forward with 2040.

Maidie asked what the  biggest challenges are?

Phil (MCC) The development of relationships with groups. Council cannot achieve everything it will be relying on partnerships to achieve more. Another challenge faced is the rapidly changing developments i.e.: Eastland creating a high level of services to the community whereby people are no longer required to travel to the city to access such services.

Bill raised that people seem to be more genuinely interested by the social implications.

Noelene concluded the item and encouraged the group to take additional 2040 documentation and badges to associates and staff.

5.       Community Wellbeing Plan (Highlights to date) – Noelene Greene

Today’s purpose was to explain to the group highlights of the Plan as there are currently a lot of projects underway. Noelene advised the group that at the end of the calendar year, further feedback will be sought and then provided in a formal report to the Committee.  She thanked the Committee for its strong support for the Plan.

 

Noelene reinforced the strong link between Maroondah 2040 and the Community Wellbeing Plan.

 

The Committee provided feedback on projects they had been involved with.

 

 

6.       Information Share

Vic 

·    A lot of effort going into the new strategy moving forwards in a challenging environment.

·    State Govt – a lot of changes afoot.

·    Looking at ways where they may consider ‘fee for services’.

·    Do business differently – need to be less dependent on government funding.

 

Christine

·    The Department of Health have moved back to the main DHS building.

·    There is an upcoming forum being organised by Medicare Local to be held on October 15 that will share information and learnings on best practice in the health sector in Melbourne’s east.


 

 

Laura

·    Development of The Well, an online resource.

·    People can access data sets.

·    Includes regional indicators.

·    Soft launch by end of the year.

 

Maide

·    Still awaiting outcomes of numerous submissions. This will then shape what they can do.

Bill    

·    Chin Community project in East Ringwood to go ahead

 

Nora   

·    Invited to attend Chin Communities “Chin Federation Conference” to be held in Mt Evelyn on Friday 3 October 2014.

 

7.       Aged Friendly Cities Initiative (Tanya Clark)
This item was held over until the next meeting

8.       Next meeting

The next meeting is to be held on Monday 17 November 2014.

 

Meeting Closed at 10.50 am.

Bill thanked everyone for their attendance.


ATTACHMENT No: 2 - Minutes - Maroondah Disability Advisory Committee 9 October 2014

 

Item  3

 

MAROONDAH DISABILITY

ADVISORY COMMITTEE (MDAC)

 

MINUTES

 

Thursday 9 October 2014 (Braeside Ave, Ringwood)

 

1.       PRESENT: Cr Nora Lamont (Chair), Cr Liam Fitzgerald, Liz Ellis, Norma Seip, Briere Kop,  Geoffrey Outhred, Michelle Egan, Kathy McCartney, Rose Ensor (MCC) & Lisa Pirie (MCC - Minutes).

WELCOME AND APOLOGIES

Welcome:
Cr Nora Lamont welcomed all to the meeting & a brief round table introduction was carried out.

Apologies:          Kate Blackmore, Kathy McCartney, Yvonne Blinks & Peter Smith.

 

 

2.       Minutes & Conflicts of Interest

 

The Minutes of the previous meeting were confirmed. Moved: Liz Seconded: Michelle

 

There were no conflicts of interested declared.

 

3.       Realm Design & Interior Design Concept

 

Chris Zidak (Manager Business & Development) & Rhiannon Mahony (Ringwood Central Activities Area Development Officer) were in attendance to discuss Realm.

 

Chris commenced the 100% design development presentation by introducing himself and Rhiannon. He also introduced Ashley Sheppard & Brooke Fuller of the Buchan Group.

 

The presentation incorporated a floor by floor overview of Realm which also included many key points and design highlights.  Chris pointed out that the building not only meets, but exceeds the Disability Discrimination Act (DDA) and its requirements. Along with Eastland, this building will facilitate a Changing Places toilet which will be the first of its kind in Australia. This facility caters specifically for people with a profound disability and their carers.

 

The building will also house two lifts, one of which will be large enough to facilitate a flat bed wheelchair.

 

Ashley Sheppard and Brooke Fuller of the Buchan Group then provided a conceptual presentation. This presentation covered the ‘look and feel’ component with imagery indicative of examples of furniture and materials used, adjustable desks and desk heights, colour schemes and colour palettes etc.

 

Geoffrey – Does the open and airy space mean a compromise for noise disturbance? e.g.: The Café and its glass dividing wall? The team from Buchan explained that this was not soundproof but that it is closable. They then advised that the intent was to create an open space and a seamless dynamic between the Café and the ground floor with more noisy activities taking place on the lower level and the upper levels lending themselves to a reflective and quiet space.

 

Geoffrey also questioned the Children’s Area with similar concerns as for the café interaction and noise levels.

 

Briere – Will there be sufficient security cameras (CCTV) present?

 

Nora asked about the amount of disabled parking spaces allocated to Realm.

 

Rose – Will the building house scooter re-charge stations? Chris advised that the library component does however was unsure as to the Café. He will investigate and provide a response.

 

Action:  Rose to follow up on responses to the questions above.

 

4.       Employ Outside the box

 

Peter Smith was unfortunately an apology for the meeting so Rose Ensor gave the group a brief overview of the event.

 

It was a fantastic event with involvement from 7 Councils and attendance by over 190 people. The event was very focussed on employers. Peter to provide a more thorough overview at the next meeting.

 

5.       Changing Places – Federation Square

 

Geoffrey Outhred provided the group a brief summary of the Changing Places event. Geoffrey was blown away by the event and credited the involvement of Jack Mulholland and his tireless efforts to bring the facilities to Maroondah. He commended Simon Knott (BKK Architects) on doing a great job at presenting and said that he has a big passion for designing for the disabled.  Geoffrey credited the overall event as a huge success as it combined both personal and professional stories and services. There were 250 people in attendance.

 

Norma acknowledged the impact made by the Royal Institute of Chartered Surveyors in the UK as she believes this was when we saw major change implemented.

 

Michelle reminded the group that this should not be viewed as a service to be provided but a basic human right and it seems the difference is now being acknowledged.

 

6.       Changing Places – Ringwood Lake

 

Ringwood Lake saw the opening of the first ever changing places facilities held on 1 October 2014. Nora attributed the event as a great success. Special mention was made to Liz Ellis who assisted in the ribbon cutting and opening of the facilities along with the Mayor, Cr Les Willmott. This event drew great media coverage including The Age and the Leader newspapers, You-Tube and Facebook.


 

7.       Disability Policy & Action Plan (Future Reporting)

 

Noelene thanked the group and Rose for their input and work to date on the draft Plan. Noelene advised that the Plan was going to the 20 October Council Meeting for endorsement and then out to public exhibition for comment.

 

Council will monitor the Plan across the organisation and ensure that the actions are implemented. There will be a formal report to Council on the progress of the Plan every 12 months. There will also be updates provided to the DAC at regular intervals and the committee may request an update on specific areas.

 

Geoffrey – Is it going to be further developed in detail or is it a fairly broad principle? Noelene advised that the Plan has both broad and specific actions and that the reporting will provide more detail on what has been achieved. As it is a 4 years plan and therefore broad timeframe, things can change and the plan needs to be flexible to include change where applicable.

 

Rose pointed out that it is also about creating a culture across the organisation that incorporates disability and  diversity into the way people across Council work be it planning, policy or operational at every level.

 

8.       Next Meeting

 

November 13th (Christmas break up). A suggestion of either the 20 & 27 November was sought as Cr Nora Lamont is unavailable for the 13th. Venue is to be Wyrena.

Action: Rose Ensor

 

New Year - Meetings to recommence in February 2015.

 

9.       Other Business

 

Michelle reminded the group that the ‘Stroke a Chord’ concert was being held on Saturday 11th October.

Geoffrey notified the group of a project called ‘In Between’ that he is involved with in partnership with RMIT and a current lecturer. The project aims to reveal obstacles for people with a disability in navigating their way from their arrival location (namely public transport) to their destination point and the difficulties faced in doing so. Geoffrey encouraged the involvement of his fellow MDAC committee members in the trial. He plans to record the travels of the day to highlight the difficulties faced.

 

The meeting closed at 12:00pm.

 


ATTACHMENT No: 3 - Minutes  - Metropolitan Local Governments' Waste Forum 9 October 2014

 

Item  3

 


 


 


 


 


 


 


 


 

3....... Financial Report: Three Months Ending 30 September 2014

Attachment 1: ..... Financial Report for three months ending 30 September 2014.......................... 24


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

 

 

 

 

 

 

 

 

 

FINANCIAL REPORT

Three months ended

30 September 2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Maroondah Logo RGB.jpg


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

 

 

Contents

 

 

 

 

1.           EXECUTIVE SUMMARY.................................................................................... 3

 

2.           FINANCIAL ANALYSIS

 

2.1          Operating Performance ..................................................................................... 5

 

2.2          Capital Performance ........................................................................................ 10

 

2.3          Financial Position ............................................................................................. 13

 

2.4          Cash and Investments ...................................................................................... 16

 

 

 

APPENDIX A

 

Income Statement .......................................................................................................... 19

 

Reconciliation Adopted Budget to Forecast.................................................................... 22

 

Balance Sheet ................................................................................................................ 23

 

Cash Flow Statement ..................................................................................................... 24

 

Statement of Capital Works ........................................................................................... 25

 

 

 

APPENDIX B

 

Manager’s comments on Operating Statement Variances............................................. 26

 

 

 

APPENDIX C

 

Manager’s comments on Capital Variances................................................................... 33

 

 

 

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

1      EXECUTIVE SUMMARY

 

1.1         OPERATING PERFORMANCE

 

 

Forecast

YTD

YTD

YTD

Adopted

 

Budget

Budget

Actual

 Var

Budget

 

$’000

$’000

$’000

$’000

$’000

Operating

Revenue

107,487

81,928

82,479

551

107,311

Expenditure

(107,277)

(25,641)

(24,634)

1,007

(106,185)

Net surplus (deficit) from ordinary activities

210

56,287

57,845

1,558

1,126

Net gain (loss) on disposal of property

(93)

(23)

76

99

(93)

Capital

Grants & contributions

8,111

1,956

1,565

(391)

4,960

Net surplus (deficit)

8,228

58,220

59,486

1,266

5,993

 

For the three months ended 30 September 2014 Council has recorded an operating surplus before capital revenue of $57.8 million, which is $1.56 million ahead of the year to date budget (This equates to a 1.5% variance on total budgeted turnover). The major contributing favourable variances are:  (See also notes to Income Statement on pages 19 to 21 and Appendix B.)

·        Public open space contributions of $492k.  These contributions are a restricted asset and the expenditure of this money is tied to public open space improvements.

·        Contractor payments for waste are under budget $191k mainly in the area of green waste processing $66k however the variances are more of a timing nature.

·        Home Care is presently $151k underspent.

 

The variances relate to timing differences and the forecast expected at 30 June 2015 is anticipated to be close to the adopted budgeted net surplus from ordinary activities. There is no element of the operating budget that causes concern.

 

The movement between the net surplus Adopted Budget of $5.9m and the Forecast of $8.2m mainly relates to the following (Refer to detailed reconciliation in Appendix A page 22):

·        Carried forward grants net $824k

·        New and revised grant funding net  ($105k)

·        Carried forward capital income $1,400k

·        New capital grant funding $1,754k

·        Additional Waste supplementary rates $60k

 

 

1.2         CAPITAL PERFORMANCE

 

 

Adjusted

YTD

YTD

YTD

Adopted

Budget ##

 Budget

Actual #

 Var

Budget

$’000

$’000

$’000

$’000

$’000

Total capital works

53,901

10,992

11,461

(469)

41,211

#YTD Actual expenditure includes Carried Forwards                ##Forecast Budget expenditure includes Carried Forwards

 

 

The Forecast Budget includes carried forward works from 2013/14 of $8.8m, funding for new projects including:

·        State government funding from the Department of Transport, Planning & Local Infrastructure for the signalisation of Bedford Road and Great Ryrie Street of $1.0 million;

·        Federal government funding from the Attorney-General’s Department for the installation of CCTV cameras in the Ringwood Metropolitan Activity Centre and East Ringwood of $400k;

and future years projects brought into current year including the redevelopment of the Norwood Family & Children’s Centre of $1.1 million.

 

For the three months ended 30 September 2014 Council has expended $11.5 million on the capital works program, which is $0.5 million ahead of the year to date budget. The variance is due mainly to:

·        Stormwater drainage infrastructure emergency works for a drain collapse in Ringwood Street of $144k;

·        the payment of the final invoice relating to the Ringwood Lake toilets project earlier than anticipated of $93k;

·        and unplanned works due to substandard drainage requiring modification and service issues at the intersection of Dublin and Bedford Roads of $32k.

 

1.3         FINANCIAL POSITION

 

 

2014-15

2013-14

2013-14

 

Adopted

Sept YTD

Sept YTD

 June YTD

 

Budget

Actual

Actual

Actual

 

$’000

$’000

$’000

$’000

Cash and investments

29,297

17,159

34,079

32,332

Net current assets

11,869

67,385

83,367

14,611

Net assets and total equity

1,276,836

1,389,460

1,316,320

1,329,975

 

 

The Financial Position as 30 September 2014 shows a cash and investment balance of $17.1 million which is $16.9 million lower than 30 September 2013 and the net current asset position is $67 million which is significantly lower than the same period last year. This reflects Council using its cash to fund the capital expenditure having utilised its own cash during this period for Aquanation contractor payments.  Council has now commenced the tender process for loan borrowings.  The net asset position is $1.389 billion.

 

These figures are in line with the 2014/15 Long Term Financial Strategy predictions.

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

2.      FINANCIAL ANALYSIS

 

2.1         OPERATING PERFORMANCE

 

2.1.1      Operating revenue

 

 

Forecast

YTD

YTD

YTD

Adopted

Budget

 Budget

Actual

 Var

Budget

$’000

$’000

$’000

$’000

$’000

Revenues

Rates & garbage charges   *

73,722

73,656

73,675

19

73,662

User fees

15,434

3,844

3,633

(211)

15,489

Statutory fees & fines

3,312

598

718

120

3,319

Contributions - cash

1,500

375

817

442

1,500

Grants - Operating (recurrent)

11,807

2,938

2,996

58

11,692

Grants - Operating (non-recurrent)

798

298

437

139

735

Interest

914

219

203

(16)

914

Net gain (loss) on disposal of property, infrastructure, plant & equipment

(93)

(23)

76

99

(93)

Total

107,394

81,905

82,555

650

107,218

Capital grants & contributions

8,111

1,956

1,565

(391)

4,960

Total operating revenue

115,505

83,861

84,120

259

112,178

 

* Rates actually received are in line with expectations and in accordance with the same trend as last year – see graph on page 15.

 

Revenue YTD Budget variances (depiction of the table above)

 

 

 

 

 

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

 

Major Operating Revenue Variances

 

 

 

YTD Budget for selected items

YTD Fav Budget

YTD Unfav Budget

Var

$’000

$’000

$’000

Statutory Fees & Fines

 

598

120

 

Fire Services Levy - Recoupment of expenditure

T

0

67

 

Contributions - cash

 

375

442

 

Open space contributions

T

325

492

 

User fees

 

3,844

 

211

Maroondah Leisure

T

2,334

 

104

Early Childhood Services

T

183

 

51

Community Facilities

T

106

 

64

Grants Operating (non-recurrent)

 

298

139

 

Revaluation - Grant State Revenue Office

T

 

138

 

Grants - Capital

 

1,956

 

391

Aquanation

T

1,700

 

200

CCTV - RMAC and East Ringwood

T

200

 

200

 

 

Note: Var T = Timing P = Permanent CF = Carried forward prior year

Fav Favourable against budget, Unfav – Unfavourable against budget

 

As the major unfavourable variances relate to capital sources of funding and are either offset by reduced capital expenditure or are purely related to timing of receipt of grants, there is no cause for concern for Council.

At this stage the forecast expected at 30 June 2015 is anticipated to be very close to the adopted budgeted net surplus from ordinary activities. Capital grants & contributions are anticipated to be $3.1m higher than the Adopted Budget with the inclusion of grant income carried forward from 2013/14 and new grants in 2014/15.                

For more detailed explanations refer to the notes of the Income Statement on pages 19 to 21 and to Appendix B which lists all major variances under/over $30k by Service Area.

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

 

2.1.2       Operating expenses

 

 

 

Forecast

YTD

YTD

YTD

Adopted

Budget

 Budget

Actual

 Var

Budget

$’000

$’000

$’000

$’000

$’000

Expenses

Employee costs

43,067

9,611

9,401

210

42,671

Materials and services

22,401

6,319

5,816

503

21,734

Contractors

22,917

5,266

4,971

295

22,888

Depreciation and amortisation

17,784

4,445

4,446

(1)

17,784

Finance costs

1,108

0

0

0

1,108

Total operating expenses

107,277

25,641

24,634

1,007

106,185

 

 

The movement between the operating expenses Adopted Budget of $106.2m and the Forecast of $107.3m mainly relates to the following (Refer to detailed reconciliation in Appendix A page 22):

·        Carried forward grant expenditure of $825k

·        Expenditure relating to new grant funding of $218k

 

 

 

 

 

Expenses YTD Budget variances (depiction of the table above)

 

 

The majority of these are all favourable variances and there are no causes for concern to Council at this early period of the year.

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

 

Major Operating Expense Variances

 

 

 

 

YTD Budget for selected items

YTD Fav Budget

YTD Unfav Budget

Var

$’000

$’000

$’000

Materials and services

 

6,319

503

 

Electricity

T

577

68

 

Consultancies

T

94

55

 

Communications IT systems

T

77

32

 

Maintenance Software

T

774

24

 

 

 

 

 

 

Contractors

 

5,266

                    295

 

Waste Management

T

2,458

191

 

Home Care (Respite, Personal & Property Maintenance)

T

1,061

151

 

 

 

#Income received in prior year.

 

Note: Var T = Timing P = Permanent CF = Carried forward prior year, Fav Favourable against budget, Unfav – Unfavourable against budget

 

The variances relate to timing differences. The forecast expected at 30 June 2015 is higher than the adopted budgeted net surplus from ordinary activities due to the inclusion of expenditure associated with unexpended grants from prior year and new grant funding received since the budget was adopted .

 

For more detailed explanations refer to the notes of the Income Statement on pages 19 to 21 and to Appendix B which lists all major variances under/over $30k by Service Area.

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

 

2.1.3      Directorate analysis

 

 

Forecast Budget Net cost

YTD Budget Net cost

YTD Actual Net cost

YTD Bud Var Net cost

$’000

$’000

$’000

$’000

Directorate

Chief Executive's Office

2,606

540

426

114

Corporate Services

21,610

5,320

4,963

357

Operations & Infrastructure

19,233

4,369

4,277

92

City Development

4,100

803

226

577

Community & Leisure Services

12,766

2,631

2,282

349

60,315

13,663

12,174

1,489

Capital Grants & Contributions

(8,111)

(1,955)

(1,565)

(390)

Net (Gain)/Loss on disposal of equipment

93

23

(76)

99

Other non-attributable 1

(60,525)

(69,951)

(70,019)

68

Net (surplus) deficit

(8,228)

(58,220)

(59,486)

1,266

 

1.   Other non-attributable includes rate & charges revenue, grants commission, depreciation and insurance.

 

 

 

Department net cost YTD Budget variances (depiction of the table above)

 

 

This graph shows that all directorates are showing a positive variance to the Year to Date Budget, which is a pleasing result to date.

For more detailed explanations refer to the notes of the Income Statement on pages 19 to 21 and to Appendix B which lists all major variances under/over $30k by Service Area.

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

 

2.2          CAPITAL PERFORMANCE

 

 

Amount

Forecast

YTD

YTD

YTD

Adopted

Carried Forward

Budget ##

Budget

Actual #

Bud Var

Budget

$’000

$’000

$’000

$’000

$’000

$’000

Capital works class

Roads & Footpaths

890

4,577

702

758

(56)

1,595

Local Area Traffic Management

0

300

30

0

30

320

Road Asset Enhancement

611

4,773

976

933

43

3,943

Roads to Recovery

571

891

300

217

83

300

Drainage

172

2,043

700

811

(111)

1,662

Recreational improvements

1,145

2,516

184

259

(75)

1,985

Plant & Fleet

152

3,180

0

666

(666)

3,028

Buildings & Facilities

4,428

32,576

7,746

7,518

228

26,833

Commercial Centres

149

630

1

1

0

105

Major Projects

253

548

0

0

0

200

Information Technology

292

1,152

158

63

95

860

Furniture and Equipment

188

715

195

235

(40)

380

Total capital works

8,851

53,901

10,992

11,461

(469)

41,211

#YTD Actual expenditure includes Carried Forwards                        ##Forecast Budget expenditure includes Carried Forwards, future years’ projects brought into this year (e.g., $1.2 million for Norwood Family & Children’s Centre) and projects related to new capital grants.

 

Capital works YTD Budget variances by asset class (depiction of the table above)

 

 

 


 

 

Capital works YTD expenditure cumulative

 

 

These graphs demonstrate that expenditure (and hence, the capital program) is primarily ahead of budget predictions in most areas.

Year to date expenditure is well up on adopted budget due partly to the expenditure primarily on carried forward projects and due to a concerted effort to deliver on the Capital Works program within the financial year. It is anticipated that there will be only minor carried forward works into 2015/16.

For more detailed explanations on capital items refer to Appendix C which lists all major variances under/over $30k by Service Area.

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

 

Major Capital Works Variances

 

 

 

YTD Budget for selected items

YTD Ahead of Budget

YTD Behind Budget

Var

$’000

$’000

$’000

Drainage

 

                    700

                    111

 

Stormwater Drainage Infrastructure

T

                       -  

                    144

 

Plant & Fleet

 

                       -  

                    666

 

Backhoe Loader

T

                       -  

                    171

 

John Deere Tractor

T

                       -  

                      55

 

Buildings & Facilities

 

                7,746

 

                    228

Ringwood Lake Information Board

T

                      58

 

                        3

 

Note: Var T = Timing  P = Permanent  CF = Carried forward prior year  E = Externally funded

 

 

For more detailed explanations on capital items refer to Appendix C which lists all major variances under/over $30k by Service Area.  On the whole, the results indicate Council is well placed to deliver on most of the projects included within the 2014/15 Capital Budget as well as those projects carried forward into the 2014/15 year.

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

 

2.3          FINANCIAL POSITION

 

 

 

 

2014-15

2013-14

 

Adopted

Sept YTD

Sept YTD

 

Budget

Actual

Actual

 

$’000

$’000

$’000

Cash and investments

29,297

17,159

34,079

Net current assets

11,869

67,385

83,367

Net assets and total equity

1,276,836

1,389,460

1,316,320

 

The Financial Position as 30 September 2014 shows a cash and investment balance of $17.1 million which is $16.9 million lower than 30 September 2013 and the net current asset position is $67 million which is significantly less than the same period last year. This reflects Council using its cash to fund the capital expenditure program which is being spent earlier than in the previous year. The net asset position is $1.389 billion.

 

These figures are in line with the 2014/15 Long Term Financial Strategy predictions.

 

Actual cash & investments balance by month

 

As mentioned above Council is currently using its cash to fund capital expenditure however the level of cash and investments will increase in November as loan funds will be drawn down.  Notwithstanding this, this graph reflects that there are sufficient cash reserves to cover both restricted assets and any fluctuations in cashflow.

 

 

 

 

 


 

 

Actual working capital ratio by month

(Current assets / Current liabilities)

 

The working capital ratio is a measure of liquidity.  It is essential for this figure to be greater than 1.00 at all times.

The working capital ratio is well above the VAGO recommended level of in excess of 1.50.

The ratio is decreasing as anticipated and by 30 June 2015 to be around the 1.50 mark.


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

 

 

Actual rates outstanding balances by month

 

 

With the introduction of direct debit payments over a nine month period, collection rates are indicating an increased spread of cash inflow throughout the year.  The September result indicates a similar level of rates outstanding as at the same stage last year. 

Rates debtor collection rate by %

 

The level of collection of rate debtors during 2014/15 is in line with expectations.

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

 

2.4          CASH AND INVESTMENTS

 

The following graphs indicate the diversification and credit ratings of the investment portfolio at the end of September. The table lists all the investments as at 30 September 2014. The investments were made in accordance with Council’s Investment Policy and all criteria specified in the Policy have been met.

Max % under policy = 50%

 

Min % under policy = 50%

 
These graphs indicate that the spread of investments both by credit rating and by institution meet the requirements of the Investment Policy.


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

 

INVESTMENTS AS AT 30TH SEPTEMBER 2014

 

 

 

 

 

 

 

 

 

CREDIT

MATURITY

PERIOD

YIELD

TYPE

 AMOUNT

 % of 

 

RATING

DATE

DAYS

%

 

 $'000

 Total

Bank West

A-1+

2.45

On-Call

       1,500

8.54%

National Australia Bank

A-1+

2.55

On-Call

       1,804

10.26%

Suncorp Metway

A-1

2-Oct-14

128

3.50

T

          550

3.13%

Rural Bank Ltd

A-2

16-Oct-14

143

3.51

T

          650

3.70%

IMB

A-2

16-Oct-14

212

3.50

T

          850

4.84%

Rural Bank Ltd

A-2

22-Oct-14

196

3.60

T

       1,018

5.80%

Suncorp Metway

A-1

30-Oct-14

30

2.95

T

       1,000

5.69%

Bank of Queensland

A-2

30-Oct-14

149

3.65

T

       1,000

5.69%

Bank of Melbourne

A-1+

5-Nov-14

226

3.55

T

          850

4.84%

Commonwealth

A-1+

19-Nov-14

50

3.15

T

       1,000

5.69%

ING

A-2

21-Nov-14

183

3.81

T

          815

4.64%

Rural Bank Ltd

A-2

27-Nov-14

177

3.60

T

       1,000

5.69%

ING

A-2

3-Dec-14

197

3.52

T

       1,000

5.69%

Commonwealth

A-1+

27-Oct-14

180

3.50

T

       1,018

5.78%

ING

A-2

14-Nov-14

179

3.82

T

          662

3.77%

Bendigo & Adelaide Bank LTD

A-2

23-Jan-15

364

3.60

NCD

          666

3.79%

Bendigo & Adelaide Bank LTD

A-2

9-Jun-15

368

3.70

NCD

       1,134

6.45%

Bank of Melbourne

AA-

13-Mar-18

1461

4.25

T

       1,057

6.01%

Total Investments

 

     17,574

100.00%

T = Term Deposit NCD = Negotiable Certificate of Deposit

 

Council’s performance against the industry wide benchmark (90 day Bank Bill Swap Reference Rate – Average Bid which summarises the returns on banks bills over the time period chosen) is

(Source: Australian Financial Markets Association)

 

 

2.71%
(industry benchmark)

Maroondah Investment Portfolio as at 30 September 2014 

This represents a favourable return on investments

3.58%

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

APPENDIX A

 

Income Statement

Reconciliation Adopted Budget to Forecast

Balance Sheet

Cash Flow Statement

Statement of Capital Works

 

 

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

MAROONDAH CITY COUNCIL

Income Statement

For the 3 months ended 30 September, 2014

 

 

YTD

YTD

YTD

Annual

Forecast

Actual

Forecast

Adopted

Forecast

Budget

Variance

Budget

$'000

$'000

$'000

$'000

Note

$'000

Income

Rates & charges     

73,722

73,656

73,675

19

73,662

Statutory fees & fines

3,312

598

718

120

1

3,319

User fees

15,434

3,844

3,633

(211)

2

15,489

Contributions - cash

1,500

375

817

442

3

1,500

Grants - Operating (recurrent)

11,807

2,938

2,996

58

11,692

Grants - Operating (non-recurrent)

798

298

437

139

4

735

Interest received

914

219

203

(16)

914

Net gain (loss) on disposal of property, infrastructure, plant & equipment

(93)

(23)

76

99

(93)

Total Income

107,394

81,905

82,555

650

107,218

Expenses

Employee costs

43,067

9,611

9,401

210

42,671

Materials and services

22,401

6,319

5,816

503

5

21,734

Contractors

22,917

5,266

4,971

295

6

22,888

Depreciation and amortisation

17,784

4,445

4,446

(1)

17,784

Finance costs

1,108

0

0

0

1,108

Total expenses

107,277

25,641

24,634

1,007

106,185

Underlying Surplus (Deficit)

117

56,264

57,921

1,657

1,033

Grants - Capital (recurrent and non-recurrent)

8,111

1,956

1,565

(391)

7

4,960

Comprehensive result

8,228

58,220

59,486

1,266

5,993


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

CLASSIFICATION STATEMENT (SUMMARY OF VARIANCES)

 

INCOME STATEMENT FOR THE PERIOD ENDED 30 SEPTEMBER 2014

          Items in brackets () indicate unfavourable variance

          NOTE 1

  Community Health fee registrations are above year to date forecast $17k.  Planning application fees are also higher than forecast $20k. Invoice for the recoupment of expenditure relating to costs associated with the collection of the Fire Services Levy was raised earlier than anticipated $67k.

          NOTE 2

       User fees at Maroondah Leisure are below year to date forecast $104k (Aquahub $53k and Dorset Golf $43k). Early Childhood Services fees are also below year to date forecast $51k.

NOTE 3

Higher than anticipated Open Space Contributions have been received $492k.

NOTE 4

Invoice to the State Revenue Office for revaluation data $138k raised earlier than anticipated.

NOTE 5

Electricity is $68k below year to date forecast of which street lighting represents the majority of this at $44k underspent. Consultancies are also below budget by $55k, consultancies for the Housing Strategy review being $25k of this.  IT systems - Communications are below year to date forecast by $32k. Community grants are above the year to date forecast $62k. The remainder of the variance is spread across a wide range of activities.


 

 

CLASSIFICATION STATEMENT (SUMMARY OF VARIANCES)

 

INCOME STATEMENT FOR THE PERIOD ENDED 30 SEPTEMBER 2014

NOTE 6

Waste Management contractor payments are $191k below year to date forecast mainly relating to green waste processing. Home Care (including Home Care, Personal Care and Respite Care) is $151k below budget.

NOTE 7

Capital grants from the Attorney General’s Department for CCTV cameras in Ringwood MAC $100k and East Ringwood $100k are now anticipated to be received in October. A contribution towards the Aquanation project of $200k initially anticipated in September is now expected later this calendar year.

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

MAROONDAH CITY COUNCIL

OPERATING - RECONCILIATION OF DIFFERENCE BETWEEN ADOPTED BUDGET AND ANNUAL FORECAST

3 months 1 July 2014 to 30th September 2014

Revenue

Expenditure

Movement

$

$

$

Budget

107,219

106,186

1,033

Capital Grants & Contributions

4,960

 

4,960

Adopted Budget

112,179

106,186

5,993

Carry Forward Capital Income

1,397

 

1,397

Carried Forward Grants

1

825

(824)

Integrated Planning - Grant Funding

(17)

(7)

(10)

Leisure Culture & Youth- Grant Funding

10

10

0

Finance - VGC Grant Funding Change

(167)

 

(167)

Community Services - Grant Funding

339

208

131

Stat Planning - Grant Funding

7

7

0

Engineering - Speed Trailer

6

 

6

Capital - Croydon Main St Connects - Grant Funding

100

 

100

Capital - Thanet Crt VicRoads Income - Grant Funding

1

 

1

Capital - CCTV RMAC & East Ringwood - Grant Funding

400

 

400

Capital -  Funding Assistance - Grant & Contributions

2

 

2

Capital - Greenwood Park Upgrade - Contribution

50

 

50

Capital – Bedford Rd/Great Ryrie St - Grant Funding

1,000

 

1,000

Capital - Leanne Crescent Stormwater Drain - Contribution

44

 

44

Capital - Mullum Reserve

(64)

 

(64)

Capital - Aquanation - Contribution

220

 

220

Community Services - SCC Lease Fees

1

 

1

Community Services - Holiday Program

(73)

(73)

0

Revenue - Fire Services levy

(23)

 

(23)

Leisure Culture Youth - Keystone Hall

16

16

0

Leisure Culture Youth-FED

 

(3)

3

Leisure Culture Youth-Community Events

 

11

(11)

Leisure - Melb East Sport & Rec Fac - Consultancies

 

(49)

49

HR - Salary

 

59

(59)

HR - Risk MGT Rebanding

 

20

(20)

Major Leisure Aquahub - Salary

 

(59)

59

Major Leisure Aquanation Operational Manager

 

(7)

7

Major Leisure - The Rings

1

1

0

Major Leisure - Salaries

 

27

(27)

Major Leisure - Rebranding

 

95

(95)

Operations - Vehicles

 

2

(2)

Operations - CP

 

(20)

20

Assets - CCTV Transfer from Capital

 

12

(12)

Major Projects - Main St Croydon SCS

16

16

0

Waste

60

 

60

Annual Forecast

115,506

107,277

8,229

 

 

MAROONDAH CITY COUNCIL

Balance Sheet

As at 30 September, 2014

30/09/2014

30/09/2013

30/06/2014

$ '000

$ '000

$ '000

ASSETS

CURRENT ASSETS

Cash and cash equivalents

14,302

30,257

19,412

Receivables

73,981

72,695

5,458

Inventories - consumables

274

270

303

Financial Assets

2,857

3,822

12,920

Other

1,175

1,235

660

    TOTAL CURRENT ASSETS

92,589

108,279

38,753

NON-CURRENT ASSETS

Receivables

995

515

995

Investments in Associates

2,517

2,500

2,517

Intangible assets

14,186

14,074

14,186

Property, Infrastructure, Plant, & Equipment

1,305,839

1,216,951

1,299,128

    TOTAL NON-CURRENT ASSETS

1,323,537

1,234,040

1,316,826

    TOTAL ASSETS

1,416,126

1,342,319

1,355,579

LIABILITIES

CURRENT LIABILITIES

Payables

12,167

11,900

11,074

Employee benefits

9,811

10,096

9,529

Other

3,226

2,916

3,539

    TOTAL CURRENT LIABILITIES

25,204

24,912

24,142

NON-CURRENT LIABILITIES

Employee benefits

997

1,081

997

Other

465

6

465

    TOTAL NON-CURRENT LIABILITIES

1,462

1,087

1,462

    TOTAL LIABILITIES

26,666

25,999

25,604

NET ASSETS

1,389,460

1,316,320

1,329,975

Represented by:

Accumulated surplus

433,707

407,079

433,707

Surplus (deficit) for period

59,485

53,992

-

Reserves

896,268

855,249

896,268

    TOTAL EQUITY

1,389,460

1,316,320

1,329,975

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

MAROONDAH CITY COUNCIL

Cash Flow Statement

For the 3 months ended 30 September, 2014

 

CASH INFLOWS (OUTFLOWS) FROM

  30/9/2014

  30/09/2013

OPERATING ACTIVITIES

 $

 $

Receipts from ratepayers

     6,581,000

     6,344,000

Grants, subsidies & contributions received

     5,815,000

     5,505,000

Interest received

        316,000

        423,000

User charges and reimbursements received

     4,808,000

     4,754,000

Payments to employees  

  (10,710,000)

    (9,906,000)

Payments to suppliers   

  (11,669,000)

  (11,078,000)

Interest paid

                  -  

                  -  

Other receipts

                  -  

          19,000

Net cash provided by (used in)

operating activities

    (4,859,000)

    (3,939,000)

CASH INFLOWS (OUTFLOWS) FROM

INVESTING ACTIVITIES

Payments for property, plant and equipment

    (8,769,000)

    (6,247,000)

Proceeds from sale of property, plant and equipment

        455,000

        418,000

Net movements in financial assets

     8,063,000

                  -  

Proceeds from abnormal items

Net cash provided by (used in)

investing activities

       (251,000)

    (5,829,000)

CASH INFLOWS (OUTFLOWS) FROM

FINANCING ACTIVITIES

Repayment of borrowings

                  -  

                  -  

Net cash used in

financing activities

                  -  

                  -  

Net increase (decrease) in cash held

    (5,110,000)

    (9,768,000)

Cash at the beginning of the period (1/7/2014)

   19,412,000

   43,848,000

Cash at the end of the period

   14,302,000

   34,080,000

 

 

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

MAROONDAH CITY COUNCIL

Statement of Capital Works

For the 3 months ended 30 September, 2014

 

Forecast

YTD

YTD

YTD

Adopted

Budget ##

Forecast Budget

Actual #

Bud Var

Budget

$’000

$’000

$’000

$’000

$’000

Land

0

0

0

0

0

Roads

11,719

2,009

1,910

99

5,978

Drainage

2,043

700

811

(111)

1,662

Recreational Improvements

                             2,516

                         184

                   259

(75)

                2,396

Buildings

32,576

7,746

7,518

228

26,937

Plant, fleet, furniture & equipment

5,047

353

963

(610)

4,238

Total capital works

53,901

10,992

11,461

(469)

41,211

Represented by:

New Projects

20,064

1,572

1,529

43

11,638

Renewal

17,628

4,378

8,425

(4,047)

15,039

Expansion

0

0

0

0

0

Upgrade

16,209

5,042

1,507

3,535

14,534

Total capital works

53,901

10,992

11,461

(469)

41,211

 

 

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

APPENDIX B

 

Managers’ Comments on Operating Statement Variances

 

 

 

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

 

VARIANCES – OPERATING

Comments (for variances = or > $30,000)

Manager Level

I/E

$ Variance

Account Description

Reason for Year To Date Variance

Action Required To Correct Variance

Chief Executive Office

I

(200,000)

Aquanation - Contributions

Timing variance.

No action required.

Finance & Governance

E

65,897

Green Waste Processing - Contractors

Under short term contract with a 14 day cancellation period. It is difficult to estimate the budget as the rate varies depending on where MWRRG directs Council to use.

No action required.

E

(30,747)

Contracts & Purchasing – General Expenditure

Expenditure requirement following internal audit for Procurement road map. Recommendation made after budget adopted. 

Revenue, Customer Service & Property

E

41,120

Customer Service - Salaries

1.4 EFT Vacancy.

Request for recruitment to commence to be tabled with CMT shortly

E

66,906

Fire Services Levy – Recoupment of expenses

Raise and paid earlier than expected

No action required

I

137,821

Revaluations – Grant State Revenue Office

Raised earlier than expected

No action required

Information Technology

E

31,669

Info Systems - Communications

Budget was spread evenly across 12 months whilst setup and monthly charges for the Aquanation data communications link will start around January/February 2015.

Budget spreads will be revised and updated.

Major Projects & Business Development

I

(100,000)

CCTV RMAC – Grant Attorney General’s Dept

Draft funding agreement recently received from Attorney General’s Dept. and currently being reviewed by Council.  Once review is completed and approved final funding agreement will be prepared for MCC's signing - Estimated receipt of final agreement - end of Oct 2014.

No action required

I

(100,000)

CCTV East Ringwood – Grant Attorney General’s Dept

Draft funding agreement recently received from Attorney General’s Dept. and currently being reviewed by Council.  Once review is completed and approved final funding agreement will be prepared for MCC's signing - Estimated receipt of final agreement - end of Oct 2014.

No action required

Statutory Planning

I

492,401

Open Space Contributions

Contributions have substantially exceeded expectations in number and value.

If the trend continues a budget variation will be necessary.

I

(50,001)

Statutory Planning - Contributions

Too early in period to report.

No action required

Assets

E

32,499

NRCH Parkwood – Lease Payments

There have been delays associated with the handover of the former Parkwood Secondary College buildings, due to outstanding works that the Department of Education is undertaking.

No action required

Operations

E

(58,073)

Reactive Maintenance - Contractors

Recent wind storm caused additional works.

E

(39,573)

Street Tree Pruning - Contractors

Extra works done as the result of data collection contract.

E

80,498

Paths - Contractors

Wet conditions delayed works on the paths.

E

(53,214)

Linemarking – Contractors

Some areas were completed earlier than predicted.

E

(39,413)

Depot Tipping – Contractors

Extra debris generated due to recent storm damage works.

E

(35,133)

City Parks North/East – Agency Staff

Corresponding savings on labour costs.

E

(33,530)

Crack sealing – Contractors

Some areas were completed earlier than predicted.

E

30,000

Table Drains – Contractors

Delay in processing invoice.

E

43,970

Tree Data Collection – Contractors

Works commenced later than expected.

E

44,110

Street Lighting – Electricity

Invoice delays.

Leisure, Culture & Youth

E

1,638

Karralyka – Gross Income

Functions income achieved $45K ahead of targeted outcome, and Theatre was $53K down on targeted income. Overall Karralyka has increased sales in functions.

Net position is $45k favourable.

E

43,196

Karralyka – Gross Expenditure

Expenses have been closely managed in the Theatre $47K under budget to offset the reduction in income.

Net position is $45k favourable.

E

(58,267)

Community Grants

Budgeted to expend grants in October and November however expenditure will occur in September and October

Revise budget spread.

E

45,870

Bedford Park - Contractors

Works identified in Bedford Park have been scoped and will be undertaken in February and March 2015.

Revise budget spread.

I

(30,126)

School Focus Youth Services – Contributions

The income contributions are part of a state government grant administered by Whitehorse City Council. At the time of preparing the budget a payment schedule had not been agreed upon. A schedule of quarterly payments has now been established.

Revise budget spread.

Community Services

I

33,774

Emergency Mgt - Contributions

Timing of payments

No action required

E

37,832

HACC – Respite - Contractors

Timing - currently under HACC target YTD due to July school holiday cancellations.

No action required - monitor over next month period. Awaiting HACC unit cost and target changes.

E

31,902

HACC – Personal Care - Contractors

Slightly under PC target YTD.

No action required - monitor over next month period. Awaiting HACC unit cost and target changes.

E

41,242

HACC – Home Care - Contractors

Timing - increased service withdrawals over the past two months.   Slightly under budgeted council target (achieving HACC target)

No action required - monitor over next month period.  Awaiting HACC unit cost and target changes.

Maroondah Leisure

I

(42,506)

Dorset Golf – Gross Income

Casual green fee income $36k down due to poor course conditions over winter. Significantly down on same period last year. Secondary spend is only $2k down, considering low attendance this is a good result and staff have worked hard in this area to help minimise losses.

 

Net position is $14k unfavourable.

As course conditions improve rounds will pick up. Promotions over the summer months will attempt to peg back the early hit to income.

E

28,564

Dorset Golf– Gross Expenditure

Expenditure savings across many areas, several relating to the quieter than expected course.

 

Net position is $14k unfavourable.

Some savings may even out as the year progresses however we hope to maintain some to offset lower than expected income.

I

(53,143)

Aquahub – Gross Income

Membership income holding up reasonably well however casual income across both wet and dry sides is down on budget. Some targets missed in program income also. Revenue was on budget for Sept and with summer on the way we hope to see a reversal of the earlier downward trend.

 

Net position is $122k unfavourable.

Casual income will be closely monitored with promotions introduced shortly to address shortfall.

E

(68,577)

Aquahub – Gross Expenditure

ML rebranding expenditure still sits within Aquahub's accounts and is currently $93k over expended as a result of budget phasing issues and incorrect expenses allocations.

 

Looking beyond rebranding, the remaining expenses accounts are $25k under expended.

 

Net position is $122k unfavourable.

Will look to see if rebranding can be shifted out of Aquahub's accounts.

Taking rebranding out of the equation, Aquahub has achieved an operating surplus of $243k in the first quarter of 2014/15. We are confident the net position of the centre will continue to improve throughout the year.

 

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

APPENDIX C

 

Manager’s Comments on Capital Variances

 

 

 

 

 

 


ATTACHMENT No: 1 - Financial Report for three months ending 30 September 2014

 

Item  4

 

 

VARIANCES – CAPITAL

Comments (for variances = or > $30,000)

Manager Level

I/E

$ Variance

Account Description

Reason for Year To Date Variance

Action Required To Correct Variance

Engineering & Building Services

E

(143,799)

Stormwater Drainage Infrastructure

Ringwood Street drain collapse - emergency work undertaken

No action required.

E

(32,028)

Intersection Works – Dublin/Bedford Roads

Additional unplanned variations due to substandard drainage requiring modification and (Telstra, etc) service issues

Overspend will be covered through savings in other accounts and managed through the Capital Works Implementation Group (CWIG) process.

E

30,000

LATM Renewal Collier Road

Works have been re-programmed to second half of financial year

Spreads to be adjusted through CWIG process.

E

83,204

Roads to Recovery – Colchester Road

Timing of invoices.  Also, delay in approval of new round of R2R

Works nearing completion.  Spreads to be adjusted.

E

37,448

Mundara Drive Renewal

Job now full finished, however timing affected due to unforeseen reconstruction works.  Final invoices expected within 2 weeks

Spreads will be adjusted as required.

Operations

E

55,115

Ringwood Lake Information Board

Just tendered and works should commence next month.

No action required.

Assets

E

(92,631)

Ringwood Lake Toilets

The contractor has submitted the final invoice for the contract.

Forecast budget will be moved forward.