Mid-year budget review shows Council in strong financial position

Budget

A comprehensive mid-year review of Campaspe Shire Council’s 2020/21 Budget forecasts a surplus of $4,161,374, an increase of $1,431,782 when compared to the adopted budget. This figure takes account of Council exiting the delivery of aged care services from 1 July 2020, after the Budget was adopted, and has been adjusted for COVID-19 economic stimulus grants.

Mayor Cr Chrissy Weller said that despite 2020/21 being an extraordinary financial year with the pressures and impacts of the pandemic, the budget review has confirmed that Council’s financial position is strong.

“Council’s 2020/21 Budget was developed prior to the pandemic and we didn’t have a full understanding of its impacts on Council’s operations at the time,” Cr Weller said.

“We will also see more Capital Works Program projects on the ground than originally scheduled, thanks to the Federal and State Government’s economic stimulus grants.”

The budget review highlights many ups and downs in revenue and expenditure in the first six months of the year. While there was a reduction in revenue, employee expenses, materials and services, Council secured additional Federal and State Government economic stimulus funding for capital projects. Some service areas saw an increase in revenue than originally forecast, including quarry sales, waste services, land information certificate requests, and planning and building permits.

A review of the 2020/21 Capital Works Program (CWP) was also completed.

The adopted budget included a Capital Works Program comprising of 56 projects at a value of $24,384,472 plus $7,702,345 in carried-forward works. Taking account of adjustments to carried-forward works, and additional Federal and State Government funding to the value of $3,724,191 (including a $2.6 million Local Roads and Community Infrastructure grant), the revised forecast expenditure for the CWP is $32,620,809.

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