THE HILLS SHIRE COUNCIL - PROPOSED BOUNDARY ADJUSTMENTS
The proposed Shire boundary extends from Thompsons Corner at West Pennant Hills southwards along Pennant Hills Rd to the M2 Motorway at Carlingford. There it travels east along the M2 to Beecroft Rd at Epping. It then turns southward along Beecroft Rd until Carlingford Rd where it turns east and runs the entire length to Pennant Hills Rd Carlingford incorporating Carlingford Court (from Hornsby Council). It turns left into Pennant Hills Rd where it then continues in a south-westerly direction encompassing North Rocks & part of North Parramatta north of James Ruse Drive (including Lake Parramatta) (from Parramatta Council) until the junction of James Ruse Drive.
It then turns right into James Ruse Drive (Cumberland Highway) and in a north-westerly direction encompassing Northmead. Continue along Brien’s Rd into Old Windsor Rd, encompassing Old Toongabbie, Winston Hills (from Parramatta Council) and in a northerly direction Baulkham Hills, Bella Vista, and Kellyville until the junction of Windsor Rd at Beaumont Hills. It continues north along Windsor Rd encompassing Rouse Hill and Box Hill. The boundary continues through Oakville, McGraths Hill and to the township of Windsor (all from Hawkesbury Council) where it meets the Hawkesbury River.
The boundary then follows the river in a north easterly direction and includes part of Wilberforce, Pitt Town & the remainder of Cattai (all from Hawkesbury Council), South Maroota, Sackville North, Lower Portland, Leetsvale and then to Wisemans Ferry.
Then we follow Hawkesbury River south from Wisemans Ferry, including the suburbs of Laughtondale, Singleton Mill, Canoelands, the township of Berowra Creek into Berowra Creek waterway, including Fiddletown then to the township of Berowra Waters on Berowra Waters waterway, back onto Berowra Creek waterway, including Berrilee &
Galston to Galston Gorge (all from Hornsby Council)
It continues along Berowra Creek encompassing Dural until it meets the Berowra Valley Reserve, which skirts the northern side of Cherrybrook and the western side of the suburbs of Hornsby & Westleigh and then to Pyes Creek until it meets New Line Road. It turns left onto New Line Road and travels in a southerly direction until it meets Castle Hill Rd. It turns left and continues to Thompson Corner at West Pennant Hills.
Note that the proposed boundary adjustments incorporates the whole of Forest Glen, Glenorie, Arcadia, Middle Dural, Glenhaven and all of Castle Hill. (all from Hornsby Council).
Also Corry Court North Parramatta, Bunnings at North Rocks and the part of Oatlands within the current Hills Shire are now part of Parramatta Council under this proposal..
ORDINARY MEETING OF COUNCIL 23 JUNE, 2015
ORDINARY MEETING OF COUNCIL 25 JUNE, 2013
PAGE 23
ORDINARY MEETING OF COUNCIL 23 JUNE, 2015
ITEM-6 BUDGET REVIEW AS AT 31 MAY 2015
DOC INFO
THEME: Proactive Leadership
OUTCOME: 2 Prudent management of financial resources, assets and people to deliver the community outcomes
STRATEGY: 2.2 Maintain a strong financial position that supports the delivery of services and strategies and ensures long term financial sustainability.
MEETING DATE: 23 JUNE 2015 COUNCIL MEETING
GROUP: GENERAL MANAGER
AUTHOR: MANAGER CORPORATE & STRATEGIC PLANNING ANEESH ZAHRA
RESPONSIBLE OFFICER: CHIEF FINANCIAL OFFICER CHANDI SABA
REPORT
The purpose of this Report, as required by the Local Government Act and associated regulations, is to enable Council to review its actual Expenditure and Income against the adopted Budget and to consider variations to the Budget
The Division of Local Government (DLG) has developed a set of minimum requirements for the format and content of budget review statements. They will assist Councils in meeting their obligations as set in the Code of Accounting Practice and Financial Reporting and form part of the legislative framework in accordance with clause 203 of the Local Government (General) Regulation 2005.
Although the DLG requires quarterly budget review statements, The Hills Shire Council will continue to provide this information on a monthly cycle. Information is reflected in five main sections, namely Recurrent Operations, Capital Purchases, Capital Works, Section 94 and Real Estate Assets.
Attachments to this report are as follows:
Summary of expenditure and income on Recurrent Operations, Capital Purchases, Capital Works, Section 94 and Real Estate Assets.
Detail the Recurrent Operations Expenditure and Income by Business Program (Outputs)
Income Statements (Statutory Accounts Format) with reconciliation to Budget Result
Statement of Cash & Investments
Balance Sheet
Capital Works Expenditure and Comments on Variations on each Job
Key Performance Indicators
Listing of Contracts & Other Expenses
ORDINARY MEETING OF COUNCIL 23 JUNE, 2015
Recurrent Operations
The Original adopted budget forecasts a Budget Surplus of $52k for this financial year.
The variations proposed in this review result in a revised Recurrent Operations Budget Surplus of $54k this financial year.
Local Government Code of Practice requires the inclusion of all income received as income for the year, even though the associated expenditure may be incurred in future periods. As such the matching concept is not in place and the Statutory Accounts reflect an operating surplus of $24.9m (Attachment 1 Page 4) which is somewhat misleading.
This differs from the Budget Format which matches income to the period that the expenditure is to incur. Reconciliation between the Original Operating Surplus $24.9m and the Original Budget Surplus $52k is detailed in Attachment 1 Page 4.
Summary Budget Result is detailed below.
Recurrent
Operations Original
Budget
Current
Budget Proposed Revised Budget
Proposed Contra variations
Proposed Other Variations
Ref
$000 $000 $000 $000 $000
Income (135,020) (137,598) (138,187) 36 (624) 1-5
Expenditure 112,174 119,046 119,856 393 417 6-7
Budget (Surplus) (22,845) (18,552) (18,331) 429 (208) Transfer To/(From)
Reserves 22,793 21,781 22,024 (124) 367 8
Transfer from Prior
Year Sec 94 0 (20) (20) 0 0
Transfer from Prior
Year Grants 0 (3,263) (3,727) (304) (161) 9
Proposed
Budget (Surplus) (52) (54) (54) 0 (1)
Recurrent Operations
All major variations are listed below and also indexed to Attachment 1.
ORDINARY MEETING OF COUNCIL 23 JUNE, 2015
Income – Increase $624k
1. Road Closure & Drainage Easement Income – Increase $7k
Income received from road closure applications and drainage easement, proposed to be transferred to Road Closure Reserve.
2. Bus Shelter Income – Increase $98k
Additional bus shelters advertising and illuminated street signs resulting in increased income.
3. Road Restorations Income – Increase $85k
Greater than anticipated income as a result of additional restoration works, proposed to be transferred to Restoration Reserve to provide for future rehabilitation work.
4. Planning Control Income – Increase $412k
Increased activity in the Building Industry, resulting in greater than anticipated income. Projected Subdivision and Development control income in this financial year total $ 6.6m compared to $ 5m in FY 13/14.
5. Other Planning Income – Increase $22k
Additional income from tree removal/lopping on private land, on site sewerage management and dog registration income.
Expenditure – Increase $417k
6. Fringe Benefits Tax – Decrease $24k
Less than anticipated costs related to fringe benefits tax, resulting in savings.
7. Storm Damage – Increase $441k
Expenditure related to April storm damage mainly in tree damage and removal. An application was made to the National Disaster Scheme to obtain a grant. Advice has been received that our LGA has been declared a natural disaster area in a second wave of considerations. The rules for the grants have changed recently with an attempt to make LGA bear more of the costs. It is proposed to fund this expenditure now utilising council funds and if grant funding is successful, it will be reported in a future budget review.
MOVEMENT IN RESERVES
8. Transfer to Reserves – Increase $367k
• $ 7k Transfer to Road Closure Reserve , income received as per note 1 above
• $ 85k Transfer to Restoration Reserve due to additional road restoration income as per Note 3 above.
ORDINARY MEETING OF COUNCIL 23 JUNE, 2015
• $275k transfer to the Storm Water Reserve to address the Storm Water backlog, from the budget surplus generated in this month.
9. Transfer from Prior Years Income – $161k
• Income received in prior years from various providers for leasing of council reserves for mobile phone towers.
Capital Purchases Purchase & Sale Of
Assets Original
Budget Current
Budget Proposed Revised Budget
Proposed Contra variations
Proposed Other Variations
Ref
$000 $000 $000 $000 $000
Capital Purchases 3,318 4,095 4,024 (71) -
Transfer To/
(From) Reserves (2,284) (3,042) (3,002) 39 -
Sale Of Assets (1,034) (1,054) (1,022) 32 -
Transfer to Reserves - 2,097 2,097 - -
Sale of Fixed Assets - (2,097) (2,097) - -
Net Purchases /
Sales 0 0 0 0 0
Capital Works
Works Program consists of all Renewal, New Infrastructure Projects and Land Acquisition Projects and they are summarised below. This review will result in a total works program of $89.7m.
Capital Works Original
Budget Current
Budget Proposed Revised Budget
Proposed Contra variations
Proposed Other Variations
Ref
$000 $000 $000 $000 $000
Infrastructure
New & Renewal 40,301 65,525 65,519 - (6) 10-12
Land 18,789 20,122 20,122 - -
Project Dev &
Delivery 3,252 4,130 4,103 (27) -
Total 62,342 89,777 89,744 (27) (6)
ORDINARY MEETING OF COUNCIL 23 JUNE, 2015
10. New Jobs: $96k
a) $42,900 required for design consultancy for theatre at Castle Grand Pioneer Room funded from capital works reserve.
b) $16,925 required for a portable building at Castle Hill Showground (adjacent to Pavillion Theatre) to be used as a workshop/prop storage site for the Castle Hill Players, funded from capital works reserve.
c) $27,000 for synthetic turf carpet replacement at Parsonage Rd playground due to the sewage spill recently, funded from capital works reserve.
d) $9,450 required to repair damaged rip rap at Strangers Creek rock embankment (adjacent to Samantha Riley Dr cycleway crossing) funded from capital works reserve.
11. Increased Net funding for Existing Jobs $28k
a) $ 5,941 required to change name from Young Road Reserve to Larry Bolitho Reserve, funded from capital works reserve.
b) $56,423 required to complete car park fencing at Torrs St, Baulkham Hills, funded from capital works reserve.
c) $33,250 Fred Caterson Reserve Tennis Pro-shop project completed below cost, funds returned to restricted assets.
d) $ 1,283 Safety improvements at North Rocks Rd (Alkira Rd to Lancelay Ave) project completed below cost, funds returned to restricted assets.
12. Completed Jobs $130k – Transfer to Capital Works Reserve a) $39,044 Savings in Building Jobs
b) $ 3,997 Savings in Footpath Jobs c) $ 7,596 Savings in Parks Jobs d) $56,494 Savings in Roads Jobs e) $ 1,283 Savings in Traffic Jobs f) $21,900 Savings in Waterway Jobs
All variations on each project and comments are listed in Attachment 1 Page 7–22.
Section 94
Section 94 of the Environmental Planning Assessments Act enables Councils to prepare Developer Contribution Plans to provide public amenities such as Open Space, Roads, and Community Buildings etc. The Contributions are levied via Development Consents.
There are currently 11 Contribution Plans including Box Hill Contribution plan.
Contributions must be treated as revenue when received, but are required to be held as a Restricted Asset until expended. Estimated future expenditure in the next 15 years, will amount to $1.5bn.
ORDINARY MEETING OF COUNCIL 23 JUNE, 2015
Summary funding position is detailed below.