7 MAITLAND PLACE, BAULKHAM HILLS
Section 94 Original
32. Final settlement of Castle Hill Day Surgery – Increase $126k
Additional expenditure related to legal and other costs required for final settlement as per Council Resolution dated 22/09/15 funded from Land Development Reserve.
Reserve Funds (Internal Restrictions)
Reserve funds as at 30 June 2016 amounted to $127.9m. Balance projected after January Budget Review will total $205.9m.
All Cash & Investments including Section 94, Trust fund and unrestricted cash is detailed in Attachment 1 Page 10.
CONCLUSION
This Opinion by the Responsible Accounting Officer is required under the Local Government (General) Regulation 2005 – Clause 203(2).
Council’s Chief Financial Officer, as the Responsible Accounting Officer, advises that the Council’s projected financial position is satisfactory.
Furthermore the investments shown in Attachment 1 page 10 has been made is in accordance with the Act, the Regulations and Council’s actual Investment Policy.
Council’s cash and bank balances are reconciled daily to Council’s bank balances.
IMPACTS Financial
The proposed variations listed above will result in a Recurrent Budget Surplus of $79k.
The proposed variations listed above will result in a Total Works Program Budget of
$181.7m.
Hills Future
The impact of this budget will ensure that short term actions are aligned with future direction. It also demonstrates Council's transparency and ability to effectively manage funds.
RECOMMENDATION
The proposed budget variations in Attachment 1, Pages 6 to 10 and the variations detailed in page 11-31 be adopted.
ATTACHMENTS
Page 1-5 Financial Summaries Page 6–10 Budget Review Statements
Page 11–31 Capital Works Expenditure and Comments on Variations Page 32 Key Performance Indicators
ORDINARY MEETING OF COUNCIL 28 FEBRUARY 2017
ATTACHMENT 1
The Hills Shire Council
PAGE 1
FY15/16 FY16/17 FY16/17 Description FY15/16 FY16/17 % Actual/
Actual Current Revised YTD Total Revised
July-June Budget Budget Actual YTD Budget
$'000 $'000 $'000 $'000 $'000
RECURRENT OPERATIONS
(146,705) (144,412) (146,591) Income (129,063) (123,576) 84%
116,970 125,935 127,667 Expenditure 67,829 69,507 54%
(29,736) (18,477) (18,924) Budget (Surplus)/Deficit (61,234) (54,069)
29,437 19,439 20,860 Transfer to/(from) Reserves 23,772 19,439 93%
(52) 0 0 Transfer from Prior Years Section 94 0 0 0%
(1,737) (1,041) (2,015) Transfer from Prior Years Income (1,925) (2,015) 100%
(2,088) (79) (79) Budget Result (Surplus)/Deficit (39,387) (36,645)
CAPITAL PURCHASES
3,138 4,595 4,595 Capital Purchases 1,324 2,132 46%
(1,841) (3,323) (3,309) Transfer to/ (from) Plant Reserve (3,436) (3,323) 100%
(1,297) (1,272) (1,286) Sale of Plant Assets (472) (768) 60%
0 0 0 Net Capital Purchases (2,585) (1,960)
CAPITAL WORKS
35,123 108,300 114,309 New & Renewal 13,852 40,465 35%
22,513 62,804 62,804 Land Acquisition 9,117 36,862 59%
3,695 4,609 4,609 Project Development & Delivery 2,230 2,588 56%
61,331 175,713 181,721 Total Expenditure 25,199 79,916 44%
(4,519) (3,887) (4,336) Grants and Contributions 0 0 0%
(27,094) (35,914) (37,028) Transfer to/(from) Reserves (38,615) (35,914) 97%
(29,568) (135,904) (140,349) Transfer from Prior Years Section 94 0 0 0%
(150) (8) (8) Transfer from Prior Years Income 0 0 0%
(61,331) (175,713) (181,721) Total Funding (38,615) (35,914) 20%
(0) 0 0 Net Capital Expenditure (13,416) 44,001
SECTION 94
(117,452) (181,220) (181,220) Opening Balance (Surplus)/Deficit (117,452) (181,220)
(89,147) (25,800) (25,800) Income (44,115) (26,908) 100%
(4,241) (3,659) (3,659) Interest Received/(Paid) (2,268) (2,803) 77%
29,620 135,904 140,349 Expenditure 11,514 60,409 43%
(63,768) 106,445 110,890 Movement for the year (34,868) 30,698
(181,220) (74,775) (70,330) Section 94 Balance (Surplus)/Deficit (152,320) (150,522)
REAL ESTATE ASSETS
145,354 166,332 166,332Assets at Book Value 1 July 2016 12,481 166,332
20,978 40,357 51,783 Development Costs 12,274 39,254 76%
20,978 (40,357) (51,783) Transfer from Reserves (12,274) (39,254) 76%
0 (149,273) (149,273) Sales 0 (140,473) 94%
0 149,273 149,273 Transfer to Reserves 0 140,473 94%
* Includes income and expenditure relating to Transitional Agreements with City Of Parramatta.
Actual vs Previous Years Data
Section 94 of the Environment Planning Assessments Act enables Councils to prepare Developer Contribution Plans to provide public amenities such as Open Space, Roads, Community Buildings etc. The Contributions are levied via Development Consents. There are currently 13 Contribution Plans. Contributions must be treated as revenue when received, but requires to be held as a Restricted Asset until expended. Estimated future expenditure amounts to $1.4bn.
If all planned expenditure and income materialises in this financial year, it is anticipated that Section 94 funds will amount to $70.3m as at 30 June 2017.
ORDINARY MEETING OF COUNCIL 28 FEBRUARY 2017
ATTACHMENT 1
The Hills Shire Council
Statement of Income By Program PAGE 2
FY15/16 FY16/17 FY16/17 Description FY15/16 FY16/17 % Actual/
Actual Current Revised YTD Total Revised
July-June Budget Budget Actual YTD Budget
$'000 $'000 $'000 $'000 $'000
REVENUE - RECURRENT
(69,976) (63,544) (64,004) 10 - General Management (71,277) (64,011) 100%
(191) (40) (67) 12 - Internal Audit & Risk Management (150) (67) 100%
(6) (2) (2) 13 - Executive Services (2) (2) 100%
(12,006) (12,190) (12,190) 21 - Financial Operations (8,127) (7,132) 59%
(2,807) (2,383) (2,386) 22 - Infrastructure & Transport Planning (1,723) (1,429) 60%
(10) 0 (2) 24 - Workforce Strategy & Business Improvement (10) (2) 100%
(1,233) (674) (831) 25 - Forward Planning (880) (581) 70%
(61) (67) (97) 26 - Community Planning & Special Infrastructure Project (48) (87) 89%
(190) (56) (70) 31 - Legal Services (62) (70) 100%
(3,311) (5,298) (5,810) 32 - Property Development & Management (1,966) (4,172) 72%
(4,505) (4,492) (4,492) 34 - Children's Services (2,627) (2,626) 58%
(507) (610) (593) 51 - Fire Control (479) (407) 69%
(0) 0 0 53 - Infrastructure Projects (0) 0 0%
(456) (433) (433) 55 - Fleet Management (230) (214) 49%
0 (12) (19) 58 - Facilities Operations 0 (19) 100%
(2,812) (1,890) (2,445) 59 - Place Management (1,234) (1,346) 55%
(2,779) (2,427) (2,451) 71 - Development Assessment Services (1,605) (1,453) 59%
(4,839) (4,028) (4,028) 72 - Subdivision & Development Certification (2,847) (2,426) 60%
(485) (487) (487) 73 - Environmental Health Services (367) (383) 79%
(24,975) (27,879) (27,879) 74 - Resource Recovery (24,906) (26,348) 95%
(1,438) (1,130) (1,440) 75 - Regulatory Services (740) (739) 51%
(3) 0 0 81 - Information Technology (2) (0) 0%
(1) (1) (1) 82 - Customer Relations (0) (1) 41%
(4,267) (4,138) (4,336) 84 - Community & Economic Development (3,058) (3,230) 74%
(619) (547) (579) 85 - Library Services (575) (506) 87%
(2,433) (5,309) (5,309) 88 - South of M2 (734) (1,304) 25%
(6,796) (6,775) (6,638) 35 - Hills Community Care (5,412) (5,020) 76%
(146,705) (144,412) (146,591) Total Recurrent Revenue (129,063) (123,576) 84%
(136,758) (29,687) (30,137) Externally/Internally Restricted Income (49,587) (31,854) 106%
Actual vs Previous Years Data
ORDINARY MEETING OF COUNCIL 28 FEBRUARY 2017
ATTACHMENT 1
The Hills Shire Council
Actual vs Previous Years Data
Statement of Expenditure By Program PAGE 3
FY15/16 FY16/17 FY16/17 Description FY15/16 FY16/17 % Actual/
Actual Current Revised YTD Total Revised
July-June Budget Budget Actual YTD Budget
$'000 $'000 $'000 $'000 $'000
EXPENDITURE - RECURRENT
2,756 3,330 3,325 10 - General Management 1,727 1,511 45%
577 752 763 12 - Internal Audit & Risk Management 273 490 64%
1,345 2,259 2,318 13 - Executive Services 732 867 37%
383 413 413 20 - Strategic Planning Group Support 218 220 53%
7,407 7,919 7,824 21 - Financial Operations 5,328 4,998 64%
6,526 6,666 6,672 22 - Infrastructure & Transport Planning 3,669 3,561 53%
1,189 1,303 1,322 23 - Marketing & Communications 673 721 55%
2,265 1,855 1,880 24 - Workforce Strategy & Business Improvement 1,112 1,240 66%
3,549 4,138 4,151 25 - Forward Planning 2,095 2,183 53%
1,548 1,912 1,972 26 - Community Planning & Special Infrastructure Project 873 995 50%
468 545 509 31 - Legal Services 293 332 65%
3,066 3,446 3,477 32 - Property Development & Management 1,854 1,925 55%
4,632 4,797 4,797 34 - Children's Services 2,554 2,718 57%
3,684 3,985 3,968 51 - Fire Control 2,557 2,763 70%
1,182 1,299 1,313 53 - Infrastructure Projects 671 753 57%
4,638 4,293 4,276 55 - Fleet Management 2,639 2,328 54%
6,079 6,792 7,068 58 - Community Buildings 3,256 4,609 65%
29,714 27,660 28,293 59 - Place Management 16,163 16,400 58%
415 435 435 70 - Environment & Planning Group Support 235 238 55%
5,157 5,761 5,699 71 - Development Assessment Services 2,968 2,933 51%
3,415 3,472 3,470 72 - Subdivision & Development Certification 1,926 2,004 58%
3,067 3,212 3,245 73 - Environmental Health Services 1,774 1,943 60%
26,561 28,394 28,394 74 - Resource Recovery 16,115 15,622 55%
3,136 3,348 3,395 75 - Regulatory Services 1,780 1,944 57%
366 391 391 80 - Customer Services Group Support 215 218 56%
5,409 6,242 6,227 81 - Information Technology 3,100 3,552 57%
3,391 3,431 3,431 82 - Customer Relations 2,061 1,910 56%
11,979 12,943 12,794 84 - Community & Economic Development 7,523 7,137 56%
6,468 6,561 6,612 85 - Library Services 3,810 3,863 58%
2,188 5,338 5,338 88 - South of M2 557 1,293 24%
8,555 8,790 9,434 35 - Hills Community Care 4,893 4,690 50%
(44,142) (45,749) (45,539) Internal Recoveries (25,817) (26,456) 58%
116,970 125,935 127,667 Total Recurrent Expenditure 67,829 69,507 54%
(95) 0 0 Contingent Liability 0 0 0%
12,855 19,160 12,888 Depreciation 7,602 7,422 58%
3,012 0 0 Loss on Sales of Asset 0 0 0%
132,741 145,095 140,555 Expenditure as Per Income Statement 75,431 76,929 55%
Notes
* Includes income and expenditure relating to Transitional Agreements with City Of Parramatta.
ORDINARY MEETING OF COUNCIL 28 FEBRUARY 2017
ATTACHMENT 1
The Hills Shire Council
Income Statement PAGE 4
FY15/16 FY16/17 FY16/17 Description FY15/16 FY16/17 % Actual/
Actual Current Revised YTD Total Revised
July-June Budget Budget Actual YTD Budget
$'000 $'000 $'000 $'000 $'000
RECURRENT Revenue
(95,579) (87,784) (88,245) Rates & Annual Charges (97,389) (87,158) 99%
(20,307) (18,861) (19,309) User Charges & Fees (12,146) (11,269) 58%
(5,732) (6,496) (6,496) Investment Revenues - Operational (3,482) (4,170) 64%
(4,454) 0 0 Investment Revenues - Restricted/Capital (2,425) (2,803) >100%
(6,361) (7,349) (8,196) Other Revenues - Operational (2,944) (5,133) 63%
(1,731) 0 0 Other Revenues - Restricted/Capital (1,457) (107) >100%
(18,726) (23,922) (24,345) Grants & Contributions - Operational (13,103) (15,846) 65%
(130,572) (29,687) (30,137) Grants & Contributions - Restricted/Capital (45,705) (28,944) 96%
0 (558) (558) Profit From Disposal of Assets (223) (800) >100%
(283,463) (174,657) (177,285) Total Revenue (178,872) (156,229) 88%
Expenditure
52,025 56,057 55,432 Employment Costs 30,183 30,366 55%
31,050 43,021 44,703 Materials, Contracts & Plant Running Exp 16,282 25,541 57%
12,855 19,160 12,888 Depreciation and Amortisation 7,602 7,422 58%
33,800 26,857 27,532 Other Expenses 21,364 13,600 49%
3,012 0 0 Loss From Disposal of Assets 0 0 0%
132,741 145,095 140,555 Total Expenditure 75,431 76,929 55%
(150,722) (29,562) (36,730) Operating Result (Surplus)/Deficit (103,442) (79,300) Add
29,437 19,439 20,860 Transfer to/(from) Reserves 23,772 19,439 93%
(52) 0 0 Transfer from Prior Years Section 94 0 0 0%
(1,737) (1,041) (2,015) Transfer from Prior Years Grants (1,925) (2,015) 100%
Less
(12,855) (19,160) (12,888) Depreciation & Amortisation (7,602) (7,422) 58%
95 0 0 Contingent Liability 0 0 0%
4,454 0 0 Investment Revenues - Restricted/Capital 2,425 2,803 >100%
Actual vs Previous Year Data
ORDINARY MEETING OF COUNCIL 28 FEBRUARY 2017
ATTACHMENT 1