Council currently is in receipt of seventeen (16) requests for rent relief / assistance from Lessee’s and Licensees inclusive of non-for-profit organisations that have been impacted by the COVID19 pandemic. The assistance requested is by way of a rent waiver and/or deferral of rent during this time and is still under review with further supporting information being requested before a decision by the General Manager.
Rent waivers are determined on a case-by-case basis under the applicable Regulation as mentioned earlier in this report. Based on the 16 requests of rent relief to date, 6 applications have been granted to the amount of $66,013 and 10 applications are currently pending approval and the potential impact if approved is approximately $70,780.
For licensees and Not for Profit organisations the financial impact will be considered in a different manner as some of these organisations had to shut down their operations completely and have had no income during the current lockdown periods as they were required to comply with NSW Government Public Health Orders.
It is possible that Council will receive more requests for relief in future as uncertain economic conditions continue to impact businesses resulting from NSW Government Public Health Orders and rent relief provisions under the Retail and other Commercial Leases (COVID-19) regulations that have been extended from 13 March 2022 through to 30 June 2022. As a result of this extension, applications for rental waivers from impacted tenants are likely to continue to be received early next financial year. It is proposed that a provision which will have a budget impact of $500,000 will be made to cover the cost of rent waivers granted to tenants as per Council Resolution dated 10 August 2021.
In addition to this, the NSW Government has provided Economic Stimulus packages which aims to support Council deliver priority community infrastructure projects which will result in supporting the local economy and jobs within the LGA, funding that has been approved this financial year has been listed below:
$
Public Spaces Legacy Program (Partly Received) 4,750,000
Crown Lands Showgrounds Stimulus Funding Program 1,040,000
Local Roads Community Infrastructure Program (Phase 3) 2,389,442
Emergency Services Levy FY2122 Contribution 5,482
Total State Government Grants / Contributions 8,184,924
ORDINARY MEETING OF COUNCIL 24 MAY, 2022
Conclusion
This Opinion by the Responsible Accounting Officer is required under the Local Government (General) Regulation 2021 – Clause 203(2).
Council’s Group Manager – Finance & Organisational Performance, as the Responsible Accounting Officer, advises that the Council’s projected financial position is satisfactory.
Furthermore, the investments shown in Attachment 1 page 5-6 has been made is in accordance with the Act, the Regulations and Council’s actual Investment Policy.
ATTACHMENTS
Page 1-2 Income & Expenditure by Program
Page 3 Operating Statement (IP & R requirement)
Page 4 Balance Sheet
Page 5-6 Cash & Investments
Page 7 Section 7.11 & 7.12 Funds Statement
Page 8-25 Capital Works Expenditure and Comments on Variations Page 26 Key Performance Indicators
Page 27 Listing of Contracts & Other Expenses
ORDINARY MEETING OF COUNCIL 24 MAY, 2022
ATTACHMENT 1
The Hills Shire Council
Statement of Income By Program PAGE 1
Description Original Approved Changes Current YTD Actual Projected Recommended Changes Ref
Budget Quarter 1 Quarter 2 Quarter 3 Budget Include Revised For Council Resolution * 2021/22 Review Review Review 2021/22 Commitments Budget Contra Var. Other Var.
$'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000
REVENUE - RECURRENT
Corporate Management (81,996) 0 (67) (62) (82,126) (82,176) (82,127) (1) 0
Infrastructure & Transport Planning (1,685) (871) 0 (3) (2,560) (1,044) (2,560) 0 0
Forward Planning (909) 0 0 (5) (914) (801) (914) 0 0
Asset Management, Traffic & Parks (1,658) 0 0 (8) (1,665) (857) (1,665) 0 0
Property Dev, Buildings & Special Projects (5,102) 0 0 0 (5,102) (4,350) (5,102) 0 0
Fire Control (412) (400) (18) 0 (830) (732) (830) 0 0
Buildings Operations 0 0 0 0 0 (28) 0 0 0
Councillors & Executive Services (9) 0 0 0 (9) (7) (9) 0 0
Finance, Budgeting, IP & R, Payroll & Rates (743) 0 0 0 (743) (577) (743) 0 0
Human Resources & Wellbeing (76) 0 0 (54) (130) (130) (130) 0 0
Expenditure & Revenue (8,042) 2,947 0 (370) (5,466) (4,475) (5,466) 0 0
Fleet and Workshop (439) 0 0 0 (439) (330) (439) 0 0
Civil & Roads Maintenance (1,663) 0 0 0 (1,663) (1,637) (1,663) 0 0
Parks & Bushland Maintenance (320) (200) 0 42 (478) (106) (478) 0 0
Development Assessment (2,914) 0 (200) (335) (3,449) (3,272) (3,449) 0 0
Subdivision & Development Certification (4,051) 0 0 (290) (4,341) (3,786) (4,341) 0 0
Environment & Public Health (482) 0 0 0 (482) (423) (482) 0 0
Resource Recovery (30,035) 0 0 0 (30,035) (30,041) (30,035) 0 0
Regulatory Services (3,904) 0 0 0 (3,904) (3,479) (3,904) 0 0
Children's Services (5,922) 0 0 0 (5,922) (4,291) (5,922) 0 0
Hills Community Care (6,701) 0 0 0 (6,701) (5,586) (6,701) 0 0
Information Technology 0 0 0 0 0 (2) 0 0 0
Customer Relations (1) 0 0 0 (1) (0) (1) 0 0
Community Outcome (4,382) 0 0 0 (4,382) (3,782) (4,382) 0 0
Library Services (703) 0 0 0 (703) (598) (703) 0 0
Waves Aquatic Centre (1,809) 0 0 0 (1,809) 0 0 0 1,809 1
Total Recurrent Revenue (163,959) 1,475 (285) (1,085) (163,854) (152,512) (162,045) (1) 1,809
Externally/Internally Restricted Income (99,646) (62,696) (109) 96,825 (65,626) (69,101) (66,373) 0 (747) 9-12
Gain/Loss on Sales of Asset (852) 0 0 0 (852) (522) (852) 0 0
Revenue as Per Income Statement (264,456) (61,221) (394) 95,741 (230,331) (222,135) (229,271) (1) 1,062 Notes
* Comments on above references are detailed in Business Paper Report to this attachment.
Statutory Format 2021/2022
ORDINARY MEETING OF COUNCIL 24 MAY, 2022
ATTACHMENT 1
The Hills Shire Council Statutory Format 2021/2022
Statement of Expenditure By Program PAGE 2
Description Original Approved Changes Current YTD Actual Projected Recommended Changes Ref
Budget Quarter 1 Quarter 2 Quarter 3 Budget Include Revised For Council Resolution * 2021/22 Review Review Review 2021/22 Commitments Budget Contra Var. Other Var.
$'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000
EXPENDITURE - RECURRENT
Corporate Management 8,533 320 (149) 128 8,831 6,574 8,595 (239) 2 3
Infrastructure & Transport Planning 3,040 1,665 9 93 4,807 3,761 4,807 0 0
Forward Planning 5,097 115 (106) (50) 5,056 4,231 5,008 52 (100) 5
Asset Management. Traffic & Parks 6,946 1,018 (156) (43) 7,764 6,086 7,679 0 (86) 5,6
Property Dev, Buildings & Special Projects 4,440 (138) 54 (26) 4,330 3,338 4,490 160 0
Fire Control 4,944 804 0 0 5,749 3,551 5,749 0 0
Buildings Operations 8,544 0 (278) 0 8,265 6,436 8,265 0 0
Councillors & Executive Services 2,760 0 (16) 0 2,744 1,473 2,744 0 0
Finance, Budgeting, IP & R, Payroll & Rates 5,588 79 44 0 5,711 3,867 5,711 0 0
Human Resources & Wellbeing 2,106 359 (5) 30 2,490 1,755 2,470 0 (19) 3
Expenditure & Revenue 1,604 0 (14) 15 1,605 1,342 1,605 0 0
Project Delivery 1,209 0 10 0 1,219 997 1,219 0 0
Fleet Management 4,943 0 0 0 4,943 4,083 4,845 0 (98) 3
Civil & Roads Maintenance 14,109 64 11 0 14,184 13,135 14,184 0 0
Parks & Bushland Maintenance 14,832 431 (2) (42) 15,218 12,150 15,218 0 0
Development Assessment 7,174 0 198 484 7,856 6,198 7,896 41 0
Subdivision & Development Certification 4,160 0 18 (73) 4,105 3,410 4,105 0 0
Environment & Public Health 4,356 0 18 (50) 4,324 3,444 4,284 (40) 0
Resource Recovery 30,035 22 0 1,220 31,278 26,507 31,278 0 0
Regulatory Services 4,696 0 (9) (65) 4,621 3,978 4,741 120 0
Marketing & Communications 1,281 0 4 0 1,285 1,095 1,285 0 0
Children's Services 6,051 0 0 0 6,051 4,502 6,051 0 0
Hills Community Care 8,270 0 0 0 8,270 6,024 8,270 0 0
Information Technology 7,647 347 (80) 0 7,914 6,268 7,914 0 0
Customer Relations 3,549 0 (43) 0 3,505 2,941 3,505 0 0
Community Outcome 12,260 0 (192) 0 12,068 9,161 11,793 0 (274) 5
Library Services 7,631 123 (206) 0 7,548 5,916 7,548 0 0
Waves Aquatic Centre 2,710 0 2 0 2,712 619 1,145 0 (1,567) 4
Internal Recoveries (51,813) 0 0 0 (51,813) (42,555) (51,813) 0 0
Total Recurrent Expenditure 136,701 5,208 (890) 1,621 142,640 110,286 140,592 94 (2,142)
Depreciation and Amortisation 24,493 0 0 0 24,493 19,849 24,493 0 0
Expenditure as Per Income Statement 161,194 5,208 (890) 1,621 167,133 130,135 165,085 94 (2,142) Notes
* Comments on above references are detailed in Business Paper Report to this attachment.
ORDINARY MEETING OF COUNCIL 24 MAY, 2022
ATTACHMENT 1
The Hills Shire Council
Income Statement PAGE 3
Description Original Approved Changes Current YTD Actual Projected Recommended Changes Ref
Budget Quarter 1 Quarter 2 Quarter 3 Budget Include Revised For Council Resolution * 2021/22 Review Review Review 2021/22 Commitments Budget Contra Var. Other Var.
$'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000
RECURRENT Revenue
Rates & Annual Charges (112,796) 0 0 0 (112,796) (112,812) (112,796) 0 0
User Charges & Fees (23,781) 0 0 (450) (24,231) (18,883) (22,422) 0 1,809 1
Investment Revenues - Operational (2,493) 0 0 0 (2,493) (2,323) (2,493) 0 0
Investment Revenues - Restricted/Capital (469) 0 0 (259) (728) (782) (728) 0 0
Other Revenues - Operational (8,430) (200) (85) (81) (8,797) (7,232) (8,798) (1) 0
Other Revenues - Restricted/Capital 0 0 0 0 0 0 0 0 0
Grants & Contributions - Operational (16,459) 1,675 (200) (553) (15,537) (11,263) (15,537) 0 0
Grants & Contributions - Restricted/Capital (99,177) (62,696) (109) 97,084 (64,898) (68,319) (65,646) 0 (747) 9-12
Profit From Disposal of Assets (852) 0 0 0 (852) (522) (852) 0 0
Total Revenue (264,456) (61,221) (394) 95,741 (230,331) (222,135) (229,271) (1) 1,062
Expenditure
Employment Costs 65,319 (287) (812) (507) 63,712 48,674 61,905 (550) (1,257) 3,4A
Materials, Contracts & Plant Running Exp 47,772 954 1 1,794 50,521 43,174 50,627 390 (284) 4B
Depreciation and Amortisation 24,493 0 0 0 24,493 19,849 24,493 0 0
Other Expenses 23,610 4,541 (78) 334 28,407 18,439 28,060 254 (601) 4C,5,6
Total Expenditure 161,194 5,208 (890) 1,621 167,133 130,135 165,085 94 (2,142)
Operating Result (Surplus)/Deficit (103,263) (56,013) (1,284) 97,361 (63,198) (92,000) (64,186) 93 (1,080) Add
Transfer to/(from) Reserves 27,524 (3,815) 1,175 (536) 24,348 24,348 24,933 0 585 7
Transfer from Prior Years Section 7.11 (248) 225 0 0 (23) (23) (23) 0 0
Transfer from Prior Years Grants (47) (3,093) 0 0 (3,140) (3,520) (3,485) (93) (252) 2
Less
Depreciation & Amortisation (24,493) 0 0 0 (24,493) (19,849) (24,493) 0 0
Investment Revenues - Restricted/Capital 469 0 0 259 728 782 728 0 0
Grants & Contributions - Restricted/Capital 99,177 62,696 109 (97,084) 64,898 68,319 65,646 0 747 9-12
Profit/Loss From Disposal of Assets 852 0 0 0 852 522 852 0 0
Net Budget Result (Surplus)/Deficit (28) 0 (0) 0 (28) (21,421) (28) (0) 0
Notes
* Comments on above references are detailed in Business Paper Report to this attachment.
Statutory Format 2021/2022
ORDINARY MEETING OF COUNCIL 24 MAY, 2022
ATTACHMENT 1