Surf Coast’s council wants to increase its waste-service charge and borrowings as expenses grow faster than revenue next financial year, according to the shire’s draft budget.
The document also forecasts staff costs to grow at more than three times the rate of inflation as the shire manages a two per cent cap on rate rises.
Total income will rise $600,000 compared to a $4.4 million increase in expenses, the draft budget predicts.
Mayor Brian McKiterick said council’s “measured and responsible” budgeting set “a strong foundation for our future”.
“It also demonstrates our commitment to understanding the needs of our community and meeting their short-term and long-term expectations.”
The draft budget, released on Wednesday, plans a 4 per cent increase in the waste services charge. The increase would help pay to “improve the management of waste and recycling, including landfill rehabilitation works”, the shire said.
Total borrowings would rise from $15 million to $17.3 million, mostly to fund a new community centre at Torquay.
Staff costs will hit $29.1 million, up $1.8 million on the year before and accounting for 42 per cent of total expenses.
The budget allowed for the seven per cent increase in employee costs while also noting that the consumer price index (CPI) measure of inflation was forecast for 2 per cent.
The draft budget allocated $16.8 million for new capital works, $4.3 million less in 2016/2017.
However, a $15 million backlog of incomplete projects put the total allocation for 2017/2018 at $31.6 million.
The shire budgeted for a $5.5 million decrease in capital grants from state and federal governments, but noted that “a number” of applications for funding were under consideration.
The shire’s underlying result was forecast to remain in the black, with a surplus of $426,000 compared to $2.9 million in 2016/2017.
The draft budget showed that council continued “to take a proactive lead on environmental and social issues”, the shire said.
Public submission on the budget, available at the shire’s website, close 11 May.
