Asset renewal and income deficits were key points in Surf Coast Shire Council’s Annual Financial Report and Performance Statement.
Council unanimously accepted the 2023-24 Financial Report and Performance Statement during its September 16 meeting.
Councillor Gary Allen said the report was subjected to a rigorous audit process on September 11 to ensure its accuracy and included many important points relating to council’s financial position.
“The comprehensive income statement on page six of the report lists the deficit for the year of $18.453 million ($0.2 million lower than needed),” he said.
“We have this deficit because of the handover of Shire assets to the Great Ocean Road Coast and Parks Authority of $24.5 million. It is a one-off factor, and the transfers are now complete.
“The balance sheet on the following page reveals that the total value of our non-current assets, that is property and infrastructure, is (more than) $1.2 billion.
“I highlight this figure as it helps us to understand the need for a significant commitment to the asset renewal program over the next 10 years.”
Cr Paul Barker said the report was an “accurate reflection” of council’s financial position and hoped council would improve on specific points in the next financial year.
“You’ll notice that the interest received has more than tripled, but this is an anomaly due to the external government funding for things like the (Winchelsea) pool,” he said.
“It’s interesting to note that the rates and charges have increased by around five per cent over the rate cap, in part due to supplementary rates of new properties being built on for the first time.
“If we don’t make solid moves on improving asset renewal of council, we’ll leave future generations with unmanageable levels of asset renewal. The sooner we tighten our belts the better.”
Council will submit the report and statements to the Auditor-General, who will then provide the Minister with a copy of the audit report and audited statements. The statements will then form part of the 2023-24 Annual Report.
