Annual Business Plan & Budget
The Annual Business Plan has been prepared on the basis of Council focusing on the maintenance of existing assets and infrastructure within the Community, whilst pursuing the key goals in Council’s Strategic Plan. The services provided by Council reflect both its obligations under a range of legislation and the Community’s expressed desire for specific services, facilities and infrastructure.
Council’s challenge in framing its Annual Business Plan is to achieve these outcomes without presenting an unrealistic rate burden on the Community. In addition, planning for any new Community assets must consider Council’s long term obligations to fund the ongoing maintenance and operation of the new assets in future years.
In developing the 2019-20 Annual Business Plan, Council has given particular attention to the economic circumstances prevailing in the various sectors of our community.
In the context of these circumstances, Council plans to increase total General Rate Revenue by 2.0%, relative to General Rate Revenue in 2018-19. Whilst increases to Council’s costs are forecast to be greater than the forecast June 2019 Adelaide Consumer Price Index (CPI) of 2%, Council is proposing this increase in light of increasing cost pressures upon properties within the Council area.
Council plans to continue to utilise Differential Rates (rates in the dollar) applied to the site value of the land, for defined townships, rural and industrial locations with Council, in conjunction with a Fixed Charge, to achieve its General Rate Revenue for 2019-20. In addition, Council has planned to continue its gradual equalisation of Council’s 4 township differential rates into one standard township differential rate by 2021-22.
Council plans to apply a General Rate Cap of 12% and Pension rate cap of 7% to eligible assessments, to provide reasonable relief from significant valuation increases resulting in large increases in General Rates Payable in 2019-20, relative to 2018-19.
Key elements of the 2019-20 Annual Business Plan include –
- $1.106 Million Operating Deficit (before Capital Amounts), resulting from Total Operating Revenues of $9.526 Million and Total Operating Expenses of $10.632 Million
- $0.117 Million Adjusted Operating Surplus after accounting for $1.223 Million of Council’s 2019-20 Financial Assistance Grants being received in advance in June 2019.
- 2% increase in total General Rate Revenue
- 12% General Rate Cap and 7% Pensioner Rate Cap for eligible assessments
- $2.822 Million in Capital Expenditure for the refurbishment of existing assets
- $3.051 Million in Capital Expenditure for the construction or purchase of new assets
- $3.045 Million in Capital Grants or Contributions for Council Capital Projects
- $3.350 Million in Loan Borrowings