The budget comparison notes compare Council’s financial plan, expressed through its annual budget, with actual performance. The Local Government (Planning and Reporting) Regulations 2014 requires explanation of any material variances. Council has adopted a materiality threshold of the lower of 5 per cent or $1 million where further explanation is warranted. Explanations have not been provided for variations below the materiality threshold unless the variance is considered to be material because of its nature.
The budget figures detailed below are those adopted by Council on 30 June 2014. The Budget was based on assumptions that were relevant at the time of adoption of the Budget. Council sets guidelines and parameters for revenue and expense targets in this budget in order to meet Council’s planning and financial performance targets for both the short and long-term. The budget did not reflect any changes to equity resulting from asset revaluations, as their impacts were not considered predictable.
These notes are prepared to meet the requirements of the Local Government Act 1989 and the Local Government (Planning and Reporting) Regulations 2014.
The budget information provided only relates to the Council. No consolidated budget prepared.
Due to higher than expected supplementary rate income.
Due to higher parking infringements being issued.
Other statutory fees and fines
Due to higher planning fees ($0.29 million) and building fines ($0.12 million).
Due to higher construction zone parking meter fees and towing vehicles fees.
Grants - operating
Due to 2015-16 Victorian Grants Commission grants receipt earlier than expected and Creative Victoria grants for management of Meat Market.
Grants - capital
Due to 2015-16 Victorian Grants Commission grants ($0.84 million) receipt earlier than expected, higher grants for Royal and Princes Parks Recreation Infrastructure Improvement ($0.94 million) and Kathleen Syme Library and Community Centre redevelopment ($0.28 million).
Contributions - monetary
Due to higher public open spaces contributions ($12.11 million).
Contributions - non monetary
Due to external asset contributions on infrastructure ($9.81 million) and land under roads ($1.75 million).
Net gain on asset disposal
Due to gain on sale of land of 2 Riverside Quay and lane of rear of Collins Street.
Fair value adjustments for investment properties
Due to gain ($0.36 million) on investment asset valuation.
Due mainly to grants-in-kind revenue ($1.15 million) which is fully offset by grants-in-kind expenditure.
Materials and services
Mainly due to higher than expected contractor costs as a result of additional service requirements and costs.
Due to lower Fire Service Levy expenditure ($0.56 million).
Grants and contributions
Due to grants-in-kind expenditure ($1.15 million) which is fully offset by grants-in-kind revenue.
Net asset revaluation increment
Due to gain on fixed asset valuation including $56.63 million on roads & lanes.
Due to property services renewal works ($2.8 million) carried forward to 2015-16, a surplus on property services due to tenders being lower than expected ($1.7 million) and Dockland park project and Boating Hub project ($1.34 million) yet to be completed.
Plant, machinery and equipment
Due to lower motor vehicle replacement ($0.18 million) and Christmas decorations refurbishments ($0.15 million), IT fit out in Kensington Town Hall ($0.18 million) and development of Solar Panel Arrays ($0.16 million) carried forward 2015-16.
Computers and telecommunications
Due to IT renewal and new projects ($2.02 million) carried forward to 2015-16.
Due to carry forward bicycle improvement program ($1.28 million), urban renewal design development projects ($0.30 million) and roadway renewal projects ($0.23 million) being carried forward to 2015-16.
Due to Princess Bridge bluestone repair works ($0.24 million) and Arden Bridge strengthening works (0.15 million) being deferred.
Footpaths and cycleways
Due to funds for World Trade Centre project works being released later than expected ($0.57 million).
Due to delays on Stormwater Harvesting projects ($0.30 million), Wells Street flood mitigation project ($0.95 million) and Kings Street/Collins Street drainage renewal project ($0.70 million) being carried forward to 2015-16.
Parks, open space and streetscapes
Due to lower costs for streetscape projects ($0.33 million including $0.18 million carried forward to year 2015-16) and Lonsdale Street tree replacement projects ($0.11 million) being carried forward to year 15/16.
Statues, sculptures and artworks
Due to delay in Public Art Program ($0.61 million) including Tunnerminnerwait and Maulboyheenner marker project, Green Transfer project and Maxims de-installation project.
Due mainly to works ($5.39 million) including water projects such as Lincoln Square and University Square for funding received from Office of Living Victoria being delayed as a result of agreement negotiation. Parks Recreation Infrastructure Improvement projects ($2.33 million) and St Kilda Road tree replacement ($0.60 million) being carried forward to 2015-16.