MEDIA RELEASE

Date: 30 June 2021

Contact: Mayor Neville Ferrier P: 4992 9500 or 0448 011 814

For immediate release.

Banana Shire Council Budget

for Year Ended 30 June 2022

Banana Shire Council has adopted its budget for the financial year ended 30 June 2022. Council will deliver an operating surplus of $1,227,953 for the year and deliver a Capital Works Program valued at $28,392,875.

Most ratepayers including private residences, rural properties and small businesses will receive rate increases of between 3% and 4% with the overall rate increases across all categories of 15.81%.

Outcomes for the year ended 30 June 2021

Council anticipates delivery and operating deficit of $1,084,290 for the year ended 30 June 2021 and a net result of a surplus of $10,754,473 after capital items.  Council’s overall financial position as at 30 June 2021 remains strong with $29,425,098 cash and investments on hand and net assets of $846 million. Council’s debtors, creditors and provision are all below initial budget estimates for the year.

Council has delivered the financial result this year while completing an ambitious capital works program for the community, including –

• Theodore-Moura Road and Intersection …………………  $1,756,891
• Raedon Street SPS ………………………………………..   $  910,000
• CRC Building Extension …………………………………..   $  850,000
• Wowan – Westwood Road, Gogango Creek …………...    $  835,000
• Rural Reseals ………………………………………………  $  553,100
• Shire-wide meters/valves/hydrant replacements ………    $  455,500
• Taroom Swimming Pool Amenities and Kiosk Building ..    $  363,000
• Jambin – Dakenba Road ………………………………….   $  357,280
• Biloela STP Trunk Main Rehabilitation ………………….    $  244,305
• Baralaba River Park ……………………………………….   $  165,375

Rates & Charges

Council has continued its strategy of reviewing its rates and charges to better reflect the impact that different categories of ratepayers have on Council’s infrastructure assets and service levels.

The financial year ended 30 June 2021 will see substantial increases for some larger ratepayers in line with this strategy.

Council has reviewed the Cleansing and Sewer charges for the year ended 30 June 2022 with the key change of vacant allotment sewer being charged at the same value as the first pedestal charge to encourage construction on vacant lots.  Council will review the basis of water charges over the next financial year with the intent of moving from a unit based charge to service size based charge for water access.

Budget for year ended 30 June 2022

Council is proposing to adopt a budget that will deliver an operating surplus for the first time in four years with an anticipated operating surplus of $1,227,953 and a net result after capital items of $5,007,445.

The federal government financial assistance grant remains an important source of funding for Council with approximately $7.5 million provided to fund Council’s operations for the year ended 30 June 2022.

The Queensland government’s Works for Queensland program has provided $1,650,000 over the next 3 years with Building Our Regions fund also contributing to the renewal of key infrastructure.

Capital Works 2021-2022

The budget as presented provides for a capital works program for the year of $28,392,875 including $8,336,850 in external funding.

Broadly speaking the program comprises -

$13,145,700 on Road and Drainage infrastructure

$  6,857,075 on Water and Sewerage upgrades

$  3,364,000 on Plant and Fleet replacements

$  3,306,100 on Buildings and other facilities

$  1,720,000 on Technology

$28,392,875

Key projects in each category include –

• Gibihi Road pavement widening and rehabilitation………   $1,400,000
• Raedon Street/Exhibition Avenue Intersections………….   $   530,000
• Kariboe Creek Bridge Replacement……………………….  $1,350,900
• Dawson River Bride Replacement (The Bend Road)……   $   998,000
• Moura WTP Clarifier………………………………………… $1,000,000
• Taroom STP Upgrade………………………………………. $1,505,700
• Biloela Dee Street Rising Main…………………………….   $   550,000
• Moura WTP Filters 3 & 4 Refurbishment………………….  $   400,000
• New Financial Management Systems……………………..  $1,300,000
• Automation of Waste Transfer Stations……………………  $   368,000

I commit this budget to Council for adoption.