Financial & sporting services

Council’s 2010/2011 Budget focuses on balancing fiscal responsibility with the maintenance of council services.

“This $550 million budget is about consolidating our financial position in the face of some challenging economic circumstances,” Financial & Sporting Services portfolio leader Cr Mike Williams said.

“From the outset, I would like to set the record straight. Toowoomba Regional Council’s current financial sustainability rating by the Queensland Treasury Corporation is moderate with a positive outlook.

“This is a slight improvement from their earlier post-amalgamation assessment of moderate with a developing outlook.

“Council will continue to have financial challenges as we upgrade essential infrastructure for current residents and business plus facilitate growth.

“However, through prudent financial management, our aim is to have TRC rated as strong by 2014. This will require moderate rate increases and careful attention to operating costs.

“We must ensure we make the most of any savings attributable to amalgamation which is why we are moving to a functional structure and progressively integrating service delivery across the region.

“This year, council has found it necessary to increase general rates by 8.5 percent across the region. This increase is partially offset by more limited increases in cleansing, water and wastewater charges and levies. The bottom line impacts on average residential properties are:

Toowoomba 5.5 %
District townships 4.3 - 12 %
Rural 5.7 %.

“The variation in the impact on district townships is partly due to the continued bringing together of all rates from the eight former councils.

“I acknowledge the considerable sacrifice made by consumers on the Toowoomba bulk water supply system in last year’s budget. There will be no increase to water charges for those ratepayers.

“Water consumers on the remaining water supply schemes will continue to feel some pain as we advance to full cost recovery in those areas. These schemes are operated and funded outside the Toowoomba water supply scheme.

“In recognition of the burden that water charges are having on ratepayers, council has introduced a $30 rebate on water connection charges for pensioners across the region.

“This will be in addition to council’s flat $95 rate rebate for eligible pensioners, as well as the State Government rebate of up to $180.

“The post-amalgamation period has seen a large number of community projects across the region. This year will be no different as we focus on delivering core infrastructure and rebuilding the organisation for the future.

“Investment in customer service and technical capability will be returned to our ratepayers in future years, in the form of a more professional service response.

“Council is delivering some $115 million worth of capital works in this budget as well as finalising the $187 million Wivenhoe pipeline transactions. The vast majority of capital expenditure is on water and wastewater projects and roads.

“As a business operator and consumer of services, council itself has to absorb rising input costs such as a 14 percent increase in electricity and considerable increases (estimated by the LGAQ to be around 4.3 percent for the coming year) in general local government costs.

“We realise this increase will impact hard on many in the community already struggling under the weight of rising cost-of-living expenses.

“However, we believe this rate rise is the minimum necessary to maintain council’s financial viability and capacity to continue to maintain infrastructure and service delivery across the region.

“Local councils are being relied upon to deliver services to the community while having to meet ever-increasing legislative compliance levels. Local government is responsible for implementing new state legislation while, at the same time, state funding sources have been withdrawn.

“Compliance comes at a considerable cost. Land use management plans, environmental management plans, waste management plans, and flood and dam operation manuals, for example, require considerable financial resources and staff time.

“Council has found it necessary to increase our environmental levy from $10 to $30 to specifically pay for the implementation of our regional waste management strategy and compliance with state environmental legislation.

“These measures are necessary to ensure we look after our environment and comply with environmental and community safety standards imposed by the State.

“Council’s streamlining of rating categories continues this year and we are 90 percent along the path of full integration of our rating system, post amalgamation. This ensures consistency and means that the same general rate in the dollar will apply to ratepayers in the same rating category regardless of where they operate in the region.

“In my portfolio area of Sporting Services, council has allocated almost $6 million in capital and operational expenditure to the region’s sporting facilities including implementing recommendations of the Regional Strategic Sport and Recreation Plan.

“$180,000 will go towards implementing some of the recommendations contained in the Plan. These cover the maintenance and improvement of existing facilities and programs, the viability of sport and recreation groups, council policies, coordination and management arrangements and the provision new facilities and initiatives.

“The plan provides a framework for prioritising and actioning the Strategic Plan recommendations. Council has also allocated $467,077 in its operational budget to sport and recreation development.

“Over $1.43 million is council’s contribution towards construction of a new $2.34 million criterium track in Toowoomba, to be constructed this financial year.

“Two new sporting officer positions have been allowed for in this Budget, pending a decision from the State Government to provide funding support. If approved, these officers will assist sporting clubs on a day-to-day basis with management and the provision of better sporting services.

“As part of fulfilling our obligations under our recent outdoor sport and recreation facilities audit, we will be top-dressing sports fields in Greenmount, Crows Nest, Goombungee and Toowoomba.

“The Millmerran recreation reserve will receive an upgrade over two years with $150,000 allocated in this year’s budget towards field lighting, surface upgrade and shade facilities. A further $250,000 has been committed to asset maintenance upgrades identified through the Regional Strategic Sport and Recreation Plan.”

Cr Williams said it was important to recognise that some areas of council do not relate to dollars and cents and therefore can not be counted in the Budget.

“Our greatest challenge is to build a culture of ‘can do’ and then get it done, right across this organisation from Clifton to Yarraman, Millmerran to Toowoomba.”