$13.9M budget operating surplus
AlburyCity has recorded an overall operating surplus of $13.9 million for the 2014-15 financial year.
The positive result is largely due to a $6.5 million surplus from the Water and Sewer Funds and the Federal Government's repeal of the carbon tax, which resulted in a $4.9 million non-cash accounting adjustment.
AlburyCity achieved a better than break even result in all three funds – its Water Fund, the Sewer fund and General Fund.
The Water and Sewer Funds have now achieved an operating surplus for the past three years, after reporting operating deficits for the previous 10 years.
AlburyCity General Manager Frank Zaknich said that the achievement of an operating surplus within the General Fund – for the first time since 2006-07 – has been supported by AlburyCity's Service and Efficiency Review Program.
"Our Service and Efficiency Review program over the past three years has also contributed to this result, saving $666,471 in 2014-15 and helping to make us Fit for the Future," Mr Zaknich said.
AlburyCity's financial result comprises a total operating income of $115 million and capital works of $35 million.
AlburyCity Mayor Cr Henk van de Ven said that positive cash returns generated by operations are utilised to fund infrastructure works.
"Council's strong financial position had helped its compelling case to stand alone and recently be deemed to be Fit for the Future by the Independent Pricing and Regulatory Tribunal (IPART)," Cr van de Ven said.
"However, the job is not done. It's important we continue to be proactive in managing our budget to meet the financial challenges ahead, such as the Federal Government's freeze on the indexing of Financial Assistance Grants."
Following the Federal Government's decision to repeal the carbon tax, AlburyCity resolved to freeze the carbon funds, which were collected to pay future carbon tax liabilities associated with the operation of the Albury landfill until its obligations were clarified with the Federal Government.