Budget Document 2014/2015 CONTENTS 1 BUDGET OVERVIEW ................................................................................................................................. 4 1.1 STRATEGIC PLANNING FRAMEWORK ............................................................................................................... 4 1.2 STRATEGIC PLAN OUTCOMES ........................................................................................................................ 5 1.2.1 Corporate Plan .................................................................................................................................. 5 1.2.2 Asset Management Plans .................................................................................................................. 5 1.2.3 Operational Plan ............................................................................................................................... 7 1.2.4 Revenue Policy ................................................................................................................................... 7 1.2.5 Budget ............................................................................................................................................... 7 1.2.6 Revenue Statement ........................................................................................................................... 8 1.2.7 Long term Financial Forecast ............................................................................................................ 9 1.3 BUDGET PREPARATION .............................................................................................................................. 10 1.4 BUDGET PROCESSES .................................................................................................................................. 10 1.5 EXTERNAL INFLUENCES .............................................................................................................................. 11 1.6 BUDGET PRINCIPLES .................................................................................................................................. 11 2 BUDGET ANALYSIS ................................................................................................................................. 12 2.1 ANALYSIS OF 2014/2015 TO 2016/2017 OPERATING BUDGETS ..................................................................... 12 2.1.1 Operating Revenue .......................................................................................................................... 12 2.1.1.1 Rates and Charges .................................................................................................................................. 13 2.1.1.2 User Fees and Charges ........................................................................................................................... 13 2.1.1.3 Rental Income......................................................................................................................................... 13 2.1.1.4 Other Recurrent Income ......................................................................................................................... 14 2.1.1.5 Sales Income ........................................................................................................................................... 14 2.1.1.6 Operational Grants ................................................................................................................................. 14 2.1.1.7 Interest Revenue .................................................................................................................................... 14 2.1.2 Operating Expenditure .................................................................................................................... 15 2.1.2.1 Employee Costs ...................................................................................................................................... 15 2.1.2.2 Contracts, Materials & Services .............................................................................................................. 16 2.1.2.3 Donations ............................................................................................................................................... 16 2.1.2.4 Finance (Borrowing) Costs ...................................................................................................................... 17 2.1.2.5 Depreciation ........................................................................................................................................... 17 2.2 ANALYSIS OF CAPITAL BUDGET .................................................................................................................... 17 2.2.1 Funding Sources .............................................................................................................................. 17 2.2.1.1 Grants - Capital ....................................................................................................................................... 18 2.2.1.2 Contributions .......................................................................................................................................... 18 2.2.1.3 Proceeds From Sale of Assets ................................................................................................................. 18 2.2.1.4 Restricted Cash ....................................................................................................................................... 18 2.2.1.5 Loan Funds ............................................................................................................................................. 19 2.2.1.6 Revenue .................................................................................................................................................. 19 2.2.2 Capital Works .................................................................................................................................. 19 3 BUDGETED FINANCIAL STATEMENTS ..................................................................................................... 20 3.1 INCOME & EXPENDITURE STATEMENTS 2014/2016 ....................................................................................... 20 3.2 FINANCIAL POSITION 2014/2016 ............................................................................................................... 21 3.3 CASH FLOW 2014/2016 .......................................................................................................................... 22 3.4 CHANGES IN EQUITY 2014/2016 ............................................................................................................... 23 4 STANDARD STATEMENTS ....................................................................................................................... 24 4.1 SCHEDULE OF RATES AND CHARGES ............................................................................................................. 24 4.2 SEPARATE CHARGES PROGRAM OF WORKS .................................................................................................... 26 4.2.1 Environmental Levy Program .......................................................................................................... 26 4.2.2 Road Infrastructure Levy Program .................................................................................................. 27 4.2.3 Community Rescue & Evacuation Levy Program ............................................................................. 27 4.2.4 Waste Management Levy Program of Works ................................................................................. 27 4.3 DETAILS OF CAPITAL WORKS PROGRAMS 2014/2015 .................................................................................... 28 4.4 SUMMARY OF EXPENDITURE ON ROAD INFRASTRUCTURE 2014/2015 ............................................................... 33 4.5 SCHEDULE OF REMISSIONS, REBATES ON RATES & ANNUALISED GRANTS ............................................................ 33 4.5.1 Rebates on Rates ............................................................................................................................. 33 4.5.2 Annualised Community Grants ........................................................................................................ 38 4.6 SCHEDULE OF RESTRICTED CASH .................................................................................................................. 40 5 ADDITIONAL STATEMENTS ..................................................................................................................... 40 5.1 REVENUE STATEMENT ............................................................................................................................... 40 5.2 LONG TERM FINANCIAL FORECAST ............................................................................................................... 89 5.2.1 Income & Expenditure Statements 2014/2023 ............................................................................... 89 5.2.2 Financial Position 2014/2023 .......................................................................................................... 91 5.2.3 Cash Flow 2014/2023 ...................................................................................................................... 93 5.2.4 Changes in Equity 2014/2023 .........................................................................................................