The Greater Geelong Council has given in principle approval to the City of Greater Geelong's audited annual financial statements and draft performance statement for the 2023-24 financial year.
The statements provide a summary of the City's performance against the Council's 2023-24 budget.
The City's operating result, which was budgeted to be a small surplus, has been impacted by the timing of Financial Assistance Grants from the Australian Government, which varies from year to year.
Council's budget had assumed that close to $25 million in Financial Assistance Grants would be paid during the 2023-24 financial year, including the majority of the 2024-25 allocation.
However, the City ultimately received minimal Financial Assistance Grants payments during 2023-24, instead receiving $24.1 million in the first week of July 2024 (the beginning of the 2024-25 financial year).
As a direct result, the operating result is a deficit of $17.6 million in 2023-24.
Acting CEO Troy Edwards:
The result does not make a material difference to the Council's operations or financial sustainability, it is just a matter of those payments from the Australian Government arriving in our account a few days after the end of the financial year.We would otherwise have met our operating budget and delivered a small surplus.
The City's total comprehensive result for the financial year was a surplus of just under $180 million.
Troy Edwards:
It is important to note that this figure does not represent a windfall for the Council.It is largely made up of non-monetary assets handed over by developers such as new drainage, roads and footpaths, which are now our responsibility to maintain, as well as developer cash contributions for future community facilities.
The financial statements show that the City delivered over $139.5 million in capital projects during the financial year, made up of $75.2 million in new assets, $51.6 million in asset renewal and $12.8 million in upgrades.
The organisation is now responsible for the upkeep of more than $4.87 billion worth of property, infrastructure, plant and equipment.
This figure takes into account new infrastructure built by the City, as well as infrastructure handed over by developers.
The City's balance of cash and cash equivalents increased just over $8.5 million from $87.2 million at the beginning of the financial year to $95.8 million at the end of the financial year.
The statements have been through an official audit process by the Victorian Auditor General's Office, and will be published in the City's Annual Report, to be released later this month.
They are available to read in the minutes of the Council's 8 October 2024 meeting.
