Toowoomba Regional Council (TRC) will continue to carefully manage expenditure in coming months following the adoption of the 2024/25 Budget Review 2 at a Special Meeting this week.
The point in time forecast of Council's 2024/25 Budget shows that Council is expected to deliver a deficit of $5.7 million but remains committed to reduce this by financial year end.
Councillors resolved to approve a $4.2 million increase to operational revenue and a $10.4 million increase to operational expenditure from the revised 2024/25 Budget.
Toowoomba Region Mayor Geoff McDonald said Council was continuing to carefully manage its financial position.
"Council will be working hard during the final quarter of this financial year to attempt to significantly reduce this point in time budget deficit that has been forecast.
"Councillors approved a $10.4 million increase to operational expenditure to allow for a range of critical, and in many cases unavoidable, cost increases.
"This includes a $3.36 million increase to waste services due to an increase in the State Waste Levy and increases in costs associated with population growth leading to more waste being managed. Further increases were approved including $2.25 million for critical water operations such as increases in electricity costs, chemical costs and fixed term contract costs," Mayor McDonald said.
"Council has been realistic in the forecast of our capital program with a significant $55 million reduction in capital costs this financial year on the Cressbrook Dam Safety Improvement Project with extra design works required and the recent significant water inflows from ex-TC Alfred also contributing to this.
"Council's ability to service our debt has been forecast to remain within an acceptable range for the entirety of our Long Term Financial Forecast which is good news.
"Our unrestricted cash expense ratio also remains above target for the forecast period which means Council has sufficient funds to cover the cost of future planned and unplanned expenses," Mayor McDonald said.
With the Budget Review 2 update finalised, TRC's Financial Services Team will continue work on the development of the 2025/26 Annual Budget, expected to be handed down in June.
