ALBURY Council has recorded operating surpluses in its general, water and sewer funds for the third year in a row.
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Financial statements for 2016-17 have been tabled and reveal operating income of $123 million and capital works of $31 million.
The positive financial position allows council to maintain a debt service ratio three times above the recommended minimum benchmark of 2 per cent.
The city’s debt hovers around the $55 million mark.
The operating surplus across all operations was $19.3 million which was up $4.5 million from the previous year and $9.6 million better than forecast.
A general fund profit of $7 million exceeded budget by $6.7 million and was due in part to $3 million in financial assistance grants being received in advance.
But the council also reaped $763,000 in additional waste disposal income and electricity and gas costs being $746,000 less than budget.
Wages and salaries were also better than budget by $620,000 and airport income was up $500,000.
The water fund profit of $4.7 million was down $183,000 compared to the previous year.
But the sewer fund profit of $7.5 million was an increase of $1.1 million.
Developer contributions payments of $4 million were double budget reflecting ongoing residential and commercial development activity.
General manager Frank Zaknich said council was in a strong financial position to deliver essential infrastructure.
“While having money in the bank is great for any business or household, it’s council’s responsibility to use that money wisely for the benefit of the wider community,” he said.
“The water and sewer fund combined operating surplus of $12.3 million is to be utilised to fund essential infrastructure earmarked within council’s adopted long term water supply and sewer strategies.”
The council has budgeted for $48 million in capital works in 2017-18 with more than 2600 expenditure items ranging from the the big ticket items such as the Lavington Sportsground redevelopment and airport terminal expansion to upgraded roads and footpaths.
The council’s net assets totalled $1.3 billion with an increase of $101 million compared to 12 months earlier.
A re-valuation of land, buildings and infrastructure accounted for $66 million of the increase.
