South Burnett Regional Council releases 2023-24 annual report
CEO Mark Pitt has blamed the decline of government grant payments to local councils for the rising operating losses outlined in South Burnett council’s 2023-24 annual report.
South Burnett
Don't miss out on the headlines from South Burnett. Followed categories will be added to My News.
The South Burnett Regional Council has released its annual report for 2023-2024, highlighting key financial developments in what was a challenging year.
The report reveals a significant increase in operating losses, which rose from $4.49 million in 2023 to $9.98 million in 2024.
This jump was primarily attributed to the timing and decline of grant payments.
In the 2023 year, the report states the council received a prepayment of about 96 per cent ($7.1 million) of its 2023-2024 grant allocation.
However, in the 2024 year, no prepayment of the 2024-2025 grant allocation was received, causing a $6.8 million reduction in grant revenue.
CEO Mark Pitt said one of the biggest difficulties for local government was the devolution of responsibility from other levels of government, without the appropriate funding being transferred with the role to local councils.
“The changes to the FA Grant payment arrangements have adversely, and I believe unfairly, impacted the end of year results,” Mr Pitt said.
He said that while the financial outcome looked negative on paper, it did not reflect the council’s overall financial health.
“Council achieved another year of strong financial management, receiving a clean audit report again,” Mr Pitt said.
“This potentially negative result is not reflective of council’s financial position or sustainability and is achieved by stringent cost cutting and efficiency techniques.”
Despite the financial hurdles, the council experienced positive growth in other areas, particularly with capital projects.
It received $27.6 million in grants and contributions for the development of regional assets, contributing to an increase of $55.63 million in the value of its property, plant, and equipment assets, bringing the total value to over $1.1 billion.
The asset revaluation surplus rose from $639,582,956 in 2023 to $682,336,743 in 2024.
Council also repaid $3.3 million in debt, bringing the total down to $23,840,626 in 2024 but faced ongoing costs related to quarry and landfill rehabilitation, as well as employee entitlements.
On the expenditure side, $9.6 million was spent on restoring roads damaged by multiple severe weather events.
“The repair of council’s road network from six declared rainfall events continues to be a priority for council,” Mr Pitt said.
He said damage from the ex-tropical cyclone Kirrily system in January 2024 added to the region’s infrastructure restoration needs.
“An estimated 982 roads have sustained damage with an estimated 1043km of both sealed and unsealed roads requiring restoration or emergency repairs works.”
Mayor Kathy Duff said the issues raised by the community remained council’s top priority following the March election.
“They wanted the roads, potholes and drains fixed up, that they wanted affordable rates, better water quality and less red tape to enable an easier path for business and for development to thrive in our region,” Ms Duff said.
She said the council was also focused on reducing operational costs.
“We are very focused on cutting back on consultants and supporting our own staff to reduce costs but also to build capacity within our own staff to deliver where possible. We will continue to look for cost savings in the organisation to reduce our operating deficit,” she said.
The report also recorded a slight increase in workplace incidents, with 272 reported incidents, up from 261 in the previous year. However, most injuries were minor.
“I will continue to lead a team of councillors and staff to make decisions in the best interests of our community stronger future for the South Burnett,” Ms Duff said.
The annual report also revealed that at the Ordinary Council Meeting on February 22, 2023 the previous council resolved to accept an amount lower than the maximum remuneration payable to councillors and as such the remuneration for the 2023/2024 year was:
Mayor - the rate payable of $138,524
Deputy Mayor - the rate payable of $86,577
Councillor - the rate payable of $73,589
Bones found in bush may be of girl swept away in 2022 floods
The heartbroken father of a 14-year-old Victorian girl, swept away by raging flood waters west of Gympie, has confirmed police have reached out after the discovery of human remains 2km downstream of where he last saw her.
Emerging Qld designer to feature in prestigious international magazines
Regional artist and designer Cathy Condon could be poised to break through to the big time, with her designs about to be showcased in the November issues of Vanity Fair and Tatler. Full story here: