Coronavirus: Fairfield Council budget to take $2.4m hit
The serious economic impacts of the coronavirus pandemic are being felt at Fairfield Council with the city revising its predicted surplus for the financial year to just $250,000 and forecasting more tough times ahead.
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Fairfield City Council is on track to end the financial year with a surplus of less than $1 million as a result of the impacts of the COVID-19 pandemic.
The council’s financial report for the January to March quarter flagged the serious economic effects of the pandemic, which has “heavily impacted” the council’s operations and capacity to deliver services in subsequent periods.
A Fairfield City Council spokesman confirmed the predicted surplus for the 2019-20 financial year was $2.655 million, but that had since been revised down to $250,000 due to the effects of COVID-19.
“If council decides to not increase rates, this will result in a further deficit in the coming financial year,” the spokesman said.
Over the January to March period, 71 projects — including upgrades to Canley Vale, Fairfield Heights and Cabramatta town centres — were postponed due to COVID-19 and social distancing regulations, competing priorities, water restrictions, design delays and a lack of market response to tenders, according to the report.
“The closure of services in late March 2020 due to government restrictions, and the loss of revenue from the downturn in activity arising from the pandemic, have impacted on service delivery as well as the forecast financial position to the end of March 2020,” the report stated.
However, the April to June quarter was when the “greatest financial impact” of the pandemic would be felt, it continued.
The council spokesman said the health and wellbeing of residents was the council’s “primary focus” during the COVID-19 pandemic.
It has also implemented a number of measures to support residents during the crisis.
“Council is keeping its rates among the lowest in Sydney, and lower than any of its neighbouring local government areas,” the spokesman said.
“Council has made changes to its services and commissioned many projects to ensure our services continue while following social distancing regulations.
“Council will continue to transform and reopen its services as NSW Government restrictions are eased.”
Initiatives undertaken during the pandemic include free childcare, increased waste collection to meet demand, the introduction of drive-in movies at Fairfield Showground, increased maintenance of walking paths and welfare checks.