Charlton Depot project partially behind Toowoomba Regional Council missing key asset target in 2019-20 annual report

Deputy Mayor Geoff McDonald says the construction of a major $67m project was partially responsible for the Toowoomba Regional Council missing a key financial target in its latest annual report for the 2019-20 fiscal year.

The Toowoomba Regional council achieved an asset sustainability ratio of 64 per cent, which is well below the goal set by the Queensland Treasury Corporation of 90 per cent.

The ratio tracks the council’s investment in renewing its existing infrastructure, verses the value of depreciation for all of its assets.

Deputy Mayor Geoff McDonald said the $67 million depot played a big role in the 2019-20 ratio result, adding the TRC were planning to increase its asset sustainability to 102 per cent by the end of the current financial year.

“The depot is a new build, so it’s not classed as a renewal — those big ticket items are the things that affect your asset sustainability radio,” he said.

“This financial year, we’re going to hit 102 per cent, so that means we’re spending more than our depreciation, which is about $104 million.

“As soon as we build new stuff, we just keep adding to our profit/loss and our depreciation.”

For more information about the annual report, head to the Toowoomba Regional Council website.