Council continues its strong financial performance

Redland City Council’s strong financial performance continues with its second consecutive surplus confirmed thanks to a $6.25 million operating surplus for the 2014-15 financial year.

The operating surplus was revealed in Council’s Annual Report adopted yesterday, and follows a $14 million surplus recorded last year, which was the first for 15 years.

“While last year’s operating surplus was a real turning point for Council, this year’s is even more impressive because it shows we have reached a consistent balance in our finances and that last year’s result wasn’t a one off,” Mayor Karen Williams said.

“This achievement represents a $17 million turnaround from the start of last financial year when we were budgeting for an $11 million deficit.  This shows how hard we have worked to turn things around for residents.

“This great result was also achieved in a year residents received a carbon tax refund of $2 million following the abolishment of the tax.”

Cr Williams said Council’s strong financial position had been achieved through a back to basics approach and putting residents first.

“In past years this city has seen deficits over $20 million, which has the potential to drive up debt and put pressure on residents through rates increases,” she said.

“Those days are over thanks to a back to basics approach that focuses on core services that deliver for residents.

“The operating surpluses of the last two years have been achieved while handing down some of the lowest rates increases in South East Queensland, showing our strong financial position is translating to savings for residents.

“We are also on track to delivering an operating surplus for the current financial year which would make it three in a row.”

Council’s financial services spokesperson Cr Mark Edwards said the audited financials also showed Council’s debt continued to fall.

“Last year Council provided the services to residents without having to borrow any money,” he said.

“In fact we paid off more than $4 million in debt and increased our cash reserves, providing further financial security for the city.”

“While all of these achievements are great news for the city and needs to be recognised, we cannot relax. We must continue to look for ways to improve the value for money for our residents.”