General News
10 December, 2025
TRC operating position in the red by $3.54M
INCREASES in employee-related costs, depreciation and additional expenditure on contractors have landed Tablelands Regional Council in the red to the tune of $3.54 million for its operating position at the end of the financial year.
Council had expected its budgeted operating position to be in deficit by $1.49 million but a report to council reveals that the year-end actual position was $2.05 million more than forecast.
The council ended the year with a surplus net position of $16.3 million but with an operating position – which is calculated by subtracting all operational expenses from operating revenue – of -$3.54 million.
The report cited four areas that contributed to the overrun and the response by the executive management as to why the situation would not be the same next year.
The main reasons for the final position were:
Adjustments required to employee-related oncost provisions (long service leave, annual leave, sick leave etc.) of $703,000.
Employee-related expenses for labour hire, overtime, allowances and wages overspend of $812,000.
Contractor expenses increased by $722,000.
Depreciation expenses increased by $1.169 million.
The majority of the rise in contractor costs related to waste, water and road services, according to the report.
“Contracted waste services costs increased when they were retendered and due to increased service demands (including expansion of the areas serviced by waste collection, an increase in the number of bins collected from premises, addition of street bins to the waste collection contract and increased costs for bin replacements),” the report stated.
“This increased level of service resulted in an increase to the costs for that service.
“Costs for contracted water services increased due to an increase in reactive maintenance requirements.
“Costs for contracted road services increased due to the accelerated road and drainage maintenance program requested by council to improve road performance and condition after a prolonged wet season.”
The management team says some key measures will be implemented to try to prevent a similar situation in the future.
