Federal funding largely responsible for expected budget surplus of $3.3 million

The Shire of Narrogin looks set to record a budget surplus of about $3.3 million for the 2020-21 financial year with advanced payment of Federal funding largely responsible for the boost. While the Shire is yet to release its annual report, its statement of financial activity for the period ending June 30 reveals the windfall with the report set to be reviewed at yesterday’s council meeting. General-purpose funding came in about $1.2m above-budget, with the Shire recording about $2.5m of revenue. Shire chief executive Dale Stewart said the funding surplus came from advanced payment from the Federal Government. “All governments in Australia have been given advanced funding of half of all of their general-purpose grant funding,” he said. “For the past couple of years the Commonwealth Government has been pre-funding their grants to our government so there’s ... close to about $800,000 or so that relates to advanced funding for that.” “There’s another $400,000 in Federal funding for local community infrastructure funding from the Commonwealth Government for COVID projects.” Mr Stewart said the Federal general-purpose funding was already committed. The Shire also recorded savings in operating expenses. About $650,000 was saved on recreation and culture expenditure, and about $480,000 was saved in transport expenditure. “We’ve had about $16m-$17m of total turnover, so arguably there’s about 10 per cent of total turnover that’s come from savings on capital, savings on operating expenses, and increased income,” Mr Stewart said. The Shire’s draft budget for 2021-22 is set to be presented to the council next month. “There’s $350,000 in next year’s budget approved already for a caravan park redevelopment which will basically refurbish most of the bay and power sites at the caravan park,” Mr Stewart said. “There’s another project pre-approved, which is a cemetery expansion project which provides for two elements, providing 80 traditional burial sites.” It would also provide about 120 lawn cemetery sites and 80 traditional headstone areas.