Council reports on its end of year result for 2021/2022

Buller District Council will meet to formally adopt the audited 2021/2022 Annual Report at an extraordinary council meeting on Wednesday 21 December 2022.

The report shows that council recorded a $6.801m dollar surplus on it’s day-to-day activities against a budgeted surplus of $15,000. This surplus includes accounting entries relating to $2.723m non-cash income for gains on market interest rates in relation to the fixed portion of council’s debt facility as well as $1.033m non-cash gains for investment property.

These two items do not add to council’s cash balances to be spent on day-to-day activities. These surplus funds have been used by council to construct or build replacement infrastructure and other assets in the last twelve months.

Mayor Jamie Cleine says: “In a challenging year which included two serious flood events in July 2021 and February 2022, council managed its controllable expenditure reasonably well."

Council received $11.50m additional grant funding and subsidies for flood recovery from central government agencies. The main budget variances in employment costs were due to extra staff working for Flood Recovery. These extra employment expenses were funded through central government funding. Variance in other expenses were mainly attributed to flood recovery work and funded by external additional grants.

Mr Cleine says: “The significant flood events have impacted council’s finances on the income and expense side within almost each area of council. We have worked collaboratively with many external agencies to proactively tap into funding opportunities from central government to shoulder these unexpected costs. This collaborative approach enables us to secure additional income that flowed into various district recovery projects.”

Council also received $2.848m additional grants from the Department of Internal Affairs towards the upgrade of the Punakaiki and Westport drinking water trunk main. $3.796m additional grants were received from the Provincial Growth Fund towards the Westport Harbour, and $3.115m other sundry grants were spent on various other projects around the district.

Mr Cleine says: “The flood recovery work and the many other projects we received funding for will get our district back on track and provide a springboard for economic growth in the district.”

At the end of each financial year, council produces an Annual Report which details what council did during the financial year compared to what it planned to do in the Long-Term Plan or Annual Plan.

The 2021/2022 Annual Report summarises council’s performance for the second year of the Long-Term Plan (LTP) 2021-2031.

-ENDS-

For more information please contact:
Mayor Jamie Cleine
Jamie.Cleine@bdc.govt.nz