City of Joondalup returns to financial surplus
THE City of Joondalup returned to an operating surplus in 2018-19.
The City’s Annual Report was presented at the 2019 annual general meeting of electors last night, with a “modest growth in revenue combined with a reduction in expenditure” resulting in the City finishing the year in a “reasonably stable financial position”.
Figures show the City’s operating income was $155 million, including $101 million in rates, $41 million in fees and charges, $5 million in grants and subsidies, $4 million in interest and $1 million in contributions, reimbursements and donations.
This revenue increased by 5 per cent from the previous year, mainly from a growth in rates, operating grants, fees and charges.
Meanwhile, its expenditure was $150 million, including $63 million in employee costs, $48 million in materials and contracts, $30 million in depreciation, $5 million in utilities, $1 million in insurance and 0.5 million in interest.
This was a decrease of 2 per cent from the previous year, mainly because of lower depreciation costs and reduced materials and contracts expenditure.
Capital expenditure was also lower than budgeted because of the deferral of some expenditure on multi-year projects.
The major areas of capital expenditure included $7 million on roads, $6 million on street lighting, $5 million on Better Bins, $3 million no parks and $2 million on building works.
According to Mayor Albert Jacob’s message, highlights of the 2018-19 financial year included about 700 employees from the Department of Water and Environmental Regulation moving to the Primewest building in Joondalup, the roll-out of the three-bin system, State and Federal support for the Whitfords Nodes Health and Wellbeing Hub that will eventually include a fitness staircase likened to Jacob’s Ladder, and Joondalup’s sister city relationship with Jinan having an economic benefit for the City valued at more than $70 million.
Chief executive Garry Hunt’s message also highlighted the changing Joondalup city centre skyline with ground broken on the 17-storey Arthouse Apartment complex and the completion of Quest Joondalup, Kaleidoscope 2018 attracting almost 120,000 people to the city and a record attendance of more than 60,000 to the Joondalup Festival, and awards for reporting and being water wise.