Council maintains strong financial position

Council maintains strong financial position

Sunday, 28 August 2022

Penrith City Council will spring into the final months of the year with sound finances after revealing a balanced Budget for the period to June 2022 at the August Ordinary Meeting.

Council presented its Organisational Performance Report – June 2022 last Monday as part of its Organisational Performance and Financial Review, which confirmed a balanced position after allowing for allocations to Council’s Reserve to ensure any emerging priorities in 2022-23 can be addressed, and an allocation of $2.2 million to continue the repayment of Council’s COVID-19 Impact internal loan ahead of schedule.

Penrith Mayor Tricia Hitchen said it was “fantastic” that Council had been able to maintain its strong financial position despite various challenges.

“To be in a stable financial position following a series of setbacks which have affected our City, from the Covid-19 pandemic to a number of recent floods, is a great achievement for Council and the Penrith community,” Cr Hitchen said.

“I am also pleased to share that by 30 June 2022, 82 per cent of Council’s reportable projects, and 90 per cent of Council’s reportable actions were either on track or completed – this is testament to the hard work and dedication of our staff who continue to set high standards and deliver quality outcomes for the City,” she said.

Where Council was able to save and spend less, it was able to redirect funds towards other urgent requirements, including additional building maintenance ($338,000 – up 10%) and maintaining roads ($825,005 – a 9% increase) - a direct impact of the March and April 2022 severe weather events.

During this time, Council made progress on major city-shaping projects, adopted several key strategic documents, held seven successful events under the Open Streets Program with over 18,000 attendees, and delivered various services in the community such as constructing 5.73km of footpath, resurfacing just over 80,000sqm of road pavement (including the use of over 200 tonnes of glassphalt), and planting more than 11,000 native plants across Council reserves.

Council’s sound budget will enable the organisation to reduce the Covid Impact internal loan to just $1.5 million.

“The Penrith Local Government Area was hit hard by the pandemic and I am so pleased Council has been able to support the community during its toughest times, by taking initiative to waive sportsground hire fees as well as providing outdoor dining fee relief for impacted local businesses,” Cr Hitchen said.

“Going forward, our strong financial position will enable Council to repay this debt by 2025 as we originally forecast and continue to deliver essential services and bring other exciting projects to fruition.”

The Organisational Performance Report is available on the Penrith City Council Organisational Performance web page. 

Information contained within this news release was correct as at Sunday, 28 August 2022.