16 January 2015
QTC delivers strong credit review for Rockhampton Regional Council
Rockhampton Regional Council has come through de-amalgamation with a stronger financial position than it had going in.
The great news was recently delivered in a Queensland Treasury Corporation (QTC) report which has given Council the same rating that it had enjoyed prior to de-amalgamation, but with an operating surplus.
This is something that Council did not achieve throughout the entire first term after amalgamation.
The QTC report identified that Council had reduced operating expenses, curtailed its new borrowing and was spending an appropriate amount on maintaining its infrastructure.
Mayor Strelow paid tribute to staff who had responded positively to the call from Council and community to do more with less.
She also thanked the community for their support in attaining this result for which the 2013-14 budget set the basis for this outcome.
Mayor Strelow said that Councillors’ early resolve to reshape the future of our Region, rather than accept the negative forecasts of a weak rating originally mooted by QTC, had made all the difference.
“Council has been united and strong in its determination that this great city and its region would thrive.” Cr Strelow said.
“This solid financial rating, combined with a 25% increase in development applications and approvals add strength to the signs of early recovery in our Region’s business sector.”
Rockhampton Regional Council’s QTC Credit Review report states the following:
‘These results represent a significant turnaround from the operating deficits reported in all years Financial Year 2009 to Financial Year 2012 and reflect the considerable efforts made by Council to manage the challenges posed by de-amalgamation and flood restoration.’ (Page 3)
‘The report acknowledges that Council has ‘rationalised expenses and restructured its operations….in an effort to permanently reduce operating expenditure.’ (Page 4)
‘The report notes Council’s intention for an overall minor decline in Council total debt by Financial Year 2019.’ (Page 14) The decline commences in 2016. (Table 6, Page 13)
To view the QTC report visit Council’s website: www.rrc.qld.gov.au<http://www.rrc.qld.gov.au/>
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