Mitchell Shire Council is looking at a $2.13 million deficit according to the third quarter financial report presented to the May council meeting.
The report highlighted that the deficit has been adjusted from $2.36 million predicted in the second quarter review. The report’s author described the variance of $226,000 as ‘favourable’.
During discussion on the report, Councillor David Lowe described the situation as ‘slightly better’.
“The result could be better. And then again it could be a whole lot worse,” Mr Lowe added.
The report identified several factors that impacted the third quarter result including increased operating grants of $3.13 million, linked to grant funding relating to natural disasters and an increase in rates and charges of $545,000, mainly due to increased supplementary rates.
The report also highlighted an increase in employee costs of $1.10 million.
