By Alesha Capone
Wyndham council has forecast a $30.2 million budget shortfall for the current financial year.
The coronavirus, a reduction in fines and lower-than-expected revenue from the Werribee tip are expected to significantly impact the council’s finances.
Key drivers behind the anticipated deficit include a $5.2 million lower net operating result from the tip, a $3.4 million reduction in revenue from statutory fees and fines, and a $3.2 million drop in user fees related to recreational and sports facilities, according to the March quarterly financial report.
The report stated the mandated closure of council facilities during the coronavirus pandemic was one of the reasons for the loss of revenue.
According to the report, the loss of revenue from the Werribee tip comes after major commercial customers, who took their business elsewhere when there were delays experienced in obtaining an EPA works approval in 2017, have subsequently negotiated lower landfill prices or started using multiple landfill sites.
Cr Aaron An said that, in the past, the council’s financial position “has been a bit too reliant on revenue generated from the RDF (refuse disposal facility)”.
He said the council needed to find other ways to remain self-sufficient.
The financial report stated the reduction in revenue from fines and infringements could be partly attributed to the introduction of the Wyndham Enforcement Policy, which had resulted in “behavioural change” and a lower number of fines being issued.
The policy provides a framework upon which council officers base their enforcement decisions.
The report also stated: “Council has also been required to adopt a different approach to enforcement during COVID-19 and this is expected to result in lower revenue than assumed in the budget for the full financial year.”
Cr Heather Marcus said it was good to “see that people have probably been watching their behaviour” when it came to matters such as parking.
“The council officers have been wonderful, they have been very lenient with a lot of our people,” she said.
