Casey Council was met with $24 million capital works project delays in the first half of this financial year, according to its latest Quarterly Community Report.
The council’s annual budget for 24-25 financial year estimated delivery of $60 million in capital works projects in the first half of the year, which accounted for 43 per cent of the entire annual budget.
However, the latest financial statement revealed the actual delivery of only $40 million in capital works projects, which took up 29 per cent of the entire annual budget.
The variances are due to the project delays regarding building improvements, fixtures, fittings, furniture, computers and telecommunications, footpaths and cycleways, recreational, leisure, and community facilities, parks, open space, streetscapes, and other infrastructures. The council’s statements did not specify specific projects.
When inquired about the specific project delays, City of Casey Manager City and Asset Planning Keri New said there had been delays in some areas of the program, and Council had implemented appropriate mitigations, including improved project forecasting and seeking external procurement support where required.
“These mitigations will see the Council deliver a successful Capital Works Program this financial year,” she said.
“Any project not completed will be carried forward for completion into the next financial year.”
Computers and telecommunications were the projects that experienced the biggest budget variance in the first half of the year, where 93 per cent of the budget was not delivered. Council allocated $21 million, while only $1.5 million was delivered.
Footpaths and cycleways were also hit with a significant amount of budget variance, with 40 per cent of the allocated cash not being delivered.
Casey Council recorded a surplus of $232 million, exceeding the budget by 5 per cent with $10.8 million.
Expenses, arriving at a total of $232 million in the first six months, were 0.1 per cent over budget, primarily due to timing differences in external Contracts, other expenditures, and employee costs.
Revenue, a sum of $464 million, was 2.4 per cent above budget mainly due to the early receipt of operating grants.
