Victoria’s Auditor-General has signed off on Benalla Rural City Council’s 2012-13 financial statements.
Mayor Barbara Alexander said that the Council was pleased to present financial statements that indicated a commitment to long term financial sustainability.
“Sustainability has been the central principle in developing our 2013-17 Strategic Resource Plan.
“The Victorian Auditor-General has continued to rate Council’s Financial Sustainability Risk Assessment as Low and the four year plan will ensure that this rating is maintained,” Cr Alexander said.
“The plan provides for the completion of the Civic Precinct Revitalisation projects and a sound basis for reducing Council debt. Our plan is to have an indebtedness ratio of less than 35%, well below what is considered high risk for sustainability. By reducing debt, the underlying deficit will continue to reduce over the next four years.
The financial statements report a surplus of $1.931 million. Excluding capital grant income and other asset items, however, the result would have been a deficit of $1.668 million.
“Like other small rural Councils we are very reliant on state and federal government capital grants such as Country Roads and Bridges, and Roads to Recovery, in order to remain financially sustainable,” Cr Alexander said.