A report to be discussed on Thursday says that rate-rises are pegged to 2.3 per cent but wages and salaries for council staff will rise by 2.5 per cent.

On top of that, some grants were paid  in advance in 2017 and those boosted this year’s budget but won’t be available in teh coming year. The cost of some rural roads has also raised.

The council’s General Manager says in a report to the council that he is concerned that the surplus is not as big as it was. “Council’s budgeted operating surplus has diminished by around $400,000 compared to last financial year, which is a concern”, said Hein Basson.

He believes new revenue will have to be found: “It is my belief that Council will have no other option, somewhere in the future, to reassess its financial position and long term financial outlook; in order to increase its own source revenue.”

Mr Basson reckons the need is for another $600,000 to $700,000.

The difficulty for the council – and the rate-payers – is that sources of extra revenue are limited. The council is prevented by the state government from raising rates beyond the 2.30 per cent overall figure.

It can, however, raise charges which households in urban areas like the town of Glen Innes pay. At the moment, a typical householder might pay $1,000 in rates a year but $1,100 in charges for access to water, disposal of sewage, the town dump and drainage. The council can raise these charges and few other options seem available.

It does have a  surplus of $500,000 a year from the quarry (Glen Innes Aggragates) and that’s boosted council revenue, but there is no obvious additional way to raise that sum substantially.

No figure has been put on a rise in charges but an educated estimate would put it at around five per cent.

Despite the tightening finances, some items have been given priority, particularly rural gravel roads and the upgrade of  the ovals in Emmaville and Deepwater.

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