Rainy day shortfall

I ATTENDED the council meeting on 22 June where the budget for the next financial year was adopted and passed.
During discussions on forward capital expenditure it was revealed that there would be a shortfall of some $35 million.
This would be due to the State Government’s intention to limit rate increases to CPI.
This was a known factor prior to setting this year’s budget.
This raises the question of what were the planned rate increases in percentage terms in future years to enable these capital works to be undertaken?
One must also ask where the additional revenue that is being raised from the increased number of dwellings on what were once single dwelling blocks is being spent.
Furthermore, it was also mentioned that the waste service costs will increase by 9.5 per cent.
How is this possible, surely the contract for these services must have contained efficiency and cost reduction targets to keep rises at or under CPI.
Haven’t the council heard of saving for a rainy day?
Richard Kenny,
via email