Cash blowout a problem for council
LISMORE Council is a long way from being back in the black, with an operating deficit of $10.59 million.
The figures from the December 2011 Quarterly Budget Review were revealed at the council's ordinary meeting on Tuesday.
The figure is an improvement from the $10.763 million deficit reported at September 30, 2011.
But the bad news is the cash basis has gone from being fully funded or balanced at $39,400 to a deficit of $187,000.
Council's quarterly report states the budget deficit must be improved as a "matter of urgency" as the current situation is not financially sustainable.
Lismore Mayor Jenny Dowell said reining in the cash deficit is a priority for council.
"The $10.59 million deficit is predominantly because the depreciation of our assets is built into the budget," Cr Dowell said.
"Our immediate concern is reigning in our cash position - the $187,000 deficit - by the end of the financial year, but this council and future councils will need to address the ongoing deficit in terms of asset management."