Shortfall for grants
TAMWORTH Regional councillors have expressed disappointment after it was announced the council’s Federal Assistance Grants allocation for 2012/2013 has been reduced.
Last year the allocation was $9,959,223, this year’s allocation is $9,953,608 – a reduction of $5,615.
A report presented to council on Tuesday night suggested the financial implications of the reduction would include needing to take remedial action in the budget to “maintain the total accumulated cash position”.
The report said council’s long term financial plan would also be adversely affected “as estimates are based on a 2 per cent ongoing annual increase to the Financial Assistance Grant meaning that base income projections will be overstated”.
Cr Russell Webb said considering costs were high, the implications of a reduction from the assistance funding would mean having to cut back on things.
“I think we need to express our disappointment to Member for Tamworth Kevin Anderson about this,” Cr Webb said.
“He needs to be aware this puts us in a situation where some of the region’s needs just won’t be met.”
