The information in this Hot Off The Press is based on data from the Quarterly Local Authority Survey. Information for the latest five quarters is provisional until the publication of the results from the annual Local Authority Census.
While rates, dividends, and depreciation are not seasonally adjusted, all other quarterly results are seasonally adjusted unless otherwise stated. Annual results are also not seasonally adjusted. Revenue and expenditure exclude non-operating and extraordinary transactions.
Quarterly operating surplus
Local authorities recorded a $14.1 million surplus in operating revenue over operating expenditure in the September 2008 quarter. This surplus was $4.2 million higher than the June 2008 quarter surplus, and $4.4 million higher than the September 2007 quarter surplus.
Quarterly operating revenue
Total operating revenue for the September 2008 quarter was $1,604.2 million, up $35.4 million (2.3 percent) compared with the June 2008 quarter. The increase was due to an increase in rates (up $44.0 million or 4.9 percent), government grants and subsidies (up $19.2 million or 9.4 percent) and regulatory income and petrol tax (up $1.6 million or 1.5 percent). Investment income was down $16.6 million (21.3 percent) and sales of goods and services and all other income was down $12.7 million (4.4 percent).
Total operating revenue increased $112.2 million (7.5 percent) between the September 2007 and September 2008 quarters. This increase was mainly due to increases in rates (up $70.6 million or 8.1 percent) and government grants and subsidies (up $43.7 million or 24.4 percent). Regulatory income and petrol tax (up $4.8 million or 4.7 percent) and sales of goods and services and all other income (up $0.3 million or 0.1 percent) also increased. Investment income decreased $7.1 million or 10.4 percent.
Rates
Rates increased $44.0 million or 4.9 percent in the September 2008 quarter compared with the previous quarter. Traditionally, income from rates increases in September quarters as new rates are set for the fiscal year. The percentage increase in rates this quarter is the lowest for a September quarter since 2004.
Rates were up $70.6 million (or 8.1 percent) from $869.8 million for the September 2007 quarter to reach $940.4 million for the September 2008 quarter. Rates are not seasonally adjusted.
Total investment income
Investment income in the September 2008 quarter was $61.6 million, down $16.6 million (21.3 percent) compared with the previous quarter. This decrease was due to a $16.5 million decrease in dividend revenue. Interest revenue also decreased marginally by $0.2 million to $43.2 million. Interest revenue is seasonally adjusted, while dividend revenue is not.
Investment income decreased $7.1 million compared with the same quarter in 2007. Of this decrease, interest revenue was down $5.2 million while dividend revenue was down $1.9 million.
Quarterly operating expenditure
Total operating expenditure in the September 2008 quarter was $1,590.1 million, up $31.2 million (2.0 percent) compared with the June 2008 quarter. The increase was mainly due to an increase in purchases of goods and services, grants and donations, and all other expenditure (up $12.9 million) and employee costs (up $7.7 million). Interest paid (up $5.7 million) and depreciation (up $5.1 million) also contributed to the increase in total operating expenditure in the September 2008 quarter. Depreciation is not seasonally adjusted.
Total expenditure increased by $107.7 million compared with the same quarter in 2007. The increase can be attributed to increases across all expenditure categories.
Employee costs
Employee costs in the September 2008 quarter were $377.6 million, up $7.7 million (2.1 percent) compared with the previous quarter. Compared with the September 2007 quarter employee costs increased $33.0 million (9.6 percent).
For technical information contact:
Nalin Patel
Wellington 04 931 4600
Email: info@stats.govt.nz
Next release ...
Local Authority Statistics: December 2008 quarter will be released on 16 March 2009