funding · City of Wanneroo
Wanneroo budget $6.1m favourable as employee costs run $3.9m over
A $6.1 million favourable year-to-date operating variance has offset Wanneroo’s $3.9 million employee-cost pressure, helped by higher fees and charges income and lower materials-and-contracts spending.
City of Wanneroo ratepayers face a budget picture that is $6.1 million favourable year to date, but employee costs have run $3.9 million above budget, according to the City’s financial report to 31 May 2026.
The operating result included $2.8 million more fees and charges income than budgeted, along with higher income from rates, operating grants, interest earnings and other revenue. Materials and contracts spending was $3.7 million below budget.
Employee costs totalled $100.2 million against a revised budget of $96.3 million. The variance included an $855,000 annual leave provision revaluation, normal wages $3.6 million above budget and $284,000 in additional overtime.
The report attributed the wage pressure to higher-than-expected employee retention and a $150,000 cost increase linked to a 0.55 per cent unbudgeted Industrial Agreement increase from 1 March 2026. Overtime was also higher in Waste Services, Planning Services and Finance because of greater work volumes and leave. Community Events overtime rose after the expanded Australia Day event marking the City’s 40th anniversary.
The $6.1 million operating result included a $1.4 million non-cash adjustment. Operating inflows were $5.5 million favourable to budget, while outflows were $785,000 unfavourable. Higher revenue and lower spending more than offset the employee-cost pressure.
The City had spent $119.8 million on its capital program by 31 May, equal to 82.5 per cent of the revised annual program of $145.3 million. Sports Facilities accounted for $60.6 million, followed by road projects at $10.8 million and community buildings at $9.3 million.
Capital spending was below budget in some areas because of delays in project progression. Spending on property, plant and equipment was $8.8 million below budget, while infrastructure-asset spending was $1.8 million below budget.
The figures are a year-to-date position for the 2025/26 financial year, not a final annual result.
Reference minutes
City of Wanneroo Ordinary Council, 28 July 2026.
Key facts from the minutes
- The City’s net operating activities were $6.1 million favourable to budget for the year to 31 May 2026.
- Employee costs were $100.2 million, $3.9 million above the revised budget of $96.3 million.
- Fees and charges income was $2.8 million above budget, while materials and contracts spending was $3.7 million below budget.
- Capital expenditure reached $119.8 million, or 82.5 per cent of the revised $145.3 million annual program.
- Sports Facilities was the largest capital sub-program, accounting for $60.6 million in spending.
- The operating result included a $1.4 million non-cash adjustment.
Why it matters
- The figures show how higher revenue and lower spending are offsetting pressure in Wanneroo’s staffing budget, while the City continues delivering its capital program.