The City of Perth has built up an investment portfolio worth an estimated $150 million this financial year, 22 per cent up on the $117 million from the previous year.
The bulging portfolio was revealed in its latest budget documents for 2007-08, where it appears council is in a strong financial position, with bumper revenue anticipated from parking fees and interest payments on investments.
Council is expecting its operating revenue to hit $121.8 million in 2007-08, up from last year’s revenue of $108.6 million.
A good portion of the take can be attributed to parking fees, which will rise by 16.8 per cent from July 1 and in doing so, will generate about $38.5 million for council coffers.
City of Perth chief executive Frank Edwards said the city was in a strong position to fund its estimated $46.4 million capital works program in 2007-08, which included $4.5 million worth of streetscape enhancements, a $5.6 million upgrade of the City Station concourse and the long-awaited activation of the Northbridge Piazza.
Mr Edwards said the city expected to earn about $9.8 million in interest on its $129 million cash reserve this year and planned to increase this reserve to $135 million over the next 12 months.
“We have substantial projects beyond 2007-08 which will require a big investment from council, but we’re absolutely committed to realising these.”
Among council’s mooted projects, the city has committed $4 million to a new Performing Arts precinct in front of the Concert Hall and $5.5 million to commence construction of a lake which would store treated water from irrigation.
Other projects in line for a major injection of council funds in 2008-08 include the proposed Northbridge Link, the Fire Station car park, Gas Works site redevelopment, and the government’s Mounts Bay redevelopment plan.
