26 September 2023
Barry Murphy
[FYI request #23858 email] Dear Barry
OFFICIAL INFORMATION REQUEST FOR ADDITIONAL INFORMATION ON SOCIAL
HOUSING REVENUE AND EXPENSES
I refer to your official information request dated 5 September for additional information on social
housing revenue and expenses.
The information you have requested is enclosed.
You have the right to seek an investigation and review by the Ombudsman of this decision.
Information about how to make a complaint is available at
www.ombudsman.parliament.nz or
freephone 0800 802 602.
Yours sincerely
Neil Ward
ACTING MANAGER FINANCE, STRATEGY & GOVERNANCE nw:sp
Attachments
Additional
Social Housing Information Requested
Page 2
ADDITIONAL SOCIAL HOUSING INFORMATION REQUESTED
1. Can you confirm, from the results provided that a profit in 2023 was $23,420, however does
not include the "Additional costs" of $138,297, meaning this was not cost neutral, but rather
a loss for the FY?
The earnings before interest, tax depreciation and amortisation (EBITDA) for FY 22/23 does
not include $132,191 of furniture and fitting expenses that are included in the additional costs
query. While these are an expense to the Council, they result in an asset held by the Council
and therefore do not contribute to a profit or loss position.
The $132,191 of furniture and fittings included carpets & vinyl, extractor fans, washers, dryers
and rangehoods which added to the value of the properties held.
The remainder of the $138,297 response for additional expenses is $6,106 of other expenses
which were included in the EBITDA calculation.
2. Can you please confirm the costs also included every item associated to housing, i.e.
insurance, landscaping or lawn maintenance, etc?
The EBITDA information provided includes all relevant costs associated to the operation of
social housing, including insurance, rates and maintenance.
3. Can you confirm the expenses, do not include any staffing hours to manage the service?
We confirm the costs previously provided do not include Council staff hours.
4. How many work hours would be allocated to housing? i.e. admin, debt collection, etc.?
Approximately 75% (30 hours per week) of a full time employee is allocated to the
administration of social housing.
5. Are there any debts on revenue over 30days in arrears, and if so how much?
There are $4,823 of rent arrears that are currently greater than 30 days overdue.
6. What, if any were the amounts written off as bad debt / unpaid rent?
No amounts have been written off.
7. What is being done to ensure things remain cost neutral, with the increase of services?
Every 3 years a 10 year forecast of these is completed as part of the Long Term Planning
process. Between Long term plans, revenue and expenditure budgets are updated annually
as part of the Annual Plan process. Actual expenditure is monitored against the annual plan
on a monthly basis.
