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Why the City of Nedlands’ 2025/26 Budget Went Back for Changes

Nedlands’ 2025/26 budget returned for changes after its adoption, including omitted underground-power service charges and revised rates instalment dates.
From TheFinanceBase Team3 min to read
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The City of Nedlands’ 2025/26 budget was adopted by commissioners on 27 August 2025, then returned for changes on 3 September. The City said it needed to add omitted service charges for two underground-power projects, correct a typographical error and recalibrate rates instalment dates. The City’s CEO said it planned to seek State Administrative Tribunal approval for the amendments; the available reports do not confirm the application’s outcome.

What happened after the budget was adopted?

Commissioners adopted the 2025/26 annual budget at a meeting on 27 August 2025. At a further meeting on 3 September, they considered amendments to it, according to PerthNow’s report of 11 September 2025.

City CEO Keri Shannon described the main correction as adding underground-power service charges that were missing from the adopted budget. She also cited a typographical error and a recalibration of rates instalment dates. Shannon said rates notices had not yet been issued and linked the timing adjustment to an existing printer booking.

As PerthNow reported it, Shannon said: “The change is mainly to insert service charges in relation to underground power, which were not included in the adopted budget last week on Wednesday, and there was a typographical error . . . that was picked up by the administration as well as a recalibration of dates,”

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Shannon said the City intended to make an urgent application to the State Administrative Tribunal for approval of the amendments. The report described a planned application, not a decision by the Tribunal, and does not establish whether or when approval followed. (PerthNow, 11 September 2025)

Which underground-power charges were involved?

The missing service charges related to the Nedlands North and Nedlands West underground-power projects. PerthNow reported the following anticipated project totals and property counts in September 2025:

Project Anticipated total project cost Properties covered
Nedlands North About $7.7 million (PerthNow, September 2025) 272 (PerthNow, September 2025)
Nedlands West About $16.2 million (PerthNow, September 2025) 668 (PerthNow, September 2025)

Those figures describe anticipated project costs as reported at the time; they are not current estimates or the amount charged to each property. PerthNow said Western Power and the City were jointly funding the work. Under the City policy described in the report, 50% of the City’s contribution was recoverable from affected property owners. That is a share of the City’s contribution, not half of each project’s total cost.

What did the adopted budget show?

The City’s attachment to the minutes of the 27 August special meeting contains the 2025/26 budget statement of financial activity. Its figures help distinguish the budget’s overall estimates from the particular service-charge correction:

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2025/26 budget line Budget amount
General rates $26,818,587
Rates excluding general rates $3,002,601
Service charges in the final budget statement $3,855,577
Operating revenue $45,185,713
Operating expenditure $57,623,238
Non-cash adjustments $10,490,529
“Surplus/(deficit) remaining after the imposition of general rates” $1,382,211

These are budget figures, not actual revenue, spending or final project costs. The attachment’s overall service-charge line does not by itself identify how the omitted underground-power charges were handled in the later amendment. (City of Nedlands, 27 August 2025 special-meeting minutes and budget attachment)

Why were commissioners responsible for the budget?

The Western Australian Government announced in July 2025 that three commissioners would replace the City’s council and fulfil its responsibilities until a special election. The announcement listed adoption of the 2025/26 budget and addressing matters raised by the Auditor General’s disclaimer of opinion on the City’s 2022/23 financial audit among the commissioners’ priorities. That governance context explains who was responsible for the budget; it does not show that audit matters caused the missing charges or the typographical error. (Government of Western Australia, 17 July 2025)

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How does the budget correction relate to the City’s audit history?

The Office of the Auditor General’s financial audit results report said the City’s 2024 audit report, issued during 2025, had one qualification concerning comparability because the prior-year numbers could not be audited. Its separate report on local-government audit status included Nedlands among entities with multi-year audit delays. These are audit-context facts, not explanations for the specific budget amendments.

The OAG says local governments must have their annual reports accepted by 31 December after the financial year. It also explains that incomplete or poor-quality financial reports can delay audit work and create rework. In the OAG’s 2026 report on 2025 audits, 138 of 147 local-government entities had completed audits in time for annual-report acceptance by the statutory deadline; that is a sector-wide figure, not a Nedlands result. (OAG, Local Government 2025 – Financial Audit Results; OAG, Status of Local Government Audits 2025)

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