Aretiring councillor has defended the use of public monies to subsidise the operations of the Millicent cattle saleyards and the Nangwarry swimming pool.
Cr Kevin McGrath equated the subsidies when he addressed the October monthly meeting of Wattle Range Council in Millicent.
After hearing from council staff that every head of cattle sold in 2021/22 required a ratepayer subsidy of $29, Cr McGrath said council had to underwrite every swim at Nangwarry by $35.
“Council has to have these money-losing enterprises,” Cr McGrath said.
Earlier in the meeting, council chief executive Ben Gower said the saleyards operating deficit in the 2021/22 financial year was $210,000.
Mr Gower said this sum did not include the major maintenance and upgrading costs currently under way.
Council has committed to spend over $1m in this financial year on this work to comply with the regulatory requirements of such bodies as Safework SA.
The October monthly meeting agenda also printed staff responses to various questions-on-notice regarding the financial performance of the Millicent saleyards submitted by Cr Dale Price.
“As of September 30, the 12-month rolling average was 6258 cattle sold per annum – which is 26% below the 8500-threshold set by council,” the staff report stated.
“This reflects a 28% reduction in throughput over the last year on the back of a 13% decline the year prior.
“The Millicent Saleyards have not been financially self-sustaining for a decade, predominantly due to declining numbers of cattle sold.
“Increasing annual operating deficits have been funded through general rate revenue, which is the case for most services provided by the council.
“Given the continuing decline in the number of cattle sold, the Millicent Saleyards are becoming less viable with time and are likely to require a greater level of ratepayer augmentation in the future.”
Cr Price was not present at this meeting and submitted an apology.