Budget Overspend

In reply to Mr WHETSTONE (Chaffey) (26 June 2024). (Estimates Committee B)

The Hon. J.K. SZAKACS (Cheltenham—Minister for Trade and Investment, Minister for Local Government, Minister for Veterans Affairs): I have been advised of the following:

The 2022-23 budget papers show operating expenses for 2023-24 of $169 million, not $174 million as referred to by the member.

The 2023-24 budget papers state $174 million as the budget estimate for 2024-25, not for 2023-24.

In the 2024-25 budget, operating expenses in 2024-25 are projected to be $193 million, compared with the estimate at the time of the 2023-24 budget (set in June 2023) of $174 million.

The $19 million increase is mainly comprised of:

$4.751 million employee benefit costs increase mainly due to:

$2.4 million in planning fees amendment expenses.

$871,000 for the creation of the Housing, Infrastructure, Planning and Development Unit.

$271,000 for the Office for Design and Architecture South Australia contractors and Urban Design Review Panel.

$897,000 for housing policy and strategic resourcing.

$1.082 million depreciation increase mainly due to valuation of 83 Pirie Street and ePlanning system.

$1.5 million increase in grants related to the Investment Acceleration Program and Global Expansion Program.

$11.5 million increase in:

$7.058 million—supplies and services Real Property Act–adjustments to Land Services SA contract.

$1.833 million—grants related to Osaka world expo, China re-engagement and hydrogen.

$1.030 million—Brand SA extension.

$1.775 million—planning fees amendment.

Offset by other minor adjustments including superannuation savings of $251,000.