This is a significant increase from their December quarter forecast of a $242,000 operating deficit, prompting budgetary changes for the upcoming year. 

Additional expenses including $363,700 for the revised design of Dunolly and Bridgman South roads repairs and $300,000 in operational expenses for the Gym and Swim have hit their bottom line. 

Council’s income has been affected by the economic downturn with less people buying residential blocks in the Bridgman Ridge Estate.

It was originally budgeted for 18 lots to be sold in 2014/15, however the revised number is now five. 

It was estimated council would profit $601,000 from those sales, which has had to be revised for the budget. 

Some of the changes to budget include postponing the $150,000 upgrade of the toilet blocks at the Jerrys Plains – earmarked for this year – which will now be moved to next financial year.

Smaller savings have been found across the board.

Other projects deferred include bush regeneration $12,000, Glass Road $10,000 and Howe Street corner $20,000. 

A council spokesperson said the budgetary changes in the quarterly budget review have a negative impact on council’s finances for the 2014/15 financial year with costs increasing and revenue decreasing. 

“However, these changes will not have ongoing impacts on council’s budget,” the spokesperson said.