October to December 2025

Mayor's Message

Welcome to this Community Report for October to December 2025. Among the numerous highlights of this quarter was substantial progress in the areas of safety, wellbeing and long-term planning.

Road safety is a key focus for Council, so I’m very proud Mornington Peninsula Shire was named the winner of the 2025 ACRS Excellence in Road Safety Award. This prestigious Australasian award was for our innovative work on rural compact roundabouts - projects that deliver life-saving infrastructure at a fraction of the traditional cost.

This recognition highlights the importance of our increased investment in local roads - a huge priority for Council – and our ongoing improvements to safety across the road network. Building on this, we are developing a draft Towards Zero Road Safety Strategy, which will set out a long-term pathway to reducing road trauma on the Peninsula. Community input will be essential as we shape this vision for the future.

We continued making significant infrastructure improvements across our region this quarter, including the completion of Stage 2 of the Broadway Road and Drainage Upgrade in Capel Sound. This delivered a new roundabout and street lighting, as well as a pedestrian crossing at the Broadway/Truemans Road intersection - supporting safer travel and better local amenity for residents and visitors.

We were thrilled to welcome the community back to our newly revamped Pelican Park Recreation Centre, after we completed a major renewal of the facility. It was particularly exciting to officially open the new Wellness Centre, which will support an active, healthy lifestyles for all ages for many years to come.

The wellbeing of our community was likewise a priority when allocating $4.3 million in Community Investment Funding. Support was awarded to local organisations through grants, subsidies and sponsorships. Among these initiatives, the Biolink Support Grant round delivered $100,000 in on-ground environmental works, restoring habitat, protecting waterways and strengthening biodiversity connections across the Peninsula.

We are keenly aware that our community’s wellbeing is underpinned by a strong local economy. On the Peninsula, this foundational support is predominantly provided by small businesses. This quarter, I’m thrilled we could recognise the innovation and leadership of those local businesses that help drive our prosperity, with the holding of the 2025 Mornington Peninsula Business Excellence Awards.

I’d like to finish by mentioning our Long-Term Financial Plan, adopted by Council on 30 October. It was a huge piece of work, informed by more than 3,500 community voices. It sets a sustainable financial direction for the next decade and ensures we can continue delivering vital services and infrastructure while preparing responsibly for the future.

Thank you to everyone who contributes to making the Mornington Peninsula such a connected, caring and forward‑looking community. I am genuinely excited to be continuing this work together in the year ahead.

Cr Paul Pingiaro

Deputy Mayor, Mornington Peninsula Shire

Documents

Download: Community Report - October to December 2025(PDF, 3MB)   

Download: Quarterly Finance Report - October to December 2025(PDF, 659KB)

Our Engagement

Fast Facts – How You Engaged With Us

phone_in_talk 25,556 Calls taken, 55% resolved at first contact

location_away 3,301 customers attended one of our service centres

mail 1,933 correspondence received, 79% responded to within 10 business days

contact_support 29,106 service requests received (includes Snap Send Solve requests), 77% of enquiries resolved on time

3p 3,388 webchats

web_traffic 1.3M web pages viewed

Major Engagements – Have your say

There were 12 community engagement projects open for Q2:

Council Plan Update

Place – Strategic Direction

Celebrate, protect and enhance our unique blend of coast, hinterland, Green Wedge and connected villages and townships.

People – Strategic Direction

A safe, accessible, inclusive and engaged community that fosters our diverse culture, supporting health and wellbeing and a connected and compassionate society for all.

Prosperity – Strategic Direction

Enabling balanced growth through innovation, empowering community groups and volunteers, and fostering a resilient, thriving and vibrant local economy.

Performance – Strategic Direction

A transparent, accountable Council delivering measurable, community-centred services that are cost-effective, fit-for-purpose, future-proofed, and responsive to community needs.

Capital Works Projects

Somerville to Baxter: Peninsula Trail - Shared User Path

As part of the Peninsula Trail project, an exciting new way to get between Somerville and Baxter on foot or by bicycle is coming.

Dromana: Hillview Reserve - Footpath and Playground

A new footpath, carpark and playground is being designed for Dromana’s Hillview Community Reserve.

Hastings: Revitalisation of Pelican Park Recreation Centre

The Shire will be undertaking essential upgrade and renewal works at Pelican Park Recreation Centre.

Capel Sound: Broadway Road and Drainage Upgrade (Stage 2)

Construction of a Road Upgrade at Broadway between Truemans Road and Elizabeth Avenue in Capel Sound.

Mornington: Community Animal Shelter Refurbishment

The Community Animal Shelter and Pound upgrades focus on creating a community inclusive space for pet adoptions and ensuring the highest animal welfare standards are met for all animals.

Safety Beach: Safety Beach Access Upgrades

Safety Beach experiences high levels of visitation throughout the year, especially during peak summer season. It has been identified that there needs to be improved beach access for people with disabilities.

Quarterly Finance Report

The Mornington Peninsula Shire Council’s financial position continues to remain sound during our 2nd quarterly financial report, covering 1 October – 31 December 2025. Within the quarter, our long-term financial plan and annual report was approved and adopted by council.  In December, we have gone out to the community to seek feedback on our Rates Strategy Review. The review looks at how rates are calculated, ensuring the approach reflects community needs, aligns with long-term financial planning and is compliant with State requirements. Community feedback will play an important role in shaping future planning and decision making. We appreciate the feedback received to date.

Key highlights

• Operating Income: $268M year-to-date, we are aligned with the Approved Forecast and 4% higher than the same period last year. Rates and charges contributed 88.6% of total income. 
• Net Operating Income: Currently at $129.4M, aligned with approved forecast.
• Capital Works Spend: At $28M year-to-date, this is aligned with Approved Forecast. To date, we spent 46.9% of capital works against our FY26 planned expenditure budget of $60M.
• Loan repayments: $1.3M, reducing the principal balance to $29M as scheduled.
• Cash and Financial Assets: Our cash and financial assets as of 31 December 2025 stand at $107.3M. This amount is driven by prior year capital works carry forwards and collection of the 1st & 2nd rate instalment. There is $40.6M invested in term deposits, $55.9M held in at-call accounts, and $10.8M held in Trust. The Shire reviews its treasury position monthly to optimize interest on cash assets.

In summary, we are tracking on-par to Approved Forecast. We are committed to sustaining our sound financial performance, ensuring solid reserves and cash flows. Our focus continues to be on delivering optimal financial outcomes for our community. Thank you for your continued support and trust in our endeavours.

Finance Highlights

Sound Financial Performance compared to Approved Forecast

check_circle Our Net Operating position of $129.4M is $1.3M over the approved forecast $128.1M

trending_down $1.3M in loan repayments year to date has reduced total borrowings to $29M

avg_pace Year to date spend on capital works is $28M, representing 46.9% of FY26 Forecasted Expenditure

payment_arrow_down Spend in Materials and Services – Contracts of $58.7M is above forecast by $1.5M

The overall Financial Performance has continued to remain stable. The key indicators contributing to this assessment include:

• Net Operating position aligns with budget.
• Materials and Services - Contracts: Expenditure exceeded the forecast by 3%, indicating higher operational costs.
• Spend on Capital Works Projects is in line with forecast budget.
• Loan repayments reducing loan balance to $29M.
• Liquidity Ratio 283% demonstrates a strong capacity to meet short-term obligations.

Project Performance

handyman 196 funded capital works projects and programs

strategy 41 funded operating projects

clock_loader_20 46.9% Capital works expenditure against adopted budget

clock_loader_10 7.8% Operating project expenditure against adopted budget

Key activities impacting the financial performance include:

• Capital Works Projects – FY26 Planned expenditure on Capital Works Projects is $60M – year to date spend represents 46.9%.
• Total capital works program (including carry forwards) equates to $107.1M.
• Operating Projects - Year to date net spend currently at $0.5M compared to $0.9M forecast. Full year forecast equates to $6.4M.
• Grants, Subsidies and Sponsorships – Full year forecast is $4.1M with $3.1M paid year to date, reflecting strong grant activity.