Published on Friday, 24 April 2026 at 11:35:40 AM
23 April 2026
For immediate release
Statement from the Chief Executive Officer
Shire of Derby/West Kimberley acknowledges the findings of the Auditor General’s Local Government 2025 – Financial Audit Results report and welcomes the transparency it provides across the sector.
The report identifies the Shire as one of four local governments with a current ratio below one. While this indicates financial pressure, it does not mean the Shire is unable to continue operating. There is no issue of going concern noted in the 2024/25 audit results.
The Shire remains financially viable and continues to meet its obligations while delivering essential services to a vast and remote region.
Like many regional and remote local governments, the Shire faces rising service delivery, infrastructure and compliance costs, with limited scope for revenue growth. Severe flooding associated with Ex‑Tropical Cyclone Ellie, which caused extensive damage to roads, community assets and critical infrastructure also had a strong financial impact to Shire. Recovery works placed significant strain on finances, particularly where reimbursement from funding bodies was delayed, although much of this expenditure has now been recouped. The Shire continues to work closely with State agencies to support recovery efforts.
Importantly, the Shire has not stood still in the face of the pressures.
The Shire has adopted a new Long‑Term Financial Plan to strengthen financial sustainability, improve cash management and ensure responsible oversight of debt and assets. A new Council Plan is in development under the Integrated Planning and Reporting Framework, aligning community priorities with financial capacity, workforce planning and asset management.
Recent budget decisions reflect this disciplined approach, with the 2025/26 Annual Budget focused on maintaining core services, improving governance and strengthening financial resilience while limiting new commitments.
While financial pressures exist, they are being actively managed. Shire of Derby/West Kimberley remains focused on sustainability, recovery and continuing to serve its community, as it has done since 1886 and will continue into the future.
ENDS
For media information:
Tamara Clarkson
Chief Executive Officer
Shire of Derby/West Kimberley
PO Box 94 Derby WA 6728
08 9191 0999 I ceo@sdwk.wa.gov.au
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