Operating and capital grants

Operating grants

Operating grants from the Victorian and Australian Government help us deliver services to ratepayers. Operating grants can be either:

• recurrent, meaning they are received each year
• non-recurrent, meaning they’re once-off or short term.

For 2025–26, we’ve budgeted a decrease of 10.40% or $1.31 million, compared to the 2024–25 forecast.

There’s a $457,000 decrease in recurrent operating grants. This is because of a reduction in:

• Family and Children related grant funding associated with Maternal and Child Health services of $219,000.
• Building Support funding of $141,000 for cladding enforcement.
• funding of $93,000 for Youth Services.

There’s a $850,000 decrease of non-recurrent operating grants. This is because of a reduction in:

• Family and Children related grant funding associated with kindergartens throughout the municipality of $311,000.
• digitalisation related grant funding to digitalise planning files $194,000.
• funding for streetscapes and transport $123,000.
• funding for Volunteer Services $116,000.

There are less grant funding opportunities available in 2025-26.

Capital grants

Capital grants from the Victorian and Australian Government and community sources help us fund the Capital Works Program. 
The amount of capital grants we receive each year can change a lot depending on the type of works in the Capital Works Program.

Capital grants can be either:

• recurrent, meaning they are received each year
• non-recurrent, meaning they are once off or short term. 

For 2025–26, we’ve budgeted $1.51 million for capital grants funding. This is a decrease in capital grant funding of $4.10 million compared to 2024–25.

 The most significant grants include:

• $950,000 from the Australian Government for the Roads to Recovery Program covering roads pavement renewal works.
• $557,000 from the Department of Education and Training for renewal works at Deepdene Kindergarten.