TRC spends record $231 million with local suppliers in past financial year
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Toowoomba Region Mayor Cr Geoff McDonald this week praised the organisation’s efforts for delivering record spending of $231.14 million with local businesses and suppliers in the 2023-2024 financial year.
Mayor McDonald said monthly spending of $28.64 million with local businesses in June 2024 helped Council achieve the yearly record.
“This is an extraordinary effort by Council to back our commitment to support the Toowoomba Region business community and suppliers,” Mayor McDonald said.
“The record figure comes in at 59% of the organisation’s spending with local suppliers for the financial year, which is just shy of our 60% target.
“My colleagues and I are pleased to see that Council is backing the intent of our Procurement policy to keep as much of our spending as possible within the Toowoomba Region.
“These figures are proof that the greatest impact Council can make in supporting our business sector, including many small businesses, is spending directly with them to complete our projects.
“Council is mindful that our spending is one of the most practical ways we can support our business community and their workforce.
“There is a quantified multiplier effect from this spending as it circulates through our regional economy.
“Council’s current figures contrast sharply with our local spend of $56 million (24% of Council’s external expenditure) in 2012 for an entire year, so it’s clear we’re on the right path with the changes we’ve implemented.
“Council changed the weighting in tender procurement arrangements to give local businesses every opportunity to work with us.
“We’ve also worked hard to ensure that when contractors are engaged, they use workers from our Region and source materials from local suppliers where possible.
“This is the process that has been successful for local suppliers on projects like the current flood recovery program.
“This process will also be employed for the construction work on the Cressbrook Dam Safety Improvement Project later in the year.
“In addition to our focus on local spending, Council’s 14-day payment terms for local suppliers (from the date of invoice) further highlights the priority we are placing on keeping jobs and dollars circulating in the Toowoomba economy.”
The record result was detailed at Council’s July 2024 Ordinary Meeting.