Chief financial officer Thomas Colle presented the annual report, which showed the council had an $8.1 million surplus, $9.7m more than last year when the council reported a $1.6m deficit.
Its net debt grew by $10.4m from $189.4m to $199.8m.
The council had budgeted for a debt increase of $30.1m, meaning its end of year position was "$20m better than planned".
Rotorua Lakes Council chief financial officer Thomas Colle. Photo / File
Colle said 2019 was "challenging" for council operations.
In particular, electricity was $1.6m more expensive than the council expected, council assets depreciated by $7m, an additional $233,000 was needed for inner-city security, parking revenue was $1m less than budgeted and maintenance costs to repair infrastructure were above budget.
Councillor Tania Tapsell said, "one of the most significant differences of this annual plan compared to any others is the significant level of partnership funding that we have managed to lock in to help get our major projects achieved".
This includes $52.7m in Provincial Growth Fund grants.
She thanked the mayor for her leadership and the staff.
Rotorua mayor Steve Chadwick. Photo / File
Councillor Sandra Kai Fong questioned Colle's presentation stating the council was $20m better off in terms of cash and debt.
"We actually planned to do more of the infrastructure work but it didn't get done. So probably we are actually worse off rather than better off?"
Colle said: "While it's pleasing that we didn't borrow as much it's probably recognition as well that part of the reason for that is some of those projects that were going to borrow were deferred.
The new faces of the Rotorua Lakes Council (from left) Fisher Wang, Mercia Yates, Dr Reynold Macpherson and Sandra Kai Fong. Photo / File
"But actually, the really pleasing thing is the increase in cash on hand ... even in light of the fact that a number of borrowings didn't take place because the projects were shifted into the next financial year."
Kai Fong also asked what was being done about rising electricity costs.
Colle said the council was meeting with an energy advisor fortnightly and had hoped to enter a fixed price agreement by this summer.
"We were targeting a certain dollar amount for that. Unfortunately, we haven't got anywhere close to that," he said.
"We are still purchasing at the spot rate and monitoring ... until that pricing gets to a level that we find acceptable."
Mayor Steve Chadwick said it was "an outstanding year-end position given the challenges".
