Council adopted a late budget during August 9 ordinary council meeting, after receiving special dispensation from the natural flooding disaster which hit the North West in February.

McKinlay Shire Council mayor Belinda Murphy said council considered many factors when finalising the budget.

"We kept in consideration the current flooding disaster and still being drought declared," Cr Murphy said.

"We had a good look at where any rates in arrears were and felt that for good financial management a rate rise of 2pc was appropriate; which is a little less then CPI (Consumer Price Index).

"We carefully considered rate rises for the whole community, however we still get to keep a watchful eye on that for mid-year review. "

Cr Murphy said the 2019/2020 operating budget saw a revenue of $34 million.

"That is quite high for a council our size but it is reflective of the natural disaster arrangement for road repairs and other projects," she said.

"We have also maintained all our operational services. We are not doing anything new in that area but we are maintaining it.

"I think our community is very well serviced, not just through roads, rubbish and normal things, but through community health, sports and recreation, childcare centre."

Cr Murphy said works programs saw an expenditure of $14.19 million.

"There are a lot of carry over projects in there. Due to the flooding disaster we pretty much lost the six months of the second half of the financial year, so we have a lot of carry over projects like the Artesian spa baths and water upgrades at Kynuna," she said.

"We don't have a lot of new capital works but we are working with the department of agriculture and biosecurity to do work at the dip and yards.

"Some of the new projects include a funding application to finish paving in Burke Street, essential works on the water tower renewal and looking at a new bore for Julia Creek."

In regards to roads, Cr Murphy said the focus would be on the NDFA (Natural Disaster Financial Assistance) works road reconstruction across the shire.

"However in new works, we have received funding to seal Combo Waterhole Road which is an initiative we've had in front of government now for a number of years," she said.

"We are very excited and that will be a great tourism boost for the community of Kynuna."

Cr Murphy said the Council reserve had increased by $100,000 to $1.5 billion spread across IT, roads and reseals, culverts and bridges, water and sewerage.

"We have also created a new reserve this year and we have put $250,000 aside to start building up money for a potential new children care services hub, which council received mixed funding last financial year to inspect the current facility. We have the draft business case coming to our August meeting."

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