2022-04-19 General Committee Meeting Agenda

GENERAL COMMITTEE MEETING AGENDA                                                     19 APRIL 2022


    Category                                                    Comments
    Rates in Arrears                                            • Intent: Ensuring that the amount of
                                                                  unpaid rates remains sustainable
                                                                  and does not negatively impact cash
                                                                  flows
                                                                • Target: 5% industry benchmark
                                                                • Result: 9.9%
                                                                • Comment: Rates arrears continue to
                                                                  decline from the high point in the
                                                                  cycle with payments coming due in
                                                                  February. Reminder notices will be
                                                                  issued in April and arrears will
                                                                  continue to stabilise through to June
                                                                  as they are collected, and payment
                                                                  arrangements implemented.


Previous Council Consideration
Nil.

Finance
As above.
Risks & Opportunities
Council’s risk register identifies a number of risks that could impact on its ongoing financial
sustainability. In order to manage and mitigate these risks Council uses various tools which include
monthly ongoing financial reporting to identify and address emerging issues, conservative
budgeting, compliance with the Financial Sustainability Policy, regular budget reviews, effective
liquidity management to ensure sufficient fiscal flexibility, as well as adhering to the Reserves and
Restricted Cash policy which requires that Council maintains both a disaster management reserve
and a minimum 3 months cash cover to fund emergent matters.
Some examples of potential risks that may impact on Council’s operational performance, capital
program delivery, cashflow and cash reserves include:
•       Substantial damage to or failure of Council infrastructure due to natural disaster or other
        emergent issue that may require significant unplanned investment;
•       Closure of Council facilities due to ongoing Covid 19 restrictions;
•       A prolonged IT system failure affecting Council’s ability to deliver services or issue rates
        notices;
•       Economic conditions affecting ratepayers’ ability to pay rates;
•       Market driven increases in construction and operational costs significantly above estimates;
•       Labour and material shortages and delays.

Given the recent flooding event, assessments are currently underway to assess what impact this
may have on Council’s financial position and what disaster funding opportunities may be available
to offset this expenditure.

Consultation
External Consultation - Community & Stakeholder
Nil.

Internal Consultation
All areas of Council are consulted as part of the regular monitoring of budget performance.

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