2021-06-30 Special Meeting Agenda

SPECIAL MEETING AGENDA   30 JUNE 2021




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SPECIAL MEETING AGENDA                                                                   30 JUNE 2021

  COUNCIL POLICY - MANAGEMENT OF RESTRICTED CASH

  Funds can only be applied in accordance with the purpose for which they were originally collected,
  as outlined in the Revenue Statement. Should any levy be discontinued, remaining funds will be
  allocated in accordance with the provisions of the Local Government Regulation 2012.
  Developer Contributions
  This category includes contributions received from developers in accordance with conditions applied
  to development applications, subject to constraints imposed by other legislation. Funds may be
  allocated to fund trunk infrastructure investment or other expenditure as part of the annual budget
  process, and any unspent funds received in a financial year will be constrained for future use.
  Unexpended Grants and Subsidies
  This category includes funds received from either State or Federal Governments by way of a specific
  advance or grant that is constrained or tied to a specific project or purpose, subject to contractual
  obligations or other legislation.
  Carbon Tax

  This category includes money collected historically through waste management charges to satisfy
  Council's future carbon tax liability for the Eumundi Road landfill site.
  Unexpended Loans
  Loans are raised each year for specific projects as outlined in Council's debt policy, adopted with
  the annual budget. Any unspent funds will be constrained for application against the original projects
  identified in the budget and expended in subsequent financial years.
 2.    Internally Restricted Cash
  Natural Disaster Rehabilitation

  Council makes provision in each budget to cater for natural disaster events, but the frequency and
  severity of events cannot be planned with any accuracy. Accordingly, cash will be restricted with a
  target balance of 5% of general rates revenue to cater for rehabilitation and repairs associated with
  storms, flooding, bush fires or other unforeseen events. The balance will be targeted to be
  maintained each year after consideration of surplus cash available from operations, and the financial
  impact of any actual disaster events.
  Asset Renewal

  Council will ensure that it maintains its assets and infrastructure on an ongoing basis at defined
  levels to ensure that services are able to be provided effectively to the community.   The asset
  sustainability ratio is one of the three (3) key measures of financial sustainability required under
  legislation. Council will target over the life of the ten (10) year financial plan to achieve a minimum
  asset sustainability ratio of 90% (including plant, fleet and office equipment renewals) consistent with
  the benchmark unless condition based renewal forecasts demonstrate a percentage lower than 90%
  in any given year.
  100% of the annual depreciation charge will be constrained and made available for investment in
  asset renewal. VVhere funds are not fully allocated within any financial year, and the actual asset
  sustainability ratio achieved is less than 100%, any remaining surplus will be constrained to provide
  for expenditure in a subsequent period where required.

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