2019-10-14 General Committee Agenda

GENERAL COMMITTEE MEETING AGENDA                                                 14 OCTOBER 2019


Category                                                        Comments
Investment Return                                                  Intent:   Ensure      appropriate
                                                                     return on investment yield for
                                                                     cash at bank.
                                                                   Target: 0.25% above current
                                                                     Bloomberg commonwealth 10
                                                                     year bond rate yield (September
                                                                     = 1.0%)
                                                                   Result: 1.8%
                                                                   Comment: Regardless of the
                                                                     steady decline in long term bond
                                                                     rates (due to international
                                                                     market     factors),    Council’s
                                                                     investment return still remains
                                                                     above target
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: 10.1%
                                                                   Comment: At the first high point
                                                                     in the cycle following issue of the
                                                                     July rates, and will stabilise from
                                                                     September to December as
                                                                     reminders are issued and
                                                                     arrears are collected.




Previous Council Consideration
Nil.

Finance
As above.

Risks & Opportunities
Council’s risk register includes a number of risks that could impact on ongoing financial
sustainability. Effective budget management and reporting is an important risk mitigation tool.

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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