03 Financial Performance Report - Sep 2021

GENERAL COMMITTEE MEETING AGENDA                                                       18 OCTOBER 2021


Council’s performance against key measures of financial sustainability have been calculated as at
September 2021. These indicators enable the reader to assess Council’s success in managing its
budget, cash and debt as well as undertaking sustainable asset management. The table below
contains a snapshot of a number of key measures, with full detail included in the report.

 YTD Measures of Financial Sustainability
                                     Target       Current      Actual YTD
                                                  Budget
 Operating Surplus Ratio            0-10%         -0.6%          44.5%          On Track
 Net Financial Liabilities Ratio    <60%          -8.0%         -101.8%         On Track
 Cash Cover Ratio                  3 months    7.3 months     12.5 months       On Track
 Asset Sustainability Ratio         > 90%        121.9%          10.1%          On Track


RECOMMENDATION
That Council note the report by the Acting Manager Financial Services to the General Committee
Meeting dated 18 October 2021 outlining September 2021 year to date financial performance against
budget, including changes to the financial performance report with the inclusion of key financial
sustainability indicators.


REPORT
Operating Revenue (YTD Benchmark 25.0%)
Council has received 43% ($46.1 million) of its operating revenue budget ($107.2 million).
Commentary on each revenue category is provided below.

 Category              Summary                          Comments
 Rates and Levies      $37.4 million (50%) of the       •   Waste utility charges $324k above YTD budget
                       annual budget of $74.6 million       (52% or $6.7 million of $12.9 million budget
                       has been earned                      earned)
                                                        •   General rate (net of discount) $139k below YTD
                                                            budget (50% or $28.5 million of $57.2 million
                                                            budget earned)
 Fees and              $3.0 million (41%) of the $7.2   •   Development assessment fees $405k above
 Charges               million annual budget has            YTD budget (44% or $822k of $1.8 million
                       been earned                          budget earned)
                                                        •   Plumbing application fees $169k above YTD
                                                            budget (44% or $452k of $1.0 million budget
                                                            earned)
                                                        •   Building application fees $70k above YTD
                                                            budget (32% or $252k of $791k budget earned)
 Sale of Goods         $3.0 million (29%) of the        •   Waste management sale of recoverable
 and Services          $10.2 million budget has been        materials $276k above YTD budget (30% or
                       received                             $1.4 million of $4.6 million budget earned).
                                                        •   Holiday Park sales $167k above YTD budget
                                                            (32% or $908k of $2.8 million budget earned) –
                                                            offset by higher operating costs
                                                        •   Community Facilities (NAC, NLC and The J)
                                                            $136k above YTD budget (24% or $620k of $2.6
                                                            million budget earned) – offset by higher
                                                            operating costs