Meeting papers

Net financial liabilities ratio – This is an indicator of the extent to which the net financial liabilities of
Council can be serviced by its operating revenues. A ratio greater than zero (positive) indicates that
total liabilities exceed current assets, whereas a ratio of less than zero (negative) indicates that current
assets exceed total liabilities and therefore Council would appear to have the capacity to increase
loan borrowings.

Leverage Ratio – This is an indicator of Council’s ability to repay its existing debt. A higher leverage
ratio indicates an increasingly limited capacity to support additional borrowings due to already high
debt levels and/or decreasing operational performance, while a lower ratio indicates the converse.


RELEVANT POLICIES AND LEGISLATION
•         Local Government Act 2009
•         Local Government Regulation 2012
•         Statutory Bodies Financial Arrangements Act 1982
•         Statutory Bodies Financial Arrangements Regulation 2007
•         Noosa Council Financial Sustainability Policy


HUMAN RIGHTS COMPATIBILITY STATEMENT

In developing this policy, the subject matter has been considered in accordance with the requirements
of the Queensland Human Rights Act 2019. It is considered that the subject matter does not conflict
with any human rights and supports a human rights approach to decision making by Council.

This policy should be read in conjunction with the Human Rights Act 2019 (QLD) and Council’s
Human Rights Policy.

    Version control:
       Version         Reason/ Trigger          Change (Y/N)    Endorsed/ Reviewed by         Date

       1.0             Create new                               Manager Financial Services    23/12/2013

       2.0             Annual Review                            Manager Financial Services    02/06/2014

       3.0             Annual Review                  Y         Manager Financial Services    02/06/2015

       4.0             Annual Review                  N         Manager Financial Services    20/05/2016

       5.0             Annual Review                  Y         Director Corporate Services   19/05/2017

       6.0             Annual Review                  Y         Council                       29/06/2018

       7.0             Annual Review                  Y         Council                       06/07/2018

       8.0             Annual Review                  N         Council                       28/06/2019

       9.0             Annual Review                  Y         Council                       10/07/2020

       10.0            Refinancing Review             Y         Council                       17/02/2021

       11.0            Annual Review                  Y         Council                       30/06/2021

       12.0            Budget Review                  Y         Council                       17/01/2022

       13.0            Annual Review                  Y         Council                       28/06/2022

       14.0            Annual Review                  Y         Council                       30/06/2023

       15.0            Budget Review                  Y         Council                       17/08/2023

       16.0            Annual Review                  Y         Council                       28/06/2024

       17.0            Annual Review                  Y         Council                       30/06/2025




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