Meeting papers

ATTACHMENT 9 - MANAGEMENT OF RESTRICTED CASH


                                                                                Council Policy
                                                                    MANAGEMENT OF
                                                                   RESTRICTED CASH
 Corporate Plan Reference:         Theme No. 5. - Excellence
                                   Objective 5.2 - Continue to deliver a financially sustainable Council
                                   that has the resources now and into the future to achieve its
                                   strategic objectives. This will be supported through the introduction
                                   of enhanced sustainability reporting and performance indicators, as
                                   well as ESG (environment social and governance) accounting
                                   practices as guided by statutory requirements
 Endorsed by Council:              30 June 2025

 Policy Author:                    Director Corporate Services

POLICY BACKGROUND

The purpose of this policy is to establish a framework for the ongoing management of cash reserves,
including the establishment of targets and thresholds where appropriate.

COUNCIL POLICY

Restricted cash reserves are established to set aside funds for Council to meet regulatory
requirements, allocate against specific future projects and activities, and to ensure sufficient working
capital to meet current and long term financial obligations.

All reserves are fully cash backed, and are established for specific purposes. Restricted cash
reserves fall into the categories of:

1.    Externally Restricted Cash
      •    Unexpended levy funds
      •    Contributions received from developers for specific purposes constrained under
           legislation
      •    Unexpended grants and subsidies received from State or Federal Government agencies
      •    Unexpended loan funds.

2.    Internally Restricted Cash
      •     Natural disaster rehabilitation
      •     Asset renewal
      •     Waste management
      •     Holiday parks and other commercial activity
      •     Plant replacement;
      •     Liquidity management (cash expense cover)
      •     Other specific purpose.

To ensure oversight on restricted cash balances, a register of restricted cash will be maintained by
Council and disclosed in the financial statements on an annual basis.




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