Meeting papers

1.    Externally Restricted Cash

Unexpended Levy Funds

This category includes money received for special and separate rates and charges, as outlined in
the Revenue Statement, and for which a levy Overall Plan provides for funds to be spent over a
number of financial periods.
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, or where it specifically relates to expenditure or a commitment in a
future financial year.

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 nine (9) 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 80% (excluding plant, fleet and office equipment renewals) consistent with
the benchmark unless condition based renewal forecasts demonstrate a percentage lower than 80%
in any given year.

100% of the annual depreciation charge will be constrained and made available for investment in
asset renewal. Where 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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