2015-06-12 Special Meeting

SPECIAL MEETING AGENDA                                                                                12 JUNE 2015


3                         BUDGET POLICIES – 2015/16
Docum ent info rm ation




Author                               Manager Financial Services, Wayne Jensen
                                     Corporate Services Department

Index                                ECM/ Subject/ 7.09 – 2015-2016 Budget

Attachments                          (all attachments provided in tabs 6 – 10 of Councillor budget packs)
                                     1.     Financial Sustainability Policy
                                     2.     Revenue Policy
                                     3.     Revenue Statement
                                     4.     Investment of Council Funds Policy
                                     5.     Debt Management Policy



EXECUTIVE SUMMARY
The Local Government Act 2009 requires Council to adopt a number of policies related to the annual
budget. The Financial Sustainability policy is a new policy proposed for ongoing inclusion in the
budget policy suite. The Revenue and Debt policies must be reviewed annually; and the Investment
of Council Funds policy should be reviewed periodically to ensure it continues to meet Council
requirements.

RECOMMENDATION
That Council note the report by the Manager Financial Services to the Special Meeting dated 12
June 2015 detailing the proposed 2015/16 budget policies and request staff to make any required
amendments to the policies and present them for adoption at the Special Meeting on 29 June 2015.



REPORT
The financial policies required under sections 191 and 192 of the Local Government Regulation 2012
provide a framework under which the respective activities are undertaken throughout the year. These
policies include the Revenue Policy, Debt Management Policy and Investment Policy. The Financial
Sustainability policy is not required under legislation although is considered to warrant Council
adoption as a sign of good governance.

1.                        Financial Sustainability Policy

The Financial Sustainability Policy outlines the financial framework that Council will work within to
ensure that community capital is protected and that Council will meet its financial sustainability
targets into the future.

2.                        Revenue Policy and Statement

Council is required to prepare and adopt a Revenue Policy and Statement in accordance with the
regulation. The purpose of the Policy and Statement is to set out the principles used by Council for
the levying of rates and charges; granting concessions for rates and charges; the recovery of
overdue rates and charges; and other cost recovery methods (i.e. fees and charges). In addition the
Revenue Statement provides for the amounts of each rate and charge to be levied for the upcoming
financial year.

The Revenue Policy and Statement generally follow the same format as was adopted for the 2014/15
year.

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