2022-05-16 General Committee Meeting Agenda

GENERAL COMMITTEE MEETING AGENDA                                                       16 MAY 2022


   Measures of Financial Sustainability
   The following table incorporates a set of financial sustainability indicators to further assist in
   managing Council financial performance. There are no current emerging risks regarding
   performance noting the early stage of the financial year.

    Category                                                         Comments
    Operating Surplus Ratio                                           Intent: Identifies the extent
                                                                       to which revenues cover
                                                                       operational expenses, to
                                                                       ensure community equity is
                                                                       not degraded
                                                                      Target: 0 – 10%
                                                                      Result: 20.5%
                                                                      Comment: This ratio will
                                                                       slowly decline as
                                                                       expenditure on operations
                                                                       occurs through to the end of
                                                                       the financial year at 30 June
                                                                       2022.

    Cash Expense Cover                                                Intent: Indicates how long
                                                                       council can continue paying
                                                                       its day-to-day expenses
                                                                       from cash at bank without
                                                                       needing additional cash
                                                                       flows
                                                                      Target: > 3 months
                                                                      Result: 13.0 months
                                                                      Comment: Council is
                                                                       forecast to remain above
                                                                       target for the financial year.
                                                                       Business as usual
                                                                       expenditure through to 30
                                                                       June 2022 will continue to
                                                                       diminish Council’s cash
                                                                       holdings, albeit not below
                                                                       the target range of 3 – 6
                                                                       months.




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