2014-06-26 Budget Meeting Attachment C

Noosa Shire Council
2014/15 Budget Statements
For the period ending 30 June
Annual Result                                                Budget                                                 Forecast
                                                              2015         2016      2017       2018      2019      2020       2021      2022      2023      2024
Financial Sustainability Ratios                               $,000        $,000     $,000      $,000     $,000     $,000      $,000     $,000     $,000     $,000

Operating Surplus Ratio                                            0.1%       1.8%      2.7%       3.6%      4.5%      5.3%       6.1%      6.9%      7.8%        8.7%
Net Financial Liabilities Ratio                                    1.4%      -1.0%      -4.4%    -10.1%    -15.7%    -22.1%     -29.6%    -36.9%    -45.0%       -53.1%
Asset Sustainability Ratio                                        100.0%    96.9%      102.9%    99.1%    104.2%      99.2%     99.2%    102.0%    102.7%    105.4%



Operating Surplus Ratio
Measures the extent to which revenues raised cover operational expenses
only or are available for capital funding purposes or other purposes.
Calculation: Net result divided by total operating revenue, expressed as a %.
Target: between 0% and 10%


Net Financial Liabilities Ratio
Measures the extent to which the net financial liabilities of Council can
be repaid from operating revenues.
Calculation: (total liabilities less current assets) divided by
total operating revenue, expressed as a %.
Target: not greater than 60%.


Asset Sustainability Ratio
This ratio reflects the extent to which the infrastructure assets managed by Council
are being replaced as they reach the end of their useful lives.
Calculation: capital expenditure on the replacement of infrastructure assets
(renewals) divided by depreciation expense, expressed as a %.
Target: greater than 90%.




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