2021-11-15 General Committee Meeting Agenda

GENERAL COMMITTEE MEETING AGENDA                                                                                                                                                             15 NOVEMBER 2021


    Category                                                                                                                                                                           Comments
    Operating Surplus Ratio                                                                                                                                                             Intent: Identifies the
                                         90% 82.6%                                                                                                                                       extent to which revenues
                                         80%
                                                                                                                                                                                         cover operational
                                         70%
                                                                                                                                                                                         expenses, to ensure
                                                           60.9%
                                         60%
                                                                                                                                                                                         community equity is not
                                                                      44.5%
                                                                                                                                                                                         degraded
                                         50%
                                         40%                                                                                                                                            Target: 0 – 10%
                                                                                30.5%
                                         30%                                                                                                                                            Result: 30.5%
                                         20%                                                                                                                                            Comment: The slowly
                                         10%                                                                                                                                             declining ratio reflects the
                                          0%                                                                                                                                             levying of 50% of rates in
                                         -10%                                                                                                                                            July and gradual
                                                    Jul        Aug        Sep       Oct        Nov        Dec        Jan        Feb        Mar        Apr        May        Jun          utilisation of these
                                                                                                                                                                                         monies as expenditure
                                                                     Actual                                 Budget                                      Target
                                                                                                                                                                                         occurs on operations
                                                                                                                                                                                         through the next rate run
                                                                                                                                                                                         in January 2022 and to
                                                                                                                                                                                         then end of the financial
                                                                                                                                                                                         year at 30 June 2022
    Cash Expense Cover                                                                                                                                                                  Intent: Indicates how
                                         14.0                                                                                                                                            long council can continue
                                                                                    12.5                                                              12.8       12.5
                                                                                               12.2                                                                         11.9         paying its day-to-day
     Months (Cash to Cover Operations)




                                                                                                          11.6
                                         12.0                                                                        10.9                                                                expenses from cash at
                                                    10.1                                                                        10.1       10.4
                                                                          9.7                                                                                                            bank without needing
                                         10.0                  9.1
                                                                                                                                                                                         additional cash flows
                                          8.0
                                                                                                                                                                                        Target: > 3 months
                                          6.0                                                                                                                                           Result: 11.9 months
                                          4.0                                                                                                                                           Comment: Council is
                                                                                                                                                                                         forecast to remain above
                                          2.0
                                                                                                                                                                                         target for the financial
                                           -               -          -         -          -          -          -          -          -          -          -          -          -     year. Business as usual
                                                    Nov        Dec        Jan       Feb        Mar        Apr        May        Jun        Jul        Aug        Sep        Oct          expenditure through to 30
                                                               Actual                                                                 Minimum (>0 months)                                June 2022 will continue
                                                               Target (3 months)                                                      Maximum (6 months)                                 to diminish Council’s cash
                                                                                                                                                                                         holdings, albeit not below
                                                                                                                                                                                         the target range of 3 – 6
                                                                                                                                                                                         months.
    Asset Sustainability Ratio                                                                                                                                                          Intent: Measures the
                                         140%                                                                                                                                            extent to which assets
                                                                                                                                                                        121.9%           are being replaced as
                                         120%
                                                                                                                                                                                         their condition degrades
                                         100%                                                                                                                                            to ensure service
                                                                                                                                                                             90%         potential is maintained
                                          80%
                                                                                                                                                                                        Target: 90% of
                                          60%                                                                                                                                            depreciation budget
                                                                                                                                                                                         spent on renewals
                                          40%
                                                                                                                                                                                         annually
                                                                                    17.2%
                                          20%
                                                               6.5% 10.1%                                                                                                               Result: In line with
                                                    0.9%                                                                                                                                 budget
                                               0%
                                                     Jul       Aug        Sep        Oct       Nov        Dec        Jan        Feb        Mar        Apr        May        Jun         Comment: It is expected
                                                                                                                                                                                         that the ratio will
                                                     Actual Renewal Spend (%)                                   Target (%)                    Renewals Budget (%)
                                                                                                                                                                                         progressively increase
                                                                                                                                                                                         each month as
                                                                                                                                                                                         expenditure on renewals
                                                                                                                                                                                         occurs as part of the
                                                                                                                                                                                         capital works program.


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