2021-06-14 General Committee Meeting Agenda

GENERAL COMMITTEE MEETING AGENDA                                                                                                                                                                           14 JUNE 2021


Category                                                                                                                                                                             Comments
Cash Expense Cover                                                                                                                                                                      Intent: Indicates how long
                                     14.0                                                                                                                                                Council can continue paying its
                                                                                                                                         12.5       12.2                                 day-to-day expenses from cash
 Months (Cash to Cover Operations)




                                                                         11.5                                                                                  11.6
                                     12.0                                           11.1       10.7                                                                       10.9           at    bank    without   needing
                                                                                                          10.1                 9.7
                                     10.0                                                                            9.1                                                                 additional cash flows.
                                                   8.6         8.7
                                                                                                                                                                                        Target: > 3 months
                                      8.0
                                                                                                                                                                                        Result: 10.9 months
                                      6.0
                                                                                                                                                                                        Comment: Whilst current cash
                                      4.0                                                                                                                                                cover remains above target,
                                                                                                                                                                                         business as usual expenditure
                                      2.0
                                                                                                                                                                                         and any other unforeseen
                                          -               -          -          -          -          -          -         -         -          -          -          -          -       financial impacts through to 30
                                                   Jun        Jul        Aug        Sep        Oct        Nov        Dec       Jan       Feb        Mar        Apr        May            June 2021 will reduce Council’s
                                                               Actual                                                                Minimum (>0 months)                                 cash holdings.
                                                               Target (3 months)                                                     Maximum (6 months)

Asset Sustainability Ratio                                                                                                                                                              Intent: Measures the extent to
                                     120%                                                                                                                                                which assets are being replaced
                                                                                                                                                                      100.1%
                                                                                                                                                                                         as their condition degrades to
                                     100%                                                                                                                                                ensure service potential is
                                                                                                                                                                           90%           maintained.
                                      80%
                                                                                                                             62%
                                                                                                                                                    67% 70%                             Target: 90% of depreciation
                                                                                                                     59% 60%                                                             budget spent on renewals
                                      60%                                                                 55%
                                                                                               45%                                                                                       annually
                                      40%                                29%
                                                                                    34%
                                                                                                                                                                                        Result: In line with budget
                                                               13%
                                                                                                                                                                                        Comment:        The    ratio will
                                      20%
                                                                                                                                                                                         progressively increase each
                                                    1%                                                                                                                    #N/A
                                              0%                                                                                                                                         month as expenditure on asset
                                                    Jul        Aug       Sep        Oct        Nov        Dec        Jan       Feb       Mar        Apr        May        Jun            renewals occurs though to 30
                                                                                                                                                                                         June.
                                                    Actual Renewal Spend (%)                                    Target (%)                  Renewals Budget (%)


Net Financial Liabilities Ratio                                                                                                                                                         Intent: Outlines the level that net
                                                                                                                                                                                         Council debt can be serviced by
                80%
                                                                                                                                                                                         operating revenues. A ratio below
                                                              60%                                                                                                                        zero implies that liabilities are
                60%
                                                                                                                                                                                         less than cash (and other current
                                                                                                                                                                                         assets) and there is adequate
                40%                                                                                                                                                                      borrowing capacity available if
                                                                                                                                                                                         needed.
                20%
                                                                                                                                                                                        Target: less than 60%
                                                                                                                                                                                        Result: - 35%
                                     0%
                                                              Target                                      Budget                                YTD Actual                              Comment: Council has low debt
    -20%                                                                                                   -8%                                                                           levels and strong cash holdings.
                                                                                                                                                                                         The ratio will reduce through to
                                                                                                                                                                                         June as cash is expended on
    -40%                                                                                                                                            -35%                                 capital and operational activities.




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