05 Financial Performance Report - Nov 2021

GENERAL COMMITTEE MEETING AGENDA                                                        13 DECEMBER 2021


Council’s performance against key measures of financial sustainability have been calculated as at
November 2021. These indicators enable the reader to assess Council’s success in managing its
budget, cash and debt as well as undertaking sustainable asset management. The table below
contains a snapshot of a number of key measures, with full detail included in the report.

 YTD Measures of Financial Sustainability
                                     Target          Current     Actual YTD
                                                     Budget
 Operating Surplus Ratio            0-10%            -0.6%         18.3%           On Track
 Net Financial Liabilities Ratio    <60%             -4.9%         -69.8%       Above Target
 Cash Cover Ratio                  3 months      6.8 months     11.8 months     Above Target
 Asset Sustainability Ratio         > 90%         121.9%           26.3%           On Track


RECOMMENDATION
That Council note the report by the Acting Manager Financial Services to the General Committee
Meeting dated 13 December 2021 outlining the November 2021 year to date financial performance
against budget, including performance against key financial sustainability indicators.

REPORT
Operating Revenue (YTD Benchmark 41.7%)
Council has received 49% ($52.9 million) of its operating revenue budget ($107.2 million).
Commentary on each revenue category is provided below.

 Category              Summary                   Comments
 Rates and Levies      $37.4 million (50%) of    •     Waste utility charges $322k above YTD budget (52%
                       the annual budget of            or $6.7 million of $12.9 million budget earned)
                       $74.6 million has been    •     General rate (net of discount) $133k below YTD
                       earned                          budget (50% or $28.4 million of $57.2 million budget
                                                       earned)
 Fees and              $4.4 million (61%) of     •     Development assessment fees $579k above YTD
 Charges               the $7.2 million annual         budget (69% or $1.3 million of $1.8 million budget
                       budget has been                 earned)
                       earned                    •     Plumbing application fees $325k above YTD budget
                                                       (70% or $726k of $1.0 million budget earned)
                                                 •     Building application fees $86k above YTD budget
                                                       (51% or $405k of $791k budget earned)
 Sale of Goods         $5.2 million (51%) of     •     Waste management sale of recoverable materials
 and Services          the $10.2 million               $329k above YTD budget (83% or $710k of $855k
                       budget has been                 budget earned).
                       received                  •     Waste management disposal fees $288k above YTD
                                                       budget (45% or $1.7 million of $3.7 million budget
                                                       earned)
                                                 •     Holiday Park sales $334k above YTD budget (54% or
                                                       $1.5 million of $2.8 million budget earned) – offset by
                                                       higher operating costs
                                                 •     Community Facilities (NAC, NLC and The J) $312k
                                                       above YTD budget (46% or $1.2 million of $2.6 million
                                                       budget earned) – offset by higher operating costs
 Interest              $315k (47%) of the        •     Interest revenues on cash invested will continue to be
 Received              $670k annual budget             monitored given low interest rates and impacts on term
                       has been earned                 deposit / cash fund rate returns