2021-01-18 General Committee Meeting Agenda

GENERAL COMMITTEE MEETING AGENDA                                                                                                                              18 JANUARY 2021


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




                                                          11.9
                                                                   11.5
                                     12.0                                                              11.2     11.1
                                                                                                                         10.7                      at bank without needing
                                                                          10.2                                                  10.1
                                     10.0          9.4                           9.5
                                                                                                                                       9.1         additional cash flows
                                                                                        8.6      8.5
                                                                                                                                                 Target: > 3 months
                                      8.0
                                                                                                                                                 Result: 9.1 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
                                                   Jan    Feb      Mar    Apr    May   Jun      Jul    Aug      Sep      Oct    Nov    Dec         June 2021 will degrade 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%
                                                                                                                                                 Target: 90% of depreciation
                                      60%                                               55%                                                        budget spent on renewals
                                                                                 44%                                                               annually
                                      40%
                                                                    29%
                                                                          34%
                                                                                                                                                 Result: In line with budget
                                                                                                                                                 Comment: The ratio will
                                      20%                  13%
                                                                                                                                                   progressively increase each
                                                    1%
                                              0%                                                                                                   month as expenditure on
                                                    Jul    Aug     Sep    Oct    Nov   Dec       Jan   Feb      Mar      Apr    May    Jun         renewals occurs.
                                                    Actual Renewal Spend (%)                  Target (%)           Renewals Budget (%)


Net Financial Liabilities Ratio                                                                                                                  Intent: Outlines the level that net
                                                                                                                                                   Council debt can be serviced by
                70%
                                                          60%                                                                                      operating revenues. A ratio
                60%                                                                                                                                below zero implies that liabilities
                50%                                                                                                                                are less than cash (and other
                40%
                                                                                                                                                   current assets) and there is
                                                                                                                                                   adequate borrowing capacity
                30%
                                                                                                                                                   available if needed.
                20%
                                                                                                                                                 Target: less than 60%
                10%                                                                                                                              Result: -19.7%
                                     0%                                                                                                          Comment: Council has low debt
                                                          Target                       Budget                          YTD Actual
    -10%                                                                                                                                           levels and strong cash holdings.
                                                                                        -8%
    -20%
                                                                                                                         -20%
    -30%




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