Long Term Financial Plan 2021-31
This consultation has concluded.
Draft Long Term Financial Plan
What is a Long Term Financial Plan:
Council's Long Term Financial Plan (LTFP) is a 10-year rolling plan that informs decision-making and demonstrates how the objectives of the Community Strategic Plan and commitments of the Delivery Programme and Operation Plan will be resourced and funded.
The LTFP captures financial implications of asset management, information management, technology, and workforce planning. For example, by identifying how additional assets will be funded, or existing assets renewed or upgraded, and what provisions are made for changes to service levels.
Long Term
The LTFP ensures sound financial planning, proactive asset management, continuous improvement in the application of technology, and the development of a strong workforce Council will maintain its position as an industry leader.
The LTFP is a tool that Council uses to aid decision making, priority setting, and problem-solving. It is a guide for future action, to be reviewed regularly (LTFP was last reviewed in 2018-19 financial year), and addresses the following:
- how Council will survive future financial pressures
- opportunities for future income and economic growth whether Council can afford what the community requests
- how council can achieve outcomes agreed with the community
What's in the LTFP
- projected income and expenditure, balance sheet, and cash flow statement
- planning assumptions
- sensitivity analysis, highlighting factors and assumptions most likely to impact the LTFP
- financial modelling for different scenarios
- methods of monitoring financial performance; and
- major capital and operational expenditure implications.
What was considered in the LTFP
We considered a range of economic and political factors that affect Council finances and impact Council’s capability to maintain existing levels of service and financial sustainability.
Based on reliable information, for example, Consumer Price Indices from the Australian Bureau of Statistics and Reserve Bank of Australia, Council has made reasonable financial forecasts. In developing the LTFP, Council has also included financial modelling sensitivity simulations that incorporate the impacts on its finances if industry trends are less favourable.
Analysis
Over the life of this current LFTP, Council is projected to maintain a strong financial position and meet all of its financial performance measurement indicators. Council is also predicted to be financially sustainable in accordance with the information contained within this Plan.
This position can be maintained long-term, where Council continues to fund the existing services provided and provides for additional funding should it decide to introduce new services. An allowance has been made to recognise the new and expanded services to be provided at the Heffron Centre.
Council is forecasting its’ budget performance in surplus over the life of the plan, which also taken into account the condition and maintenance requirements of assets in the process.
Operating liquidity is forecasting that Council will continue to ensure that there is enough cash in the business to operate on a day-to-day basis and meet it’s immediate expenses:
• ensure that Council maintains a balanced operating result,
• ensure that payments are received on time to control debtors; and
• manage and financing capital projects.
All the Asset Management ratios are forecasted above benchmark, which ensures confidence in the management of our infrastructure by the community.
READ THE FULL DOCUMENTS:
SHARE YOUR THOUGHTS BY:
- Completing an online submission
- Sending your comments headed "Long Term Financial Plan 2021-31" to the General Manager by email council@randwick.nsw.gov.au or mail your submission to 30 Frances Street, Randwick NSW 2031.
Public exhibition period: 9am, 30 September to 5pm, 28 October 2021.
