City of Belmont Annual Financial Report for the period ended 30 - - PowerPoint PPT Presentation

Annual Financial Report for the period ended 30 June 2014

City of Belmont

TA3

• Standard Audit Report (AA Standards)
• Unqualified (clean) audit opinion issued
• Financial Report

– “gives a true and fair view of the financial position” – Complies with LGA, Regulations & Australian Accounting standards

Audit Report – Page A5

TA4

– Includes: Accrued income/expenditure & depreciation – Excludes: Capital items and Reserve Transfers

• Key Line Items

– Operating Revenue - $52.43m (12/13 $52.08m) – Operating Expenditure - $50.98m (12/13 $47.51m) – Operating Result - $1.44m (12/13 $4.57m) – Net Result - $4.5m (12/13 $8.25m) – Total Comprehensive - $202.52m (12/13 $16.96m)

Statement of Comprehensive Income – Pages A8 & A9

TA5

13/14 12/13 – Financial assets $38.6m $36.7m

• Reserves

$31.6m $29.6m

• Unspent grants

$0.1m $0.2m

Municipal funds $6.9m $6.9m – PPE & Infrastructure $540.3m $343.2m Fair Value Accounting – Total Liabilities $11.7m $11.0m – Net Assets/Equity $586.6m $384.1m

• Land Revaluation Surplus

$64.4

• Building Revaluation Surplus

$43.4

• Roads

$37.5

• Drainage

$34.0

• Other

$14.9 Revaluation Surplus Movement $194.2

Statement of Financial Position– Page A10

TA6

• Disclosure of actual “cash” movements during the year

(balance includes reserves) – “operating activities”

• Categorised by “nature & type” +$11.8m (12/13 +$13.8m)

– “investing activities”

• Capital works/equipment -$12.8m (12/13 -$14.1m)
• Proceeds from sale of PPE +$1.9m (12/13 +$1.4m)
• Investments -$0.4m (12/13 -$5.7m)

– “financing activities”

• Borrowings -$0.5m (12/13 $0.5m)
• Cash held at 30 June 2014 $5.4m (12/13 $4.2m)

Statement of Cash Flows – Page A12

TA7

• Required under the LGA and includes all the key components

that need to be factored in when determining how much revenue needs to be raised from rates.

• Includes

– Expenditure and Revenue – Non cash/cash adjustments – Capital Items – Reserve transfers – Opening and closing funds – Revenue required to be raised from rates

Rates Setting Statement – Page A13

TA8

• Disclosures required by:

– LGA & Regs – Accounting Standards – Consistent with prior years

Notes to the accounts – Pages A15 to A65

TA9

• Ratios represent a clean bill of health.

New Ratios:

• Current Ratio:

1.36:1 (Basic Std > 1:1)

• Debt Service Cover Ratio:

17.5 (Basic Std > 2)

• Own Source Revenue Coverage : 0.97 (Basic Std 0.40 to 0.60)
• Operating Surplus Ratio :

5.4% (Basic Std 1% to 15%)

• Asset Sustainability Ratio:

1.17 (Basic Std >0.90)

• Asset Renewal Funding Ratio: 100% (Basic Std 75% - 95%)
• Asset Consumption Ratio: 0.75 (Basic Std > 0.5)

Ratios – Page A60

TA10

Grant Thornton Report to the Audit Committee

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