Draft Budget Development Policy
The Draft Budget Development Policy has been developed to provide a structured and transparent framework for developing the annual budget as part of the Operational Plan. The policy aims to enhance Council’s financial sustainability and improve resource allocation.
Key objectives of the policy include:
- Embedding sound financial management principles as required under Section 8B of the Local Government Act 1993.
- Ensuring each Council fund (General, Waste, Water, Sewer) remains independently sustainable.
- Targeting a surplus Net Operating Result before capital grants and contributions to enhance financial sustainability.
- Providing clear guidance on the roles and responsibilities of Councillors, the Executive, and staff in the annual budget process.
The policy has been informed in consultation with Office of Local Government Guidelines and Codes as well as a review of practices across other NSW councils to ensure alignment with best practices and legislative requirements.
Key Features of the Draft Budget Development Policy
Financial Sustainability:
- Ensures all Council funds (General, Waste, Water, Sewer) are independently sustainable.
- Targets a surplus Net Operating Result before capital grants.
Budget Development Parameters:
- Aligns with the Integrated Planning & Reporting Handbook for NSW councils.
- Incorporates the annual rate peg and considers the requirements of long-term works programs.
- Requires detailed work plans for new budget items or increased service levels.
- Prohibits the use of asset sale proceeds for operational expenditure.
Governance and Accountability:
- Clearly defines roles for Councillors, the Executive, and staff.
- Establishes robust monitoring and reporting mechanisms, including quarterly reviews and monthly budget updates.
Community Transparency:
- Commits to open communication about financial performance and long-term planning.
Council is committed to ensuring that community resources under its control are used for approved purposes and that all risks to Council’s finances are properly managed.
Have Your Say
As a valued member of the community, we'd love your feedback. You can have your say in the following ways:
- Share your thoughts via the online survey
- Email council@pmhc.nsw.gov.au
- Write to
CEO Port Macquarie Hastings Council
PO Box 84
Port Macquarie NSW 2444
All submissions must be received by 5pm on 31 March 2025.