Loddon Shire Council prepares a range of planning and reporting documents for the short, medium and long term to ensure sound financial management.
Council’s Budget is developed annually within an overall planning framework that guides Council in identifying and addressing community needs and aspirations over the long term, medium term and short term.
Section 127 and 130 of the Local Government Act 1989 and the Local Government (Planning and Reporting Regulations) 2014 requires Councils to prepare a Budget for each financial year.
At the end of each year, Council produces an Annual Report to provide an update against the budget.
Long term financial plan
Loddon Shire Council first adopted an operational Long Term Financial Plan (LTFP) early in 2013 which was supported by asset management planning and more recently, extensive strategy development and planning work across the main service areas.
By preparing a LTFP, Council will not only be able to see into the long term but will also have the ability to determine whether service levels and community expectation are able to be funded.
A LTFP represents a comprehensive approach to consolidate and integrate the various financial strategies of Council. The development of Council's long term financial projections represent the output of several strategy areas, which when combined, produce the financial direction of Council.
A financially sustainable Council can meet its funding requirements relative to the provision of required services including maintenance, renewal and replacement of assets without imposing excessive debt on current or future generations, and also without unplanned rate revenue increases.
A successful LTFP will predict Council's performance and position to improve not only infrastructure levels but also standards without the need for unplanned increases to rates or reductions to services.