LGOIMA Request Details

Date Received:23/03/2022
Date Responded:21/04/2022
Requester Name:Levi Gibbs
Organisation:NZ Taxpayers Union
Requested Information:

​This is a request for Official Information under the Local Government Official Information and Meetings Act of 1987 in relation to budget information

We request the following information: 

  1. Provide the Total Comprehensive Revenue & Expenses as reported in your 2021 published financial statements and reconcile this figure to your balanced budget obligation under s100 of the Local Government Act, identifying each of the following adjustment items (if applicable) in your reconciliation: 
  • a) Capital subsidies (eg NZTA/Waka Kotahi) 
  • b) Asset revaluations 
  • c) Asset write-offs 
  • d) Depreciation 
  • e) Development contributions 
  • f) Changes in the mark-to-market value of financial instruments 
  • g) Gains or losses on the disposal or sale of assets 
  • h) Assets vested or gifted to the Council 
  • i) Operating subsidies (eg from NZTA/Waka Kotahi) 
  • j) Other (please specify) 

2.     If your Council's methodology for calculating the balanced budget requirement (having given regard to both subsections (1) and (2) of section 100 of the Local Government Act) excludes revenue from any of the following: 

  • Capital subsidies 
  • Vested assets 
  • Asset revaluations 

    then please state whether the depreciation expense on the asset values generated by these revenue items is similarly excluded. If it is not similarly excluded, please explain how this anomaly is justified to ratepayers in setting the level of rates to be charged. 
  •  

3.     State the Council's current financial strategy target for the balanced budget requirement. 

4.     For each of the years in the Council's current Long Term Plan state the budgeted performance against the s100 LGA balanced budget requirement. 

5.     For each of the last five years' annual reports state your Council's actual balanced budget result and the Total Comprehensive Revenue & Expenses. 

6.     For any of the last five years' actual results where the s100 LGA balanced budget requirement as calculated by Council has not been achieved, provide Council's explanation for that non-achievement. 

7.   In the ten forecast years in the current Long-Term Plan, where the s100 LGA balanced budget requirement as calculated by Council is budgeted to not be achieved, provide Council's explanation for that budgeted non-achievement in terms of s100(2) of the LGA. 

We do not wish to cause unnecessary expense or burden for your agency. Should clarification be required, please call or email. Similarly, if a request proves unnecessarily burdensome in form and we are likely to be able to adjust that request to be more specific or better suited to your information systems without losing the benefit of what is sought, please get in touch. If there is likely to be a delay in the assembly or provision of some of the information requested, pleased provide the balance as it becomes available.  

In any place where possible, data that can be presented in an excel format is preferred to other methods of presentation e.g. PDF. 

To avoid unnecessary printing and postage costs, we ask that you send a confirmation of receipt, the response and any other correspondence related to this email address. Please refer to "Budget information" in the subject line.  


Response:

The Response to your questions are as below:

1) As provided in spreadsheet attached

2) Depreciation on all of the above assets are included. The Balanced Budget Calculation has been stipulated by Governor-General via the Local Government (Financial Reporting and Prudence) Regulations 2014 section 19. Also pursuant to subsection(1) of section 100 of the Local Government Act "A local authority must ensure that each year's projected operating revenues are set at a level sufficient to meet that year's projected operating expenses." Capital subsidies are part of the operating revenue however Vested Assets and Asset Revaluations are outside of Operating Revenues as per GAAP.

3) In line with requirements Local Government (Financial Reporting and Prudence) Regulations 2014 section 19. Detail available on page 8 of the Financial Strategy.  Financial-Strategy-2021.pdf (mdc.govt.nz)

4) This information is available from the below report on page 232 of the 2021-2031 10 Year Plan as per Local Government (Financial Reporting and Prudence) Regulations 2014 section 19. 10_Year_Plan_2021-2031.pdf (mdc.govt.nz)

5) This information is available from below report of page 150 of the Annual Report as per Local Government (Financial Reporting and Prudence) Regulations 2014 section 19. Annual-Report-2020-21.pdf (mdc.govt.nz)

6) This information is available from below report of page 150 of the Annual Report as per Local Government (Financial Reporting and Prudence) Regulations 2014 section 19. Annual-Report-2020-21.pdf (mdc.govt.nz)

7) This information is available from the below report on page 232 of the 2021-2031 10 Year Plan as per Local Government (Financial Reporting and Prudence) Regulations 2014 section 19. 10_Year_Plan_2021-2031.pdf (mdc.govt.nz)


Status:Completed