Local Government New Zealand Financial Governance 101 Workshop Outline. Financial Governance 201. Workshop Outline

Transcription

1 Local Government New Zealand Financial Governance 101 Workshop Outline Financial Governance 201 Workshop Outline

2 Workshop Outline Workshop To examine in more detail the requirements of good financial governance for New Zealand local government elected representatives. Workshop overview: Time Duration Topic 9:00-9:20 20 mins Introduction and Housekeeping 9:20-10:30 70 mins Session One: 10:30-10:45 15 mins Morning tea Review of FG 101 and Reporting 10:45 11:45 60 mins Session Two: Treasury Management 11:45 12:30 45 mins Session Two: continued Treasury Management, continued 12:30 1:00 30 mins Lunch 1:00 2:30 90 mins Session Three: Funding & Rating Options 2:30-3:00 30 mins Session Four: Financial Implications of Asset Management Information 3:00 3:15 15 mins Afternoon tea 3:15 4:15 60 mins Session Four: continued Financial Implications of Asset Management Information, continued 4:15 4:50 40 mins Session Five: Financial Strategy 4:50-5:00 10 mins Summary, Evaluation and Wrap-up Local Government New Zealand January 2012 v5 Page 2 of 8

3 Session One: Review of FG 101 & Reporting To understand the principles and requirements of reporting relationship of financial information to planning and the LTP process. 70 minutes By reviewing aspects of your own council s LTP and annual financial statements, elected members will become more familiar with using financial information to aid decision-making. In particular they will be able to: Understand the reporting Planning (LTP and Annual Plan) and Reporting Cycle Identify key information in the various council reports and plans Appreciate the impact of policy decisions on financial position Understand the relationships between financial & non financial information Understand what makes good reporting. Continued on next page Local Government New Zealand January 2012 v5 Page 3 of 8

4 Session Two: Treasury Management To gain an understanding of a number of issues influencing balance sheet management. 105 minutes Debt can be your best friend or your worst enemy. Debt always comes at a cost and as most council s have some form of debt it is important to understand the implications of having debt. The focus, is on ensuring Councillors understand: When should you use debt The implications of debt including the cost Financial risk management options Key requirements in managing debt. Continued on next page Local Government New Zealand January 2012 v5 Page 4 of 8

5 Session Three: Funding and Rating Options objectives: Council s have many options as to how expenditure should be funded (paid for), this session assists you to understand the relevance of financial policies and rating options. 90 minutes This session examines the legal framework required for council's revenue and financing policies and how this links with rating and other funding requirements: Legal framework for funding options Use of targeted rates Understand the principles using reserves Funding matters including understanding the difference between operational and capital expenditure. Continued on next page Local Government New Zealand January 2012 v5 Page 5 of 8

6 Session Four: Financial Implications of Asset Management Information To gain an understanding of the financial impacts of asset management information that is contained in Asset Management Plans. 90 minutes To assist the understanding in how asset information is used to support good financials including the impacts of:. Renewal versus depreciation Accounting for backlog maintenance and renewals Cutting rates on the levels of service provided by assets Local Government New Zealand January 2012 v5 Page 6 of 8

7 Session Five: Financial Strategy This Session explores the purpose and requirement of a Financial Strategy including a case study. 40 minutes Identifying information that is required for the development of a financial strategy The importance of a financial strategy. Local Government New Zealand January 2012 v5 Page 7 of 8

8 Summary, Evaluation and Wrap-up To reflect on today s learning 10 minutes This activity requires the facilitator to wrap-up the day, including: Tying up any loose ends that have remained parked from earlier in the day Reviewing expectations and concerns Asking participants to complete their evaluation forms. Local Government New Zealand January 2012 v5 Page 8 of 8