Administrative Centre

30 Frances St

Randwick 2031

Tel: 02 9399 0999

Fax 02 9319 1510

DX 4121 Maroubra Junction

general.manager@randwick.nsw.gov.au

INCORPORATED

AS A MUNICIPALITY

22 FEBRUARY 1859

PROCLAIMED AS

A CITY JULY 1990

 

2 August 2005

 

ADMINISTRATION AND FINANCE COMMITTEE MEETING

 

NOTICE IS HEREBY GIVEN THAT AN ADMINISTRATION AND FINANCE   COMMITTEE MEETING OF THE COUNCIL OF THE CITY OF RANDWICK WILL BE HELD IN THE COUNCIL CHAMBER, TOWN HALL, 90 AVOCA STREET, RANDWICK, ON TUESDAY, 9TH AUGUST 2005 AT 6:00 PM

 

Committee Members:                  His Worship the Mayor, Cr M. Matson, Crs Andrews, Daley, Hughes (Deputy Chairperson), Kenny, Nash, Procopiadis & Seng (Chairperson.)

 

Quorum:                                      Five (5) members.

 

NOTE: AT THE EXTRAORDINARY MEETING HELD ON 28TH SEPTEMBER, 2004, THE COUNCIL RESOLVED THAT THE ADMINISTRATION AND FINANCE COMMITTEE BE CONSTITUTED AS A COMMITTEE WITH FULL DELEGATION TO DETERMINE MATTERS ON THE AGENDA.

 

1           Apologies

 

2           Minutes

 

CONFIRMATION OF THE MINUTES OF THE ADMINISTRATION AND FINANCE MEETING HELD ON TUESDAY, 12TH JULY, 2005.

 

3           Declaration of Pecuniary & Non-Pecuniary Interests

 

4           Addresses to Committee by the Public

 

5           Finance

 

5.1                        

DIRECTOR, GOVERNANCE & FINANCIAL SERVICES' REPORT 33/2005 - COUNCILLORS' DONATIONS FOR 2004/2005 FINANCIAL YEAR.

2

 

5.2                        

DIRECTOR, GOVERNANCE & FINANCIAL SERVICES' REPORT 34/2005 - INVESTMENT OF COUNCIL FUNDS AS AT 30 JUNE 2005.

4

 

 

6           General Business

 

7           Notice of Rescission Motions

…………………………..

GENERAL MANAGER


 

Director, Governance & Financial Services' Report 33/2005

 

 

SUBJECT:

COUNCILLORS' DONATIONS FOR 2005/2006 FINANCIAL YEAR

 

 

DATE:

27 July, 2005

FILE NO:

F2004/07396 xr F2005/00182    

 

 

 

REPORT BY:            DIRECTOR, GOVERNANCE & FINANCIAL SERVICES

 

 

INTRODUCTION:

 

To keep Councillors aware of the progressive amount of Councillors’ donations, allocations, waiving of fees and other similar issues for the current financial year.

 

ISSUES:

 

In the 2005/06 financial year there have been four (4) Councillors’ donations totalling

$3,000.00 as listed in the table below.

 

MEETING

DETAILS

AMOUNT

Ordinary Council – 28th June 2005

Disability Information Referral Centre - Access Aware Program

$2,000.00 (GST free)

Ordinary Council – 26th July 2005

Industrial Relations Reform – Donation to ACTU

$1,000.00 (GST free)

Ordinary Council – 26th July 2005

Industrial Relations Reform – Purchase of Banners

To be advised

Ordinary Council – 26th July 2005

Peninsular LATM Kingsford/Kensington area – Purchase of Street Banners

To be advised

TOTAL                                                                                                         $ 3,000.00

 

 

FINANCIAL IMPACT STATEMENT:

 

Council has allocated $120,000.00 in the 2005/2006 Budget for contingencies.

 

 

 

 

 

 

RECOMMENDATION:

 

That the Director, Governance & Financial Services Report No. 33/2005 dated 27th July, 2005 in relation to the final amount of Councillors’ donations, allocations, waiving of fees and other similar issues for the 2005/06 financial year be noted.

 

ATTACHMENT/S:

 

Nil

 

 

………………………………

………………………………

GEOFF BANTING

 

DIRECTOR, GOVERNANCE & FINANCIAL SERVICES

 

 

 

 

 

 

 


 

Director, Governance & Financial Services' Report 34/2005

 

 

SUBJECT:

INVESTMENT OF COUNCIL FUNDS AS AT 30 JUNE 2005

 

 

DATE:

25 July, 2005

FILE NO:

F2004/06527

 

 

 

REPORT BY:            DIRECTOR, GOVERNANCE & FINANCIAL SERVICES  

 

 

INTRODUCTION:

 

To report on Council’s current investments.

 

 

ISSUES:

 

Council is authorised by s625 of the Local Government Act to invest its surplus funds. Funds may only be invested in the form of investment notified by Order of the Minister dated 29 November, 2000.

 

The Local Government Financial Management Regulations prescribe the records that must be maintained in relation to Council’s investments. The regulations also require that the responsible accounting officer provide a written report to each ordinary meeting of the Council giving details of all monies invested and a certificate as to whether or not the investments have been made in accordance with the Act, the regulations and Council’s Investment Policy No: 3.02.07.

 

Details of all investments are shown on the attachment sheet titled “Details of cash investments and analysis of investment performance as at 30 June, 2005” and in the attached graphs.

 

FINANCIAL IMPACT STATEMENT:

 

The budget provision for income from this source is $2.825M. Income to 30 June, 2005 amounted to $2,823.893.

 

 

 

 

 

 

CONCLUSION:

 

All surplus cash has been invested as at 30 June, 2005 in accordance with Policy No: 3.02.07 and the provisions of s625 of the Local Government Act have been complied with.

 

 

RECOMMENDATION:

 

That the “Director, Governance & Financial Services’ Report No. 34/2005 dated 25 July, 2005 in relation to the investment of Council funds be noted.

 

 

 

ATTACHMENT/S:

 

1. Details of investments & analysis of investment performance as at 30 June 2005.

 

2. Graphs (7). 

 

 

 

 

 

 

 

 

 

………………………………

 

 

 

 

 

 

 

………………………………

GEOFF BANTING

BRIAN GREGAN

DIRECTOR, GOVERNANCE & FINANCIAL SERVICES

MANAGER, FINANCIAL SERVICES

 

 

 

 

 

 


DETAILS OF CASH INVESTMENTS AND ANALYSIS OF INVESTMENT PERFORMANCE

AS AT 30 JUNE 2005

 

 

Investment Manager

 

Credit

Ratings

 

Amount Invested

 

 

Interest  Earned

June

 

Amount                  % Return

 

UBS Aust.

Bank Bill

Index   %

 

 

Interest Earned

Financial Year to Date

                       %

Amount       Return

 

UBS Aust.

Bank

Bill

Index

%

 

 

Interest Earned

Last 12 Months

 

                      %

 Amount    Return

 

UBS Aust.

Bank

 Bill

Index 

 %

 

***

 

$

$

Month

Annualised

For Period

#

$

 

 

$

 

#

LG Financial  Services 11am Call

AA

1,488

11,282

0.45

5.40

0.46

 

169,387

N/A

5.64

169,387

N/A

5.64

 

 

 

 

 

 

 

 

 

 

 

 

 

LGFS Expanded Credit Facility

Af

10,241,861

51,949

0.51

6.38

 

0.46

 

559,958

6.07

5.64

559,958

N/A

5.64

 

 

 

 

 

 

 

 

 

 

 

 

 

Macquarie Income Plus

Af

4,294,010

 

21,721

0.49

6.09

0.46

 

 

379,325

6.17

5.64

 

379,325

6.17

5.64

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deutsche Income

Af

6,789,682

32,148

0.48

5.94

0.46

 

151,537

N/A

5.64

151,537

N/A

5.64

 

 

 

 

 

 

 

 

 

 

 

 

 

ING Enhanced Cash

Af

5,360,445

26,782

0.50

6.28

0.46

 

107,806

6.35

5.64

107,806

6.35

5.64

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Merrill Lynch Enhanced Credit

Af

6,636,530

 

34,607

 

0.52

5.41

0.46

 

 

113,794

6.65

5.64

 

113,794

6.65

5.64

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ANZ

AA-

2,000,000

 

11,613

0.58

7.06

0.46

 

42,503

N/A

5.64

 

42,503

N/A

5.64

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commonwealth Shield Series 12

AA

4,000,000

 

21,916

0.55

6.66

0.46

 

 

261,289

N/A

5.64

 

261,289

N/A

5.64

 

 

 

 

 

 

 

 

 

 

 

 

 

Commonwealth Shield Series 21

AA

1,000,000

 

-

0.53

6.58

0.46

 

 

57,972

N/A

5.64

 

57,972

N/A

5.64

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commonwealth Shield Series 24

AA

2,500,000

 

14,736

0.59

7.16

0.46

 

 

175,622

N/A

5.64

 

175,622

N/A

5.64

 

 

 

 

 

 

Index %

 

 

 

 

 

 

 

 

 

 

 

$42,824,016

$226,754

 

 

5.64

 

$2,019,193

 

 

$2,019,193

 

 

           


        Credit Ratings                                                           Standard & Poors

 

Extremely strong capacity to pay                                                    AAA

Very strong capacity to pay                                                             AA

Funds exhibit strong protection against credit default                         Af

 

 

 

#UBS Aust. Bank Bill Index

 

-Is a performance benchmark published in the Australian Financial Review.

 

-The index rate can be compared to the interest rate earned by Council on its

investments.

 

 

 

Interest Earned

                                                                                                                                    

                                                                                                          $

 

In June 2005                                                                                 226,754

                                                                                                 

For 2004/2005  –                                                                        2,982,240                                                                                                 

 

 

Original estimate budget for interest earned – 2004/2005               2,825,000

 

 

 

 

 

*

 

**

Monthly earning rates for the last three months

 

 

LG Financial Services 11am Call                          

LGFS Expanded Credit Facility

Macquarie Income Plus

Deutsche Income

ING Enhanced Cash

Merrill Lynch Enhanced Credit

ANZ

Commonwealth Shield Series 12

Commonwealth Shield Series 21

Commonwealth Shield Series 24

 

UBS Aust. Bank Bill Index

 

Apr

%

 

0.45

0.39

0.44

0.53

0.52

0.55

0.58

0.56

-0.95

0.60

 

0.50

May

%

 

0.45

0.47

0.45

0.45

0.48

0.38

0.58

0.56

-0.14

0.60

 

0.48

Jun

%

 

0.45

0.51

0.49

0.48

0.50

0.43

0.58

0.55

0.53

0.59

 

0.46

*            Includes bank account interest as well as interest on investments with Managed Funds.

**          Includes bank account interest and those Managed Funds no longer used.

                        ***      The interest return on this investment has been estimated. Interest rates and amounts invested vary on a daily basis.

                       

 

I certify that the above investments have made in accordance with the Local Government Act, the regulations

and Council’s investment policy No. 3.02.07.

 

                        ________________________

BRIAN GREGAN

MANAGER, FINANCIAL SERVICES DIVISION