The purpose of the Long Term Financial Plan (LTFP) is to set out Council’s objectives and recommendations for ensuring that Council’s finances remain sustainable in the long term. Ultimately, Council’s finances are sustainable in the long term if they are strong enough to allow Council to manage likely developments and unexpected financial shocks without having to introduce substantial or disruptive revenue (or expenditure) adjustments.
The plan expresses in financial terms the activities that Council proposes to undertake over the short, medium and long term and will guide the future strategies and actions of Council to ensure that it continues to operate in a sustainable manner.
For a situation to be sustainable, both present and future needs must be satisfied. Extending this definition to financial sustainability requires Council to manage its resources so that our financial commitments can easily be met both now and in the future. It ensures equality between generations of ratepayers in that each generation is responsible for the costs of the resources that they consume.