YPRL Annual Budget 2010/11

8/8/2019 YPRL Annual Budget 2010/11

1/32

Budget 2010/11Strategic Resource Plan 2010/14

April 2010


2/32

Budget 2010/11 and Strategic Resource Plan 2010/14

Contents

1 Background................................................................................................................. 32 Budget Processes ........................................................................................................ 4

3 Linkage to Library Plan ........................................................................................... 53.1 Library Vision...................................................................................................... 53.2 Strategic Library Plan .......................................................................................... 54 Budget Influences .................................................................................................... 64.1 Budget principles ................................................................................................. 64.2 Legislative requirements...................................................................................... 65 Analysis of Operating and Capital Budget............................................................... 75.1 Total Revenue (operating and capital)................................................................. 75.1.1 Council contributions ...................................................................................... 75.1.2 State Government Grants ................................................................................ 75.1.3 User fees and charges ...................................................................................... 85.2 Expenditure Operating and Capital................................................................... 85.2.1 Employee expenses ......................................................................................... 85.2.2 Other Expenditure ........................................................................................... 95.2.3 Capital budget........................................................................................................ 105.2.4 Operating (Accrual Budget) .......................................................................... 116 Budgeted cash position ......................................................................................... 126.1.1 Cash at End of the Year................................................................................. 127 Budgeted financial position Balance Sheet .................................................... 138. Strategic Resource Plan & Key Financial Indicators......................................... 148.1 Plan development............................................................................................... 148.2 Financial resources ............................................................................................ 148.3 Service Delivery Strategy .................................................................................... 15

8.4 Non Financial resources .................................................................................... 158.5 Funding strategies ............................................................................................. 158.6 Revenue ............................................................................................................. 158.7 Capital works ..................................................................................................... 158.8 Financial Indicators ........................................................................................... 169. Statutory Disclosures ............................................................................................. 17Appendix A..................................................................................................................... 18Budgeted Standard Statements 2010/11 ...................................................................... 18Appendix B..................................................................................................................... 20Budgeted Standard Statements 2010/11 to 2013/14 .................................................... 20Appendix C..................................................................................................................... 24Statutory Disclosures ...................................................................................................... 24

1 Borrowings ........................................................................................................ 242 Fees and charges ................................................................................................ 24Appendix D..................................................................................................................... 26Financial Ratios .............................................................................................................. 26Appendix E Annual Business Plan 2010-2011............................................................... 27

April, 2010 2


3/32


Yarra Plenty Regional Library Budget 2010/11

1 Background

Yarra Plenty Regional Library (YPRL) was founded in the mid 1960s, when the former Cityof Heidelberg agreed to provide library services to the former Shire of Eltham. Later the

former Shire of Diamond Valley and the Shire of Whittlesea joined in the Regional group. In1995, following changes in local government boundaries, the new municipalities of Banyule,Nillumbik and Whittlesea continued their support for the regional library service and YarraPlenty was one of the first regions incorporated under Section 196 of the Victorian LocalGovernment Act 1989.

There are eight branch libraries located at Greensborough, Eltham, Ivanhoe, Lalor, Mill Park,Rosanna, Thomastown and Watsonia and two mobile libraries. The service is co-ordinatedfrom the administration unit located in the City of Whittleseas Civic Centre in SouthMorang. YPRL also provides computer services to Murrindindi Library Service, includingfull access to the librarys database.YPRLs funding is provided as follows:

Funding Summary 2009/10 2010/11 2010/11 2010/11 % of 2010/11

Total Total $ Increase % Increase Funding Comments

$ $ $

Council Contributions 8,686,456 9,169,597 483,141 5.56% 77.49%

Reflects true cost

of operating

libraries

State Government 1,854,765 1,918,266 63,501 3.42% 16.21%

Does not reflect

true escalation

costs eg salaries

are increasing by

5%

Library's Own Source Funds 752,000 745,150 (6,850) -0.91% 6.30%

ReflectsLibrary's limited

ability to raise its

own funding

source

Total Income 11,293,221 11,833,013 539,792 4.78% 100.00%

The Library Service is funded by Member Councils, the State Government and its ownoperations on the following basis:

Council Contributions 77.5% State Government Grants 16.2% Library Operations - 6.3 % (User Charges and Fees, Investment Income and Sale of

services)The Library Service is mindful of the cost pressures on Member Councils and is continuallyreassessing processes to ensure that value is being achieved, in particular for procurement oflibrary materials, equipment and services. Library services continue to be one of the mostpopular and valued of all council services and over half the residents of Banyule, Nillumbikand Whittlesea use them regularly.

The Library Service is required to prepare and adopt an annual budget under the provisions ofthe Local Government Act 1989 (the Act). The budget is required to include specific financialinformation as well as details about the fees and charges that the Library intends to levy.

The budget document provides key information about revenue, operation results, service

levels, cash and investments, capital works, financial position, financial sustainability and keystrategic activities of the Library.

April, 2010 3


4/32


2 Budget Processes

The preparation of the budget begins with Officers preparing the annual budget in accordancewith the Act and submitting the draft budget to the Board for approval in principle.

The Library Service is then required to give public notice that it intends to adopt the budget. It

must give 28 days notice of its intention to adopt the proposed budget and make the budgetavailable for inspection at its Offices. A person has a right to make a submission on anyproposal contained in the budget and any submission must be considered before adoption ofthe budget by the Board.

The final step is for the Board to adopt the budget after receiving and considering anysubmission from interested parties.

The budget is required to be adopted and a copy submitted to the Minister by 31 August eachyear. The key dates for the budget process are summarised below:

1 Draft Budget submitted to the Board for comment February 18

2 Referred to Member Councils following Budget Briefing March 10

3 Proposed Budget submitted to the Board for approval April 15

4 Public notice advising intention to adopt Budget April 19

5 Budget available for public inspection and comment until May 19

6 Budget and submissions presented to the Board for adoption June 9

7 Copy of adopted Budget submitted to the Minister by August 31

April, 2010 4


5/32


3 Linkage to Library Plan

This section describes how the Annual Budget links to the achievement of the library planwithin an overall planning framework. This framework guides the Board in identifyingcommunity needs and aspirations and then holding itself accountable through the AnnualReport and Audited Statements.

3.1 Library Vision

We believe public libraries should be community centres with a strong community

focus. Our aim is to build a library service around an informed, connected, inclusive,

community where libraries are highly valued and well used.

3.2 Strategic Library Plan

The Strategic Library Plan 2008 2012 is the result of a planning session with the Board andsenior staff held in September 2007. It incorporates a number of initiatives that are beingintroduced during the period of the Plan and that this 2010/11 budget builds on.

These include:

Strategic frameworks in major service delivery areas Shelf-ready library materials using supplier-aided selection RFID and self-service checkout at all branches Robust, redundant, affordable network

The strategic plan identifies six outcomes:1. Libraries building community capacity2. Libraries as community hubs3. Libraries online4. Skilled and confident library staff5. Seamless integrated technology6. Sustainable and responsible finance and governance

The Action Plans for each of these areas are detailed in Appendix E (Page 26)

April, 2010 5


6/32


4 Budget Influences

In preparing the Budget it has been necessary to make a number of assumptions about theinternal and external environment within which the Library Service operates. In preparing the2010/11 budget, a number of influences have been taken into consideration, because they arelikely to impact significantly on the services delivered by the Library Service in the budget

period. These include: An escalation factor of 5% in employee costs takes into account a 4% Enterprise

Agreement rise payable in April 2011(effectively a 5% annual increase.) There issome additional casual staffing for extended opening hours at 3 libraries offset bysavings resulting from a restructure of senior staff

CPI increase of 3% where appropriate Increases utilities and cleaning costs at Mill Park, Thomastown and Eltham to

accommodate additional opening hours

Increase of 3.4% in State Government funding which is less that the overall operatingcost increases of 4.8%.

Investment income return of $110,000 the same level as the 09/10 budget New fees for Inter Library Loans ($30,000) and Book Club Membership ($9,000) Reduction in income for fees relating to training services to other Libraries Reduction in some administrative costs such as printing

4.1 Budget principles

The 2010/11 budget has been prepared incorporating the following principles:

A balanced cash budget ie operating and capital budgets have been framed so thatthere is no surplus or deficit

An underlying operating surplus this is an accounting surplus (not cash)

Expenditure budgets that have been thoroughly reviewed and are considered realisticand achievable

Consultation with Member Councils to ensure that Income budgets are realistic andcontinue the achievement of the Librarys Strategic Plan and agreed Collectionstrategy

Retention of existing services, plus an increase in operational hours at Mill Park,Thomastown and Eltham

4.2 Legislative requirements

Under the Local Government Act 1989, YPRL is required to prepare and adopt an annualbudget for each financial year. The budget is required to include certain information about thefees and charges that YPRL intends to levy as well as a range of other information required

by the Local Government (Finance and Reporting) Regulations 2004 which support the Act.

The 2010/11 Budget, which is included in this report, is for the year 1 July 2010 to 30 June2011 and is prepared in accordance with the Act and Regulations. The budget includesStandard Statements, these being a budgeted Income Statement; Balance Sheet, Cash Flowsand Capital Works Statement. These Statements are required so that informed decisions canbe made about the adoption of the budget. Refer Appendix A (Page 18) for the detailedStatements

The budget includes a Strategic Resource Plan (refer Section 9) for the years 2010/11 to2013/14.

April, 2010 6


7/32


5 Analysis of Operating and Capital Budget

This section of the report analyses the expected revenues and expenses of the Library Servicefor the 2010/11 year

5.1 Total Revenue (operating and capital)Operating Revenue 2009/10 2010/11 2010/11 2010/11

Total Total $ Increase % Increase

$ $ $

Council Contributions 8,686,456 9,169,597 483,141 5.56%

State Government 1,854,765 1,918,266 63,501 3.42%

Library's Own Source Funds 752,000 745,150 (6,850) -0.91%

Total Income 11,293,221 11,833,013 539,792 4.78%

5.1.1 Council contributions

The Library Service has been advised of the Member Council proposed contributions whichshows an increase of $483,141 from the 2009/10 budget amount to $9,169,597. This willensure that the significant level of public library services will be maintained for 2010/11.

Council 2009/10 2010/11 2010/11 2010/11

Contributions Total Total $ Increase % Increase

$ $ $ $

Banyule 3,624,406 3,697,152 72,746 2.01%

Nillumbik 1,896,073 1,985,935 89,862 4.74%

Whittlesea 3,165,977 3,486,510 320,533 10.12%

Total Council Contributions 8,686,456 9,169,597 483,141 5.56%

5.1.2 State Government Grants

State Government grants are estimated to grow by 3.4%. The increase is less that thepredicted increase in the cost escalation factor for salaries and oncost. This is in contrast to

Member Councils whose increases are an average of 5.56%

April, 2010 7


8/32


State Government 2009/10 2010/11 2010/11 2010/11

Contributions Total Total $ Increase % Increase

$ $ $ $

Banyule 631,439 653,541 22,102 3.50%

Nillumbik 342,121 354,096 11,975 3.50%

Whittlesea 737,979 763,804 25,825 3.50%

Local Priorities Funding 90,081 93,680 3,599 4.00%

Premiers Reading Fund 53,145 53,145 0 0.00%

Total State Government Contributions 1,854,765 1,918,266 63,501 3.42%

5.1.3 User fees and charges

User Fees and Charges have been estimated based on previous years experiences. Revenuefrom sale of services for training has been reduced to reflect the reality of 09/10. Two newfees have been introduced this year - for interlibrary loans ($30,000) and book clubs ($9,000).Refer Appendix C-2 (Page 24) for the schedule of fees and charges.

5.2 Expenditure Operating and Capital

TOTAL CASH EXPENSES 2009/10 2010/11 2010/11 2010/11

( Operating and Capital) Total Total $ Inc/ ( Dec) % Increase

$ $ $

Employee Costs 6,454,412 6,774,857 320,445 4.96%LSS Rental 110,000 112,860 2,860 2.60%

Administration Costs 961,000 1,038,569 77,569 8.07%

Finance Costs 77,000 117,562 40,562 52.68%

Transport 102,000 102,000 0 0.00%

IT/ Resources 550,233 563,697 13,464 2.45%

Organisation 108,100 105,850 (2,250) -2.08%

Community 236,750 248,989 12,239 5.17%

Collection Non Capital 604,000 621,780 17,780 2.94%

Management 49,500 49,500 0 0.00%

Capital Expenditure - Collection 1,488,145 1,573,197 85,052 5.72%

Capital Expenditure - Computer Services 90,081 93,680 3,599 4.00%

Capital Expenditure Lease Payments 195,000 172,490 (22,510) -11.54%

Capital Expenditure - Loan Payments 117,000 125,982 8,982 7.68%

Capital Expenditure - Transfer to Reserves 150,000 132,000 (18,000) -12.00%

TOTAL EXPENSES 11,293,221 11,833,013 539,792 4.78%

5.2.1 Employee expenses

Employee costs comprise around 57% of the Library Services total Expenditure.

The main increase in staff costs reflects the Enterprise Agreements annual increase of 4%

and an accompanying oncost escalation; the total impact on the budget is 5% as the increase

falls due on 1st April each year for the next 2 years. There is a component in the salaries

April, 2010 8


9/32


budget for additional casual hours to enable the extension in opening hours for Eltham, MillPark and Thomastown; this is offset from savings achieved by the restructure of seniormanagers.

The salaries of employees that work in branches and mobile libraries are allocated directly tothe respective Member Council as per the Regional Library Agreement. The cost of LibrarySupport staff and all employee oncosts are allocated as per the usage apportionment formula.

Employee costs include all labour related expenditure such as wages and salaries; and oncostssuch as allowances, leave entitlements, employer superannuation, and Workcover. LongService and Annual leave are statutory requirements and provisions for the payments of theseitems are included in the budget.

5.2.2 Other Expenditure

Other expenditure costs relate to:

Library Support Services (LSS) rental Administration costs such as utilities; photocopying supplies (which is offset by

corresponding income) ; insurance; bank fees and general supplies Finance Costs loan and lease interest increase as capital costs decrease. Transport Mobile Library and vehicle lease costs IT / Resources includes all software and hardware licensing and maintenance Organisation human resource and training costs Community programs and events; printing costs and furniture and fittings for

branches

Collection Non Capital operating costs associated with the capital collectionpurchases, periodicals and newspapers

Management internal and external Audit; Board and other minor externalmanagement costs

April, 2010 9


10/32


5.2.3 Capital budget

The following table outlines the capital expenditure budget for the 2010/11 year and thecorresponding sources of funding.

CAPITAL BUDGET

Expenditure 2008/09 2009/10 2010/11 2010/11

Actual Budget ( Adj) Budget Inc / (Dec)

$ $ $ $

Collection 1,388,361 1,488,145 1,573,197 85,052

Computer Services 24,222 90,081 93,680 3,599

Other Capital Purchases 316,067 0 0 0

Lease Payments 216,939 195,000 172,490 (22,510)

Loan Payments 109,206 117,000 125,982 8,982

Transfer to Reserves 57,062 150,000 132,000 (18,000)

0Total Capital Expenditure 2,111,857 2,040,226 2,097,349 57,123

Sources of Funds

Council Contributions 1,844,000 1,897,000 1,941,524 44,524

Grant- Local Priorities 86,121 90,081 93,680 3,599

Grant- Premiers Reading Fund 53,105 53,145 53,145 0

Contributions- Book Club 0 0 9,000 9,000

Reserves 128,631 0 0 0

Total Capital Funding Souces 2,111,857 2,040,226 2,097,349 57,123

The 2010/11 Budget provides for $1,573,197 to be spent on Collection purchases inaccordance with the previously agreed strategy of an additional $36,000 per year to bring theCollection to a 6 year depreciation rate. This has resulted in an overall increase of $85,000represented by the CPI increase of $40,000; the additional $36,000 plus $9,000 generatedfrom book club memberships.

The 2010/11 budget provides for $132,000 to be transferred to a reserve to fund thereplacement of the Librarys assets such as the Mobile Libraries and prime mover.

April, 2010 10


11/32


5.2.4 Operating (Accrual) Budget

The following Statement is the Operating Budget prepared in accordance with the relevantaccounting standards and includes all income; excludes capital expenditure and includesdepreciation.

Income ( Operating)Statement

REVENUE Note

2008/09

Actual

2009/10

Adjusted 2010/11

$ $ $

Council Contributions 1 8,283,526 8,686,456 9,169,596

State Government Funding 1,636,285 1,711,539 1,771,442

Local Priorities 86,121 90,081 93,680

Premiers Reading Fund 2 53,105 53,145 53,145

Library Fees 254,390 305,000 344,000Interest 125,426 110,000 110,000

Other 3 379,134 337,000 291,150

TOTAL REVENUE 10,817,987 11,293,221 11,833,013

EXPENSES

Employee Costs 5,999,624 6,454,412 6,774,857

LSS Rental 108,409 110,000 112,860

Depreciation 1,563,717 1,577,000 1,660,000

Administration Costs 970,400 1,121,731 1,016,899

Finance Costs 94,471 77,000 139,232Other 140,133

Transport 184,030 102,000 102,000

IT/ Resources 451,210 550,233 563,697

Organisation 89,126 108,100 105,850

Community 132,544 236,750 248,989

Collection Non Capital 539,331 604,000 621,780

Management 19,757 49,500 49,500

TOTAL EXPENSES 10,292,752 10,990,726 11,395,663

Net Gain(Loss) on disposal of property (8,617) 0 0

OPERATING RESULT- PROFIT 4 & 5 516,618 302,495 437,349

Note 1: 2008/09 Income adjusted re $1,186,971 Council Contributions paid in advance

Note 2: 2009/10 Budget adjusted to reflect Premiers Reading Fund Grant of $53,145

Note 3: 2008/09 Income adjusted re $77,727 Income paid in advance

Note 4: 2008/09 Operating result adjusted to reflect Income of $1,264,698 paid in advance as per Note 1 & 3

Note 5: 2009/10 Operating result adjusted by $53,145 as per Note 2

April, 2010 11


12/32


6 Budgeted cash position

The following table represents a summary of the Standard Cash Flow Statement and indicatesthe cash results from the operating, investing and financing activities of the Library Servicefor the 2010/11 year. This is a key Statement in assisting in setting the level of MemberCouncils contributions. The net budgeted increase in the 2009/10 ($150,000) and 2010/11

($132,000) financial years relates to the surplus cash that is budgeted to transfer to reserve forfuture capital purchases.

Cash Flows

2008/09

Actual 2009/10 2010/11

$ $ $

Operating 2,246,137 2,117,226 2,236,581

Investing (1,738,066) (1,578,226) (1,666,877)

Financing (421,186) (389,000) (437,704)

Net increase in cash

held 86,885 150,000 132,000

Cash at beginning of

financial year 1,490,954 1,577,839 1,727,839

Cash at end of

financial year 1,577,839 1,727,839 1,859,839

6.1.1 Cash at End of the Year

Overall total cash is forecast to increase to $1,859,000 as at 30 June 2011. This cash isrequired for operating liquidity (working capital) and is restricted as follows:

Employee provisions (Long Service and Annual Leave) - $1,400,000 Net liabilities - $100,000 Reserves - $300,000

April, 2010 12


13/32


7 Budgeted financial position Balance Sheet

The following table represents a summary of the Librarys assets, liabilities and equity.

Balance Sheet Summary

2008/09Actual

2009/10 -adjusted 2010/11

$ $ $

Assets and Liabilities

Total Assets 6,483,373 6,305,215 6,444,092

Total Liabilities 2,629,886 2,299,233 2,132,761

Net Assets 3,853,487 4,005,982 4,311,331

Equity 3,853,487 4,005,982 4,311,331

The Librarys Assets comprise its bank balance (which is restricted cash) and non currentassets (the majority being the collection), whilst the liabilities comprise loan liability;employee provisions and reserves. Equity consists of member contributions and theaccumulated accounting surplus.

April, 2010 13


14/32


8. Strategic Resource Plan & Key Financial Indicators

The Library Service is required by the Act to prepare a Strategic Resource Plan (SRP)covering both financial and non financial resources, and including key financial indicators forat least the next four financial years to support the Library Plan.

8.1 Plan development

The Library Service has prepared a Strategic Resource plan for the four years 2010/11 2014/15 as part of its ongoing financial planning to assist in adopting a budget within a longerterm framework. The plan takes the strategic objectives and strategies as specified in theLibrary Plan and expresses them in financial terms for the next 4 years.

The key objective, which underlies the development of the Plan, is financial sustainability inthe medium to long term; whilst still achieve the Library Services strategic objectives asspecified in the Library Plan. The key financial objectives which underpin the Long Term

Financial Plan are:

Maintain existing service levelsAchieve an operating surplus each yearMaintain a capital expenditure program on the library collection to achieve a 6 year

depreciation rate

Achieve a balanced budget on a cash basis.In preparing the Strategic Resource Plan, the Library Service has also been mindful of theneed to comply with the following principles of sound financial management as contained inthe Act

Prudently manage financial risks relating to debt, assets and liabilitiesConsider the financial effects of the library services decisions on future generationsProvide full, accurate and timely disclosure of financial information.

8.2 Financial resources

The following table summarises the key financial results for the next 4 years as set out in thePlan for the years 2010/11 to 2013/14. Appendix B (Page 20) contains the 4 StandardStatements (Income Statement; Balance Sheet; Cash Flow and Capital Works Statements)which provides a more detailed analysis of the financial resources to be used over the four

year period.

Financial Indicators Summary

2008/09

Actual 2009/10 2010/11 2011/12 2012/13 2013/14

$ $ $ $ $ $

Operating Result 516,618 302,495 437,349 306,085 90,409 9,967

Cash and Investments 1,577,839 1,727,839 1,859,839 2,007,049 2,222,403 2,488,957

Net Increase in cash 86,885 150,000 132,000 147,210 215,354 266,555

Capital Works 1,728,650 1,578,226 1,666,877 1,753,352 1,806,437 1,861,132

April, 2010 14


15/32


The key outcomes of the Plan are as follows:

Financial sustainabilityOperating result to continue in a surplus positionCash and investments are forecast to increase from $1,727,839 in 2009/10 to$2,488,957 in 2013/14. However these funds are required for restricted purposes suchas employee provisions and reserves.

Contributions strategyCouncil contribution increases are forecast for 2011/12 and following years at anoverall rate of 5% pa

Capital works strategyCapital expenditure over the 4 year period will total $7,088,000 at an average of$1,772,000 pa.

8.3 Service Delivery Strategy

Service levels will be increased to 7 day a week operations at 3 libraries (Eltham, Mill Parkand Lalor) and 6 day a week operations at Thomastown. This has been enabled by theimplementation of RFID which has meant that these increases have been achieved by a smallincrease in utilities and casual staffing allowances. Any further increases to opening hours atother branches will be negotiated with individual councils.

8.4 Non Financial resources

In addition to the financial resources over the planning period, the following table summarisesthe human resources requirements over the next four years.

Overall increases in employees costs have been increased in 2010/11 to cater for the

increased service delivery at Mill Park, Thomastown and Eltham Libraries. From the2011/112 year these costs have been capped with a 5% annual incremental allowance to coverEA and any banding increases. This is only achievable because of the introduction of RFIDand self service.

Employee costs

2008/09

Actual 2009/10 2010/11 2011/12 2012/13 2013/14

$ $ $ $ $ $

Expenditure 5,999,624 6,454,412 6,774,857 7,113,600 7,469,280 7,842,744

8.5 Funding strategies

In developing the Strategic Resource Plan, strategies have been developed for revenue, andcapital works

8.6 Revenue

Council increases in total contributions are forecast for the years from 2010/11 and followingat a rate of 5% per annum. The general Library Grant has been increased by 3.5% pa.

8.7 Capital works

A key objective is to try and maintain or preserve the Library Services existing assets atdesired condition levels. If sufficient funds are not allocated to asset preservation then the

April, 2010 15


16/32


Library Services investment in those assets will reduce, along with the capacity to deliverservices to the community.

The Board made the decision in 2007 to increase Collection funding over a period of 5 yearsby CPI plus $36,000 per annum to achieve the level of deprecation that was occurring prior tothe Mill Park collection being added to the regional asset.

The following influences have impacted on the Capital Works Budget for the 2010/11 andfollowing years:

The budgeted Council contributionsState Government grants increase of 3.5%The level of cash and investment reserves to fund future capital expenditure programs.8.8 Financial Indicators

The following table outlines a summary of budgeted financial ratios for the years 2009/10 to

2013/14. (Refer Appendix D (Page 25) for a more detailed schedule.) These ratios are used asa guide to assess the financial health of YPRL and reveal that the Library is financiallysustainable provided that the support of Member Councils meets the commitments that areincorporated in this SRP.

Financial Ratios Summary

2008/09

Actual 2009/10 2010/11 2011/12 2012/13 2013/14

$ $ $ $ $ $

Working Capital

Ratio: 0.93 1.10 1.25 1.53 1.74 1.90

Adjusted Working Capital

Ratio: 1.38 1.73 2.02 2.71 3.17 3.38

Investment Gap

Ratio: 1.11 1.00 1.00 0.94 0.91 0.89

Underlying result

Ratio: 0.05 0.03 0.04 0.02 0.01 0.00

Debt Servicing

Ratio: 0.87% 0.68% 1.18% 0.95% 2.51% 2.97%

Debt Commitment

Ratio: 0.05 0.04 0.05 0.04 0.04 0.04

Debt Exposure

Ratio: 1.53 1.26 1.09 0.95 0.94 0.95

Three indicators are highlighted for Regional Libraries in the Victorian Auditor GeneralsOffice annual report to Parliament - underlying result, liquidity and investment gap whichthen leads to a sustainability assessment. As the Regional Library is almost totally dependenton support from Member Councils and aims to achieve a balanced budget on a cash basis,these indicators are of limited use. In 2009 the library was assessed as having Low risk of

financial sustainability concerns there are no high risk indicators.

April, 2010 16


17/32


9. Statutory Disclosures

The Library is required to disclosure the following:

Schedule of Loan Borrowings refer Appendix D Fees and Charges Schedule refer Appendix B Key Strategic Activities Schedule Refer Appendix E

April, 2010 17


18/32

Budgeted Standard Statements 2010/11 Appendix A

Appendix A

Budgeted Standard Statements 2010/11

Standard Cash flow Statement

2008/09

Actual 2009/10 2010/11

CASH FLOWS FROM OPERATING ACTIVITIES

$ $ $

Contributions 9,470,497 8,686,456 9,169,596

Grants Received from Government 1,636,285 1,854,765 1,918,267

GST Received on Contributions and Grants 1,110,678 1,054,122 1,108,786

Payments to suppliers (2,470,205) (2,721,583) (2,821,574)

Payments to Employees (6,073,512) (6,454,412) (6,774,857)

GST on Payments (247,020) (272,158) (282,157)Interest Received 123,072 110,000 110,000

Library Fees 257,550 300,000 344,000

Other Receipts 626,262 342,000 291,150

Net GST Payment (922,773) (781,964) (826,629)

Net cash provided by operating activities 3,510,835 2,117,226 2,236,581

CASH FLOWS FROM INVESTING ACTIVITIES

Payments for library books, plant and equipment (1,760,973) (1,578,226) (1,666,877)

Proceeds from sale of bookstock/equipment 22,907 0 0

Net cash used in investing activities (1,738,066) (1,578,226) (1,666,877)

CASH FLOWS FROM FINANCING ACTIVITIES

Repayment of Borrowings (109,206) (117,000) (125,982)

Payments for Leased Plant & Equipment (216,939) (195,000) (172,490)

Finance Costs (95,041) (77,000) (139,232)

Net cash used in investing activities (421,186) (389,000) (437,704)

Net increase/(decrease) in cash held 1,351,583 150,000 132,000

Less cash adjustment - Grants/ contributions paid in advance (1,264,698)

Cash at the beginning of the financial year 1,490,954 1,577,839 1,727,839Cash at the end of the financial year 1,577,839 1,727,839 1,859,839

April, 2010 18


19/32

Budgeted Standard Statements 2010/11 Appendix A

Standard Statement of Capital Works 2008/09 Actual2009/10

Adjusted 2010/11

$ $ $

Capital Works Areas

Bookstock 1,388,361 1,488,145 $1,573,197

IT Equipment 24,222 90,081 93,680

Other Capital Purchases 316,067

Total Capital Works 1,728,650 1,578,226 1,666,877

Represented By:

Renewal 1,728,650 1,578,226 1,636,877

Upgrade

Expansion

New Assets 30,000


Property, Plant and Equipment movement

Reconciliation Worksheet


Asset Revaluation Movement

Depreciation Expense (1,563,717) (1,577,000) (1,660,000)

Written Down Value of assets sold (31,524) 0

Net Movement in property, plant &

equipment 133,409 1,226 6,877

April, 2010 19


20/32

Budgeted Standard Statements 2010/11 to 2013/14 Appendix B

Appendix B

Budgeted Standard Statements 2010/11 to 2013/14

$

Standard Income Statement

2008/09

Actual

2009/10

Adjusted 2010/11 2011/12 2012/13 2013/14

$ $ $ $ $

REVENUE

Council Contributions 8,283,526 8,686,456 9,169,596 9,628,076 10,109,479 10,614,953

State Government Funding 1,636,285 1,711,539 1,771,442 1,833,442 1,897,613 1,964,029

Local Priorities 86,121 90,081 93,680 96,959 100,352 103,865

Premiers Reading Fund 53,145 53,145 53,145 53,145 53,145

Library Fees 254,390 305,000 344,000 305,000 305,000 305,000

Interest 125,426 110,000 110,000 115,000 120,000 125,000

Other 432,239 337,000 291,150 295,000 300,000 305,000

TOTAL REVENUE 10,817,987 11,293,221 11,833,013 12,326,622 12,885,590 13,470,992

EXPENSES

Employee Costs 5,999,624 6,454,412 6,774,857 7,113,600 7,469,280 7,842,744

LSS Rental 108,409 110,000 112,860 115,794 119,268 122,846

Depreciation 1,563,717

Bookstock 1,211,000 1,200,000 1,400,000 1,500,000 1,600,000

Plant & Equipment 166,000 160,000 168,000 176,400 185,220

Leased Assets 200,000 300,000 300,000 300,000 300,000

Administration Costs 970,400 1,041,731 936,899 969,690 1,003,629 1,038,756

Finance Costs 94,471 77,000 139,232 117,341 323,970 400,000

Other 565,590Transport 102,000 102,000 104,652 107,373 110,165

Document Copy 80,000 80,000 80,000 80,000 80,000

Computer 451,210 550,233 563,697 583,426 603,846 624,981

Organisation 108,100 105,850 109,555 113,389 117,358

Community 236,750 248,989 257,703 266,723 276,058

Collection Non Capital 539,331 604,000 621,780 649,542 678,276 708,016

Management 49,500 49,500 51,233 53,026 54,882

TOTAL EXPENSES 10,292,752 10,990,726 11,395,663 12,020,537 12,795,181 13,461,025

Net Gain(Loss) on disposal of property (8,617) 0 0 0 0 0

OPERATING PROFIT FOR THE PERIOD 516,618 302,495 437,349 306,085 90,409 9,967

April, 2010 20


21/32


Standard Balance Sheet

2008/09

Actual

2009/10 -

adjusted 2010/11 2011/12 2012/13 2013/14

$ $ $ $ $ $

ASSETS

CURRENT ASSETS

Cash Assets 1,577,839 1,727,839 1,859,839 2,007,049 2,222,403 2,488,957Receivables 81,161 68,761 68,761 68,761 68,761 68,761

Prepayments 60,786 35,180 35,180 35,180 35,180 35,180

TOTAL CURRENT ASSETS 1,719,786 1,831,780 1,963,780 2,110,990 2,326,344 2,592,898

NON-CURRENT ASSETS

Bookstock, plant and equipment 4,763,587 4,473,435 4,480,312 4,365,665 4,195,702 3,971,614

TOTAL NON-CURRENT ASSETS 4,763,587 4,473,435 4,480,312 4,365,665 4,195,702 3,971,614

TOTAL ASSETS 6,483,373 6,305,215 6,444,092 6,476,655 6,522,046 6,564,513

LIABILITIES

CURRENT LIABILITIES

Payables 462,067 250,592 174,872 206,345 238,345 270,845

Interest Bearing Loans & Borrowings 286,897 312,000 298,472 77,018 0 0Provisions - Employment 1,096,618 1,096,618 1,096,618 1,096,618 1,096,618 1,096,618

TOTAL CURRENT LIABILITIES 1,845,582 1,659,210 1,569,962 1,379,981 1,334,963 1,367,463

NON-CURRENT LIABILITIES

Interest Bearing Loans & Borrowings 629,869 292,766 83,542 0 0 0

Provisions - Employment 154,435 197,257 197,257 197,257 197,257 197,257

Provisions - Reserves 150,000 282,000 429,210 644,564 911,118

TOTAL NON-CURRENT LIABILITIES 784,304 640,023 562,799 626,467 841,821 1,108,375

TOTAL LIABILITIES 2,629,886 2,299,233 2,132,761 2,006,448 2,176,784 2,475,838

NET ASSETS 3,853,487 4,005,982 4,311,331 4,470,207 4,345,262 4,088,674

REPRESENTED BY:

Members Contributions 3,770,079 3,770,079 3,770,079 3,770,079 3,770,079 3,770,079Accumulated Surplus/(Deficit) 29,392 181,887 487,236 646,112 521,167 264,579

Reserves - Asset Revaluation 54,016 54,016 54,016 54,016 54,016 54,016

EQUITY 3,853,487 4,005,982 4,311,331 4,470,207 4,345,262 4,088,674

April, 2010 21


22/32


Standard Cash flow Statement

2008/09

Actual 2009/10 2010/11 2011/12 2012/13 2013/14

CASH FLOWS FROM OPERATING ACTIVITIES

$ $ $ $ $ $

Contributions 9,470,497 8,686,456 9,169,596 9,628,076 10,109,479 10,614,953

Grants Received from Government 1,636,285 1,854,765 1,918,267 1,983,546 2,051,110 2,121,039

GST Received on Contributions and Grants 1,110,678 1,054,122 1,108,786 1,161,162 1,216,059 1,273,599

Payments to suppliers (2,470,205) (2,721,583) (2,821,574) (2,921,596) (3,025,531) (3,133,062)

Payments to Employees (6,073,512) (6,454,412) (6,774,857) (7,113,600) (7,469,280) (7,842,744)

GST on Payments (247,020) (272,158) (282,157) (292,160) (302,553) (313,306)

Interest Received 123,072 110,000 110,000 115,000 120,000 125,000

Library Fees 257,550 300,000 344,000 307,000 307,000 307,000

Other Receipts 626,262 342,000 291,150 324,500 330,000 335,500

Net GST Payment (922,773) (781,964) (826,629) (869,003) (913,506) (960,293)

Net cash provided by operating activit ies 3,510,835 2,117,226 2,236,581 2,322,926 2,422,779 2,527,687

CASH FLOWS FROM INVESTING ACTIVITIES

Payments for library books, plant and equipment (1,760,973) (1,578,226) (1,666,877) (1,753,352) (1,806,437) (1,861,132)Proceeds from sale of bookstock/equipment 22,907 0 0 0 0 0

Net cash used in investing activities (1,738,066) (1,578,226) (1,666,877) (1,753,352) (1,806,437) (1,861,132)

CASH FLOWS FROM FINANCING ACTIVITIES

Repayment of Borrowings (109,206) (117,000) (125,982) (135,236) (35,367) 0

Payments for Leased Plant & Equipment (216,939) (195,000) (172,490) (169,787) (41,651) 0

Finance Costs (95,041) (77,000) (139,232) (117,341) (323,970) (400,000)

Net cash used in investing activities (421,186) (389,000) (437,704) (422,364) (400,988) (400,000)

Net increase/(decrease) in cash held 1,351,583 150,000 132,000 147,210 215,354 266,555

Less cash adjustment - Grants/ contributions paid in advance (1,264,698)

Cash at the beginning of the f inancial year 1,490,954 1,577,839 1,727,839 1,859,839 2,007,049 2,222,403

Cash at the end of the financial year 1,577,839 1,727,839 1,859,839 2,007,049 2,222,403 2,488,957

April, 2010 22


23/32


Standard Statement of Capital Works

2008/09

Actual

2009/10

Adjusted 2010/11 2011/12 2012/13 2013/14

$ $ $ $ $ $

Capital Works Areas

Bookstock 1,388,361 1,488,145 $1,573,197 $1,656,393 $1,706,085 $1,757,268IT Equipment 24,222 90,081 93,680 96,959 100,352 103,865

Other Capital Purchases 316,067

Total Capital Works 1,728,650 1,578,226 1,666,877 1,753,352 1,806,437 1,861,132

Represented By:Renewal 1,728,650 1,578,226 1,636,877 1,713,352 1,761,437 1,816,132Upgrade

ExpansionNew Assets 30,000 40,000 45,000 45,000

Total Capital Works 1,728,650 1,578,226 1,666,877 1,753,352 1,806,437 1,861,132

Property, Plant and Equipment movement

Reconciliation Worksheet

Total Capital Works 1,728,650 1,578,226 1,666,877 1,753,352 1,806,437 1,861,132Asset Revaluation Movement

Depreciation Expense (1,563,717) (1,577,000) (1,660,000) (1,868,000) (1,976,400) (2,085,220)

Written Down Value of assets sold (31,524) 0 0 0 0

Net Movement in property, plant &equipment 133,409 1,226 6,877 (114,648) (169,963) (224,088)

April, 2010 23


24/32

Statutory Disclosures Appendix C

Appendix C

Statutory Disclosures

This appendix presents information required pursuant to the Act and the Regulations to bedisclosed in the Library Services Annual Budget.

The appendix includes the following budget information:

1 Borrowings

Schedule of Borrowings2008/09

Actual 2009/10 2010/11

$ $ $

Loan Liability as at 1 July 916,766 680,486 Plus increase in lease liability 75,720 0 Less Loan Redemption (312,000) (298,472) Loan Liability as at 30 June 916,766 680,486 382,014

2 Fees and charges

Item Charge Comment

Overdue charge 25c per day up to a maximum of$50 per borrower, max $15 peritem

Lost library card $2.50Lost items Cost of the item

Book saleAdult fiction(minimum)Junior material(minimum)Paperbacks(minimum)

$1

$1

50c

Inter libraryloans

$10 service feeCost recovery ($13.20 per item)if applicable

New item

Use of meetingroom

As per member councilsschedules

Use of trainingroom

As per member councilsschedules

DVD Writeabledisks

$1.10 per disk

USB sticks $15 New itemPrinting andcopying

20c per page Reduction from 25c to increaseefficiency of new self serviceprinting solution

Debt recovery $50 service fee plus debt

Book club fee $100 per club per annum New item

April, 2010 24


25/32

Financial Ratios Appendix D

All fees and charges inclusive of GST as it applies.

April, 2010 25


26/32

Key strategic activities Appendix D

Appendix D

Financial Ratios

Financial Ratios

2008/09

Actual 2009/10 2010/11 2011/12 2012/13 2013/14

$ $ $ $ $ $

Working CapitalTo assess the Library's ability to

meet current commitments1,720 1,832 1,964 2,111 2,326 2,593

Current Assets / Current Liabilities 1,846 1,659 1,570 1,380 1,335 1,367

Ratio: 0.93 1.10 1.25 1.53 1.74 1.90

Adjusted Working CapitalWorking Capital adjusted to reflect

actual expectation of current LSL

liability1,720 1,832 1,964 2,111 2,326 2,593

Current Assets / Adj Current Liabilities 1,246 1,059 970 780 735 767

Ratio: 1.38 1.73 2.02 2.71 3.17 3.38

Investment GapTo assess the Library's capitalexpenditure against depreciation

1,729 1,578 1,667 1,753 1,806 1,861

Capital spend/ depreciation 1,564 1,577 1,660 1,868 1,976 2,085

Ratio: 1.11 1.00 1.00 0.94 0.91 0.89

Underlying result

Measures the Library's surplus as a

percentage of revenue517 302 437 306 90 10

Net surplus/ total revenue 10,818 11,293 11,833 12,327 12,886 13,471

Ratio: 0.05 0.03 0.04 0.02 0.01 0.00

Debt Servicing

To identify the capacity of the

Library to service its outstanding debt94 77 139 117 324 400

Debt servicing costs/total revenue 10,818 11,293 11,833 12,327 12,886 13,471

Ratio: 0.87% 0.68% 1.18% 0.95% 2.51% 2.97%

Debt Commitment

To identify the Library's debt

strategy

Debt servicing and redemption / 421 389 438 422 401 400

Council contributions 8,284 8,686 9,170 9,628 10,109 10,615

Ratio: 0.05 0.04 0.05 0.04 0.04 0.04

Debt Exposure

To identify the Library's exposure

to debt

Total indebtedness / total 2,630 2,299 2,133 2,007 2,177 2,476

realisable assets 1,720 1,832 1,964 2,111 2,326 2,593

Ratio: 1.53 1.26 1.09 0.95 0.94 0.95

April, 2010 26


27/32

Annual Business Plan 2010-2011

Appendix E - Annual Business Plan 2010 - 2011

1. Libraries building community capacity

Building community capacity means libraries partnering with other agencies to deliver wideragendas (ie Council, State and Federal) and developing co-operative arrangements which willimprove and expand services to the community. Services need to be focussed and balancedaccording to social justice precepts and libraries can bridge the digital divide and offerequitable access to new technologies. In order to have strong communities, there is a need todevelop capacity. The library has a role in developing informed citizenry, of becoming amarketplace of ideas. The library needs to identify opportunities to strengthen communitiesand recognise leverage in integrated activities.

In 4 years time:

The librarys role in improving reading and literacy is valued, measurable and recognised.Community outcomes are being achieved in libraries as part of the broader agenda of the

three levels of government.Community learning opportunities are enhanced through libraries partnering with otherlearning organisations.Important issues of the day are highlighted, debated and discussed at the library.

Actions 10/11:

Strategy Actions

Develop the librarycollection to enablelearning, encourage

reading and improveliteracy

Continue to realign collections to reflect demand. Increaseproportion of adult fiction, picture books, DVDs, magazines andgraphic novels

Pilot bookshop shelving concept (non Dewey) at DiamondValleySignificantly enhance International English Language TestingSystem collection physical and online, to reflect demand

Focus on programs andservices that enhancereading and pre readingskills.

Introduce core programs at all branches from January 2011Preschool storytimeToddler storytimeBilingual storytimeBedtime storytimeJust 4 KidsSummer Reading ClubBookarooThemed school holiday activitiesTeenage nightsLanguage cafesSenior sessionBook clubsReaders in residence (outreach to nursing homes)Computer classes:One 2 oneBasicAdvancedEmail

Programs will be run at all branches at least monthly, most areweekly

April, 2010 27


28/32


Partner with membercouncils and communityorganisations tocollaboratively deliverprograms and services.

As per Branch plans

Develop programs toencourage debate and

raise communityawareness and knowledge- to create a marketplaceof ideas.

Hold forums on topical issues at librariesSustainable villages

Local food movement

2. Libraries as community hubs

The public library is increasingly being recognised as an essential community hub; a placewhere all are welcome and there is something for everyone. The public library buildscommunity connections, facilitates learning opportunities and provides access toinformational, educational and recreational resources.

With the increased focus on local places and local activity centres, the library service needs tohave quality facilities and effective means of engagement with the capacity to pull togetherthe energy that is in the community.

In 4 years time:

The library is full of multi format content informational and recreational that is popular,current, relevant and in good condition.The library fosters community connections through cultural and learning events andprograms.The library is visible and connected to the community and is marketed and promoted

professionally and effectively.Quality spaces have different zones for activities, quiet spaces and reading. There are learningspaces, art work is incorporated in the building, IT is integrated and the presentation oflibraries is impeccable.Libraries are the hubs of communities and are contemporary, sited in the right place,accessible and appropriate to their communities.

Actions 10 / 11:

Strategy Actions

Develop a forward plan with membercouncils for new libraries thatrespond to community needs anddemands.

Work with City of Whittlesea on planning forMernda and Epping North library facilitiesWork with Banyule City Council on West Heidelbergand Ivanhoe projects

Develop a wide range of programsand events celebrating the diverserange of interests and cultures in ourcommunities.

Celebrate Cultural Diversity Week with a program ofactivities and eventsCelebrate Refugee Week & Harmony DayEncourage library usage by indigenous communitiesand celebrate NAIDOC weekPromote Chinese collection and culture throughbilingual Storytimes and celebrate Chinese New YearContinue to conduct Get Loud program during Youth

WeekIntroduce new core seniors program at all branches

April, 2010 28


29/32


Promote and display new LOTE books with regularlaunchesIntroduce multilingual computer classes at allbranchesExpand Language Cafes to all branches to encouragereading in languages other than English and to assistin improving conversational skills

Continually monitor and assesslibrary buildings to ensure that theyare well maintained, attractive andwelcoming, and that spaces are fullyoptimised.

Develop a region wide approach to displaying librarymaterialPilot bookshop shelving concept (non Dewey) atDiamond ValleyExpand the genre collections at each branch

Continue to develop marketing andcommunication initiatives to ensurethat people know what collections,programs, services and facilities areavailable at their library.

Develop marketing concept featuring staffDevelop new marketing for all core activitiesDevelop marketing for computer trainingShowcase libraries at Council festivals

Encourage the community toparticipate, interact and collaboratewith the library

Develop a teenage volunteer programInvite secondary school students to assist withcomputer classesContinue branch involvement with students andvolunteers with disabilities

3. Libraries Online

Libraries are changing from being service providers to facilitating the creation of content.Relevant areas for public libraries are local history, local writing and local literature. Librariesare aware of the need to acquire and make accessible content born digital to ensure that theyare providing the information that people require and to remain relevant in an increasingly

online world.

New social networking technologies enhance the ability to find, share and combineinformation more easily.

In 4 years time:

There is significant local content created in local history, literature and the arts.Social networking enables people to form new networks and interact online creating newcommunities of interest.The network is stable, redundant and secure. There are enough pcs, peripherals and equipmentfor people to access and create content.

The Library Management System is at the leading edge and online content is easy to accessand authoritative.

Actions 10 / 11:

Strategy Actions

Build content that documents life inMelbournes north throughWikinorthia project.

Increase participation in Wikinorthia through targetedbranch programs

Develop and promote onlinecollections.

Provide new downloadable media with Australiancontent

Promote new website to borrowersPromote Local History Online (Hyperion) and

April, 2010 29


30/32


continue to add content (and transfer existing)Continue indexing local papers (Eltham)

Engage with borrowers, promoteprograms and services, andencourage participation using socialnetworking technologies.

Introduce core computer classes from January 2011One 2 oneMultilingual trainingBasicAdvanced

emailConduct online surveys on particular services andprograms

Ensure the Network meets the needsof the library service and there aresufficient pcs etc

Continue to monitor network

4. Skilled and confident library staff

In order to realise our exciting and positive vision for the future of our libraries we need torecruit, retain and develop a diverse, appropriately skilled workforce. Library staff need to be

familiar and comfortable with the new ways of engaging and helping users find information,gather knowledge and create content. We need to invest in skills development to enable staffto deliver on our agenda, and staff need the opportunity to acquire skills that will enable themto further their career in a sector that is constantly changing.

In 4 years time:

There is a culture of learning and staff are skilled and confident in their roles.There is a safe and healthy workplace.There is an organisational culture of innovation and flexibility.Systems, processes and policies that facilitate effective management of all staff are in place.

Actions 10 / 11:

Strategy Actions

Ensure that staff developmentprograms are relevant, interestingand encourage staff to learn newthings.

Continue with library worker 2.0 programProvide regular training for multicultural libraryservicesProvide regular training for Disability AwarenessDevelop Enhancing the customer experienceprogram

Promote a safe and healthyworkplace.

Continue to promote warm up for work programAction all items on monthly Safety Inspection

ChecklistContinue wellness program

Promote an environment ofinnovative thinking, adaptability,flexibility and risk taking.

Continue with international staff exchange programContinue Bright Ideas program to encourage staffinput and innovation

Implement systems, processes andpolicies that facilitate the effectivemanagement of all staff

Implement all recommendations from the HR InternalAudit

5. Seamless integrated technology

We value a culture of innovation and pride ourselves on providing resources, programs,services and up to date technology that are continually evolving to meet the needs of our

April, 2010 30


31/32


community. We strive for continuous improvement. We continually look for new ways ofdoing things and streamlining our processes. We value personalised services both in brancheson online. We ensure that we are getting value for money.

In 4 years time:

YPRL is considered a best practice public library.

Technology is fully integrated and the network provides seamless, reliable and fast service.There is a culture of continuous improvement.RFID is fully utilised and is providing significant benefit.

Actions 10 / 11:

Strategy Actions

Redevelop the intranet. Install new software and redevelop intranet to improveefficiency and effectiveness

Monitor and evaluate networkperformance to ensure it isproviding the necessarybandwidth.

Continue to monitor network

Ensure RFID is being exploited toprovide maximum benefitincluding the introduction ofautomated returns.

Pilot use of RFID wand at Mill Park library to ascertaineffectiveness and usefulness

Identify and prioritise key areasfor review.

Install power points for laptops at selected branchesRefresh IT Strategic Plan

Identify process and systemchanges required to improvereliability and performance and

implement.

Disaster Recovery Plan to be tested and monitored

6. Sustainable and responsible finance and governance

The Library Service is governed by a Board comprising 2 councillors from each of the 3municipalities. The Audit Committee is a sub committee of the Board and advises it onfinancial and risk management issues. Sustainability ratios measuring underlying result;liquidity; indebtedness; and investment gap are regularly monitored. The library is proactivein ensuring that all legislative requirements are met and that all processes and proceduresmeet best practice through regular internal audits.

In 4 years time:

The organisation is sustainable and appropriately funded, including realistic assetreplacement.Strategic and operational plans are robust, meaningful and future oriented.Income from other sources is maximised.All relevant legislation and policies are complied with, to Best Practice standards.Actions 10 / 11:

Strategy Actions

Ensure sustainable asset

replacement including collections.

Increase collection budget an additional $36,000 over

CPI to bring collection expenditure to a 6 yeardepreciation schedule by 2012

April, 2010 31


32/32


Develop a 5 year strategic asset plan for branchfurniture and fittings

Meet budget targets. Align budget with Strategic Plan using best practicemodel

Continually monitor spending toensure best value is obtained fromfunding.

Continue contract management procedures to ensuretendering ongoing management of contracts is effective

Monitor the Risk ManagementPlan so that it is a living documentthat accurately reflects the risks tothe organisation and manage thoserisks.

Continue Risk Management meetings and regularreporting to Audit CommitteeDevelop a Risk Management culture within EMT

Continue with the Internal Auditprocess, addressing areas ofhighest risk to the library service.

Conduct annual Internal Audit Records Management

Use relevant benchmarking andbest practice tools to improveperformance.

Continue to develop reports to better manage libraryoperations

Work on providing additionalincome streams

Continue to offer training to other organisations on a feebasisDevelop an online Web 2.0 program for LocalGovernment workersPromote community room usage

Documents

YPRL Annual Budget 2010/11