Forbes Shire Council
Budget & finances

Budget & finances

Comparing raw dollar totals between councils isn't very useful — bigger councils naturally have bigger numbers. What does tell you about a council's financial health are normalised indicators: the standard ratios that every NSW council reports against the Office of Local Government's benchmarks, plus per-property figures you can compare to the NSW average. The ratios below are from the NSW Government's 'Your Council' / OLG time-series data for 2023–24. (The OLG classifies Forbes as a Large Rural council, so it is benchmarked at under 10% for rates outstanding; metropolitan councils are held to under 5%.)

New to these terms? Read them in plain English
Operating performance ratio
Whether everyday income covers everyday running costs.
Own-source operating revenue ratio
How much of the council's income it raises itself vs. grants from other governments.
Unrestricted current ratio
Whether the council has enough spare cash to pay its short-term bills.
Debt service cover ratio
How comfortably operating cash covers the council's loan repayments.
Rates & annual charges outstanding ratio
The share of rates bills that haven't been paid by year-end.
Cash expense cover ratio
How many months the council could keep paying bills if income stopped.
Infrastructure backlog ratio
The cost of fixing run-down assets, as a share of what those assets are worth.
Asset maintenance ratio
Whether the council actually spends what it should on maintaining its assets.
Building & infrastructure renewals ratio
Whether assets are being renewed as fast as they wear out.
Operating result (surplus / deficit)
Income minus expenses for the year's normal operations.
OLG benchmark
The healthy target set by the state for each financial ratio.
Average residential rate
The typical yearly general-rates bill for a home in the area.
Office of Local Government (OLG)
The NSW body overseeing councils; publishes the financial data.
See the full explainer, with formulas →

The numbers

$957 / yearAbout 20% below the NSW council average of ~$1,203 (2023–24 was $922, vs NSW ~$1,140). A separate domestic waste charge (~$451 in 2024–25) applies. (OLG time-series data.)
Operating performance ratio −1.9%Below the >0% benchmark — an operating deficit for the year.
Liquidity & cash
Unrestricted current ratio 1.67× and debt service cover 2.75× both pass; cash expense cover 2.9 months missesCash cover sits just under the three-month benchmark; the liquidity and debt-service ratios are above their benchmark lines.
Self-funding
Own-source revenue 56.8% (misses)Below the >60% benchmark, meaning grants and contributions supplied a larger share of income than the benchmark contemplates — a common pattern for large rural councils with a small rate base spread over a wide area.
Infrastructure
Backlog 1.3% passes; asset maintenance 88.9% and renewals 69.9% both miss (2023–24)The OLG's 2024–25 time-series shows backlog 1.4%, asset maintenance 91.9% and building & infrastructure renewals 42.9%.
5.5%Below the under-10% benchmark that applies to rural councils.
Indicator (2023–24)ForbesMeets?
−1.9%> 0%No
56.8%> 60%No
1.67×> 1.5×Yes
2.75×> 2×Yes
5.5%< 10%Yes
2.9 months> 3 monthsNo
1.3%< 2%Yes
88.9%> 100%No
69.9%> 100%No

Forbes's financial-health indicators, 2023–24, against the NSW Office of Local Government benchmarks. 'Meets?' simply states whether the figure is on the benchmark side of the line. Source: NSW Government 'Your Council' / OLG time-series data, 2023–24.

These ratios are the standard, size-independent way to read a council's finances, which is why we use them instead of raw dollar totals. Forbes met 4 of the 9 benchmarks in 2023–24: the three that missed on the income side were the operating result (−1.9%), own-source revenue (56.8%) and the cash buffer (2.9 months against a three-month benchmark); on the asset side the infrastructure backlog is inside its benchmark while asset maintenance and renewals sit below theirs. The OLG's 2024–25 file shows renewals falling further to 42.9% and asset maintenance rising to 91.9%. Forbes's average residential rate is about 20% below the NSW average. We present the numbers and their benchmarks; whether that's good value is for you to judge from the sources below, including the council's own Long Term Financial Plan and adopted Delivery Program and Operational Plan.

Sources — check it yourself

Figures are current as at the dates shown and may change — always confirm with the linked source. See the notice at the bottom of the page for full details and how to report a correction.