Kiama Municipal 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.

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 →
$1,802 / yearAbout 58% above the NSW council average of ~$1,140 — Kiama sits in the higher range, similar to other Illawarra/South Coast councils. A separate domestic waste charge (~$651) applies. (OLG 'Your Council' data.)
Operating deficit — performance ratio −17.6%Kiama recorded an operating deficit in 2023–24. Its Long-Term Financial Plan sets out measures (including service reviews and a possible special rate variation) aimed at returning the council to a sustainable position.
Infrastructure
Meets all 3 OLG infrastructure benchmarksBacklog 1.9% (benchmark <2%), renewals ~185% and asset maintenance ~100% (both benchmark >100%) — Kiama has been renewing and maintaining its assets at or above the benchmark.
Liquidity & cash
Healthy — unrestricted current ratio 2.63×, ~6.8 months cashBoth comfortably above the OLG benchmarks (>1.5× and >3 months).
Domestic waste charge (2023–24)
$651 / yearA separate annual charge that funds the bin service; by law it can only recover the reasonable cost of providing the service.
Indicator (2023–24)KiamaMeets?
−17.6%> 0%No
64.4%> 60%Yes
2.63×> 1.5×Yes
−1.33×> 2×No
2.6%< 10%Yes
6.8 months> 3 monthsYes
1.9%< 2%Yes
100.4%> 100%Yes
184.8%> 100%Yes

Kiama'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. Kiama met 7 of the 9 benchmarks in 2023–24. The two it didn't — the operating-performance ratio and the debt service cover ratio — both reflect an operating deficit that year (the debt-cover ratio measures operating funds available to service debt, so it turns negative when the operating result is negative), rather than weak infrastructure spending: its three infrastructure ratios all met the benchmark. We present the numbers and their benchmarks; whether that's good value is for you to judge from the sources below.

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.