Richmond Valley 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 →
$1,228 / yearAbout 8% above the NSW council average of ~$1,140. In 2024–25 it was $1,282 (NSW ~$1,203). A separate domestic waste charge applies. (OLG 'Your Council' data.)
Operating deficit — performance ratio −16.6%Well below the >0% benchmark; a large operating deficit is the stand-out miss this year.
Self-funding
Own-source revenue 49.6% (misses)Below the >60% benchmark — the council relies more heavily on grants and contributions than the benchmark assumes.
Liquidity & cash
Unrestricted current ratio 2.95× (passes), 11.1 months cash (passes), debt service cover 2.68× (passes)Liquidity, cash cover and debt service cover are all above benchmark.
Infrastructure
Backlog 6.9% (misses); renewals 68.8% (misses); maintenance 131.3% (passes)The backlog and renewals ratios miss their benchmarks; asset maintenance passes.
Domestic waste charge (2023–24)
$625 / yearA separate annual charge that funds the bin service; $628 in 2024–25.
Indicator (2023–24)Richmond ValleyMeets?
−16.6%> 0%No
49.6%> 60%No
2.95×> 1.5×Yes
2.68×> 2×Yes
9.6%< 10%Yes
11.1 months> 3 monthsYes
6.9%< 2%No
131.3%> 100%Yes
68.8%> 100%No

Richmond Valley Council'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. Richmond Valley met 5 of the 9 benchmarks in 2023–24. The stand-out misses were a large operating deficit (−16.6% against a >0% benchmark) and own-source revenue (49.6% against >60%) — the council draws a larger share of its income from grants and contributions than the benchmark assumes, in a regional LGA still recovering from the 2022 floods. (The OLG classifies Richmond Valley as a regional town/city council, so it is benchmarked at under 10% for rates outstanding, where it sits just under at 9.6%.) The OLG's 2024–25 time-series shows the infrastructure ratios: backlog 6.1%, maintenance 149.8%, renewals 68.4%. 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.