Not sustainable means no cash: I refer you to the letter of Ken Collings in 20 August 2010. After reading the letter I contacted Mr Groos and obtained a copy of the emailed referred to as I have an interest in the abysmal and spiralling state of Council finances.
The content and references in the email are correctly referenced to Council information. The analysis compares the first year of the 10 year plan with the actual results achieve. For example 'Working Capital” deteriorated by 23%. This is a crystal clear statement that there is less cash available than budgeted for. At what point does that change from being 'good” to 'bad” Mr Collings?
Audit NZ rejected the TCC 10 year plan (LTCCP) as submitted; TCC reshuffled the figures then resubmitted it for approval. Audit NZ did approve it but Mr Collings has clearly overlooked some very important and critical information from Audit NZ: -
'It was not sustainable beyond 2014”
TCC is already 23% behind the first year of its own budget, clearly that means TCC will achieve the Audit NZ prediction sooner than 2014. It is obvious this is not a 'Sound position.” Think again Mr Collings.
Ian L Stevenson CA, Tauranga.