Local Govt | National News Video | Parliament Headlines | Politics Headlines | Search

 


Credit rating agency praises Council team

NEWS RELEASE
26 November 2012

Credit rating agency praises Council team

Wellington City Council’s AA/A-1+ credit rating has been reaffirmed by Standard and Poor’s – a strong endorsement of the Council’s financial management.

Councillor Ian McKinnon, the Chair of the City Council’s Audit and Risk Committee and Deputy Mayor, says Council Chief Executive Garry Poole, his senior managers and finance team deserve congratulations for the positive rating report from the international financial services company.

Cr McKinnon says S&P makes particular mention of the Council’s “very capable” management team and its financial and asset-management strengths.

In its report, S&P says Wellington City's key strength is its excellent financial management. “Standard & Poor's considers the council's asset-management strategies as being sophisticated, given they are inextricably linked to the council's financial-management tools.

The S&P report adds: “The council manages both external and internal risks through an extensive and credible management framework. While the institutional framework within New Zealand promotes a culture of strong management, Wellington City tends to exceed its legislative requirements.”

Cr McKinnon says the Wellington City Council credit rating is only one notch below the Crown’s – which traditionally has the country’s best credit rating. “This affirms that the city is in good hands.”

S&P says Wellington City’s debt is likely to increase in the next few years before peaking in 2018. It says the Council faces significant spending in the next few years as it deals with earthquake-strengthening of buildings and also settlements relating to leaky homes liabilities. Cr McKinnon says the Council is well aware of these challenges and adds that this spending has been appropriately forecasted and budgeted for.

“The rating from S&P confirms that we have our debt profile firmly under control,” says Cr McKinnon.

Mayor Celia Wade-Brown, the Council’s Finance Portfolio Leader, was interviewed by Standard and Poor’s as part of the rating assessment.

“Councillors realise that the city's finances must focus on key priorities of city resilience and affordability while considering the future wellbeing of residents, businesses and visitors,” she says.
“Councillors and staff are working together to ensure the ongoing financial sustainability of the Council, looking at new ways of service delivery and the use of technology.”

In its report, S&P says the stable outlook for the Council “reflects our view that the stand-alone credit quality of Wellington City will remain very strong, and our expectation is that the council will continue to manage its financial position prudently. Our credit outlook holds for the next 24 months.

The Council’s Chief Financial Officer, Peter Garty, says the AA/A-1+ rating would continue to bring significant savings in the cost of borrowing as lenders offer lower interest rates to holders of high credit ratings.

It also provides more certainty of access to funds, as tough economic conditions continue to prevail around the world and lenders continue to exercise great caution.


ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On Cunliffe’s Last Stand

Right now, embattled Labour leader David Cunliffe has three options. None of them are particularly attractive for him personally, or for the Labour Party.

In scenario one, Cunliffe could resign immediately and trigger a leadership vote among the caucus, the party membership and unions affiliates. This would be a high risk gambit in that it would pre-empt any review of the Labour election campaign and would be likely to open up new divisions.

While one can safely predict the caucus would vote against Cunliffe, the wider party and union response would be unpredictable, given that Cunliffe (ineptly) ran a centrist neo-Goff/Shearer campaign this year and not the left wing campaign that those who voted him into the leadership were expecting him to pursue. More>>

 

Key Seeking 'New Ideas': Look To Children’s Commissioner On Poverty - Greens

John Key should not reinvent the wheel when it comes to ideas for tackling child poverty, and instead look to the recommendations of the Children’s Commissioner’s Expert Group on Child Poverty, Green Party co-leader Metiria Turei says. More>>

ALSO:

'Safe To Re-Enter' - OIA Docs: Safety Is Absolute Priority At Pike River Mine

“We understand that the time it is taking to complete our evaluation of the risks is frustrating for the family members and we are trying to complete this work as quickly as we can,” Ms Dunphy says. “It is Solid Energy’s responsibility to make this decision and we will do so, once we have all the information required to make a fully-informed decision.” More>>

ALSO:

Images & Report: Mihi To Welcome Newly-Elected MPs To Parliament

The 29 newly elected MPs were welcomed into Parliament with a Mihi. Parliament’s current Speaker David Carter offered advice from his experience working in Parliament advising the MPs to work collaboratively. More>>

Gordon Campbell: On Labour’s Very Bad Year

While Labour leader David Cunliffe still appears to be in denial about the extent of Saturday night’s debacle, there was hardly a single redeeming feature about the election results for the centre-left... More>>

ALSO:

General Election NZ: National Win

Election Night: With almost all votes counted National and John Key have won a third term and are close to being able to govern alone if they so choose. Key has indicated he will still reach out to form a Government with ACT, United Future and Maori Party. More>>

ALSO:

Perfectly-Timed Anniversaries: Suffrage Day Is Last Chance To Enrol

“The last chance to enrol is Friday 19 September. You can’t enrol on election day.” More>>

ALSO:

Gordon Campbell: On First Time Voting (Greens)

For the last two days, I’ve turned my column over to a couple of guest columnists who are first time voters… Today’s guest columnist is Ana Avia-O’Connor, who will be casting her first time vote on Saturday for the Greens. More>>

ALSO:

Meddling: Aussie Liberals Embroiled In Key Campaign

John Key needs to explain why Australia’s Liberal Party is interfering in New Zealand domestic politics and is encouraging Kiwi voters across the ditch to vote for National just days out from the election, Labour’s campaign spokesperson Annette King says. More>>

ALSO:

SURVEILLANCE:

Election Ad Soundtrack: Rapper Eminem Sues National Party Over Copyright Breach

US rapper Eminem is suing the New Zealand National Party for alleged copyright infringement over unauthorised use of the rapper’s ‘Lose Yourself’ song in an election campaign advertisement. More>>

ALSO:

Big March: Call For An End To Domestic Violence

Hundreds of protesters marched down Lambton Quay to Parliament Monday calling for an end to domestic violence. Wearing white facemasks, waving banners and calling for “safety” for the women and children of New Zealand.. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Regional
Search Scoop  
 
 
Powered by Vodafone
NZ independent news