14 July 2014
Top Tips for managing the impacts of reform: Treasury Management
Understanding and managing your balance sheet capital funding requirements and putting strong treasury management in place is the first fundamental step to navigating your service through reform.
The following tips provide you with a guide for reviewing and strengthening your treasury management:
Purchase or build an Accommodation Bond / RAD register that complies with all the requirements, including:
- Calculation of interest
- Determination of refund dates that comply with legislative and your service agreement timeframes
Update your Chart of Accounts to include RADs and DAPs. Click here for more info...
Review, understand and embed the Prudential Reporting Requirements into your financial guidelines, and proceduralise the review and monitoring for any future changes to the requirements.
Refamiliarise yourself with the permitted uses of resident funds such as Accommodation Bonds and RADs.
Establish or review your organisational procedures to ensure that your treasury management is aligned to your balance sheet capital funding requirements. Also update your management strategies such as Liquidity Management and Investments to account for the impacts of RADs.