An Ordinary Meeting of the Bega Valley Shire Council will be held at Council Chambers, Bega on Wednesday, 6 February 2013 commencing at 2.00 pm to consider and resolve on the matters set out in the attached Agenda.


Peter Tegart

General Manager



31 January 2013



Cr Bill Taylor, Mayor

Cr Russell Fitzpatrick, Deputy Mayor

Cr Tony Allen

Cr Michael Britten

Cr Keith Hughes

Cr Ann Mawhinney

Cr Kristy McBain

Cr Liz Seckold

Cr Sharon Tapscott


General Manager, Mr Peter Tegart

Group Manager Infrastructure, Waste and Water, Mr Wayne Sartori

Group Manager Planning and Environment, Mr Andrew Woodley

Community and Relationships, Ms Leanne Barnes

Minute Secretary





The Agendas for Council Meetings and Council Reports for each meeting are available from 5.00 pm one week prior to each Ordinary Meeting, on Council’s website.  A hard copy is also made available to each Library Branch and at the Bega Administration Building reception desk.

The Minutes of Committee and Council Meetings are available from 5.00pm on Council's Web Site on the Friday after the Meeting on Councils website and hard copies distributed with the Agenda for the following meeting.

1.      Please be aware that the recommendations in the Council Meeting Agenda are recommendations to the Council for consideration.  They are not the resolutions (decisions) of Council.

2.      Background for reports is provided by staff to the General Manager for his presentation to Council.

3.      The Council may adopt these recommendations, amend the recommendations, determine a completely different course of action, or it may decline to pursue any course of action.

4.      The decision of the Council becomes the resolution of the Council, and is recorded in the Minutes of that meeting.

5.      The Minutes of each Council meeting are published in draft format, and are confirmed, with amendments by Councillors if necessary, at the next available Council Meeting.

If you require any further information or clarification regarding a report to Counci, please contact Council’s Executive Assistant who can provide you with the appropriate contact details

         Phone (6499 2104) or email execassist@begavalley.nsw.gov.au.



Ethical decision making

Is the decision or conduct legal?

Is it consistent with Government policy, Council’s objectives and Code of Conduct?

What will the outcome be for you, your colleagues, the Council, anyone else?

Does it raise a conflict of interest?

Do you stand to gain personally at public expense?

Can the decision be justified in terms of public interest?

Would it withstand public scrutiny?

Conflict of interest

A conflict of interest is a clash between private interest and public duty. There are two types of conflict:

Pecuniary – regulated by the Local Government Act and Department of Local Government

Non-pecuniary – regulated by Codes of Conduct and policy. ICAC, Ombudsman, Department of Local Government (advice only).  If declaring a Non-Pecuniary Conflict of Interest, Councillors can choose to either disclose and vote, disclose and not vote or leave the Chamber.

The test for conflict of interest

Is it likely I could be influenced by personal interest in carrying out my public duty?

Would a fair and reasonable person believe I could be so influenced?

Conflict of interest is closely tied to the layperson’s definition of ‘corruption’ – using public office for private gain.

Important to consider public perceptions of whether you have a conflict of interest.

Identifying problems

1st     Do I have private interests affected by a matter I am officially involved in?

2nd    Is my official role one of influence or perceived influence over the matter?

3rd    Do my private interests conflict with my official role?


Whilst seeking advice is generally useful, the ultimate decision rests with the person concerned.

Agency advice

Officers of the following agencies are available during office hours to discuss the obligations placed on Councillors, officers and community committee members by various pieces of legislation, regulation and codes.





Bega Valley Shire Council

(02) 6499 2222




8281 5999

Toll Free 1800 463 909



Division of Local Government (DPC)

(02) 4428 4100



NSW Ombudsman

(02) 8286 1000

Toll Free 1800 451 524




TO:   The General Manager
Bega Valley Shire Council


Disclosure of pecuniary interests / non-pecuniary conflict of interests

In accordance with the Council’s Code of Meeting Practice and the requirements of the Local Government Act  and regulations or dispensation issued by the Division of Local Government  I hereby disclose the following pecuniary interests and/or non-pecuniary conflict of interests at the meeting as indicated below:

Ordinary meeting held on _____ / _____ / 20___

dd               mm                  yy


Item no & subject



Interest (tick one)

Pecuniary interest                                    Non-pecuniary conflict of interest


* Nature of interest



If Non-pecuniary  (tick one)

 Disclose & vote        Disclose & not vote          Leave chamber





Item no & subject



Interest (tick one)

Pecuniary interest                                    Non-pecuniary conflict of interest


* Nature of interest



If Non-pecuniary  (tick one)

 Disclose & vote        Disclose & not vote          Leave chamber







Print Name



*  Note:   Under the provisions of Section 451(1) of the Local Government Act 1993 (pecuniary interests) and Part 6.11 of the Model Code of Conduct prescribed by the Local Government (Discipline) Regulation 2004 (conflict of interests) it is necessary for you to disclose the nature of the interest when making a disclosure of a pecuniary interest or a non-pecuniary conflict of interest at a meeting.



Council                                                                                                        6 February 2013



1     Confirmation Of Minutes


That the Minutes of the Ordinary Meeting held on 16 January 2013 as circulated, be taken as read and confirmed.

2     Apologies and requests for leave of absence


3     Declarations

Pecuniary, Non-Pecuniary and Political Donation Disclosures to be declared and tabled.

4     Deputations (by prior arrangement)

The following person has been granted permission to address Council and to respond to questions from Councillors:


Regarding Cr Fitzpatricks Notice of Motion 16.1 Conditions applying under Development Control Plan 2:      


•           Mr Ronald Knapman

5     Petitions


6     Mayoral Minutes


7        Adjournment to Standing Committees


That the Ordinary meeting of the Council be adjourned for the purpose of dealing with staff reports to Standing Committees.


8     Staff Reports – Planning and Environment (Sustainability)

In accordance with Council’s Code of Meeting Practice, this section of the agenda will be chaired by Councillor Britten

Nil Reports

9     Staff Reports – Community and Relationships (Liveability)

In accordance with Council’s Code of Meeting Practice , this section of the agenda will be chaired by Councillor Seckold.

Nil Reports

10   Staff Reports – Economic (Enterprising)

In accordance with Council’s Code of Meeting Practice, this section of the agenda will be chaired by Councillor McBain.

10.1             Subdivision and sale of land at Kerrisons Lane, Bega to Essential Energy........................................................................................... 10

11   Staff Reports – Infrastructure Waste and Water (Accessibility)

In accordance with Council’s Code of Meeting Practice, this section of the agenda will be chaired by Councillor Fitzpatrick.

11.1             Legal  Advice -  Water Supply and Sewer Section 64 Contributions .. 16

11.2             Tender RFT 57/12 Merimbula Airport Runway Resurfacing............... 19

12   Staff Reports – Governance and Strategy (Leading Organisation)

In accordance with Council’s Code of Meeting Practice, this section of the agenda will be chaired by Councillor Mawhinney

12.1             DLG Comparative Indicators 2011................................................... 26

12.2             New Model Code of Conduct............................................................ 33

12.3             Draft operational plan, budget and fees and charges - public exhibition...................................................................................................... 61

12.4             The Australian Coastal Councils Conference - South Australia March 2013............................................................................................... 72

12.5             Hospital Poll - Local Government Elections.................................... 84 .

13   Adoption of Reports from Standing Committees


That all motions recorded in the Standing Committees, including votes for and against, be adopted in by the Ordinary Council meeting.

14   Delegates Reports


15   Rescission/alteration Motions


16   Notices of Motion

16.1             Conditions applying under Development Control Plan 2..................... 87


17   Urgent Business


18   Questions On Notice

18.1             Cr McBain - Shire Name Change..................................................... 90

18.2             Cr Tapscott - Bega Regional Centre Proposal.................................. 93


19   Questions for the Next Meeting


20.. Confidential Business 


21   Adoption of reports from Closed Session

22   Resolutions to declassify reports considered in closed session

Council                                                                                                        6 February 2013



staff reports – economic (enterprising)


6 February 2013

In accordance with Council’s Code of Meeting Practice (2011), this section of the agenda will be chaired by Councillor McBain.

10.1         Subdivision and sale of land at Kerrisons Lane, Bega to Essential Energy...................................................................................... 10

Council 6 February 2013                                                                                 Item 10.1


10.1.       Subdivision and sale of land at Kerrisons Lane, Bega to Essential Energy     


Essential Energy has expressed an interest in purchasing a parcel of Council owned land at Kerrisons Lane, Bega in order to expand its operations.


General Manager  



In 2009 Country Energy, as it was then known, expressed an interest in purchasing an approximately 1.3 hectare section of Council owned land adjoining its Field Service Centre, at Kerrisons Lane, Bega, in order to expand its operations.

The relevant Council owned site is Lot 420 on DP874393, as depicted in the attached plan. The existing Country Energy site is also depicted on the plan.

Lot 420 is owned by Council, subject to a right of carriageway and a lease for the Bega Saleyards.

A valuation of the property, being part of Lot 420, was obtained in October 2009.

Initial negotiations commenced at that time, and included the necessity to relocate the effluent disposal sprinkler system on the site.

In November 2009, Council offered the proposed area for sale at $60,000 plus GST together with all additional costs of the subdivision/boundary realignment and the decommissioning and relocation of the effluent irrigation system to be borne by Country Energy.

In May 2010, Country Energy indicated its intention to resume negotiations, seeking quotations for the works to decommission and relocate the effluent irrigation system.

In December 2010, the quotation was obtained, for $19,335 together with costs of the quote of $330. The quote details were submitted to Country Energy.

In March 2011, Essential Energy then raised additional issues involving extension of the existing right of way to provide access on the western boundary of the block and the zoning of the site, following subdivision.

Meetings were held with Essential Energy staff at that time to discuss the relevant issues, following which, Essential Energy was to consider its options and submit a proposal for the 2011/12 financial year.


Having confirmed its intention to proceed, in December 2012, Council offered the site to Essential Energy for subdivision and sale on the following terms:

·    Purchase price $65,000, plus

·    sprinkler relocation costs (current quote to be obtained by Essential Energy and approved), and

·    costs of subdivision/boundary readjustment $5,000, and

·    sundry costs, disbursements and duties

Essential Energy now seeks additional information in relation to the sprinkler relocation, and agreement from Council to appoint a surveyor to prepare the plan of subdivision and development application, and its solicitor to prepare the contract of sale.



The terms and conditions of the contract for the subdivision and sale of the site are to be finalised, with the contract then prepared and executed by both parties.


A scope of works is to be prepared and submitted to Essential Energy to enable the sprinkler system relocation to be effected to the satisfaction of Council by the appropriately qualified contractors.


Sale proceeds will contribute to the property reserve fund for future Council projects.

Resources (including staff)

Council property staff and/or external legal providers will be involved in the finalisation of the transaction.


Council proposes to subdivide and sell the relevant section of land within Lot 420 DP 874393 to Essential Energy and to enter into a contract of sale with Essential Energy on the terms outlined.



1View. Country (Essential) Energy proposed purchase Kerrisons Lane, Bega - site map 260809



1. That Council note this report

2. That Council enter a contract of sale for part of Lot 420 DP874393 Kerrisons Lane, Bega to Essential Energy for $65,000 plus the additional costs of the sprinkler relocation works and the reasonable costs of Council in relation to the subdivision and sale.

3. That Council authorise its official seal to be affixed to the necessary documents under the signature of the Mayor and General Manager.



6 February 2013

Item 10.1 - Attachment 1

Country (Essential) Energy proposed purchase Kerrisons Lane, Bega - site map 260809




Council                                                                                                        6 February 2013



staff reports – infrastructure Waste and Water (Accessibility)


6 February 2013

In accordance with Council’s Code of Meeting Practice (2011), this section of the agenda will be chaired by Councillor Fitzpatrick.  

11.1         Legal  Advice -  Water Supply and Sewer Section 64 Contributions ................................................................................................ 16

11.2         Tender RFT 57/12 Merimbula Airport Runway Resurfacing.......... 19

Council 6 February 2013                                                                                 Item 11.1


11.1.       Legal  Advice -  Water Supply and Sewer Section 64 Contributions       


This report details the findings of legal advice sought by Council regarding application of Water Supply and Sewerage Section 64 Developer Contributions.


Group Manager Infrastructure, Waste & Water   



Section 64 Developer Contributions are up-front charges levied to recover part of the infrastructure costs incurred in servicing new developments or additions/changes to existing developments. The authority for local government councils/local water utilities (LWU) to levy developer charges for water supply and sewerage derives from Section 64 of the Local Government Act 1993 by means of reference to Section 306 of the Water Management Act 2000.

At its meeting of 12 December 2012 Council resolved the following:

That Council receive legal advice as to the application of the current policy since April 2009 as to its retrospectivity.

That Council receive an update report on the 16 January 2013 and a full report on the legal advice in February 2013.

That subsequent to legal advice a report be presented in March 2013 noting the detailed list of properties affected and potential financial impact for consideration of Council.



Lindsay Taylor Lawyers (LTL) was engaged to provide legal advice regarding application of S64 contributions. A confidential copy of the advice inclusive of the brief is attached to this report. The following key findings of the advice are summarised:

·    Council’s current practices in relation to charges for vacant lots created as a result of consent of Council or of a Crown subdivision are lawful.

·    The power to impose the charges does not depend on whether a particular development requires development consent.

·    There are no issues that arise in relation to retrospectivity or that there is any question that refunds need to be made for development that has taken place on vacant lots.


Council Finance and Planning staff are currently assessing the quantum and type of developments that were required to pay S64 contributions since 2006. Details on the outcome of this assessment will be provided in the March 2013 report.


Council’s current policy position is based on complete cost recovery with no cross subsidy inputs by the wider customer base. The policy position has remained unchanged since 2006.


S64 contributions are used to fund new water supply and sewer infrastructure utilised by all growth related development. 


There is substantial debate over the impact that s94 and s64 charges have on property development.

Councillors are yet to consider the combined and related effect of s64 (water and sewer) and s94/s94A (general) development contributions in the context of the long term financial plan and potential impacts of those contributions on development activity.


The Water and Sewer DSP’s and SBP documents currently being drafted detail the capital works proposed for the Shire particularly over the next ten years. The DSP’s will reflect the SBP level of service and capital works goals, with appropriate reference to the adopted asset management plans (AMPs).


The current Water Supply and Sewer DSP’s were adopted by Council after extensive public consultation. A change to the policy position now may require additional public consultation because of the cross subsidy implications for the broader customer base.

There is a strong argument that this consultation should be incorporated into the public exhibition period leading up to the adoption of the revised DSP documents.


A substantial financial commentary was provided in the 31 October 2012 report. In broad terms, the funds required to cater for water supply and sewerage scheme operation, maintenance and capital renewals are provided by the existing customer base.

The funds required to cater for growth related capital works are derived from s64 contributions from developers. The s64 contribution income accounts for approximately 25% of the total income needed to fund capital works.

Resources (including staff)

Significant staff and consultant time has already been devoted to the revision of SBP and DSP documents. It is expected that over $200k will be expended by the time the DSP’s are adopted by Council in 2013.


Based on the legal advice provided by Lindsay Taylor Lawyers, Council’s current practices in relation to charges for vacant lots created as a result of either consent of Council or of a Crown subdivision are lawful. Furthermore, the power to impose the charges does not depend on whether a particular development requires development consent.

There are no issues that arise in relation to retrospectivity and accordingly that there is any requirement for refunds to be made for development that has taken place on vacant lots.

Matters raised by councillors in relation to s64, including the mix of development v consumer v community projects contributing to new or augmented infrastructure, form part of the revision of SBP and DSP documents. While it is considered adjusting fees or introducing waivers or reimbursements in advance of proper consideration of that review is premature policy, the next report will indicate financial impacts should Council choose to follow that path.



1.         Confidential Attachment s64 Report Legal Advice (Councillor Only) (Confidential)



That Council note the legal advice provided by Lindsay Taylor Lawyers regarding Section 64 contributions for developments on vacant lots.


Council 6 February 2013                                                                                 Item 11.2


11.2.       Tender RFT 57/12 Merimbula Airport Runway Resurfacing     


Presenting assessment of the tender called for renewal of the Merimbula Airport runway and associated infrastructure.


Group Manager Infrastructure, Waste & Water   



The airport runway has shown signs of stress and is at the end of its design life. The civil aviation regulator, Civil Aviation Safety Authority (CASA) has recommended that necessary steps be initiated to renovate runway, taxiway and apron surfaces to meet the required standards. The main objective of this tender is to undertake an overlay on the existing runway with shape correction, widening of the taxiway and apron and improve the runway lighting system and drainage. In March 2012, Council initiated a process to undertake pavement design and associated work related to the resurfacing of the Merimbula Airport runway infrastructure. The design work was completed in early July 2012. Council called for tender (RFT 34/12) in July 2012 and submissions were received from five tenderers. The Council voted to start negotiations with the lowest tenderer with intent to enter into a contract, pending schedule adjustments and further report to Council.

Council voted in October 2012 to rescind that tender process. After presentations on the proposed airport business plan and existing airport pavement, Council voted to renew the tender process in November 2012. This decision also mandated that the tender exclude the proposed northerly extension of 200m. Due to the length of time between the initial tender, Council’s decision to rescind and Council’s decision to resume the tender process, it was decided that a fresh tender would be the best approach. Subsequently a fresh tender was called (RFT 57/12) in December 2012. This report summarises the outcome of the tender process.

In the course of considering studies and reports associated with the Merimbula Airport and Precinct Strategy and the application to IPART for the special rates variation of $334,000pa to service debt for the runway infrastructure renewal, Councillors considered options to renew or strengthen that infrastructure via a report from Aurecon, on the basis of preparing for future design aircraft and to minimise future disruption to airport operations.

At its meeting on 29 November 2011, Council resolved to proceed with the tender for airport runway resurfacing and associated infrastructure works.

A detailed design for the airport pavement incorporating geometric design compliant to Civil Aviation Safety Authority requirements was prepared by a specialist consultant (Hyder). The design, together with specifications and associated documentation, formed the basis for this tender.


Due to the increased demand on the airport infrastructure over the last twenty years, it is necessary to undertake rehabilitation of the runway and associated facilities, such as the taxiway and the apron and to renew runway lighting. The runway and taxiway pavements are currently showing signs of pavement distress and early signs of surface failures, which are impacting ride quality. This rehabilitation process is meant to increase the life span of the runway and undertake associated work to increase aircraft accessibility and payload, and decrease turnaround times. The renewal and strengthening works as proposed, will cater for existing SAAB craft and RPT schedules over 20 years, or larger turboprop aircraft, noting the aircraft technology and carrier fleets are likely to alter in that period.


As the tender amount exceeded $150,000, an advertisement was placed in local and national papers. A total of 13 companies bought the tender document, while 7 companies submitted tenders. There was a non-mandatory site meeting, which provided an opportunity for tenderers to visit the site and a forum to clarify any questions arising out of the tender documents.

A summary of the tender process is as follows:


Tender Title: Merimbula Airport Resurfacing       


Tender No: 57/12




1.   Advertising Date

18 December 2012

2.   Site inspection / briefing session

10 January 2013

3.   Tender Closing date

24 January 2013

4.   Evaluation of tenders

24-31 January 2013

5.   Number of companies buying tender documents


6.   Number of companies submitting tenders


7.   Evaluation Panel Meetings

24-31 January 2013

8.   Recommendation Report due

31 January 2013

9.   Council meeting

6 February 2013


Once the airport resurfacing work is completed, there is an opportunity to retain and attract commercial operators to consider Merimbula as a possible destination, with improved reliability for the current RPT service. It is anticipated that the renewed asset will enable the Council to get higher returns from a contracted or leased arrangement, depending on the yet to be adopted aiport business plan. 


Hyder Consulting have been contracted to complete the Review of Environmental Factors (REF) report to inform the successful tenderer schedule of works.


Seven tenders were received from the following companies:

·   Citywide Civil Engineering Pty Ltd

·   Civil Team Engineering Pty Ltd

·   Downer EDI Pty Ltd

·   Fulton Hogan Pty Ltd

·   Hewatt Earthworks Pty Ltd

·   Mainland Civil Pty Ltd

·   RD Miller Pty Ltd

Tenders were assessed based on a judicious mix of project cost, experience and functionality. The assessment criteria used was as follows:

Project value 40%, made up as follows:

·   The overall project cost.

·   The makeup of the cost structure

·   The integrity and stability of cost

·   Commercial terms and conditions


Project Experience 30%, made up as follows:


·   Demonstrated ability to complete the work

·   Experience in completing similar projects

·   Quality system and QA Experience

·   Financial ability to undertake project of this size


Project functionality 30%, made up as follows:


·   Satisfaction and recognition of the project objectives

·   Conceptual and operational plans

·   Proposed construction arrangements and completion program


Both Regional Express and other airport users have been consulted.  Airport users have been consulted prior to the first tender and then following Council’s rescission of the tender.  Consultation has also taken place regarding the airport strategy and will take place in February in relation to the Airport Masterplan.

As a result, RPT services may be modified, with appropriate forward notice, to accommodate any disruptions/closures to access to the runway, subject to the works schedule requirements of the successful tender.  Further consultation will be necessary when the contractor construction program is finalised both with the airport users and Regional Express.





The airport tender construction can be funded from the following sources:

Funding source

Amount ($)

Loan (10yr P&I – funded by SV and LIRS)


Airport reserves


2011 Operational surplus


Maintenance reserve fund





Council had been advised of the successful LIRS loan subsidy application, enabling a 4% discount on interest. The IPART approved rate variation application of $334,000 per annum was to service debt associated with renewal of airport infrastructure. Council decided to place the relevant annual rate peg into the airport reserve. The balance of the SV will also be placed into that reserve.

Councillors noted that around $50,000 is received by Council each year under the current lease arrangements (at $1/passenger) for the Maintenance Reserve Fund. 

Operational Plan

The construction period is expected to be 20 weeks with work starting in early March 2013. The construction for the main runway works might require closure of the airport for a period of two weeks. Tenderers have been asked to prepare schedules that included a two week closure of the runway. These two weeks will be used to undertake major runway works on the middle portion of the runway. The nominated two weeks will be discussed and finalised with the RPT operator, REX.  A staged construction work program will be implemented with contractors completing works to the south and north of the runway. 


Detailed assessment of the seven received tenders has been presented to Councillors by confidential memorandum.

The tender assessment report to be circulated to councillors includes details on the tender evaluation, assessment of submissions for individual tenderers and pricings. ATTACHMENTS

1.         Confidential Memorandum to Councillors (Councillor Only) (Confidential)



1.      That Council accept the tender from < insert >  in relation to contract for the works described in Tender for the Merimbula Airport resurfacing RFT 57/12, in the amount of < insert > (excluding GST), subject to variations and provisional sums.

2.      That authority is delegated to the General Manager to execute all necessary documentation.

3.      That unsuccessful tenderers be advised of Council’s decision.



Council                                                                                                        6 February 2013


staff reports – governance and strategy (leading organisation)


6 February 2013

In accordance with Council’s Code of Meeting Practice (2011), this section of the agenda will be chaired by Councillor Mawhinney.  

12.1         DLG Comparative Indicators 2011.............................................. 26

12.2         New Model Code of Conduct...................................................... 33

12.3         Draft operational plan, budget and fees and charges - public exhibition.................................................................................. 61

12.4         The Australian Coastal Councils Conference - South Australia March 2013............................................................................... 72

12.5         Hospital Poll - Local Government Elections................................. 84

Council 6 February 2013                                                                                 Item 12.1


12.1.       DLG Comparative Indicators 2011     


The Division of Local Government has released comparative statistics for NSW Local Government for the 2010/11 Financial Year.


Group Manager Community & Relationships  



The Division of Local Government (DLG) recently released its publication, “Comparative Information on NSW Local Government Councils” for the 2010/11 financial year.

This report highlights a number of the comparators used by the DLG and can be used as a guide to how this Shire is tracking against similar Councils.

A complete copy of the Comparative Information on NSW Local Government Councils document will be tabled to the Council meeting of February 6th 2013.

Classification and grouping of Councils

In order to make comparisons between Councils the DLG has applied the national classification system introduced in 1994 called the Australian Classification of Local Government (ACLG). Whilst this national system identifies 22 groups, the DLG has combined several of these to create a list of 11 groups.  Bega Valley Shire Council is within Group 4, of which there are now 30 Councils and is comprised of the following:

Albury                                         Dubbo                                  Orange
Armidale-Dumaresq                   Eurobodalla                          Ballina
Goulburn Mulwaree                    Bathurst Regional                Great Lakes   
Port Stephens                            Bega Valley                          Greater Taree
Queanbeyan                              Broken Hill                            Griffith
Richmond Valley                        Byron                                    Kempsey        
Shellharbour                               Cessnock                             Kiama 
Singleton                                    Clarence Valley                    Lismore          
Tamworth Regional                    Coffs Harbour                       Lithgow           
Wagga Wagga                           Deniliquin                             Mid-Western Regional Wingecarribee

Within this group of Councils there are some significant differences regarding size, population, service provision and organisational structure. The DLG notes some factors affecting indicators are:

·  the population and geographic area

·  the council’s budget

·  the type and extent of infrastructure

·  the type and extent of service delivery

·  whether the council has created or reduced services

Comparison within Group 4 Councils



Average for Group 4

BVSC Variation from Group 4 Average %

Population estimated population at 30 June 2010








Pop Density (Pop/ km sq)




Population Growth %




Average rate per assessment – Residential ($)



- 3.7

Average rate per assessment - Farmland $




Average rate per assessment - Business $




Outstanding rates and annual charges % (uncollected rates and annual charges)




Total income from continuing operations $ (eg rates, annual charges, user fees and charges, interest, grants, fines, external works)




Total income from continuing operations per resident. $ (resident figures based on preliminary figure calculated by ABS for June 2010)




Total expenditure from continuing operations  - $ (based on employee costs, materials and contracts, borrowing costs, depreciation, impairment to total expenditure, other expenses)




Total expenditure per resident from continuing operations $ (based on employee costs, materials and contracts, borrowing costs, depreciation, impairment to total expenditure, other expenses)




% change in total operational expenditure per resident from previous year




Unrestricted current ratio

2.78 : 1

2.58 : 1


Debt Service Ratio

7.92 : 1

9.27 : 1


Building and infrastructure renewal ratio %

82.41 : 1



Number of EFT staff




Environment management expenses per resident $




Net recreation, leisure and cultural expenses per resident $




Community Services expenses per resident $




Public order and safety expenses per resident $




Health expenses per resident $ (includes administration, food safety inspection, food control, immunisations, health centres)




Housing and community amenities expense per resident $ (includes public cemeteries, public conveniences, street lighting, town planning and other community amenities)





Councillors recently received a presentation from the Auditor RSM Bird Cameron on the 2012 Financial Statements, and the Financial Health Check from the Finance Manager, indicating the sound financial position of Council brought about by the review of assets, services and finances since 2010/11, in turn enabling improved levels of investment in asset maintenance and renewals, and minimising any proposed increases to rate income (compared to that recommended by Prof Percy Allan).

Comment on the data

The results of the data need to be put into the context of providing historical information that is now two budget cycles out of date. The financial, operational and legislative landscape is continually evolving and whilst the data provides a comparison between Councils it does not accurately reflect the current scenario.

For example since the represented data was gathered by the Division of Local Government:

§ Local government elections were held in September 2012

§ The organisation structure has changed

§ Global economic circumstances have changed.

§ Implementation of fair value of assets

§ Asset backlogs have been identified

§ Emergency funding applied to assets damaged by floods

It should also be noted that it is not possible to draw an absolute comparison between local government areas. Local characteristics significantly influence the relevance of many comparators that are used. Service delivery, population, physical area and infrastructure provision all contribute to creating a unique local scenario that can be difficult to compare with another Council area.  For example, the number of villages, water and sewer systems, road lengths, availability of community services by State Government, may influence a Council’s costs, staffing and service levels.

These limitations aside, comment has been provided on a number of the comparator results:

Average General Rates
The average general residential rates and farmland rates for the Shire are shown by the data to be on par or below that of the Group 4 averages in 2010/11. The difference is around 3.7% less in residential rates and 5.6% higher in farmland rates.  There is a significant difference in the business rate category with Bega Valley Shire Council 43.33% lower than the average for Group 4.

1. Income from continuing operations

The above table has provided the total income from continuous operations.  The main sources of a council’s revenue are:

·    rates and annual charges

·    user charges and fees

·    interest

·    grants and contributions

·    other revenues e.g. fines, external works, business activities.


Rates and annual charges revenue is generally the most important source of revenue for councils, followed by user charges and fees. These sources of revenue are relatively stable from year to year and allow councils to plan and use sound financial budgeting methods to achieve their objectives. Charges are commonly levied on water usage, trade waste, and domestic waste management collection. Fees are generally charged for goods or services and providing information in connection with council’s regulatory functions such as building services, private works, aged and child care, leisure centres and other activities offered by councils.

This indicator assesses the degree of dependence on alternative sources of revenue, both continuing operations and capital. It shows the different sources of revenue as a percentage of total revenue. It does not include gains from the sale of assets or gains from joint ventures and associates.

Some factors affecting this indicator are:

-     the level of council’s entrepreneurial and investment activity

-     the socioeconomic characteristics of the area

-     the relative level of Federal/State funding

-     new development activity.

A dissection of the sources of income from continuing operations is provided below.




2.   Expenditure from continuing operations

This indicator assesses the expenditure patterns of councils.  A council’s possible expenditure includes:

-      employee costs

-      materials and contracts

-      borrowing costs

-      depreciation

-      impairment

-      other expenses.


Employee costs include wages and salaries (including fringe benefits), annual leave, long service leave, sick leave, superannuation and employment oncosts.

Materials and contracts include inputs required to complete work by the council. Anything from gravel for roads to printing and stationery, legal and audit fees are included.

Borrowing costs are the interest and other costs that a council incurs in connection with the borrowing of funds.

Depreciation is recognition of the costs of holding an asset that has a limited useful life.

Other expenses include councillor and mayoral fees, bad and doubtful debts, revaluation decrements, electricity, telephone, contributions, donations and levies.

Some factors affecting this indicator are:

-      the level of council’s entrepreneurial activity

-      the number and type of services provided by council

-      the socioeconomic characteristics of the area

-      the rate of new development

-      the demographic characteristics of the population

-      the level of population increase or decrease.



Unfortunately the 2012 DLG Comparative Indicator report is not yet available, and may have been useful in the context of discussions with the community regarding the proposed special rate variation application.





That the DLG publication ‘Comparative Information on NSW Local Government Councils 2010/11’ be received and noted.


Council 6 February 2013                                                                                 Item 12.2


12.2.       New Model Code of Conduct     


Presenting new Model Code of Conduct for councillors and staff.


General Manager  



At its meeting in October 2012, Council resolved to adopt the existing Bega Valley Shire Code of Conduct for the period until the release of the revised Division of Local Government Model Code of Conduct. The DLG released the Model Code in December 2012.

Councillors were subsequently advised of the key elements of the new Code in induction sessions offered by DLG and the in house session facilitated by Maddocks.

A copy of the Model Code is attached (1) and the Code and Procedures available on the DLG website:



The Code and Procedures are supported by new provisions in the Local Government Act 1993 to more effectively deal with serious or repeated breaches of the Code through expanded and strengthened penalties. A summary is at attachment 2.

The key features of the new code framework include:

-     Greater flexibility to resolve non-serious complaints, minimising costs to councils

-     Improved complaints management, with complaints about councillors and the general manager managed from start to finish by qualified and independent conduct reviewers

-     Greater fairness and rigour in the investigation process through clearer procedures

-     Stronger penalties for ongoing disruptive behaviour and serious misconduct to more effectively deter and address such behaviour, allowing councils to get on with the business of serving their communities.



In preparation for commencement of the Code, Council should:

-     Adopt the new Model Code and Procedures by 1 March 2013

-     Appoint members of staff other than the General Manager to act as a complaints coordinator and alternate complaints coordinator before 1 March 2013 (ie Public Officer)

-     Ensure panels of conduct reviewers, appointed using the selection process prescribed under the new procedures, are in place by 30 September 2013.

Council called for proposals from suitably qualified persons to be the Conduct Reviewer, and participate on a regional panel of reviewers, under the existing Code of Conduct.

Key changes to the code are summarised below:

In the interests of clarity and simplicity, standards of conduct and procedures for dealing with breaches will be separately prescribed.

-     Minor changes have been made to the standards prescribed under the code in relation to binding caucus votes, the disclosure of political donations, loss of quorum, the management of significant non-pecuniary conflicts of interests in relation to principal planning instruments, gifts, relationships between councillors and staff and use of council resources for re-election purposes.

-     New standards have been included to address misuse of the code and other conduct intended to undermine its implementation.

-     New provisions have been included to improve all councils’ access to suitably skilled conduct reviewers.

-     Under the new procedures, complaints will be managed from start to finish by an independent conduct reviewer at arms length from the council if they are not informally resolved at outset.

-     There will be an increased focus on informal resolution of less serious matters.

-     Code of conduct matters will be dealt with confidentially. However, where a conduct reviewer determines that a councillor has breached the code and a sanction is imposed by the council, this will be made public via the minutes of the meeting.

-     There will be limited rights of review to the Division where a person is subject to an adverse outcome.

-     The Division will have more options for dealing with matters directly under the misconduct provisions. This will enable it to directly police the administration of the code and address issues such as misuse or failure to cooperate.

-     Penalties for misconduct will be expanded and increased to improve deterrence.

Both the Division and the Pecuniary Interest and Disciplinary Tribunal will be able impose stronger penalties for repeated misconduct. This will enable the more effective management of ongoing disruptive behaviour by individual councillors to enable councils to get on with the core business of serving their communities.


The proposed commencement date for the new model code framework is 1 March 2013.

The following transitional arrangements will apply:

- Complaints made or yet to be finalised before 1 March 2013 are to be dealt with under the current Model Code of Conduct and Procedures.

-  Complaints received after 1 March 2013 but where the alleged conduct occurred prior to this date are to be assessed against the standards prescribed under the current Model Code but dealt with under the new Procedures.

- Complaints relating to alleged conduct that occurred after 1 March 2013 are to be assessed against the new Code and Procedures.

It is appropriate to adopt the new Model Code of Conduct and Procedures, replacing the existing Code in the Policy Register.

As a matter of course, the General Manager will refer Code complaints regarding councillors to the Conduct Reviewer. The Public Officer will remain as primary contact and coordinator/reporter of complaints. The Conduct Reviewer and panel should be retained under the new Code (Mr Robin Davey and Kath Roach from Sinc Solutions).



1View. Attachment 1- The Model Code of Conduct for Local Councils in NSW - March 2013

2View. Attachment 2 - The Model Code of Conduct for Local Councils in NSW - March 2013 - Standards of conduct for council officials - Summary



That Council adopt the new DLG Model Code of Conduct and Procedures from
1 March 2013.



6 February 2013

Item 12.2 - Attachment 1

Attachment 1- The Model Code of Conduct for Local Councils in NSW - March 2013
























6 February 2013

Item 12.2 - Attachment 2

Attachment 2 - The Model Code of Conduct for Local Councils in NSW - March 2013 - Standards of conduct for council officials - Summary



Council 6 February 2013                                                                                 Item 12.3


12.3.       Draft operational plan, budget and fees and charges - public exhibition     



Council is required to exhibit its proposed draft operational plan 2013-2014, proposed amendments to the 2011-2016 delivery plan Bega Valley 2016, the draft rates and charges, fees and charges for 2013/14 for a period of 28 days.

General Manager   




 All councils in NSW are required to develop long term, medium term and short term plans under the Local Government Amendment (Planning and Reporting) Act 2009 which transitions councils to a new Integrated Planning and Reporting (IPR) Framework. In June 2011 Council adopted the community strategic plan Bega Valley 2030, the delivery plan Bega Valley 2016 and its annual operational plan.

Councillors and staff have continued to review the plans and in June 2012 the updated delivery plan, long term financial plan and operational plan for 2012/13 were adopted.

Council has considered several reports since the Council elections in September 2012 outlining the approach to review the community strategic plan and enacting the adopted long term financial plan (LTFP). The LTFP outlined two increases to general rates above rate pegging and a continuation for an expiring special variation approval for sports grounds and community access.

In November 2012, Council undertook its triennial community survey on satisfaction and priority of services, and a separate deliberative survey focussing on the rate increase proposal. In December Council resolved to notify the Independent Pricing and Regulatory Tribunal (IPART) that it may lodge an application for a special variation (SV) in March 2013.

Council should now undertake further consultation and engagement with the community in relation to the rates model and publicly exhibit its draft operational plan for 2013/14, and the rates, fees and charges.

The 2013/14 documents proposed for public exhibition include:

·    The draft operational plan and draft budget

·    The draft rates and charges

·    The draft fees and charges (exclusive of fees for halls, and sportsgrounds which will be separately reported to Council following consultation with management committees).

The draft documents will be provided to Councillors via hard copy prior to the Council meeting and online when the final drafts are loaded for public consultation on 7 February 2013.

THE DRAFT OPERATIONAL PLAN – BEGA VALLEY 2013-2014 (including the 2013/14 budget

The Draft 2013 – 2014 Operational Plan, Bega Valley 2013-2014, narrows the actions and projects specific to the budget year under the framework provided by the community strategic plan and more specifically by the delivery plan:

·    outlines activities to be undertaken for the year, presented in a “level of service” statement nominating the program, the level of service, resources used and funding.

·    includes information by issue and locality of works and projects

·    nominates the revenue (rating, fees and charges) policy for the year

·    outlines annual budget and capital works

·    describes statutory and efficiency performance indicators


The Draft Operational Plan includes the full Draft Budget as proposed for the 2013-2014 year.  

The Draft Budget 2013-2014 is presented in the format introduced in 2012, and identifies the funding source by function in the community strategic plan themes, and the special rate variations previously approved by the Minister for Local Government.

Key factors which have informed the budget development include:

·    local government cost index (LGCI) increase general rates by 3.4% raising $666K.

·    award increases of 3.25% costing $695K across general, water, sewer and waste.

·    operational savings of approx. $900K, or the equivalent of 3.31% of Councils operating expenditure.    

·    increase in Renewals and Upgrade expenditure on Council assets, including roads and bridges of over $10m.

·    funding for the renewal of major works such as the Bega Town Hall, Merimbula Airport, redevelopment of the Merimbula Library site and Merimbula Mobil site.

The 2014 budget has been developed in conjunction with Councils Long Term Financial Plan (LTFP). The LTFP “maps” council’s long term direction including major projects over a ten year period. The LTFP aligns with the Asset Management Plans and Service Level documents adopted by Council.

The Long Term Financial Plan incorporated a proposal to consider a long term rate pricing path including a special variation application over three years scheduled at 2% in 2013/14 and 2015/16 for asset renewals, and the retention of the expiring sports ground infrastructure renewal in 2014/15 of 2.5%.

In summary:

·    The 2014 budget shows Councils revenue streams increasing by a combined 5.78%.

·    In line with Council’s adopted Asset Management Plans, the Long Term Financial Plan begins to significantly increase capital expenditure in the renewal of Councils asset in the 2014 financial year. Asset renewals across all classes of assets will increase by more than $6m in the 2014 financial year and maintain that level of spending with CPI for the next 10 years.

·        Council anticipates completion of its flood works this financial year, which enables work crews to commence working through the increased renewal program from 2013/14.

·    As circumstances and opportunities may alter each year, such as natural disaster events or new grants, the Operational Plan and Budget will be reviewed during the year, with major variations subject to 28 day exhibition.


Rate Peg 2013/14

The IPART advised on 26 November 2012 that it had determined that NSW councils may increase their general income by 3.4% under section 506 of the Local Government Act 1993 for the rating year commencing 1 July 2013.

Since 2011/12, IPART has set the rate peg under a delegation by the Minister for Local Government. The rate peg decision has been announced earlier than in past years to help councils to undertake their planning and budgeting with greater certainty.

The rate peg determination was calculated using the following approach:

·    the increase in the Local Government Cost Index (LGCI) in the year to the September quarter 2012 of 3.7%

·    deducted a productivity factor of 0.2%

·    deducted 0.1% to remove part of the carbon price advance of 0.4% that was included in the rate peg last year.

The rate peg of 3.4% represents the maximum allowable increase to councils’ general income in 2013/14.

Special Rate Variation

The rate variations are a one-off % lift in total general rate income. If they expire, the value of a rate variation (including effect of rate pegs) is removed from the total rate income. Applications to IPART include the anticipated value of the rate peg, plus the amount above rate peg that is sought. For example, while Council may lodge an application for the proposed 2% above rate peg for collector roads renewal, the application will cite an increase of 5.4%, including the announced rate peg at 3.4%.

IPART assesses council applications for special variations using criteria set by the NSW Government. The criteria are set out in guidelines provided by the Division of Local Government. A copy of the guidelines is available on the Division of Local Government website.

Prior to lodging a (permanent) s508A application, Council must have completed its Community Strategic Plan and all associated plans and reports - in particular outlining the special variation in the relevant Asset Management Plans and the LTFP. Bega Valley Shire has outlined the intent and purpose of the rate variations proposed within those documents as required, initially proposing annual rate variations for 10 years in accord with the recommendations of Prof Percy Allan following the ‘asset and financial sustainability review’ in 2010, then modifying those to the three proposed rate variations following council’s ‘asset and services’ review in 2011.

Consulting with the community

Councils are required to engage with their community in relation to special variation applications and be able to demonstrate support for a s508A application.

Councils must be able to show that the information they present to the community is transparent and clearly identifies the impact of any proposed rate increase on ratepayers. Information should not be presented so as to minimise the perceived impact of the increase. It must show:

·    that the requested special variation includes the rate peg

·    that multi-year increases in rates are cumulative

·    if the rate increases will remain permanently in the rate base of the council or  be removed after a fixed period (as section 508(2) applications may be for a fixed period only)

·    if the council has an expiring special variation which it intends to continue or incorporate into general revenue into the future, rates and rate increases should be presented on an annual and a weekly basis

·    increases in other charges, such as for waste management, where these are likely to exceed CPI increases.

Councils should also show the impact of not applying for, or not having the special variation approved. For example if reductions in particular services are likely, or if certain projects will not go ahead if the special variation does not proceed, this should be made clear to ratepayers. Councils will need to present a realistic scenario to the community. Councils should not present a worst-case scenario or threaten ratepayers with unrealistic cuts in the most popular community services.

Expiring Special Variations

Councils need to explain clearly, where relevant, that a special variation is being used to replace an existing special variation, such as the recreation/community access levy. This is so whether the levy is to apply permanently or for a limited number of years.

Councils should inform their communities:

·    that an existing special variation is about to expire or will do so during the period covered by the application for a special variation

·    that the year-on-year impact on rates would not be as great or would decrease  if the special variation is not approved and only the rate peg was applied

·    if applicable, that an expiring special variation is being replaced with a permanent increase to the rate base

·    that the special variation includes the value of any expiring special variation and any additional rate increase that is being sought by the council

·    the effect of the special variation on rates may differ from the year-or-year change in rates if a special variation would have otherwise expired.

Bega Valley Shire Council s508A special variation proposal

As outlined in Council’s adopted LTFP, AMPs and Bega Valley 2013 (Operational Plan) and as previously reported to Council, the following model is proposed:

1. New 2% one-off permanent increase above the 3.4% rate peg in 2014, for renewal of collector roads. This variation will raise the general rate yield by an estimated $391,000 in 2014 and then be indexed by LGCI on an ongoing capacity. Total increase 5.4%.

2. Retained 2.5% one-off permanent increase above rate pegging in 2015 to retain the expiring recreation and access approval, with the options to use this amount for debt servicing or for annual project works in line with the LTFP for recreation asset renewals. This variation will retain the general rate yield at an estimated $516,000 and then be indexed by LGCI on an ongoing capacity.

3. New 2% one-off permanent increase above rate pegging in 2016 for infrastructure renewal for public domain areas and buildings. This variation will raise the general rate yield by an estimated $433,000 and then be indexed by LGCI on an ongoing capacity.

Impact of the special variation on rates

The amount and impact of these two new and one retained special variations is outlined in the table below. This table shows the impact on average rates as calculated using the preferred model by IPART - this is the amount of income derived by general rates from a rate category divided by the number of properties.

Council has traditionally used the land value method, which is more accurate indicating the rate per category based on the average land value per category, together with the upper and lower thresholds (ie 10thand 90th percentiles). However it is appropriate to revert to the format IPART requires for its assessment, which is the total rate yield per arte category, divided by the number of rateable properties.

The following tables give examples of the general rate over the course of the SV application for the residential rate. The second table shows the same data with no SV application. 

Land Value

No. of assessments in Year 1

Example Land value

Rates Year 0

Rates     Year 1

Rates     Year 2

Rates     Year 3








$0 to $99,999







$100,000 to $199,999







$200,000 to $299,999







$300,000 to $399,999







$400,000 to $499,999







$500,000 to $599,999







$600,000 to $699,999







$700,000 to $799,999







$800,000 to $899,999







$900,000 to $999,999







$1,000,000 to $1,499,999







$1,500,000 to $1,999,999







$2,000,000 to $2,999,999







$3,000,000 and greater








Land Value

No. of assessments in Year 1

Example Land value

Rates Year 0

Rates     Year 1

Rates     Year 2

Rates     Year 3








$0 to $99,999







$100,000 to $199,999







$200,000 to $299,999







$300,000 to $399,999







$400,000 to $499,999







$500,000 to $599,999







$600,000 to $699,999







$700,000 to $799,999







$800,000 to $899,999







$900,000 to $999,999







$1,000,000 to $1,499,999







$1,500,000 to $1,999,999







$2,000,000 to $2,999,999







$3,000,000 and greater








The IPART application holds a number of comparative tables such as this. These tables are made public on the IPART website once Councils decide if they wish to continue with an SV application.

The approved rate peg for 2013/14 of 3.4% has been included in the 2013/14 year, while a rate peg of 3% per annum is assigned by IPART for all subsequent years. In those subsequent years, the rate peg set by IPART may be higher or lower for NSW councils, but will not alter the percentage increases to Council’s rate yield.

(note – this table varies slightly from that published in the brochure recently circulated to respondents to the Council survey on the special variation - this is due to the advice last week from IPART including the exact rate peg amount. Similarly, the 2013 revaluations of property in the shire, may cause a difference in comparison of 2012 rates using the previous valuations, to the 2013 proposed rates using the above table).

The Revenue Policy incorporated in the draft operational plan outlines:

·    the special variation application for the next three year period previously reported to Council

·    the proposed rating model for residential, farmland and business properties incorporating a base charge and ad valorem component

·    water charges

·    sewer charges

·    waste management charges

·    liquid trade waste charges; and

·    on-site sewer management charges.


The Council also determines fees and charges for a range of services such as planning and building, library, and children’s services and facility usage. The fees and charges proposed for these services and facilities for the 2013/14 year are detailed in the draft fees and charges document, and are aligned to Council’s pricing policy, some of which are set by statute.

Management committees have been provided a longer period to submit their draft fees for 2013/14. The fees for halls and sportsgrounds will be separately reported to Council in March and advertised in April prior to adoption in June 2013.

Water and sewer charges are currently under review in conjunction with the revision of the strategic business plans and related development servicing plan. Councillors consideration of those plans will influence the s64 headworks charges and subsequently the typical residential bills for water and sewer. Anticipated to be completed and exhibited this financial year, Council can advertise any amendments to those fees from that published in March, for application in 2013/14.



The draft documents and the special variation to rates income as outlined in the draft documents progresses Council’s currently adopted long term plans.


Council is required to advertise its draft plans and any proposed special variation. This report places these documents on public exhibition for the period February 7 2013 to 6 March 2013.

In relation to Council’s proposed special variation application for increases to rate income above rate pegging, Council is required to undertake more detailed engagement. This commenced with Council’s community satisfaction survey on services and priorities and deliberative survey in November 2012.

Consultation to date

In late January 2013 Council hosted meetings with key community, media and interest groups in relation to the proposals for rate increases for renewal of collector roads and community buildings, and retention of the sports and access variation. A rates information brochure has been prepared for distribution and available on Council’s web site. An on line rates calculator is also available so ratepayers can calculate the impact on their rates for the three year period.

Groups involved in the consultation to date include :

·    Bega Valley Ratepayers Association 

·    Media

·    Sport and recreation / facility committees

·    General halls committee

·    Chambers of Commerce, truck and bus operators, farmer association 


Issues raised through these consultations sessions will be reported to Council.


Planned consultation – February/March 2013

The key elements of informing and engaging with the community planned for the coming month are outlined below:

·    Web site and online rates calculator – Council’s web site includes the complete proposal, and a rates calculator where enquirers can input their new 2013 property valuation details and calculate the potential rates effect

·    Special Variation Brochure – an updated booklet outlining the proposal. the purpose and effects of the proposal will be available on line and in hard copy.  Hard copy brochures will be available from Council and library branches.

·    Media – media staff were invited to a briefing with the Mayor on the special variation proposal and the draft operational plan and budget. Council will provide regular media information about the proposal over the period of public exhibition. The Mayor and Councillors have also indicated that they are available to meet with the media on the proposal

·    Bega Valley Views – Council’s online consultation forum will include polls, calculators and links to documents as well as specific discussion forums about the proposal, enabling community members to provide feedback to the Councillors

·    Community Link – a summary of the information provided in the special variation brochure will also be run in Council’s Community Link page in local print media

Public Meetings

The Council needs to determine the number and location of public meetings to be held. It has been discussed that meetings may be convened in the northern, central and southern areas of the Shire.

The meeting/s will be chaired by the Mayor with an independent facilitator. Information will be available to all who attend and an issues log from the sessions will be reported to Council. Rate calculators will also be available at those meetings.


Every three years, the NSW Valuer-General issues updated land values to each Council in the state. Bega Valley Shire Council was due for revaluation during the 2013 financial year with new valuations to take effect in the 2014 financial year. It is understood those new valuations have been distributed by the NSW State Government to property owners. On average, land values have fallen around 5% since the last valuation.

While these new valuations will affect the individual apportionment of rates depending on the relative variation in values (ie properties whose valuation falls less than that average may bear a greater portion of rates, while those whose valuation falls more than that average may bear a lesser portion of rates), the overall rate yield allowable to Council does not alter.

The table below illustrates the rate yield with the rate peg only, compared to the effect of the rate variations, if approved. 

Rate category


Old LV ($m)

New LV ($m)

2014 rate yield (rate peg only)

2014 rate yield (rate peg and SV)

2015 rate yield (rate peg and SV)

2016 rate yield (rate peg and SV)


































The Council is required to public exhibit its draft plans and budget. Council is also required to consult with the community in relation to a special variation to rates income above rate pegging.

Council will consider all feedback and formal responses at an Extraordinary meeting on 7 March 2013. Council will then consider if it is to continue with the special variation application and if so in what format.







That the draft 2013/14 operational plan, budget and draft fees and charges be placed on public exhibition with feedback on Council’s proposed special variation to be considered at an Extraordinary meeting on 7 March 2013.

That Council determine its public meeting framework for the exhibition period.


Council 6 February 2013                                                                                 Item 12.4


12.4.       The Australian Coastal Councils Conference - South Australia March 2013     


The Australian Coastal Councils Conference will be held in South Australia from 24 to 27 March 2013.


General Manager   



The annual Australian Coastal Councils Conference is an annual event that is organised by the National Sea Change Taskforce from 24 to 27 March 2013.
The conference will be held in Glenelg, Victor Harbor and Goolwa, on the Fleurieu Peninsula. 

The annual Australian Coastal Councils Conference is an important national event that brings together representatives of local government, agencies, researchers, policy makers and others with a stake in the future of the Australian coast and its communities. A copy of the program is attached.



The standard registration fee for LGA members for the conference is $1386.00.
There are also social programs that come at an extra cost. These programs include the welcome function, welcome dinner and conference dinner at an additional cost of $275.

Accommodation and flights will also be required. The recommended delegate’s accommodation for 2 nights is the Stamford Grand Adelaide (Glenelg) at a rate of $175.00 per night. The accommodation for 3 nights is at the McCracken Country Club at $160.00 per night.

Flights would approximately be a total of $1400.00.

Funds are available in the councillors and delegates development and conference budget of $19,500.00. $9,418.00 has been expended in 2012/13 budget.

It is unclear whether the NSW Shires Conference (usually attended by Bega Valley Councillors) will be held in 2013, as the two Local Government Associations will merge. The first of the combined Associations conference is expected around August, outside the current financial year.



Funding source



Delegates expenses





The Australian Coastal Councils Conference will provide information and knowledge on tourism, coastal planning, needs of coastal communities, the coastal advocacy campaign for the 2013 Federal election and other relevant coastal related topics.



1View. Registration Brochure 2013 Australian Coastal Councils Conference  



That councillors determine if a delegate should attend the 2013 Australian Coastal Councils Conference, and if so, resolve to meet registration, travel, accommodation and related costs.



6 February 2013

Item 12.4 - Attachment 1

Registration Brochure 2013 Australian Coastal Councils Conference











Council 6 February 2013                                                                                 Item 12.5


12.5.       Hospital Poll - Local Government Elections     


Council has received advice from The Hon. Jillian Skinner MP, Minister for Health and Minister for Medical Research responding to the poll results on the future of the Pambula Hospital held with the Bega Valley Shire Council elections in September 2012


General Manager   



Council resolved to hold a Poll at the NSW Local Government Elections on Saturday 8 September 2012.

The poll question was:

Do you support the retention of the Pambula District Hospital funded at current total operational budget levels by NSW State Government for a period of 5 years, at approximately $7.5 million pa, from the completion and official opening of the proposed new regional hospital, so as to provide the essential services needed to supplement the new hospital during this period?

The results of the Poll as provided by the Returning Officer are set out below:











Council resolved on 31 October 2012

1.      That the results of the poll be reported as justification to maintain the Pambula Hospital services and for the continuation of the newly appointed committee of the Pambula Hospital.

2.      That the poll question and the results be forwarded to the local Member Andrew Constance and Minister for Health Jillian Skinner requesting a commitment of $38 million over five years from the commencement of the new Regional Hospital, to ensure Pambula Hospital is funded at its current budget level, provided that the $38 million be independent of operational funding for the Regional Hospital.

The Minister has responded to Council’s advice regarding the poll as follows :

The NSW Government recognises the importance of the Pambula Hospital to the local community and is committed to the best utilisation of the hospital and its services for the community. During 2012, the following enhancements to services at Pambula Hospital have been made:

·    Commencement of ophthalmic surgery;

·    A  specialist obstetrician and gynaecologist was appointed and  has commenced outpatient clinics in obstetrics and gynaecology;

·    Gynaecology procedures have been resumed;

·    Antenatal care clinics including high risk pregnancy clinics have commenced; and

·    Planning for the implementation of post natal care at the hospital is well advanced.

I reiterate to south coast residents that Pambula Hospital will not close and I make the following points in relation to Pambula Hospital and the South East Regional Hospital (ERH):

·    The new SERH is being designed to meet the future needs of the region by expanding the range of clinical services available to residents of the Bega Valley and its surrounds;

·    Pambula Hospital will continue to play an important role after the new hospital opens.

·    The community have been invited to discuss with me, the Member for Bega and the Southern NSW  Local  Health District  (SNSWLHD) the types of complementary services the hospital can appropriately offer the community in the future.

In addition, the community have been consulted and the findings are contained in the 'Pambula Hospital Consultation Committee Report' which is now available to the public.  The report can be accessed at: 


The Southern New South Wales Local Health District is also working with the Pambula Hospital Advisory Committee, medical and clinical staff and local communities to define appropriate services for the Pambula Hospital post-2016.






That Council note the response from the NSW Minister for Health on the poll regarding the Pambula District Hospital.


Council                                                                                                        6 February 2013



Notices of Motion


06 February 2013


16.1         Conditions applying under Development Control Plan 2................ 87

Council 6 February 2013                                                                                 Item 16.1


16.1. Cr Russell Fitzpatrick - Conditions applying under Development Control Plan 2       



The Council motion adopted in 2008 see’s property owners lodging DA’s burdened with costs that were not apparent when they purchased their land. The Council meeting of 24th July 2012 deferred a rescission motion with a report to be provided to council. The General Managers notes on the Notice of Motion stated that the development standard will form part of the Development Control Plan review later that year. The revised DCP was

re-exhibited in September/October 2012. A final report on the DCP and development standards is due later next month.

This leaves several ratepayers in limbo.

Firstly the owners of a rural lot had signed contracts to sell their property and it was only when the condition was applied (when the buyer lodged a DA) that they became aware of the requirement. The sale of the land subsequently fell through and the vendors refunded the deposit monies as they had placed the property on the market in good faith unaware that such a condition could apply to the land. When they purchased the land in 2004 no such condition applied.

Secondly the owners of a similar lot purchased the land in 2006 and at that time the condition did not apply. They were also unaware of the condition and only found out from neighbours when the sale fell through due to the condition. They are an elderly couple who wish to retire from Sydney but do not wish to sell their Sydney property until the matter is resolved.

Also of concern to them is that in 2009 dual occupancy dwellings were permitted on other allotments without the condition applying.

I believe that the 2008 resolution of council was not intended to create the above issues and related to the sub-division of land into sub-divisions of 5 or more allotments to which I have no objection to the condition. I do not believe that the lodgement of a DA should be the trigger for the application and it should merely be the creation of lots by way of a linen plan/subdivision application.






That standard conditions applying under Development Control Plan 2 be reviewed in relation to Access via a right of carriageway, right of access or easement for access over private lands required to be constructed to a gravel and bitumen standard for construction within a Crown Road Reserve.


Council                                                                                                        6 February 2013



Questions On Notice


06 February 2013


18.1         Cr McBain - Shire Name Change................................................ 90

18.2         Cr Tapscott - Bega Regional Centre Proposal............................. 93

Council 6 February 2013                                                                                 Item 18.1


18.1.       Cr McBain - Shire Name Change     


At the Council meeting this week Cr McBain requested information relating to the cost, process and effectiveness of rebranding the Shire from Bega Valley Shire to the Sapphire Coast Shire.


Group Manager Community & Relationships   


This matter was previously considered by Council in June 2003 in relation to holding a poll with the March 2004 Council elections. The matter was not progressed at that time.


The Division of Local Government (DLG) was contacted and has advised as follows:

·    DLG staff would not progress any requests from Councils until after the conclusion of the current Acts Taskforce and Local Government review processes due later this year.

·    There is no established procedure for Council to follow in order to progress a request to the DLG to assess such a request and forward to the Minister and Governor for proclamation.

·    The current government has not considered any requests of this nature so there is no precedence on criteria.

·    A key criteria would however be consultation with the community, the most effective form being a poll, held independently or in conjunction with Council elections. Voting in polls is not compulsory.

·    There is no definitive response in relation to what “consultation” may be considered satisfactory.

·    Council would need to also indicate that it has considered the costs and administrative impacts of such a request. These would include signage, hard copy and web based name protocols etc.

It is expected that an opportunity may arise when submissions are called in relation to any boundary readjustments that may result from the current local government review.

Whilst a poll would be costly an online discussion and survey monkey on Bega Valley Views may provide some indication of support or otherwise if Council were to resolve to progress this.

The next step would be a formal Council resolution to progress consultation prior to undertaking any formal process.




Previous discussions within the community about this proposal resulted in diametrically opposed views. One suggestion previously canvassed was a stronger branding of the words Sapphire Coast in conjunction with Bega Valley Shire Council.

Council will have presentations from Sapphire Coast Tourism Ltd and Australia’s Coastal Wilderness on 30 January. The final report on signage and branding and name protocols as discussed in the recent consultations facilitated by SCT will be forwarded to Council in the next few weeks.

Whilst Sapphire Coast refers to the coastal areas of the Shire, the Valley, hinterland and escarpment areas have previously indicated some concerns with a change.

The current online photo competition, Council’s developing communications strategy and potential changes to be foreshadowed by the Local Government review and the Acts Taskforce, may provide opportunities to consider the Shire’s branding and name should councillors wish to move forward.


If Council were to progress with a formal poll, the costs are expected to be in the order of $50-100,000 if this were not held in conjunction with a Council election. Staff could progress discussions on gaining more definitive costings through the NSW Electoral Commission or an independent body.

Council currently brands the Shire on town entrance signs, street signs, and a wide range of regulatory signage. The move to a new Shire name/brand would require the progressive rebadging of this signage. This can be done in a planned replacement program however within current budget allocations it is expected that the process would take 5 to 10 years.

A current audit of signs has been completed so a more detailed costing and program could be developed. It is estimated that a budget figure in the order of $250,000 would ensure that a vast majority of major signs were progressed to any new brand/name protocol within a 12-18 month period.

Stationery, website and other items such as vehicle decals and staff uniforms would be less costly but expected to be in the order of $50-100,000.







In order for this matter to be progressed a formal resolution from Council would be required to commence a first stage consultation process and a more detailed analysis of cost impacts.


Leanne Barnes
Group Manager Community & Relationships





Council 6 February 2013                                                                                 Item 18.2


18.2.       Cr Tapscott - Bega Regional Centre Proposal     


Cr Tapscott sent an email that was received on Sunday 27 January 2013 asking for information regarding the Bega Regional Centre Proposal.


Group Manager Community & Relationships  


Cr Tapscott’s request

Further to my question on the matter of the process by which Bega became a regional centre.

I understand from the answer to this question that there were 120 submissions and  some community consultation.

I would like to know how many of the 120 submissions were relevant to the Bega regional centre proposal, and if it is possible to access these submissions.

I would also like to know where the community consultations took place and who attended.

The Group Manager Community & Relationships will provide a response to the request as soon as possible.