Ordinary

 

Meeting Notice and Agenda

 

An Ordinary Meeting of the Bega Valley Shire Council will be held at Council Chambers, Biamanga Room Bega Commemorative Civic Centre on Wednesday, 10 August 2016 commencing at 2.00 pm to consider and resolve on the matters set out in the attached Agenda.

 

3 August 2016

 

To:

Cr Michael Britten, Mayor

Cr Liz Seckold, Deputy Mayor

Cr Tony Allen

Cr Russell Fitzpatrick

Cr Keith Hughes

Cr Ann Mawhinney

Cr Kristy McBain

Cr Sharon Tapscott

Cr Bill Taylor

 

Copy:

General Manager, Ms Leanne Barnes

Director, Transport and Utilities, Mr Terry Dodds

Director, Planning and Environment, Mr Andrew Woodley

Director,  Community, Relations and Leisure, Mr Anthony Basford

Director,  Strategy and Business Services, Mr Lucas Scarpin

Executive Manager Organisational Development and Governance, Ms Nina Churchward

Minute Secretary, Ms Kelly McDowall

 

 

 


Live Streaming of Council Meetings

Council meetings are recorded and live streamed to the Internet for public viewing.  By entering the Chambers during an open session of Council, you consent to your attendance and participation being recorded.

The recording will be archived and made available on Council’s website www.begavalley.nsw.gov.au. All care is taken to maintain your privacy; however as a visitor of the public gallery, your presence may be recorded.

Publishing Of Agendas And Minutes

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  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 and Conflicts of Interest

A guiding checklist for Councillors, officers and community committees

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 1993 and Office of Local Government

·         Non-pecuniary – regulated by Codes of Conduct and policy. ICAC, Ombudsman, Office 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.

Contact

Phone

Email

Website

Bega Valley Shire Council

(02) 6499 2222

council@begavalley.nsw.gov.au

www.begavalley.nsw.gov.au

ICAC

8281 5999

Toll Free 1800 463 909

icac@icac.nsw.gov.au

www.icac.nsw.gov.au

Office of Local Government

(02) 4428 4100

olg@olg.nsw.gov.au

http://www.olg.nsw.gov.au/

NSW Ombudsman

(02) 8286 1000

Toll Free 1800 451 524

nswombo@ombo.nsw.gov.au

www.ombo.nsw.gov.au

 


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 1993  and regulations or dispensation issued by the Office 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

 

 

 

 

Signed

 

Print Name

 

 

*  Note:  Under the provisions of Section 451(1) of the Local Government Act 1993 (pecuniary interests) and Part 4 of the Model Code of Conduct prescribed by the Local Government (Discipline) Regulation (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

10 August 2016

 

Agenda

Statement of Commencement of Live Streaming

Acknowledgement of Traditional Owners of Bega Valley Shire

1       Apologies and requests for leave of absence

 

2       Confirmation Of Minutes

Recommendation

That the Minutes of the Ordinary Meeting and Closed session held on 20 July 2016 as circulated, be taken as read and confirmed.

3       Declarations

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

4       Deputations (by prior arrangement)

 

5       Petitions

 

6       Mayoral Minutes

 

7       Adjournment to Standing Committees

Recommendation

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 Cr Taylor.

8.1                Planning matters from Council meeting 20 July 2016................................................................ 9

9       Staff Reports – Community, Culture and Leisure (Liveability)

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

Nil Reports

10   Staff Reports –Economic Development and Business Growth (Enterprising)

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

10.1              Merimbula CBD Short Term Car Parking Options...................................................................... 12

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 Cr Fitzpatrick.

11.1              Storm event of June 2016 update............................................................................................... 18

11.2              Natural Disaster Emergency Declaration - Direct Negotiation Procurement – Tathra Wharf 25

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 Cr Mawhinney

12.1              Major projects quarterly update................................................................................................. 38

12.2              Actions from resolutions of Council - Status Report................................................................. 42

12.3              Memorandum of Understanding with Eurobodalla Shire Council.......................................... 76

12.4              End of Term report......................................................................................................................... 80

12.5              Local Government NSW Annual Conference 2016 - submission of motions by Bega Valley Shire Council   83

12.6              Request from Canberra Region Joint Organisation to consider membership................... 87 .

13     Staff Reports – Finance (Leading Organisation)

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

13.1              Referral of 2016 Financial Statements to Audit........................................................................ 93

13.2              Certificate of Investments made under Section 625 of the Local Government Act, 1993 95.

14     Adoption of Reports from Standing Committees

Recommendation

That all motions recorded in the Standing Committees, including votes for and against, and acknowledging declarations of interest already made, be adopted in by the Ordinary Council meeting.

 

15     Delegates Reports

15.1              2016 Conference of the National Climate Change Adaptation Research Facility (NCCARF) 100

 

16     Rescission/alteration Motions

 

17     Notices of Motion

 

18     Urgent Business

 

19     Questions On Notice

19.1              Lucas Brothers Story and Recognition...................................................................................... 103

 

20     Questions for the Next Meeting

 

21     Items of Interest Relating to Council Business

 

22     Confidential Business 

 

Statement of Cessation of Live Streaming for the period of the Closed Session.

Statement of Re-Commencement of Live Streaming

23     Adoption of reports from Closed Session

24     Resolutions to declassify reports considered in closed session  

 


Council

10 August 2016

 

 

Staff Reports –Planning And Environment (Sustainability)

 

10 August 2016

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

8.1              Planning matters from Council meeting 20 July 2016.......................................... 9


Council 10 August 2016

Item 8.1

 

8.1Planning matters from Council meeting 20 July 2016     

 

Council considered two matters at its meeting on 20 July 2016. Late reports on these matters may be considered if all material requested is received prior to the meeting.

 

General Manager  

 

Background

At its meeting on 20 July 2016 Council considered reports relating to:

1.    Item 8.8 , Construction of supermarket and liquor store and associated car parking, signage, earthworks and 2 lot subdivision DA 2015.437

Applicant

Milestone (AUST) Pty Limited

Owner

Steelbull Pty Ltd

Site

Lot 11 DP 835239, Merimbola Street, Pambula

Zone

B2 Local Centre

Site area

10,013m2

Proposed development

Construction of supermarket and liquor store and associated car parking, signage, earthworks and 2 lot subdivision

It was resolved that:

1.    That the matter be deferred to the meeting of the 10 August 2016 for staff to provide further information regarding matters raised in deputations to Council today (20 July 2016).

2.    That the General Manager seek dispensation form the Minister for Local Government for approval to deal with the matter on that day.

The General Manager sought the advice of the Office of Local Government (OLG). The formal caretaker provisions do not formally commence until Friday 12 August 2016. The OLG advised Council assess the development against the relevant Environmental Planning and Assessment Act criteria of designated development to ensure that it did not trigger those requirements. Staff have undertaken this review and believe that the matter can proceed.

Advice is still being received in relation to this matter and a late report will be provided when the information is received.

2.    Item 8.2 Strategic Directions for nine deferred sites under the Bega Valley LEP 2013

Council resolved that in relation to:

a)         Site 1 – Boydtown Property (excluding the area around the Seahorse Inn)

That the land north of Nullica Short Cut Rd be zoned RU2 (120ha) and E2 (no lot size); the remainder of the land west of the Princes Hwy be zoned E3 (10ha) and E2 (no lot size); and the south eastern section of the property adjoining the Towamba River estuary be zoned E3 (40ha) and E2 (no lot size).

Council adopts the recommendation and defer implementation until 8 August, 2016 to allow the Developer to gain written advice from the Department of Planning that the Department will revisit the E-zones for Boydtown.  If such advice is received the matter to be relisted for the meeting to be held on 10 August 2016.

 

Attachments

Nil

 

Recommendation

That Council note the report and consider late items received.

  

 


Council

10 August 2016

 

 

Staff Reports – Economic Develoment and Business Growth (Enterprising)

 

10 August 2016

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

10.1            Merimbula CBD Short Term Car Parking Options.............................................. 12


Council 10 August 2016

Item 10.1

 

10.1. Merimbula CBD Short Term Car Parking Options
     

 

In light of the pending development occurring in Main Street, Merimbula, Council is asked to consider short term parking options within the Central Business District area of Merimbula (CBD).

 

Director Strategy and Business Services  

 

Background

Council requested a report considering three separate developments planned by Merimbula Imlay Bowling Club Ltd, Merimbula Nominees Pty Ltd and Romfam Investments Pty Ltd which have the potential to impact available car parking spaces within Merimbula’s CBD in the short term. Once these developments are completed, longer term parking options will be incorporated into the developments themselves.

It is worth noting the current car parking located on the Merimbula Nominee’s Pty Ltd development site is not currently public car parking although it has been used as such.

Council staff have been investigating a number of short term solutions that would assist in ensuring temporary car parking needs are provided for:

1.    Installation of improved signage for parking in CBD areas including:

a.            New directional signs in relevant and appropriate places

b.            New location signs in designated car parking areas

 

A detailed plan regarding the location and type of signs to be installed will be provided at a later date. Being as these signs are considered directional in nature, Council has the authority to erect such signs as it deems necessary.

2.    Clean-up and remediation of Lots 946 and 949 Main Street, Merimbula including:

a.            Removal of weeds/shrubs and overgrowth

b.            Resurfacing of gravel surfaces

c.             New line marking

 

These sites are currently owned by Council. There has been ongoing discussions on interim opportunities provided by these sites. It is anticipated that the proposal to clean up the site will provide up to 30 additional car parking spaces. The elements of the site being reclaimed are not ideal for public car parking, but can be used in the short term. The value of such work is estimated at a value of $25,000. The work will be performed by Council work crews and is already in progress utilising plant down time in the area from the Palmer Street Merimbula bypass works to maximise output. This job was commenced under the delegation of staff. 

Council staff did investigate the option of clearing the Main Street site as had been raised by Councillors and members of the Chamber of Commerce. With the known issues associated with the structures on Main St site including asbestos, and the in ground pool, an estimate was sourced using industry standards of in excess of $150,000 to clear the site. This was deemed too costly and was not initiated.

3.    Utilisation of Berrambool Sporting Complex as overflow parking

With close to 200 businesses operating within the Merimbula CBD, a significant amount of parking is utilised by business owners and staff. If owners and staff commit to parking outside of the CBD over the peak summer periods, a significant amount of parking will be freed up for customer parking. With this in mind, Council will seek to liaise with the Merimbula Chamber of Commerce as to a suitable arrangement whereby business owners and staff will commit to parking at a pre-arranged overflow site, with Council providing a shuttle service at agreed times for workers to access their vehicles and place of work. This was previously undertaken some years ago as an initiative of the Merimbula Chamber of Commerce however was not continued. It is timely to reinvigorate this concept.

Council intends to:

a.  Meet with the Merimbula Chamber of Commerce seeking their support and assistance in identifying and planning a suitable overflow solution for the summer peak period. Options include Berrambool Sports Oval or the Merimbula boat ramp carpark. However, considering the peak season timing, the boat ramp may not be a viable option.

b.  Seek support from the local clubs in the Merimbula CBD, seeking to use their shuttle buses to provide a regular shuttle bus service to and from Merimbula’s CBD during peak times. Council will commit to covering any operating costs associated with this service. The costs of such this service are yet to finalised, but are not expected to be significant.

c.   Seek support from the Berrambool Sports Committee to allow the existing car parking facilities at the sports reserve to be used as overflow parking during the summer peak period.

While the purpose of this report is to update Council on the progress of parking options, there is a further option that has been identified that will require Council’s resolution to action.

It has been raised, that the current pedestrian walkway from Berrambool Oval through to the CBD could be utilised more extensively over the peak period. The map below provides an illustration of how the path could be better utilised.

If this option is to be explored further, then Council needs to be aware of the costs associated with such an option. It has also been discussed that with the works being undertaken on the site currently it may also be timely to consider works in the creek area. Guideline’s equipment is on site, environmental works on the parts of Berrambool Creek that front the Berrambool sporting facilities to the north and the new service road site to the south may be more cost effective to rehabilitate whilst Guideline is on site.  It may be more costly and more difficult to get this large equipment onto the site after the road is built.

In addition to rehabilitating the area and relieving the blockages in the creek by removing overgrown invasive vegetation and other rubbish, this would also assist the flow of water through the creek during times of heavy rain.  In turn this could only reduce the impact on the sporting fields and the service road from flood events.   

1.         Currently the existing bridge is constructed on a mix of Crown Land and land owned by Merimbula Imlay Bowling Club. The bridge has never been approved by any regulatory authority and is in dire need of maintenance work. It is also not up to current standards in terms of its width or safety railings. It is anticipated that significant work will be needed to bring it to current standard. An initial estimate for the value of work is approximately $80,000 to bring the bridge to standard. It is worth noting that the bridge has a span of 30m and covers a waterway adding to complexity and cost. A more accurate estimate could be sourced once engineering and quantity surveying has been undertaken. There is also significant work required to achieve the necessary approvals required to establish the bridge properly. Firstly, Crown Lands will need to provide a license over the waterway; secondly the Bowling Club will need to provide a license for the span on their land. Neither of which is unachievable, however they could take some time to execute the necessary processes and agreements.

2.         To gravel an overflow car park at the Southern end of Berrambool Oval will require approximately $30,000. If this work is not undertaken and this option activated, bad weather could see private vehicles being impeded.

3.         To create a path that could be safely traversed by the public, it is estimated the construction will cost approximately $15,000. In addition the best lay of the path would use Merimbula Imlay Bowling Club land to connect to the CBD. Council would need to negotiate a license to access the club land.

4.         To undertake creek rehabilitation works will require considerable environmental factors review and approvals. This has not been costed to date. If Council resolves to move forward on this proposal then all aspects can be costed and considered.

In total, Council officers have estimated the cost of the construction of just the footbridge option is in the order of $125,000 which is unfunded.

Issues

Legal

If Council were to action the bridge improvements option, then significant legal work will need to be undertaken to secure the necessary license agreements to allow access over land not controlled by Council.

Strategic

Council is working on a longer term parking strategy for Merimbula CBD. This will be reported to Council in 2017. The proposals outlined in this report consider short term options for the 2016/2017 summer season.

Consultation

Council has commenced discussions with various members of the business community and requested a meeting with the Merimbula Chamber of Commerce to further discuss these options.

Financial and Resources

Council was recently in receipt of an insurance claim after the current structures on its Main St land were damaged. These funds will be used to make the building safe and complete the works on its site.

Once a final estimate is available on any operating costs associated with the shuttle service a budget variation will be identified from existing allocations and reported to Council.

If Council resolves to remediate the bridge and create the pathway, and undertake creek remediation works then cost associated with this option will need to be identified and reported to Council for consideration. There are currently no identified allocations for these works so a reprioritisation of planned works would be required.

In addition activating this option will require substantial staff resources. This will also have an impact on the approved work plan for 2017.

Conclusion

Council will implement improved directional signage around car parking in the CBD; it will also create some additional parking on its site on Main St Merimbula.

Council will also work with the Merimbula Chamber of Commerce to identify and access a suitable overflow parking option for the peak periods and attempt to work with the relevant businesses to ensure that such a service is utilised, allowing more parking for patrons of the CBD.

Council staff have presented a further option to remediate the existing bridge and create a walking path through to the CBD, however the costs associated with such an option make it costly, and it is not recommended at this time. This project could be referred to future asset planning processes.

The outcomes of the proposal before Council are focused on the short term parking needs of the Merimbula CBD, when the Merimbula Nominee’s development go ahead and the current car parking on Main St is closed.

As noted Council will consider a report the longer term parking plan for the CBD of Merimbula in the near future with assessment research currently being finalised. This work takes into account the amount of parking that Merimbula should have, based on its current CBD uses, as well as what currently exists and future requirements.

 

Attachments

Nil

 

Recommendation

1.         That Council note the report and plans for interim parking solutions in Merimbula for the 2016/17 summer period.

2.         That Council note the information contained in this report relating to the current bridge and path connecting the Berrambool parking and the CBD, and refer consideration of any future works to improve this area to the upcoming asset management plan review.

   

 


Council

10 August 2016

 

 

Staff Reports – Infrastructure Waste And Water(Accessibility)

 

10 August 2016

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

11.1            Storm event of June 2016 update....................................................................... 18

11.2            Natural Disaster Emergency Declaration - Direct Negotiation Procurement – Tathra Wharf  25


Council 10 August 2016

Item 11.1

 

11.1. Storm event of June 2016 update     

 

This report provides Council with an update on the current status of clean-up and assessment works following the East Coast Low in June 2016, and potential financial implications of the event.

 

General Manager  

 

Background

On 5 June 2016 the Bega Valley Shire, as well as the whole eastern seaboard of New South Wales was hit by an ‘East Coast Low’. This storm event which coincided with a king tide resulted in significant damage to Bega Valley Shire civil and leisure assets and environmental and coastal reserves. The area was also impacted by a flood event in late January 2016 which impacted many of the same areas.

Natural Disaster Relief and Recovery Arrangements (NDRRA)

The Natural Disaster Relief and Recovery Arrangements (NDRRA) are a joint funding initiative of the Commonwealth and State Governments whose objective is to provide disaster relief and recovery payments and infrastructure restoration to help communities recover from the effects of natural disasters. Most relief measures under NDRRA are funded 75% by the Commonwealth Government and 25% by the State Government.

Council has insurance cover for some of its assets affected by storm events, but, as at the time of writing, the insurance industry informed local government that its members may not be eligible to claim. A number of the coastal assets and reserves are not able to be insured.

There are many latent liabilities and costs that have to be borne by local government, which are not able to be forwarded for consideration. These include:

a)    Emergency Response/Clean Up

21 Day Clean-up period – time limit

There is a lack of guidance or process on how agencies should seek an extension to the 21 day clean-up period limit after a disaster. Clean-up activities following major events such as the 5 June 2016 East Coast Low routinely requires longer than 21 days to complete clean-up activities. 

Examples include the removal and drying of water-logged storm debris from council essential public assets and the removal of storm debris from remote assets where impacts are over a widespread area. Councils end up with stockpiles of rubbish that require moving at a later date which exceeds the 21 day period. Wet timber cannot be processed at waste stations due to other regulatory and operational constraints: and it is prohibitively expensive to (effectively) cart wet timber (versus dry).

Recent advice from the Office of Emergency Management to a regional council suggests the application for an extension should be made as part of the full event claim.  Claims are always processed many months after the event and therefore, after resources are allocated, leaving councils with large commitments without clarity or surety of payment or cash-flow to fund clean-up activities undertaken after the 21 day cut-off. Bega Valley Shire Council (BVSC) applied a considerable amount of day labour resources, in emergency circumstances, will be included in our claim. It is likely some of the claim will be rejected. At the time, BVSC had no choice, due to scarcity of contractor availability and pressures to provide access for community and economic activity.

Waste management

The guidelines and funding criteria do not provide for funding assistance to Councils for Natural Disaster generated debris processed at commercial waste processing facilities where Councils own/operate a waste processing facility.

This criteria is in direct contradiction to ‘best practice’ waste management which requires waste to be managed in the most cost effective way for the community and which align with the State Government’s Waste Avoidance and Resource Recovery Act requirements.  The present model reduces the incentive for local government to implement the most cost-effective and waste-reduction options (for disaster recovery).

This model also fails to recognise the significant impact additional disaster-generated waste has on reducing the operational life of Councils’ waste facilities and flow-on financial impacts. Council’s Central Waste Facility ‘air-space’ is our most valuable asset, a little known fact, and not considered under the NDRRA.

Council resources

The NDRRA guidelines and criteria do not provide financial assistance to Councils for the cost of utilising internal staff and resources during normal business hours for immediate response or clean-up activities.  This model fails to recognise the financial impact of reassigning Council resources from programmed and budgeted projects and activities within normal operating hours to storm response activities outside of normal business hours.

Our staff and equipment are fully allocated to scheduled, planned and (fully) funded capital and maintenance projects and programs which were planned and adopted in 2015.  It is entirely appropriate, and generally the most efficient means of providing an immediate response, to divert these Council resources to support Emergency Services during and following a Natural Disaster. The NDRRA guidelines’ assumption that day-labour costs incurred in disaster response and clean-up are covered (i.e.: budgeted for as internal permanent staff) is incorrect.

This diversion of resources impacts on BVSC’s ability to deliver the programmed and funded activities and projects. The NDRRA assistance measures fail to recognise this cost to the community (rate payers and tax payers).

As the NDRRA guidelines only provide funding assistance for staff costs incurred outside normal hours and for all costs incurred by contractors in responding to natural disasters, the guidelines discourage the efficient and timely use of available Council resources. In most cases, the use of contractors is less suitable – if available at all – and comes with a 20% cost premium. If available for these response activities, their use is also constrained by procurement factors (i.e.: difficulty in ensuring ‘best value’ is maintained).

Furthermore, contractors need as much or more supervision than regular staff, which in turn, takes Council staff away from core and pre-planned business. Subsequently hidden costs are incurred in covering shortfalls in supervision. Many stakeholders, on many occasions – including BVSC – have advocated change through Public Works, RMS and the Illawarra Regional Emergency Management Centre Chair to attempt to have the situation reviewed, to date with no avail. 

Councils should be able to engage and reimburse the wages of their own works staff during normal hours, instead of engaging contractors, when this is the most appropriate and cost effective way to deliver these works, particularly in consideration of the ability to undertake clean-up activities within the 21 day period. Ironically, if BVSC staff only cleaned up after hours and on weekends, and were paid ‘penalty rates’, BVSC would be able to make claim for recompense under the current scenario.

b)    Restoration / Replacement Works

Coastal Infrastructure Ineligibility

The June 2016 East Coast Low event resulted in significant impacts to coastal areas and associated un-insured (or insurance claim denied) infrastructure.  The NDRRA eligibility rules do not currently allow claims to be made to recover costs associated with coastal/erosion impacts on constructed infrastructure.

Furthermore, there is confusion and apparent gaps between Councils and Department of Industry - Lands (formerly Crown Lands) regarding responsibility for actioning and seeking funding assistance for coastal impacts.

The Crown Lands website specifically states:

The Department of Primary Industries - Lands is responsible for significant heritage sites including lighthouses, convict-built ports, public buildings and historic mine sites. These include:

·      lighthouses in Crowdy Head, Wollongong, Kiama and Tacking Point

·      historic courthouses in Nowra and Port Macquarie

·      pilot cottages in South West Rocks and North Haven

·      maritime cottages in Port Macquarie

·      Wollongong Harbour precinct

·      Tathra and Merimbula wharves

·      North Beach Bathers Pavilion

http://www.crownland.nsw.gov.au/crown_lands/comprehensive_review_of_nsw_crown_land_management/fast_facts

The Tathra Wharf suffered substantial structural damage. This State listed Heritage asset is managed in Trust by BVSC for the Department of Industry - Lands (formerly Crown Lands). When Council spoke with the Department, Council was informed it was solely a Council responsibility, and further, the asset should be covered by (Council’s) insurance. Insurance related issues are discussed further in this report.

If the insurance compensation claim for Tathra Wharf is denied, Council will be left with a damaged (Heritage listed) wharf, which is a key economic draw-card and driver for the tourist accommodation industry in Tathra (and surrounds), with no capacity to finance its repair.

Even if we can negotiate a compromise position with the insurer, there is likely to be considerable negotiation and assessment of over individual claims and a long processing period. The legal battle to force capitulation will also take some time.

The repair to Tathra Wharf is a priority, as the forthcoming tourism season (summer period) is rapidly approaching. The lead time to start the procurement process as per the Local Government Act 1993, assess proposals, report, award, and build (6-8 weeks on-site) is now – if we’re to finish prior to the summer tourist season. (There is a separate report to this meeting regarding the exemption to tender process for Tathra Wharf, should funding be made available.)

Every day that a delay in a decision takes will put pressure on the project – the predicable scenario being the re-construction will not be finished in time for summer. Moreover, there needs to be advertising in the form of press releases made, such that the ‘market’ understands that Tathra is ‘open for business’. For this to occur in an opportune time, the Wharf repairs would have to be assured to be completed, as holiday makers plan and book well in advance. 

The magnitude of economic risk for Tathra and surrounding businesses, and staff employed, is significant. Council has written to both State and Federal Members, informing them of the issue and requesting their support to achieve an outcome for this important asset. Both have previously supported works at the Wharf.

Built Infrastructure   

Some retaining walls and rock armouring was damaged by erosion caused by wave, wind and flood impacts in estuaries. Current NDRRA guidelines exclude claims for damage to these assets where damage is caused by coastal erosion. 

Examples include retaining wall failures on Council and Crown Lands, mostly around recreation areas, wave action under-scouring retaining walls (relatively minor), and wave action removing the recently newly constructed viewing platform and access to Pambula Beach, and severe damage to the Wallaga Lake Boardwalk. The Sapphire Aquatic Centre (SAC) also was also damage.

Insurance Related Matters - Marine Structures including Tathra Wharf and Sapphire Aquatic Centre

Council's property insurer, Statewide Mutual, has undertaken a preliminary assessment of some of Council's damaged assets immediately after the 5 June event to ensure safety procedures were in place and temporary ‘make safe’ measures were initiated without delay.

Primarily, the assessor focused on the damage to Tathra Wharf and the SAC.  The assessor's final report relating to these two damaged assets has not yet been released to Council by Statewide Mutual.  Council officers have been working to secure firm quotes for the repairs of these damaged assets; however these quotes have not been received.

We have been verbally advised by our insurer the insurance industry (including Council's insurers) is yet to clearly determine whether the storm event that caused the significant damage to marine assets like the Tathra Wharf, will be covered by insurance.

To be accepted as a property damage claim for compensation to repair the Wharf pylons/deck infrastructure, the type of storm event would need to be classed as an ‘abnormal ocean event’.  Presently our insurers have advised their view is this event was classed as a ‘normal ocean event’ and is therefore likely to deny liability for the damage.  Council staff are continuing to work with our insurers in providing evidence this event is outside what would be classed as ‘normal’. 

It would appear insurance compensation claims for Council's other damaged marine structures, including Wallaga Lake Boardwalk, Blue Pool, Bruce Steer Pool shark net, will be denied for the same reason outlined above. (Quarantine Bay Pontoon is uninsured. Council is attempting to gain funding through a recreational boating grant.)

The building on Tathra Wharf, currently leased as a Café and Museum has been assessed as possible storm damage, and compensation to repair this damage, mainly to electrics and plumbing could be sought. No firm quotes for repairs have been received however Council staff is pursuing these to enable a claim to be formally lodged with Statewide Mutual.

The situation is similar for the SAC, where storm claim compensation may be accepted and quotes for the repair of the roof and walls are being secured.

Issues

Strategic

Council has in place a Long Term Financial Plan and an Asset Management Strategy which covers managing the renewal the $1.4 billion worth of assets managed by Council. Natural disasters and storm events such as those experienced on 5 June 2016, in January 2016 and in December 2014 and others that have occurred in past, place pressure on operational costs and planned renewals. This is particularly an issue when external support grants and funding are either slow in arriving or do not cover the full costs of the assets damaged. There is also flow on effects due to the inability of staff to complete planned and budgeted works in the adopted asset management plans.

Economic

The economic impact to the Tathra and surrounding area, should the Wharf not be repaired in time for the summer period, is largely indeterminable. However, Council recently met with the Tathra Chamber of Commerce, who provided verbal information of the effect the East Coast Low had in relation to cancellations of accommodation bookings, and a lack of new bookings, directly attributed to publicity surrounding the Wharf being damaged. 

This most recent event and the increasing frequency of emergency events have highlighted the need for an enterprise risk management review and an insurance review. These will be undertaken in the preparation of the next integrated planning documents over the next 10 months.

Policy

Council has commenced accurately detailing every piece of damage incurred as part of the NDRRA claim, as well as documenting recreation and leisure type infrastructure that we understand will not be claimable, which will be included.

This information will allow Council to address some larger policy issues in relation to the overall provision of infrastructure in certain areas.

Council has commenced completing a Risk Mitigation Value Management Study. It is envisaged there will be compelling arguments to adjust policies such that the risk to further damage, and the subsequently largely unsupported and budgeted financial burden, is reduced to manageable levels. This will provide Council with detailed information when reviewing the 10 Year Financial Plan, in the current year which would lower the over-all long-term cost of reinstating infrastructure after every emergency event (by removal of risk).

This information will provide justification to both the Federal and State Government if or when submissions are sought for special grants related to how the nation manages these impacts. 

Operational Plan

The Operational Plan has been very substantially affected. Many resources had to be re-scheduled, and many extra, more time consuming activities have had to be carried out when completing most of our normal maintenance operations. Subsequently, schedules and programed works have suffered. 

Environmental / Sustainability

The 5 June event will require Council to re-assess our level of (sustainable) service related to what we build in some of our more impacted environments. This is emphasised by the fact that most of the coastal infrastructure replaced (or new) is likely to need to be more robust, at a minimum, as it is apparent that it is both uninsurable and un-claimable (through the NDRRA) in the event it is damaged (again).

Asset

An assessment of asset damage, as at 29 July 2016, identified approximately $10.7 million worth of damage; $9 million in transport and $1.7 million in recreation and leisure assets.

Civil assets – $9 Million Estimated Damage

The rural unsealed road network, consisting of 723km of gravel roads, was particularly affected. But it is largely the hidden effects, such as water ingress into sealed pavements that will not be felt or captured through the NDRRA assessment process, which will over-time, lower the performance of that asset class.

The sealed and un-sealed assets are valued at approximately $700 million. It doesn’t take much of a negative effect, such as reducing maintenance (re-seals) or not repairing flood damaged roads, for the cumulative effect to become very substantial.

The way the NDRRA funding is calculated is also a risk to Council. For example if Council last completed a gravel re-sheet 6 years ago, with a policy of re-sheeting set at 12 years, the NDRRA funding will only pay for half of the rehabilitation costs. This was highlighted to Council by Public Works recently.

Leisure assets – $1.8 Million Estimated Damage

Council's leisure and recreation assets, particularly those near the coast, were hard hit by the storm event. More than 30 different sites suffered damage ranging from complete destruction to minor damage. . The estimated damage cost is an indicative figure only. It will not be until detailed assessment of repair or replacement is done that we will know if an item can be repaired or will need to be replaced, or if site conditions have changed that change the engineering requirements. In some cases it will be less than estimates; however it could be more. Further “ground truthing” work is required.

Many of the reserve, parks, sportsgrounds and car parks that were inundated by rising water, overflow water or high tidal action had significant amount of debris left strewn across those areas. The initial clean-up following the storm has mostly been completed. The more costly and extensive damage occurred to assets such as:

·    Wallaga Lake Boardwalk

·    Quarantine Bay Jetty

·    Tathra Wharf (see separate report)

·    beach access points, fencing and paths

·    playgrounds and ‘green’ gym equipment

·    bin stands

·    shade sails

·    bench seats

·    barriers and bollards

These assets fall outside of the NDRRA claim framework. Although largely situated on Crown Lands these assets are managed by Council in Trust, and are therefore according to Crown Lands, Council’s responsibility to insure. However, most, if not all of these assets which were original funded by Council, and currently maintained by Council, and not insured.

Social / Cultural

The social impacts are yet to be fully determined. Anecdotally, much of the appeal of our area, to visitors and residents alike, relates to geographical beauty, access to those areas, and the ability for people to enjoy themselves on our coastal environment when visiting same. Much of the damaged leisure and recreation assets provide a level of added amenity to these areas.  

Consultation

There has been extensive consultation with State agencies, our insurers, emergency recovery agencies and the State and Federal Members.

Financial and Resources

The overall financial impact is not yet finally determined. What is determined is that a considerable amount of damage is unlikely to be claimable either through the NDRRA process, our insurers, or other revenue sources.

Funding source

 

Amount

Part NDRRA

$

TBA

Conclusion

The East Coast Low Emergency Event of 5 June, 2016, will have immediate short and longer-term repercussions relating to Council’s 1 Year Operational Plan, 4 Year Delivery Plan, and 10 Year Long Term Financial Plan.

The exact impacts will almost entirely depend on others external to Council; what percentage of our claim is assessed positively, the timing of the assessment and payments, and the final outcome regards Tathra Wharf and the SAC.

It is anticipated the best case scenario will require Council, at some stage, to complete a robust mid-year budget review.

 

Attachments

Nil

 

Recommendation

That Council note the effects of the 5 June, 2016 East Coast Low Event and the potential financial, operational and policy ramifications.

 


Council 10 August 2016

Item 11.2

 

11.2. Natural Disaster Emergency Declaration - Direct Negotiation Procurement – Tathra Wharf     

 

On 5 June 2016 the Bega Valley Shire Local Government Area, as well as the whole eastern seaboard of New South Wales was hit by an ‘East Coast Low’. This storm event resulted in significant damage to the Tathra Wharf.  If the Tathra Wharf is to be repaired and fully accessible prior to the summer tourist season, should funding be made available, exemption to the normal tender process is required.  This report details the legal and procedural requirements for Direct Negotiation Procurement following a Natural Disaster Emergency Declaration.

 

Director Transport and Utilities  

 

Background

The Tathra Wharf sustained structural damage to its substructure, deck and handrails, principally as a result of the uplift forces of the extreme seas, as well as rain and wind damage to the Wharf building.  The Wharf, including the Pig & Whistle Museum and the Wharf Locavore Cafe, was subsequently closed and fenced off to all public access.  Access to the Wharf was restored via the “cattle race” access on the eastern side of the Wharf building, and to the Museum, on 8 July 2016. The ramp / deck on the western side of the Wharf building, which provides the principal access to the Wharf and the Wharf Locavore Cafe, remains closed and fenced off.

A detailed structural inspection of the Tathra Wharf has been undertaken by a specialist maritime engineer consultant to determine the full scope of works required to repair the Wharf pylons and deck infrastructure as a result of the damage sustained during the 5 June 2016 Storm Event.  The order of cost estimate for these repairs is $500,000, including project management, consultant fees, labour, materials and contingency.

The imperative to have the Tathra Wharf repaired and fully accessible prior to the summer tourist season is critical to the Tathra community and the Shire overall.  Repair works are estimated to take eight weeks, but will be weather dependent.  Even if funding became available this month it would still not be possible for the Tathra Wharf repairs to be completed prior to Christmas, if the normal procurement public tender process requiring 8-10 weeks, was followed.

Direct Negotiation (i.e. single selective engagement) is permitted in the case of emergencies and extenuating circumstances under the Local Government Act 1993 (the Act).  It is therefore proposed Council enter into Direct Negotiation with GPM Constructions Pty Ltd to undertake the repairs works for the Tathra Wharf.  GPM Constructions is a Sydney based specialist marine construction contractor that has extensive experience in works of this nature and a proven track record with Council, having won through competitive public tender or quotation procurement processes the following projects:

·    2010 Merimbula Public Jetty Reconstruction Project;

·    2011 Merimbula Boat Ramp Upgrade Project;

·    2012 Mogareeka Boat Ramp Pontoon Flood Damage Repair Works;

·    2015 Wonboyn Boat Ramp Upgrade Project;

·    2016 Mogareeka Boat Ramp Upgrade Project; and

·    2016 Kianinny Boat Ramp Jetty Upgrade Project.

Issues

Legal

Section 55(3) of the Act allows tendering requirements to be bypassed in the case of an emergency, extenuating circumstances, remoteness of locality or the unavailability of competitive or reliable tenders. These exemptions from tendering requirements may justify direct negotiations.

The Independent Commission Against Corruption (ICAC) has also published a guideline to assist in administering direct negotiations. The ICAC (fundamental) principles have been expanded upon and then incorporated into the framework of the Act by the Local Government Managers Australia (LGMA). Together these two documents dictate how staff will manage processes associated with directly negotiated procurement.

Comprehensive Review of Purchasing Guidelines

·    Tendering Guidelines for NSW Government: NSW Department of Premier and Cabinet, Division of Local Government (October 2009)

Section 55 of the Act outlines the types of contracts that are exempt from the tendering process. Extenuating circumstances and cases of emergencies are not defined by the Act and should be used as an exemption to the tendering requirements only after careful consideration with the reasons clearly documented. (P 26: 3)

·    Procurement Manual: Emergency Purchasing

There may be emergency circumstances, for example, in the event of large scale emergency situations such as environmental problems or disruption to essential services from floods, fires, and severe storms.  In these cases, the need for an immediate response might outweigh the normal requirements of procurement operations.  Effective planning should avoid such situations, however where an emergency justifies immediate procurement action for goods and/or services, the General Manager may authorise the use of preferred suppliers and/or contractors without seeking normal quotations.

If such a circumstance arises:

a.         prior approval must be sought from the General Manager;

b.         if the General Manager is unavailable, approval must be obtained from a Senior Officer, preferably one with the necessary delegation to cover the estimated expenditure;

c.         all emergency procurement actions, including the time and means of prior approval, must be documented by the officer responsible for the procurement;

d.         a purchase order should be raised, even though it is 'after the event', to record the liability; and

e.         the Purchasing Officer must be advised as soon as possible after the event to enable any necessary verification that a genuine emergency response was required and that established procedures were followed.

Emergency purchasing procedures should not be seen as being available simply as an alternative for urgent minor works which are either genuinely unforeseen or which have arisen due to poor or inadequate planning practices.

The random audit process in respect of emergency purchasing can be expected to be applied more thoroughly than in normal circumstances.

·    Local Government Managers Australia (LGMA): Good Practice Toolkit

LGMA has documented a procedure which detailed the steps to be undertaken; and is provided as Attachment 1.

·    Independent Commission Against Corruption (ICAC)

The guideline (flowchart), as developed by the LGMA above, replicates the same steps that ICAC have published.  The ICAC procedure and checklist is provided as Attachment 2.

Strategic

The economic impact to the Tathra and surrounding area, should the Wharf not be repaired in time for the summer period, is largely indeterminable. However, Council recently met with the Tathra Chamber of Commerce, who provided verbal information of the effect the East Coast Low had in relation to cancellations of accommodation bookings and a lack of new bookings, directly attributed to publicity surrounding the Wharf being damaged.

Asset

This State listed Heritage asset is managed in Trust by Council for the Department of Industry - Lands (formerly Crown Lands). When Council spoke with Crown Lands, Council was unequivocally informed that it was a solely a Council responsibility.

Social / Cultural

The social impacts are yet to be fully determined. Anecdotally, much of the appeal of our area, to visitors and residents alike, relates to geographical beauty, access to those areas and the ability for people to enjoy themselves in our coastal environment when visiting. Much of the damaged leisure and recreation assets provide a level of added amenity to these areas.

Previous experience in rectification works have shown public discontent will inevitably increase proportionally to the frustration felt by real or perceived time delays

Consultation

The following have been consulted in relation to the Tathra Wharf:

•     NSW Department of Industry - Lands (formerly Crown Lands)

•     Transport NSW – Roads and Maritime Services

•     NSW Department of Justice – Office of Emergency Management

•     Statewide Mutual Insurance

•     Tathra Chamber of Commerce

·    Local State and Federal Members, the NSW Treasurer, Minister for Lands and Water and the Minister for Emergency Services in relation to support for funding

Financial and Resources

As detailed in a separate report to Council, the Tathra Wharf is not eligible for funding under the Natural Disaster Relief and Recovery Arrangements (NDRRA) and that an insurance claim would be unsuccessful.  Council has written to both the State and Federal Members on 27 July 2016, informing them of the funding situation for repairs to the Tathra Wharf.

The expected cost of the works is in the order of $500,000

 

Funding source

 

Amount

Grant funds/government support to be identified

$

500,000

 

Conclusion

The imperative to have the Tathra Wharf repaired and fully accessible prior to the summer tourist season is critical to the Tathra Community and the Shire overall.  If the Tathra Wharf is to be repaired and fully accessible prior to the summer tourist season, should funding be made available, exemption to the normal tender process is therefore required.

 

Attachments

1.            Direct negotiation procurement tathra wharf flowchart attachment

2.            Attachment 2 ICAC guidelines for managing risks in direct negotiations

 

Recommendation

1.         That Council note the effects of the 5 June, 2016 East Coast Low Event, and the damage sustained to the Tathra Wharf.

2.         That Council authorise the General Manager, and in her absence the Director of Transport and Utilities, to enter into direct negotiations with any entity with a view to entering into contracts in relation to the subject matter of this report in accordance with Clause 55 (3) (dot point 9) of the Local Government Act 1993.

3.         That Council authorise the General Manager, and in her absence the Director of Transport and Utilities, to enter into contracts with any entity identified through direct negotiations in relation to the subject matter of this report in accordance with Clause 55 (3) (dot point 9) of the Local Government Act 1993, for a period not exceeding 3 months from the date of approval.

 


Council

10 August 2016

Item 11.2 - Attachment 1

Direct negotiation procurement tathra wharf flowchart attachment

 


 


Council

10 August 2016

Item 11.2 - Attachment 2

Attachment 2 ICAC guidelines for managing risks in direct negotiations

 


 


 


 


 

 

 


Council

10 August 2016

 

Staff Reports –  Governance And Strategy (Leading Organisation)

 

10 August 2016

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

12.1            Major projects quarterly update......................................................................... 38

12.2            Actions from resolutions of Council - Status Report........................................... 42

12.3            Memorandum of Understanding with Eurobodalla Shire Council...................... 76

12.4            End of Term report.............................................................................................. 80

12.5            Local Government NSW Annual Conference 2016 - submission of motions by Bega Valley Shire Council................................................................................................................. 83

12.6            Request from Canberra Region Joint Organisation to consider membership... 87


Council 10 August 2016

Item 12.1

 

12.1. Major projects quarterly update     

 

This report provides a quarterly update to Council and the community on our current major projects.

 

General Manager  

 

Background

At its meeting on 17 December 2014 Council Resolved:

1.     That Council adopts the major projects for the period 1 January to 30 June 2015 as listed below:

Major Projects:

·    Bega, Bermagui, Eden and Merimbula Town Centre designs

·    Bega Civic Centre

·    Eden Port development

·    Littleton Gardens

·    Merimbula Airport

·    Merimbula Bypass

·    Merimbula effluent management

·    Merimbula lands development

·    Tura Community Centre and Branch Library development

Key organisation operational projects:

·    Response to Fit for the Future, the NSW State Government’s response to the independent review of Local Government including the review of Council’s Resourcing Strategy, including Council’s Asset Management Plans, Long Term Financial Plan and Workforce Strategy

·    Council’s Business Growth and Economic Development Strategy implementation

·    Council’s communications and community engagement review

2.      That into the future the development of the annual Operational Plan includes a list of the top projects to be reported on a quarterly basis to the Council and the community.

During the performance review process for the General Manager this list was updated to include:

·    Merimbula airport management

·    Bega Valley Regional Learning Centre activation

·    Property matters including the Australasia and Merimbula lands

·    Economic development strategy implementation and forum

·    Implementation of the MoU with Eurobodalla Shire Council

·    Implementation of Fit for the Future matters relating particularly to Joint Organisations

·    Service and process reviews

·    Organisational culture

A monthly staff report is prepared on these and other significant projects for appropriate monitoring and oversight from the senior officer team.  Key aspects reported against include:

·    Planned outcomes and key outputs

·    Progress with timelines and milestones

·    Risks and actions to mitigate risks

·    Internal and external communication plans

·    Budget items including progress against budget

The following table summarises information relating to the progress of the items which Council resolved to receive regular updates on. This table now includes the additional items addressed by Council. As matters are concluded they will be appropriately signed off and no longer included in this report.

Following adoption of the Operational Plan for 2016/17 and the key projects outlined by Councillors as key priority projects in the General Manager’s performance review, the following items will form the framework for the next quarterly report to Council:

·    Council election in September 2016

·    Councillor induction

·    Community Strategic Plan and all associated plans

·    Joint organisation and Eurobodalla MoU

·    Major projects 

·    Merimbula Airport

·    North Bega Sewer

·    Eden Port

·    Other property matters

·    Organisational Culture Project

·    Destinations NSW Regional Tourist Organisation

2015/16 Final update

PROJECT

COMMENT

Town Centre design projects – Bega, Bermagui, Eden, Merimbula

Works are nearing finalisation for Imlay Street Eden. There have been some delays and some issues relating to impact of cost reductions in some aspects of the project. Some retro-fitting for key items is being undertaken. The learnings from this project have been important in providing project  management refinements for future town centre projects.

Bega Commemorative Civic Centre

The facility was opened on Australia Day and Council meetings with live streaming commenced in 2016. The management of the centre is being monitored and will be reviewed in line with the contract. The centre is gaining in popularity and use.

Eden Port

The Wharf extension project has now moved to the next phase following announcement of funding. The Safe Harbour project is also being further progressed by State Government

Littleton Gardens

Tree/plant vandalism restitution works has been researched by staff with an alternative design and planting model to be implemented. Works commence in August 2016. The existing plants will be dug out with their root balls and hopefully regenerated and replaced with a revised landscape plan informed by community views. The sculpture contract matter is still being resolved.

Merimbula Airport

Operational management of the Airport has been finalised for the transition period while the CASA licence is moved to be held by Council. The new arrangements commenced 1 July 2016. Applications for funding with the NSRF and the second stage of the Restart NSW Regional Tourism (Regional Airports) fund have been announced. The first as a Coalition election promise and the second as an announced funding approval from the State Government. The Deed for this project is being finalised. Project plans are being developed for the entire site. Works on the first stage funded last year are in the final project design phase 2016 and relate to connecting water. Work will commence this calendar year on the review of the Airport Masterplan as resolved by Council.

Merimbula By Pass

Park/Wonga Streets drainage construction commenced. Palmer Lane (north) car park constructed. Sealing on the next stage of the car park is about to commence.

Merimbula effluent management

Process to engage EIS consultants progressing. Departmental Secretary’s environmental assessment requirements have been issued to Council by NSW Planning. This has paved the way for engagement of a suitable consultant to undertake the environmental assessment and the concept design. Ocean data collection continuing. Panel appointed. Minister’s staff advise State significant application is supported, awaiting Minister sign off.

Property matters

Merimbula - Main Street property no tenders received. Follow up on interim car parking progressing and reported to this meeting. Review of car parking in Merimbula commenced. Australasia, Eden –the matter has settled and project planning for the site has commenced. Initial works to make site safe have been undertaken and some signage removed and some information signage installed.

Tura Marrang Community Centre and branch library

Facility was officially opened on 25 June 2016.

Bega Valley Regional Learning Centre (Merimbula)

The rezoning and Development Application for the site have been completed and the Centre is now operational. Several tenancies have now moved into the building and training courses are operating from the venue.

Fit for the Future (FFTF) and Joint Organisations

Phase 1 Local Government Act amendments were presented to the Legislative Assembly on 22 June 2016. Minister for Local Government announced that Councils not facing merger will go to election as planned on 10 September 2016. The process of planning for the election with the NSW Electoral Commission has commenced. Joint Organisation next stage discussion paper submissions closed 15 July. Boundary proposals expected to be released for comment in July 2016.

MoU Eurobodalla Shire Council

MoU signed. Senior staff meetings and operational projects progressing.

Economic Development Strategy implementation & forum

Economic Development Forum to be held 28 and 29 July 2016 as reported to Council

Communication and community engagement review

Staff training sessions completed with provider, International Association for Public Participation Australia. Procedure for Community Strategic Plan review process adopted by Council and stage one community consultation across the Shire completed.

Services and processes reviews

Children’s Services: Review completed and reported to Council

National Disability Insurance Scheme impact on Council Ageing and Disability Services Review completed and reported.

Planning and development processes and services completed. Recommendations from consultants to be costed and reported to Council. Communications Review for web, media, social media support and services scope for consultants advertised.

 

 

Attachments

Nil

 

Recommendation

That Council note the major projects update report.

 


Council 10 August 2016

Item 12.2

 

12.2. Actions from resolutions of Council - Status Report      

 

This report provides a status update on staff actions from Council Resolutions over the past three months.

 

General Manager  

 

Background

In order to ensure the community and Councillors are kept updated on the progress of implementation and actions from Council Resolutions, a formal quarterly reporting process is now in place. Current protocol involved the recording of Council Resolutions as “Minute Instructions”. Following each Council meeting the Resolutions are tasked to an officer in Council’s electronic Report System - InfoCouncil.  Progress of actions undertaken in relation to respective Resolutions is monitored by senior officers through the use of the Minute Instructions, which are printed and made available at each Council meeting.

To improve transparency, a process has been introduced so that each quarter a report is provided to formally update Council.  This update notes comments and actions against all Council Resolutions. This report is the fourth under the new process.

Prior to the end of the Council term, a final report will be prepared outlining progress against all Council Resolutions for the Council term from October 2012 until September 2016.

Attached to this business paper is the report for the period 1 April 2016 to 30 June 2016.  It provides information to Councillors and the community on the status of those actions taken on Resolutions over the past three months. The report on actions will also be available on Council’s website.

Conclusion

Councillors and members of the community are interested in the progress of actions against Council Resolutions. This process provides a formal report back to Council on a quarterly basis and then openly to the community via Council’s website.

 

Attachments

1.            Status reports on actions from Councils Resolutions for the period 1 April 2016 to 30 June 2016

 

Recommendation

That Council note the status reports on actions from Council’s Resolutions for the period 1 April 2016 to 30 June 2016

 


Council

10 August 2016

Item 12.2 - Attachment 1

Status reports on actions from Councils Resolutions for the period 1 April 2016 to 30 June 2016

 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


Council 10 August 2016

Item 12.3

 

12.3. Memorandum of Understanding with Eurobodalla Shire Council     

 

This report details the outcomes from the first six months of implementation of the MoU with Eurobodalla Shire Council.

 

General Manager  

 

Background

At its meeting on 16 December 2015 Council resolved to formally adopt a Memorandum of Understanding (MoU) with Eurobodalla Shire Council. The MoU sets out the objectives and management arrangements for the partnership between Bega Valley Shire Council and Eurobodalla Shire Council. 

The intention of this MoU is to strengthen the partnership which already exists between the two Councils by implementing a more formal level of cooperation, guided by the principles outlined in the MoU. This strategic partnership will achieve cooperative arrangements and establish a framework to deliver greater efficiencies and progress a variety of strategies for both Councils and the communities they represent.

It should be noted both Councils have been determined Fit for the Future by IPART and will continue as independent organisations supporting and servicing their communities.

During the Fit for the Future process, both Bega Valley Shire Council and Eurobodalla Shire Council identified the importance of being an active participant in the establishment of a joint organisation as a key strategy to achieving long term financial sustainability.  While the model and boundaries of the South East Joint Organisations are yet to be finalised by the NSW Government, there is an opportunity to work collaboratively now. The response to the scale and capacity criteria of both Councils highlighted the collaborative partnerships achieving outcomes for the region, individual communities and their Councils.

The MoU recognises the importance of the continued development of strong, resilient and unique communities in the far south coast region whilst continuing to operate and serve their respective communities, and by working together to achieve improved operational outcomes, improved services and financial results, and improved advocacy for both Councils.

On Wednesday 15 June 2016 the Mayors of both Councils formally signed the MoU in Bega.

MoU Objectives:

Key to achieving outcomes is a commitment to the following objectives:

·     Identifying and responding to issues of a regional nature i.e. the partnership will offer the opportunity for regional south coast advocacy, strategic planning and implementation

·     Building a dynamic relationship between our population centres

·     Working within the NSW Government framework for building Joint Organisations of Councils

·     Building on current partnership and collaboration arrangements

·     Inter-governmental collaboration.

MoU Framework:

The MoU outlines the approach and framework of the partnership arrangement including:

•   Identify opportunities for joint initiatives and cooperation focused on long term sustainability, managing community assets and infrastructure, and delivery of community services

•   Focus on delivering services more efficiently in the face of increasing costs, community expectations and other challenges

•    Review and develop opportunities to reduce expenditure and operate more efficiently and effectively

•    Implement projects through effective collaboration and resource sharing to optimise opportunities and improve outcomes for the community

•    Strengthen strategic collaboration and develop cooperative arrangements in areas such as procurement, policy development, service reviews, regional planning, corporate training, tourism, economic development, benchmarking, advocacy and asset management

•    Stimulate innovation and pursue opportunities for greater efficiencies

•    Examine areas for economic growth (tourism, business development, related infrastructure).

Bega Valley Shire Council and Eurobodalla Shire Council have successfully collaborated in a number of areas including: joint tendering and program delivery; sharing policies and other documentation; regular management meetings; and economic planning for key facilities (e.g. Merimbula and Moruya airports, library service review processes, provision of services, advocating on regional projects).  

A six monthly report on progress against the MoU is required to be formally presented to Council.

Six Monthly update - Formal Areas of Action since December 2015

The following projects have been put in place since the MoU discussions commenced:

·    Local Government Election 2016 and induction process and program – this is jointly being progressed with the election again being delivered through a joint Returning Officer coupled with newly elected Councillor induction sessions to be held jointly in the three month period post the election. It is expected Councillor development opportunities will continue to be planned for the two Councils

·    Airport strategic planning and route discussions

·    Tourism projects including input into the new Destination NSW model, Singapore Airlines and Canberra Airport developments have been jointly coordinated

·    Bega Valley tourism review consultancy outcomes to be shared with Eurobodalla

·    Planning – a joint submission on Code Assessable Development was presented to the State Government offering for the two Councils to be a pilot project. This is still being progressed

·    Planning reviews, customer surveys, website, checklists, brochures and other information – the two Councils have worked together on this with the same company undertaking both customer surveys. A resource sharing agreement is now in place for staff from the partner Council to be involved in assessing Development Assessments and Construction Certificates when the other Council is the applicant. This is also occurring with the Joint Regional Planning Panel

·    Regional Weeds Action Plan – one representative from staff for both Councils is in place

·    Draft Tablelands and South East Regional Plan – joint workshop for staff to provide feedback to Planning NSW on specifically local and coastal issues. Both Councils to also provide individual detailed submissions.

·    Property resource sharing project about to commence development

·    IT database advice and back up

·    Workplace Health and Safety- potential sharing of resources for investigations is being developed

·    Training tender with Joint Organisation has been completed

·    Archaeological approvals and processes with Office of Environment and Heritage has been progressed by Eurobodalla and can now be moved to be shared with Bega Valley

·    Community, cultural and recreation projects including swimming pool tender processes, beach lifeguard tender, sharing of library program resourcing, Bega Valley’s Domestic Violence Policy and Donations Policy and Procedure used as draft by Eurobodalla; ongoing discussion about relations and planning with South East Arts and South East Regional Academy of Sport.

·    Ongoing discussions about input into upcoming Local Government (State) Award negotiations

·    Ongoing discussions about response and applying for funding and constraints in the current Natural Disaster Relief and Recovery Arrangements (NDRRA) and how best to lobby to ensure the best outcome for local communities.

·    Input into discussions around Joint Organisations of Council models and other State Government regional processes.

 

Issues                                             

Legal

The MoU is not a legal document although it outlines the partnership’s governance structure and source of authority.  The parties agree to work together in good faith.  The document is a statement of undertaking and is not intended to create a binding or legal obligation on either party.

Policy

Council’s Fit for the Future proposal establishes clear actions for pursuing opportunities for greater efficiencies as active and effective members of the South East Joint Organisation.

A report will be presented to Council every six months detailing the outcomes of the Partnership.

Social / Cultural

Research on resource sharing in terms of community services indicates there can be a number of both financial and non-financial benefits.  In some cases the development of a shared service arrangement can deliver improved service quality, stimulate innovation and enhance community outcomes. Further work is progressing on this.

Economic

The MoU provides an opportunity for joint advocacy for regional projects and facilities for economic growth in the areas of tourism, business development and related infrastructure. This has occurred already on a number of tourism and airport related items.

Strategic

Development of significant, strategic regional projects which respond to the NSW State Plan will provide a starting point for the development of a Regional Strategic Plan proposed as one of the outcomes of Joint Organisations.

Financial

The MoU will provide opportunities for financial savings in terms of improved opportunities, increased efficiency and reduced costs in service delivery through improved procurement practices and increased resource sharing.  In this first six month period there has been a number of projects commenced.  In particular the sharing of Election and induction resources will realise a financial benefit to both Councils. Several of the planned shared sessions are delivered to each partner at 50% of the total cost which would have been applied to each individual Council.

The full details of savings and improved outcomes will be identified over the next 12 month period. No additional resources are utilised, there is actually an indication of opportunity for improved sharing of resources.

Resources (including staff)

It is not expected that working to achieve the intent of the MoU will add to staff resources. There is an expected benefit from the proposed approach. Previously, Council officers were involved in contributing to projects with both Southern Councils Group and the South East Regional Organisation of Councils; the implementation of the MoU will provide the same positive regional outcomes and provide a starting point for an improved Joint Organisation model when finally determined.

Operational Plan

Working as part of a Joint Organisation has been identified as a project in the adopted Operational Plan.

Conclusion

There has been work over the first six month period on a number of operational and strategic projects which are benefitting from the two Councils working together.

 

Attachments

Nil

 

Recommendation

That Council notes report outlining the outcomes from the first six months of implementation of the Memorandum of Understanding with Eurobodalla Shire Council.

 


Council 10 August 2016

Item 12.4

 

12.4. End of Term report     

 

As part of the Integrated Planning and Reporting (IPR) framework Council is required to prepare an End of Term report outlining progress against the strategic targets established in the Council’s adopted Community Strategic Plan (CSP).

 

General Manager  

 

Background

In October 2012 Council adopted its Community Strategic Plan, Bega Valley 2030 (CSP) and a suite of other plans as required under the State Government’s Integrated Planning and Reporting Framework (IPR). The End of Term (EOT) report is the report on Council’s progress in implementing its adopted CSP during its term (section 428(2), Local Government Act 1993). Councils are encouraged to utilise the performance measures and assessment methods identified in their CSP to determine the content of the report. The EOT report must be tabled at the last Council meeting of the outgoing Council. For this reporting period the EOT report refers to progress against the adopted CSP.

The purpose of the EOT report is to summarise key movements in infrastructure, social, environment, financial and workforce statistics/issues between 2012 and 2016, highlight key initiatives and projects across that period, and outline key issues that emerged and were addressed or influenced by Council.

Council has direct influence over many functions, services and initiatives, but in addition, is often only involved in the periphery of many others as a facilitator or advocate.

The CSP was informed by a suite of strategies, adjusted following extensive community engagement, organised into themes of: Liveability; Sustainability; Accessibility; Enterprising; and Leading Organisation and filtered to ensure strategic actions were ‘readable and achievable’.  

Reporting

Council provides a regular assessment of progress against its CSP, through its half yearly report and the Annual Report, published in November each year. This encompasses an assessment of the progress made against Council’s Operational Plan and Delivery Plan, and Budgets. The End of Term Report for the period 2012 to 2016 will be tabled at the meeting as required by the legislation.

Issues

Reports to Council Meetings

Council received over 1,200 reports during its term from September 2016 until the meeting on 20 July, 2016, with Caretaker mode commencing at 12 noon on 10 August 2016.

A full list of the reports tabled is available on Council’s Website:

Summary of Council Reports during Council Term 2012 to 2016:

Click here: List of all reports to Council during the period September 2012 to July 2016

Reports were received across all area of Council’s operations and included Councillor initiated reports such as responses to Questions on Notice or Notices of Motion.   A summary is provided in the table below with 1,203 reports being presented over the term:

Council Reports 2012-2016

1203

Staff Reports

Planning and Environment

169

Community Relations and Leisure

113

Economic Development Reports

85

Infrastructure Waste and Water

276

Governance and Strategy

310

Finance

42

Confidential Business

55

Sub Total – Staff Reports

1050

Councillor Reports

Mayoral Minutes

13

Notices of Motion

39

Rescission/alteration Motions

5

Questions on Notice

68

Delegates Reports

28

Sub Total – Councillors Reports

153

TOTAL REPORTS

1203

 

Commencing in December 2014, the General Manager presented a report on a quarterly basis outlining the actions taken following Resolutions of Council as well as an update on the status of Major Projects within the Shire.   These quarterly reports are available on Council’s website as part of the meeting agenda at the time of presentation.

Internal Audit Committee

During Council's term, the Internal Audit Committee Charter was updated and a Strategic Audit Plan was developed and adopted.  The Council endorsed changes to the Charter included increasing the Independent Representative Committee Members by one, bringing the total of Independent Representatives on this important Committee to three.

All three of these independent positions were advertised and filled by highly qualified and experienced community members.

The 14 Independent Committee Audits undertaken and completed during Council's term were:

Financial

6

Operational

5

Governance

3

A full copy of a summary of the audits is attached to the End of Term Report.

Legal

Under the IPR Guidelines and Local Government Act 1993 an End of Term Report(EOT) is required to be tabled at the last Council meeting before an ordinary election.

Strategic

The EOT report outlines the actions against the adopted direction of the Council’s CSP and delivery program.

Operational Plan

Preparation of the EOT report is an action in the current operational plan.

Conclusion

Council is required to consider an End of Term report at the last meeting of a Council term prior to an ordinary election. This report outlines the process in which the report is presented and a copy of the End of Term report will be tabled at the meeting with a copy circulated to Councillors prior to the meeting and published on the Council website following the meeting.

 

Attachments

Nil

 

Recommendation

That Council note the End of Term report for the period September 2012 to August 2016 and publish the report to the Council website.

 


Council 10 August 2016

Item 12.5

 

12.5. Local Government NSW Annual Conference 2016 - submission of motions by Bega Valley Shire Council     

 

The Local Government NSW Annual Conference will be held in Wollongong from Sunday 16 October to Tuesday 18 October, 2016.

 

General Manager  

 

Background

The Local Government NSW Annual Conference will be held in Wollongong from Sunday 16 October to Tuesday 18 October, 2016.  A copy of the Draft Program is attached.

Local Government NSW has advised Councils can submit proposed Motions for the Business Paper for the Conference.  Motions must be submitted online by COB Monday, 22 August 2016 to allow printing and distribution of the Business Paper before Conference. Such Motions will be included where they:

1.         are consistent with the objects of the Association (see Rule 4 of the Association’s rules);

2.         relate to Local Government in NSW and/or across Australia;

3.         concern or are likely to concern Local Government as a sector;

4.         seek to advance the Local Government policy agenda of the Association and/or improve governance of the Association;

5.         have a lawful purpose (a Motion does not have a lawful purpose if its implementation would require or encourage non-compliance with prevailing laws);

6.         are clearly worded and unambiguous in nature; and

7.         do not express preference for one or several members over one or several other members.

Motions must also be accompanied by evidence, for example an extract from Council Minutes that Council has resolved to submit the Motion to the Local Government NSW Conference.  Motions must be submitted in the recommended format.

At the meeting on 20 July 2016 Council resolved:

2.               That Council resolve to refer the following motion to be presented to the Council Meeting on 10 August, 2016, in a format for inclusion for submission to the Local Government NSW Annual Conference 2016, for consideration by the assembly:

                 “That LGNSW advocate on changes to relevant legislation and/or regulation, including identifying resources, that require commercial operators to upgrade access and associated facilities to and within premises when any improvements/works/changes are undertaken, and that such works should include upgrade of the facilities available to the public in such buildings; and

                That LGNSW advocate to the State Government, possibly through the State Disability Advisory Council, to develop an education and awareness program on the benefits of improving access to commercial premises and associated facilities.”

The detail of this motion is included in the attachment.

Local Government NSW has advised this year the Conference will involve two types of voting.  The Association’s rules mean that two rolls of voters will be developed, one for voting in the elections for Office Bearers and the Board, and a separate roll of voters for voting on motions.  Bega Valley Shire Council is entitled to three delegates who will be able to vote on both Motions and Election of Office Bearers.

Council has already resolved to send the General Manager, Mayor and two Councillors to the 2016 Conference.

Conclusion

This Local Government Conference has been listed in the Operational Plan for attendance by Councillors and the General Manager. One motion is currently proposed for submitting to LGNSW for their consideration.

 

Attachments

1.            Local Government NSW 2016 motion - Planning requirements for improved access for people with a disability.

 

Recommendation

That the following Motion/s submitted by Councillors be submitted online on the Local Government NSW website by COB Monday, 22 August 2016.

-      Improved access for people with a disability

 

 


Council

10 August 2016

Item 12.5 - Attachment 1

Local Government NSW 2016 motion - Planning requirements for improved access for people with a disability.

 


 


Council 10 August 2016

Item 12.6

 

12.6. Request from Canberra Region Joint Organisation to consider membership     

 

Request from Canberra Region Joint Organisation to consider membership.

 

General Manager  

 

Background

Bega Valley Shire Council was a member of Southern Council’s Group (SCG) (a regional organisation of councils (ROC)) and had some strategic relationships and projects with the former South East Regional Organisation of Councils (SEROC). SCG was wound up when the Illawarra Pilot Joint Organisation (IPJO) was identified as a pilot in the current program of rolling out the Joint Organisation (JO) model across regional NSW. SEROC has also reformed to the Canberra Region Joint Organisation (CBRJO).

In the Fit for the Future proposal Bega Valley is identified in the South East JO (Bega, Eurobodalla, and the former Bombala, Snowy River, Cooma-Monaro - merged, Queanbeyan and Palerang - merged Councils). The JO model proposed in FFtF does not currently recognise SEROC/CBRJO as a JO in the proposed boundaries with the other current members forming the Tablelands JO with Wingecarribee. A number of OLG led workshops on the pilot JOs have been held and a number of discussions papers released. A final consultation on JO boundaries was expected in July however is has not been released to date.

In July 2014 Bega Valley gave notice of its intention to withdraw from SCG at the end of the current financial year as required under the SCG Constitution. This occurred and when SCG was wound up the resulting reimbursement was placed in a reserve to cover future membership costs for a JO.

Subsequently at its meeting on 17 December 2014 Council resolved:

1.         That Council note the update on the NSW State Government’s response to the Independent Local Government Review Panel and the Local Government Acts Taskforce, Fit for the Future.

2.         That Council advise SEROC of its intention to become an associate member for the period 1 January 2015 to 30 June 2015.

3.         That Council receive a report on the costings and program for a local government leadership forum proposed for March 2015.

At its meeting on 14 January 2015 Council considered a rescission motion on point 2 of the resolution of 17 December 2014 and resolved:

1.         That Council rescind point two (2) of the resolution of Council – Item 12.7 NSW Local Government reform update – Fit for the Future, made on 17 December, 2014:

2.         That Council advise SEROC of its intention to become an associate member for the period 1 January 2015 to 30 June 2015.

One of Council’s Fit for the Future actions was to be an active and effective member of the South East Joint Organisation (SEJO).  While the model and boundaries of JOs have not been finalised by IPART and the NSW Government Council progressed development and implementation of a Memorandum of Understanding with Eurobodalla Shire Council (separately reported to this meeting). BVSC has also continued participating, by invitation, in a number of projects with the CBRJO and IPJO.

The Executive Officer of the CBRJO attended Council’s Economic Summit in Bega in July and requested that Council consider again membership of the CBRJO and being a signatory to their planned Memorandum of Understanding with the ACT Government.

CBRJO has also been advised that Wingecarribee will be applying for membership of the JO.

The other members are:

·    Eurobodalla

·    Goulburn Mulwaree

·    Hilltops (Young, Harden, Boorowa)

·    Queanbeyan-Palerang

·    Snowy Monaro (Bombala, Cooma-Monaro, Snowy River)

·    Upper Lachlan

·    Yass Valley

The key objectives of the CBRJO are:

·    Economic development and tourism

·    Infrastructure

·    Regional planning

That request is attached for the information of Councillors.

Issues

Legal

Joint Organisations will be established by legislation. It is now expected that the enacting legislation will be considered in 2017. The final consultation on JO boundaries has not been undertaken at the time of writing however a number of the recent State regional discussion papers have been issued covering a region encompassing most of the CBRJO members.

The ACT has been an active member of the CBRJO however due the JO s being established by NSW legislation they have now moved their membership to associate and a Memorandum of Understanding is being considered between the CBRJO and the ACT Government.

Strategic

Economic

BVSC is currently involved in a number of projects with the ACT government particularly relating to local economic development and tourism.  There are also several procurement initiatives that Council has participated in

Operational Plan

Council has currently identified in its forward planning that it will participate in a JO when the boundaries are finalised by the NSW State Government.

Environmental / Sustainability

Council participates in a waste program with the CBRJO and weeds activities in the region.

Asset

It is critical that major regional infrastructure items are included in State plans and the JO model will be the main avenue for progressing consideration of these by the NSW State Government.

Financial and Resources

Council has placed the refund from the winding up of SCG into a reserve. This amount is $20,070. Council also has a budget amount for membership of State and Regional organisations. The fee calculated for an annual membership of CBRJO is $33,764.00

The Mayor would be the nominated representative to the JO and attend meetings. This is budgeted for in the Councillor delegate expenses area. Council staff would participate in various working parties as required. The objective for the establishment of JO is for there to be efficiency and financial gains through resource sharing for member Councils.

Funding is available to join the CBRJO or other JO as determined by legislation.

 

Funding source

 

Amount

Reserve

$

20,070

Council membership of representative bodies

$

80,000

 

Conclusion

Council has previously considered membership of SEROC, now CBRJO.

 

Attachments

1.            Memorandum Bega Valley Shire Council  CBRJO Membership

 

Recommendation

1.         That Council consider the membership request from the Canberra Region Joint Organisation.

 


Council

10 August 2016

Item 12.6 - Attachment 1

Memorandum Bega Valley Shire Council  CBRJO Membership

 


 

  

 


Council

10 August 2016

 

Staff Reports –  Finance (Leading Organisation)

 

10 August 2016

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

13.1            Referral of 2016 Financial Statements to Audit.................................................. 93

13.2            Certificate of Investments made under Section 625 of the Local Government Act, 1993         95


Council 10 August 2016

Item 13.1

 

13.1. Referral of 2016 Financial Statements to Audit     

 

In accordance with Section 413 of the Local Government Act 1993 Council must “refer to audit” the financial reports for the financial year ending 30 June 2016.

 

General Manager  

 

Background

Section 413 of the Local Government Act 1993 (the Act) advises Council must refer its financial reports to audit prior to them being audited.

Council’s audit of financial reports for the financial year ending 30 June 2016 will commence on 17 October, 2016.

Section 413 of the Act advises Council must make a statement in the approved form as to its opinion on the preparation of the general purpose financial report (and by extension the special purpose financial report). 

The following recommendation also provides the necessary authority for the Mayor, Deputy Mayor, General Manager and Responsible Accounting Officer to complete the general purpose and special purpose financial reports after audit.

Financial

The financial reports represent a summary of the financial result of Council operations for 2015/2016.

The recommendations in this report do not represent the Council's approval of the 2016 financial reports.

Financial reports are prepared for and audited by independent entities. The Council does not approve the annual financial reports. This report is solely to meet the requirements under the Act and to meet directions issued by the Office of Local Government.

After Council has finalised its audited financial statements, Councillors will be provided with a workshop to discuss the final results in detail. There will also be a public address from both the Responsible Accounting Officer (Chief Financial Officer) and the Auditor in November 2016.

Conclusion

Adoption of the recommendation will ensure Council complies with end of financial year reporting requirements of the Act.

 

Attachments

Nil

 

Recommendation

1.    That Council resolve that The Council’s general purpose financial report is prepared in accordance with:

a)       The Local Government Act 1993 (as amended) and the Regulations made there under; and

b)       The Australian Accounting Standards and professional pronouncements; and

c)       The Local Government Code of Accounting Practice and Financial Reporting; and

d)       Presenting fairly the Council’s operating result and financial position for the year; and

e)       According with Council’s accounting and other records.

2.    The Council’s Special Purpose Financial Reports are prepared in accordance with:

a)       NSW Government Policy Statement “Application of National Competition Policy to Local Government”; and

b)       Office of Local Government Guidelines “Pricing and Costing for Council Businesses: A Guide to Competitive Neutrality”; and

c)       The Local Government Code of Accounting Practice and Financial Reporting; and

d)       The Department of Water and Energy Best Practice Management of Water Supply and Sewerage Guidelines.

e)       Presenting fairly the operating result and financial position for each of Council’s declared Business Activities for the year; and

f)         According with Council’s accounting and other records.

3.      That the signatories be required to confirm they are not aware of any matter that would render the reports false or misleading in any way, and include such information in the statement.

4.      That Council authorise the Mayor, Deputy Mayor, General Manager and the Responsible Accounting Officer to execute the statement required by Section 413(2)(c) of the Local Government Act 1993.

5.      That Council endorse the referral of General Purpose Financial Report and Special Purpose Financial Reports to Council’s Auditor for audit.

 


Council 10 August 2016

Item 13.2

 

13.2. Certificate of Investments made under Section 625 of the Local Government Act, 1993     

 

This report details Council’s investments during the month of July 2016.

 

Director Strategy and Business Services  

 

Background

Under the legislation and regulations mentioned below, the Responsible Accounting Officer must present to Council on a monthly basis the status of the investments held by Council. The Responsible Accounting Officer must detail the investments held, and their compliance with both internal policy and external regulation under the Ministerial Order of Investments.

In accordance with the recommendations made by the Office of Local Government (OLG) Investment Policy Guidelines published in May 2010, the Strategy and Business Services section has made the monthly Investments Report an attachment to the Business Paper. This allows a stand-alone report to be published on Council’s website for the public to view without having to peruse the Council’s Agenda for the relevant meeting.

Issues

Legal

Section 625 of the Local Government Act 1993 (the Act) determines money may only be invested in a type of investment authorised by order of the Minister for Local Government and published in the Local Government Gazette. The most recent Ministerial Order of Investment was published February 17, 2011.

Clause 212 of the Local Government (General) Regulation 2005 determines the Responsible Accounting Officer must provide Council with a written report setting out details of all money Council has invested under section 625 of the Act.

The report must also include a Certificate as to whether or not the investments have been made in accordance with the Act, the Regulations and the Council’s Investment Policy.

Policy

Council has an Investment Policy published under Policy number 5.07. This Policy is reviewed every 4 years by Council and annually by Council staff.

Council’s current Policy allows for investment of funds in cash term deposits only with rated Authorised Deposit-Taking Institutions (ADI’s). Council does not hold any investments in sub-prime or managed fund products. At this time, Council holds no long term deposits nor any deposits introduced through an agent.

Financial

The attached report indicates a current investment portfolio of $45,900,000. These funds can be broken into the following Funds:

Table 1: Investments by Fund $’000

Fund

May 2016

June 2016

July 2016

General Fund

$7,708

$17,708

$14,708

Water Fund

$14,842

$14,842

$14,842

Sewer Fund

$16,350

$16,350

$16,350

In addition, there is $2,101,000 in uninvested funds in Council’s operating account. There is an additional $5,000,000 at call investment held in Council’s Transactional Account.

·     Each fund’s allocation can only be utilised on its specific operations. For example, Water Fund cannot use its financial resources on General Fund projects, etc.

·     Externally Restricted is defined by purposes that are “restricted” by external legislation or regulations, such as unspent grants or loans tied to a specific project, or development contributions held for expenditure in accord with an adopted s94/s64 contributions plan.

·     Internally Restricted is defined by “restrictions” placed upon the use of these funds by Council internally, such as asset replacement, weeds, property, employee entitlements and the like.

·     Unrestricted funds are available for day to day operational uses, or emergencies. Those funds are reviewed daily for short term investment, depending on revenue cycles such as rates instalments.

Table 2: Restricted Cash and Investment by Fund $’000

Fund

External Restrictions

Internal Restrictions

Unrestricted

Total

General Fund

$10,902

$8,560

$2,347

$21,809

Water Fund

$4,224

$10,618

 

$14,842

Sewer Fund

$2,581

$13,769

 

$16,350

The restrictions reported in Table 2 relate to 30 June 2015.

Council formally calculates its Restrictions as at 30 June each year. These Restrictions are not reset until the following year Financial Audit. Any movement of funds during the year, is therefore, shown as movement in unrestricted cash.

There have been expenditures between July and year to date that will result in reduced restrictions (for example transfers from reserves to fund capital works), but is not reflected in the above table.

 

Attachments

1.            Certificate of Investment July 2016

 

Recommendation

1.         That Council receive and note the attached report indicating Council’s Investment position.

2.         That Council note the Certificate of the Responsible Accounting Officer.

 


Council

10 August 2016

Item 13.2 - Attachment 1

Certificate of Investment July 2016

 


 

 


Council

10 August 2016

 

 

Delegates Reports

 

10 August 2016

 

15.1            2016 Conference of the National Climate Change Adaptation Research Facility (NCCARF)     100


Council 10 August 2016

Item 15.1

 

15.1. 2016 Conference of the National Climate Change Adaptation Research Facility (NCCARF)     

 

Councillor Bill Taylor and Council’s Environmental Management Coordinator, Mr Daniel Murphy attended the 2016 Conference of the National Climate Change Adaptation Research Facility (NCCARF).  This report provides insight into the key Conference items

 

General Manager  

 

Councillor Bill Taylor and Council’s Environmental Management Coordinator, Mr Daniel Murphy attended the conference in Adelaide.  As part of Daniel’s role, he liaises with NCCARF providing data and other information relevant to this region.  NCCARF provides $10,000 annually to Council to support this work.

NCCARF is funded by the Federal Government in association with CSIRO. Its role is to investigate and report on actions to limit the negative impacts of climate change and to take advantage of any opportunities which may arise.  The reality of climate change is accepted. Adaptation to the change is the purpose of NCCARF.

The core message emerging from the Conference is that, in general, the finance (including superannuation funds), insurance, industry and agricultural sectors of the economy are adapting or are taking steps in preparation to adapt to climate change.  They are investing or preparing to invest in research and or new projects and works to modify and protect existing and future physical assets. In many countries this is supported by government policy. Expansion in private and superannuation fund investment is dependent to a large extent on the ambitions of government. The insurance sector is looking closely at the risk profile of clients and the message is that some assets will be uninsurable in ten to fifteen years unless climate change adaptation measures are taken.

The former chief of the Defence Force, Admiral Chris Barrie, is particularly concerned about defence preparedness for both physical and population emergencies which will arise from climate change.

The variety of presentations made it clear the effects of climate change will vary according to geography and on the extent and type of development in particular regions. The river deltas of the equatorial regions, being dense population areas, are in particular need of attention.

On a positive note a lot is being done in many sectors.  Farmers, for instance, have always had to adapt to climate so a lot is happening in agricultural production systems to adapt to higher temperatures and variable rainfall.

While the political debate may be continuing, it’s instructive to follow the money to see how adaptation to climate change is being taken seriously by, amongst others, public companies and the finance sector.

I recommend Councillors read the NCCARF Briefing note 6, which has been provided in hard copy, for a useful summary of the impacts of climate change and how adaptation plans and actions will help us to reduce the negative impacts and take advantage of the positive opportunities resulting from climate change.

 

Attachments

Nil

     


Council

10 August 2016

 

 

Questions On Notice

 

10 August 2016

 

19.1            Lucas Brothers Story and Recognition.............................................................. 103


Council 10 August 2016

Item 19.1

 

19.1. Lucas Brothers Story and Recognition     

 

At its Ordinary Meeting of 29 April 2015, Cr McBain requested a report to Council regarding a proposed memorial for the Lucas family.

The question was taken on notice by the Director Community, Relations and Leisure.

 

General Manager  

 

Background and update

An interim response to the Question on Notice was provided at the Ordinary Meeting of Council on 12 August 2015.

Since that time a number of actions have been taken.

Mr Guy Lucas has met with the Bega RSL Sub-branch and secured their support to recognise the story of the Lucas Brothers and the letter their father received from the King.

The Cobargo RSL Sub-branch has also provided in-principle support to recognise the story.

In consultation with the Lucas family, the Bega Valley Regional Gallery Director and the Bega RSL Sub-branch, a Request for Proposal process was undertaken. Due to the nature of the responses, the Proposal Assessment Panel choose not to proceed with any of the proposals; however the Panel did agree to work with one of the submitters, who is a local artist in Bega, to explore other options. These discussions are continuing.

Mr Lucas has confirmed his commitment to cover all costs associated with the work that will tell the story, but is keen to hear from others who may wish to contribute. Grant opportunities have also been explored.

Discussions have commenced on a suitable location, with the Lucas family keen for the work to be in the vicinity of the Bega Valley Commemorative Civic Centre as the family originally lived in that area prior to re-locating to Brogo.

Mr Lucas would like to open some community dialogue once the family are clearer on the type of works that would adequately capture this unique story of the Bega.

The aim is to have something in place prior to November 2016.

 

Attachments

Nil