Agenda of Council - 25 November 2015

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 and Department 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 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	Councillor

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

Council

25 November 2015

Agenda

Acknowledgement of Traditional Owners of Bega Valley Shire

I would like to commence by acknowledging, on behalf of Bega Valley Shire Council the Traditional Custodians of the lands and waters of the Shire – the people of Yuin nation and show our respect to elders past and present.

1 Apologies and requests for leave of absence

2 Confirmation Of Minutes

Recommendation

That the Minutes of the Ordinary Meeting held on 4 November 2015 and the Extraordinary Meeting held on 16 November 2015 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 Finalisation of Amendment to Local Environmental Plan 2013: Lot 311 DP 1035434 Bermagui Cobargo Road, Cobargo................................................................................................................................... 9

8.2 33 lot subdivision - Tathra River Estate, Thompson Drive, Tathra.......................................... 15

8.3 Finalisation of Amendment to Local Environmental Plan 2013: Minor Amendments No.3 39

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.

9.1 Council Lifeguard Program........................................................................................................... 46

9.2 Sports Facility Master Plans - Drafts For Public Exhibition....................................................... 50

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 Update on status of proposed Economic Summit..................................................................... 94

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 Acquisition of Easement over private land for stormwater drainage at Wolumla ......... 98

11.2 Bega Valley Local Traffic Committee 4 November 2015....................................................... 160

11.3 Formalisation of road name: Silver Cliff Road, Millingandi.................................................... 162

11.4 RFT 73/15 Construction Tender for Water and Sewer Mains Renewal/Upgrade Program 166

11.5 RFT 72/15 Mogareeka Boat Ramp Upgrade Tender .............................................................. 169

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 Applications for Financial Assistance: Section 356
Second Quarter 2015/2016....................................................................................................... 174

12.2 Southern Phone Company Pty Ltd - Grants Scheme.............................................................. 176

12.3 2014 - 15 Annual Report.......................................................................................................... 180 .

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 Presentation of Audited Financial Statements for the year ended 30 June 2015............ 186

13.2 RFT 67/15 Cleaning of Bega Valley Shire Council Buildings Tender.................................... 194

13.3 Quarterly Budget Review Statement (QBRS) at 30 June 2015............................................. 198

13.4 Quarterly Budget Review Statement (QBRS) at September 2015....................................... 208

13.5 Certificate of Investments made under Section 625 of the Local Government Act, 1993 211.

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 Southern NSW Local Health Districts Annual Public meeting - Cr Sharon Tapscott......... 216

16 Rescission/alteration Motions

17 Notices of Motion

18 Urgent Business

19 Questions On Notice

19.1 Response to Question on Notice - State Owned Corporations and Local Government Rates - Cr Hughes 219

19.2 Cr Britten - Port of Eden Development - financial viability of Marinas............................... 222

20 Questions for the Next Meeting

21 Items of Interest Relating to Council Business

22 Confidential Business

Representations by members of the public regarding closure of part of meeting

Adjournment Into Closed Session, exclusion of the media and public......................... 223

22.1 Senior Staff performance

This report is confidential in accordance with section 10A (2) (a) of the Local Government act 1993 as the report contains personnel matters concerning particular individuals.

23 Adoption of reports from Closed Session

24 Resolutions to declassify reports considered in closed session

Council 25 November 2015

Item 8.1

8.1. Finalisation of Amendment to Local Environmental Plan 2013: Lot 311 DP 1035434 Bermagui Cobargo Road, Cobargo

The purpose of this report is to detail the outcomes of the public exhibition and government agency consultation and to finalise the amendment to Bega Valley Local Environmental Plan 2013 to rezone Lot 331 DP 1035434.

Group Manager Planning and Environment

Background

A planning proposal to rezone and lot size Lot 331 DP 1035434 (see Figure 1) lodged with Council on behalf of the owner was reported to Council on 10 June 2015 where it was resolved:

“1. The Planning Proposal to zone Lot 331 DP 1035434 to R5 Large Lot Residential with a 5ha minimum lot size is forwarded to the NSW Department of Planning and Environment for Gateway Panel determination.”

The objective of the planning proposal is to rezone the subject land from 1(a) Rural General to R5 Large Lot Residential with a minimum lot size of 5ha to permit the development of up to 10 rural residential allotments.

Figure 1: Aerial Photo of Lot 331 DP 1035434 Cobargo Bermagui Road, Cobargo

Exhibition of Planning Proposal

Council received a Gateway Determination for the planning proposal on 14 August 2015 from NSW Planning and Environment and delegation of the functions of the Minister of Planning and Environment to make the plan.

In accordance with the Gateway Determination, the planning proposal was placed on public exhibition for 28 days from 4 September to 2 October 2015 and three public submissions were received. Submissions were also received from the NSW Rural Fire Service (RFS) and NSW Roads and Maritime Services (RMS).

The exhibition of the planning proposal included notification on Council’s website, in local newspapers, in writing to affected and adjoining landowners and the Merrimans Local Aboriginal Land Council.

The agency submissions received by Council to the planning proposal, as well as the issues raised in the three public submissions, are summarised and discussed below.

NSW Roads and Maritime Services (RMS)

· The RMS commented that it is satisfied that the safe access to the area can be provided in the future.

Staff comment:
Noted.

NSW Rural Fire Services (RFS)

· The RFS submission states: “the RFS does not object to the progression of the Planning Proposal, however a preliminary review of the Concept Plan contained within the submitted documentation has identified the following matters pertaining to bushfire protection which should be given some further consideration.”

· In summary these matters were: minimising the interface to the bushfire hazard including consideration of a perimeter road, ensuring future lots can achieve APZs within boundaries and achieve the applicable radiant heat and Bushfire Attack Levels and locating dwellings within 200m from a public through road or provision of a secondary access route.

Staff comment:
The northern portion of the land is mapped as bushfire prone (see Figure 2 below). It is acknowledged the subdivision concept plan included in the planning proposal does not comply with RFS Planning for Bush Fire Protection 2006, however Council’s Planning Services staff are of the opinion that it is likely the land could be subdivided in a way that would satisfy the RFS’s requirements.

Use of the lot averaging clause provides options for the majority of future lots to be developed on the non-bushfire prone land which is relatively unconstrained in terms of bushfire hazard. Because part of the subject land is bushfire prone, the Development Application for subdivision will require the approval of the NSW RFS, prior to approval by Council, and as such all future lots will be required to meet the standards of RFS Planning for Bush Fire Protection 2006.

Figure 2: Bushfire Prone Land: Lot 331 DP 1035434 Cobargo Bermagui Road, Cobargo

Privacy / quality of life

· Adjacent owners submitted they were influenced by the privacy / rural zone and its restrictions on further subdivision when purchasing properties and rezoning will negatively impact on the quality of life from overlooking development and increase in traffic.

Staff comment:
Lot 330 DP 1035434 is approximately 4ha and contains a dwelling and is surrounded on three sides by the subject land; and Lot 9 Section 26 DP 2591 contains a dwelling on 2ha and is located on the western boundary of the subject land. The land adjacent to the subject land on the southern side of the Bermagui Cobargo Road and to the east has been subdivided into lots of around 4ha in size and various concessional lot subdivisions in the surrounding rural land typically range from 2 to 8 hectares in size. The majority of these lots contain dwellings.

While lots created primarily for rural residential purposes are not uncommon in the vicinity, the privacy and amenity of the existing adjacent owners will be affected by the development that is likely to result from the planning proposal. This is particularly the case for the owners of Lot 330 DP 1035434 as the proposed access would run along the eastern boundary of their property.

These impacts are largely unavoidable due to the restrictions on the location of the proposed access to the Bermagui Cobargo Road and the topography of the site. However, the proposed minimum lot size provides flexibility in terms of future subdivision layout and the application of the provisions of Council’s Development Control Plan 2013 will ensure that both the location of lots and the subsequent dwellings are placed as sympathetically as possible with regard to neighbouring amenity issues.

It is considered the proposed subdivision of the subject land would be consistent with the fragmentation of land in the area. The proposed minimum (or average) lot size of 5ha could produce a maximum of 10 lots on the subject land, which would be in keeping with surrounding rural residential development. There is a demonstrated need for additional rural residential zoned land in the Cobargo area. The proximity of the subject land to the village of Cobargo and relative lack of environmental constraints on most of the site, make it a suitable location for expansion of rural residential development in the Cobargo area.

Recommendation: No amendments to the provisions of the planning proposal are recommended.

Traffic / access

· Request alternative access by reducing speed limit

· Potential for another fatal traffic accident

Staff comment:
Access to the subject land has been the subject of discussions between RMS, Council and the applicant’s consultant. The RMS is satisfied with the proposed location of the access as detailed in the planning proposal and requires that any future lots use the proposed access point to the Bermagui Cobargo Road. A reduction in speed limits on the Bermagui Cobargo Road is not considered by the RMS to be appropriate.

Recommendation: No changes to the provisions of the planning proposal are recommended.

Water supply

· Potential for interference with water supply for property

Staff comment:
Lot 330 DP 1035434 has an easement to a dam on the subject land and the right to pump, supply and store water. Should the subject land be rezoned this right will be maintained on the basis that the 88B restriction is an in force legal instrument. As such, any future subdivision of the land must ensure the existing water supply line and source is maintained or a new alterative supply arrangement is formulated so that the legal terms of the 88B restriction benefitting lot 330 are maintained.

Recommendation: No changes to the provisions of the planning proposal are recommended.

Waste water management

· Parts of subject land can be boggy following heavy rainfall or may contain natural springs

· Potential for contamination of natural watercourses and adjoining land

Staff comment:
Council’s Senior Environmental Health Officer is satisfied that the On Site Waste Water Disposal – Effluent Capability Study provided in support of the planning proposal, demonstrates that waste water from the development likely to result from the planning proposal, can be adequately disposed on site. The report is based on on-site soil testing and demonstrates sufficient effluent management areas can be located outside of the buffers to the subject land’s network of gullies.

Recommendation: No changes to the provisions of the planning proposal are recommended.

Native flora / fauna

· Native vegetation regrowth at the top of the hill has created a wildlife corridor providing habitat for kangaroos and echidnas.

Staff comment:
Council’s Environmental Services Staff have inspected the site and advised the native vegetation in the northern third of the property increases in density with pockets of new regrowth (1-5 years), older regrowth (5-25 years) and the occasional mature remnant trees including several trees with hollows. The lot has components of a wildlife corridor in the early stages of regeneration linking the larger remnant patches of vegetation to the north and south of Cobargo. The corridor takes the form of linear strips of vegetation generally following the ridge lines and gullies diagonally from the northwest to the southeast of the lot eventually connecting to Narira Creek.

Subdivision of the northern portion of the subject land will be constrained by the vegetation density and steepness of the land which will restrict options for the location of building envelopes and on-site sewerage treatment, potentially resulting in greater cumulative impacts on the vegetation. Furthermore, impacts from future landholder activities and their allowances such as clearing regrowth and fence lines under the Native Vegetation Act 2003 can result in on-going cumulative impacts.

Recommendation: To mitigate the potential for future subdivision to fragment the northwest southeast corridor and encourage the maintenance of a contiguous patch of vegetation in the future, it is proposed to zone the northern portion of the land as E4 Environmental Living in recognition of the land’s environmental values (see Figure 3 below). Moreover, the proposed zoning boundary relates reasonably well to the bushfire prone land (discussed above).

No amendment to the proposed 5ha minimum lot size is recommended to enable the future subdivision pattern and lot sizes to conserve and reflect environmental values of the land in accordance with the lot averaging provisions.

Figure 3: Amended zoning: Lot 331 DP 1035434 Cobargo Bermagui Road, Cobargo

Subdivision layout

· There is a discrepancy between the lot sizes on the conceptual subdivision layout and the proposed minimum lot size for the land.

Staff comment:
The “discrepancies” occur due to the use of the lot averaging clause.

It is noted that subdivision concept plans are not endorsed by the planning proposal process.

Conclusion

Public and agency consultation of the planning proposal has been completed and a range of issues have been raised in submissions. The issues involving the potential loss of privacy and quality of life of adjacent residents can be mitigated at the detailed subdivision design stage through the provisions of the Bega Valley Local Environmental Plan 2013 and Development Control Plan 2013.

The RMS is satisfied with the proposed access, the applicant has adequately demonstrated the site is suitable for on-site effluent disposal at the scale of development proposed, and concerns regarding security of water supply are addressed through an existing (and continuing) restriction on the title of the subject land.

Council staff is of the opinion a suitable subdivision design in the order of 10 lots is achievable on the site that meets bushfire requirements and adequately addresses potential environmental impacts including those regarding native flora and fauna.

It is recommended the proposed minimum lot size of 5ha is not altered, but that the land be zoned a combination of R5 large Lot Residential and E4 Environmental Living as illustrated in Figure 3 of this report to recognise the environmental values of the northern portion of the subject land.

The proposed amendment of part of the proposed R5 zone to E4 is considered minor and does not require re-exhibition of the planning proposal. As such, Council can proceed to finalise the plan in accordance with the delegations issued by the Minister for Planning and Environment under Section 59 of the Environmental Planning and Assessment Act 1979.

Attachments

Nil

Recommendation

1. That Council resolves to adopt the amendments to Bega Valley Local Environmental Plan 2013 subject to the minor alterations contained in Figure 3 of this report.

2. That, using the delegations issued by the Minister for Planning and Infrastructure, Council proceeds to finalise the plan under section 59(2) of the Environmental Planning and Assessment Act 1979.

3. That all those persons who have made submissions be advised of the above.

Council 25 November 2015

Item 8.2

8.2. DA No. 2013.373: 33 lot subdivision - Tathra River Estate, Thompson Drive, Tathra

Group Manager Planning and Environment

Applicant	Cowman Stoddart Pty Ltd
Owner	Linkwood Nowra Pty Ltd
Site	Lot 2 DP 582074, Thompson Drive, Tathra
Zone	Part 2(a) Low Density Residential, 2(c) Residential Tourist, 1(a) Rural General, 7(b) Environment Protection Foreshore, 6(a) Existing Open Space under BVLEP 2002
Site area	130ha
Proposed development	33 Lot Subdivision

Precis

The application for a 33 lot subdivision, being Stage 2 of Tathra River Estate, was deferred at the Council meeting of 14 October 2015 to enable staff to provide Council with additional information in relation to matters raised in addresses. This report provides additional clarification on those issues and provides an amended Draft Consent for Council’s consideration.

The application is presented to Council for determination.

Background

A staff report in respect to the proposed development was submitted to Council for consideration at its meeting of 14 October 2015 with the following recommendation;

1. That Development Application 2013.373 for a 33 lot subdivision at Lot 2 DP 582074 Thompson Drive, Tathra be approved subject to conditions as provided as Attachment 5 to this report.

2. That those persons who made a submission be advised of Council’s decision in this regard.

Council resolved as follows;

That the matter be deferred for further report to Council to include the following matters:

· Provision of water supply

· Underground electricity supply

· Stand-alone electricity supply

· Visual impact of water tanks

· Status of Fire Trails

Description of the proposal

The proposal consists of the subdivision of Lot 2 DP 582074 into 32 allotments, varying in size from 3,987.3m² to 17,692m² with a proposed reserve dedication of 22.16 hectares and a residue allotment of 74.70 hectares.

The proposed subdivision would be constructed in two parts, with the first stage comprising Lots 1-18 and the second stage comprising Lots 19-32 plus the residue lot and reserve dedication.

It is proposed all access to the subdivision will be provided via Thompson Drive from Tathra Road. Internal access will be via a number of new roads off Thompson Drive and Wheeler Avenue.

Description of the site

The site comprises a total of 130 hectares located on a peninsula between the Bega River Estuary and Blacka Ada Swamp. The land adjoins 63 residential allotments that were previously developed along Thompson Drive and is known locally as Tathra River Estate.

The land that is the subject of this Development Application (DA) is located to the north and east of the existing residential development.

The land is dominated by an elevated ridge crest visible from surrounding areas, the Bega River and the coast. The topography generally slopes to the Bega River and adjoining coastal wetlands (identified under SEPP14 – Coastal Wetlands). It is a sensitive coastal location as identified by SEPP 71.

The site has been extensively cleared with a long history of grazing.

Response to items raised in the Council resolution

There were three addresses to Council on 14 October 2015 in relation to the proposed subdivision. The matters raised in the addresses have been considered by staff. The following provides additional staff comment regarding the five key issues highlighted in the Council resolution:

Provision of water supply

The staff advice to the developer, since pre-lodgement discussions, has been that our best practice position, based on previous advice from NSW Health and the Environment Protection Authority, is that subdivisions which rely on onsite effluent disposal should not be connected to a reticulated water supply.

The basis of this position is that where an unlimited water supply is available, additional pressure is placed on disposal systems to accommodate the wastewater generated from those developments.

As such, the applicant presented for Council’s consideration a stand-alone subdivision in terms of water and sewer servicing.

There is capacity for the proposed subdivision to connect to reticulated water. The subject land is currently outside of the Development Servicing Plan for Water Supply (DSP) area, however Council’s engineering staff have confirmed there is capacity to accommodate the proposed 33 allotments.

Clause 5.8 of the Water Development Servicing Plan states that new developments may be proposed outside of the boundary of the DSP and provided there is no planning or other constraints to the development, Council may approve construction of essential assets to service such a development. The cost of servicing the development must be at the full cost of the developer in addition to standard Section 64 Contributions per allotment.

Staff sought clarification from the applicant in relation to the design capacity of the proposed systems of effluent management, as detailed in the Water Cycle Management Study prepared by SEEC, September 2013. SEEC have responded confirming the systems have been designed in accordance with Council’s DCP 2013 to cater for 1000 litres of water per day.

A review of water consumption rates for the existing 63 dwellings within Tathra River Estate showed the average water consumption over the last three years has been 443 litres per day.

SEEC submit there would be no difference in efficiency or operational capacity of the proposed effluent disposal systems using rainwater harvesting or a reticulated water supply.

As such, should Council resolve to approve the subdivision, additional conditions of consent have been inserted into the Draft Consent requiring construction and supply of reticulated water infrastructure, including the provision of water hydrants, and payment of Section 64 contributions (see amended draft consent conditions 18 & 33- 36 and Advisory Note 8 provided in Attachment 1 to this report).

Underground electricity supply

Council staff has assessed the proposed subdivision as a rural residential style subdivision, even though the current zoning of the land is urban. This is on the basis the strategic direction for this land indicates large lot residential development is appropriate for the character and topography of the site.

As such, staff were comfortable with the provision of overhead electricity within the subdivision, which would link to the existing overhead electricity provided in the existing estate.

Notwithstanding the above, in accordance with the Council resolution, staff have sought the applicant’s position in relation to the potential to provide underground electricity to the new subdivision. The applicant has advised as follows:

“Please be advised that our client has arranged for initial electricity reticulation designs for this subdivision. These designs have been based upon underground extension of power throughout the subdivision which is over and above Bega Valley Shire Council’s subdivision requirements”.

As the developer is prepared to provide underground electricity to service the subdivision, condition number 5 in the Draft Consent provided as Attachment 1 to this report has been amended to read as follows;

The development must be provided with underground electricity infrastructure. A Notification of Arrangement letter issued by the relevant electricity supplier is to be obtained and forwarded to the Principal Certifying Authority prior to the issue of a subdivision certificate.

Stand-alone electricity supply

In relation to the provision of stand-alone electricity supply (e.g. solar or wind generation), there is opportunity for any future landowner to submit a proposal for a stand-alone system that is not connected to the grid.

Visual impact of water tanks

The provision of a reticulated water supply servicing the proposed subdivision would generally eliminate the need for large rainwater tanks. The requirements of BASIX would still result in rainwater harvesting requirements (normally for use in toilet flushing and use on landscaping) however the tank size would likely be much smaller. It is noted that future landowners may still choose to install larger sized rainwater tanks and the placement and visual impact of such would normally be assessed at the time of lodgement of the dwelling house applications.

Status of fire trails

Council has responsibility for maintenance of the fire trail network in and around the urban areas of the Shire where Council is either the landowner or Trustee of the reserve network.

As detailed in the report to Council of 14 October 2015 there is an existing fire trail network that traverses Crown reserve land to the east of the subdivision and through to Tathra-Bermagui Road, which is currently maintained by Council as Trustee of the Reserve.

Attachment 2 to this report provides a map indicating the fire trail network adjoining the subject site.

This fire trail network is on Council’s monitoring schedule and receives maintenance works as required.

Conclusion

The proposed development meets the objectives of the zone, is a permissible land use, is considered to achieve the orderly and economic use and development of land (consistent with the objects of the Environmental Planning and Assessment Act 1979) and is consistent with the SEPP 71 masterplan for the land.

A wide range of impacts have been identified in the assessment of the application and, where appropriate, suitable mitigating measures have been identified, either through the provision of revised plans and additional information from the applicant, or through recommended consent conditions.

In considering all relevant matters under Section 79C of the Environmental Planning and Assessment Act 1979, the proposed development would be suitable for the subject site and approval of the application would be in the public interest.

Approval of the development is recommended subject to conditions provided in the draft consent as Attachment 1 to this report.

Attachments

1 . Draft consent

2 . Existing fire trail network

Recommendation

1. That Development Application 2013.373 for a 33 lot subdivision at Lot 2 DP 582074 Thompson Drive, Tathra be approved subject to conditions as provided as Attachment 1 to this report.

2. That those persons who made a submission be advised of Council’s decision in this regard.

Council 25 November 2015

Item 8.3

8.3. Finalisation of Amendment to Local Environmental Plan 2013: Minor Amendments No.3

Group Manager Planning and Environment

Background

At the meeting of 12 August 2015 Council considered a report on several minor issues and errors in Bega Valley Local Environmental Plan 2013 (BVLEP 2013) and resolved:

“1. That Council staff prepare a Planning Proposal to amend Bega Valley Local Environmental Plan 2013 and associated maps in accordance with the recommendations contained in the body of this report.

2. That the Planning Proposal be forwarded to the Department of Planning and Environment’s Gateway Panel for determination.”

The objective of the planning proposal is to rectify a number of minor zone and lot size map anomalies affecting land in Glen Mia Estate and High St Bega, Wonboyn and Mogareeka and inconsistencies within the R2 Low Density Residential and R3 Medium Density Residential land use tables.

Exhibition of Planning Proposal

Council received a Gateway Determination for the planning proposal on 11 September 2015 from NSW Planning and Environment and delegation of the functions of the Minister for Planning and Environment to make the plan.

In accordance with the Gateway Determination, the planning proposal was placed on public exhibition for 14 days from the 2 to 16 October 2015. Council staff received several telephone and counter enquiries from the community regarding the planning proposal, particularly in relation to Glen Mia Estate Bega and Wonboyn, however only four written submissions were received. A submission was also received from the NSW Rural Fire Service.

The exhibition of the planning proposal included notification on Council’s website, in local newspapers, in writing to affected and adjoining landowners and the Bega and Eden Local Aboriginal Land Councils.

The agency submission received by Council to the planning proposal as well as the issues raised in the four public submissions are summarised and discussed below.

NSW Rural Fire Services

· The NSW Rural Fire Service raised no concerns or issues with the planning proposal in relation to bush fire.

R2 Low Density Residential zone: land use table

Currently Health Consulting Rooms are permitted in the R2 Low Density Zone with consent. The planning proposal aims to amend the land use table by removing Health Consulting Rooms as a permitted use in the zone.

· No public submissions were made to the Planning Proposal in relation to this part of the planning proposal.

R3 Medium Density Residential zone: land use table

Currently Business Premises are a permitted use with consent in the R3 Medium Density Zone. The planning proposal aims amend the land use table to list Businesses Premises as a prohibited use in the R3 zone.

· No public submissions were made to the Planning Proposal in relation to this part of the planning proposal.

Wonboyn Village: lot size

The planning proposal aims to amend the minimum lot size for part of Wonboyn village that currently has a 1,000sqm minimum lot size to 2,000sqm. The purpose of the amendment is to be consistent with clause 4.1A of BVLEP 2013 and Council’s adopted minimum lot size for all unsewered residential land, which requires a minimum of 2,000sqm.

Figure 1: Wonboyn Village - proposed minimum lot size (subject land outlined in blue)

SUBMISSIONS

· One public submission was made in relation to this land by the owners of Lot 154 DP 812002 raising concerns that the planning proposal may change current Council guidelines regarding on-site effluent disposal systems on blocks smaller than 2,000sqm or affect their building options in the future.

Staff comment:
Lot 154 DP 812002 was created for the purposes of a dwelling and despite being under the current 2,000sqm standard for dwellings on unsewered lots, a dwelling can be approved on the lot under the provisions of BVLEP 2013 where Council is satisfied a suitable on-site sewage management system could be designed for the subject lot.

There is only one other affected vacant lot that is less than 2,000sqm and Council is currently determining a Development Application for the erection of a dwelling on the lot.

Recommendation: No amendments to the provisions of the planning proposal are recommended.

Glen Mia Estate, Bega: lot size

The planning proposal aims to amend the minimum lot size for that portion of the Glen Mia Estate in Bega with lot sizes in excess of 1,000sqm from 550sqm to 4,000sqm to reflect the intention of the original consent and give a clear indication of the subdivision development potential of the land.

Figure 2: Glen Mia Estate Bega - proposed minimum lot size (subject land outlined in blue)

SUBMISSIONS

· One submission signed by the owners of three Glen Mia Estate lots suggested the minimum lot size should be 5,000sqm instead of 4,000sqm to prevent further subdivision and attached a copy of the 88B instrument applying to their land which states that “No lot shall be further subdivided”.

· A second submission requested permission to subdivide their lot in the same style as their neighbour.

· The third submission questioned the rationale behind the 4,000sqm figure given that water, power, sewer and roads are provided in the Glen Mia Estate and villages have a minimum lot size of 1,000 or 2,000sqm and stated a preference for a 1,000 or 2,000sqm minimum lot size to apply.

Staff comment:
In addition to the written submissions, Council staff received several telephone calls as well as counter enquiries from residents, the majority of whom supported the planning proposal in relation to Glen Mia Estate. The majority of these existing owners bought into the Estate believing the amenity and character of the area would be retained and there is widespread support for retaining the current subdivision pattern.

The original application for the 156 lot subdivision of Glen Mia Estate stated that: “the application represents the final residential development of this parcel”. On approving the subdivision at the meeting of 23 September 2003, Council considered a submission that the lot sizes are excessive and the lot yield did not reflect the potential of the land.

The approved subdivision was the subject of extensive discussions and environmental reporting. The proposed lot yield and configuration directly reflects the lands capability to support residential development and takes into account the site characteristics, flora and fauna, engineering and heritage issues, including the location of aboriginal scar trees.

The rationale behind the decision to amend the minimum lot size to prohibit further subdivision in the Glen Mia Estate was intended to maintain the amenity of the existing residents and align BVLEP 2013 with the original subdivision yield and layout as approved by Council. There are also limitations on any extension of the existing sewage infrastructure that was installed to meet the capacity of the original subdivision layout.

Recommendation: No amendments to the provisions of the planning proposal are recommended.

Lot 1 DP 377455 High St, Bega: Zone

The planning proposal aims to rezone Lot 1 DP 377455 which is privately owned from RE1 Public Recreation to R2 Low Density Residential and apply a 550sqm minimum lot size and 0.5:1 floor space ratio in keeping with the surrounding land to accurately reflect the tenure and use of the land.

Figure 3: Lot 1 DP 377455 High St, Bega - proposed zoning (subject land outlined in blue)

· No public submissions were made to the Planning Proposal in relation to this land.

Lot 304 DP 821500 Bay Dr, Mogareeka: Zone

The planning proposal aims to rezone Lot 304 DP 821500 which is privately owned from E1 National Park to E4 Environmental Living with a 2,000sqm lot size in keeping with the surrounding land to accurately reflect the tenure and use of the land.

Figure 4: Lot 304 DP 821500 Bay Dr, Mogareeka - proposed zoning (subject land outlined in red)

· No public submissions were made to the Planning Proposal in relation to this land.

Conclusion

Public and agency consultation of the planning proposal has been completed. Following a review of the issues raised in the submissions relating to minimum lot sizes in Glen Mia Estate Bega and part of Wonboyn Village, it is considered no changes are necessary to the planning proposal as exhibited.

It is recommended Council proceed to finalise the Plan in accordance with the delegations issued by the Minister for Planning and Environment under Section 59 of the Environmental Planning and Assessment Act 1979.

Attachments

Nil

Recommendation

1. That Council resolve to adopt the amendments to Bega Valley Local Environmental Plan 2013 as exhibited in the Planning Proposal: Minor Amendments No. 3.

2. That, using the delegations issued by the Minister for Planning and Environment, Council proceeds to finalise the plan under section 59(2) of the Environmental Planning and Assessment Act 1979.

3. That all those persons who have made submissions be advised of the above.

Council 25 November 2015

Item 9.1

9.1. Council Lifeguard Program

Councillors and Council officers continue to receive enquiries to extend the lifeguarding services within the Shire. Funds are available through the Lifeguarding Special Rate Variation to provide an extension to services. This report seeks a resolution from Council in relation to how this program should be extended on the basis of risk management and recommendations from the Australian Lifeguard Service.

Group Manager Community, Relations and Leisure

Background

Council provides professional lifesaving services at seven beaches across the Shire during the January school holiday period. In 2015 the service ran from 26 December 2014 to 27 January 2015. The services are delivered via a contract with Australian Lifeguard Service (ALS) (the professional arm of Surf Life Saving NSW).

The annual lifeguarding service is funded through a recurrent Special Rate Variation (SRV) for the specific purpose of providing lifeguard services. The SRV amount for 2015/16 is $184,000. The money is used to provide services at the busiest time of year and, in doing so, helps to manage hazards and risks for the increased numbers of beaches goers during that time including both residents and visitors.

In February 2015, a trial was undertaken to extend the Council lifeguard service at Tathra Beach. The proposal to extend the service was put forward by the Tathra Chamber of Commerce to promote Tathra as a beach holiday destination outside of the traditional Christmas and New Year holiday period. The service ran from 1 February 2015 to 28 February 2015 and the cost was $12,950 including GST. Council facilitated the extension of service through a variation of its existing contract with ALS. The cost of the extension was funded through a Southern Phones grant ($3,000) and the balance contributed by local business through the Tathra Chamber of Commerce.

Issues

Legal

There is currently a three year contract in place with ALS and changes to the contract are managed through formal variations.

Policy

This report seeks to formalise Council's position in regard to proposed lifeguard service extensions.

In defining this position the following points should be kept in mind:

· Fundamentally the service is a hazard and risk management control strategy. Key risk management considerations are: beach conditions; site popularity and user numbers; and incident responses. These risk factors should be the basis to determining Council services and in turn Council funded extension of services.

· The SRV to fund the primary service is paid for by property owners. While it is important that the potential tourism and economic benefits are considered, it is also very important that a significant number of Shire residents are able to take advantage of the services funded through the SRV.

· Both the above items lead to a preference for service extensions being during ‘warmer water’ holiday periods that will benefit both residents and visitors. These weeks would be the week leading to Christmas or the April / Easter holiday periods (noting potential differences between NSW and Victoria holidays).

· If the SRV does not cover the total cost of Council funded services, the shortfall would need to be funded through a decrease in services in other leisure and recreation areas, or raising additional funds.

· Where the benefit is primarily an economic one (i.e. limited opportunities for residents to benefit) the beneficiaries should be primarily accountable for covering the costs of the services, however Council can facilitate an extension through its existing contract arrangement, noting no additional Council funding is available to extend services.

Asset

The Bega Valley Shire covers approximately 225km of coastline. Within the Shire there are 101 ocean beaches. While the coastline is large our beach management resources are relatively modest. As such Council only provides lifeguard services on seven beaches in the Shire.

Local surf lifesaving clubs provide full weekend supervision during the summer period and partial weekend services from October to early April.

Consultation

Under their current contract ALS provide detailed reports to Council at the end of each summer season. A key part of the report is the recommendations made by ALS to improve services. These are based on a hazard and risk management approach considering location, beach popularity and user numbers, beach conditions and incident responses.

Council staff recently asked ALS to prioritise their recommendations. In doing so ALS also referenced the 2014 Coast Safe Report which assessed beach conditions across the State. The ALS recommendations in priority order to improve beach lifeguard services in Bega Valley Shire were:

1. Explore the means to fund an additional lifeguard at Bar Beach, taking the number of lifeguards serving this location to two lifeguards across the current coverage period.

2. Explore the means to fund an extension of all lifeguard services within the Bega Valley Local Government Area to cover all summer schools holiday periods.

3. Provide lifeguard services during the Autumn School Holiday periods, particularly at Merimbula.

4. Explore the means to fund the lifeguard services at Merimbula, Bar Beach, Short Point, Camel Rock and Aslings Beach to provide supervision on weekends (Saturday, Sunday and public holidays) until the end of February. These services should also provide coverage over the four day Easter holiday weekend.

5. Explore the means to fund mid-week patrols at Tathra and Pambula from the start of December to the end of February.

Financial

The annual lifeguarding service is funded through a recurrent SRV for the specific purpose of providing lifeguard services. The SRV amount for 2015/16 is $184,000.

The cost of the current contracted 2015/16 lifeguard service will be $157,605.45 (ex GST), which leaves $26,395 available.

The itemised costs (ex GST) for each of the recommendations described above are shown below. Each item has been priced separately and does not consider if other recommendations have been applied. The combination of recommendations applied may increase or decrease individual item pricing:

1. $11,590 - additional lifeguard at Bar Beach, taking the number of lifeguards serving this location to two lifeguards across the current coverage period

2. $32,330 - extension of all lifeguard services within the Bega Valley Local Government Area to cover all summer schools holiday periods.

3. $70,285 (Non SLSC Beach x 5: $9,570.00; SLSC Beach x 3: $7,445) - lifeguard services during the Autumn School Holiday periods, particularly at Merimbula.

4. $51,655 - lifeguard services at Merimbula, Bar Beach, Short Point, Camel Rock and Aslings Beach to provide supervision on weekends (Saturday, Sunday and public holidays) until the end of February. These services should also provide coverage over the four day Easter holiday weekend.

5. $46,675 - mid-week patrols at Tathra and Pambula from the start of December to the end of February.

Resources (including staff)

Due to indexation in the SRV the budget amount for 2015/16 is $184,000. There is funding of $26,395 available to increase services.

To best utilise this funding Council is in a good position to:

· Fully fund the ALS recommendation 1.

· Partially fund ALS recommendation 2.

Council staff can work with and take advice from ALS to achieve the best distribution of lifeguarding services pre-Christmas for the funding available. For example options may include:

· A weekday service at beaches from the Monday before Christmas.

· A half day service on Christmas day (where not provided by SLS Clubs)

· A weekend service at non SLS Club beaches the weekend before Christmas.

Operational Plan

The delivery of the Beach Lifeguarding services links to the following ambitions and outcomes identified in the Bega Valley Community Strategic Plan 2030:

Community Ambition L1: Well-being and safety.

Outcome Area L1.3: Services provided to support lifesaving, rural fire service and State Emergency Service.

BVSC 2015 – 2016 Operational Plan: The review and delivery of the summer lifeguard services is identified within action L1.3.2 in the 2015/16 operational plan.

Conclusion

The purpose of this report is to formalise Councils’ position in regard to proposed lifeguard extensions. The key objectives of the beach lifeguard services are related to hazard management, funding and resourcing, equity in service availability for residents, tourism and economic benefits.

There are limits to the available funding and with this in mind the Australian Lifeguard Services have prioritised their recommendations for service improvement based on a risk and hazard management approach. Recommendations to utilise the available funding have been based on the ALS information.

Attachments

Nil

Recommendation

1. That Council note the report.

2. That Council’s lifeguard program be extended in 2015/16 within current Special Rate Variation funding to:

a) Increase the lifeguarding at Bar Beach in Merimbula (ALS recommendation 1); and

b) Increase coverage of the summer school holiday days not currently patrolled (ALS recommendation 2).

3. That future increases in funds, raised through the Lifeguard Program Special Rate Variation, be utilised to increase lifeguarding coverage as outlined in this report.

4. That Council continue to support organisations and groups to sponsor extensions to lifeguard services via existing contract arrangements.

Council 25 November 2015

Item 9.2

9.2. Sports Facility Master Plans - Drafts For Public Exhibition

Council, in consultation with key users and stakeholders, has developed draft Master Plans to guide the future development of the two identified regional sports facilities at Bega and Pambula Beach. The draft Master Plans are now ready for public exhibition.

Group Manager Community, Relations and Leisure

Background

The aim of the Regional Sporting Facilities Master Planning project is to develop and adopt strategic planning documents for the two identified regional sportsgrounds located in Bega and Pambula Beach. Master planning for both sites has been done concurrently by Ross Planning so the uses of the two sites can be discussed and defined to complement each other.

These Master Plan documents will guide the future use and development of regional sporting facilities to meet the current and identified future needs of the community.

Issues

Legal

The area known as Bega Sports Complex (and Bega Recreation Ground) is a mix of Council owned community land and Council managed Crown Land. The area of Pambula Sports Complex is Council managed Crown Land.

Environmental

Major projects and works identified will each require a Review of Environmental Factors to be completed in the development of those specific projects.

Asset

In total, there are 13 sportsgrounds of varying sizes throughout the Shire, managed by Council or a Committee. Council, through its asset management process, has classified each of the Sportsgrounds as Regional (2), District (5) or Neighbourhood (6).

The Bega Sports Complex and Pambula Sports Complex are identified as regional sportsgrounds in Council’s Parks and Recreation Asset Management Plan.

Social / Cultural

Both the sites host regular sports matches for local teams throughout the year for variety of sports. In addition both complexes host other facilities and events including regional finals matches, popular skate parks, indoor facilities that are available to community groups, community events and festivals and both have associations with local schools. When combined, these uses see the facilities serve important community and social functions.

The Master Plans seek to plan sites that provide multi-purpose facilities to meet the needs of the community into the future.

Strategic

The Master Plans identify the current and future needs of the community and guide the creation of sporting and recreational facilities to cater for those needs. Importantly the planning process also identifies opportunities that will add value to the sites and allow for sites to increase recreation opportunities and participation by taking a ‘multi-purpose’ approach and that future improvements provide good value to the broader community and are fully utilised.

Consultation

Consultation has been a very important aspect of the project. A number of opportunities have been offered for the community to have their say. Key elements of the consultation activities included community workshops, designed to give interested people and groups including residents and business owners plus existing and potential users of the facilities the opportunity to be involved.

In addition to the workshops there were also online surveys available to provide further opportunity for involvement. One survey was geared towards feedback from representatives of sporting clubs (presidents, secretaries, coaches etc.) and the other towards feedback from individuals.

The community workshops aimed to encourage effective and productive discussion of ideas and issues, and provide the broader community input into the future development of the sporting facilities.

Response to the consultation was positive with approximately 70 people attending the community workshops and approximately 300 online surveys completed.

The final public exhibition period and second round of community workshops are a very important part of finalising the Master Plans. Submissions received through the public exhibition period may lead to changes, which is not uncommon or unexpected, however if there are a large number of submissions requesting significant changes (i.e. likely to have flow on effects to other users) this may lead to the need for a second review of the draft Master Plans.

Financial

The Regional Sporting Facilities Master Planning Project is being funded through the Leisure and Recreation area budget.

The master planning documents will identify and prioritise significant projects which will require funding and resourcing in the future, however having formally consulted and adopted the Master Plans will put Council and the community in a good position to plan how the projects will be resourced and to apply for external funding as opportunities arise.

Resources (including staff)

The works have been largely outsourced with the consultants Ross Planning undertaking the bulk of the project works. Council staff has been involved in the development of the project brief, tendering and procurement of consultancy services, project administration and project coordination.

Operational Plan

The delivery of the Regional Sporting Facilities Master Planning Project links to the following ambitions and outcomes identified in the Bega Valley Community Strategic Plan 2030:

Community Ambition A2: Facilities and services: Our facilities and services are strategically planned, designed and maintained to meet the community needs.

Outcome Area A2.3: Safe and well maintained sporting fields, recreation areas and built facilities meet the cultural, recreational, tourism and community service needs of all ages and abilities in our community.

The completion of the project is identified within action A23.2.1 in the BVSC 2015 – 2016 Operational Plan.

Conclusion

The final draft Regional Sporting Facility Master Plans for Bega Sports Complex and Pambula Sporting Complex have been completed. It is proposed they be advertised and put on public exhibition. Once feedback and submissions from the exhibition period has been considered and any necessary changes made the Master Plans for each site will be reported to Council for adoption.

Once adopted, the Master Plans will provide a framework for the future development and enhancement of the sporting facilities. Importantly the planning process has looked to add value to the sites and ensure these sites are well managed and fully utilised into the future.

Attachments

1. Draft Pambula Sporting Complex Master Plan for Public Exhibition

2. Draft Bega Sporting Complex Master Plan for Public Exhibition

Recommendation

That Council endorse the draft Regional Sporting Facility Master Plans for Bega Sports Complex and Pambula Sporting Complex for a public exhibition period of at least 28 days including a community workshop and information session for each site.

Council 25 November 2015

Item 10.1

10.1. Update on status of proposed Economic Summit

Council has previously given support to the staging of an Economic Summit. The timing and general synopsis of what is proposed is now ready for consideration.

Group Manager Strategy and Business Services

Background

Council has planned holding and Economic Summit in the 2015/16 year.

The model to be followed is the Tourism Industry Summit staged in collaboration with Sapphire Coast Tourism in late 2014. The Tourism Industry Summit resulted in a number of benefits, achievements and partnerships. It also served as a rallying point for the tourism industry sector of the Bega Valley Shire and neighbouring regions.

It had been expected the Economic Summit would be staged in the October/November period this year, 2015.

For practical reasons related to the timing of the adoption of the BVSC’s Economic Development Strategy and the commencement of the recently appointed Economic Development Manager, it is proposed the Economic Summit be held next year namely in 2016.

In order to achieve the participation of key business, industry and government personnel critical to maximising the results and purpose of the Economic Summit, it is recommended it be staged in the post summer, pre-Easter period of mid to late March 2016.

A number of other economic development conferences have been observed and researched. The various approaches and levels of success other similar events have experienced inform the proposed style and format for this Summit. It is recommended the Economic Summit be held over two days at the Bega Commemorative Civic Centre.

Day One: would be run in a manner that seeks advice and collaboration of experts in various fields that Council believes require out of the box thinking and clear, long term strategies in order to deliver long term meaningful benefits to the community.

Topics being considered include:

1. Strategic transport infrastructure needs and opportunities e.g.: Twofold Bay/Eden Port, freight routes, and improved air services.

2. Technology and the benefits of attracting and supporting start-ups and innovators and nurturing a community of such (technology hub).

3. Supply chain challenges and gaps and how they can be addressed to benefit regional producers and connect them with distributors and retailers.

4. Skills training and education opportunities – the relationship to jobs creation, talent retention, economic growth and the direct correlation to meaningful employment.

Day Two: would allow for presentations by industry experts to showcase strategic opportunities and enterprise innovations across the area in sectors such as technology, tourism, primary industries and education.

A dinner would be held on the evening of the first day. Proposed and tentative dates at this time are Monday 21 and Tuesday 22 March 2016.

Issues

Logistical considerations including venue, transport, marketing, registrations, accreditation, ancillary activities such as dinner will be planned and regular updates to Council in the period leading up to the summit will occur.

The target attendees will ensure the best available thinkers and influencers are in attendance.

Social / Cultural

The Economic Development Summit is an opportunity to highlight experiences and attractions unique to the Bega Valley to participants from outside the region. It is also an opportunity to present the region as a desired location for business events.

Economic

The Economic Development Summit is an opportunity for communication, collaboration, ideas and agreed actions that will lead to the achievement of objectives adopted in the Economic Development Strategy.

Strategic

Staging an Economic Development Summit is a strategic objective of the Economic Development Strategy.

Consultation

Internal and external (business community) consultation will be part of the program development process. Council staff will consult with the local community and targeted guests to ensure the most effective content and dates are confirmed.

Financial

Funding source		Amount
21520.2100.2100 Economic Development Project Expense	$	34,500

The net costs for this event will be funded from the Economic Development budget with attendance revenues used to offset costs.

Resources (including staff)

Event management is intended to be provided by a professional event contractor under the direction of the Economic Development Manager.

Conclusion

The Economic Development Summit aligns with the Economic Development Strategy. The Summit will provide significant and coherent results that will focus and prioritise the tasks, relationships, timeframes and opportunities (and challenges) in order to achieve tangible outcomes for the regional community.

Attachments

Nil

Recommendation

That Council note the current status and proposal for holding the 2016 Economic Summit.

Council 25 November 2015

Item 11.1

11.1. Acquisition of Easement over private land for stormwater drainage at Wolumla

Upgrade easement required for Garvan St, Wolumla for urban stormwater drainage system.

Group Manager Transport and Utilities

Background

Urban stormwater drainage system requires upgrading for Garvan Street, Wolumla between Bega Street and Smith Street. Houses have been built adjacent to the existing natural drainage line and have for a number of year been subjected to localised flooding events during even moderate rainfall occurrences.

Issues

Legal

It is a requirement under the Local Government Act 1993 (NSW) that Council acquisition of interests in property, requires a resolution of Council.

If Council approval is granted, the acquisition will proceed by way of agreement with the affected landowners and a Deed of Agreement will be entered into, setting out the undertakings to do all things necessary to affect registration of the easement. The Deed and Section 88B Instrument documentation have been prepared by Council’s solicitor, and all costs associated with creation and registration of the easement will be borne by Council.

Environmental

The work is being carried out in a degraded natural drainage line.

Asset

These works will increase the length of Council's piped drainage network by 120 metres with additional pits.

Consultation

Council staff entered into a permit to enter with the landowners of Lot 11, 12, 14 and 15 Section 2 DP 997 to carry out works to construct the stormwater drainage line from Garvan Street to Smith Street Wolumla. Opteon Property Group were engaged by Council to prepare a market valuation for acquisition of the easement over each property and landowners have now been sent a Deed of Agreement for the acquisition of the easement which includes a copy of the valuation report as Annexure C for execution.

Financial

Opteon Property Group considered an increase in market value to the effected landowners through the works carried out and advised that compensation payable should be NIL, provided Council satisfactorily complete the filling and consolidation of the area, re-establishing the service lines to the property and re-erecting any fencing that was removed to a comparable standard.

There will be legal fees payable by Council to finalise the easement documentation and arrange registration on title.

A total project budget of $200,000 has been included in Council’s Urban Stormwater Upgrade Program

The acquisition of the easement and associated fees can be funded from Council’s Urban Stormwater Upgrade Program

Funding source		Amount
Council’s Urban Stormwater Upgrade Program	$	200,000

Resources (including staff)

Council property staff and external legal providers will be involved to finalise relevant paperwork and effect registration at LPI.

Operational Plan

The work has been listed in Council's Stormwater Upgrade program for a number of years

Conclusion

Council approval is required to progress with the acquisition of the easement over private land.

Attachments

1. Opteon Property Group Valuation Report 14 Smith Street, Wolumla

2. Opteon Property Group Valuation Report 11 - 12 Garvan Street, Wolumla

3 . Opteon Property Group Valuation Report Lot 15 Smith Street, Wolumla

Recommendation

1. That the report and attachments be received and noted.

2. That Council enter into a formal Deed of Agreement with A.W. and S.J. James; W.O. and J.A. Elliot; and B.J. Coleman for the acquisition of an easement through their land, being Lots 11, 12, 14 and 15 Section 2 DP 997 at Wolumla for the purpose of a Stormwater Drainage Line 4 – 5 metres wide, in accordance with the Land Acquisition (Just Terms Compensation) Act 1991 for nil consideration as per valuation.

3. That Council authorise the Mayor and General Manager to execute the necessary documentation.

Council 25 November 2015

Item 11.2

11.2. Bega Valley Local Traffic Committee 4 November 2015

This report recommends Council adopt the advice of the Bega Valley Local Traffic Committee from their meeting held 4 November 2015.

Group Manager Transport and Utilities

Background

The Bega Valley Local Traffic Committee held a meeting on 4 November 2015, the minutes of which have been distributed separately. It is a requirement that Council formally adopt the recommendations prior to action being taken. The recommendations were supported unanimously by the Committee.

Attachments

Nil

Recommendation

Quaama Public School P&C Annual Walkathon – 1 April 2016

1. That the Quaama Public School P&C Annual Walkathon along Warrigal Range Road, Brogo on 1 April 2016 be approved and deemed a Class 2 Special Event

Southern Women’s Group – Light for Lives – 3 December 2015

1. That participants undertake the procession along Carp Street footpaths via the pedestrian crossing at the intersection of Auckland and Carp Street observing the traffic signals, then progress along the northern side of Carp Street to the Driver Reviver carpark at the intersection of Carp Street and Poplar Avenue then crossing Poplar Avenue to Kisses Lagoon.

2. That persons involved in the preparation and implementation of any Traffic Control Plan must hold the appropriate RMS accreditation.

3. That organisers have approved public liability insurance of at least $20 million indemnifying Council, Police and Roads and Maritime Services by name for the event.

4. That organisers have written Police approval prior to conducting the event.

Temporary Closure of Carp Street, Bega – Bega Retail Promotion – 17 December 2015

1. That, subject to conditions Carp Street, Bega be temporarily closed between the intersections of Auckland Street and Gipps Street for the Bega Chamber of Commerce Retail Promotion between 3:30pm and 9:30pm on Thursday 17 December 2015.

2. That the proposed traffic arrangements involving the temporary closure of Carp Street, Bega for the Bega Chamber of Commerce Retail Promotion on Thursday 17 December 2015 be deemed a Class 2 Special Event and it be conducted under an approved Traffic Control Plan in accordance with the Roads and Maritime Services (RMS) Traffic Control Manual.

3. That persons involved in the preparation and implementation of the Traffic Control Plan must hold the appropriate RMS accreditation.

4. That organisers fully implement an approved Special Event Transport Management Plan.

5. That organisers have fully approved public liability insurance of at least $20 million indemnifying Council, Police and Roads and Maritime Services by name for the event.

6. That organisers have written Police approval prior to conducting the event.

Request for a No Stopping zone – Eastern Side – Princess Highway, Pambula

1. Council approve the extension of the existing No Stopping zone commencing at the intersection of Oregon and Quondola Street, terminating at the northern end of the on street angled parking, being a total distance of 110 metres.

Temporary Closure of Gipps Street, Bega for Bega Volunteer Rescue Association – 14 November 2015

1. That subject to conditions part of Gipps Street Bega be temporarily closed between the access driveway and existing driveway to Council’s Gipps Street carpark for the Bega Volunteer Rescue Association between 10am and 5pm on Saturday 14 November 2015

2. That the proposed traffic arrangements involving the temporary closure of part of Gipps Street, Bega for the Bega Volunteer Rescue Association on Saturday 14 November 2015 be deemed a Class 2 Special Event and it be conducted under an approved Traffic Control Plan in accordance with the Roads and Maritime Service (RMS)Traffic Control Manual.

3. That persons involved in the preparation and implementation of the Traffic Control Plan must hold the appropriate RMS accreditation.

4. The organisers fully implement an approved Special Event Transport Management Plan.

5. The organisers have approved public liability insurance of at least $20 million indemnifying Council, Police and Roads and Maritime Service by name for the event

6. That organisers have written Police approval prior to conducting the event.

Council 25 November 2015

Item 11.4

11.4. RFT 73/15 Construction Tender for Water and Sewer Mains Renewal/Upgrade Program

This report details evaluation of RFT 73/15 Construction Tender for Water Mains Renewal/Upgrade programme 2015/16 and recommends acceptance of the preferred tender.

Group Manager Transport and Utilities

Background

Council has an annual program of water mains renewal work, to ensure the ongoing performance of water supply systems, as detailed in the 2014 Water Asset Management Plan. Mains have been selected for renewal during this financial year in Bega, Bemboka, Bermagui, Eden, Merimbula, Pambula Beach, Tathra and Tura Beach.

The scope of the replacement work includes supply of pipes, fittings, excavation, installation, backfill and restoration. Pipe sizes range from 100mm to 300mm in diameter. Approximate total lengths of mains to be replaced are as follows:

· Bega/Bemboka/Tathra and surrounds: 4,551 metres

· Bermagui and surrounds: 2,719 metres

· Eden and surrounds: 641 metres

· Merimbula/Pambula Beach/Tura Beach and surrounds: 1,876 metres

The scope of the tender also includes provisional water mains work associated with:

· Relocation of the trunk water main behind Club Sapphire Merimbula, Sapphire Coast Drive - Approximately 313 metres, subject to the development proceeding.

The annual program of water mains for 2015/16 as identified in Council’s Water Asset Management Plan will be undertaken within the allocated budget, using rate items included in this tender.

Tenders were advertised on the NSW Government eTendering system and local newspapers from the 30 September 2015 and closed on the 28 October 2015.

A tender evaluation plan consistent with the NSW Local Government Tendering Regulations and the Conditions of Tendering was prepared and endorsed prior to the close of tenders.

The tender evaluation was carried out on the basis of best overall value for money to Council, with scoring and weighting of price and non-price criteria.

The submitted tender was assessed against the evaluation criteria by a three person evaluation panel.

The weighting ratio of price to non-price criteria was 60:40.

The three non-price criteria and their relative weightings are:

· Evidence of sufficient experience in undertaking similar projects, including demonstrated successful completion of water main renewal works. Experience of proposed project team, including role, estimated time commitment (%), qualifications, years of experience, years employed by company and proposed role/ responsibilities for this project.	15%
· Proposed construction methodology including preliminary construction program, work and quality systems, safety, environmental, time management.	20%
· Recognition of local outcomes and support of local business and community enterprise.	5%
· Total non-price weighting	40%

Each non-price criteria had a number of sections for evaluation and scoring purposes.

The recommended tenderer must have also met mandatory criteria including;

· satisfactory past performance, including satisfactory Work, Health & Safety and environmental management; and

· Satisfactory financial capacity.

Two conforming and one alternative tender were received by the due date 28 October 2015. The tender evaluation was carried out in accordance with the Tender Evaluation Plan with a preferred tender identified in this process. See details in the attached Confidential Memorandum to Councillors.

ISSUES

Legal

The tendering process was required to comply with the Local Government (General) Regulation 2005 (the Regulation).

Policy

The subject works are in accordance with Council’s Asset Management Policy.

Environmental

A Draft Review of Environmental Factors (REF) has been prepared and is currently being finalised (inclusive of environmental controls) to support the proposed works and will be issued to the successful tenderer.

Asset

The ongoing need for water mains renewal/upgrade works is identified in Council’s Asset Management Plan for Water Supply.

Strategic

The works included in the program are consistent with Council’s Asset Management Strategy and the current Water and Sewer Strategic Business Plan.

Consultation

The project involves renewal of underground assets. Community consultation is targeted towards those residents directly impacted by on-ground works. Notification by letter at least two weeks prior to programmed works is planned.

Procedures are also in place for reminder notifications 48 hours prior to work commencement.

Where possible alternative temporary water supply arrangements for business customers, will be provided during the works.

Financial

The costs of the schedule of works are allowed for in the current financial year capital works budget.

The tendered price is accommodated in Council’s budget for water main renewal and replacement works.

Resources (including staff)

Project management and site inspections of the construction works will be undertaken by Council staff.

Operational Plan

The proposed works are consistent with the current Operational Plan objectives.

Conclusion

This report recommends award of the contract to the preferred tenderer in accordance with details presented to Councillors in the Confidential Memorandum attached to this report.

Attachments

1 . Confidential Attachment to Infrastructure Report – RFT 73.15 Construction Tender for Watermains renewal-upgrade programme 2015.16 (Confidential)

Recommendation

1. Council accept the recommendations as outlined in the confidential attachment.

2. Council accept the tender submission from <insert> in relation to the construction for water mains renewal/upgrade programme as described in RFT 73/15, in the amount of <insert> (including GST), subject to variations and provisional sum items.

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

4. That other tenderers be advised of Council’s decision.

Council 25 November 2015

Item 11.5

11.5. RFT 72/15 Mogareeka Boat Ramp Upgrade Tender

This report details the outcomes of evaluation of Tender RFT 72/15 for the Mogareeka Boat Ramp Upgrade Project and recommends award to the preferred tenderer

Group Manager Transport and Utilities

Background

In January 2014 Bega Valley Shire Council entered into a funding agreement with Transport for NSW - Roads and Maritime Services to upgrade the Mogareeka boat ramp under the NSW Boating Now Program.

The scope of the project is to construct a new two lane boat ramp, and upgrade the carpark, access and lighting.

Survey, engineering / environmental assessment and design development have been completed and all necessary approvals obtained. Stakeholder consultation was undertaken throughout this process.

The tender was publically advertised on 13 October 2015 in the Sydney Morning Herald, local newspapers, the Council website and Tenderlink (e-tendering). The tender closed on 4 November 2015.

Tender documents were downloaded by 30 companies, and 4 tender submissions were received from:

· Bell Rock Marine Pty Ltd

· GPM Constructions Pty Ltd

· Jarvis Norwood Constructions Pty Ltd

· Nathan Contractors Pty Ltd

The tender submissions were assessed against the following evaluation criteria:

Non-Price Criteria	Weighting
Past Projects & Referees	30%
Company, Personnel, Sub-Contractors, Suppliers	10%
Programme	2.5%
Capacity / Current Workload	2.5%
Local Content	5%
Financials	Compliant / Non-Compliant
Quality Assurance	Compliant / Non-Compliant
WH&S	Compliant / Non-Compliant
Environmental	Compliant / Non-Compliant
Total:	50%
Price Criteria	Weighting
Lump Sum	40%
Price Breakdown	10%
Total:	50%

Issues

Legal

The project was reviewed by BVSC Planning under the Infrastructure SEPP and endorsed on 22 July 2015.

The tender process complied with the Local Government Act 1993.

Environmental

A Review of Environmental Factors for the Project was completed in July 2015, and formed the basis of the BVSC Planning endorsement under the Infrastructure SEPP.

The NSW Department of Primary Industries (Fisheries) issued Permit 15/217 dated 10 August 2015 for the Project.

The construction contractor will be required to produce a project specific Environmental Management Plan (EMP) for the Project.

Asset

Lots 12, 13 & 14 / DP 710669, foreshore of Bega River, Mogareeka, is Council Managed Crown Land under Licence Agreement. Details of the project have been provided to Crown Lands so that the licence can be updated on completion of the works.

Strategic

The Mogareeka Boat Ramp Upgrade Project was identified as a priority project in the BVSC Maritime Infrastructure Plan (February 2014) and the NSW Transport for NSW Regional Boating Plan – Far South Coast Region (February 2015).

Consultation

Community and stakeholder consultation has taken place in relation to this project.

Financial

The funding for this project (excluding GST) is as follows:

Funding source		Amount
NSW Boating Now Program Grant	$	380,000
BVSC – Recreation & Leisure Capital Projects	$	120,000

Resources (including staff)

The Project Engineer for the Merimbula Public Jetty, Merimbula Boat Ramp and Wonboyn Boat Ramp projects will manage the Mogareeka Boat Ramp Upgrade Project.

The carpark upgrade and associated works will be undertaken by Council road construction crews, as Council’s in-kind contribution, on completion of the new boat ramp construction works.

Operational Plan

The Project works will commence in February 2016, after the commencement of the school year for NSW, ACT and VIC. The boat ramp construction will take approximately 10 weeks, and the carpark upgrade and associated works will take approximately 6 weeks. The existing boat ramp will remain operational throughout the construction period.

Conclusion

The Mogareeka Boat Ramp Upgrade Project will replace an inadequate and below standard facility, as identified in the BVSC Maritime Infrastructure Plan, with a new two lane boat ramp, upgraded carparking and associated works, that will significantly benefit the local community, visitors and tourists.

Attachments

1. Confidential memo - RFT 72-15 Mogareeka Boat Ramp (Confidential)

Recommendation

1. Council accept the recommendation as outlined in the confidential attachment.

2. That Council accept the tender from (insert) in relation to contract for the works described in Tender RFT 72/15, in the amount of $(insert) (including GST), subject to variations and provisional sums.

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

4. That the other tenderers be advised of Council’s decision.

Council 25 November 2015

Item 12.1

12.1. Applications for Financial Assistance: Section 356
Second Quarter 2015/2016

Applications for Financial Assistance –Community Partnership Fund - under Section 356 of the Local Government Act 1993 have been received for the second quarter of 2015/2016.

General Manager

Background

A report was provided to Council on 25 June 2014 outlining the revised procedure for handling Applications for Financial Assistance under Section 356 of the Local Government Act 1993 (the Act).

The procedure details that individuals and organisations can apply for assistance at any time throughout the year, however applications for the Community Partnership Fund will be reported to Council for resolution every quarter.

The applications in this report have been received over the period from 9 September 2015 to 9 November 2015.

The applications received for this quarter are:

Applicant	Request	Amount
Atlas of Life in the Coastal Wilderness	Travel and accommodation costs for visiting scientists and key ecologist fees or the 2015 Wallagoot catchment BioBlitz	$3,000.00 (Cash)
South East Arts	Museum Advisors Program – cover the costs of the museum advisor to work with museums	$3,500.00 (Cash)
Bermagui Seasiders Incorporated	Toilet block hire and user fees for Bermagui Sportsground and in-kind support for 2016 Bermagui Seaside Fair	$906.50 (Cash) + (in-kind)
Pambula AH & P Society	Costs for running 2016 Pambula Show including children’s entertainment, St Johns Ambulance officers and advertising/marketing	$5,000.00 (Cash)

In addition to the applications received above for the Community Partnership Fund, one application has been submitted under the General Manager Approvals component of Section 356 for reimbursement of Development Application fees, which is above the General Managers delegation of $2000.00 – therefor it is required to be resolved by Council.

A full memo with assessment criteria is being finalised for Council consideration and will be provided prior to the meeting.

Issues

Legal

The allocation of funds requested is able to be distributed in accordance with Section 356 of the Act.

Policy

The administration and allocation of funds are provided in line with Council’s Policy 5.15 Requests for Assistance and Council’s Procedure 5.15.1 Applications for Financial Assistance – Section 356.

Strategic

By providing support to individuals and organisations to achieve outcomes for the local community, Council is working towards achieving the objectives of its adopted Community Strategic Plan.

Financial

The Table below shows the balance of the budget item as of 23 September 2015:

Funding source – Governance and Executive – operating costs - donations		Amount ($)
Balance as at 23/9/15	$	197,930.50
Less General Manager Approvals 8 September 2015 to 9 November 2015	$	-4,534.00
Less Community Partnership Fund Approvals from 4^th Quarter 2014/2015 yet to be claimed	$	-2,138.00
Less Community Partnership Fund Approvals from 1st Quarter 2015/2016	$	-29,660.00
Available Balance (not including current applications detailed in the Confidential attachment)	$	161,598.50

The funds available to date are $161,598.50.

This amount will be reduced appropriately to reflect the Resolution of Council for this agenda item.

Conclusion

Applications for Financial Assistance – Section 356 have been received for this quarter. It is appropriate Council continue to provide financial assistance to assist and support positive community outcomes.

Attachments

Nil

Recommendation

1. That Council support the following projects at the nominated level of support <insert>.

2. That all successful applicants be advised accordingly.

3. That all unsuccessful applicants be contacted and provided feedback on their application.

Council 25 November 2015

Item 12.2

12.2. Southern Phone Company Pty Ltd - Grants Scheme

Applications have been considered and approved for the 2015 Southern Phone Grants Scheme.

General Manager

Background

Southern Phone Company Ltd is a public company owned by 41 Local Councils in NSW, one of which is Bega Valley Shire Council.

In 2014, the company implemented a new initiative – The Southern Phone Grants Scheme. Bega Valley Shire Council participated in this scheme, and provided $25,000.00 in funding to community-based projects within the local Council area funded by Southern Phones.

Earlier this year, Southern Phone announced that the Southern Phone Grants Scheme will be once again run in 2015.

The 2015 Scheme will be implemented across two distinct time periods:

· Round 1 – August 2015

· Round 2 – February 2016

Bega Valley Shire Council falls into the first round – August 2015.

The objective of the scheme is to extend Southern Phone’s support to community groups and projects which would otherwise not receive adequate or any funding by Council.

These include provision of funding for projects which:

a. Provide a direct benefit to the community within the Council area

b. Would not usually be funded by Council in its normal course of business

Funds may only be used to provide a physical asset or service to the local community within Council’s local government area.

Funding will only be available to legally constituted, not-for-profit, non-political and non-advocacy community groups or organisations.

Bega Valley Shire Council’s Mayor has been provided with the opportunity to access this new Grant, and is able to designate a Grant Administrator (usually an individual or group associated with Council).

The Round One Grant Scheme Implementation Dates are shown below:

Council Applications Close	11 September 2015
Council – Internal Review	14 September 2015
Council Submission to Southern Phone	25 September 2015
Southern Phone Internal Review	28 September 2015
Southern Phone Announcements to Council	12 October 2015
Program Implementation	12 October 2015 – 30 March 2016
Program Launch Event	TBC – date will vary per Council precinct
Project Acquittals Due	30 March 2016

In accordance with the timeframes above, on 20 August 2015 Council provided a Media Release detailing information about the Scheme, and advertising that applications were open.

Council received 7 applications from community groups, all of which were assessed individually by the Mayor, and all 7 were recommended to Southern Phone for its internal review.

On Wednesday 4 November 2015, Council received formal notification from Southern Phone advising of the following successful applications:

Application ID	Community Organisation	Project	Total Amount requested	Total Project Cost	Total Council Recommendation	TOTAL GRANTED	Outcome
SP 15 -Rd 1002BVSC	Tathra School P & C Assoc.	Helping Hands	$5,304.00	$5,304.00	$5,304.00	$5,442.11	Approved
SP 15 -Rd 1003BVSC	Bega Valley Public School P&C	New Play Equipment	$5,000.00	$30,000.00	$5,000.00	$5,138.11	Approved
SP 15 -Rd 1005BVSC	Old Bega Hospital Reserve Trust (R180050)	Fitout for video projection	$2,990.00	$4,990.00	$2,990.00	$3,128.11	Approved
SP 15 -Rd 1007BVSC	Jellat Rural Fire Brigade	Be Prepared and Fire Safe	$500.00	$500.00	$500.00	$638.11	Approved
SP 15 -Rd 1008BVSC	Tathra Kalaru & District Chamber of Commerce	Tathra Beach Extended Lifeguard service	$5,000.00	$13,000.00	$5,000.00	$5,138.11	Approved
SP 15 -Rd 1010BVSC	Merimbula Big Game & Lakes Angling Club Inc	Public Address System - Events in Spencer Park Merimbula	$2,600.00	$2,600.00	$2,600.00	$2,738.11	Approved
SP 15 -Rd 1011BVSC	Sapphire Coast Active Kids Playgroup under the auspices of Playgroup NSW	Sapphire Coast Active Kids Playgroup provision of play equipment.	$3,000.00	$3,000.00	$2,639.23	$2,777.34	Approved
			$24,394.00		$24,033.23	$25,000.00

It is anticipated a formal presentation to each community organisation will occur at an afternoon tea to be hosted by the Mayor on Monday 16 November 2015.

Issues

Economic

Southern Phone has advised the provision of the grants is in line with their ongoing commitment to develop thriving regional communities. The funding for this program does not impact any other Southern Phones program.

Council support and welcome the initiative as it aligns with the Community Strategic Plan and Road Map.

Council also receive an annual dividend from Southern Phones which is separately reported to Council.

Financial

Approved Southern Phone Grants will be distributed to community groups via each local Council’s Mayor.

The grant is capped at $25,000.00

The process which would be followed should a Mayor be successful in obtaining the grant is as follows:

1. Funds will be provided to the Mayor as trustee

2. Funds will be provided to a bank account operated by Council

3. Funds will be distributed according to the original grant application

4. Each recipient will sign to acknowledge receipt of the funds and their purpose

5. Acquittal report completed and provided to Southern Phone

Funding source		Amount
2015 Southern Phone Grant Scheme	$	25,000.00

Conclusion

Council recognises the importance of community-based events and projects in the Bega Valley Shire.

Whilst Council is proactive in providing support to these organisations in various ways, there are limitations as to how and when funds can be afforded to these groups.

The Southern Phone Grants Scheme is a valuable and effective way for Council to continue to support local community organisations by facilitating the application and provision of funds on behalf of the Mayor.

Attachments

Nil

Recommendation

1. That Council note the Southern Phone Grants Scheme 2015 successful applicants

2. That for 2015/16 the Mayor appoint the Executive Assistant Strategy and Business Services as the Grant Administrator

5. That acquittals are provided back to Southern Phone in the required timeframe

Council 25 November 2015

Item 12.3

12.3. 2014 - 15 Annual Report

Council’s 2014-15 Annual Report is presented for the information of Councillors. The report is required to be lodged with the Office of Local Government by 30 November 2015.

General Manager

Background

Each year Council is required to produce a comprehensive Annual Report that provides details on the organisation’s activities and finances over the period of the previous financial year. The Annual Report is one of the key points of accountability between Council and our community. Under the Integrated Planning and Reporting framework, the Annual Report focuses on Council’s achievements towards the Community Strategic Plan framework, and also includes some information that is prescribed by the Local Government (General) Regulation 2005. Council’s Audited Financial Report and itemised update against the Operational Plan are provided as attachments to the Annual Report. The NSW Office of Local Government provides Guidelines for the development of the Annual Report and requires a copy of the report for its records.

The 2014-15 Annual Report includes updates against Council’s major projects covering the Bega Civic Centre, Eden Port, Town Centre design projects, Littleton Gardens, Merimbula Airport, Merimbula By Pass, Merimbula effluent management, Tura community centre, Fit for the Future, business growth and the communication and community engagement review. In addition to highlighting progress in the Annual Report, Major Projects are also updated quarterly and reported to Council and published on the Council website.

Achievements across our Capital Programs, Governance and Operational areas are also highlighted including:

Capital Programs:

· Gipps Street Car Park

· Major upgrade Sapphire Coast Drive

· Imlay Street SPIIRE Plans

· Pretty Point Bridge

· Bega Regional Civic Centre

· Bega Depot

· Wonboyn Boat Ramp

· Beach Street works

· Bar Beach works

· Kisses Lagoon

· Tathra Solar Farm

· Dickinson Sports Pavilion

Governance:

· Internal Audit Committee reviewed and re-established. Internal Audit Plan adopted for period 2015-18

· Applications for Financial Assistance process reviewed

· Quarterly reports now provided to Council on major projects and actions against resolutions

Operational Activities:

· Organisational structure approved by Council in June 2014 now fully implemented

· Procurement review implemented

· Community services, libraries and customer service review implemented

· PLACE based approach implemented

· Leadership – all senior staff have now been through the Australian School of Applied Management program; new agenda and way to meeting established to ensure focus is on working together and achieving outcomes

· Staff uniforms now in place

· Third year of NSW local government operational and management effectiveness report completed

The report also highlights achievements against the Delivery / Operational Plan by theme area with an overview of projects and case studies presented on high interest achievements. The Delivery / Operational Plan identified 222 actions in addition to Council’s core service delivery areas, and in addition to the works scheduled in the Capital Works program. Of the 222 identified projects / tasks, 151 have been reported as completed / or as an ongoing service delivery, 57 as progressing (project covering two financial years), 11 are delayed with reason and three as not due to start due to changes in legislation.

Issues

Legal

For the purposes of section 428 (4)(b) of the Local Government Act 1993 (the Act), an Annual Report of a council is to include the following information:

· Details of overseas visits undertaken during the year by councillors, council staff or other persons while representing the council (including visits sponsored by other organisations).

§ Details of the total cost during the year of the payment of the expenses of, and the provision of facilities to, councillors in relation to their civic functions (as paid by the council reimbursed to the councillor or reconciled with the councillor), including separate details on the total cost of each of the following:

§ the provision during the year of dedicated office equipment allocated to councillors on a personal basis, such as laptop computers, mobile telephones and landline telephones and facsimile machines installed in councillors’ homes (including equipment and line rental costs and internet access costs but not including call costs),

§ telephone calls made by councillors, including calls made from mobile telephones provided by the council and from landline telephones and facsimile services installed in councillors’ homes,

§ the attendance of councillors at conferences and seminars,

§ the training of councillors and the provision of skill development for councillors,

§ interstate visits undertaken during the year by councillors while representing the council, including the cost of transport, the cost of accommodation and other out-of-pocket travelling expenses,

§ overseas visits undertaken during the year by councillors while representing the council, including the cost of transport, the cost of accommodation and other out-of-pocket travelling expenses,

§ the expenses of any spouse, partner (whether of the same or the opposite sex) or other person who accompanied a councillor in the performance of his or her civic functions, being expenses payable in accordance with the Guidelines for the payment of expenses and the provision of facilities for Mayors and Councillors for Local Councils in NSW prepared by the Director-General from time to time,

§ expenses involved in the provision of care for a child of, or an immediate family member of, a councillor, to allow the councillor to undertake his or her civic functions.

§ Details of each contract awarded by the council during that year (whether as a result of tender or otherwise) other than:

§ employment contracts (that is, contracts of service but not contracts for services), and

§ contracts for less than $150,000 or such other amount as may be prescribed by the regulations, including the name of the contractor, the nature of the goods or services supplied by the contractor and the total amount payable to the contractor under the contract.

§ A summary of the amounts incurred by the council during the year in relation to legal proceedings taken by or against the council (including amounts, costs and expenses paid or received by way of out of court settlements, other than those the terms of which are not to be disclosed) and a summary of the state of progress of each legal proceeding and (if it has been finalised) the result.

§ Details or a summary as required by section 67 (3) of the Act of resolutions made during that year under section 67 of the Act concerning work carried out on private land and details or a summary of such work if the cost of the work has been fully or partly subsidised by the council, together with a statement of the total amount by which the council has subsidised any such work during that year.

§ The total amount contributed or otherwise granted under section 356 of the Act.

§ A statement of all external bodies that during that year exercised functions delegated by the council,

§ A statement of all corporations, partnerships, trusts, joint ventures, syndicates or other bodies (whether or not incorporated) in which the council (whether alone or in conjunction with other councils) held a controlling interest during that year,

§ A statement of all corporations, partnerships, trusts, joint ventures, syndicates or other bodies (whether or not incorporated) in which the council participated during that year,

§ A statement of the activities undertaken by the council during that year to implement its equal employment opportunity management plan.

§ A statement of the total remuneration comprised in the remuneration package of the general manager during the year that is to include the total of the following:

§ the total value of the salary component of the package,

§ the total amount of any bonus payments, performance payments or other payments made to the general manager that do not form part of the salary component of the general manager,

§ the total amount payable by the council by way of the employer’s contribution or salary sacrifice to any superannuation scheme to which the general manager may be a contributor,

§ the total value of any non-cash benefits for which the general manager may elect under the package,

§ the total amount payable by the council by way of fringe benefits tax for any such non-cash benefits.

§ A statement of the total remuneration comprised in the remuneration packages of all senior staff members (other than the general manager) employed during the year, expressed as the total remuneration of all the senior staff members concerned (not of the individual senior staff members) and including totals of each of the following:

§ the total of the values of the salary components of their packages,

§ the total amount of any bonus payments, performance payments or other payments made to them that do not form part of the salary components of their packages,

§ the total amount payable by the council by way of the employer’s contribution or salary sacrifice to any superannuation scheme to which any of them may be a contributor,

§ the total value of any non-cash benefits for which any of them may elect under the package,

§ the total amount payable by the council by way of fringe benefits tax for any such non-cash benefits.

§ If the council has levied an annual charge for stormwater management services - a statement detailing the stormwater management services provided by the council during that year,

§ If the council has levied an annual charge for coastal protection services - a statement detailing the coastal protection services provided by the council during that year,

§ A detailed statement, prepared in accordance with such guidelines as may be issued by the Director-General from time to time, of the council’s activities during the year in relation to enforcing, and ensuring compliance with, the provisions of the Companion Animals Act 1998 and the regulations under that Act.

Conclusion

2014-15 Annual Report has been prepared to comply with the legislative requirements and to overview the achievements against the 2014-15 Operational Plan. The Annual Report is to be provided to the Office of the Local Government by 30 November 2015. It will also be published on the Council’s website on November 30.

Attachments

Nil

Recommendation

That the 2014-15 Annual Report be endorsed for publishing on Council website, provision of hard copies to library branches and lodged with the NSW Office of Local Government.

Council 25 November 2015

Item 13.1

13.1. Presentation of Audited Financial Statements for the year ended 30 June 2015

This report presents the draft financial statements to Council to be confirmed by the presentation of the Audited Financial Statements to Council on 25 November 2015.

Group Manager Strategy and Business Services

Background

Council’s Financial Reports for the year ended 30 June 2015 have been completed and in accordance with Section 418 (1) of the Local Government Act are now presented to the public.

Council’s Auditor, RSM Australia Pty Ltd have completed the audit of the financial statements for the year ended 30 June 2015 in accordance with Section 415 of the Local Government Act, 1993. The financial statements include the general purpose consolidated accounts of Council and its controlled entities and the special purpose financial statements, detailing the income and expenditure of Council’s business units and their financial position at balance date. The audit opinions on the 2015 financial statements of Council are issued without qualification.

Public Notices advising of this meeting were placed in the Bega District News, Merimbula News Weekly and Eden Magnet.

In accordance with Section 420 of the Local Government Act 1993, any person may make a submission in writing with respect to Council’s Audited Financial Reports or the Auditor’s Report. The closing date for submissions is the 2 December 2015. Copies have been placed on public display at the Council Administration Building (Zingle Place Bega). A PDF copy can also be downloaded from Council’s website.

Issues

Financial

Council has achieved an operating result of $6,717k across all Funds (General, Water, and Sewer).

Operating Revenues:

Bega Valley Shire Council (Council’s) operating revenues have increased by 12% in 2015. The increase can be largely attributed to the Operating Grants and Contributions and this is a one off increase primarily due to the Financial Assistance Grant being fully paid in the normal cycle. Council is forecasting a general reduction in operating and capital grants over the short to midterm with the change in Government and the longer term effects of the Global Financial Crisis.

Council’s revenues detailed as follows:

Item	2015	2014	$ Mvmt	%
Rates & Annual Charges	44,723	43,310	1,413	3%
Operating Grants & Contributions	14,831	11,026	3,805	35%
User Charges	14,831	14,213	618	4%
Investment Returns	2,164	2,318	(154)	-7%
Sale of Assets & Other	1,262	739	523	71%
Capital Grants	7,195	4,550	2,645	58%
	85,006	76,156	8,850	12%

Operating Expenditure:

Operating Expenses decreased by 0.43% in the 2015 financial year.

The major contributor to the decrease is reduction of Materials and Contracts and Depreciation.

Balance Sheet:

Overall Council saw an improvement to its balance sheet of $14.8M. This was mainly attributable to net increase in Infrastructure, Property, Plant and Equipment of $15M

Transport asset class was revalued with a net uplift of $2.6M. The asset class includes items such as Roads, Bridges, Footpaths, Bulk Earthworks and Stormwater Drainage.

Financial Ratios:

Council is required to report the following ratios to the Office of Local Government:

Operating Performance Ratio | Benchmark > 0%

This ratio measures Council’s achievement of containing operating expenditure within operating revenue.

Council's Operating Performance Ratio is still a deficit but this is due to higher deficits in Water and Sewer Funds. General Fund has returned to a surplus which is principally due to the Financial Assistance Grant being fully paid in the normal cycle.

Own Source Operating Revenue Ratio | Benchmark > 60%

This ratio measures fiscal flexibility. It is the degree of reliance on external funding sources such as operating grants and contributions.

Council is above the benchmark for own source revenue. An integral part of Council’s adopted Long Term Financial Plan is to attempt to increase own source revenues. Unfortunately as the State and Federal Government reduce the number and value of grants available to Local Government, this ratio starts to show Councils having to rely on own source revenue to fund their works programs.

Unrestricted Current Ratio | Benchmark >1.5X

The ratio measures the adequacy of working capital and its ability to satisfy obligations in the short term for the unrestricted activities of Council.

Council’s unrestricted current ratio is below benchmark due to deferral of two significant proposed borrowings totalling $3M to 2016 Financial Year. This means council had to use unrestricted cash to fund those projects in the interim.

Debt Service Cover Ratio | Benchmark > 2.0X

The ratio measures the availability of operating cash to service debt including interest, principal and lease payments.

Council's debt service ratio is in strong position. Council has sufficient fund to meet its debt obligation. Council holds approximately $33M in debt across all three funds. Council's Long Term Financial Plan outlines that Council will see draw down of more debt to enable Council to reduce infrastructure backlog and construct some community priority projects while still remaining below the benchmark.

Rates, Annual Charges, Interest & Extra Charges Outstanding Percentage | Benchmark < 5%

This ratio assesses the impact of uncollected rates and annual charges on Council’s liquidity and the adequacy of recovery efforts.

Outstanding Rates, Charges and fees are 3.71% which is within industry benchmark of 5%. Council has strong debt collection procedures in place to collect its rates and charges.

Council has managed to maintain an outstanding collection percentage close to the Office of Local Government benchmark for a number of years now. It is critical Council keep this ratio as low as possible to aid with Council's cash flow. For example, allowing this ratio to increase by 1% will result in more than $500,000 that Council will not collect and by extension would not be able to utilise to resource works in the community. This could either lead to the work not being performed or alternate funding arrangement being made, such as borrowings, increased fees, etc. It is worth noting Council has seen its recovery costs increase from approximately $40k in 2009 to approximately $300k in 2015. These costs are passed onto the ratepayers that Councils has had to instigate collection on. No costs are passed onto the general rate base.

Cash Expense Cover Ratio

This liquidity ratio indicates the number of months a council can continue paying for its immediate expenses without additional cash inflow.

Council again has a very strong liquidity ratio and is well above the benchmark.

Services:

While the financial statements provide a high level view of Council as an entity, it is worth noting that while a large portion of Council's finances go to maintain the infrastructure that we use on a daily basis, there is a significant portion of Council's revenues that provide many services back to the community such as:

§ $9.4M on Environmental Management projects.

§ $4.5M on Community Support projects.

§ $1.4M on Economic Development projects.

The chart below illustrates 2015 operating expenditure $ per function with comparative.

Council’s financial results for the 2015 financial year are indicative of the approach Council has taken over the past few years. The adoption of the Community Strategic Plan, the Asset Management Plans, and the Long Term Financial Plan has allowed Council to set out a pathway for the short to mid-term horizon. The results as reported for 2015 illustrate that Council is progressing well. All indicators are satisfactory and Council's finances remain in a healthy position.

Council has also undergone several internal and external audits during the 2015 financial year. All of these reviews have indicated Council is in a stable and sound financial position.

Click here to view the Financial Statements for the year ended 30 June 2015

Attachments

Nil

Recommendation

That Council accept the tabled audited 2015 Financial Statements.

Council 25 November 2015

Item 13.2

13.2. RFT 67/15 Cleaning of Bega Valley Shire Council Buildings Tender

This report details the evaluation of RFT 67/15 – Cleaning of Bega Valley Shire Council Buildings for 2015-2018 with two further one year options.

Group Manager Strategy and Business Services

Background

Bega Valley Shire has recently called for tenders for a service contract for the cleaning of Bega Valley Shire Council buildings.

Tenders were invited from suitably qualified and experienced contractors for the cleaning of public buildings within the Bega Valley Shire. In consideration of the geographic site of the Bega Valley Shire, the buildings forming this tender have been divided into 4 sub-regions as follows:

Eden

· Eden Library

· Eden Depot

· Eden Pre School

· Eden Childcare Centre

· Eden Log Cabin

Merimbula/Pambula/ Tura Beach

· Merimbula Depot

· Tura House

· Tura Community Centre and Library Building

· Pambula Town Hall

· Sapphire Aquatic Centre

Bega/Tathra/Bemboka

· Bandara Child Care Centre

· Bega Valley Shire Council Administration Building and Council Chambers

· Bega Library

· Bega Art Gallery

· Bega Commemorative Civic Centre

· Bega Depot Stores Building Office

· Bega Depot Amenities Building

· Bega Depot Workshop Office

· Bega Depot Water and Sewer Office

· Bega Depot Minyama Parade Building

· Bega Cemetery toilet block

· Bega HACC Community Services Office

· Bega Youth Space Gipps Street

· Bemboka Hall

· Tathra Hall

Bermagui/ Cobargo/Quaama

· Bermagui Library

· Bermagui Hall

· Cobargo School of Arts Hall

· Quaama School of Arts Hall

Tenderers were asked to nominate which region(s) they were tendering for.

Individual tender assessments were carried out for each sub-region as well as for the Shire as a whole.

This Tender is for a service contract for cleaning of Bega Valley Shire Council Buildings and is a Quality Control Contract with method of payment being monthly progress payments.

Tender

The Tender was advertised in the Sydney Morning Herald on 8-9 September 2015, in local newspapers and on Council’s webpage during the week commencing 8 September 2015.

Tender documents were issued on the 8 September 2015, with tenders received up until 12 noon on 30 September 2015 via the Tenderlink electronic tendering system. Eighteen companies obtained documents with two parties attending pre-arranged site inspections. No companies attended the optional pre-tender meeting held on 18 September 2015.

A tender evaluation plan consistent with the NSW Local Government Tendering Regulations and the Conditions of Tendering were prepared and endorsed by the tender evaluation panel prior to the close of tenders.

The tender evaluation criteria and weightings were as follows:

CRITERIA	DESCRIPTION	WEIGHTING
Project Value	The overall project cost	50%
Project Value	Commercial terms and conditions	50%
Project Experience	Demonstrated ability to complete the work	40%
	Experience in completing similar projects
	Quality system and QA experience
	Financial ability to undertake project of this size
Local Community Benefit	Recognition of local outcomes, demonstrating support for local business and community enterprise	10%

At the time the tenders closed, two conforming tender submissions were received for all regions, 3 conforming tender submissions were received for individual regions and 2 non-conforming tender submissions were received. The tender evaluation was carried out in accordance with the Tender Evaluation Plan with a preferred tender identified in this process. Full evaluation details are contained in the attached Confidential Memorandum to Councillors.

Legal

The tendering process was required to comply with the Local Government (General) Regulation 2005 (the Regulation).

Policy

The subject works are in accordance with Council’s Buildings Asset Management Plan.

Asset

Having a cleaning service contract in place will ensure Council buildings are maintained and cleaned to a satisfactory level to meet the needs and expectations of the community and staff that occupy and use them.

Consultation

The tender evaluation panel have consulted with the relevant referees supplied by the complying tenderers. All comments received have been documented and can be supplied upon request.

Financial

The current budget allocation is sufficient to cover the proposed cleaning contract.

Resources (including staff)

Project management and routine site inspections will require staff resources as required.

Conclusion

This report recommends award of the contract for services to a preferred tenderer in accordance with the details presented to Councillors in the Confidential Memorandum attached to this report.

Attachments

1. Confidential Memo To Councillors - Tender RFT 67.15 (Councillor Only) (Confidential)

2 . Confidential RFT67.15 Cleaning - Tender Evaluation - Region 1 Bermagui area (Councillor Only) (Confidential)

3 . Confidential RFT67.15 Cleaning - Tender Evaluation - Region 2 Bega area (Councillor Only) (Confidential)

4 . Confidential RFT67.15 Cleaning - Tender Evaluation - Region 3 Merimbula area (Councillor Only) (Confidential)

5 . Confidential RFT67.15 Cleaning - Tender Evaluation - Region 4 Eden area (Councillor Only) (Confidential)

Recommendation

1. That Council accept the recommendations as outlined in the Confidential attachment.

2. Council accept the tender submission from <insert> in relation to RFT 67/15 Cleaning of Bega Valley Shire Council Buildings in the amount of <insert> (including GST), subject to variations, provisional sums and prime cost items.

3. That authority is delegated to the General Manager to execute the necessary contract documentation.

4. That all other tenderers be advised of Council’s decision.

Council 25 November 2015

Item 13.3

13.3. Quarterly Budget Review Statement (QBRS) at 30 June 2015

Budget review statements are prepared and presented to Council quarterly in accordance with Section 203 of the Local Government (General) Regulations 2005.

Group Manager Strategy and Business Services

Background

Under the Integrated Planning and Reporting (IPR) Guidelines, it is not mandatory to present a Quarterly Budget Review Statement (QBRS) for the June quarter. However, it is considered a QBRS offers more detailed and direct information that can assist the community in understanding Council's financial position. The QBRS will be published on Council's website for the community once adopted:

Click here to access the Quarterly Review Budget Statement

Issues

Strategic

In order to make it clearer for Councillors and the public, the following graphic depicts the flow of financial information in any given financial year and how the various financial documents interact.

This chart illustrates that:

1. The financial statements are true audited records for the financial year. These results are used to “reset” the Long Term Financial plan (LTFP).

2. The “reset” LTFP plan is then remapped with moving works schedules and is confirmed to still be in a sustainable position. The LTFP is presented to Councillors at this time for adoption. At this time Councillors can request changes in direction of staff. The LTFP is adopted in January/February.

3. The adopted LTFP plan then is expanded into the relevant year's operating budget. It is adopted by Council in March/April.

4. The Quarterly Budget Review Statement process occurs throughout the financial year at the end of each quarter. Variances are noted and adopted by Council.

5. The cycle then draws to a close as the financial year figures are closed, audited and presented to Council

6. Then cycle commences again.

Each stage feeds information into the next until we have a very tight strategic finance frame work. There are a range of other statutory documents Council adopts each year, this diagram only reflects the financial documents.

Legal

Clause 203 of the Local Government (General) Regulations 2005 states:

Budget review statements and revision of estimates

1. Not later than 2 months after the end of each quarter (except the June quarter), the responsible accounting officer of a council must prepare and submit to the council a budget review statement that shows, by reference to the estimate of income and expenditure set out in the statement of the council’s revenue policy included in the operational plan for the relevant year, a revised estimate of the income and expenditure for that year.

2. A budget review statement must include or be accompanied by:

a) A report as to whether or not the responsible accounting officer believes that the statement indicates that the financial position of the council is satisfactory, having regard to the original estimate of income and expenditure, and

b) If that position is unsatisfactory, recommendations for remedial action.

c) A budget review statement must also include any information required by the Code to be included in such a statement.

Financial

As noted above, a June QBRS is not mandatory, most of the information is already prepared and presented within Council’s Annual Financial Statements. As such, this report does not contain information that is reported within the Financial Statements, but instead focuses on the non-operating items that are not covered in the Financial Statement.

Council’s budget result for the 2015 financial year is positive. While there are specific issues that need to be addressed which will be covered in more detail in the attachment, the overall picture for Council is positive.

Council still holds a healthy available working capital balance of $5.3M

Council’s restrictions (reserves) totalled $51.8M at the conclusion of the 2014 financial year. The following chart illustrates the current value of Council's restrictions. Council's LTFP outline how those restrictions will be utilised over time.

Operationally Council performed reasonably well in its individual functions. Council’s operating budget is broken into functions which are managed by Council staff. Council has 23 designated functions across its five Community Strategic Plan themes. Of those 23, 19 were deemed to have performed better than budgeted. The remaining four were deemed to have performed less than expected. Council’s senior management has met about these functions to discuss why the results have occurred and more importantly how to avoid them happening into the future.

The issue that has been identified as the main cause of these budget issues relates to asset definition and transactional capture deficiencies. Overall cash performance is fine; it is the actuals versus planned expenditure that requires work, with the issue being the classification of expenditure between the various transaction types (Maintenance, Renewals, & Upgrades). These issues will be rectified in future years with the establishment of an Asset Management Group to drive consistent approach on Planning and Capture across all asset classes.

The following charts Council's budget performance against actuals over the course of the financial year.

The following charts show the Council functions and their performance. The functions marked red have explanations included in this report for Council's consideration.

Community Relations and Leisure

Function outside of budget

Reason

Leisure and Recreation

Community, Culture and Information

Leisure includes service areas of Swimming Pools, Sportsgrounds, Park and Beaches.

The issue in this function relating to Sportsgrounds were overruns in Maintenance and Operations of $172k and Capital of $200k

Issues relating to swimming pools were over-estimation of fees by $300k.

There were similar overrun issues in parks with Maintenance and Operations being over spent by $312k. And Capital budget underspent by $1.3M (Out of the these $598k has been carried forward to 2016 FY)

Community, Culture and Information includes various functions such as Library, Cemeteries, Community Development, Halls, Gallery, Contact Centre, etc.

There were minor expenditure overrun in the Gallery and Halls

Planning and Environment

Strategy and Business Services

Function outside of budget

Reason

Strategy and Business Services

The interest revenue was lower than anticipated due to low interest rate in the financial market.

Also staff redundancies cost Council about $797k in unanticipated cost. These costs were funded from the Employee Leave Entitlement Reserve which had dropped the cash backed portion.

Transport and Utilities

Function outside of budget

Reason

Transport and Utility Group

Sewer Services

Water

Lower than anticipated S94 Contributions

Operating Expenses over budget and Capital Expenses Under by $950k and $750k respectively

Water usage lower than anticipated by $235k

Operating Expenses over budget and Capital Expenses under by $530k and $1,1M respectively.

Works

Works includes activities such as Plant, Council Depots, Public Amenities, Private Works, Carparks, Saleyards and Quarries.

Plant Income for the past 5 years has achieved only 70% of estimated trade-in/disposal income.

Operating Costs were over budget for Council Depots by $90k

Again an operating over run and capital under spend of $40k and $125k respectively on Public Amenities.

Organisation Development and Governance

It is important to note that overall, each of Councils functions and groups finished 2015 in budget surplus. A red marker against a function does not denote that the function performed negatively throughout the year. It is an indication that the actuals spend incurred differed from the planned spend in that particular area. The function could have planned to spend its money in maintenance but for valid reasons spent its funds in renewals. This would be marked as red as no prior indication was given through Councils budgetary process.

Council has limited revotes for the 2014 financial year. Rather than revoting the works from one year to the next, under the Long Term Financial planning framework Council has adopted, we place the funds back into reserve and we reset the AMP and LTFP to account for the unfinished work. This then results in the reserves being called upon to fund that work in the relevant year that the job is scheduled for.

The amounts revoted relate to Unspent Grants and Council Contribution towards those projects along with some other carry forwards associated with unspent revenue and deferred borrowings.

Items being Carried Forward to 2016 FY	Amount ‘$000

Carry Forward Works Reserve	668
Garvan St, Wolumla - Pits, Pipes and Final Seal	70
Unspent Leisure and Recreation Capital Program from 2015-16 FY	598

Deferred Borrowings	1,320
Imlay St Eden - Preparation for Main St Program, Pavement and Drainage	270
Main Street Program	750
Merimbula Roundabout Works Underway	300

Unspent Grants	2,388
Aboriginal Heritage Study - NPWS	14
Art Works Grant	5
Bandara Bikies Project 2015 NRMA Insurance	2
Bega Valley Salvinia Control Project 2015	60
Brighter Futures	23
Bus Shelters 2006/2007 CPTIGS Scheme	22
Bus Shelters 2008/2009 CPTIGS Scheme	57
Bus Shelters 2010/2011 CPTIGS Scheme	30
Bus Shelters Construction	60
BVSC Hazard Definition Study	1
CDAT Drug Action Week	20
Community Options Unspent Grant	43
Compacks Unspent Grant	37
DA Tracking Tool	15
Electronic Housing	2
Emergency Response - *****	31
ER In Home Accommodation Support - *****	20
Fairhaven Point Erosion Control	11
Health - Aboriginal Lands Clean-up Program	3
Invasive weed and willow removal, bank stabilisation and revegetation of Kiss’ Lagoon	25
Library Capital For Fitout Tura Tavern	126
Library Disability & Geographical Grant	100
Library Local Priority Grant	32
LLS Wetlands Project 14/15	19
Mogareeka Wetland Weed Control 14/15	1
NetGen Youth Project	42
Newtown Road Renewal	1,344
Pambula Lake Estuary Management Study & Plan	6
Project - Household problem waste drop off centre - construction [Waste]	109
Project - Long Day Care Professional Development [Bandara Child Care]	19
Project - Long Day Care Professional Development [Eden Child Care]	4
Project - PDSP[Bandara Child Care]	5
Project - PDSP[Eden Preschool]	4
Project - PDSP[Sapphire Mobile Preschool]	2
Protection Saltmarsh Wapengo Lake	2
Settlement Program [Community Services]	8
Supported Living *****	10
Urban Interface - Revegetation and Bush Regeneration [Parks]	50
Youth Centre (Police Boys Club)	21

Grand Total	4,376

Conclusion

Council’s overall 2015 end of year position has concluded favourably compared to budget. All surplus funds have been moved to Council’s reserves. All revoted projects have been noted and will be tracked through the 2015 financial year QBRS reports.

In order to maintain a sound financial performance for future years, we need to put processes in place to rectify issues identified in this report. There is a consistent theme across all asset expenditure areas where what was planned and what was actually done were not aligned. Therefore an Asset Management Group will be formed to streamline the way we capture and report Asset data.

Attachments

Nil

Recommendation

1. That Council adopt the Quarterly Budget Review Statement (QBRS) for June 2015 and the votes adjusted by those values as reported in the variance column

2. That Council adopt the Reserve schedule for 2015. Council note the updated reserve balances will be incorporated into the September QBRS due to Council in November.

3. That Council adopt the Revote schedule for 2015. Council note the updated revotes will be incorporated into the September QBRS also reported to this meeting.

Council 25 November 2015

Item 13.4

13.4. Quarterly Budget Review Statement (QBRS) at September 2015

Budget review statements are prepared and presented to Council quarterly in

accordance with Section 203 of the Local Government (General) Regulations 2005.

Group Manager Strategy and Business Services

Background

Under the Integrated Planning and Reporting (IPR) Guidelines, a Quarterly Budget Review Statement (QBRS) must be presented to Council for each financial quarter.

The QBRS, due to its size has been distributed to Councillors electronically and if requested, in hardcopy. The electronic version has been placed on Council's website for public access at:

Click here to view the Quarterly Budget Review Statement for September 2015

The QBRS is presented in a summary format which reflects the Long Term Financial Plan. Each function of Council is presented individually as is a summary page for each theme. The report also shows a range of management information for each Function, such as:

§ Income Progress graphs: These graphs illustrate how each function is progressing with their revenue estimates. The overall graph illustrates the cumulative progress of the function, while the monthly graph shows progress month by month.

§ Reserves table: This table outlines cash reserves linked to that particular function and their movements throughout the financial year.

§ Expense Progress Graphs: These graphs illustrate how each function is progressing with their expenditure estimates. The overall graph illustrates the cumulative progress of the function, while the monthly graph shows progress month by month.

§ Revotes Table: This table tracks the progress of the revotes from the 2015 financial year.

It is the intent of this report to provide information to the users of the QBRS report in order to illustrate the financial performance of each particular function of Council.

Council staff retains the ability to enquire, transact, and report on the detailed General Ledger, which includes budgets. If there are specific questions relating to detailed transactional information, staff can provide answers to those questions.

Issues

Legal

Clause 203 of the Local Government (General) Regulations 2005 states:

Budget review statements and revision of estimates

1. Not later than two months after the end of each quarter (except the June quarter), the responsible accounting officer of a council must prepare and submit to the council a budget review statement that shows, by reference to the estimate of income and expenditure set out in the statement of the council’s revenue policy included in the operational plan for the relevant year, a revised estimate of the income and expenditure for that year.

2. A budget review statement must include or be accompanied by:

a. A report as to whether or not the responsible accounting officer believes that the statement indicates that the financial position of the council is satisfactory, having regard to the original estimate of income and expenditure, and

b. If that position is unsatisfactory, recommendations for remedial action.

c. A budget review statement must also include any information required by the Code to be included in such a statement.

Financial

The QBRS reports the detailed variances for the September 2015 quarter. The September QBRS generally only includes the revotes from the preceding year as variances. Revotes are those works committed to in the preceding year that were not completed. The works are shifted into the current year with an increase in the relevant expenditure lines and a corresponding increase in funding from the preceding year.

The value of carry forward from the 2015 financial year equal $4.366M. These transfers relate to unspent grants of $2.388M and other committed expenditure along with their funding sources.

The trends highlighted in the 30 June review, of expenses incurred in areas that are not consistent with Council’s adopted budget is still present at the end of September quarter and an Asset Management Group will be formed to identify and rectify these issues.

There are no major or significant variances to report to Council. A more detailed analysis is located within the QBRS attachment.

As at the end of September 2015, Council held $51.5M in cash and investments – the bulk of which remain restricted for use with planned infrastructure or projects preconditioned by loans, grants or development contributions.

As per Council’s policy, the QBRS reflects the budget in a balanced position and maintains working capital at adopted levels. All net movements are factored through the movement to and from reserves, including anticipated transfers to asset, ELE and property reserves at year end.

Conclusion

Council’s September 2015 QBRS has been presented to Council. Council financial performance is healthy and within the operating budget set by Council in June 2015.

Attachments

Nil

Recommendation

1. That Council note and endorse the September 2015 Quarterly Budget Review Statement (QBRS).

2. That Council adopt the variances, in this instance being revotes from the 2015 financial year, to its operating budget as outlined in the QBRS.

3. That Council place the QBRS for September 2015 on its website for public information.

Council 25 November 2015

Item 13.5

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

This report details Council’s investments during the month of October 2015.

Group Manager 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 $45,000,000.
These funds can be broken into the following Funds:

Table 1: Investments by Fund $’000
Fund	August 2015	September 2015	October 2015
General Fund	$13,808	$13,808	$13,808
Water Fund	$14,842	$14,842	$14,842
Sewer Fund	$16,350	$16,350	$16,350

In addition, there is $2,208,000 in uninvested funds in Council’s operating account and another $5,000,000 in Council’s Corporate Transaction Account

8 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.

8 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.

8 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.

8 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	$1,554	$21,016
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 Report

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 25 November 2015

Item 19.1

19.1. Response to Question on Notice - State Owned Corporations and Local Government Rates - Cr Hughes

At its Ordinary Meeting of 12 August 2015, Cr Hughes asked could a report be provided regarding the payment of rates by State Owned Corporations.

The question was taken on notice by the Group Manager Strategy and Business Services.

Group Manager Strategy and Business Services

Background

Cr Hughes advised that when the Forestry Corporation of NSW became a Statutory State Owned Corporation (SOC) through the Forestry Act 2012 (NSW) (Forestry Act), it came under the State Owned Corporations Act 1989 (NSW) (SOC Act).

In its previous status as a corporation sole, Forestry Corporation of NSW was arguably protected by the shield of government. As a SOC it is not [1] and may no longer be able to claim exemption from paying such things as taxes and rates.[2]

Cr Hughes asked:

1. Has BVSC sought legal advice on the possible implications of this change of status of the Forestry Commission in relation to rates?

2. What other SOCs own property within the BVSC area? What property do they own?

3. Which of these pay rates?

Research/Findings

Bega Valley Shire Council has not sought legal advice in regard to this matter.

Council staff have researched this matter and present the following findings:

NSW Forestry Corporation is a State owned corporation Section 9(b) of the State Owned Corporations Act 1989 states:

“A State owned corporation or any of its subsidiaries is not exempt from any rate, tax, duty or other impost imposed by or under any law of the State merely because it is a State owned corporation unless this or any other Act otherwise expressly provides.”

The Local Government Act 1993 Section 555(1)(a) states:

“The following land is exempt from all rates: land owned by the Crown, not being land held under lease for private purposes.

The Forestry Act 2012 Section 13(1) states:

“The Minister may classify Crown land for the purpose of selecting land that is suitable and desirable in the public interest as State forest. Section 13(4) adds: Crown land need not be classified under this section in order for it to be dedicated as State forest.”

In summary, notwithstanding SOCs are not exempt from rates, the Local Government Act does exempt Crown Land from rates.

The Forestry Act empowers the relevant Minister to classify Crown Land a State Forest.

NSW Forestry Corporation operates on Crown Land classified as State Forest.

As a consequence NSW Forestry Corporation is exempt from paying rates.

Other SOCs operating in the Bega Valley Shire Council are:

· Essential Energy

· Delta Electricity

· Newcastle Port Corporation

· Transgrid

According to Council records, of these only Essential Energy is classified as rateable.

Information relating to the land these SOCs own is identified as an attachment to this report.

Conclusion

The information above answers Cr Hughes’ questions as follows:

Q: Has BVSC sought legal advice on the possible implications of this change of status of the Forestry Commission in relation to rates?

A: To date, no legal advice has been sought in relation to this matter.

Q: What other SOCs own property within the BVSC area? What property do they own?

A: SOCs that own property within the BVSC are:

· Essential Energy

· Delta Electricity

· Newcastle Port Corporation

· Transgrid

See attachment for property owned by these SOCs.

Q: Which of these pay rates?

A: According to Council records, of these only Essential Energy is classified as rateable.

Attachments

1. State Owned Corporations Land Holdings

Council	25 November 2015
*Item 8.2 - Attachment 1*	Draft consent

Council	25 November 2015
*Item 8.2 - Attachment 2*	Existing fire trail network

Council	25 November 2015
*Item 9.2 - Attachment 1*	Draft Pambula Sporting Complex Master Plan for Public Exhibition

Council	25 November 2015
*Item 9.2 - Attachment 2*	Draft Bega Sporting Complex Master Plan for Public Exhibition

Council	25 November 2015
*Item 11.1 - Attachment 1*	Opteon Property Group Valuation Report 14 Smith Street, Wolumla

Council	25 November 2015
*Item 11.1 - Attachment 2*	Opteon Property Group Valuation Report 11 - 12 Garvan Street, Wolumla

Council	25 November 2015
*Item 11.1 - Attachment 3*	Opteon Property Group Valuation Report Lot 15 Smith Street, Wolumla

Council	25 November 2015
*Item 11.3 - Attachment 1*	Location map for proposed Silver Cliff Road, Millingandi

Council	25 November 2015
*Item 11.3 - Attachment 2*	Historical map of the Millingandi area

Council	25 November 2015
*Item 13.5 - Attachment 1*	Certificate of Investment Report

Council	25 November 2015
*Item 19.1 - Attachment 1*	State Owned Corporations Land Holdings

Ordinary

Meeting Notice and Agenda

To:

Copy:

Publishing Of Agendas And Minutes

Ethical Decision Making and Conflicts of Interest

A guiding checklist for Councillors, officers and community committees

Ethical decision making

Conflict of interest

The test for conflict of interest

Identifying problems

Agency advice

Disclosure of pecuniary interests / non-pecuniary conflict of interests

Agenda

Acknowledgement of Traditional Owners of Bega Valley Shire

1 Apologies and requests for leave of absence

2 Confirmation Of Minutes

3 Declarations

4 Deputations (by prior arrangement)

5 Petitions

6 Mayoral Minutes

7 Adjournment to Standing Committees

Recommendation

8 Staff Reports – Planning and Environment (Sustainability)

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

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

11 Staff Reports – Infrastructure Waste and Water (Accessibility)

12 Staff Reports – Governance and Strategy (Leading Organisation)

13 Staff Reports – Finance (Leading Organisation)

14 Adoption of Reports from Standing Committees

Recommendation

15 Delegates Reports

16 Rescission/alteration Motions

17 Notices of Motion

18 Urgent Business

19 Questions On Notice

20 Questions for the Next Meeting

21 Items of Interest Relating to Council Business

22 Confidential Business

23 Adoption of reports from Closed Session

24 Resolutions to declassify reports considered in closed session

Council

25 November 2015

Staff Reports –Planning And Environment (Sustainability)

25 November 2015

Precis

Background

Description of the proposal

Description of the site

Response to items raised in the Council resolution

Provision of water supply

Underground electricity supply

Stand-alone electricity supply

Visual impact of water tanks

Status of fire trails

Conclusion

Attachments

Recommendation

Staff Reports – Community, Culture and Leisure (Liveability)

25 November 2015

9.2. Sports Facility Master Plans - Drafts For Public Exhibition

Background

Issues

Legal

Environmental

Asset

Social / Cultural

Strategic

Consultation

Financial

Resources (including staff)

Operational Plan

Conclusion

Attachments

Recommendation

Council

25 November 2015

Staff Reports – Economic Develoment and Business Growth (Enterprising)

25 November 2015

Council