Agenda of Council - 28 June 2023

Ethical Decision Making and Conflicts of Interest

A guiding checklist for Councillors, officers and community committees

Ethical decision making

· Is the decision or conduct legal?

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

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

· Does it raise a conflict of interest?

· Do you stand to gain personally at public expense?

· Can the decision be justified in terms of public interest?

· Would it withstand public scrutiny?

Conflict of interest

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

· Pecuniary – regulated by the Local Government Act 1993 and Office of Local Government

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

The test for conflict of interest

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

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

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

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

Identifying problems

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

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

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

Local Government Act 1993 and Model Code of Conduct

For more detailed definitions refer to Sections 442, 448 and 459 or the Local Government Act 1993 and Bega Valley Shire Council (and Model) Code of Conduct, Part 4 – conflict of interest.

Agency advice

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

Disclosure of pecuniary interests / non-pecuniary interests

Under the provisions of Section 451(1) of the Local Government Act 1993 (pecuniary interests) and Part 4 of the Model Code of Conduct prescribed by the Local Government (Discipline) Regulation (conflict of interests) it is necessary for you to disclose the nature of the interest when making a disclosure of a pecuniary interest or a non-pecuniary conflict of interest at a meeting.

The following form should be completed and handed to the Chief Executive Officer as soon as practible once the interest is identified. Declarations are made at Item 3 of the Agenda: Declarations - Pecuniary, Non-Pecuniary and Political Donation Disclosures, and prior to each Item being discussed:

Council meeting held on __________(day) / ___________(month) /____________(year)

Item no & subject
Pecuniary Interest	In my opinion, my interest is pecuniary and I am therefore required to take the action specified in section 451(2) of the Local Government Act 1993 and or any other action required by the Chief Executive Officer.
Significant Non-pecuniary conflict of interest	– In my opinion, my interest is non-pecuniary but significant. I am unable to remove the source of conflict. I am therefore required to treat the interest as if it were pecuniary and take the action specified in section 451(2) of the Local Government Act 1993.
Non-pecuniary conflict of interest	In my opinion, my interest is non-pecuniary and less than significant. I therefore make this declaration as I am required to do pursuant to clause 5.11 of Council’s Code of Conduct. However, I intend to continue to be involved with the matter.
Nature of interest	Be specific and include information such as : · The names of any person or organization with which you have a relationship · The nature of your relationship with the person or organization · The reason(s) why you consider the situation may (or may be perceived to) give rise to a conflict between your personal interests and your public duty as a Councillor.
If Pecuniary	Leave chamber
If Non-pecuniary (tick one)	Disclose & vote Disclose & not vote Leave chamber
Reason for action proposed	Clause 5.11 of Council’s Code of Conduct provides that if you determine that a non-pecuniary conflict of interest is less than significant and does not require further action, you must provide an explanation of why you consider that conflict does not require further action in the circumstances
Print Name	I disclose the above interest and acknowledge that I will take appropriate action as I have indicated above.
Signed

NB: Please complete a separate form for each Item on the Council Agenda on which you are declaring an interest.

Council 28 June 2023

Item 8.1

8.1. 2022.156 Staged development comprising 2 lot subdivision and two Dual Occupancies and strata subdivision - 23 Kingfisher Circuit, Eden

Director Community Environment and Planning

Applicant	Le Mottee Group
Owner	JFPG005 Pty Ltd
Site	23 Kingfisher Circuit, Eden
Zone	R2 Low Density Residential
Site area	2074m²
Proposed development	Stage 1: Torrens Title subdivision of one (1) lot into two (2) Stage 2: Construction of attached dual occupancy and strata title subdivision on proposed lot 1. Stage 3: Construction of attached dual occupancy and strata title subdivision on proposed lot 2.

Precis

This application is being reported to Council in accordance with Council Procedure 3.01.01, as the development application was subject to 10 or more unique submissions by way of objection from different households.

Additionally, the application seeks variations to controls set out within the Bega Valley Development Control Plan 2013.

It is recommended that the application be approved subject to conditions of consent included as Attachment 1 to this report.

Officer’s Recommendation

That Council:

1. Approve Development Application 2022.156 for a staged development comprising Stage 1 for a Torrens Title subdivision of one (1) lot into two (2), Stage 2 for the Construction of attached dual occupancy and strata title subdivision on proposed lot 1, and Stage 3 for the Construction of attached dual occupancy and strata title subdivision on proposed lot 2 subject to the conditions of consent provided in Attachment 1 – Draft Conditions of Consent.

2. Notify those who made a submission of Council’s decision.

Executive Summary

Development Application (DA) 2022.156 is being reported to Council for determination due to the number of submissions (26) received during the notification period.

Furthermore, the proposed development seeks minor variations to the residential controls set out within the Bega Valley Development Control Plan (DCP) 2013. The variations are considered appropriate on merit as the proposed development is consistent with the aims and objectives set out in Chapter 3 of the DCP.

The development is considered in keeping with the desired future character of Eden Cove and provides for a housing typology that meets the housing demands of the community.

The proposed development is recommended for approval, subject to conditions of consent provided in Attachment 1.

Background

The application is being reported to Council as it triggers the requirement for reporting to Council under Procedure 3.01.01. The development application received a total of 26 submissions by way of objection.

Site Description

The development site is located on the southern side of Kingfisher Circuit, Eden. The site is commonly known as 23 Kingfisher Circuit and is legally identified as Lot 105 in DP 1039424. The site has a total site area of approximately 2,074m2 and sits vacant. The land slopes down to the south to the rear of the site that fronts a Council managed Crown Reserve.

Figure 1: Aerial Image with Development Site Outlined in Blue (Source: Google Earthpro Nov 2022).

Development within the immediate area is largely low density residential in nature with allotments retaining single dwellings in both single and two storey design. Most dwellings provide their living area, decks and balconies orientated to the south to gain views towards the Eden Town centre, Lake Curalo and the ocean to the south-east.

The Eden town centre is located approximately 2km to the south of the site. Land south of the site is undeveloped comprising Bega Valley Shire Council Managed Crown Reserve #1002846 - Lake Curalo Foreshore Reserve that is zoned C2 Environmental Conservation. Land to the north, east and west of the site is zoned R2 Low Density Residential with pockets of recreational zoned land.

Figure 2: Zoning map extract (Source: Intramaps)

Proposed Development

The proposal comprises:

1. Stage one:

a. Torrens Title subdivision of one (1) lot into two (2) lots.

2. Stage two:

a. Erection of a dual occupancy (attached) over proposed lot one and strata subdivision (Lot 1) comprising:

i. Unit 1:

1. Three (3) bedrooms, main with ensuite

2. Open plan living, kitchen and dining

3. Deck adjoining living with alfresco adjoining dining

4. Bathroom and WC

5. Laundry and double garage

ii. Unit 2:

1. Three (3) bedrooms, main with ensuite

2. Open plan living, kitchen and dining

3. Study

4. Deck adjoining living with alfresco adjoining dining.

5. Bathroom and WC

6. Laundry and single garage

iii. Strata subdivision Lot 1 (unit 1) will comprise 541m2 and Lot 2 (unit 2) will comprise 431m2.

iv. Common property lot will include service lines, development and common walls.

3. Stage three:

a. Erection of a dual occupancy (attached) over proposed lot two and strata subdivision (Lot 2) comprising:

i. Unit 1

1. Three (3) bedrooms, main with ensuite

2. Open plan living, kitchen and dining

3. Study

4. Deck adjoining living with alfresco adjoining dining

5. Bathroom and WC

6. Laundry and single garage

ii. Unit 2:

1. Three (3) bedrooms, main with ensuite

2. Open plan living, kitchen and dining

3. Deck adjoining living with alfresco adjoining dining

4. Bathroom and WC

5. Laundry and double garage

iii. Strata subdivision Lot 1 (unit 1) will comprise 399m2 and Lot 2 (unit 2) will comprise 643m2

iv. Common property lot will include service lines, development and common walls

· Both allotments maintain access to Kingfisher circuit, via proposed driveway crossovers.

· Lot 1 comprises 1003m².

· Lot 2 comprises 1071m².

Figure 3: Proposed Site Plan (Source: Architectural Plans).

Figure 4: 3D Renders of Elevations (Source: Architectural Plans).

Planning Assessment

Zoning

The site is zoned R2 low density residential and the different components of the development are permitted with consent under Clauses 2.3, 2.6 and 4.1 of Bega Valley Local Environmental Plan (BVLEP) 2013.

The objectives of the R2 zone are:

To provide for the housing needs of the community within a low density residential environment.

To enable other land uses that provide facilities or services to meet the day to day needs of residents.

The proposal is consistent with the zone objectives.

Minimum Lot Size

The Minimum Lot Size (MLS) applicable for subdivision of the site is 550m². The proposed Torrens Title subdivision complies with this development standard.

Development Control Plan 2013

The proposal has been assessed in accordance with the relevant provisions set out within BVLEP 2013 and the Bega Valley Development Control Plan (BVDCP) 2013. A full assessment of compliance with the relevant provisions are detailed in the Section 4.15 Assessment Report, included as Attachment 2.

Although the development application has generally detailed compliance with the relevant provisions of the BVDCP 2013, the application does seek minor variations to two design control measures set out in Chapter 3.

The two variations sought to BVDCP2013 are:

1. Clause 3.2.1.4 - Context and Articulation stipulates carports and garage doors must be recessed behind the main face of the building and occupy not more than 40% of the front elevation.

The applicant has sought a variation to this requirement, noting that:

“Considering the constraints of the site which prohibit the garages being provided elsewhere, the visual impact is minimised where possible by providing façade treatments that are considered to be of high architectural merit. Each unit will apply a recessed entry or portico evident from street front with projecting architectural elements of simple shapes and clean lines. There will be no lengths of bare wall without articulated elements such as awnings, eaves and other roof features. Pitched roofing above the garage doors and entryways will create a sense of staggering and clustering, where a mixture of materials and textures will be used to create a high-quality façade with visual interest.”

Based on the site constraints, the irregular frontage width and the ability for the proposal to provide for off street parking, the variation to Clause 3.2.1.4 - Context and Articulation for carports and garage doors is considered appropriate on merit and is supported.

2. Clause 3.2.2.7 Setbacks provides that all dwellings in R2 zone be setback 6 metres from the street frontage. One of the allotments fails to satisfy the minimum frontage setbacks as detailed in Figure 5 below.

A variation is requested for the front setback of the proposed Dual Occupancy that will be located upon proposed Lot 1. The front porches and shared screen wall encroach the front setback by 200mm. This encroachment shall be minor and would not impact amenity on the streetscape. This wall forms part of an architectural feature of the units and provides an articulated façade, is considered appropriate and does not warrant refusal of the development or design change.

Figure 5: Extent of architectural treatment forward of the 6m setback to Kingfisher Circuit

Options

The following options are available to Council in its consideration of this matter:

1. Approve the development application subject to the conditions of consent provided in Attachment 1. This is the recommended option.

2. Defer consideration of the matter and request a separate report identifying any relevant Section 4.15 Matters for Consideration and draft reasons for refusal.

3. Defer consideration of the matter and seek an alternative design that complies with the minor variations requested under the residential provisions of BVDCP 2013.

Community and Stakeholder Engagement

The development application was exhibited in accordance with Council’s Community Participation Plan (which forms part of Council’s Community Engagement Strategy) with the application exhibited for 14 days from 31 October 2022 to 14 November 2022. Council received a total of 26 submissions that raised a number of objections to the development.

The issues raised in submissions have been detailed and addressed in the Section 4.15 assessment, which is included as Attachment 2 of this report.

A copy of submissions has been uploaded to the Councillor portal for review and consideration.

The key issues that were raised in the submissions are:

Issue: Compliance with BVLEP 2013 and BVDCP 2013

Several submissions raised issues that the development does not comply with the minimum allotment size for the site, that it is supposed to be one house per one block of land in Eden Cove and concerns with the variation to frontage requirements.

The development application has been assessed in accordance with the applicable provisions of BVLEP 2013 and BVDCP 2013. The subdivision of land into two allotments exceeds the minimum Lot size for the site of 550m² with Proposed Lot 1 at 1071m² and Lot 2 at 1003m².

Dual occupancy development is a permitted development type within the R2 Low Density Residential Zone. The design of each dual occupancy has been assessed in accordance with the provisions of BVDCP 2013 and although the application seeks minor variations to the design of the garages and setback to the street frontage, these variations are considered minor and are supported.

Issue: Covenant applicable to site

The site retains a number of easements and the design of the subdivision and dual occupancies ensures there would be no impact on those easements. The 88B Instrument also retains design requirements for dwellings within the estate and these are in favour of each other allotment. These restrictions include the notations that there should be no more than one dwelling per allotment and setback of 7.5 metres to the street setback.

These issues raised in submissions are correct, however, in accordance with Clause 1.9A of the Bega Valley Local Environmental Plan 2013 ‘Suspension of covenants, agreements and instruments’ part (1) applies. Under this provision, any agreement, covenant or other similar instrument that restricts the carrying out of development otherwise normally permitted with consent does not apply to the extent necessary to serve that purpose.

Therefore, the restrictions that there should be no more than one dwelling per allotment and setback of 7.5 metres to the street do not apply in the assessment of this development application.

Issue: Will downgrade magnificent estate / Character of Eden is low density

Several submissions detailed that the development is not in keeping with the Eden Cove Master Plan, is not considered low density and makes a mockery of low density.

Each unit is single storey in design and will not adversely impact any adjoining properties. The design ensures there would be no view loss from adjoining properties or to those located opposite the site along Kingfisher Circuit given they would either look over the proposed development or to the rear of each dual occupancy, and this is in part due to the topography of the land and the step down design of each Unit from street elevation.

Issue: Design of the development

Several submissions detail that the development is incompatible with the bulk and scale of the locality, that there is no consideration for open spaces and visual amenity, two units don’t have views or solar access, no provision for private open space, poor amenity for occupants, adverse acoustic impacts on adjoining neighbours, view loss impacts, negative visual impact, no allowance for storage in the rear, poor design with no windows and overlooking impacts.

The proposed development is considered to achieve suitable levels of amenity for the occupants and is appropriate for the desired future character of the area. The architectural design of the dwellings is considered to encourage innovative and efficient design that responds well to its environment and complies with the requirements of BASIX providing suitable energy/water and thermal comfort standards being met for each.

Each dwelling maintains appropriate levels of solar access, acoustic control, privacy protection, natural ventilation, private open space, landscape design, indoor amenity and storage.

Each dwelling will have a rear deck that extends from living areas and integrates into the rear yard of each. It is recommended that a condition be applied to ensure that a suitable screening fence be located between Unit 2 on Proposed Lot 1 and Unit 1 on Proposed Lot 2.

The proposed development maintains side and rear setbacks, landscaping more than 35% of the site and other key design requirements under the BVDCP2013 residential provisions.

Issue: Impacts on adjoining properties from setbacks and fire risks

The proposed development will maintain side setbacks in accordance with Building Code of Australia requirements. The application was referred to the NSW Rural Fire Service (RFS) for comment and approval. The NSW RFS provided comments and issued their General Terms of Approval under Section 100B of the Rural Fires Act. These requirements would be implemented as conditions through the draft consent included as Attachment 1 to this report.

Issue: Roads and infrastructure cannot support this type of development

Several submissions raised issues with the impact this development would have on existing roads and infrastructure and sited that additional parking demand would cause friction between neighbours.

Each Unit would provide carparking in accordance with the carparking provisions of the BVDCP 2013. The impact of the development regarding water, sewer and stormwater infrastructure and servicing requirements has been assessed by Council’s Water and Sewer Section and Development Engineer who have raised no issues. Suitable conditions of consent have been recommended to ensure that the development would be properly serviced with no impact on the existing surrounding dwellings.

Other Engagement undertaken

Essential Energy

Essential Energy provided comment and identified no safety concerns about the development. They have provided standard advisory notes to be placed on the draft consent.

NSW Rural Fire Services

The development is integrated under the provisions of the Environmental Planning and Assessment Act 1979 as a Section 100B Authority under the Rural Fires Act is required for the subdivision of land. The application was referred to the NSW Rural Fire Service, and S100B Authority was issued on 16 March 2023.

Crown Lands

The application was referred to Crown Lands for comment, given the location of the adjoining Reserve. Crown raised no objections to the development.

Internal Referrals

The application was referred internally to Water and Sewer Services, Environmental Health, Building Services and Development Engineering. No outstanding issues were raised in the referrals and the conditions recommended in those referrals have been included in the draft consent conditions detailed in Attachment 1.

Engagement planned

Any determination of the development application will require those persons who made submissions to be notified of the determination outcome, consistent with Council’s Community Engagement Strategy.

Financial and Resource Considerations

Assessing proposals for development is part of the regular business of Council and resourcing to undertake this function is included in Council’s adopted 2022–23 Budget.

Legal /Policy

The variations to the design provisions under Clause 7.3 of the BVDCP 2013 are considered reasonable and justified on planning merit grounds.

The reporting of this application is consistent with Council Procedure 3.01.01, as the development application was subject to 10 or more unique submissions by way of objection from different households.

Refusal of the development application could be subject to an appeal in the Land and Environment Court, which would have cost implications to defend Council’s position.

Impacts on Strategic/Operational/Asset Management Plan/Risk

Strategic Alignment

The proposed development is consistent with the following future directions of the Bega Valley Shire Local Strategic Planning Statement 2040:

PLANNING PRIOIRTY 1: NATURAL HAZARDS

People, land and infrastructure are well positioned to face natural hazards.

PLANNING PRIORITY 9: OPEN SPACE AND RECREATION

A network of green spaces within the existing estate has created healthier and more liveable towns and villages and public places attract people of all ages and abilities to socialise, engage in arts and culture and be active and healthy.

PLANNING PRIORITY 10: CHARACTER

Maintain a compact settlement pattern with clearly defined town and village entry points and prevent ribbon development that joins settlements.

PLANNING PRIORITY 11: HOUSING

Increase housing density within established urban areas to minimise additional service provision and expansion of the urban/bushland interface and support the viability and vibrancy of town centres and future public transport provision.

The proposed subdivision layout is also consistent with the strategic objectives outlined in the Community Strategic Plan 2042, in particular the following:

Our air and water are pristine and our natural environment and rural landscapes are protected.

Our shire continues to be a safe and affordable place to live.

Our community has access to good quality open space, recreation and sporting facilities that support health and wellbeing

The proposed development layout is consistent with Directions 24 and 45 of the South East and Tablelands Regional Plan 2036:

Direction 24: Deliver greater housing supply and choice.

Direction 25: Focus housing growth in locations that maximise infrastructure and services.

The proposed development is consistent with Council’s adopted Community Strategic Plan 2042, Residential Land Strategy and Local Strategic Planning Statement, and the South East and Tablelands Regional Plan 2036.

Environment and Climate Change

The impacts of the development on the environment, including impacts on biodiversity and climate change have been assessed and are detailed in the assessing officer’s Section 4.15 Assessment Report, which is provided as Attachment 2 to this report.

Economic

The impacts of the development on the economy are considered to be positive. It is considered that the proposed development would contribute to the economy of Eden through the creation of construction works and increasing the availability of additional residential allotments for a range of household types and sizes which would provide economic flow on benefits to existing commercial businesses in the Eden township.

Risk

The assessment of development is a core function of Council. There are no material impacts on Council’s operations associated with the proposed subdivision and construction of two dual occupancies and their strata subdivision. The development will be undertaken in accordance with Council’s design and construction requirements and reinforced as conditions in the draft development consent provided as Attachment 1.

General Terms of Approval issued by the NSW RFS ensures that the development has adequately addressed the provisions of the Rural Fires Act 1997.

Social / Cultural

The proposed development is consistent with the Bega Valley Local Strategic Planning Statement by providing additional allotments for residential purposes by minimising additional service provision and expansion of the urban/bushland interface. The development would contribute to the availability of allotments that accommodates a range of different housing types within a Low Density residential area.

Attachments

1 ⇩. Draft Conditions of Consent

2 ⇩. Section 4.15 Assessment Report

3 ⇩. Development Plans

Council 28 June 2023

Item 8.2

8.2. Finalisation of draft design guidelines for the General Aviation Precinct at Merimbula Airport

This report seeks Council’s support for the finalisation of a proposed amendment to the Bega Valley Development Control Plan 2013 for the private lease areas in the General Aviation Precinct at Merimbula Airport.

Director Community Environment and Planning

Officer’s Recommendation

1. That Council resolve to adopt the amendment to the Bega Valley Development Control Plan 2013 relating to the General Aviation Precinct at Merimbula Airport as contained in Attachment 1 to this report.

2. That the adoption of the amendment to the Bega Valley Development Control Plan 2013 be notified in accordance with the Environmental Planning and Assessment Regulation 2021.

3. That those who made submissions to the amendment to the Bega Valley Development Control Plan 2013 be notified of Council’s decision.

Executive Summary

An amendment to the Bega Valley Development Control Plan 2013 (DCP 2013) to introduce provisions to guide future development in the private lease areas of the General Aviation Precinct (GA Precinct) at Merimbula Airport has been publicly exhibited. Two public submissions were received. This report seeks Council’s resolution to adopt the proposed amendment to DCP 2013 as exhibited with one minor amendment (Attachment 1).

Background

An amendment to DCP 2013 has been publicly exhibited which aims to ensure aircraft operations are safe and efficient and that the form and character of development within the GA Precinct at Merimbula Airport makes a positive contribution to the built environment. The amendment also encourages the design of contemporary, versatile and functional buildings that will establish a unified precinct identity and enhance Merimbula Airport as a gateway to the Sapphire Coast. The GA Precinct is likely to attract light plane owners seeking safe and secure storage for their plane/s, as well as a range of commercial businesses.

The amendment to DCP 2013 was publicly exhibited from 2 March to 2 April 2023. Two submissions were received. This report outlines the feedback received during community consultation and recommends that Council proceed to amend DCP 2013 as exhibited with one minor amendment. This change is shown as red underlined text in Attachment 1.

Options

The proposed changes to DCP 2013 have been developed to ensure that future development within the private lease areas at Merimbula Airport is appropriately designed. Therefore, proceeding with adoption of the proposed amendment contained in Attachment 1 to this report is the recommended option. However, Council could resolve not to proceed with the adoption of all or some of the proposed changes to DCP 2013.

Community and Stakeholder Engagement

Engagement undertaken

Community engagement was carried out in accordance with Council’s Community Engagement Strategy and Community Engagement Toolkit. The project was assessed to be Level 2 – Consult on the IAP2 spectrum.

A councillor workshop on the design guidelines was held on 25 January 2023. On 15 February 2023, Council resolved to exhibit a draft amendment to the DCP 2013 which was publicly exhibited from 2 March to 2 April 2023 and was advertised on Council’s website, via a press release and an advertisement in the Merimbula News Weekly. Two public submissions were received.

In addition to the public exhibition, the draft DCP was referred to Eurobodalla Shire Council for peer review. Their response included the following: “In general terms, the draft development control plan is well-written and has covered a range of issues expected in this type of planning document. There is no evidence that the plan is written in a biased or conflicted manner and it covers the issues and controls that would be expected from a plan of this nature.”

Summary of submissions

The following is a summary of the issues raised in the public submissions to the exhibition, with staff response and any recommended changes to the draft.

1) Turbulence

Issue summary: Structures should be limited to aviation-based activities to minimise the impact of turbulence that large structures will create. Consideration should be given to encourage hangar designs that improve laminar flow and result in minimal turbulence.

Staff comment: This issue was referred through to an aviation expert that is currently preparing the new Merimbula Airport Masterplan on behalf of Council. The expert advised that the design objective of reducing turbulence and windshear generated by buildings in the vicinity of the runway is valid, and there is some national guidance available to assist planners in minimising these risks.

Recommendation: It is recommended that the draft DCP is amended to include the following requirement in section 7.10.1 Airspace planning considerations: ‘The effect of turbulence and windshear generated by buildings in the vicinity of the runway needs to be considered in development applications and mitigated where appropriate.’

This change is shown as red underlined text in Attachment 1.

2) Aesthetics

Issue summary: Industrial development and related signage will detract from Merimbula’s ‘Gateway’ aesthetics

Staff comment: It is acknowledged that future development within the GA Precinct is likely to be of a large bulk and scale and that the location is highly visible from surrounding vantage points. In response, guidelines have been developed to minimise the visual impact of future development on the site, including:

• ensuring buildings contribute positively to the built environment and blend into the surrounding bushland and coastal environment

• reducing the perceived height and bulk of buildings when viewed from the public domain and integrate roof forms into the overall design of buildings

• establishing a cohesive and consistent design character by using a coordinated palette of colours, materials and finishes

• softening the appearance of buildings, fencing, carparking and hardstand areas by integrating landscaping into the design

• ensuring signage and advertising is designed and located to avoid visual clutter

• ensuring fencing contributes to the cohesive visual appeal of the streetscape.

Recommendation: No changes are recommended to the draft.

3) Parking and access

Issue summary: The existing tyre workshop is an eyesore and creates parking and access issues.

Staff comment: The GA Precinct has been planned and constructed with an internal formal access road. Draft DCP includes provisions to ensure that sufficient parking is provided within the GA Precinct to meet the needs of businesses, visitors and any associated uses, including:

• ensuring parking is integrated on individual lease areas outside or within buildings, or on airport grounds in agreement with the airport owner

• ensuring loading docks are of an appropriate size to adequately service on site operations without overspill to roadways.

Recommendation: No changes are recommended to the draft.

4) Permitted uses

Issue summary: Strongly disagree with any non-aviation related industrial activity within the GA precinct. Uses that do not need access to the runway should not be permitted (including car hire companies). All hangar sites should be restricted to aviation activities and businesses to enhance our visitor economy by creating a ‘fly to’ destination (recreational aircraft must be hangered). Businesses that don’t need airside access may prevent big aviation business wanting to establish in the future. Grant funding for the GA precinct cannot be used for non‑aviation industrial development.

Staff comment: The Merimbula Airport Master Plan 2033 incorporates plans for both the aviation and non-aviation lands at Merimbula Airport. The GA Precinct is a site within the airport land where development that is linked to the airport, commercial premises and light industries are permitted with consent, provided they do not interfere with the effective operation of the airport and will not adversely affect the commercial viability of the central business district of Merimbula. Non-aviation uses are permitted through an additional permitted use clause that applies to the land under the Bega Valley Local Environmental Plan 2013. As such, the provisions of the draft DCP amendment do not influence the uses that are permissible on the land.

Council’s Project Manager for Merimbula Airport has advised that there are two grants involved with the construction of the GA Precinct. One was from the Commonwealth Government for airside infrastructure. The other was from the NSW Government’s Drought Stimulus Package for the Merimbula Airport Commercial Aviation Tourism Precinct project. It is Council’s understanding that these grants do not preclude the area from being used for non‑aviation activity.

Recommendation: No changes are recommended to the draft.

Engagement planned

Notice of Council’s decision will be published on the Council website, as required by the provisions of Section 14 of the Environmental Planning and Assessment Regulation 2021.

Financial and Resource Considerations

The draft amendment to the DCP 2013 has been prepared by Council officers and funded out of the airport service area.

Legal /Policy

Exhibition of the draft amendment to DCP 2013 is consistent with Council’s obligations under the Environmental Planning and Assessment Regulation 2021 and Council’s Community Engagement Strategy.

Impacts on Strategic/Operational/Asset Management Plan/Risk

Strategic Alignment

The draft amendment to DCP 2013 is consistent with the direction of the Bega Valley Shire Local Strategic Planning Statement 2040 to: Collaborate with relevant parties to develop and enhance the economic opportunities provided by the development of Merimbula Airport.

The draft amendment to DCP 2013 is consistent with the theme of the Bega Valley Shire Community Strategic Plan 2042: Our infrastructure complements our natural surroundings and character while enhancing the lives of our community.

Environment and Climate Change

The proposed changes to DCP 2013 align with Council’s Climate Resilience Strategy by including provisions to help to address the impacts of future development on climate change through encouraging waste minimisation, sustainable design principles, energy efficiency, improving air quality and minimising heat generation from hard surfaces.

Economic

The proposed changes to DCP 2013 will have positive economic impacts for the local community, particularly for people and businesses with links to agriculture, aquaculture, freight and tourism sectors of the economy. Appropriate development of the GA Precinct will provide opportunities for local businesses to access markets through the regional/national transport network, as well as opportunities for existing and new aviation related businesses.

Risk

The draft amendment to DCP 2013 includes several development controls that are directly aimed at ensuring the safety of airport operations and reducing the visual impact of future development on the site.

Social / Cultural

The proposed changes to DCP 2013 will have positive social impacts for the local community by providing employment opportunities and strengthening the role of Merimbula Airport in the region.

Attachments

1 ⇩. Bega Valley DCP 2013 Draft 7.10 Merimbula Airport General Aviation Precinct

Council 28 June 2023

Item 8.3

8.3. Endorsement of Minor Amendments Planning Proposal

This report seeks a resolution of Council to support a planning proposal for minor amendments to the Bega Valley Local Environmental Plan 2013.

Director Community Environment and Planning

Officer’s Recommendation

That Council:

1. Support a planning proposal to implement several minor amendments to the Bega Valley Local Environmental Plan 2013.

2. Authorise Council officers to submit the planning proposal (Attachment 1) and supporting information to the Department of Planning and Environment requesting a Gateway Determination under Section 3.34 of the Environmental Planning and Assessment Act 1979.

3. Authorise Council officers, subject to the conditions of the Gateway Determination (including public exhibition) and providing no substantial changes to the planning proposal are required and no objections are received during exhibition, to progress the planning proposal to finalisation and gazettal without a further report to Council.

Executive Summary

This report seeks Council’s resolution to support a planning proposal to make minor amendments to the Bega Valley Local Environmental Plan 2013 (BVLEP 2013). These proposed amendments have no strategic impact and are considered suitable for inclusion in a ‘minor amendments’ planning proposal.

The Council-initiated planning proposal results from the need to amend BVLEP 2013 to update references, correct omissions and remove ambiguity. The planning proposal will also ensure that BVLEP 2013 is aligned with recent changes to state legislation and Council policies and strategies. The amendments relate to:

• permitted uses and approval pathways

• a heritage schedule amendment

• clause amendments relating to strata subdivision, lot averaging subdivisions, building heights, flooding and aircraft noise.

Background

The planning proposal results from the need to update references, correct omissions and remove ambiguity from BVLEP 2013, as well as align with recent changes to state legislation and Council policies and strategies.

To make these minor amendments to BVLEP 2013, a planning proposal is required (Attachment 1). This planning proposal is the sixth minor amendments (or housekeeping) planning proposal prepared by Council since the gazettal of BVLEP 2013.

The following is an overview of the objectives of the planning proposal.

Permitted uses and approval pathways

The planning proposal will:

· Correct an omission in the drafting of BVLEP 2013 that removed cemeteries and crematoriums as a land use that is permitted with consent in zones RU1 Primary Production and RU2 Rural Landscape. The proposed amendment reinstates the cemeteries and crematorium land uses as being permitted with consent in the RU1 and RU2 zones.

· Align the R2 Low Density Residential zone land use table with State Environmental Planning Policy (Housing) 2021 in relation to permissibility of secondary dwellings to make it clear that secondary dwellings (sometimes referred to as granny flats) are permitted with consent in the R2 zone.

· Align the RU5 Village zone land use table with State Environmental Planning Policy (Transport and Infrastructure) 2021 in relation to permissibility of medical centres and health services facilities in village zones to make it clear that medical centres and health services facilities are permitted with consent in the RU5 zone.

· Implement the recommendations of the review of Council’s Use of Public Land (Local Approvals) Policy to enable certain development including A-frame signs, murals, community gardens, annual events and quarterly markets to be carried out as exempt development, and in some cases subject to alternative approval processes such as the Use of Public Land (Local Approvals) Policy.

Clause amendments

The planning proposal will:

· Increase the maximum allowable size of roadside stalls from 10sqm to 20sqm. The proposed amendment responds to recent changes to State Environmental Planning Policy (Exempt and Complying Development Codes) 2008 (Codes SEPP) which provide an exempt development pathway for roadside stalls up to 9sqm in zones RU1 Primary Production, RU2 Rural Landscape and RU4 Primary Production Small Lots zones.

· Provide clarification that strata subdivision of dual occupancies in rural and conservation zones is not permitted. The proposed amendment addresses a gap in the Standard Instrument LEP to clarify that strata subdivision of dual occupancies in rural and conservation zones is not permitted. This issue has been addressed by several other councils through similar amendments to their LEPs.

· Update Clause 5.4 Height of buildings to reflect the existing range of height of buildings limits across the shire. The proposed amendment acknowledges the range of building height limits across the shire (from 5.5 metres up to 18 metres) by removing the reference to ‘low set building form’ and giving consideration to the desired future character by referencing ‘surrounding development (present or future), surrounding landforms and the visual setting’.

· Ensure that new noise sensitive development, including residential accommodation, child care centres, educational establishments, entertainment facilities and hospitals near Merimbula Airport takes into consideration potential aircraft noise impacts. The proposed amendment brings BVLEP 2013 into alignment with the Merimbula Airport Master Plan by ensuring new sensitive development takes into consideration the Australian Noise Exposure Forecast (ANEF) Contour Map that has been developed for the airport.

· Progress adoption of the special flood considerations clause as previously resolved by Council on 30 June 2021. The NSW Government’s delay in progressing this amendment is impacting the finalisation of planning proposals that give effect to Council’s strategic directions in relation to increasing housing diversity in the shire, due to formal objections from a NSW Government Agency regarding flooding.

· Provide clarification that consent may be granted to development for residential purposes on a lot which has been created under cl. 4.1B(3). The proposed amendment removes ambiguity in relation to the permissibility of residential development on a rural residential lot created under the lot averaging clause in BVLEP 2013.

Heritage schedule amendment

The planning proposal will:

· Update the property description of the heritage listing for Twyford Hall, Merimbula in Schedule 5 of BVLEP. The proposed amendment updates the lot and deposited plan numbers for the heritage item following lot consolidation.

· Update the property description of the heritage listing for Cottage On Rise, Wolumla in Schedule 5 of BVLEP. The proposed amendment updates the lot and deposited plan numbers for the heritage item following subdivision.

Options

This report recommends that Council support the planning proposal to make minor, but important amendments to BVLEP 2013. These changes are important to ensure that BVLEP 2013 remains contemporary and meets the requirements of landowners, the wider community and Council’s strategic direction.

Council could choose not to make these changes and the outdated references, omissions, ambiguities and non-alignments would remain as there is no other avenue to make the proposed changes other than through the planning proposal process.

Community and Stakeholder Engagement

Engagement undertaken

At this time, no specific community consultation has been undertaken. However, community consultation was undertaken on the following related documents:

· Merimbula Airport Master Plan

· Bega Valley Use of Public Land (Local Approvals) Policy

· Bega Valley Commercial Land Strategy

· Bega Valley Local Strategic Planning Statement

Engagement planned

Community consultation for this planning proposal will be consistent with the requirements of the Bega Valley Shire Community Engagement Strategy, being a minimum exhibition timeframe of 28 days or as specified by the Gateway Determination.

Public exhibition of the planning proposal will include notification on Council’s website.

Should agency or community feedback to the planning proposal be received that warrant substantial changes to the planning proposal, a further report will be prepared for Council outlining the submissions received and any changes to the planning proposal recommended in response to those submissions prior to resolving whether to proceed with amending BVLEP 2013.

If no objections to the planning proposal are received and no substantial changes are required to the planning proposal, it is recommended that Council resolve to authorise staff to proceed to finalise the proposed amendment to BVLEP 2013.

Financial and Resource Considerations

The processing of the planning proposal and its public exhibition will be undertaken as part of

Council’s regular work program.

Legal /Policy

This planning proposal has been prepared in accordance with Section 3.33 of the Environmental Planning and Assessment Act 1979 and the NSW Department of Planning and Environment’s Local Environmental Plan Making Guideline (December 2021).

Impacts on Strategic/Operational/Asset Management Plan/Risk

Strategic Alignment

The planning proposal is consistent with the South East and Tablelands Regional Plan 2036, Bega Valley Community Strategic Plan 2040, Bega Valley Shire Local Strategic Planning Statement, Bega Valley Commercial Land Strategy and Merimbula Airport Master Plan.

Environment and Climate Change

Insertion of the optional special flood considerations clause into BVLEP 2013 will apply matters for consideration in development applications for certain sensitive and hazardous development on land between the Flood Planning Level and the Probable Maximum Flood and for land that in the event of a flood Council considers may cause risk to life or require evacuation.

It is considered that the inclusion of the optional clause will not prevent development on the affected land but would enable consideration of factors such as risk to life and evacuation when planning and assessing certain types of development in locations that may present a risk to life.

Economic

The planning proposal seeks to increase the maximum size of a roadside stall and provide a simpler planning assessment pathway for annual events and quarterly markets. It is anticipated that these modest amendments will have positive economic impacts.

Risk

The planning proposal seeks to address a broad range of risks to Council and the broader community by:

· correcting omissions, updating references and removing ambiguity

· clarifying that certain desirable land uses are permitted with consent

· increasing opportunities for roadside stall operators

· clarifying the approval pathway for A-frame signs

· ensuring that future activities on public land can be more easily assessed and managed

· protecting the future growth and operations of the Merimbula airport

· managing risk to life associated with the development of land between the flood planning area and probable maximum flood level.

Social / Cultural

The planning proposal is anticipated to have positive social impacts as it seeks to clarify that certain desirable land uses, including secondary dwellings, medical centres and health consulting rooms, are permitted with consent in certain residential zones.

The proposal to permit a broader range of events and certain markets as exempt development, but subject to the alternative Use of Public Land (Local Approvals) Policy assessment pathway, is likely to result in positive social and cultural outcomes. Likewise, clarity regarding Council’s formal pathway to establish a community garden or paint a mural on a building is likely to have positive social and cultural impacts.

Attachments

1 ⇩. Planning Proposal Minor Amendments 2023

Council 28 June 2023

Item 8.4

8.4. Planning Proposal for Club Sapphire Merimbula

This report seeks a decision from Council regarding the progress of a planning proposal to increase the maximum height limit for certain land at Main Street, Merimbula.

Director Community Environment and Planning

Officer’s Recommendation

1. That Council resolve not to support the planning proposal for Club Sapphire, Merimbula (Attachment 1) nor request a Gateway Determination.

Executive Summary

A planning proposal to amend the Bega Valley Local Environmental Plan 2013 (BVLEP 2013) to increase the height of buildings limit at 119 Main Street, Merimbula from 16m to 26m has been lodged with Council. The planning proposal was lodged concurrently with a concept development application for a 7 storey mixed use and hotel development.

Assessment of the planning proposal and supporting documents by Council officers found that the planning proposal does not provide sufficient justification for inconsistencies with relevant Council land use and tourism strategies and NSW Government plans and guidelines, and that the recognised impacts of the proposal cannot be addressed at the development application stage.

Staff conclude that the proposal would result in a significant departure from Council’s adopted strategic planning framework and as such should not be supported.

The purpose of this report is to seek Council’s direction regarding the lodgement of a planning proposal with the Department of Planning and Environment (DPE) for a Gateway Determination.

Background

Lot 1 DP 1250503 at 119 Main Street, Merimbula is located on the corner of Sapphire Coast Drive and Main Street. The subject land is currently zoned MU1 Mixed Use with a site area of approximately 2.17 ha. The planning proposal applies to an area of approximately 3,500sqm in the south-eastern corner of the site which currently contains part of Club Sapphire.

During the drafting of BVLEP 2013, the maximum height of buildings limits in Merimbula town centre were reviewed in response to submissions stating that height limits needed to be increased to facilitate development. Following this review, which was undertaken by an architecture firm in February 2015, the maximum height of buildings limits were increased from 7.5m, 10m or 14m to a range of 10m, 13m or 16m. The increased heights were accompanied by the ‘Central Business District Design Guidelines’ which were incorporated into the Bega Valley Development Control Plan 2013 and introduced controls relating to building storeys and setbacks.

Pages 38-41 of Attachment 1 to this report illustrates the subject land in the context of the MU1 Mixed Use zone in Merimbula town centre and the current height of buildings limits under BVLEP 2013.

The Planning Proposal achieved lodgement on 20 April 2023, and seeks to amend BVLEP 2013 by increasing the maximum building height on approximately 16% of Lot 1 DP 1250503 from 16m to 26m to facilitate a 7 storey building. A concept development application (DA 2022.398) is related to the proposal which seeks concept approval for the demolition of part of the existing club and construction of a new 7 storey mixed use and hotel development comprising: a club and hotel foyer at ground level, function and conference facilities on the first level, 5 levels of accommodation above containing 100 rooms, new vehicle entry to the club/hotel from Main Street, public domain works and landscaping. The DA is on hold pending Council’s consideration of this Planning Proposal report. Should the concept development application be approved, a subsequent detailed development application will need approval prior to any works commencing.

The planning proposal and concept development application were submitted concurrently in accordance with Council’s Commercial Land Strategy which states: ‘To encourage new development in Bega and Merimbula town centres, Council will consider site-specific proposals, with a land area greater than 2000m2, to increase the maximum height of buildings in Merimbula by way of a combined planning proposal and development application that allows the community to evaluate the details of each proposal.’ The Commercial Land Strategy notes that ‘larger sites can more easily integrate higher levels without impacting upon neighbouring sites’.

The purpose of this report is to advise of the Council officer’s assessment of the planning proposal and seek a resolution regarding the progression of the matter. Should Council resolve to progress the planning proposal, the concept development application will be publicly exhibited together with the planning proposal but will be presented to Council separately on completion of the development assessment process. It is noted that under Clause 4.6 of BVLEP 2013, a development application that exceeds the height of buildings limit for the site may be considered for approval by Council as a variation to development standards.

Options

Options available to Council are to:

1. Resolve to not support the planning proposal nor forward it to DPE requesting a Gateway Determination. This is the recommended option because the proposal has not demonstrated strategic or site-specific merit and the recognised impacts cannot be addressed through the development application stage.

2. Resolve to forward the planning proposal to DPE requesting a Gateway Determination. This is not recommended. However, it is noted that under the Commercial Land Strategy the purpose of considering a planning proposal to increase the height limit via a combined planning proposal and development application is to allow the community to evaluate the details of the proposal. Section 3.35 of the Environmental Planning and Assessment Act 1979 (EP&A Act) enables Council to resolve to vary a planning proposal or not proceed for any reason. If Council is designated as the Local Plan Making Authority for the planning proposal and resolves not to proceed with the planning proposal after it is publicly exhibited, the Minister for Planning will determine the matter.

3. Resolve to publicly exhibit the planning proposal, however, defer the decision of whether to forward the planning proposal to DPE requesting a Gateway Determination to a future Council meeting after an initial community engagement process is undertaken. It is noted that implementing this option may still require a second round of community consultation if DPE specify as such in any subsequent Gateway Determination.

Assessment of Planning Proposal

The NSW Local Environmental Plan Making Guideline (December 2021) states that when a Local Environmental Plan is made or amended through a planning proposal, it must demonstrate both strategic merit and site-specific merit. The extent to which the planning proposal gives effect to the various elements of the strategic and site-specific merit criteria is discussed below.

Local Strategic Planning Statement Planning Priority 7: Tourism

The LSPS planning priority for tourism is: “The natural and cultural assets of the Shire have been enhanced to create a flourishing year-round tourism industry supporting local employment in a wide range of associated businesses. Bega Valley Shire is a highly appealing tourism destination with major comparative advantage based on its natural beauty…”

The planning proposal is not consistent with LSPS Planning Priority 7 Tourism because it will result in development that would have an adverse visual impact on the natural assets of Merimbula and the area’s comparative advantage which is based on its natural beauty. The height, bulk and scale of the development that will result from the planning proposal will significantly impact views of the lake, ocean and horizon from both private and public vantage points in Merimbula and detract from the character of the surrounding natural assets.

The planning proposal states that the proposed development will facilitate the best opportunity for Merimbula to overcome the challenge outlined in the LSPS of encouraging luxury and eco accommodation developments, and that the proposed development has been identified as a specific tourist accommodation need in the shire in the Destination Southern NSW Regional Destination Management Plan and the Sapphire Coast Tourism Vision and Platform for Growth 2019.

Destination Southern NSW’s Southern NSW Destination Management Plan 2022-2030 identifies the conference market as a growth opportunity, and an action of the plan is to ‘Support private investors … to grow the quantity, diversity, and quality of accommodation across the region.’

Council and Sapphire Coast Destination Marketing developed the Sapphire Coast Tourism Vision and Platform for Growth 2019. The document aims to set “an achievable vision for our future that is inclusive [and] focussed on our unique points of difference.” The document identifies one of the area’s weaknesses as a lack of hotel accommodation for conferencing and states that the barriers to the growth of the conference market are the lack of large brand hotel accommodation and the cost of air travel. The document also identifies one of the strengths of the area as “low rise development” and recognises that one of the elements that makes the area unique is the towns and villages. This is incorporated into the Sapphire Coast Vision and the Positioning Statement as the aspiration that “the towns and villages complement the stunning landscape”.

One of the foundation principles of Council’s Commercial Land Strategy is to “Recognise the need to protect the elements and settlement character that attract people to live in the Bega Valley Shire and support the tourism industry.”

In response to this issue, the planning proposal states: “The overall character of the region as low rise will not change as a result of one taller building, particularly given it is unlikely other similar developments will be financially viable on other sites. Therefore, it is not considered that the planning proposal will detrimentally impact on this key tourism strength of the region.”

With numerous local and regional tourism, economic and land use strategies identifying the Bega Valley’s natural endowments as the key factor attracting residents and visitors to the shire, and the tourism strategy co-developed by Council specifically referencing ‘low rise development’ as one of strengths of the area, the assertion that the character of the region will not change because of one taller building is not supported. While increasing the diversity of tourism accommodation is identified as a goal, there is a risk that the visual impact from the proposal to increase the height of buildings on the site beyond 16m will undermine the distinctive character of Merimbula that attracts both visitors and residents and hence may adversely impact the ability of Merimbula to thrive as a highly appealing tourism destination.

Local Strategic Planning Statement Planning Priority 12: Town Centres and Commercial Land Strategy

The Commercial Land Strategy states: “Vibrant commercial centres are defined by land uses, the design and function of the public realm, the scale and design of buildings, and the character of the built environment”.

The recommendations of the Commercial Land Strategy were based on the community’s vision for the future and are designed to reinforce the character and qualities of each town centre. The character statement for Merimbula in the Commercial Land Strategy includes the direction: “Protect key elements within the streetscape including view corridors and access to Merimbula Lake where larger development is well articulated and proportioned and the overall height, bulk and scale is in keeping with a medium-rise coastal setting.”

The Commercial Land Strategy informed the LSPS Planning Priority 12: Town Centres. The LSPS outlines the challenge of having few opportunities to reinforce the character and qualities of town centres by controlling the scale and design of buildings as well as the character of the built environment.

The Commercial Land Strategy states that medium rise development is 4-5 storeys, and the LSPS specifies that the 16m height of buildings is equal to 5 storeys. At 26m and 7 storeys the development that will result from the planning proposal in not considered to be medium rise.

In response to these issues, the planning proposal states that the amendment to the maximum height standard is justified because it “can be achieved in a manner consistent with the desired future character for Merimbula. The planning proposal responds to the above character statement by: supporting the development of a major hotel that will reinforce the role of Merimbula as a major centre with facilities that support tourism...[and] facilitating streetscape improvements to Main Street, including improved entry to the Club and improved building facades.” The planning proposal also states that because the height of building amendment only applies to part of the Club Sapphire site this will limit potential cumulative impacts in relation to bulk and scale, and that the subject site is unique in its capacity to facilitate a development of the kind proposed.

Summation: The planning proposal is not consistent with the character statement for Merimbula in the Commercial Land Strategy because the height, bulk and scale of the development resulting from the planning proposal is not in keeping with a medium-rise coastal setting. With few opportunities to reinforce the desired character of town centres and qualities of buildings, it is important to ensure that all planning proposals, including building height increases, align with the adopted strategic direction for each of our town centres.

The justification for the inconsistency with the Commercial Land Strategy and LSPS priority for town centres provided in the planning proposal is insufficient to address the issue because tourism accommodation is a permissible use within the town centre and any proposed improvements to the existing Club Sapphire are not related to the planning proposal.

Local Strategic Planning Statement Planning Priority 10: Character

The LSPS planning priority for character is: “The distinctive character of the landscapes, towns and villages that make our Shire unique is thriving and continues to provide a sense of place and wellbeing to residents and attract visitors.”

The LSPS identifies the challenges of intensifying future development in urban centres while avoiding negative impacts on the existing character of towns and managing future development in urban centres to protect scenic landscapes. To ensure future development is consistent with community expectations, the LSPS requires that planning proposals align with the desired future character statements for towns which identify features to be protected, enhanced or changed.

Summation: The planning proposal is not consistent with the LSPS planning priority for character because it will result in development that does not enhance the coastal town character, is not in keeping with a medium-rise coastal setting and that will conflict with the character of the landscape and town that makes Merimbula unique. These elements are discussed in detail below.

Coastal town character

The LSPS desired future character statement for Merimbula includes: “Buildings are higher in some places than those that currently exist in the town. Taller buildings are appropriately located and set within attractive streetscapes so that their visual appearance fits in with the coastal town character and lake front setting.”

The 16m building height limit currently applies to the whole Club Sapphire site and extends east along the northern side of Main Street to the church opposite the RSL (refer to page 40 of Attachment 1 for map of existing heights). At 26m the proposed height of buildings limit is significantly higher than the buildings that were envisaged in this part of Merimbula.

The visual analysis and detailed drawings (Attachments 2 and 3) accompanying the planning proposal demonstrate that the development resulting from the planning proposal would be highly visible from numerous public and private vantage points in Merimbula. The site’s location at the highest part of the town centre, at a key entrance to the town centre, and its visibility from Sapphire Coast Drive on the approach to Merimbula maximises the visual impact of the development that would result from the planning proposal. The visual analysis shows that a 26m building would protrude well above the skyline and would detract from the impressive ocean views experienced on arrival into Merimbula via Sapphire Coast Drive by dominating the view of the town, ocean and natural surrounds.

In response to this issue, the planning proposal states: “The development facilitated by the Planning Proposal will address these elements of the desired future character for Merimbula through high quality building design, appropriate location on a large site at an important approach into the town centre, improvements to the Main Street footpath, provision of a new drop off zone at the club/hotel entrance and improved on-site landscaping”.

The planning proposal states that the site has significant frontages to the public realm that can be enhanced as part of the development facilitated by the planning proposal, including improvements to the Main Street streetscape, improved pedestrian amenity and accessibility to the Club and improved visual presentation of building facades.

Summation: The planning proposal is not consistent with the LSPS planning priority for character nor the element of the desired future character for Merimbula to fit in with the coastal town character. The planning proposal and accompanying documentation do not adequately justify these inconsistencies. Both the proposed height of 26m and the siting of the area of land identified in the planning proposal in the south-eastern corner of the site restrict the ability for landscaping, streetscaping or other mitigating measures that could enable the resulting development to fit in with the coastal town character.

It is noted that no details of the upgrades to the public realm beyond the above description and suggestions in the conceptual illustrations in Attachment 3 have been provided, and the planning proposal states that these details will form part of the future development application for building construction. As such, the planning proposal is not linked to any material improvements to the public realm or streetscape.

Medium-rise development

The LSPS desired future character statement for Merimbula includes: “Larger development is well articulated and proportioned with the overall height, bulk and scale in keeping with a medium-rise coastal setting.”

The planning proposal acknowledges that the development that will result from the amendment does not meet the definition of medium-rise development, however it argues that this is justified because:

• The provision of a high-end hotel facility in the Shire is a major economic goal of Council given the social and economic benefits it could deliver.

• The proposed hotel development will bring significant social and economic benefits to Merimbula and the wider region, as demonstrated in the accompanying socio-economic report.

• A four plus star hotel would not likely succeed in Merimbula within the next 20 years without some increase in height controls given the amenity requirements of such a facility (such as views and iconic features).

• There are major construction and operational advantages to locating the hotel development on the Club Sapphire site.

• Development of a taller building with a smaller footprint on the subject land would be visually preferable to a lower, bulkier building with a larger footprint.

The visual analysis accompanying the planning proposal also states: “Those people for whom a lower style of development is critical for their vision of Merimbula, may be impacted. But most visitors would probably not really notice the difference in the two options (higher or bulker) and many people would probably find the slim, higher structure more architecturally appealing than the more bulky, rectangular appearance of a hotel compressed into the 16 metre height.”

Summation: The planning proposal is not consistent with the LSPS planning priority for character nor the element of the desired future character for Merimbula that requires the height, bulk and scale of development to be in keeping with the desired medium-rise coastal setting. The justification for these inconsistencies provided in the planning proposal and accompanying documentation is not sufficient to justify the impacts of height, bulk and scale to the character of Merimbula that would be generated by adding 10m to the existing building height.

The design of the proposed development is considerably taller than envisaged by Council’s adopted strategic direction and as a result presents a very bulky, large scale building facing Main Street. The adopted vision for the future character of Merimbula is based on extensive community consultation and consideration by Councillors. Council has developed development standards and design controls to guide future development in Merimbula to ensure that it is well-proportioned in terms of the height, bulk and scale and is in keeping with the desired character.

NSW Coastal Design Guidelines 2003

Under the requirements of the EP&A Act, councils are required to assess planning proposals against the Section 9.1 Directions by the Minister. Under Direction 4.2 Coastal Management, for land in the coastal zone (as defined under the Coastal Management Act 2016), a planning proposal must include provisions that give effect to and are consistent with the NSW Coastal Design Guidelines 2003 (the Guidelines).

Part 1 of the Guidelines determines a local hierarchy of settlements that can be used to categorise different types of coastal settlements. Based on this, the Guidelines provide a desired future character for each type of settlement. Based on the population of Merimbula, it is best categorised as a Coastal Town. In relation to height, the Guidelines advise: ‘6.a. Generally heights of up to four storeys in town centres’ and ‘6.c. Heights are subject to place-specific urban design studies. New development is appropriate to the predominant form and scale of surrounding development (either present or future), surrounding landforms and the visual setting of the settlement.’

The planning proposal acknowledges that the proposed height exceeds the recommended number of storeys for a coastal town/village under the Guidelines. It states that the visual analysis demonstrates that the development resulting from the planning proposal will sit below the distant hills, will not have significant impacts on views of the coast, and the impacts in relation to views to and from the coast are acceptable.

Summation: The Guidelines aim to protect the natural resources of the NSW coastline and ensure that urban development complements coastal scenic values and responds to and protects elements which make a place special. The planning proposal is inconsistent with the Guidelines by exceeding the recommended number of storeys and being inconsistent with the values of Merimbula identified in Council’s adopted land use strategies. These inconsistencies are not considered to be of minor significance; therefore, the planning proposal is not consistent with Ministerial Direction 4.2.

Impact on existing, approved and likely future uses of land in the vicinity

The socio-economic impact assessment (SEIA) accompanying the planning proposal identifies the following adverse impacts on uses in the vicinity of the site from the planning proposal:

· “There will be increased shadow on the buildings on the south side of Main Street from the development. But with one exception, all these buildings are currently commercial with no permanent living or tourist accommodation.”

· “The visual analysis … shows very few existing residences will experience any appreciable loss of view quality. The few that are impacted to any extent still retain an acceptable quality of view and/or would not have any expectations of retaining such views even under existing height controls.”

· “Some long term redevelopment of some commercial or multi-use properties near the site may have more limited views than if the height control remained at 16 metres. But this implies most of these redevelopments to be multi-storey and the prospects of that for much of the area potentially view affected is low for much of the hotel life.”

· “There will be minimal impact of overlooking from the hotel on existing back yards. Visual penetration of existing residential buildings should be extremely low, easily addressed by normal blinds and one way curtains. The impact will not be significantly greater than the current height controls might generate.”

· “Operational noise should readily comply with the EPA [Environmental Protection Authority] noise guidelines… The noise impacts will not increase much, if any, over the current activity of the commercial area.”

The SEIA also identifies a negative impact on business growth however this is not discussed in the document. The potential impact of a 26m high building to the local tourism industry and associated businesses through the change of character is also not considered in the assessment, although change in character is recognised as a potential negative social impact.

The provision in the Commercial Land Strategy to allow consideration of site-specific proposals to increase the maximum height of buildings limit only on land over 2,000m2 is because “larger sites can more easily integrate higher levels without impacting upon neighbouring sites”.

Locating the area proposed for the height increase on the south-eastern boundary of the Club Sapphire land means that the additional overshadowing of the public domain and private land that will result from the height increase from 16m to 26m will not be accommodated within the site. As a result, it is likely that the extent of overshadowing will significantly impact the redevelopment potential of adjacent commercial properties for residential purposes including shop-top housing due to the lack of adequate solar access.

The location chosen for the proposed height increase also maximises the bulky appearance of the proposed development from the street level and increases the potential for wind funnelling. The impact on pedestrians is acknowledged in the planning proposal as a “change in feeling.” However, this statement underplays the likely impact. The design of the proposed building does not provide a streetscape that is comfortable for pedestrians and is not designed to a human scale. The ground floor design of the proposed building is dominated by vehicular uses and hard surfaces and the bulk of the building is not effectively broken up through integration of a distinctive bottom, middle and top into the design.

The chosen location on the site also limits the ability to mitigate the identified impacts through the incorporation of improved streetscape and landscape outcomes for the public domain.

It is considered that the planning proposal lacks site specific merit because the recognised likely impacts of the development that will result from the planning proposal are not able to be addressed at the development application stage due to both the proposed building height and the location of the proposed height increase on the Sapphire Club land.

Community and Stakeholder Engagement

Engagement undertaken

During the public exhibition of the draft Commercial Land Strategy, Council received a submission from Club Sapphire requesting an increase to the height of buildings limit at the subject site that included concept design plans (Attachment 4). It is noted that the location of the proposed development has changed from the preliminary plans that were presented to Council and that the previous plans included more public domain improvements.

Club Sapphire’s submission to the Commercial Land Strategy was discussed at a Councillor workshop in 2020. Since that time, the applicant has engaged in pre-lodgement consultation with Council officers.

Engagement planned

If Council resolve not to support the planning proposal, no further community consultation of the planning proposal will occur.

If Council resolve to support the planning proposal, community consultation for the planning proposal will be consistent with the requirements of the Bega Valley Shire Community Engagement Strategy, being a minimum exhibition timeframe of 28 days or as specified by the Gateway Determination. Public exhibition of the planning proposal will include notification on Council’s website, in the Merimbula News Weekly, and in writing to adjoining landowners.

If Council resolve to publicly exhibit the planning proposal before deciding whether to forward the planning proposal to DPE requesting a Gateway Determination, community consultation for the planning proposal will be consistent with the requirements of the Bega Valley Shire Community Engagement Strategy, being a minimum exhibition timeframe of 28 days.

Financial and Resource Considerations

The planning proposal has been prepared by the applicant and the applicable fee received in accordance with Council’s adopted Fees and Charges 2022-2023. The applicant will also incur any costs associated with the exhibition of the planning proposal.

Legal /Policy

The planning proposal has been prepared in accordance with Section 3.33 of the EP&A Act and DPE’s Local Environmental Plan Making Guideline (December 2021).

Impacts on Strategic/Operational/Asset Management Plan/Risk

Strategic Alignment

Local Strategic Planning Statement (LSPS)

The proposal is consistent with the outcome of the LSPS to encourage a diversity of land uses and businesses within commercial centers, and elements of the desired future character for Merimbula that the town center is a thriving mixed-use area containing offices, shop-top housing, tourist accommodation, leisure and entertainment uses, and has transformed through the redevelopment of old buildings.

The proposal is not consistent with the LSPS planning priorities for tourism, town centres and character, and is not consistent with elements of the desired future character for Merimbula that taller buildings are appropriately located and set within attractive streetscapes so that their visual appearance fits in with the coastal town character and lake front setting, and larger development is well articulated and proportioned with the overall height, bulk and scale in keeping with a medium-rise coastal setting.

Commercial Land Strategy

The planning proposal is not consistent with the Merimbula character statement in Council’s Commercial Land Strategy to protect key elements within the streetscape including view corridors and access to Merimbula Lake where larger development is well articulated and proportioned and the overall height, bulk and scale is in keeping with a medium-rise coastal setting.

Community Strategic Plan (CSP)

The planning proposal is consistent with the strategies of the CSP to collaborate with the relevant parties and industry to promote and support opportunities to diversify and grow our economy and provide local jobs and collaborate with stakeholders to develop and enhance the economic opportunities provided by tourism services and facilities.

The planning proposal is not consistent with the strategy of the CSP to ensure land use planning and resource use supports sustainable growth whilst protecting the quality of the natural environment and our rural landscapes.

South East and Tablelands Regional Plan 2036

The planning proposal is consistent with Direction 9 of the South East and Tablelands Regional Plan 2036: ‘Grow tourism in the region’, however, it does not align with the Local Narrative for Bega Valley Shire to “Protect and enhance Bega Valley’s environmental values, underpinning the smart growth of towns and the tourism industry” because of the impact on coastal environmental values and existing and desired future character.

The planning proposal is consistent with Direction 12: ‘Promote business activities in urban centres’, Action 12.2: ‘Encourage mixed use developments that cater for commercial, retail, residential and tourism uses through local planning controls’.

Draft South East and Tablelands Regional Plan 2041

The planning proposal is not consistent with the Draft NSW South East and Tablelands Regional Plan 2041 Objective 4: ‘Preserve the heritage and character of the region’s towns and villages’. The planning proposal will result in development that would have a significant impact on the existing and desired future character of Merimbula.

The planning proposal is consistent with Objective 12: ‘Promote a year round visitor economy’, however, it is noted that the visual impact of a high-rise building on the existing low-rise and desired future medium-rise character of Merimbula town centre may adversely affect tourism by detracting from the settlement character and natural beauty of the region.

Environment and Climate Change

The planning proposal will not have any impact on biodiversity, water quality or resilience to the impacts of climate change.

The planning proposal will have a significant impact on the visual amenity of the coastal environment of Merimbula.

Economic

The planning proposal may support economic development in Merimbula and the wider region through attracting additional tourists, providing construction and operational employment, and supporting the viability of existing retail, commercial and tourism activities.

However, there is a risk that the impact from the planning proposal on the unique character of Merimbula that attracts visitors and residents, will reduce the ability of Merimbula to thrive as a tourism destination and place to live.

Risk

If the planning proposal is supported by Council there is a risk that other planning proposals that directly contradict Council’s land use strategies will also be supported and that the desired outcomes for the shire’s community, economy and environment will not be realised.

Social / Cultural

The planning proposal may have positive social and cultural impacts on the community through provision of employment and entertainment options, however, the planning proposal may also have negative social impacts on people through impacting the character of the place they value.

Attachments

1 ⇩. Club Sapphire height of Buildings Planning Proposal

2 ⇩. Visual Analysis Club Sapphire planning Proposal

3 ⇩. Architecture Drawings Club Sapphire Planning Proposal

4 ⇩. Club Sapphire submission and architecture drawings to Commercial Land Strategy

Council 28 June 2023

Item 8.5

8.5. Planning Proposal for National Circularity Centre, Bega

This report seeks a Council resolution to submit a planning proposal to permit additional uses on certain land in North Bega to the NSW Department of Planning and Environment for Gateway Determination.

Director Community Environment and Planning

Officer’s Recommendation

1. That Council resolve to support the planning proposal for the National Circularity Centre to amend the Bega Valley Local Environmental Plan 2013 to permit retail premises, function centre, entertainment facility and community facility uses on certain land at Lagoon Street, Bega (Part of Lot 1 DP 1264640).

3. That following Gateway Determination, the planning proposal be placed on public exhibition.

4. Authorise Council officers, subject to the conditions of the Gateway Determination and providing no substantial changes to the planning proposal are required and no objections are received during exhibition, to progress the planning proposal to finalisation and gazettal without a further report to Council.

Executive Summary

The purpose of this report is to seek Council’s approval for a planning proposal for lodgement with the NSW Department of Planning and Environment (DPE). This planning proposal will result in an additional use clause being added to the Bega Valley Shire Local Environmental Plan 2013 (LEP 2013) which would enable consideration of the uses of retail premises, function centre, entertainment facility and community facility on land at Lagoon Street, Bega (Part of Lot 1 DP 1264640). The planning proposal has been lodged to support development of the proposed National Circularity Centre.

Background

The Bega Cheese factory and associated whey powder plant is located on Lot 1 DP 1264640, a 9 hectare site at Lagoon Street in North Bega. The owner of the land is Bega Cheese Limited and the development site of approximately 1.5 hectares has been provided by Bega Cheese Limited for development of the National Circularity Centre by the Regional Circularity Co-operative.

The planning proposal affects only that part of Lot 1 DP 1264640 in the north-western portion of the lot as illustrated in Map 1 below.

Map 1: Land affected by the planning proposal

The planning proposal has been prepared and submitted to enable consideration of a multi-purpose tourism, community and research hub, including exhibition rooms, a visitor centre, conference and event facilities, and a café.

The land is zoned E4 General Industrial. A number of the proposed uses within the National Circularity Centre are not currently permitted in the E4 zone. The aim of the planning proposal is to retain the existing E4 zone but amend the LEP 2013 to introduce additional permitted uses for the identified land to enable consideration of a development application for retail premises, function centre, entertainment facility and community facility on the site.

Council officers have assessed the planning proposal and concluded that the proposal has both strategic and site specific merit according to the criteria outlined in the NSW Local Environmental Plan Making Guidelines (December 2021) as outlined in the section below.

A development application for the proposed National Circularity Centre is expected to be lodged in coming months.

Assessment of Planning Proposal

STRATEGIC MERIT ASSESSMENT CRITERIA

Does the proposal give effect to the relevant regional plan?

The planning proposal is consistent with the South East and Tablelands Regional Plan 2036 goals:

1. A connected and prosperous economy

2. A diverse environment interconnected by biodiversity corridors

3. Healthy and connected communities

4. Environmentally sustainable housing choices

It is also consistent with the draft South East and Tablelands Regional Plan 2041 themes:

1. Recognising Country, people and place

2. Enhancing sustainable and resilient environments

3. Leveraging diverse economic identities

4. Planning for fit for purpose housing and services

5. Supporting a connected and active region.

Does the proposal demonstrate consistency with the relevant Local Strategic Planning Statement (LSPS)?

The planning proposal is consistent with the LSPS planning priorities: 1 natural environment, 3 carbon neutral, 5 agriculture, forestry and aquaculture, 6 industrial land, and 7 tourism.

The planning proposal is consistent with the 20 year vision for commercial land in the Commercial Land Strategy which aims to achieve “Vibrant and viable commercial centres generate business and employment and improvements to the design quality of the urban environment.”

Does the proposal respond to a change in circumstances that has not been recognised by the existing planning framework?

The planning proposal does not respond to a change in circumstances that has not been recognised by the existing planning framework.

SITE-SPECIFIC MERIT ASSESSMENT CRITERIA

Does the proposal give regard and assess impacts to the natural environment on the site to which the proposal relates and other affected land (including known significant environmental areas, resources or hazards)?

A preliminary assessment of flooding, land contamination, bushfire, environmental protection and cultural heritage is provided in the planning proposal and will be further detailed at development application stage. The planning proposal considers environmental matters through a test of significance carried out and an analysis of riparian land and watercourses. It is considered that the proposal is unlikely to have any adverse impacts on the natural environment on the site or other affected land.

Does the proposal give regard and assess impacts to existing uses, approved uses, and likely future uses of land in the vicinity of the land to which the proposal relates?

The planning proposal considers the likely impacts from the development such as scenic amenity due to visual prominence of the site, the extent of potential noise emissions and any potential land use conflicts. It is considered that these issues can be adequately addressed through the development assessment process.

Does the proposal give regard and assess impacts to services and infrastructure that are or will be available to meet the demands arising from the proposal and any proposed financial arrangements for infrastructure provision?

The planning proposal demonstrates there are adequate services and infrastructure available to meet the demands arising from the proposal.

Options

Options available to Council are to:

1. Resolve to support the planning proposal and forward it to DPE for Gateway Determination. This is the recommended option.

2. Not support the planning proposal.

Community and Stakeholder Engagement

Engagement undertaken

Pre-lodgement consultation has been undertaken with Transport for NSW, Heritage NSW and the NSW Rural Fire Service. It is considered that the issues raised by agencies during this consultation can be adequately addressed through the development assessment process. Feedback from these agencies is available in the Planning Proposal at Attachment 1.

Engagement planned

Public exhibition of the planning proposal will include notification on Council’s website and in writing to adjoining landowners.

Should agency or community feedback to the planning proposal be received that warrant substantial changes to the planning proposal, a further report will be prepared for Council outlining the submissions received and the changes to the planning proposal recommended in response to those submissions prior to resolving whether to proceed with amending LEP 2013.

Financial and Resource Considerations

The planning proposal has been prepared by the applicant and the applicable fee received in accordance with Council’s adopted Fees and Charges 2022/23. Any additional costs incurred for advertising the planning proposal will be met by the applicant.

Legal /Policy

This planning proposal has been prepared in accordance with Section 3.33 of the Environmental Planning and Assessment Act 1979 and DPE’s Local Environmental Plan Making Guideline (December 2021).

Impacts on Strategic/Operational/Asset Management Plan/Risk

Strategic Alignment

The planning proposal is consistent with the South East and Tablelands Regional Plan 2036, the Draft South East and Tablelands Regional Plan 2041, the Bega Valley Community Strategic Plan 2040, the Bega Valley Shire Local Strategic Planning Statement, the Bega Valley Climate Resilience Strategy and Bega Valley Commercial Land Strategy.

Environment and Climate Change

A key ambition for the proposed Centre will be to attract research and education events and programs, and business events with sustainable housing providers and associated groups. Research and events will promote methodologies for sustainable housing development.

The planning proposal is consistent the Bega Valley Climate Resilience Strategy 2050. It will support the key response areas: natural systems, preparing for natural hazards, liveable and connected places, safe, healthy and inclusive community, diverse and thriving economy, energy security and food security. The proposed Centre will facilitate forums for the community, businesses and industries to connect with the aim of diversifying the Bega Valley’s economic profile, circularity programs and improved resilience in the region.

Economic

The proposed Centre will support market-led research and models for a circular economy. This will support Bega Valley Shire’s industries in tourism, agriculture and aquaculture. It will provide an area for community events, to promote tourism in the Bega Valley Shire and the broader region and to showcase local circularity businesses and projects, local produce, sustainable agriculture and Indigenous bush foods. The proposed Centre building aims to set an example for future development using new technologies and renewable energy.

Risk

The planning proposal does not introduce any new risks to Council.

Social / Cultural

The proposed Centre will benefit the Bega Valley Shire community by providing a place to congregate and hold research forums to increase the social and cultural wellbeing of the community.

Attachments

1 ⇩. Draft National Circularity Centre Planning Proposal

Council 28 June 2023

Item 9.1

9.1. Bega Valley Local Traffic Committee 2 May 2023 and 6 June 2023

This report provides the adopted minutes of the Bega Valley Local Traffic Committee from the meeting held on 2 May 2023 and the recommendations of the meeting held on 6 June 2023.

Director Assets and Operations

Officer’s Recommendation

That Council receive and note this report and the Bega Valley Local Traffic Committee minutes of 2 May 2023 and associated documents attached to this report. The minutes contain no recommendation for Council action.That Council adopt the recommendations of the Bega Valley Local Traffic Committee meeting on 6 June 2023, outlined below.Wanderer Festival – Pambula Beach – 29 September – 1 October 2023

That the following be endorsed subject to development approval:

1. That there is to be no on street parking along Pambula Beach Road; east bound from Dingo Street to its intersection with Culgoa Crescent; west bound from its intersection with Culgoa Crescent to its intersection with Sir William McKell Drive. This is to be picketed and taped off with reflective tape to prevent parking in this area.

2. That buses continue to enter Lumen Christi Catholic College via Pambula Beach Road and exit onto Culgoa Crescent (with traffic control).

3. That Culgoa Crescent becomes a one way street for the entirety of the event. Entry from eastern end of Pambula Beach Road onto Culgoa Crescent becoming one way (west bound) from its intersection with Club Avenue, dropping patrons off at the existing school drop off in Culgoa Crescent.

4. That an updated Traffic Guidance Scheme (TGS) is supplied showing a traffic controller and vehicle at the intersection of Culgoa Crescent and Pambula Beach Road (western end), preventing a right hand turn into Culgoa Crescent from Pambula Beach Road.

5. That one month prior to the event date, all affected residents will be notified by letter drop advising them of the proposed changes to traffic movements. The letter must provide the residents with contact details of the event organisers.

6. That there is a reduction in the speed limit on Pambula Beach Road on days leading up to and during the event to a 40km/h speed zone (160m west of the access driveway to Sapphire Aquatic Centre to the intersection of Culgoa Crescent) as indicated on the provided TGS’s.

7. That organisers fully implement an approved Special Event Transport Management Plan. Police have indicated as this is a proposed large-scale event there will be a minimum 60-day review time for Police approval.

8. That persons involved in the preparation and implementation of the TGS must hold the appropriate SafeWork NSW and Transport for NSW (TfNSW) Accreditation.

9. That organisers have approved public liability insurance of at least $20 million indemnifying Bega Valley Shire Council, NSW Police and Transport for NSW (TfNSW) by name for the event.

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

11. That as a prerequisite of the proposed changes to traffic movements, the event organisers must notify all, local and interstate bus services along with local taxi services and other affected stakeholders of alternative routes including pick-up/drop-off points, including point to point transport.

12. That after the event, organisers are to clean up any rubbish or waste left behind.

13. That the event operates strictly under the NSW Health Department COVID19 conditions

The QUAD Crown, The Orca – 8 September -10 September 2023

1. That the proposed arrangements involving sections of road reserves in Storey Avenue and Botany Street, Eden for The Prelude on Friday, 8 September 2023 be deemed a Class 2 special event and it be conducted under an approved and current Traffic Guidance Scheme, in accordance with the SafeWork NSW Guidelines and Transport for NSW (TfNSW) Traffic Control Guidelines.

2. That the proposed arrangements for Stage One Event Precinct, Saturday 9^th September 2023 to be deemed class 2 special events, involving sections of roads westbound lane of Bega St closed from east of Tathra Hotel carpark entry west to Bega St closure. Contraflow in place between upper Bega St & Bega St west of Tathra Hotel carpark entry. That lower section of Bega Street is closed east of East Lane which is to be conducted under an approved and current Traffic Guidance Scheme, in accordance with the SafeWork NSW Guidelines and Transport for NSW (TfNSW) Traffic Control Guidelines.

3. That the proposed arrangement involving road crossing east of Killarney Road, crossing Tathra Road for Stage One Event Precinct, Saturday 9^th September to be deemed class 2 special events and is to be conducted under an approved and current Traffic Guidance Scheme, in accordance with the SafeWork NSW Guidelines and Transport for NSW (TfNSW) Traffic Control Guidelines.

4. That the proposed arrangement involving heading north on Kianinny Street for riders turning left into Kianinny Street. Stage One Event Precinct, Saturday 9^th September to be deemed class 2 special events and it be conducted under an approved and current Traffic Guidance Scheme, in accordance with the SafeWork NSW Guidelines and Transport for NSW (TfNSW) Traffic Control Guidelines.

5. That the proposed arrangement involving heading south on Davidson Street for riders turning right into Bay Street from Kianinny Street. Traffic on Panuamuna Rd & Yuppara Street to give way to riders as per road rules. Stage One Event Precinct, Saturday 9^th September to be deemed class 2 special events and it be conducted under an approved and current Traffic Guidance Scheme, in accordance with the SafeWork NSW Guidelines and Transport for NSW (TfNSW) Traffic Control Guidelines.

6. That the proposed arrangements for Stage Two Event Precinct, Sunday 10^th September to be deemed class 2 special events, involving Storey Avenue, Eden and is be conducted under an approved and current Traffic Guidance Scheme, in accordance with the SafeWork NSW Guidelines and Transport for NSW (TfNSW) Traffic Control Guidelines.

7. That all of the above routes, have the suitable number of “Event in Progress” signage placed in all appropriate locations.

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

9. That organisers have approved public liability insurance of at least $20 million indemnifying Bega Valley Shire Council, NSW Police and Transport for NSW (TfNSW) by name for the event.

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

11. That the event achieves all conditions of Council’s Use of Public Land approval.

12. That as a prerequisite of road closures, the event organisers must notify all local and interstate bus services along with local taxi services and other affected stakeholders of alternative routes including pick-up/drop-off points, including point to point transport.

13. That after the event, organisers are to clean up any rubbish or waste left behind.

Executive Summary

The Local Traffic Committee is primarily a technical review committee and is not a Committee of Council. Local Traffic Committees operate under delegation from TfNSW who are responsible for traffic management on all NSW roads. Their role is to advise Council on traffic management matters that relate to prescribed traffic control devices or traffic management facilities for which Council has delegated authority.

It is a requirement for Council to formally adopt the recommendations from this Committee prior to action being taken.

Background

No submissions for Council action were received at the meeting held on 2 May 2023.

The following submissions for Council action were received at the meeting held 6 June 2023.

Wanderer Festival – Pambula Beach - 29 September – 1 October 2023

Council have received a submission from Lost Lands Pty Ltd for “Wanderer Festival” event commencing on Friday 29 September to Monday 2 October 2023 to be held at the Pambula Sporting Complex.

Wanderer Festival is an annual event of state significance that is world-class, unique and

delivers exceptional economic, social and cultural benefits to the Sapphire Coast region

and New South Wales as a whole.

Wanderer is a three-day music and arts festival. Unpowered campsites and amenities

are provided for those opting to stay onsite. Patrons will also be offered camping at an

external campground with free bus shuttles to site.

The Event consists of four stages as well as shade structures, vendors, catering, bars,

back of house and campgrounds.

It is anticipated that attendance will be up to 12,000 patrons for the 2023 event. It is

expected that at full capacity, a maximum total of approximately 1000 additional

attendees will be present on site at one time including contractors, event personnel,

stall holders, performers, security. Staff and contractor numbers may be scaled based on

the number of tickets sold.

The LTC has received copies of owner’s consent for the use of the access driveways to Lumen Christi Catholic College and from the NSW National Parks for permission to use the access driveway entrance at Sapphire Aquatic Centre.

The QUAD Crown, The Orca - 8 September – 10 September 2023

Council have received a submission from Quad Events Pty Ltd for the The Quad Crown, The Orca Mountain Bike Race event commencing on Friday 8th September 2023 to Sunday 10th September for a two-stage event in and around Tathra and Eden.

This event involves a weekend mountain bike stage race.

· Commencing with the prelude – Friday 8^th September 2023. Event precinct opens at 2pm, Prelude ride 3pm-5pm.

· Stage One – Saturday 9 September 2023. Event precinct opens at 8.00am race starts at 9.00am – expected last finisher 12.00pm.

· Stage Two- Sunday 10 September 2023. Event precinct opens at 8.00am race starts at 9.00am – Expected last finisher 12.00pm.

Options

1. Accept the recommendations provided by Council officers and resolve accordingly.

2. Reject the recommendations provided by Council officers and resolve accordingly.

3. Resolve on alternate or modified options raised by Councillors.

Community and Stakeholder Engagement

Engagement undertaken

There was no community engagement undertaken in relation to this report.

Engagement planned

The above events have advised they will notify all stakeholders approximately 1 month prior to the events taking place.

Financial and Resource Considerations

There are no additional financial and resource considerations associated with this report

Legal /Policy

There are no legal/policy to refer to in this report

Impacts on Strategic/Operational/Asset Management Plan/Risk

Strategic Alignment

The recommendations are in line with our road and reserve management policies. The inherent risks associated with the events are mitigated by adherence to the agreed Transport Guidance Schemes and the stipulations made by the LTC.

Environment and Climate Change

There are minor environmental impacts as a result of event waste management and no Climate Change implications associated with this report.

Economic

There are a number of positive economic implications associated with this report through increased local consumption of goods and services from increased visitation.

Risk

There are minor timing risks associated with the submission of documentation by the event organisers and subsequent 3^rd party approval for the Wanderer Festival.

Social / Cultural

There are no additional social/cultural considerations associated with this report.

Attachments

1 ⇩. Local Traffic Committee minutes 2 May 2023

2 ⇩. 4.1 Merimbula Airport Parking

3 ⇩. 4.1A Merimbula Airport Parking Survey

4 ⇩. 6.1 Kidney Kar Rally Notification

5 ⇩. Application for Wanderer Festival 2023

6 ⇩. Application for QUAD Bike Race 2023

Council 28 June 2023

Item 9.2

9.2. Reporting of minutes for committees with delegated authority and advisory committees

This report provides the adopted minutes for the General Sportsground Quarterly Committee, and Central Waste Facility (CWF) Consultative Committee meetings.

Director Assets and Operations

Officer’s Recommendation

That Council note the report and the General Sportsground Committee and CWF Consultative Committee meeting minutes which are appended to the report.

Executive Summary

This report provides the adopted minutes for the quarterly General Sportsground Committee, and the Central Waste Facility (CWF) Consultative Committee meetings for information. Due to the Section 355 Sportsground Committee meetings being held quarterly the minutes are confirmed three months in arrears and reported to Council at the next available meeting.

It is important to note that additional progress has been made since the February meeting minutes were adopted.

Background

Committees of Council are established each term of Council and disbanded at the end of each Council term. On 11 January 2022 Council established various committees, groups and panels, following the election.

Committees of Council provide a mechanism for community involvement in the provision of Council facilities or services. There are three types of committee that may be established by a council: Committees of Council, which are comprised entirely of Councillors; Section 355 Committees, which are delegated under Section 355 of the Local Government Act 1993 to undertake certain functions of Council and may include community representatives, Councillors and/or members of Council staff; and Advisory Committees, which may be made up of community representatives, Councillors and/or members of Council staff, and provide advice to Council on relevant matters.

Each committee has guidelines that detail its roles and responsibilities, and where relevant, its delegated functions. All committees are obliged to observe Council’s adopted Code of Meeting Practice.

The committees, through Council officers, must make their agenda and minutes public, and report meeting minutes to Council periodically once adopted by the relevant committee. Agendas and minutes are published on Council’s website.

Relevant recommendations of Advisory Committees are reported to Council meetings, through Council officers, for consideration.

A brief explanation of the roles and functions of the committees referenced in this report is outlined below.

General Sportsground Committee

Sportsground and other buildings available for use by the community are important places for our community to engage in social, artistic, cultural, educational and recreational activities. Council’s sportsgrounds provide opportunities across the Shire for our community to come together, create connections between people and build stronger communities.

The Sportsground Committees management structure is based on two levels. The General Sportsground Committee and the Community Sportsground Committee for individual sportsground managed by the community on behalf of Council.

There are seven Community Sportsground Committees and delegates are nominated to represent on the General Sportsground Committee. The General Sportsground Committee is chaired by a Councillor, with membership consisting of two representatives from each Regional and District Sportsground Committee and one representative from each of the four sports districts of the Shire.

The roles and responsibilities of the S355 General Sportsground Committee as delegated by resolution of Council are to:

· Make recommendations to Council on any aspect of sportsground management and/or sportsground operations

· Make recommendations to Council on appropriate fees and charges structures for sportsgrounds

· Advise Council of the membership of individual sportsground community committees

· Recommend financial allocations for individual sportsgrounds from Council funds and/or funds from other sources, and

· Establish working groups or special task groups where required and report back to the committee.

The General Sportsground Committee meets four times per year in February, May, August and November.

Central Waste Facility Community Consultation Committee

The Central Waste Facility (CWF), located on Wanatta Lane at Wolumla, is Council’s main landfill for the Bega Valley Shire for the disposal of general solid waste from municipal, construction and commercial sources.

The roles and responsibilities of the Committee are to exchange information regarding the operation of the CWF and engage in consultation regarding the operation of the CWF.

The Committee is chaired by the Waste Services Manager, with membership comprising The Mayor or delegated Councillor representative, along with two members of the community residing within a nominal direct-line distance of 5km from the CWF.

Options

There are no options associated with the recommendation of this report.

Community and Stakeholder Engagement

Engagement undertaken

Nominations for the General Sportsground Committee were sought in line with Council’s adopted Community Engagement Strategy and Community Engagement Toolkit. The opportunity to participate in the committees was advertised via local newspapers, Council’s website, Council News and Facebook page.

In determining the application for development consent for the CWF, it was also resolved that “BVSC form a Consultative Committee that includes three representatives of residents of the immediate locality, for the purposes of providing a forum for information exchange and consultation regarding the operation of the Central Waste Facility.”

Where specified in the committee guidelines, nominations were considered by the panel for each committee.

Engagement planned

There are no further engagement requirements associated with the recommendation of this report. Should any of the committees need to recruit additional members to fill vacancies, these will be advertised in accordance with the requirements of Council’s Community Engagement Strategy.

Financial and Resource Considerations

There are no financial or response considerations associated with the recommendation of this report.

Council officer time is required to provide support to the committees as per committee guidelines which is part of the annual activities of Council.

Legal /Policy

The Local Government Act 1993 provides for the establishment of advisory committees to support Council decision-making.

Impacts on Strategic/Operational/Asset Management Plan/Risk

Strategic Alignment

Community representation on Council’s advisory committees supports the following elements of the Bega Valley Community Strategic Plan 2042:

6. Strong, Consultative Leadership

6.11 We are an informed and engaged community with a transparent, consultative and responsive Council

6.11.1 Improve communication about Council activities, decisions and achievements

Environment and Climate Change

There are no direct environment or climate change implications associated with the recommendation of this report.

Economic

There are no direct economic implications associated with the recommendation of this report.

Risk

The establishment and operation of committees of Council are part of the regular business of Council. The recommendation of this report does not introduce any new risks to Council.

Social / Cultural

Council committees seek to provide a mechanism for interested community members to play an active role in advocating for change at a local level. Committees of Council are an instrument for facilitating open and transparent discussion about decisions made by Council.

Attachments

1 ⇩. S355 General Sportsground Quarterly Committee Meeting minutes 27 February 2023

2 ⇩. Central Waste Facility Consultative Committee Minutes April 2023

Council 28 June 2023

Item 10.1

10.1. Adoption of the Integrated Planning and Reporting documents

A suite of Integrated Planning and Reporting documents are presented and recommended for adoption including the approved Special Rate Variation. Council’s Community Project Proposals are also outlined for decision.

Director Business & Governance

Officer’s Recommendation

1. That Council adopt the approved permanent Special Rate Variation of 24% inclusive of the 4.1% rate peg for the 2023-24 financial year and 19.6% inclusive of an assumed 2.5% rate peg for the 2024-25 financial year for all properties in the Local Government Area as outlined in Attachment 1- IPART LG Determination Bega Valley Shire Councils special rate variation application 2023-24 and Instrument.

2. That Council receive and note the submissions received during the public exhibition period for the draft Delivery Program 2022-25 and Operational Plan 2023 included at Attachment 2 and Council officers advise those that made submissions during public exhibition of Council’s decision.

3. That Council adopt the Delivery Program 2022-25 and Operational Plan 2023-24 including the budget and revenue policy included at Attachment 3.

4. That Council adopt the Long Term Financial Plan 2023-32 June 2023 Update and the Strategic Asset Management Plan 2022-25- June 2023 Update included at Attachment 4 and 5 respectively.

5. That the Community Project Proposals be determined as follows:

(5.1) That the proposal for interpretive signage at Barraga Bay is supported by council, dependent on funding, signs to meet BVSC signage guidelines and location installation approval and confirming the applicant will be responsible for ongoing care and maintenance.

(5.2) That the proposal at Murrah Hall for construction of a permanent outdoor cultural precinct outdoor stage not be supported by Council, as it will create an additional asset requiring ongoing management, maintenance and depreciation.

(5.3) That the proposal for a deck, ramp, seating and table at Hollis Gap walkway Tathra have in principle support, subject to satisfactory completion of project development checklist requirements, confirmation of external funding, and confirming the applicant will be responsible for ongoing care and maintenance.

(5.4) That the music stage roof at Wyndham Sportsground have in principle support, subject to satisfactory completion of project development checklist requirements, confirmation of external funding, and confirming the applicant will be responsible for ongoing care and maintenance.

(5.5) That the proposal for use of the Wyndham Sportsground facilities (showers/washing machine) by local residents not be supported by council due to difficulty in maintaining service levels and facility access consistency across the shire.

(5.6) That the proposal for a new storage shed at Candelo Tennis Courts not be supported by Council, as the current pavilion upgrade project will provide additional storage, and the proposal will create an additional asset requiring ongoing management, maintenance and depreciation.

(5.7) That it is noted the proposal for safety signage at John Gordon Recreation Reserve sportsground and playground has been completed by the applicant prior to Council approval, the signs remain the property of the applicant, that any future works require BVSC approval prior to funding applications being submitted and noting the applicant will be responsible for ongoing care and maintenance.

(5.8) That the proposal for an additional water tank at Montreal Goldfield Wallaga Lake be supported by Council, dependent on external funding, and confirming the applicant will be responsible for ongoing care and maintenance.

(5.9) That the proposal to install additional bench seats at Montreal Goldfields be supported by Council, dependent on external funding, and confirming the applicant will be responsible for ongoing care and maintenance.

(5.10) That the proposal for roof restoration at George Brown Memorial Oval have in principle support, subject to satisfactory completion of project development checklist requirements and confirmation of external funding.

(5.11) That the proposal for installation of floodlights at Roy Howard Playing Field Bega not be supported by Council, as it will create an additional major asset requiring ongoing management, maintenance and depreciation, and it is noted the current floodlighting project at adjacent Keith Mitchell oval will include expanded training area.

(5.12) That the proposal for player/coaches shelters at Roy Howard Playing Field Bega have in principle support, subject to satisfactory completion of project development checklist requirements, confirmation of external funding and confirming the applicant will be responsible for ongoing care and maintenance.

(5.13) That the proposal for the restoration of the Eden Aslings Beach rock pool again not be supported by Council, as it will create an additional asset requiring ongoing management, maintenance and depreciation, and that a similar project proposal for restoration of the Aslings Beach rock pool considered by Council in 2021 was not supported.

Executive Summary

Council submitted a Special Rates Variation (SRV) application to the Independent and Regulatory Pricing Tribunal (IPART) on 3 February 2023. The application has been approved and the determination is included at Attachment 1. The recommendation is to apply the approved increases in full.

Council has been provided with all submissions that were made concerning the Delivery Program 2022-25 and Operational Plan 2023-24. Four (4) external submissions were received during the exhibition period. Several internal adjustments are also recommended. Copies of all submissions along with Council Officer responses are included at Attachment 2. It is recommended that Council adopt the Delivery Program 2022-25 and Operational Plan 2023-24 included at Attachment 3.

At the point of finalising this report and attachments including the 2023-24 budget and Long Term Financial Plan, Council were advised that 100% prepayment of the Federal Government Financial Assistance Grants (FAG) for next financial year would be occurring in the current financial year. It is unclear exactly when and if the payment will be made in June 2023. Given this late advice the 2023-24 budget has not been adjusted and it is recommended that this be altered at the September Quarterly Budget Review. It should be acknowledged that the EOFY position for 2022-23 will vary considerably to the budget forecast given the additional and early payment of the FAG.

Council’s Long Term Financial Plan (LTFP) has been reviewed as a result of the SRV determination and adjustments since it was last adopted in February 2023 and is presented at Attachment 4 for adoption. The LTFP is now modelling 3 options. A review of the Strategic Asset Management Plan 2022-25 that forms part of the Resourcing Strategy has also been undertaken and is recommended for adoption.

In 2021 Council resolved that Community Project Proposals (CPP) for major projects are to be considered and included during the development and consultation of the annual Operational Plan. This enables Council to consider the resource requirements of proposed major projects in conjunction with other planned and programmed works. Recommendations to either support, or not support each community project proposal received are included in this report. A detailed assessment summary sheet is included at Attachment 6.

Background

In accordance with the Integrated Planning and Reporting (IPR) Framework, Council prepared and placed on public exhibition from 19 April - 17 May 2023 a suite of integrated planning and reporting documents. As part of resolution 56/23 item 3 resolved that this report include the analysis of the planning priorities used aligning the operational programs for 2023-24 with the strategy plan objectives and themes for 2022-25.

Page 37 of the draft Operational Plan provides guidance on how to read the Service Area summaries within each of the Directorates. All of the Operational Plan activities connect to a Delivery Program 2022-25 action that sits under the Community Strategy Plan Strategy and Theme. Our planning approach is integrated and our annual activities help us move towards delivery of the Community Strategic Plan strategies.

Council has identified that further improvements are required on the ‘informing’ strategies and plans that feed into the Integrated Planning and Reporting framework. See the separate report to the June 2023 Council meeting regarding proposed improvements.

Special Rate Variation

Council submitted a Special Rates Variation (SRV) application to the Independent and Regulatory Pricing Tribunal (IPART) on 3 February 2023. In June 2023, IPART determined that Councils application met the various criteria and there was demonstrated need for the additional revenue to ensure financial sustainability and service provision. Attachment 1 is the Local Government Determination Bega Valley Shire Councils special rate variation application 2023-24 along with the Instrument of Approval under section 508A of the Local Government Act 1993 available to Council on 15 June 2023.

The application requested a permanent increase to general rates of 24% in 2023-24 (inclusive of a 4.1% rate peg) and 19.6% in 2024-25 (inclusive of an assumed 2.5% rate peg). This results in a cumulative rate increase of 48.3% at the end of 2024-25.

The 2023-24 budget assumes the approved SRV will be applied in full, resulting in an increase in general rates of 24% in the 2023-24 financial year. The second year of the approved SRV will see an increase in rates of 19.6%. The SRV will provide additional rates income of $6,895,914 in 2023-24 (including adjustments and rate peg) and $6,526,494 in 2024-25. After the two-year SRV has been applied, the notional general income from rates will be $39,824,934.

Delivery Program and Operational Plan

The 2023-24 financial year budget, even with the additional SRV income included, forecasts an operating deficit before capital grants and contributions in both consolidated and general fund. The 2023-24 budget presented for adoption includes the March 2023 quarterly budget review adjustments. It also includes a range of adjustments since it was placed on exhibition related to:

- an increase in salaries and wages based on the Local Government Award negotiations

- the emergency services levy subsidy not being paid by the State Government

- adjustment of a double entry for fleet insurance

- increases in the IT operating budget

- inclusion of grant funding for the Airport Masterplan

- increases in depreciation costs based on fair value review of transport and parks and recreation assets (indexation and revaluation increased our asset written down value by $130.6 million)

- increase in Councillor remuneration as advised by the Local Government Remuneration Tribunal and resolved by Council at the 24 May 2023 Council meeting

- reduction of the libraries capital budget related to the Tura Beach Library (further information below).

Council has removed Delivery Program action D2.7 Manage and maintain Council and NSW RFS vehicles, plant and equipment and added and Operational Activity D2.3.8 to capture the ongoing work required to finalise the upgrade of the South East Centre for Contemporary Art.

There has also been a range of immaterial, alignment and design changes made to the documents. Recommended changes to the Revenue Policy are outlined in the separate Making rates and charges report.

Tura Library

Council resolved on 24 May 2023 to lodge the development application for the redevelopment of the ground floor at Tura Beach library and, pending approval of the DA, seek expressions of interest (EOI) from organisations and/or businesses who may be interested in leasing the spaces prior to any redevelopment commencing. Based on the current timeframes associated with development applications, as well as the time it would take to run an EOI process, it is recommended that the general fund allocation of $290,803 be removed from the 2023-24 Budget. The buildings reserve amount will be retained for maintenance of the existing library as required by the asset management plan. Pending the outcome of the EOI process, a report will be provided to Council to consider next steps, including whether any funding is allocated to the project in future to enable grant funding to be sought.

External Submissions

Four (4) external submissions were received during the exhibition period related to the Delivery Program and Operational Plan. The full submissions and council officer responses are included at Attachment 2.

Long Term Financial Plan and Strategic Asset Management Plan

Council’s Long Term Financial Plan (LTFP) has been reviewed as a result of the SRV determination and adjustments since it was last adopted in February 2023. The LTFP is now modelling 3 options.

Option A- Financial Sustainability- remains the staff recommended position as it would allow Council to meet current and future asset management and operational needs and financial sustainability ratios. This option, recommending the need for a 90% increase in rates, was not pursued in the SRV application to IPART. It is important to continue to demonstrate the gap in revenue that we are facing despite the recent approval of the two-year SRV. Without further significant asset renewal intervention, the quality of assets (and the services they support) will continue to decline across key service areas of Council. Option B- Asset Renewals and Services SRV- models the approved SRV which prioritises catching up on our infrastructure backlog in 2023-24 and 2024-25 and then reducing our capital program below recommended levels. Option C- Rate peg- demonstrates the financial impact of maintaining increases inline with the assumed rate peg.

A review of the Strategic Asset Management Plan 2022-25 and the Asset Management Plan summaries that forms part of the Resourcing Strategy has also been undertaken. The plans have been updated to reflect the approved SRV, recent asset revaluation work undertaken and gross replacement costs revised to reflect the FY22 Audited Financials.

Community Project Proposals

Council is ultimately responsible for all works and assets located on Council managed land. BVSC responsibilities include compliance, maintenance, safety and ongoing asset management and depreciation. Regardless of the project size, all works proposed for BVSC managed land need to be considered in the context of available funding, provision levels, risk management, required approvals, maintenance and renewal costs. It is also important to consider if the proposed projects can add value to other planned Council works.

It is understood that many projects initially seem to have merit and high levels of interest from the applicant. Council must do an assessment of resourcing, costs, ongoing asset management and levels of use before they are recommended by Council officers to be prioritised by Council.

There are thirteen (13) major Community Project Proposals (CPP) reported for Council’s consideration when adopting this year’s Operational Plan. Major CPP’s are projects that are complex, create a new asset, result in changed use or amenity, require resourcing and support from Council, contain barriers for delivery such as specific approvals (REF, AHIPS, permits, native title etc) or that will result in notable additional ongoing operations, maintenance and depreciation costs. The proposals are available on the Councillor portal for Councillor’s information and review. Attachment 6 to this report is a summary sheet of the proposals and staff assessment. Staff recommendations are provided for Council’s consideration.

CPPs received are reviewed and assessed by Council officers including comments and recommendations. The assessment includes comments and recommendations, and provides a rating against the following project criteria:

• Asset Renewal. Is it renewing an existing asset or an upgrade? Is the work linking to a required renewal from asset register?

• Provision/Use/Value. Is the project relevant to current community needs? Will the facilities be well used? Will the community be getting good value? Is the opportunity cost to other projects and groups fair and acceptable?

• Links to other plans and works. Are the works linked to adopted Strategic Plans, Facility Management Plans or asset renewals or planned maintenance programs?

• Project Scale. How large is the project?

• Project Complexity. Will the project require Environmental and Heritage approvals? Cultural Heritage approvals? Crown Land approvals? Council development application approval?

• Requested BVSC Funding. Are funds requested from Council? Are related funds allocated in budgets for asset renewals or maintenance? Is there good value in the funding level requested?

• Likely BVSC Involvement. What level of project assistance is required? Noting other planned and programmed works what staff capacity is available? Is direction required in the approvals processes?

• Ongoing Operations. What will be the cost to Council to maintain the asset over its lifecycle?

Some recent examples of major projects that have developed from the community project proposal process include Tathra ½ court basketball court, Cobargo multi use court, Merimbula basketball/netball courts upgrade, Dickinson Oval cricket nets, Evans Park (Kalaru) amenity block and playground, resurfacing of Bega tennis courts, and picnic shelters at Myrtle Cove Wonboyn.

Noting that Council does have responsibility for works undertaken on Council managed land but does not have dedicated staff to assist in the delivery of Community projects there is potential for Community projects to impact on delivery of other works directed by Council in the annual operational plan. This is the reason major Community project projects are reported to Council annually in conjunction with development of Council’s annual operational plan. This enables Councillors to be aware of what projects have been proposed, potential issues to be managed and to consider the resource requirements of proposed major projects in conjunction with other planned and programmed works.

In addition, there have been a further thirteen ‘minor’ CPP’s assessed under staff delegation. These fundamentally relate to simple projects to renew or minor improvements to existing assets. Example projects include score board replacement (Bega George Brown Oval), hall stage renovation (Wolumla) and formalising works by Far South Coast Landcare on Council managed sites.

Options

Council has a range of options when considering the recommendations included in this report. This includes adopting the documents as attached or amending the documents by resolution.

Council is legislatively required to have its Operational Plan and budget adopted by 30 June each year.

Community and Stakeholder Engagement

The Delivery Program 2022-25 and Operational Plan 2023-24 were placed on public exhibition from Wednesday 19 April – 17 May 2023.

Engagement undertaken

The primary point of access to view the documents was through Council’s website. Hard copies of the documents were also made available at all of Council’s libraries.

A number of social media posts on Council’s Facebook page were shared to encourage the community to provide feedback. Information was also included in Council News produced during the exhibition period.

A media briefing was held once the IPR documents were placed on public exhibition. This resulted in media coverage discussing Council’s financial position along with encouraging the community to be engaged in the feedback process.

Engagement planned

The Delivery Program 2022-25 and Operational Plan 2023-24, Long Term Financial Plan 2023-32- June 2023 Update and Strategic Asset Management Plan 2022-25- June 2023 Update, once adopted, will be published on Council’s website.

Financial and Resource Considerations

The draft Operational Plan includes a 2023-24 budget summary which provides an overview of the total estimated income and expenditure for each of Council’s General, Waste, Water, and Sewer Funds as well as a breakdown of expenditure by Council service areas.

The focus in developing the LTFP and annual budgets is to ensure long term financial sustainability while ensuring the continued delivery of a broad range of services and capital works informed by Council’s underlying strategies.

The General Fund forecasts an operating deficit before capital grants and contributions. This will be partly balanced by positive operating results before capital contributions in the Sewer, and Waste Funds. Further work needs to be undertaken to reduce Council’s operating deficits, particularly in the general fund.

The use of cash and level of unrestricted cash reserves are closely managed to ensure Council remains in a strong position to meet its obligations when they fall due.

Legal /Policy

Section 404 of the Local Government Act 1993 requires Council to have a Delivery Program to implement the strategies established in its Community Strategic Plan, within the resources available as identified under the Resourcing Strategy.

Section 405 of the Local Government Act 1993 requires Council to adopt an Operational Plan before the beginning of each financial year which details the activities to be engaged in by the Council during the year as part of the Delivery Program. The Operational Plan must include a statement of the Council’s revenue policy for the year covered by the Plan. The revenue policy must include the statements and particulars required by legislation.

The Office of Local Government’s Integrated Planning and Reporting Guidelines and Handbook are comprehensive tools which have been used in the revision of this suite of IP&R documents.

Under the Local Government Act 1993, Council is required to develop and publicly exhibit documents in the Integrated Planning and Reporting Framework for a period of 28 days and consider submissions made prior to adoption.

The Delivery Program and Operational Plan draws on and implements actions contained in adopted Council policy documents.

Impacts on Strategic/Operational/Asset Management Plan/Risk

Strategic Alignment

The documents once exhibited and adopted guide the Council’s operations under the Integrated Planning and Reporting Framework.

This report aligns with the following 2022-25 Delivery Program and operational activities:

CSP Theme Our civic leadership – Local leadership is strong, consultative and responsive to our community’s needs.

CSP Strategy E.8 - Council has a governance framework that promotes and guides accountability and transparency.

Delivery Program E.8.1 – Develop and implement good governance systems.

CSP Strategy E.1 – Lead, govern and regulate in an ethical, equitable, transparent and accountable way.

Delivery Program E.1.1 – Conduct day to day management of Council and support Councillors to undertake their role

Environment and Climate Change

Several of the Operational Plan projects listed support the implementation of Council’s adopted Climate Resilience Strategy.

Economic

As one of the Bega Valley Shire’s largest employers and consumers of a range of services, Council has a significant role to play in the local economy. It is acknowledged that adjustments in Council’s annual operating budgets has flow on effects to the local economy and this is considered as part of the budget development process.

The budget for next financial year continues to see investment in resources that support our local economy as an employer, service provider and as a buyer of local works and services.

Risk

Council is required to plan for its future and manage its financial stability. Financial stability is defined in terms of Council's ability to facilitate and enhance economic processes, manage risks, and absorb shocks. Moreover, financial stability is considered a continuum: changeable over time and consistent with multiple combinations of the constituent elements of finance. The annual IPR and budget development process helps to provide transparency and accountability into the financial management and forward planning of Council.

Social / Cultural

The Operational Plan will have future social and cultural implications. The Operational Plan and budget for next financial year will impact Council officers and the community as we seek to improve our financial sustainability in the long-term. Adopted budgets are monitored throughout the year and any adjustments identified are requested through the Quarterly Budget Review process.

Council is aware that an increase in rates through the approved SRV may cause undue hardship for ratepayers who have been financially impacted by the bushfires and pandemic. To that end Council has a Financial Hardship Procedure where rates relief, deferrals and payment arrangements can be applied for.

Attachments

1 ⇩. Attachment 1- IPART SRV Approval and Instrument Combined

2 ⇩. Attachment 2- Submissions Summary_IPR_June2023.pdf

3 ⇩. Attachment 3- 2023-24 Delivery Program Operational Plan FOR ADOPTION

4 ⇩. Attachment 4- Long Term Financial Plan 2023-32_ June 2023 Update_ FOR ADOPTION

5 ⇩. Attachment 5- Strategic Asset Management Plan_June2023 Update including AMP Summaries

6 ⇩. Attachment 6- Community Project Proposal Assessment Summary 2023

Council	28 June 2023
*Item 10.1 - Attachment 3*	Attachment 3- 2023-24 Delivery Program Operational Plan FOR ADOPTION

PDF Creator

Council 28 June 2023

Item 10.2

10.2. Making of rates and charges for 2023-24

The Draft Bega Valley Shire Delivery Program 2022-25 and Operational Plan 2023-24 including the Revenue Policy outlining the annual rates and charges for the 2023-24 financial year have been publicly exhibited in accordance with the legislative requirements of the Local Government Act 1993 and are now presented and recommended for adoption.

Director Business & Governance

Officer’s Recommendation

1. Adopt the application of the approved permanent Special Rate Variation of 24% inclusive of the 4.1% rate peg for the 2023-24 financial year effective 1 July 2023 for all properties in the Local Government Area.

2. Adopt the application of the approved permanent Special Rate Variation of 19.6% inclusive of an assumed 2.5% rate peg for the 2024-25 financial year effective 1 July 2024 for all properties in the Local Government Area.

3. That the Revenue Policy (Attachment 1) be adopted as part of the Operational Plan 2023-24 noting the adjustment made to the maximum interest rate on overdue rates and charges as per the Office of Local Government Circular 23-02 provided on 8 May 2023 to 9% and recommended internal adjustments.

4. That the following rates and charges be applied in accordance with Sections 534 and 535 of the Local Government Act 1993,

5. General Rates:

• to make a Base rate of $672.00 on each rateable parcel of land and an ad-valorem rate of 0. 00191673 cents in the dollar on the rateable land value for all properties categorised as “residential” in accordance with Section 516 of the Local Government Act 1993 (the LG Act) and;

• to make a Base rate of $672.00 on each rateable parcel of land and an ad-valorem rate of 0. 00191673 cents in the dollar on the rateable land value for all properties categorised as “farmland” in accordance with Section 515 of the LG Act and;

• to make a Base rate of $672.00 on each rateable parcel of land and an ad-valorem rate of 0. 00514186 cents in the dollar on the rateable land value for all properties categorised as “business” in accordance with Section 518 of the LG Act and;

• to make a Base rate of $0 on each rateable parcel of land and an ad-valorem rate of 0.0 cents in the dollar on the rateable land value for all properties categorised as “mining” in accordance with Section 517 of the LG Act and;

6. Stormwater Charge:

• to make a stormwater charge of $25.00 per annum per single residential dwelling that benefits from Council’s stormwater system whether built or natural in accordance with Section 496A of the LG Act and;

• to make a stormwater charge of $12.50 per annum per residential strata dwelling that benefits from Council’s stormwater system whether built or natural in accordance with Section 496A of the LG Act and;

• to make a stormwater charge of $25.00 per annum per developed commercial property up to 1,200 square metres that benefits from Council’s stormwater system whether built or natural in accordance with Section 496A of the LG Act and;

• to make a stormwater charge of $100.00 per annum per developed commercial property in excess of 1,200 square metres but not exceeding 3,000 square metres that benefits from Council’s stormwater system whether built or natural in accordance with Section 496A of the LG Act and;

• to make a stormwater charge of $200.00 per annum per developed commercial property in excess of 3,000 square metres that benefits from Council’s stormwater system whether built or natural in accordance with Section 496A of the LG Act and;

• to make a minimum stormwater charge of $5.00 per annum per developed commercial strata property that benefits from Council’s stormwater system whether built or natural in accordance with Section 496A of the LG Act.

7. Waste and Recycling Collection Charge:

• in accordance with Section 496 and 501 of the Local Government Act 1993, that Council make waste management charges for 2023-24, noting the below internal submission adjustment be included:

Function	Charge	Description	Value $	Information
Waste Management	s. 501	Residential Waste Management	309	Mandatory charge per residential-rated (non-rural) assessment (excl vacant land).
	s.501	Rural Waste Management	146	Mandatory charge per rural-rated assessment (excl vacant land).
	s. 501	Commercial Waste Management	332	Mandatory charge per commercial-rated assessment (excl vacant land).
	s.501	Waste Service Availability Charge	99	Mandatory charge per assessment for land where waste collection service is available but no service is provided.
	s.501	Waste Contamination charge	225	Charge applied in accordance with contamination procedure.
Landfill	Weekly
	s. 496	Residential Landfill 80L	145	Subject to assessment of need.
	s. 496	Residential Landfill 140L	193	Subject to assessment of need.
	s. 496	Residential Landfill 240L	260	Subject to assessment of need.
	s. 496	Rural Landfill 80L	201	Mandatory minimum for rural.
	s. 496	Rural Landfill 140L	259	Standard service offering.
	s. 496	Rural Landfill 140L (Bin Bank)	259	Mandatory minimum for bin bank customers.
	s. 496	Rural Landfill 240L	329
	s. 501	Commercial Landfill 80L	145	Mandatory minimum for commercial.
	s. 501	Commercial Landfill 140L	193
	s. 501	Commercial Landfill 240L	260	Standard service offering.
	s. 501	Commercial Landfill 660L	691
	Fortnightly
	s. 496	Residential Landfill 80L	76	Mandatory minimum for residential.
	s. 496	Residential Landfill 140L	105	Standard service offering.
	s. 496	Residential Landfill 240L	139
Recycling	Weekly
	s. 501	Commercial Recycling 80L	55	Mandatory minimum for commercial.
	s. 501	Commercial Recycling 140L	83
	s. 501	Commercial Recycling 240L	120	Standard service offering.
	s. 501	Commercial Recycling 360L	151
	s. 501	Commercial Recycling 660L	691
	Fortnightly
	s. 496	Residential Recycling 80L	52	Mandatory minimum for residential.
	s. 496	Residential Recycling 140L	56
	s. 496	Residential Recycling 240L	59	Standard service offering.
	s. 496	Residential Recycling 360L	82
	s. 496	Rural Recycling 80L	96	Mandatory minimum for rural.
	s. 496	Rural Recycling 140L	108
	s. 496	Rural Recycling 240L	117	Standard service offering.
	s. 496	Rural Recycling 240L (Bin Bank)	117	Mandatory minimum for bin bank customers.
	s. 496	Rural Recycling 360L	139
Food and Garden Organics	Weekly
	s. 496	Residential FOGO 80L	101	Mandatory minimum for residential.
	s. 496	Residential FOGO 140L	104
	s. 496	Residential FOGO 240L	109	Standard service offering.
	s. 496	Rural FOGO 80L	120	Optional. Only supplied where truck already passes collection point.
	s. 496	Rural FOGO 140L	125	Optional. Only supplied where truck already passes collection point.
	s. 496	Rural FOGO 240L	129	Optional. Only supplied where truck already passes collection point.
	s. 501	Commercial FOGO 80L	101
	s. 501	Commercial FOGO 140L	104
	s. 501	Commercial FOGO 240L	109	Standard service offering.
	s. 501	Commercial FOGO 140L second weekly service	104	Optional. Only supplied where truck already passes collection point.
	s. 501	Commercial FOGO 240L second weekly service	109	Optional. Only supplied where truck already passes collection point.

8. Water supply services charges:

· to make a water access base charge for all properties except non-rateable community with a 20mm water connection of $280 per connection and a water usage charge of $3.53 per kilolitre in accordance with Sections 501 and 502 of the LG Act.

· to make a water access base charge for non-rateable community properties of $280 per assessment and a water usage charge of $3.53 per kilolitre in accordance with Sections 501 and 502 of the LG Act.

· to make a water access base charge for all Strata properties with a 20mm water connection of $280 in accordance with Sections 501 and 502 of the LG Act.

· to make a water access charge for all properties with larger water connections based on increments of the base charge as per Council’s adopted operational plan.

· to make a water access charge of $280 for all properties that are unconnected to a water supply system and able to connect.

· to make an allocation of water free of charge as per Council’s water and sewer billing, metering, and reductions procedure for all registered patients using home dialysis machines or other certified medical treatments, subject to a medical certificate from the Southern NSW Local Health District.

· To make properties with an approved dedicated fire service have no water access charges applied. If metered water usage occurs outside of emergency use, this exemption will be forfeited.

9. Sewerage Services Charges

For all residential properties categorised as residential or farmland in accordance with Sections 515 and 516 of the LG Act, including each residential strata lot and each residential dwelling on a multi-dwelling lot:

· to make a uniform residential sewerage charge of $1,417 for all properties except non rateable community connected to a sewerage system.

· to make a uniform non-rateable community sewerage charge of $1,417 for non-rateable community properties connected to a sewerage system.

· to make a uniform residential sewerage charge of $709 for all properties that are unconnected to a sewerage system and able to connect.

For all non-residential properties categorised as business or mining in accordance with Sections 517 and 518, including strata and non-strata developments:

· to make a uniform non-residential sewerage access base charge of $1,417 for all properties with a 20mm water connection that are connected to a sewerage system

· to make a uniform non-residential sewerage access base charge of $709 for all properties that are unconnected to a sewerage system and able to connect

· to make a non-residential sewerage access charge for all properties with larger water connections based on increments of the base charge

· to make non-residential sewerage bills based on multiplying a sewer discharge factor by both the non-residential sewerage access charge and by water usage multiplied by a water usage charge of $5.12 per kilolitre

· to make sewer discharge factors based on guidance material provided by the NSW Government

· to make changes to Sewer Discharge Factors in individual circumstances based on an assessment of water usage and discharge locations.

10. Liquid Trade Waste Charges

· to make Liquid Trade Waste (LTW) charges pursuant to Section 501 of the LG Act

· to make bills for Category 1 dischargers requiring nil or minimum pre-treatment as an annual fee.

· to make bills for Category 2 dischargers with prescribed pre-treatment as an annual fee plus the volume of LTW discharged multiplied by $2.11 a kilolitre.

· to make bills for Category 2S dischargers that transport and discharge human waste, or discharge from ship-to-shore pump-out facilities or dump-points, as an annual fee plus the volume of LTW discharged multiplied by $19.06 a kilolitre.

· to make bills for Category 3 large and industrial dischargers an annual fee plus excess mass charges.

· to make estimations of the volume of LTW discharged by multiplying water usage by LTW discharge factors based on guidance material provided by the NSW Government.

11. High Usage Charge:

· to make a process for non-residential developers to reduce their upfront costs related to Section 64 developer contributions through paying high usage charges for water used over Equivalent Tenement (ET) credit volumes established for the development.

· to make a process for non-residential developers to reduce their upfront costs related to Section 64 developer contributions through paying high usage charges for sewage discharged over credit volumes thresholds measured in kilolitres established for each customer.

· to make 1 ET for water 205 kL/y and 1 ET for sewer 190 kL/y of metered water use, based on the average annual household water usage and average annual household contribution to a sewerage system.

· to make the High Usage Charge for water $2.47/kL and $3.71/kL for sewer

· to make bills for non-residential customers by adding the high usage charge to the base charge and applying the higher charge rates to volumes used/discharged over established credit volumes within the charging formulas for non-residential water and sewer usage.

12. On-site sewer management

• Council will charge a single annual amount for all existing On-Site Sewer Management.

· Low risk (10 year cycle) $42.00

· High risk (3 year cycle) $75.00

· Critical risk (1 year cycle) $168.00

13. Pension Claim:

In accordance with Section 575 of the LG Act, Council acknowledges it must apply the following Pension concessions to eligible properties, being owned and used as principal places of residence by eligible pension holders.

· General Rates and Domestic Waste Services: $250.00

· Water Supply Fund: $87.50

· Sewerage Supply Fund: $87.50

14. Interest on Overdue Rates and Charges:

Council hereby resolves that in accordance with the provisions of Section 566(3) of the LG Act the interest rate to apply to all outstanding rates and charges for the period 1 July 2023 to 30 June 2024 be calculated at 9% noting this is an adjustment from the exhibited rate.

Executive Summary

The making of the rates and annual charges is a legislative requirement under sections 494 and 535 and related sections of the Local Government Act 1993.

The exhibited Operational Plan 2023-24 included Council’s annual Revenue Policy for 2023-2024 detailing the proposed rates and charges for the 2023-24 financial year.

From 1 July 2023 it is recommended Council introduce the approved special rate variation for the Bega Valley Shire Council Local Government Area. IPART approved a new and permanent Special Rate Variation across two years of 24% (inclusive of the 4.1% rate peg) for 2023-24 and 19.5% (inclusive of assumed 2.5% rate peg) for 2024-25.

Background

In making the rates and annual charges for 2023-24 Council is required to apply the NSW Valuer General’s land values as of 1 July 2022.

Council has been provided with written submissions that were made concerning the Operational Plan 2023-24, including the Revenue Policy.

There was one external submission regarding the Revenue Policy and two internal staff submissions.

Submissions

Internal submission

There were two internal submissions related to the Revenue Policy. The first that highlighted the variance in modelling that had been conducted internally on waste charges related to 80L residential red bins. The draft Revenue Policy exhibited displayed lower amounts and it is recommended this be corrected. The following table outlines the changes requested.

LANDFILL- Fortnightly
TYPE	Exhibited Amount $	Recommended for Adoption $
Residential Landfill 80L	73	76	Mandatory minimum for residential.
Residential Landfill 140L	101	105	Standard service offering.
Residential Landfill 240L	134	139

The second internal submission was the inclusion in the Revenue Policy of wording to support a Council resolution from the November 2022 Council meeting that Council create new flat rate water and sewer access charge categories for non-rateable community organisations that is the same as what it would be for a non-residential 20mm connection with a 95% discharge factor. Details of these new charges were not included in the Revenue Policy placed on exhibition.

External submission

An external submission was provided by Patricia Raymond regarding the proposed increases in water and sewer charges.

Item

Page/s in draft Revenue Policy

Issue/s

Staff Recommendation

Pg 142, Pg 143

Increase in Water and Sewer charges

Council annually determines the rate of increase for waste, water and sewer charges in our Revenue Policy. Our sewer charges reflect the costs associated with maintaining a vast sewer network across our shire. We operate ten sewerage systems that provide sewerage services to eighteen towns, villages and localities within this area with over 452km of sewage mains. Last year Council adopted a Water and Sewer Strategy with a key goal to reduce sewer bills by 2030.

We have a significant capital works program underway in water and sewer (approx. $20mil annually) including a new water treatment plant for the Bega and Tathra supply and another water treatment plant to be constructed in Yellow Pinch that will supply Merimbula, Eden and surrounds. We also have many upgrades required at our sewer facilities, including sewer treatment plant upgrades at Bega, Bermagui and Merimbula as well as the Ocean Outfall which is a requirement from the EPA.

Based on escalating construction costs (11.2% to Dec 2022) water and sewer charges are proposed to increase by 7.5% based on the February 2023 CPI figures to attempt to keep pace with cost increases in the materials and labour required to deliver these new or improved assets. The new water and sewer depot and offices located at Boundary Road were predominantly grant funded, with some contribution provided from the water and sewer fund to cover cost escalations.

Rates

Council’s application for a Special Rate Variation (SRV) was approved by IPART in June 2023. This permits Council to increase rates by 24% inclusive of a 4.1% rate peg in 2023-24 providing additional revenue of $6,895,914 in 2023-24. The SRV approval also permits a 19.5% increase in rates in 2024-25 inclusive of an assumed 2.5% rate peg.

Below is the rating model for 2023-24 that was exhibited in the Revenue Policy. In accordance with Sections 493, 494 and 537 of the Local Government Act 1993, it is recommended Council makes the below ordinary rates for 2023-24:

Category	Base Rate $	Ad-valorem Amount ¢ in dollar	Base rate %	Number of Assessments	Rate Yield $	Rate Yield %
Residential	672	0.00191673	45	18,714	$27,843,778	84
Farmland	672	0.00191673	22	783	$2,334,784	7
Business	672	0.00514186	19	878	$3,120,880	9
Mining	0	0	0	0	0	0
			TOTAL	20,375	$33,299,442	100

Interest Charges on Overdue Rates and Charges

The NSW Office of Local Government issued a Circular to Councils No 23-02 on 8 May 2023 during the public exhibition period. The Circular determined, in accordance with section 566 of the Local Government Act 1993, the maximum rate of interest payable on overdue rates and charges for the period 1 July 2023 to 30 June 2024 will be 9.0% per annum. This is an increase on the amount that was included in the draft Revenue Policy (6%) which was retained as the OLG had not yet issued its annual circular prior to exhibition. It is recommended that Council continues to adopt the maximum allowable amount.

Transfer of Rates

Commencing 1 July 2021, Council now undertake rating on a pro-rata basis when a registration of a subdivision Deposited Plan (DP) or Strata Plan (SP) is received. By raising pro-rata rates and charges, commencing from the next quarter (1 October, 1 January, 1 April or 1 July) after the DP/SP registration date, we ensure the appropriate rates and charges are applied to each property.

Options

Council has a range of options when considering the recommendations included in this report. Delaying the adoption of the Revenue Policy will have future impacts.

Council is legislatively required to have its Operational Plan, budget and Revenue Policy adopted by 30 June each year.

Community and Stakeholder Engagement

Engagement undertaken

The draft Delivery Program 2022-25, Operational Plan 2023-24 including the Revenue Policy and, draft Fees and Charges 2023-24 were placed on public exhibition from Wednesday 19 April 2023 to Wednesday 17 May 2023.

The primary point of access to view the documents was through Council’s website. Hard copies of the documents were made available at all of Council’s libraries. Social media posts on Council’s Facebook page were shared to encourage the community to provide feedback. Information was also included in Council News produced during the exhibition period.

A media briefing was held closely after the IPR documents went on public exhibition. This resulted in media coverage discussing Council’s financial position along with encouraging the community to be engaged in the feedback process.

Engagement planned

The Revised Delivery Program 2022-25 and Operational Plan 2023-24 including the Revenue Policy once adopted, will be published on Council’s website.

Financial and Resource Considerations

The rates and charges set out in the Revenue Policy are designed to provide the net source of funds after allowing for loans, contributions and government grants for the programs and initiatives identified in the 2023-24 Operational Plan.

Council’s rates and charges are reviewed on an annual basis prior to finalisation of Council’s annual operating budget. In general, Council follows a cost-recovery philosophy towards the provision of services.

Council’s pricing will:

• explore cost recovery opportunities

• pursue value for money by providing effective and efficient service

• balance rates and grants against other funding sources

• manage financial risk in a volatile climate

• ensure that debt financing is limited to works of a capital nature and that the total debt is limited to ensure long-term financial stability

• be structured so that it can be administered simply and cheaply and be understood by the public

• consider real life-cycle and environmental costs

• consider that the price applied can encourage or discourage consumer use and behaviours.

Legal /Policy

The making of the rates and annual charges is a legislative requirement under sections 494 and 535 and related sections of the Local Government Act 1993. In accordance with the NSW Local Government Act 1993 (the Act), Council will adopt four categories of ordinary rates, being Farmland, Residential, Business and Mining. Annual charges for waste management, water supply and access, sewer access, liquid trade waste, on-site sewer management and Stormwater Charges will be levied on the Rates Notice.

Under the Local Government Act 1993, Council is required to develop and publicly exhibit documents in the IPR framework for a period of 28 days and consider submissions made to the Operational Plan including the revenue policy prior to adoption.

Impacts on Strategic/Operational/Asset Management Plan/Risk

Strategic Alignment

The Revenue Policy, once adopted, details Council’s revenue operations and allows rates and charges to be levied as advertised.

The Revenue Policy is a key element of the annual Operational Plan that is developed under the Integrated Planning and Reporting Framework.

Environment and Climate Change

Council’s charging philosophy outlined in the Revenue Policy considers asset life-cycle and environmental costs. Several of the charges outlined in the Revenue Policy relate to the provision of water, sewer and waste services which are fundamentally connected to the provision of a clean and sustainable community.

Economic

It is acknowledged that adjustments in Council’s annual rates and charges have flow on affects to the local community. This is considered in the process of setting the rates and charges each year.

Council follows a cost-recovery philosophy towards the provision of services. It acknowledges people’s capacity to pay and balances the expectation that some services are cross subsidised from rates for the common good of the community.

Risk

Council is required to plan and manage financial stability into the future. Financial stability is defined in terms of Council's ability to facilitate and enhance economic processes, manage risks, and absorb shocks. Moreover, financial stability is considered a continuum: changeable over time and consistent with multiple combinations of the constituent elements of finance.

The annual IPR and budget development process helps to provide transparency and accountability into the financial management and forward planning of Council in a way that mitigates strategic and operational risks.

Social / Cultural

As Council continues to invest in the Bega Valley Shire community, the Operational Plan including the Revenue Policy has future social and cultural impacts.

As Council seeks to continue being financially sustainable in the long-term, a more detailed review of revenue sources will be required.

Attachments

1 ⇩. 2023-24 Revenue Policy For Adoption

Council 28 June 2023

Item 10.3

10.3. Adoption of Fees and Charges 2023-24

The draft 2023-24 Fees and Charges have been publicly exhibited in accordance with requirements of the Local Government Act 1993 and are recommended for adoption.

Director Business & Governance

Officer’s Recommendation

That Council:

1. Makes each fee and charge for 2023-24 in accordance with the exhibited draft fees and charges subject to the changes outlined in Attachment 1.

2. Receive and note the submission received during the public exhibition period for the draft Fees and Charges 2023-24 included at Attachment 1 and Council officers advise the respondent of Council’s decision.

3. Adopt Attachment 2 as the fees and charges for 2023-24 commencing 1 July 2023.

Executive Summary

In accordance with Section 608 of the Local Government Act 1993, Council is required to adopt the Fees and Changes for 2023-24 that will commence from 1 July 2023. It is estimated that the fees and charges will be approximately 13% of Council’s revenue for 2023-24 with an estimated $20.922 million generated.

Submissions

There was 1 external submission relating to the exhibited Fees and Charges 2023-24 from Wanderer Festival. Several internal amendments to the draft Fees and Charges are proposed related to the Office of Local Government circular provided on 8 May 2023 during the public exhibition period. The external submission and internal amendments along with staff recommendations are included at Attachment 1.

Attachment 2 is the revised Fees and Charges document for 2023-24 recommended for adoption and incorporates the above recommended amendments.

Background

Council determines fees and charges for a range of services such as: planning and building; library; children’s services; and facility usage. The fees and charges proposed for these services and facilities for the 2023-24 year are detailed in the Fees and Charges document and are aligned to Council’s pricing policy outlined on Page 4 of the document.

Options

It is recommended that Council adopt the Fees and Charges 2023-24, with the amendments outlined in Attachment 1. Council can choose to further review and amend the draft Fees and Charges prior to adoption noting that any delays after 1 July 2023 would result in Council not meeting its obligations under the Local Government Act. Council is able to add or change fees or charges at any time following the required public exhibition and reporting process.

Community and Stakeholder Engagement

Engagement undertaken

At its meeting on Wednesday 19 April 2023, Council resolved to place the Draft 2023-24 Fees and Charges, along with a suite of other integrated planning documents, on public exhibition for 28 days in accordance with Section 404 and 405 of the Local Government Act 1993. The exhibition took place between Wednesday 19 April 2023 and Wednesday 17 May 2023.

The primary point of access to view the draft Fees and Charges was through Council’s website. Social media posts on Council’s Facebook page were shared to encourage the community to provide feedback. Information was also included in Council News produced during the exhibition period.

Engagement planned

Once adopted, the Fees and Charges 2023-24 will be published and available on Council’s website.

Financial and Resource Considerations

The Fees and Charges 2023-24 applied for the use of Council facilities and provision of Council services contribute approximately 13% of Council’s revenue for 2023-24. An estimated $20.922 million in revenue is budgeted for in 2023-24.

Legal /Policy

Impacts on Strategic/Operational/Asset Management Plan/Risk

Strategic Alignment

Fees and Charges are a statutory requirement and ensure revenue is obtained for the services Council provides. Fees and charges are collected and used to meet the needs of the community outlined in our Community Strategic Plan.

Environment and Climate Change

Fees and Charges revenue helps support the delivery of a range of initiatives outlined in the Climate Resilience Strategy. The income we receive through Fees and Charges helps us plan to meet the needs of the community and the environment we live in now and into the future.

Economic

In accordance with Section 608 of the Local Government Act 1993 and other relevant legislation, Council is authorised to charge and recover approved fees and charges for any service it provides.

The fees and charges are generally intended to be imposed on the following services provided by Council:

· Supply of a product, service or commodity

· Provision of information

· Provision of a service in connection with the exercise of the Council’s regulatory functions, including receiving an application for approval, granting an approval, making an inspection and issuing a certificate

· Admission to any building or enclosure

· Use or benefit from Council’s assets and possessions

Risk

The financial risk to Council by not applying adequate and equitable Fees and Charges is significant. A detailed review of Council’s Fees and Charges was undertaken in developing the draft Fees and Charges this year to ensure this risk is minimised.

Social / Cultural

Council’s approach when determining the amount of fees to be charged for goods and services considers the following factors:

· The cost of providing the service

· The importance of the service to the community

· Prices fixed by relevant industry bodies

· Any factors specified in Local Government regulations

· User pays principle with full or partial cost recovery

· Equity factors

· Financial, customer and resource use objectives

· Impact of taxation (for example, GST)

· Market pricing

In cases where a fee and/or charge is determined by legislation or other regulatory bodies, Council’s policy is to determine an amount consistent with any fee or charge determined.

Attachments

1 ⇩. Attachment 1 | Fees Charges Submissions Summary June 2023

2 ⇩. Attachment 2 | 2023- 24 Fees and Charges For Adoption

Council 28 June 2023

Item 10.4

10.4. Informing Plans and Strategies

Council has numerous adopted plans and strategies, with several currently under review or in development. This report provides an overview of those documents and recommended improvements in progress reporting.

Director Business & Governance

Officer’s Recommendation

That Council:

1. Receive and note the report.

2. Adopt the recommended improvements to provide annual progress updates on the Affordable Housing Strategy, Climate Resilience Strategy, Clean Energy Plan, Local Strategic Planning Statement and Disability Inclusion Action Plan as part of the Annual Report.

3. Adopt the recommended improvements to provide internal progress reporting through a series of staff and Councillor workshops on the Strategic Asset Management Plan 2022-25 (Resourcing Strategy), Digital Strategy 2022-25 (Resourcing Strategy), Workforce Strategy 2022-25 (Resourcing Strategy), Water and Sewer Strategy 2022-25, Bega Valley Waste Strategy 2018-2028, Investment Prospectus, Economic Development Roadmap, Merimbula and Back Lake Floodplain Risk Management Study and Plan, Bega and Brogo Rivers Floodplain Risk Management Study and Plan, Bega Valley Shire Council Library Services Strategic Plan, Cemetery Plan 2020-2030, Local Weed Management Plan, Bega Valley Shire Rural Residential Land Strategy, Bega Valley Shire Commercial Land Strategy, Bega Valley Shire Residential Land Strategy and the Developer Contributions Plan + Appendices.

Executive Summary

Council has an extensive suite of adopted plans and strategies, with several currently under review or in development. Progress reporting on the implementation of the various plans and strategies is variable and this report recommends a range of improvements.

Background

Council has over 65 adopted plans and strategies with 19 currently under review or in development, these have been detailed in attachment 1. There are a vast number of commitments and actions included in these documents. As with many plans and strategies, at all levels of government, they receive intense focus and scrutiny at the time of drafting, community engagement and adoption, with ongoing attention waning as other priorities arise and need addressing.

Under our Integrated Planning and Reporting framework ‘Other Council Strategies and Plans’ inform our Delivery Program and annual Operational Plans. With numerous competing and evolving priorities along with significant financial constraints it is not possible for Council to always deliver upon all the plans and strategies concurrently. Ongoing prioritisation is undertaken and the intent of these proposed improvements is to consistently revisit many of our existing plans and strategies to determine what has been delivered, what can be delivered in the next financial year and what is no longer needed or relevant.

To improve accountability in the implementation of plans and strategies that require a cross-organisational effort to deliver it is recommended that annual progress updates in Council’s Annual Report be provided for the following documents:

· Affordable Housing Strategy

· Disability Inclusion Action Plan (already legislated to do so)

· Local Strategic Planning Statement

· Climate Resilience Strategy + Clean Energy Plan

It is also recommended that in November each year, prior to commencing the next round of Integrated Planning and Reporting (IPR), that internal progress reporting on the below plans and strategies be undertaken through a series of staff and Councillor workshops.

· Strategic Asset Management Plan 2022-25 (Resourcing Strategy)

· Digital Strategy 2022-25 (Resourcing Strategy)

· Workforce Strategy 2022-25 (Resourcing Strategy)

· Water and Sewer Strategy 2022-25

· Bega Valley Waste Strategy 2018-2028

· Investment Prospectus

· Economic Development Roadmap

· Merimbula and Back Lake Floodplain Risk Management Study and Plan

· Bega and Brogo Rivers Floodplain Risk Management Study and Plan

· Bega Valley Shire Council Library Services Strategic Plan

· Cemetery Plan 2020-2030

· Local Weed Management Plan

· Bega Valley Shire Rural Residential Land Strategy

· Bega Valley Shire Commercial Land Strategy

· Bega Valley Shire Residential Land Strategy

· Developer Contributions Plan + Appendices (Bi annual)

All other plans and strategies not outlined above and included in Attachment 1 will be reviewed as required by Council officers.

The adopted strategies and plans are available on Council’s website at https://begavalley.nsw.gov.au/council/plans-and-strategies and https://begavalley.nsw.gov.au/services/strategic-reports-and-plans

Options

Council has a range of options in considering this report. The above improvements are recommended as part of enhancing Council’s governance and reporting commitments.

Community and Stakeholder Engagement

Improving accountability to the community and stakeholders on the plans and strategies that Council has adopted is part of the intent of the recommended change in reporting processes.

Engagement undertaken

In most instances the development of plans and strategies would have included some level of community engagement. By improving ongoing progress reporting to the community on the implementation of the plans and strategies it helps to improve Council’s ongoing decision-making, prioritisation and transparency. By closing-the-loop and providing publicly available updates it keeps both Council and the community accountable to the existing commitments of the organisation and better supports the balance of making additional commitments that redirect council away from the agreed priorities.

Engagement planned

It is recommended that the Annual Report include additional information on the progress Council has made in implementing the Affordable Housing Strategy, Disability Inclusion Action Plan, Local Strategic Planning Statement, Climate Resilience Strategy and Clean Energy Plan in the previous financial year. The Annual Report is presented to Council in November each year and once adopted is made available on Councils website.

Financial and Resource Considerations

There are no additional financial implications of these improvements. Existing Council resources will be directed to assist in the review and compilation of progress reporting. In many instances internal reporting on Councils various strategies and plans is already undertaken at some level.

Legal /Policy

Councils’ implementation of the various plans and strategies is informed by numerous legislative requirements.

Under the Local Government Act 1993 Council is required to adhere to the Integrated Planning and Reporting (IPR) framework. This recommendation enhances the value of IPR for Bega Valley Shire Council improving accountability by reporting.

Impacts on Strategic/Operational/Asset Management Plan/Risk

Strategic Alignment

Council has identified an operational action in the 2022-23 Operational Plan to support service reviews and implement an improvement roadmap. The improvements recommended in this report support this action.

CSP STRATEGY: E.3 Councillors, council staff and the community work in partnership to identify and deliver community aspirations

Delivery Program: E3.1 - Support implementation of Council’s strategies and plans and report on progress

Operational Plan: E3.1.3 Support organisation service reviews and implement an improvement road map

Environment and Climate Change

Council has an adopted Climate Resilience Strategy and Clean Energy Plan. The improvements recommended in this report include annual updates on progress of implementing both of these cross-organisational documents.

Economic

As one of the Bega Valley Shire’s largest employers and consumers of a range of services, Council has a significant role to play in the local economy. The commitments that Council makes in its plans and strategies and our capacity to deliver upon those have flow on effects to the local economy.

Risk

There are a range of financial, legal, environmental and reputational risks associated with the Councils capacity to implement the various plans and strategies it has adopted or is developing. Any strategy or plan should be considered a live document that is regularly reviewed and updated as assumptions and inputs change and develop. Implementing a consistent review process will help to ensure that adequate effort is applied to ensuring the documents are as live as possible and reflect the current context.

Social / Cultural

There are numerous social and cultural implications across our suite of adopted plans and strategies. The ever-growing list has evolved over time and there is often no single basis as to why a plan or a strategy was created or why for that matter one is called a plan and another a strategy. The reason for a document’s existence and the nuance in their labels often reflects that point in time where a political decision may have guided its creation- for example, council’s Public Toilets Strategy to manage community concerns around closure and upgrades of public toilets. Or legislation may have guided the naming conventions- the Local Strategic Planning Statement is an example of this where the Department of Planning at the time advised all Councils needed to have a Planning Statement. Other factors may include available grant programs when documents are created and labelled for alignment.

Attachments

1 ⇩. Attachment 1 BVSC Strategies Plans June 2023 Council Report

Council 28 June 2023

Item 10.5

10.5. Expression of Interest (EOI) 2223-087 Tathra Beach Kiosk use and occupation

This report details the results of the Expression of Interest (EOI 2223-087) process recently carried out for the use and occupation of the Tathra Beach Kiosk building.

Director Business & Governance

Officer’s Recommendation

1. That Council receive and note this report and the confidential report attached.

2. That Council note the Expression of Interest process for the use and occupation of the Tathra Beach Kiosk building closed on 29 May 2023.

3. That Council consider the Council officers’ recommendation as detailed in the attached Confidential Report.

4. That Council authorise the Chief Executive Officer and Mayor to enter into negotiations in order to execute the necessary lease documentation to provide tenure to the successful applicant.

5. That Council authorise the Chief Executive Officer and Mayor to enter into negotiations with the second highest scoring applicant, should the successful applicant decide not to accept Council’s conditions, in relation to lease responsibilities.

Executive Summary

As the Tathra Beach Kiosk building is vacant, Council officers carried out an open and transparent Expression of Interest (EOI) process seeking suitable tenants to operate from the Tathra Beach Kiosk building.

This report details the results of the EOI process conducted between 1 May 2023 and 29 May 2023 and seeks Council’s approval to enter into a lease with the successful applicant.

Background

When considering its position on the future use of the Tathra Beach Kiosk building, Council resolved at its Ordinary Meeting of 19 April 2023, as follows:

1. That Council receive and note the report.

2. That a further public Expression of Interest process to re-lease the Tathra Beach Kiosk be progressed and the results of the EOI process be presented back to Council for consideration.

3. That Council note the Chief Executive Officer will execute any necessary documentation regarding the termination of the lease to Bronwyn Pividori.

Following the Resolution of Council, officers progressed a formal EOI process calling for suitable tenants for the use and occupation of the Tathra Beach Kiosk building. The EOI document was available on Council’s e-Tendering portal between 1 May 2023 and 29 May 2023.

A total of three (3) submissions were received and evaluated against set criteria. The assessment was completed by a Tender Evaluation Panel that included representatives from Councils Property and Legal team and Economic Development team.

The information provided by tenderers within their submission is considered ‘commercial in confidence’, therefore they have been provided as confidential attachments to this report for the information of Councillors.

In accordance with clause 70 of the Crown Land Management Regulations 2018 (NSW) Council may grant new leases for a term not exceeding 21 years, if there was a lease in force over the land immediately before the repeal of the Crown Lands Act 1989 (NSW) and there are no permitted uses for the land under the new lease that are additional to those permitted under the previous lease.

Options

The options available to Council are:

1. Accept the recommendation provided by Council officers in the attached Confidential Report and resolve accordingly.

2. Reject the recommendation provided by Council officers in the attached Confidential Report and resolve to provide tenure to an alternate tenderer.

3. Maintain vacant possession of the property for Council purposes. Noting this option will require the identification of funds to undertake necessary planning for the use of the building and ongoing maintenance and operational budgets.

4. Other options raised and resolved by Councillors.

Community and Stakeholder Engagement

Engagement undertaken

Council officers completed an EOI process via public tender between 1 May 2023 and 29 May 2023. The tender was available on Council’s e-Tendering portal and publicly advertised on Council’s website and Facebook page.

Engagement planned

Council officers will liaise with third party applicants who submitted EOI submissions to advise Council’s decision and formalise use/occupation of the premises over the coming weeks.

In accordance with the provisions of section 47 of the Local Government Act 1993 (NSW) (LG Act) if Council proposes to grant tenure, in respect of community land for a period exceeding five years, it must:

• Give public notice of the proposal (including on the Council’s website), and

• Exhibit notice of the proposal on the land to which the proposal relates

• Give notice of the proposal to such persons as appear to it to own or occupy the land adjoining the community land, and

• Give notice of the proposal to any other person, appearing to the Council to be the owner or occupier of land in the vicinity of the community land, if in the opinion of the Council the land the subject of the proposal is likely to form the primary focus of the person’s enjoyment of community land.

Financial and Resource Considerations

A market rental valuation report was obtained from INP Valuers on 20 April 2023 which outlined an annual rental achievable of $45,000 plus GST per annum.

Council’s Management of Leases and Licenses Procedure provides that:

· All lessees shall be responsible for the payment of all outgoings on the property; including (but not limited to): Council rates and charges (if applicable); land tax; water; electricity; gas; telephone; and any other operating costs associated with their respective activities.

This EOI process and ongoing management is a business-as-usual activity, funded through salaries and wages budget. Costs incurred relate to conducting an EOI process and ongoing management of a lease during its term.

Legal /Policy

The Tathra Beach Kiosk lease falls under the provisions of the Retail Leases Act 1994 (NSW).

A lease enables exclusive use over a piece of land or building for a specified term and purpose. A lease is considered the best form of agreement if longer-term security of tenure is an important factor to the user of the land – such as where commercial use is proposed, and major financial outlay is required.

The EOI process meets the following objectives:

• to undertake an open, fair, and transparent process for the issuing of tenure for the use and occupation of the Tathra Beach Kiosk building located within Council Managed Crown Reserve R79310

• to manage the use of Tathra Beach Reserve (R79310) in a way which complies with legislative requirements under the Crown Land Management Act 2016 (NSW) (CLM Act) and/or the LG Act

• to optimise the potential use and financial return from activities conducted on Tathra Beach Reserve (R79310) which is under the direct management of Council.

In accordance with Council’s Management of Leases and Licenses Procedure tenure may be granted by:

• public auction

• public tender

• invitations for expressions of interest

• private treaty.

To ensure the continued use and occupation of the reserve is appropriate for the proposed tenure, the following items have been considered:

• Compliance with the legislation, related policies and guidelines

• Compatibility with the Reserve purpose of Public Recreation

• Native Title rights; and

• Aboriginal land claims.

It is noted that on 2 August 2018 lots 272 and 273 DP 821413 were exercised from Aboriginal Land Claims 42488 and 42623 lodged over Tathra Beach Reserve (R79310).

Impacts on Strategic/Operational/Asset Management Plan/Risk

Strategic Alignment

Delivery Program: 6.12.12- Develop and manage Council’s owned and managed land portfolio.

The EOI submissions received were evaluated based on the following criteria:

RESERVE ACTIVIATION – 30%:

Demonstrates how the activity will generate local economic activity and support for local business. – 10%

Demonstrates how the activity will attract external visitation to the area. – 10%

Demonstrates how the activity will enhance the enjoyment for reserve users. – 10%

BENEFITS TO THE COMMUNITY – 20%:

Demonstrates what the level of community participation will be. – 10%

Demonstrates what other benefits the community will receive from this activity. – 10%

EXPERIENCE & QUALIFICATIONS – 30%:

Demonstrated previous experience in the proposed activity. – 10%

Evidence of appropriate accreditations and/or qualifications supplied. – 10%

References. – 10%

ECONOMIC ACTIVITY – 20%:

Proposed length of tenure. – 10%

Demonstrated capacity to meet all financial obligations associated with running the building for the intended purpose including ability to meet rental payments as outline in Appendix C – 10%

Environment and Climate Change

Tathra Beach is subject to coastal processes and hazards which may impact the kiosk building from time to time as has been the case in past years.

Economic

All the proposals received provide a level of economic activity or benefit to Council and the community, all of which had similar proposed uses. It has been noted that Tathra’s economy is primarily focussed on tourism and not having a key public tourism asset activated, from a visitation perspective on public holidays in peak tourism time, detracts from the overall visitation experience, therefore it is imperative that this is addressed in any new lease issued for the kiosk building.

Risk

There are no adverse risks in allowing the building to be occupied if the use is authorised by way of a formal lease which contains appropriate indemnity and insurance clauses.

Council officers will be required to undertake a Native Title assessment and send notification to NTS Corp regarding a proposed new lease as it may affect Native Title interests in the reserve. When exercising powers provided by the transitional arrangements under the CLM Act, Council Crown Land Managers must obtain written advice from a qualified Native Title Manager that the proposed lease complies with the Native Title Act 1993 (Cth).

Social / Cultural

Tathra Beach Kiosk has been well patronised by both locals and visitors to the shire and is an asset to the reserve and its users dating back to the 1950’s. For this reason, ensuring the ongoing operation of the kiosk is considered imperative.

Attachments

1 ⇩. Council report dated 19 April 2023 - Tathra Beach Kiosk

2 ⇩. Expression of Interest 2223-087 package Tathra Beach Kiosk

3 . Confidential report on EOI 223-087 Tathra Beach Kiosk (Confidential - As this attachment contains information that would, if disclosed, confer a commercial advantage on a person with whom the Council is conducting (or proposes to conduct) business as per Section 10A(2)(c) of the Local Government Act 1993.

Although the above relates more explicitly to the discussion of closed business, it also forms part of the basis of justification as to why information relied upon in informing the public decisions made by Council are kept confidential. To consider this confidential material in open Council would be, on balance, contrary to the public interest (as defined in Section 14 of Government Information Public Access (GIPA) Act 2009) as it would potentially disclose private business information provided by tenderers in a confidential tender process and would also impact Council’s position in relation to its consideration, therefore impacting the tender process. This meets the requirements of Sect 10 D of the Local Government Act 1993 if Council were to close the meeting to discuss the details of individual tenderers.

4 . Submission 1 EOI 2223-087 Tathra Beach Kiosk (Confidential - As this attachment contains information that would, if disclosed, confer a commercial advantage on a person with whom the Council is conducting (or proposes to conduct) business as per Section 10A(2)(c) of the Local Government Act 1993.

5 . Submission 2 EOI 2223-087 Tathra Beach Kiosk (Confidential - As this attachment contains information that would, if disclosed, confer a commercial advantage on a person with whom the Council is conducting (or proposes to conduct) business as per Section 10A(2)(c) of the Local Government Act 1993.

6 . Submission 3 EOI 2223-087 Tathra Beach Kiosk (Confidential - As this attachment contains information that would, if disclosed, confer a commercial advantage on a person with whom the Council is conducting (or proposes to conduct) business as per Section 10A(2)(c) of the Local Government Act 1993.

7 . IPN Valuation Report Tathra Beach Kiosk (Confidential - As this attachment contains commercial information of a confidential nature that would, if disclosed (i) prejudice the commercial position of the person who supplied it; or (ii) confer a commercial advantage on a competitor of the Council; or (iii) reveal a trade secret as per Section 10A(2)(d) of the Local Government Act 1993.

Council	28 June 2023
*Item 10.5 - Attachment 2*	Expression of Interest 2223-087 package Tathra Beach Kiosk

PDF Creator

Council 28 June 2023

Item 10.7

10.7. Proposed road closure - McDonald Road, Wandella

This report seeks approval to revoke resolution 14/23 and progress a revised section of road for closure under the Roads Act 1993 (NSW) following receipt of legal advice.

Director Business & Governance

Officer’s Recommendation

1. That Council considers the legal advice received regarding the proposal to close the Council public road within Lot 541 DP 859896 and Lot 45 DP 752164 at McDonald Road, Wandella and revokes resolution 14/23 from Council’s Ordinary Meeting of 22 March 2023.

2. That Council approves, in principle, the closure of a revised section of Council public road being McDonald Road, Wandella from the northern driveway of Lot 541 DP 859896 to the closed section of road known as Lot 1 DP 1127598 as shown in the diagram in the report of 28 June 2023.

3. That Council recommences assessment of the road closure application under Division 3 of the Roads Act 1993 (NSW) and the revised section of Council public road for closure be publicly advertised for a period of 28 days.

4. That if any objections are received, a further report be prepared for Council’s consideration.

5. That if no objections are received, Council, by notice published in the Government Gazette, formally close the public road reserve concerned.

6. That Council agrees to waive the road closure application fee of $2,750, Council legal costs above $3,500 and agrees to transfer the section of road reserve for no cost to the applicants.

7. That for 28 days, Council publicly exhibits, as required under Section 356 of the Local Government Act 1993 (NSW), its intent to waive the road closure application fee of $2,750, Council legal costs above $3,500 and agrees to transfer the section of road reserve for no cost to the applicants and if any objections are received, a further report be prepared for Council’s consideration.

8. That all costs associated with the road closure process be borne by the applicant.

9. That the Chief Executive Officer and Mayor be authorised to execute the necessary documentation to affect the road closure and subsequent sale of land to the applicant for nil compensation noting the offsetting effect on depreciation in this instance.

10. That if the road closure application does not progress the condition in development consent 2021.1190 remains with the full extent of the road being built to Council standards with the engineering plan submitted prior to issue of a construction certificate.

Executive Summary

Council approval is being sought to revoke resolution 14/23 from Council’s Ordinary Meeting of 22 March 2023 following receipt of legal advice and progress the road closure application for a revised section of the Council public road to allow for this portion of road to be built to Planning for Bushfire standards.

This report outlines the consultation that has taken place since the road closure proposal was approved and seeks Council approval to proceed in accordance with the Roads Act 1993 (NSW) (Roads Act) should the applicant request Council to do so.

Alternatively, if the applicant decides not to progress with the revised road closure application, the condition in development consent 2021.1190 remains with the full extent of the road required to be built to Council standards and the engineering plan for the road to be submitted prior to issue of a construction certificate.

Background

Council resolved at its Ordinary Meeting of 22 March 2023, when considering the permanent closure of a section of McDonald Road, Wandella as follows:

1. That Council considers the submissions received regarding the proposal to close the Council public road within Lot 541 DP 859896 and Lot 45 DP 752164 at McDonald Road, Wandella.

2. That Council approves to proceed with the road closure proposal as advertised in accordance with Section 38D of the Roads Act 1993 (NSW).

3. That the Chief Executive Officer and Mayor be authorised to execute the necessary documentation to affect the road closure, creation of the right of carriageway and subsequent sale of land to the applicant for nil compensation noting the offsetting effect on depreciation in this instance.

4. That Council’s internal road closure application fees be waived and Council’s legal costs be borne by the applicant capped at $3,500.

5. That all third-party legal costs associated with the road closure process be borne by the applicant.

Following the resolution, Council officers wrote to interested parties who made submissions to the road closure proposal to notify of the Council decision. As a result, Council officers received advice from a legal representative acting on behalf of one of the adjoining landowners that Council may be in breach of the Roads Act which states:

Section 38A Roads Act 1993 - When council may close council public road

A council may propose the closure of a council public road for which it is the roads authority if—

(a) the road is not reasonably required as a road for public use (whether for present or future needs), and

(b) the road is not required to provide continuity for an existing road network, and

(c) if the road provides a means of vehicular access to particular land, another public road provides lawful and reasonably practicable vehicular access to that land.

As a result of this advice, Council officers sought independent legal advice to ensure the risks associated with the proposed road closure application were fully understood. Attached is a copy of the confidential legal advice for the information of Councillors.

The advice concludes that the road closure cannot proceed under section 38A(c) of the Roads Act as there is no alternative public road that provides lawful and reasonably practicable vehicular access for the properties that currently use the portion of McDonald Road that was previously identified for closure.

Figure 1 – diagram showing proposed revised section of McDonald Road, Wandella for permanent road closure.

Options

Given the legal advice, there are currently two options remaining:

1. The road closure process is discontinued and the condition in development consent 2021.1190 remains. That is, the road must be built to Council standards with the engineering plan submitted prior to issue of a construction certificate.

2. The road closure process is reinitiated based on the portion of road between the last existing driveway and the applicant’s driveway which abuts a section of already closed road known as Lot 1 DP 1127598. If approved this portion of road could be closed and given to the applicants to allow the portion of road to be built to Planning for Bushfire standards. The remaining portion of McDonald Road would need to be built to Council standards by the applicant.

Subject to Council endorsement, either option could be progressed, pending advice from the applicant on how they would prefer to proceed.

Community and Stakeholder Engagement

Engagement undertaken

Council has undertaken a range of actions to support people who lost their homes in the Black Summer bushfires, including prioritising development applications, waiving Council fees associated with the lodgement of a development application, including pre-lodgement advice, or complying development certificate and other certificates for current owners to rebuild their lost or damaged buildings or subsequent inspections.

In this instance Council also agreed to waive the internal road closure application fee of $2,750 and capped Council’s legal costs that would be passed on to the applicant at $3,500. Council also agreed to give the land to the applicant, pending completion of the road closure process, at nil compensation. In other cases, applicants are required to purchase the land from Council at market value and pay Councils Road closure application fee.

Council also worked with the Department of Planning and Environment to find a pathway to provide the applicant with a legal dwelling entitlement, as the property did not have a dwelling entitlement prior to the fires. To provide a dwelling entitlement, lawful and safe access was required.

When Council officers were notified that building the road to Council standards would have a negative financial impact on the applicants rebuild, consideration was given to other available options. When the possibility of a road closure was raised with the applicants, to enable the road to be built to Planning for Bushfire standards rather than Council public road standards, Council staff informed the applicants that it was not guaranteed that the road closure would go ahead but that Council officers would do what they could to facilitate and expedite the process. Council officers explained the steps that would need to be taken, and that much of the timing and process was outside Council’s control.

In accordance with section 38B of the Roads Act, notification of the proposal to close a Council public road was published on Council’s website, a letter was provided to all owners of land adjoining the road, and all notifiable authorities were provided notice of the closure as prescribed by the Roads Regulation 2018 (NSW) (Regulations).

Note: The current development consent requires engineering plans for the road to be provided to Council prior to issue of the construction certificate, however the road does not need to be constructed until prior to issue of an occupation certificate.

Engagement planned

Council officers have held a formal meeting with the applicants, family members and representatives from Anglicare. Written correspondence has been sent to the applicants and their legal representatives with the two options and, pending their response, will action accordingly. If the applicants wish to proceed with the revised road closure proposal, formal notification will need to be provided to all owners of land adjoining that section of road, and all notifiable authorities as prescribed by the Regulations.

As outlined in the report to Council on 22 March 2023, adjoining landowners that make a submission can make an application to the Land and Environment Court against a closure decision:

Section 38F Roads Act 1993 - Appeals to Land and Environment Court against closure decision

(1) A person referred to in section 38B (1) (b) may appeal to the Land and Environment Court against the closure of a council public road by a council.

(2) On any such appeal, the Land and Environment Court may—

(a) affirm the closure, or

(b) set aside the closure.

(3) Section 38E is taken never to have applied to a closure that is set aside.

(4) To avoid doubt, an appeal under section 38C does not prevent an appeal under this section.

If the revised road closure proposal does not proceed, formal notification will be provided to all owners of land adjoining the road, and all notifiable authorities to notify them that the proposal will not be proceeding.

Financial and Resource Considerations

The applicant is normally responsible for all costs associated with a road closure application, subsequent transfer, their own legal costs, and Council’s legal costs capped at $3,500.

In addition to these costs, the applicant would normally pay Council the current market value of the land determined by an independent valuer as well as Council’s road closure application fee of $2,750 to contribute to staff costs associated with processing the application. It is recommended that these fees be waived, and Council publicly exhibits, as required under Section 356 of the Local Government Act 1993 (NSW) (LG Act), its intent to waive these fees in recognition of the applicant’s unique situation and noting the offset effect on depreciation in this instance.

Item	$ Inc GST
Expenditure Detail
Council legal costs as of 13 June 2023	$8,100.40
Council road closure application fee	$2,750.00
Compensation for section of road to be closed	A formal market valuation would be required to determine compensation payable for the revised section of road reserve to be closed. The Valuer General’s determination for the adjoining applicants land being Lot 46 DP 752164 as of 1 July 2022 is $369,000, therefore the approximately 5,800m2 revised section of road reserve proposed to be closed would have a value of $10,730.00.
Total Expenditure	$21,580.40
Source of Funds
Council legal costs to be paid by the applicant	$3,500.00
Total income available	-$3,500.00
Total lost income	$18,080.40

Legal /Policy

The process for closing a road reserve is governed by Part 4, Division 3 of the Roads Act. The first step is to meet each of the objective requirements specified in section 38A as follows:

(a) the road is not reasonably required as a road for public use (whether for present or future needs), and

(b) the road is not required to provide continuity for an existing road network, and

(c) if the road provides a means of vehicular access to particular land, another public road provides lawful and reasonably practicable vehicular access to that land.

Part of McDonald Road, Wandella provides a means of vehicular access to several private properties and there is no other public road providing lawful and reasonably practicable vehicular access to these properties, therefore the objective requirement in section 38A(c) of the Roads Act has not been met. The proposed creation of a right of carriageway does not overcome the requirements of section 38A of the Roads Act.

Section 356 of the LG Act permits Council to grant financial assistance to a person for the purpose of exercising its functions, however, Council must do so by resolution and a proposed recipient who acts for private gain must not receive any benefit pursuant to section 356 ‘until at least 28 days’ public notice of the council’s proposal to pass the necessary resolution has been given.’

Impacts on Strategic/Operational/Asset Management Plan/Risk

Strategic Alignment

Community Strategic Plan Theme: Our civic leadership – Local leadership is strong, consultative and responsive to our community’s needs

Community Strategic Plan Strategy: E.5 Council resources are managed in order to meet agreed service delivery standards and deliver value for money

Delivery Program: E5.5 - Develop and manage Council’s owned and managed land portfolio

Core Business: Manage Council’s property portfolio, acquisition and disposal of land and easements, road closures and road openings and any other land dealings ensuring Council’s legal obligations are met.

The proposed revised road closure aligns with Council’s Road Closure and Private Sale procedure 4.10.8 and meets statutory obligations under the Roads Act.

Environment and Climate Change

There are no environment and climate change matters associated with the proposed road closure.

Economic

There are no economic matters associated with the proposed road closure that have not already been addressed in this report and the former reports to Council dated 9 February 2022, 14 December 2022 and 22 March 2022.

Risk

Any road closure requires a formal process that ensures probity, due diligence, analysis of risk and other key issues.

There are several risks associated with this matter including but not limited to the following:

· Legal risk in relation to breaches of legislation and possible appeals to the Land and Environment Court against the Council decision.

· Reputational risk in relation to the community’s view on how Council is handling this matter.

· Financial risk in relation to an appeal to the Land and Environment Court, road construction and maintenance costs, and legal costs.

· Council precedent for future matters.

Social / Cultural

Council needs to consider the impact of its decision on the broader ratepayer base across the shire and ensure consistency in the application of standards and precedents. A review of the decision to apply Council’s standard to the upgrade of the road and the requirement for the engineering plans for the road to be provided prior to issue of a Construction Certificate has been completed and Council officers are satisfied it has been applied correctly.

Attachments

1 . Legal advice regarding McDonald Road Wandella proposed road closure application (Confidential - As this attachment contains commercial information of a confidential nature that would, if disclosed (i) prejudice the commercial position of the person who supplied it; or (ii) confer a commercial advantage on a competitor of the Council; or (iii) reveal a trade secret as per Section 10A(2)(d) of the Local Government Act 1993.

Council 28 June 2023

Item 10.8

10.8. Certificate of Investment May 2023

This report details Council’s cash and investments at the end of May 2023.

Director Business & Governance

Officer’s Recommendation

1. That Council receive and note the report on Council’s investment position at 31 May 2023.

2. That Council notes the certification of the Responsible Accounting Officer.

Executive Summary

I, Judy Jordan, as the Responsible Accounting Officer of Bega Valley Shire Council, hereby certify the investments listed in the attached reports have been made in accordance with Section 625 of the Local Government Act 1993 (the LG Act), clause 212 of the Local Government (General) Regulation 2021.

All investments have been appropriately recorded in Council’s financial records and reconciled monthly.

On 31 May 2023 the total capital value of cash and investments was $111,360,664.71 with 88% of Council’s investment portfolio directed to term deposits and the remainder held in cash deposit accounts. Council has earned year to date interest income of $1,904,786 which is 112% of the projected budget amount.

The value of outstanding government grant debtors on 31 May 2023 is $6,622,846.62 with $825,542.65 aged 4+ months. Council continues to work with our funding partners to reduce these debts.

Background

The Local Government Act 1993 and Local Government Regulation 2021 require that the Responsible Accounting Officer must present to council monthly, 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.

Options

This is a receive and note report and does not require consideration of options for decision.

Community and Stakeholder Engagement

Engagement undertaken

There is no community or stakeholder engagement associated with the recommendation of this report.

Engagement planned

The investment details of council are published in council business papers and are publicly available at Council offices and on Council’s website.

Financial and Resource Considerations

A list of Councils cash and investments held at 31 May 2023 is detailed below:

Issuer	Rating	Type	Purchase	Maturity	Rate (%)	Capital Value ($)
Commonwealth Bank (Operating cash account)	AA-	CASH	-	-	-	4,730,502.31
Commonwealth Bank (At call cash account)	AA-	CASH	-	-	-	8,000,000.00
NSW Treasury Corporation (Strategic cash fund)	AA-	CASH	-	-	-	130,162.40
Commonwealth Bank	AA-	TD	02/06/2022	08/06/2023	3.23	5,000,000.00
NAB	AA-	TD	11/01/2023	13/06/2023	4.24	5,000,000.00
NAB	AA-	TD	09/02/2023	10/07/2023	4.30	2,500,000.00
Suncorp	A+	TD	31/03/2023	31/07/2023	4.44	3,000,000.00
AMP Bank	BBB	TD	03/02/2022	02/08/2023	1.35	5,000,000.00
Commonwealth Bank	AA-	TD	11/08/2022	11/09/2023	4.01	2,000,000.00
Commonwealth Bank	AA-	TD	19/09/2022	19/09/2023	4.32	2,000,000.00
Commonwealth Bank	AA-	TD	26/08/2022	26/10/2023	4.17	2,000,000.00
Bank of Queensland	BBB+	TD	31/03/2023	31/10/2023	4.62	3,000,000.00
NAB	AA-	TD	24/02/2023	24/11/2023	4.77	3,000,000.00
NAB	AA-	TD	09/02/2023	11/12/2023	4.60	5,000,000.00
NAB	AA-	TD	10/02/2022	14/12/2023	1.43	5,000,000.00
NAB	AA-	TD	17/01/2022	17/01/2024	1.25	2,500,000.00
NAB	AA-	TD	28/02/2023	29/01/2024	4.92	2,000,000.00
Westpac	AA-	TD	08/02/2022	08/02/2024	1.59	10,000,000.00
Westpac	AA-	TD	09/02/2023	11/03/2024	4.75	5,000,000.00
P&N Bank	BBB	TD	15/12/2022	15/04/2024	4.60	5,000,000.00
BankVic	BBB+	TD	26/04/2023	26/04/2024	4.75	2,000,000.00
Commonwealth Bank	AA-	TD	10/02/2022	16/05/2024	1.65	5,000,000.00
NAB	AA-	TD	24/02/2023	24/06/2024	5.00	2,500,000.00
NAB	AA-	TD	28/02/2023	29/07/2024	4.98	2,000,000.00
Commonwealth Bank	AA-	TD	10/02/2022	15/08/2024	1.75	5,000,000.00
Westpac	AA-	TD	30/09/2022	03/10/2024	4.78	2,000,000.00
Commonwealth Bank	AA-	TD	15/12/2022	16/12/2024	4.59	5,000,000.00
Westpac	AA-	TD	08/02/2022	10/02/2025	2.00	5,000,000.00
Australian Military Bank	BBB+	TD	31/03/2023	16/04/2025	4.50	3,000,000.00
Total Cash and Investments						$111,360,664.71

Interest earned for May 2023	$271,864
Financial year to date interest earned	$1,904,768
Budgeted interest for 2022/2023 financial year – March QBRS	$1,700,000
Percentage of the 2022/2023 budget earned by council	112%

The COVID-19 pandemic has adversely impacted financial markets, which in turn, also affected Council’s investment portfolio. After global central banks set official interest rates to emergency levels during the height of the pandemic in 2020, financial markets have transitioned to recovery phase.

Council’s investment portfolio is largely directed towards term deposits (88%). The remainder of the portfolio is held in cash deposit accounts with CBA and TCorp (12%).

The investments held by Council remain sufficiently liquid with 78% of investments maturing within the next 12 months.

For the month of May, the investments (excluding cash) provided a return of 3.43% p.a. marginally underperforming the RBA cash rate return. This ‘underperformance’ has been due to the aggressive rate hikes undertaken by the RBA. Whilst this slight ‘underperformance’ may continue in the short-term, we do anticipate this to be temporary given the relatively high level of turnover

As at the end of May 2023 the investment portfolio had a weighted average duration of 239 days.

Council utilises the platform Imperium Markets, to assist in conducting, managing, and reporting on council’s investments. This provides an automated process of sourcing quotes and investing monies which is allowing Council to better address investment risks. Additional to the platform, Imperium Markets are providing investment advice on the surrounding market conditions and how council can maximise returns within the Ministerial order and Council’s investment policy.

Table 1: Investments by Fund $’000
Fund	March 2023	April 2023	May-2023
General Fund	48,581	44,975	40,964
Water Fund	25,674	24,749	24,729
Sewer Fund	45,763	45,698	45,668
TOTAL	120,018	115,422	111,361

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

Included in the General Fund investments are amounts that are externally restricted for specific purposes, i.e. contributions and unspent grants. In addition, there are amounts that are internally restricted by Council.

The following table provides details of all funds and reflects adjustments included in March Quarterly Budget Review Statement (QBRS). It includes the balance of restrictions projected at 30 June 2023.

Source of Funds	Value
Total Cash and Investments at 31 May 2023	$111,360,665
External Restrictions (projected)	$54,605,830
Internal Restrictions (projected)	$13,822,814
Unrestricted Funds	$42,932,021
Budgeted expenditure to 30 June 2023	$41,421,599
Expected unrestricted funds balance at 30 June 2023	$1,510,422

The value of outstanding government grant debtors on 31 May 2023 is $6,622,846.62 with $825,542.65 aged 4+ months. Council continues to work with our funding partners to reduce these debts.

Legal /Policy

Section 625 of the Local Government Act 1993 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 current Ministerial Order of Investment was published 17 February 2011.

Clause 212 of the Local Government (General) Regulation 2021 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 LG Act.

The report must also include a Certificate as to whether the investments have been made in accordance with the LG Act, LG Regulations and Council’s Investment Policy.

Council has an Investment Policy, policy number 6.07. This policy is reviewed every four years by council and annually by council officers.

Impacts on Strategic/Operational/Asset Management Plan/Risk

Strategic Alignment

This report is provided in accordance with Council’s Community Strategic Plan (CSP), Delivery Program (DP) and Operational Plan (OP).

CSP Theme: Our civic leadership – Local leadership is strong, consultative and responsive to our community’s needs

CSP Strategy: E.4 Council has robust financial management processes to ensure ongoing viability and value for money

Delivery Program: E4.2 - Ensure Council’s revenue streams are maximised

Operational Plan: Finance - core business: Manage Council’s borrowings and investments in accordance with council’s financial strategy

Environment and Climate Change

Council considers the importance of environmental, social and governance factors in investment decision making.

Economic

Council’s investment policy objective is to maximise returns by investing with the most favourable rate of return. Performance of investments are reported monthly, quarterly, and annually.

Risk

Council policies have strict guidelines to reduce Council’s risk to capital. The following graphs provide visual representation of Councils compliance to these measures.

Risk management means our investments are made giving regard to key criteria of counterparty, credit quality and maturity compliance.

Since the adoption of the new investment policy in November 2022 there has been a slight ‘overweight’ counterparty position to CBA (around $5M at 31 May 2023). This is primarily due to the cash account balances (around $13M) held with CBA. This can be rectified by placing surplus funds with other institutions, as well as redeeming upcoming maturing deposits with CBA. Council can expect to see this ‘overweight’ to reduce with $5M CBA Term Deposit maturing in June 2023.

All other individual banks are within the policy limits. The portfolio is diversified, by counterparties and terms of investment.

Other legal instruments, such as the Ministerial Order referenced above, are also being used to mitigate financial risk.

Legend: Compliant Non-Compliant

Social / Cultural

Maximising performance of returns enables the organisation to leverage additional funding received as a result of investment performance and use these towards community projects, programs and services.

Attachments

Nil

Council 28 June 2023

Item 10.9

10.9. Bega Saleyards - Project Proposal

Council has received a request for a letter of support for a funding application that would result in construction of a new asset and additional operating costs.

Chief Executive Officer

Officer’s Recommendation

That council advise the requestors that:

Council is supportive in principle of the proposed stage 1 cover construction at the Bega Saleyards on the following conditions:

· There is no cost to Council including ongoing operating costs including depreciation to be funded by council with these costs to be recovered through additional user fees

· Appropriate agreements can be reached with the current saleyards lessee to facilitate construction and operation of the new asset including recovery of costs to Council to offset annual deprecation.

· All necessary approvals are in place prior to anything being constructed

· No further additions are to be undertaken at the saleyards without further approval from Council and the lessee.

Executive Summary

Council has received a request for support for a funding application to install a cover over part of the Bega saleyards. As this would be a new asset not currently accounted for the request is being presented to Council for consideration.

Background

Council has received a request to provide support for a funding application to upgrade facilities at the Bega saleyards.

In principle caveated support has previously been provided for a larger project with the current request for a simpler component of the previous larger project.

Ordinarily a project such as this would be expected to submit a community project proposal that would then be considered on an annual basis along with other community project proposals. Given the scale and complexity of the project and timing it is appropriate that it be considered in its own right.

The Bega saleyards are a council owned facility that are managed under an exclusive lease arrangement. Under the lease council receives a limited annual lease income of $18,876.05.

The lessee receives income from users of the facility and under the terms of the lease the lessee is required to sufficiently maintain and keep in a neat and tidy condition all Council owned assets and improvements on the land, therefore would be responsible for this improvement. The lessee is also required to prepare a maintenance and capital works program for the facility. This maintenance obligation does not include capital renewal of council owned assets located on the site nor does it give consideration to any potential new high value and potentially high maintenance assets associated with the saleyards.

The request for support estimates a current capital cost of $500,000 and if it is assumed the structure was to last 50 years this would equate to an annual depreciation of $10,000. Current throughput at the site is slightly above 20,000 so it is assumed that a per head charge of 50 cents would offset the annual depreciation expense noting that this amount would need to be indexed over time to account for inflation. At the time of completion of construction this figure would also need to be reviewed to reflect the actual final capital cost.

Options

Council may either support or not support the proposed new structure at the Bega Saleyards.

Community and Stakeholder Engagement

In 2021 Bega Valley Shire Council carried out an Expression of Interest (EOI) process for the operation and management of Bega Saleyards. As the Saleyard is a vital agribusiness facility that enables transparent transaction of livestock on behalf of livestock producers in the Southeast, Council resolved to form the Bega Saleyard Stakeholder Advisory Group. The group consists of the lessee, the stock agents selling at the yards, a council staff member, a Councillor and a representative from the local industry utilising the saleyard facility.

Membership of the advisory group is aligned with the terms of the management lease. Members of the group may do one or more of the following:

· Provide advice or comment about specific project issues which may include key objectives, funding sources, sustainability, design options, community outcomes or similar relating to risks and opportunities for the facility

· Provide advice or comment to improve economic viability and ensure animal welfare standards are met

· Provide advice or comment to develop and implement business and marketing strategies to increase the usage of the Bega Saleyards to generate economic activity in the Shire

· Assist with advocacy that will identify and seek funding sources and government policy changes to achieve the best outcome for the Bega Valley community.

Engagement undertaken

There has been limited broad community engagement on the proposal. The Mayor and Chief Executive Officer recently met with representatives of the Bega Beef Cooperative who are seeking support for the funding request as well as the current saleyards lessee.

It is understood the Bega Beef Cooperative have also met with the local State Government Member of Parliament Dr Michael Holland who has indicated his support for the initiative.

A copy of a Hansard transcript provided by the Bega Beef Cooperative and attached to this report reinforces Dr Hollands support for the initiative and the groups quest for funding.

It is noted that the Bega Beef Cooperative have not presented this proposal to the Bega Saleyard Stakeholder Advisory Group nor has the lessee been formally consulted or provided their consent to date although during the meeting referred to above consent was implied.

Engagement planned

There is no engagement planned associated with this report.

Financial and Resource Considerations

As council is aware it is often not the upfront capital cost that is the largest whole of life cost impact of a project. It is often the operating costs that have a far greater long term financial impact than the capital cost. This is particularly true for high value and short life assets where depreciation needs to be taken into account.

In the case of the proposed saleyard cover structure, it is currently estimated to have a capital cost of $500,000 and an estimated useful life of 50.

This means that should the structure be built it would add $10,000 to Councils’ annual depreciation expense. It is difficult to quantify the additional annual maintenance cost for the structure although it is anticipated it would be relatively low for the first five to ten years of its life before gradually increasing over time.

Originally the proposed improvements to the saleyards were much larger and more complex in scope making it difficult to quantify the ongoing financial impacts. It is unlikely that a more accurate financial impact assessment can be done until further details are provided on the expected value and useful life of key components of the project as well as variable operating costs.

Legal /Policy

Section 53 of the Real Property Act 1900 (NSW) (RP Act) provides that land leased for more than three (3) years must be in the approved form and Section 42(1)(d) of the RP Act and the Registrar-General’s Guidelines, requires a lease for a term exceeding three (3) years to be registered on title which is the case with the Bega saleyard lease. As the lease is registered on title the lessee’s consent is required to any works proposed on the land.

Impacts on Strategic/Operational/Asset Management Plan/Risk

Strategic Alignment

There are no strategic alignments associated with this report.

Environment and Climate Change

There is anticipated to be limited environmental impact associated with the proposal should it proceed noting that development application would likely be required for the structure which would be required to more comprehensively address environmental impacts.

Economic

The agricultural sector plays a key role in the economy of the Bega Valley both directly and indirectly. Producers rely heavily on access to markets for the purchase and sale of stock and the project would support quality of stock as well as access to markets.

The agricultural sector also supports other industries such as processing/manufacturing with examples being butchers and Bega Cheese

Risk

There is the potential that in the future animal welfare standards may require all saleyards to be covered. This would essentially force Councils hand to determine whether to continue operating saleyards by installing covers or alternatively cease to operate saleyards.

Social / Cultural

There are obvious social benefits to the project which include enhanced amenity for facility users as well as easier access to new and broader markets.

Attachments

1 ⇩. Dr Michael Holland | hansard transcript

Ordinary

Meeting Notice and Agenda

To:

Copy:

Live Streaming of Council Meetings

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

Local Government Act 1993 and Model Code of Conduct

Agency advice

Disclosure of pecuniary interests / non-pecuniary interests

Agenda

Statement of Commencement of Live Streaming

Acknowledgement of Traditional Owners of Bega Valley Shire

1 Apologies and requests for leave of absence

2 Confirmation Of Minutes

3 Declarations

4 Public Forum – report by Mayor of deputations heard prior to the meeting

5 Petitions

6 Mayoral Minutes

7 Urgent Business

8 Staff Reports – Community, Environment and Planning

9 Staff Reports – Assets and Operations

10 Staff Reports – Business and Governance

11 Councillor Reports

12 Rescission/Alteration Motions

13 Notices of Motion

14 Questions with Notice

15 Questions without Notice

16 Confidential Business

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

Statement of Re-Commencement of Live Streaming

17 Noting of Resolutions from Closed Session

18 Declassification of reports considered previously in Closed Session

Council	28 June 2023
*Item 8.1 - Attachment 1*	Draft Conditions of Consent

Council	28 June 2023
*Item 8.1 - Attachment 2*	Section 4.15 Assessment Report

Council	28 June 2023
*Item 8.1 - Attachment 3*	Development Plans

Council	28 June 2023
*Item 8.2 - Attachment 1*	Bega Valley DCP 2013 Draft 7.10 Merimbula Airport General Aviation Precinct

Council	28 June 2023
*Item 8.3 - Attachment 1*	Planning Proposal Minor Amendments 2023

Council	28 June 2023
*Item 8.4 - Attachment 1*	Club Sapphire height of Buildings Planning Proposal

Council	28 June 2023
*Item 8.4 - Attachment 2*	Visual Analysis Club Sapphire planning Proposal

Council	28 June 2023
*Item 8.4 - Attachment 3*	Architecture Drawings Club Sapphire Planning Proposal

Council	28 June 2023
*Item 8.4 - Attachment 4*	Club Sapphire submission and architecture drawings to Commercial Land Strategy

Council	28 June 2023
*Item 8.5 - Attachment 1*	Draft National Circularity Centre Planning Proposal

Council	28 June 2023
*Item 9.1 - Attachment 1*	Local Traffic Committee minutes 2 May 2023

Council	28 June 2023
*Item 9.1 - Attachment 2*	4.1 Merimbula Airport Parking

Council	28 June 2023
*Item 9.1 - Attachment 3*	4.1A Merimbula Airport Parking Survey

Council	28 June 2023
*Item 9.1 - Attachment 4*	6.1 Kidney Kar Rally Notification

Council	28 June 2023
*Item 9.1 - Attachment 5*	Application for Wanderer Festival 2023

Council	28 June 2023
*Item 9.1 - Attachment 6*	Application for QUAD Bike Race 2023

Council	28 June 2023
*Item 9.2 - Attachment 1*	S355 General Sportsground Quarterly Committee Meeting minutes 27 February 2023

Council	28 June 2023
*Item 9.2 - Attachment 2*	Central Waste Facility Consultative Committee Minutes April 2023

Council	28 June 2023
*Item 9.3 - Attachment 1*	2023 NSW Local Roads Congress Communique

Council	28 June 2023
*Item 9.3 - Attachment 2*	CRJO Submission to the Australian Government Inquiry into the Implications of Severe Weather Events on the National Regional, Rural and Remote Road Network

Council	28 June 2023
*Item 10.1 - Attachment 1*	Attachment 1- IPART SRV Approval and Instrument Combined

Council	28 June 2023
*Item 10.1 - Attachment 2*	Attachment 2- Submissions Summary_IPR_June2023.pdf

Council	28 June 2023
*Item 10.1 - Attachment 4*	Attachment 4- Long Term Financial Plan 2023-32_ June 2023 Update_ FOR ADOPTION

Council	28 June 2023
*Item 10.1 - Attachment 5*	Attachment 5- Strategic Asset Management Plan_June2023 Update including AMP Summaries

Council	28 June 2023
*Item 10.1 - Attachment 6*	Attachment 6- Community Project Proposal Assessment Summary 2023

Council	28 June 2023
*Item 10.2 - Attachment 1*	2023-24 Revenue Policy For Adoption

Council	28 June 2023
*Item 10.3 - Attachment 1*	Attachment 1 \| Fees Charges Submissions Summary June 2023

Council	28 June 2023
*Item 10.3 - Attachment 2*	Attachment 2 \| 2023- 24 Fees and Charges For Adoption

Council	28 June 2023
*Item 10.4 - Attachment 1*	Attachment 1 BVSC Strategies Plans June 2023 Council Report

Council	28 June 2023
*Item 10.5 - Attachment 1*	Council report dated 19 April 2023 - Tathra Beach Kiosk