Cover page Agenda and Min Ordinary infocouncil

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Agenda

 

Ordinary Meeting

 

 Thursday, 28 February 2019

 

held at Council Chambers, Station Street, Mullumbimby

commencing at 9.00am

 

 

 

 

Public Access relating to items on this Agenda can be made between 9.00am and 10.30am on the day of the Meeting.  Requests for public access should be made to the General Manager or Mayor no later than 12.00 midday on the day prior to the Meeting.

 

 

 

Mark Arnold

General Manager

 


CONFLICT OF INTERESTS

What is a “Conflict of Interests” - A conflict of interests can be of two types:

Pecuniary - an interest that a person has in a matter because of a reasonable likelihood or expectation of appreciable financial gain or loss to the person or another person with whom the person is associated.

Non-pecuniary – a private or personal interest that a Council official has that does not amount to a pecuniary interest as defined in the Local Government Act (eg. A friendship, membership of an association, society or trade union or involvement or interest in an activity and may include an interest of a financial nature).

Remoteness – a person does not have a pecuniary interest in a matter if the interest is so remote or insignificant that it could not reasonably be regarded as likely to influence any decision the person might make in relation to a matter or if the interest is of a kind specified in Section 448 of the Local Government Act.

Who has a Pecuniary Interest? - a person has a pecuniary interest in a matter if the pecuniary interest is the interest of the person, or another person with whom the person is associated (see below).

Relatives, Partners - a person is taken to have a pecuniary interest in a matter if:

§  The person’s spouse or de facto partner or a relative of the person has a pecuniary interest in the matter, or

§  The person, or a nominee, partners or employer of the person, is a member of a company or other body that has a pecuniary interest in the matter.

N.B. “Relative”, in relation to a person means any of the following:

(a)   the parent, grandparent, brother, sister, uncle, aunt, nephew, niece, lineal descends or adopted child of the person or of the person’s spouse;

(b)   the spouse or de facto partners of the person or of a person referred to in paragraph (a)

No Interest in the Matter - however, a person is not taken to have a pecuniary interest in a matter:

§  If the person is unaware of the relevant pecuniary interest of the spouse, de facto partner, relative or company or other body, or

§  Just because the person is a member of, or is employed by, the Council.

§  Just because the person is a member of, or a delegate of the Council to, a company or other body that has a pecuniary interest in the matter provided that the person has no beneficial interest in any shares of the company or body.

Disclosure and participation in meetings

§  A Councillor or a member of a Council Committee who has a pecuniary interest in any matter with which the Council is concerned and who is present at a meeting of the Council or Committee at which the matter is being considered must disclose the nature of the interest to the meeting as soon as practicable.

§  The Councillor or member must not be present at, or in sight of, the meeting of the Council or Committee:

(a)   at any time during which the matter is being considered or discussed by the Council or Committee, or

(b)   at any time during which the Council or Committee is voting on any question in relation to  the matter.

No Knowledge - a person does not breach this Clause if the person did not know and could not reasonably be expected to have known that the matter under consideration at the meeting was a matter in which he or she had a pecuniary interest.

Participation in Meetings Despite Pecuniary Interest (S 452 Act)

A Councillor is not prevented from taking part in the consideration or discussion of, or from voting on, any of the matters/questions detailed in Section 452 of the Local Government Act.

Non-pecuniary Interests - Must be disclosed in meetings.

There are a broad range of options available for managing conflicts & the option chosen will depend on an assessment of the circumstances of the matter, the nature of the interest and the significance of the issue being dealt with.  Non-pecuniary conflicts of interests must be dealt with in at least one of the following ways:

§  It may be appropriate that no action be taken where the potential for conflict is minimal.  However, Councillors should consider providing an explanation of why they consider a conflict does not exist.

§  Limit involvement if practical (eg. Participate in discussion but not in decision making or vice-versa).  Care needs to be taken when exercising this option.

§  Remove the source of the conflict (eg. Relinquishing or divesting the personal interest that creates the conflict)

§  Have no involvement by absenting yourself from and not taking part in any debate or voting on the issue as if the provisions in S451 of the Local Government Act apply (particularly if you have a significant non-pecuniary interest)

RECORDING OF VOTING ON PLANNING MATTERS

Clause 375A of the Local Government Act 1993 – Recording of voting on planning matters

(1)   In this section, planning decision means a decision made in the exercise of a function of a council under the Environmental Planning and Assessment Act 1979:

(a)   including a decision relating to a development application, an environmental planning instrument, a development control plan or a development contribution plan under that Act, but

(b)   not including the making of an order under Division 2A of Part 6 of that Act.

(2)   The general manager is required to keep a register containing, for each planning decision made at a meeting of the council or a council committee, the names of the councillors who supported the decision and the names of any councillors who opposed (or are taken to have opposed) the decision.

(3)   For the purpose of maintaining the register, a division is required to be called whenever a motion for a planning decision is put at a meeting of the council or a council committee.

(4)   Each decision recorded in the register is to be described in the register or identified in a manner that enables the description to be obtained from another publicly available document, and is to include the information required by the regulations.

(5)   This section extends to a meeting that is closed to the public.

 


BYRON SHIRE COUNCIL

Ordinary Meeting

 

 

BUSINESS OF Ordinary Meeting

 

1.    Public Access

2.    Apologies

3.    Requests for Leave of Absence

4.    Declarations of Interest – Pecuniary and Non-Pecuniary

5.    Tabling of Pecuniary Interest Returns (s450A Local Government Act 1993)

6.    Adoption of Minutes from Previous Meetings

6.1       Byron Shire Reserve Trust Committee held on 31 December 2018

6.2       Ordinary Meeting held on 31 December 2018

6.3       Ordinary Meeting held on 31 December 2018

7.    Reservation of Items for Debate and Order of Business

8.    Mayoral Minute

9.    Notices of Motion

Nil

10Petitions

10.1     The rezoning of 156 Stuart Street (Lot 22) Mullumbimby to R1 and reclassification to operational............................................................................................................................................ 6

11.  Submissions and Grants

11.1     Byron Shire Council Submissions and Grants as at 31 January 2019............................. 7

12.  Delegates' Reports  

13.  Staff Reports

General Manager

13.1     Lease over Byron Bay tennis courts to Andrew Bates Tennis Pty Ltd........................... 10

13.2     Railway Park rotunda location........................................................................................ 18

13.3     Former Byron hospital project update............................................................................. 29

13.4     Crown Lands Transition - Additional information R65234, Federal................................ 34

Corporate and Community Services

13.5     Report of the Public Art Panel meeting 29 November 2018.......................................... 39

13.6     National General Assembly of Local Government 2019................................................ 43

13.7     Investments - 29 November to 31 December 2018....................................................... 46

13.8     Section 355 Management Committees - resignations and appointments...................... 54

13.9     Council Resolutions Quarterly Review - 1 October to 31 December 2018.................... 57

13.10   Delivery Program 6-monthly Report and 2018/19 Operational Plan Second Quarter Report - Q2 - 1 July to 30 December 2018.............................................................................................. 59

13.11   Budget Review 1 October 2018 to 31 December 2018.................................................. 62

13.12   Investments - 1 January to 31 January 2019................................................................. 72

13.13   Bayshore Drive Roundabout Public Art.......................................................................... 80

13.14   2018-2019 Loan Borrowings........................................................................................... 86

Sustainable Environment and Economy

13.15   Byron Shire Council's Emissions Reporting 2017/18...................................................... 91

13.16   Compliance Priorities Program Report - 2018.............................................................. 105

13.17   Sustainable Agriculture and Agribusiness Project update............................................. 113

13.18   Sustainability and Emissions Reduction Projects - Update.......................................... 116

13.19   Reflections Holiday Parks - exhibition of draft Plans of Management for Ferry Reserve and Massy Greene Reserve, Brunswick Heads............................................................................. 120

Infrastructure Services

13.20   Butler Street Reserve Access During Byron Bay Bypass Construction...................... 128

13.21   Results of the Public Exhibition of the Byron Bay to Suffolk Park Cycleway Investigation Report....................................................................................................................................... 133

13.22   Proposal for Naming Maslen Arboretum - Results of Public Exhibition....................... 142

13.23   Byron Bay Memorial Recreation Grounds Draft Plan of Management....................... 145

13.24   Parking Options for Teachers and Staff at Byron Bay Public School.......................... 151   

14.  Reports of Committees

Corporate and Community Services

14.1     Report of the Audit, Risk and Improvement Committee Meeting held on 15 November 2018     157

Infrastructure Services

14.2     Report of the Byron Shire Floodplain Risk Management Committee Meeting held on 29 November 2018............................................................................................................................... 162

14.3     Report of the Coastal Estuary Catchment Panel Meeting held on 29 November 2018 164

14.4     Report of the Water, Waste and Sewer Advisory Committee Meeting held on 31 January 2019....................................................................................................................................... 168

14.5     Report of the Local Traffic Committee Meeting held on 8 February 2019................... 173

14.6     Report of the Local Traffic Committee Meeting held on 29 January 2019.................. 175   

6.1      Byron Bay Transport Interchange - Regulatory Signage. 173

6.2      Railway Hotel and Lawson Street South Carparks - Regulatory Signage. 173

6.1      Council Resolution 18-626 - Free Motor Bike Parking in Byron. 175

6.2      Bayshore Drive Roundabout Project - Traffic Management 176

6.3      Signage requests from Compliance Team - Lighthouse Road and No Name Lane, Byron Bay  176

6.4      Byron Bay Transport Interchange - Regulatory Signage. 176

6.5      Railway Hotel and Lawson Street South Carparks - Regulatory Signage. 176

7.1      Adoption of Constitution for Local Traffic Committee. 177

 

15Questions With Notice

Responses to Questions on Notice are now available on www.byron.nsw.gov.au/Council/ Council-meetings/Questions-on-Notice  

16.  Confidential Reports

Infrastructure Services

16.1     Confidential - Tender 2018-0058 Railway Park Upgrade..................................... 179

16.2     Confidential - Supply and Delivery of Modular Bridge Componentry (Tender 2019-0001)  180  

 

 

 

 

Councillors are encouraged to ask questions regarding any item on the business paper to the appropriate Director prior to the meeting. Any suggested amendments to the recommendations should be provided to Councillor Support prior to the meeting to allow the changes to be typed and presented on the overhead projector at the meeting.

 


BYRON SHIRE COUNCIL

Petitions                                                                                                                                      10.1

 

 

Petitions

 

Petition No. 10.1         The rezoning of 156 Stuart Street (Lot 22) Mullumbimby to R1 and reclassification to operational.

Directorate:                 Sustainable Environment and Economy

Report Author:           Sharyn French, Manager Environmental and Economic Planning

File No:                        I2019/112

                                       

 

At Council’s Ordinary meeting held on 28 February Mayor Simon Richardson tabled a petition containing 351 signatures which states:

 

We, the undersigned support the comments made In the attached document concerning

the Byron Shire Council's planning proposal for rezoning and reclassifying Lot 22 DP

1073165,156 Stuart St, Mullumbimby;

 

Comments from Director Sustainable Environment and Economy:

 

The matters raised in the submission will be considered along with all other submissions received during the exhibition period of the planning proposal.  A public submissions report will be presented to Council at a future meeting for consideration.

 

  

 

RECOMMENDATION:

1.       That the petition regarding the rezoning of 156 Stuart Street (Lot 22) Mullumbimby to R1 and reclassification to operational be noted.

 

2.       That the petition be referred to the Director Sustainable Environment and Economy.

 

 

 

Attachments:

 

1        26.2017.4.1 - Petition / Submission From Mullumbimby Residents Association - Planning Proposal Lot 22 Mullumbimby, S2018/15073  

 

  


BYRON SHIRE COUNCIL

Submissions and Grants                                                                                                     11.1

 

 

Submissions and Grants

 

Report No. 11.1           Byron Shire Council Submissions and Grants as at 31 January 2019

Directorate:                 Corporate and Community Services

Report Author:           Anna Vinfield, Manager Corporate Services

File No:                        I2019/153

Theme:                         Corporate Management

                                      Corporate Services

 

 

Summary:

 

Council has submitted applications for a number of grant programs which, if successful, would provide significant funding to enable the delivery of identified projects. This report provides an update on these grant submissions.

 

  

 

RECOMMENDATION:

That Council notes the report and attachment (#E2019/9845) for the Byron Shire Council Submissions and Grants as at 31 January 2019.

 

 

Attachments:

 

1        Grants register as at 31 January 2019, E2019/9845  

 

 


 

Report

 

This report provides an update on grant submissions since the last report.

 

Successful Applications

 

·        Refill Here Drinking Fountain Program, Stronger Communities Programme (SCP) Round 4, Department of Industry, Innovation and Science.

·        NE Hinterland Regional Koala Project, Saving our Species Iconic Koala, Office of Environment & Heritage.

·        Byron Bay Town Centre Bypass, Growing Local Economies, NSW Government Regional Growth Fund.

·        Flying Improvements, Environmental Trust - Restoration and Rehabilitation, NSW Office of Environment and Heritage.

·        The Redevelopment for Far-North Coast Fire Control Centre, Infrastructure Grants - Emergency Preparedness Stream, NSW Liquor and Gaming.

·        Mullumbimby Gateway Repair and Renew, Stronger Country Communities Fund Round 2, NSW Department of Premier and Cabinet.

·        Refurbishment War Widow's Cottage for youth activities, Stronger Country Communities Fund Round 2, NSW Department of Premier and Cabinet.

·        Refurbishment CWA Building Brunswick Heads, Stronger Country Communities Fund Round 2, NSW Department of Premier and Cabinet.

·        Byron Shire Flood Warning Network, Stronger Country Communities Fund Round 2, NSW Department of Premier and Cabinet.

·        Resurfacing Booyong Tennis Courts, Stronger Country Communities Fund Round 2, NSW Department of Premier and Cabinet.

·        Construction of Amenities Building, with Associated Infrastructure at the Eureka Public Recreation Reserve, Stronger Country Communities Fund Round 2, NSW Department of Premier and Cabinet.

·        Connecting Suffolk Park's Cyclists to Byron Bay, Stronger Country Communities Fund Round 2, NSW Department of Premier and Cabinet.

·        Refurbishment Brunswick Valley Historical Society Mullumbimby Museum, Stronger Country Communities Fund Round 2, NSW Department of Premier and Cabinet.

·        Tweed Byron Resilience Coordination Project, Community Resilience Innovation Program, NSW Emergency Services.

 

Unsuccessful Applications

 

·        Advancing Digital Co-creation for Brunswick Heads Library, Regional Cultural Fund, NSW Government Regional Growth Fund

 

Submitted

 

·        Refill Here Drinking Fountain Program, Stronger Communities Programme (SCP) Round 4, Commonwealth Department of Industry, Innovation and Science.

·        Capacity Building for New & Lifestyle Land Managers, National Landcare Program Smart Farms Small Grants Round 2, Department of Agriculture and Water Resources.

·        Byron Bay to Suffolk Park Cycleway, Cycling Towns, NSW Roads and Maritime Services.

·        Byron Bay to Suffolk Park Cycleway, Priority Cycleways, NSW Roads and Maritime Services.

·        Balemo Drive Stage 2 Shared Pathway, Connecting Centres, NSW Roads and Maritime Services.

·        Kolora Way Redgate Road Bike Path design, Connecting Centres, NSW Roads and Maritime Services.

·        Lismore-Bangalow Road Shared Path design, Priority Cycleways, NSW Roads and Maritime Services.

 

Additional information on the grant submissions is provided in Attachment 1 – Submissions and Grants report as at 31 January 2019.

 

 

STRATEGIC CONSIDERATIONS

 

Community Strategic Plan and Operational Plan

CSP Objective

L2

CSP Strategy

L3

DP Action

L4

OP Activity

Community Objective 5:  We have community led decision making which is open and inclusive

5.6

Manage Council’s resources sustainably

5.6.12

Implement strategic grants management systems to deliver priority projects for Byron’s community (SP)

5.6.12.4

Provide governance for grants management

 

Legal/Statutory/Policy Considerations

 

Under Section 409 3(c) of the Local Government Act 1993 Council is required to ensure that ‘money that has been received from the Government or from a public authority by way of a specific purpose advance or grant, may not, except with the consent of the Government or public authority, be used otherwise than for that specific purpose’. This legislative requirement governs Council’s administration of grants.

 

Financial Considerations

 

If Council is successful in obtaining the identified grants, more than $11 million would be achieved which would provide significant funding for Council projects. Some of the grants require a contribution from Council (either cash or in-kind) and others do not. Council’s contribution is funded. The potential funding and allocation is noted below:

 

Requested funds from funding bodies

11,075,454

Council cash contribution

4,804,736

Council in-kind contribution

42,750

Other contributions

19,373,150

Funding applications submitted and awaiting notification (total project value)

35,296,090

 

Consultation and Engagement

 

In relation to the Stronger Country Community Grants, Council has been actively engaging with the Community Groups that were successful in obtaining grants, to ensure delivery of the projects.

 

Cross-organisational consultation has occurred in relation to the submission of grants, and the communication of successful and unsuccessful grants.  Where grants were unsuccessful, internal stakeholders sought and received feedback from the grant funding body   


BYRON SHIRE COUNCIL

Staff Reports - General Manager                                                                                 13.1

 

 

Staff Reports - General Manager

 

Report No. 13.1           Lease over Byron Bay tennis courts to Andrew Bates Tennis Pty Ltd

Directorate:                 General Manager

Report Author:           Paula Telford, Leasing and Licensing Coordinator

File No:                        I2018/2402

 

 

Summary:

 

Council resolved (18-606) to place on public exhibition for 28 days, the proposal to grant Andrew Bates Tennis Pty Ltd a five year lease with a further five year option to renew for the operation and management of the Byron Tennis courts. Council received two submissions from the public exhibition, both submissions objected to the grant of the proposed lease.

 

Council must now consider submissions received before determining whether or not to grant the proposed lease.

 

As a result of objecting submissions being received, Council is required to seek the consent from the NSW Minister for Local Government to permit the grant of the proposed lease to Andrew Bates Tennis Pty Ltd and satisfy the Minister that it has considered the objecting submissions.

 

Council resurfaced all four tennis courts and carried out other works to the facility prior to the commencement of a new lease. 

 

Refurbishment works were carried out between 3 January and 1 February 2019 inclusive and required full closure of the tennis facility. 

 

It is recommended that Council waive the following rent payable by Andrew Bates Tennis Pty Ltd during the period of full closure being 3 January to 1 February 2019 (30 days) inclusive (a total rent of $1,758 (inc GST)).

 

  

 

RECOMMENDATION:

1.       That Council, having considered all submissions received, in accordance with s47(5)(a) and s46 of the Local Government Act 1993, Council grant a five year lease with a five option to renew to Andrew Bates Tennis Pty Ltd for the operation and management of the Byron tennis courts being part of the Byron Bay Recreation Grounds.

 

2.       That Council make an application for the consent of the NSW Minister for Local Government for the lease proposed in point one above.

 

3.       That Council authorise the waiving of $1,758 (inclusive of GST) in rent payable by Andrew Bates Tennis Pty Ltd, being 30 days between 3 January to 1 February 2019, inclusive, during which period the full closure of the Byron tennis courts was required for refurbishment works by Council. 

 

Attachments:

 

1        Submission opposing lease to Andrew Bates Tennis Pty Ltd by  M Singleton, J Nicholson, D Kydd, H Theodore & C Moyles, E2018/116389  

2        Submission opposing lease to Andrew Bates Tennis by Andrea Monks., E2018/116391  

REPORT

 

Council at its 24 September 2018 Ordinary Meeting resolved (18-606):

 

1.   That Council resolves to grant a five (5) year lease with a five (5) year option to renew for the operation and management of the Byron tennis courts in folio 444/28/758207 and located at the corner of Tennyson and Carlyle Streets Byron Bay to Andrew Bates Tennis Pty Ltd.

 

2.   That Council authorise the publication of the proposed grant of a five (5) year lease with a five (5) year option to renew for the operation and management of the Byron tennis courts to Andrew Bates Tennis Pty Ltd for a period of 28 days seeking public comment.

 

3.   That in the event no comments objecting to the grant of the lease are received, that Council delegate to the General Manager the authority to consider all submissions and enter into the lease referred to in 1 above.

 

4.   That in the event that objecting comments are received then Council make an application for the consent from the NSW Minister for Local Government for the lease, referred to in 1, to be granted.

 

Section 47(4) of the Local Government Act 1993 (NSW) requires Council to consider all submissions duly made before granting the proposed lease.

 

Submissions received from the public exhibition:

 

Council publicly advertised the proposed lease to Andrew Bates Tennis Pty Ltd from 4 October to 1 November 2018, in accordance with section 47(1) of the Local Government Act 1993 (NSW)  and received two submissions objecting to the grant of the proposed lease.

 

Objections are summarised below:

 

Objection

Council response

Reason for decision

Concerned that the tennis courts are a community resource and should be run in the best interest of the community.

 

Council has previously determined that tennis courts are best run via formal tenant agreements. A lease is expressly authorised by the Plan of Management for the land.

 

The entering into formal tenant agreement was an outcome of an audit conducted by Council. Formal agreements allow Council to enforce compulsory reporting, ensure access to facilities by persons with a disability and non-members and require the tenant to become less reliant on financial assistance from Council.

 

Concerned that commercialisation of the tennis courts denies meaningful community input into how the courts are run.

 

Council has previously determined that formal tenant agreements may only be entered into following a competitive and transparent process.

 

 

A competitive tender process was run by Council in July 2018. That process ensured Council engaged the most suitable candidate to operate and manage the tennis facility.  The tender was open to the public and five submissions were received.

 

Concerned that community access to the tennis courts is denied or restricted by Andrew Bates Tennis Pty Ltd (‘ABT’) by the setting of membership and court hire fees significantly higher in comparison to the a neighbouring community club managed tennis facility.

 

A formal tenant agreement will require the holder to provide a minimum level of service.

The Plan of Management requires that terms and conditions of any lease need to reflect the interests of Council, the public and ensure proper management and maintenance.

 

The proposed lease will set a minimum service level:

 

- a variety of memberships with flexible payment options;

 

- a court hire option for non-members; and

 

- a coaching service that provides equal access for all persons.

 

Concerned that profits come before community needs as demonstrated by ABT denying access to free court hire in evenings and restricting access to shower amenities to non-members.

 

Issue of graffiti on shade cloth attached to outer fencing of the tennis courts.

Council is working with local police and social services to address graffiti within the shire.

 

Council aims to prevent graffiti through education.

Issue size, colour and location of signage attached to the tennis courts.

Council is investigating the signage and will take necessary action if non-compliant.

 

To improve the amenities for all residential premises surrounding the tennis courts.

Issue of noise and privacy from patrons using the tennis kiosk facility.

Council will investigate ways in which to reduce noise emanating from the tennis courts kiosk.

 

Lawfulness of signage on footpath.

Council has requested that all A-frame signage is removed from public footpath in front of the Byron Tennis courts.

 

The facility should be a child secure area.

Council will request that the tennis facility entrance gate is self closing.

 

Use of tennis facility for permitted uses only.

The proposed lease provides that the facility may only be used for the purpose of tennis related activities.

 

Issue of the effect of floodlighting on neighbouring residences.

Council is reviewing lighting of the tennis courts and will take into account the impact of lighting on surrounding residents in that review.

 

Issue of staff and patron parking.

Lawful parking on the road reserve is permitted. Issues of damages to the road reserve and dust will be investigated by Council’s Works Unit.

 

 

 

 

Mess at the Tennis building and need for greater responsibility for upkeep of courts, fencing and screening

Council will investigate reported mess and take necessary action. The proposed lease formalises parties’ responsibilities for maintenance to the tennis courts.

 

Issue of court hire fees and management of fees.

As a commercial leasing agreement, the Lessee has discretion to set court hire fees.

 

Council aims to improve the condition and appearance of the Byron Tennis courts to attract greater community involvement in tennis.

No community advantage in granting a ten year lease.

Council considers the advantage of a ten-year lease terms is to allow the Lessee to implement its business plans and to recoup the cost of capital expenditure required to bring the tennis courts up to a standard required by NSW Tennis during the term of the lease.

 

Council must now consider all submissions made, together with Council’s response to each concern in determining whether or not to grant of the proposed five year lease with a five year option to renew to Andrew Bates Tennis Pty Ltd.

 

Should Council determine to grant the proposed lease to Andrew Bates Tennis Pty Ltd, the resolution together with other required information, including that submissions were considered, must be forwarded to the NSW Minister for Local Government seeking the Minister’s consent to grant the proposed lease.

 

Consent from the Minister is required because Council received two objecting submissions opposing the grant of the proposed lease to Andrew Bates Tennis Pty Ltd.

 

In seeking Ministerial consent Council is required to submit a statement setting out the manner in which and the extent to which the public interest would, in the Council’s opinion, be affected by the granting of the proposed lease. The following matters are pertinent in this regard:

 

1.       The granting of the lease to a commercial operator may adversely affect the public interest in the operations of tennis courts on community land. The extent to which public interest would be adversely affected is dependent on the availability of the courts for public access.

 

2.       The manner in which the needs of Byron Bay with respect to the proposed lease over the tennis courts on community land may be adversely affected is by the failure by the Lessee to maintain the tennis facility.  The extent to which public interest would be adversely affected is dependent on terms of the lease.

 

In determining whether the public interest and needs of the Byron community in regard to the community land is adversely affected by the granting of the proposed lease to Andrew Bates Tennis Pty Ltd, the following advantages and disadvantages are relevant:

 

·        Advantages

o   To promote public access and inclusion to the Byron Tennis courts through:

§  Terms of the lease that requires:

·        Public access by non-members;

·        A variety of membership options with flexible payment options;

·        Coaching services that provides for equal access for all persons or all ages and disabilities; and

·        Options for persons with a disability to bring a personal coach during public access to the courts.

 

o   To provide services and tennis development opportunities to the Byron community  through:

§  Recommending the Lessee is affiliated with NSW Tennis, participates in Tennis Australia coaching courses and offers NSW Tennis club programs and development opportunities to tennis club members.

 

o   To improve the condition and appearance of the Byron Tennis courts to attract greater community involvement through:

§  Terms of the lease gives greater clarity in responsibilities for upgrades and maintenance;

§  Rent under the lease will enable Council to financially assist with asset renewals; and

§  Monitoring under the lease will ensure the Lessee’s planned maintenance and capital improvement works are carried out.

 

o   To create self sufficiency in the Lessee and less reliance on Council’s financial assistance through:

§  Security provided by the lease gives eligibility to the Lessee to apply for grants;

§  The term of the lease will allow the Lessee to implement his business plans; and

§  Permit the facility to be hired.

 

·        Disadvantages

o   The Lessee has discretion to determine times for public access to the courts and facilities, the types of membership options, hire fees and coaching services and the Lessee’s decisions may not suit everyone’s needs.

o   Lessee’s affiliation with NSW Tennis provides no assurance that services, programs and development opportunities will meet the tennis needs of the Byron community.

o   A self-sufficient Lessee will likely prioritise his business actions for commercial gain rather than community needs.

o   Council’s priorities for asset renewals within the Byron Tennis court facility may differ from the Lessee’s priority.

The advantages of granting the proposes lease outweigh the disadvantages because the new lease provides a means for Council to improve the condition and appearance of the Byron Tennis courts to attract greater involvement by the community in tennis.

 

Operation and refurbishment of the Byron tennis courts

 

Andrew Bates Tennis Pty Ltd will continue to manage the Byron tennis courts under a temporary licence agreement until a decision regarding consent is provided by the NSW Minister for Local Government.

 

In tendering for the operation and management of the Byron tennis courts, Council disclosed that it would be resurfacing all four tennis courts and carrying out other works to the facility prior to the commencement of a new lease. 

 

Refurbishment works were carried out between 3 January and 1 February 2019 inclusive and required full closure of the tennis facility. 

 

A resolution of Council is sought to waive the following rent payable by Andrew Bates Tennis Pty Ltd during the period of full closure of the Byron tennis courts being:

 

·        Period 3 January to 1 February 2019 (30 days) inclusive at total rent of $1,758 (inc GST).

 

STRATEGIC CONSIDERATIONS

 

Community Strategic Plan and Operational Plan

CSP Objective

L2

CSP Strategy

L3

DP Action

L4

OP Activity

Community Objective 1:  We have infrastructure, transport and services which meet our expectations

1.2

Provide essential services and reliable infrastructure which meet an acceptable community standard

1.2.9

Develop capital upgrades, renewal and enhancements works program for buildings- including community buildings, public toilets, emergency services, sports club facilities and Council operations buildings (SP)

1.2.9.3

Consult with user groups to establish user agreements, leases, licenses and Plans of Management

 

Legal / Statutory / Policy Considerations

 

Local Government Act 1993 (NSW)

 

446A   Means of granting leases, licences and other estates

(1)      A plan of management is to specify, in relation to the community land to which it applies, any purposes for which a lease, licence or other estate may be granted only by tender in accordance with Division 1 of Part 3.

(2)      Nothing in this section precludes a council from applying a tender process in respect of the grant of any particular lease, licence or estate.

(3)      A lease or licence for a term exceeding 5 years may be granted only by tender in accordance with Division 1 of Part 3, unless it is granted to a non-profit organisation.

47   Leases, licences and other estates in respect of community land—terms greater than 5 years

(1)      If a council proposes to grant a lease, licence or other estate in respect of community land for a period (including any period for which the lease, licence or other estate could be renewed by the exercise of an option) exceeding 5 years, it must:

(a)      give public notice of the proposal (including on the council’s website), and

(b)      exhibit notice of the proposal on the land to which the proposal relates, and

(c)      give notice of the proposal to such persons as appear to it to own or occupy the land adjoining the community land, and

(d)      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.

(2)      A notice of the proposal must include:

•  information sufficient to identify the community land concerned

•  the purpose for which the land will be used under the proposed lease, licence or other estate

•  the term of the proposed lease, licence or other estate (including particulars of any options for renewal)

•  the name of the person to whom it is proposed to grant the lease, licence or other estate (if known)

•  a statement that submissions in writing may be made to the council concerning the proposal within a period, not less than 28 days, specified in the notice.

(3)      Any person may make a submission in writing to the council during the period specified for the purpose in the notice.

(4)      Before granting the lease, licence or other estate, the council must consider all submissions duly made to it.

(5)      The council must not grant the lease, licence or other estate except with the Minister’s consent, if:

(a)      a person makes a submission by way of objection to the proposal, or

(b)      in the case of a lease or licence, the period (including any period for which the lease or licence could be renewed by the exercise of an option) of the lease or licence exceeds 21 years.

(6)      If the council applies for the Minister’s consent, it must forward with its application:

•  a copy of the plan of management for the land

•  details of all objections received and a statement setting out, for each objection, the council’s decision and the reasons for its decision

•  a statement setting out all the facts concerning the proposal to grant the lease, licence or other estate

•  a copy of the public notice of the proposal

•  a statement setting out the terms, conditions, restrictions and covenants proposed to be included in the lease, licence or other estate

•  if the application relates to a lease or licence for a period (including any period for which the lease or licence could be renewed by the exercise of an option) exceeding 21 years, a statement outlining the special circumstances that justify the period of the lease or licence exceeding 21 years

•  a statement setting out the manner in which and the extent to which the public interest would, in the council’s opinion, be affected by the granting of the proposed lease, licence or other estate, including the manner in which and the extent to which the needs of the area with respect to community land would, in the council’s opinion, be adversely affected by the granting of the proposed lease, licence or other estate.

(7)      On receipt of the application, the Minister must request the Director of Planning to furnish a report concerning the application within such period as the Minister specifies.

(8)      After considering the application and any report of the Director of Planning, the Minister, if satisfied that:

(a)      subsections (1), (2) and (6) have been complied with, and

(b)      such consent would not contravene section 46, and

(c)      in all the circumstances, it is desirable to grant consent,

may consent to the granting of a lease, licence or other estate in respect of the whole or part of the land to which the application relates, subject to such terms and conditions as the Minister specifies.

(8AA)  The Minister may consent to a lease or licence referred to in subsection (5) (b) only if the Minister is satisfied that there are special circumstances that justify the period of the lease or licence exceeding 21 years.

(8A)    On request by any person, the Minister must provide that person, within 14 days of that request, with a written statement of reasons for consenting to, or refusing to consent to, the granting of a lease, licence or other estate in accordance with subsection (8).

(9)      The Minister’s consent is conclusive evidence that the council has complied with subsections (1), (2) and (6).

(10)    For the purposes of this section, any provision made by a lease or licence, or by an instrument granting any other estate, in respect of community land, according to which the council:

 

Financial issues

 

As set out in the report.

 

 

 


BYRON SHIRE COUNCIL

Staff Reports - General Manager                                                                                 13.2

 

 

Report No. 13.2           Railway Park rotunda location

Directorate:                 General Manager

Report Author:           Claire McGarry, Place Manager - Byron Bay

File No:                        I2019/46

Theme:                         General Manager

                                      General Manager

 

 

Summary:

 

In 2019, Council is upgrading Railway Park in Byron Bay.  The landscape plans for the upgrade include the relocation of a rotunda, currently occupied by the Byron Environment Centre, to meet design and safety objectives of the park redesign.

 

Council has active resolutions to:

a)      Seek Crown Lands approval to temporarily relocate the rotunda to Main Beach during Railway Park construction;

b)      Seek agreement on the long-term ownership, location and management of the rotunda; and

c)      Undertake an Expression of Interest process for the use of the rotunda by community groups.

 

The Byron Environment Centre:

a)      Forbid the relocation of the rotunda to Main Beach;

b)      Assert that the rotunda is owned by the BEC; and

c)      Request a Memorandum of Understanding between Council and the BEC formally donating the rotunda to the BEC and providing them with tenure for the rotunda in Railway Park.

 

This report seeks Council resolution regarding:

a)      The temporary location of the rotunda during Railway Park construction;

b)      The permanent location of the rotunda post-construction; and

c)      Ownership and occupation of the rotunda.

 

 

  

 

RECOMMENDATION:

1.       That Council relocate the rotunda to the road reserve at Wordsworth St during the Railway Park construction period.

 

2.       That Council nominate the permanent location of the Railway Park rotunda post-construction as [INSERT HERE].

 

3.       That Council sign a Memorandum of Understanding between Byron Shire Council and the Byron Environment Centre that:

a)      Nominates the permanent location for the rotunda; and

b)      Provides tenure for the BEC’s occupation of the rotunda for a period of X years, following amendment to Plan of Management.

 

4.       That staff follow the relevant process(es) and gain the necessary approvals to facilitate the permanent location and BEC tenure of the rotunda.

 

 

Attachments:

 

1        Letter from Byron Visitors Centre - response to rotunda temporary location (E2019/7261), E2019/7261  

2        BEC Engagement re Rotunda Vote 23.08.18 Ord Meeting.pdf, E2019/10984  

3        Plan of Management - Railway Park, Byron Bay - Post Exhibition Version (E2018/78998), E2018/78998  

4        Independent report - structural integrity of Railway Park rotunda December 2018 (E2019/7281), E2019/7281  

 

 


 

REPORT

 

 

Background

 

Construction in Railway Park is scheduled to begin in April 2019.

 

This report addresses three issues related to the rotunda located in Railway Park, to be resolved prior to construction:

1.   Temporary location;

2.   Permanent location; and

3.   Ownership and occupation.

 

The background to these issues are addressed separately below.

 

1.       Temporary location

 

This report addresses four options for temporary relocation of the rotunda:

a)   Relocation to Main Beach

b)   Remaining in place in Railway Park

c)   Relocation to Visitors Centre Reserve

d)   Relocation to the road reserve at Wordworth St

 

A)  Relocation to Main Beach

At its 23 August 2018 meeting, Council resolved (18-540) to:

 

1. Seek approval from Crown Lands to relocate the Rotunda to Apex Park until agreement is reached as to the ownership, location and management of the facility until the redevelopment work of Railway Park is completed, and

 

2. That if approval is obtained the costs of the relocation of the rotunda be reported to Council for identification of funding sources.

 

Staff have sought approval from Crown Lands and the Office of Local Government to temporarily relocate the rotunda to Apex Park and have been advised that under Section 44 of the Local Government Act, Council is not legislatively permitted to change the nature and use of Apex Park before a Plan of Management is adopted for the land.  The Office of Local Government further clarifies that “this means that Council cannot… grant a lease, licence or other estate over the land until a plan of management is in place.”

 

Before a PoM can be adopted, Council has to make an application for and receive Crown Lands’ authorisation for categorisation of the land under the Crown Lands Management Act 2016. Those applications are currently being prepared in accordance with Resolution 18-759 from 26 November 2018 meeting but the length of time Crown Lands will need to assess and reply to the applications is not known.

 

This advice from Crown Lands means that Part 1 of Resolution 18-540 cannot be actioned until a Plan of Management is adopted for Apex Park – timeframe unknown however a deadline of 30 June 2021 applies.

 

Further, in face-to-face meetings and written correspondence with the Byron Environment Centre (BEC), they have stated that they:

 

“expressly forbid Council from moving the rotunda to Main Beach.  We have previously conveyed our concerns on the beach front’s harsh salt laden winds adversely impacting on the BEC’s funded Arakwal-painted rotunda murals, and have provided a reasonable suggestion of an alternate site on the adjacent Visitors Centre Reserve.  We note your threat of acting in the face of our opposition and reiterate that we will protect our interest in the rotunda, and of our ownership and management of the culturally sensitive Arakwal murals.”

 

B)  Rotunda remains in Railway Park

The BEC’s strong preference is for the rotunda to remain in its current location during construction with protective fencing around it. Project managers advise that option is not viable in the context of the broader project, because of the impact this would have on services, earthworks, site preparation and paving. It adds complexities to the job and presents risks to both the structure itself and to project costs and timeframes.

 

C)  Relocation to Visitors Centre Reserve

If the rotunda remaining in situ during construction is not viable, the BEC request that the rotunda be temporarily relocated to the Visitors Centre reserve, in the location shown below.

 

The Visitors Centre is on a separate parcel of land that is classified as community land and is subject to a Plan of Management (PoM).  Under the Local Government Act 1993 (LG Act), community land can only be used in accordance with the PoM applying to the land.  The existing PoM for the Visitors Centre reserve does not include the rotunda’s operation as an objective for the land.  As a result, the rotunda could not be relocated to the Visitors Centre land without the PoM first being amended.

 

Subject to community feedback, the PoM could be amended to allow the location of the rotunda on the reserve although it is unlikely that this would be achievable by the Railway Park construction commencement date of April 2019, due to public notice requirements for amending PoMs under the LG Act, which include public exhibition and submissions periods of at least 42 days.

 

Assuming the community did not object to amending the PoM for the Visitors Centre land to allow for the relocation of the rotunda on to that site, if Council were to pursue this option, the earliest date for  a report to Council for adoption of a revised PoM would be May 2019. This option would delay the construction start date for Railway Park and the outcome of the community feedback cannot be assumed. This is particularly so, given that the lessees of the Byron Visitors Centre building have indicated their objection to the temporary relocation of the rotunda on to the Visitors Centre Reserve (attachment 1). Specifically, they note:

·        The impact this would have on visibility and access to the Visitors Centre and potential confusion created; and

·        The work that has been done with local police and Council to address antisocial behaviour on the Reserve.

 

The BEC believe relocation to the Visitors Centre Reserve would not require an amendment to the Plan of Management, just requiring a temporary exempt consent to be issued. While moving the rotunda to the visitors’ centre land might be permissible under the planning law (eg as exempt or complying development), the Local Government Act prohibits the rotunda’s relocation to the reserve without the PoM first being amended.

 

Ultimately, a temporary relocation to either Apex Park or the Visitors Centre Reserve will require a Plan of Management to be amended, or created, depending on the reserve. This would not be possible prior to April 2019.

 

D)  Relocation to the road reserve at Wordsworth St

The BEC have suggested that if options b) and c) above are not considered viable, their preference would be for the rotunda to be relocated to the road reserve adjacent to Wordsworth St – see site map below.

This location is part road reserve and part Crown Land already managed by the Byron Environment Centre, so would be considered the preferred option by staff.

 

It would require a Section 68 Roads Act approval to install a temporary structure on land.

 

A summary of the above options is outlined in the table below.

 

 

TEMPORARY

LOCATION

 

BEC RESPONSE

 

STAFF RECOMMENDATION

 

IMPLICATIONS

a)   Relocation to Apex Park

Not acceptable due to potential damage to the rotunda.

Not recommended

Adoption of a Plan of Management by 30 June 2021 – likely significant delays to the Railway Park upgrade.

b)   Remain in Railway Park

First preference

Not recommended

Increased risk to rotunda structure, project costs, project timeframes and quality of park upgrade.

 

c)   Relocation to Visitors Centre Reserve

Second preference

Not recommended

Would require an updated Plan of Management, which would delay the construction commencement date for Railway Park. Conflicts with other licencees on the reserve.

d)   Relocation to Wordsworth Street

Third preference

Preferred option

Railway Park upgrade progresses without additional risk to project costs or timeframes. Rotunda sits adjacent to Crown Reserve already managed by the Byron Environment Centre.

 

 

 

 

 

 

 

2.       Permanent location

 

The BEC’s strong preference is for the rotunda’s permanent location to be its existing site in Railway Park.

 

At the 23 August 2018 meeting, Councillors were presented with four options (A, B, C and D on map below) for the location of the rotunda in Railway Park, but did not resolve on a final permanent location.

 

The BEC request that the permanent location of the rotunda be in Railway Park at location A, C or D shown on the map.

 

An excerpt of the 23 August 2018 report is copied below which details the arguments for / against each of the locations, noting that location B is the preferred landscape architectural outcome.

The below table outlines the potential rotunda locations alongside commentary on the suitability of each location in the context of the overarching park design. The ‘design implications’ advice has been provided by Plummer and Smith – landscape architects engaged to design the Railway Park upgrade.

 

#

LOCATION

RATIONALE FROM BEC

DESIGN IMPLICATIONS

 

A

Existing location

·   High visibility

·   Close to street and thoroughfares

·   Cultural statement

 

 

Undesirable because:

·    Impedes view lines into and across the park – safety implications

·    Results in a visual and physical barrier on the front edge of the park

·    A key public gathering and street front location within the park is lost to locked ‘private’ space

·    Covers prime lawn locations

B

North-Eastern corner between tree stump and Jonson Street

Undesirable to BEC because:

·    Lack of visibility

·    Close to bank wall

·    Not close to thoroughfares

·    Utilises a currently under-utilised part of the park

·    Places structure in an area where lawn areas may struggle due to aspect

·    Opens view lines into and across the park

·    Retains tree stump in situ

·    Allows for tree plantings along bank wall

·    Central cottonwood trees remain the focus of the park for pedestrians crossing Jonson Street

C

A few metres north-east of existing location

·   High visibility

·   Close to street and thoroughfares

·   Central cottonwood trees remain focus of the park for pedestrians crossing Jonson Street

·    Undesirable because:

·    Results in a visual and physical barrier on the front edge of the park

·    A key public gathering and street front location is lost to locked ‘private’ space

·    Covers prime lawn locations

D

South-Eastern corner close to existing public phones

·   Allows space for events

·   Close to Jonson Street

·   View throughout the park

·   Indigenous art complements public art space

 

·    Impedes view lines into park – safety implications

·    Results in a visual and physical barrier on the front edge of the park- we are removing the toilet block from this location in an effort to open the park edge up and create a welcoming space

·    A key public gathering and street front location within the park is lost to locked ‘private’ space

·    Depending on the location it may be covering prime lawn locations

 

Please note that tender documentation for the upgrade reflects Site B as the permanent location for the rotunda, as this was the optimum location identified by the designer and the location in the concept plan adopted by Council.

 

Sites A, C and D will not have the necessary conduits in place so would require a tender variation if they were determined to be Council’s preferred option – cost implications unknown.

 

Additionally, if site A was to be chosen as the permanent location, a redesign of paving and associated tender variation would be required. Sites C or D would not require paving or planting re-design.

 

3.       Ownership and occupation

 

In a November 2017 report to Council  (see https://byron.infocouncil.biz/Open/2017/11/OC_23112017_AGN_612_WEB.htm item 13.35), staff outlined the history of the rotunda and the BEC’s occupation of it.  This history goes to a strongly arguable position that the rotunda is not owned by the BEC but by Council, given that it was constructed on Council land without authorisation or approval of a Plan of Management. Council does not make claim to ownership of the panels that were subsequently affixed to the rotunda by the BEC.

 

In subsequent correspondence (Attachment 2), the BEC objected to these claims and outlined its views on the history of the rotunda, including their claim to ownership, and stating it was built in accordance with Council’s regulations.

 

As a way forward, the BEC have requested a Memorandum of Understanding between Byron Shire Council and the BEC which requires:

a)      Council to consign any interest that the BSC has in the rotunda to the BEC as a donation;

b)      Council to agree to the permanent siting of the rotunda on one of the proposed 3 sites within Railway Park (A, C or D on map above); and

c)      Provides a BSC tenure agreement with the BEC for the rotunda’s occupation on BSC land in Railway Park.

 

Staff recommend retaining the rotunda as Council property, rather than donating it to the BEC because Australian law doesn’t recognise splitting the ownership of a building from the land it sits on. If the rotunda is going to be permanently located in Railway Park, it would need to be owned by Council with a lease or licence to the Byron Environment Centre.

 

If Council were to pursue a Memorandum of Understanding with the BEC addressing items b) and c) above, the Railway Park Plan of Management, adopted in October 2018, would need to be amended for reasons outlined below.

 

At its 26 June 2018 meeting, Council resolved (part 18-423):

 

4.       That if Council determines the rotunda remains within Railway Park the Plan of Management to include provision for an Expression of Interest process for use of the rotunda by community groups.

 

At its 18 October 2018 meeting, Council adopted the Railway Park Plan of Management (Attachment 3) which includes an action to ‘Undertake an Expression of Interest process for the use of the rotunda by community groups’.

 

If Council were to agree to the BEC’s request to provide them with tenure for the rotunda in Railway Park, the adopted Plan of Management (2018) would need to be amended to remove the ‘Expression of Interest’ process and nominate the BEC as tenants for a period of up to 21 years.

 

Key considerations

 

1.       Viability of rotunda relocation based on structural integrity

On 22 December 2018, local building company Quadracon were engaged by Council to conduct an assessment of the structural integrity of the rotunda to determine whether it was possible for it to be relocated.

 

Quadracon’s report (Attachment 4) concludes that “with careful consideration and due diligence to both the design of the proposed steel support cradle and lifting techniques we believe that the rotunda structure has been adequately constructed to with stand a careful relocation.”

 

An estimate of relocation costs by Quadracon is $16,000 - $18,000. In order to facilitate the return of the rotunda to its permanent location, staff have factored in $36,000 in relocation costs.

 

2.       Timing

The rotunda has to be relocated by April 2019 to enable the upgrade of Railway Park as per the tender process.

 

Options

 

The recommended option is that Council:

-        Temporarily relocate the rotunda to Wordsworth St during the construction period;

-        Nominate a permanent location for the rotunda in Railway Park;

-        Amend the Plan of Management for Railway Park; and

-        Formalise the permanent location and BEC tenure of the rotunda through an MoU between Byron Shire Council and the BEC.

 

Next steps

 

Subject to Council resolution, staff will:

1.       Notify the Byron Environment Centre of the temporary location for the rotunda during Railway Park construction.

2.       Negotiate a Memorandum of Understanding with the BEC formalising the permanent location and BEC tenure of the rotunda.

3.       Amend the Plan of Management for Railway Park

4.       Engage Quadracon or other suitably qualified company to relocate the rotunda prior to construction date for Railway Park.

5.       If necessary, adjust park designs and tender documentation to incorporate the permanent rotunda location.

6.       Arrange for the return of the rotunda to its permanent location once Railway Park construction is completed.

 

 

 

 

STRATEGIC CONSIDERATIONS

 

Community Strategic Plan and Operational Plan

CSP Objective

L2

CSP Strategy

L3

DP Action

L4

OP Activity

Community Objective 2: We cultivate and celebrate our diverse cultures, lifestyle and sense of community

2.3

Provide accessible, local community spaces and facilities

2.3.5

Maintain Public Open space in a safe and efficient way that provides for both active and passive recreation (SP)

2.3.5.1

Plan and deliver Open Space works programs based on defined levels of service

 

Legal/Statutory/Policy Considerations

 

Local Government Act Section 41, 44 and 46A

Crown Land Management Act 2016

Railway Park Plan of Management 2018

 

Financial Considerations

 

The rotunda relocation costs can be covered within the Railway Park upgrade project budget.

 

Consultation and Engagement

 

The General Manager, Mayor and staff have met with the Byron Environment Centre eight times over the past year in an attempt to reach agreement on the rotunda location, ownership and occupation. There has also been regular written correspondence on the same.

 

BEC representatives addressed Council during Public Access on 2 occasions during 2018 to speak on the same. BEC representatives also presented at the public hearing during the Railway Park Plan of Management process and provided written submissions on the same.

 

Additional consultation has also been undertaken with Crown Lands in relation to Apex Park, and the Byron Visitors Centre in relation to their reserve.


BYRON SHIRE COUNCIL

Staff Reports - General Manager                                                                                 13.3

 

 

Report No. 13.3           Former Byron hospital project update

Directorate:                 General Manager

Report Author:           Claire McGarry, Place Manager - Byron Bay

File No:                        I2019/71

Theme:                         General Manager

                                      General Manager

 

 

Summary:

 

In June 2018, Byron Shire Council, on behalf of the community, submitted a proposal to the NSW Department of Premier and Cabinet to return the Byron hospital to the local community to “provide vital and currently lacking welfare, social, cultural and educational services” for the Byron community.

 

In November 2018, the NSW Government accepted this proposal and announced that Council could purchase the site from the State Government for $1. At the time of writing, a draft sales contract has not been received so conditions of sale are unknown.

 

While NSW Health have been drafting up a sale contract, staff have been working with the original community Steering Committee to begin project planning, beginning with identifying potential governance models.

 

This report provides an update on the work undertaken to date to progress the project, and outlines next steps subject to conditions of sale of the site.

 

 

  

 

RECOMMENDATION:

1.       That Council note the work undertaken to date to progress the Byron hospital project.

 

2.       That staff continue to work with the Steering Committee to progress the operational lease model identified from the range of models available.

 

3.       That Council continue to receive progress updates on the project including:

-        Proposed site uses

-        Financial modelling

-        Detailed governance model implications

-        Proposed lease terms

 

4.       That staff work with NSW Health to negotiate sale conditions that meet the project objectives adopted by Council and submitted to the State Government.

 

Attachments:

 

1        Draft Governance Model Options for former Byron Bay Hospital - Version 1, E2019/10988  

 

 


 

REPORT

 

In June 2018, Byron Shire Council, on behalf of the community, submitted a proposal to the Department of Premier and Cabinet to return the Byron hospital to the local community (Attachment 1) “providing vital and currently lacking welfare, social, cultural and educational services”.

 

In November 2018, Ben Franklin MLC and Minister for Health Brad Hazzard announced that the proposal had been accepted and that Council could purchase the site from the State Government for $1.

 

In December 2018, Council resolved (18-826) to:

1.       Note the effectiveness and success of the old Byron Bay Hospital Community Steering Committee to develop and submit the successful application to the NSW Department of Health to obtain ownership of the old Byron Bay Hospital by the community

2.       Work with the steering committee to provide a report that provides recommendations as to establishing a Community Board to manage the operations within the old hospital site

3.       Receive this report at the first Ordinary Council meeting of 2019

4.       Write to the Minister of Health, the Hon. Brad Hazard, the local MP, the Hon Tamara Smith and to the Hon. Ben Franklin MP thanking them for their support of the Byron Bay community and for their efforts to ensure the hospital remains a facility of and for the community                                                               

This report addresses Part 2 of the above resolution.

 

Staff have begun preliminary investigations into governance model options for the project to ascertain which model(s) the Steering Committee and Council would consider workable for this project, and what the processes / requirements are to establish them.

 

Staff have identified at least 11 governance models that could be considered for this project. Each has varying levels of:

-     impost on Council (cost, resourcing and risk)

-     degree of community involvement

-     process complexity and

-     level of autonomy and decision-making power.

 

Governance model options are outlined in the attached Research Paper (Attachment 1). In December 2018, the committee were provided with this research paper for consideration and further investigation. In order to determine the most appropriate model, a number of project objectives were developed, outlined below.

 

Project objectives

 

The steering committee’s objectives for any governance structure include:

1.   Maximise opportunities to harness grant, public and philanthropic funds.

2.   Maintain capacity to access low interest loans to part-fund re-development.

3.   Enable employment of staff.

4.   Minimise red tape.

5.   Ensure high level of transparency and medium-high level of autonomy.

6.   Enable the generation of income (for-profit) that can be redistributed to community services associated with the project.

In addition, Council’s objectives for any governance structure include:

1.         Continuation of leadership by the community steering group.

2.         Demonstration of Council’s leadership and commitment to Community Led Governance Principles including supporting co-design, co-delivery and optimising use of public spaces.

3.         Transparency, accountability, effectiveness (including sound risk management) and efficiency (including cost-effectiveness).

4.         Statutory compliance.

 

In addition, a shared objective of State Government, Steering Committee and Council is:

1.       That the governance model be as replicable as possible, as this appears to be a first in NSW.

 

Options

 

Staff developed a Research Paper outlining 11 governance model options for consideration for this project. Models included:

·        Direct service delivery

·        Section 355 committee

·        Lease of operational land

·        Lease of community land

·        Service contract

·        Public Private Partnership

·        Incorporated Association (owned by Council)

·        Company limited by guarantee (Ltd)

·        Company limited by shares (Pty Ltd)

·        Company Limited by guarantee – charitable foundation

·        Company limited by shares – full private ownership

These models have varying degrees of risk and liability for Council.

 

Of the 11 models presented, the steering committee initially considered a model whereby Council would set up a management committee to run the facility on their behalf – essentially a 355 committee. The research paper indicates this model not being a preferred model for Council. The scale and complexity of the site and project is beyond Council’s expertise to manage and under a 355 committee model would present a high level of risk.

 

Subsequently, the group have recommended an operational lease model whereby:

1.       The Steering Committee establish an incorporated association for charitable purposes, in which all profits must be put back into the association’s activities

2.       Council provide the incorporated association with a lease of the facility to use and operate as per the terms of the lease.

Examples of this model include Fletcher Street (Golden Breed), ACE Mullumbimby, Katia Nursery.

 

The attached research paper outlines some key factors for consideration in this model, including:

-     Level of transparency

-     Approval requirements

-     Risk responsibility

-     Establishment and ongoing costs

 

The benefits of this model are that it:

1.       Meets the objectives of all three groups

2.       Has the capacity to provide a dividend to Council via a lease

3.       Does not present a significant amount of process complexity

4.       Enables Council to build facility management requirements into lease terms and conditions

5.       Enables the establishment of a skills-based community board

6.       Enables the Board to make tenancy decisions

7.       Enables a reinvestment of rent per year back in to community services associated with the facility

 

The risks of this model are:

1.       Community concerns over lack of competitive process – this can be mitigated through communication and engagement and an adherence to the proposal presented to and accepted by the State Government

2.       Risk of failed project – the success of the Steering Committee to date in securing the site for community use is evidence in favour of proceeding with the steering committee who have the skills and experience to deliver a project of this type and scale. Additionally, if the project fails the liability lies with the incorporated association running it – Council’s role is essentially as a landlord.

3.       Competing interests in the community – the proposed uses for the site, as detailed in the proposal to State Government, form clear parameters for the project. Additionally, lease conditions could include the publication of Association’s documentation to ensure transparency of decision-making regarding tenancies

 

Next steps

 

Staff have been working with NSW Health to finalise a contract of sale for the site. At the time of writing, a draft contract has not been received by NSW Health so the proposed terms and conditions are not known at this stage. It is anticipated that a draft contract will be received prior to the 28 February Council meeting date, and staff comments will be provided to Councillors in a memorandum prior to the meeting.

 

Simultaneously, staff will continue to work with the steering committee to progress the operational lease model, and return to Council with further detail on how this model would work and how it meets the objectives of Council, the steering committee and the broader community.

 

STRATEGIC CONSIDERATIONS

 

Community Strategic Plan and Operational Plan

CSP Objective

L2

CSP Strategy

L3

DP Action

L4

OP Activity

Community Objective 1:  We have infrastructure, transport and services which meet our expectations

1.2

Provide essential services and reliable infrastructure which meet an acceptable community standard

1.2.7

Optimise Council’s property portfolio (SP)

1.2.7.3

Investigate Byron Bay Hospital development options

Legal/Statutory/Policy Considerations

 

Local Government Act Section 55

Council’s Partnership Policy

 

Financial Considerations

 

Progression of the proposal for a governance model for the project can be done within existing staff resources.

 

Future progress reports to Council on this project will include detailed financial modelling and considerations regarding building repair and maintenance, as well as ongoing holding costs.

 

Consultation and Engagement

 

Staff have been working closely with the community steering committee and will continue to do so. A communications and engagement plan for the broader project will be developed to ensure the broader community is informed and consulted on relevant project elements.

 

 


BYRON SHIRE COUNCIL

Staff Reports - General Manager                                                                                 13.4

 

 

Report No. 13.4           Crown Lands Transition - Additional information R65234, Federal

Directorate:                 General Manager

Report Author:           Shannon McKelvey, Executive Officer

File No:                        I2019/135

                                       

 

 

Summary:

 

On 22 November 2018 a  report outlining the first steps in the transition of management of Crown Reserves in the Shire was provided. Council resolved to apply for classifications and categorisations for most reserves and to defer consideration of some reserves pending further enquiries. Initial desktop enquiries have been completed for Reserve R65234 at Federal and this report provides updated information and recommendations for that reserve.

 

  

 

RECOMMENDATION:

That Council  for Reserve R65234 at Keyes Bridge Federal, apply to the Minister administering the Crown Lands Management Act for a Community classification and Natural Area, Bushland categorisation.

 

 

 

 

 

 


 

REPORT

 

A report outlining the first steps in the transition of management of Crown Reserves in the Shire was provided to the 22 November 2018 meeting at which time Council resolved, in part (Res 18-757):

 

1.       That Council resolve to apply to the Minister administering the Crown Lands Management Act for initial classifications and categorisations set out in Attachments … with the exception of the following parcels of land:  …

 

ii)         Reserve  65234 Rubbish depot, be noted that further review is required

 

….                                

 

This report includes additional information following a desktop review of available information for Reserve 65234.

 

Extent of Reserve

 

Reserve R65234 is adjacent to Keyes Bridge, on Coorabell Road near Federal. It is popular with locals as a point of access to the river and bush regeneration  works have been undertaken on it and adjoining Crown reserve. 

 

Council was gazetted Trust Manager for Reserve 65234 (shown red with yellow edge below) in 1935, however, it was not identified as a Council managed reserve in the mapping supplied to Council by NSW Department of Industry – Crown Lands (DOI-CL) recently.

 

 

 

Local Lands Services (LLS), an arm of Department of Primary Industries, are responsible for management of the adjoining Reserve R65234 (shown in green with purple edge above), which is gazetted for the purpose of a travelling stock route. LLS issued a Grazing Stock Permit to Federal Park Landcare in 2015 for R65234.

 

As a matter of practicality, in future it may be preferable to regularise the two reserves but that is not something that Council can do now for a variety of reasons. For now, Council’s priority is to classify and categorise the one reserve under its gazetted management R65234 and the adjoining reserve can be considered as part of the land program, the start date of which hasn’t been set yet.

 

Further Enquiries

 

As per Resolution 18-757, further desktop enquiries into R65234 have been carried out including:

 

-     Trove data base for historical government gazettes;

-     Council document, CRM and property management databases;

-     NSW Environmental Protection Agency (EPA) contaminated land databases;

-     EPA – Protection of the Environment Operations Act licenced and former licensed activities database;

-     NSW Department of Primary Industries – Cattle dip and buffer database;

-     NSW Local Land Services permit records;

-     Historical aerial photographs of the reserve.

 

Beyond the original gazettal that identified its future use as a rubbish tip, no documents have been found so far that indicate that the site has been for that purpose.  It is not unusual for Crown Reserves to have been gazetted for a future purpose that did not eventuate.

 

The historical aerial photographs of the Reserve do not appear to show storage of material or opening up of the ground within the reserve and appear to show either relatively even coverage of grass, and later vegetation, at the time of the photos.   Other than the position of the river, which has changed over time, there does not appear to been any significant changes in the nature or use of the reserve between aerial photographs until recent times which show bush regeneration.

 

The reserve is located on the outside of the bend in the river in an area that could be affected by high velocity flows during flooding events, with potential for any sub-surface material to be exposed during events. Also, over recent years, bush regeneration activities have been carried out on the site and a path across the reserve is heavily used to access the river near the reserve. Council’s Customer Request Management system does not contain any records of anyone reporting issues of potential contamination, unearthed materials, pollutants or odours and no requests for site clean-up post floods at the reserve.

 

The information identified by the desktop review is not evidence that the Reserve was not historically used for dumping of rubbish, however, there is nothing currently available to indicate that it was used for that purpose.

 

It would be unusual to incur additional costs on more detailed enquiries when there is nothing available to indicate that the site was actually used for the originally gazetted purpose. If the desktop enquiries are satisfactory, Council can proceed to resolve to apply to the Minister to seek classification of the land. 

 

Classification and Categorisation

 

Approximately 1/3rd of the reserve is identified as wildlife corridor in the Biodiversity Conservation Strategy. That part of the reserve is required to be categorised as Natural Area under s36C of the Local Government Act.

 

If the land were Council owned land, staff would recommend part categorisation as Natural Area and part Categorisation as Park. However, under the transitional arrangements DOI-CL are allowing councils to allocate only one category where there was only one gazetted purpose. Therefore the Reserve must, according to DOI-CL’s requirements and the Act, be initially categorised as Natural Area and it is recommended that it be allocated a sub-category of Bushland.

 

The core objectives of land categorised as Natural Area are conservation, maintenance of land in a natural state and community use/access to the land in ways that minimise or mitigate disturbance caused by human intrusion. The objectives of a Bushland subcategory include:

 

·    environmental protection and enhancement;

·    protection of recreational and educational values of the land;

·    management that protects and enhances values and facilities public enjoyment in a way that minimises or mitigates disturbance.

 

Categorisation as Natural Area – Bushland, will generate the need for a site-specific Plan of Management (PoM) which will need to either be prepared in-house when staff resources permit or at cost to Council by a consultant. There is no immediate proposal to change any current uses on the reserve so the preparation of the required Plan of Management (PoM) not urgent, particularly compared to a number of other reserves where projects may become stalled until the required PoMs are prepared.

 

STRATEGIC CONSIDERATIONS

 

Community Strategic Plan and Operational Plan

CSP Objective

L2

CSP Strategy

L3

DP Action

L4

OP Activity

Community Objective 2: We cultivate and celebrate our diverse cultures, lifestyle and sense of community

2.3

Provide accessible, local community spaces and facilities

2.3.8

Meet requirements for the transition of management of Crown Land to Council under the Crown Lands Management Act 2018

2.3.8.1

Complete required applications to Minister for initial classification and categorisation of applicable reserves and one-off applications

Community Objective 2: We cultivate and celebrate our diverse cultures, lifestyle and sense of community

2.3

Provide accessible, local community spaces and facilities

2.3.8

Meet requirements for the transition of management of Crown Land to Council under the Crown Lands Management Act 2018

2.3.8.2

Plan prioritisation, resourcing and timetables for Plans of Management for Crown Reserves

 

Legal/Statutory/Policy Considerations

 

As set out in the report above.

 

Financial Considerations

 

The site has largely been maintained recently as a volunteer bush regeneration site and partly as a road reserve area. There are no current proposals to change those uses or the way the site is maintained that would generate a need for a budget allocation at this stage.

 

The required applications under the Crown Lands Management Act are being prepared with existing staff resources. Once those applications are determined by the Minister, preparation of Plans of Management will occur either using existing staff resources, as time permits, or using consultants at Council cost. Council received $30,000 funding from DOI-CL to prepare Plans of Management, which staff estimate will be inadequate to cover the actual cost of that work for all reserves.

 

Consultation and Engagement

 

Staff met with some Federal community members briefly for guidance on which long standing locals we could speak with to make further enquiries if that became necessary but that need has not eventuated.

 

  


BYRON SHIRE COUNCIL

Staff Reports - Corporate and Community Services                                          13.5

 

 

Staff Reports - Corporate and Community Services

 

Report No. 13.5           Report of the Public Art Panel meeting 29 November 2018

Directorate:                 Corporate and Community Services

Report Author:           Joanne McMurtry, Community Project Officer

File No:                        I2018/2400

Theme:                         Corporate Management

                                      Community Development

 

 

Summary:

 

A Public Art Panel meeting was held on 29 November 2018 to consider a progress report on the Public Art Strategy and the revised designs for the ‘Elevate’ sculpture proposed for Mullumbimby Sculpture Walk.

 

 

  

 

RECOMMENDATION:

1.       That Council:

 

I)       Notes the report of progress of the Public Art Strategy since its adoption in August 2018.

 

II)      Endorses the projects for 2019, being:

 

          a) Review the Public Art Guidelines and Criteria considering the updated Public Art Policy, new Public Art Strategy and noting these Guidelines were last reviewed in 2014.

 

          b) Develop a conservation and maintenance framework for existing Council-          owned public artworks across the Shire including listing these as assets of           Council on Council’s Asset Management System.

 

          c) Undertake a priority public art commission as outlined in the Strategy once           budget allocation and capital works programs have been confirmed.

 

2.       Approves the new sculpture for Mullumbimby Sculpture Walk, ‘Elevate’ by Ellen Ferrier and requests the final engineering and construction drawings be circulated to the Panel prior to fabrication and construction.

 

3.       Notes two resignations from the Public Art Panel from Kellie O’Dempsey and Kelly Reiffer.

 

 

 

 

 


 

REPORT

 

A Public Art Panel (PAP) meeting was held on 29 November 2018 to consider a progress report on the Public Art Strategy (refer information below) and the revised designs for the ‘Elevate’ sculpture proposed for Mullumbimby Sculpture Walk.

 

A copy of the Agenda for the Public Art Panel meeting of 29 November 2018 can be found at https://byron.infocouncil.biz/Open/2018/11/PAP_29112018_AGN_824_AT_WEB.htm.  The Panel made recommendations to Council as described in the recommendations of this report.

 

Recommendation 1.II.c will be reviewed with the PAP following the lessons learned from the Bayshore Drive Roundabout public art project.

 

Council is asked to note that two resignations have been received from Public Art Panel members: Kellie O’Dempsey (resigned 4/12/18) and Kelly Reiffer (resigned 1/2/19).

 

Public Art Strategy - Progress Report

 

The Public Art Strategy was developed during 2017/18 following consultation with the Public Art Panel (PAP). The Strategy was adopted by Council in August 2018. Progress for the Strategy actions is provided below.

 

The Public Art Strategy provides a framework for Council’s planning and decision making in relation to the commissioning and acquisition of public art, as well as its ongoing care and maintenance.

 

The vision articulated in the strategy is to position Byron Shire as an arts and cultural capital of Northern NSW with vibrant, contemporary public art through an innovative program that reflects and promotes the unique character and lifestyle of the region.

 

It provides a framework for:

 

1.       Focal areas for public art, with priority projects – Bayshore Drive Roundabout; Bangalow Weir; Suffolk Park Education Land; water/sewer infrastructure and Ocean Shores town entry.

2.       Integrating art into public works, for example, public amenities upgrades

3.       Pooling funds to deliver high quality permanent artworks

4.       Strong curatorial direction & project management.

5.       Building strength into the Development Control Plan

6.       Partnerships with community

7.       Conservation and maintenance

8.       Advocacy and education

9.       Deferment of gifts

 

Progress

 

The Strategy articulates a clear direction for Council which has resulted in a productive year of public art outcomes. At the time of meeting the following projects were underway:

 

Focal areas for public art – commissions

 

Bayshore Drive Roundabout public art commission

 

Artist: Corey Thomas

Artwork: The Lighthouse

Value: $55,000

Completion date: December 2018

 

Railway Park public art commission

 

Artist: Giovannie Veronesi

Artwork: Memento Aestates

Value: $80,000

Completion date: October 2019 (TBC)

 

Integrating art into public works

 

Bus Shelters artistic treatment

 

Artist: to be determined

Artwork: design to be purchased and incorporated into durable material to replace glass panels in bus shelters

Value: to be determined

Completion date: tbc

 

Public Art Chapter in Development Control Plan

 

A review has been conducted by the Public Art Panel, an amendment drafted and Councillors have received a presentation at a Strategic Planning Workshop. Steps to completion are outlined below.

 

Final draft of amendment reported to Council

13 December

Preparation for exhibition with a minimum 28 day public exhibition period

Submissions close March in preparation for April reporting

Review of submissions, required amendments & Report to Council

April meeting 2019

 

Developments that have come to the Public Art Panel for feedback in the past year include:

 

·    YHA Byron Bay renovations

·    Habitat development

·    Mercato development

 

Partnerships with the Community

 

1.   Partnership with Creative Mullumbimby

 

The MOU between Council and Creative Mullumbimby has resulted in the following deliverables from the Public Art Strategy:

·    REVIVE sculpture launched as part of the Mullumbimby Sculpture Walk

·    Elevate sculpture in process of being assessed with Public Art Panel members included on assessment committee with Creative Mullumbimby

·    Two day public art course delivered with Council to potential artists.This meets the education and advocacy area of the Strategy with the course outlining what it takes to deliver high quality public art outcomes.

 

The MOU provides a point of reference for Council and Creative Mullumbimby to work together in achieving public art outcomes in Byron Shire.

 

 

2.   Brunswick Nature Sculpture Walk

 

Council provided financial assistance for the Brunswick Nature Sculpture Walk 2018 of $10,000 to:

 

·    Enable established interstate artists to provide workshops for local sculptors and community

·    Acquire a permanent sculpture for Brunswick Heads

·    Curate sculptures

 

 

STRATEGIC CONSIDERATIONS

 

Community Strategic Plan and Operational Plan

CSP Objective

L2

CSP Strategy

L3

DP Action

L4

OP Activity

Community Objective 2: We cultivate and celebrate our diverse cultures, lifestyle and sense of community

2.1

Support and encourage our vibrant culture and creativity

2.1.3

Enhance opportunities for interaction with art in public spaces

2.1.3.1

Implement Public Art Strategy

 

 

Legal / Statutory / Policy Considerations

 

Public Art Policy

Public Art Strategy

Public Art Guidelines and Criteria

 

Financial Considerations

 

There are no financial implications to this report.

 

Consultation and Engagement

 

This report provides the minutes of the Public Art Panel, made up of 6 community representatives, 2 invited members and 2 councillors.

 


BYRON SHIRE COUNCIL

Staff Reports - Corporate and Community Services                                          13.6

 

 

Report No. 13.6           National General Assembly of Local Government 2019

Directorate:                 Corporate and Community Services

Report Author:           Heather Sills, Corporate Governance Officer

File No:                        I2019/3

Theme:                         Corporate Management

                                      Councillor Services

 

 

Summary:

 

The National General Assembly of Local Government will be held from 16 to 19 June 2019 in Canberra. The Call for Motions Discussion Paper requires that motions from Councillors are to be lodged by 29 March 2019.

 

This report is provided in accordance with Council’s Policy Councillor Expenses and Facilities 2018, Clause 6.36 “A resolution of Council is required to authorise attendance of Councillors at…b) National General Assembly of Local Government as a voting delegate”

 

 

  

 

RECOMMENDATION:

That Council:

 

1.       Authorises two Councillors (_______________) to attend the 2019 National General Assembly of Local Government to be held at the National Convention Centre in Canberra from 16 to 19 June 2019 and nominates Cr (______) as the voting delegate.

 

2.       Considers endorsement of any motions for submission to the National General Assembly, at its Ordinary meeting scheduled for Thursday, 28 March 2019, to meet the lodgement deadline with ALGA of Friday, 29 March 2019.

 

 

 

 

 


 

REPORT

 

Council has received the program and registration details for the National General Assembly of Local Government (NGA) to be held in Canberra from 16 to 19 June 2019. The theme for the 2019 NGA is ‘future focused’, acknowledging that the Assembly will be held after a federal election and the sector needs to come together to deliver in collaboration for our communities.

 

Council’s Policy Councillor Expenses and Facilities 2018, Clause 6.36 states “A resolution of Council is required to authorise attendance of Councillors at…b) National General Assembly of Local Government as a voting delegate”

 

Council is entitled to one voting delegate in the debating session.

 

Conference Motions

 

The Councillor Expenses and Facilities 2018 Policy also states at clause 6.40 that “Submission of motions to the … National General Assembly for consideration by Council will be done by notice of motion, which can be considered during the year.”

 

As motions to the NGA are to be received by the Australia Local Government Association (ALGA) no later than 11:59pm on 29 March 2019. and must first be endorsed by Council prior to submission, a memo was provided to Councillors informing them of the above deadline.

 

Staff will submit any adopted motions to ALGA on behalf of a Councillor/s prior to the deadline.

 

Call for Motions

 

The NGA Call for Motions Discussion Paper outlines the challenges faced by Local Governments across Australia, including financial constraints; adapting to rapidly evolving technologies and community expectations of access to 24/7 services via websites, mobiles, and call centres; changes in demographics and population size; and preferred means of community engagement. These challenges are likely to be compounded by climate change, the ageing population, and further advances in disruptive technologies, including artificial intelligences.

 

The discussion paper further explains that these challenges may also be exacerbated by increasing community expectations about the level and types of service and infrastructure provided by councils and the community’s willingness to pay.

 

The full discussion paper is available from the following link: https://alga.asn.au/site/misc/alga/downloads/events/2019_NGA/2018-Discussion-Paper-WEB.pdf

 

Conference Details

 

Where:              National Convention Centre, Canberra, ACT

Dates:                Sunday 16 June to Wednesday 19 June 2019

 

Costs:

(per delegate)    Registration Fee (early bird received by 11 May 2019)                                $989.00

     Accommodation (approx) (4 nights)                                                           $1,000.00

                          Travel (approx.)                                                                                             $800.00

                          Total:                                                                                                          $2,789.00

 

 

 

 

Next steps

 

To be eligible for inclusion in the NGA Business Papers, and subsequent debate on the floor of the NGA, Motions must meet the following criteria:

 

·   be relevant to the work of local government nationally

·   be consistent with the themes of the NGA

·   complement or build on the policy objectives of your State and Territory local government association

·   be submitted by a council which is a financial member of its State or Territory local government association

·   propose a clear action and outcome

·   not be advanced on behalf of external third parties that may seek to use the NGA to apply pressure to Board members or to gain national political exposure for positions that are not directly relevant to the work of, or in the national interests of, local government.

 

Motions should be lodged electronically using the online form available on the NGA website at: www.alga.asn.au.  All Motions require, among other things, a contact officer, a clear national objective, a summary of the key arguments in support of the Motion, and endorsement of Council.  Motions should be received by ALGA no later than 11:59pm on Friday 29 March 2019, electronically in the prescribed format.

 

STRATEGIC CONSIDERATIONS

 

Community Strategic Plan and Operational Plan

CSP Objective

L2

CSP Strategy

L3

DP Action

L4

OP Activity

Community Objective 5:  We have community led decision making which is open and inclusive

5.6

Manage Council’s resources sustainably

5.6.11

Maintain effective relationships with key stakeholders, neighbouring local governments, government representatives and government agencies

5.6.11.2

Engage with government representatives and agencies

 

Legal/Statutory/Policy Considerations

 

In accordance with Council’s Policy Councillor Expenses and Facilities 2018  “A resolution of Council is required to authorise attendance of Councillors at …b) Australian Local Government Association National General Assembly as a voting delegate.”

 

Financial Considerations

 

Council has an allocation for conferences of $19,400 within the 2018/19 budget (2145.004). There is sufficient funding remaining to cover the cost of sending two delegates to the NGA.


BYRON SHIRE COUNCIL

Staff Reports - Corporate and Community Services                                          13.7

 

 

Report No. 13.7           Investments - 29 November to 31 December 2018

Directorate:                 Corporate and Community Services

Report Author:           James Brickley, Manager Finance

File No:                        I2019/28

Theme:                         Corporate Management

                                      Financial Services

 

 

Summary:

 

This report includes a list of investments and identifies Council’s overall cash position for the period 29 November to 31 December 2018 for Council’s information. 

 

This report is prepared to comply with Regulation 212 of the Local Government (General) Regulation 2005.

 

  

 

RECOMMENDATION:

That the report listing Council’s investments and overall cash position as at 31 December 2018 be noted.

 

 

 

 


 

Report

 

In relation to the investment portfolio for the period 29 November to 31 December 2018, Council has continued to maintain a diversified portfolio of investments. At 31 December 2018, the average 90 day bank bill rate (BBSW) for the month of December was 2.02%. Council’s performance to 31 December 2018 is 2.72%. This is largely due to the active ongoing management of the investment portfolio, maximising investment returns through secure term deposits, bonds and purchasing floating rate notes with attractive interest rates.

 

The table below identifies the investments held by Council as at 31 December 2018:

 

Schedule of Investments held as at 31 December 2018

 

Purch Date

Principal ($)

Description

CP*

Rating

Maturity Date

No Fossil Fuel 

Type

Interest Rate Per Annum

Current Value

24/03/17

1,000,000

NAB Social Bond (Gender Equality)

Y

AA-

24/03/22

N

B

3.25%

1,014,155.00

15/11/18

980,060

NSW Treasury Corp (Green Bond)

N

AAA

15/11/28

Y

B

3.00%

1,019,374.00

20/11/18

1,018,290

QLD Treasury Corp (Green Bond)

N

AA+

22/11/24

Y

B

3.00%

1,030,440.00

28/10/16

650,000

Teachers Mutual Bank

Y

BBB+

28/10/19

Y

FRN

3.17%

651,492.40

 

31/03/17

1,000,000

CBA Climate Bond

Y

AA-

31/03/22

N

FRN

3.25%

1,000,597.00

16/11/17

750,000

Bank of Queensland

Y

BBB+

16/11/21

N

FRN

2.63%

748,512.75

30/08/18

500,000

Bank Australia Ltd (Sustainability Bond)

Y

BBB+

30/08/21

N

FRN

3.20%

500,573.50

30/05/18

1,000,000

AMP Bank

Y

A

25/02/19

N

TD

2.80%

1,000,000.00

23/07/18

1,000,000

AMP Bank

N

A

21/01/19

N

TD

2.80%

1,000,000.00

01/08/18

1,000,000

Defence Bank

Y

BBB

30/01/19

Y

TD

2.75%

1,000,000.00

03/08/18

2,000,000

AMP Bank

N

A

30/01/19

N

TD

2.80%

2,000,000.00

06/08/18

2,000,000

NAB

Y

AA-

05/01/19

N

TD

2.67%

2,000,000.00

07/08/18

2,000,000

ME Bank

Y

BBB

04/02/19

Y

TD

2.70%

2,000,000.00

08/08/18

1,000,000

AMP Bank

N

A

08/02/19

N

TD

2.80%

1,000,000.00

27/08/18

1,000,000

Suncorp

Y

A+

25/01/19

Y

TD

2.65%

1,000,000.00

03/09/18

1,000,000

Bank Vic

Y

NR

07/01/19

Y

TD

2.76%

1,000,000.00

04/09/18

1,000,000

Suncorp

N

A+

01/03/19

Y

TD

2.70%

1,000,000.00

06/09/18

1,000,000

Bananacoast Credit Union

Y

NR

06/03/19

Y

TD

2.70%

1,000,000.00

06/09/18

1,000,000

Suncorp

N

A+

05/03/19

Y

TD

2.70%

1,000,000.00

12/09/18

1,000,000

Bankwest

Y

AA-

10/01/19

N

TD

2.65%

1,000,000.00

12/09/18

2,000,000

Suncorp

N

A

08/02/19

Y

TD

2.70%

2,000,000.00

17/09/18

1,000,000

The Capricornian Credit Union

Y

NR

17/01/19

Y

TD

2.80%

1,000,000.00

19/09/18

1,000,000

Maitland Mutual Building Society

Y

NR

17/01/19

Y

TD

2.80%

1,000,000.00

21/09/18

1,000,000

ME Bank

N

BBB

05/02/19

Y

TD

2.67%

1,000,000.00

21/09/18

1,000,000

Police Credit Union Limited (SA)

Y

NR

21/01/19

Y

TD

2.80%

1,000,000.00

24/09/18

1,000,000

Bankwest

N

AA-

22/01/19

N

TD

2.65%

1,000,000.00

28/09/18

1,000,000

Police Credit Union Limited (SA)

N

NR

02/01/19

Y

TD

2.85%

1,000,000.00

02/10/18

1,000,000

Police Credit Union Limited (SA)

N

NR

03/01/19

Y

TD

2.80%

1,000,000.00

03/10/18

2,000,000

Police Credit Union Limited (SA)

N

NR

04/01/19

Y

TD

2.80%

2,000,000.00

03/10/18

1,000,000

NAB

N

AA-

31/01/19

N

TD

2.66%

1,000,000.00

03/10/18

1,000,000

Hunter United Employees Credit Union

N

NR

01/04/19

Y

TD

2.80%

1,000,000.00

03/10/18

1,000,000

NAB

N

AA-

31/01/19

N

TD

2.66%

1,000,000.00

04/10/18

1,000,000

NAB

N

AA-

04/04/19

N

TD

2.70%

1,000,000.00

04/10/18

1,000,000

Australian Military Bank

Y

NR

03/04/19

Y

TD

2.80%

1,000,000.00

10/10/18

1,000,000

NAB

N

AA-

07/02/19

N

TD

2.66%

1,000,000.00

15/10/18

1,000,000

Suncorp

N

A

15/04/19

Y

TD

2.65%

1,000,000.00

15/10/18

1,000,000

Australian Military Bank

N

NR

15/02/19

Y

YD

2.77%

1,000,000.00

17/10/18

1,000,000

Police Credit Union Limited (SA)

N

NR

14/02/19

Y

TD

2.85%

1,000,000.00

25/10/18

1,000,000

NAB

N

AA-

22/02/19

N

TD

2.67%

1,000,000.00

29/10/18

1,000,000

Maitland Mutual Building Society

N

NR

14/02/19

Y

TD

2.80%

1,000,000.00

29/10/18

2,000,000

NAB

N

AA-

29/03/19

N

TD

2.69%

2,000,000.00

30/10/18

1,000,000

Australian Military Bank

N

NR

30/04/19

Y

TD

2.90%

1,000,000.00

30/10/18

2,000,000

Australian Military Bank

N

NR

28/02/19

Y

TD

2.87%

2,000,000.00

31/10/18

1,000,000

B & E Ltd (Bank of Us)

Y

NR

29/04/19

Y

TD

2.90%

1,000,000.00

31/10/18

2,000,000

NAB

N

AA-

29/03/19

N

TD

2.70%

2,000,000.00

02/11/18

1,000,000

B & E Ltd (Bank of Us)

N

NR

01/05/19

Y

TD

2.85%

1,000,000.00

02/11/18

1,000,000

NAB

N

AA-

04/03/19

N

TD

2.66%

1,000,000.00

12/11/18

1,000,000

B & E Ltd (Bank of Us)

N

NR

11/02/19

Y

TD

2.84%

1,000,000.00

15/11/18

1,000,000

Police Credit Union Limited (SA)

N

NR

14/05/19

Y

TD

2.70%

1,000,000.00

19/11/18

1,000,000

Summerland Credit Union

Y

NR

20/05/19

Y

TD

2.90%

1,000,000.00

26/11/18

1,000,000

Suncorp

N

A

27/05/19

Y

TD

2.70%

1,000,000.00

28/11/18

1,000,000

Maitland Mutual Building Society

N

NR

27/03/19

Y

TD

2.92%

1,000,000.00

28/11/18

1,000,000

B & E Ltd (Bank of Us)

N

NR

27/03/19

Y

TD

2.95%

1,000,000.00

28/11/18

1,000,000

Suncorp

N

A+

28/05/19

Y

TD

2.65%

1,000,000.00

29/11/18

2,000,000

NAB

N

AA-

29/04/19

N

TD

2.75%

2,000,000.00

03/12/18

1,000,000

Illawarra Credit Union

Y

NR

08/03/19

Y

TD

2.85%

1,000,000.00

07/12/18

2,000,000

Credit Union Australia

Y

BBB

07/12/20

Y

TD

3.02%

2,000,000.00

13/12/18

1,000,000

Summerland Credit Union

N

NR

13/12/19

Y

TD

3.01%

1,000,000.00

18/12/18

2,000,000

Beyond Bank Australia

Y

BBB

18/06/19

Y

TD

2.80%

2,000,000.00

N/A

2,890,350

CBA Business Online Saver

N

AA-

N/A

N

CALL

1.40%

2,890,350.67

12/01/18

1,519,852

NSW Treasury Corp

N

AAA

N/A

Y

CALL

2.40%

1,520,121.27

Total

73,308,552                                                                                                                                                                             

 

 

 

 

 

AVG

2.72%

73,375,616.59

 

Note 1.

CP = Capital protection on maturity

 

N = No Capital Protection

 

Y = Fully covered by Government Guarantee

 

P = Partial Government Guarantee of $250,000 (Financial Claims Scheme)

 

 

Note 2.

No Fossil Fuel ADI

 

Y = No investment in Fossil Fuels

 

N = Investment in Fossil Fuels

 

U = Unknown Status

 

Note 3.

Type

Description

 

 

B

Bonds

Principal can vary based on valuation, interest payable via a fixed interest, payable usually each quarter.

 

FRN

Floating Rate Note

Principal can vary based on valuation, interest payable via a floating interest rate that varies each quarter.

 

TD

Term Deposit

Principal does not vary during investment term. Interest payable is fixed at the rate invested for the investment term.

 

CALL

Call Account

Principal varies due to cash flow demands from deposits/withdrawals, interest is payable on the daily balance.

 

Environmental and Socially Responsible Investing

 

An additional column has been added to the schedule of Investments above, to identify if the financial institution holding the Council investment, has been assessed as a ‘No Fossil Fuel’ investing institution. This information has been sourced through www.marketforces.org.au and identifies financial institutions that either invest in fossil fuel related industries or do not. The graph below highlights the percentage of each classification across Council’s total investment portfolio in respect of fossil fuels only.

 

The notion of Environmental and Socially Responsible Investing is much broader than whether a financial institution as rated by ‘marketforces.org.au’ invests in fossil fuels or not. Council’s current Investment Policy defines Environmental and Socially Responsible Investing at Section 4.1 of the Policy which can be found on Council’s website

 

 

 

Council has an additional two investments with financial institutions that invest in fossil fuels but are nevertheless aligned with the broader definition of Environmental and Socially Responsible investments i.e.:

 

1.  $1,000,000 investment with the National Australia Bank maturing on 24 March 2022 known as a Social Bond that promotes Gender Equity.

2.  $1,000,000 investment with Commonwealth Bank maturing on 31 March 2022 known as a Climate Bond.

 

Investment Policy Compliance

 

 

The above table identifies compliance with Council’s Investment Policy by the proportion of the investment portfolio invested with financial institutions, along with their associated credit ratings compared to parameters in the Investment Policy. The parameters are designed to support prudent short and long-term management of credit risk and ensure diversification of the investment portfolio. Unfortunately the financial institutions currently offering investments in the ‘ethical’ area are mainly those with lower credit ratings (being either BBB or not rated at all i.e. credit unions).

 

Associated Risk

Progressively moving more of the investment portfolio into the ‘ethical’ space will lower the credit quality of the investment portfolio overall and continue to increase the organisation’s credit risk (i.e. exposure to potential default).  To monitor this issue the ‘Investment Policy Compliance’ table will now be produced for each monthly Investment Report to Council.

 

Currently Council is exceeding its policy benchmark for the proportion of the investment portfolio invested in financial institutions with low credit ratings or no credit rating (9% above tolerance). This means a greater proportion of Council’s investments have a higher level of exposure to credit risk than Council has determined via policy. To redress this risk, Council would need to invest more of the portfolio with institutions with higher credit ratings but this will reduce the percentage of the investment portfolio invested ethically. Over time it is likely that institutions with higher credit ratings will move more into the ethical investment space and this will continue to be monitored closely.

 

The investment portfolio is outlined in the table below by investment type for the period 29 November to 31 December 2018:

 

Dissection of Council Investment Portfolio as at 31 December 2018

 

Principal Value ($)

Investment Linked to:

Current Market Value ($)

Cumulative Unrealised Gain/(Loss) ($)

63,000,000.00

Term Deposits

63,000,000.00

0.00

2,900,000.00

Floating Rate Note

2,901,175.65

1,175.65

2,890,350.67

Business On-Line Saver (At Call)

2,890,350.67

0.00

1,519,852.21

NSW Treasury Corp (T Corp)

1,520,121.27

269.06

2,998,350.00

Bonds

3,063,969.00

65,619.00

73,308,552.88

 

73,375,616.59

67,063.71

 

The current value of an investment compared to the principal value (face value or original purchase price) provides an indication of the performance of the investment without reference to the coupon (interest) rate. The current value represents the value received if an investment was sold or traded in the current market, in addition to the interest received.

 

The table below provides a reconciliation of investment purchases and maturities for the period of 29 November to 31 December 2018 on a current market value basis. 

 

Movement in Investment Portfolio – 31 December 2018

Item

Current Market  Value (at end of month) $

Opening Balance at 29 November 2018

76,324,748.85

Add: New Investments Purchased

8,000,000.00

Add: Call Account Additions

3,500,000.00

Add: Interest from Call Account

4,326.37

Less: Investments Matured

14,000,000.00

Add: T Corp Additions

1,000,000.00

Add: Interest from T Corp

2,278.45

Less: Call Account Redemption

1,500,000.00

Less: T Corp Redemption

0.00

Add: Fair Value Movement for period

44,262.92

Closing Balance at 31 December 2018

73,375,616.59

Investments Maturities and Returns – 29 November to 31 December 2018

 

Principal Value ($)

Description

Type

Maturity Date

Number of Days Invested

Interest Rate Per Annum

Interest Paid on Maturity $

2,000,000.00

Suncorp

TD

29/12/18

90

2.65%

13,068.49

2,000,000.00

NAB

TD

14/12/18

106

2.63%

15,275.62

2,000,000.00

Beyond Bank

TD

18/12/18

183

2.75%

27,575.34

2,000,000.00

ME Bank

TD

07/12/18

182

2.84%

28,322.19

1,000,000.00

Hunter United Employee Credit Union

TD

17/12/18

91

2.80%

6,980.82

1,000,000.00

Gateway Credit Union

TD

07/12/18

122

2.78%

9,292.05

1,000,000.00

Gateway Credit Union

TD

18/12/18

183

2.90%

14,539.73

1,000,000.00

Beyond Bank

TD

10/12/18

154

2.75%

11,602.74

1,000,000.00

The Capricornian

TD

17/12/18

91

2.80%

6,980.82

1,000,000.00

Bank Vic

TD

10/12/18

88

2.78%

6,702.47

14,000,000.00

 

 

 

 

 

140,340.27

 

The overall ‘cash position’ of Council is not only measured by what funds Council has invested but also by what funds Council has retained in its consolidated fund or bank account for operational purposes. In this regard, for the month of December 2018 the table below identifies the overall cash position of Council as follows:

 

Dissection of Council Cash Position as at 31 December 2018

 

Item

Principal Value ($)

Current Market Value ($)

Cumulative Unrealised Gain/(Loss) ($)

Investments Portfolio

 

 

 

Term Deposits

63,000,000.00

63,000,000.00

0.00

Floating Rate Note

2,900,000.00

2,901,175.65

1,175.65

Business On-Line Saver (At Call)

2,890,350.67

2,890,350.67

0.00

NSW Treasury Corp (T Corp)

1,519,852.21

1,520,121.27

269.06

Bonds

2,998,350.00

3,063,969.00

65,619.00

Total Investment Portfolio

73,308,552.88

73,375,616.59

67,063.71

 

 

 

 

Cash at Bank

 

 

 

Consolidated Fund

1,707,330.60

1,707,330.60

  0.00

Total Cash at Bank

1,707,330.60

1,707,330.60

  0.00

 

 

 

 

Total Cash Position

75,015,883.48

75,082,947.19

0.00

 

 

 

 

STRATEGIC CONSIDERATIONS

 

Community Strategic Plan and Operational Plan

CSP Objective

L2

CSP Strategy

L3

DP Action

L4

OP Activity

Community Objective 5:  We have community led decision making which is open and inclusive

5.5

Manage Council’s finances sustainably

5.5.2

Ensure the financial integrity and sustainability of Council through effective planning and reporting systems (SP)

5.5.2.5

Identification of ethical investment opportunities with environmental and social inclusion outcomes

 

Legal/Statutory/Policy Considerations

 

In accordance with Regulation 212 of the Local Government (General) Regulation 2005, the Responsible Accounting Officer of Council must provide Council with a monthly report detailing all monies Council has invested under section 625 of the Local Government Act 1993.

 

The Report must be presented at the next Ordinary Meeting of Council after the end of the month being reported. The current Council Meeting cycle does not always allow this to occur, especially as investment valuations required for the preparation of the report are often received after the deadline for the submission of reports. Endeavours are being made to achieve a better alignment and for some months this will require reporting for one or more months.

 

Council’s investments are made in accordance with section 625(2) of the Local Government Act 1993 and Council’s Investment Policy. The Local Government Act 1993 allows Council to invest money as per the Minister’s Order – Forms of Investment, last published in the Government Gazette on 11 February 2011.

 

Council’s Investment Policy includes the objective of maximising earnings from authorised investments and ensuring the security of Council Funds.

 

Financial Considerations

 

Council uses a diversified mix of investments to achieve short, medium and long-term results.

 

 


BYRON SHIRE COUNCIL

Staff Reports - Corporate and Community Services                                          13.8

 

 

Report No. 13.8           Section 355 Management Committees - resignations and appointments

Directorate:                 Corporate and Community Services

Report Author:           Joanne McMurtry, Community Project Officer

File No:                        I2019/31

Theme:                         Society and Culture

                                      Community Development

 

 

Summary:

 

This report updates Council on recent resignations and proposed appointments to Section 355 committees.

 

  

 

RECOMMENDATION:

1.       That Council considers a new Councillor appointment to the Lone Goat Gallery Board of Management, and appoints Councillor ______________________.

 

2.       That the resignation of Melissa Tonnet from the South Golden Beach Hall Management Committee be accepted and that a letter of thanks be provided.

 

 

 

 


 

Report

 

This report details resignations and proposed new appointments for Section 355 committees where nominations have been received.

 

Lone Goat Gallery Board of Management

 

A resignation has been received from Cr Jan Hackett from the Lone Goat Gallery Board.

 

Current members on this Board of Management are:

 

Councillors

·        Cr Simon Richardson (alternate)

 

Community Representatives:

·        Margaret White

·        Maureen Lightfoot (Treasurer)

·        Denise Napier (Chair)

·        Faye Dorczak (Secretary)

 

Management Recommendation: 

 

That Council considers a new Councillor appointment to the Board.

 

South Golden Beach Hall

 

A resignation has been received from Melissa Tonnet from the South Golden Beach Hall Management Committee.

 

Current members on this Management Committee are:

 

Councillors

·    Cr Basil Cameron

·    Cr Sarah Ndiaye (alternate)

 

Community Representatives

·    Lotte Boer

·    Zerina Millard (Chair)

·    Jennifer Parenteau

·    Gabrielle Ranaldi (Secretary)

·    Maureen Lightfoot (Treasurer)

·    Tony Horrigan (bookings)

·    Ana Mantuaneli

·    Melissa Tonnet

 

Management Recommendation

 

That the resignation from Melissa Tonnet from the South Golden Beach Hall Management Committee be accepted and that a letter of thanks be provided.

 

 

 

 

 

STRATEGIC CONSIDERATIONS

 

Community Strategic Plan and Operational Plan

CSP Objective

L2

CSP Strategy

L3

DP Action

L4

OP Activity

Community Objective 1:  We have infrastructure, transport and services which meet our expectations

1.2

Provide essential services and reliable infrastructure which meet an acceptable community standard

1.2.9

Develop capital upgrades, renewal and enhancements works program for buildings- including community buildings, public toilets, emergency services, sports club facilities and Council operations buildings (SP)

1.2.9.1

Deliver program in consultation with community groups, s355 committees, Council asset managers and Plans of Management

 

Legal / Statutory / Policy Considerations

 

Management Committees and Boards of Management operate under Guidelines which state:

 

3.2 Committee Membership

Committee membership will number not less than four and not more than nine and each committee will state the actual number in their Terms of Reference unless otherwise decided by Council. The exception will be the Bangalow Parks (Showground) committee which numbers twelve. Council reserves the right to appoint up to two Councillors to each Committee. The total number of members includes office bearer committee members and Councillor members which are appointed by Council. 

 

Whilst no particular qualifications are necessary (not withstanding 3.1.a), a commitment to the activities of the Committee and a willingness to be actively involved in Committee issues is essential. Committees work best when the workload is shared amongst committee members and there is evident goodwill and cooperation amongst members.

 

Further information on the operations and meeting minutes for these Committees and Boards can be found on Council’s web site at https://www.byron.nsw.gov.au/Council/Committees-and-groups/Section-355-Committees-and-Boards-of-Management.

 

Financial Considerations

 

Community Members of Section 355 Management Committees are volunteer positions unless otherwise resolved by Council.

 

Consultation and Engagement

 

Section 355 Committee members are nominated in response to an open period of advertising calling to fill a vacancy. To hold office and be responsible for the management of a Council facility, all community committee members will be assessed against a set of criteria. Nominations are formally submitted in writing to Council for appointment.


BYRON SHIRE COUNCIL

Staff Reports - Corporate and Community Services                                          13.9

 

 

Report No. 13.9           Council Resolutions Quarterly Review - 1 October to 31 December 2018

Directorate:                 Corporate and Community Services

Report Author:           Heather Sills, Corporate Governance Officer

File No:                        I2019/64

Theme:                         Corporate Management

                                      Governance Services

 

 

Summary:

 

This report provides an update on the status of Council resolutions.

 

Council should note that 169 resolutions were completed during the period 1 October to 31 December 2018. This is an increase of 65 resolutions compared with the same time period in 2017.

 

There were 91 active resolutions as at 31 December 2018. This is an increase of 19 resolutions compared with the previous reporting period as at 30 September 2018, on which date there were 72 active resolutions.

 

Resolutions could be active or overdue as a result of budget constraints, staff resourcing, extended negotiations with stakeholders, or other reasons.

 

  

 

RECOMMENDATION:

1.       That Council notes the information provided in this report on active Council Resolutions in Attachment 1 (#E2019/4388).

 

2.       That Council notes the completed Resolutions in Attachment 2 (#E2019/4390).

 

Attachments:

 

1        Active Resolutions as at 31 December 2018, E2019/4388  

2        Completed Resolutions - 1 October to 31 December 2018, E2019/4390  

 

 


 

Report

 

This report provides a quarterly update on the status of Council Resolutions to 31 December 2018.

As at 31 December 2018:

 

·   169 resolutions were completed since 1 October 2018

·   91 resolutions remained active

·   65 of the active resolutions were overdue

 

The active Council resolutions per Council terms are provided below:

 

·   89 active Council Resolutions from current Council (2016-2020)

·   2 active Council Resolutions from previous Council (2012-2016)

 

Details of completed resolutions for the period are provided at Attachment 2 (E2019/4390). 

 

STRATEGIC CONSIDERATIONS

 

Community Strategic Plan and Operational Plan

CSP Objective

L2

CSP Strategy

L3

DP Action

L4

OP Activity

Community Objective 5:  We have community led decision making which is open and inclusive

5.6

Manage Council’s resources sustainably

5.6.10

Use business insights and strategic business planning to  continuously improve (SP)

5.6.10.2

Support development of performance measures for council services

 

Legal / Statutory / Policy Considerations

 

·     Council requires a quarterly report be prepared to allow it to consider the quarterly Operational Plan and Quarterly Budget reviews along with a review of Council Resolutions.

·     Implementation of Council Resolutions in accordance with the Local Government Act 1993.

·     This report has been prepared in accordance with Part 3c) of Resolution 14-417.

 

Financial issues

 

A number of resolutions note that resource constraints limit completion of action required.

 


BYRON SHIRE COUNCIL

Staff Reports - Corporate and Community Services                                        13.10

 

 

Report No. 13.10         Delivery Program 6-monthly Report and 2018/19 Operational Plan Second Quarter Report - Q2 - 1 July to 30 December 2018

Directorate:                 Corporate and Community Services

Report Author:           Heather Sills, Corporate Governance Officer

File No:                        I2019/65

 

 

Summary:

 

Council’s Operational Plan outlines its projects and activities to achieve the commitments in its four-year Delivery Program. In accordance with the Local Government Act 1993 progress reports must be provided at least every six months.

 

This report represents the first ‘6-monthly edition’ of the Quarterly Report, providing an additional reporting layer regarding the Council’s progress toward the higher level actions of the Delivery Program.

 

This is an important component of the reporting cycle, focusing on the higher level commitments that the Councillors have made to the community for the duration of their term and also outlines the progress towards the recommendations from the 2018 Community Solutions Panel on infrastructure priorities. It provides an opportunity to reflect on whether the specific activities being undertaken are still working toward these priorities.

 

 

  

 

RECOMMENDATION:

1.       That Council notes the Delivery Program 6-monthly Report and 2018/19 Operational Plan Second Quarter Report for the period ending 30 December 2018 (Attachment 1 #E2019/2528).

 

2.       That Council adopts the proposed amendments to the Operational Plan 2018/19 outlined in Attachment 2 (#E2019/10091).

 

Attachments:

 

1        Delivery Program 6-monthly Report and Operational Plan Quarter Report - Q2 - to 31 December 2018, E2019/2528  

2        Quarter 2 Report - Proposed Amendments to Operational Plan, E2019/10091  

 

 


 

Report

 

The Delivery Program and Operational Plan are two key corporate documents that establish Council’s goals and priorities for the term of the Council and the current financial year.

 

The Delivery Program outlines the principal activities to be undertaken by the Council to implement the strategies established by the Community Strategic Plan, within the resources available under the Resourcing Strategy. All plans, projects, activities, and funding allocations must be directly linked to this program.

 

The Delivery Program is supported by the annual Operational Plan, which spells out the individual projects and activities that will be undertaken for the year to achieve the commitments made in the Delivery Program.

 

The General Manager is required to provide six monthly progress reports to the Council on the progress toward the delivery program, in accordance with the Local Government Act 1993 s404 which states:

 

“The general manager must ensure that regular progress reports are provided to the council reporting as to its progress with respect to the principal activities detailed in its delivery program. Progress reports must be provided at least every 6 months

 

While the requirement is six monthly reporting, the Council is provided with a Quarterly Report on the activities in the Operational Plan, to promote effective and efficient reporting and decision making.

 

This report details Council’s progress towards achieving the activities in the 2018-2019 Operational Plan. It includes a status update on progress and notes any highlights or exceptions where actions may be delayed or reprioritised. 

 

The report (Attachment 1 #E2019/2528) is structured by the five ‘Our Byron, Our Future’ Community Strategic Plan 2028 objectives:

·        Community Objective 1:   We have infrastructure, transport and services which meet our expectations

·        Community Objective 2:   We cultivate and celebrate our diverse cultures, lifestyle and sense of community

·        Community Objective 3:   We protect and enhance our natural environment

·        Community Objective 4:   We manage growth and change responsibly

·        Community Objective 5:   We have community led decision making which is open and inclusive

 

Each section notes the progress against the activities including:

·        Activity

·        Responsible directorate

·        Measure

·        Timeframe

·        Comments

·        Status

o   On track – Indicates that an activity is currently on track, taking into account the timeframe, measures, and budget

o   Needs attention – Indicates that the scope of the activity may need to be reviewed in line with constraints such as timeframe/budget

o   Not commenced – The activity is not due to have commenced or has not commenced

o   Critical – The activity will not be delivered on time and/or on budget

o   Completed – The activity has been completed in accordance with the prescribed measures

 

Key issues

 

It should be noted that this report is at 31 December 2018 and therefore since collation of the report, actions may have progressed.

 

Each quarter, amendments required to be made to the original Operational Plan are to be endorsed and adopted by Council. These amendments are provided in detail in Attachment 2 (#E2019/10091). The proposed amendments include:

·        new actions

·        changes to proposed timeframes

 

Proposed new activities are a result of:

·        revised priority

·        new legislation

·        conclusions of activity

·        omission from original plan, or

·        generated by resolutions of Council

 

STRATEGIC CONSIDERATIONS

 

Community Strategic Plan and Operational Plan

CSP Objective

L2

CSP Strategy

L3

DP Action

L4

OP Activity

Community Objective 5:  We have community led decision making which is open and inclusive

5.2

Create a culture of trust with the community by being open, genuine and transparent

5.2.1

Provide timely, accessible and accurate information to the community

5.2.1.3

Report on progress of Delivery Program actions

 

Legal/Statutory/Policy Considerations

 

The General Manager is required under Section 404 (5) of the Local Government Act 1993 to provide regular progress reports as to the Council’s progress with respect to the principal activities detailed in the Delivery Program/Operational Plan.  Progress reports must be provided at least every six months.

 

Financial issues

 

The Council’s financial performance for the reporting period is addressed in the Quarterly Budget Review, which is subject to a separate report included in this business paper.

 

Consultation and Engagement

 

The development of the Delivery Program was informed by extensive engagement around the Community Strategic Plan and specifically a Community Solutions Panel on infrastructure priorities.

 

The progress reports on the Delivery Plan will be published on Council’s website as a way of ensuring transparency around how Council is progressing activities and actions.  


BYRON SHIRE COUNCIL

Staff Reports - Corporate and Community Services                                        13.11

 

 

Report No. 13.11         Budget Review 1 October 2018 to 31 December 2018

Directorate:                 Corporate and Community Services

Report Author:           James Brickley, Manager Finance

File No:                        I2019/101

                                       

 

 

Summary:

 

This report is prepared to comply with Regulation 203 of the Local Government (General) Regulation 2005 and to inform Council and the community of Council’s estimated financial position for the 2018/2019 financial year, reviewed as at 31 December 2018.

 

This report contains an overview of the proposed budget variations for the General Fund, Water Fund and Sewerage Fund. The specific details of these proposed variations are included in Attachment 1 and 2 for Council’s consideration and authorisation.

 

Attachment 3 contains the Integrated Planning and Reporting Framework (IP&R) Quarterly Budget Review Statement (QBRS) as outlined by the Office of Local Government in circular 10-32.

 

  

 

RECOMMENDATION:

1.       That Council authorises the itemised budget variations as shown in Attachment 2 (#E2019/9717) which include the following results in the 31 December 2018 Quarterly Review of the 2018/2019 Budget:

 

a)      General Fund – $20,000 increase to the Estimated Unrestricted Cash Result

b)      General Fund - $835,300 increase in reserves

c)      Water Fund - $515,600 increase in reserves

d)      Sewerage Fund - $2,149,000 increase in reserves

 

 

2.       That Council adopts the revised General Fund Estimated Unrestricted Cash Result of $1,145,200 for the 2018/2019 financial year as at 31 December 2018.

 

 

 

Attachments:

 

1        Budget Variations for General, Water and Sewerage Funds, E2019/9752  

2        Itemised Listing of Budget Variations for General, Water and Sewerage Funds, E2019/9717  

3        Integrated Planning and Reporting Framework (IP&R) required Quarterly Review Statement, E2019/9716  

 

 


 

REPORT

 

Council adopted the 2018/2019 budget on 28 June 2018 via Resolution 18-429. It also considered and adopted the budget carryovers from the 2017/2018 financial year, to be incorporated into the 2018/2019 budget at its Ordinary Meeting held on 23 August 2018 via Resolution 18-522.  Since that date Council has reviewed the budget, taking into consideration the 2017/2018 Financial Statement results and progress through the first half of the 2018/2019 financial year.  This report considers the December 2018 Quarter Budget Review.

 

The details of the budget review for the Consolidated, General, Water and Sewer Funds are included in Attachment 1, with an itemised listing in Attachment 2.  This aims to show the consolidated budget position of Council, as well as a breakdown by Fund and Principal Activity. The document in Attachment 1 is also effectively a publication outlining a review of the budget and is intended to provide Councillors with more detailed information to assist with decision making regarding Council’s finances.

 

Attachment 1 has the following reporting hierarchy:

 

Consolidated Budget Cash Result

 

 

 


General Fund Cash Result     Water Fund Cash Result        Sewer Cash Result

 

 

 


Principal Activity                     Principal Activity                     Principal Activity

 

 

 


Operating Income       Operating Expenditure    Capital income    Capital Expenditure

 

 

The pages are presented (from left to right) showing the original budget as adopted by Council on 28 June 2018 plus the adopted carryover budgets from 2017/2018, followed by the resolutions between July and September, the September budget review, resolutions between October and December, the re-vote (or adjustment for this review) and then the revised position projected for 30 June 2019 as at 31 December 2018.

 

On the far right of the Principal Activity, there is a column titled “Note”.  If this is populated by a number, it means that there has been an adjustment in the quarterly review. This number corresponds to the notes at the end of the Attachment which explain the variation.

 

There is also information detailing restricted assets (reserves) to show Council estimated balances as at 30 June 2019 for all Council’s reserves.

 

A summary of Capital Works is also included by Fund and Principal Activity.

 

Office of Local Government Budget Review Guidelines:-

 

The Office of Local Government on 10 December 2010 issued the new Quarterly Budget Review Guidelines via Circular 10-32, with the reporting requirements to apply from 1 July 2011.  This report includes a Quarterly Budget Review Statement (refer Attachment 3) prepared by Council in accordance with the guidelines.

 

The Quarterly Budget Review Guidelines set a minimum standard of disclosure, with these standards being included in the Local Government Code of Accounting Practice and Financial Reporting as mandatory requirements for Council’s to address. 

 

Since the introduction of the new planning and reporting framework for NSW Local Government, it is now a requirement for Councils to provide the following components when submitting a Quarterly Budget Review Statement (QBRS):-

 

·   A signed statement by the Responsible Accounting Officer on Council’s financial position at the end of the year based on the information in the QBRS

 

·   Budget review income and expenses statement in one of the following formats:

o Consolidated

o By fund (e.g General, Water, Sewer)

o By function, activity, program etc to align with the management plan/operational plan

 

·   Budget Review Capital Budget

 

·   Budget Review Cash and Investments Position

 

·   Budget Review Key performance indicators

 

·   Budget Review Contracts and Other Expenses

 

The above components are included in Attachment 3:-

 

Income and Expenditure Budget Review Statement by Type – This shows Council’s income and Expenditure by type.  This has been split by Fund.  Adjustments are shown, looking from left to right.  These adjustments are commented on through the last 12 pages of Attachment 1.

 

Capital Budget Review Statement – This statement identifies in summary Council’s capital works program on a consolidated basis and then split by Fund.  It also identifies how the capital works program is funded. As this is the first quarterly review for the reporting period, the Statement may not necessarily indicate the total progress achieved on the delivery of the capital works program. 

 

Cash and Investments Budget Review Statement – This statement reconciles Council’s restricted funds (reserves) against available cash and investments.  Council has attempted to indicate an actual position as at 31 December 2018 of each reserve to show a total cash position of reserves with any difference between that position and total cash and investments held as available cash and investments.  It should be recognised that the figure is at a point in time and may vary greatly in future quarterly reviews pending on cash flow movements.

 

Key Performance Indicators (KPI’s) –  At this stage, the KPI’s within this report are:-

 

o Debt Service Ratio - This assesses the impact of loan principal and interest repayments on the discretionary revenue of Council.

 

o Rates and Annual Charges Outstanding Ratio – This assesses the impact of uncollected rates and annual charges on Councils liquidity and the adequacy of recovery efforts

 

o Asset Renewals Ratio – This assesses the rate at which assets are being renewed relative to the rate at which they are depreciating.

 

These may be expanded in future to accommodate any additional KPIs that Council may adopt to use in the Long Term Financial Plan (LTFP.)

Contracts and Other Expenses - This report highlights any contracts Council entered into during the October to December quarter that are greater then $50,000.

 

CONSOLIDATED RESULT

 

The following table provides a summary of the overall Council budget on a consolidated basis inclusive of all Funds budget movements for the 2018/2019 financial year projected to 30 June 2019 and revised as at 31 December 2018.

 

 

2018/2019 Budget Review Statement as at 31 December 2018

Original Estimate (Including Carryovers)

1/7/2018

 

Adjustments to 31 Dec 2018 including Resolutions*

Proposed 31 Dec 2018 Review Revotes

 

Revised Estimate 30/6/2019 at 31/12/2018

Operating Revenue

81,580,000

142,700

1,276,000

82,998,700

Operating Expenditure

86,541,800

4,618,000

678,200

91,838,000

Operating Result – Surplus/Deficit

(4,961,800)

(4,475,300)

597,800

(8,839,300)

Add: Capital Revenue

25,396,200

67,800

(9,807,900)

15,656,100

Change in Net Assets

20,434,400

(4,407,500)

(9,210,100)

6,816,800

Add: Non Cash Expenses

13,678,900

925,700

0

14,604,600

Add: Non-Operating Funds Employed

3,899,000

4,634,000

(1,000,000)

7,533,000

Subtract: Funds Deployed for Non-Operating Purposes

(63,028,000)

(4,421,400)

13,730,000

(53,719,400)

Cash Surplus/(Deficit)

(25,015,700)

(3,269,200)

3,519,900

(24,765,000)

Restricted Funds – Increase / (Decrease)

(25,031,500)

(3,233,400)

3,499,900

(24,765,000)

Forecast Result for the Year – Surplus/(Deficit) – Unrestricted Cash Result

15,800

(35,800)

20,000

0

 

GENERAL FUND

 

In terms of the General Fund projected Unrestricted Cash Result, the following table provides a reconciliation of the estimated position as at 31 December 2018:

 

Opening Balance – 1 July 2018

$1,145,200

Plus original budget movement and carryovers

15,800

Council Resolutions July – September Quarter

(53,000)

Recommendations September Budget Review – increase/(decrease)

37,200

Council Resolutions October – December Quarter

($20,000)

Recommendations within this Review – increase/(decrease)

20,000

Forecast Unrestricted Cash Result – Surplus/(Deficit) – 30 June 2019

0

Estimated Unrestricted Cash Result Closing Balance – 30 June 2019

$1,145,200

 

The General Fund financial position overall has increased by $20,000 as a result of this budget review, bringing the forecast cash result back to zero. The cash result after the September budget review but before the December budget review was showing a $20,000 deficit due to the two Council resolutions below:  

 

Council Resolutions

 

Council has passed the following resolutions in the October to December quarter that have had an effect on the cash result:

 

·    Resolution 18-710 part 2 Matter of Urgency - Support for Drought Relief:

 

 “Allocate a budget of $10,000 in the 2018/2019 financial year, with approval for the trips to be delegated to the General Manager, and funded from unallocated revenue in 2018/19”.

 

·    Resolution 18-836 part 1 Funding for Tyagarah Beach Cameras:

 

That the $10,000 funding required for the Tyagarah Reserve cameras and related signage be immediately allocated from Council’s unrestricted reserve funds”. 

The proposed budget changes are detailed in Attachment 1 and summarised further in this report below.

 

Budget Adjustments

 

The budget adjustments identified in Attachments 1 and 2 for the General Fund have been summarised by Budget Directorate in the following table:

 

 

 

 

 

 

Budget Directorate

Revenue Increase/

(Decrease) $

Expenditure Increase/

(Decrease) $

Accumulated Surplus (Working Funds) Increase/ (Decrease) $

General Manager

212,800

212,800

0

Corporate & Community Services

2,000

(53,300)

55,300

Infrastructure Services

(10,538,100)

(10,472,000)

(66,100)

Sustainable Environment & Economy

48,500

17,700

30,800

Total Budget Movements

10,274,800

10,294,800

20,000

 

Budget Adjustment Comments

 

Within each of the Budget Directorates of the General Fund, are a series of budget adjustments identified in detail at Attachment 1 and 2.  More detailed notes on these are provided in Attachment 1 but in summary the major additional items included are summarised below by Directorate and are included in the overall budget adjustments table above:

 

General Manager

 

·   In the General Manager’s program it is proposed to increase the Legal Services budget by $104,000 to allow for the anticipated increase in legal costs prior to the end of the financial year.  This can be funded from the Legal Services reserve and legal fees recovered.  It is also proposed to add an income budget of $10,400 for documentation preparation and legal fees.  This is not a new budget but has been moved from the Corporate Services program.

 

·   In the People & Culture program, it is proposed to increase revenue by $98,400 for the annual WHS incentive payment ($27,700) and a Hindsight Performance payment ($70,700) and restrict the funds in the WHS Incentive reserve and People & Culture reserve respectively.

 

Corporate and Community Services

 

·   In the Information Services program it is proposed to increase revenue and expenditure by $39,400 due to the second instalment of the grant for the Smart Cities & Suburbs 3D Modelling Solutions project. It is proposed to increase revenue by a further $3,000 due to an increase in actual revenue received for document enquiries. It is also proposed to decrease operating expenditure for Authority maintenance ($20,000), Document Management maintenance ($8,000), data systems maintenance ($7,900) and lease payments for hardware, as actual expenditure will be under the current allocated budgets. These adjustments against revenue and expenditure are offset through support services costs allocated to other budget programs.

 

·   In the Corporate Services Program the document preparation and legal fee budget has been moved to the General Manager’s program ($10,400). It is proposed to decrease the budget for the Business Continuity program ($30,000) as the project will not be finalised this financial year and decrease insurance premiums for the Carriers Liability ($700) and Environmental Impairment Liability ($23,100) as the insurance premiums have been allocated to the Sewerage Fund.

 

·   In the Community Development program, it is proposed to decrease operating expenditure by $37,400 for the Tyagarah Recreation Club Lease. This has an offsetting revenue budget in the Open Space & Recreation program that has also decreased.

 

Infrastructure Services

 

·   In the Projects & Commercial Development program, it is proposed to decrease capital expenditure due to various works unlikely to be completed in the 2018/2019 financial year.

 

·   In the Local Roads and Drainage program, there are a number of adjustments outlined under Note 16 in the Budget Variations explanations section of Attachment 1.  Further disclosure is included in the fourth page of Attachment 2 under the budget program heading Local Roads and Drainage. 

 

·   In the Roads and Maritime Services program (RMS) it is proposed to transfer $872,600 from capital revenue to operating revenue for the correct revenue recognition recording of Natural Disaster funding.

 

·   In the Open Space and Recreation program, there are a number of adjustments outlined under Note 18 in the Budget Variations explanations section of Attachment 1.  Further disclosure is included in the fifth page of Attachment 2 under the budget program heading Open Space & Recreation. 

 

·   In the Waste & Recycling program it is proposed to increase the budget for the expansion of the Resource Recovery Centre ($317,000), increase the budget for the purchase of a loader ($100,000) and create a budget for the Solar Farm Project Initiation ($120,000).  These adjustments are funded through the Other Waste Management reserve.

 

·   In the Cavanbah Centre program, it is proposed to decrease capital expenditure by $85,000 for Trophy Cabinets ($15,000), Additional Building Storage ($20,000) and Grandstands ($50,000) as grant funding is not available for these projects. 

 

Sustainable Environment and Economy

 

·   In the Planning Policy & Natural Environment program, it is proposed to increase revenue by $37,400 due to a grant amendment for $5,000 for Beach Scraping, grant revenue for Byron Habitat Corridors ($18,200) and a grant instalment for the Flying Foxes program.  

 

WATER FUND

 

After completion of the 2017/2018 Financial Statements the Water Fund as at 30 June 2018 has a capital works reserve of $6,923,500 and held $3,857,800 in section 64 developer contributions.

 

The estimated Water Fund reserve balances as at 30 June 2019, and forecast in this Quarter Budget Review, are derived as follows:

 

Capital Works Reserve

 

Opening Reserve Balance at 1 July 2018

$6,923,500

Plus original budget reserve movement

(2,627,400)

Less reserve funded carryovers from 2017/2018

(375,700)

Resolutions July -  September Quarter – increase / (decrease)

0

September Quarterly Review Adjustments – increase / (decrease)

89,900

Resolutions October -  December Quarter – increase / (decrease)

0

December Quarterly Review Adjustments – increase / (decrease)

515,600

Forecast Reserve Movement for 2018/2019 – Increase / (Decrease)

(2,397,600)

Estimated Reserve Balance at 30 June 2019

$4,525,900

 

Section 64 Developer Contributions

 

Opening Reserve Balance at 1 July 2018

$3,857,800

Plus original budget reserve movement

(746,400)

Less reserve funded carryovers from 2017/2018

(503,800)

Resolutions July -  September Quarter – increase / (decrease)

(430,000)

September Quarterly Review Adjustments – increase / (decrease)

74,000

Resolutions October -  December Quarter – increase / (decrease)

0

December Quarterly Review Adjustments – increase / (decrease)

0

Forecast Reserve Movement for 2018/2019 – Increase / (Decrease)

(1,606,200)

Estimated Reserve Balance at 30 June 2019

$2,251,600

 

Movements for Water Fund can be seen in Attachment 1 with a proposed estimated increase to reserves (including S64 Contributions) overall of $515,600 from the 31 December 2018 Quarter Budget Review.

 

SEWERAGE FUND

 

After completion of the 2017/2018 Financial Statements the Sewer Fund as at 30 June 2018 has a capital works reserve of $8,706,800 and plant reserve of $704,400. It also held $9,051,600 in section 64 developer contributions.

 

 

 

Capital Works Reserve

 

Opening Reserve Balance at 1 July 2018

$8,706,800

Plus original budget reserve movement

(3,480,800)

Less reserve funded carryovers from 2017/2018

(1,454,800)

Resolutions July -  September Quarter – increase / (decrease)

(1,330,000)

September Quarterly Review Adjustments – increase / (decrease)

258,600

Resolutions October -  December Quarter – increase / (decrease)

0

December Quarterly Review Adjustments – increase / (decrease)

2,099,000

Forecast Reserve Movement for 2018/2019 – Increase / (Decrease)

(3,908,000)

Estimated Reserve Balance at 30 June 2019

$4,798,800

 

Plant Reserve

 

Opening Reserve Balance at 1 July 2018

$704,400

Plus original budget reserve movement

0

Less reserve funded carryovers from 2017/2018

0

Resolutions July -  September Quarter – increase / (decrease)

0

September Quarterly Review Adjustments – increase / (decrease)

0

Resolutions October -  December Quarter – increase / (decrease)

0

December Quarterly Review Adjustments – increase / (decrease)

0

Forecast Reserve Movement for 2018/2019 – Increase / (Decrease)

0

Estimated Reserve Balance at 30 June 2019

$704,400

 

Section 64 Developer Contributions

 

Opening Reserve Balance at 1 July 2018

$9,051,600

Plus original budget reserve movement

(27,900)

Less reserve funded carryovers from 2017/2018

(1,018,700)

Resolutions July -  September Quarter – increase / (decrease)

(1,020,000)

September Quarterly Review Adjustments – increase / (decrease)

(50,400)

Resolutions October -  December Quarter – increase / (decrease)

(856,000)

December Quarterly Review Adjustments – increase / (decrease)

50,000

Forecast Reserve Movement for 2018/2019 – Increase / (Decrease)

(2,923,000)

Estimated Reserve Balance at 30 June 2019

$6,128,600

 

Movements for the Sewerage Fund can be seen in Attachment 1 with a proposed estimated overall increase to reserves (including S64 Contributions) of $2,149,000 from the 31 December 2018 Quarter Budget Review.

 

Legal Expenses

 

One of the major financial concerns for Council over previous years has been legal expenses. Not only does this item represent a large expenditure item funded by general revenue, but can also be susceptible to large fluctuations. 

 

The table that follows indicates the allocated budget and actual legal expenditure within Council on

 a fund basis as at 31 December 2018.

 

 

 

 

 

 

Total Legal Income & Expenditure as at 31 December 2018

 

 

Program

2018/2019

Budget ($)

 

Actual ($)

Percentage To Revised Budget

Income

 

 

 

Legal Expenses Recovered

0

4,000

0%

Total Income

0

4,000

0%

 

 

 

 

Expenditure

 

 

 

General Legal Expenses

202,600

185,290

91.46%

Total Expenditure General Fund

202,600

185,290

91.46%

 

Note: The above table does not include costs incurred by Council in proceedings after 31 December 2018 or billed after this date. At the time of writing this report, Council has incurred an additional $7,135 of expenditure in January 2018 with a further commitment of $7,836. It is proposed to transfer an additional $100,000 from the Legal Services Reserve within this review to cover additional legal expenses expected this financial year. This will leave an estimated balance of $126,600 in the Legal Services reserve at 30 June 2019.

 

STRATEGIC CONSIDERATIONS

 

Community Strategic Plan and Operational Plan

CSP Objective

L2

CSP Strategy

L3

DP Action

L4

OP Activity

Community Objective 5:  We have community led decision making which is open and inclusive

5.5

Manage Council’s finances sustainably

5.5.1

Enhance the financial capability and acumen of Council

5.5.1.1

Financial reporting as required provided to Council and Management

 

Legal/Statutory/Policy Considerations

 

In accordance with Regulation 203 of the Local Government (General) Regulation 2005 the Responsible Accounting Officer of a Council must:-

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

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

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

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

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

 

Financial Considerations

 

This report indicates that the short term financial position of the Council is still satisfactory for the 2018/2019 financial year, having consideration of the original estimate of income and expenditure at the 31 December 2018 Quarter Budget Review.

 

This opinion is based on the estimated General Fund Unrestricted Cash Result position and that the current indicative budget position for 2018/2019 outlined in this Budget Review remains for the remainder of the 2018/2019 financial year.  It is also noted that Council will need to address the current level of the Legal Services Reserve.

 

 


BYRON SHIRE COUNCIL

Staff Reports - Corporate and Community Services                                        13.12

 

 

Report No. 13.12         Investments - 1 January to 31 January 2019

Directorate:                 Corporate and Community Services

Report Author:           James Brickley, Manager Finance

File No:                        I2019/159

                                       

 

 

Summary:

 

This report includes a list of investments and identifies Council’s overall cash position for the period 1 January to 31 January 2019 for Council’s information. 

 

This report is prepared to comply with Regulation 212 of the Local Government (General) Regulation 2005.

 

 

  

 

RECOMMENDATION:

That the report listing Council’s investments and overall cash position as at 31 January 2019 be noted.

 

 

 

 

 


 

REPORT

 

In relation to the investment portfolio for the period 1 January to 31 January 2019, Council has continued to maintain a diversified portfolio of investments. At 31 January 2019, the average 90 day bank bill rate (BBSW) for the month of January was 2.07%. Council’s performance to 31 January 2019 is 2.76%. This is largely due to the active ongoing management of the investment portfolio, maximising investment returns through secure term deposits, bonds and purchasing floating rate notes with attractive interest rates.

 

The table below identifies the investments held by Council as at 31 January 2019:

 

Schedule of Investments held as at 31 January 2019

 

Purch Date

Principal ($)

Description

CP*

Rating

Maturity Date

No Fossil Fuel 

Type

Interest Rate Per Annum

Current Value

24/03/17

1,000,000

NAB Social Bond (Gender Equality)

Y

AA-

24/03/22

N

B

3.25%

1,014,155.00

15/11/18

980,060

NSW Treasury Corp (Green Bond)

N

AAA

15/11/28

Y

B

3.00%

1,019,374.00

20/11/18

1,018,290

QLD Treasury Corp (Green Bond)

N

AA+

22/11/24

Y

B

3.00%

1,030,440.00

28/10/16

650,000

Teachers Mutual Bank

Y

BBB+

28/10/19

Y

FRN

3.17%

651,492.40

 

31/03/17

1,000,000

CBA Climate Bond

Y

AA-

31/03/22

N

FRN

3.25%

1,000,597.00

16/11/17

750,000

Bank of Queensland

Y

BBB+

16/11/21

N

FRN

2.63%

748,512.75

30/08/18

500,000

Bank Australia Ltd (Sustainability Bond)

Y

BBB+

30/08/21

N

FRN

3.20%

500,573.50

30/05/18

1,000,000

AMP Bank

Y

A

25/02/19

N

TD

2.80%

1,000,000.00

07/08/18

2,000,000

ME Bank

Y

BBB

04/02/19

Y

TD

2.70%

2,000,000.00

08/08/18

1,000,000

AMP Bank

N

A

08/02/19

N

TD

2.80%

1,000,000.00

04/09/18

1,000,000

Suncorp

Y

A+

01/03/19

Y

TD

2.70%

1,000,000.00

06/09/18

1,000,000

Bananacoast Credit Union

Y

NR

06/03/19

Y

TD

2.70%

1,000,000.00

06/09/18

1,000,000

Suncorp

N

A+

05/03/19

Y

TD

2.70%

1,000,000.00

12/09/18

2,000,000

Suncorp

N

A

08/02/19

Y

TD

2.70%

2,000,000.00

21/09/18

1,000,000

ME Bank

N

BBB

05/02/19

Y

TD

2.67%

1,000,000.00

03/10/18

1,000,000

NAB

N

AA-

01/04/19

N

TD

2.70%

1,000,000.00

03/10/18

1,000,000

Hunter United Employees Credit Union

Y

NR

01/04/19

Y

TD

2.80%

1,000,000.00

04/10/18

1,000,000

NAB

N

AA-

04/04/19

N

TD

2.70%

1,000,000.00

04/10/18

1,000,000

Australian Military Bank

Y

NR

03/04/19

Y

TD

2.80%

1,000,000.00

10/10/18

1,000,000

NAB

N

AA-

07/02/19

N

TD

2.66%

1,000,000.00

15/10/18

1,000,000

Suncorp

N

A

15/04/19

Y

TD

2.65%

1,000,000.00

15/10/18

1,000,000

Australian Military Bank

N

NR

15/02/19

Y

YD

2.77%

1,000,000.00

17/10/18

1,000,000

Police Credit Union Limited (SA)

Y

NR

14/02/19

Y

TD

2.85%

1,000,000.00

25/10/18

1,000,000

NAB

N

AA-

22/02/19

N

TD

2.67%

1,000,000.00

29/10/18

1,000,000

Maitland Mutual Building Society

Y

NR

14/02/19

Y

TD

2.80%

1,000,000.00

29/10/18

2,000,000

NAB

N

AA-

29/03/19

N

TD

2.69%

2,000,000.00

30/10/18

1,000,000

Australian Military Bank

N

NR

30/04/19

Y

TD

2.90%

1,000,000.00

30/10/18

2,000,000

Australian Military Bank

N

NR

28/02/19

Y

TD

2.87%

2,000,000.00

31/10/18

1,000,000

B & E Ltd (Bank of Us)

Y

NR

29/04/19

Y

TD

2.90%

1,000,000.00

31/10/18

2,000,000

NAB

N

AA-

29/03/19

N

TD

2.70%

2,000,000.00

02/11/18

1,000,000

B & E Ltd (Bank of Us)

N

NR

01/05/19

Y

TD

2.85%

1,000,000.00

02/11/18

1,000,000

NAB

N

AA-

04/03/19

N

TD

2.66%

1,000,000.00

12/11/18

1,000,000

B & E Ltd (Bank of Us)

N

NR

11/02/19

Y

TD

2.84%

1,000,000.00

15/11/18

1,000,000

Police Credit Union Limited (SA)

N

NR

14/05/19

Y

TD

2.70%

1,000,000.00

19/11/18

1,000,000

Summerland Credit Union

Y

NR

20/05/19

Y

TD

2.90%

1,000,000.00

26/11/18

1,000,000

Suncorp

N

A

27/05/19

Y

TD

2.70%

1,000,000.00

28/11/18

1,000,000

Maitland Mutual Building Society