Ordinary Meeting

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

 

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 Code of Conduct for Councillors (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 the Code of Conduct for Councillors.

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.

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 of the provisions in the Code of Conduct (particularly if you have a significant non-pecuniary interest)

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 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.

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 (Cl 4.9 Code of Conduct for Councillors)

6.    Adoption of Minutes from Previous Meetings

6.1       Ordinary Meeting held on 17 December 2020

7.    Reservation of Items for Debate and Order of Business

8.    Mayoral Minute

9.    Notices of Motion

9.1       Mayor's Discretionary Allowance................................................................................ 7

10.  Petitions

10.1    Tallowood Ridge............................................................................................................ 9

10.2    Petition against the changing of Ewingsdale rulings, R5 and R2...................... 11

10.3    Petition with 140 signatures to reduce speed at Rifle Range Road................... 13

11.  Submissions and Grants

11.1    Grants and Submissions February 2021................................................................. 14

12.  Delegates' Reports

13.  Staff Reports

General Manager

13.1    Licence to Byron Bay Community Association Incorporated for occupation of the Byron Community Cabin........................................................................................................ 19

13.2    Financial hardship of the Upper Main Arm Community Assocation Incorporated 24

13.3    Licence for the operation and maintenance of Byron Bay car parks................. 28

Corporate and Community Services

13.4    Security Services Tender Outcome.......................................................................... 31

13.5    Conduct a Constitutional referendum or council poll at the Local Government election in September 2021........................................................................................................... 35

13.6    Section 355 Management Committees - resignations and appointments update 38

13.7    Council Investments - 1 December 2020 to 31 December 2020......................... 43

13.8    Policy Review 2020-2021 - Part 2............................................................................. 53

13.9    National General Assembly of Local Government 2021....................................... 62

13.10  Council Resolutions Quarterly Review - Q2 - 1 October to 31 December 2020 66

13.11  Council Investments - 1 January 2021 to 31 January 2021................................. 69

13.12  Budget Review - 1 October 2020 to 31 December 2020....................................... 79

13.13  Delivery Program 6-monthly Report and 2020/21 Operational Plan Report - Q2 - December 2020............................................................................................................................... 90

Sustainable Environment and Economy

13.14  Compliance Priorities Program Report 2020........................................................... 94

13.15  PLANNING - DA 10.2020.230.1 Use of existing Nursery Structure ancillary to Community Facility (Mullumbimby Community Garden) at 156 Stuart Street Mullumbimby 109

13.16  Proposed Activity - Byron Music Festival 2021 on Reserve 82000 Dening Park, Byron Bay...................................................................................................................................... 128

Infrastructure Services

13.17  Former Mullumbimby Sewage Treatment Plant Land Use Options Report.... 136

13.18  Tender 2020-0063 - Railway Corridor Park........................................................... 141

13.19  Byron Shire Rail with Trail (Update)....................................................................... 146

13.20  Design and Construction of the Byron STP Additional Flow Path................... 153   

14.  Reports of Committees

Infrastructure Services

14.1    Report of the Local Traffic Committee Meeting held on 27 January 2021...... 159

14.2    Report of the Transport and Infrastructure Advisory Committee Meeting held on 28 January 2021............................................................................................................................. 162

14.3    Report of the Byron Shire Floodplain Risk Management Committee Meeting held on 28 January 2021............................................................................................................. 165   

15.  Questions With Notice

15.1    Agglomerated data on dwelling supply in Byron Shire...................................... 168   

Questions with Notice: A response to Questions with Notice will be provided at the meeting if possible, that response will be included in the meeting minutes.  If a response is unable to be provided the question will be taken on notice, with an answer to be provided to the person/organisation prior to the next Ordinary Meeting and placed on Councils website www.byron.nsw.gov.au/Council/Council-meetings/Questions-on-Notice

 

16.  Confidential Reports

General Manager

16.1    Confidential - Lease to AFL Queensland Limited........................................ 174

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.

 

Notices of Motion                                                                                                                  9.1

Notices of Motion

Notice of Motion No. 9.1    Mayor's Discretionary Allowance

File No:                                                    I2021/164

  

I move:

1.      That Council confirms the following donation from the Mayor’s Discretionary Allowance 2020/21:

$1,100 – Sustainable Schools Program to support a Byron Shire School’s attendance

2.      That Council advertise the donations in accordance with Section 356 of the Local Government Act 1993.

Attachments:

 

1        2021 Sustainability Symposium - Information Package, E2021/27341  

 

Signed:  Cr Simon Richardson

Councillor’s supporting information:

The Sustainable Schools Network (SSN) has approached Council, requesting funding of $1,100 to support a Byron Shire school to participate in the 2021 Sustainable Schools Symposium, to be held over three days at All Saints Anglican School on the Gold Coast,

The funding would enable one Byron Shire school (chosen through an EOI process) to participate in the ‘Kids Teaching Kids’ opportunity (see page 6 of Attachment 1). This involves students from the chosen school actively facilitating a workshop for other students using the UN Sustainable Development Goal themes, Good Health and Wellbeing or Life Below Water.

The SSN has so far secured speakers such as Ash Buchanan (https://benefitmindset.com/about/ ) and academics from Griffith University, Curtin University, the University of Tasmania, and the University of Southern Queensland.

The funding would provide the following for the chosen school:

•        2 x teachers to participate, over two days, in the Professional Development sessions

•        14 students and 2 adults to attend the Kids Teaching Kids sessions

•        1 x School Leader (Principal or Business Service Manager) to attend the student session

Council’s funding does not include transport to the event or accommodation; this would need to be provided by the successful school.

An EOI would be sent to all schools in Byron Shire to ensure a fair and equitable application process. Mullumbimby High School and Byron High School have already shown an interest in the event.

Staff comments

by Vanessa Adams, Director Corporate and Community Services:

(Management Comments must not include formatted recommendations – resolution 11-979)

There is sufficient funding available and if the NoM is adopted staff will process accordingly.

Financial/Resource/Legal Implications:

The 2020/21 Budget adopted by Council included an allocation of $2,000.00 for budget item Mayor – Discretionary Allowance.  Sufficient funds are available for making the nominated donation of $1,100.

In relating to the making of Section 356 Donations from Mayor – Discretionary Allowance, Council at its Ordinary meeting held on 14 May 2009 resolved as follows: -

“09-349 Resolved that Council confirm that all s356 donations, to be made from the budget allocation “Mayor – Discretionary Allowance”, must be the subject of a resolution of the Council at Ordinary or Extraordinary meeting.”

This Notice of Motion is to confirm the making of the listed Section 356 Donation.

The Section 356 Donation will be advertised and public notice of financial assistance provided in accordance with Section 356 of the Local Government Act 1993.

Is the proposal consistent with any Delivery Program tasks?

Yes

The project aligns with OP action - Provide coastal, environmental and sustainability information and encourage and support community activities and groups

 

Petitions                                                                                                                                    10.1

Petitions

Petition No. 10.1    Tallowood Ridge

Directorate:                         Sustainable Environment and Economy

Report Author:                   Shannon Burt, Director Sustainable Environment and Economy

File No:                                 I2021/17

 

Council is in receipt of a petition containing 489 signatures which seeks:

We are asking Byron Shire Council to:

Zone the area to prevent any further development in the forested area along the ridge and to ensure Council takes responsibility for the long-term management and protection of the koalas, other native animals and plants/trees that are found there. To place the ridge line and koala reserve into public ownership to allow access and for it to become a community asset for generations to come.

Comments from Director Sustainable Environment and Economy:

The Tallowood Ridge land was the subject of a recent Notice of Motion at the Ordinary Meeting 17 December 2020.

Notice of Motion 9.2 Tallowood Ridge Reserve: https://byron.infocouncil.biz/Open/2020/12/OC_17122020_AGN_1178.PDF

20-720 Resolved that Council:

1.      Enter negotiations with the relevant landowners and/or developer to seek the gifting of the land outlined in the map in the report for the management of Council in conjunction with the community in perpetuity.

2.      Ensure that these negotiations stipulate that this is not instead of any other previous environmental agreement.

3.      Acknowledge that if negotiations are successful, staff will take the appropriate steps to prepare a Plan of Management (Ndiaye/Richardson)

RECOMMENDATION: 1.      That the petition regarding Tallowood Ridge be noted. 2.      That the petition be referred to the Director Sustainable Environment and Economy.

.Attachments:

 

1        Confidential - Petition with 489 signatures regarding Tallowood Ridge requesting protection of Koalas, E2020/102617  

 

 

Petitions                                                                                                                                    10.2

Petition No. 10.2    Petition against the changing of Ewingsdale rulings, R5 and R2

Directorate:                         Sustainable Environment and Economy

Report Author:                   Shannon Burt, Director Sustainable Environment and Economy

File No:                                 I2021/19

 

Council is in receipt of a petition containing 294 signatures which seeks:

“We the people of rural Ewingsdale village insist the R5 & R2 ruling remain in line with what this village is all about, Country!

We suggest that ‘INGENIA’ forfeit their deposit & move onto their other options.”

Comments from Director Sustainable Environment and Economy:

This petition is in response to a consultation undertaken by Ingenia Lifestyle for an over 55s to retire or age in place proposal on Lot 101, Ewingsdale Road Ewingsdale.

https://ingenialifestyle.com.au/ewingsdale#contact

This consultation was proponent initiated and led and not part of any formal Council process.

Council’s Business and Industrial Lands Strategy 2020 states:

Any development proposal in proximity to the hospital will be assessed against its consistency with the function of the hospital, its ability to value add to existing community and economic benefits of the hospital and its commercial viability. Areas adjoining the hospital precinct are to be utilised for allied hospital services, except where designated as having high ecological values or for public access and movement.

Allied uses are described as offering:

•        medical devices;

•        precision medicine and regenerative medicine products and services

•        medical specialist consulting rooms

•        health care worker services, such as a child care facility

•        health education, training and research

•        residential facilities providing for resident needs to visit hospital for management of a chronic or acute health condition or to receive treatment for an injury. This may include a residential aged care facility, with either permanent or respite basis accommodation.

Any application received for the development of this land will be considered against the BILs criteria.

RECOMMENDATION: 1.      That the petition regarding the possible rezoning of Lot 101 Ewingsdale Road be noted. 2.      That the petition be referred to the Director Sustainable Environment and Economy.

.Attachments:

 

1        Confidential - Petition from Residents of Ewingsdale Regarding Possible Rezoning of Lot 101 Ewingsdale Road EWINGSDALE - 294 Signatures, S2020/11180  

 

 

Petitions                                                                                                                                    10.3

Petition No. 10.3    Petition with 140 signatures to reduce speed at Rifle Range Road

Directorate:                         Infrastructure Services

Report Author:                   Joshua Provis, Road and Bridge Engineer

File No:                                 I2021/182

 

Council is in receipt of a petition containing 140 signatures to reduce the speed zone on Lismore-Bangalow Road at the Rifle Range Road signatures which states:

“Reduce speed limit at intersection of Rifle Range and Lismore Road”

Comments from Director Infrastructure:

Lismore-Bangalow is a state government controlled road, and Transport for NSW is the authority required to undertake speed zone reviews, Council cannot undertake a speed zone review.

Therefore following receipt of the petition Council staff requested TfNSW undertake a speed zone review at the location.

The speed zone review was undertaken by TfNSW on Wednesday 3 February 2021.

Pending the TfNSW approvals process an outcome of the review is expected in late March 2021.   

RECOMMENDATION:

1.      That the petition regarding Reduce speed limit at intersection of Rifle Range and Lismore Road be noted.

2.      That the petition be referred to the Director Infrastructure Services.

Attachments:

 

1        Confidential - Petition with 140 signatures to reduce speed at Rifle Range Road, E2020/102685  

   

Submissions and Grants                                                                                                 11.1

Submissions and Grants

Report No. 11.1      Grants and Submissions February 2021

Directorate:                         Corporate and Community Services

Report Author:                   Donna Johnston, Grants Coordinator

File No:                                 I2021/154

Summary:

Council has submitted applications for a number of grant programs which, if successful, would provide 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 1 (E2021/23600) for Byron Shire Council’s Submissions and Grants as at 31 January 2021.

Attachments:

 

1        Grants Report to Council - February 2021, E2021/23600  

 

 

Report

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

Successful applications

Council was not advised of any successful applications during December 2020 and January 2021.

Unsuccessful applications

Council was advised prior to Christmas that it was unsuccessful in the Fixing Country Roads 2019 Tranche 2 (Transport for NSW) applications for Manns Road, Booyong Road and Byron Arts and Industry Estate arterial roads.  Applications for Manns Road and Byron Arts and Industry Estate arterial roads were resubmitted for the Fixing Country Roads 2020 funding program in December 2020.

The Fixing Country Roads funding program is about moving freight more efficiently supporting jobs, and supporting the economic growth and productivity of regional NSW by reducing the cost of getting goods to market.  

Feedback from Transport for NSW for 2019 Tranche 2 was provided at the end of January 2021 and included:

·        TOTAL funding pool $20M (limited funding release, and slow assessments, was due to COVID).

·        93 applications received.

·        4 successful applications.

·        In general, more evidence on the benefits relating to heavy freight movement was required versus the safety aspects of improved roads.

·        More evidence required to demonstrate ‘growing’ economies.

·        Acknowledged the good letters of support for the projects.

On a positive note, the next funding round will be released in 2 to 3 months, with an increased funding pool of $80M.  Webinars will be run to support applications.

January also saw NSW Planning Industry & Planning advise Council was unsuccessful in its application to the 2021-21 Crown Reserves Improvement Fund for:

·        South Beach Reserve (Brunswick Heads) - $300,000 towards new toilet block

·        Summers Park – $20,000 weed eradication on the riparian vegetation along the Brunswick Heads Recreation Grounds

·        Byron Bay Surf Club Hall – application submitted direct by Surf Club

 

Over 900 applications were received for this grant round. Council is waiting on feedback directly relating to the grant applications submitted.

Applications submitted

Eleven grant applications were submitted in December and January including:

1)      Bushfire Local Economic Recovery Fund 2021

-        Mullumbimby to Brunswick Heads Cycleway

-        Bangalow Cycleway

-        The Green Line - Byron Bay to Belongil Coast Walk

-        Repurposing Byron Hospital

2)      Regional NSW - Summer Break Activities

-        Slip N Slide Fun at Mullumbimby Petria Thomas Swimming Pool

3)      Transport for NSW - Fixing Country Roads

-        Byron Arts and Industry Estate arterial roads

-        Manns Road

-        Springvale Rd

-        Midgen Flat Rd

4)      Transport for NSW - Fixing Local Roads

-        Seven Mile Beach Rd

-        Various roads Ocean Shores, South Golden Beach and New Brighton

Upcoming grant opportunities

There are a number of upcoming grant opportunities for which Council will submit funding applications including:

Building Better Regions Fund 2021

·        Sandhills Wetlands Project

·        Bioenergy Facility

Heritage NSW

·        Local Government Heritage Studies for Aboriginal cultural heritage mapping/management plan

Create NSW 

·        Local Government Authorities (LGA) Arts & Cultural Funding

 

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)	5.6.12.2	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 $18 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 detailed below:

Requested funds from funding bodies                       $32,871,038

Council Contribution Cash                                             $2,823,842

Council Contribution In-Kind                                             $153,500

Other contributions                                                              $288,809

Funding applications submitted and

awaiting notification (total project value)                $36,137,189

 

Consultation and Engagement

Cross-organisational consultation has occurred in relation to the submission of relevant grants, and the communication of proposed grant applications.

Staff Reports - General Manager                                                                           13.1

Staff Reports - General Manager

Report No. 13.1      Licence to Byron Bay Community Association Incorporated for occupation of the Byron Community Cabin

Directorate:                         General Manager

Report Author:                   Paula Telford, Leasing and Licensing Coordinator

File No:                                 I2021/31

 

Summary:

The Byron Bay Community Association Incorporated requests a five year licence over the Byron Community Cabin located in the Byron Recreation Grounds Folio 444/28/758207 for the purpose of a community hall and ancillary use of shower facilities by persons that are homeless.

RECOMMENDATION: 1.      That Council notes that no submissions were received on the proposal to grant the Byron Bay Community Association Incorporated a five year licence over the Byron Community Cabin located in Lot 444 Section 28 DP758207. 2.      That Council authorises the General Manager to enter into licence with the Byron Bay Community Association Incorporated over the Byron Community Cabin located in Lot 444 Section 28 DP758207 on the following terms: a)      term five years to commence 1 March 2021, b)      purpose of a community hall and ancillary use of shower facilities by persons that are homeless on a booking system, c)      the Licensee to pay initial rent of $490 (exclusive GST) with rent increased thereafter annually by Consumer Price Index all Groups Sydney, d)      the Licensee to pay outgoings for the use of all services connected to the premises and requisite insurance covers, e)      Council to pay outgoings to the full value of general land rates (if applicable), fixed water and sewerage charges, building insurance, pest inspections and fire safety compliance, f)       Council to subsidise licence preparation costs of $536 (inclusive GST).

.

 

Report

The Byron Bay Community Association Incorporation (‘BBCA’) holds an annual licence to operate and manage the Byron Community Cabin (the Premises’) located in the Byron Recreation Grounds, Lot 444 Section 28 DP 758207.

The BBCA requests a new five year licence over to ensure eligibility for grant funding to upgrade fittings within the Premises.

The land:

Lot 444 Section 28 DP 758207 is Council owned land classified as community land and categorised as a sportsground and general community use.  The Premises is located on land categorised for general community use.

The Plan of Management for the Byron Recreation Grounds expressly authorises the grant of a licence for a term up to 21 years over land categorised for general community use for purposes in accordance with the Local Government Act.

Background:

The BBCA has held a series of one year licences to occupy the premises since 1 June 2016 for the purpose of a community hall and homeless showering.

Terms of the licence requires that the BBCA offer the premises for hire to the public or specific sections of the public for low impact activities between 9:00am and 5:00pm all days.  The BBCA may also offer use of shower facilities in the premises to persons that are homeless under a booking system between 10:00am and 2:00pm weekdays only.  The BBCA must consider use and occupation of surrounding recreation grounds by schools and organised sporting groups in determining when bookings may be made. 

The licence is offered to the BBCA on the condition that no alcohol or illicit drugs are taken into the Premises or consumed within or immediate surrounding grounds of the Premises.

Public notification of the proposed licence:

In accordance with the Local Government Act 1993 (NSW), Council sought public comment on the proposed licence between 10 December 2020 and 14 January 2021.  Council received no submissions on the proposed licence. 

Proposed licence:

This report recommends that a new five year licence is granted to the BBCA for the period 1 March 2021 to 28 February 2026 on the following terms:

·        for use as a community hall with ancillary use of shower facilities by persons that are homeless by bookings only,

·        initial rent to be set at the value of minimum Crown rent currently $490 (exclusive of GST) and thereafter increased Consumer Price Index all Groups Sydney for the licence term.

·        licence preparation costs to be subsidised by Council,

·        the Licensee to pay outgoings for usage cost of all services connected to the premises including but not limited to electricity, phone, water and waste management costs,

·        the Licensee to provide $20 million public liability, and contents insurance for all owned fixture and fittings for full replacement value, and

·        Council to pay outgoings limited to the full value of general land rates (if payable), annual fixed water and sewerage charges, building insurance, security, pest inspections and fire safety compliance costs.

Due to ongoing vandalism incidents at the Premises, Council is proposing the install closed circuit television (‘CCTV’) during the licence term.  Ownership and maintenance of the CCTV equipment will remain with Council and termed in the Licence.

Direct negotiation:

Council may directly negotiate the proposed five year licence with the BBCA being a non-profit organisation, in accordance with section 46A(3) of the Local Government Act 1993 (NSW).

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	2.2	Support access to a wide range of services and activities that contribute to the wellbeing of all members of the Byron Shire community	2.2.1	Develop and maintain collaborative relationships with government, sector and community	2.2.1.2	Participate in and inform community planning

Legal/Statutory/Policy Considerations

Local Government Act 1993 (NSW)

s47   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.

s47A   Leases, licences and other estates in respect of community land—terms of 5 years or less

(1)     This section applies to a lease, licence or other estate in respect of community land granted for a period that (including any period for which the lease, licence or other estate could be renewed by the exercise of an option) does not exceed 5 years, other than a lease, licence or other estate exempted by the regulations.

(2)     If a council proposes to grant a lease, licence or other estate to which this section applies:

(a)     the proposal must be notified and exhibited in the manner prescribed by section 47, and

(b)     the provisions of section 47 (3) and (4) apply to the proposal, and

(c)               on receipt by the council of a written request from the Minister, the proposal is to be referred to the Minister, who is to determine whether or not the provisions of section 47 (5)–(9) are to apply to the proposal.

(3)     If the Minister, under subsection (2) (c), determines that the provisions of section 47 (5)–(9) are to apply to the proposal:

(a)              the council, the Minister and the Director of Planning are to deal with the proposal in accordance with the provisions of section 47 (1)–(8), and

(b)     section 47 (9) has effect with respect to the Minister’s consent.

Financial Considerations

This report recommends that initial rent is set at the value of minimum Crown rent at $490 (exclusive of GST) and thereafter increased by Consumer Price Index all groups Sydney . 

The Licensee to pay outgoings of all user charges for all services connected to the premises and required insurances.

 Council to pay outgoings of general land rates (if payable), fixed water and sewerage charges, building insurance, security, pest inspections and fire safety compliance costs.

Consultation and Engagement

In accordance with s47A(2)(a) of the Local Government Act, Council called for public comment on the proposed licence between 10 December 2020 to 14 January 2021 and individually contacted all surrounding residences.  

Staff Reports - General Manager                                                                           13.2

Report No. 13.2      Financial hardship of the Upper Main Arm Community Assocation Incorporated

Directorate:                         General Manager

Report Author:                   Paula Telford, Leasing and Licensing Coordinator

File No:                                 I2021/41

 

Summary:

The Upper Main Arm Community Association Incorporated is the Licensee of the Kohinur Hall.  The Licensee is in financial hardship due to a complete loss of hall booking caused by COVID-19 restrictions. The Licensee seeks financial assistance from Council to keep the Hall open.

RECOMMENDATION: 1.      That Council waives 100% of the rent payable under a licence granted to the Upper Main Arm Community Association Incorporated for the period 1 August 2020 to 31 July 2021 at a cost of $539 inclusive of GST. 2.      That Council gifts the Upper Main Arm Community Association Incorporated $800 inclusive of GST for the payment of Public Liability Insurance cover due 11 February 2021 upon issue of an invoice. 3.      That Council includes the Kohinur Hall in its review of Section 355 Committees of Council to secure the future of the Hall in the Main Arm community.

Attachments:

 

1        Confidential 2018 Financial Statement Upper Main Arm Community Association Inc, E2021/3803  

 

 

Report

Council resolved (20-167) to enter into a five year licence with the Upper Main Arm Community Association Incorporated (‘the Licensee’) to manage and operate the Kohinur Hall, Lot 1 DP771568 as a community hall commencing 1 August 2020.

On 6 January 2021, the Licensee contacted Council requesting financial assistance to keep the Hall open. The Licensee is in financial hardship. See Confidential attachment 1. The Licensee has not previously requested rent relief.

With no bookings for weddings or other events since March 2020 due to COVID-19 restrictions, the Licensee has no means to generate income to cover rent and outgoings in the short-term.  The Licensee is confident that bookings will resume to pre-COVID-19 levels once the pandemic restrictions are lifted with a tentative booking for a wedding in April 2021.

Financial assistance:

Terms of the Licence requires the Licensee to pay rent and certain outgoings including electricity and insurance costs.

The Licensee provided its 2018 financial statements that detailed the Hall, at that time, was running at a loss but the Committee held sufficient funds to cover its outgoings. 

In 2021 the viability and sustainability of the Licensee and its ability to manage the Hall is now in question. The Licensee has insufficient funds to cover its outgoings and requests the following financial assistance:

i.        a full waiver of annual rent at a cost of $539 inclusive of GST; and

ii.       a gift of $800 to renew its public liability insurance cover.  

Council has received similar requests from other tenants also in financial distress due to COVID-19. In those circumstances Council offered to waive rent rather than offer direct financial assistance by way of a gift or a loan.

Options:

Council has the following options regarding the financial assistance request:

1.      Provide $539 rental assistance thereby enabling the Licensee to meet its insurance costs from available funds but leave the Licensee with little funds to pay other outgoings as they become due and payable; or

 

2.      Provide $539 rental assistance and gift $800 to cover insurance costs totalling $1,339 thereby retaining the Licensee in its current financial position; or

 

3.      Provide no financial assistance with the following likely consequences:

a.      The Hall remains open either by;

i.       the Licensee relaxing COVID restrictions to open up the Hall for hire to any person for any activity; or

ii.      private persons cover rent and other outgoings either gratuitously or via a loan to the Licensee.

Placing the Licensee in a vulnerable financial position could result in the return of the previous problematic use of the Kohinur Hall.  Use of the Hall was subject to numerous complaints and Police interventions for illegal camping and rubbish, excessive noise, trespass, assaults and other serious anti-social behaviour.  Since licensing the Hall, Council has not received any complaints however, the Hall has not held an event since March 2020.

b.      The Hall is closed either by:

i.       the Licensee defaulting under the Licence for non-payment of rent, or

ii.      Council resolving to suspend the Licence and temporarily closing the Hall until bookings return.

 

The Hall is highly valued by the local community. The voluntary closure of the Hall would not be sanctioned by the community or assist the Licensee resolve its financial hardship. Upon closure of the Hall all costs associated with maintenance and management of a vacant building pass unbudgeted to Council.

 

4.      Establish a section 355 committee of Council under the Local Government Act for the care, control and management of the Hall.  The Licensee’s financial hardship raises questions about the long-term viability and suitability of management of the Hall under a licence arrangement particularly given the every increasing cost of insurance cover. This report recommends that Council include the Hall into its upcoming review of Section 355 Committees to secure the future of the Hall in the Main Arm 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	1.2.8	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)	1.2.8.1	Consult with user groups to establish user agreements, leases, licenses and Plans of Management

Legal/Statutory/Policy Considerations

Retail and Other Commercial Leases (COVID-19) Regulation 2020

Financial Considerations

The quantum of the recommended is $1,339 inclusive of GST.

Consultation and Engagement

Nil.

Staff Reports - General Manager                                                                           13.3

Report No. 13.3      Licence for the operation and maintenance of Byron Bay car parks

Directorate:                         General Manager

Report Author:                   Claire McGarry, Place Manager - Byron Bay

                                               Ralph James, Legal Counsel

File No:                                 I2021/201

Summary:

This report recommends that Council authorise the General Manager to continue to negotiate and enter into a 10 year property licence agreement with Transport for NSW for the operations, maintenance and revenue-share of two car parks in Byron Bay:

·        Railway Hotel car park

·        Lawson St South car park

This agreement is based on a revenue-share arrangement for revenue collected via the introduction of paid parking on both sites.

  

 

RECOMMENDATION:

That the General Manager be authorised to enter into a Property Licence between Transport Asset Holding Entity of New South Wales and Byron Shire Council  for part Lot 1 in DP 1001454 and part Lot 4729 DP 1228104 subject to the terms of the licence to be finalised under delegation.

Attachments:

 

1        Confidential - DRAFT TAHE CRN Property Licence for Car Park, E2021/29853  

2        Confidential - Overview of Licence Conditions, E2021/30220  

 

 

Background

During 2019 and 2020, the NSW Government have been constructing a new Byron Bay bus interchange on Butler Street, Byron Bay.

The scope of works for this construction included significant upgrades to the Railway Hotel carpark and Lawson Street South carpark as well as the introduction of paid parking in these areas.

As works near completion, Transport for NSW have proposed an agreement for the operation, maintenance and revenue-share arrangements from these car parks – see Confidential Attachment 1.

Essentially, the agreement requires Council to manage and maintain the infrastructure built by NSW in these two parking areas.

Under the arrangement, Council pays a licence fee to Transport for NSW. This fee is calculated as such:

Revenue (paid parking) minus expenses ($65,000 + meter operations)

The operation and maintenance expenses for the carpark are covered by the $65,000 annual contribution.

Parking fines collected in the parking areas are not counted as revenue with fine revenue going directly to Council.

Licence Conditions

The license is 47 pages long and contains 29 clauses with numerous subclauses. The license contains 6 schedules. They are numbered 1 through 7- schedule 2 is not used.

The parties are Transport Asset Holding Entity of New South Wales (TAHE) and Byron Shire Council. TAHE is the owner of the Licence Area.

Clause 27 of the licence deals with confidentiality and requires each party to keep the contents of the licence (and all plans, documents and information made available to that party for the purpose of entering into the licence or in the course of the performance of the licence) confidential, and not to disclose any information to any other person without the written consent of the other party.

A document has been prepared providing Councillors with an overview of the licence conditions. Confidential Attachment 2.

 

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	1.3	Support, through partnership, a network of integrated sustainable transport options	1.3.1	Ensure an integrated and accessible transport network (SP)	1.3.1.3	Support the Byron Bay Bus Interchange in partnership with Transport for NSW

Legal/Statutory/Policy Considerations

Nil

Financial Considerations

The licence agreement includes a payment to Council to cover any expenses incurred.

 

Staff Reports - Corporate and Community Services                                          13.4

 

 

Staff Reports - Corporate and Community Services

Report No. 13.4      Security Services Tender Outcome

Directorate:                         Corporate and Community Services

Report Author:                   Len Reilly, Property Maintenance Coordinator

File No:                                 I2020/1592

Summary:

On 21 August 2020, the General Manager, under delegated authority, approved the use of the open tender method to call for tenders for Contract 2020-0009 Security Services.

The Request for Tender was advertised from 15/10/2020 to 15/11/2020.

Tenders have been assessed in accordance with the provisions of the Local Government (General) Regulations 2005.  This report summarises the background and assessment of the tenders and provides a recommendation to award the tender for Contract 2020-0009.

RECOMMENDATION: 1.      That Council award Tender 2020-0009 Security Services to the preferred tenderer as identified in the Confidential Attachment (E2021/5095). 2.      That Council’s seal is affixed to the relevant documents. 3.     That Council makes public its decision, including the name and amount of the successful tenderer, in accordance with Clause 179(b) of the Local Government (General) Regulation 2005.

Attachments:

 

1        Confidential - Tender 2020-0009 Evaluation Report, E2021/5095  

 

 

Report

On 21 August 2020 the General Manager, under delegated authority, approved the use of the open tendering method to call for tenders for Contract 2020-0009 Security Services.

The previous contract for Security Services has expired.  Council requires Security Services for Community Buildings, Council Operations Buildings, Water and Sewer Treatment Plants, Depot Stores and yards.

The Request for Tender sought responses from proponents to provide Security Patrols, Security Alarm Monitoring Services, Alarm System Maintenance, Cash Collection and CCTV Systems Maintenance.

The Contract is expected to commence in March 2021 for a period of three years, with the option of two one year extensions.

The Contract will be managed by the Property Maintenance Coordinator.

Tenders were advertised as follows:

·        Vendor Panel: 15/10/2020

·        Council’s website: 15/10/2020

No site briefings were held due to travel restrictions in place for COVID 19 control.

An Evaluation Panel comprising four Council staff members was formed.

Tenders closed on 15/10/2020 and 12 tenders were received. Tenders were evaluated by the Evaluation Panel in accordance with the following evaluation criteria:

Mandatory criteria:

a)      Tenderer must have a valid Australian Business Number.

b)      Substantial conformance to Conditions of Contract and Statement of Requirements.

c)      Workers compensation insurance for all employees.

d)      Holds, or is willing to obtain, the insurances as specified in the Statement of Requirements.

e)      Satisfactory Work Health and Safety practices.

f)       Commitment to ethical business practice principles.

Qualitative criteria:

Criteria	Elements
Profile and relevant experience	Tenderer profile
	Previous relevant experience
	Environmental practices
	Opportunities for disadvantaged people
	Local employment opportunities
Quality and availability of resources	Proposed key personnel
	Proposed staff
	Use of subcontractors
	Vehicles, plant and equipment
Delivery Plan	Goods/services standards and methodology
	Implementation plan
	Product sustainability
	Supporting local business, social enterprise and Indigenous business
Price	Total contract price

Following the evaluation, the Evaluation Panel conducted referee checks on the preferred tenderer.  The results of these checks were deemed by the Evaluation Panel to be satisfactory as detailed in the attached Evaluation Report.

Financial Implications

The price basis for the contract is a schedule of rates.

Council spends over $400,000.00 per year on Security Services.

There is sufficient funding for the proposed contract in the current budget.

Statutory and Policy Compliance Implications

The tendering process has been undertaken in accordance with Council’s Purchasing and Procurement Policy, and the provisions of the Local Government (General) Regulation 2005.

The Local Government (General) Regulations 2005 define the options available to Council.  An extract is provided below.

Local Government (General) Regulation 2005 - Reg 178

Acceptance of tenders

178   Acceptance of tenders

(1)     After considering the tenders submitted for a proposed contract, the council must either:

(a)     accept the tender that, having regard to all the circumstances, appears to it to be the most advantageous, or

(b)     decline to accept any of the tenders.

(2)     A council must ensure that every contract it enters into as a result of a tender accepted by the council is with the successful tenderer and in accordance with the tender (modified by any variation under clause 176). However, if the successful tender was made by the council (as provided for in section 55 (2A) of the Act), the council is not required to enter into any contract in order to carry out the requirements of the proposed contract.

(3)     A council that decides not to accept any of the tenders for a proposed contract or receives no tenders for the proposed contract must, by resolution, do one of the following:

(a)     postpone or cancel the proposal for the contract,

(b)     invite, in accordance with clause 167, 168 or 169, fresh tenders based on the same or different details,

(c)     invite, in accordance with clause 168, fresh applications from persons interested in tendering for the proposed contract,

(d)     invite, in accordance with clause 169, fresh applications from persons interested in tendering for contracts of the same kind as the proposed contract,

(e)     enter into negotiations with any person (whether or not the person was a tenderer) with a view to entering into a contract in relation to the subject matter of the tender,

(f)      carry out the requirements of the proposed contract itself.

(4)     If a council resolves to enter into negotiations as referred to in subclause (3) (e), the resolution must state the following:

(a)     the council’s reasons for declining to invite fresh tenders or applications as referred to in subclause (3) (b)–(d),

(b)     the council’s reasons for determining to enter into negotiations with the person or persons referred to in subclause (3) (e).

Council’s endorsement of the recommendation to award the tender as recommended in the attached Evaluation Report is sought.

Staff Reports - Corporate and Community Services                                  13.5

Report No. 13.5      Conduct a Constitutional referendum or council poll at the Local Government election in September 2021

Directorate:                         Corporate and Community Services

Report Author:                   Lisa Brennan, EA Corporate and Community Services

                                               Esmeralda Davis, A/Manager Corporate Services

File No:                                 I2021/7

Summary:

Council may conduct a Constitutional referendum or poll in conjunction with the Local Government Election, to be held in September 2021.  If Council resolves to do so, the NSW Electoral Commissioner (NSWEC) must be informed as soon as possible in order that it can prepare to administer the referendum or poll.

RECOMMENDATION: That Council determines if there is to be a Constitutional referendum or council poll conducted in association with the Local Government election on 4 September 2021.

Attachments:

 

1        Circular 20-39 NSW Office of Local Government - Constitutional referenda and council polls, E2020/96277  

 

 

Report

On 22 August 2019 Council resolved to enter into a contract with the NSW Electoral Commissioner (NSWEC) to administer all elections, council polls and constitutional referenda (Res 19-385).

Councils are required to inform the NSWEC if they resolve to administer a Constitutional referendum or poll in conjunction with the September 2021 Local Government election.  The NSWEC has requested that Council notifies it as soon as possible (prior to end June at the latest) if it wishes to enter into an arrangement for the administration of a referendum or poll.

Constitutional referendum

Under section 16 of the Local Government Act 1993, a council must obtain the approval of its electors at a constitutional referendum to do each of the following:

·     divide a council area into wards or abolish wards

·     change the number of councillors

·     change the method of electing the mayor

·     change the method of election for councillors where the council’s area is divided into wards.

Further information in relation to proposing a referendum can be found in the Circular at Attachment 1(E2020/96277). 

Any changes approved at a referendum will come into effect at the September 2024 Local Government elections.

The decision made at a Constitutional referendum binds the council until changed by a subsequent constitutional referendum.

Council poll

Section 14 of the Local Government Act states “A council may take a poll of electors for its information and guidance on any matter”.

If a council resolves that a constitutional referendum or poll is to be conducted, it must comply with the notification requirements contained in Schedule 10 of the Local Government (General) Regulation 2005.

Council did not propose either a Constitutional referendum or council poll for the 2016 Local Government election. 

Options

1.    Council proposes to conduct a Constitutional referendum or council poll in conjunction with the 2021 local government election.

2.    Council does not conduct a Constitutional referendum or council poll in conjunction with the 2021 local government election.

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	5.2.3	Provide access to publicly available corporate registers	5.2.3.3	Develop and implement pre-election community information program

Legal/Statutory/Policy Considerations

Sections 14 and 16 of the Local Government Act 1993 (Conduct Referendum/Poll)

Section 296(2), (3) and 5(A) of the Local Government Act 1993 (Contract)

Schedule 10 of the Local Government (General) Regulation 2005 (Referendum/Poll)

Financial Considerations

The 2021 election costs will be incorporated in the draft Budget for 2021/22.  The cost estimate by the NSW Electoral Commission to administer the election is currently $232,590 excluding GST, as per the current contract. 

Additional costs will apply to conduct a poll/referendum and the NSWEC advises this would be approximately 10% or potentially an additional $23,300 on top of the initial election cost. 

Consultation and Engagement

If Council resolves to proceed with a referendum/poll, details and explanation will be included on Council’s website well in advance of the September election, in addition to Media Releases, social media posts and newsletters.

Staff Reports - Corporate and Community Services                                  13.6

Report No. 13.6      Section 355 Management Committees - resignations and appointments update

Directorate:                         Corporate and Community Services

Report Author:                   Joanne McMurtry, Community Project Officer

File No:                                 I2021/26

Summary:

This report updates Council on recent resignations and proposed new appointments for Section 355 committees where nominations have been received.

RECOMMENDATION: 1.      That the resignation from Jim Beatson from the Marvell Hall Management Committee be accepted and that a letter of thanks be provided. 2.      That the resignations from Glenn Wright and Jennifer Parenteau from the Mullumbimby Civic Hall Management Committee be accepted and that a letter of thanks be provided. 3.      That the resignations from Zerina Millard, Jennifer Parenteau, Gabrielle Rinaldi and Tony Horrigan from the South Golden Beach Hall Management Committee be accepted and that letters of thanks be provided. 4.      That the nominee in Confidential Attachment 1 be appointed to the South Golden Beach Hall Management Committee.

.Attachments:

 

1        Confidential - Confidential attachment to Council report 25 February - Nominees for Section 355 committees, E2020/97177  

 

 

Report

This report details resignations for Section 355 committees where nominations have been received for each committee below.

Following Council resolution 20-385 to extend the term for Advisory Committees, Panels and Section 355 Committees until September 2021, community representatives on Section 355 Management Committees and Boards were given the option to continue until this date or give notice to resign. Some of the resignations below were received following this communication.

Advertising for new members for South Golden Beach Hall was conducted recently and a nomination was received following this process.

Marvell Hall

A resignation has been received from Jim Beatson from the Marvell Hall Management Committee.

Current members on this Management Committee are:

Councillors

·        Cr Cate Coorey

·        Cr Jan Hackett (alternate)

Community Representatives

·        Margaret Robertson (Booking)

·        Caroline Lloyd (Chair/Maintenance)

·        Maureen Lightfoot (Treasurer)

·        Cate Bailey

Management Recommendation

That the resignation from Jim Beatson from the Marvell Hall Management Committee be accepted and that a letter of thanks be provided.

Mullumbimby Civic Hall

Resignations have been received from Glenn Wright and Jennifer Parenteau from the Mullumbimby Civic Hall Management Committee.

Current members on this Management Committee are:

Councillors

·        Cr Jeannette Martin

·        Cr Michael Lyon (alternate)

Community Representatives

·        Sam Fell (Secretary)

·        Maureen Lightfoot (Treasurer)

·        John Dorczak

·        Anthony Reardon

Management Recommendation

That the resignations from Glenn Wright and Jennifer Parenteau from the Mullumbimby Civic Hall Management Committee be accepted and that a letter of thanks be provided.

South Golden Beach Hall

Resignations have been received from Zerina Millard, Jennifer Parenteau, Gabrielle Rinaldi and Tony Horrigan from the South Golden Beach Hall Management Committee.

Current members on this Board of Management are:

Councillors

·        Cr Basil Cameron

·        Cr Sarah Ndiaye (alternate)

Community Representatives:

·        Lotte Boer

·        Maureen Lightfoot (Treasurer)

Management Recommendation: 

That the resignations from Zerina Millard, Jennifer Parenteau, Gabrielle Rinaldi and Tony Horrigan from the South Golden Beach Hall Management Committee be accepted and that letters of thanks be provided.

That the nominee in Confidential Attachment 1 be appointed to the South Golden Beach Hall Management Committee.

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	1.2.1	Deliver infrastructure maintenance services in line with Community Solutions Panel values (SP)	1.2.1.1	Building assets managed to support the provision of services to the community.
Community Objective 2: We cultivate and celebrate our diverse cultures, lifestyle and sense of community	2.3	Provide accessible, local community spaces and facilities	2.3.2	Support effective management of community buildings (SP)	2.3.2.2	Review community building management models to maximise effective operation

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.

Staff Reports - Corporate and Community Services                                  13.7

Report No. 13.7      Council Investments - 1 December 2020 to 31 December 2020

Directorate:                         Corporate and Community Services

Report Author:                   James Brickley, Manager Finance

File No:                                 I2021/29

Summary:

This report includes a list of investments and identifies Council’s overall cash position for the period 1 December 2020 to 31 December 2020 for information. 

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

RECOMMENDATION: That Council notes the report listing Council’s investments and overall cash position as at 31 December 2020.

.

 

 

Report

Council has continued to maintain a diversified portfolio of investments. At 31 December 2020, the average 90 day bank bill rate (BBSW) for the month of December 2020 was 0.016%. Council’s performance to 31 December 2020 was 0.79%. 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. It should be noted that as investments mature, Council’s investment return may continue to decrease due to the lower rates available in the current market.

The table below identifies the investments held by Council as at 31 December 2020

Schedule of Investments held as at 30 December 2020

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%	1,046,700.00
15/11/18	980,060	NSW Treasury Corp (Green Bond)	N	AAA	15/11/28	Y	B	3.00%	1,164,520.00
20/11/18	1,018,290	QLD Treasury Corp (Green Bond)	N	AA+	22/03/24	Y	B	3.00%	1,090,260.00
28/03/19	1,000,000	National Housing Finance & Investment Corporation	Y	AAA	28/03/31	Y	B	2.38%	1,113,250.00
21/11/19	1,000,250	NSW Treasury Corp (Sustainability Bond)	N	AAA	20/03/25	Y	B	1.25%	1,038,420.00
27/11/19	500,000	National Housing Finance & Investment Social Bond	Y	AAA	27/05/30	Y	B	1.57%	560,612.50
31/03/17	1,000,000	CBA Climate Bond	Y	AA-	31/03/22	N	FRN	1.02%	1,010,430.00
16/11/17	750,000	Bank of Queensland	Y	BBB+	16/11/21	N	FRN	1.12%	755,557.50
30/08/18	500,000	Bank Australia Ltd (Sustainability Bond)	Y	BBB+	30/08/21	Y	FRN	1.39%	502,540.00
06/01/20	1,000,000	Judo Bank	Y	NR	05/01/21	N	TD	2.10%	1,000,000.00
20/01/20	1,000,000	Westpac (Tailored)	Y	AA-	20/01/21	N	TD	1.41%	1,000,000.00
24/07/20	2,000,000	Bank of Queensland	N	BBB+	19/07/21	N	TD	0.90%	2,000,000.00
28/07/20	1,000,000	ME Bank	Y	BBB	29/01/21	Y	TD	0.63%	1,000,000.00
30/07/20	1,000,000	Judo Bank	N	NR	30/07/21	N	TD	1.25%	1,000,000.00
03/08/20	1,000,000	NAB	N	AA-	03/08/21	N	TD	0.85%	1,000,000.00
04/08/20	2,000,000	Suncorp	Y	A+	01/02/21	N	TD	0.70%	2,000,000.00
19/08/20	2,000,000	NAB	N	AA-	19/08/21	N	TD	0.80%	2,000,000.00
26/08/20	1,000,000	AMP Bank	Y	BBB	26/08/21	N	TD	0.80%	1,000,000.00
02/09/20	1,000,000	Bank of Queensland	N	BBB+	01/09/21	N	TD	0.78%	1,000,000.00
02/09/20	1,000,000	NAB	N	AA-	02/09/21	N	TD	0.75%	1,000,000.00
07/09/20	2,000,000	NAB	N	AA-	05/01/21	N	TD	0.70%	2,000,000.00
24/09/20	2,000,000	NAB	N	AA-	24/09/21	N	TD	0.65%	2,000,000.00
30/09/20	1,000,000	Bank of Queensland	N	BBB+	30/09/21	N	TD	0.65%	1,000,000.00
30/09/20	2,000,000	CBA Green Deposit	N	AA-	30/09/21	N	TD	0.70%	2,000,000.00
06/10/20	1,000,000	Police Credit Union Ltd (SA)	Y	NR	06/01/21	N	TD	0.80%	1,000,000.00
07/10/20	2,000,000	MyState Bank Limited	Y	NR	07/10/21	Y	TD	0.70%	2,000,000.00
13/10/20	1,000,000	The Mutual Bank	Y	NR	13/04/21	N	TD	0.60%	1,000,000.00
27/10/20	1,000,000	The Capricornian	Y	NR	28/01/21	Y	TD	0.50%	1,000,000.00
28/10/20	1,000,000	The Mutual Bank	N	NR	27/01/21	N	TD	0.45%	1,000,000.00
04/11/20	1,000,001	AMP Bank	N	BBB	05/05/21	N	TD	0.55%	1,000,001.00
04/11/20	2,000,000	NAB	N	AA-	04/11/21	N	TD	0.55%	2,000,000.00
09/11/20	1,000,000	Community First Credit Union	Y	NR	09/11/21	Y	TD	0.65%	1,000,000.00
09/11/20	1,000,000	The Mutual Bank	N	NR	09/08/21	N	TD	0.65%	1,000,000.00
23/11/20	1,000,000	AMP Bank	N	BBB	23/11/21	N	TD	0.75%	1,000,000.00
24/11/20	1,000,000	Judo Bank	N	NR	24/11/21	Y	TD	0.84%	1,000,000.00
25/11/20	2,000,000	AMP Bank	N	BBB	26/05/21	Y	TD	0.70%	2,000,000.00
26/11/20	1,000,000	Community First Credit Union	N	NR	26/11/21	Y	TD	0.65%	1,000,000.00
26/11/20	1,000,000	Macquarie Bank	Y	A	22/10/21	N	TD	0.50%	1,000,000.00
01/12/20	1,000,000	AMP Bank	N	BBB	01/06/21	N	TD	0.70%	1,000,000.00
07/12/20	2,000,000	Credit Union Australia	Y	BBB	07/06/21	Y	TD	0.45%	2,000,000.00
17/12/20	2,000,000	NAB	N	AA-	17/12/21	N	TD	0.50%	2,000,000.00
N/A	8,565,500.13	CBA Business Saver	N	AA-	N/A	N	CALL	0.35%	8,565,500.13
N/A	4,280,875.94	CBA Business Saver – Tourism Infrastructure Grant	N	AA-	N/A	N	CALL	0.35%	4,280,875.94
N/A	6,112,416.26	NSW Treasury Corp	N	AAA	N/A	Y	CALL	0.05%	6,112,416.26
Total	69,707,393.33						AVG	0.79%	70,241,083.33

 

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 (ESRI)

An additional column has been added to the schedule of Investments 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 three 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.

3.      $2,000,000 investment with Commonwealth Bank maturing on 30 September 2021 known as a Green Deposit.

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. Note that the financial institutions currently offering investments in the ‘ethical’ area are still mainly those with lower credit ratings (being either BBB or not rated at all i.e. credit unions).

 

Associated Risk

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

The investment portfolio is outlined in the table below by investment type for the period 1 December 2020 to 31 December 2020:

Dissection of Council Investment Portfolio as at 31 December 2020

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 1 December 2020 to 31 December 2020 on a current market value basis. 

Movement in Investment Portfolio – 31 December 2020

 

Term Deposit Investments Maturities and Returns – 1 December to 31 December 2020

         

Council’s overall ‘cash position’ is not only measured by funds invested but also by the funds retained in its consolidated fund or bank account for operational purposes. In this regard, for the month of December 2020 the table below identifies Council’s overall cash position as follows:

Dissection of Council’s Cash Position as at 31 December 2020

 

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)	5.5.2.6	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 it 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 March 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.

Staff Reports - Corporate and Community Services                                  13.8

Report No. 13.8      Policy Review 2020-2021 - Part 2

Directorate:                         Corporate and Community Services

Report Author:                   Mila Jones, Governance Coordinator

File No:                                 I2021/42

 

Summary:

On 26 November 2020 Council received the first of a series of reports relating to the 2020/21 policy review as part of Council’s compliance framework.  This report now provides:

·        Part 1 – outcome of the 26 November 2020 resolution 20-672; and

·        Part 2 – further policies reviewed:

Updated policies

·        Complaints Management Policy 2011

·        Internal Reporting Policy 2015

·        Planning Agreements Policy 2009

Recommended for repeal

·        Community Economic Development Policy 2010

RECOMMENDATION: 1.      That Council adopts the Draft Local Orders for the Keeping of Animals Policy 2020 at Attachment 2 (E2021/9267) amended as a result of submissions received during public exhibition. 2.      That the following policies be placed on public exhibition for the reason stated alongside it for 28 days and to allow 42 days for submissions: a)      Draft Complaint Handling Policy 2021 – as updated and shown in track changes at Attachment 3 (E2021/15820) b)      Internal Reporting Policy 2021 – as updated and shown in track changes at Attachment 4 (E2021/9593) c)      Planning Agreement Policy 2021 - as updated and shown at Attachment 5 (E2021/28488) d)      Community Economic Development Policy 2010 – to be repealed 3.      That: a)      should there be no submissions received for a policy listed in 2 above, the update or repeal be endorsed for those policies; and b)      should submissions be received on a policy listed in 2 above, those policies be reported back to Council noting the submissions and any amendments made as a result of the feedback received.

Attachments:

 

1        Submissions and responses for Local Orders for the Keeping of Animals Policy, E2021/13657  

2        DRAFT Policy: Local Orders for the Keeping of Animals 2020 - including updates based on submissions, E2021/9267  

3        DRAFT Policy: Complaint Handling 2021, E2021/15820  

4        DRAFT Policy: Internal Reporting 2021, E2021/28488  

5        DRAFT Policy: Planning Agreements 2021, E2021/28478  

 

 

Report

As previously discussed in the report to Council on 26 November 2020, an important element of public sector governance is establishing key policies and ensuring they are available, regularly updated and monitored for compliance.

An annual review of Council’s policies is conducted by the Governance Coordinator and coordinated with relevant document development officers.

A rolling four year policy review timetable assists the review process.  There were approximately 60 policies listed for review in 2020-2021.  Since 1 July 2020, approximately 85% of all Council policies are either current, have been submitted to Council, or a review has been initiated. This figure includes the policies that are the subject of this report. 

Part 1 – Outcome of the 26 November 2020 policy review report

Draft Local Orders for the Keeping of Animals Policy 2020

As resolved on 26 November 2020 (Resolution 20-672), nine policies were placed on public exhibition during December 2020 and January 2021. During the exhibition period we received five submissions on the Draft Local Orders for the Keeping of Animals Policy, all of which requested amendments to the exhibited draft. 

Attachment 1 provides the public submissions received and also includes feedback from staff which starts on PDF page 21 onwards. 

As a result of the submissions received, the Draft Policy (Attachment 2) has been amended to include a number of the requests made by the public. Please refer to the additional green track changes for these amendments.

All other eight policies

The remaining policies that were exhibited received no submissions and therefore were either adopted or repealed in accordance with resolution 20-672.

Part 2 – Further policies reviewed

Table 1: Policies with major amendments

Policy	Direct-orate	Action taken
Complaint Handling Policy (previously titled Complaints Management Policy) (Attachment 3)	CCS	The Complaints Management Policy was last reviewed in 2011. This Policy has been amended to reflect the latest Complaint Management Framework and Model Policy provided by the NSW Ombudsman.  The amendments have not altered the basic process that Council undertakes, they mainly improve the readability of the document, remove redundant matters and make the document more contemporary based on the Ombudsman’s framework: Main changes include: ·   Changing the title to Complaint Handling Policy 2021 ·   Changing the structure of the Policy to reduce duplication and increase ease of reading. ·   Removing the categorisation of Level 1 and Level 2 Complaints, considering Level 2 Complaints are handled by the Internal Reporting Policy. ·   Removal of the Complaint Management Form as an Appendix as it’s not required in a policy. Some of the track changes indicate information that has been carried over from the current Policy.
Internal Reporting Policy (Attachment 4)	GM’s office	Under section 6D of the Public Interest Disclosures Act 1994 (PID Act), public authorities are required to have a policy and procedures for receiving, assessing and dealing with public interest disclosures. The Ombudsman’s guidelines state that Council’s policy should be based on the NSW Ombudsman's model policy and guidelines. Council’s Internal Reporting Policy was last reviewed in 2015. The Draft Policy has amended the 2015 version to reflect the latest Model Internal Reporting Policy provided by the NSW Ombudsman. The draft document contains basically the same information as the 2015 version, however the information is now provided more clearly and succinctly.  References to other policies and Acts have also been updated.
Planning Agreements Policy (Attachment 5)   Note: For simplicity of viewing, the heavily changed draft policy is shown at Attachment 5 without track changes, and the current policy is linked here, for easier comparison. It also allows for the reader to view the original text colouring and to understand why many of the changes were required.	SEE	This Policy was last reviewed in 2009. Major amendments have been made as discussed below: ·   The current 2008 Policy was prepared and adopted with alternative clauses due to the Environmental Planning Assessment (Amendment) Act 2008 which had not been gazetted at the time of the development of the Policy. Blue text was used to denote the current legislation (as at July 2008) and red text was used to denote the provisions that would apply should the Amendment Act be gazetted. Black text showed non-contentious provisions. As the Amendments were never gazetted, the red text should have been removed.  The blue and black text has required updating to reflect the change to the EP&A Act numbering system. ·   Further amendments have been made to: -    Ensure consistency with the Planning Agreements Practice Note – Draft April 2020 and current Council practises. -    Reduce the amount of duplication that exists throughout the document with legislation and Practice Note clauses.  This is helpful for the reader to identify where Council has made special provisions consistent with our Shire’s policy position, which is not documented in legislation, guidelines or other strategic documents. -    The Affordable Housing section has been removed due to the following advice: -      Since the adoption of this policy, NSW state policy on affordable housing has progressed to enable a more consistent and transparent means to attain an affordable housing either via SEPP 70 affordable rental housing and SEPP 70 affordable housing revised schemes. The recently adopted Byron Shire Affordable Housing Contribution Policy and associated procedure (13 August 2020 – Res 20-365) is framed to work with this more recent state policy.  It was prepared in line with NSW EPA (Planning agreements) direction & Practice Note 2016 and SEPP 70 and guidelines. It covers scope for both a voluntary planning agreement for affordable housing contribution or a SEPP 70 clause in the Byron Local Environmental Plan  2014. A planning proposal is currently being prepared to insert such a clause (as per 11 April 2019 Res 2019-152 and 12 Dec ember 2019 Res 19-636). Importantly this clause seeks to retain land for affordable housing (AH) in perpetuity. The old policy section 5 appears to deal with Planning Agreement to award floor space ratio density bonuses in return for AH. Under this arrangement the AH would only remain as long as the development remains on the site. It also relies on state and Council documents/maps that are either dated or were not even adopted. A SEPP 70 affordable housing revised scheme can now effectively achieve a similar outcome. Council, subject to the viability test, can be apply a scheme to areas were a change in planning control to increase floor space ratios enable greater residential density on site.   -      In summary it is recommended that Section 5 be deleted as it is superseded by more recent state and council policy.

Table 2: Policies recommended for repeal

Policy	Direct-orate	Reason for repeal
Community Economic Development Policy 2010	SEE	This policy is proposed to be repealed. As the Policy was developed prior to the Enterprising Byron 2025 strategy and this Policy sits within several adopted Council strategies, we propose it is no longer required as a stand-alone policy. Note the Enterprising Byron 2025 strategy is being reviewed shortly with consultation from community and industry, COVID impacts on business, and the results of Council’s Business Impacts, Resilience and Continuity Survey.

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	5.2.3	Provide access to publicly available corporate registers	5.2.3.2	Review, update and publish Council policies online and report on the status of Council’s policy register

Related Resolutions

·        20-672 (26 November 2020 Report 13.4 Policy Review 2020-2021)

1.    That the following policies be placed on public exhibition for the reason stated alongside it for 28 days to allow 42 days for submissions:

a)    Building Information Certificates Policy 2020 – as updated and shown in track changes at Attachment 1

b)    Local Order for the Keeping of Animals Policy 2020 – as updated and shown in track changes at Attachment 2

c)    Construction of Garages and Outbuildings on Vacant Land Policy 1994 – to be repealed

d)    Corporate Sustainability Policy 2012 – to be repealed

e)    Development Policy 1994 – to be repealed

f)     Lavertys Gap Weir Catchment Management Policy 2007 – to be repealed

g)    Public Consultation – Proposed Works Policy 1994 – to be repealed

h)    Traffic Control at Worksites Policy 1998 – to be repealed

2.    That:

a)    should there be no submissions received for a policy, the update or repeal be endorsed for those policies; and,

b)    should submissions be received on a policy, those policies be reported back to Council noting the submissions and any amendments made as a result of the feedback received.

3.    That the Maximum Speed Limits on Rural Roads Policy 2011 be revised, updated and presented for exhibition.

Legal/Statutory/Policy Considerations

Each policy is reviewed to ensure consistency with the relevant legislation, agency guidelines, rules or protocols.

Corporate Documents Standard

When reviewing our policies, Council’s Corporate Documents Standard (internal policy) provides the following guidance to staff:

A Policy sets out Byron Shire Council’s position on a specific matter – a formal statement of intent and non-discretionary governing principles that apply to Byron Shire Council’s practice. The principles are derived from and shaped by the law and regulations that apply, community expectations, and the values and mission contained in the adopted Community Strategic Plan.  A Policy is a concise document that may facilitate, enable or constrain practice, standard, guidelines or delegated functions but does not prescribe in detail how to perform certain functions - instead it provides a framework for action with its primary role being to guide the achievement of the adopted strategic goals and ensure legislative compliance.

The most recent developments in legislative requirements, and the community’s and Council’s position on certain matters have been checked for each policy to determine whether a policy required updating, or whether a policy was still necessary. A policy may no longer be necessary, for instance, if legislation now wholly covers Council’s policy position, or if a Policy reflects legislation that no longer exists.

Financial Considerations

There are no financial considerations.

Consultation and Engagement

Part 1:   Public exhibition was held for 28 days, allowing 42 days for submissions following the 26 November 2020 report to Council.

Part 2:   Prior to this Ordinary Meeting, the Executive Team, Managers and relevant document development officers were engaged. Following this Ordinary Meeting the documents discussed in part 2 of this report will be placed on public exhibition in order to receive submissions.

Staff Reports - Corporate and Community Services                                  13.9

Report No. 13.9      National General Assembly of Local Government 2021

Directorate:                         Corporate and Community Services

Report Author:                   Joelinda Bourke, Corporate Support Officer

File No:                                 I2021/49

 

Summary:

The National General Assembly of Local Government will be held from 20 to 23 June 2021 in Canberra. The Call for Motions Discussion Paper requires that motions from Councillors are to be lodged by 26 March 2021.

This report is provided in accordance with Council’s Policy Councillor Expenses and Facilities 2019, 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: 1.      That Council authorises two Councillors being Councillors _______ and ________ to attend the 2021 National General Assembly of Local Government to be held at the National Convention Centre in Canberra from 20 to 23 June 2021 and nominates Cr ______ as the voting delegate. 2.      That Council considers endorsement of any motions for submission to the National General Assembly, at its Ordinary meeting scheduled for Thursday, 25 March 2021, to meet the lodgement deadline with ALGA of Friday, 26 March 2021.

 

 

Report

Council has received the program and registration details for the National General Assembly of Local Government (NGA) to be held in Canberra from 20 to 23 June 2021. The theme for the 2021 NGA is ‘Working Together for our Communities’, acknowledging the need to come together and with other partners, including Federal Government, to deliver for our communities.

Council’s Policy Councillor Expenses and Facilities 2019, 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 2019 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 26 March 2021 and must first be endorsed by Council prior to submission. A memo was provided to Councillors on 13 January 2021 with this information.

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

Call for Motions

The NGA Call for Motions Discussion Paper outlines the challenges faced by Local Governments across Australia, recognising that 2020 was a year like no other. Key points discussed throughout the paper include:

•        council resilience – in the face of financial constraints and rapidly evolving technologies

•        community resilience – in the face of natural disasters, pandemics, recession, and inequality; and

•        collaboration and partnerships – the need to work with other councils and organisations to enhance the capacity to address community expectations and overcome challenges

The full discussion paper is available from the following link: https://cdn.alga.asn.au/wp-content/uploads/Discussion-Paper-2021-WEB.pdf

Conference Details

Where:      National Convention Centre, Canberra, ACT

Dates:        Sunday 20 June to Wednesday 23 June 2021

Costs: (per delegate)

Registration Fee (early bird received by 7 May 2021)            $   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

•        not be focused on a specific location or region – unless the project has national implications. You will be asked to justify why your motion has strategic national importance and should be discussed at a national conference

•        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 their state or territory local government association

•        propose a clear action and outcome i.e. call on the Australian Government to do something;

•        be a new motion that has not already been debated at an NGA in the preceding two years

•        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 the endorsement of your council. Motions should be received no later than 11:59pm AEST on Friday 26 March 2021.

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	5.2.4	Support Councillors to carry out their civic duties	5.2.4.3	Provide support to Councillors – including councillor requests, briefing sessions, provision of facilities and payment of expenses, and record keeping

Related Resolutions

N/A

Legal/Statutory/Policy Considerations

In accordance with Council’s Policy Councillor Expenses and Facilities 2019 “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 $31,500 within the 2020/21 budget (2145.004). There is sufficient funding remaining to cover the cost of sending two delegates to the NGA.

Consultation and Engagement

N/A

 

Staff Reports - Corporate and Community Services                               13.10

Report No. 13.10    Council Resolutions Quarterly Review - Q2 - 1 October to 31 December 2020

Directorate:                         Corporate and Community Services

Report Author:                   Heather Sills, Corporate Planning and Improvement Coordinator

File No:                                 I2021/137

Summary:

This report provides an update on the status of Council resolutions as at 31 December 2020.

174 resolutions were completed during the period 1 October to 31 December 2020.

As at 31 December 2020, there were 109 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 (#E2021/41).

2.      That Council notes the completed Resolutions in Attachment 2 (#E2021/42).

3.      That Council endorses the closure of the Resolutions identified in Table 1:  Council resolutions that have been superseded by other resolutions; and which have been included in the completed Resolutions in Attachment 2 (#E2021/42).

Attachments:

 

1        Active Resolutions - 31 December, E2021/41  

2        Completed Resolutions - 1 October to 31 December 2020, E2021/42  

 

 

Report

Each quarter, Council is provided with an update on the status of Council resolutions; identifying those resolutions completed within the reporting period, those proposed to be closed, and those resolutions that remain ‘Active’.

Quarterly Report – 1 October to 31 December 2020

Active Resolutions

The Active Resolutions Report (#E2021/41) provides an update to Council on all active resolutions as at 31 December 2020; with relevant commentary regarding the status of each resolution as at this date. There are 109 active resolutions; including those resolutions from the December Council Meetings which may or may not have had any action taken at the time of preparing this report. 11 of the active resolutions were overdue by more than 60 days at the time the report was prepared.

Completed Resolutions

The Completed Resolutions Report (#E2021/42) provides details of those resolutions that were completed during the period 1 October to 31 December 2020. There were 174 resolutions completed between 1 October to 31 December 2020.

Resolutions for Closure

Council resolutions that are no longer relevant or have been superseded either by other resolutions, legislative change or other matters, are provided in Table 1 below. These resolutions are also reflected in the Completed Resolutions Report.

Table 1: Council resolutions that have been superseded by other resolutions:

Meeting Date	Res No.	Report Title	Staff Comments and Recommendation
19/03/2020	20-026	PLANNING - Design Excellence Panel	Superseded by Resolution 20-681

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	5.2.4	Support Councillors to carry out their civic duties	5.2.4.2	Deliver Council meeting secretariat – including agenda preparation, minutes and council resolutions monitoring

Recent Resolutions

This report has been prepared in accordance with requirements prescribed by Council resolution 20-513.

Legal/Statutory/Policy Considerations

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

Financial Considerations

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

Consultation and Engagement

Not applicable.

Staff Reports - Corporate and Community Services                               13.11

Report No. 13.11    Council Investments - 1 January 2021 to 31 January 2021

Directorate:                         Corporate and Community Services

Report Author:                   James Brickley, Manager Finance

File No:                                 I2021/149

 

Summary:

This report includes a list of investments and identifies Council’s overall cash position for the period 1 January 2021 to 31 January 2021 for information. 

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

RECOMMENDATION: That Council notes the report listing Council’s investments and overall cash position as at 31 January 2021.

 

.

Report

Council has continued to maintain a diversified portfolio of investments. At 31 January 2021, the average 90 day bank bill rate (BBSW) for the month of January 2021 was 0.016%. Council’s performance to 31January 2021 was 0.77%. 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. It should be noted that as investments mature, Council’s investment return may continue to decrease due to the lower rates available in the current market.

The table below identifies the investments held by Council as at 31 January 2021

Schedule of Investments held as at 31 January 2021

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%	1,046,700.00
15/11/18	980,060	NSW Treasury Corp (Green Bond)	N	AAA	15/11/28	Y	B	3.00%	1,164,520.00
20/11/18	1,018,290	QLD Treasury Corp (Green Bond)	N	AA+	22/03/24	Y	B	3.00%	1,090,260.00
28/03/19	1,000,000	National Housing Finance & Investment Corporation	Y	AAA	28/03/31	Y	B	2.38%	1,113,250.00
21/11/19	1,000,250	NSW Treasury Corp (Sustainability Bond)	N	AAA	20/03/25	Y	B	1.25%	1,038,420.00
27/11/19	500,000	National Housing Finance & Investment Social Bond	Y	AAA	27/05/30	Y	B	1.57%	560,612.50
31/03/17	1,000,000	CBA Climate Bond	Y	AA-	31/03/22	N	FRN	1.02%	1,010,430.00
16/11/17	750,000	Bank of Queensland	Y	BBB+	16/11/21	N	FRN	1.12%	755,557.50
30/08/18	500,000	Bank Australia Ltd (Sustainability Bond)	Y	BBB+	30/08/21	Y	FRN	1.39%	502,540.00
24/07/20	2,000,000	Bank of Queensland	N	BBB+	19/07/21	N	TD	0.90%	2,000,000.00
30/07/20	1,000,000	Judo Bank	Y	NR	30/07/21	N	TD	1.25%	1,000,000.00
03/08/20	1,000,000	NAB	N	AA-	03/08/21	N	TD	0.85%	1,000,000.00
04/08/20	2,000,000	Suncorp	Y	A+	01/02/21	N	TD	0.70%	2,000,000.00
19/08/20	2,000,000	NAB	N	AA-	19/08/21	N	TD	0.80%	2,000,000.00
26/08/20	1,000,000	AMP Bank	Y	BBB	26/08/21	N	TD	0.80%	1,000,000.00
02/09/20	1,000,000	Bank of Queensland	N	BBB+	01/09/21	N	TD	0.78%	1,000,000.00
02/09/20	1,000,000	NAB	N	AA-	02/09/21	N	TD	0.75%	1,000,000.00
24/09/20	2,000,000	NAB	N	AA-	24/09/21	N	TD	0.65%	2,000,000.00
30/09/20	1,000,000	Bank of Queensland	N	BBB+	30/09/21	N	TD	0.65%	1,000,000.00
30/09/20	2,000,000	CBA Green Deposit	N	AA-	30/09/21	N	TD	0.70%	2,000,000.00
07/10/20	2,000,000	MyState Bank Limited	Y	NR	07/10/21	Y	TD	0.70%	2,000,000.00
13/10/20	1,000,000	The Mutual Bank	Y	NR	13/04/21	Y	TD	0.60%	1,000,000.00
04/11/20	1,000,001	AMP Bank	N	BBB	05/05/21	N	TD	0.55%	1,000,001.00
04/11/20	2,000,000	NAB	N	AA-	04/11/21	N	TD	0.55%	2,000,000.00
09/11/20	1,000,000	Community First Credit Union	Y	NR	09/11/21	Y	TD	0.65%	1,000,000.00
09/11/20	1,000,000	The Mutual Bank	N	NR	09/08/21	Y	TD	0.65%	1,000,000.00
23/11/20	1,000,000	AMP Bank	N	BBB	23/11/21	N	TD	0.75%	1,000,000.00
24/11/20	1,000,000	Judo Bank	Y	NR	24/11/21	Y	TD	0.84%	1,000,000.00
25/11/20	2,000,000	AMP Bank	N	BBB	26/05/21	Y	TD	0.70%	2,000,000.00
26/11/20	1,000,000	Community First Credit Union	N	NR	26/11/21	Y	TD	0.65%	1,000,000.00
26/11/20	1,000,000	Macquarie Bank	Y	A	22/10/21	N	TD	0.50%	1,000,000.00
01/12/20	1,000,000	AMP Bank	N	BBB	01/06/21	N	TD	0.70%	1,000,000.00
07/12/20	2,000,000	Credit Union Australia	Y	BBB	07/06/21	Y	TD	0.45%	2,000,000.00
17/12/20	2,000,000	NAB	N	AA-	17/12/21	N	TD	0.50%	2,000,000.00
05/01/2	2,000,000	NAB	N	AA-	05/01/22	N	TD	0.45%	2,000,000.00
05/01/21	1,000,000	Judo Bank	N	NR	06/07/21	Y	TD	0.55%	1,000,000.00
20/01/21	1,000,000	Westpac (Tailored)	Y	AA-	20/01/22	N	TD	0.38%	1,000,000.00
27/01/21	1,000,000	The Mutual Bank	N	NR	27/01/22	Y	TD	0.50%	1,000,000.00
29/01/21	1,000,000	ME Bank	Y	BBB	31/01/22	Y	TD	0.45%	1,000,000.00
N/A	9,567,888.05	CBA Business Saver	N	AA-	N/A	N	CALL	0.30%	9,567,888.05
N/A	4,283,055.20	CBA Business Saver – Tourism Infrastructure Grant	N	AA-	N/A	N	CALL	0.30%	4,283,055.20
N/A	6,112,865.77	NSW Treasury Corp	N	AAA	N/A	Y	CALL	0.01%	6,112,865.77
Total	68,712,410.02						AVG	0.79%	69,246,100.02

 

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 (ESRI)

An additional column has been added to the schedule of Investments 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 three 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.

3.      $2,000,000 investment with Commonwealth Bank maturing on 30 September 2021 known as a Green Deposit.

 

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. Note that the financial institutions currently offering investments in the ‘ethical’ area are still mainly those with lower credit ratings (being either BBB or not rated at all i.e. credit unions).

 

Associated Risk

 

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

The investment portfolio is outlined in the table below by investment type for the period 1 January 2021 to 31 January 2021:

Dissection of Council Investment Portfolio as at 31 January 2021

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 1 January 2021 to 31 January 2021 on a current market value basis. 

Movement in Investment Portfolio – 31 January 2021

 

Term Deposit Investments Maturities and Returns – 1 January to 31 January 2021

Council’s overall ‘cash position’ is not only measured by funds invested but also by the funds retained in its consolidated fund or bank account for operational purposes. In this regard, for the month of January 2021 the table below identifies Council’s overall cash position as follows:

Dissection of Council’s Cash Position as at 31 January 2021

 

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)	5.5.2.6	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 it 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 March 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.

 

 

Staff Reports - Corporate and Community Services                               13.12

Report No. 13.12    Budget Review - 1 October 2020 to 31 December 2020

Directorate:                         Corporate and Community Services

Report Author:                   James Brickley, Manager Finance

File No:                                 I2021/156

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 2020/2021 financial year, reviewed as at 31 December 2020.

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.

This report was also considered by the Finance Advisory Committee at its Meeting held on 18 February 2021.

  

 

RECOMMENDATION:

1.      That Council authorises the itemised budget variations as shown in Attachment 2 (#E2021/30960) which include the following results in the 31 December 2020 Quarterly Review of the 2020/2021 Budget:

a)      General Fund – No change to the Estimated Unrestricted Cash Result

b)      General Fund - $1,185,800 increase in reserves

c)      Water Fund - $29,200 decrease in reserves

d)      Sewerage Fund - $94,200 increase in reserves

2.      That Council adopts the revised General Fund Estimated Unrestricted Cash Result of $428,200 for the 2020/2021 financial year as at 31 December 2020.

Attachments:

 

1        Budget Variations for General, Water and Sewerage Funds, E2021/30951  

2        Itemised Listing of Budget Variations for General, Water and Sewerage Funds, E2021/30960  

3        Integrated Planning and Reporting Framework (IP&R) required Quarterly Review Statements, E2021/30961  

 

 

Report

Council adopted the 2020/2021 budget on 30 July 2020 via Resolution 20-357.  It also considered and adopted the budget carryovers from the 2019/2020 financial year, to be incorporated into the 2020/2021 budget, at its Ordinary Meeting held on 27 August 2020 via Resolution 20-384.  Since that date, Council has reviewed the budget taking into consideration the 2019/2020 Financial Statement results and progress through the first half of the 2020/2021 financial year.  This report considers the December 2020 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.

Contained in the document at Attachment 1 is 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 within Attachment 1 are presented (from left to right) by showing the original budget as adopted by Council on 30 July 2020 plus the adopted carryover budgets from 2019/2020 followed by the resolutions between July and September, the September review, resolutions between October and December and the revote (or adjustment for this review) and then the revised position projected for 30 June 2021 as at 31 December 2020.

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 then corresponds to the notes at the end of the Attachment 1 which provides an explanation of the variation.

There is also information detailing restricted assets (reserves) to show Council’s estimated balances as at 30 June 2021 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 Councils 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 7 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 2020 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 2020/2021 financial year projected to 30 June 2021 but revised as at 31 December 2020.

The General Fund financial position overall has not changed as a result of this budget review, leaving the forecast cash result for the year at a deficit of $296,100. The proposed budget changes are detailed in Attachment 1 and summarised further in this report below.

Council Resolutions

At the meeting of 24 September 2020, Council resolved through Resolution 20-518 “That Council considers a budget allocation at the September quarterly review to undertake further work on the Rail with Trail on the corridor between Mullumbimby and Byron Bay.”  At this point in time there has not been the capacity to identify sufficient funding for this resolution given the overall Council budget position is still projecting a deficit position although a reduced deficit.  Further consideration of this resolution will be given when the 31 March 2021 Quarterly Budget Review is completed which will provide a better indication of 2020-2021 financial year outcomes.

This Budget Review though has been able to incorporate a proposed budget variation of $50,000 to fund a feasibility study for all year round use of the Petria Thomas Swimming Pool in Mullumbimby as requested by Resolution 20-733 from the 21 December 2020 Ordinary Meeting.

Council has not passed any resolutions that impact the unrestricted cash result for the October 2020 to December 2020 quarter. 

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	315,300	315,300	0
Corporate & Community Services	206,100	208,700	(2,600)
Infrastructure Services	(265,300)	(184,700)	(80,600)
Sustainable Environment & Economy	113,000	29,800	83,200
Total Budget Movements	369,100	369,100	0

Budget Adjustment Comments

Included in these budget adjustments are revised costs for motor vehicles that are allocated to various budget programs.  After a review of these vehicle costs, it has been realised that some of the charges for specific vehicle types were less, and some were more, than what the budget allowed for. Most budget programs within this review have an adjustment for motor vehicles.  These adjustments have increased the operating expenditure by $62,000 with a corresponding increase to Plant Fund cost recoveries and transfer to the Plant Fund reserve.

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 Managers Program

·   In the General Manager’s program, it is proposed to transfer $200,000 from the legal services reserve to cover the actual legal costs Council has incurred to date.  This is in addition to the original $200,000 budget.

·   In the People & Culture program, it is proposed to transfer $93,300 to the people and culture reserve as a performance rebate was received from StateCover, Council’s workers’ compensation provider.  This can be used to fund future projects within this area.  It is also proposed to add a budget of $22,000 for Council to implement drug and alcohol testing that can be funded from the People and Culture reserve.

Corporate and Community Services

·   In the Financial Services program, it is proposed to increase the budget for Section 603 certificates as the actual income received is trending higher than the budget due to increased activity in the property market.

·   In the Corporate Services Program, it is proposed to increase operating expenditure by $69,300 to allow 2 days per week for a Grants Support Officer and 3 days per week for a Corporate Support Officer.

·   In the Community Development Program, it is proposed to increase operating income and expenditure by $70,000 due to a contribution from Tweed Shire Council for the Disaster Resilience position that Byron Shire Council is managing.  It is proposed to increase operating expenditure by a further $46,600 due to additional funding required for Durrumbul Hall.

·   In the Library Services program, it is proposed to increase operating income by $33,200 as the actual per capita grant ($5,500) and the Local Priorities grant ($27,700) received are more than the current budget. It is proposed to increase operating expenditure by $27,700 for the Local Priorities grant and $1,500 for required maintenance and repairs

Infrastructure Services

·   In the Emergency Services program, it is proposed to add $30,000 to the budget for the maintenance and operation of the Disaster Dashboard / Flood Warning Network.  These costs are a contractual obligation from the tender outcome and there is currently no budget allocated.

·   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 second and third pages of Attachment 2 under the budget program heading Local Roads and Drainage. 

The main adjustment within this program is to the Byron Bypass, proposing to increase the project budget by $974,000.  It is estimated an additional $1,750,000 is required to complete the Bypass project, with this additional funding proposed to be secured via an external loan borrowing.  Council has sought $1,750,000 in additional grant funding from Transport for NSW but if that grant funding request is not approved, the loan borrowing will be required.  There is also a $44,200 contribution Council received that remains unexpended for the Bypass from Sydney Trains, not currently included in the Bypass budget but needs to be. It is proposed to reduce the current 2020-2021 budget for the Byron Bay Bypass by $820,200 to reduce the overstated grant funding included in the current budget as final actual expenditures in the 2019/2020 financial year were more than anticipated due to timing of actual expenditures and Council adopting the original and carryover budgets for 2020/2021.  The reduction of unavailable funding of $820,200 is included in the suggested proposed loan or additional grant amount of $1,750,000.  It is expected a further report will be provided on the Byron Bay Bypass outcome at the 25 March 2021 Ordinary Council Meeting.

·   In the Roads and Maritime Services program (RMS) it is proposed to increase natural disaster expenditure by $166,800.  This is the amount that Council is required to contribute to receive the grant funding.

·   In the Waste & Recycling program it is proposed to decrease the budget for the rehabilitation of the Myocum landfill by $1.8 million as the project will not be completed this financial year.

·   In the Facilities Management program, it is proposed to increase operating expenditure by $50,000 to fund a feasibility study on making the Mullumbimby pool a year round facility.  It is proposed to increase capital expenditure due to additional funds being required for the Mullumbimby War Widows Cottage project.  The quote returned was greater than the available grant funding.  This can be funded through reserves. 

 

Sustainable Environment and Economy

·   In the Development Certification program, it is proposed to increase operating income due to increased income from activities over road reserves. 

·   In the Environment & Compliance program, it is proposed to increase the budget for on-site sewerage installation and applications by $38,300 to match actual income received.

WATER FUND

After completion of the 2019/2020 Financial Statements the Water Fund as at 30 June 2020 has a capital works reserve of $9,260,100 and held $1,483,600 in section 64 developer contributions.

The estimated Water Fund reserve balances as at 30 June 2021, and forecast in this Quarter Budget Review, are derived as follows:

Capital Works Reserve

Opening Reserve Balance at 1 July 2020	$9,260,100
Plus original budget reserve movement	(1,406,900)
Resolutions July -  September Quarter – increase / (decrease)	0
September Quarterly Review Adjustments – increase / (decrease)	(720,900)
Resolutions October -  December Quarter – increase / (decrease)	0
December Quarterly Review Adjustments – increase / (decrease)	(29,200)
Forecast Reserve Movement for 2020/2021 – Increase / (Decrease)	(2,157,000)
Estimated Reserve Balance at 30 June 2021	$7,103,100

 

Section 64 Developer Contributions

 

Opening Reserve Balance at 1 July 2020	$1,483,600
Plus original budget reserve movement	(620,500)
Resolutions July -  September Quarter – increase / (decrease)	0
September Quarterly Review Adjustments – increase / (decrease)	(80,000)
Resolutions October -  December Quarter – increase / (decrease)	0
December Quarterly Review Adjustments – increase / (decrease)	0
Forecast Reserve Movement for 2020/2021 – Increase / (Decrease)	(700,500)
Estimated Reserve Balance at 30 June 2021	$783,100

Movements for Water Fund can be seen in Attachment 1 with a proposed estimated decrease to reserves (including S64 Contributions) overall of $29,200 from the 31 December 2020 Quarter Budget Review.

 

SEWERAGE FUND

After completion of the 2019/2020 Financial Statements the Sewer Fund as at 30 June 2020 has a capital works reserve of $6,884,700 and plant reserve of $896,200. It also held $8,117,300 in section 64 developer contributions.

Capital Works Reserve

Opening Reserve Balance at 1 July 2010	$6,884,700
Plus original budget reserve movement	(2,958,400)
Resolutions July -  September Quarter – increase / (decrease)	0
September Quarterly Review Adjustments – increase / (decrease)	(349,200)
Resolutions October -  December Quarter – increase / (decrease)	0
December Quarterly Review Adjustments – increase / (decrease)	94,200
Forecast Reserve Movement for 2010/2021 – Increase / (Decrease)	(3,213,400)
Estimated Reserve Balance at 30 June 2021	$3,671,300

 

Plant Reserve

 

Opening Reserve Balance at 1 July 2020	$896,200
Plus original budget reserve movement	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 2020/2021 – Increase / (Decrease)	0
Estimated Reserve Balance at 30 June 2021	$896,200

 

Section 64 Developer Contributions

 

Opening Reserve Balance at 1 July 2020	$8,117,300
Plus original budget reserve movement	(2,202,600)
Resolutions July -  September Quarter – increase / (decrease)	(451,000)
September Quarterly Review Adjustments – increase / (decrease)	(82,000)
Resolutions October -  December Quarter – increase / (decrease)	0
December Quarterly Review Adjustments – increase / (decrease)	0
Forecast Reserve Movement for 2020/2021 – Increase / (Decrease)	(2,735,600)
Estimated Reserve Balance at 30 June 2021	$5,381,700

Movements for the Sewerage Fund can be seen in Attachment 1 with a proposed estimated overall increase to reserves (including S64 Contributions) of $94,200 from the 31 December 2020 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 2020.

Total Legal Income & Expenditure as at 31 December 2020

Program	2020/2021 Budget ($)	Actual ($)	Percentage To Revised Budget
Income
Legal Expenses Recovered	0	0	0%
Total Income	0	0	0%
Expenditure
General Legal Expenses	200,000	389,821	194.91%
Total Expenditure General Fund	200,000	389,821	194.91%

Note:  It is proposed to transfer $200,000 from the legal services reserve within this quareterly budget review to fund the increase in legal fees incurred.  Legal costs need to be monitored closely within the next quarter, with the budget reviewed again at the end of March 2021.

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

The 31 December 2020 Quarter Budget Review of the 2020/2021 Budget is not proposing to change the overall budget result. This leaves the movement against the unrestricted cash balance attributable to the General Fund remaining at deficit of $296,100 for the year. This outcome will derive an estimated unrestricted cash balance attributable to the General Fund of $428,100 at 30 June 2021.  Going forward Council must be conscious of decisions that may affect the unrestricted cash balance when considering matters with financial implications especially where funding sources are not identified.

It is the view of the Responsible Accounting Officer that the short term financial position of the Council is still satisfactory for the 2020/2021 financial year, having consideration of the original estimate of income and expenditure at the 31 December 2020 Quarter Budget Review.

This opinion is based on the estimated General Fund Unrestricted Cash Result position and that the current indicative budget position for 2020/2021 outlined in this Budget Review continues to improve for the remainder of the 2020/2021 financial year. Council must remember it has a short term financial goal of maintaining $1,000,000 in unrestricted cash and if it is of the view to recover this position by 30 June 2021, the budget position must continue to improve by $571,900 to a surplus position of $275,800.

It is suggested Council must reassess the budget financial position for the 2020/2021 financial year critically at the 31 March 2021 Quarterly Budget Review to be presented to Council at the Ordinary Meeting to be held on 27 May 2021.