Agenda of Ordinary Meeting of Council

Report submitted to the Ordinary Meeting of Council on Monday 27 November 2017. RP-4

RP-4 Financial Performance Report as at 31 October 2017

Author: Carolyn Rodney

Director: Natalie Te Pohe

Analysis:

This report is for Council to consider and approve the proposed 2017/18 budget variations required to manage the 2017/18 budget and Long Term Financial Plan, and details Council’s external investments and performance as at 31 October 2017.

This report also includes Section 356 requests for financial assistance to be considered for approval.

Recommendation

That Council:

a approve the proposed 2017/18 budget variations for the month ended 31 October 2017 and note the balanced budget position as presented in this report

b note the Responsible Accounting Officer’s reports, in accordance with the Local Government (General) Regulation 2005 (Part 9 Division 3: Clause 203) that the financial position of Council is satisfactory having regard to the original estimates of income and expenditure and the recommendations made above

c provide financial assistance of the following amounts in accordance with Section 356 of the Local Government Act 1993:

i) Mayoress Concert $ 975.00

d note details of the external investments as at 31 October 2017 in accordance with section 625 of the Local Government Act 1993

Report

Wagga Wagga City Council (Council) forecasts an overall balanced budget position as at 31 October 2017. Proposed funded budget variations are detailed in this report for Council’s consideration and adoption.

Council has experienced a positive monthly investment performance for the month of October that is mainly attributable to Council’s Floating Rate Note (FRN) portfolio seeing a positive movement for the period. Councils managed funds investment also performed strongly during the October period. Council also continues to have a higher than anticipated investment portfolio balance and continued strong portfolio returns.

Key Performance Indicators

OPERATING INCOME

Total operating income is 33% of approved budget, which is tracking to budget for the end of October (this percentage excludes capital grants and contributions). An adjustment has been made to reflect the levy of rates that occurred at the start of the financial year. Excluding this adjustment, operating income received is 71%.

OPERATING EXPENSES

Total operating expenditure is 32% of approved budget and is tracking to budget for the full financial year.

CAPITAL INCOME

Total capital income is 11% of approved budget. It is important to note that the actual income from capital is influenced by the timing of the receipt of capital grants and contributions relating to projects.

CAPITAL EXPENDITURE

Total capital expenditure including commitments is 28% of approved budget.

WAGGA WAGGA CITY COUNCIL STATEMENT OF FINANCIAL PERFORMANCE 1 JULY 2017 TO 31 OCTOBER 2017
CONSOLIDATED STATEMENT
	ORIGINAL BUDGET 2017/18 $'000	BUDGET ADJ 2017/18 $'000	APPROVED BUDGET 2017/18 $'000	YTD ACTUAL EXCL COMMT'S 2017/18	COMMT'S 2017/18 $'000	YTD ACTUAL + COMMT'S 2017/18 $'000	YTD % OF BUD
Revenue
Rates & Annual Charges	(63,090,002)	0	(63,090,002)	(22,002,058)	0	(22,002,058)	35%
User Charges & Fees	(25,947,798)	35,469	(25,912,329)	(7,846,699)	0	(7,846,699)	30%
Interest & Investment Revenue	(3,154,163)	0	(3,154,163)	(1,408,175)	0	(1,408,175)	45%
Other Revenues	(2,984,954)	(51,335)	(3,036,289)	(826,098)	0	(826,098)	27%
Operating Grants & Contributions	(13,910,429)	3,432,786	(10,477,643)	(2,650,668)	0	(2,650,668)	25%
Capital Grants & Contributions	(13,704,984)	(22,547,734)	(36,252,719)	(3,705,997)	0	(3,705,997)	10%
Total Revenue	(122,792,330)	(19,130,814)	(141,923,144)	(38,439,695)	0	(38,439,695)	27%

Expenses
Employee Benefits & On-Costs	42,458,491	178,503	42,636,994	12,368,876	38,620	12,407,496	29%
Borrowing Costs	3,591,092	0	3,591,092	828,779	0	828,779	23%
Materials & Contracts	6,580,594	503,084	7,083,678	3,277,855	895,206	4,173,060	59%
Depreciation & Amortisation	34,477,729	0	34,477,729	11,492,576	0	11,492,576	33%
Other Expenses	32,706,532	3,280,059	35,986,591	9,442,710	1,592,459	11,035,169	31%
Total Expenses	119,814,437	3,961,645	123,776,083	37,410,795	2,526,285	39,937,080	32%

Net Operating (Profit)/Loss	(2,977,893)	(15,169,169)	(18,147,062)	(1,028,900)	2,526,285	1,497,385

Net Operating (Profit)/Loss before Capital Grants & Contributions	10,727,091	7,378,566	18,105,657	2,677,097	2,526,285	5,203,382

Cap/Reserve Movements
Capital Exp - Renewals	25,035,121	26,703,189	51,738,311	3,097,464	13,717,267	16,814,731	32%
Capital Exp - New Projects	16,498,302	16,373,377	32,871,678	6,772,035	4,872,039	11,644,074	35%
Capital Exp - Project Concepts	11,800,337	6,097,816	17,898,153	34,540	65,708	100,248	1%
Loan Repayments	2,474,343	0	2,474,343	824,781	0	824,781	33%
New Loan Borrowings	(7,215,980)	(4,059,170)	(11,275,150)	0	0	0	0%
Sale of Assets	(4,678,401)	(1,371,761)	(6,050,162)	(305,621)	0	(305,621)	5%
Net Movements Reserves	(6,458,101)	(28,574,282)	(35,032,383)	0	0	0	0%
Total Cap/Res Movements	37,455,621	15,169,169	52,624,790	10,423,200	18,655,013	29,078,213	55%

	ORIGINAL BUDGET 2017/18 $'000	BUDGET ADJ 2017/18 $'000	APPROVED BUDGET 2017/18 $'000	YTD ACTUAL EXCL COMMT'S 2017/18	COMMT'S 2017/18 $'000	YTD ACTUAL + COMMT'S 2017/18 $'000	YTD % OF BUD
Net Result after Depreciation	34,477,728	0	34,477,728	9,394,300	21,181,298	30,575,598

Add back Depreciation Expense	34,477,729	0	34,477,729	11,492,576	0	11,492,576

Cash Budget (Surplus)/Deficit	0	0	0	(2,098,277)	21,181,298	19,083,022

Revised Budget Result - Surplus/(Deficit)

$’000s

Original 2017/18 Budget Result as adopted by Council

Total Budget Variations approved to date

Budget variations for October 2017

Proposed revised budget result for 31 October 2017

The proposed Budget Variations to 31 October 2017 are listed below:

*Budget Variation*	*Amount*	*Funding Source*	*Net Impact* *Fav/ (Unfav)*
*2 – Safe and Healthy Community*
Lawn Cemetery Irrigation and Pump Upgrade	$154K	Cemetery Reserve (100K) Cemetery Operating Budget Savings ($54K)	Nil
Funds are required for irrigation, turfing and a pump upgrade to allow for the completion of the Lawn Cemetery Master Plan Stage 2 project. The current pump system is operating at its maximum capacity with this upgrade required to cater for the additional irrigation requirements. It is proposed to fund these works from identified Cemetery operational budgets this financial year ($54K) and the Cemetery Operating Reserve ($100K).			Nil
Oasis Repairs & Maintenance	$86K	Oasis Plant Reserve ($86K)	Nil
Funds are required at the Oasis for the major upgrade of all five pool sand filters, the replacement of the chlorine storage room bunding and dosing pump control panel. In addition, Council officers have identified that the two evaporative air conditioners located at Workout Gym require replacing. Under the current lease agreement, Workout is responsible for the maintenance of the air conditioners, with Council responsible for the replacements. It is proposed to fund these required works from the Oasis Plant Reserve, which has a current balance of $1.1M and has capacity to fund these works.			Nil
*4 – Community Place and Identity*
Fitz Live Event	$20K	Fitz Live Grant Income ($20K)	Nil
Council has been successful in securing grant funding of $20K from the Live Music Office and Create NSW for Fitz Live. Fitz Live is a music event that will occur over two Saturdays in Autumn 2018 at Wagga Tourism Partner businesses in Fitzmaurice Street.			Nil
Civic Theatre Partnership Shows	$50K	Civic Theatre Partnership Shows Income ($50K)	Nil
It is proposed to create a new budget line for the Civic Theatre to be able to attract and present several high quality artists each year. The majority of these artists will only tour to regional areas as part of a partnership agreement. These shows are expected to operate on a cost neutral basis or return a small profit. Council are currently in partnership negotiations with a number of high quality artists.			Nil
Civic Theatre Lighting Upgrade	$57K	Civic Theatre Technical Reserve ($57K)
Funds are required for the continuation of the Civic Theatre lighting upgrade with the replacement of analogue lights with LED lights. LED lighting is more flexible, energy efficient, cheaper and reliable. The lights selected are now industry standard and being used by the major theatre companies in Australia. It is proposed to fund these works from the Civic Theatre Technical Reserve which has a current balance of $105K and has capacity to fund these works.
Fusion Sustainability Strategy	$18K	Fusion Sustainability Grant Income ($18K)	Nil
Council has been successful in obtaining a Building Better Regions Grant for $18K to fund the Fusion Sustainability Strategy Project. This project aims to support local communities to prosper and grow and helps to boost economic growth in the region by continued support of the Fusion Festival. The Fusion Festival celebrates the 112 countries of origin that make up our community and attracts more than 10,000 people from across the region for the event.			Nil
*5 – The Environment*
Graham Park Embellishment Wilga Park Embellishment	$50K $50K	Graham Park Grant Income ($50K) Wilga Park Grant Income ($50K)	Nil
Council has been successful in obtaining $100K from Family & Community Services NSW under the Social Housing Community Fund to improve the liveability of social housing communities in Ashmont and Kooringal. The Graham Park at Ashmont $50K grant will provide a new toilet block, bench seating and bubbler for the park. This grant will compliment the existing $100K allocated in 2017/18 for the upgrade of Graham Park. The Wilga Park Kooringal grant of $50K will provide improvements to the park including landscaping, a basketball court and skate grinding rail.			Nil
VMG Christmas Lights	$20K	Events Management ($10K) Director of Commercial Operations - Operational Budget Savings ($10K)	Nil
Due to feedback received from community members last festive season, it is proposed to purchase and install quality Christmas lighting for the Victory Memorial Gardens (VMG). This involves providing lighting to the main tree at the VMG which will offer a new look and feel for Christmas 2017 in Wagga Wagga. Due to timing restraints, the lighting has been ordered to ensure that these lights will be installed by the end of November in time for Christmas. It is proposed to fund this variation from the existing Events Management budget and operational budget savings identified in the Director of Commercial Operations area.			Nil
*SURPLUS/(DEFICIT)*			Nil

Current Restrictions

RESERVES SUMMARY
31 OCTOBER 2017
	Approved Changes
	CLOSING BALANCE 2016/17	ADOPTED RESERVE TRANSFERS 2017/18	BUDGET VARIATIONS APPROVED UP TO COUNCIL MEETING 23.10.17	RECOMMENDED CHANGES for Council Resolution	REVISED BALANCE

Externally Restricted
Developer Contributions	(21,947,807)	3,374,249	4,733,577		(13,839,982)
Sewer Fund Reserve	(24,045,646)	1,229,992	3,325,465		(19,490,189)
Solid Waste Reserve	(15,824,723)	4,878,008	1,207,212		(9,739,503)
Specific Purpose Unexpended Grants/Contributions	(3,378,959)	0	3,378,959		0
SRV Levee Reserve	(1,167,316)		1,167,316		0
Stormwater Levy Reserve	(2,940,246)	(587,206)	451,268		(3,076,184)
Total Externally Restricted	(69,304,697)	8,895,043	14,263,797	0	(46,145,858)

Internally Restricted
Airport Reserve	(371,610)	(386,660)	101,914		(656,355)
Art Gallery Reserve	(30,990)	(21,000)	0		(51,990)
Ashmont Community Facility Reserve	(4,500)	(1,500)	0		(6,000)
Bridge Replacement Reserve	(240,240)	(100,000)	153,573		(186,667)
CBD Carparking Facilities Reserve	(891,982)	0	129,191		(762,792)
CCTV Reserve	(64,476)	(10,000)	0		(74,476)
Cemetery Perpetual Reserve	(157,605)	(125,146)	144,084		(138,667)
Cemetery Reserve	(193,116)	(161,330)	0		(354,446)
Civic Theatre Operating Reserve	0	(50,000)	0		(50,000)
Civic Theatre Technical Infra Reserve	(105,450)	(50,000)	0	57,000	(98,450)
Civil Projects Reserve	(155,883)	0	0		(155,883)
Community Amenities Reserve	(5,685)	0	0		(5,685)
Council Election Reserve	(166,776)	(73,095)	0		(239,871)
Emergency Events Reserve	(133,829)		(86,331)		(220,160)
Employee Leave Entitlements Gen Fund Reserve	(3,184,451)	0	0		(3,184,451)
Environmental Conservation Reserve	(131,351)	0	0		(131,351)
Estella Community Centre Reserve	(230,992)	0	0		(230,992)
Family Day Care Reserve	(169,356)	(123,944)	0		(293,300)
Fit for the Future Reserve	(3,033,479)	(2,265,725)	542,464		(4,756,740)
Generic Projects Saving	(1,040,610)	20,000	93,727		(926,883)
Glenfield Community Centre Reserve	(17,704)	(2,000)	0		(19,704)
Grants Commission Reserve	(4,956,776)	0	4,956,776		0
Grassroots Cricket Reserve	(70,992)	0	0		(70,992)
Gravel Pit Restoration Reserve	(761,422)	0	25,000		(736,422)
Gurwood Street Property Reserve	(50,454)	0	0		(50,454)
Information Services	(378,713)	250,000	0		(128,713)
Infrastructure Replacement Reserve	(136,098)	(48,071)	954		(183,215)
Insurance Variations Reserve	(28,644)	0	0		(28,644)
Internal Loans Reserve	(674,661)	(851,794)	695,008		(831,446)
Lake Albert Improvements Reserve	(53,867)	(50,000)	56,078		(47,789)
LEP Preparation Reserve	(28,301)	14,636	11,120		(2,545)
Livestock Marketing Centre Reserve	(7,267,731)	(1,180,017)	4,053,725		(4,394,024)
Museum Acquisitions Reserve	(39,378)	0	0		(39,378)
Oasis Building Renewal Reserve	(172,000)	(32,147)	121,000		(83,147)
Oasis Plant Reserve	(1,115,347)	90,000	0	86,000	(939,347)
Parks & Recreation Projects	(79,648)	0	74,360		(5,288)
Pedestrian River Crossing (old Riverside) Reserve	(198,031)	48,031	150,000		0
Plant Replacement Reserve	(5,893,831)	1,804,934	1,059,675		(3,029,223)
Playground Equip Replacement Reserve	(59,181)	(105,679)	0		(164,860)
Project Carryovers Reserve	(1,276,882)	0	1,276,882		0
Public Art Reserve	(173,283)	(23,669)	0		(196,952)
Robertson Oval Redevelopment Reserve	(86,697)	0	0		(86,697)
Senior Citizens Centre Reserve	(13,627)	(2,000)	0		(15,627)
Sister Cities Reserve	(36,527)	(10,000)	0		(46,527)
Stormwater Drainage Reserve	(183,420)	0	3,177		(180,242)
Strategic Real Property Reserve	(702,792)	0	(380,000)		(1,082,792)
Street Lighting Replacement Reserve	(74,755)	(30,000)	0		(104,755)
Subdivision Tree Planting Reserve	(272,621)	(20,000)	0		(292,621)
Sustainable Energy Reserve	(520,442)	35,000	60,000		(425,442)
Traffic Committee Reserve	(50,000)	(50,000)	0		(100,000)
Total Internally Restricted	(35,686,205)	(3,511,177)	13,242,376	143,000	(25,812,006)

Total Restricted	(104,990,903)	5,383,866	27,506,173	143,000	(71,957,864)

Section 356 Financial Assistance Requests

Two Section 356 Donation requests has been received for consideration at the 27 November 2017 Ordinary Council meeting. A donation request of $90 to the Tiny Tykes Markets is the subject of a separate report.

The second donation request is noted below.

· Mayoress Concert 2018 - $975

The Mayoress – Mrs Jenny Conkey has requested the waiver of the hire fees for the Civic Theatre to stage a fund raising concert on the 28 July 2018.

Mayoress Conkey in her attached request notes:

“The concert would be a showcase of local musical talent with all profit used to fund youth programs in the local community “

Section 356 financial assistance available budget	$8,010.64
Mayoress Concert	($975.00)
Tiny Tykes Market (Subject of separate 27 November Council Report)	(90.00)
Total Section 356 Financial Assistance Requests – 27 November 2017 Council Meeting	($ 1065.00)
Proposed balance of Section 356 financial assistance budget – available for requests received for the remainder of this financial year	$6,945.64

Investment Summary as at 31 October 2017

In accordance with Regulation 212 of the Local Government (General) Regulation 2005, details of Wagga Wagga City Council’s external investments are detailed below:

Institution	Rating	Closing Balance Invested 30/09/2017 $	Closing Balance Invested 31/10/2017 $	October EOM Current Yield %	October EOM % of Portfolio	Investment Date	Maturity Date	Term (mth)
*Short Term Deposits*
Police Credit Union	NR	1,000,000	1,000,000	2.87%	0.86%	6/12/2016	6/12/2017	12
Banana Coast CU	NR	1,000,000	1,000,000	2.80%	0.86%	2/06/2017	1/06/2018	12
AMP	A	2,000,000	2,000,000	2.80%	1.72%	2/06/2017	1/06/2018	12
CUA	BBB	1,000,000	1,000,000	2.80%	0.86%	9/02/2017	5/01/2018	11
AMP	A	2,000,000	2,000,000	2.60%	1.72%	2/08/2017	2/08/2018	12
ME Bank	BBB	2,000,000	0	0.00%	0.00%	16/12/2016	16/10/2017	10
CUA	BBB	1,000,000	1,000,000	2.75%	0.86%	3/03/2017	2/03/2018	12
Suncorp-Metway	A+	2,000,000	2,000,000	2.60%	1.72%	7/06/2017	3/01/2018	7
NAB	AA-	2,000,000	2,000,000	2.60%	1.72%	8/09/2017	7/09/2018	12
Suncorp-Metway	A+	2,000,000	0	0.00%	0.00%	9/06/2017	9/10/2017	4
Suncorp-Metway	A+	2,000,000	2,000,000	2.55%	1.72%	9/06/2017	6/11/2017	5
ME Bank	BBB	2,000,000	2,000,000	2.60%	1.72%	22/08/2017	19/04/2018	8
AMP	A	1,000,000	1,000,000	2.80%	0.86%	8/09/2017	5/06/2018	9
NAB	AA-	2,000,000	2,000,000	2.62%	1.72%	28/09/2017	28/09/2018	12
Auswide	BBB-	0	2,000,000	2.67%	1.72%	5/10/2017	5/10/2018	12
Auswide	BBB-	0	1,000,000	2.67%	0.86%	16/10/2017	16/10/2018	12
*Total Short Term Deposits*		23,000,000	22,000,000	2.67%	18.87%
*At Call Accounts*
NAB	AA-	3,028,968	1,533,002	1.50%	1.31%	N/A	N/A	N/A
NAB	AA-	14,049,701	15,577,967	2.19%	13.36%	N/A	N/A	N/A
Institution	Rating	Closing Balance Invested 30/09/2017 $	Closing Balance Invested 31/10/2017 $	October EOM Current Yield %	October EOM % of Portfolio	Investment Date	Maturity Date	Term (mth)
AMP	A	182,498	182,821	2.15%	0.16%	N/A	N/A	N/A
Beyond Bank	BBB+	148,698	148,850	1.00%	0.13%	N/A	N/A	N/A
CBA	AA-	51,634	51,594	1.35%	0.04%	N/A	N/A	N/A
*Total At Call Accounts*		17,461,500	17,494,233	2.12%	15.00%
*Medium Term Deposits*
RaboBank	A+	1,000,000	1,000,000	3.16%	0.86%	5/06/2017	6/06/2022	60
ING Bank	A	3,000,000	3,000,000	2.75%	2.57%	24/08/2017	26/08/2019	24
ME Bank	BBB	2,000,000	2,000,000	4.28%	1.72%	2/09/2014	2/09/2019	60
Rabobank	A+	1,000,000	1,000,000	4.10%	0.86%	5/12/2014	5/12/2019	60
Beyond Bank	BBB+	990,000	990,000	3.70%	0.85%	4/03/2015	4/03/2018	36
Beyond Bank	BBB+	990,000	990,000	3.70%	0.85%	11/03/2015	11/03/2018	36
BOQ	BBB+	2,000,000	2,000,000	3.10%	1.72%	7/07/2017	7/07/2020	36
Newcastle Permanent	BBB	1,000,000	1,000,000	3.00%	0.86%	12/08/2016	12/08/2019	36
Rabobank	A+	1,000,000	1,000,000	3.20%	0.86%	25/08/2016	25/08/2021	60
Newcastle Permanent	BBB	1,000,000	1,000,000	3.00%	0.86%	31/08/2016	30/08/2019	36
Police Credit Union	NR	1,000,000	1,000,000	2.90%	0.86%	8/09/2016	10/09/2018	24
Newcastle Permanent	BBB	2,000,000	2,000,000	3.00%	1.72%	10/02/2017	11/02/2019	24
Westpac	AA-	3,000,000	3,000,000	3.10%	2.57%	10/03/2017	10/03/2022	60
ING Bank	A	0	1,000,000	2.92%	0.86%	16/10/2017	16/10/2019	24
*Total Medium Term Deposits*		19,980,000	20,980,000	3.24%	17.99%
*Floating Rate Notes - Senior Debt*
Bendigo-Adelaide	BBB+	1,003,564	1,006,917	BBSW + 93	0.86%	17/09/2014	17/09/2019	60
BOQ	BBB+	2,015,000	2,021,800	BBSW + 110	1.73%	5/08/2014	24/06/2019	58
BOQ	BBB+	1,009,023	1,005,587	BBSW + 107	0.86%	6/11/2014	6/11/2019	60
BOQ	BBB+	1,009,023	1,005,587	BBSW + 107	0.86%	10/11/2014	6/11/2019	60
ME Bank	BBB	1,003,714	1,005,777	BBSW + 100	0.86%	17/11/2014	17/11/2017	36
ME Bank	BBB	1,003,714	1,005,777	BBSW + 100	0.86%	17/11/2014	17/11/2017	36
Teachers Mutual	BBB	1,002,744	1,004,837	BBSW + 105	0.86%	4/12/2014	4/12/2017	36
Newcastle Permanent	BBB	1,003,974	1,006,107	BBSW + 110	0.86%	27/02/2015	27/02/2018	36
Macquarie Bank	A	2,008,000	2,012,400	BBSW + 110	1.73%	3/03/2015	3/03/2020	60
ANZ	AA-	759,392	0	0.00%	0.00%	17/04/2015	17/04/2020	60
Heritage Bank	BBB+	1,005,813	1,001,078	BBSW + 115	0.86%	7/05/2015	7/05/2018	36
NAB	AA-	1,008,130	0	0.00%	0.00%	3/06/2015	3/06/2020	60
Heritage Bank	BBB+	1,005,813	1,001,078	BBSW + 115	0.86%	9/06/2015	7/05/2018	35
CBA	AA-	1,013,912	1,010,627	BBSW + 90	0.87%	17/07/2015	17/07/2020	60
Westpac	AA-	1,013,752	1,009,907	BBSW + 90	0.87%	28/07/2015	28/07/2020	60
Bendigo-Adelaide	BBB+	1,008,643	1,012,347	BBSW + 110	0.87%	18/08/2015	18/08/2020	60
Credit Suisse	A	1,008,233	0	0.00%	0.00%	24/08/2015	24/08/2018	36
Bendigo-Adelaide	BBB+	1,008,643	1,012,347	BBSW + 110	0.87%	28/09/2015	18/08/2020	59
Westpac	AA-	2,027,504	2,019,814	BBSW + 90	1.73%	30/09/2015	28/07/2020	58
Suncorp-Metway	A+	1,021,130	1,017,086	BBSW + 125	0.87%	20/10/2015	20/10/2020	60
Westpac	AA-	4,075,884	4,059,188	BBSW + 108	3.48%	28/10/2015	28/10/2020	60
AMP	A	1,817,501	1,822,729	BBSW + 110	1.56%	11/12/2015	11/06/2019	42
CBA	AA-	1,020,510	1,016,806	BBSW + 115	0.87%	18/01/2016	18/01/2021	60
Rabobank	A+	2,057,038	2,063,050	BBSW + 150	1.77%	4/03/2016	4/03/2021	60
Newcastle Permanent	BBB	1,007,043	1,009,597	BBSW + 160	0.87%	22/03/2016	22/03/2019	36
CUA	BBB	2,045,000	2,018,874	BBSW + 160	1.73%	1/04/2016	1/04/2019	36
Institution	Rating	Closing Balance Invested 30/09/2017 $	Closing Balance Invested 31/10/2017 $	October EOM Current Yield %	October EOM % of Portfolio	Investment Date	Maturity Date	Term (mth)
ANZ	AA-	1,016,251	1,019,506	BBSW + 118	0.87%	7/04/2016	7/04/2021	60
Suncorp-Metway	A+	1,026,779	1,022,386	BBSW + 138	0.88%	21/04/2016	12/04/2021	60
AMP	A	1,021,530	1,025,136	BBSW + 135	0.88%	24/05/2016	24/05/2021	60
Westpac	AA-	1,018,231	1,021,946	BBSW + 117	0.88%	3/06/2016	3/06/2021	60
CBA	AA-	1,023,630	1,020,226	BBSW + 121	0.88%	12/07/2016	12/07/2021	60
ANZ	AA-	2,037,182	2,044,672	BBSW + 113	1.75%	16/08/2016	16/08/2021	60
BOQ	BBB+	1,516,743	1,511,816	BBSW + 117	1.30%	26/10/2016	26/10/2020	48
NAB	AA-	1,016,721	1,014,407	BBSW + 105	0.87%	21/10/2016	21/10/2021	60
Teachers Mutual	BBB	1,510,205	1,501,842	BBSW + 140	1.29%	28/10/2016	28/10/2019	36
Bendigo-Adelaide	BBB+	1,007,673	1,011,347	BBSW + 110	0.87%	21/11/2016	21/02/2020	39
Westpac	AA-	1,018,461	1,016,226	BBSW + 111	0.87%	7/02/2017	7/02/2022	60
ANZ	AA-	1,011,832	1,016,486	BBSW + 100	0.87%	7/03/2017	7/03/2022	60
CUA	BBB	750,825	752,925	BBSW + 130	0.65%	20/03/2017	20/03/2020	36
Heritage Bank	BBB+	602,984	600,413	BBSW + 130	0.51%	4/05/2017	4/05/2020	36
Teachers Mutual	BBB	1,007,307	1,003,528	BBSW + 142	0.86%	29/06/2017	29/06/2020	36
NAB	AA-	3,013,092	3,030,141	BBSW + 90	2.60%	5/07/2017	5/07/2022	60
Suncorp-Metway	A+	1,004,373	1,008,171	BBSW + 97	0.86%	16/08/2017	16/08/2022	60
Westpac	AA-	0	2,000,200	BBSW + 81	1.72%	30/10/2017	27/10/2022	60
*Total Floating Rate Notes - Senior Debt*		55,566,515	54,770,690		46.98%
*Managed Funds*
NSW Tcorp	NR	1,312,222	1,347,006	2.65%	1.16%	17/03/2014	1/09/2022	101
*Total Managed Funds*		1,312,222	1,347,006	2.65%	1.16%
TOTAL CASH ASSETS, CASH EQUIVALENTS & INVESTMENTS		117,320,236	116,591,928	3.22%	100.00%
LESS: RIVERINA REGIONAL LIBRARY (RRL) CASH AT BANK		3,010,032	2,797,235
TOTAL WWCC CASH ASSETS, CASH EQUIVALENTS & INVESTMENTS		114,310,205	113,794,693

Council’s portfolio is dominated by Floating Rate Notes (FRN’s) at approximately 47% across a broad range of counterparties. Cash equates to 15% of Council’s portfolio with Term Deposits around 37% and growth funds around 1% of the portfolio.

Council’s investment portfolio is well diversified in complying assets across the entire credit spectrum. It is also well diversified from a rating perspective. Credit quality is diversified and is predominately invested amongst the investment grade ADIs (BBB- or higher), with a smaller allocation to unrated ADIs.

All investments are well within the defined Policy limits, as outlined in the Rating Allocation chart below:

Investment Portfolio Balance

Council’s investment portfolio balance has remained relatively stable from the previous month’s balance, down from $114.3M to $113.8M.

MONTHLY INVESTMENT MOVEMENTS

Redemptions/Sales – Council redeemed/sold the following investment security during October 2017:

Institution and Type	Amount	Investment Term	Interest Rate	Comments
ME Bank Term Deposit	$2M	10 months	2.80%	This term deposit was redeemed due to poor reinvestment rates available with ME Bank. These funds were reinvested with Auswide Bank and ING Bank (see below).
Suncorp-Metway Term Deposit	$2M	4 months	2.50%	This term deposit was redeemed due to poor reinvestment rates available with Suncorp-Metway. These funds were reinvested with Auswide Bank (see below).
ANZ Floating Rate Note	$750K	5 years	BBSW + 82bps	This floating rate note was sold for a Capital gain of $5,588.
NAB Floating Rate Note	$1M	5 years	BBSW + 80bps	This floating rate note was sold for a Capital gain of $6,660 and the funds used to invest in a $2M parcel of Westpac Bank Floating Rate Note (see below).
Credit Suisse Floating Rate Note	$1M	3 years	BBSW + 105bps	This floating rate note was sold for a Capital gain of $5,090 and the funds used to invest in a $2M parcel of Westpac Bank Floating Rate Note (see below).

New Investments – Council purchased the following investment securities during October 2017:

Institution and Type	Amount	Investment Term	Interest Rate	Comments
Auswide Bank Term Deposit	$2M	12 months	2.67%	The Auswide Bank rate of 2.67% compared favourably to the rest of the market for this investment term. This term was chosen to fill a maturity gap within the portfolio.
Auswide Bank Term Deposit	$1M	12 months	2.67%	The Auswide Bank rate of 2.67% compared favourably to the rest of the market for this investment term. This term was chosen to fill a maturity gap within the portfolio.
ING Bank Term Deposit	$1M	2 years	2.92%	The ING Bank rate of 2.92% compared favourably to the rest of the market for this investment term. This term was chosen to fill a maturity gap within the portfolio.
Westpac Floating Rate Note	$2M	5 years	BBSW + 81bps	Council’s independent Financial Advisor advised this Floating Rate Note represented fair value with a major bank.

Rollovers – Council did not roll over any investment securities during October 2017.

MONTHLY PERFORMANCE

Interest/growth/capital gains for the month totaled $318,894, which compares favourably with the budget for the period of $235,087, outperforming budget for October by $83,807. This is mainly attributable to Council’s Floating Rate Note (FRN) portfolio seeing a slight increase for the October period as well as a strong return from the NSW TCorp Managed Fund. It should be noted that many of Councils FRNs continue to trade at a premium.

The capital market value of these FRN investments will fluctuate from month to month and Council continues to receive the coupon payments and the face value of the investment security when sold or at maturity.

It is also important to note Council’s investment portfolio balance has consistently been over $100M recently, which is tracking well above what was originally predicted. This is mainly due to the timing of some of the major projects that are either not yet commenced or not as advanced as originally predicted. It is anticipated that over the 2017/18 financial year the portfolio balance will reduce with the construction of major projects.

The longer-dated deposits in the portfolio, particularly those locked in above 4% yields, have previously anchored Council’s portfolio performance. It should be noted that the portfolio now only includes two investments yielding above 4% and Council will inevitably see a fall in investment income over the coming months compared with previous periods. Council staff and Council’s Independent Financial Advisor will continue to identify opportunities to lock in higher yielding investments as they become available.

In comparison to the AusBond Bank Bill Index* (+1.74%pa), Council’s investment portfolio in total returned 3.22% for October. Short-term deposits returned 2.67%. These funds are utilised for daily cash flow management and need to be available to meet operating and contractual payments as they come due.

* The AusBond Bank Bill Index is the leading benchmark for the Australian fixed income market. It is interpolated from the RBA Cash rate, 1 month and 3 month Bank Bill Swap rates.

Report by Responsible Accounting Officer

I hereby certify that all of the above investments have been made in accordance with the provision of Section 625 of the Local Government Act 1993 and the regulations there under, and in accordance with the Investments Policy adopted by Council on 26 August 2013.

Carolyn Rodney

Responsible Accounting Officer

Policy and Legislation

Budget variations are reported in accordance with Council’s POL 052 Budget Policy.

Investments are reported in accordance with Council’s POL 075 Investment Policy.

Local Government Act 1993

625 How may councils invest?

(1) A council may invest money that is not, for the time being, required by the council for any other purpose.

(2) Money may be invested only in a form of investment notified by order of the Minister published in the Gazette.

(3) An order of the Minister notifying a form of investment for the purposes of this section must not be made without the approval of the Treasurer.

(4) The acquisition, in accordance with section 358, of a controlling interest in a corporation or an entity within the meaning of that section is not an investment for the purposes of this section.

Local Government (General) Regulation 2005

212 Reports on council investments

(1) The responsible accounting officer of a council:

(a) must provide the council with a written report (setting out details of all money that the council has invested under section 625 of the Act) to be presented:

(i) if only one ordinary meeting of the council is held in a month, at that meeting, or

(ii) if more than one such meeting is held in a month, at whichever of those meetings the council by resolution determines, and

(b) must include in the report a certificate as to whether or not the investment has been made in accordance with the Act, the regulations and the council’s investment policies.

(2) The report must be made up to the last day of the month immediately preceding the meeting.

Link to Strategic Plan

Community Leadership and Collaboration

Objective: We have strong leadership

Outcome: We are accountable and transparent

Risk Management Issues for Council

This report is a control mechanism that assists in addressing the following potential risks to Council:

· Loss of investment income or capital resulting from ongoing management of investments, especially during difficult economic times

· Failure to demonstrate to the community that its funds are being expended in an efficient and effective manner

Internal / External Consultation

Council’s Community Engagement Strategy and IAP2 considers the community to be “any individual or group of individuals, organisation or political entity with an interest in the outcome of a decision….”

All relevant areas within the Council have consulted with the Finance Division in regards to the budget variations listed in this report.

The Finance Division has consulted with relevant external parties to confirm Council’s investment portfolio balances.

Attachments

1 ⇩.

Section 356 Donation Request - Mayoress Concert

	Existing Delegation	Recommendation
1.01 (a)	To fulfil the functions of chief elected member of the Council and to perform all duties imposed upon the Mayor under the Local Government Act 1993	The function is a role imposed upon the Mayor under the Act and is not a function of the Council to be delegated.
1.01 (b)	To authorise any work which in the Mayor’s opinion is urgent but at a cost not exceeding $30,000	Delegation wording amended but delegation remains, as recommended.
1.02 (a)	To call extraordinary meetings of Council in terms of Council’s Code of Meeting Practice	Delegation remains as recommended.
1.02 (b)	In terms of Council’s Code of Meeting Practice and as Chairperson of Council Meetings and on behalf of the General Manager, to direct questions put to Council employees at Council Meetings directly to the employee concerned	The Code of Meeting Practice already provides the specific power to the Mayor and, therefore, a separate delegation is not required.
1.03	To exercise, in cases of necessity, the policy making functions of the governing body of the Council between meetings of the Council (Statutory function under Section 226).	The delegation is already a statutory role of the Mayor by reason of section 226(d) of the Act, and does not need to be delegated
1.04	When considered necessary by the Mayor, to request the General Manager to obtain legal advice or legal representation in any matter in which the Council is or may become involved.	The delegation is an administrative function. However, a separate section dealing with expenditure has been included in the revised delegations.
1.05 (a)	To approve jointly with the General Manager, the attendance of Councillors at any seminar, conference, meeting or course, provided that: I. such delegation shall not be exercised if there is a prior Council meeting at which the attendance might be considered allowing sufficient time for registration, arrangements, etc II. provision has been made for such expenditure in the Council’s budget. III. such seminar, conference etc is for one (1) day or less and does not involve an overnight stay.	Delegation remains as recommended.
1.05 (b)	To attend to Council business as considered necessary by the Mayor both within and outside of Council boundaries with reasonable expenses to be reimbursed by Council.	The delegation is considered uncertain and not required.
1.06	To be the Council’s Delegate/Member of: · NSW Country Mayors’ Association · Riverina Eastern Regional Organisation of Councils (REROC) · NSW Inland Forum · Riverina Regional Cities · Regional Capitals Australia	The delegation will be the subject of a specific resolution. The delegation is also part of the statutory role of the Mayor under section 226(m) of the Act.
1.07	To carry out the civic and ceremonial functions of the office of Mayor (Statutory function under Section 226).	The delegation is already a statutory role of the Mayor by reason of section 226(l) of the Act, and does not need to be delegated.
1.08	To approve and tender Civic Receptions where the Mayor considers it appropriate and the period for arranging the reception does not permit time for a decision to be made by the Council.	The delegation is already a statutory role of the Mayor by reason of section 226(l) of the Act, and does not need to be delegated.
1.09	To perform Citizenship Ceremonies and present Certificates of Australian Citizenship as provided by the relevant Act.
1.10 (a)	To undertake an annual review of the performance of the General Manager in relation to the General Manager’s contract, as a member of the General Manager’s Review Committee along with at least two (2) other Councillors, in terms of the Local Government Act 1993, Council’s policies, decisions and delegations.	Delegation wording amended but delegation remains, as recommended.
1.10 (b)	To approve of Annual Leave, Sick Leave, Special Leave or Study Leave for the General Manager in terms of the provisions of the General Manager's Contract of Employment with the Council.
1.11	To respond to media enquiries in consultation with the General Manager on matters relating to the representative Council, decisions of Council, the community and Wagga Wagga Local Government Area in accordance with Councils media policy.	The delegation is already a statutory role of the Mayor by reason of section 226(c) of the Act, and does not need to be delegated.
1.12	To exercise Council’s powers, duties and authorities contained in the Legislation to receive, consider and grant Council and City Honours to a person and groups.	The delegation is already a statutory role of the Mayor by reason of section 226(l) of the Act, and does not need to be delegated.

Existing Delegation

Recommendation

1.01 (a)

To fulfil the functions of chief elected member of the Council and to perform all duties imposed upon the Mayor under the Local Government Act 1993

The function is a role imposed upon the Mayor under the Act and is not a function of the Council to be delegated.

1.01 (b)

To authorise any work which in the Mayor’s opinion is urgent but at a cost not exceeding $30,000

Delegation wording amended but delegation remains, as recommended.

1.02 (a)

To call extraordinary meetings of Council in terms of Council’s Code of Meeting Practice

Delegation remains as recommended.

1.02 (b)

In terms of Council’s Code of Meeting Practice and as Chairperson of Council Meetings and on behalf of the General Manager, to direct questions put to Council employees at Council Meetings directly to the employee concerned

The Code of Meeting Practice already provides the specific power to the Mayor and, therefore, a separate delegation is not required.

1.03

To exercise, in cases of necessity, the policy making functions of the governing body of the Council between meetings of the Council (Statutory function under Section 226).

The delegation is already a statutory role of the Mayor by reason of section 226(d) of the Act, and does not need to be delegated

1.04

When considered necessary by the Mayor, to request the General Manager to obtain legal advice or legal representation in any matter in which the Council is or may become involved.

The delegation is an administrative function. However, a separate section dealing with expenditure has been included in the revised delegations.

1.05 (a)

To approve jointly with the General Manager, the attendance of Councillors at any seminar, conference, meeting or course, provided that:

I. such delegation shall not be exercised if there is a prior Council meeting at which the attendance might be considered allowing sufficient time for registration, arrangements, etc

II. provision has been made for such expenditure in the Council’s budget.

III. such seminar, conference etc is for one (1) day or less and does not involve an overnight stay.

Delegation remains as recommended.

1.05 (b)

To attend to Council business as considered necessary by the Mayor both within and outside of Council boundaries with reasonable expenses to be reimbursed by Council.

The delegation is considered uncertain and not required.

1.06

To be the Council’s Delegate/Member of:

· NSW Country Mayors’ Association

· Riverina Eastern Regional Organisation of Councils (REROC)

· NSW Inland Forum

· Riverina Regional Cities

· Regional Capitals Australia

The delegation will be the subject of a specific resolution.

The delegation is also part of the statutory role of the Mayor under section 226(m) of the Act.

1.07

To carry out the civic and ceremonial functions of the office of Mayor (Statutory function under Section 226).

The delegation is already a statutory role of the Mayor by reason of section 226(l) of the Act, and does not need to be delegated.

1.08

To approve and tender Civic Receptions where the Mayor considers it appropriate and the period for arranging the reception does not permit time for a decision to be made by the Council.

The delegation is already a statutory role of the Mayor by reason of section 226(l) of the Act, and does not need to be delegated.

1.09

To perform Citizenship Ceremonies and present Certificates of Australian Citizenship as provided by the relevant Act.

1.10 (a)

To undertake an annual review of the performance of the General Manager in relation to the General Manager’s contract, as a member of the General Manager’s Review Committee along with at least two (2) other Councillors, in terms of the Local Government Act 1993, Council’s policies, decisions and delegations.

Delegation wording amended but delegation remains, as recommended.

1.10 (b)

To approve of Annual Leave, Sick Leave, Special Leave or Study Leave for the General Manager in terms of the provisions of the General Manager's Contract of Employment with the Council.

1.11

To respond to media enquiries in consultation with the General Manager on matters relating to the representative Council, decisions of Council, the community and Wagga Wagga Local Government Area in accordance with Councils media policy.

The delegation is already a statutory role of the Mayor by reason of section 226(c) of the Act, and does not need to be delegated.

1.12

To exercise Council’s powers, duties and authorities contained in the Legislation to receive, consider and grant Council and City Honours to a person and groups.

The delegation is already a statutory role of the Mayor by reason of section 226(l) of the Act, and does not need to be delegated.

Report submitted to the Ordinary Meeting of Council on Monday 27 November 2017. RP-8

RP-8 Reinstatement of Airport Fees and Charges

Director: Natalie Te Pohe

Analysis:

Council is presented with the submissions from the public exhibition process in relation to the reinstatement of airport-related fees and charges for 2017/18 for consideration.

Recommendation

That Council:

a notes and has considered the public submissions received in relation to the proposed reinstatement of fees and charges for 2017/18 and the new fees and charges that were proposed

b modifies the proposed fees and charges in order to provide further clarity

c endorses the reinstatement of the following fees and charges for 2017/18 from 1 July 2017:

Fee and Charge Description	Pricing Policy ID	Basis	2017/18 Fee (exclusive of GST)	GST	2017/18 Fee (inclusive of GST)
Annual landing permits apply to Resident Aircraft being aircraft based at the Wagga Wagga Airport that operate for more than 90% of a financial year from this Airport; and is registered and approved as a Resident Aircraft with and by the Aerodrome Operator. *Such permits apply to, and are valid for, the financial year commencing 1 July.*
Resident Freight aircraft annual landing permit	D*	Per tonne per annum (manufacturers MTOW)	$151.09	$15.11	$166.20
Resident Private Aircraft annual landing permit	D*	Per tonne per annum (manufacturers MTOW)	$150.00	$15.00	$165.00
Resident Commercial & Training aircraft annual landing permit	D*	Per tonne per annum (manufacturers MTOW)	$300.00	$30.00	$330.00
*Landing charges apply to non-resident aircraft landing at Wagga Wagga Airport, but excludes RPT aircraft and operators exempted by Council.*
Landing charge – fixed wing aircraft (non RPT)	D*	Per tonne per landing (manufacturers MTOW)	$12.36	$1.24	$13.60
Landing charge – rotary wing aircraft (non RPT)	D*	Per tonne per landing (manufacturers MTOW)	$6.18	$0.62	$6.80
Replacement for lost parking permit	D*	Each	$50.00	$5.00	$55.00

* As per the Pricing Policy, these items are priced to cover the cost of the item plus normal commercial mark-ups.

to be placed on public exhibition for a period in excess of 28 days from 2 December to 3 January 2018 and invite public submissions on the proposed reinstatement of fees and charges

d notes that the fees outlined above do not incorporate the annual increase of 3%

e endorses the following new fees and charges for 2017/18 from the date of Council adoption for:

Fee and Charge Description	Pricing Policy ID	Basis	2017/18 Fee (exclusive of GST)	GST	2017/18 Fee (inclusive of GST)
Parking charges apply to non-resident aircraft parked at Wagga Wagga Airport overnight. The Airport Reporting Officer will record parked aircraft on their first inspection of the day. Parking charges do not apply to RPT aircraft and operators exempted by Council.
Parking Fees – Fixed Wing and Rotary Wing Aircraft up to 5,000kg MTOW	C*	Per day, per tonne MTOW. Applies to all visiting aircraft parked anywhere on the airport. Resident and RPT Aircraft are Exempt.	$6.80	$0.68	$7.48
Parking Fees – Fixed Wing and Rotary Wing Aircraft 5,000kg to 10,000kg MTOW	C*		$7.80	$0.78	$8.58
Parking Fees – Fixed Wing and Rotary Wing Aircraft above 10,000kg MTOW	C*		$8.80	$0.88	$9.68

* As per the Pricing Policy, these items are priced so as to return a total cost recovery for the activities provided.

to be placed on public exhibition for a period in excess of 28 days from 2 December to 3 January 2018 and invite public submissions on the proposed reinstatement of fees and charges

f receives a further report following the public exhibition period:

i addressing any submission made in respect of the proposed fees and charges

ii proposing adoption of the reinstated fees and charges to come into effect from 1 July 2017 and the new fees to come into effect from the date of Council adoption, unless there are any recommended amendments that will require a further public exhibition period

Report

At the Ordinary Meeting of Council held on 25 September 2017, Council resolved:

That Council:

a endorses the reinstatement of the following fees and charges for 2017/18 from 1 July 2017:

*Fee and Charge Description*	*Pricing Policy ID*	*Basis*	*2017/18 Fee (exclusive of GST)*	*GST*	*2017/18 Fee (inclusive of GST)*
Locally based freight operations annual landing agreement (per engine)	D*	Per tonne per annum (manufacturers MTOW)	$151.09	$15.11	$166.20
Replacement for lost parking permit	D	Each	$50.00	$5.00	$55.00
Annual landing agreement – private aircraft	D	Per tonne per annum (manufacturers MTOW)	$150.00	$15.00	$165.00
Annual landing agreement – commercial and pilot training aircraft	D	Per tonne per annum (manufacturers MTOW)	$300.00	$30.00	$330.00
Landing charge – fixed wing aircraft (non RPT)	D	Per tonne per annum (manufacturers MTOW)	$12.36	$1.24	$13.60
Landing charge – rotary wing aircraft (non RPT)	D	Per tonne per annum (manufacturers MTOW)	$6.18	$0.62	$6.80

* As per the Pricing Policy, these items are priced to cover the cost of the item plus normal commercial mark-ups.

to be placed on public exhibition for a period of 28 days from 30 September to 28 October and invite public submissions on the proposed reinstatement of fees and charges

b notes that the fees outlined above do not incorporate the annual increase of 3%

c endorses the following new fees and charges for 2017/18 from the date of Council adoption for:

*Fee and Charge Description*	*Pricing Policy ID*	*Basis*	*2017/18 Fee (exclusive of GST)*	*GST*	*2017/18 Fee (inclusive of GST)*
Parking Fees – Fixed Wing and Rotary Wing Aircraft up to 5,000kg MTOW	C*	Applies to all visiting aircraft parked anywhere on the airport. Resident and RPT Aircraft are Exempt	$6.80	$0.68	$7.48
Parking Fees – Fixed Wing and Rotary Wing Aircraft 5,000kg to 10,000kg MTOW	C*		$7.80	$0.78	$8.58
Parking Fees – Fixed Wing and Rotary Wing Aircraft above 10,000kg MTOW	C*		$8.80	$0.88	$9.68

* As per the Pricing Policy, these items are priced so as to return a total cost recovery for the activities provided.

to be placed on public exhibition for a period of 28 days from 30 September to 30 October and invite public submissions on the proposed reinstatement of fees and charges

d receives a further report following the public exhibition period:

i addressing any submission made in respect of the proposed fees and charges

ii proposing adoption of the reinstated fees and charges to come into effect from 1 July 2017 and the new fees to come into effect from the date of Council adoption, unless there are any recommended amendments deemed to be substantial and requiring a further public exhibition period

During the public exhibition period, Council received six written submissions. Members of the Airport Advisory Committee also raised questions with officers in relation to the proposed fees and charges.

The submissions received have been summarised in the following table:

Summary of Feedback Received	Officer’s Response
Reinstatement of Fees
General support with regard to the reinstatement of fees from 1 July 2017.	No response required.
Suggested that the annual fees could be subject to annual CPI increases in the future.	Officers agree with an annual increase and would be recommending that the fees are increased in accordance with the Council’s Pricing Policy in the future.
Supports annual landing or a per landing fee. Suggests that all aircraft including general aviation and light sports which could be subject to annual CPI increases in the future.	All general aviation and light sports aircraft (where they can be identified) are charged landing fees. Officers would recommend that fees are increased in accordance with the Council’s Pricing Policy in the future.
New Parking Fees for Visiting Aircraft
Recommends not to introduce the proposed new parking fee for visiting aircraft on the basis that operators already pay a landing fee.	The landing fees charged are at an insufficient level to ensure infrastructure relating to the runway, taxiways and aprons can be maintained and/or renewed. Parking fees will assist to recoup the $6.2 million that has been invested in the airport mainly for aircraft that require parking facilities.
Parking fees are suggested to be discriminatory against visiting aircraft when compared to camping and the parking of motor homes and caravans at Wilks Park free of charge.	The parking fees for visiting aircraft are directly aligned with the concept of equity and fair recovery of the infrastructure investment at the airport.
Support exemption of locally based aircraft and introducing parking charges for larger aircraft (in excess of 5,000 kg) on the basis that recreational and private aircraft operators provide a benefit to the economy.	The visiting aircraft, like all aircraft, exert stress on apron surfaces and take up space. In considering equity, all aircraft, irrespective of size, should contribute to the overall investment in the airport infrastructure.
Introduction of parking fees for visiting private light aircraft will impact on tourism however comfortable charging commercial operators.	220,000 passengers travelling through the airport per annum currently pay 81.1% of the total aviation relating income. It is unclear as to what the actual impact on tourism may be unless a fee is introduced with parking fees being charged at other airports.
Unclear from the proposed charges whether the fee is per hour, per day or per week.	Further clarity has been provided. The fee is proposed to be a per tonne (MTOW), per day charge where non‑resident aircraft have parked at the Wagga Wagga Airport overnight. The Airport Reporting Officer will record parked aircraft on their first inspection of the day.
New parking charges may deter operators bringing their aircraft to Wagga for service and maintenance and will be less attractive, particularly for the smaller, private / recreational aircraft.	All maintenance activities are based around the Western GA Apron and the Commercial Precinct. Aircraft parked in front of the maintenance hangars have actually been handed over to that resident maintenance organisation, and is not considered to be a parked aircraft if it is within the parking clearance area in front of such a hangar. The new parking charges should not therefore have any impact on operators from bringing their aircraft to Wagga for service and maintenance.

In accordance with the Office of Local Government’s “Pricing & Costing for Council Businesses – A Guide to Competitive Neutrality” the Wagga Wagga Airport is a category 1 business (greater than $2M gross operating revenue turnover) given its commercial characteristics, and has been reporting in the Council’s Financial Statements accordingly.

In accordance with Council’s POL 013 Return on Investment Council Businesses Policy, the Wagga Wagga Airport aims to achieve a positive return on investment and pay a dividend of 25% of the Surplus Result from Continuing Operations before Capital Amounts to the General Fund of Council by 2020. Council should note that for the financial year ended 30 June 2017, there was no dividend returned to the General Fund of Council.

It is important that the Airport is operated in a similar manner to a commercial business in order to achieve Council’s Policy position, while still ensuring that equity is applied across all user groups. It is for this reason that Officers are recommending to retain the new parking fees for visiting aircraft under 5,000 kg. A significant amount of investment has taken place to accommodate light aircraft, which should be recouped. This will ensure that funds are also available for future renewal and maintenance associated with the infrastructure servicing this particular group of aircraft.

Other councils within the region have adopted aircraft parking charges. These have been included for comparison purposes only:

		2017/18 GST Inclusive
Albury Airport
Locally based operators up to 5,700kg	Per annum	$370
Locally based operators over 5,700kg	Per annum	On application
Non RPT & Charter Aircraft on RPT Apron – Aircraft <10,000kg MTOW	Per 24 hour or part thereof	$100	Per 24 hour period of part thereof (First 4 hours no charge)
Non RPT & Charter Aircraft on RPT Apron – Aircraft >10,000kg MTOW	Per 24 hour period or part thereof	$200	Per 24 hour period of part thereof (First 4 hours no charge)
Griffith Airport
First week		Free
- 1 week to 1 month	Per night	$11.40
- 1 month to 1 year	Per night	$9.30
- 1 year	Annual	$2,485.00

In order to provide further clarification and to ensure that the proposed fees and charges are clear to all airline operators, Officers are recommending that minor amendments are made. Any amendments to fees and charges require Council to provide public notice in accordance with s610F(3) of the Local Government Act 1993.

Financial Implications

The revenue received during 2016/17 relating to the fees and charges proposed to be reinstated was approximately $90,940. These funds are placed into the Airport Reserve to fund the maintenance, operations and infrastructure program at the Airport.

It is unclear as to how much revenue would be generated from the proposed new parking fees at this time, and while initial estimates were in the vicinity of $100K per annum, this would be proportionate with the timing of their introduction.

Policy and Legislation

Local Government Act 1993

Chapter 15, Part 10, Division 1

608 Council fees for services

(1) A council may charge and recover an approved fee for any service it provides, other than a service provided, or proposed to be provided, on an annual basis for which it is authorised or required to make an annual charge under section 496 or 501.

(2) The services for which an approved fee may be charged include the following services provided under this Act or any other Act or the regulations by the council:

• supplying a service, product or commodity

• giving information

• providing a service in connection with the exercise of the council’s regulatory functions—including receiving an application for approval, granting an approval, making an inspection and issuing a certificate

• allowing admission to any building or enclosure.

(8) An approved fee charged in connection with a service provided at an airport established and maintained by the council may be recovered from the holder of the certificate of registration issued under the Civil Aviation Regulations of the Commonwealth for the aircraft in respect of which the service was provided. This subsection applies whether or not the holder is the person to whom the service is actually provided.

610B Fees to be determined in accordance with pricing methodologies

(1) A council may determine a fee to which this Division applies only in accordance with a pricing methodology adopted by the council in its operational plan prepared under Part 2 of Chapter 13.

(2) However, a council may at any time determine a fee otherwise than in accordance with a pricing methodology adopted by the council in its operational plan, but only if the determination is made by a resolution at an open meeting of the council.

610D How does a council determine the amount of a fee for a service?

(1) A council, if it determines the amount of a fee for a service, must take into consideration the following factors:

(a) the cost to the council of providing the service,

(b) the price suggested for that service by any relevant industry body or in any schedule of charges published, from time to time, by the Department,

(c) the importance of the service to the community,

(d) any factors specified in the regulations.

(2) The cost to the council of providing a service in connection with the exercise of a regulatory function need not be the only basis for determining the approved fee for that service.

(3) A higher fee or an additional fee may be charged for an expedited service provided, for example, in a case of urgency.

610F Public notice of fees

(1) A council must not determine the amount of a fee until it has given public notice of the fee in accordance with this section and has considered any submissions duly made to it during the period of public notice.

(2) Public notice of the amount of a proposed fee must be given (in accordance with section 405) in the draft operational plan for the year in which the fee is to be made.

(3) However, if, after the date on which the operational plan commences:

(a) a new service is provided, or the nature or extent of an existing service is changed, or

(b) the regulations in accordance with which the fee is determined are amended,

the council must give public notice (in accordance with section 705) for at least 28 days of the fee proposed for the new or changed service or the fee determined in accordance with the amended regulations.

(4) This section does not apply to a fee determined by a council for an application made in a filming proposal, if that fee is consistent with a scale or structure of fees set out in an applicable filming protocol.

Local Government (General) Regulation 2005

201 Annual statement of council’s revenue policy

(1) The statement of a council’s revenue policy for a year that is required to be included in an operational plan under section 405 of the Act must include the following statements:

(a) a statement containing a detailed estimate of the council’s income and expenditure,

(b) a statement with respect to each ordinary rate and each special rate proposed to be levied,

Note. The annual statement of revenue policy may include a note that the estimated yield from ordinary rates is subject to the specification of a percentage variation by the Minister if that variation has not been published in the Gazette when public notice of the annual statement of revenue policy is given.

(c) a statement with respect to each charge proposed to be levied,

(d) a statement of the types of fees proposed to be charged by the council and, if the fee concerned is a fee to which Division 3 of Part 10 of Chapter 15 of the Act applies, the amount of each such fee,

(e) a statement of the council’s proposed pricing methodology for determining the prices of goods and the approved fees under Division 2 of Part 10 of Chapter 15 of the Act for services provided by it, being an avoidable costs pricing methodology determined by the council in accordance with guidelines issued by the Director-General,

(f) a statement of the amounts of any proposed borrowings (other than internal borrowing), the sources from which they are proposed to be borrowed and the means by which they are proposed to be secured.

(4) The statement of fees and the statement of the pricing methodology need not include information that could confer a commercial advantage on a competitor of the council.

Link to Strategic Plan

Community Leadership and Collaboration

Objective: We have strong leadership

Outcome: We plan long term

Risk Management Issues for Council

If the Council determines not to reinstate the fees and charges, there will be a negative impact on the Airport Reserve, which will further impact on the ability of the Airport to maintain and develop its infrastructure and operational programs.

Internal / External Consultation

The Council’s Community Engagement Strategy and IAP2 considers the community to be “any individual or group of individuals, organisation or political entity with an interest in the outcome of a decision….”

Correspondence was sent to local and resident aircraft operators on 3 October outlining the proposed fees and charges, which offered them an opportunity to provide a public submission whereby six submissions were received.

The proposed charges were also advertised on the Council’s website, in the 30 September edition of Council News and in hard copy at the customer service desk at the Civic Centre.

If Council endorse the proposed amendments, the proposed fees require a further public notice period and further correspondence will be sent to the operators that will provide them with a further opportunity to provide a public submission.

Consultation has been undertaken internally with the relevant areas of Council; along with the Office of Local Government to ensure legislative compliance.

Attachments

1 ⇩.

Public Submissions

Report submitted to the Ordinary Meeting of Council on Monday 27 November 2017. RP-9

RP-9 Strategic Planning Update

Author: Tristan Kell

Director: Natalie Te Pohe

Analysis:

The purpose of this report is to provide an update on Strategic Planning matters including the status of the Activation Strategy 2040 and the Recreation Open Space and Community Strategy.

Recommendation

That Council:

a note that the Activation Strategy 2040 will require re-exhibition as a draft document to incorporate suggested changes from NSW Department of Planning and Environment

b note that Recreation Open Space and Community Strategy 2040 will be presented to Council as a final document in early 2018

c note the revised update in relation to Strategic Planning matters

Report

Activation Strategy 2040

The Activation Strategy 2040 will provide the city a blueprint to accommodate an additional 18,000 people by 2040. Providing direction for growth and building on our existing built and natural environment, it is a critical document moving forward.

Council is seeking formal endorsement from the Department of Planning and Environment (DPE). Formal endorsement from the DPE will ensure that Council’s strategic planning framework aligns with the DPE and will ensure that future amendments to the Wagga Wagga Local Environmental Plan, which are consistent with the Activation Strategy, can occur in an efficient and effective manner.

DPE have indicated the strategy is a good starting point, however requires further review in relation to the documents’ purpose and desired outcomes. DPE has committed to work with Council to ensure that the strategy aligns with best practice, is consistent with DPE’s revised planning framework and can then be endorsed.

Council staff anticipate providing a revised draft strategy in early 2018. Further workshops will be held with Councillors’, community, industry and government agencies to ensure that the document is developed through best practice public participation.

22 Submissions were received during the exhibition process. These stakeholders will be formally notified that the draft strategy will be re-exhibited taking on board their feedback and they will be provided the opportunity to participate further in the completion of the document.

Recreation, Open Space and Community Strategy 2040

During the exhibition period, eight written submissions and 25 Facebook posts were received providing comments on the draft Recreation, Open Space and Community Strategy 2040. Positive correspondence was also received from the Department of Planning and Environment highlighting Council’s strategic planning approach. Feedback received has focussed on the following areas:

· Planning and development in Villages and Precincts.

· Footpath connectivity and walking tracks

· Riverside

· Water-based recreational activity

· Built recreational facilities

· Use of existing recreational infrastructure

By developing the Recreation, Open Space and Community Strategy 2040, Wagga Wagga City Council is aiming to develop a connected, liveable city. The Strategy has been written to provide strategic direction for the planning, development, management and use of community spaces over the next 20 years within the Wagga Wagga Local Government Area. It identifies the key community infrastructure that will be required to meet the anticipated growth within the city and responds to the communities needs and desires as identified through community engagement activities.

The strategy will be presented to Council in early 2018 as a final document. The report will be supported by an annexure addressing a summary of the submissions received, similar to the Wagga Wagga Integrated Transport Strategy and Implementation Plan 2040 (WWITS 2040).

General City Strategy Update:

Planning Document	Timeframe
Community Strategic Plan	Adopted by Council – February 2017
Integrated Transport Strategy and Implementation Plan 2040	Adopted by Council – August 2017
Draft Recreation, Open Space and Community Strategy and Plan	· Endorsed for Public Exhibition 28 August 2017 · Present to Council for Adoption early 2018
Draft Activation Strategy 2040	· Endorsed for Public Exhibition 28 August 2017 · Re-exhibition – early 2018
Wagga LEP Anomalies	· 26 June 2017 – Council endorsed to commence gateway process · Finalised Early 2018
Wagga DCP Review	· December 2017 – Present to Council through workshops · 2018 – Community consultation and progression
Comprehensive LEP	Commence review late 2018

Update on Approximate Timeframes for Contribution Plans

Section 94 Plan

· Priorities are being determined in alignment with the WWITS 2040, and the draft Recreation, Open Space and Community Strategies. A draft works schedule has been developed

· A full reconciliation of the existing plan has been completed which details completed works, works to be carried over, works to be abandoned etc.

· A consultant has completed the complex elements of the plan including the apportionment of cost between developer contributions and ratepayers

· Review of administrative clauses is being undertaken – there is a desire to simplify the language in the plan

· Legal advice was obtained on reallocating funds from the existing plan into the priorities contained in a new Section 94 Plan

· Consultant has updated work schedule and break down of costs of future plan

· Next step is workshop with Councillors and consultation with Industry and Community, which will commence during December 2017

· Target date for completion is June 2018

Section 94A Plan

· Review of administrative clauses is being undertaken – there is a desire to simplify the language in the plan

· Reduce the works schedule items to a few high profile items – Bomen enabling roads and Riverside are the key priorities

· Additional workshops early 2018

· Target date for completion – July 2018

Sewer Development Servicing Plan

· Immediate priority is to provide an addendum to the existing plan to capture the development areas in Bomen

· Key desire to increase flexibility around timing and splitting of payments at the subdivision stage to ensure the charge properly reflects the impact of new development on our sewer systems

· A consultant has been engaged to prepare the addendum for Bomen and coordinate the master planning process for Council’s sewer infrastructure

· New Sewer DSP to be prepared following the master planning process

· Review of administrative clauses – there is a desire to simplify the language in the plan

· Additional workshops early 2018

· Target date for completion of Bomen addendum is June 2018

Stormwater DSP

· A consultant has been engaged to coordinate the master planning process for Council’s stormwater infrastructure

· New Stormwater DSP to be prepared following the master planning process

· Review of administrative clauses – there is a desire to simplify the language in the plan

· Target date for completion of draft Stormwater DSP is June 2018.

Financial Implications

There are no financial implications contained within the report, with the funding for these plans provided for within the adopted Long Term Financial Plan. Some of the outcomes of the implementation plans will require consideration by Council in the future.

Policy, Strategies and Legislation

· Community Strategic Plan 2040 – Wagga View

· Development Contributions Plans (Section 94, 94A and 64)

· Development Control Plan 2010

· Disability Inclusion Action Plan 2017 - 2021

· Environment Planning and Assessment Act (EP&A)

· Local Environment Plan 2010

· Local Government Act 1993

· Wagga View Community Strategy Plan 2040

· NSW Crown Lands Act

· NSW Integrated Planning and Reporting Framework

· Premier Priorities

· Riverina and Murray Region Plan

· Wagga Wagga Activation Strategy 20140

· Wagga Wagga Integrated Transport Strategy and Implementation Plan 2040

· Wagga Wagga Playground Strategy

Link to Strategic Plan

The Environment

Objective: We plan for the growth of the city

Outcome: We have sustainable urban development

Risk Management Issues for Council

The development of the abovementioned plans assists to mitigate Council’s risks associated with matters such as:

· Developer levies not adequately funding the infrastructure required for population growth

· A reduction in Federal and State funding which results in reduced capacity to deliver community, social and cultural operations and services

· Planning strategies that are not resourced and developed in a timely manner leading to delayed or inappropriate (ad hoc) development, out of sync development, poor provision of infrastructure, poor reputation for Council, and poor community, liveability and environmental outcomes

· Council’s inability to maintain, renew and upgrade existing infrastructure at appropriate levels which could lead to accelerated decline in infrastructure condition or possibly catastrophic infrastructure failure

· Insufficient capacity for the city to grow due to lack of availability and appropriately zoned land

· Inability to maintain / increase employment base of the LGA leading to adverse socio-economic consequences

· Lack of enabling infrastructure driving economic growth of the city will lead to the inhibiting of current and future growth within the city

· Increased impact of urban salinity as a result of inadequate development controls in place

Internal / External Consultation

Extensive public, internal and agency consultation has occurred to inform the draft Wagga Wagga Activation Strategy 2040 and Recreation, Open Space and Community Strategy with community engagement to date including the following:

· Suburb and Village Consultation – Community Strategic Plan – Wagga View:

- Humula – 30 May 2016

- Tarcutta – 30 May 2016

- Uranquinty – 31 May 2016

- Mangoplah – 31 May 2016

- Oura – 1 June 2016

- Cartwrights Hill – 1 June 2016

- North Wagga Wagga – 1 June 2016

- Ladysmith – 2 June 2016

- Gumly Gumly – 2 June 2016

- Forest Hill – 2 June 2016

- Currawarna – 3 June 2016

- Estella – 3 June 2016

- Charles Sturt University – 3 June 2016

- San Isidore – 8 June 2016

- Collingullie – 8 June 2016

- Galore – 8 June 2016

· Wagga View rural area questionnaire – August 2016

- Distributed to over 3,000 households

· Village and suburb consultation:

- Currawarna – 31 January 2017

- Ladysmith – 8 February 2017

- Uranquinty – 14 February 2017

- Galore – 21 February 2017

- Tarcutta – 2 March 2017

- Humula – 6 March 2017

- Mangoplah – 15 March 2017

- Collingullie – 22 March 2017

- Oura – 29 March 2017

- Ashmont – 5 April 2017

- Glenfield Park – 3 May 2017

- Tolland – 10 May 2017

- Lloyd – 17 May 2017

- Bourkelands – 24 May 2017

- Mount Austin – 7 June 2017

- Turvey Park – 14 June 2017

- Tatton – 21 June 2017

- Kooringal – 28 June 2017

· Individual meetings have been held with Councillors on a variety of occasions along with Councillor workshops being held on the following dates with the following in attendance:

20 March 2017

Progress Update on Strategic Planning

· Cr Greg Conkey OAM (Mayor)

· Cr Dallas Tout (Deputy Mayor)

· Cr Yvonne Braid

· Cr Dan Hayes

· Cr Vanessa Keenan

· Cr Rod Kendall

· Cr Tim Koschel

· Cr Kerry Pascoe

13 June 2017

· Activation Strategy

· Recreation, Open Space and Community Strategy

· Cr Greg Conkey OAM (Mayor)

· Cr Dallas Tout (Deputy Mayor)

· Cr Yvonne Braid

· Cr Dan Hayes

· Cr Vanessa Keenan

· Cr Rod Kendall

· Cr Kerry Pascoe

19 June 2017

Contribution Plans

· Cr Dallas Tout (Deputy Mayor)

· Cr Yvonne Braid

· Cr Dan Hayes

· Cr Tim Koschel

· Key stakeholder workshops were held with industry on 7, 8 and 9 August 2017

· A workshop with school children representing three schools was held on 11 August 2017

· Internal staff sessions:

- Planning / Subdivisions – Monthly strategic sessions

- Updates at Executive Team Meetings

- Social Planning – 15 February 2017

- Planning and S94 Project Officer – 9 March 2017

- Staff briefing – 7 April 2017

- Events and Marketing – 18 May 2017

- Director Community and staff – 27 June 2017

- Director Commercial Development – 2 August 2017

· Ongoing engagement with Department of Planning and Environment

· NSW Housing workshop – 7 February 2017

· Committee 4 Wagga – 24 March 2017

· HIA Information Night – 4 May 2017 and 9 November 2017

· Department of Education – 31 May 2017

· Public Exhibition of ROSC – 29 August – 26 September 2017

· Public Exhibition of Activation Strategy 2040 – 1 September – 28 September 2017

No.

Name of Applicant

Requested Subsidy

St Pauls Anglican Church Chain Gang

300

St Vincent De Paul

1,000

Peter Dolden (individual)

400

Best Friends Pet Rescue

500

Rotary Club of Wagga Wagga

250

Rotary Club of Wollundry – Food & Wine Festival

250

Rotary Club of Wollundry – Gears & Beers

250

Sisters Housing Enterprises

1,000

Lions Club of Wagga Wagga South Inc.

500

The Salvation Army – Red Shield Family Store

1,000

Total

$5,450

Report submitted to the Ordinary Meeting of Council on Monday 27 November 2017. RP-12

RP-12 Submissions received for the Public Art Plan and Public Art Policy POL109 and Petition - Public Art

Author: Madeleine Scully

Director: Janice Summerhayes

Analysis:

To inform the June 2017 Council report on the Public Art Policy POL109 a consultation process was undertaken and an engagement report was tabled at the 26 June 2017 Ordinary Council meeting. Out of the 26 June 2017 Ordinary Council meeting resolution for the Public Art Policy POL109 and revised Enliven Public Art Plan 2017- 2021 a Councillor workshop was held on Monday, 7 August 2017. Following that workshop staff were requested to amend both documents to reflect Council’s proposed financial changes to public art. These documents were placed on public exhibition for 40 days concluding on 10 October 2017 for the receipt of public submissions. There were 37 submissions received during this period along with a petition of 546 signatures requesting the reinstatement of the original policy setting of 1% public art levy. There were 3 submissions not supporting Public Art Funding. Taking account of the community feedback staff are recommending a reinstatement of the original Public Art Policy POL109 and the original Enliven Plan.

Recommendation

That Council:

a note all feedback received relating to the exhibited document by closing date of 10 October 2017

b receive and note the petition against the decrease in public art funding

c adopt the Public Art Policy, POL 109 to reflect the continuation of the 1% public art levy on capital works funded by General Purpose Revenue (this provision will not apply to any capital works projects funded in part or in whole through grants from State or Federal government sources; or through the Sewer Reserve, Solid Waste Reserve, Stormwater Levy Reserve or Council’s Development Contribution Plans) and amend the Policy to reflect this

d adopt the original Enliven Public Art Plan 2017 – 2021 as submitted to Council on 26 June 2017

e approve the budget variation/s as detailed in the budget section of the report to reflect c and d above

f approve that there be no further public exhibition for the reasons detailed in the body of the report

g note a further report investigating funding models for the establishment of a community reserve fund to come back to Council at a later date

Report

The purpose of the Public Art Policy to date has been to provide Council with a framework to manage public art commissioning and budgeting processes, placement, procurement and overall management of the City’s public art collection.

The Public Art Policy POL 109 was due for review by August 2017. Based on the 1% levy, the policy and revised public art plan was presented to Council on Monday 26 June 2017 for readoption. Council requested a workshop and an amended policy and Enliven plan to be tabled at the August Ordinary Council meeting to reflect the Council’s proposed changes in funding.

Council resolved at its meeting Monday, 28 August 2017 to place the amended draft Public Art Policy POL109 and revised Enliven Public Art Plan 2017 – 2021 on exhibition. The policy amendment identified the first $50K raised annually via the 1% capital works levy to go to the public art reserve and the establishment of a Community Works Reserve for the funds over and above the $50K to be established.

It was noted at this time that a separate report will be presented to Council addressing the establishment of the Community Works Reserve Fund.

During this exhibition period Council received feedback from 37 individuals (including one late submission) and organisations, as well as a petition with 546 signatures calling for the reinstatement of the 1% levy on capital works directed to public art. Out of the 37 submissions received there were three submissions requesting no funding go towards public art.

Out of the public responses received during the public exhibition period 86.49% of the respondents requested the reinstatement of the 1% public art levy on capital works, 5.41% of the respondents requested that the current funding model of $50K be increased to more than $100K per year, whilst 8.11% of the feedback was against the funding of public art.

KEY ISSUES RAISED BY THE COMMUNITY DURING THE PUBLIC EXHIBITION PERIOD IN SUPPORT OF AN INCREASE TO PUBLIC ART FUNDING

Respondents are concerned about the decreased public art funding. The concerns ranged from the projects cut from the original Enliven plan tabled in June, through to the smaller works that would be produced, as well as the dismantling of the 1% policy which is internationally recognised.

The community felt that cities need public art to demonstrate the creativity and culture that resides in the city. The respondents felt that the public art enriches our community economically, educationally and provides inspiration.

Some respondents were concerned that Council ignored the first round of consultation.

Respondents spoke of the importance of public art in placemaking, how public artworks are accessible to the entire community, and the importance of the everyday encounter, as well as distinguishing Wagga from other regional cities.

Concerns were raised that the decreased funding would impact the city’s emerging local artists as small business operators, as well as the city’s ability to attract significant artists.

Respondents commented on public art’s contribution to cultural tourism and the concerns that decreased funding would impact on the growth in cultural tourism.

KEY ISSUES RAISED BY THE COMMUNITY DURING THE PUBLIC EXHIBITION PERIOD NOT SUPPORTING THE FUNDING OF PUBLIC ART

Three respondents felt that public art should not be funded until all roads are repaired.

Attached to this report is the summary of submissions received during this period.

Public Art Petition

A petition was received from the community on 10 October 2017 containing 546 signatures. The petition outlined concerns, as follows:

Petition:

RE: Draft Public Art Policy (POL 109)

This petition respectfully asks the Councillors of Wagga Wagga City Council to reconsider the amendments to the longstanding Public Art policy that would see the Public Art Reserve receive only the first $50,000 raised annually from the 1% levy on the budget of all capital works projects funded by General Purpose Revenue.

We ask the Councillors to either:

a. Restore the original policy so the Public Art Reserve receives the full 1% of the levy

Or failing that

b. Raise the cap to a more realistic amount greater than $100,000

The decision to amend the Policy ignored the overwhelming support shown for Public Art in formal submissions to the initial public display of POL 109. It also flies in the face of recent polls by the Daily Advertiser, which saw 56% not support Council’s decision to cut public art funding (27 June 2017) and 52% of respondents wanting Council to fund public art at least $100,000 annually. (26 August 2017)

This is the dismantling of a policy that has been sustainable, sensible and regarded as best practice. Wagga Wagga has been celebrated in national arenas for its commitment to Public Art and its innovative policy making.

Public art offers immense value to the city. It is a reflection of our community, our vision, our identity. It can delight us, challenge us, frustrate us, engage us. It distinguishes our city from other places, it helps make Wagga Wagga Wagga.

But public art can only achieve that value, when it is done well, when it is considered, when professionals are employed, when there is consultation, when there is a deep understanding of the community, where there is consideration of the sites and the

public’s relationship to them, and most importantly when it is adequately resourced.

Reducing the annual contribution to the Public Art Reserve to $50,000 annually will cripple the City’s capacity to commission new work that the community can be proud of. It will cripple the City’s capacity to employ local artists. It will cripple our capacity to nurture the talents of our young people. It will cripple our capacity to attract significant artists to work here. It will cripple our growth in cultural tourism. It will cripple the opportunities to consult and engage the community in the development of new works.

But what it won’t do is free up funds to fix every pothole, every road, every footpath, build every skate park and fill every community request for financial assistance. The Public Art Fund is not a magic pudding.

Public art is for everyone. It is in the public domain accessible to all. Access to arts is not a luxury. It is recognised as a fundamental human right.

“Everyone has the right freely to participate in the cultural life of the community, to enjoy the arts … “Article 27 Universal Declaration of Human Rights.

Thank you for listening and please restore the 1% for Public Art.

The petition is available for Councillor viewing upon request.

Options

Taking account of the feedback from the community during the public exhibition period the following three options are available for Council’s consideration.

Option 1

Based on the community feedback received to date Council officers recommend the restoration of the Public Art Policy, POL 109 to reflect the continuation of a 1% public art levy of capital works funded by General Purpose Revenue (this provision will not apply to any capital works projects funded in part or in whole through grants from State or Federal government sources; or through the Sewer Reserve, Solid Waste Reserve, Stormwater Levy Reserve or Council’s Development Contribution Plans), adopt the original Enliven Public Art Plan 2017 – 2021 as submitted to Council on 26 June 2017 and;

(i) approve the budget variation/s as detailed in the budget section of the report to reflect this

(ii) approve that there be no further public exhibition period *(see below reasons)

(iii) a further report investigating funding models for the establishment of a Community Works Reserve to come back to Council at a later date

Option 2

Amend the Public Art Policy, POL 109 to reflect the continuation of a 1% public art levy on capital works funded by General Purpose Revenue (this provision will not apply to any capital works projects funded in part or in whole through grants from State or Federal government sources; or through the Sewer Reserve, Solid Waste Reserve, Stormwater Levy Reserve or Council’s Development Contribution Plans) and that the first $100K raised annually to go to the public art reserve and;

(i) establish a community works reserve where any funds over and above the $100K can be held

(ii) adopt the original Enliven Public Art Plan 2017 – 2021 as submitted to Council on 26 June 2017

(iii) approve the budget variation/s as detailed in the budget section of the report. Noting the only change in budget to Option 1 is a $11,854 reduction

Option 3

The third option open to Council that has not been supported to date by the community feedback received during the public exhibition period, would be to proceed with the amendment to the Public Art Policy, POL 109 to reflect the continuation of a 1% public art levy on capital works funded by General Purpose Revenue (this provision will not apply to any capital works projects funded in part or in whole through grants from State or Federal government sources; or through the Sewer Reserve, Solid Waste Reserve, Stormwater Levy Reserve or Council’s Development Contribution Plans) and that the first $50K raised annually to go to the public art reserve and:

(i) establish a community works reserve where any funds over and above the $50K can be held

(ii) adopt the revised Enliven Public Art Plan 2017 – 2021 as submitted to Council on 28 August 2017

(iii) approve the budget variation/s as detailed in the budget section of the report to reflect this

*Council staff are recommending that in the case of adopting any option above that the policy and plan be adopted without further public exhibition.

This is due to the extensive public consultation, public exhibition period, substantial public responses and exposure with the public to comment on the policy and plan over the past months. Noting that if there is further delays in delivering an adopted Policy and Plan this will put at risk the delivery of the public art schedule for this financial year, given 5 months has already expired.

Financial Implications

The three options below are presented against the four-year public art delivery plan.

Option 1

1% public art levy

26 June 2017 report budget and Enliven Plan

Option 2

$100,000 cap

26 June 2017 report budget and Enliven Plan with minor adjustments

Option 3

$50,000 cap

Current publicly exhibited budget and revised Enliven Plan

OPTION 1
	17/18	18/19	19/20	20/21
Estimated Opening Balance	(173,283)	(125,852)	(138,131)	(14,048)
Public Art Annual Allocation	(112,869)	(109,720)	(82,217)	(83,340)
Enliven Public Art Projects
Living Spaces	35,000	35,000	35,000	35,000
Living Communities	10,000	10,000	10,000	10,000
NightLights Civic Centre Projections	20,200	20,200	20,200	20,200
BrightLights Youth Civic Centre Projections	10,100	10,100	10,100	10,100
Exhibition Centre	80,000	-	-	-
Partnership projects	-	17,141	-	17,088
RiverLife	-	-	126,000	-
Administration Fee	5,000	5,000	5,000	5,000
Total Projects	160,300	97,441	206,300	97,388
Estimated Closing Balance	(125,852)	(138,131)	(14,048)	0

OPTION 2
	17/18	18/19	19/20	20/21
Estimated Opening Balance	(173,283)	(118,323)	(120,882)	(123,441)
Public Art Annual Allocation	(100,000)	(100,000)	(100,000)	(100,000)
Enliven Public Art Projects
Living Spaces	35,000	35,000	35,000	35,000
Living Communities	10,000	10,000	10,000	10,000
NightLights Civic Centre Projections	20,200	20,200	20,200	20,200
BrightLights Youth Civic Centre Projections	10,100	10,100	10,100	10,100
Exhibition Centre	74,660	-	-	-
Partnership projects	-	17,141	17,141	17,141
RiverLife	-	-	-	126,000
Administration Fee	5,000	5,000	5,000	5,000
Total Projects	154,960	97,441	97,441	223,441
Estimated Closing Balance	(118,323)	(120,882)	(123,441)	0

OPTION 3
	17/18	18/19	19/20	20/21
Estimated Opening Balance	(173,283)	(142,983)	(112,683)	(82,383)
Public Art Annual Allocation	(50,000)	(50,000)	(50,000)	(50,000)
Enliven Public Art Projects
Living Spaces	35,000	35,000	35,000	35,000
Living Communities	10,000	10,000	10,000	10,000
NightLights Civic Centre Projections	20,200	20,200	20,200	20,200
BrightLights Youth Civic Centre Projections	10,100	10,100	10,100	10,100
RiverLife	-	-	-	52,083
Administration Fee	5,000	5,000	5,000	5,000
Total Projects	80,300	80,300	80,300	132,383
Estimated Closing Balance	(142,983)	(112,683)	(82,383)	0

*Figures subject to change based on any changes to adopted LTFP capital works program.

Policy and Legislation

POL 109 Public Art Policy

POL 083 Petitions Management Policy

Link to Strategic Plan

Community Place and Identity

Objective: We are proud of where we live and our identity

Outcome: We are a centre for arts and culture

Risk Management Issues for Council

Without a designated public art funding stream the plan will not be able to be delivered over the 2017-21 period, and any other public art beyond that period for the City.

In the case that Council resolves to either restore the 1% public art levy policy position, or the $100K budget per annum position it is important that Council also resolves not to further publicly exhibit the policy and Enliven public art plan 2017 - 2021. This is due to the consultation, extensive public exhibition period, substantial public responses and exposure with the public to comment on the policy and plan over the past months. Noting any further delays puts at risk the delivery of the public art schedule for this financial year, given five months has already expired.

Internal / External Consultation

Council officers have reviewed community feedback received as a result of the revised Public Art Policy POL109 and Public Art Plan on public exhibition for 40 days.

Feedback was received during the public exhibition period, with 38 responses received from individuals and organisations. A petition calling for the restoration of the 1% Public Art Policy with 546 signatures was also received during this period.

Extensive community consultation has been undertaken including data collected during the development of the Community Strategic Plan 2040, Wagga View.

For the preparation of the June report to Council an online survey and a stakeholder workshop was conducted from 4 – 24 May 2017. One on one meetings with community members and Councillors also occurred. Stakeholders and community members also directly phoned, mailed or emailed Council with feedback. The community consultation process overall indicated that there was strong support for the funding of public art and for Council to fund public art as part of the annual budget allocation process. Whilst the consultation aimed to gauge ideas and expectations from the community regarding public art, four survey respondents out of one hundred and ten respondents were not supportive of public art in any form. The engagement report was tabled at the 26 June 2017 Ordinary Council meeting.

A further workshop with Councillors was held on Monday 7 August 2017 to determine the Community Works Reserve Fund process. Staff have consulted and worked with the Public Art Advisory Panel to determine a revised Public Art Schedule of Works 2017-2021 as detailed in the revised Enliven Public Art Plan 2017-2021 document. This in turn was placed on public exhibition seeking comment from the community of which those responses are now the subject of this report.

Attachments

1.	Enliven Public Art Plan - Provided under separate cover
2 ⇩.	POL 109 Public Art Policy revised
3.	Public Art Plan and Policy Public Exhibition Submissions - Provided under separate cover

Report submitted to the Ordinary Meeting of Council on Monday 27 November 2017. RP-22

RP-22 Section 356 Donation - Australian Clay Target Association (ACTA)

Author: Craig Katsoolis

Director: Natalie Te Pohe

Analysis:

Australian Clay Target Association Inc. are seeking Council’s support for the refund of fees and charges totalling $158,117.64 associated with the construction of their new $6.7M Administration/Convention Centre (DA17/0244) located at 72 Tasman Road and 308 Copland Street. The funds paid comprise $135,027.76 for developer contributions; $5,169.99 for development application fees; and $17,919.89 for NSW State Government levies.

Recommendation

That Council decline the request from the Australian Clay Target Association Inc. (ACTA) for the refund of the developer contributions, development application fees and NSW State Government levies associated with (DA17/0244).

Report

The Australian Clay Target Association Inc. (ACTA) in their attached letter dated 4 September 2017 has requested Council’s consideration for the refund of developer contributions, development application fees and NSW State Government levies totalling $158,117.64.

The above fees are associated with the construction of a new conference/administration and function centre planned to be constructed at ACTA’s headquarters site on Tasman Road and Copland Street.

A summary of the applicable fees and charges paid by ACTA are noted below:

Section 94A Developer Charges	$ 55,000.00
Section 64 Sewer Developer Charges	$ 52,666.59
Section 64 Stormwater Developer Charges	$ 27,361.17
Total Developer Contributions	$135,027.76

Kerb & Footpath Inspection fee	$ 60.00
Construction Certificate	$ 3,749.99
Inspection Fees – within 30kms	$ 1,360.00
Total Development Application Fees	$ 5,169.99

Long Service Levy	$ 17,919.89
Total NSW State Government levies	$17,919.89
Total Fees and Charges for DA17/0244	$158,117.64

ACTA note in their attached letter:

“The benefits to the City of Wagga Wagga will be enormous not only in terms of increased visitors but also promotion of the city as well as the State and Nationally.

The City Council has had a desire fo a convention centre for many years , this contribution by the Wagga Wagga City Council would be an acknowledgement of their support for the centre and support of the ACTA in developing this important infrastructure.

The cost of the Convention centre is $6.7M without the infrastructure already built by the ACTA on the National Ground. This would make the National ground and convention centre an asset worth over $10 million dollars in the Wagga Wagga community “

Council has a long history of supporting the excellent efforts of the ACTA - via the donation of land for the original club site and the provision of a loan for $330,000 for expansion of the site.

Internal discussion with Council Officers has indicated that whilst acknowledging the outstanding efforts of ACTA to create a first class facility, the waiving of developer and other contribution fees was not supported given the need for Council to ensure that the impact of major development is provided for and does not leave a burden on future generations.

Criteria for consideration of Financial Assistance

Council Policy POL 078 Financial Assistance Policy Section 2.2.3 Waiving of Council Fees and Charges details the criteria for consideration of ACTA attached request.

POL 078 2.2.3.1 provides that Council will consider the waiving of fees and charges for not-for–profit community organisations and sporting and recreation bodies on a one off basis for:

· Development Application fees

· Development contributions and charges

· Hire and /or leases fees for Council sporting, community and cultural facilities including parks

· Gregadoo Waste Management Centre fees

Developer Contributions and Development Application Fees - $140,197.75

ACTA is requesting a refund of Council’s Developer Infrastructure Contribution charges of $135,027.76 and Development application fees of $5,169.99, totalling $140,197.75 in relation to the construction of the Convention/Multipurpose Centre.

POL 078 2.2.3.1 & 2.2.3.2 Waiving of Development Application Fees & Waiving of Development Contribution and charges notes:

“a) Assessment

All requests should consider the criteria below when outlining the reasons for waiving of development contributions and charges:

· The facility is freely accessible by all sectors of the community; or

· The facility is satisfying a need that has been previously identified in the community; or

· The facility is in accordance with plans of management or a sporting or recreational strategy adopted by the Wagga Wagga City Council; or

· The facility is designed for multi-use purposes where the proposed construction is not for commercial purposes e.g. for the development of land for commercial sale or the undertaking of a commercial enterprise or commercial activity (regardless of the charitable status of the organisation).

Where Council consider the waiving of applicable fees and charges for those developments that provide a community benefit, Council will register a charge of the land title for the Development Contributions and Charges which would become payable should the property be sold, or not used for the intended purposes within a specified time period from the Development Approval date.”

The Convention Centre/Multipurpose Centre will not be freely accessible to the public.

ACTA in their attached 2016 Annual Report note that in respect of their new first class clubhouse, catering and conventional facilities on their national ground:

“this development will be used extensively during main events, and be available to the public as a source of income to the association to relieve pressure on membership fees ongoing”

It is acknowledged that there will be a public benefit for the community having access to the new conference facilitates but as noted, this access will be at a charge.

A review of ACTA Financial Statements (see attached) details that ACTA made a profit of $250,805 for the year ended 31 December 2016 and a profit of $378,937 for the year ended December 2015.

ACTA’s recent Financial Statements indicates that it generates relatively healthy profits. The construction of the new conference facilities will enhance ACTA ability to generate increased profits.

Council incurs processing costs in the administration of major development projects and the $5,169.99 development applications fees for this $6.7M development is not considered onerous and the refund of these fees is not supported given Council’s budget constraints.

Developer Contributions

It is acknowledged that the new Convention/Multipurpose Centre will make a significant contribution towards meeting the convention facility needs for the Wagga Community, which will in turn provide valuable economic and social benefits.

However as noted earlier a charge will be applied to the public to use these facilities which are serving the dual role as ACTA first class Club House with convention facilities.

In regards to the respective developer contributions and charges, the following comments are provided:

Section 94A Plan Contribution

The S94A levy is a levy on 1% of the cost of the development and is made to offset the impact of development by ensuring that Council enhances public facilities to cater for increased demand via growth and visitation.

Refunding significant developer contributions is not supported; as it will impact on the delivery of S94A funded projects detailed in Council’s Long Term Financial Plan.

S64 Contributions Sewer and Stormwater

These infrastructure contributions are levied to provide for upgrades to the Sewer and Stormwater infrastructure impacted by development and it is appropriate they be collected.

Other Fees - State Government charges $17,919.89

ACTA has also requested the refund of State Government charges – i.e. the Long Service Levy of $17,919.89, which is a charge that Council must forward to the NSW Government.

POL 078 2.2.3.2 notes:

“Waiving of Development Application Fees

Please note Council has no ability to waive some fees such as those imposed by State Government, including Long Service Levy and Planning Reform fees (Plan First) and these will still need to be paid where applicable.”

As noted above Council has no ability to refund the State Government Long Service Levy Charges paid and which has been remitted to the NSW State Government.

Financial Implications

Council’s Long Term Financial Plan (LTFP) details significant projects funded from Developer Contributions received over the life of the LTFP.

If Council was to elect to waive developer contributions levied as a result of significant development there will be an impact on the provision of the above public facility projects with some projects being delayed or possibly abandoned, or any new rates proposed being higher for developers given the reduced contributions received.

It is likely that other organisations who provide enhanced facilities for their members would seek to have developer contributions waived or refunded on the basis that the public may have access to the organisations expanded facilities via the payment of hire fees.

Policy and Legislation

· POL 078 Financial Assistance Policy

· Section 356 of the Local Government Act 1993

· Section 94A Levy Contributions Plan

· Development Servicing Plan – Stormwater

· Development Servicing Plan – Sewerage

· Council Fees and Charges that form part of the Revenue and Pricing Policy

Link to Strategic Plan

Community Leadership and Collaboration

Objective: We are informed and involved in decision making

Outcome: Everyone in our community feels they have been heard and understood

Risk Management Issues for Council

Council’s Long Term Financial Plan and Delivery Program and Operation Plan forecast significant developer contributions being received to fund important projects to improve public facilities and to provide infrastructure to service and accommodate the impact of development. The refunding of developer contributions for significant projects will impact on Council’s ability to deliver projects funded from developer contributions.

The granting of this refund request may set a precedent for other organisations providing significant and expanded facilities to their members and could seek to request the refund of developer charges paid on the basis that the public could use the member’s facilities at a fee.

Internal / External Consultation

Relevant internal stakeholders were consulted with in the assessment of this request.

It should be noted that correspondence was sent on 18 September 2017 to the Australia Clay Target Association in response to their request. This correspondence indicated that their request did not entirely align with the Council’s Policy, particularly in relation to the site not being Council owned, and that the public were going to be charged fees for use of the facility. It was outlined that the Officer’s recommendation to Council would not support ACTA’s request, however ACTA have indicated that they wished to proceed to Council in any case, hence this report is now presented.

Attachments

1 ⇩.	Section 356 donation request - Australian Clay Target Association (ACTA)
2.	Australian Clay Target Annual Report 2016 - Provided under separate cover

Report submitted to the Confidential Meeting of Council on Monday 27 November 2017.

Minutes of the Ordinary Meeting of Council held on Monday 23 October 2017.

Present

The Mayor, Councillor Greg Conkey OAM

Councillor Yvonne Braid OAM

Councillor Paul Funnell

Councillor Rod Kendall

Councillor Kerry Pascoe

Councillor Dallas Tout

In Attendance

General Manager (Mr J Bolton)

Director Finance (Mrs N Te Pohe)

Director Community (Mrs J Summerhayes)

Director Commercial Operations (Ms C Angel)

Director Commercial Development (Mr A Butler)

Manager Finance (Mrs C Rodney)

Manager Executive Support (Mr S Gray)

Manager Operations (Mr S Jewell)

Corporate Governance Coordinator (Mrs N Johnson)

Communications & Engagement Officer (Mr J Lang)

Governance Officer (Miss B King)

Prayer

Almighty God,

Help protect our Mayor, elected Councillors and staff.

Help Councillors to govern with justice, integrity, and respect for equality, to preserve rights and liberties, to be guided by wisdom when making decisions and settling priorities, and not least of all to preserve harmony.

Amen.

Acknowledgement Of Country

I would like to acknowledge the Wiradjuri people who are the Traditional Custodians of this Land. I would also like to pay respect to the Elders both past and present of the Wiradjuri Nation and extend that respect to other Community members present.

APOLOGIES

An apology for non-attendance was received and accepted for Councillor D Hayes and Councillor T Koschel on the Motion of Councillors R Kendall and K Pascoe.

CARRIED

LEAVE OF ABSENCE

Council not that a leave of absence was granted to Councillor V Keenan (5 October 2017 to 25 October 2017 inclusive) at the 25 September 2017 Ordinary Council Meeting.

CONFIRMATION OF MINUTES

CM-1 Ordinary Council Meeting - 25 SEPTEMBER 2017

17/346 RESOLVED:

On the Motion of Councillors P Funnell and R Kendall

That the Minutes of the proceedings of the Ordinary Council Meeting held on 25 September 2017 be confirmed as a true and accurate record.

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

CM-2 Extraordinary Council Meeting - 26 September 2017

17/347 RESOLVED:

On the Motion of Councillors P Funnell and R Kendall

That the Minutes of the proceedings of the Extraordinary Council Meeting held on 26 September 2017 be confirmed as a true and accurate record.

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

Declarations Of Interest

Councillor D Tout declared a Non Pecuniary, Non-Significant Interest in MM-2 – MAYORAL MINUTE – RIVERINA PLAYHOUSE ESSENTIAL ENERGY EASEMENT the reason being that the Lessee is his employer and remained in the chamber during its consideration.

MAYORAL MINUTES

MM-1 MAYORAL MINUTE - REPRESENTATION ON THE AUSTRALIAN AVIATION HALL OF FAME (AHOF) BOARD

17/348 RESOLVED:

On the Motion of Councillors K Pascoe and P Funnell

That Council appoint a representative to the Australian Aviation Hall of Fame (AAHOF) Board.

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

The Mayor, Councillor G Conkey OAM nominated Councillor R Kendall.

Councillor R Kendall accepted the nomination.

Councillor R Kendall was duly elected to be the representative to the Australian Aviation Hall of Fame (AAHOF) Board.

MM-2 MAYORAL MINUTE – RIVERINA PLAYHOUSE ESSENTIAL ENERGY EASEMENT

17/349 RESOLVED:

On the Motion of The Mayor, Councillor G Conkey OAM

That Council:

a allow the creation of an Essential Energy easement for multi-purpose electrical installation burdening Lot 1 DP 717828

b delegate authority to the General Manager or their delegate to execute any necessary documents on behalf of Council

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

PROCEDURAL MOTION - ENGLOBO

17/350 RESOLVED:

On the Motion of Councillors R Kendall and P Funnell

That the standing orders be varied for the meeting as set out hereunder:

· Items where councillors wish to speak

· Items where no councillors wish to speak

· Confidential

· Matter of urgency

· Closure of Meeting

That RP-1, RP-2, RP-4 to RP-11 and M-1 to M-3 be adopted as recommended in the business papers.

CARRIED

CLOSED COUNCIL

17/351 RESOLVED:

On the Motion of Councillors K Pascoe and D Tout

That the Council now resolve itself into a Closed Council, the time being 6.08pm.

CARRIED

AT THIS STAGE OF THE MEETING THE PRESS AND PUBLIC GALLERY RETIRED FROM THE COUNCIL MEETING.

PROCEDURAL MOTION – CONFIDENTIAL ENGLOBO

17/352 RESOLVED:

On the Motion of Councillors K Pascoe and P Funnell

That the standing orders be varied for the meeting as set out hereunder:

· Items where councillors wish to speak

· Items where no councillors wish to speak

· Confidential

· Matter of urgency

· Closure of Meeting

That CONF-1, CONF-2, CONF-4 be adopted as recommended in the business papers

CARRIED

REVERSION TO OPEN COUNCIL

17/353 RESOLVED:

On the Motion of Councillors P Funnell and D Tout

That this meeting of the Closed Council revert to an open meeting of the Council, the time being 6.09pm.

CARRIED

REPORT OF PROCEEDING OF CLOSED COUNCIL

17/354 RESOLVED:

On the Motion of Councillors K Pascoe and D Tout

That the recommendations contained in the report of the proceedings of the Closed Council be adopted.

CARRIED

REPORTS FROM STAFF

RP-1 Financial Performance Report as at 30 September 2017

17/355 RESOLVED:

On the Motion of Councillors R Kendall and P Funnell

That Council:

a approve the proposed 2017/18 budget variations for the month ended 30 September 2017 and note the balanced budget position as presented in this report

c provide financial assistance of the following amounts in accordance with Section 356 of the Local Government Act 1993:

i) PCYC – Wagga Wagga $ 130.00

ii) Wagga Wagga and District Family History Society Inc. $ 420.00

iii) Committee for Liberty from Violence $ 3,077.00

iv) Task force 72 (Scale Model Ship Association Wagga

Wagga) $ 720.00

v) The Cure for MND Foundation $ 615.00

d note details of the external investments as at 30 September 2017 in accordance with section 625 of the Local Government Act 1993

e accept the grant of $18,340 from the NSW Department of Primary Industries (Lands) towards works to remove invasive Cootamundra Wattle at Pomingalarna Park

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

RP-2 POL 078 - Financial Assistance Policy and Amended 2017/18 Combined Delivery Program and Operational Plan

17/356 RESOLVED:

On the Motion of Councillors R Kendall and P Funnell

That Council:

a note that no submissions were received as a result of the public exhibition of the draft POL 078 Financial Assistance Policy and amended 2017/18 Combined Delivery Program and Operational Plan

b note the minor amendments included in the proposed POL 078 Financial Assistance Policy

c adopt the POL 078 Financial Assistance Policy

d adopt the revised 2017/18 Combined Delivery Program and Operational Plan

e rescind POL 093 Subsidy for Waste Disposal by Charitable Organisations Policy

f delegate to the Mayor, or in their absence, the Deputy Mayor, the authority to approve the provision of financial assistance from the Mayoral Discretionary Fund of up to $1,000 to be applied in accordance with POL 078 Financial Assistance Policy, consistent with s377 of the Local Government Act 1993

g delegate to the General Manager, the authority to approve the provision of financial assistance of up to $500 to be applied in accordance with POL 078 Financial Assistance Policy, consistent with s377 of the Local Government Act 1993

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

RP-3 Annual Financial Statements 2016/17

17/357 RESOLVED:

On the Motion of Councillors D Tout and R Kendall

That Council:

a note the comments from the Audit, Risk & Improvement Committee regarding the 2016/17 Financial Statements

b approve the signing of the 2016/17 Financial Statements pursuant to Section 413 (2c) of the Local Government Act 1993

c approve the movements to and from Restricted Assets (Reserves) as at 30 June 2017 as detailed in Note 6 (c) - Cash & Investments

d receive a presentation from the NSW Audit Office on the audited financial reports and auditors report at the 27 November 2017 Council Meeting, pursuant to Section 418 (1)

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

RP-4 Wagga Wagga Main City Levee - Federal Grant Acceptance

17/358 RESOLVED:

On the Motion of Councillors R Kendall and P Funnell

That Council:

a accept the Federal Government grant offer of $9M for delivery of the Main Wagga Wagga City Levee

b authorise the affixing of Council’s Common Seal to all relevant documents as required

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

RP-5 Draft Wagga Wagga Revised Floodplain Risk Management Study and Plan

17/359 RESOLVED:

On the Motion of Councillors R Kendall and P Funnell

That Council:

a receive the draft Wagga Wagga Revised Floodplain Risk Management Study and Plan

b place the draft Wagga Wagga Revised Floodplain Risk Management Study and Plan on public exhibition for a minimum of 28 days from 24 October 2017 to 21 November 2017 and invite public submissions on the draft document during the exhibition and consultation period

c endorse the preparation of a formal submission by staff in response to the draft Wagga Wagga Revised Floodplain Risk Management Study and Plan

d receive a further report following the public exhibition and consultation period that will consider:

i in consultation with WMAwater Pty Ltd, any submission made in respect of the draft Wagga Wagga Revised Floodplain Risk Management Study and Plan

ii proposing adoption of the draft Wagga Wagga Revised Floodplain Risk Management Study and Plan unless there are any recommended amendments deemed to be substantial and requiring a further public exhibition period

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

RP-6 Red Hill Road - Local Articulated Vehicles

17/360 RESOLVED:

On the Motion of Councillors R Kendall and P Funnell

That Council:

a receive and note this report

b continue utilising option 1 as outlined in the body of this report noting the effectiveness of the permit system

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

RP-7 DISCLOSURE OF PECUNIARY INTEREST RETURNS - COUNCILLORS AND DESIGNATED STAFF 2017

17/361 RESOLVED:

On the Motion of Councillors R Kendall and P Funnell

That the Register of Pecuniary Interest Returns, containing current returns for the period 1 July 2016 to 30 June 2017 be tabled in accordance with Section 449 of the Local Government Act.

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

RP-8 CHANGE OF LICENCE ENTITY - WAGGA WAGGA CITY COUNCIL LICENCE RENEWAL TO LIVEBETTER SERVICES LIMITED (FORMERLY WAGGA WAGGA COMMUNITY RESOURCE CENTRE)

17/362 RESOLVED:

On the Motion of Councillors R Kendall and P Funnell

That Council:

a note in relation to an upcoming licence renewal the name of the licensee entity has changed from Wagga Wagga Community Resource Centre (ABN 58 151 969 547) to LiveBetter Services Limited (ABN 13 160 259 512)

b delegate authority to the General Manger or their delegate to execute any necessary documents on behalf of Council

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

RP-9 POL 001 Asset Management Policy

17/363 RESOLVED:

On the Motion of Councillors R Kendall and P Funnell

That Council:

a notes there were no submissions received during the exhibition period for POL 001 Asset Management Policy

b adopts POL 001 Asset Management Policy

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout
RP-10 Draft POL 053 Corporate Purchase Card Policy

17/364 RESOLVED: On the Motion of Councillors R Kendall and P Funnell That Council: a endorse the draft POL 053 Corporate Purchase Card Policy, that is to be placed on public exhibition for a period of 28 days from 28 October 2017 to 27 November 2017 and invites public submissions on the draft Policy b note that the Audit, Risk and Improvement Committee considered the draft POL 053 Corporate Purchase Card Policy at its meeting on 10 August 2017 and has recommended that Council endorse the draft Policy and place it on public exhibition seeking public submissions c receive a further report following the public exhibition and submission period: i addressing any submissions made in respect of the proposed POL 053 Corporate Purchase Card Policy ii proposing adoption of the Policy unless there are any recommended amendments deemed to be substantial and requiring a further public exhibition period CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

RP-11 POL 101 Legislative Compliance Policy

17/365 RESOLVED:

On the Motion of Councillors R Kendall and P Funnell

That Council:

a notes that there were no submissions received during the exhibition period for POL 101 Legislative Compliance Policy

b adopts POL 101 Legislative Compliance Policy

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

RP-12 Response to Questions with Notice

A Motion was moved by Councillors D Tout and P Funnell

That Council receive and note this report.

An AMENDMENT was moved by Councillor K Pascoe and seconded by Councillor P Funnell

That Council receive and note all items with exception of Item Two outlined in the report.

RECORD OF VOTING ON THE AMENDMENT

For the Amendment	Against the Amendment
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

The AMENDMENT on being put to the meeting was Carried and became the Motion.

17/366 RESOLVED:

On the Motion of Councillors K Pascoe and P Funnell

That Council receive and note all items with exception of Item Two outlined in the report.

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

COMMITTEE MINUTES

M-1 Floodplain Risk Management Advisory Committee Minutes - 04 July 2017 and 12 September 2017

17/367 RESOLVED:

On the Motion of Councillors R Kendall and P Funnell

That Council receive the minutes of the Floodplain Risk Management Advisory Committee Meeting held on 4 July 2017 and 12 September 2017.

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

M-2 Audit, Risk and Improvement Committee Minutes - 5 October 2017

17/368 RESOLVED:

On the Motion of Councillors R Kendall and P Funnell

That Council endorses the recommendations contained in the minutes of the Audit, Risk and Improvement Committee Meeting held on 5 October 2017.

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

M-3 Traffic Committee Minutes and Summary - 14 September 2017

17/369 RESOLVED:

On the Motion of Councillors R Kendall and P Funnell

That Council receive the minutes of the Traffic Committee meeting held on 14 September 2017.

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

QUESTIONS/BUSINESS WITH NOTICE

The following Questions/Business with Notice are to be addressed through the next available business paper:

1. Councillor P Funnell requested a report back to Council regarding compliance matters of Tooyal Road.

2. Councillors R Kendall, K Pascoe, D Tout and The Mayor, Councillor G Conkey OAM acknowledged and congratulated all staff involved in the Sister City visit and the Fusion Event held 21 and 22 October 2017.

3. Councillor D Tout requested a map of all high flood hazard areas including risk ratings and depths in the Local Government Area.

4. The Mayor, Councillor G Conkey OAM acknowledged and thanked his Executive Assistant, Monique Price for her contribution to Council and assistance to all Councillors during her employment, Council wish her well with her future endeavours.

closed COUNCIL

17/370 RESOLVED:

On the Motion of Councillors P Funnell and K Pascoe

That the Council now resolve itself into a Closed Council, the time being 6.25pm.

CARRIED

AT THIS STAGE OF THE MEETING THE PRESS AND PUBLIC GALLERY RETIRED FROM THE COUNCIL MEETING.

CONFIDENTIAL MAYORAL MINUTE

CONFMM-1 CONFIDENTIAL MAYORAL MINUTE – RFT 2017-26 RECYCLABLES WASTE ACCEPTANCE AND PROCESSING SERVICE SECURITY ARRANGEMENTS

17/371 RESOLVED:

On the Motion of The Mayor, Councillor G Conkey OAM

That Council:

a authorise changing the security amount in the proposed contract for RFT 2017-26 Recyclables Waste Acceptance and Processing Service with Kurrajong Recycling from $900,000 to 12.5% of the total annual contract value

b authorise the General Manager or their delegate to enter into a contract with Kurrajong Recycling on this basis

c authorise the affixing of Council’s Common seal to all relevant documents as required

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

CONFIDENTIAL REPORTS

CONF-1 RFT2018/10 Bulk Emulsion Supply

17/372 RESOLVED:

On the Motion of Councillors K Pascoe and P Funnell

That Council:

a accept the offer of Downer EDI Works Pty Ltd for the supply of bulk emulsion in the schedule of rates submitted with their Tender offer

b authorise the General Manager or their delegate to enter into a contract with Downer EDI Works Pty Ltd for the supply of bulk emulsion

c authorise the affixing of Council’s Common seal to all relevant documents as required

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

CONF-2 RFT2018/01 SEWER REHABILITATION KOORINGAL, RED HILL ROAD AND NIXON CRESCENT

17/373 RESOLVED:

On the Motion of Councillors K Pascoe and P Funnell

That Council:

a accept the tender of Keough’s Plant Hire Pty Ltd (ABN: 74 000 521 246) for the Rehabilitation of Gravity Sewer Mains in Kooringal, Red Hill Road and Nixon Crescent in the lump sum amount of $ 994,595.45 excluding GST

b authorise the General Manager or their delegate to enter into a contract with Keough’s Plant Hire Pty Ltd for the Rehabilitation of Gravity Sewer Mains in Kooringal , Red Hill Road and Nixon Crescent

c authorise the affixing of Council’s Common Seal to all relevant documents as required

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

CONF-3 SALE OF WIRADJURI CRESCENT PROPERTIES

17/374 RESOLVED:

On the Motion of Councillors K Pascoe and Y Braid OAM

That Council defer the report on the SALE OF WIRADJURI CRESCENT PROPERTIES until the November 2017 Council meeting for consideration in open Council.

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

CONF-4 PROPOSED SUB-LEASE TO ENCORE AVIATION PTY LTD - HANGAR SITE 225 - WAGGA AIRPORT

17/375 RESOLVED:

On the Motion of Councillors K Pascoe and P Funnell

That Council:

a note the proposed sub-lease to former owner of hangar site 225 is no longer proceeding

b amend the existing sub-lease with Encore Aviation Pty Ltd over hangar sites 301 & 227 to include hangar site 225 as per the terms set out in the body of this report

c delegate authority to the General Manager or their delegate to execute any necessary documents on behalf of Council

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

CONF-5 Appointment of Public Art Advisory Panel Community Member

17/376 RESOLVED:

On the Motion of Councillors R Kendall and K Pascoe

That Council appoint the replacement community representative to the Public Art Advisory Panel as contained in this report.

CARRIED

RECORD OF VOTING ON THE MOTION

For the Motion	Against the Motion
Y Braid OAM
G Conkey OAM
P Funnell
R Kendall
K Pascoe
D Tout

Reversion to open COUNCIL

17/377 RESOLVED:

On the Motion of Councillors K Pascoe and P Funnell

That this meeting of the Closed Council revert to an open meeting of the Council, the time being 6.33pm.

CARRIED

report of proceedings of closed COUNCIL

17/378 RESOLVED:

On the Motion of Councillors R Kendall and K Pascoe

That the recommendations contained in the report of the proceedings of the Closed Council be adopted.

CARRIED

THIS COMPLETED THE BUSINESS OF THE COUNCIL MEETING WHICH ROSE AT 6.38pm.

…………………………………………………..

MAYOR

Applicant	Michael Cashen
Owner	Michael Cashen, Kylie Cashen
Development Cost	$450,000
Development Description	This proposal is for the development of an existing vacant rural allotment for the purpose of a “pick your own” strawberry farm and related ancillary development and infrastructure. The proposal includes the following elements: · Use of the site for Intensive Plant Agriculture (hydroponic strawberries) · Use of the site for a Rural Industry and construction of a processing shed and ancillary staff facilities as well as ancillary farm buildings · Earthworks to create a building pad · Roadside stall for the sale of strawberries and related products · Cafe · Signage · Vehicle movement areas and car parking, landscaping and pathways

1.	DA16/0104 - 79C Assessment Report - Provided under separate cover
2 .	DA16/0104 - Plans - Provided under separate cover
3 .	DA16/0104 - Statement of Environmental Effects - Provided under separate cover

1.	Planning Proposal - LEP2017/0002 - 6 Belmore Place, Tatton - Provided under separate cover
⇩2.	Planning Proposal - LEP2017/0002 - Proposed Minimum Lot Size
3.	Planning Proposal - LEP2017/0002 - Proposed Timeline

1.	WWCC - 2016/17 Financial Statements - Provided under separate cover
2 ⇩.	Report on the Conduct of the Audit - NSW Audit Office
3 ⇩.	Report on the General Purpose Financial Statements - NSW Audit Office
4 ⇩.	Report on the Special Purpose Financial Statements - NSW Audit Office
5 ⇩.	Report on Special Schedule No. 8 - NSW Audit Office

Street	Cross Street
Tarcutta Street	Morgan Street
Peter Street	Tompson Street
Peter Street	Morgan Street
Kooringal Road	Sturt Highway
Kooringal Road	Lake Albert Road
Red Hill Road	Tamar Drive
Gormly Avenue	Emblen Street
Gormly Avenue	Harrison Avenue
Hardy Avenue	Emblen Street
Red Hill Road	Bourke Street
Girraween Mews
Meurant Street	Emblen Street
Bourke Street	Urana Street
Mitchelmore Street	Urana Street

No.	Name of Applicant	Requested Subsidy $
1	St Pauls Anglican Church Chain Gang	300
2	St Vincent De Paul	1,000
3	Peter Dolden (individual)	400
4	Best Friends Pet Rescue	500
5	Rotary Club of Wagga Wagga	250
6	Rotary Club of Wollundry – Food & Wine Festival	250
7	Rotary Club of Wollundry – Gears & Beers	250
8	Sisters Housing Enterprises	1,000
9	Lions Club of Wagga Wagga South Inc.	500
10	The Salvation Army – Red Shield Family Store	1,000
	Total	$5,450

1 ⇩.	Location Map - Lot 16 DP 1189207 at Tarcuta
2 ⇩.	Letter Advice - Change of Lessee Entity - 10 March 2017

Street	Cross Street
Featherwood Road
Coleman Street	Macleay Street
Bakers Lane	Sturt Highway
Stellway Close
Stirling Boulevard	Plumpton Road
Peter Street	Sturt Highway to Morrow Street
Fitzmaurice Street	Wollundry Lagoon to Crampton Street
Clifton Street	Holbrook Road
Tolland Close	McCoullough Drive
Stringybark Place	Plane Tree Drive
Plane Tree Drive	Lloyd Road

	2015 $	2017 $
Total estimated cost	3,912,728.46	5,377,712.40
Grant funding received	1,430,000.00	1,430,000.00
Council’s proposed contribution	2,482,728.46	3,947,712.40

Financial Summary – San Isidore Sewer
Capital Cost
Estimated Construction Cost	$5,377,712
Funded by:
*Restart NSW Grant	($1,430,000)
*Sewer Reserve (Net Capital Cost)	($3, 947,712)

Operating Costs / Income
System Operating Costs	$68,135
Financing cost – Interest foregone*	$118,431
Depreciation	$109,234
Annual Sewerage charges (based on 123 properties at $498.00 per residence)	($61,254)
Net Annual Cost/(Subsidy) from Residential Customers	$234,547

Annual extra cost per land owner across the Local Government area, based on current number of assessments – 26,809	$8.75

*Interest foregone is based on a 3% return on the Net Capital Cost

1.	Wagga Beach - Aquatic Safety Assessment - Provided under separate cover
2 ⇩.	Council Report May 2012 - Lifeguard Service at Wagga Beach

House No.	Purchase Price (Net)	Sale Date	Sale Price	Sale Costs (GST Excl)	Sale Net Proceeds
18	140,000.00	Jun-14	240,000.00	7,461.70	232,538.30
20	140,000.00	May-17	237,500.00	8,292.16	229,207.84
22	139,999.00	Nov-13	230,000.00	6,750.58	223,249.42
24	115,000.00	Dec-13	230,000.00	6,846.35	223,153.65
26	113,500.00	Jun-17	244,000.00	9,971.32	234,028.68
28	112,500.00	Feb-15	225,000.00	6,474.78	218,525.22
30	119,641.50	Jan-15	221,000.00	5,859.80	215,140.20
32	109,000.00	Jan-16	226,500.00	6,310.67	220,189.33
	989,640.50		1,854,000.00	57,967.36	1,796,032.64

	2016/17	2015/16	2014/15	2013/14	Total
Internal Loans Reserve (Payback)			251,058.63	348,941.37	600,000.00
Strategic Real Property Reserve	43,236.52		182,606.79		225,843.31
Council’s Bottom Line (GPR)	420,000.00	220,189.33		330,000.00	970,189.33
	463,236.52	220,189.33	433,665.42	678,941.37	1,796,032.64

Properties Sold at the Public Auction
Address:	Public Auction Sale Price	WWCC Outstanding Charges (includes real estate agent and solicitor fees)	Proceeds to be held in trust / (Charges to be written off) (Approximate)
24 Spring Street, Wagga Wagga (house, deemed unoccupied)	$255,000	$26,965.68	$228,034.32
41 Hillary Street, North Wagga Wagga (house, deemed unoccupied)	$170,000	$11,130.72	$158,869.28
2359 Hume Highway, Tarcutta	$11,000	$5,623.06	$5,376.94
Lot 1 Brooklyn Lane, Book Book	$35,000	$6,707.48	$28,292.52