Ordinary Meeting of Council

 

 

 

To be held on
Monday

27 August 2018

AT 6.00pm

 

 

 

Cnr Baylis and Morrow Streets,
Wagga Wagga NSW 2650
PO Box 20, Wagga Wagga

 

Phone: 1300 292 442
Fax: 02 6926 9199
Website: www.wagga.nsw.gov.au

In pursuance of the provisions of the Local Government Act, 1993 and the Regulations there under, notice is hereby given that an Ordinary Meeting of the Council of the City of Wagga Wagga will be held in the Council Chamber, Civic Centre, Corner Baylis and Morrow Streets, Wagga Wagga, on Monday 27 August 2018 at 6.00pm.

 

Council live streams video and audio of Council meetings. Members of the public are advised that their voice and/or image may form part of the webcast.

 

 

 

Mr Peter Thompson

General Manager

 

 

 

 

 

 

 

QUORUM

The quorum for a meeting of the Council is a majority of the Councillors of the Council who hold office for the time being who are eligible to vote at the meeting.

COUNCIL MEETING ROOM

 

 

 

 

Ordinary Meeting of Council AGENDA AND BUSINESS PAPER

Monday 27 August 2018

ORDER OF BUSINESS:

CLAUSE               PRECIS                                                                                            PAGE

PRAYER                                                                                                                       3

ACKNOWLEDGEMENT OF COUNTRY                                                                          3

APOLOGIES                                                                                                                 3

CONFIRMATIONS OF MINUTES                                                                                   3

DECLARATIONS OF INTEREST                                                                                    3

Mayoral Minute

MM-1                    Mayoral Minute - Regional Passenger Rail Service        4  

Reports from Staff

RP-1                     PLANNING PROPOSAL LEP17/0004 TO AMEND THE WAGGA WAGGA  LOCAL ENVIRONMENTAL PLAN 2010                                             6

RP-2                     REVIEW OF CURRENT FEES AND CHARGES FOR COMBINED DEVELOPMENT AND CONSTRUCTION CERTIFICATE APPLICATIONS FOR PROJECTS OF $10,000 IN VALUE OR LESS                                   12

RP-3                     Financial Performance Report as at 31 July 2018          16

RP-4                     CENTRAL BUSINESS DISTRICT (CBD) PARKING                          28

RP-5                     Proposed Extension of the Riverina Regional Library Administration Centre                                                            31

RP-6                     POL092 Event Support Policy Rescission                           36

RP-7                     Draft Debt Management Policy                                           38

RP-8                     Review of current Financial Assistance provided to Community Organisations, Businesses, and Individuals 52

RP-9                     KEEP NSW BEAUTIFUL AWARDS PRESENTATION                       55

RP-10                   Stronger Country Communities Fund Partnerships     57

RP-11                   Proposed Infrastructure Licence for Railway Corridor at Kooringal for Levee Construction                                   60

RP-12                   NSW Farmers Drought Appeal - Red Cross Donation    63

RP-13                   LGNSW Good Governance Forum 2018: Focus on Performance                                                                                                       65    

QUESTIONS/BUSINESS WITH NOTICE                                                                       70

 

 

Confidential Mayoral Minute

CONFmm-1           MAYORAL MINUTE - GENERAL MANAGER ANNUAL PERFORMANCE REVIEW FOR PERIOD ENDING 30 JUNE 2018                                71

Confidential Reports

CONF-1                 Major Event Opportunity                                                      72

CONF-2                 Wagga Wagga Gender Equity Project                               73

CONF-3                 Gregadoo Waste Management Centre - Stockpile Stabilisation                                                                              74

CONF-4                 RFQ2018-559 Supply of One Footpath Sweeper                 75

CONF-5                 RFT2018-33 LAWN CEMETERY IRRIGATION EXTENSION             76  

 

 

 

PRAYER

 

 

ACKNOWLEDGEMENT OF COUNTRY

 

 

APOLOGIES

 

 

Confirmation of Minutes

CM-1              Ordinary Council Meeting - 13 August 2018       

 

Recommendation That the Minutes of the proceedings of the Ordinary Council Meeting held on 13 August 2018 be confirmed as a true and accurate record.

 

Attachments  

1⇩.

Minutes - Ordinary Council - 13 August 2018

77

 

 

  

 

 

DECLARATIONS OF INTEREST

 

Mayoral Minute

MM-1              Mayoral Minute - Regional Passenger Rail Service

      

Analysis:

This Mayoral Minute demonstrates Wagga Wagga City Council’s commitment to the development of a Riverina Regional Passenger Rail Service Feasibility Study. If adopted by Council, it will allow the establishment of a working group through the Riverina Regional Cities (RRC) to lobby for funding for the development of the feasibility study, and seek majority funding from the State and Federal Governments.   A similar Mayoral Minute is being presented to Albury and Griffith City Councils seeking their endorsement to commit to investigating the feasibility of a Riverina Regional Passenger Rail Service.

 

 

Recommendation That Council: a       commit in principle support to the development of a feasibility study investigating the establishment of a regular passenger rail shuttle between Albury, Wagga Wagga and Griffith b       nominate the Mayor or their delegate to represent Council in developing a Terms of Reference for a Riverina Regional Passenger Rail Service Feasibility Study via the Riverina Regional Cities (RRC) working group c        nominate the Mayor or their delegate to represent Council on a RRC working group to participate in the development of a Riverina Regional Passenger Rail Service Feasibility Study d       receive a further report outlining potential costs for the development of a Riverina Regional Passenger Rail Service Feasibility Study e       seek funding to cover the cost of the development of a Riverina Regional Passenger Rail Service Feasibility Study

 

In July 2018, the NSW State Government released a Regional Vision for regional NSW, which identified the need for improving public transport between not only regional and metropolitan centres, but the critical need for connectivity between regional centres.

 

The 20-year vision includes the need for “investigating more day-return services to/from and between regional centres”, recognising the need for inter-regional connectivity as opposed to solely providing regional/metro connectivity.

 

The document goes on to state that “over a third of the regions’ population growth and almost half of its jobs growth will be in Growth Centres. While all will grow, the largest growth rates will be in and around Wagga Wagga, Albury, Nowra-Bomaderry, Port Macquarie-Hastings, Tamworth and the Northern Rivers (including Lismore and Ballina)”.

 

Much of the required infrastructure is in place and cost savings are readily identifiable. Intra-regional connectivity for businesses and government service provision can be enhanced through providing appropriate rail passenger services between Albury, Wagga and Griffith.

 

A regional passenger rail shuttle service can address many transport issues identified by all levels of government and provide direct economic benefits to communities across the region whilst reducing the reliance on Sydney and creating a critical mass for many businesses and government agencies to establish, maintain or grow in the Riverina.

 

Both major parties have identified the need for improving intra-regional connectivity and with the current by-election in Wagga Wagga and forthcoming State Election, it is important for the three Councils to demonstrate our shared commitment to improving public transport connectivity in the Riverina region.

 

The pursuit of this initiative will provide a sound basis for future decisions. Such decisions should have cheap fares and short trip times as fundamental requirements for future services.

 

N/A

N/A

 

Community Leadership and Collaboration

Objective: City of Wagga Wagga services reflect the needs of the community

Outcome: We have access to the City of Wagga Wagga

 

 

  

 

   

 

 

 

Reports from Staff

RP-1               PLANNING PROPOSAL LEP17/0004 TO AMEND THE WAGGA WAGGA  LOCAL ENVIRONMENTAL PLAN 2010

Author:          Adriaan Stander 

Director:       Natalie Te Pohe

         

 

Analysis:

The amendment to the LEP proposes to reduce the minimum lot size provisions applicable to Lot 2 DP1045774, Lots 1 to 10 DP1133430, Lots 1 to 6 DP1066491, Lots 1 to 4 DP1017682 and Lot 1 DP789530 from 8 hectares to 4 hectares.

 

 

Recommendation That Council: a       receive and note the report on the public exhibition of the Wagga Wagga Local Environmental Plan 2010 amendment proposal LEP17/0004 b       adopt the planning proposal as revised and exhibited c        use Council’s delegated authority to gazette the plan and notify the Department of Planning and Environment of the decision

 

An amendment to the Wagga Wagga Local Environmental Plan 2010 to reduce the minimum lot size provisions applicable to Lot 2 DP1046774 from from 8 hectares to 4 hectares as illustrated below and lodged by the land owner, Mr John Duke was supported by Council on 26 March 2018. The original planning proposal, Council report and Council officer’s assessment are provided in Attachments 1 and 2.

 

 

The Department of Planning and Infrastructure issued a Gateway Determination on 8 June 2018 to the effect that the Planning Proposal may proceed with a condition that the 4 hectare minimum lot size be applied to all land along Butterbush Road to recognise the existing subdivision pattern of the area. The original proposal was therefore revised to include Lots 1 to 10 DP 1133430, Lots 1 to 6 DP 1066491, Lots 1 to 4 DP 1017682 and Lot 1 DP 789530 as per the illustration below.

 

 

The revised planning proposal will increase the development opportunities from 7 to 17 new lots. A copy of the Gateway Determination is provided in Attachment 3.

 

The revised planning proposal, provided in Attachment 4, is generally consistent with Council officer’s original assessment and is therefore supported.

 

The revised proposal was placed on public exhibition for 28 days between 22 June 2018 and 20 July 2018. During the exhibition period, one agency referral and two public submission were received. A copy of the referral response and submissions are provided in Attachment 5.

 

This report outlines the outcome of the public exhibition and is presented for Council for adoption.

In accordance with Council’s 2017/18 Fees & Charges, a Medium LEP Amendment (Medium Complexity) has a total application fee of $10,500 for which the proponent has paid. There are no requirements to amend the DCP therefore the $2,000 is not required to be paid in this instance.

Environmental Planning and Assessment Act 1979.

Environmental Planning and Assessment Regulations 2000

Wagga Wagga Local Environmental Plan 2010.

 

The Environment

Objective: We plan for the growth of the city

Outcome: We have sustainable urban development

 

·        An adoption of the revised proposal may be subject to public scrutiny and may put additional pressure on Council to consider the reduction of the minimum lot size requirements throughout the local government area.

·        If Council decides not to endorse the revised proposal, the applicant may still approach the Department of Planning and Environment to seek approval.

The revised planning proposal was placed on public exhibition for 28 days between 22 June 2018 and 20 July 2018 as per the requirements of the Gateway Determination.

 

Notices were sent out to affected land owners and an advert was placed in the local newspaper and on Council’s website. The proposal was also referred to the Department of Infrastructure and Regional Development – Aviation Environment Branch. During the exhibition period, one agency referral and two public submissions were received.

 

A summary of the submissions received is provided below:

 

Submission	Issues	Council officer response
Impact on airport operations and noise impacts   Department of Infrastructure and Regional Development – Aviation Environment Branch.	The land in question lies outside the 20 Australian Noise Exposure Forecast (ANEF) including the 2010 Master Plan for Wagga Wagga Airport and therefore consistent with the Australian Standard AS2021-2015 recommendations.   The Australian Standards also recognises that while the ANEF is a useful land-use planning tool, it is based on average noise levels, so the significance of individual noise events can be estimated, particularly for residents newly exposed to aircraft noise. A review of the 2010 Masterplan for the airport shows the areas in question lies inside the 10 to 20 noise events per day N60 contour.   Given current levels and the proposed Qantas pilot training facility for the airport, aircraft will continue to routinely overfly the area in question in larger numbers.   It is recommended that potential residential residents in the area, are fully informed as to the likely existing and future aircraft noise impacts they may experience.	The proposal complies with all relevant standards and Council will continue to educate existing and future residents living in the vicinity of the airport about aircraft noise and mitigation options to reduce potential impacts.
Inconsistency with existing lot sizes	The existing lot size requirement allows the land to be subdivided in keeping with the existing lot sizes in the locality. Keeping the existing lot size as 8ha would be more in keeping with the characteristics of the existing neighbourhood.	Although the site can be subdivided in accordance with the current provisions of the LEP, the planning proposal seeks to reduce the applicable minimum lot size to increase the development potential of the site.   The planning proposal will increase the potential lot yield of the site from 7 lots to 17 lots.   The planning proposal seeks to facilitate subdivision of the site consistent with the subdivision pattern along Butterbush Road with lots that vary between 3 and 5 hectares in size.   The intended outcome of the planning proposal is appropriate noting the subdivision pattern of land along Butterbush Road, and the primary use of land in the adjoining RU4 zoned land in the area.
Conflict with adjoin land uses and amenity	The reduction in lot size requirement may impact on rural and agricultural activities in the locality.	The planning proposal is unlikely to increase the potential for land use conflicts with surrounding land uses as the site is within an established rural residential area.   The lot size proposed is considered large enough to avoid land use conflict with adjoining 8 hectare rural residential lots to the north and west and agricultural land to the east.   This proposal is considered appropriate, as it is consistent with the existing subdivision pattern of the area.
Traffic impacts	The proposal will result in increased traffic.   The proposed road may result in traffic safety issues.   Will Butterbush Road be upgraded to cater for this increase?	The planning proposal contains an indicative lot layout and this may change. Access, traffic and the condition of existing road infrastructure will be considered as part of any future subdivision application for the site.   Access to future lots may not be limited to Butterbush Road only and may also be provided via Cummins Road or even Dukes Road depending on the final subdivision layout.
Provision of infrastructure	Is there sufficient infrastructure in place to accommodate the additional lots?	The planning proposal is supported by a Service Feasibility Report, which details the servicing requirements for a subdivision of the site based on a 4 hectare minimum lot size.   The report concludes additional lots facilitated by the planning proposal would have access to essential services and infrastructure including road access, reticulated water and waste services.   It is proposed that any future lots created by a subdivision would be serviced by onsite effluent management systems, as is the case in the surrounding area.
Impact of Gregadoo Waste Management Centre  on additional lots and future residents	People living in the area often complain of odour and the additional lots in this area will increase complaints	The site is located approximately 2km north of the Gregadoo Waste Management Centre. The land affected by the site has the ability to be subdivided under the current LEP lot size provisions. The proposal may create additional receptors within the area, but will not result in additional lots closer to the Gregadoo Waste Management Centre.

 

Attachments  

1.	LEP17.0004 - Original Planning Proposal submitted - Provided under separate cover
2.	LEP17.0004 - Previous Council report and Council officer assessment - Provided under separate cover
3.	LEP17.0004 - Gateway Determination - Provided under separate cover
4.	LEP17.0004 - Revised/Addendum to Planning Proposal - Provided under separate cover
5.	LEP17.0004 - Submissions received - Provided under separate cover

 

 

 

 

 

 

 

 

 

RP-2               REVIEW OF CURRENT FEES AND CHARGES FOR COMBINED DEVELOPMENT AND CONSTRUCTION CERTIFICATE APPLICATIONS FOR PROJECTS OF $10,000 IN VALUE OR LESS

Author:          Paul O'Brien 

Director:       Peter Thompson

         

 

Analysis:

Council, in the 2017/18 financial year determined 33 combined development and construction certificate applications for projects of $5,000 in value or less. On average Council fees equalled 26% of the project value for these developments. This report recommends a revised methodology for the application of fees for these developments, with the aim of providing more equitable outcomes for the community and potentially reducing the quantum of works undertaken without consent.

 

 

Recommendation That Council: a       receive and note the content of this report b       place the following new and amended fees and charges for 2018/19 on public exhibition for 28 days commencing 28 August 2018 and concluding on 24 September 2018. Item Number Fee and Charge Description Pricing Policy ID Basis 2018/19 Fee (exclusive of GST) GST 2018/19 Fee (inclusive of GST) NEW CC or CDC Fee (estimated cost up to $5,000) C Each $340.00 (inclusive of 2 inspections) $0.00 $340.00 AMENDED- 0864   Minor Works Permit Private (Plumbing) - 1 fixture only or works with an estimated cost up to $5,000 (fee includes 2 inspections) C Each $205.00 $0.00 $205.00   c        invite submissions from the community in relation to these fees throughout the exhibition period d       receive a further report after the public exhibition period: i         addressing any submissions made in respect of the fees and charges ii        proposing adoption of the fee  to the 2019/20 financial year Fees and Charges should there be no further amendments to this proposal arise during public exhibition

 

 

For the 2017/18 financial year Council determined 33 combined development and construction certificate applications for projects of $5,000 in value or less. On average Council fees equalled 26% of the project value for these developments, being an average of $675.11, inclusive of the development application, construction certificate application and inspection fees.

 

Where these projects involve plumbing and drainage, such as installation of a toilet and/or shower in a shed, additional fees in the order of $205.00 to $385.00 also apply, pushing the Council fees to an average 33% to 39% of the project value for those developments.

 

These projects combined represent a listed development value of approximately $83,475 and $22,608 income for Council, excluding plumbing and drainage fees.

 

Council fees for projects greater than $5,000 and up to $10,000 on average equate to 11% of the project value or 21% to 25% where these projects involve plumbing and drainage.

 

A revised methodology for the application of fees for these developments, with the aim of providing more equitable outcomes for the community and potentially reducing the quantum of works undertaken without consent, is proposed.

 

The prescribed maximum development application fee, under Clause 246B of the Environmental Planning and Assessment Act 1979, for works with an estimated cost of up to $5,000 is $110.00. This fee is not recommended to be reduced.

 

Council’s current adopted Construction Certificate fee for works with an estimated cost of up to $5,000 is $150.00 plus an additional 0.5% of the estimated project value. Inspections are charged at the adopted rates of $180.00 (within 30km of the Council Administration Building) and $340 (outside 30km of the Council Administration Building). These fees are proposed to be amended for projects of $5,000 in value or less in order to provide a flat total fee (inclusive of two inspections) of $450.00, which on average equates to 15% of the project value for these developments, based on the 2017/18 financial year figures.

 

A comparison of the existing and proposed fees is shown in the following table, which includes inspections currently charged against each development.

 

	ESTIMATED COST	CC CHARGES	DA CHARGES	TOTAL APPLICATION CHARGES	PROJECT VALUE %
Current	$2,000	$670.00	$110	$780.00	39%
Proposed	$2,000	$340.00	$110	$450.00	23%
Current	$3,500	$847.50	$110	$957.50	27%
Proposed	$3,500	$340.00	$110	$450.00	13%
Current	$5,000	$700.00	$110	$810.00	16%
Proposed	$5,000	$340.00	$110	$450.00	9%

 

 

 

 

 

Council’s current Construction Certificate (CC) and Complying Development Certificate (CDC) fees are aligned, with the application fee for a CC or CDC with an estimated cost up to $5,000 being calculated at $150.00 plus an additional 0.5% of the estimated cost.

 

A review of CDC applications in 2017/18 shows that of the 90 applications approved, five had an estimated value of less than $10,000 and only one had an estimated value of $5,000 or less.  As such, for consistency, it is recommended that the proposed fee amendment be applied to both CC’s and CDC’s.

 

The proposed amendment would therefore be detailed as follows.

 

Wagga Wagga City Council | Commercial Directorate | Commercial Development | City Development | Construction Certificates (CC) and Complying Development Certificate (CDC) Application Fees - Building
CC or CDC Fee (estimated cost up to $5,000)	$340.00 (inclusive of 2 inspections)

 

It is also proposed to amend the table to the fees charged for a Section 68 Minor Works Permit Private (Plumbing) to include reference to projects of an estimated cost of up to $5,000, as detailed below.

 

Wagga Wagga City Council | Commercial Directorate | Commercial Development | City Development | Section 68 Inspection Fees - Plumbing
Current	Minor Works Permit Private (Plumbing) - 1 fixture only or less than 10 metres of pipe work (fee includes 2 inspections)
Proposed	Minor Works Permit Private (Plumbing) - 1 fixture only or works with an estimated cost up to $5,000 (fee includes 2 inspections)

 

As mentioned earlier in this report, the income received from Development Applications/Construction Certificates (DA/CC) applications up to $5,000 (including inspections) for the 2017/18 financial year was $22,608.77.  Under the new proposed pricing structure, using the same application numbers from 2017/18, this income would reduce down to $14,850.00; a $7,758.77 drop in income.

 

At this stage it is not proposed to amend the 2018/19 DA/CC application income budget.  An extensive review of the development income budgets will be undertaken over the next 6 months for consideration during the 2019/20 Long Term Financial Plan compilation.

Councils Adopted Revenue & Pricing Policy 2018/19

 

 

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

 

N/A

The following proposed amendment to the 2019/20 financial year Fees and Charges as detailed in this report, will be placed on public exhibition for 28 days commencing 28 August 2018 and concluding on 24 September 2018.

 

During this period, the amended fee will be available to view on Council’s website and at the Customer Service Counter. Submissions will be assessed following the exhibition period and addressed in a further report to Council on 8 October 2018.

 

Mail

Media

Community Engagement

Digital

Rates notices insert

Direct mail

Letterbox drop

Council news story

Council News advert

Media releases

TV/radio advertising

One-on-one meetings

Your Say website

Community meetings

Stakeholder workshops

Drop-in sessions

Surveys and feedback forms

Social media

Email newsletters

Website

Digital advertising

TIER

Consult

x

x

x

Involve

Collaborate

 

 

  

 

 

 

RP-3               Financial Performance Report as at 31 July 2018

Author:          Carolyn Rodney 

Director:       Natalie Te Pohe

         

 

Analysis:

This report is for Council to consider and approve the proposed 2018/19 budget variations required to manage the 2018/19 budget and Long Term Financial Plan, and details Council’s external investments and performance as at 31 July 2018.

 

 

Recommendation That Council: a       approve the proposed 2018/19 budget variations for the month ended 31 July 2018 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        note details of the external investments as at 31 July 2018 in accordance with section 625 of the Local Government Act 1993

 

Wagga Wagga City Council (Council) forecasts a balanced budget position as at 31 July 2018. 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 July, when compared to budget. This is a result of a positive movement in the value of Council’s Floating Rate Note portfolio during the month.

 

Key Performance Indicators

 

OPERATING INCOME

Total operating income is 8% of approved budget, which is tracking to budget for the end of July (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 60%.

 

OPERATING EXPENSES

Total operating expenditure is 9% of approved budget and is tracking close to budget for the full financial year.

 

CAPITAL INCOME

Total capital income is 0% 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. This income also includes the sale of property, plant and equipment.

 

CAPITAL EXPENDITURE

Total capital expenditure including commitments is 11% of approved budget.

This percentage is inflated for July as the 2017/18 project carryover budgets have not been included in the approved budget. The carryover budgets will be reflected in the August financial performance report.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revised Budget Result - Surplus/(Deficit)	$’000s
Original 2018/19 Budget Result as adopted by Council Total Budget Variations approved to date Budget variations for July 2018	$0 $0 $0
Proposed revised budget result for 31 July 2018	$0

 

The proposed Budget Variations to 31 July 2018 are listed below:

 

 

Current Restrictions

Due to the finalisation of the 2017/18 financial year figures, reserve balances have not been included in this report.

Investment Summary as at 31 July 2018

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 30/06/2018 $	Closing Balance Invested 31/07/2018 $	July EOM Current Yield %	July EOM % of Portfolio	Investment Date	Maturity Date	Term (mth)
Short Term Deposits
AMP	A	2,000,000	2,000,000	2.95%	1.55%	1/06/2018	31/05/2019	12
AMP	A	2,000,000	2,000,000	2.60%	1.55%	2/08/2017	2/08/2018	12
NAB	AA-	2,000,000	2,000,000	2.60%	1.55%	8/09/2017	7/09/2018	12
AMP	A	1,000,000	1,000,000	2.95%	0.78%	5/06/2018	2/01/2019	7
NAB	AA-	2,000,000	2,000,000	2.62%	1.55%	28/09/2017	28/09/2018	12
Auswide	BBB-	2,000,000	2,000,000	2.67%	1.55%	5/10/2017	5/10/2018	12
Auswide	BBB-	1,000,000	1,000,000	2.67%	0.78%	16/10/2017	16/10/2018	12
Auswide	BBB-	2,000,000	2,000,000	2.70%	1.55%	5/12/2017	5/12/2018	12
Auswide	BBB-	1,000,000	0	0.00%	0.00%	15/12/2017	16/07/2018	7
Police Credit Union	NR	2,000,000	2,000,000	2.70%	1.55%	28/02/2018	29/10/2018	8
AMP	A	2,000,000	2,000,000	2.95%	1.55%	17/05/2018	13/11/2018	6
AMP	A	1,000,000	1,000,000	2.95%	0.78%	17/05/2018	17/05/2019	12
Police Credit Union	NR	2,000,000	2,000,000	2.86%	1.55%	28/05/2018	28/05/2019	12
AMP	A	2,000,000	2,000,000	2.95%	1.55%	29/05/2018	24/01/2019	8
Westpac	AA-	1,000,000	1,000,000	2.80%	0.78%	28/06/2018	28/06/2019	12
Australian Military Bank	NR	0	1,000,000	3.01%	0.78%	16/07/2018	16/07/2019	12
Total Short Term Deposits		25,000,000	25,000,000	2.78%	19.41%
At Call Accounts
NAB	AA-	5,245,969	1,368,311	1.50%	1.06%	N/A	N/A	N/A
NAB	AA-	12,132,112	13,156,936	2.19%	10.21%	N/A	N/A	N/A
AMP	A	0	0	0.00%	0.00%	N/A	N/A	N/A
AMP	A	344	345	2.30%	0.00%	N/A	N/A	N/A
CBA	AA-	72,088	72,055	1.35%	0.06%	N/A	N/A	N/A
Total At Call Accounts		17,450,513	14,597,647	2.12%	11.33%
Medium Term Deposits
RaboBank	A+	1,000,000	1,000,000	3.16%	0.78%	5/06/2017	6/06/2022	60
ING Bank	A	3,000,000	3,000,000	2.75%	2.33%	24/08/2017	26/08/2019	24
ME Bank	BBB	2,000,000	2,000,000	4.28%	1.55%	2/09/2014	2/09/2019	60
Rabobank	A+	1,000,000	1,000,000	4.10%	0.78%	5/12/2014	5/12/2019	60
BOQ	BBB+	2,000,000	2,000,000	3.10%	1.55%	7/07/2017	7/07/2020	36
Newcastle Permanent	BBB	1,000,000	1,000,000	3.00%	0.78%	12/08/2016	12/08/2019	36
Rabobank	A+	1,000,000	1,000,000	3.20%	0.78%	25/08/2016	25/08/2021	60
Newcastle Permanent	BBB	1,000,000	1,000,000	3.00%	0.78%	31/08/2016	30/08/2019	36
Police Credit Union	NR	1,000,000	1,000,000	2.90%	0.78%	8/09/2016	10/09/2018	24
Newcastle Permanent	BBB	2,000,000	2,000,000	3.00%	1.55%	10/02/2017	11/02/2019	24
Westpac	AA-	3,000,000	3,000,000	3.10%	2.33%	10/03/2017	10/03/2022	60
ING Bank	A	1,000,000	1,000,000	2.92%	0.78%	16/10/2017	16/10/2019	24
ING Bank	A	2,000,000	2,000,000	2.92%	1.55%	6/11/2017	6/11/2019	24
BOQ	BBB+	2,000,000	2,000,000	3.35%	1.55%	3/01/2018	4/01/2022	48
ING Bank	A	1,000,000	1,000,000	2.80%	0.78%	5/01/2018	6/01/2020	24
Australian Military Bank	NR	1,000,000	1,000,000	2.95%	0.78%	29/05/2018	29/05/2020	24
BOQ	BBB+	1,000,000	1,000,000	3.50%	0.78%	1/06/2018	1/06/2022	48
Westpac	AA-	2,000,000	2,000,000	3.02%	1.55%	28/06/2018	28/06/2021	36
Institution	Rating	Closing Balance Invested 30/06/2018 $	Closing Balance Invested 31/07/2018 $	July EOM Current Yield %	July EOM % of Portfolio	Investment Date	Maturity Date	Term (mth)
Westpac	AA-	2,000,000	2,000,000	2.88%	1.55%	28/06/2018	29/06/2020	24
Total Medium Term Deposits		30,000,000	30,000,000	3.14%	23.29%
Floating Rate Notes - Senior Debt
BOQ	BBB+	2,010,400	2,016,400	BBSW + 110	1.57%	5/08/2014	24/06/2019	58
BOQ	BBB+	1,008,134	1,003,268	BBSW + 107	0.78%	6/11/2014	6/11/2019	60
BOQ	BBB+	1,008,134	1,003,268	BBSW + 107	0.78%	10/11/2014	6/11/2019	60
Bendigo-Adelaide	BBB+	1,008,564	1,011,267	BBSW + 110	0.79%	18/08/2015	18/08/2020	60
Bendigo-Adelaide	BBB+	1,008,564	1,011,267	BBSW + 110	0.79%	28/09/2015	18/08/2020	59
Suncorp-Metway	A+	1,018,733	1,013,247	BBSW + 125	0.79%	20/10/2015	20/10/2020	60
Westpac	AA-	4,062,292	4,043,068	BBSW + 108	3.14%	28/10/2015	28/10/2020	60
CBA	AA-	1,018,263	1,013,167	BBSW + 115	0.79%	18/01/2016	18/01/2021	60
Rabobank	A+	2,041,144	2,047,592	BBSW + 150	1.59%	4/03/2016	4/03/2021	60
Newcastle Permanent	BBB	1,005,545	1,008,637	BBSW + 160	0.78%	22/03/2016	22/03/2019	36
CUA	BBB	2,027,800	2,016,094	BBSW + 160	1.57%	1/04/2016	1/04/2019	36
ANZ	AA-	1,012,354	1,015,377	BBSW + 118	0.79%	7/04/2016	7/04/2021	60
Suncorp-Metway	A+	1,023,582	1,017,756	BBSW + 138	0.79%	21/04/2016	12/04/2021	60
AMP	A	1,013,663	1,015,687	BBSW + 135	0.79%	24/05/2016	24/05/2021	60
Westpac	AA-	1,013,993	1,017,886	BBSW + 117	0.79%	3/06/2016	3/06/2021	60
CBA	AA-	1,020,822	1,015,976	BBSW + 121	0.79%	12/07/2016	12/07/2021	60
ANZ	AA-	2,030,666	2,037,312	BBSW + 113	1.58%	16/08/2016	16/08/2021	60
BOQ	BBB+	1,517,316	1,509,491	BBSW + 117	1.17%	26/10/2016	26/10/2020	48
NAB	AA-	1,014,583	1,010,147	BBSW + 105	0.78%	21/10/2016	21/10/2021	60
Teachers Mutual	BBB	1,511,886	1,503,882	BBSW + 140	1.17%	28/10/2016	28/10/2019	36
Bendigo-Adelaide	BBB+	1,007,634	1,010,537	BBSW + 110	0.78%	21/11/2016	21/02/2020	39
Westpac	AA-	1,014,623	1,010,387	BBSW + 111	0.78%	7/02/2017	7/02/2022	60
ANZ	AA-	1,007,944	1,011,697	BBSW + 100	0.79%	7/03/2017	7/03/2022	60
CUA	BBB	753,836	756,065	BBSW + 130	0.59%	20/03/2017	20/03/2020	36
Heritage Bank	BBB+	604,730	601,349	BBSW + 130	0.47%	4/05/2017	4/05/2020	36
Teachers Mutual	BBB	1,003,615	1,006,767	BBSW + 142	0.78%	29/06/2017	29/06/2020	36
NAB	AA-	3,004,725	3,017,631	BBSW + 90	2.34%	5/07/2017	5/07/2022	60
Suncorp-Metway	A+	1,005,675	1,008,767	BBSW + 97	0.78%	16/08/2017	16/08/2022	60
Westpac	AA-	2,004,910	1,997,936	BBSW + 81	1.55%	30/10/2017	27/10/2022	60
ME Bank	BBB	1,507,103	1,500,027	BBSW + 125	1.16%	9/11/2017	9/11/2020	36
NAB	AA-	1,997,592	2,004,996	BBSW + 80	1.56%	10/11/2017	10/02/2023	63
ANZ	AA-	1,500,174	1,495,137	BBSW + 77	1.16%	18/01/2018	18/01/2023	60
Bendigo-Adelaide	BBB+	498,923	497,694	BBSW + 105	0.39%	25/01/2018	25/01/2023	60
Newcastle Permanent	BBB	1,499,334	1,491,177	BBSW + 140	1.16%	6/02/2018	6/02/2023	60
Westpac	AA-	1,995,352	2,004,316	BBSW + 83	1.56%	6/03/2018	6/03/2023	60
UBS	A+	1,999,092	2,007,734	BBSW + 90	1.56%	8/03/2018	8/03/2023	60
Heritage Bank	BBB+	1,399,098	1,403,343	BBSW + 123	1.09%	29/03/2018	29/03/2021	36
ME Bank	BBB	1,610,472	1,602,301	BBSW + 127	1.24%	17/04/2018	16/04/2021	36
ANZ	AA-	2,004,830	1,999,756	BBSW + 93	1.55%	9/05/2018	9/05/2023	60
NAB	AA-	2,003,370	2,012,374	BBSW + 90	1.56%	16/05/2018	16/05/2023	60
Total Floating Rate Notes - Senior Debt		57,799,471	57,770,780		44.85%
Managed Funds
NSW Tcorp	NR	1,416,159	1,436,122	1.41%	1.11%	17/03/2014	1/07/2023	111
Total Managed Funds		1,416,159	1,436,122	1.41%	1.11%
Institution	Rating	Closing Balance Invested 30/06/2018 $	Closing Balance Invested 31/07/2018 $	July EOM Current Yield %	July EOM % of Portfolio	Investment Date	Maturity Date	Term (mth)
TOTAL CASH ASSETS, CASH EQUIVALENTS & INVESTMENTS		131,666,143	128,804,548		100.00%
LESS: RIVERINA REGIONAL LIBRARY (RRL) CASH AT BANK		2,962,777	3,941,717
TOTAL WWCC CASH ASSETS, CASH EQUIVALENTS & INVESTMENTS		128,703,366	124,862,832

 

Council’s investment portfolio is dominated by Floating Rate Notes (FRNs) equating to approximately 45% across a broad range of counterparties. Cash equates to 11% of Council’s portfolio with Term Deposits around 43% 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 Authorised Deposit-Taking Institutions (ADIs) (being BBB- or higher), with a smaller allocation to unrated ADIs.

 

 

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

 

 

Investment Portfolio Balance

 

Council’s investment portfolio balance has decreased from the previous month’s balance, down from $128.7M to $124.9M, which is reflective of a number of contract payments being made during the month.

 

 

MONTHLY INVESTMENT MOVEMENTS

 

Redemptions/Sales – Council redeemed the following investment security during July 2018:

 

 

New Investments – Council purchased the following investment security during July 2018:

 

 

Rollovers – Council did not roll over any investment securities during July 2018.

 

MONTHLY PERFORMANCE

 

Interest/growth/capital gains for the month totaled $344,153, which compares favourably with the budget for the period of $244,709, outperforming budget for the month of July by $99,444. This is mainly due to a positive movement for Councils Floating Rate Note (FRN) portfolio during July.

 

It should be noted that a majority of Councils FRNs continue to trade at a premium. The capital market value of these 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 important to note Council’s investment portfolio balance has consistently been over $100M, 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 2018/19 financial year the portfolio balance will reduce in line with the completion of major projects. This will result in Councils investment portfolio continuing to maintain a higher balance until these projects commence or advance further.

 

 

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* (+1.83%pa), Council’s investment portfolio in total returned 3.12% for July. Short-term deposits returned 2.78%. 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

 

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.

 

Community Leadership and Collaboration

Objective: We have strong leadership

Outcome: We are accountable and transparent

 

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

 

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.

 

  

 

 

 

 

 

 

 

 

 

RP-4               CENTRAL BUSINESS DISTRICT (CBD) PARKING

Author:          Peter Ross 

Director:       Caroline Angel

         

 

Analysis:

This report is in response to a Notice of Motion to outline a strategy that identifies a roll out plan, as well as a high level costing, to implement marked parking bays across the CBD.

 

 

Recommendation That Council note the contents of the report.

 

At the 28 May 2018 Council meeting a Notice of Motion was presented which was resolved by the following:

 

That Council staff present a report to the 23 July 2018 Council Meeting outlining a strategy that identifies a roll out plan as well as a high level outline of the costs to implement marked parking bays across the CBD.

 

Advice on the progress of this report has been conveyed through the Councillor Bulletin process with an item included in the 13 July 2018 edition of the bulletin.

 

For the purposes of this report, the Central Business District (CBD) area was defined as the area bounded by the Sturt Highway, Best Street, Ivan Jack Drive, Trail Street, Crampton Street, Fitzmaurice Street, Sturt Street and Tarcutta Street (refer to attachment). The South Wagga shopping precinct (bounded by Forsyth Street, Docker Street, Morgan Street and Murray Street) has also been considered in relation to this report.

 

Many streets within the CBD area already have existing on-road parking bay markings (marked in RED on the attachment). These markings have been introduced over several years in response to requests, and to resolve parking related issues. 

 

Within the defined investigation area, a further 15 road segments were identified that would benefit from the introduction of marked parking bays. Although the South Wagga shopping precinct is separated from the investigation area, it was included for consideration due to the high parking demand (marked in BLUE on the attachment) and public commentary that we have received regarding parking issues in this area.

 

The investigation also highlighted the need to re-mark parking line-marking at four specific road segments due to the existing markings fading to a level that made them very difficult to see.

 

Given appropriate weather conditions, it will take approximately two weeks to carry out the proposed works indicated above, at a cost of $31,400. As the proposed works are in close proximity to high volume moving traffic, and to ensure Work Health & Safety requirements are met, Traffic Control will be required at each location.

 

In consideration of on-going maintenance costs for existing and proposed parking bay markings, there will need to be an identified budget item of $20,000 every three to four years.

 

The introduction of marked parking bays helps regulate and formalise parking, however it should be noted that one outcome of the introduction of marked parking bays is a reduction in the number of vehicles that can park along a section of street. As a result, when formalised parking bays are introduced, excess vehicles will need to look further afield for parking. 

Adoption of this report will not incur a budget implication.  However a budget implication may occur if a modified recommendation or request for a further report is adopted.  

N/A

 

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

 

N/A

Formal consultation is not required for this proposal as the report is for information purposes only. 

 

Attachments  

1⇩.

Wagga Wagga CBD Marked Carparking Current and Proposed

 

 

 

1           

 

RP-5               Proposed Extension of the Riverina Regional Library Administration Centre

Author:          Robert Knight 

Director:       Peter Thompson

         

 

Analysis:

To endorse the proposed extension of the Riverina Regional Library Administration Centre building, as well as an associated grant application to the Regional Cultural Fund.

 

 

Recommendation That Council: a       endorse the proposal to extend the Riverina Regional Library Administration Centre building b       endorse the submission of a grant application by Council to the 2018-19 round of the Regional Cultural Fund to support the proposed extension project c        receive a further report should the grant application be successful

 

The Riverina Regional Library (RRL) relocated to its current location at 2 Galing Place, Wagga Wagga on 29 August 2016. The building is a Council owned ex-childcare centre that was the subject of extensive renovation, jointly funded by Council, RRL and a NSW Public Library Infrastructure program grant, prior to its habitation by RRL staff.

 

Since the RRLAC staff moved into the RRL Administration Centre (RRLAC), RRL has become a hub for a range of RRL region wide activities, as well as a meeting and training venue for the greater South-West Zone cohort of councils and libraries. In addition, the increased demand for programs across the RRL branch network has created the need for additional creative/collaborative workshop spaces at the RRLAC.

 

An underutilised external area of the building has been identified as an ideal location for the proposed expansion. It is located at the north-east corner of the building, and is currently a seldom-used undercover outdoor area (see the blue highlighted area on Attachment 1). In summary, the plan is:

 

·    To create a hallway in the area that forms the entrance to the current meeting room, which will provide access to the current meeting room space and the proposed extension

·    Extend the hallway in an easterly direction (right turn on the plan) to provide seamless access to the new meeting room extension

·    Convert the current meeting room space (see yellow highlighted area on the plan) to a creative/collaborative workshop style work area (to which the Outreach and Promotions Team would transfer)

·    Relocate the Collections Team from their current location in the south-east corner of the building (see green highlighted area on the plan) to the area previously occupied by the Outreach and Promotions Team (see pink highlighted area on map)

·    The area previously occupied by the Collections Team would become a staff room facility, which currently does not exist.

 

A cost estimate of $307,800 (ex GST) for the project has been provided by Noel Thompson Architecture. The cost includes a required upgrade to fire services throughout the building and project management fees.

 

Apart from the opportunity to create more space by optimising an underutilised area, the catalyst for this proposal is the June state budget announcement of a $5m infrastructure grants program for libraries under the NSW Regional Cultural Fund (RCF), available to country libraries only. Applications to the RCF close on 21 September 2018. This may be the last grant funding opportunity that libraries see for some time as no commitment has been made by the State Government for any further grant funding beyond 2018-19, and the current RCF allocation of $100m will be fully expended in this financial year.

 

The project would be funded by a $250,000 grant from the RCF and up to $150,000 from the RRL Working Fund. There is currently $654,000 available in the Riverina Regional Library’s Working Fund (unbudgeted money), in addition to $1.67M in restricted reserve funds.

 

The RRL Advisory Committee Chairperson, Cr Dallas Tout, is currently liaising with the other nine (9) member Councils to seek their endorsement for the proposal. Agreement by a majority of Advisory Committee members, as well as endorsement by Council, would be required for the proposal to proceed. Responses received from Committee members to date have been very favourable.

 

RRL has a long-term lease (expiring on 30 September 2031) on the RRLAC with Council, meaning that the proposed investment of RRL funds will provide longterm benefits to its member Councils.

 

It should be noted that there will be no cost to Wagga Wagga City Council, and that this proposal provides the opportunity to add further value to this Council asset.

If the grant funding is approved, this building extension project will be entirely funded by a $250,000 Regional Cultural Fund grant and up to $150,000 from Riverina Regional Library available Working Funds. If the grant application is unsuccessful, the project will not proceed and no budget variation will be required.

N/A

 

Community Place and Identity

Objective: We have opportunities to connect with others

Outcome: We activate our community spaces to promote connectedness

 

 

No risk management issues for Council are identified.

Internal consultation is being undertaken with members of the Riverina Regional Library Advisory Committee.

 

Attachments  

1⇩.	RRL Administration Centre Extension - Concept Plan

 

 

 

 

 

 

 

RP-6               POL092 Event Support Policy Rescission

Author:          Fiona Hamilton 

Director:       Janice Summerhayes

         

 

Analysis:

The Event Support Policy, POL 092, was developed in 2005 to guide the operations of the Events Unit at that time.  This policy is now out of date with the support offered to event organisers through Council and the objectives now being addressed within Council’s Financial Assistance Policy, Council’s Event Guide and Council’s Major Events, Festivals and Films Sponsorship Policy.

 

 

Recommendation That Council rescind the Event Support Policy POL 092 as the policy’s scope and objectives are now addressed within Council’s Financial Assistance Policy, Council’s Event Guide and Council’s Major Events, Festivals and Films Sponsorship Policy.

 

The Events Support Policy (POL 092) outlines the support available to event organisers from Council with the policy’s objective being to encourage the development of a vibrant events culture in our City. POL 092 was developed in 2005 at a time when the events support and the associated policies and procedures within Council were in the early stages of development.  Since the creation of POL 092 event support offered through Council to event organisers has been refined along with the objectives now being addressed within other Council policies making POL 092 redundant.

The following policies and guidelines cover POL 092 objectives and scope:

·   Council’s Financial Assistance Policy (POL 078), which details Council’s financial and in kind assistance to event organisers through annual grants, donations, in-kind support and the waiving of fees and charges whose activities are aligned to Council’s Community Strategic Plan 2040 – Wagga View.

·   Council’s Event Guide which provides detailed information relating to the event support offered by Council in the support and development of events by external event organisers.

·   Council’s Major Events, Festivals and Films Sponsorship Policy (POL087) and Guidelines, adopted in September 2017, which address sponsorship and financial contributions over sponsorship categories.

·   A Blanket Development Consent is in place at various Council event locations to make it easier for event organisers to hold events.

N/A

 

Council’s Financial Assistance Policy (POL 078)

Council’s Major Events, Festivals and Films Sponsorship Policy (POL 087)

 

Community Leadership and Collaboration

Objective: We have strong leadership

Outcome: We are accountable and transparent

 

N/A

The Event Support Policy, POL092, was reviewed by Council’s internal Corporate Review Committee 7 June 2018 with a recommendation to rescind the Policy and distribute to the Executive Team for endorsement of the rescission. The Executive Team subsequently endorsed the recommendation on 12 June 2018.

 

  

 

 

RP-7               Draft Debt Management Policy

Author:          Carolyn Rodney 

Director:       Natalie Te Pohe

 

 

Analysis:

Council have previously never had a formal policy on debt management. Whilst Council officers undertake internally agreed processes and procedures, an adopted Council Policy will ensure the community are aware of the processes and procedures that will be undertaken when a debt becomes overdue.   POL 017 Debt Management Policy has been drafted and is being presented to Council for endorsement to go on public exhibition.  The Audit, Risk and Improvement Committee have reviewed the draft Policy at their 10 August 2018 meeting, and recommend for Council to endorse the Draft Debt Management Policy, and subsequent adoption following the public exhibition period.

 

 

Recommendation That Council: a       endorse the draft POL 017 Debt Management Policy, that is to be placed on public exhibition for a period of 28 days from 1 September 2018 to 29 September 2018 and invite public submissions until the 15 October 2018 on the draft Policy b       receive a further report following the public exhibition and submission period: i         addressing any submissions made in respect of the proposed POL 017 Debt Management Policy ii        proposing adopting of the Policy unless there are any recommended amendments deemed to be substantial and requiring a further public exhibition period

 

Council raises in excess of $60 million in rates and annual charges and over $20 million in user charges and fees each financial year. The below tables illustrate the charges raised, the amount outstanding at financial year-end, and the percentage outstanding.

 

Table 1 – Rates and Annual Charges

	2012/13	2013/14	2014/15	2015/16	2016/17
Rates and Annual Charges Collectible - $’000	54,048	56,783	58,245	60,788	63,942
Rates and Annual Charges Outstanding - $’000	3,909	3,649	3,616	3,593	3,263
Rates and Annual Charges Percentage Outstanding*	7.23%	6.43%	6.21%	5.91%	5.10%

*2016/17 Benchmark:

Less than 5% Metro Council; Less than 10% Rural Councils.

NB: for the 2017/18 financial year, the wording for the rural category has been adjusted to include council’s categorised as regional councils - “Less than 10% Regional & Rural”.

Benchmark Source: Code of Accounting Practice

 

Table 2 – User Charges and Fees

	2012/13	2013/14	2014/15	2015/16	2016/17
User Charges and Fees Collectible - $’000	20,021	21,114	23,432	24,195	23,698
User Charges and Fees Outstanding - $’000*	2,534	2,612	1,440	1,206	1,062
User Charges and Fees Percentage Outstanding*	13.62%	13.53%	6.80%	5.52%	5.03%

 

As can be seen from the above tables, Council officers have been proactive in managing debt levels using a variety of debt recovery methods. The success of Council’s debt recovery methods has resulted in Council sitting well below the benchmark Rates and Annual Charges outstanding for a regional Council – 5.10% outstanding as at 30 June 2017 as compared to the target of less than 10% outstanding. 

 

Whilst there has not been a formal policy of Council on Debt Management, Council officers undertake internally agreed processes and procedures. These processes and procedures have formed the basis of the Draft Debt Management Policy that is attached for Councils endorsement to place on public exhibition, and subsequent adoption considering any public submissions.

 

The management of outstanding debts can be a costly and timely exercise.  Whilst debts remain outstanding, it affects Council’s cash flow along with the time it takes staff to manage the debt.

POL 017 Draft Debt Management Policy

 

Community Leadership and Collaboration

Objective: We have strong leadership

Outcome: We are accountable and transparent

 

If Council officers are unable to recover outstanding debts, it negatively impacts on Council’s cash flow.  At its worst, this could affect Council’s overall budget, and may impact Council’s ability to provide programs and services to the community.

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….”

 

The Finance Division consults with the appropriate areas of the organisation, where required, in determining those amounts to write-off.

 

A Councillor workshop was held on 21 May 2018, with the following Councillors in attendance:

·        Mayor, Greg Conkey OAM

·        Deputy Mayor, Cr Dallas Tout

·        Cr Yvonne Braid

·        Cr Rod Kendall

 

The draft Debt Management Policy was presented to the Audit, Risk and Improvement Committee meeting held on 10 August 2018.  The Committee provided feedback and recommended its endorsement by Council.

 

If Council resolve to place the draft Policy on public exhibition, the following methods of consulting will be utilised:

 

Mail

Media

Community Engagement

Digital

Rates notices insert

Direct mail

Letterbox drop

Council news story

Council News advert

Media releases

TV/radio advertising

One-on-one meetings

Your Say website

Community meetings

Stakeholder workshops

Drop-in sessions

Surveys and feedback forms

Social media

Email newsletters

Website

Digital advertising

TIER

Consult

x

x

x

 

 

Attachments  

1⇩.

Draft Debt Management Policy - POL 017

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

RP-8               Review of current Financial Assistance provided to Community Organisations, Businesses, and Individuals

Author:          Carolyn Rodney 

Director:       Natalie Te Pohe

         

 

Analysis:

Council provides more than $2.1M in financial assistance to community organisations across the local government area, via either direct contributions, fee waivers or subsidies. This report is recommending for Council officers to review the current level of financial assistance provided, along with a recommendation to move towards an application process.    This report also discusses the funding requests submitted during the 2018/19 Integrated and Reporting process, and also the outcomes of the recent Councillor Workshop where each funding request was discussed in detail.

 

 

Recommendation That Council: a       receive and note the content of this report b       write to the organisations who requested funding during the 2018/19 Integrated Planning and Reporting process, and advise them of the outcome of their request, as per the Councillor workshop outcomes listed in this report c        request the General Manager or their delegate, to commence a detailed review of the current level of financial assistance provided to the community including the development of appropriate eligibility criteria for a new financial assistance application process, to be presented back to Council for consideration d       provide notice to the current organisations who are receiving annual donations and fee waivers that from 1 July 2020, Council will be moving towards a financial assistance application process, which may result in their organisation not receiving the financial assistance after the 2019/20 financial year

 

For the current financial year, Council has budgeted to provide over $2.1M in financial assistance to the community via either direct contributions, fee waivers or subsidies. 

 

Over the last few years, Council has experienced a number of reductions in the level of income received, in comparison to the budgets incorporated into Council’s Long Term Financial Plan (LTFP). Examples of this include the freezing of the Financial Assistance Grant indexing; the lower than anticipated investment income due to the current financial market; and the annual allowable rate peg amount.

 

All of these adjustments to budgeted assumptions affect the level at which Council can deliver services and/or provide support to organisations each year. It is therefore appropriate to review the level of financial assistance provided to the community.

 

Also proposed in this review is a recommendation to move towards an application process.  This is proposed to ensure that Council is fair and equitable with the provision of assistance across the various types of community groups.

 

A summary by category of the current annual Financial Assistance provided by Council as approved in the 2018/19 Operational Plan is shown below:

 

Category	Amount $
a)    Rental Subsidies provided to Community Organisations	1,518,741
b)    Grants, Donations, Contributions, Scholarships, Programs etc	464,661
c)    Major Events Sponsorship	100,000
d)    Community Donations – Section 356	39,689
Total Annual Financial Assistance to be provided by Council    for the 2018/19 financial year	$2,123,091

 

 

During the 2018/19 Integrated Planning and Reporting process, Council received a total of nine submissions from the community, with five relating to funding requests totalling $135,000.

 

At the 25 June 2018 Council meeting, Council resolved to place on hold the funding requests, pending a separate Councillor Workshop to discuss each funding request submission in more detail.

 

g       defer any decision on the funding requests identified under “Submissions Received” section of the report pending a workshop with Councillors

 

The Councillor Workshop was held on Monday 30 July 2018, with the outcomes of the workshop shown below:

 

*As agreed by the Wagga Wagga Business Chamber in 2016, the $7,500 is currently provided for within Council’s Small Business Grant Program, and the Business Chamber has representation on the review of grant applications associated with the Program.

 

 

The additional funds for the Booranga Writers’ Centre recognised that they have not increased for many years, and the Women in Business Wagga funding is specifically to provide access to school students to hear from the Women in Business high profile speaker in February 2019, and is an initiative that supports the development of youth.

 

Each of the above organisations will be advised of the outcome for their 2018/19 funding request submission.

 

Council provides over $2.1M in financial assistance to the community via either direct contributions, fee waivers or subsidies.  It is proposed to review the financial assistance program, whereby the review will include the level of financial assistance provided and how the Council determines the recipients of this assistance, for the reasons outlined in this report.

 

The funding requests recommended for approval, with the exception of the Women in Business Wagga request and the Booranga Writers’ Centre, are included in the 2018/19 budget. The $2,600 for Women in Business will be funded from within Council’s Economic Development budget with the additional $1,000 being funded from within the Community Directorate.

POL 078 Financial Assistance Policy

 

Community Leadership and Collaboration

Objective: We have strong leadership

Outcome: We are accountable and transparent

 

The inability to meet everyone’s expectations will continue to be a challenge for Council. Council will continue to be active during the public exhibition phase of the planning documents to ensure that the community is informed of the documents and their content and given an opportunity to make a submission.

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….”

 

Council’s Finance Division have consulted with all relevant areas within the Council in regards to the proposed new process, and will consult with Councillors once the process has been further refined. 

 

A Councillor Workshop was conducted on Monday 30 July 2018 with all Councillors in attendance.

 

  

 

 

RP-9               KEEP NSW BEAUTIFUL AWARDS PRESENTATION

Author:          Mark Gardiner 

Director:       Janice Summerhayes

         

 

Analysis:

Endorse representation and appointment of a Councillor to attend the Keep NSW Beautiful Tidy Towns – Sustainable Communities Awards presentation to be held in Orange on the 9 to 11 November 2018.

 

 

Recommendation That Council nominate a Councillor to attend the Keep NSW Beautiful Tidy Towns – Sustainable Communities Awards presentation to be held in Orange on the 9 to 11 November 2018.

 

The annual Keep NSW Beautiful Tidy Towns – Sustainable Communities Awards are to be held in Orange on the 9 to 11 November 2018. The Tidy Towns community program aims to invigorate civic pride, community spirit and environmental commitment to regional communities across New South Wales. The awards program celebrates and provides recognition to the achievements of the community for projects that improve the natural and built environments.

 

Wagga Wagga has a long standing association with the Keep NSW Beautiful Awards being involved from the inception of the program in 1982 and has achieved outstanding success winning numerous awards during that time.

 

Community members from the Tidy Towns Sustainable Communities Committee have indicated they will be attending the awards presentation in Orange along with Council’s staff representative. As in past year’s practice, it is considered appropriate that a Councillor also attend to represent the City at this event.

 

The estimated cost of attendance for one Councillor will be approximately $1,000.

 

Any registration costs, together with associated travel costs will be met by the Councillor Conferences/seminars $25,000 annual budget allocation, which has $18,686 remaining as at 17 August 2018 from a budget allocation of $25,000 for the 2018/19 financial year.

POL 025 – Payment of Expenses and Provision of Facilities to Councillors.

 

The Environment

Objective: We create a sustainable environment for future generations

Outcome: Educate the community in sustainability

 

N/A

Attendance in consultation with the Wagga Wagga Tidy Towns Sustainable Communities Committee.

 

  

 

 

RP-10            Stronger Country Communities Fund Partnerships

Author:          Peter Cook 

Director:       Natalie Te Pohe

         

 

Analysis:

Council has received offers to project manage and deliver two of the projects funded under the Stronger Country Communities Fund – Round 1 from two local sporting organisations.

 

 

Recommendation That Council: a       in accordance with s55(3)(i) of the Local Government Act 1993, not invite tenders for a proposed project delivery contract for the upgrade of the tennis courts located at the South Wagga Tennis Club i.     note the reason for not calling tenders is on the grounds that Council is satisfied that inviting tenders would not achieve a satisfactory result due to the unavailability of competitive tenderers as South Wagga Tennis Club will provide the project management and undertake the procurement processes associated with the project ii.    authorise the General Manager or their delegate to enter into a contract with South Wagga Tennis Club for the upgrade of the tennis courts located at the South Wagga Tennis Club in the lump sum amount of $350,000 excluding GST b       in accordance with s55(3)(i) of the Local Government Act 1993, not invite tenders for a proposed project delivery contract for the construction of female change room facilities at McDonald’s Park i.     note the reason for not calling tenders is on the grounds that Council is satisfied that inviting tenders would not achieve a satisfactory result due to the unavailability of competitive tenderers as Wagga Rugby League will provide the project management and undertake the procurement processes associated with the project ii.    authorise the General Manager or their delegate to enter into a contract with Wagga Wagga Rugby League for the construction of female change room facilities at McDonald’s Park in the lump sum amount of $322,436.24 excluding GST c        authorise the affixing of Council’s Common Seal to all relevant documents as required

 

At the Ordinary Meeting of Council on 28 May 2018 Council it was resolved:

 

That Council:

a       accept the State Government grant offer of $1,514,672 of funding through the Stronger Country Community Fund

b       note that further reports will be provided to Council on potential partnerships with sporting and community groups for the delivery of the identified projects

c        enter into a funding agreement with the Leisure Company to provide a $50,000 contribution from the grant funding towards the construction of an adult laydown  change facility in Peter Street, in accordance with the grant application

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

e       approve the budget variation as detailed in the budget section of the report

 

In accordance with this resolution, Council officers have held discussions with the South Wagga Tennis Club and Wagga Rugby League. Following these discussions, it is proposed that Council enter into agreements with both of these organisations to deliver two of the projects that received funding under the program.

 

The organisations would be responsible for the project management costs and procurement processes associated with the delivery of these projects. This would provide an estimated saving to Council of $35,000 for the South Wagga Tennis Club project and $32,243 for the McDonald’s Park female change room facilities. As project management was not funded through the funding received, entering into the two agreements would provide an estimated total saving to Council of $67,243.

 

The details of these two projects and the funding models are:

 

Project	Scope and Budget	Total Funding Received	Council Contribution Funding and  Source
Female change room facilities	This funding will allow for the development of female change facilities to be constructed at McDonald’s Park. Total Project Value: $322,436	$322,436	$0
South Wagga Tennis Court upgrades.	This project will see the installation of six new synthetic full sized tennis courts and six new modified size hotshot courts. The new full sized synthetic courts will replace the existing granite surface. The modified hotshot courts will be of a similar surface and will be publicly accessible at all times. Total Project Cost $350,000	$350,000	$0

 

This project delivery model would be achieved through Council entering into contracts with South Wagga Tennis Club and Wagga Rugby League for the delivery of these projects. The proposed contracts would have clauses that outline both parties’ obligations during the planning, construction and defect liability phases of the project.

 

All newly constructed facilities will become Council assets.

 

Council has entered into similar agreements previously with sporting organisations including the installation of drainage at Harris Park and construction of amenities at Duke of Kent Oval. These projects have delivered excellent value with the Council funding and have produced highly utilised venues post development.

 

The total estimated cost to implement both projects is $672,436 which is to be funded via the grant funds received.

N/A

 

Safe and Healthy Community

Objective: We promote a healthy lifestyle

Outcome: We promote participation across a variety of sports and recreation

 

The risks associated with implementing these projects relate to process, cost, environmental, WHS and contractor performance. These risks are addressed as part of Council’s project management and contractor performance management systems.

Projects were initially identified from the outcomes of the community consultation that was undertaken during the development of the Recreation Open Space and Community Strategy and Implementation Plan 2040. Input and prioritisation was then sought from both Councillors and the Local State Member of Parliament.

 

An online poll of community members was also undertaken to help determine project prioritisation and community support for the identified projects prior to the applications being submitted.

 

Both organisations have been consulted during this process.

 

  

 

 

 

RP-11            Proposed Infrastructure Licence for Railway Corridor at Kooringal for Levee Construction

Author:          Darryl Woods 

Director:       Caroline Angel

         

 

Analysis:

Recommendation to enter into a licence agreement with Transport for NSW to extend the Main City levee on Kooringal Road to the Monumental Cemetery.

 

 

Recommendation That Council: a       enter into an access licence with Transport for NSW as noted in the body of this report b       delegate authority to the General Manager or their delegate to execute any necessary documents on behalf of Council c        authorise the affixing of Council’s Common Seal to any necessary document as required

 

As part of the Main City Levee upgrade the levee on Kooringal Road is to be extended from the current end point before the Wagga to Tumbarumba rail crossing to the Monumental Cemetery, chainage 8960m to 9140m as per attached map.

 

The rail corridor that crosses Kooringal Road is owned by Transport for NSW and managed by John Holland on their behalf. Council has worked with John Holland for 18 months to acquire right of access to construct the levee bank through the disused rail line and have been granted access in principle pending the execution of a licence agreement.

 

John Holland have now provided the licence agreement for 10 years. After the agreement expires, Transport for NSW has the option to pay to Council $1 to transfer the asset to Council or alternatively ask Council to make good to the condition at the commencement. The licence also gives Transport for NSW the right to terminate for convenience which also requires Council to make good.

 

Council has been in contact with Transport for NSW seeking more favourable licence terms in the context that this section of the levee forms part of the active travel plan and the need for Council to continue to maintain the levee as the minimum design life of the levee is 50 years.

 

At a minimum Council is seeking a right to continue to enter the licenced area (past 10 years) for the purposes of maintaining and monitoring the levee condition.  Council is also seeking a reduction or waiver of the licence fee.

 

Management is requesting that Council endorse entering into the licence agreement as it is currently drafted as a worst case position, with the understanding that negotiations with Transport for NSW may yield a more favourable licence agreement

 

The licence agreement includes an annual licence fee of $1,100, with a 3% annual increase over the 10 year licence term. This annual fee will be funded from the Levee Bank project budget.

N/A

 

The Environment

Objective: Create and maintain a functional, attractive and health promoting built environment

Outcome: We look after and maintain our community assets

 

Transport for NSW has the option to terminate for convenience at any time during the licence agreement. After 10 years the licence agreement expires and is optioned to transfer to Transport for NSW for $1 or Council has to make good to the standard on commencement of the licence.

N/A

 

Attachments  

1⇩.

Transport for NSW Licence Area Map

 

 

 

 

 

 

 

RP-12            NSW Farmers Drought Appeal - Red Cross Donation 

Author:          Darryl Woods 

Director:       Caroline Angel

         

 

Analysis:

Donation to the NSW drought appeal to support our agricultural community.

 

 

Recommendation That Council donate 50% of the income received from the Wagga Wagga Livestock Marketing Centre sheep sale of the 30 August 2018 and the cattle sale of the 3 September 2018, to the NSW Farmers Drought Appeal.

 

As the drought deepens in NSW, with 99% of the state now drought declared, it is fitting for Council to contribute to the relief effort through the Livestock Marketing Centre business as it is closely aligned with the agriculture community.

 

Management proposed that 50% of the income from the next cattle and sheep sale be donated to the NSW drought appeal through the Red Cross.  The sales in question would be the sheep sale of the 30 August 2018 and cattle sale of the 3 September 2018.

 

Red Cross is guaranteeing that 100% of donations received will go to the farmers and is an appropriate charity choice with all of the donated money going to needy farmers.  Although the initial appeal ends at the end of August 2018, due to the drought deepening it is expected that the Red Cross will extend the donation period.

 

Based on the following information relating to average sales, the estimated donation will be in the vicinity of $39,500.  The below figures are estimated amounts, as the amount per head charged is based on the weight of each animal sold:

POL 078 Donations under Section 356 of the Local Government Act 1993.

 

Community Leadership and Collaboration

Objective: We are active community members

Outcome: We recognise we all have a role to play

 

N/A

N/A

 

  

 

 

 

RP-13            LGNSW Good Governance Forum 2018: Focus on Performance

Author:          Scott Gray 

Director:       Peter Thompson

         

 

Analysis:

Councillor Rod Kendall has expressed an interest in attending the LGNSW Good Governance Forum 2018 scheduled for 29 November 2018 in Sydney. The purpose of this report is to endorse his attendance and to consider further representation from the elected body.

 

 

Recommendation That Council endorse Councillor Kendall’s attendance at the LGNSW Good Governance Forum 2018 scheduled for 29 November 2018 in Sydney.

 

Councillor Kendall has expressed an interest in attending the LGNSW Good Governance Forum 2018 scheduled for 29 November 2018 in Sydney.

 

This forum will allow local government practitioners to hear from high profile speakers who can share emerging lessons and good practice to safeguard their councils’ credibility, reputation and performance. The forum program will include the following topics and speakers:

 

·    Overview - Important information for councillors, managers and professionals with governance responsibilities in their own councils: Cr Linda Scott,  President LGNSW

·    Finance and performance – examining the lessons and insights emerging from recent performance audits of the NSW local government sector:  Margaret Crawford, NSW Auditor General

·    Internal audit – reviewing good practice and upcoming new responsibilities for councils: John Davies, Manager Governance NSW Office of Local Government

·    Shared services – addressing the challenges and developing the capability to deliver shared services: Michael Thistlethwaite, Principal Analyst NSW Audit Office & Suellen Bullock, Internal Ombudsman City of Parramatta, Cumberland & Inner West Councils

·    Reporting performance – community reporting that describes outcomes and service performance: Claudia Migotto, Assistant Auditor General

·    Corruption prevention – reviewing the lessons from recent ICAC enquiries: Lewis Rengott, Executive Director ICAC

·    Information access – understanding council responsibilities under the GIPA Act and helping the public in accessing government information: Elizabeth Tydd,  NSW Information Commissioner

·    Performance improvement – fraud prevention, conduct and performance: Todd Neal, Partner Colin Biggers & Paisley

·    Planning – identifying and eliminating corruption risks in planning practices: Dr Danny Wiggins, Planning Consultant

 

If other Councillors would like to attend then an amended motion should be moved to nominate and endorse their attendance.

 

The estimated cost for one Councillor to attend the forum is $1,100 which includes registration, flights and associated out of pocket expenses. The forum will be funded from the Councillors’ Conference budget which has $18,686 remaining as at 17 August 2018 from a budget allocation of $25,000 for the 2018/19 financial year.

POL 025 - Payment of Expenses and Provision of Facilities to Councillors.

 

Community Leadership and Collaboration

Objective: We have strong leadership

Outcome: We have leaders that represent us

 

N/A

N/A

 

Attachments  

1⇩.

Good Governance Forum 2018 Flyer