Agenda of Ordinary Council Meeting - 13 May 2019 · 5/13/2019 · 9.1 NOTICE OF MOTION: CR...

I hereby give notice that an Ordinary Meeting of Council will be held on:

Date: Monday, 13 May 2019

Time: 5pm

Location: Kyogle Council Chambers, Stratheden Street, Kyogle

AGENDA

Ordinary Council Meeting

13 May 2019

Graham Kennett

General Manager

ORDINARY COUNCIL MEETING AGENDA 13 MAY 2019

Dear Councillor,

In accordance with the provisions of the Local Government (General) Regulation 2005, you are hereby notified of the following Ordinary Council Meeting to be held at the Kyogle Council Chambers, on Monday 13 May 2019, at 5pm. DECLARATION OF PECUNIARY INTEREST Councillors and Senior Staff are reminded to consider whether a Pecuniary Interest exists in any matter on the Agenda for this Meeting or raised during the course of the Meeting. The term "Pecuniary Interest' should be extended to include possible "conflicts of interest” and immediately declared prior to discussion of the Agenda item. Where a direct or indirect pecuniary interest exists, the member must refrain from commenting on or voting on the subject matter and must leave the Chamber. BUSINESS Item 1 Apologies Item 2 Opening Prayer Item 3 Traditional Lands Acknowledgement Item 4 Declaration of Interests Item 5 Question Time Item 6 Public Access Item 7 Confirmation of Minutes Item 8 Mayoral Minute Item 9 Notices of Motion Item 10 Questions with Notice from Councillors Item 11 Reports from Delegates Item 12 Information Reports Item 13 Assets and Infrastructure Services Reports Item 14 Environmental and Planning Services Reports Item 15 General Manager’s Reports Item 16 Urgent Business Without Notice Item 17 Questions for Next Ordinary Meeting Item 18 Confidential Business Paper GRAHAM KENNETT GENERAL MANAGER


COUNCIL PRAYER

"Almighty God, Ruler of all the Nations, we ask for your blessing upon this Meeting of Council. Give us your wisdom to work in harmony and direct and prosper all that we do to the advancement of your glory and the true welfare of the People of the Council Area. AMEN

_ _ _ _ _ _ _ _ _ _ Adopted by Council on October 21, 1991. Resolution 91 /G 1159 Note: Council Policy is for the Mayor or Chairperson to lead the Council Meeting in the Prayer at the start of the first Meeting of the day. Council acknowledges that this meeting is being held on the Traditional Lands of the Bundjalung people and we acknowledge elders, both past and present. Adopted by Council on 11 December 2006. Resolution 111206/21

_ _ _ _ _ _ _ _ _ _ DISCLAIMER The advice or information contained within the Minutes enclosed with this Business Paper is given by the Council without liability or responsibility for its accuracy. Reliance cannot be placed on this advice or information until the Minutes have been duly accepted as an accurate record and confirmed by Resolution of Council. GRAHAM KENNETT GENERAL MANAGER


5.7 Question Time (Council Policy) A public Question Time session is scheduled following the Declaration of Interests as part of the Ordinary Meeting. This session allows residents to ask questions of Councillors or Management on any issue without prior notice. Each speaker has a maximum allowable time of 5 minutes. If a response to a question is not able to be provided during question time, the speaker should be requested to put their question in writing and a written response will be provided in due course and tabled at the next available Council meeting. The Chair has the right to refuse any question, to refuse to take any further questions from an individual or to cut short the session. Speakers are not to debate answers. Speakers are not to make any insulting or defamatory statements, and to take care when discussing other people’s personal information (without their consent). The maximum duration of this session is 30 minutes.

5.8 Public Access (Council Policy)

That Public Access be scheduled for all Ordinary Meetings of Council.

A maximum of 30 minutes is allowed for the Public Access segment.

Individual residents concerned about a particular issue may make application for public access and are required to register with the General Manager by phone or in writing by the close of business on the working day preceding the meeting day; and include the subject matter of the matter proposed for discussion.

The General Manager, in consultation with the Mayor will consider each application for public access on its merit.

Residents will not be granted more than one public access request each calendar year (except where the subsequent request(s) directly relate to an item on the agenda for the meeting at which public access is requested).

No more than two speakers for a subject will be permitted at any meeting.

If granted Public Access by the General Manager, the individual resident will be allowed five (5) minutes to address Council with an extension of five (5) minutes for Councillors to direct questions to the speaker.

Applicants who submit an application outside the above times will generally be refused, however, where unusual circumstances exist, the Mayor may at his/her discretion, advise the Council that a public access application has been received and Council has the option to grant public access.


Order Of Business

1 Apologies ............................................................................................................................. 9

2 Opening Prayer .................................................................................................................... 9

3 Traditional Lands Acknowledgement ................................................................................. 9

4 Declaration of Interests ....................................................................................................... 9

5 Question Time ...................................................................................................................... 9

6 Public Access ...................................................................................................................... 9

7 Confirmation of Minutes .................................................................................................... 10

7.1 Council Report - 8 April 2019 ................................................................................. 10

8 Mayoral Minute ................................................................................................................... 11

Nil

9 Notices of Motion ............................................................................................................... 12

9.1 Notice of Motion: Cr Danielle Mulholland - State Government Resumption of Council Roads ........................................................................................................ 12

9.2 Notice of Motion: Cr Robert Dwyer - Drought Communities Progam ...................... 15

10 Questions with Notice from Councillors .......................................................................... 17

10.1 Questions From The Last Council Meeting ............................................................. 17

11 Reports from Delegates..................................................................................................... 19

Nil

12 Information Reports ........................................................................................................... 20

12.1 Monthly Finance Report - April 2019 ...................................................................... 20

12.2 Works Program Progress Report - April 2019 ........................................................ 26

13 Assets and Infrastructure Reports ................................................................................... 27

13.1 Asset Management Plans ...................................................................................... 27

14 Planning and Environment Reports ................................................................................. 29

Nil

15 General Manager’s Reports .............................................................................................. 30

15.1 Local Government Remuneration Tribunal Councillor Fees.................................... 30

15.2 March 2019 Quarterly Budget Review .................................................................... 32

16 Urgent Business Without Notice ...................................................................................... 35

17 Questions for Next Ordinary Meeting ............................................................................... 35

18 Confidential Business Paper ............................................................................................ 35

Nil


1 APOLOGIES

2 OPENING PRAYER

3 TRADITIONAL LANDS ACKNOWLEDGEMENT

4 DECLARATION OF INTERESTS

5 QUESTION TIME

6 PUBLIC ACCESS

Neil Rodway, of Barkers Vale: Spraying of weeds and Council’s use of the chemical Round Up.


Item 7.1

7 CONFIRMATION OF MINUTES

7.1 COUNCIL REPORT - 8 APRIL 2019

Author: Executive Assistant

Authoriser: General Manager

Attachments: 1. Minutes 8 April 2019 Ordinary Meeting (under separate cover) ⇩

SUMMARY / PURPOSE

This report presents the minutes of the Ordinary Council meeting held on 8 April 2019 to Council for confirmation.

RECOMMENDATION

That Council confirms the minutes of the Council meeting of 8 April 2019.

CO_20190513_AGN_2127_AT_files/CO_20190513_AGN_2127_AT_Attachment_11457_1.PDF


8 MAYORAL MINUTE

Nil


Item 9.1

9 NOTICES OF MOTION

9.1 NOTICE OF MOTION: CR DANIELLE MULHOLLAND - STATE GOVERNMENT RESUMPTION OF COUNCIL ROADS

Attachments: 1. Notice of Motion ⇩

RATIONALE

Prior to the 2019 State election, the Coalition committed to taking back 15,000 kms of regional roads from local Councils. Given Kyogle Council’s limited capacity to maintain and upgrade Bentley Road, Kyogle Road and the Clarence Way within current budgetary restrictions, there is a need to transfer these key roads to the State.

However, there is an opportunity for Kyogle Council to undertake the works to an acceptable standard. The recently released freight study funded by the Northern Rivers Joint Organisation, Southern Cross University and Regional Development Australia in conjunction with industry leaders, identifies the importance of alternative freight routes, including the Clarence Way, and connecting roads, which gives impetus to this proposal.

MOTION

That Council investigate the parameters of the election promise by the Coalition to resume 15,000kms of Regional roads back from Councils, with a view to submitting for consideration Bentley Road, Kyogle Road, Clarence Way and Mount Lindesay Road, contingent on a State Government commitment to maintaining and upgrading these roads currently administered by Council, and under a suitable contractual arrangement Council delivers the works for the NSW Government.

Staff comment

The advice received by the then Minister for Roads, Maritime and Freight Melinda Pavey MP in February 2019 states;

I am writing to inform you about the NSW Nationals commitment to ... transfer more than

15,000 kilometres of Regional Roads back to the state.

…

If re-elected the NSW Nationals will:

...

Establish the pathway to transfer more than 15,000 kilometres of ‘Regional Roads’ back to

the State.

Set up an Independent Panel to liaise with stakeholders and advise the government on the

reclassification pathway.

The Independent Panel will commence in April 2019 and will include a chair and two

members who will determine the process, cost and timeline to transfer these regional roads.

…

This significant funding program will help clear council maintenance backlogs, ensure

bridges maintain connections in local communities and ensure that the regional road network

is not a burden on regional councils.

In relation to the ongoing maintenance and construction work that would still be needed on these roads were they to be transferred, the Notice of Motion would support the expansion of the contractual arrangements between Council and the Roads and Maritime Services currently in place



Item 9.1

for the Summerland Way and Bruxner Highway within the Kyogle LGA. This would maintain a continued involvement from Council in the service levels provided to our community and ensure minimal impact on Council’s workforce.


Item 9.1- Attachment 1


Item 9.2

9.2 NOTICE OF MOTION: CR ROBERT DWYER - DROUGHT COMMUNITIES PROGAM

Attachments: 1. Notice of Motion ⇩

RATIONALE

I have been approached by local drought-affected farmers who are concerned that the Kyogle Local Government Area (LGA) has not been included in Government funding programs for drought assistance. Some of these people have indicated that they have totally destocked their properties through lack of water and feed and have no other means of income, therefore they are in direct need of being able to qualify for drought relief assistance under the various government programs.

The current mapping from the Department of Primary Industries NSW shows Kyogle to be currently in intense drought conditions.

MOTION

That Council request the Minister for Agriculture and Water Resources the Honourable David Littleproud, MP, include the Kyogle Local Government Area in the Australian Government’s Drought Communities Program.

Staff comment

The Drought Communities Program Extension was announced in October 2018 with the initial list of 40 eligible councils in NSW including the adjacent Tenterfield Shire Council. The information from the Australian Government on the Drought Communities Program states;

The following Eligible Councils were selected based on the level of need, determined using rainfall deficiency data from the Bureau of Meteorology, in conjunction with population and industry data (reliance on agriculture) to assess the overall economic impact of the drought in the region.

The Government will continue to closely monitor conditions across the country as the drought continues, and in consultation with the Prime Minister, Deputy Prime Minister and Minister for Agriculture and Water Resources may consider expanding the program to reach more councils.

This would indicate that the Government is willing to consider including additional councils, as it did most recently in March 2019. There is no formal application process for including additional councils, and in this regard a letter to the appropriate Minister asking for the assessment to be specifically reconsidered for the Kyogle LGA would seem to be a reasonable request.

A copy of the program guidelines and more information on the Drought Communities Program can be found here; https://www.business.gov.au/assistance/drought-community-support-initiative

https://www.business.gov.au/assistance/drought-community-support-initiative



Item 10.1

10 QUESTIONS WITH NOTICE FROM COUNCILLORS

10.1 QUESTIONS FROM THE LAST COUNCIL MEETING

Author: General Manager


Attachments: Nil

The following question on notice was received from Councillors John Burley, Lindsay Passfield, Robert Dwyer and Danielle Mulholland.

Question Cr John Burley

Would it be possible to get a follow up on what’s happening at Toonumbar Dam?

Response

Council staff have been assisting WaterNSW to prepare a business case to support a $660,000 investment that would see the facilities at Toonumbar Waters Retreat upgraded to allow for lease to a third party operator. Council has been advised that WaterNSW has lodged an application in April 2019 under the NSW Government’s Environment and Tourism Fund for this project. There is also still an application pending under the NSW Government’s NSW Boating Now program for improvements to the boat ramp and reinstatement of the pontoon at the Bells Bay camp grounds which Council staff have also been assisting with since the completion of the new amenities. Council staff continue to liaise with staff from WaterNSW in relation to the progress of these proposals, however at this stage there has been no confirmation of the success of these funding applications.

Question Cr Lindsay Passfield

Local Government Weekly on 5 April advised that councils will be required to take over the inspection of underground petroleum storage. This is another cost shifting exercise. Do we have the expertise or the manpower to do this? Is this going to happen?

Response

Council will be responsible for regulating sites with an underground petroleum storage system in their local areas from 1 September 2019. This will mainly consist of service stations. The EPA is currently preparing a package for local councils to build capacity and assist with the transition. This package will include guidance materials on UPSS management, a training program for council officers and template materials. It is easy to see that this could be considered another form of cost shifting from state to local government. As with many of the range of responsibilities of Council, there will be a need to prioritise the additional tasks required as a result of this change within the existing resources at its disposal.

Question Cr John Robert Dwyer

Of the seven trees planted in front of the outdoor gymnasium on Anzac Drive just one remains. Are the trees going to be replanted?

Response

Yes, the trees will be replanted.

Question Cr Danielle Mulholland

The intersection of road leading up to the Bonalbo MPS and the Clarence Way is very rough road, does Council have any capacity to address that?


Item 10.1

Response

Council has submitted a formal request with the Health NSW projects team for the Council- controlled section of Hospital Lane in Bonalbo to be restored following the recent construction work with the Bonalbo MPS. Officers from Health NSW have since inspected the road in question and Council is awaiting advice on the proposed restoration works.

RECOMMENDATION

That Council receives and notes the report, Questions From The Last Council Meeting.


11 REPORTS FROM DELEGATES

Nil


Item 12.1

12 INFORMATION REPORTS

12.1 MONTHLY FINANCE REPORT - APRIL 2019

Author: Manager Financial Services


Attachments: 1. Finance Report - April 2019 ⇩

SUMMARY / PURPOSE

This report presents financial reports to Council for information.

BACKGROUND INFORMATION

Legislative Requirements

Clause 212 of the Local Government (General) Regulation 2005 states that:

(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.

REPORT

The following information is presented for information only.

(A) Finance Reports

Summary reports outlining Council’s financial position. The reports presented include:

• Rates Statement and Graph

• Statement of Bank Balances

• Summary of Investments

It should be noted that these reports do not include accounting adjustments to be brought to account on an annual basis. The reports also remain unaudited as at the date of presentation to Council.

(B) Councillors Travel Expenses Report

Included as an attachment to this report is a schedule showing payments to Councillors for travel claims made during the month. As stated in the notes, some Councillors may have outstanding claims that cover more than one period.

RECOMMENDATION

That Council receives and notes the information contained in the Monthly Finance Report – April 2019.




Kyogle Council

Financial Reports

30 April 2019

Rates Statement

Statement of Bank Balances

Summary of Investments

Councillor Travel

NOTE: All Financial Data presented is unaudited at the date of

presentation to Council



KYOGLE COUNCIL RATES STATEMENT AS AT 30 APRIL 2019NET OUTSTANDING % TOTAL % ARREARS

ARREARS CHARGES PAYMENTS BALANCE ARREARS COLLECTED COLLECTED

1-Jul-2018 2018/2019 30/04/2019 30/04/2019 incl. ARREARS 2018-2019

RATES,

SERVICES AND

INTEREST 701,938.57 11,075,875.65 8,902,002.87 2,875,811.35 283,672.85 75.58% 59.59%

PRESENTED TO COUNCIL MAY 2019

Note:

Some ratepayers have made arrangements, whilst others are at different stages of legal action.

0%

10%

20%

30%

JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN

Month

Rate Collections Analysis% Collected Each Month

2015-2016

2016-2017

2017-2018

2018-2019



Fund Closing Balance

General Fund

Unrestricted 1,619,359.49

Internally Restricted 4,125,373.00

State Highways 878,425.18

Quarries 1,033,080.88

Plant 1,545,156.21

Externally Restricted 323,090.17

Total General Fund 9,524,484.93

Restricted

Water Supplies 416,886.38

Sewerage Systems 82,927.61

Domestic Waste (158,720.77)

Trust Fund 39,672.05

Total Restricted 380,765.27

Total Consolidated Funds at Bank 9,905,250.20

Kyogle Council

STATEMENT OF FUND BALANCES as at

30-Apr-19



Institution

Investment

Type

Investment

Date

Maturity

Date Interest Type

Interest

Frequency

Interest

rate

Investment

Amount

% of

Portfolio

CBA On Call At Call At Call Variable Monthly 1,905,250.20 19.23%

Total Cash at Call 1,905,250.20 19.23%

CBA Term Deposit 14-Feb-19 02-May-19 Fixed Maturity 1.80% 1,000,000.00 10.10%

NAB Term Deposit 21-Feb-19 09-May-19 Fixed Maturity 2.45% 1,000,000.00 10.10%

NAB Term Deposit 28-Feb-19 16-May-19 Fixed Maturity 2.40% 1,000,000.00 10.10%

Bankwest Term Deposit 07-Mar-19 23-May-19 Fixed Maturity 2.45% 1,000,000.00 10.10%

Bankwest Term Deposit 14-Mar-19 30-May-19 Fixed Maturity 2.45% 1,000,000.00 10.10%

Suncorp Term Deposit 21-Mar-19 06-Jun-19 Fixed Maturity 2.37% 1,000,000.00 10.10%

Bankwest Term Deposit 28-Mar-19 20-Jun-19 Fixed Maturity 2.35% 1,000,000.00 10.10%

CBA Term Deposit 11-Apr-19 27-Jun-19 Fixed Maturity 2.20% 1,000,000.00 10.10%

Total Cash at Call 8,000,000.00 80.77%

Total Investment Portfolio $9,905,250.20

I hereby certify that the above investments have been made in accordance with section 625 of the Local Government

Act, 1993, the Local Government ( General ) Regulation 2005 and Councils Investment Policy.

Glenn Rose Responsible Accounting Officer

KYOGLE COUNCIL FINANCIAL ANALYSIS REPORT AS AT 30/04/2019

$1,905,250.2019%

$8,000,000.0081%

Investments Graph

On Call

Term Deposit



.

Councillor Current Rate

Name Apr-19 YTD per Kilometre Apr-19 YTD

K. Thomas 0 0 $0.78 $0.00 $0.00

H. Doolan 0 0 $0.78 $0.00 $0.00

J. Wilson 0 0 $0.78 $0.00 $0.00

J. Burley 0 2,693 $0.68 $0.00 $1,831.24

R. Dwyer 0 0 $0.78 $0.00 $0.00

D. Mulholland 0 9,988 $0.78 $0.00 $7,790.64

L. Passfield 1,168 5,950 $0.78/$0.68 $837.64 $4,242.62

M. May 0 0 $0.78 $0.00 $0.00

E. Grundy 0 8,678 $0.78 $0.00 $6,768.84

Total 1,168 27,309 $837.64 $20,633.34

Notes(1) The above figures represent amounts actually paid.

(2) The amounts paid in the current month will relate to claims for travel in

prior months

(3) Some councillors may have claims outstanding for more than one month.

COUNCILLORS TRAVEL EXPENSES

Apr-19

Kilometres Claimed Amount Reimbursed


Item 12.2

12.2 WORKS PROGRAM PROGRESS REPORT - APRIL 2019



Attachments: 1. Works Program Progress Report - April 2019 (under separate cover)

SUMMARY / PURPOSE

This report provides an update on the progress of Council's Capital Works Program, Plant Replacement Program, Quarry Operations, and RMS Ordered Works for the information of Council.


This report is intended to present to Council information on progress of the implementation of the annual works programs across all departments of Council, as well as the performance of the quarry and State Highway's operations.

REPORT

The report is provided as a separate attachment covering four main areas;

1. Capital Works Report This section of the reports shows all capital works projects and provides a brief status report and expenditure year to date for each project, including any external funding which applies.

2. Plant Acquisition and Sales This section of the reports shows the plant replacement program and the year to date income and expenditure associated with the program.

3. State Highways Ordered Works This section of the reports shows the status of the Ordered Works under the Roads and Maritime Road Maintenance Council Contract (RMS RMCC) which is included in the State Highways budget area. The report shows each approved Works Order and the approved income and expenditure year to date.

4. Quarries Report This section of the reports shows the income and expenditure for each of the four operational quarries for the year to date, including stock on hand and a brief description of current activities relating to quarries.

BUDGET AND FINANCIAL IMPLICATIONS

This report is provided for information only and any budgetary issues that may be identified as a result of these reports will be dealt with during the regular quarterly budget review process.

RECOMMENDATION

That Council receives and notes the information contained in the report, Works Program Progress Report – April 2019.



Item 13.1

13 ASSETS AND INFRASTRUCTURE REPORTS

13.1 ASSET MANAGEMENT PLANS

Author: Assets and Design Coordinator

Authoriser:

Attachments: 1. Roads Asset Management Plan 2018 (under separate cover) 2. Bridges Asset Management Plan 2018 (under separate cover) 3. Buildings Asset Management Plan 2018 (under separate cover) 4. Sewer Asset Management Plan 2018 (under separate cover) 5. Water Asset Management Plan 2018 (under separate cover) 6. Stormwater Asset Management Plan 2018 (under separate cover)

SUMMARY / PURPOSE

This report presents to Council the latest suite of Asset Management Plans (AMPs) covering Council’s $526 million asset inventory.


Council’s asset management documentation exists to demonstrate responsible management of assets, compliance with regulatory requirements and to communicate funding needed to provide the required levels of service. These plans are required as part of the NSW Governments mandatory Integrated Planning and Reporting (IP&R) requirements.

Council’s asset management documentation was last reviewed and adopted back in 2012 and included:

Council’s Asset Management Policy

Council’s Asset Management Strategy

Council’s Core Infrastructure Risk Management Plan

Eight Asset Management Plans

This report provides updated Asset Management Plans for Council’s asset inventory which consists of:

$257 million worth of Road Assets

$127 million worth of Bridge Assets

$39 million worth of Building Assets

$33 million worth of Sewer Assets

$32 million worth of Water Assets, and

$28 million worth of Stormwater Assets

Council’s Asset Management Policy, Asset Management Strategy and Core Infrastructure Risk Management Plan will be reviewed and updated once the revised AMPs have been adopted by Council. This is expected to occur within two months of adoption of the AMPs.

REPORT

This edition of the Asset Management Plans compare Council’s revised Long Term Financial Plan as adopted in June 2018 with the asset registers and audited financial statements for the financial year ending June 30, 2018. The asset management plans provide a detailed ‘health check’ of Council’s backlog, renewal and upgrade ambitions, versus the theoretical renewal needs of each different type of asset and the current projected operational and capital expenditure levels included in the LTFP.

There were two structural changes to the plans to ensure alignment with Council’s asset management systems:








Item 13.1

1. The previous ‘Transport Asset Management Plan’ has been split into the ‘Bridges Asset Management Plan’ and the ‘Roads Asset Management Plan’, and

2. The ‘Waste Management Asset Management Plan’, ‘Plant Equipment and Emergency Services Asset Management Plan’ and ‘Parks and Reserves Asset Management Plan’ were added to the ‘Buildings Asset Management Plan’ which now covers all of Councils buildings, parks, gardens, waste facilities, pools and other structures

Since the Asset Management Plans focus on fixed, long-term infrastructure, mobile plant has now been removed from the Asset Management Plans, as this is managed as an operational function through the plant and depot functional area.


The plans indicate that Council’s current renewal plans for roads and bridges are on target to eliminate their respective backlogs as planned, whilst ensuring that there aren’t further assets added to their backlogs. However, for buildings, sewer, water and stormwater, there are theoretical shortfalls over the next ten years as below:

Buildings: $5.93 million of unfunded renewals

Sewer: $1.33 million of unfunded renewals

Water: $0.36 million of unfunded renewals and

Stormwater: $0.14 million of unfunded renewals

There are a range of reasons as to why a theoretical shortfall has been identified for each of these four asset classes. These reasons are described within the respective plans, along with proposed recommendations for dealing with each. These include calls for increases in the level of renewal funding from the levels included in the June 2018 LTFP, and consideration of asset accounting and management improvements to ensure that the theoretical fending levels projected a true reflection of the renewal costs of the assets involved.

As part of the review of the LTFP leading up to the draft Operational Plan and Delivery Program currently on public display, the following changes were made that relate to the issues identified in these AMPs;

Renewal funding for water was increased by $167,000 over the next 10 years

Funding for the new Tabulam water supply was included based on 75% grant funding

Renewal funding for sewer was increased by $437,000 over the next 10 years

Funding for the new sewerage schemes for Tabulam/Wiangaree/Mallanganee was brought forward to allow delivery between 2019/20 and 2025/26 based on 75% grant funding

RECOMMENDATION

That Council;

1. Receives and notes the report, Asset Management Plans.

2. Adopts the Roads Asset Management Plan 2018, Bridges Asset Management Plan 2018, Buildings Asset Management Plan 2018, Sewer Asset Management Plan 2018, Water Asset Management Plan 2018 and Stormwater Asset Management Plan 2018 as per the draft documents provided in the attachments to this report.


14 PLANNING AND ENVIRONMENT REPORTS

Nil


Item 15.1

15 GENERAL MANAGER’S REPORTS

15.1 LOCAL GOVERNMENT REMUNERATION TRIBUNAL COUNCILLOR FEES

Author: Manager Corporate Services


Attachments: 1. Local Government Remuneration Tribunal Annual Report - 2019 (under separate cover)

SUMMARY / PURPOSE

This report seeks a determination of the level of Councillor Remuneration for the 2019/2020 financial year.

REPORT

The Local Government Remuneration Tribunal (the tribunal) sets the range of fees for all Councillors and Mayors in NSW each year for each category of council. The tribunal has determined that an increase of 2.5% in fees for Councillors and Mayors as appropriate with effect from 1 July 2019. Sections 248 and 249 of the Local Government Act require councils to fix and pay an annual fee based on the tribunal's determination. If Council does not fix a fee, then the minimum must be paid. Kyogle Council is defined as a Rural Council. The Local Government Remuneration Tribunal has determined minimum and maximum fees for Kyogle Council for 2019/2020 as follows:

Minimum Maximum

Councillor Annual Fee $9,190 $12,160

Mayoral Fee $9,780 $26,530

Previously, it has been proposed that consideration be given to an additional fee for the Deputy Mayor. This matter was addressed by the Local Government Remuneration Tribunal in its 2018 report as follows;

Councils have raised the matter of separate fees for deputy mayors on previous occasions and the Tribunal notes that it has previously determined that there is no provision in the LG Act to empower the Tribunal to determine a separate fee or fee increase for deputy mayors. The method for determining separate fees, if any, for a deputy mayor is provided in section 249 of the LG Act as follows:

(5) A council may pay the deputy mayor (if there is one) a fee determined by the council for such time as the deputy mayor acts in the office of the mayor. The amount of the fee so paid must be deducted from the mayor’s annual fee.


There is an annual budget allocation for Councillor Fees that is sufficient to cover the $135,970 for the maximum Mayoral and Councillor Annual Fees. Any reduction in the maximum fee would result in a budget saving that could be utilised elsewhere. Adopting the minimum fees would result in a $43,480 saving to the budget.



Item 15.1

RECOMMENDATION

That Council:

1. Receives and notes the report, Local Government Remuneration Tribunal Councillor Fees.

2. Adopts the following Councillor and Mayoral fees for 2019/2020:

Councillor Annual Fee: $12,160

Mayoral Fee: $26,530


15.2 MARCH 2019 QUARTERLY BUDGET REVIEW



Attachments: 1. Quarterly Budget Review for the Period 1 January 2019 to 31 March 2019 (under separate cover)

SUMMARY / PURPOSE

This report arises out of the statutory requirement to conduct a review of Council's budget following the close of each quarter.


Legislative Requirements

Clause 203 of the Local Government (General) Regulation 2005 requires that:

(1) Not later than two months after the end of each quarter, the responsible accounting officer of a council must prepare and submit to the council a budget review statement that shows, by reference to the estimate of income and expenditure set out in the management plan that the council has adopted for the relevant year, a revised estimate of the income and expenditure for that year.

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

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

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

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

Section 407 of the Local Government Act 1993 which previously required the General Manager to report to Council on the extent which performance targets set by the Management Plan have been achieved during that quarter has been repealed.

REPORT

A quarterly budget review should act as a barometer of council’s financial health during the year.

It needs to adequately disclose council’s overall financial position, provide sufficient information to enable informed decision making while ensuring transparency in decision making.

It is also a means by which councillors can ensure that council remains on track to meet its objectives, targets and outcomes as set out in its management plan/operational plan.

The Division has developed a set of minimum requirements and sample templates to assist councils in meeting their obligations as set out in legislation. The templates will facilitate progress reporting against the original and revised annual budgets at the end of a quarter.

The budget review documentation provided to Council consists of the Quarterly Budget Review Statement (QBRS) as prescribed by the Office of Local Government and a Statement by the responsible accounting officer on council’s financial position at the end of the year based on the information in the QBRS which includes;

Budget Review Income and Expenses Statement

Budget Review Capital Budget

Budget Review Cash and Investments position

Budget Review Key Performance Indicators

A summary of bank account balances is also attached to the Budget review report.



Conclusion:

The revised financial position of Council is considered to be satisfactory.


The proposed budget review represents a net improvement of $774,290 in the 2018/19 financial year. It should be noted that the proposed changes will also impact on the 2019/20 budget due to the deferral of costs associated with borrowings. The current 2018/19 budget includes $151,665 in interest payments, and $433,668 of principal repayments associated with the $5million loan included in the original budget. As this loan will not be taken out until later in the financial year, these borrowing costs will not be incurred until the 2019/20 financial year. These costs are effectively being deferred by 12 months. After this is taken into account, the overall improvement in the budget is $188,957.

The deferral of these borrowing costs will require an adjustment to the Long Term Financial Plan. This will be taken into account as part of the finalisation of the Operational Plan and Delivery Program that are currently on public display. This is not expected to change the operational budgets or capital works programs included in the draft Operational Plan and Delivery Program.

RECOMMENDATION

That Council: 1. Receives and notes the March 2019 Quarterly Budget Review Statement. 2. Approves the variation of estimates contained in the table below:

STATEMENT OF SIGNIFICANT VARIANCES

MARCH QUARTER BUDGET REVIEW

DETAILS QUARTERLY ADJUSTMENT

INCOME EXPENSES

Governance - Employment 4,000

Governance - Legal Expenses 15,000

Governance - NRJO Fees (29,000)

Administration - Office Expenses 60,000

Administration - Office Equipment (60,000)

Personnel - Employment (60,000)

Personnel - Tools, Clothing & Signage 40,000

Finance - Interest Expense (151,665)

Finance - Loan Repayments (433,668)

Town Planning - Employment (41,000)

Environmental Health - Employment 37,000

Other Waste Management - Waste Charges 64,000

Other Waste Management - Depot Costs 64,000

Strategic & Community Services - Art Gallery other 5,000

Strategic & Community Services - Strategic Employment 3,000

Strategic & Community Services - Strategic Other (16,000)

Public Libraries - Contributions 37,502

Public Libraries - Operating Costs 5,300

Regional Roads - Operating Costs MR 141 30,000


Regional Roads - Capital Expenditure MR 361 90,000

Regional Roads - Capital Expenditure MR 622 (50,000)

Urban Roads - Street Lighting Subsidy 2,000

Urban Roads - Street Lighting Expenses 44,000

Urban Roads - Operating Costs Mallanganee (5,000)

Urban Roads - Operating Costs Wiangaree 5,000

Urban Roads - Capital Expenditure (104,000)

Rural Local Roads - Sealed Roads Maintenance 250,000

Rural Local Roads - Unsealed Roads Maintenance (90,000)

Rural Local Roads - Grants 20,000

Rural Local Roads - Capital Expenditure (12,746)

Bridges - Capital Expenditure 142,600

Emergency Services - Tabulam Fire Income 251,605

Emergency Services - Tabulam Fire Expenses 251,605

Emergency Services - Emergency Management 15,000

Swimming Pools - Operating Costs Kyogle 20,000

Community Buildings - Council Chambers 20,000

Community Buildings - Other (10,000)

Community Buildings - Crown Reserves (1,922)

Public Cemeteries - Operating Costs Kyogle (10,000)

Stormwater - Grants 8,000

Stormwater - Capital Expenditure 132,000

AIS Administration - Road Survey & Design (10,000)

AIS Administration - Recoveries (20,640)

State Highways - Operating Revenue 2,522,389

State Highways - Operating Costs 2,225,715

Quarries - Revenue 620,000

Quarries - Operating Costs 260,000

Plant - Income 500,000

Plant - Other (26,623)

Plant - Maintenance 300,000

Plant - Stores (20,000)

Plant - Purchases 130,000

Water - Rates & User Charges 43,000

Water - Management Costs 59,000

Water - Mains Maintenance 40,000

Water - Raw Water Treatment (30,000)

Water - Reservoir Maintenance 15,000

Water - Capital Expenditure (41,000)

Sewer - Mains Maintenance 50,000

Sewer - Pump Stations Maintenance (25,000)

Sewer - Treatment Costs (15,000)

Sewer - Capital Expenditure 32,000

Domestic Waste Management - Contractors 84,000

Totals 4,004,371 3,230,081

Net Adjustment 774,290


16 URGENT BUSINESS WITHOUT NOTICE

17 QUESTIONS FOR NEXT ORDINARY MEETING

18 CONFIDENTIAL BUSINESS PAPER

Nil

Agenda of Ordinary Council Meeting - 13 May 2019 · 5/13/2019 · 9.1 NOTICE OF MOTION: CR...

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