ITEM
1 - APPLICATIONS FOR LEAVE OF ABSENCE
REPORT IN
BRIEF
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Reason For Report
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To allow tendering of apologies
for councillors not present.
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Policy Implications
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Nil
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Budget Implications
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Nil
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IPR Linkage
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4.5.1.g - Code of Meeting
Practice adopted and implemented.
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Annexures
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Nil
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File Number
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\OFFICIAL RECORDS
LIBRARY\GOVERNANCE\COUNCIL MEETINGS\COUNCIL - COUNCILLORS LEAVE OF ABSENCE -
921616
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Recommendation
THAT any apologies tendered be
accepted and the necessary leave of absence be granted.
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General Manager's REPORT
A call for apologies is to be
made.
ITEM
2 - DECLARATIONS OF INTEREST
REPORT IN
BRIEF
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Reason For Report
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To allow an opportunity for
councillors to declare an interest in any items to be determined at this
meeting.
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Policy Implications
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Nil
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Budget Implications
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Nil
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IPR Linkage
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4.5.1.g - Code of Meeting
Practice adopted and implemented.
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Annexures
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Nil
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File Number
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\OFFICIAL RECORDS
LIBRARY\GOVERNANCE\COUNCIL MEETINGS\COUNCIL - COUNCILLORS AND STAFF
DECLARATION OF INTEREST - 2018 - 921617
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Recommendation
THAT the Declarations of
Interest be noted.
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General Manager's REPORT
A call for Declarations of
Interest.
ITEM
3 - DECLARATIONS FOR POLITICAL DONATIONS
REPORT IN
BRIEF
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Reason For Report
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To allow an opportunity for
Councillors to declare any Political Donations received.
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Policy Implications
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Nil
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Budget Implications
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Nil
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IPR Linkage
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4.5.1.g - Code of Meeting
Practice adopted and implemented.
|
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Annexures
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Nil
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File Number
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\OFFICIAL RECORDS
LIBRARY\GOVERNANCE\COUNCIL MEETINGS\COUNCIL - COUNCILLORS DECLARATION OF
POLITICAL DONATIONS - 921618
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Recommendation
THAT any Political Donations be
noted.
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General Manager's REPORT
A call for declarations of any
Political Donations.
ITEM 4 - 2018/2019 INTEGRATED
PLANNING AND REPORTING
REPORT IN BRIEF
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Reason For Report
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To present the
Integrated Planning and Reporting documents for adoption and to advise
Council on key issues relating to these documents.
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Policy Implications
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Consistent with Council Policies and incorporates the
requirements of NSW government Integrated Planning and Reporting regulations.
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Budget
Implications
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Provides funds for the operation of Council and ensures
its financial sustainability.
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IPR Linkage
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4.5.5.j
Provide, maintain and develop financial services and systems to accepted
standards - satisfying regulatory and customer requirements
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Annexures
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1. Draft Budget 2018⇩
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File Number
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\OFFICIAL
RECORDS LIBRARY\CORPORATE MANAGEMENT\PLANNING\INTEGRATED PLANNING AND
REPORTING 2018-2019 - 921745
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Recommendation
THAT Council:
1. Adopt
the Draft Delivery Program 2018/19 – 2019/20.
2. Adopt the Draft Operational Plan 2018/2019.
Part
1 - The activities
Part
2 - The Financials including Fees and Charges
3. Adopt
the Draft Resource Strategy which includes:
The
Long Term Financial Plan.
The
Workforce Management Plan.
The
Asset Management Plans.
4. Publicly
exhibit the Community Strategic Plan – Cabonne 2025, the Draft Delivery
Program 2018/19 to 2020/21, the Draft Operational Plan 2018/19 and the Draft
Resourcing Strategy, for a period of 28 days from Friday 11 May 2018.
5. Adopt
an interest rate equivalent to the maximum allowable percentage allowed by
the Office of Local Government for the 2018/19 financial year to be charged
on arrears of Rates and Charges.
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Director of Finance and Corporate
Services' REPORT
Council’s Integrated
Planning and Reporting for 2018/19 includes:
· The
Community Strategic Plan – Cabonne 2025. This has not changed.
· The
Draft Delivery Program 2018/19 – 2020/21
· The
Draft Operational Plan 2018/19
Part
1 – The Activities
Part
2 – Financials including Fees and Charges
· The
Draft Resourcing Strategy, which is comprised of:
The
Long Term Financial Plan (LTFP)
The
Workforce Management Plan
Draft
Asset Management Plans for Buildings, Open Spaces, Water, Sewer and Transport
Community Strategic Plan
Under section
402 of the Local Government Act each Local Government area is required to have
a Community Strategic Plan (CSP) that has been developed and adopted by the
Council. The CSP is a plan which identifies the priorities and aspirations of
the community for a period of at least ten years into the future.
The Cabonne CSP
“Cabonne 2025” was originally adopted by Council in March 2012.
This plan was re-adopted in June 2013 as required by the Act. The plan does not
need to be reviewed again until after the next Local Government elections which
are scheduled for September 2020.
Council has
decided that the current CSP reflects the priorities and aspirations of the
community and consequently has decided not to change it. However it will be
included in the public exhibition phase to enable stakeholders to see how it
relates to the Delivery Program and Operational Plan.
Delivery
Program
Section 404 of
the Local Government Act requires each council to have a Delivery Program
detailing the principle activities to be undertaken by the council. These
activities are aligned with the strategies contained in the CSP and obtainable
within the resources available from the resourcing strategy.
A new program
has been developed for the three year period from 1 July 2018 to 30 June 2021.
The program is a means by which council will be assessed by the community on
its effectiveness in achieving its objectives over its full electoral term.
The Delivery
Program is linked to the strategies of the CSP.
Operational
Plan & Budget
The Council is
required to have an Operational Plan which is adopted prior to the beginning of
each financial year and which details the activities to be engaged in by
Council during the year. The actions in the Operational Plan are aligned to
those in the first year of the Delivery Program and are funded by the dollars
allocated in the budget.
Council’s
budgeted operating income is $50 million made up of Rates and Annual Charges of
$14 million, Capital Grants of $18 million, Operating Grants of $7.6 million
and User Charges of $8.7 million.
Operating
expenditure is $35 million, which includes $10.6 million of depreciation.
Capital expenditure is $30 million which is made up of $20.5 million in General
and $9.5 million in the Water Fund.
The budget is
partially relying on a net amount of $3.1 million funding from reserves. This
is fine and that is what the reserves are there for. However it must be
remembered that the reserves are a finite resource and future budgets cannot
necessarily rely on these reserves always being there. Hence the LTFP does not
include transfers from reserves as a funding source in future years.
Rates and
Annual Charges
Rates will
increase by the rate cap limit of 2.3% equating to an increased collection of
$236,000. The water and sewer access charges will increase by 2% and the Waste
and Recycling bin collection service will increase by 6% or $21.20, mainly due
to an increased charge for recycling.
Capital Works
The major
capital works projects are the Finalisation of the Molong to Cumnock and Yeoval
water project at a cost of $9.4 million, Stronger Country Community Grant
projects valued at $2.1 million, Plant purchases of $3.4 million, Puzzle Flat
Creek Levee costing $2.4 million, Local Roads construction costing $6 million,
Construction of Banjo Paterson Way for $4.5 million and resealing of other
Regional Roads at a cost of $0.7 million.
Council will
continue to implement the village enhancement plans during 2018/19 which were
budgeted for in the 2017/18 budget.
Operations
– Roads and Bridges
The 2017/18
roads and bridges program of $11.9 million undertaken by Council will be
completed on schedule. This will have been achieved through a mix of council
day labour staff and specialist contractors.
There will be a
similar approach in 2018/19, particularly for works such as heavy patching of
sealed rural roads and gravel resheeting of unsealed roads. It is planned to
continue best practice work methods for unsealed roads maintenance as this has
been well received by road users in the Council area.
Gross
operational and capital spending in this area will be $20.6 million, although
after funding has been received the net cost to Council will be $6.8 million.
Plant and
Depots
Council’s
policy of maintaining a fully funded major plant replacement fund has resulted
in Cabonne Council having one of the most modern and best equipped heavy road
making plant of any council in NSW.
Council staff
use a ten year plant replacement program for financial management and review of
the charge out rates. The budget for replacement of major plant items for
2018/19 is $3.4 million and includes backhoes, graders and medium sized trucks.
Urban
Services
This area in the
IP&R reports includes a wide variety of activities and services associated
with urban areas throughout the Cabonne LGA and includes:
· Footpaths, drainage and kerb & gutter maintenance,
· Public areas such as parks, gardens, reserves and showgrounds, and
· Town beautification activities such as mowing, tree maintenance,
street cleaning and the provision of public toilets.
·
Council has
budgeted to spend $1.27 million in maintenance across these areas in 2018/19.
Major Capital works include the completion of the Village Enhancement Plans for
which $2 million was budgeted in 2017/18, and the irrigation of Molong Sports
Ground at a cost of $81,000.
Waste
Management
Domestic Waste
Management and Recycling continue to be key priorities for Council.
A ten year
contract with JR Richards for kerbside waste and recycling commenced in April
2016 but has had to be significantly increased in this budget to cater for the
collapse of the recycling market due to China no longer taking material.
Consequently this
has resulted in a $45,000 increase in the cost of the contract which has been
passed on to the consumer by increasing the levy by a further $13 per customer
in addition to the $8.20 increase already budgeted for.
Development,
Building and Health Controls
The draft
IP&R documents focus on providing a compliant yet facilitative level of
service to the community with respect to development assessment, building
control, strategic planning and health inspections. The combined net cost of
these functions has been budgeted to be $533,000 for 2018/19.
Cemetery
Management
Council
maintains eleven cemeteries. All cemeteries are maintained on a regular basis
with seasonal programs to control weeds and pests. The budgeted net cost to
council of this service for 2018/19 is $157,000.
Significant
capital works totaling $130,000 are included in this budget. These works
include upgrading internal driveways and pathways at Canowindra, purchase of
land and additional beams at Molong and maintenance of trees at all cemeteries.
Animal
Control
As in past years
an allocation to fund a full time ranger has been budgeted for enabling a
consistent and high profile program. Stray stock and barking dogs remain the
core response. The construction of a new animal shelter at Molong at a cost of
$17,000 has also been budgeted for.
Heritage
This budget
allows for the continuation of an annual heritage grants program and provision
of the heritage advisory service.
Libraries
Council operates
a library service in Molong, Manildra and Canowindra at a net cost of $348,000.
In the past this service has been operated by Central West Libraries. The
service will now be provided via a direct agreement with Orange City Council.
The construction
of the new Molong library, funds for which will be carried forward from
2017/18, and the State Library NSW has extended funding which will occur in
this budget year.
Swimming
Pools
Council operates
seven swimming pools across the shire at a cost of $713,000. Maintenance
upgrades focusing on improving safety will continue to be implemented.
Caravan Parks
Council operates
caravan parks at Molong, Canowindra and Cudal. Gross operational spending has
been budgeted at $264,000, offset by income of $150,000, leaving a net cost to
Council of $114,000. Fees have been set at $23 per night for a powered site or
$45 for three nights in any of the caravan parks. These are important
facilities for attracting tourists to the shire.
Water
The Water Fund
has budgeted to make a cash surplus of $224,000. This surplus will be
transferred to the water reserve and consequently can only be spent on water
projects in future years. Total Income will be $10.8 million, $9.4 million for
the construction of the Molong to Cumnock pipeline and $1.3 million from water
charges.
Sewer
The Sewer Fund
has budgeted for a surplus of $250,000 and the Small Town Sewer Fund has
budgeted for a surplus of $287,000. These amounts will be transferred to the
Sewer reserve and consequently can only be spent on sewer projects in future
years.
It is an
important turnaround for these funds as they have not delivered a surplus in
recent years.
Resourcing
Strategy
Council must
also have a resourcing strategy for the provision of resources required to
implement the strategies in the CSP. The strategy is comprised of the Long Term
Financial Plan (LTFP). The Workforce Management Plan (WMP) and Asset Management
Plans (AMPs) for the various classes of assets.
The LTFP shows
how Council’s operations will be funded into the future. Its base case
assumes that Council’s income and operational spending is expected to be
stable with rates, annual charges and CPI increasing at 2%, CPI and wages
increasing at 2.75%.
It shows that
Council is financially viable in the long term given expected events. There
will be challenges into the future because Council will be reliant on Capital
Grant Funding to fund its capital works program.
There are also
two scenarios. Scenario 1 allows for much larger increases in Council’s
Water and Sewer fund Annual charges. This makes the funds more viable and
allows for more capital spending.
Scenario 2
assumes that Council will not receive grant funding of an estimated $1 million
for the next ten years, and that staff costs will increase by 1% above the 2.5%
award. This shows that cash reserves will drop by about $10 million over ten
years.
Capital spending
will vary according to the AMPs, but is shown to be relatively consistent.
The WMP, is a
three year document which highlights Council’s labour needs into the
future and how it will best meet them. Three of the main strategic issues
addressed are the aging workforce, growing talent and ensuring that staff are
adequately trained.
The AMP’s
show what Council needs to do in the future to maintain and expand or reduce
its various classes of assets depending on the strategic needs of Council.
These are funded by the LTFP.
Exhibition
Under sections
403 and 405 of the Local Government Act it is necessary to give public notice
of its intended adoption of its Draft Delivery Program and Operational Plan.
Council is not legislatively required to place its resourcing strategy on
exhibition but it is good practice to do so.
It is proposed
that the draft plans be placed on exhibition from Friday 11 May to Friday 8
June at the following locations:
· Council’s website www.cabonne.nsw.gov.au
· Council’s office’s in Molong, Cudal and Canowindra
· The General Store in Cargo
· The Business Enterprise Centre in Orange
· Branch Libraries in Canowindra, Manildra and Molong
The public are
invited to make submissions during this time. Any submissions will be
considered at a special meeting of Council to be held on Tuesday 12 June.
Conclusion
These IP&R
documents will give the Council direction in pursuit of its objectives and play
a major role in ensuring its long term financial viability.
They have been
developed to align with the needs of the Cabonne community front of mind while
still considering Council’s ability to fund its activities.
Copies of the
documents have been made available to councillors on their I Pads under Council
Documents/IP&R.
ITEM 5 - NOTICE OF MOTION -
ORANGE REGIONAL TOURISM LIMITED
REPORT IN BRIEF
|
Reason For Report
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For Council to
consider a notice of motion lodged by Councillor Davison.
|
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Policy Implications
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Nil
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Budget Implications
|
Nil
|
|
IPR Linkage
|
4.5.1.a. Provide quality
administrative support and governance to councillors and residents
|
|
Annexures
|
Nil
|
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File Number
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\OFFICIAL
RECORDS LIBRARY\COMMUNITY RELATIONS\MARKETING\BRAND ORANGE - 923574
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Recommendation
THAT the
Notices of Motion be dealt with.
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General Manager's REPORT
A Notice of Motion has been
received from Councillor Davison as follows:-
I the
undersigned Councillor hereby give notice of my intention to rescind the
following motion resolved at the Extraordinary Council meeting held 8 August
2017:-
“ITEM
– 4 ORANGE REGIONAL TOURISM LIMITED
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RECOMMENDATION (Gosper/Davison)
THAT if
approval is received from the minister for Local Government for Cabonne to be
able to become a member of Orange Regional Tourism Limited, that Cabonne
Council commit $64,141.60 from its Reserve Funds to join Orange and Blayney
Councils to become a member of Orange Regional Tourism LTD for 2017/18 and
that a review be undertaken before the end of that term to determine
council’s commitment for years 2018/19 and 2019/20.”
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And
if the motion is carried, move the following motion:
“THAT
Cabonne Council commit $64,141.60 from its Reserve Funds to join Orange and
Blayney Councils to become a member of Orange Regional Tourism LTD for 2017/18
and that a review be undertaken before the end of that term to determine
council’s commitment for years 2018/19 and 2019/20
In order for it to be dealt with
by the Council it will need to be moved and seconded on the meeting day.”
________________________________
Clr Ian Davison
In order for the motions to be
dealt with by the Council they will both need to be moved and seconded on the
meeting day.
