2 days ago - Continue to train new staff in Records Management and offer refresher ... To support Whyalla girl Shantae B
MEMBERSHIP Mayor Lyn Breuer Cr Tom Antonio Cr Tim Breuer Cr Colin Carter Cr David Knox Cr Clare McLaughlin Cr Sarah Minney Cr Rick Santucci Cr Robert Schmitz
NOTICE OF COUNCIL MEETING TO HER WORSHIP THE MAYOR AND MEMBERS OF COUNCIL NOTICE is hereby given pursuant to Section 83 of the Local Government Act that the next ordinary COUNCIL MEETING will be held in the Council Chamber, Darling Terrace, Whyalla on MONDAY 17 SEPTEMBER 2018 commencing at 5.30 pm. A copy of the Agenda for the above meeting is supplied as required.
CHRIS COWLEY CHIEF EXECUTIVE OFFICER Dated: 13 September 2018
COUNCIL MEETING – 17.09.18
Page 2
AGENDA
COUNCIL MEETING – MONDAY 17 SEPTEMBER 2018 1.
2. 3.
4.
5. 6.
OPENING PRAYER AND WELCOME “Almighty God, we humbly beseech thee to grant thy blessing upon the works of this Council; to direct and prosper its deliberations to the advancement of this City; and for the true and lasting welfare of the people of this municipality.” OBITUARY NOTICES ACKNOWLEDGEMENT “We acknowledge that this meeting is held on Barngarla Land and we give thanks for the use of this Land.” ATTENDANCE RECORD Apologies – Crs T Breuer, D Knox Leave of Absence DECLARATION OF MEMBERS’ CONFLICT OF INTERESTS MINUTES OF PREVIOUS MEETINGS 6.1
Confirmation of the Minutes of the previous Ordinary Council Meeting held on Monday 20 August 2018
7.
8.
Recommendation That the Minutes of the previous Ordinary Council Meeting held on Monday 20 August 2018, as per copies supplied to Members, be adopted as a true and correct record to that meeting. DEPUTATIONS / PRESENTATIONS 7.1
Mrs M Henderson – Resident Ms D Bateman – Resident
Refer to Agenda Item 13.3.3 within this Agenda – Extinguishment of Easement – Lot 27 in DP10074 (Walker Crescent)
7.2 Whyalla Youth Advisory Committee – current activities 7.3 Council’s China Mission – Mr C Cowley and Ms K Roberts 7.4 URPS Planning Adelaide – City Transformation Framework PETITIONS – Nil
COUNCIL MEETING – 17.09.18
9.
MATTERS ADJOURNED / DEFERRED 9.1 9.2
10.
11. 12. 13.
Agenda Item 13.2.2 – Final Report for the Bennett Oval Master Plan (resolution C3288‐2018 from the Council Meeting held on Monday 22 January 2018) Agenda Item 13.3.4 – Extinguishment of Easement – Lot 27 in DP10074 (Walker Crescent) (resolution C3479‐2018 from the Council Meeting held on Monday 20 August 2018
Refer to Agenda Item 13.3.3 within this Agenda PUBLIC QUESTION TIME Public Question Time Protocol The Mayor will read submitted Questions (on the Public Question Time Template) at the time of the meeting and will give an officer’s response at the time of the meeting. (A written response will be given if an officer’s response is not available.) COUNCIL DELEGATE REPORTS ELECTED MEMBERS ACTIVITIES REPORTS – COUNCIL OFFICERS 13.1
13.2
13.3
13.4
14.
Page 3
Corporate– Ordinary Reports 13.1.1 Works in Progress – Corporate 13.1.2 Budget Update 2018/19 – September 2018 City Growth– Ordinary Reports
Page 5 Page 10
13.2.1 Works in Progress – City Growth 13.2.2 Native Hills Walking Trails Infrastructure – Ordinary Reports
Page 15 Page 29
13.3.1 13.3.2 13.3.3
Page 37 Page 42
Works in Progress – Infrastructure Recycled Products Policy Extinguishment of Easement – Lot 27 in DP10074 (Walker Crescent)
Page 48
Executive– Ordinary Reports
13.4.1 Chief Executive Officer’s Action Report – September 2018 13.4.2 Community Grants 13.4.3 Election of LGA President INFORMATION REPORTS
Page 58 Page 70 Page 74
14.1
Page 88
Mayor L Breuer – List of Engagements
COUNCIL MEETING – 17.09.18
15. 16. 17. 18. 19.
NOTICES OF MOTION
Page 91
QUESTIONS ON NOTICE
Page 91
QUESTIONS WITHOUT NOTICE
Page 91
MOTIONS WITHOUT NOTICE
Page 91
COMMITTEE REPORTS 19.1 19.2
20.
Confirmation of the Minutes of the Animal Management Sub‐committee Meeting held on Wednesday 16 August 2018
Page 92
Confirmation of the Minutes of the Audit Committee Meeting held on Thursday 6 September 2018
Page 96
CONSIDERATION OF CONFIDENTIAL ITEMS 20.1
20.2
21. 22.
Page 4
Executive 20.1.1 Council Investment Attraction City Growth
20.2.1 CLOSURE
Economic Opportunity
DATE OF NEXT MEETING Monday 15 October 2018
Page 151
Page 158 Page 164 Page 164
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13.1
CORPORATE
13.1.1 Works in Progress – Corporate Council Meeting 17 September 2018 Author’s Title: Director Corporate Directorate: Corporate Annexures – Nil Officer Direct or Indirect Conflict of Interest:
Status:
In accordance with Local Government Act 1999, Section 120
Information classified confidential under Section 90(2) of the Local Government Act
Director: File No.:
Robyn Dunstall 0‐3
Yes
No
Yes
No
In accordance with Section 91A of the Local Government (Elections) Act 1999, this report has been prepared with consideration to the Election Caretaker Policy.
Reason – Not applicable PURPOSE To receive the Works in Progress report for the Corporate Department. SUMMARY This report provides an overview of activities underway within the Corporate Department. RECOMMENDATION That Council receive and note the Corporate Works in Progress report.
Page 6
13.1.1 Works in Progress – Corporate REPORT BACKGROUND The attached report summarises activities and projects that are currently in progress within the Corporate Department. DISCUSSION Finance Current activities: 2017/18 end of year financial processes have been completed internally.
The auditor visited Council at the end of August for the external financial audit. A draft balance date audit letter has been issued and will be signed once the financial statements have been reviewed by the Audit Committee and certified.
The Voters Roll has been updated and sent to the Electoral Office in preparation for the 2018 Local Government Elections.
Finance has prepared and submitted the “taxable payments annual report” to the Australian Taxation Office (ATO) for the 2017/18 financial year. The report provides information relating to payments made to contractors for providing services. This includes their Australian Business Number (ABN) (where known), name, address and the gross amount paid to them for the financial year (including any GST). Contractors can include sub‐contractors, consultants and independent contractors. They can be operating as sole traders (individuals), companies, partnerships or trusts. This report will be required for all future financial years.
Records Current activities: Work has continued on sentencing the current financial year’s archives.
The 2016/17 records have been destructed as per State Records requirements.
All files have now had a GDS20 number (General Disposal Schedule) allocated to them and new files are given a GDS20 number at time of creation.
Capital projects are being given an individual file number to capture the whole of the project.
Electronic templates have been created and a small number of staff have trialled the new recording system. Once clear Work Instructions are completed, this system will be rolled out to staff via a number of training sessions.
Page 7
Continue to train new staff in Records Management and offer refresher training to existing staff.
Creating electronic profiles in SynergySoft to help speed up the recording of emails.
Archiving contractor arriving in mid‐September to help archive the current filing system in preparation for files to become fully electronic.
Information Technology Current activities: Feedback from the SAPOL (South Australian Police) has been received, on the proposed CCTV layout (Closed Circuit Television) at Civic Park, these suggestions have been forwarded to Council’s wireless WAN (Wide Area Network) contractor who has supplied a revised quote. Investigations into the availability of power at the suggested camera locations now needs to occur.
Remediation of issues identified in the ICT (Information and Communication Technologies) security audit has begun.
Council employees, including the Director Corporate and Chief Executive Officer, have been provided with an on‐line demonstration of the LG Hub platform. An ICT team member is currently investigating the platform more thoroughly.
Following an earlier network assessment, a project plan will be developed to replace the existing switches and reconfigure the network to provide for a more capable network prior to replacing the existing phone systems.
Library Current activities: The library is pleased to be a part of the Indigenous Literacy Foundation “Reading Opens Doors” program. To support Whyalla girl Shantae Barnes‐Cowan, who is the Indigenous Literacy Foundation Ambassador for South Australia, staff have decided that for the month of September, all monies raised from the library’s book sale table will be donated to the Foundation to buy books and promote literacy for Indigenous children.
On Tuesday 4 September, staff will be travelling to Port Pirie to attend a “Tomorrow’s Libraries Review” consultation workshop. The review is being undertaken by Public Library Service (PLS) to consider the States library progress against the strategies and actions of the Tomorrows Libraries Project and plan for the next period.
Customer Service The total number of search requests for the month of August 2018 was 44. This included 22 full searches, 17 urgent full searches and 5 rates searches. This compares to 31 search requests in August 2017.
Page 8
Child Care Centre Current activities: Held a “farm week” fundraiser for drought affected farmers.
Practiced the lock‐in procedure.
Continued working on items from the Quality Improvement Plan, e.g. outdoor area with regard to the lack of natural spaces/plants and the use of space for the children to engage in ‘quiet play’.
Recently held a toy catalogue fundraiser for the Centre. The Centre receives a percentage of the total sales amount in the form of a voucher, which is then used to purchase toys/consumables.
August 2017 Average numbers: 37 August 2018 Average numbers: 41.29
August 2017
2017/18
Financial Implications – Nil Strategic Plan Objective 1.1 – Unearth community pride within the city Strategy 1.1.1 – Regularly inform the community of Council activities, decisions and actions Promote positive stories, positive image
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Legislation Child Care Centre – Licenced by Department of Education and Child development Officer Direct or Indirect Interest – Nil Risk Assessment – Nil Social Considerations – Nil Community Engagement – Not applicable Environmental Implications – Not applicable Communication – Not applicable Conclusion Staff within the Corporate Directorate are continuing to work on various projects pertaining to the area, with successful outcomes and savings achieved.
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13.1
CORPORATE
13.1.2 Budget Update 2018/19 – September 2018 Council Meeting 17 September 2018 Author’s Title: Director Corporate Directorate: Corporate Annexures:
Director: File No.:
Robyn Dunstall 5‐8
Annexure A – Status Report for Major Projects Officer Direct or Indirect Conflict of Interest:
Status:
In accordance with Local Government Act 1999, Section 120
Information classified confidential under Section 90(2) of the Local Government Act
Yes
No
Yes
No
In accordance with Section 91A of the Local Government (Elections) Act 1999, this report has been prepared with consideration to the Election Caretaker Policy.
Reason – Not applicable PURPOSE To provide a projection of Council’s operating and capital budgets, identifying any variations sought to Council’s original budget and the cumulative financial implications. SUMMARY In accordance with Council’s Budget Performance Policy, Council note the impact of the proposed budget amendments on the 2018/19 Budget. These amendments referred to in associated Agenda items, incorporating the financial results for the year ending 30 June 2018, identifying variations to the original budget and the cumulative financial implications with the key financial indicators updated accordingly. RECOMMENDATION That Council: 1. receive the Budget update, and note the impact on the proposed budget amendments for the 2018/19 Budget, subject to Council decision on associated Agenda items; and 2.
receive the Status Update for major projects.
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13.1.2 Budget Update 2018/19 – September 2018 REPORT BACKGROUND Regulation 9(1)(a) of the Local Government (Financial Management) Regulations requires a budget update report to include a revised forecast of the Council’s operating and capital investment activities compared with estimates set out in the budget. Council’s Budget Performance Operational Policy states that a Budget Update Report is to be prepared and included in the Agenda of the Ordinary Meeting of Council, as required by the Act or Regulations or where a subsequent Agenda item for decision has a financial impact of $25,000 or greater. DISCUSSION This report considers the impact that Agenda items for consideration at this meeting would have on Council’s 2018/19 budget and ongoing financial sustainability if approved. Budget Update Report comprises the following statements – Key Financial Indicators Uniform Presentation of Finances Agenda items – Refer Agenda Item 19.2 – Minutes of the Audit Committee Meeting held on Thursday 6 September 2018 A Status Report for major projects has also been included (refer Annexure “A”); each project has been identified as completed, on track or lagging. Where feedback on the project progress has been received, it has been included in the “Project Comment” of the update. The report has been updated with brought forward projects from 2017/18. Financial Implications There are no financial implications associated with receiving and noting this report. Financial implications of specific projects will be identified within the Agenda item for Council decision. Strategic Plan Objective 1.1 – Unearth community pride within the city Strategy 1.1.1 – Regularly inform the community of Council activities, decisions and actions Promote positive stories, positive image
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Legislation The Budget Update has been prepared in accordance with Section 9(1) of the Local Government (Financial Management) Regulations 2011 Officer Direct or Indirect Interest – Nil Risk Assessment There is no risk associated with receiving and noting this report. Specific projects will be identified within the Agenda item for Council decision. Social Considerations – Nil Community Engagement Council’s Annual Budget is based on extensive community engagement for both the Annual Budget and Long Term Financial Plan. Budget updates and reviews do not require specific consultation with the community, however, in publishing this information, the community are able to remain informed about the budget process throughout the year. Environmental Implications – Nil Communication Refer “Community Engagement” above. Conclusion In accordance with Council’s Budget Performance Policy, Council notes the update of the Annual Budget incorporating the financial results of the year ending 30 June 2018.
Annexure "A"
Major Project Update 2018/19 Description
Planned Completion Date
2018/19 Budget $
Actual YTD Aug 2018 $ %
Page 13
Notes
LAND & BUILDINGS Harp and Shamrock Club Building Renewal Foreshore Café Building New/Upgrade
Feb‐19 Oct‐19
51,000 114,500
0 0
HMAS Whyalla Repairs ‐ Building Renewal
Mar‐19
92,000
687
Dec‐19 Nov‐18
202,000 101,000 34,000
0 0 347
Oct‐18
15,750
174
Nov‐18 Dec‐18 Oct‐18 Oct‐18
15,750 68,000 64,000 27,500
0 6,344 0 0
RECREATION & OPEN SPACE Cell 2 Lift Land Imp New/Upgrade Jubilee Park Land Imp Renewal Wetlands Wharf Land Imp Renewal Point Lowly Playground Fencing Land Imp New/Upgrade Trevan Street Playground Fencing Land Imp New/Upgrade Cemetery Extension Land Imp New/Upgrade Beach Access Canopies Land Imp Renewal Foreshore Playground & Sails Land Imp Renewal Marina Breakwater Strengthening Land Imp Renewal Northern Coastline Masterplan Land Imp New/Upgrade
Dec‐18
136,500
694
Mar‐19
100,000
39,704
Hummock Hill Lighting Land Imp New/Upgrade
Dec‐18
100,000
0
Sealed Roads Renewal 31.7 km
Apr‐19
3,715,000
0
Black Spot Roads New/Upgrade
Oct‐18
105,000
0
Unsealed Roads Renewal Marina Moorings Land Imp Renewal
Apr‐19 Mar‐19
119,000 435,000
2,160 868
Street Signage Land Imp Renewal
Nov‐19
102,000
0
FOOTPATHS Footpaths New Subdivisions New/Upgrade Footpaths Concrete New/Upgrade Footpaths ‐ Bicycle Paths New/Upgrade
May‐19 May‐19 May‐19
257,000 100,000 118,000
0 1,139 0
STORMWATER Stormwater ‐ McLennan Avenue New/Upgrade Stormwater ‐ Wall Street New/Upgrade Stormwater ‐ Lincoln Highway New/Upgrade
Apr‐19 Apr‐19 Apr‐19
96,000 87,000 98,000
0 0 0
PLANT & EQUIPMENT Communication System
Jun‐19
200,000
0
request for quote (RFQ) commence Oct research has commenced RFQ in progress ‐ delayed due to contract 0.7% specification
RFQ in progress RFQ commence Oct 1.0% RFQ completed award at end Oct Installation completed come minor works 1.1% outstanding RFQ commence Oct 9.3% Extension work commenced RFQ commence Oct RFQ commence Oct 0.5% Completed RFQ award end Sept 39.7% Work brief being prepared Investigation into suitable Solar Light bollards in progress
ROADS & OTHER INFRASTRUCTURE
Storage Area Network (SAN) Wi‐Fi Hotspots Major Plant Renewal Fleet vehicle change over as per policy Mower replacement Marina Swimming Enclosure Net Land Imp New/Upgrade
Dec‐18
Mar‐19 Oct‐19
90,000 30,000 195,000 166,000 94,000
0 0 0 0 0
Jan‐19
35,000
104
Asset inspections for tender document commenced One design and RFQ completed with two designs in progress Asset inspections for tender document 1.8% commenced 0.2% RFQ commenced The contract has been awarded and work commenced with single post installation.
Delivery schedule in progress 1.1% Delivery schedule in progress Delivery schedule in progress
RFQ for Lincoln Highway drain is in progress. Design of stormwater for Wall St and McLennan Ave to be undertaken in second
initial consultation completed commenced researching suitable products. Requested a revised quote currently in planning stage RFQ in progress RFQ in progress awarded Sept order placed Investigation for the specification have 0.3% commenced
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Major Project Update 2018/19 Planned Completion Date
Description
2018/19 Budget
Actual YTD Aug 2018
Notes
CARRY FORWARD PROJECTS 2017/18 Jetty Upgrade Land improvement New/Upgrade 2019 (project to be completed 2019/20) Foreshore Entry Points & Café Paving Land Imp Renewal Playground Fencing District Parks Building Renewal District Park Upgrade Land Imp Renewal District Park Upgrade Playground Renewal Wilson Park Upgrade Land Imp Renewal Pool Surround Upgrade ‐ Building Renewal
Jul‐19
2,457,000
77,010
Design and environment assessment report completed. Construction tender and DA in 3.1% progress
Leisure Centre Pool Leak
20,000
planned second quarter 2019 0 19,099 61.6% completed 1,563 15,473 67,531 36.1% completed 42,228 128.0% completed in accordance with grant 98 0.3% completed awaiting invoice one leak fixed small leak still under 6,875 34.4% investigation
Fire Exit Doors & PA System Building New/Upgrade
23,000
13,249
586,000 25,000
0 0 597
55,000 46,000 8,000 6,000 100,000 25,000
2,907 0 0 0 0 0
106,000 20,000 77,000 167,000 75,000 180,000 15,000 21,000
0 0 0 61,803 0 0 0 0
758,000
32,254
60,000 373,000 20,000
0 0 0
120,000
20,493
Roads to Recovery Renewal Laneway Drainage Mitigation Mount Laura Homestead Building New/Upgrade Mount Laura Homestead Land Improvement New/Upgrade Foreshore Café Building Renewal Tourism signage Highway Signage Tourism Entry Statements Street Sign Replacements
Mar‐19
28,000 31,000
234,000 33,000 34,000
Mar‐19
Old Airport Hangar Keith Street Airport Shoo Roo Device Replacements Survey & Design Shovel Ready Projects Major Plant replacement Minor Plant Replacement Centre of Opportunity Wetlands Jetty Other IT Infrastructure & Components Sealed Roads Dec‐18 Concrete Footpath Landscape Master Plan Upgrade Works Visitor Centre Precinct Upgrade
57.6% completed except for two outside lights to be incorporated into 18/19 maintenance program planning work methodology Infrastructure work completed 6.4% investigating security system Planned for second quarter 2019
consultation commenced works commenced awarded contract project on hold sourcing materials work in progress 37.0% 2 trucks ordered ongoing RFQ awarded end Oct Harware renewal commence planning Nove 4.3% Work committed awaiting Boral plant repaired Delivery schedule in progress
OTHER PROJECTS City Growth Strategy
17.1% city growth transformation framework ‐ growth strategy and ecomonic update awarded
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13.2
CITY GROWTH
13.2.1 Works in Progress Report – City Growth Council Meeting: 17 September 2018 Author’s Title: Director City Growth Directorate: City Growth Annexures – Nil Officer Direct or Indirect Conflict of Interest:
Status:
In accordance with Local Government Act 1999, Section 120
Information classified confidential under Section 90(2) of the Local Government Act
Director: File No.:
Kristina Roberts 0‐4
Yes
No
Yes
No
In accordance with Section 91A of the Local Government (Elections) Act 1999, this report has been prepared with consideration to the Election Caretaker Policy.
Reason – Not applicable PURPOSE To receive and note the report on the monthly activities of the City Growth Department. SUMMARY A summary of works undertaken by the City Growth department is provided on a monthly basis to provide an overview of the department’s functions. RECOMMENDATION That Council receive and note the City Growth Works in Progress report.
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13.2.1 Works in Progress Report – City Growth REPORT BACKGROUND The following report summarises the works undertaken in the previous month under the main functional areas of Economic and Social Development, Airport, Environmental Health and Regulatory Services, Tourism, Planning and Development and Community Services (encompassing Arts and Culture, Community Development, STARClub and Youth Development). DISCUSSION Economic and Social Development City Transformation Strategy Framework Council has commenced the development of a City Transformation Framework (CTF) to lead, promote and facilitate future economic growth and societal prosperity of the city. The Framework process will consist of three stages: Stage 1 – Information, data collection and analysis (currently underway). Stage 2 – Consultation, engagement and agreement to the future vision and framework. Stage 3 – Execution of the strategy and framework. Council will work closely with community, business, industry, educators, governments, non‐ for‐profit groups, training providers and external stakeholders in developing the City’s new vision, priorities and actions. A City Transformation web page is currently being developed. Blackbocks Jam Shop have been engaged to assist in the development of a City brand working with community, business, industry and external key stakeholders. A series of interviews have been held with over 40 community and business members to date with further sessions to be held with the broader community over the next few months. Council has engaged PWC to assist in the delivery of Stage 2. In conjunction with key educators, TAFE, state government and business representatives commenced discussions regarding an education and innovation precinct. Hosted by RDA. Education, Business and Investment Meetings held with Chinese business representatives to discuss status of current renewable energy projects and potential new business opportunities. Met with Simec Zen Energy to finalise lease arrangements for new renewable energy project. Participated in the joint RDA/Council/Chamber of Commerce Opportunity Network Event: Presentation by Sturt Daley, Project Manager. Simec Zen Energy on the new 280MW Cultana Solar Farm project: estimated 780,000 solar panels and electricity generation to power 96,000 homes. Met with Managing Director, Trility (water utility specialists) to discuss City reuse and recycled water business opportunities.
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Met with GFG senior representatives to discuss GFG transformation initiative and linkages with City Transformation Framework strategy.
Environmental Health and Regulatory Services Health SA Health have introduced a web‐based immunisation database after many years of utilising a standalone system. The system (IRIS – Immunisation Register and Inventory System) will better integrate with other government systems such as Medicare and the National HPV Register. Whyalla Council transitioned to the system on Thursday 30 August 2018. Food inspections of mobile vendors were undertaken at the Whyalla Show to ensure that appropriate standards of food safety and hygiene were being maintained. Inspections focused on handwashing requirements and temperature control. Animal Management
FY YTD 18/19
FY17/18
FY16/17
FY15/16
3430
4695
4,755
4,918
N/A
934
1180
1,123
1,072
28
33
69
370
332
422
Dogs returned (claimed) to
18
27
45
238
216
291
Dogs rehomed
6
5
13
110
45
63
Cats Impounded
16
10
27
233
296
169
4
0
5
11
21
22
8
3
9
131
89
42
4
1
4
15
60
32
21
16
32
125
93
94
22
21
41
208
179
261
August 2018
August 2017
1878
N/A
360
Dogs Impounded
Statistics Total Dogs Registered Total Cats Registered
Cats returned (claimed) to owners Cats rehomed Dog Attacks Nuisance Complaints Expiations
Proactive Animal Management Council staff have been holding DACO information and assistance days at the Whyalla Public Library every Wednesday during August to offer residents assistance with use of the new system. There have been four (4) dog attack incidents report to Council since 1 July 2018, Animal Management Officers are investigating all reported incidents and taking appropriate action where necessary pursuant to the provisions of the Dog and Cat Management Act. An Animal Management Sub‐Committee meeting was held on Wednesday 15 August 2018 – minutes of the meeting are attached with this agenda.
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Compliance Related Activities There have been several instances of illegal dumping reported, Compliance Officers are investigating and enforcing where possible. Council has received a number of burning complaints. Officers are following up these complaints with advice on burning laws and backyard burning practices. Letterbox drops have been conducted in areas with high instances of reported burning. Planning and Development Property Negotiations are complete and the final Lease Agreement between Council and Bedford Phoenix Inc in regard to tenure over Part Allotment 6550 Norrie Avenue CR 5754/346 has been issued for execution. This portion of land is being used as a community garden project. Advancing Whyalla Lease Agreement for tenure over 25‐27 Ramsay Street (Former Alex Ramsay Library) CT 6155/985 commenced on 16 August 2018. This facility is being used as a community hub, funded jointly by Council and State government. Renewable Energy Projects Adani Renewables have been granted a full Development Approval from the State Government for their 140MW Solar Farm, as per the Development Regulations 2008. Adani have 12 months to commence construction of the development and 3 years to complete. Development Approvals “On the Run” service station at the corner of Playford Avenue and Elliott Street is well underway and is anticipated to be completed before Christmas. Below is a photograph taken on 30 August 2018.
The following table depicts applications with full development approval (planning & building consent) and does not include applications that only required planning consent or any land divisions.
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Whyalla ‐ Development Activity 450 425 400 375 350 325 300 275 250 225 200 175 150 125 100 75 50 25 0
14/15
15/16
16/17
17/18
18/19
New Residential
129
31
7
4
3
Other (Demolition, outbuildings & Pools)
228
175
118
144
27
Residential additions
33
47
30
17
4
Commercial/Industrial
38
23
25
41
8
Number of Development Approvals
428
276
180
206
41
Tourism Events Zaccaria “Jimmy Barnes” concert to be held February 2019. Currently in discussions regarding concert budget and marketing. March 2020 Master Games application progressing. SANFL Game: Proposed game to be held in July 2019: sponsorship funding to be sought. uneARTh Festival: Discussions are underway with two potential contactors to undertake the organisation of performers, stall holders and other contractors. Working with the Arts and Cultural Facilitator to determine the feasibility of applying for a Performing Arts Connections (PAC) Australia Expressions of Interest for either 2019, 2020 or 2021 conference and performing arts exchange. This could potentially attract between 400‐500 of Australia’s leading arts practitioners (as well as an array of National and International guest speakers). 2018 Cuttlefest debrief meeting held between Council and Natural Resources Management. A meeting between Council, Natural Resources Management, and Experiencing Marine Sanctuaries to be organised to discuss next year’s Cuttlefest Event.
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Marketing Becker Helicopters scenic flight promotion on whyalla.com web‐site completed. Ongoing discussions with local businesses to register with the Australian Tourism Data Warehouse for adoption of digital technologies. Information shared and distributed to Whyalla Tourism Focus Group Members (Whyalla TFG). Community engagement underway for the new city entry statement designs. Design display set up at the Civic Building foyer and library, online survey monkey available for voting. Public display at Westland Shopping Centre to be held on Friday 7th September. Tourism Services & Assets A very successful cuttlefish season, with increased visitors and media coverage throughout Australia & overseas. Whyalla Maritime Museum, HMAS Whyalla and the Whyalla Steelworks Tours have recently become approved ‘learning destinations’ with the Children’s University (The University of Adelaide). A VIC State‐wide Visitor Survey across 42 visitor centres has been undertaken. 30th Anniversary of Maritime Museum to be held on Saturday 27 October 2018, event planning is underway. HMAS Whyalla: 5‐year Ship maintenance plan development progressing. Whyalla tourism services audit completed and report finalised. Point Lowly Road Highway tourism signage approved by Department of Transport and Infrastructure, new signage ordered. Northern Coastline Master Plan grant agreement finalised, milestones have been established. Council is working with Natural Resources Management and other 3 District Councils ‐ Cleve, Elliston and Streaky Bay on a joint landscape architecture procurement, to develop concept plans for popular campsites and coastal access locations to improve their environmental, economic and social sustainability for locals and visitors alike. City Walk, Hummock Hill Heritage and Native Hills Walking Trails have been reviewed, future development will be included in the City Transformation Framework strategy. Engagement with Telstra to install airport Wi‐Fi Hotspot is progressing, contract to be finalised by September. Tourism Strategic Plan – progressing in partnership with the Whyalla Tourism Focus Group. Undertaking development of a Council Events Policy and Management Plan, incorporating guidelines, application processes and procedures. Whyalla‐wide visitor survey report completed.
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Whyalla Visitor Information Centre and Maritime Museum Tables 1, 2, 3 and 4 below show visitor numbers. Table 1 Matching August period FY YTD 2017/18 2016/17 2015/16 2014/15 2018 last year 18/19 (Aug 2017) Visitor Centre
1709
1763
3622
25,956
25,149
23,278
26,012
Maritime Museum
650
545
1413
8,072
8,464
7,680
7,890
Steelworks
210
214
364
1,937
2,014
1,926
2,222
38%
31%
39%
32%
34%
33%
30%
264
120
384
2,507
1,371
Visitor Centre /Museum Conversion Mount Laura Homestead Museum Table 2
August 2018 ‐ Visitor Centre Year to Date 30,000 25,000 20,000 15,000 10,000
23,278
25,149
to 30 June
25,956
YTD
5,000 3,817
‐ 2015/16
Table 3
2016/17
2017/18
2018/19
Figures Figures not not available available
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Table 4
Arts and Culture
Council held an exhibition space in an empty shop in Forsyth St. It has been a great opportunity to connect with the public, talk about art/culture and meet with visitors and travellers. Local artist and Country Arts SA Board Member, Olivia White (pictured at left) working on a painting project. Twelve local artists participated. The Arts and Cultural Facilitator has worked with seven grant applicants in Whyalla and the greater Eyre Peninsula to submit grant applications for arts projects and skills development into the Regional Arts Funds August round. On August 17 and 18 Tiwi Island musicians B2M performed at the Middleback Arts Centre, a workshop at Stuart High School and a preshow event in the Middleback Arts Centre foyer with local band Dr M. Completed a submission, to the Tourism Events Awards Symposium, for UneARTh 2018 to be considered in the under $150k category. Worked with D’faces to submit a grant to Arts SA Community Arts and Cultural Development round for an innovative performance project with public art outcomes and youth facilitator training for UneARTh 2019. Within Country Arts SA remit, the Arts and Cultural Facilitator is organising consultations with Ceduna, Streaky Bay, Elliston and Port Lincoln arts community regarding their ongoing engagement with and support by Country Arts SA now that this position is the most western partnership.
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September 8th – 10th will see the second of the public workshops for our cuttlefish mosaic project at the Girl Guide Hall in Jessop White Park. Community Development Safer Communities Forum Council facilitated a “Safer Communities Forum” session, as per Council resolution (C3317‐ 2018). The Forum was well attended by approximately 50 people, representing various Agencies from across the city. The session consisted of presentations from SAPOL and Mission Australia, with open discussion on community safety and programs available in Whyalla to assist in reducing incidences of crime. The SAPOL and Mission Australia presentations were very insightful and provided an opportunity for those present to ask questions and share experiences in relation to community safety. Key issues identified: After hour services for persons at risk ‐ most of the local Agencies are only open Monday to Friday, 9am to 5pm. Lack of hostel type of emergency accommodation – need for Youth, Men and Women’s Shelters, (Whyalla formerly had a Men’s Shelter and a Women’s Shelter) Drug addiction. Groups of children/youth congregating in public spaces/areas. Open Spaces Pt Lowly has received a facelift to its ageing playground equipment as a result of Open Spaces funding. After an initial assessment of the existing play equipment, some apparatus were removed, swing set was revamped with new seats and chains and flying fox was retained. These pieces of apparatus now complement the new play equipment which were selected to enhance the location with a seascape theme. The new equipment includes, a multi play climbing tower, pirate ship, birds nest swing, spinner bowl, double dolphin springer and a spinner. In addition, the needs of visitors/tourists that frequent the adjacent caravan and camping site were taken into consideration with the playground now including an adult piece of equipment, sit up cross trainer and hip twist. The old playground is pictured above left, above right is some of the new play equipment.
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Changing Places Further development has occurred with the identification of the Foreshore as being the preferred location to install the facility. The recommended site is at the rear of the Surf Life Saving Club Building opposite the existing Male and Female toilet. Men’s Shed Attended a recent workshop with participants of the Men’s Shed to discuss community services activities and Council’s assistance to this group. The Men’s Shed is a great community facility which provides an opportunity for its members to improve their social and emotional well‐being through socialisation, camaraderie, sense of identity and purpose, as well as opportunity for peer support. The session was well attended and allowed the opportunity for open conversation. Aboriginal Focus Group The recent meeting of the focus group discussed the upcoming Youth Camp in the Gawler Ranges, school based apprenticeship’s and Seven Sisters Dreaming site. Victims of Domestic Violence Community Services is assisting the Victims of Domestic Violence in developing a Memorial Wall at Ada Ryan Gardens. This wall is being constructed by Walling Systems, a local company, who have donated all materials and time towards this project. The wall is being constructed off site and when completed will be placed within the gardens in readiness for this year’s White Ribbon Day. Headspace Meeting with Headspace regarding local CALD (Culturally and Linguistic Diverse) residents, including sharing of information and needs of community. STARClub Attended the NAIDOC Week debrief meeting and discussed options for next year’s event. Participated in a STARCLUB Field Officer Teleconference to discuss the agenda for the upcoming STARCLUB Field Officer Conference. Met with Roopena Cricket Club to discuss the relocation of their Cricket Nets. On site meeting with GFG and The Apex Club to discuss the 2018 Christmas Pageant and after Pageant Fair. Facilitated ‘The Smith Family Work Inspirations’ sessions (3 days) with students from Stuart High School. The sessions included a number of representatives from local Whyalla organisations who outlined their role within their organisations and their individual career paths. Site visits were undertaken. Organisations involved in the sessions were Whyalla City Council, BGC Contracting, Heavymech and Santos. With Director City Growth, inspected various sporting/recreation facilities in Whyalla and discussed future options. Attended the STARCLUB Field Officer Conference in Adelaide with other STARCLUB Field Officers from around the state to discuss current trends and meet with various State Sporting Organisations to discuss their regional programs and possible collaborations in the future.
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Met with Council Events & Tourism Development Partner to discuss formal application for the 2020 Masters Games. Visited the staff and children of the Whyalla Child Care Centre to discuss healthy eating and physical activity opportunities as part of their Footy Colours Day activities.
Youth Engagement Duke of Edinburgh Awards (DoE) The Whyalla Youth Advisory Committee members are about to embark on a leadership journey by committing to the Duke of Edinburgh Awards. Six members have signed up for the DoE Bronze award whereby they will commit to a 6 month program which will involve serving the community, learning new skills, and increasing physical activity. The Youth Development Officer will support the YAC members through to the completion of this process and will act in the role of assessor for all tasks. At the end of this journey the YAC will be: Equipped and empowered to achieve their personal best Learn to take responsibility for their goals and choices Become connected to and actively engaged with their community Make a real difference to society through their positive contributions and involvement Learn to persevere and overcome barriers to success Learn important life skills and Increase career opportunities Love Your Body week‐ 3‐7 September 2018 In conjunction with headspace Whyalla and Edward John Eyre High School the Youth Development Officer (YDO) & Arts & Cultural Facilitator are hosting a week of activities in celebration of “Love Your Body” week to promote body acceptance and celebrate the diversity of our youth. The activities that will be held during this week will include: Fuel your body (healthy eating) Bollywood dancing & henna tattoos Live music Cooking classes Chill out spaces/sessions Art projects Obstacle challenge Healthy smoothies Body combat classes Student Leadership Day The YDO has commenced discussions with local high schools with regards to offering an opportunity for local students to take part in a youth forum/personal development day. Young people would have the opportunity to take part in interactive sessions which would help develop their skills in community leadership and service.
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This forum will be an opportunity for youth involved to identify their strengths, build on their confidence and resilience, and give them the necessary tools and skills to increase their leadership capacity. Airport Airport Management and Security Director City Growth and Airport Operations Manager attended Australian Airports Association Annual General Meeting – presentations by Minister Stefan Knoll, Kangaroo Island CEO re airport expansion and discussion on new regional airport security. Council Manager‐Airport Operations elected as new Alternate Chair with SA AAA. Director City Growth and Manager‐Airport Operations met with Katanoo Architects to discuss regional airport security terminal options. Concept drawings are currently being developed. Interviews held for the new Airport Facilities Coordinator. Airport Operations Progress update: FIDS (Flight Information Data System) monitors been installed awaiting IT software. Support Regional Aviation Grant Projects: o Self‐serve ULP and diesel fuel facility o Utilities shed/ emergency forward command facility. Documentation for airport table top exercise emailed to stakeholders, exercise date 26th September 2018.
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Financial Implications – In line with adopted budgets Strategic Plan Objective 1.1 Unearth community pride within the city. Strategy 1.1.1 Objective 1.2
Regularly inform the community of council activities, decisions and actions. To create a vibrant, diverse, actively engaged community with a sense of belonging.
Strategy 1.2.1
To host, promote and support events and activities which encourage community involvement, celebrate our diverse multicultural heritage, and foster a sense of pride in the community.
Strategy 1.2.2
Promote and encourage artistic/cultural endeavours in the community.
Strategy 1.2.3
Encourage the participation of our youth in our city by providing opportunities for leadership, social, community and economic participation.
Legislation‐ Relevant legislation applying to department activities Officer Direct or Indirect Interest – No officer involved in the preparation of this report has any conflicts of interest. Risk Assessment – Not applicable Social Considerations – Not applicable Community Engagement – Not applicable Environmental Implications – Not applicable Communication – Not applicable Conclusion Staff within the City Growth Department are continuing to work on various projects pertaining to their area, with the achievement of successful outcomes.
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13.2
CITY GROWTH
13.2.2
Native Hills Walking Trails
Council Meeting 17 September 2018 Author’s Title: Manager Economic Development & Tourism Directorate: City Growth Annexures: Annexure A – Native Hill Walking Trails Survey Results Officer Direct or Indirect Conflict of Interest: Status: In accordance with Local Government Act 1999, Section 120
Director: File No.:
Kristina Roberts 1‐1
Information classified confidential under Section 90(2) of the Local Government Act
Yes
√
No
Yes
√
No
In accordance with Section 91A of the Local Government (Elections) Act 1999, this report has been prepared with consideration to the Election Caretaker Policy.
Reason – Not applicable
PURPOSE
To provide Council with the survey results of the public consultation undertaken with community (C3264‐2017) on the potential development of a walking trail linking the Foreshore, Hummock, Tank and Tower Hills and Mount Laura.
SUMMARY
Council previously received a report on the 18 December 2017, regarding:
potential development of a walking trail, linking the Foreshore, Hummock, Tank and Tower Hills and Mount Laura; and
identified legal impediment arising from land ownership and responsibility for revegetation, development concerns, and the potential sources of funding to assist with the implementation of the project.
The Council agreed in principle to the proposed creation of a walking/biking trail linking Hummock, Tank, Tower Hills and Mount Laura and that public consultation and engagement on the elements of a walking trail including disabled paths and board walkers, be undertaken. This report summarises the survey findings and recommends that further community engagement is undertaken as part of the City Transformation Strategy Framework initiative.
RECOMMENDATION
That Council include the Native Hills Walking Trail proposal as part of the City Transformation Framework.
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13.2.2 Native Hills Walking Trails REPORT BACKGROUND Council Infrastructure Department prepared a report for the 18 December 2017 Council meeting (C1895‐2015), as requested on the potential development of a walking trail linking the Foreshore, Hummock, Tank and Tower Hills and Mount Laura. The report was moved by Cr Robert Schmitz, seconded by Cr David Knox that Council: 1 agree in principle to the proposed creation of a walking/biking trail linking Hummock, Tank, Tower Hills and Mount Laura; 2
undertake public consultation and engagement on elements of the walking trail including disabled paths and boardwalks; and
3
following public consultation, develop and refine the scope for future stages of the project, including the planned installation of stairs, guardrails, track markers, zebra crossings and other signage as necessary to make the existing walking tracks safe, clearly defined and as durable as possible.
Council undertook a community survey in June 2018 on the proposed development of a Native Hills Walking Trail, which proposed a Two Staged Delivery Plan. Public consultation closed 29 June 2018. Council received a total of 142 entries, 3 invalid entries (not using the survey sheet format and questions, providing just general comments). All survey forms received were registered, recorded and deposited by the Council’s Record Department. DISCUSSION Survey Result It was proposed that a representative sample of 300‐500 surveys would provide a relevant benchmark to denote the community’s support. This benchmark was determined based on the population of Whyalla, with the intention to provide a basis for justification of community benefit. The statistical target for feedback was set reasonably low, the 139 valid feedback received was much lower than the established target, which does not provide a strong case to argue the necessity and priority of the proposed development.
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However, the proposal has economic, community and tourism benefits that should be consider as part of the development of the City’s new Transformation Strategy Framework and that further community engagement on the trails be undertaken as part of this process. Financial Implications An estimated cost (see below) was included in the December 2018 report. Costs for material and installation costs are based on past expenditures. Cost of engaging landscape designer for the trails has not been included. Goods/services required
Hummock Hill
Elliott
Gowrie
Weed Eradication (Per square meter)
$ 12,500
$ 15,200
$ 15,200
Mt Laura $ ‐
Trail closures & Rehabilitation (per Linear meter) Revegetation (Per square meter)
Total $ 42,900 $ ‐
$ 30,000
Disabled path Concrete (Option A) $ 253,077 Landscape materials (Pathways and access point $ 60,000 delineation) Per square meters Bollards $ 130,000
$ 30,000
$ 30,000 $ 30,000 $ 120,000 $ 253,077
$ 16,200
$ 16,200 $ 97,200 $ 189,600
$ 1,035 $ 1,035
$ ‐
$ 132,070
Seating & installation (per unit)
$ 8,000
$ 8,050 $ 8,050
$ 8,050
$ 32,150
Bins & installation (per Bin)
$ 3,450
$ 3,450 $ 3,450
$ 3,450
$ 13,800
Shelter & Installation (Per Shelter)
$ ‐
$ 25,300
$ 25,300 $ 25,300
$ 75,900
Council Plant & Labour
$ ‐
$ 25,078.40
$ 25,078 $ 25,078
$ 75,235
Directional Signage + installation (Per Sign)
$ ‐
$ 1,242 $ 1,242
interpretive Signage + installation (Per Sign) TOTAL ESTIMATE (Option A) Annual Maintenance Costs Annual Depreciation TOTAL ANNUAL COSTS
$ ‐ $ 497,027 $ 24,851 $ 9,940.54 $ 34,792
$ 575 $ 126,130 $ 6,307 $ 2,522.61 $ 8,829
$ 575 $ 126,130 $ 6,307 $ 2,522.61 $ 8,829
$ 1,656
$ 4,140
$ 575 $ 191,309 $ 9,565 $ 3,826.19 $ 13,392
$ 1,725 $ 940,597 $ 47,029.86 $ 18,811.94 $ 65,842
According to the future scope of work, the actual delivery cost will be much higher than the previous estimation. There is no budget allocation in the 2018‐19 budget for the Native Hill Walking Trails initiative. Strategic Plan Objective 1.3 To improve the safety health and well‐being of our community. Our Strategies 1.3.4 To provide social/physical infrastructure for all our citizens that promote and support the health of our community through active and passive recreation opportunities. Objective 2.1 To create a city that is attractive and showcases our natural and built assets. Our Strategies 2.1.1 Embed place making principles in council development to ensure that places are not just infrastructure but reflecting the needs and uses of the location, and include messaging and connectivity to community.
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Objective Our Strategies
2.2 To protect our natural environment, minimise out ecological footprint and the impact of environmental issues on the city, 2.2.1 In partnership with the Eyre Peninsula Natural Resources Management (EPNRM), actively promote, protect, rehabilitate and conserve out natural environment and coastal areas.
Legislation Due to the steep angle of these tracks, they do not meet Australian Standard 2156 Class 3 criteria of maximum 6 degree track grades and cross track drainage.
The WWII Gun Emplacements are subject to State Heritage listing.
These tracks are unsuitable for those in wheelchairs or are otherwise mobility impaired.
As the walking trail would only be an ancillary use, rededication would not be required and consideration could be given to issuing Council a licence for land use at Mount Laura, subject to the consent of the Minister of Mining and Resources as the custodian of the land.
Officer Direct or Indirect Interest – Nil Risk Assessment A number of risks have been identified in the original report, including damage to heritage or natural vegetation, slips, trips and falls. Placement of Paths including steps and hand rails are all proposed to mitigate these risks. Social Considerations – Nil Community Engagement – Applicable Environmental Implications – Applicable Communication Applicable with: Department of Environment, Water and Natural Resources ‐ Crown Lands Offices The Office of the Minister for Mining and Resources Conclusion Council agree that Native Hills Walking Trail proposal be included as part of the City Transformation Framework strategy community engagement process to support a more holistic approach to meeting community expectations and benefits.
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Annexure “A” Survey Questions and Results Questions asked at consultation: Q1. If the lookout and facilities were built on each individual hill, how likely are you to visit them all?
Extremely likely – 80 Very likely – 37 Somewhat likely – 9 Not very likely – 6 Not at all likely – 7 Q2. Which location most requires an upgrade of facilities?
Hummock Hill – 48 Flinders and Freycinet Lookout – 29 Tower Hill – 45 Tank Hill – 56 Mount Laura – 94 Q3. If walking tracks between hills were built, which tracks would you use most?
Hummock Hill to Flinders & Freycinet Lookouts to Tower Hill and Tank Hill – 84 Hummock Hill to Mount Laura – 74 Q4. How likely are you to use the walking tracks?
Extremely likely – 75 Very likely – 35 Somewhat likely – 18 Not very likely – 5 Not at all likely – 6 Q5. Considering the distance and locations, do you see risk for people using the tracks?
Yes – 71 No – 69
If you see there are risks, what would they be? The following risks have been mentioned: Exhaustion; Tripping; Road crossing; Intoxication; Dehydration; Snakes; Slipping; No visibility at night; Uneven surface; Inclines; Walking alone; Wildlife; Waste of money; Substandard labour; Walkers/bikers safety traffic; Heat; Athleticism; Isolation; Getting lost; Rolling ankle; Not making the distance; Breathing in car fumes; Limited emergency vehicles access; Hazardous crossing areas; Falling branches; Motorbikes; 4 WDs; Vandalism; Mt Laura is too far and too steep; Train crossings; Heat; Possible assault; Injury; Highways; General safety given the industrial area; No maintenance; Sun stroke; Remoteness; Sun burn; Falls; Violence; Crime; Dogs off lead
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Q6. Do you think the walking trails would benefit Whyalla tourism? Extremely beneficial – 55 Very beneficial – 42 Somewhat beneficial – 28 Not very beneficial – 6 Not at all beneficial – 9 Q7. How beneficial would the walking tracks be to your daily life? Extremely beneficial – 48 Very beneficial – 41 Somewhat beneficial – 31 Not very beneficial – 14 Not at all beneficial – 9 Q8. Would you consider the walking tracks a good investment? Extremely – 65 Very – 44 Somewhat – 17 Not very – 7 Not at all – 7 Extra comments: Tracks to be pram accessible Consider a mountain bike track only at Mt Laura Build a trail out of the west of the city Track should be made of bitumen and wide at 1200‐1500mm Scope of Future Stages: Breakdown the delivery of development into two stages: Stage 1: Complete works required at each linking point – individual hill / site Stage 2: Complete the Linkages Stage 1: Complete work at each hills Assess linking point status, identify necessary improvements for each hill Prioritise working tasks and sequence Review budget or seek external funding Commence delivery plan
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Objectives
Scope of work Formalize existing pathways to improve accessibility and safety Put up viewing chairs and other rest facility Landscape and revegetation Construct attractive entry structure at the bottom of the hill as an entry point.
Step 1: Hummock Hill
Road safety facilities: zebra crossing, guard rails and relevant road signs warning of pedestrians. Signage: o Signage to redirect traffic from foreshore area to the Hummock Hill lookout. o Signage (map) to direct traffic in between lookouts o Extra information signage to address local biology, Aboriginal heritage, geology of the area and observation bunker WWII sign. Repaint statues
Stage 1 Linking Points
Formalize existing pathway in front of lookout to improve accessibility and safety Step 2: Flinders & Freycinet Small activity ground in front of lookout with small arbor & viewing chair Lookout Signage: o Improve carpark directional signage o Signage (map) to direct traffic in between lookouts Construct a new Tower Lookout Formalize existing pathway on the hill side to improve accessibility and safety Step 3: Tower Hill
Construct a new viewing platform to improve experience of the 360⁰ city view Formalize a car park area Signage: o Car park signage o Signage (map) to direct traffic in between lookouts o Information signs: geography of the area and points of interests. Formalize existing pathway on the hill side to improve accessibility and safety Construct a new viewing platform to improve experience of the 360⁰ city view
Step 4 Tank Hill
o Formalize a car park area Signage: o Car park signage o Signage (map) to direct traffic in between lookouts o Information signs: geography of the area and points of interests. o Construct Shelter o Toilet facility
o Formalize existing pathway on the hill side to improve accessibility and safety Step 5 Mount Laura Signage: o Car park signage o Signage (map) to direct traffic in between lookouts o Information signs: geography of the area and points of interests.
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Stage 2: Complete the Linkages Engage professional walking trails designers to provide landscape design, signage designs. Review budget or seek external funding Commence delivery plan
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13.3
INFRASTRUCTURE
13.3.1 Works in Progress – Infrastructure Council Meeting 17 September 2018 Author’s Title: Director Infrastructure Directorate: Infrastructure Annexures – Nil Officer Direct or Indirect Conflict of Interest:
Status:
In accordance with Local Government Act 1999, Section 120
Information classified confidential under Section 90(2) of the Local Government Act
Director: File No.:
David Klye 0‐2
Yes
No
Yes
No
In accordance with Section 91A of the Local Government (Elections) Act 1999, this report has been prepared with consideration to the Election Caretaker Policy.
Reason – Not applicable
PURPOSE To update Council on Infrastructure Directorate activities for the month 6 August to 4 September 2018. SUMMARY A summary of works in progress for the Infrastructure Directorate is provided on a monthly basis; this report provides an overview update on Infrastructure Directorate operation, capital and resolution action items for the period. RECOMMENDATION That Council receive and note the Infrastructure Directorate Works in Progress Report.
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13.3.1 Works in Progress – Infrastructure REPORT BACKGROUND The Works in Progress Report provides a summarised update on the works currently in progress with the Infrastructure Directorate. The report outlines the status of significant capital projects and operations activities. DISCUSSION Swimming Pool Leak Main Pool Work to refurbish the Non‐Slip Surfacing of the main pool surround was completed in the second week of September. 24 Hour Access to the Whyalla Health and Leisure Centre The electrical work for two LED lights at the rear of the Whyalla Health and Leisure Centre will be installed by the end of September. One of the lights will remain active throughout the evening and the other will be sensor activated and will cover much of the car park area. Art Gallery Council recently installed a 1.2m wide x 18 m long, reinforced concrete footpath in a Council car park beside the Whyalla Art Gallery to help reduce the impact of stormwater ingress to the buildings foundations. The work was completed in accordance with a Council Resolution on the matter.
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Capital Program Safer Communities Grant Council was successful in a recent round of Federal Government Grants, through the Department of Industry, Innovation and Science under the Safer Communities Fund for installation of CCTV and lighting. The grant will be used to install CCTV and lighting throughout Civic Park to improve public safety. This is an initiative between Council and South Australian Police Whyalla Branch. Cemetery Extension Work has commenced on the extension to the lawn section and the ashes interment area of the cemetery, with base work for the new lawn area completed in late August.
Jetty Work Tender documentation is being finalised and is on track for release in mid‐September. The State Government Planning Commission are in the process of assessing Council’s development application, which is currently undergoing a public notification process. Roads Street Signage Council is proceeding with the original scope of works for street signage replacement, which included a single post with the horizontal blade street sign. The contract for the installation
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of the street signs has been awarded and work to complete Stage 1 and Stage 2 of this program has commenced and is expected to be completed by the end of November.
Sealed Road Contract Council recently met with the contractor, who reiterated the company’s commitment to the road works contract following a breakdown of equipment. They have indicated that they will be able to deliver the remaining work by the end of December. The contractor also mentioned that the company will be making a considerable investment to their local operations and will continue to supply hot mix to Whyalla and the surrounding areas from their Whyalla plant once the infrastructure upgrade is complete. District Park Upgrades/4 Playgrounds Subsurface irrigation has been installed at the Travers Street reserve and the lawn will be laid in spring. Irrigation bas been installed at the Field Street reserve and lawn will be laid in spring. Financial Implications – Nil Strategic Plan Strategy 1.1.1 Regularly inform the community of Council activities, decision and actions. Promote positive stories, positive image. Articulate the positive approach the City takes. Social media, real time posts. Legislation Local Government Act 1999 Environment Protection Act 1993
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Officer Direct or Indirect Interest – Nil Risk Assessment – Nil Social Considerations – Nil Community Engagement – Not applicable Environmental Implications – Not applicable Communication – Not applicable Conclusion The Infrastructure Directorate continues to provide maintenance and implement upgrades to community assets.
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13.3
INFRASTRUCTURE
13.3.2 Recycled Products Policy Council Meeting 17 September 2018 Author’s Title: Director Infrastructure Directorate: Infrastructure Annexure: A – Draft Recycled Product Policy B – Recycled Plastic Products in use Officer Direct or Indirect Conflict of Interest:
Status:
In accordance with Local Government Act 1999, Section 120
Information classified confidential under Section 90(2) of the Local Government Act
Director: File No.:
David Klye 0‐2
Yes
No
Yes
No
In accordance with Section 91A of the Local Government (Elections) Act 1999, this report has been prepared with consideration to the Election Caretaker Policy.
Reason – Not applicable
PURPOSE
To provide Council with a draft policy for consideration on Council use of recycled products within the City. SUMMARY
Council’s stated strategic position is to: protect our natural environment; minimise our ecological footprint; minimise the impact of environmental issues on the city; promote environmental sustainability; and reduce carbon emissions as an organisation. The use of recycled material products will assist in achieving these aims. The draft Recycled Products Policy attached at Annexure “A” would, if adopted, provide general guidance to the organisation to use recycled products in the course of Council business, where appropriate. RECOMMENDATION
That Council adopt the draft Recycled Products Policy attached at Annexure “A”.
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13.3.2 Recycled Products Policy REPORT BACKGROUND Council, at its Ordinary Council Meeting held on 18 December 2017, resolved: C3274‐2017 “That the Whyalla City Council prepare a report on the use of recycled plastic/composite products within the City with an aim to prepare a policy which endorses the use of these products in parks, gardens, reserves and signage applications.” DISCUSSION Council’s stated strategic position is to protect our natural environment, minimise our ecological footprint and the impact of environmental issues on the city, to promote environmental sustainability and aim to reduce carbon emissions as an organisation. The use of recycled material products will assist in this strategic aim. Council has utilised recycled plastic / fibre composite products in our parks, reserves and civil works with good results. Recycled plastic products have many benefits including being resistant to termites, micro‐organisms and moisture, and will not rot, rust or need painting. Recycled plastic products include, but are not necessarily limited to, decking, fencing / barriers (post and rail), screening, furniture (seats and tables), boardwalks, wheel stops, swale bridges, marine products (boat abutments / fenders), sand ladders, railway sleepers, horse yards, bin surrounds, signage, playground edging and capping, retaining and retention walls, signs and markers, pontoons. Some of the locations in Whyalla where recycled plastic products have been utilised include the foreshore, wetlands, Hummock Hill, dog park and signage at the Shingle Dunes. The most popular items that Council have purchased and installed include benches, seats and bollards (refer to Annexure “B”). The development of road building materials containing high proportions of recycled materials is another opportunity where Council could reduce its environmental footprint. The draft Recycled Products Policy would, if adopted, provide general guidance to the organisation to use recycled products in the course of Council business where appropriate. Financial Implications – Nil
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Strategic Plan Objective 2.2 – To protect our natural environment, minimise our ecological footprint and the impact of environmental issues on the city. Strategy 2.2.2 – Promote environmental sustainability and aim to: reduce carbon emissions as an organisation and across the city; and reduce waste levels into landfill. Legislation Local Government Act 1999 Risk Assessment – Not applicable Social Considerations – Nil Community Engagement – Not required Environmental Implications This policy, if adopted, will have a positive environmental impact. Communication The policy will be published on the Council web‐site. Conclusion Adoption of the draft Recycled Products Policy would further Council’s stated strategic position and provide general guidance to the organisation to use recycled products in the course of Council business where appropriate.
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Annexure "A"
Whyalla City Council
Recycled Products Policy Type
Controlled
GDS Category
*** – Public/Internal
Responsible Officer
Director Infrastructure
Policy Adopted
September 2018
Review Period
2 Years
Last Reviewed
NEW POLICY
Next Review Date
September 2020
Policy Version Number
Version 1
Applicable Legislation
Not Applicable
Related Documents
Whyalla City Council Strategic Plan 2017‐2022 Objective 2.2
Public Consultation Required
Purpose
The Recycled Products Policy seeks to ensure that Council will, where practicable, consider the use of products that are made from recycled material.
Not Applicable
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Recycled Plastic Products Policy – Version 01 – September 2018
2
1.
Introduction Council’s Strategic Plan Objective 2.2 states Council’s commitment to reduce its impact on the Environment. The purchase and use of products made from recycled materials that are Australian made will reduce Council’s environmental impact. Using recycled content products is also a way to reduce other environmental issues associated with the use of products and items made from new materials. An added benefit of the recycled plastic products is that they can have an extremely long life minimizing maintenance and replacement costs for Council. Many of the recycled plastic products do not require on going painting general maintenance, are not vulnerable to attack by insects, they repel water and are easy to clean and often, graffiti can be removed with a citrus based cleaner.
2.
Policy Objective The objective of this policy is to ensure Council’s reliance on new material products is reduced and that Council actively investigates and where practicable increases Council’s use of recycled products.
3,
Scope and Responsibilities This policy applies to purchases of products and items where appropriate and fit for purpose recycled content products are readily available.
4.
Policy Statement Council will when requesting quotes for products that may have recycled material equivalents shall seek quotes for Australian made recycled content products for comparison. Products that have a recycled content may include, but are not limited to; • Street Furniture • Bollards • Garden and Landscape Materials • Traffic Management Products • Sport and Recreational Products • Signage • Office Products • Building Products • Furniture • Road and Pavement Products Council will aim to purchase high quality Australian made recycled content products over comparable items made from new source materials.
5.
Authority Authorised by Council on date of meeting
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Annexure “B”
Dog Park Agility Equipment
Recycled Plastic Seating
Fitzgerald Bay Signage
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13.3
INFRASTRUCTURE
13.3.3 Extinguishment of Easement – Lot 27 in DP10074 (Walker Crescent) Council Meeting 17 September 2018 Author’s Title: Project Manager, Assets & Programming Director: Directorate: Infrastructure File No.: Annexures: Annexure A – Diagram for Certificate of Title Volume 5500 Folio 100 Annexure B – Aerial Photograph Annexure C – Submission Number One (received 28 May 2018) Annexure D – Submission Number Two (received 5 June 2018) Annexure E – Submission Number Three (received 14 June 2018) Annexure F – Correspondence from Whyalla High School Officer Direct or Indirect Conflict of Interest: Status: In accordance with Local Government Act 1999, Section 120
David Klye 3‐100
Information classified confidential under Section 90(2) of the Local Government Act
Yes
No
Yes
No
In accordance with Section 91A of the Local Government (Elections) Act 1999, this report has been prepared with consideration to the Election Caretaker Policy.
Reason – Not applicable PURPOSE To consider the extinguishment of an easement which provides public right of way over Lot 27 in DP10074 (Walker Crescent). SUMMARY Council has undertaken public consultation in relation to the extinguishment of an easement located at Lot 27, Walker Crescent as per Council recommendation (C3377/2018). A letter drop to 53 nearby properties resulted in Council receiving three submissions. From these responses, one was in support and two were in opposition. Given the opposing submissions, Council ratification is required prior to any further action on this matter. RECOMMENDATION That Council proceed with the extinguishment of the easement located on Lot 27 in DP10074 (Walker Crescent) to mitigate the associated risks.
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13.3.3 Extinguishment of Easement – Lot 27 in DP10074 (Walker Crescent) REPORT BACKGROUND At the Ordinary Council Meeting held on 21 May 2018, Council resolved: C3377‐2018 1. subject to no substantive objections being raised during public consultation, endorse the extinguishment of the right of way easement located within Lot 27 in DP10074 and marked as A in the Diagram for Certificate of Title Volume 5500 Folio 100 (Annexure “A”); and 2.
accept no liability for the costs associated with extinguishment of the easement or for the return of the easement to its natural state.
At the Ordinary Council Meeting held on 20 August 2018, Council resolved: C3479‐2018 That the matter under reference (Item 13.3.4 – Extinguishment of Easement – Lot 27 in DP10074 (Walker Crescent) lie on the table. DISCUSSION Council received a request from the adjoining property owner requesting that the free and unrestricted right of way over a portion of Lot 27, marked as ‘A’ on Annexure “A” be removed. It is the intention of the current owners of Lot 27 to sub‐divide the property and the adjoining owners would seek to purchase the land currently comprising the easement. The easement contains a concrete path installed from the Walker Crescent footpath to the public utility reserve (laneway) running along the rear of the properties in Barson Street. An aerial photograph of the area is attached as Annexure “B”. There are two possible options for Council to consider Option 1 – Retain Easement Council could retain the easement in its current state. The path has been in place for many years with no reports of injury to pedestrian users. The land where the path is constructed slopes but the gradient is within acceptable tolerances. However, the laneway that the path directs pedestrians to is not maintained to a standard suitable for pedestrian use and could at times contain trip or slip hazards. In addition, the laneway is used by vehicular traffic and there is no method available to separate vehicles from pedestrians.
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Option 2 – Extinguish Easement If Council were to proceed with the extinguishment of the easement, the associated risks to pedestrians would be mitigated. Pedestrians would have use of the concrete footpath network as a safe alternative. Public consultation was completed in line with Council’s Public Consultation Policy and closed on 15 June 2018. Notices were delivered via a letter‐drop to 53 properties within the immediate block. Three written submissions were received, one in support of the extinguishment (Annexure “C”) and two opposed (Annexures “D” and “E”). Statistics for the response rate calculated at 5.4% are shown below – this response rate is considered low. Number Percentage Responses Support 1 1.9% Oppose 2 3.7% Total Responded Total 3 5.6% Did not respond Total 51 94.4% As a result of public consultation, further consideration is required prior to taking any action on this matter. Submissions opposing the extinguishment from long‐standing residents within the area advised that anti‐social behaviour and the gradient of the path present no issues; and, that the path was extensively used by residents walking their dogs, walking to the shops and by school children attending the surrounding schools. The submission supporting the extinguishment cited security concerns with people accessing the vacant land day and night and although not observed recently, school students smoking on the property. Safety concerns for pedestrians were not raised within any of the submissions received. It must be noted that laneways are created for public utility services and are maintained to allow for vehicular access to public utility infrastructure. The laneways are not maintained to a standard suitable for pedestrian use. The current situation of directing pedestrians to a laneway and the possible liability issues if pedestrian safety is compromised must be considered in the decision making process. Feedback has been sought from Whyalla High School who have indicated that they would have no objection to the easement being extinguished if it is deemed unsafe (Annexure “F”). A pedestrian traffic survey was undertaken of the easement on two mornings and one evening – five (5) children used the easement on each of the mornings and there was no pedestrian traffic during the evening period of the survey.
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The continued use of the easement and the walkway will necessitate significant further investment to reduce the safety risk to users. A Disability Discrimination Act (DDA) compliant footpath has been provided to only 42 metres of the 126 metre path; from Walker Crescent to Farrell Street. The cost to extend the concrete footpath to Farrell Street in estimated to cost $10,000. This further investment will also result in additional maintenance cost to Council. Financial Implications – Nil Strategic Plan Objective 2.4 – To ensure that infrastructure is maintained and managed to meet the community’s economic, social and physical needs Strategy 2.4.2 – Continue to look for opportunities to rationalise and dispose of surplus assets in order to reduce long‐term operation and capital costs. Legislation Local Government Act 1999 Officer Direct or Indirect Interest No officer involved in the preparation of this report has any conflicts of interest. Risk Assessment – Nil Social Considerations – Nil Community Engagement Public consultation has been undertaken regarding the extinguishment of the easement. Environmental Implications – Nil Communication – Nil Conclusion The easement has limited value as evidenced by the low use highlighted by the traffic survey. The continued use of the easement and the walkway will necessitate significant further investment to reduce the safety risk to users. This further investment will also result in additional maintenance cost to Council. Extinguishment of the easement contained within Lot 27 in DP10074 would save Council significant cost and serve to mitigate risks associated with the use of the easement. It will also encourage pedestrians to utilise the existing footpath network.
Annexure "A" Page 52
Annexure "B" Page 53
PUBLIC U TILITY RE SERVE
EET L STR L E R FAR
End Co nc ret eP
ath
Lot 27 DP10074
Start
WALK ER
CRES C
ENT
Annexure "C"
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Monday, May 28, 2018
Whyalla City Council PO Box 126 WHYALLA, 5600 SOUTH AUSTRALIA Dear
,
I received your letter addressed to ‘The Resident’ with regard to the extinguishment of an easement on Lot 27 Walker Crescent. I am the owner and resident of
Kittel Street and my property backs onto the
property in question. I fully support the extinguishment of the easement as it has concerned me for some time. People are present on that easement and the property at all hours of the day and night. There is a security light on the property above the property in question and that faces the easement. That light frequently goes on and off at night.
Quite some time ago I noticed high school students
smoking on this property on their way to school. I gave up ringing the school about this problem as they showed no interest. My concern was that smoking in an area that has dry vegetation is not a good idea and that my property would be right in its path. They seemed not to care. I have not observed any of this activity recently but I have not been in the position to either. The sooner a house is built on this block and a family moves in the better it will be for my family as we have not felt safe for quite some time.
Yours Faithfully
Annexure "D"Page 55
Annexure "E" Page 56
From: Sent: To: Subject:
Dear
Thursday, 14 June 2018 10:41 PM Council Mail Box IE67376 - 1-129 - Attention: Crescent
Re: Extinguishing of Easement on Walker
,
It is with great surprise that we heard of the laneway near our house having so many problems May we oppose this movement in the strongest terms and ask for a proper explanation I’ve lived within 200 metres of this path most of my adult life and never noticed a problem May we know who the complainant/s is, an any proof of these claims, that appear unsubstantiated Or is this a simple land grab by influential persons who can manipulate council members, employees or planning laws Is it an action from people with so much money they employ planning advocates to find loop holes in planning laws Firstly, if there is a problem with the slope, this is the perfect opportunity for council to improve it I very much doubt there is any substance to this claim and I could point out much worse paths in town We use this path at night when walking the dog and have never had any trouble It predates both parties adjacent to it, who knew full well of the easement when they bought their properties The owners of Lot 27 (through their Advocate) were told by the Planning Committee meeting I attended the path would remain The concern of the traffic interface is the same at the interface at any lane and path intersection Talking to neighbours no evidence of anti‐social behaviour or problems is forthcoming Does the complainant, have police reports or corroborated evidence or is there multiple complainants or is it anecdotal Is the neighbour of the vacant block Lot 27 a complainant in which case it’s hard to imagine how Walker Crescent is a quiet street with very poor access from the West, North and East The easement is a very welcome thoroughfare to go shopping, walk the dog and used by numerous school children It is a valued amenity by all that use it and the Park Land that was extinguished on that land was a land grab too The only anti‐social behaviour I have noticed there is the removal of a Myall Tree by chain saw on Council land adjacent to the path Which is coincidentally where the drive way for Lot 27 is planned, we complained about that and nothing happened We had Council Planning Committee assurance the native vegetation would be protected, numerous sapling have been removed Can we attend the meeting and represent ourselves at the meeting where this is discussed or are we blocked from seeking natural justice The lack of community consultation, supports this view Thankyou
1
Annexure "F" Page 57
From: Sent: To: Cc: Subject:
Friday, 3 August 2018 12:40 PM IE68611 - 1-129 - Pathway
Categories: SSDisposalMethod: SynergySoft:
Hi
EasyRecordsAutoDisposal DELETE IE68611 - 1-129
,
As outlined over the phone, the school does not have any concerns with the removal of the pathway near walker crescent if the council believes it to be unsafe for the students and parents to be accessing it. The members of Whyalla High School can use alternative routes if required. Kind regards,
Whyalla High School | A Year 8-10 School Broadbent Terrace, WHYALLA SA 5600 P 08 8645 8844 F 08 8645 0057 E www.whyallahs.sa.edu.au RESPECT | INCLUSION | RELATIONSHIPS | LEARNING ACHIEVEMENT
This message is intended for the addressee named and may contain privileged information or confidential information or both. If you are not the intended recipient please delete it and notify the sender.
1
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13.4
EXECUTIVE
13.4.1 Chief Executive Officer’s Action Report – September 2018 Council Meeting 17 September 2018 Author’s Title: Executive Officer Director: Chris Cowley Directorate: Executive File No.: 1‐0 Annexures: A – Chief Executive Officer’s Action Report for September 2018 B – Outstanding Actions taken on notice by Council’s Administration for September 2018 C – Committee/ Working Party/ Workshop/ Sub‐committee Meetings Listing Officer Direct or Indirect Conflict of Interest: Status: In accordance with Local Government Act 1999, Section 120
Yes
No
Information classified confidential under Section 90(2) of the Local Government Act
Yes
No
In accordance with Section 91A of the Local Government (Elections) Act 1999, this report has been prepared with consideration to the Election Caretaker Policy.
Reason – Not applicable PURPOSE This report details the specific actions taken in respect to all resolutions of Council and outstanding actions of Council which have been taken on notice by Council’s administration. SUMMARY Council resolutions to be actioned are listed as at Annexure ‘A’ and outstanding actions as at Annexure ‘B’. This enables the Elected Body to view outstanding resolutions and actions and gives advice as to the timeframe for the completion and outcome of the said resolutions. Annexure ‘C’ lists Elected Member representation at meetings held during the month and meetings to be held over a period of three (3) months. RECOMMENDATION That Council receive and note the Chief Executive Officer’s Action Report – September 2018.
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13.4.1 Chief Executive Officer’s Action Report – September 2018 REPORT
BACKGROUND
This report details the specific actions taken in respect to all resolutions of Council and outstanding actions of Council which have been taken on notice by Council’s administration. DISCUSSION
The attached Annexures, refer to Annexures ‘A’, ‘B’ and ‘C’ list outstanding Council resolutions and actions from previous Council meetings, and meetings with Elected Member representation held over the month and meetings to be held over a period of three (3) months. Each outstanding resolution item has been allocated to a relevant Group Manager / Council officer. This report, and annexures, provides a description of the process which is to be followed and time frame allocated to outstanding resolutions and / or actions. Financial Implications – Nil Strategic Plan
Objective 1.1 – Unearth community pride within the city Strategy 1.1.1 – Regularly inform the community of Council activities, decisions and actions
Promote positive stories, positive image
Articulate the positive approach the city takes Legislation – Nil Officer Direct or Indirect Interest
The Executive Management Team are aware of their obligations in declaring a ‘conflict of interest’ in regards to any items discussed within this report. Risk Assessment – Nil
Social Considerations – Nil
Community Engagement – Not applicable
Environmental Implications – Not applicable
Communication – Not applicable Conclusion
Council administration ensures that all outstanding Council resolutions and actions are completed within an appropriate timeframe. The Elected Body are advised through the two attached annexures of the process to be followed and the timeframes to be applied.
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ANNEXURE “A”
Executive Officer’s Outstanding Resolution Report – September 2018 Meeting
Council Meeting Date
C2143‐2017 20/03/17
C3240‐2017 20/11/17
C3264‐2017 18/12/17
Expected Completion Date
Outstanding Action
Actioned by
Works in Progress – Planning, Development, Tourism, Health and Regulatory Services – Matter Arising That a report on the planned style and content of the proposed Information Bay Boards and the exploration in the use of digital information on the proposed Information Bay Boards be submitted to Council at an Informal Gathering. Tanderra ‘B’ Block (Original BHP Single Men’s Quarters)
DCG
Feb 2019
DI
Sept 2018
DCG
Sept 2018
That a further report be prepared to consider the ramifications of stopping the further deterioration of the facility until such times that Council develops a total vision for the future of the entire Visitor Centre. Native Hills Walking Trail Report That Council: 1 agree in principle to the proposed creation of a walking/biking trail linking Hummock, Tank, Tower Hills and Mount Laura; 2
undertake public consultation and engagement on elements of the walking trail including disabled paths and boardwalks; and
3
following public consultation, develop and refine the scope for future stages of the project, including the planned installation of stairs, guardrails, track markers, zebra crossings and other signage as necessary to make the existing walking tracks safe, clearly defined and as durable as possible.
Comments
Undertaking audit – in progress
Information gathering process underway. Quote from AZTEC to prepare a report will be received by 14 September. Report to be submitted following 2018 Election Caretaker Period. Will form part of the overall review of Council‐wide Master Plans. Refer to Agenda Item 13.2.2 contained within this Agenda.
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ANNEXURE “A”
Chief Executive Officer’s Outstanding Resolution Report – September 2018 Meeting
Council Meeting Date
Expected Completion Date
Outstanding Action
Actioned by
C3272‐2017 18/12/17
Airport Master Plan That Council revisit the current Airport Master Plan and investigate the inclusion for upgrades that would be required to accommodate interstate and international flights.
DCG
Oct 2018
C3274‐2017 18/12/17
Recycled Products That the Whyalla City Council prepare a report on the use of recycled plastic/composite products within the City with an aim to prepare a policy which endorses the use of these products in parks, gardens, reserves and signage applications. Reconciliation Action Plan That the Mayor and the Whyalla City Council develop a Reconciliation Action Plan in consultation with local Aboriginal representatives.
DI
Sept 2018
DCG
Dec 2018
C3300‐2018 22/01/18
Comments
Rescission motion laid on the table, refer C3321‐2018. Staff to develop a Council‐wide Action Plan projecting the next five (5) years which includes updating and reviewing current Council Master Plans. On hold pending outcome of QANTAS bid – Council recently advised of unsuccessful bid. Revisit Council’s strategic direction, undertake assessment of the airport and report back to Council once completed. Refer to Agenda Item 13.3.2 contained within this Agenda.
In progress.
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ANNEXURE “A”
Chief Executive Officer’s Outstanding Resolution Report – September 2018 Meeting
Council Meeting Date C3322‐2018 19/02/18
C3383‐2018 21/05/18
C3385‐2018 21/05/18
C3457‐2018 16/07/18
Expected Completion Date
Comments
Outstanding Action
Actioned by
Civic Master Plan That the Whyalla City Council scope out a Master Plan for Civic Park, Schultz Reserve; the roadsides lining Nicolson Avenue and McDouall Stuart Avenue, and seek a quotation for the development of the Plan in readiness for including into the 2018/19 budget. Cultural Plan That the Whyalla Council develop a Cultural Plan which documents and articulates our diverse cultural heritage and identifies actions which can be implemented and/or incorporated into future developments, plans and events. Adani Australia – Public Presentation to Council That the matter regarding Councillor Antonio’s Notice of Motion regarding a request to invite Adani to present to a future public Council meeting be deferred. NAIDOC Week That the Whyalla City Council commit a minimum of $5,000 to support the 2019 NAIDOC Week and this be implemented in the 2018/2019 Budget Review.
DCG
June 2018
DCG
Feb 2019
CEO
TBA
To be reviewed when Adani projects are available for public information.
DC
Sept 2018
This will be included in the September 2018 Budget Review.
All current Council Masterplans will be reviewed and incorporated into the City Transformation Framework Strategy. Included in the 2018/19 budget. To form part of Council’s Strategic Plan.
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ANNEXURE “A”
Chief Executive Officer’s Outstanding Resolution Report – September 2018 Meeting
Council Meeting Date
Outstanding Action
Actioned by
Certification of 2017/18 Financial Statements That Council authorise the Mayor and Chief Executive Officer to certify the 2018 Annual Financial Statements in their final form and sign the Certification Statement. City Entry Statements That Council: 1. undertake public consultation on the design concepts provided in Annexure “A”, seeking public feedback on the proposals; and
DC
Expected Completion Date
Comments
C3468‐2018 20/08/18
C3470‐2018 20/08/18
Completed
DCG
Feb 2019
DCG
2. C3471‐2018 20.08/18
following public consultation, present the concept designs to Council for approval. Dog Registration Fees Information Report That: 1. Council writes to the two local dog training clubs seeking their opinions on the removal of the trained dog reduction in registration fee, and 2. based on the responses received, Council reconsiders the reintroduction of the trained dog fee in setting the 2019/2020 dog registration fees.
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ANNEXURE “A”
Chief Executive Officer’s Outstanding Resolution Report – September 2018 Meeting
Council Meeting Date C3472‐2018 20/08/18
Expected Completion Date
Comments
Outstanding Action
Actioned by
Eyre Reptile and Wildlife Park – Extension to Leased Area That Council approve the extension of the current area leased to Eyre Reptile and Wildlife Park to include those areas formerly leased to WER Enterprises, the Zen Do Kai Club and the common parking area.
DCG
Living Well – Whyalla’s Master Plan for Disability and Ageing That Council: 1. form a focus group, whose function will be to review the Whyalla Master Plan for Disability and Ageing, comprising of: the appointment of Councillors D Knox and Deputy Mayor C McLaughlin; Ms Kristina Roberts – Director City Growth; Mr David Penfold – Regional Development Australia – Whyalla and Eyre Peninsula; and three (3) community members (via public advertisement) Recycled Plastic in Road Construction – Infrastructure That the Chief Executive Officer contact the Melbourne based company developing the product referred to in the report to enquire of what the process and/or cost would be to have a trial run in Whyalla.
DCG
Dec 2019
Currently seeking community membership.
DI
Sept 2018
The recycling company have advised that a trial site will be set up in Adelaide – expect at least 12 months before this product is available to the community.
C3474‐2018 20/08/18
C3477‐2018 20/08/18
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ANNEXURE “A”
Chief Executive Officer’s Outstanding Resolution Report – September 2018 Meeting
Council Meeting Date C3478‐2018 20/08/18
C3479‐2018 20/08/18
C3483‐2018 20/08/18
Expected Completion Date
Comments
Outstanding Action
Actioned by
Whyalla Art Group Request for Assistance That Council: 1. note how the Whyalla Art Group intend on dealing with the roofing, guttering and storm water issues to resolve the structural damage to their building in Darling Terrace; and
DI
Sept 2019
DI
Sept 2018
Refer to Agenda Item 13.3.3 contained within this Agenda.
Funds forwarded to “Buy a Bale”, South Australia.
2. approve the construction of a 1.2m wide x 18m long reinforced concrete slab on its car park adjacent to the Whyalla Art Group Inc building, up to a cost of $4,000, to be funded from Council’s Community Assistance Program Extinguishment of Easement – Lot 27 in DP10074 (Walker Crescent) That the matter under reference (Item 13.3.4 – Extinguishment of Easement – Lot 27 in DP10074 (Walker Crescent) lie on the table. Australian Farmers Drought Donation That the Whyalla City Council make a donation to the Farmers Drought Appeal of $5,000.
CEO
Acronyms: CEO – Chief Executive Officer, DC – Director Corporate; DCG – Director City Growth; DI – Director Infrastructure; MCPR – Manager Communications and Public Relations; ME – Manager Engineering; PE – Project Engineer; CE – Civil Engineer; TEDM – Tourism and Economic Development Manager; PO – Planning Officer; IAO – Internal Auditing Officer; PMAP – Project Manager Assets and Programming; PML – Project Manager Landscape; MEHR ‐ Manager Environmental Health and Regulatory
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ANNEXURE “B”
Chief Executive Officer’s Outstanding Actions Report – September 2018 Meeting Council Meeting Date
Outstanding Action
Actioned by
Expected Completion Date
Comments
19/03/18
Mount Laura Homestead Develop a future plan / process with regard to the Homestead site, which includes updating the current plan. Reformation of the Working Party.
DCG
Dec 2018
21/05/18
Seven Sister Dreaming Site That appropriate wording be used at the site upon development. Mount Laura Homestead Museum Three quotes, re security monitoring – how will Council deal with these quotes? Civic Master Plan To be reintroduced for action into Annexure A of the CEOs Report Native Hills Walking Trail That a report be submitted to the September 2018 Council meeting. China Trip That EMT will present to Council on their recent China trip. Use of Slag as a Road Base Investigate the use of slag in road construction. Whyalla Visitor Centre Numbers Question was asked as to why VIC numbers were down. Request was made for visitor numbers at the Mount Laura Museum be taken.
DCG
Ongoing
DCG
Sept 2018
DCG
Reinstated to CEO’s Action Report – Annexure “A”.
DCG
Refer to Agenda Item 13.2.2 contained within this Agenda.
EMT
Presentation to September 2018 Council Meeting.
DI
Dec 2018
DCG
18/06/2018
20/08/2018
20/08/2018
20/08/2018
20/08/2018
20/08/18
In progress. Report to be presented to December 2018 Council Meeting. Process extended due to Government legal arrangement. In progress. In progress. Refer above.
In progress.
Unable to ascertain.
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ANNEXURE “B”
Chief Executive Officer’s Outstanding Actions Report – September 2018 Meeting Council Meeting Date
Outstanding Action
Actioned by
Expected Completion Date
DCG
Map emailed to Elected Members.
DC
At the June 2016 report to Council on the YMCA Entry Fees, it was noted that – “An analysis of the fees by YMCA across the State shows that Whyalla concession fees are below those charged at other centres where ‘Best practice’ charges for concession entry apply. YMCA proposes to bring these into alignment over the next 4 years.” This year, this resulted in a price freeze on the full Adult and Adult Concession fees but a slight price rise with all other fee types.
Comments
20/08/18
20/08/18
City Entrances That a map could have been included in the report for Elected Member’s reference. Whyalla Leisure Centre – Aquatic Entry Increase Cr D Knox asked for clarification on the child concession figures (as listed in the table of the report).
Acronyms: CEO – Chief Executive Officer, DC – Director Corporate; DCG – Director City Growth; DI – Director Infrastructure; MCPR – Manager Communications and Public Relations; ME – Manager Engineering; PE – Project Engineer; CE – Civil Engineer; TEDM – Tourism and Economic Development Manager; PO – Planning Officer; IAO – Internal Auditing Officer; PMAP – Project Manager Assets and Programming; PML – Project Manager Landscape; MEHR ‐ Manager Environmental Health and Regulatory
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ANNEXURE “C”
Chief Executive Officer’s Action Report – September 2018 Meeting
COMMITTEE / WORKING PARTY / WORKSHOP / SUB‐COMMITTEE MEETING(S) Meetings held during the past month: 21 August – 17 September 2018 Meeting Date
Name Of Meeting
Quorum
6 September
Audit Committee Meeting
17 September
Council Meeting
Dates may be subject to change
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ANNEXURE “C”
Chief Executive Officer’s Action Report – September 2018 Meeting
COMMITTEE / WORKING PARTY / WORKSHOP / SUB‐COMMITTEE MEETING(S) Meetings to be held during the next three (3) months: September – November 2018 Meeting Date
Name of Meeting
19 September
Animal Management Sub‐committee Meeting
19 September
Airport Advisory and Security Working Party
15 October
Council Meeting
19 November
Council Meeting
Dates may be subject to change
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13.4
EXECUTIVE
13.4.2 Community Grants Council Meeting 17 September 2018 Author’s Title: Chief Executive Officer Directorate: Executive Annexures – Nil Officer Direct or Indirect Conflict of Interest:
Status:
In accordance with Local Government Act 1999, Section 120
Information classified confidential under Section 90(2) of the Local Government Act
Director: File No.:
Chris Cowley 5‐181
Yes
No
Yes
No
In accordance with Section 91A of the Local Government (Elections) Act 1999, this report has been prepared with consideration to the Election Caretaker Policy.
Reason – Not applicable PURPOSE To consider allocation of Community Grant funding (September 2018 round). SUMMARY All current Community Grant applications have been assessed against the guidelines, and where appropriate, recommendations made to approve grant funding to community organisations. RECOMMENDATION That Council approve community grant funding, totalling $15,500, as per below: Project Amount Group Whyalla Model Railway Society Whyalla Speedway Club Inc UniSA ‐ Department of Rural Health Whyalla City Plaza Business Association Whyalla High School
Model Railway Exhibition SA 410 Sprintcar Championship Mental Health Wellness Festival City Plaza Christmas Street Party WHS 75th Anniversary Celebrations
$2,000 $5,000 $1,500 $2,000 $5,000
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13.4.2 Community Grants REPORT BACKGROUND Community Grant applications are customarily considered by the Community Grants Committee, with the Minutes of these meetings going to the next Ordinary Council meeting for endorsement. However, due to the upcoming Local Government elections, the timing of the grant projects and the imminent caretaker period, legal advice was sought as to the process for the current grant round. It was proposed that given the caretaker period and the timing of the applicant’s events, that it would be appropriate for the Chief Executive Officer to review the applications and make recommendations via a report to Council. This method is supported by the Ombudsman in terms of openness and transparency. DISCUSSION Whyalla City Council currently has four Community Grant rounds per year. The most recent Community Grant round closed on 24 August 2018, with a total of seven organisations applying for grants totalling $20,971.26. All grant applications have been assessed against the guidelines to ensure eligibility and to verify that appropriate supportive documentation (such as financial statements) were attached. Recommendations are framed accordingly. The following grant applications were received: Whyalla Model Railway Society Requested $2,000 to hold a model railway exhibition the weekend of 27/28 October 2018. This will be a family‐orientated event with exhibitors and traders expected to attend from intra and interstate. Total cost of project $12,700. Whyalla Speedway Club Requested $5000 for the South Australian 410 Sprintcar Championships to be held in Whyalla on 24 November 2018. It is expected that this event will attract in excess of 500 people to Whyalla over the weekend. Total cost of project $45,000. Youth Opportunities Association (SA) Inc Requested $5,000 to deliver a Personal Leadership Program to students at Edward John Eyre High School in 2019. This organisation is Adelaide based. Total cost of project $28,000.
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Cocoon Films Requested $471.26 to cover the cost of screening ‘Prisoners and Pups’, a documentary about Adelaide Women’s Prison inmates and their participation in the Greyhound Adoption Program. As this application is under $500 it has been re‐directed to the Donation / Sponsorship budget line to be addressed. UniSA Department of Rural Health Requested $1,500 to hold a Mental Health Wellness Festival on 12 October 2018. This event aims to raise awareness of the mental health services available to support the Whyalla community. Total cost of project $1,500. City Plaza Business Association Requested $2,000 to enable the annual Christmas Street Party to be celebrated immediately following the Christmas Pageant. Total cost of project $5,000. Whyalla High School Requested $5,000 for Whyalla High School’s 75th Anniversary Celebrations. It is anticipated that this event will bring a large number of old scholars and their families into Whyalla for the celebrations planned from 29 November – 4 December 2018. Total cost of project $33,827. Financial Implications The amount of $15,500 will be debited against the Community Grants budget line, leaving a balance of $39,500. Strategic Plan Objective 1.2 To create a vibrant, diverse, actively engaged community with a sense of belonging. Strategy 1.2.1 To host, promote and support events and activities which encourage community involvement, celebrate our diverse multicultural heritage and foster a sense of pride in the community. Strategy 1.2.2 Promote and encourage artistic / cultural endeavours in the community. Legislation – Nil Officer Direct or Indirect Interest – Nil Risk Assessment Due to the upcoming Local Government elections and the imminent caretaker period, legal advice was sought as to the process for the current grant round. This method has been supported by the Ombudsman in terms of openness and transparency.
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Social Considerations The provision of grant funding enables community groups to hold events and activities. These events and activities play an important role in promoting a vibrant and engaged community and encourage visitation to the city. Community Engagement – Nil Environmental Implications – Nil Communication All grant applicants will be advised of the outcome. Conclusion That Council consider the current Community Grant applications and make recommendations accordingly.
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13.4
EXECUTIVE
13.4.3
Election of LGA President
Council Meeting Author’s Title: Directorate:
17 September 2018 Acting Executive Officer Executive
Director: File No.:
Chris Cowley 0‐3
Annexures: Annexure A – Correspondence from Local Government Association Officer Direct or Indirect Conflict of Interest:
Status:
In accordance with Local Government Act 1999, Section 120
Information classified confidential under Section 90(2) of the Local Government Act
Yes
No
Yes
No
In accordance with Section 91A of the Local Government (Elections) Act 1999, this report has been prepared with consideration to the Election Caretaker Policy.
Reason – Not applicable
PURPOSE Council is required to determine by resolution, the candidate they wish to elect for the position of LGA President.
SUMMARY Pursuant to Clause 28 of the Local Government Association of South Australia – Constitution and Rules, nominations for the Office of President were called for and closed on Friday 24 August 2018. Five (5) nominations were received, and as a result of receiving more than the required number of nominations, an election for the position of LGA President will take place.
RECOMMENDATION That Council: 1. 2.
determine the candidate it wishes to elect for the position of LGA President; and nominate *** for this position.
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13.4.3
Election of LGA President
REPORT BACKGROUND The Local Government Association (LGA) has called for nominations for the position of LGA President, to commence from the conclusion of the 2018 Annual General Meeting (AGM) and to remain in office until the conclusion of the 2020 AGM.
DISCUSSION The LGA has received five (5) nominations for the position of LGA President:
Mayor Samuel (Sam) Joel Telfer – District Council of Tumby Bay Mayor David (Dave) James Burgess – Mid Murray Council Mayor Erika Vickery OAM – Naracoorte Lucindale Council Mayor Ann Shirley Fergusson OAM – Mount Barker District Council Mayor Keith Parkes – Alexandrina Council
Refer Annexure “A” – Candidate Profiles. Pursuant to Clause 29.5.3 of the LGA Constitution, Council to determine by resolution the candidate they wish to elect for the position of LGA President.
Financial Implications – Nil Strategic Plan Objective 1.1 – Unearth community pride within the city Strategy 1.1.1 – Regularly inform the community of Council activities, decisions and actions Promote positive stories, positive image Legislation Local Government Association – Constitution and Rules (April 2018) Officer Direct or Indirect Interest – Nil Risk Assessment – Not applicable Social Considerations – Not applicable Community Engagement – Not applicable Environmental Implications – Not applicable Communication – Not applicable
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Conclusion The LGA membership adopted a new constitution at the 2018 Ordinary General Meeting (OGM). While the new Constitution does not take effect until after the 2018 AGM, the transitional provisions adopted at the OGM stipulate that the 2018 LGA elections will be run in accordance with the provisions of the new LGA Constitution.
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Annexure "A"
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Page 85
Page 86
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14.
INFORMATION REPORT
14.1
Mayor L Breuer – List of Engagements
Council Meeting: Author’s Title:
17 September 2018 Mayor
File No.: Directorate:
0‐97 Governance
Annexures – Nil Officer Direct or Indirect Conflict of Interest:
Status:
In accordance with Local Government Act 1999, Section 120
Information classified confidential under Section 90(2) of the Local Government Act
Yes
No
Yes
No
In accordance with Section 91A of the Local Government (Elections) Act 1999, this report has been prepared with consideration to the Election Caretaker Policy.
Reason – Not applicable
PURPOSE To provide a list of engagements attended by Mayor Lyn Breuer for the period 15 August – 11 September 2018, inclusive.
SUMMARY A list of engagements attended by Mayor Lyn Breuer.
RECOMMENDATION That Council receive and note the Mayor L Breuer – List of Engagements Report.
Page 89
14.1 Mayor L Breuer – List of Engagements
REPORT BACKGROUND A summary of engagements attended by Mayor Breuer is provided on a monthly basis.
DISCUSSION Wednesday 15 August 2018
Attended the launch of SIMEC ZEN Energy’s renewable energy program – Cultana Solar Farm Project
Attended the unveiling of the Whyalla jetty final design – Whyalla foreshore, which included: -
the City of Whyalla and GFG Alliance announcing a major partnership that will see GFG’s Liberty Primary Steel Operations donate the steel required for the project; and
-
the State Government’s continued support for the project following the 2017 $1M cash contribution.
Monday 20 August 2018
2x Australian Citizenships Council Meeting
Wednesday 22 August 2018
Meeting with Mr T Shoals; Wudinna resident, re energy source/providers Meeting with GFG Alliance representatives, re roll‐out transformation Meeting with Ms D O’Riley; Director New Schools and Mr C Draper; Assistant Director New Schools, re proposed new school Meeting with Council staff, re draft Reconciliation Action Plan
Monday 27 August 2018
1x Australian Citizenship
Tuesday 28 August 2018
Meeting with Mr J Nikolinakos, re entrepreneurial product Attended the 2018 Local Government Elections – Candidate Briefing – Whyalla Public Library
Page 90
Tuesday 4 September 2018 Meeting with Dr LA Bull, PVC Student Engagement and Equity; UniSA and Professor D Campbell; Head of School of Engineering; UniSA – Whyalla Attended Australian Red Cross – 100 Year Membership Celebrations – Whyalla Public Library Financial Implications – Nil Strategic Plan Objective 1.1 – Unearth community pride within the city Strategy 1.1.1 – Regularly inform the community of Council activities, decisions and actions Promote positive stories, positive image Articulate the positive approach the city takes Legislation – Not applicable Officer Direct or Indirect Interest – Not applicable Risk Assessment – Not applicable Social Considerations – Not applicable Community Engagement – Not applicable Environmental Implications – Not applicable Communication – Not applicable Conclusion – Not applicable
Page 91
COUNCIL MEETING – 17.09.18
15.
NOTICES OF MOTION – Nil Extract Regulation Local Government (Proceedings at Meetings) Regulations 2013 12—Motions (1) A Member may bring forward any business in the form of a written notice of motion.
16.
(2)
The notice of motion must be given to the Chief Executive Officer at least five clear days before the date of the meeting at which the motion is to be moved.
(3)
A motion the effect of which, if carried, would be to revoke or amend a resolution passed since the last periodic election of the council must be brought by written notice of motion.
(4)
If a motion under sub‐regulation (3) is lost, a motion to the same effect cannot be brought –
(a) until after the expiration of 12 months; or (b) until after the next periodic election, whichever is the sooner. QUESTIONS ON NOTICE – Nil Extract Regulation Local Government (Proceedings at Meetings) Regulations 2013 10—Questions (1) A Member may ask a question on notice by giving the Chief Executive Officer written notice of the question at least five clear days before the date of the meeting at which the question is to be asked. (2)
17. 18.
If notice of a question is given under sub‐regulation (1) – (a)
the Chief Executive Officer must ensure that the question is placed on the agenda for the meeting at which the question is to be asked; and
(b)
the question and the reply must be entered in the minutes of the relevant meeting.
QUESTIONS WITHOUT NOTICE MOTIONS WITHOUT NOTICE
Page 92
COUNCIL MEETING – 17.09.18
19.
COMMITTEE REPORTS 19.1
Confirmation of the Minutes of the Animal Management Sub‐committee Meeting held on Wednesday 16 August 2018
Recommendation That the Minutes of the Animal Management Sub‐committee Meeting held on Wednesday 16 August 2018 be received and the recommendations from this meeting be adopted.
Page 93
MINUTES OF THE ANIMAL MANAGEMENT SUB-COMMITTEE MEETING HELD ON WEDNESDAY 16 AUGUST 2018 AT 5.30 PM IN THE DAVID KNOX ROOM
PRESENT:
Cr D Knox (Elected Member) Dr M Bozkurt (Veterinarian) C Walters (Community Representative) P Klobucar (Community Representative)
OFFICERS IN ATTENDANCE: R Coles (Senior Compliance Officer) 1.
ATTENDANCE RECORD Apologies – S Bowman
2. 3.
DECLARATION OF MEMBERS’ CONFLICT OF INTEREST – Nil MINUTES OF PREVIOUS MEETING Moved: Cr D Knox
Seconded: P Klobucar
AMSC52-2018 That the Minutes of the Animal Management Subcommittee held on Wednesday 30 May 2018 as per copies supplied to Members, be adopted as a true and correct record to that meeting.
Carried Unanimously
Page 94
Animal Management Sub-Committee Minutes – 16.08.18
4.
REPORTS – COUNCIL OFFICERS
4.1
Manager Environmental Health and Regulatory Services – Ordinary Reports
4.1.1
Animal Management Sub-Committee Meeting Action Report Moved: Cr D Knox
Seconded: C Walters
AMSC53-2018 That the Animal Management Sub-committee Meeting Action report, as submitted by the Manager Environmental Health and Regulatory Services, be received and noted.
Carried Unanimously 4.2
Terms of Reference AMSC54-2018 That the updated Terms of Reference be submitted at the next Animal Management Subcommittee Meeting to be held 19 September 2018. Carried Unanimously
5.
Other Business
5.1
Cr D Knox Dog Park - Request whether posters with information regarding the dog park can be devised and given to caravan parks in Whyalla for visitors who have animals travelling with them. Dog Park – Turf maintenance is required in the middle of the park as the turf is very compact and is need of aerating. On-leash/Off leash areas at the Foreshore – Once signage has been installed, would like authorised officer to conduct random patrols of the area for the first couple of months to educate the community and seek compliance with the new rules.
5.2
P Klobucar Seeking information on whether the noise levels from events held at Ada Ryan Gardens affects animals contained in the aviaries at the gardens. Rachel advised that prior to the last music event held at the gardens an investigation was carried out by Samantha Bowman, Manager Environmental Health and Regulatory Services who conducted noise meter readings. It was arranged that Scott from the Eyre Reptile and Wildlife Park was prepared to remove the animals if required, however, it was deemed unnecessary.
Page 95
Animal Management Sub-Committee Minutes – 16.08.18
6.
CLOSURE The chair declared the meeting closed at 6:35pm
7.
DATE OF NEXT MEETING Wednesday 19 September 2018 at 5.30pm
Page 96
COUNCIL MEETING – 17.09.18
19.2
Confirmation of the Minutes of the Audit Committee Meeting held on Thursday 6 September 2018
Recommendation 1. That the Minutes of the Whyalla City Council Audit Committee Meeting, held on Thursday 6 September 2018, be received. 2. 2017/18 Financial Statements That Council adopt the Audited Financial Statements for the year ending 30 June 2018. 3. 2018/19 Budget Update incorporating 2017/18 Financial Results That Council: adopt the Budget Update, incorporating the 2017/18 Financial Results; and
the 2018/19 Annual Business Plan and Budget and Long Term Financial Plan be amended to reflect the variances.
Page 97
COUNCIL MEETING – 17.09.18
EXECUTIVE SUMMARY To report to Council, the Audit Committee Minutes; who play a vital role in financial reporting and monitoring the participation of management and external auditors throughout the financial reporting process. The Audit Committee Agenda, for the meeting held on Thursday 6 September 2018, with reports included, can be viewed on Council’s web‐site at www.whyalla.sa.gov.au. The Minutes of the Meeting of the Audit Committee, are hereby presented to Council (refer attached). BACKGROUND The Audit Committee is established under Section 41 of the Local Government Act 1999 (“the Act”); and Section 126 of the Act defines the functions of the Audit Committee. DISCUSSION The following items were the subject of deliberation by the Audit Committee, with each item resolved as follows: Action Report That the Audit Committee receive and note the Action Report. 2017/18 Draft Financial Statements That the Audit Committee: 1. in accordance with Section 126(4) of the Local Government Act 1999, advise that it has reviewed the draft Annual Financial Statements of the Council for the financial year ended 30 June 2018 and, subject to minor changes, is satisfied that they present fairly the state of affairs of Council; and 2.
advise Council’s Auditor that it has reviewed the Annual Financial Statements of the Council for the financial year ended 30 June 2018 and is satisfied that they present fairly the state of affairs of Council; and
3.
notes the Audit Completion Report from Ian McDonald for the financial year ended 30 June 2018.
2017/18 Draft Audit Completion Report That the Audit Committee note the Draft Audit Completion Report from Ian McDonald for the financial year ended 30 June 2018.
Page 98
COUNCIL MEETING – 17.09.18
2017/18 Financial Results That the Audit Committee: 1. recommends the financial results compared with the estimated financial result of Council for the financial year ending 30 June 2018, be presented to Council; and 2.
the 2018/19 Annual Business Plan and Budget be updated to reflect the year end results.
2018/19 Budget Update incorporating 2017/18 Financial Results That the Audit Committee: 1. recommend the Budget Update, incorporating the 2017/18 Financial Results, be submitted to Council for adoption; and 2.
the 2018/19 Annual Business Plan and Budget and Long Term Financial Plan be amended to reflect the variances.
Page 99
MINUTES OF THE AUDIT COMMITTEE MEETING
1.
2. 2.1
HELD ON THURSDAY 6 SEPTEMBER 2018 AT 11.02 AM IN THE COUNCIL CHAMBER PRESENT: Mr S Coates (Chair), Mr J Hayward, Cr C Carter OBSERVERS: Cr T Antonio Chief Executive Officer (Mr C Cowley) Director Corporate (Ms R Dunstall) Senior Finance Officer (Mrs S Vigar) Attendance Record Apologies – Mayor L Breuer Leave of Absence – Nil Declaration of Members’ Conflict of Interests – Nil Minutes of Previous Meeting – 15 May 2018 Confirmation of the Minutes of the Audit Committee Meeting held on Wednesday 27 June 2018 Moved Mr J Hayward, seconded Cr Carter AC214‐2018 That the Minutes of the Audit Committee Meeting held on Wednesday 27 June 2018, as per copies supplied to Members, be adopted as a true and correct record to that meeting.
3. 3.1 3.1.1
Reports – Council Officers
Carried
Corporate – Ordinary Reports Action Report Moved Mr J Hayward, seconded Cr Carter AC215‐2018 That the Audit Committee receive and note the Action Report. Carried
Page 100
Minutes of the Audit Committee Meeting – 06.09.18
3.1.2
Page 2
2017/18 Draft Financial Statements Moved Cr Carter, seconded Mr Hayward AC216‐2018 That the Audit Committee: 1.
in accordance with Section 126(4) of the Local Government Act 1999, advise that it has reviewed the draft Annual Financial Statements of the Council for the financial year ended 30 June 2018 and, subject to minor changes, is satisfied that they present fairly the state of affairs of Council; and
2.
advise Council’s Auditor that it has reviewed the Annual Financial Statements of the Council for the financial year ended 30 June 2018 and is satisfied that they present fairly the state of affairs of Council; and
3.
notes the Audit Completion Report from Ian McDonald for the financial year ended 30 June 2018.
Carried Refer Annexure "A" – General Purpose Financial Statements 3.1.3
2017/18 Draft Audit Completion Report Moved Cr Carter, seconded Mr Hayward AC217‐2018 That the Audit Committee note the Draft Audit Completion Report from Ian McDonald for the financial year ended 30 June 2018.
Carried 3.1.4
2017/18 Financial Results Moved Mr Hayward, seconded Cr Carter AC218‐2018 That the Audit Committee: 1.
recommends the financial results compared with the estimated financial result of Council for the financial year ending 30 June 2018, be presented to Council; and
2.
the 2018/19 Annual Business Plan and Budget be updated to reflect the year end results.
Carried
Page 101
Minutes of the Audit Committee Meeting – 06.09.18
3.1.5
Page 3
2018/19 Budget Update incorporating 2017/18 Financial Results Moved Mr Hayward, seconded Cr Carter AC219‐2018 That the Audit Committee: 1.
recommend the Budget Update, incorporating the 2017/18 Financial Results, be submitted to Council for adoption; and
2.
the 2018/19 Annual Business Plan and Budget and Long Term Financial Plan be amended to reflect the variances.
Carried Refer Annexure "B" – Financial Results 2017/18
4.
Consideration of Confidential Items – Nil
5.
Closure – 11.50 am
6.
Date of Next Meeting – to be advised
Page 102
Annexure "A"
The Corporation of the City of Whyalla GENERAL PURPOSE FINANCIAL STATEMENTS for the year ended 30 June 2018
Whyalla will be a vibrant, attractive city offering the community a diverse range of sustainable economic, social, environmental and cultural opportunities
Page 103
The Corporation of the City of Whyalla General Purpose Financial Statements for the year ended 30 June 2018
Contents 1. Council Certificate
Page 2
2. Primary Financial Statements: - Statement of Comprehensive Income - Statement of Financial Position - Statement of Changes in Equity - Statement of Cash Flows
3 4 5 6
3. Notes to the Financial Statements
7
4. Independent Auditor's Report - Financial Statements
44
5. Independent Auditor's Report - Internal Controls
45
6. Certificates of Audit Independence - Council Certificate of Audit Independence - Audit Certificate of Audit Independence
46 47
page 1
Page 104
The Corporation of the City of Whyalla General Purpose Financial Statements for the year ended 30 June 2018
Certification of Financial Statements
We have been authorised by the Council to certify the financial statements in their final form. In our opinion:
• • • •
the accompanying financial statements comply with the Local Government Act 1999, Local Government (Financial Management) Regulations 2011 and Australian Accounting Standards, the financial statements present a true and fair view of the Council's financial position at 30 June 2018 and the results of its operations and cash flows for the financial year, internal controls implemented by the Council provide a reasonable assurance that the Council's financial records are complete, accurate and reliable and were effective throughout the financial year, the financial statements accurately reflect the Council's accounting and other records .
Christopher Cowley
Lynette Breuer
CHIEF EXECUTIVE OFFIC
MAYOR
Date: 6 September 2018
page 2
Page 105
The Corporation of the City of Whyalla X3A0T
Statement of Comprehensive Income for the year ended 30 June 2018
$ '000
2018
2017
19,905 329 4,042 5,423 49 92 1,219
19,863 313 3,700 7,558 34 93 1,120
31,059
32,681
10,174 12,819 6,869 47
9,757 12,649 6,883 219
Total Expenses
29,909
29,508
Operating Surplus / (Deficit)
1,150
3,173
Notes
Income Rates Revenues Statutory Charges User Charges Grants, Subsidies and Contributions Investment Income Reimbursements Other Income
2a 2b 2c 2g 2d 2e 2f
Total Income Expenses Employee Costs Materials, Contracts & Other Expenses Depreciation, Amortisation & Impairment Finance Costs
Asset Disposal & Fair Value Adjustments Amounts Received Specifically for New or Upgraded Assets
Net Surplus / (Deficit)
3a 3b 3c 3d
4 2g
1
(33) 1,681
2,798
(625) 1,118
3,666
Other Comprehensive Income Amounts which will not be reclassified subsequently to operating result Changes in Revaluation Surplus - I,PP&E
Total Other Comprehensive Income
Total Comprehensive Income 1
9a
286
(1,950)
286
(1,950)
3,084
1,716
Transferred to Statement of Changes in Equity
The above statement should be read in conjunction with the accompanying Notes and Significant Accounting Policies.
page 3
Page 106
The Corporation of the City of Whyalla X3A1T
Statement of Financial Position as at 30 June 2018
$ '000
ASSETS Current Assets Cash and Cash Equivalents Trade & Other Receivables Inventories Total Current Assets Non-Current Assets Financial Assets Infrastructure, Property, Plant & Equipment Other Non-Current Assets Total Non-Current Assets
Notes
5a 5b 5c
6a 7a 6b
TOTAL ASSETS LIABILITIES Current Liabilities Trade & Other Payables Borrowings Provisions Total Current Liabilities Non-Current Liabilities Borrowings Provisions Total Non-Current Liabilities
8a 8b 8c
8b 8c
TOTAL LIABILITIES
Net Assets
2018
2017
3,646 3,520 155 7,321
5,073 3,438 158 8,669
232,660 3,478 236,138
5 234,446 3,381 237,832
243,459
246,501
1,985 125 2,545 4,655
1,697 6,269 2,657 10,623
1,268 1,268
125 1,301 1,426
5,923
12,049
237,536
234,452
37,951 197,460 2,125
35,982 197,174 1,296
237,536
234,452
EQUITY Accumulated Surplus Asset Revaluation Reserves Other Reserves
Total Council Equity
9a 9b
The above statement should be read in conjunction with the accompanying Notes and Significant Accounting Policies.
page 4
Page 107
The Corporation of the City of Whyalla X4A0T
Statement of Changes in Equity for the year ended 30 June 2018 Asset
$ '000
Notes
Accumulated Revaluation Surplus Reserve
Other Reserves
Total Equity
2018 Balance at the end of previous reporting period a. Net Surplus / (Deficit) for Year
35,982
197,174
1,296
234,452
2,798
-
-
2,798
b. Other Comprehensive Income -
286
-
286
Other Comprehensive Income
-
286
-
286
Total Comprehensive Income
2,798
286
-
3,084
c. Transfers between Reserves
(829) 37,951
197,460
829 2,125
237,536
32,693
199,124
919
232,736
3,666
-
-
3,666
- Gain (Loss) on Revaluation of I,PP&E
7a
Balance at the end of period
2017 Balance at the end of previous reporting period a. Net Surplus / (Deficit) for Year b. Other Comprehensive Income -
(1,950)
-
(1,950)
Other Comprehensive Income
-
(1,950)
-
(1,950)
Total Comprehensive Income
3,666
(1,950)
-
1,716
c. Transfers between Reserves
(377) 35,982
377 1,296
234,452
- Gain (Loss) on Revaluation of I,PP&E
Balance at the end of period
7a
197,174
The above statement should be read in conjunction with the accompanying Notes and Significant Accounting Policies.
page 5
Page 108
The Corporation of the City of Whyalla X5A0T
Statement of Cash Flows for the year ended 30 June 2018
$ '000
2018
2017
19,915 329 4,426 5,423 49 92 2,112
19,584 338 3,847 7,707 95 102 3,205
(10,244) (13,955) (47)
(9,909) (14,957) (251)
8,100
9,761
1,681 64 96 10
1,118 12 93 5
Expenditure on Renewal/Replacement of Assets Expenditure on New/Upgraded Assets
(3,981) (1,106)
(3,711) (1,945)
Net Cash provided by (or used in) Investing Activities
(3,236)
(4,428)
Repayments of Borrowings Repayment of Bonds & Deposits
(6,269) (22)
(963) -
Net Cash provided by (or used in) Financing Activities
(6,291)
(963)
Net Increase (Decrease) in Cash Held
(1,427)
Notes
Cash Flows from Operating Activities Receipts
Rates Receipts Statutory Charges User Charges Grants, Subsidies and Contributions (operating purpose) Investment Receipts Reimbursements Other Receipts Payments
Payments to Employees Payments for Materials, Contracts & Other Expenses Finance Payments Net Cash provided by (or used in) Operating Activities
11b
Cash Flows from Investing Activities Receipts
Amounts Received Specifically for New/Upgraded Assets Sale of Replaced Assets Sale of Surplus Assets Repayments of Loans by Community Groups Payments
Cash Flows from Financing Activities Receipts
Nil Payments
plus: Cash
& Cash Equivalents at beginning of period
Cash & Cash Equivalents at end of period
4,370
11
5,073
703
11
3,646
5,073
The above statement should be read in conjunction with the accompanying Notes and Significant Accounting Policies.
page 6
Page 109
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements X6A0T
for the year ended 30 June 2018
Contents of the Notes accompanying the Financial Statements Note 1 2 3 4 5a 5b 5c 6a 6b 7a (i) 7a (ii) 7b 8a 8b 8c 9a 9b 10 11 12a 12b 13 14 15 16 17 18 19 20 21 22 23
Details Significant Accounting Policies Income Expenses Asset Disposal & Fair Value Adjustments Current Assets Cash & Cash Equivalents Trade & Other Receivables Inventories Non-Current Assets Financial Assets Other Non-Current Assets Fixed Assets Infrastructure, Property, Plant & Equipment Investment Property Valuation of Infrastructure, Property, Plant & Equipment Liabilities Trade & Other Payables Borrowings Provisions Reserves Asset Revaluation Reserve Other Reserves Assets Subject to Restrictions Reconciliation to Statement of Cashflows Functions Components of Functions Financial Instruments Commitments for Expenditure Financial Indicators Uniform Presentation of Finances Operating Leases Superannuation Interests in Other Entities Non Current Assets Held for Sale & Discontinued Operations Contingencies & Assets/Liabilities Not Recognised in the Balance Sheet Events After the Balance Sheet Date Related Party Transactions
Page 8 15 18 20 20 20 20 21 21 22 22 n/a 23 26 27 27 27 28 28 29 30 31 32 36 37 39 40 41 42 n/a 42 n/a 42 43 43
n/a - not applicable
page 7
_
Page 110
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 1. Summary of Significant Accounting Policies The principal accounting policies adopted by Council in the preparation of these consolidated financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
1 Basis of Preparation 1.1 Compliance Standards
with
Australian
Accounting
This general purpose financial report has been prepared on a going concern basis using the historical cost convention in accordance with Australian Accounting Standards as they apply to not-for-profit entities, other authoritative pronouncements of the Australian Accounting Standards Board, Interpretations and relevant South Australian legislation. The financial report was authorised for issue by certificate under regulation 14 of the Local Government (Financial Management) Regulations 2011 dated 6 September 2018. 1.2 Historical Cost Convention Except as stated below, these financial statements have been prepared in accordance with the historical cost convention. 1.3 Critical Accounting Estimates The preparation of financial statements in conformity with Australian Accounting Standards requires the use of certain critical accounting estimates and requires management to exercise its judgement in applying Councils’ accounting policies. Particular areas involving a high degree of judgement or complexity include the estimation of future payments and timing in relation to landfill restoration and jetty demolition. Further information in relation of these liabilities are given in the relevant sections of these Notes. 1.4 Rounding All amounts in the financial statements have been rounded to the nearest thousand dollars ($’000).
2 The Local Government Reporting Entity The Corporation of the City of Whyalla is incorporated under the South Australian Local Government Act 1999 and has its principal place of business at Darling Terrace, Whyalla. These financial statements include the Councils’ direct operations and all entities through which Council controls resources to carry on its functions. In the process of reporting on the Council as a single unit, all transactions and balances between activity areas and controlled entities have been eliminated.
3 Income Recognition Income is measured at the fair value of the consideration received or receivable. Income is recognised when the Council obtains control over the assets comprising the income, or when the amount due constitutes an enforceable debt, whichever first occurs. Where grants, contributions and donations recognised as incomes during the reporting period were obtained on the condition that they be expended in a particular manner or used over a particular period, and those conditions were undischarged as at the reporting date, the amounts subject to those undischarged conditions are disclosed in these notes. Also disclosed is the amount of grants, contributions and receivables recognised as incomes in a previous reporting period which were obtained in respect of the Councils’ operations for the current reporting period. In recent years the payment of untied financial assistance grants has varied from the annual allocation as shown in the table below:
2015/16 2016/17 2017/18
Cash Payment Received $2,119,673 $6,408,936 $4,341,572
Annual Allocation $4,286,849 $4,231,705 $4,287,042
Difference - $2,167,176 +$2,177,231 +$ 54,530
Because these grants are untied, the Australian Accounting Standards require that payments be recognised upon receipt. Accordingly, the operating results of these periods have been distorted compared to those that would have been reported had the grants been paid in the year to which they were allocated. page 8
_
Page 111
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 1. Summary of Significant Accounting Policies (continued) The Operating Surplus Ratio disclosed in Note 15 has also been calculated after adjusting for the distortions resulting from the differences between the actual grants received and the grants entitlements allocated.
4 Cash, Cash Equivalents and other Financial Instruments Cash Assets include all amounts readily convertible to cash on hand at Councils’ option with an insignificant risk of changes in value with a maturity of three months or less from the date of acquisition. Receivables for rates and annual charges are secured over the subject land, and bear interest at rates determined in accordance with the Local Government Act 1999. Other receivables are generally unsecured and do not bear interest. All receivables are reviewed as at the reporting date and adequate allowance made for amounts the receipt of which is considered doubtful. All financial instruments are recognised at fair value at the date of recognition. A detailed statement of the accounting policies applied to financial instruments forms part of Note 13.
5.2 Other Real Estate Held for Resale Properties not acquired for development, but which Council has decided to sell as surplus to requirements, are recognised at the carrying value at the time of that decision. Certain properties, auctioned for non-payment of rates in accordance with the Local Government Act but which failed to meet the reserve set by Council and are available for sale by private treaty, are recorded at the lower of the unpaid rates and charges at the time of auction or the reserve set by Council. Holding costs in relation to these properties are recognised as an expense when incurred.
6 Infrastructure, Property, Plant & Equipment 6.1 Initial Recognition All assets are initially recognised at cost. For assets acquired at no cost or for nominal consideration, cost is determined as fair value at the date of acquisition.
Inventories held in respect of stores have been valued by using the weighted average cost on a continual basis, after adjustment for loss of service potential. Inventories held in respect of business undertakings have been valued at the lower of cost and net realisable value.
All non-current assets purchased or constructed are capitalised as the expenditure is incurred and depreciated as soon as the asset is held “ready for use”. Cost is determined as the fair value of the assets given as consideration plus costs incidental to the acquisition, including architects' fees and engineering design fees and all other costs incurred. The cost of non-current assets constructed by the Council includes the cost of all materials used in construction, direct labour on the project and an appropriate proportion of variable and fixed overhead.
5.1 Real Estate Assets Developments
6.2 Materiality
Real Estate Assets developments have been classified as Inventory in accordance with AASB 102 and are valued at the lower of cost or net realisable value. Cost includes the costs of acquisition, development, borrowing and other costs incurred on financing of that acquisition and up to the time of sale. Any amount by which cost exceeds the net realisable value has been recognised as an expense.
Assets with an economic life in excess of one year are only capitalised where the cost of acquisition exceeds materiality thresholds established by Council for each type of asset. In determining (and in annually reviewing) such thresholds, regard is had to the nature of the asset and its estimated service life. Examples of capitalisation thresholds applied during the year are given below. No capitalisation threshold is applied to the acquisition of land or interests in land.
5 Inventories
Revenues arising from the sale of property are recognised in the operating statement when settlement is completed.
Office Furniture & Equipment Other Plant & Equipment Buildings - New Construction/Extensions
$2,000 $5,000 $10,000 page 9
_
Page 112
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 1. Summary of Significant Accounting Policies (continued) Park & Playground Furniture & Equipment Road Construction & Reconstruction Paving & Footpaths, Kerb & Gutter Drains & Culverts Reticulation Extensions Sidelines & Household Connections Artworks
$5,000 $10,000 $5,000 $5,000 $5,000 $5,000 $5,000
6.3 Subsequent Recognition All material asset classes are revalued on a regular basis such that the carrying values are not materially different from fair value. Significant uncertainties exist in the estimation of fair value of a number of asset classes including land, buildings and associated structures and infrastructure. Further detail of these uncertainties, and of existing valuations, methods and valuers are provided at Note 7. 6.4 Depreciation of Non-Current Assets Other than land, all infrastructure, property, plant and equipment assets recognised are systematically depreciated over their useful lives on a straight-line basis which, in the opinion of Council, best reflects the consumption of the service potential embodied in those assets. Depreciation methods, useful lives and residual values of classes of assets are reviewed annually. Major depreciation periods for each class of asset are listed below. Depreciation periods for infrastructure assets have been estimated based on the best information available to Council, but appropriate records covering the entire life cycle of these assets are not available, and extreme care should be used in interpreting financial information based on these estimates.
5 to 10 years 10 to 20 years 5 to 8 years 5 to 15 years
Building & Other Structures Buildings – Masonry Buildings – Other Construction Buildings – Roofing Park Structures – Masonry Park Structures – Other Construction Playground Equipment Benches, Seats, etc.
Sealed Roads – Surface Sealed Roads – Pavement Unsealed Roads Paving & Footpaths, Kerb & Gutter Drains Culverts Flood Control Structures Dams and Reservoirs Bores Reticulation Pipes – PVC Reticulation Pipes – Other Pumps & Telemetry
15 to 30 years 65 to 100 years 10 to 20 years 25 to 65 years 70 to 100 years 70 to 100 years 70 to 100 years 70 to 100 years 20 to 40 years 70 to 80 years 25 to 75 years 15 to 25 years
Other Assets Library Books Artworks
10 to 15 years indefinite
6.5 Impairment Assets whose future economic benefits are not dependent on the ability to generate cash flows, and where the future economic benefits would be replaced if Council were deprived thereof, are not subject to impairment testing. Other assets that are subject to depreciation are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the amount by which the asset’s carrying amount exceeds its recoverable amount (which is the higher of the present value of future cash inflows or value in use). Where an asset that has been revalued is subsequently impaired, the impairment is first offset against such amount as stands to the credit of that class of assets in Asset Revaluation Reserve, any excess being recognised as an expense. 6.6 Borrowing Costs
Plant, Furniture & Equipment Office Equipment Office Furniture Vehicles and Road-Making Equipment Other Plant & Equipment
Infrastructure
50 to 100 years 20 to 40 years 40 to 60 years 50 to 100 years 20 to 40 years 5 to 20 years 10 to 20 years
Borrowing costs in relation to qualifying assets (net of offsetting investment revenue) have been capitalised in accordance with AASB 123 “Borrowing Costs”. The amounts of borrowing costs recognised as an expense or as part of the carrying amount of qualifying assets are disclosed in Note 3, and the amount (if any) of interest revenue offset against borrowing costs in Note 2.
page 10
_
Page 113
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 1. Summary of Significant Accounting Policies (continued) 7 Payables 7.1 Goods & Services Creditors are amounts due to external parties for the supply of goods and services and are recognised as liabilities when the goods and services are received. Creditors are normally paid 30 days after the month of invoice. No interest is payable on these amounts. 7.2 Payments Received in Advance & Deposits Amounts other than grants received from external parties in advance of service delivery, and security deposits held against possible damage to Council assets, are recognised as liabilities until the service is delivered or damage reinstated, or the amount is refunded as the case may be.
8 Borrowings Borrowings are initially recognised at fair value, net of transaction costs incurred and are subsequently measured at amortised cost. Any difference between the proceeds (net of transaction costs) and the redemption amount is recognised in the income statement over the period of the borrowings using the effective interest method. Borrowings are carried at their principal amounts which represent the present value of future cash flows associated with servicing the debt. Interest is accrued over the period to which it relates, and is recorded as part of “Payables”. Interest free loans are carried at their nominal amounts; interest revenues foregone by the lender effectively being a reduction of interest expense in the period to which it relates.
9 Employee Benefits 9.1 Salaries, Wages & Compensated Absences Liabilities for employees’ entitlements to salaries, wages and compensated absences expected to be paid or settled within 12 months of reporting date are accrued at nominal amounts (including payroll based oncosts) measured in accordance with AASB 119.
(including payroll based oncosts) to be made in respect of services provided by employees up to the reporting date. Present values are calculated using government guaranteed securities rates with similar maturity terms. Weighted avg. discount rate Weighted avg. settlement period
2.20% (2017, 2.09%) 7 years (2017, 7 years)
No accrual is made for sick leave as Council experience indicates that, on average, sick leave taken in each reporting period is less than the entitlement accruing in that period, and this experience is expected to recur in future reporting periods. Council does not make payment for untaken sick leave, but has recognised amounts accrued in the past as part of an enterprise bargaining incentive aimed at reducing work absences. 9.2 Superannuation The Council makes employer superannuation contributions in respect of its employees to the Statewide Superannuation Scheme. The Scheme has two types of membership, each of which is funded differently. No changes in accounting policy have occurred during either the current or previous reporting periods. Details of the accounting policies applied and Councils’ involvement with the schemes are reported in Note 18.
10 Provisions for Reinstatement, Restoration and Rehabilitation Close down and restoration costs include the dismantling and demolition of infrastructure and the removal of residual materials and remediation and rehabilitation of disturbed areas. Estimated close down and restoration costs are provided for in the accounting period when the obligation arising from the related disturbance occurs and are carried at the net present value of estimated future costs. Although estimated future costs are based on a closure plan, such plans are based on current environmental requirements which may change. Councils’ policy to maximise recycling is extending the operational life of these facilities, and significant uncertainty exists in the estimation of the future closure date.
Liabilities for employee benefits not expected to be paid or settled within 12 months are measured as the present value of the estimated future cash outflows page 11
_
Page 114
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 1. Summary of Significant Accounting Policies (continued) 11 Leases Lease arrangements have been accounted for in accordance with Australian Accounting Standard AASB 117. In respect of finance leases, where Council substantially carries all of the risks incident to ownership, the leased items are initially recognised as assets and liabilities equal in amount to the present value of the minimum lease payments. The assets are disclosed within the appropriate asset class and are amortised to expense over the period during which the Council is expected to benefit from the use of the leased assets. Lease payments are allocated between interest expense and reduction of the lease liability, according to the interest rate implicit in the lease. In respect of operating leases, where the lessor substantially retains all of the risks and benefits incident to ownership of the leased items, lease payments are charged to expense over the lease term.
12 Construction Contracts Construction works undertaken by Council for third parties are generally on an agency basis where the third party reimburses Council for actual costs incurred, and usually do not extend beyond the reporting period. As there is no profit component, such works are treated as 100% completed. Reimbursements not received are recognised as receivables and reimbursements received in advance are recognised as “payments received in advance”. For works undertaken on a fixed price contract basis, revenues and expenses are recognised on a percentage of completion basis. Costs incurred in advance of a future claimed entitlement are classified as work in progress in inventory. When it is probable that total contract costs will exceed total contract revenue, the expected loss is recognised as an expense immediately.
13 Equity Accounted Council Businesses Council participates in cooperative arrangements with other Councils for the provision of services and facilities. Councils’ interests in cooperative arrangements, which are only recognised if material,
are accounted for in accordance with AASB 128 and set out in detail in Note 19.
14 GST Implications In accordance with UIG Abstract 1031 “Accounting for the Goods & Services Tax” Receivables and Creditors include GST receivable and payable. Except in relation to input taxed activities, revenues and operating expenditures exclude GST receivable and payable. Non-current assets and capital expenditures include GST net of any recoupment. Amounts included in the Statement of Cash Flows are disclosed on a gross basis.
15 New accounting standards and UIG interpretations In the current year, Council adopted all of the new and revised Standards and Interpretations issued by the Australian Accounting Standards Board (AASB) that are relevant to its operations and effective for the current reporting period. The adoption of the new and revised Standards and Interpretations has not resulted in any material changes to Councils’ accounting policies. The Corporation of the City of Whyalla has not applied any Australian Accounting Standards and Interpretations that have been issued but are not yet effective. Some Australian Accounting Standards and Interpretations have been issued but are not yet effective. Those standards have not been applied in these financial statements. Council will implement them when they are effective. The standards that are expected to have a material impact upon Councils’ future financial statements are: Effective for annual reporting periods beginning on or after 1 January 2018
AASB 9 Financial Instruments This replaces AASB 139 Financial Instruments: Recognition and Measurement, and addresses the classification, measurement and disclosure of financial assets and liabilities.
page 12
_
Page 115
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 1. Summary of Significant Accounting Policies (continued) The standard introduces a new impairment model that requires impairment provisions to be based on expected credit losses, rather than incurred credit losses. Based on assessments to date, council expects a small increase to impairment losses however the standard is not expected to have a material impact overall.
AASB 15 Revenue from Contracts with Customers, AASB 1058 Income of Not-for-Profit Entities and AASB 2016-8 Amendments to Australian Accounting Standards - Australian Implementation Guidance for Not-for-Profit Entities AASB 15 will replace AASB 118 Revenue, AASB 111 Construction Contracts and a number of Interpretations. AASB 2016-8 provides Australian requirements and guidance for notfor-profit entities in applying AASB 9 and AASB 15, and AASB 1058 will replace AASB 1004 Contributions. Together they contain a comprehensive and robust framework for the recognition, measurement and disclosure of income including revenue from contracts with customers.
The standards are not expected to have a material impact upon Councils’ future financial statements are: Effective for annual reporting periods beginning on or after 1 January 2017
AASB 2014-5 Amendments to Australian Accounting Standards arising from AASB 15
AASB 2015-8 Amendments to Australian Accounting Standards – Effective Date of AASB 15
AASB 2016-7 Amendments to Australian Accounting Standards - Deferral of AASB 15 for Not-for-Profit Entities
Effective for annual reporting periods beginning on or after 1 January 2018
AASB 9 Financial Instruments
AASB 15 Customers
Revenue
from
Contracts
with
Council is still reviewing the way that income is measured and recognised to identify whether there will be any material impact arising from these standards.
AASB 2010-7 Amendments to Australian Accounting Standards arising from AASB 9 (December 2010)
Effective for annual reporting periods beginning on or after 1 January 2019
AASB 2014-1 Amendments Accounting Standards (Part E)
AASB 2014-7 Amendments to Australian Accounting Standards arising from AASB 9 (December 2014)
AASB 2016-3 Amendments to Australian Accounting Standards – Clarifications to AASB 15
AASB 2016-5 Amendments to Australian Accounting Standards – Classification and Measurement of Share-based Payment Transactions
AASB 2016-6 Amendments to Australian Accounting Standards - Applying AASB 9 Financial Instruments with AASB 4 Insurance Contracts
AASB 2017-3 Amendments to Australian Accounting Standards – Clarifications to AASB 4
AASB 16 Leases Council has some leases that are not in the Statement of Financial Position. These will need to be included when this standard comes into effect. A lease liability will initially be measured at the present value of the lease payments to be made over the lease term. A corresponding rightof-use asset will also be recognised over the lease term. If this requirement had been adopted at 30 June 2018 management estimate that net assets would not have decreased.
to
Australian
page 13
_
Page 116
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 1. Summary of Significant Accounting Policies (continued) Effective for annual reporting periods beginning on or after 1 January 2019
individually reported for the first time within these financial statements and/or the notes.
AASB 16 Leases
18 Disclaimer
AASB 16 Leases (Appendix D)
AASB 1058 Income of Not-for-Profit Entities
Nothing contained within these statements may be taken to be an admission of any liability to any person under any circumstance.
AASB 1058 Income of Not-for-Profit Entities (Appendix D)
AASB 2016-8 Amendments to Australian Accounting Standards Australian Implementation Guidance for Not-for-Profit Entities
AASB 2017-1 Amendments to Australian Accounting Standards – Transfers of Investment Property, Annual Improvements 2014-2016 Cycle and Other Amendments
AASB 2017-4 Amendments to Australian Accounting Standards – Uncertainty over Income Tax Treatments
AASB 1059 Service Concession Arrangements: Grantors
AASB 1059 Service Concession Arrangements: Grantors (Appendix D)
Effective for annual reporting periods beginning on or after 1 January 2021
AASB 17 Insurance Contracts
AASB 17 Insurance Contracts (Appendix D)
16 Full Cost Attribution In reviewing Councils’ allocation of each type of cost and the reliability of that allocation, costs are allocated directly wherever possible. This has resulted in a reduction on the type of costs allocated indirectly to a function.
17 Comparative Figures To ensure comparability with the current reporting period’s figures, some comparative period line items and amounts may have been reclassified or
page 14
Page 117
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 2. Income X8A19T
$ '000
Notes
2018
2017
(a). Rates Revenues X8A0T
General Rates General Rates Less: Mandatory Rebates Less: Discretionary Rebates, Remissions & Write Offs Total General Rates Other Rates (Including Service Charges) Natural Resource Management Levy Waste Collection Total Other Rates Other Charges Penalties for Late Payment Total Other Charges Less: Discretionary Rebates, Remissions & Write Offs
Total Rates Revenues
15,756 (168) (28) 15,560
15,747 (159) (91) 15,497
857 3,591 4,448
915 3,594 4,509
151 151
139 139
(254)
(282)
19,905
19,863
37 34 1 206 21 30
22 33 1 188 29 40
329
313
337 292 187 302 127 787 69 390 1,551
295 273 150 265 106 719 105 322 1,465
4,042
3,700
(b). Statutory Charges X8A1T
Development Act Fees Town Planning Fees Health & Septic Tank Inspection Fees Animal Registration Fees & Fines Parking Fines / Expiation Fees Other Licences, Fees & Fines
Total Statutory Charges
(c). User Charges X8A2T
Cemetery/Crematoria Fees Hall & Equipment Hire Sales - General Subsidies Received on Behalf of Users Sundry Airport Charges Marina Fees Child Care Centre Waste Fees
Total User Charges
page 15
Page 118
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 2. Income (continued) $ '000
Notes
2018
2017
38 10 1
19 14 1
49
34
6 16 70
6 1 86
92
93
80 717 186 107 76 53
83 736 105 70 89 37
1,219
1,120
1,681 1,681 4,538 565 142 178 5,423
1,118 1,118 6,409 653 151 345 7,558
7,104
8,676
8 7,024 72 7,104
228 8,366 82 8,676
(d). Investment Income X8A4T
Interest on Investments - Local Government Finance Authority - Banks & Other - Loans to Community Groups
Total Investment Income (e). Reimbursements X8A5T
Roadworks Private Works Joint Undertakings
Total Reimbursements (f). Other Income X8A6T
Insurance & Other Recoupments - Infrastructure, IPP&E Rebates Received Sundry Management Other Income Finance Debt Collection Quarry Income
Total Other Income (g). Grants, Subsidies, Contributions X8A3T
Amounts Received Specifically for New or Upgraded Assets Total Amounts Received Specifically for New or Upgraded Assets Untied - Financial Assistance Grant Roads to Recovery Library and Communications Sundry Total Other Grants, Subsidies and Contributions
Total Grants, Subsidies, Contributions The functions to which these grants relate are shown in Note 12. (i) Sources of grants Commonwealth Government State Government Other Total
page 16
Page 119
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 2. Income (continued) $ '000
Notes
2018
2017
1,297
920
(h). Conditions over Grants & Contributions Grants and contributions which were obtained on the condition that they be expended for specified purposes or in a future period, but which are not yet expended in accordance with those conditions, are as follows: Unexpended at the close of the previous reporting period Less: Expended during the current period from revenues recognised in previous reporting periods Roads Infrastructure Heritage & Cultural Services Subtotal
(848) (27) (875)
(362) (193) (555)
Plus: Amounts recognised as revenues in this reporting period but not yet expended in accordance with the conditions Roads Infrastructure Heritage & Cultural Services Subtotal
1,665 39 1,704
219 713 932
Unexpended at the close of this reporting period
2,126
1,297
829
377
Net increase (decrease) in assets subject to conditions in the current reporting period
page 17
Page 120 X8A12T
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 3. Expenses X8A20T
$ '000
Notes
2018
2017
8,052 1,245 487 339 419 (368)
7,755 1,156 439 359 415 (367)
(a). Employee Costs X8A7T
Salaries and Wages Employee Leave Expense Superannuation - Defined Contribution Plan Contributions Superannuation - Defined Benefit Plan Contributions Workers' Compensation Insurance Less: Capitalised and Distributed Costs
Total Operating Employee Costs Total Number of Employees (full time equivalent at end of reporting period)
18 18
10,174
9,757
118
115
15 1 279 6 301
15 88 271 48 422
(b). Materials, Contracts and Other Expenses X8AT
(i) Prescribed Expenses Auditor's Remuneration - Auditing the Financial Reports Bad and Doubtful Debts Elected Members' Expenses Election Expenses Subtotal - Prescribed Expenses (ii) Other Materials, Contracts and Expenses Contractors Energy Insurance Maintenance Legal Expenses Levies Paid to Government - NRM levy Parts, Accessories & Consumables Professional Services Sundry Less: Capitalised and Distributed Costs Subtotal - Other Material, Contracts & Expenses
Total Materials, Contracts and Other Expenses
2,023 1,133 373 328 151 853 2,833 3,182 1,694 (52) 12,518
12,819
2,049 934 352 350 125 915 2,546 2,953 2,073 (70) 12,227
12,649
page 18
Page 121
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 3. Expenses (continued) $ '000
Notes
2018
2017
459 1,019 374 87 127 71 3,193 159 453 215 581 131 6,869
447 1,042 374 85 113 75 3,094 159 443 212 677 162 6,883
6,869
6,883
36 11
201 18
47
219
(c). Depreciation, Amortisation and Impairment X8A9T
(i) Depreciation and Amortisation Land Improvements Buildings & Other Structures Infrastructure - Stormwater Drainage - Irrigation Systems - Playgounds - Street Furniture - Roads & Footpaths - Runway Assets Plant & Equipment Furniture & Fittings Landfill Assets Other Assets Subtotal (ii) Impairment Nil
Total Depreciation, Amortisation and Impairment
(d). Finance Costs X8A10T
Interest on Overdraft and Short-Term Drawdown Interest on Loans
Total Finance Costs
page 19
Page 122
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 4. Asset Disposal & Fair Value Adjustments X8A1T
$ '000
Notes
2018
2017
Infrastructure, Property, Plant & Equipment (i) Assets Renewed or Directly Replaced Proceeds from Disposal Less: Carrying Amount of Assets Sold Gain (Loss) on Disposal (ii) Assets Surplus to Requirements Proceeds from Disposal Less: Carrying Amount of Assets Sold Gain (Loss) on Disposal
Net Gain (Loss) on Disposal or Revaluation of Assets
64 (172) (108)
46 (19) 27
96 (21) 75
92 (744) (652)
(33)
(625)
Note 5. Current Assets X8A21T
(a). Cash & Cash Equivalents X8A13T
Cash on Hand at Bank Short Term Deposits & Bills, etc.
Total Cash & Cash Equivalents
843 2,803
4,097 976
3,646
5,073
1,602 10 122 1,543 294 75 20 3,666
1,613 9 35 1,585 230 94 5 12 3,583
(b). Trade & Other Receivables X8A14T
Rates - General & Other Council Rates Postponement Scheme Accrued Revenues Debtors - General GST Recoupment Prepayments Loans to Community Organisations Sundry Subtotal Less: Allowance for Doubtful Debts
X8A1T
Total Trade & Other Receivables
(146)
(145)
3,520
3,438
135 20
140 18
155
158
(c). Inventories X8A15T
Stores & Materials Trading Stock
Total Inventories
page 20
Page 123
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 6. Non-Current Assets X8A2T
$ '000
2018
2017
Receivables Loans to Community Organisations Total Receivables
-
5 5
Total Financial Assets
-
5
(i) Inventories Real Estate Developments Total Inventories
3,154 3,154
3,154 3,154
(ii) Other Capital Works-in-Progress Total Other
324 324
227 227
3,478
3,381
Industrial & Commercial Total Real Estate for Resale
3,154 3,154
3,154 3,154
Represented by: Acquisition Costs Development Costs Finance Costs Total Real Estate of Resale
562 2,414 178 3,154
562 2,414 178 3,154
3,154 3,154
3,154 3,154
Notes
(a). Financial Assets X8A16T
(b). Other Non-Current Assets X8A17T
Total Other Non-Current Assets
Other disclosures Real Estate Developments - Current & Non-Current (Valued at the lower of cost and net realisable value)
(ii) Apportionment of Real Estate Developments Current Assets Non-Current Assets
page 21
Page 124
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018 X9A0T
Note 7a (i). Infrastructure, Property, Plant & Equipment Asset Movements during the Reporting Period as at 30/6/2017
$ '000
Fair Value
At
At
Accumulated
Carrying
Level
Fair Value
Cost
Dep'n
Value
Land Land Land Improvements Buildings & Other Structures Buildings & Other Structures Infrastructure - Stormwater Drainage - Irrigation Systems - Playgounds - Street Furniture - Roads & Footpaths - Runway Assets Plant & Equipment Furniture & Fittings Landfill Assets Other Assets
as at 30/6/2018
Asset Additions
New / Upgrade
Renewals
WDV of Asset Disposals
Depreciation Expense (Note 3c)
1,034 29,533 11,330 5,901 54,033 34,755 1,708 920 216,531 9,319 577 -
447 4,635 83 2,063 550 8,755 371 1,117 5,723 35 5,715 4,132 5,057 3,979
5,341 411 36,968 14,271 638 1,096 766 96,707 3,983 3,268 2,685 4,461 3,262
1,481 29,533 10,624 5,573 19,128 21,034 8,117 983 1,271 125,547 5,371 2,447 1,447 1,173 717
544 270 27 8 4 195 58
843 5 142 57 152 2,130 431 115 -
(111) (75) (7)
(374) (87) (127) (71) (3,193) (159) (453) (215) (581) (131)
Total Infrastructure, Property, Plant & Equipment
365,641
42,662
173,857
234,446
1,106
3,875
(193)
(6,869)
Comparatives
373,894
39,101
174,875
238,120
1,947
4,282
(730)
(6,883)
2 3 3 2 3
(459) (96) (923)
Adjustments & Transfers
-
Revaluation Revaluation Decrements Increments to Equity (ARR) to Equity (ARR) (Note 9) (Note 9)
At
At
Accumulated
Carrying
Fair Value
Cost
Dep'n
Value
9 -
-
286 -
1,034 29,533 11,330 5,901 54,033 34,755 1,708 920 214,950 9,319 577 -
447 6,022 88 2,475 550 8,839 531 1,121 8,049 35 5,839 4,247 5,066 4,026
5,800 507 37,891 14,645 725 1,223 837 98,145 4,142 3,489 2,900 5,042 3,389
1,481 29,533 11,552 5,482 18,617 20,660 8,114 1,016 1,204 124,854 5,212 2,350 1,347 601 637
9
-
286
364,060
47,335
178,735
232,660
52
365,641
42,662
173,857
234,446
(340)
(2,002)
Note 7a (ii). Investment Property Nil
page 22
Page 125
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018 X10A9T
Note 7b. Valuation of Infrastructure, Property, Plant & Equipment & Investment Property
$ '000
Valuation of Assets The fair value of assets and liabilities must be estimated in accordance with various Accounting Standards for either recognition and measurement requirements or for disclosure purposes. AASB 13 Fair Value Measurement requires all assets and liabilities measured at fair value to be assigned to a "level" in the fair value hierarchy as follows: Level 1: Unadjusted quoted prices in active markets for identical assets or liabilities that the entity can access at the measurement date. Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 3: Inputs for the asset or liability that are not based on observable market data (unobservable inputs). Refer to Note 7a for the disclosure of the Fair Value Levels of Infrastructure, Property, Plant and Equipment Assets.
Information on Valuations Certain land, and the buildings and structures thereon, are shown above as being based on fair value hierarchy level 2 valuation inputs. They are based on prices for similar assets in an active market, with directly or indirectly observable adjustments for specific advantages or disadvantages attaching to the particular asset. Valuations of Crown land, community land and land subject to other restrictions on use or disposal, shown above as being based on fair value hierarchy level 3 valuation inputs, are based on prices for similar assets in an active market, but include adjustments for specific advantages or disadvantages attaching to the particular asset that are not directly or indirectly observable in that market, or the number and / or amount of observable adjustments of which are so great that the valuation is more fairly described as being based on level 3 valuation inputs. There is no known market for buildings, infrastructure and other assets. These assets are valued at depreciated current replacement cost. This method involves: - The determination of the cost to construct the asset (or its modern engineering equivalent) using current prices for materials and labour, the quantities of each being estimated based on recent experience of this or similar Councils, or on industry construction guides where these are more appropriate. - The calculation of the depreciation that would have accumulated since original construction using current estimates of residual value and useful life under the prime cost depreciation method adopted by Council. This method has significant inherent uncertainties, relying on estimates of quantities of materials and labour, residual values and useful lives, and the possibility of changes in prices for materials and labour, and the potential for development of more efficient construction techniques.
page 23
Page 126
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 7b. Valuation of Infrastructure, Property, Plant & Equipment & Investment Property (continued) $ '000
Valuation of Assets (continued) Other Information At 1 July 2004 upon the transition to AIFRS, Council elected pursuant to AASB 1.D5 to retain a previously established deemed cost under GAAP as its deemed cost. With subsequent addition at cost, this remains as the basis of recognition of non-material asset classes. ‐ ‐ Upon revaluation, the current new replacement cost and accumulated depreciation are re stated such that the difference represents the fair value of the asset deter mined in accordance with AASB 13 Fair Value Measurement: accumulated depreciation is taken to be the difference between current new replacement cost and fair value. In the case of land, current replacement cost is taken to be the fair value.
Highest and best use All of Council's non financial assets are considered as being utilised for their highest and best use.
Transition to AASB 13 - Fair Value Measurement The requirements of AASB 13 Fair Value Measurement have been applied to all valuations undertaken since 1 July 2013 as shown by the valuation dates by individual asset classes below. Land & Land Improvements - Basis of valuation: Fair Value / Market Value / Written down current replacement cost - Date of valuation: 30 June 2014. - Valuer: Opteon Pty Ltd and Tonkin Consulting Council being of the opinion that it is not possible to attribute a value sufficiently reliably to qualify for recognition, land under roads has not been recognised in these reports. Land acquired for road purposes during the year is initially recognised at cost, but transferred to fair value at reporting date, effectively writing off the expenditure. Freehold land and land over which Council has control, but does not have title, is recognised on the cost basis. No capitalisation threshold is applied to the acquisition of land or interests in land. An internal desktop revaluation was performed as at 30 June 2016. Level 3 classified land and land improvements assets relate to properties where there is an inability or restriction on Council to sell this asset in the open market. All acquisitions made after the respective dates of valuation are recorded at cost.
page 24
Page 127
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 7b. Valuation of Infrastructure, Property, Plant & Equipment & Investment Property (continued) $ '000
Valuation of Assets (continued) Buildings & Other Structures - Basis of valuation: Fair Value / Market Value - Date of valuation: 30 June 2014. - Valuer: Opteon Pty Ltd and Tonkin Consulting An internal desktop revaluation was performed as at 30 June 2016. Buildings have been disclosed as either Fair Value hierarchy Level 2 valuations or as Fair Value hierarchy Level 3 valuations, in accordance with AASB 13 Fair Value Measurement. Building valuations, disclosed as Level 2, are based on prices for similar assets in an active market, with directly or indirectly observable adjustments for specific advantages or disadvantages attaching to the particular asset. Building valuations, disclosed as Level 3 have been determined to have no known market for these assets and they are valued at depreciated current replacement cost. This method involves the determination of the cost to construct the asset (or its modern engineering equivalent) using current prices for materials and labour, the quantities of each being estimated based on recent experience of this or similar Councils, or on industry construction guides where these are more appropriate. This method has significant inherent uncertainties, relaying on estimates of quantities of materials and labour, residual values and useful lives, and the possibility of changes in prices for materials and labour, and the potential for development of more efficient construction techniques. All acquisitions made after the respective dates of valuation are recorded at cost.
Infrastructure Roads, Footpaths and Runways - Written down current replacement cost - Date of valuation: 30 June 2014. - Valuer: Tonkin Consulting A desktop revaluation was performed by Tonkin Consulting within Conquest, Councils’ Asset Management System, at as 1 July 2016 to reflect long life assets in pavement, surface, kerb and footpath assets. All acquisitions made after the respective dates of valuation are recorded at cost. Stormwater Drainage - Written down current replacement cost - Date of valuation: 30 June 2017. - Valuer: Tonkin Consulting All acquisitions made after the respective dates of valuation are recorded at cost.
page 25
Page 128
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 7b. Valuation of Infrastructure, Property, Plant & Equipment & Investment Property (continued) $ '000
Valuation of Assets (continued) Plant, Furniture & Equipment These assets are recognised on the cost basis. All other Assets These assets are recognised on the cost basis. Library books and other lending materials are capitalised in bulk, and written out when fully depreciated.
Note 8. Liabilities X10AT
$ '000
Notes
2018 Current
2018 Non Current
2017 Current
2017 Non Current
1,643 81 166 24 9 62
-
1,388 67 145 55 30 12
-
1,985
-
1,697
-
(a). Trade and Other Payables X10A3T
Goods & Services Payments Received in Advance Accrued Expenses - Employee Entitlements Accrued Expenses - Other Deposits, Retentions & Bonds Other
Total Trade and Other Payables
page 26
Page 129
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 8. Liabilities $ '000
2018 Current
Notes
2018 Non Current
2017 Current
2017 Non Current
(b). Borrowings X10A4T
125
-
6,269
125
125
-
6,269
125
1,993 552 -
98 1,170
2,091 566 -
49 1,252
2,545
1,268
2,657
1,301
Loans
Total Borrowings All interest bearing liabilities are secured over the future revenues of the Council
(c). Provisions X10A5T
Employee Entitlements (including oncosts) Future Jetty Expense Landfill Capping and Closure
Total Provisions Movements in Provisions
$ '000 Carbon Tax
2018 (current & non-current)
Future Jetty Expense
Insurance Future Losses Reinstatement Landfill Future Jetty Capping and Expense Closure
566 552
Opening Balance (Less) Payments (Less) Unused Amounts Reversed Closing Balance
Other Employee Entitlements (including oncosts)
566 (14) 552
1,252 (82) 1,170
2,140 (49) 2,091
Transfers
Impairments
Note 9. Reserves X10A6T
$ '000
1/7/2017 Notes
Increments (Decrements)
30/6/2018
(a). Asset Revaluation Reserve X10AT
Land Land Improvements Buildings & Other Structures Infrastructure - Stormwater Drainage - Playgounds - Street Furniture - Roads & Footpaths - Runway Assets
Total Asset Revaluation Reserve Comparatives
16,925 1,587 14,918 17,158 984 1,168 134,351 10,083
286 -
-
-
16,925 1,587 14,918 17,158 984 1,168 134,637 10,083
197,174
286
-
-
197,460
199,124
(1,950)
-
-
197,174 page 27
Page 130 X10AT
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 9. Reserves $ '000
1/7/2017 Notes
Tfrs to Reserve
Tfrs from Reserve
Other Movements
30/6/2018
(b). Other Reserves X10A2T
Committed Funds Reserve
1,296
(875)
1,704
-
2,125
Total Other Reserves
1,296
(875)
1,704
-
2,125
919
(555)
932
-
1,296
Comparatives
PURPOSES OF RESERVES Asset Revaluation Reserves The asset revaluation reserve is used to record increments and decrements arising from changes in fair value of non current assets (less any subsequent impairment losses, where applicable). Committed Funds Reserve The committed funds reserve is used to record amounts committed for brought forward projects, unexpended grant funds and developer contributions.
X10AT
Note 10. Assets Subject to Restrictions
$ '000
2018
2017
Cash & Financial Assets Developer Contributions Federal Government State Government Total Cash & Financial Assets
398 1,727 2,125
578 16 702 1,296
Total Assets Subject to Externally Imposed Restrictions
2,125
1,296
Notes
The uses of the following assets are restricted, wholly or partially, by legislation or other externally imposed requirements. The assets are required to be utilised for the purposes for which control was transferred to Council, or for which the revenues were originally obtained.
page 28
Page 131
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 11. Reconciliation to Statement of Cash Flows X10A8T
$ '000
Notes
2018
2017
3,646 3,646
5,073 5,073
2,798
3,666
6,869 (1,681) 33 8,019
6,813 (1,118) 625 9,986
(88) (1) 3 2 310 (49) (96) 8,100
(525) 88 140 18 (151) 205 9,761
(a). Reconciliation of Cash Cash Assets comprise highly liquid investments with short periods to maturity subject to insignificant risk of changes of value. Cash at the end of the reporting period as shown in the Statement of Cash Flows is reconciled to the related items in the Balance Sheet as follows: Total Cash & Equivalent Assets Balances per Statement of Cash Flows
5
(b). Reconciliation of Change in Net Assets to Cash from Operating Activities X10A7T
Net Surplus/(Deficit) Non-Cash Items in Income Statements Depreciation, Amortisation & Impairment Grants for Capital Acquisitions (Treated as Investing Activity Receipts) Net (Gain) Loss on Disposals
Add (Less): Changes in Net Current Assets Net (Increase)/Decrease in Receivables Change in Allowances for Under-Recovery of Receivables Net (Increase)/Decrease in Inventories Net (Increase)/Decrease in Other Current Assets Net Increase/(Decrease) in Trade & Other Payables Net Increase/(Decrease) in Unpaid Employee Benefits Net Increase/(Decrease) in Other Provisions Net Cash provided by (or used in) operations
(c). Financing Arrangements Unrestricted access was available at balance date to the following lines of credit: Bank Overdrafts Corporate Credit Cards LGFA Cash Advance Debenture Facility
250 37 12,000
250 36 12,000
The bank overdraft facilities may be drawn at any time and may be terminated by the bank without notice. Council also has immediate access to a short-term draw-down facility, and variable interest rate borrowings under a cash advance facility, both from the Local Government Finance Authority of SA. page 29
Page 132
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018 X1A0T
Note 12a. Functions Income, Expenses and Assets have been directly attributed to the following Functions / Activities. Details of these Functions/Activities are provided in Note 12(b).
Functions/Activities INCOME
$ '000 Economic Affairs Environment Sport & Recreation Transport & Communication Council Administration Public Order & Safety Health Social Security & Welfare Housing & Community Agriculture Mining & Manufacturing Other Purposes
Total Functions/Activities
OPERATING SURPLUS (DEFICIT)
EXPENSES
Actual 2018
Actual 2017
Actual 2018
Actual 2017
192
153
808
715
Actual 2018 (616)
Actual 2017 (562)
TOTAL ASSETS HELD (CURRENT & NON-CURRENT)
GRANTS INCLUDED IN INCOME Actual 2018
Actual 2017
Actual 2018
Actual 2017
507
-
-
-
67
78
535
507
(468)
(429)
20
35
601
1,173
386
398
4,674
4,479
(4,288)
(4,081)
230
1,174
1,653
1,699
2,099
2,100
6,592
6,659
(4,493)
(4,559)
2,284
1,355
130,067
130,917
24,968
26,825
5,710
5,678
19,258
21,147
3,913
5,859
41,280
43,404
217
197
281
282
-
-
-
-
(64)
(85)
62
71
277
256
(215)
(185)
27
28
-
867
715
1,842
1,643
(975)
(928)
123
125
-
-
2,040
1,998
7,268
6,881
(5,228)
(4,883)
-
100
69,858
69,308
-
-
23
65
(23)
(65)
-
-
-
-
89 72
73 73
524 1,375
490 1,853
(435) (1,303)
(417) (1,780)
-
-
-
-
31,059
32,681
29,909
29,508
1,150
3,173
7,104
8,676
243,459
246,501
Revenues and expenses exclude net gain (loss) on disposal or revaluation of assets, net gain (loss) from joint ventures & associated entities, amounts received specifically for new or upgraded assets and physical resources received free of charge.
page 30
Page 133
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018 X12A3T
Note 12b. Components of Functions
$ '000
The activities relating to Council functions are as follows: ECONOMIC AFFAIRS Employment Creation Programs, Regional Development, Support to Local Businesses, Tourism, and Other Economic Development.
ENVIRONMENT Waste Management, Domestic Waste, Green Waste, Recycling, Transfer Stations, Waste Disposal Facility, Other Waste Management, Other Environment, Coastal Protection, Stormwater and Drainage, Street Cleaning, Street Lighting, Streetscaping, Natural Resource Management Levy and Other Environment.
SPORT & RECREATION Jetties, Other Marine Facilities, Parks and Gardens, Marinas & Boat Harbours, Sports Facilities – Indoor, Sports and Recreation Halls, Indoor Swimming Centre, Outdoor Recreation and Sporting Facilities.
TRANSPORT & COMMUNICATION Aerodrome, Footpaths and Kerbing, Roads – sealed, Roads – formed, Roads – natural formed, Roads – unformed, Traffic Management, LGGC – roads (formula funded) and Other Transport.
COUNCIL ADMINISTRATION Governance, Administration, Elected Members, Organisational, Support Services, Accounting / Finance, Payroll, Human Resources, Information Technology, Communication, Rates Administration, Records, Occupancy, Contract Management, Customer Service, Other Support Services, Revenues, LGGC – General Purpose, and Separate and Special Rates.
PUBLIC ORDER & SAFETY Public Order and Safety, Crime Prevention, Emergency Services, Other Fire Protection, Other Public Order and Safety, Health Services, Pest Control, Dog and Cat Control, Building Control, Town Planning, Clean Air/Pollution Control, Litter Control, Health Inspection, Parking Control, and Other Regulatory Services.
HEALTH Health, Immunisation, Preventive Health Services and Other Health Services.
SOCIAL SECURITY & WELFARE Community Support, Home Assistance Scheme, Other Services for the Aged and Disabled, Child Care Centre, Children and Youth Services, Community Assistance, Family and Neighbourhood Support and Other Community Support.
HOUSING & COMMUNITY Community Amenities, Bus Shelters, Cemeteries/Crematoria, Public Conveniences, Car Parking – non-fee-paying, and Other Community Amenities, Library Services, Mobile Libraries and Housebound Services, Static Libraries, Other Library Services, Cultural Services, Cultural Venues, Heritage, Museums, and Other Cultural Services.
AGRICULTURE Pest Eradication Services.
MINING & MANUFACTURING Gravel Pits/Quarries, Development of Land for Resale and Private Works.
OTHER PURPOSES Infrastructure Support Services. page 31
Page 134
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018 X12A4T
Note 13. Financial Instruments
$ '000
Recognised Financial Instruments
Bank, Deposits at Call, Short Term Deposits Accounting Policy: Carried at lower of cost and net realisable value; Interest is recognised when earned.
Terms & Conditions: Deposits are returning fixed interest rates between 1.95% and 2.35% (2017: 2.00% and 2.70%). Short term deposits have an average maturity of 91 days and an average interest rate of 2.29% (2017: 91 days and 2.46%).
Carrying Amount: Approximates fair value due to the short term to maturity.
Receivables
Accounting Policy:
Rates & Associated Charges
Carried at nominal values less any allowance for doubtful debts.
(including legals & penalties for late payment)
An allowance for doubtful debts is recognised (and re-assessed annually) when collection in full is no longer probable.
Note: These receivables do not meet the definition of "financial instruments" and have been excluded
Terms & Conditions:
from the following disclosures.
Secured over the subject land, arrears attract interest of 6.60% (2017: 6.75%). Council is not materially exposed to any individual debtor, credit risk exposure is concentrated within the Council's boundaries in the State.
Carrying Amount: Approximates fair value (after deduction of any allowance).
Receivables
Accounting Policy:
Fees & Other Charges
Carried at nominal values less any allowance for doubtful debts. An allowance for doubtful debts is recognised (and re-assessed annually) when collection in full is no longer probable.
Terms & Conditions: Unsecured, and do not bear interest. Council is not materially exposed to any individual debtor, credit risk exposure is concentrated within the Council's boundaries.
Carrying Amount: Approximates fair value (after deduction of any allowance).
page 32
Page 135
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 13. Financial Instruments (continued) $ '000
Recognised Financial Instruments
Receivables
Accounting Policy:
Other Levels of Government
Carried at nominal value.
Terms & Conditions: Amounts due have been calculated in accordance with the terms and conditions of the respective programs following advice of approvals, and do not bear interest. All amounts are due by Departments and Agencies of State and Federal Governments.
Carrying Amount: Approximates fair value.
Liabilities
Accounting Policy:
Creditors and Accruals
Liabilities are recognised for amounts to be paid in the future for goods and services received, whether or not billed to the Council.
Terms & Conditions: Liabilities are normally settled on 30 day terms.
Carrying Amount: Approximates fair value.
Liabilities
Accounting Policy:
Interest Bearing Borrowings
Carried at the principal amounts. Interest is charged as an expense as it accrues.
Terms & Conditions: Secured over future revenues, borrowings are repayable (describe basis); interest is charged at fixed (or variable describe) rates between 3.60% and 5.33% (2017: 3.75% and 5.33%).
Carrying Amount: Approximates fair value.
Liabilities
Accounting Policy:
Finance Leases
Accounted for in accordance with AASB 117.
page 33
Page 136
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 13. Financial Instruments (continued) Due
Due > 1 year
Due
Total Contractual
Carrying
< 1 year
& ≤ 5 years
> 5 years
Cash Flows
Values
2018 Financial Assets Cash & Equivalents Receivables Total Financial Assets
3,646 2,054 5,700
-
-
3,646 2,054 5,700
3,646 2,054 5,700
Financial Liabilities Payables Current Borrowings Total Financial Liabilities
1,795 130 1,925
-
-
1,795 130 1,925
1,795 125 1,920
$ '000
Due
Due > 1 year
Due
Total Contractual
Carrying
< 1 year
& ≤ 5 years
> 5 years
Cash Flows
Values
2017 Financial Assets Cash & Equivalents Receivables Other Financial Assets Total Financial Assets
5,073 1,966 6 7,045
6 6
-
5,073 1,966 12 7,051
5,073 1,957 10 7,040
Financial Liabilities Payables Current Borrowings Non-Current Borrowings Total Financial Liabilities
1,497 6,280 7,777
130 130
-
1,497 6,280 130 7,907
1,497 6,269 125 7,891
$ '000
The following interest rates were applicable to Council's Borrowings at balance date: Overdraft Other Variable Rates Fixed Interest Rates
30 June 2018
30 June 2017
Weighted Avg
Carrying
Weighted Avg
Carrying
Interest Rate
Value
Interest Rate
Value
7.12% 3.73% 5.33%
125 125
8.13% 3.77% 5.33%
6,150 244 6,394
Net Fair Value All carrying values approximate fair value for all recognised financial instruments. There is no recognised market for the financial assets of the Council.
page 34
Page 137
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 13. Financial Instruments (continued) $ '000
Risk Exposures Credit Risk represents the loss that would be recognised if counterparties fail to perform as contracted. The maximum credit risk on financial assets of the Council is the carrying amount, net of any allowance for doubtful debts. All Council investments are made with the SA Local Government Finance Authority and are guaranteed by the SA Government. Except as detailed in Notes 5 & 6 in relation to individual classes of receivables, exposure is concentrated within the Council's boundaries, and there is no material exposure to any individual debtor. Market Risk is the risk that fair values of financial assets will fluctuate as a result of changes in market prices. All of Council's financial assets are denominated in Australian dollars and are not traded on any market, and hence neither market risk nor currency risk apply. Liquidity Risk is the risk that Council will encounter difficulty in meeting obligations with financial liabilities. In accordance with the model Treasury Mangement Policy (LGA Information Paper 15), liabilities have a range of maturity dates. Council also has available a range of bank overdraft and standby borrowing facilities that it can access. Interest Rate Risk is the risk that future cash flows will fluctuate because of changes in market interest rates. Council has a balance of both fixed and variable interest rate borrowings and investments. Cash flow fluctuations are managed holistically in seeking to minimise interest costs over the longer term in a risk averse manner.
page 35
Page 138
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018 X12A5T
Note 14. Commitments for Expenditure
$ '000
Notes
2018
2017
406 230 936 9 1,581
32 248 280
1,581 1,581
280 280
38 1,915 753 2,706
54 3,792 1,103 4,949
2,320 386 2,706
2,422 2,527 4,949
(a). Capital Commitments Capital expenditure committed for at the reporting date but not recognised in the financial statements as liabilities: Land Improvements Buildings Infrastructure Plant & Equipment
These expenditures are payable: Not later than one year Later than one year and not later than 5 years Later than 5 years
-
(b). Other Expenditure Commitments Other expenditure committed for (excluding inventories) at the reporting date but not recognised in the financial statements as liabilities: Audit Services Waste Management Services Other
These expenditures are payable: Not later than one year Later than one year and not later than 5 years Later than 5 years
page 36
Page 139 X12A3T
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018 X12A6T
Note 15. Financial Indicators
$ '000
Amounts 2018
Indicator 2018
Prior Periods 2017 2016
These Financial Indicators have been calculated in accordance with Information paper 9 - Local Government Financial Indicators prepared as part of the LGA Financial Sustainability Program for the Local Government Association of South Australia.
1. Operating Surplus Ratio Operating Surplus Total Operating Income
1,150 31,059
4%
10%
(2%)
(1,243) 31,059
(4%)
11%
33%
4%
3%
6%
65%
50%
59%
This ratio expresses the operating surplus as a percentage of total operating revenue.
2. Net Financial Liabilities Ratio Net Financial Liabilities Total Operating Income Net Financial Liabilities are defined as total liabilities less financial assets (excluding equity accounted investments in Council businesses). These are expressed as a percentage of total operating revenue.
Adjustments to Ratios In recent years the Federal Government has made advance payments prior to 30th June from future year allocations of financial assistance grants, as explained in Note 1. These Adjusted Ratios correct for the resulting distortion in key ratios for each year and provide a more accurate basis for comparison.
Adjusted Operating Surplus Ratio
3. Asset Sustainability Ratio Net Asset Renewals Infrastructure & Asset Management Plan required expenditure
3,917 6,053
Net asset renewals expenditure is defined as net capital expenditure on the renewal and replacement of existing assets, and excludes new capital expenditure on the acquisition of additional assets.
page 37
Page 140
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 15. Financial Indicators - Graphs (continued)
1. Operating Surplus Ratio
Ratio %
14%
Purpose of Operating Surplus Ratio
4%
4%
-6%
2016 -2%
2017
2018
50% Ratio %
33%
30% 20%
11%
10% 0% -10%
2016
2017
2018
Adjusted Operating Surplus Ratio 10% Ratio %
6%
6% 3%
4%
4%
2% 0%
2016
2017
2018
Ratio %
3. Asset Sustainability Ratio 80% 70% 60% 50% 40% 30% 20% 10% 0%
This indicator shows the significance of the net amount owed to others, compared to operating revenue
-4%
-20%
8%
This indicator is to determine the percentage the operating revenue varies from operating expenditure
Purpose of Net Financial Liabilites Ratio
2. Net Financial Liabilities Ratio
40%
2017/18 Ratio
4%
10%
9%
-1%
Commentary on 2017/18 Result
59%
2016
65%
Purpose of Adjusted Operating Surplus Ratio This indicator is to determine the percentage the operating revenue (adjusted for timing differences in the Financial Assistance Grant) varies from operating expenditure
Purpose of Asset Sustainability Ratio
50%
2017
2018
This indicator aims to determine if assets are being renewed and replaced in an optimal way
In recent years the Federal Government has made advance payments prior to 30th June from future year allocations of financial assistance grants. The movement in this ratio is attributed to the timing of these payments. Commentary on 2017/18 Result 2017/18 Ratio
-4%
In accordance with Council's Treasury Management Policy, loan borrowings are reduced when cash flow is favourable. The reduction with this ratio is due to a decrease in loan borrowings mainly attributed to positive cash flow associated with the advance payment of financial assistance grants and carry forward of capital expenditure Commentary on 2017/18 Result 2017/18 Ratio
4%
Operating revenue has increased in waste management fees and other income. This is offset by increased wages and other expenditure including waste management and energy costs. This ratio also removes the effects of receiving advance financial assistance grant payments. Commentary on 2017/18 Result 2017/18 Ratio
65%
Council's Asset Sustainability Ratio has increased by 15%; this ratio will be further evaluated in line with updating Council's long term financial plans and asset management plans. A ratio lower than 95% may indicate that Council is not sufficiently maintaining, replacing or renewing existing infrastructure assets which may create a 'renewal backlog', resulting in a reduction in the service levels and/or useful lives previously expected.
page 38
Page 141
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018 X12A7T
Note 16. Uniform Presentation of Finances
$ '000
2018
2017
The following is a high level summary of both operating and capital investment activities of the Council prepared on a simplified Uniform Presentation Framework basis. All Councils in South Australia have agreed to summarise annual budgets and long-term financial plans on the same basis. The arrangements ensure that all Councils provide a common 'core' of financial information, which enables meaningful comparisons of each Council's finances.
Income less Expenses
Operating Surplus / (Deficit) Net Outlays on Existing Assets Capital Expenditure on Renewal and Replacement of Existing Assets add back Depreciation, Amortisation and Impairment add back Proceeds from Sale of Replaced Assets Subtotal Net Outlays on New and Upgraded Assets Capital Expenditure on New and Upgraded Assets (including Investment Property & Real Estate Developments)
add back Amounts Received Specifically for New and Upgraded Assets add back Proceeds from Sale of Surplus Assets (including Investment Property & and Real Estate Developments)
Subtotal Net Lending / (Borrowing) for Financial Year
31,059 (29,909) 1,150
32,681 (29,508) 3,173
(3,981) 6,869 64 2,952
(3,711) 6,883 12 3,184
(1,106)
(1,945)
1,681
1,118
96
93
671
(734)
4,773
5,623
page 39
Page 142
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018 X12A8T
Note 17. Operating Leases
$ '000
2018
2017
230 143 129 502
154 157 311
Leases Providing Revenue to the Council Council owns various buildings, plant and other facilities that are available for hire or lease (on a non-cancellable basis wherever practicable) in accordance with the published revenue policy. Rentals received from such leases are disclosed as rent and hire of non-investment property in Note 2.
Investment Property Rentals received, and outgoings reimbursed, in relation to Investment Property are also disclosed in Note 2. These lease agreements, all of which are classified as operating leases, are made on a non-cancellable basis wherever practicable
Leases commitments under all non-cancellable lease agreements, including those relating to Investment Property, are as follows: Not later than one year Later than one year and not later than 5 years Later than 5 years
page 40
Page 143
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018 X12A9T
Note 18. Superannuation
$ '000
The Council makes employer superannuation contributions in respect of its employees to Statewide Super (formerly Local Government Superannuation Scheme). There are two types of membership, each of which is funded differently. Permanent and contract employees of the South Australian Local Government sector with Salarylink benefits prior to 24 November 2009 have the option to contribute to the Accumulation section and/or Salarylink. All other employees (including casuals) have all contributions allocated to the Accumulation section.
Accumulation only Members Accumulation only members receive both employer and employee contributions on a progressive basis. Employer contributions are based on a fixed percentage of ordinary time earnings in accordance with superannuation guarantee legislation (9.50% in 2017/18; 9.50% in 2016/17). No further liability accrues to the Council as the superannuation benefits accruing to employees are represented by their share of the net assets of the Fund.
Salarylink (Defined Benefit Fund) Members Salarylink is a defined benefit scheme where the benefit payable is based on a formula determined by the member’s contribution rate, number of years and level of contribution and final average salary. Council makes employer contributions to Salarylink as determined by the Fund’s Trustee based on advice from the appointed Actuary. The rate is currently 6.3% (6.3% in 2016/17) of “superannuation” salary. In addition, Council makes a separate contribution of 3% of ordinary time earnings for Salarylink members to their Accumulation account. Employees also make member contributions to the Salarylink section of the Fund. As such, assets accumulate in the Salarylink section of the Fund to meet the member's benefits, as defined in the Trust Deed, as they accrue. The Salarylink section is a multi-employer sponsored plan. As the Salarylink section's assets and liabilities are pooled and are not allocated by each employer, and employees may transfer to another employer within the local government sector and retain membership of the Fund, the Actuary is unable to allocate benefit liabilities, assets and costs between employers. As provided by AASB 119.32(b), Council does not use defined benefit accounting for these contributions. The most recent actuarial investigation was conducted by the Fund's actuary, Louise Campbell, FIAA, of Willie Towers Watson as at 30 June 2017. The Trustee has determined that the current funding arrangements are adequate for the expected Salarylink liabilities. However, future financial and economic circumstances may require changes to Council’s contribution rates at some future time.
Contributions to Other Superannuation Schemes Council also makes contributions to other superannuation schemes selected by employees under the “choice of fund” legislation. All such schemes are of the accumulation type, where the superannuation benefits accruing to the employee are represented by their share of the net assets of the scheme, and no further liability attaches to the Council.
page 41
Page 144
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 19. Interests in Other Entities X12A0T
$ '000
Council has no interest in any Equity Accounted Businesses such as Joint Ventures, Associates & Joint Operations.
Note 20. Non-Current Assets Held for Sale & Discontinued Operations X12AT
Council does not have any Non-Current Assets Held for Sale or any Discontinued Operations
X12A0T
Note 21. Contingencies & Assets/Liabilities Not Recognised in the Balance Sheet
The following assets and liabilities do not qualify for recognition in the Balance Sheet, but knowledge is considered relevant to the users of the financial report in making and evaluating decisions about the allocation of scarce resources. 1. LAND UNDER ROADS As reported in the Financial Statements, Council is of the opinion that it is not possible to attribute a value sufficiently reliably for these assets to qualify for recognition, and accordingly land under roads has not been recognised in the reports. Land acquired for road purposes during the year is initially recognised at cost, but transferred to fair value at reporting date, effectively writing off the expenditure. At reporting date, Council controlled 350 km of road reserves of average width 20 metres. 2. POTENTIAL INSURANCE LOSSES Council is a multi-purpose organisation providing a large range of building, parks infrastructure, playgrounds and other facilities accessible to the public. At any time, it is likely that claims will have been made against Council that remain unsettled. Council insures against all known insurable risks using a range of insurance policies, each of which is subject to deductable "insurance excesses", the amount of which varies according to the class of insurance. Council has recognised the potential losses arising from claims known at reporting date based on average historical net cost (including insurance excess) of similar types of claims. Other potential claims not reported to Council may have existed at reporting date. 3. BANK GUARANTEES Council has no bank guarantees 4. LEGAL MATTERS Council is the planning consent authority for its area under the Development Act 1993 (as amended). Pursuant to that Act, certain persons aggrieved by a planning decision of the Council may appeal. It is normal practice that parties bear their own legal costs. At the date of these reports, Council had no notice of appeals against planning decisions made prior to reporting date. All known costs have been recognised, but the amount of further costs cannot be known until the appeals are determined. Council is responsible for the operations of the Mount Laura and, previously, the Newton Street landfill sites. The cost of Councils’ obligations in relation to the Mount Laura site has been included in Note 8. The Newton Street site is monitored and costs are expensed on an annual basis. Requirements for future restorations have not been identified as at 30 June 2018. If applicable, once identified, the amount will be included and amortised on an annual basis. page 42
Page 145
The Corporation of the City of Whyalla Notes to and forming part of the Financial Statements for the year ended 30 June 2018
Note 22. Events after the Balance Sheet Date X12AT
Events that occur after the reporting date of 30 June 2018, up to and including the date when the financial statements are "authorised for issue" have been taken into account in preparing these statements. Council has adopted the date of receipt of the Auditors' Report as the appropriate "authorised for issue" date relating to these General Purpose Financial Statements. Accordingly, the "authorised for issue" date is 06/09/18. Council is unaware of any material or significant "non adjusting events" that should be disclosed.
X12AT
Note 23. Related Party Transactions
$ '000
2018
2017
1,692 221 9 349
1,536 33 -
2,271
1,569
Contributions for Fringe Benefits Tax purposes Planning and Building Application Fees
1
-
Total
1
-
Key Management Personnel Transactions with Key Management Personel The Key Management Personnel of the Council include the Mayor, Councillors, CEO and certain prescribed officers under section 112 of the Local Government Act 1999 . In all, 28 persons were paid the following total compensation: The compensation paid to Key Management Personnel comprises: Short-Term Employee Benefits Post-Employment Benefits Long-Term Benefits Termination Benefits
Total Amounts paid as direct reimbursement of expenses incurred on behalf of Council have not been included above. Receipts from Key Management Personnel comprise: Other than amounts paid as ratepayers or residents (e.g. rates, swimming pool entry fees, etc.), Council received the following amounts in total:
Three KMP and relatives of KMPs own retail businesses from which various supplies were purchased as required either for cash or on 30 day account. Purchases from two of these individual businesses exceeded $5,000 during the year. Two close family members of key management personnel are employed by Council in accordance with the terms of the Award, and as recorded in the public Register of Salaries maintained in accordance with section 105 of the Local Government Act 1999 . Two key management personnel or close family members (including related parties) lodged a total of two Planning and building applications during the year. In accordance with the Loal Government Act 1999, these persons declared conflicts of interest and took no part in the assessment or approval processes for these applications Two planning and building approvals, with and without conditions, was granted during the year. Total fees for these applications (all of which are payable on lodgement) amounted to $927. page 43
Page 146
Ian G McDonald FCA The Corporation of the City of Whyalla Independent Auditor’s Report We have audited the attached financial statements, being a general purpose financial report of The Corporation of the City of Whyalla (Council) for the year ended 30 June 2018. Opinion In our opinion, the financial statements of the Council are properly drawn up: a) to present fairly the financial position of the Council as at the 30 June 2018 and the results of its operations for the period then ended, and; b) according to Australian Accounting Standards. Basis for Opinion For the audit of the Council we have maintained our independence in accordance with the relevant ethical requirements of APES 110 Section 290. We believe that the audit evidence that we have obtained is sufficient and appropriate to provide a basis for our opinion. Other Information – Basis of Accounting and Restriction on Distribution Without modifying our opinion, we draw attention to Note 1 to the financial report, which describes the basis of accounting. The financial report is prepared to assist the council to meet the requirements of the Local Government Act 1999 together with the Local Government (Financial Management) Regulations 2011. As a result, the financial report may not be suitable for another purpose. Our report is intended solely for the members. Responsibilities of Management for the Financial Report The Board of Management is responsible for the preparation of the financial report in accordance with the Local Government Act 1999 together with the Local Government (Financial Management) Regulations 2011 and for such internal control as management determines is necessary to enable the preparation of a financial report that is free from material misstatement, whether due to fraud or error. Auditor’s Responsibilities for the Audit of the Financial Report Our responsibility is to express an opinion on the financial report based on our audit. We conducted our audit in accordance with Australian Auditing Standards. Those standards require that we comply with relevant ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the schedule is free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial report. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement in the financial report, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the association's preparation of the financial report in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the association's internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
Ian G McDonald FCA Registered Company Auditor 16458 Signed at Grange this 12th day of September 2018
www.creativeauditing.com.au Ian 0419 620 906
[email protected]
PO Box 75, Henley Beach SA 5022 ABN 13 550 494 869
Nancy 0408 832 848
[email protected] page 44
Page 147
Ian G McDonald FCA Independent Assurance Report on the Internal Controls of The Corporation of the City of Whyalla We have audited the compliance of The Corporation of the City of Whyalla (Council) with the requirements of Section 125 of the Local Government Act 1999 in relation only to the Internal Controls established by the Council to ensure that financial transactions relating to the receipt, expenditure and investment of money, acquisition and disposal of property and incurring of liabilities for the period 1 July 2017 to 30 June 2018 have been conducted properly and in accordance with law. Opinion In our opinion, the Council has complied, in all material respects, with Section 125 of the Local Government Act 1999 in relation to Internal Controls established by the Council in relation to the receipt, expenditure and investment of money, acquisition and disposal of property and incurring of liabilities so as to provide reasonable assurance that the financial transactions of the Council have been conducted properly and in accordance with law for the period 1 July 2017 to 30 June 2018. Basis for Opinion For the audit of the Council we have maintained our independence in accordance with the relevant ethical requirements of APES 110 Section 290. We believe that the audit evidence that we have obtained is sufficient and appropriate to provide a basis for our opinion. Limitation on Use This report has been prepared for the members of the Council in accordance with Section 129 of the Local Government Act 1999 in relation to the Internal Controls specified above. We disclaim any assumption of responsibility for any reliance on this report to any persons or users other than the members of the Council, or for any purpose other than that for which it was prepared. Inherent Limitations Due to the inherent limitations of any compliance procedure, it is possible that fraud, error or non-compliance may occur and not be detected. A reasonable assurance engagement is not designed to detect all instances of non-compliance with Section 125 of the Local Government Act 1999 in relation to the Internal Controls specified above, as the engagement is not performed continuously throughout the period and the procedures performed in respect of compliance with Section 125 of the Local Government Act 1999 in relation to the Internal Controls specified above are undertaken on a test basis. The Council’s Responsibility for the Internal Controls The Council is responsible for implementing and maintaining an adequate system of internal controls, in accordance with Section 125 of the Local Government Act 1999 in relation to Internal Controls to ensure that the receipt, expenditure and investment of money, the acquisition and disposal of property, and incurring of liabilities have been conducted properly and in accordance with law. Our Responsibility Our responsibility is to express an opinion on the Council’s compliance with Section 125 of the Local Government Act 1999 in relation only to the Internal Controls established by the Council to ensure that financial transactions relating to the receipt, expenditure and investment of money, acquisition and disposal of property and incurring of liabilities, based on our procedures. Our engagement has been conducted in accordance with applicable Australian Standards on Assurance Engagements ASAE 3100 Compliance Engagements, issued by the Australian Auditing and Assurance Standards Board, in order to state whether, in all material respects, the Council has complied with Section 125 of the Local Government Act 1999 in relation only to the Internal Controls specified above for the period 1 July 2017 to 30 June 2018. ASAE 3100 also requires us to comply with the relevant ethical requirements of the Australian professional accounting bodies. Our procedures included obtaining an understanding of controls in relation to the receipt, expenditure and investment of money, the acquisition and disposal of property and the incurring of liabilities, evaluating management's assessment of these controls, assessing the risk that a material weakness exists, and testing and evaluating the design and implementation of controls on a sample basis based on the assessed risks. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
Ian G McDonald FCA Chartered Accountant Registered Company Auditor 16458 Signed at Grange this 12th day of September 2018
www.creativeauditing.com.au Ian 0419 620 906
[email protected]
PO Box 75, Henley Beach SA 5022 ABN 13 550 494 869
Nancy 0408 832 848
[email protected] page 45
Page 148
The Corporation of the City of Whyalla General Purpose Financial Statements for the year ended 30 June 2018
Certification of Auditor Independence
To the best of our knowledge and belief, we confirm that, for the purpose of the audit of The Corporation of the City of Whyalla for the year ended 30 June 2018, the Council's Auditor, has maintained its independence in accordance with the requirements of the Local Government Act 1999 and the Local Government (Financial Management) Regulations 2011 made under that Act.
This statement is prepared in accordance with the requirements of Regulation 22(3) Local Government (Financial Management) Regulations 2011.
Christopher Cowley CHIEF EXECUTIVE OFF, CER
Stephen Coates PRESIDING MEMBER, AUDIT COMMITTEE
Date: 6 September 2018
page 46
page 46
Page 149
page 47
"B"
Page 150
ANNEXURE
Whyalla City Council Budget Update Incorporating Financial Results - 2017/18 Key Financial Indicators Year Ending 30 June 2019
Adopted Current Proposed Estimated Estimated Estimated Projected Budget Note Budget Budget Budget Budget Amendments Total 2019 2020 2021 2022 2019 2019 312 51 12
Operating Surplus/(Deficit) Ratio - %
3==== 0
*Adjusted Operating Surplus/(Deficit)* -$'000
3
Operating Surplus/(Deficit)* -$'000
*Adjusted Operating Surplus/(Deficit) Ratio - %
0
Net Financial Liabilities Ratio - %
19
Asset Sustainability Ratio - %
88
====
3,917
Total Borrowings - $'000
0
12
0
51
1 312
0
0
0
1
24
20
15
16
122
101
109
112
5,000
4,800
3,300
3,450
* Adjusted operating surplus/(deficit) due to advance payment of financial assistance grant 2019 Adopted Budget-Budget for 2018/2019 as adopted by Council June 2018 2019 Current Budget-Council's revised budget 2019 Proposed Amendments-For Council's endorsement to amend the current budget 2019 Projected Total-Council's revised budget, projecting its financial position to 30 June 2019 2020 -2022 Estimated Budget-Update on Long Term Financial Plan
Uniform Presentation of Finances :
I
Operating Revenues Less Operating Expenses Operating Surplus/(Deficit) Before Capital Amounts
Proposed Estimated Estimated Estimated Adopted Current Projected Budget Note Budget Budget Budget Budget Amendments Total2019 2022 2021 2020 2019 2019 2019 $('000) ('000) $('000) $('000) $('000) =�$('0=00) $('000) ;;: ::;;:= 31,656 32,325 28,799 31,031 31,031 33,006 -2,232 31,028
31,028
3
3
:======
31,028 -2,229
1
6,605
2
31,644
32,274
32,694
12
51
312
Capital Activities Capital Expenditure on Renewal/Replacement
4,757
Less Depreciation, Amortisation & Impairment
6,919
Less Proceeds from Sale of Replaced Assets Net outlay on existing Assets Capital Expenditure on New/Upgraded Assets Less Amounts Specifically for New/Upgraded Assets
6,919
;;;;;;====
3,679
3,953
4,796
6,919
7,006
7,158
7,082
-364
-3,377
-3,255
-2,336
2,935
1,821
2,890
so
so
so
so
50
50
-2,212
-2,212
2,510
2,510
6,645
100
100
100
2,410
2,410
4,135
6,545
2,935
1,821
2,890
-195
-195
-8,215
-8,410
454
1,485
-242
3
Less Proceeds from Sale of Surplus Assets Net outlay on New/Upgraded Assets Net Lending/(Borrowing for Financial Year
In any one year, the above financing transactions are associated with either applying surplus funds stemming from a net lending result or accommodating the funding requirement stemming from a net borrowing result
Financing Transactions New Borrowings Repayment of Principal on Borrowings (lncrease)/Decrease in Cash & Cash Equivalents
Note: 1 2 3 4
4
150
1,300
550
550
5,000
-125
-125
-125
-28
-28
3,553
-25
48
-12
-229
-33
104
-454
-1,485
242
Net Balance Sheet funding
-202
-202
-18
Net Financing Transactions
195
195
8410
explanation of material variance advance payment financial assistance grant brought forward renewal project brought forward new/upgrade projects new borrowings
G:\Corporate\Corp Serv Dir\Finance\Yrend\Financial Statements Yrend 2017_18 Budget Update 2019 Final
•
-1,500
-1,500
Page 151
COUNCIL MEETING – 17.09.18
20.
Consideration of Confidential Items 20.1
Executive 20.1.1 Council Investment Attraction – CONFIDENTIAL Recommendation Pursuant to Section 90(2) of the Local Government Act 1999, the Council orders that the public be excluded from the meeting with the exception of Chris Cowley, Chief Executive Officer, Robyn Dunstall, Director Corporate, David Klye, Director Infrastructure, Kristina Roberts, Director City Growth and Michelle Armstrong, Acting Executive Officer for Agenda Item 20.1.1 – Council Investment Attraction. The Council is satisfied that, pursuant to Section 90(3)(b) of the Act, the information to be received, discussed or considered in relation to this Agenda Item is information which could reasonably be expected to confer a commercial advantage on a person with whom Council is proposing to conduct business with. The Council is satisfied that the principle that the meeting be conducted in a place open to the public has been outweighed in the circumstances because the information to be disclosed and discussed would prejudice the Council’s commercial positon during the current ongoing negotiations.
Page 157
COUNCIL MEETING – 17.09.18
Recommendation That having considered Agenda Item 20.1.1 – Council Investment Attraction in confidence under Section 90(2) and (3)(b) of the Local Government Act 1999, the Council pursuant to Section 91(7) of the Act orders that all documents be retained in confidence and reviewed in the next review of Council’s confidential orders.
Page 158
COUNCIL MEETING – 17.09.18
20.2
City Growth 20.2.1 Economic Opportunity – CONFIDENTIAL Recommendation Pursuant to Section 90(2) of the Local Government Act 1999, the Council orders that the public be excluded from the meeting with the exception of Chris Cowley, Chief Executive Officer, Robyn Dunstall, Director Corporate, David Klye, Director Infrastructure, Kristina Roberts, Director City Growth and Michelle Armstrong, Acting Executive Officer for Agenda Item 20.2.1 – Economic Opportunity. The Council is satisfied that, pursuant to Section 90(3)(b) of the Act, the information to be received, discussed or considered in relation to this Agenda Item is information which could reasonably be expected to confer a commercial advantage on a person with whom Council is proposing to conduct business with. The Council is satisfied that the principle that the meeting be conducted in a place open to the public has been outweighed in the circumstances because the information to be disclosed and discussed would prejudice the Council’s commercial positon during the current ongoing negotiations.
Page 163
COUNCIL MEETING – 17.09.18
Recommendation That having considered Agenda Item 20.2.1 – Economic Opportunity in confidence under Section 90(2) and (3)(b) of the Local Government Act 1999, the Council pursuant to Section 91(7) of the Act orders that all documents be retained in confidence and reviewed in the next review of Council’s confidential orders.
Page 164
COUNCIL MEETING – 17.09.18
21. 22.
CLOSURE DATE OF NEXT MEETING Monday 15 October 2018
