54364 cc ar text cmyk - city of canning · cr john wibberley cr mary daly bannister ward mayor dr...

City of

CA

NN

ING

Annual R

eport 2003-2004

1317 Albany Hwy, Cannington WA

Locked Bag 80, Welshpool WA 6986

Telephone: (08) 9231 0606

Web-site: www.canning.wa.gov.auEmail: [email protected]

Authorised and produced by the City of Canning

Annual Report2003-2004

City of CANNING 1

ContentsKey Goals 1

Objectives and Highlights 2

Statement by the Mayor 4

The Council 5

The Executive 6

Chief Executive Report 7

Finance and Client Services 8

Strategic and Regulatory Services 10

Community Services 12

Engineering and Technical Services 14

Financial Statements - Contents 19


Key GoalsThe Council has set a series of keygoals that will provide a tangibleexpression of what it wants to seeachieved in the future.

They are:

* Serve the people of the City ofCanning with sensitivity to theirneeds and, encapsulate as part ofits culture, the organisation’smotto...

“ABOVE ALL SERVICE”

* Provide for the convenience,comfort and safety of all persons ofthe City.

* Ensure appropriate developmentand maintenance of the amenitiesof every part of the City.

* Build a City of opportunities andone in which people will be proudto live, work and recreate.

* Promote the economic developmentand substantial growth of the City.

* Provide open and fair governmentfor all residents and ratepayers.

* Safeguard the health and welfare ofthose who reside or work within theCity.

2 Annual Report 2003-2004

Objectives and HighlightsObjectives for 2003/2004

• Allocation of more funds for Capital Works and Services from own Resources.• Maintain Rates and Charges increase to approximately the rate of inflation.• No new Loan Borrowings to fund the City’s Capital Works Program.• Incorporate the programs and activities proposed in the Plan of Principal Activities

in the Annual Budget and adhere to the Objectives as set out in the Plan.• Achieve the Performance Measures detailed in the Business Plans of the various

Service Units.• Requirement that 97.5% of Funds allocated for Capital Works and Services to be

spent by 30 June each year.

Achievements for 2003/2004

• Rates increases were limited to 1%.• A Rebate was made to the City’s Ratepayers of $581,628 representing the Fire and

Emergency Services Charge previously levied on Council prior to the introductionof the current Emergency Services Levy.

• The minimum rate increased from $375pa to $380pa.• The domestic refuse charge increased from $151pa to $156pa and from $116pa to

$120pa for entitled pensioners and senior card holders. This represents an increaseof 3%.

• $13.1M was allocated for Capital Works and Services from own resources.• No new Loans were raised during the 2003/2004 financial year.• All programs and activities proposed in the Plan of Principal Activities were

incorporated in the Annual Budget and the Objects as set out in the Plan werefollowed.

• The City continued to be a leader in providing Contract Services to other LocalGovernment Authorities, which included the Shires of Chittering, Ngaanyatjarraku,Goomalling, Cue and the Town of Vincent.

Highlights for 2003-2004

During the 2003/2004 financial year, the City achieved the following:

• Net surplus of $2.95M after allowing for committed expenditure.• Construction of the Ranford Road Waste Transfer Station at a cost of $1.7M.• Initiated the redevelopment and upgrade of the Ern Clark Athletic Centre at a cost

of $0.8M.• Completion of the Queens Park Day Care Centre extensions at a cost of $0.8M.• Received all necessary approvals to commence the Ranford Rd, Canning Vale

subdivision,“Caladenia Grove”, that will result in the creation of 137 residentialLots.

• Prepared a Development Plan for the Multipurpose Recreation/Community FacilityNorth of the Canning River with provision of funds amounting to $1.44M.

• Amended the City’s Business Plans for the extensions and refurbishments of theCivic and Administration Centre to include the development of a new Centreoption. This has been progressed to the calling of tenders for its construction.

• Commenced construction of the Animal and Vehicle Impounding Facility.

City of CANNING 3

Objectives and Highlights

Artist’s impressions of the new Civic and Administration Building.

Road Improvements throughout the City.

Ranford Rd Waste Transfer Station - Opened July 2004.

Artist’s impression ofthe Ranford Rdsubdivision,“Caladenia Grove”,entry statement.

Reception Area

AdministrationEntrance


Statement by the MayorOnce again the City has demonstrated sound financialmanagement, ending the 2003-2004 financial year witha net surplus of $2.95M.

The calendar year began with the City’s New Years DayCommunity Concert and Fireworks at the ShelleyForeshore. The success of this event, which began in2000, has now placed it firmly on the calendar of eventsto attend in the metropolitan area.

One of the most exciting ventures for the City has beenthe commencement of Quattro - The New Queens Parkproject. Under the Memorandum of Understanding

between the City and Homeswest, Council is seeking to address strategic urban developmentissues through a process of integrated local area planning, improve the physical and socialenvironment of the City in general and the suburb of Queens Park in particular.

Through its Town Planning Schemes and associated policies, the City will ensure thatresidential development is complementary to the characteristics of the locality, thatenvironmentally sensitive approaches to urban development will apply and thatopportunity for its residents will be equitable.

The City believes the strong working relationship between itself, Homeswest and Peet &Co will provide a development that will bring a sense of unity and pride to the residents ofQuattro - The New Queens Park.

The upgrading of Brownlie Towers in Bentley has given the people living within its wallsa long-awaited feeling of safety and of community. Council is pleased at the strongworking relationship that has evolved between the City, the Minister for Housing andWorks and Homeswest in seeing this project come to fruition.

The City has also been a major stakeholder in a number of important environmentalprojects including the development of a stormwater quality management plan for theCanning Plain catchment encompassing Mills Street, Cockram Street, Wilson and LeigeStreet Main Drain Systems and the construction of the Leige Street Wetland inconjunction with the Department of Environment, Swan River Trust, Water Corporationand the community to reduce nutrients entering the Canning River System.

The City continues to provide assistance to other Councils. This includes the pool safetyprogram being undertaken for the Town of Vincent, provision of Environmental Healthand Building services, in particular to the Shires of Cue and Ngaanyatjarraku, togetherwith contract accounting services to the shires of Ngaanyatjarraku, Goomalling andChittering.

The major focus of the Engineering Services budget continued to be on the preservationof its major asset - the road network. Approximately $7.29M was spent on roadrehabilitation, road improvement, traffic management, footpath construction, streetlighting and drainage improvements during the 2003/2004 financial year.

Community Services has continued to increase the services provided for youth, families,aged care and people with disabilities.

The decisions made by Council are based on ensuring the best overall outcome forresidents and ratepayers of the City of Canning in an open and fully accountable manner. I congratulate my fellow Councillors for their dedication to the City and the manner inwhich they perform their task.

The decisions of Council could not be made without the co-operation, dedication andknowledge of the administration and staff of the City.

It is my pleasure to congratulate each and every member of staff for their contribution tothe team that provides the basis for progressive and efficient operation of one of thelargest Councils in WA.

Dr Mick Lekias MBBS JP

City of CANNING 5

From Left to RightFront: Deputy Mayor Joe Delle Donne, Cr Mary Daly, Mayor Dr Mick Lekias, Cr Faye Morgan, Cr Stuart Clarke.

Back: Cr Graham Barry, Cr Lindsay Elliott, Cr Bruce Mason, Cr John Wibberley, Cr Norm Snell.

The Council

Cr Stuart Clarke JP

Cr Norm Snell

Beeliar Ward

Cr Graham Barry

Mason Ward

Cr John Wibberley

Cr Mary Daly

Bannister Ward

MayorDr Mick Lekias MBBS JP

Deputy MayorCr Joe Delle Donne JP

Cr Faye Morgan

Cr Bruce Mason

Cr Lindsay Elliott


The Executive

Public Affairs Services

Human Resource Services

Information TechnologyServices

Orderly Services

Real Estate Services

Chief Executive Officer

Dominic Carbone

ExecutiveEngineering & Technical

ServicesSilvio Trinca

Executive Finance &

Client ServicesAndrew Sharpe

Executive Strategic& Regulatory

ServicesStuart Devenish

ExecutiveCommunity

ServicesPaul Merlo

EngineeringServices

Engineering WorksServices

Parks &StreetscapeServices

Property Services

Waste Services

Plant & EquipmentServices

AccountingServices

Rates & ClientServices

RecordManagementServices

CustomerServices

Data Processing Services

Planning Services

Building Services

EnvironmentalHealth Services

Library Services

CommunityRecreation Facilities& Programs

Disability, Youth &Family Services

Aged Care Services

Patrol & SecurityServices

Leisure Services

The City of Canning staff members are part of the corporate structure headed by the ChiefExecutive Officer. This corporate approach ensures that staff members work towardsachieving common goals.

The organisation is structured across five service areas. The Chief Executive Officer isresponsible for the overall management of the organisation, and in particular the CorporateServices area, which implements and administers the policies of the elected Members.

Each of the other four service areas are overseen by its own Executive.

City of CANNING 7

Chief Executive ReportThe Local Government Act and its regulations requirethat I undertake a review of the appropriateness andeffectiveness of the financial systems and procedures ofour Local Government authority.

The Review of the City of Canning was undertakenduring the 2003/2004 financial year by an independentconsultant.

I am pleased to acknowledge that the review found thesystems and procedures developed by the City to beappropriate and effective across all areas of the City’soperations.

As Chief Executive Officer it is re-assuring that the the internal control procedures ofthe City are solid.

The City’s Strategic Planning process involves on-going and systematic analysis of theCity’s Activities and creates a framework for planning and decision-making.

The foundation of the Strategic Planning process is the preparation of four-yearBusiness and Financial Plans, with annual reviews of all the City’s activities. Thestrategic objectives of the Council are then incorporated into the process.

During 2003/2004 this concept was further developed to incorporate Key PerformanceIndicators into a balanced scorecard that measures the output efficiency andeffectiveness of the City.

The balanced scorecard can be seen on Page 111 with the graphs illustrating a highstandard of performance, in particular a high level of resident satisfaction in the worksand services provided by the City.

I wish to acknowledge the contribution of the Mayor, Councillors, Executive team andthe employees of the City in ensuring a high standard of performance for the2003/2004 financial year.

Dominic CarboneChief Executive Officer

Artist’s impression of the new Civicand Administration Centre.


The operating result for the year ended 30June 2004 showed a net change in assets of$3.95M.

Operating Revenue

Operating Revenue by Program amounted to$57M, comprising of Rates levied $26.8M,Interest on Investment 2M, GovernmentGrants $8.9M, Fees and Charges $15.1Mand Contributions, Reimbursements andDonations $2.3M.

Operating Expenditure

Operating Expenditure by Program amounted to $46.96M comprising of EmployeeCosts $21.8M, Materials and Contracts $10.8M, Utility Charges $2.6M and InsuranceExpenses $1.1M.

One of the City’s main financial objectives is to minimise the financial burden placedon our ratepayers, whilst continuing to provide quality services and facilities.

The City continued to achieve this Objective with rates levied being amongst thelowest in the metropolitan area.

Rates Levied

The responsible management of funds and the City’s consolidated sound financialposition allowed the City to limit rate increases to 1% for the 2003/2004 financial yearafter taking into account natural growth resulting from subdivision and buildingdevelopments within the City.Governance

1% Health2%

Law, Order &Public Safety

3%

Education &Welfare

16%

Housing2%

CommunityAmenities

17%

Recreation &Culture36%

Transport14%

EconomicServices

2%

Other Property& Services

7%

0

5

10

15

20

25

30

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004

$M17 17.6 18.918.1

20.4 21.423.2

24.726.1 26.8

Governance, Law,Order & Public Safety

and Health1%

Education anWelfare

12%

General PurposeFunding

55%

Other Property4%

Economic Services1%

Transport3%

CommunityAmenities

14%

Recreation &Culture

9%

Housing1%

Operating Expenditure

Operating Revenue

Finance and Client Services

Long Term Loans Outstanding (Excluding Self-Supporting Loans)

The City’s objective of becoming Debt Free was achieved in the 2000/2001 financialyear, with all new loans raised preceding this date funded from external sources.

The following graph illustrates this achievement.

0

1

2

3

4

5

6

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004

$M

4.6

3.6

2.7

1.9

1

0.3650 0 0

DEBT FREE

0

City of CANNING 9

0

2

4

6

8

10

12

14

16

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004

$M6.1 6.5

9.7 9.8

11.1

12.8

14.213.4 13.4 13.1

0

20

40

60

80

100

120

140

160

180

1995

General Rubish

Pensioners

1996 1997 1998 1999 2000 2001 2002 2003 2004

$PA

9895101

106116

124

136145

151156

737076 80

8997

107112 116 120

Domestic Rubbish Charges

Rates and Charges have increased only moderately after taking into account naturalgrowth resulting from subdivision and building developments within the City.

Andrew SharpeExecutive Finance and Client Services

Funds Allocated for Capital Works and Services

Co-ordinating for future works and services is an integral part of the financial planningprocess at the City of Canning.

Accordingly, a review was undertaken in the 2003/2004 financial year to project thelonger term allocation of Council funds for Capital Works and Services from our ownresources, which resulted in the formulation of a thirteen year plan.

The plan provides the framework for preparation of future Budgets and incorporates allcommitments the Council has made in its Development and Business Plans.

Improved efficiency by placing controls over operating costs, debt free concept andfinancial restructuring has resulted in more funds being allocated from own resourcesfor capital works and services.

Investment Earnings and Cash Holdings

5

0

10

15

20

25

30

35

1994

Cash Holdings

Investment Earnings

1995 1996 1997 1998 1999 2000 2001 2002 2003

$M8.7

13.2

16.8 16.919.5

22.0

26.0 26.0 27.0

31.0 32.0

1.2 1.10.7 1.6 1.6 2.01.4 1.41.3 1.7 1.7

2004


Planning Services

Strategic planning for the City, together with assessment anddetermination of development applications, plus provision of landdevelopment information is handled by Planning Services. TheService strives to maintain customer satisfaction whilst ensuringlegislative requirements are observed.

Progress continued on the “Local Planning Strategy” providingframework for the future development of the City. Key issues arehousing development, commercial floor space allocation, crime and

safety, City Centre growth, airport buffers and a range of measures aimed at achievingsustainable development. The Local Planning Strategy forms the foundation for the regulatorycontrols set out in the City’s draft Town Planning Scheme, which embraces a “performance”based approach to development assessment, increasing flexibility and moving the focus ofdevelopment control towards desired planning outcomes. The Strategy and new Scheme arebeing completed in house and are expected to near completion through 2004/2005.

Coordination of subdivision and development within Queens Park and East Canningtonremains a priority. Ongoing review of Guided Development Scheme No. 21 has seendevelopment constraints eased and simplification of development requirements in the area,resulting in continued growth in subdivision activity in this area. Revised subdivisionconcept plans have received State Government endorsement and in 2004/2005 the projectwill examine opportunities to improve processes and reduce Development Scheme costs.

Planning Services embarked on community based planning through the launch of theBentley (West) Precinct Planning Study. The study has included extensive communityinvolvement through surveys and community workshops, identifying key community valuesand key community concerns. In 2004/2005, these findings will form the basis for a draftPrecinct Plan outlining strategic objectives and actions for the area.

“New Living” Programs in Bentley and Queens Park have seen Planning Services workwith State Government in enhancing residential areas. These initiativesfocus on improving Homeswest accommodation to provide betterliving conditions for tenants and the wider community. PlanningServices will continue to ensure that these projects follow the City’sstrategic planning framework, maximising benefits to the community.

The City’s Public Open Space Strategy and associated “DevelopmentPlan” adopted in May 2002 established a $2.14 million program over8 years, targeting identified shortfalls in Bentley and St James. Landacquisitions continued during 2003/2004.

Planning approvals are monitored to ensure conditions or requirementsare being met. The City’s ongoing “Industrial Areas Enhancement Program” achievedimprovements in the Willetton commercial area and remains active in Welshpool andCanning Vale. Under the program, landowners can be asked to upgrade landscaping, carparking and the general appearance of properties to ensure suitable standards aremaintained.

661 development applications were processed along with 294 subdivision applications and 6Scheme Amendments. Infill housing and new industrial developments continue to representthe majority of applications.

Planning Services also undertook a consultancy project for the Shire of Cue.

Building Services

The administration of building, fencing and signs control, swimming pool inspections andbuilding related functions is looked after by Building Services.

The Services dealt with 173 demolition licences, 71 applications for strata titles andnumerous signs and fencing applications, plus 2009 building applications were approvedwith a construction value of $145.4 million. Although less than the previous year’s 2118applications, the value exceeds that year’s $142.8 million. Approvals for new dwellings

Strategic and Regulatory Services

Beginning of “New Living”project in Queens Park.

City of CANNING 11

were 602 with the balance in industrial/commercial, residential additions and other minorresidential works. Significant projects approved were the Livingston Village ShoppingCentre redevelopment in excess of $9.5 million, and redevelopment of the Diesel Motorssite on Albany Highway, Bentley comprising new showrooms, offices and workshopvalued at $3.2 million.

Officers continued their program of monitoring building activities within the district,including footing/slab inspections and other site inspections, to maintain the high standardof building activity in the City. Under State legislation local governments inspectswimming pools in a four yearly cycle to ensure pool fencing is maintained to a standardthat provides adequate safety of swimming pool areas. With an estimated 6200 privateswimming pools in the municipality, the City is well on target to meet its legalobligations. A similar pool safety program is being undertaken for the Town of Vincent.

The City provides Environmental Health and Building services to other localgovernments, including the Shires of Cue and Ngaanyatjarraku.

Environmental Health Services

These Services maintain regulatory responsibilities of the Health Act and other legislationthrough routine inspection and complaint response. Information on a wide range of health-related issues is offered through handout material and the web site.

Food safety remains a core function of the Services, who continue to encourage foodpremises proprietors to implement food safety programs. To ensure maximum food safetystandards are maintained, approximately 1000 inspections were undertaken plus over 100complaints relating to food premises, food handling, food poisoning and food productswere investigated.

Approximately 47 notifiable infectious diseases were investigated. Majority werebacterial, relating to food poisoning associated with poor food handling and food hygiene.They included Salmonella, Giardia, Listeria and Campylobacter.

In order to minimise nuisance to residents, mosquito control continues to be a highpriority. Although mosquito breeding cycles were relatively low, 26 cases of Ross RiverVirus were reported within the City. There were no Barmar Forrest Virus cases reported.To assist with Council’s mosquito control program, residents are encouraged to contactOfficers when mosquito presence is detected as early investigations can be undertaken.Breeding may be localised and easily eliminated.

The City is a major stakeholder in development of a stormwater quality management planfor the Canning Plain catchment, due for completion in early 2004/2005, whichencompasses Mills Street, Cockram Street, Wilson and Leige Street Main Drain Systems(the Two Rivers Catchment). One of the major outcomes is identification of roles andresponsibilities for agencies and stakeholders in improving stormwater quality within thecatchment. The City also constructed the Leige Street Wetland, a joint initiative with theDepartment of Environment, Water Corporation and the community to reduce nutrientsentering the Canning River System. Ongoing monitoring of the system will determine thenutrient reducing capability and potential impact of mosquito and midge on thesurrounding development.

Resolution of odour issues from the Canning Vale industrial area have continued throughthe Parkwood Odour Committee, with representatives from the City, industry, Departmentof Environment and the Parkwood Air Quality Monitoring Group working cooperativelyto reduce impacts of industry odour on the adjoining Parkwood area.

The City has continued to respond to complaints of aircraft noise. Residents can requestnoise measurements be taken from their property. Details of these readings, along withresident complaints, are forwarded to the appropriate regulatory authorities.

Over 150 noise related complaints were investigated. The majority were from amplifiedmusic, however there was an increase relating to air conditioning noise. Whilst it is notrealistic to eliminate all noise sources there are many measures that can be taken tominimise noise levels within residential areas. Officers are trained to deal with such issuesand residents are encouraged to contact them if they have concerns.

Stuart DevenishExecutive Strategic and Regulatory Services


Community Services Community Recreation Facilities & ProgramsConstruction commenced on new changerooms at Woodford Park witha State Government contribution of $128,000. Soccer and cricket clubswill benefit form the new facility due for completion in October 2004.

Preparations commenced for renovation and provision of a newtrack at the Ern Clark Athletic Centre, the only public syntheticathletic track in the metropolitan area other than Perry Lakes. Ahigh jump fan and a water jump will be added to supplement theupgrading of existing facilities. Tenders have been called and it is

anticipated that work will be finished by January 2005.

Other activities included planning for upgrade of the Canning Arts Centre and theseeking of State Government funds towards the upgrading of security lighting for theCanning War Memorial. The Canning Art Award continued to grow with 384 entries.

Library Services

The City offers a library and information service from its branch libraries at Riverton,Willetton, Bentley and Queens Park. Services continue to be well-patronised, with 1.71million circulation transactions (ie loans and returns), and 108,358 reservations placedon in-demand items during the year.

In the first full year ‘people counters’ were installed 438,863 clients were recorded.

Almost 7,000 children attended special programs, including weekly story-sharing for 3-4 year olds, school holiday activities, Children’s Book Week, book clubs for upperprimary students, and a Young Adults group at the Riverton Library.

Extension services for seniors include the long-established ‘Books-on-Wheels’ deliveryto those unable to visit the library (30,000 loans delivered to 200 clients), guest speakerevents, a book club and a genealogy discussion group.

Online reference databases available via the website was expanded with the additionalEncyclopedia Britannica Online, and Websterworld, a reference source for children.

Disability Youth & Family Services The City’s Youth Centres in Cannington, Bentley and Willetton provided activities andprograms for up to 800 young people per month. School holiday programs were alsoprovided, including in-Centre activities and excursions.

A limited service was provided from Lynwood Youth and Family Centre due to firedamage in March 2004. The building is being rebuilt following approval from the City’sinsurers and is anticipated to re-open by February 2005.

Willetton Youth Centre is to be relocated to the Gymnasium at Willetton Sports Club,opposite Southlands Shopping Centre. Lotterywest will be approached for fundingtowards the building refurbishment and furniture. Works are expected to be completedby May 2005.

The Youth Accommodation Services provided supported accommodation for up to 10young people, in five partly furnished houses located in suburbs within Canning.

The Community Inclusion project oversees the improvement of access for people withdisabilities across all areas of Council services and buildings. Quotes have been sourcedfrom consultants to review the City’s Disability Services Plan. The Disability AccessAdvisory Group met regularly to consider and provide advice to Council on accessissues for people with disabilities.

A school holiday program for up to 10 children with disabilities gave them opportunityto participate in holiday fun activities and offered respite for parents and carers.

Leisure ServicesWith almost 650,000 people using the Riverton Leisureplex, new equipment and fittingswere needed. Teaching aids and equipment for the Swim School, extra gym mats andCD player in Contours were purchased to cater for an increase in demand.

City of CANNING 13

New building management software was purchased to control fan speeds within thepool halls and save on electricity consumption. This assists the environment byreducing greenhouse emissions.

Canning Aquatic Centre in Bentley purchased new two-way radios to assist lifeguardcommunication when patrolling the 5 outdoor pools. A shortage of refrigeration in thekiosk resulted in the purchase of several small fridges.

The Queens Park Recreation Centre catered for over 42,000 people in its 24th year ofoperation, including leisure courses for children and adults, junior sports coaching,group fitness classes and sports competitions. A growing demand for health/well-beingactivities such as Pilates, Yoga and Tai Chi saw additional instructors employed andclasses provided. Work has commenced on developing a website for the Centre whichwill have all the latest information regarding the range of activities available.

Lotterywest provided a $5,000 grant for new equipment.

Work commenced on the re-alignment of a few tees/holes at the Whaleback GolfCourse to minimise any miss-hit golf balls falling on to property surrounding thefacility. Most of the landscaping works is anticipated to be completed by late 2004.

Aged Care Services In November 2003 HACC Services received increased funding from the Department ofHealth and Ageing to provide additional services. Multicultural Respite Servicesreceived an increase of 4,752 hours of centre based respite and an increase of 1,728one-way transport trips per annum.

Non recurrent funding was received for computer upgrades, vacuum cleaners and3,000 St John Ambulance Association fridge magnets for HACC Services, kitchenequipment and computer upgrade for the Meals on Wheels Service, wheelchairs,television, video and trolley for both Queens Park and South Canning CommunityCare. The new extension to the Queens Park Community Care Centre was completedand opened by the Mayor, Dr Mick Lekias JP on 16 March 2004.

A review of Rossmoyne and Wilson Retirement Villages was conducted and fundswere allocated for landscape and building improvements to both. A grant of $30,000was received from Lotterywest for part funding of the extension of the RossmoyneRetirement Village Community hall. The extension was completed in July 2004.

Patrol and Security ServicesProviding a 24-hour, 7 day week service to residents and businesses in the City,Security Officers responded to around 5,500 telephone requests for attendance with2,452 requiring an urgent response. In all but 25 cases, requests were met within 15minutes of the call being received.

Officers also attended to many other matters during routine patrols, e.g. stolen orabandoned vehicles, uncontrolled wandering dogs etc.

Patrol Officers (Rangers) investigated 451 dog related complaints, mainly nuisancebarking and dog attacks. 621dogs were impounded during the year, with mostunclaimed dogs re-homed. Less than 15% were not re-homed.

During the firebreak season 837 letters were sent to property owners to clear identifiedfire hazards from their properties. Twenty eight (28) infringement notices were issued.

Employment of a part time District Neighbourhood Watch Co-ordinator for 10 monthsproved successful in regenerating interest and enthusiasm of participants and enhancedthe effectiveness of this program.

Construction of the new animal and vehicle impounding facility is expected to becompleted by the end of December 2004. The new animal facility will provide for upto 28 abandoned and stray dogs at any one time, with specialised isolation pens to beused when impounded dogs are suspected of carrying any contagious virus or areparticularly difficult to manage. The complex has an advanced security systeminstalled to assist duty of care to protect impounded animals and vehicles against theft.

Paul MerloExecutive Community Services


Engineering ServicesThe major focus of the Engineering Services budget continued tobe on the preservation of its major asset - the road network.Approximately $7.292m was spent on road rehabilitation, roadimprovement, traffic management, footpath construction, streetlighting and drainage improvements during the 2003/2004 financial year.

Road improvement projects included construction of a dualcarriageway along a section of Sevenoaks Street, the upgrading of

Dowd Street, Queensgate Drive and Glenferrie Road.

Road rehabilitation projects included resurfacing of sections of High Road and Ranford Road and resurfacing of Boundary Road, Central Road and Meadowbrook Drive.

New footpath construction projectsincluded Fern Road, Silvertop Terrace andDealy Close Park while slab upgradeprojects included Renou Street, BurrenGate and Fleetwood Road.

Traffic management projects included theinstallation of roundabouts at the CollinsRoad - Rostrata Avenue and Chapman Road - Walpole Street intersections, centreblister islands along Pinetree Gully Road and Silvertop Terrace, plus parkingembayments along Riverton Drive.

The major street lighting project was Kewdale Road, while drainage improvementsincluded Jillian Street, Golf Road, Chelmer Way, Dongala Way and Celosia Way.

Waste ServicesThe City continued to provide weekly and fortnightly waste and recycling collection

services, plus kerbside collections for hard waste andgreen waste.

The construction of the inert waste transfer station atthe landfill site to cater for the future needs ofresidents was completed.

The Regional Resource Recovery Centre is now fullyoperational and caters for the resource recovery ofcompost from municipal solid waste, mulch fromgreenwaste and commingled recyclables.

Parks and Streetscape ServicesThe City’s Parks and Streetscape Services continued to provide management andmaintenance of recreational parklands, foreshore reserves and conservation areas,whilst also ensuring the provision of an attractive and tidy street environment.

In excess of $7M was allocated to achieve these outcomes.

Implementation of the Parks and Streetscape Services capital program resulted in thefirst stage parkland development works at Bastion Court Willetton and the adjoiningwalk way between Collins and Turret Roads.

Additional parkland improvements were completed at Mary McKillop Park, QueensPark which included the establishment of paths, wetland and raised boardwalk.

Parkland irrigation systems were upgraded at Corona Park, Cannington, ModillianPark, Riverton, Ockham Park, Lynwood and Verton Park in Shelley.

Replacement irrigation bores were constructed at East Cannington Park and at theBentley Lawn Tennis Club.

A new irrigation system was installed at Wyong Park and the City assisted with theconstruction of a turf cricket wicket facility at this location.

Engineering and Technical Services

Waste Transfer Station.

Engineering staff working on drainage system.

City of CANNING 15

Other development projects included the completion of the final stage of the raisedboardwalk within the Canning River Regional Park in Ferndale, the installation of anew children’s playground at Shelley Beach Park and the further upgrading of aportion of the Shelley / Rossmoyne Foreshore footpath.

The City’s Streetscape Enhancement Program included the completion of enhancementworks in Apsley Road, Willetton, the implementation of stage one works in KewdaleRoad, Kewdale and portion of High Road inRiverton.

Other landscape improvements included thefurther introduction of street planting inassociation with a number of traffic managementinitiatives across the City.

The Service also continued its environmentalrehabilitation activities working closely with theState Government Agencies and a numbercommunity based environmental groups.

The most significant project this year has been the establishment of the Liege StreetWetland in Cannington, designed and constructed in partnership with the Swan RiverTrust, Water Corporation, CALM and the Two Rivers Catchment Group.

Community based projects included the wetland at Black Creek in Queens Park, andthe provision of assistance to groups working within the Canning River Regional Park,particularly at the Wilson Lagoon site in Wilson, Adenia Reserve, Riverton and withinFerndale flats.

Other programs were also conducted along the Shelley / Rossmoyne foreshore, withinthe Yagan Wetland Reserve in Rossmoyne, at Prendwick Park in Willetton and withinBannister Creek, Ferndale.

Property ServicesProperty Services continues to maintain and clean the City’s building asset stock to thehigh standards expected by the various tenants and user groups.

Building maintenance programs are steadily moving from “reactive” to “proactive” andplace the utmost importance on upgrading to comply with current standards that ensureuser safety.

Property Services play a leading role in provision of new facilities, plus co-ordinationof major upgrades to existing facilities.

Major projects completed during the year included:

• Reverse cycle air conditioning to Wandarrah Hall, Corinthian Hall and ManianaPlaygroup & Kindy

• New Changerooms and sewer connection at Woodford Park

• Additional Carpark/security lighting, Burrendah Skateboard car park

• Replacement of tables and chairs at various community facilities

• Next stage of refurbishment/restoration at Canning Town Hall

• Provision of disabled access toilet facility to Maniana Family Centre Changerooms

• Canning Arts Centre - Sewer connection

• Ongoing provision of disabled access facilities to various sites

• Ongoing extension of rekeying programme for all City facilities

• Installation of bollards to various carparks to prevent after hours access

• Upgrading and replacement of various electrical switchboards

• Ongoing General Maintenance/repair and repainting of all City facilities

Silvio TrincaExecutive Engineering and Technical Services

Work on the Leige St Wetlands project.

Annual Report Details2003-2004

City of CANNING 19

Financial Statements

C O N T E N T SPAGE NO

Operating Statement 21Statement of Surplus and Deficit 22Statement of Financial Position 23Statement of Changes in Equity 24Statement of Cashflows 25Statement of Rate Setting 26Statement of Rating Information 27

Notes to the Financial StatementsNote 1 Significant Accounting Policies 31-36Note 2 Operating, Revenues and Expenses 36Note 3 Description of Functions/Activities 37Note 4 Operating Revenues and Expenses By Nature and Type 38Note 5 Cash and Restricted Funds 38-39Note 6 Fixed Assets 39-41Note 7 Interest Bearing Liabilities 41-42Note 8 Reserves 42-44Note 9 Cash Flow Information 45Note 10 Trust Fund Information 46Note 11 Comparison with Rate Setting Budget 47Note 12 Rating Information 47-49Note 13 Service Charges 49-51Note 14 Interest Charges for the Late Payment of Rates Charges 52Note 15 Fees and Charges Information 52Note 16 Investments 53Note 17 Council Members - Fees, Expenses and Allowances 53Note 18 Depreciation on Non-Current Assets 54Note 19 Major Land Transactions 54Note 20 Trading Undertakings 54Note 21 Capital and Leasing Commitments 54Note 22 Financial Instruments 54-55Note 23(a) Position at Commencment of Financial Year 55Note 23(b) Statement of Reconciliation of Net Asset Brought Forward 56Note 24 Capital Expenditure by Program 56Note 25 Financial Information by Ratio 57Note 26 Receivables 58Note 27 Stock on Hand 58Note 28 Development Costs 58-59Note 29 Accounts Payable/Income Received in Advance 59Note 30 Accrued Annual Leave, Long Service leave Provisions and Other

Employee Entitlements 59-60Note 31 Rossmoyne and Wilson Retirement Villages-Residents’ Equity 61Note 32 Town Planning Schemes 61-62Note 33 Statement of Changes in Equity 62Note 34 Joint Ventures 63Note 35 Disability Service Plan 64Note 36 Environmental Reporting 64-65Note 37 Record Keeping Plan 66Note 38 Corporate Governance 66-68Note 39 Plan of Principal Activities 71-92Note 40 National Competition Policy 95-104

Statement by Chief Executive Officer 105

Auditor's Report 106Strategic Policies 109-112


This page left blank intentionally

City of CANNING 21

2002/2003 2003/2004 2003/2004 2003/2004NOTES ADOPTED REVISED

ACTUAL BUDGET BUDGET ACTUAL$ $ $ $

EXPENDITURE 1,3,4(708,821) Governance 17,18 (931,980) (931,980) (721,792)

(1,995,722) Law, Order, Public Safety (1,636,513) (1,736,513) (1,514,140)(679,754) Health (773,304) (773,304) (748,510)

(7,388,912) Education and Welfare (7,426,059) (7,478,234) (7,499,419)(420,277) Housing (441,363) (441,363) (906,786)

(7,909,682) Community Amenities (9,069,817) (9,069,817) (7,961,789)(15,256,681) Recreation and Culture (17,385,330) (17,428,551) (17,114,085)(17,271,726) Transport (8,002,756) (8,056,550) (6,572,174)

(855,435) Economic Services (842,775) (842,775) (764,363)(2,814,397) Other Property and Services (4,957,801) (4,957,801) (3,163,355)

(55,301,407) (51,467,698) (51,716,888) (46,966,413)

REVENUE 1,3,430,227,083 General Purpose Funding 15,16 30,516,767 30,591,304 31,438,170

3,452 Governance 1,000 1,000 19,068149,993 Law, Order, Public Safety 214,000 314,000 309,512182,798 Health 182,283 182,283 213,933

6,309,554 Education and Welfare 5,852,978 6,089,240 6,634,658376,813 Housing 281,130 281,130 844,071

7,479,140 Community Amenities 6,586,286 6,695,628 7,989,9344,644,556 Recreation and Culture 5,280,737 5,455,360 5,002,9173,609,463 Transport 2,334,527 3,386,566 1,982,9941,080,007 Economic Services 848,867 848,867 970,5551,224,865 Other Property and Services 3,589,445 3,589,445 1,563,953

55,287,724 55,688,020 57,434,823 56,969,765

(13,683) Increase/Decrease 4,220,322 5,717,935 10,003,352

DISPOSAL OF ASSETS 2,60 Land 0 0 26,000

336,598 Plant and Equipment 514,725 514,725 473,2870 Furniture and Equipment 1,000 1,000 0

336,598 Gain (Loss) on Disposal 515,725 515,725 499,287

OTHER ITEMS

0 Infrastructure Assets - Decrement 1(c) 0 0 (6,895,882)4,483,910 Infrastructure Assets - Prior Decrement Reversal 0 0 0

0 Doubtful Debts Expense (90,000) (90,000) (90,000)767,818 Change in Equity- Joint Venture 34 0 0 434,05985,207 Prior Year Adjustment 0 0 0

5,336,935 Total Other Items (90,000) (90,000) (6,551,823)

Change in Net Assets resulting from Operations5,659,850 Gain/(Reduction) 4,646,047 6,143,660 3,950,816

OPERATING STATEMENT FOR THE PERIODENDING 30 JUNE 2004

Note: This Statement is to be read in conjunction with the accompanying Notes.



ACTUAL BUDGET BUDGET ACTUAL$ $ $ $

OPERATING REVENUE

5,659,850 Change in net assets resulting from operations 4,646,047 6,143,660 3,950,816

ADD10,812 Principal Repay-Sporting & Community 12,878 12,878 12,879

Organisations15,689,872 Depreciation Written Back 18 7,920,612 7,920,612 5,721,490

868,728 Book Value of Assets Sold Written Back 6(a) 870,685 870,685 833,156(767,818) Change in Equity - Joint Venture Written Back 0 0 (434,059)

(4,483,910) Infrastructure Assets Decrement Written Back 1(c) 0 0 6,895,88211,317,684 8,804,175 8,804,175 13,029,34816,977,534 Sub Total 13,450,222 14,947,835 16,980,164

LESS CAPITAL PROGRAMME(2,630,641) Purchase Land and Buildings 24 (15,041,520) (15,342,698) (3,527,570)(7,300,401) Infrastructure Assets - Roads 24 (12,755,145) (13,857,547) (7,345,596)

(880,803) - Recreation Facilities 24 (2,238,820) (2,397,013) (1,294,540)(49,278) - Other 24 (110,000) (112,861) (13,103)

(2,395,536) Purchase Plant & Equipment 24 (3,276,467) (3,251,282) (2,925,758)(712,434) Purchase Furniture and Equipment 24 (746,922) (811,876) (672,095)(155,213) Debt Service Repayments-Principal on Loans 7(c) (170,516) (170,516) (166,141)

Transfer to Reserves(151,590) Reserve Fund Waste Management 8(b) (129,026) (129,026) (125,237)(202,907) Reserve Fund Land and Buildings 8(a) (327,193) (327,193) (202,391)(199,437) Reserve Fund Aged Persons Homes 8(c) (60,955) (60,955) (406,639)

(7,757) Transfers Other - Special Overdraft TPS 24 32 0 0 (29,473)(14,685,997) (34,856,564) (36,460,967) (16,708,543)

2,291,537 Sub Total (21,406,342) (21,513,132) 271,621

LESS - FUNDING FROM

Reserves910,857 Reserve Fund Waste Management 8(b) 2,819,408 2,819,408 2,409,232

1,443,348 Reserve Fund Land and Building 8(a) 227,000 227,000 227,55234,659 Reserve Fund Aged Persons Homes 8(c) 179,834 286,624 286,521

Special Overdraft TPS 24 215,000 215,000 215,732

0 Loan Fund 7 8,300 8,300 00 Loans Raised-Underground Power 7 56,970 56,970 0

13,219,430 Opening Funds 23(b) 17,899,830 17,899,830 17,899,830

15,608,294 21,406,342 21,513,132 21,038,867

(1) Rounding 0 0 0

17,899,830 BUDGET(SURPLUS)/DEFICIT 0 0 21,310,488

STATEMENT OF SURPLUS OR DEFICITFOR THE PERIOD ENDING 30 JUNE 2004


City of CANNING 23

STATEMENT OF FINANCIAL POSITIONAS AT THE 30 JUNE 2004

2002/2003 NOTES 2003/2004ACTUAL ACTUAL

$ $

CURRENT ASSETS

266,350 Cash 5 53,07230,609,127 Investments 5 31,963,0622,722,685 Receivables 26 3,326,840

191,368 Stock on Hand 27 205,08673,519 Prepaid Expenses 1(h) 2,110

33,863,049 TOTAL CURRENT ASSETS 35,550,170

NON CURRENT ASSETS306,692,778 Fixed Assets 6(c) 324,815,549

767,818 Interest in Joint Venture (Equity Method) 34 1,201,877627,884 Receivables 26 594,002118,532 Development Costs 28 323,266

308,207,012 TOTAL NON CURRENT ASSETS 326,934,694

342,070,061 TOTAL ASSETS 362,484,864

CURRENT LIABILITIES

(4,236,517) Accounts Payable 29 (4,265,568)(1,453,043) Income Received in Advance 29 (1,766,386)(1,505,571) Provision for Annual Leave 30 (1,576,771)

(515,720) Provision for Long Service Leave 30 (1,467,465)(170,516) Interest Bearing Liabilities 7(c) (180,865)

(7,881,367) TOTAL CURRENT LIABILITIES (9,257,055)

NON CURRENT LIABILITIES(1,264,757) Provision for Long Service 30 (504,008)(2,619,952) Resident’s Equity - Rossmoyne Retirement Village 31 (2,918,046)(1,141,992) Interest Bearing Liabilities 7(c) (965,502)

(338,497) Development Costs 28 (271,309)

(5,365,198) TOTAL NON CURRENT LIABILITIES (4,658,865)

(13,246,565) TOTAL LIABILITIES (13,915,920)

328,823,496 NET ASSETS 348,568,944

EQUITY279,936,101 Accumulated Surplus 286,374,045

48,887,395 Reserves 8 62,194,899

328,823,496 TOTAL EQUITY 348,568,944



2002/2003 2003/2004ACTUAL NOTES ACTUAL

$ $ACCUMULATED SURPLUS

272,397,542 Balance As At 1 July 2003 279,936,1015,659,850 Change in Net Assets Resulting 3,950,816

Transfer to Reserves(202,907) - Land and Buildings 8(a) (202,391)(151,590) - Waste Management 8(b) (125,237)(199,437) - Aged Persons Homes 8(c) (406,639)

43,779 Sundry Adjustments 33 298,090Transfer from Reserves

1,443,348 - Land and Buildings 8(a) 227,552910,857 - Waste Management 8(b) 2,409,23234,659 - Aged Persons Homes 8(c) 286,521

279,936,101 Balance As At 30 June 2004 286,374,045

LAND AND BUILDING RESERVE 8(a)3,754,917 Balance As At 1 July 2003 2,514,476

202,907 Transfers from Accumulated Surplus (227,552)(1,443,348) Transfer to Accumulated Surplus 202,3912,514,476 Balance As At 30 June 2004 2,489,315

WASTE MANAGEMENT RESERVE 8(b)3,880,690 Balance As At 1 July 2003 3,121,423

151,590 Transfers from Accumulated Surplus (2,409,232)(910,857) Transfer to Accumulated Surplus 125,237

3,121,423 Balance As At 30 June 2004 837,428

AGED PERSONS HOMES RESERVE 8(c)1,400,099 Balance As At 1 July 2003 1,564,877

199,437 Transfers from Accumulated Surplus (286,521)(34,659) Transfer to Accumulated Surplus 406,639

1,564,877 Balance As At 30 June 2004 1,684,995

ASSET REVALUATION RESERVE 8(d)30,764,749 Balance As At 1 July 2003 41,686,61910,921,870 Revaluation of Fixed Assets 15,496,54241,686,619 Balance As At 30 June 2004 57,183,161

328,823,496 TOTAL EQUITY 348,568,944

STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDING 30 JUNE 2004


City of CANNING 25

STATEMENT OF CASHFLOWS FOR THE YEARAS AT THE 30 JUNE 2004

2002/2003 2003/2004 2003/2004NOTES ADOPTED

ACTUAL BUDGET ACTUAL$ Cash Flows from Operating Activities $ $

Payments(21,349,039) Employee Costs (22,937,909) (21,508,003)(9,489,537) Materials and Contracts (11,055,961) (10,729,967)(2,346,121) Utilities (2,414,805) (2,675,027)

(768,397) Insurance (990,175) (856,708)(99,000) Interest Expenses (116,768) (88,018)

(2,489,559) GST Payable (3,607,511) (3,832,666)(4,400,324) Other (7,336,365) (4,988,364)

(40,941,977) Total Payments (48,459,494) (44,678,753)

Receipts26,988,094 Rates 27,265,805 27,662,2802,673,723 Contributions, Donations and Reimbursements 2,035,783 2,481,409

265,237 Service Charges 256,898 276,17814,877,783 Fees and Charges 13,686,468 14,204,9811,855,012 Interest Earnings 1,523,081 2,161,0872,489,559 GST Receivable 3,607,511 3,740,910

255,071 Other Revenue 2,528,561 731,25949,404,479 Total Receipts 50,904,107 51,258,1048,462,502 Net Cash flows from Operating Activities 9 2,444,613 6,579,351

Cash flows from Investing ActivitiesPayments

(2,630,641) Purchase Land and Buildings (15,041,520) (3,527,570)(8,230,482) Purchase Infrastructure Assets (15,103,965) (8,653,239)(2,395,536) Purchase Plant and Equipment (3,276,467) (2,925,758)

(712,434) Purchase Furniture and Equipment (746,922) (672,095)(13,969,093) (34,168,874) (15,778,662)

Receipts0 Disposal of Land 6(a) 0 68,0000 Disposal of Furniture and Equipment 6(a) 1,000 0

1,205,326 Disposal of Plant and Equipment 6(a) 1,385,410 1,264,4431,205,326 1,386,410 1,332,443

(12,763,767) Net cash flows from Investing Activities (32,782,464) (14,446,219)

Cashflows from Financing Activities0 Proceeds from Borrowings 56,970 0

10,812 Principal Repayments Received - Loans 12,878 12,879(155,213) Loan Repayments - Principal 7(c) (170,516) (166,141)(144,401) Net cash flows from Financing Activities (100,668) (153,262)

Cash flows from GovernmentReceipts from Grants

5,500,349 Recurrent 4,637,005 7,250,2873,892,155 Capital 4,272,832 1,910,5029,392,504 Net cash flows from Government 8,909,837 9,160,7894,946,838 Net (decrease)/increase in cash held (21,528,682) 1,140,659

25,928,650 Cash at the Beginning of Reporting Period 30,875,477 30,875,477(11) Rounding 19 (2)

30,875,477 Cash at the End of Reporting Period 9 9,346,814 32,016,134




ACTUAL BUDGET BUDGET ACTUAL$ OPERATING REVENUE 1,3,4,15,16 $ $ $

3,664,865 General Purpose Funding 3,407,125 3,481,662 4,026,8433,452 Governance 1,000 1,000 19,068

149,993 Law, Order, Public Safety 214,000 314,000 309,512182,798 Health 182,283 182,283 213,933

6,309,554 Education and Welfare 5,852,978 6,089,240 6,634,658376,813 Housing 281,130 281,130 844,071

7,479,140 Community Amenities 6,586,286 6,695,628 7,989,9344,517,503 Recreation and Culture 5,136,112 5,310,735 5,002,9173,609,463 Transport 2,334,527 3,386,566 1,982,9941,080,007 Economic Services 848,867 848,867 970,5551,224,865 Other Property and Services 3,589,445 3,589,445 1,563,953

28,598,453 28,433,753 30,180,556 29,558,438LESS OPERATING EXPENDITURE 1,3,4,17,18

(708,821) Governance (931,980) (931,980) (721,792)(1,995,722) Law, Order, Public Safety (1,636,513) (1,736,513) (1,514,140)

(679,754) Health (773,304) (773,304) (748,510)(7,388,912) Education and Welfare (7,426,059) (7,478,234) (7,499,419)

(420,277) Housing (441,363) (441,363) (906,786)(7,909,682) Community Amenities (9,069,817) (9,069,817) (7,961,789)

(15,256,681) Recreation and Culture (17,385,330) (17,428,551) (17,114,085)(17,271,726) Transport (8,002,756) (8,056,550) (6,572,174)

(855,435) Economic Services (842,775) (842,775) (764,363)(2,814,397) Other Property and Services (4,957,801) (4,957,801) (3,163,355)

(55,301,407) (51,467,698) (51,716,888) (46,966,413)(26,702,954) Increase/Decrease (23,033,945) (21,536,332) (17,407,975)

OTHER ITEMS4,483,910 Infrastructure Assets - Decrement 1(c) 0 0 (6,895,882)

0 Doubtful Debts Expense (90,000) (90,000) (90,000)767,818 Change in Equity- Joint Venture 0 0 434,05985,207 Prior Year Adjustment 0 0 0

(21,366,019) (23,123,945) (21,626,332) (23,959,798)ADD

(4,483,910) Infrastructure Assets Decrement Written Back 0 0 6,895,882(767,818) Change in Equity - Joint Venture 34 0 0 (434,059)

10,812 Principal Repay-Sporting & Community Organisations 12,878 12,878 12,879336,598 Profit/(Loss) on Disposal of Assets 2,6 515,725 515,725 499,287

15,689,872 Depreciation Written Back 18 7,920,612 7,920,612 5,721,490868,728 Book Value of Assets Sold Written Back 6(a) 870,685 870,685 833,156

(9,711,737) (13,804,045) (12,306,432) (10,431,163)LESS CAPITAL PROGRAMME

(2,630,641) Purchase Land and Buildings 24 (15,041,520) (15,342,698) (3,527,570)(7,300,401) Infrastructure Assets -Roads 24 (12,755,145) (13,857,547) (7,345,596)

(880,803) -Recreation Facilites 24 (2,238,820) (2,397,013) (1,294,540)(49,278) -Other 24 (110,000) (112,861) (13,103)

(2,395,536) Purchase Plant & Equipment 24 (3,276,467) (3,251,282) (2,925,758)(712,434) Purchase Furniture & Equipment 24 (746,922) (811,876) (672,095)(155,213) Repayment of Debt-Principal 7(c) (170,516) (170,516) (166,141)(562,461) Transfers to Reserves 8 (517,174) (517,174) (790,453)

(7,757) Transfers Other 0 0 0(24,406,261) (48,660,609) (48,767,399) (27,166,419)

LESS - FUNDING FROM2,397,391 Reserves 8 3,226,242 3,333,032 2,950,018

0 Loans 7 65,270 65,270 00 Town Planning Scheme 24 215,000 215,000 215,732

13,219,430 Opening Funds 23 17,899,830 17,899,830 17,899,830(17,899,830) Closing Funds 23 0 0 (21,310,488)

(1) Rounding 0 0 0(26,689,271) TO BE MADE UP FROM RATES (27,254,267) (27,254,267) (27,411,327)

RATE SETTING STATEMENT FOR THE YEARENDING 30 JUNE 2004


STA

TE

ME

NT

OF

RA

TIN

G I

NF

OR

MA

TIO

NF

OR

TH

E Y

EA

R E

ND

ING

30

JUN

E 2

004

CU

RR

EN

T Y

EA

R E

STIM

AT

ED

CU

RR

EN

T Y

EA

R A

CT

UA

L20

03/2

004

2003

/200

4G

EN

ER

AL

RA

TE

MIN

IMU

M R

AT

EG

EN

ER

AL

RA

TE

MIN

IMU

M R

AT

EN

o. o

fR

atea

ble

GR

VR

ate

Min

imum

Min

No.

of

Rat

eabl

eG

RV

Rat

eM

inim

umM

inP

rops

.V

alue

Rat

e in

Yie

ldN

oR

atea

ble

Rat

eY

ield

TO

TA

LP

rops

V

alue

Rat

e in

Yie

ldN

oR

atea

ble

Rat

eY

ield

TO

TA

L$

$$

$$

$$

$$

$$

$$

Gen

eral

Rat

e G

RV

23,4

3140

4,55

0,55

30.

0586

23,7

06,9

2823

,706

,662

24,3

0040

4,54

2,37

20.

0586

23,7

06,1

8323

,706

,183

Min

imum

Rat

e (

2)8,

271

46,2

96,9

3338

03,

142,

980

3,14

2,98

08,

268

46,1

93,9

6138

03,

141,

840

3,14

1,84

0

Inte

rim

Rat

es15

0,00

027

5,00

1

Pen

sion

ers

Def

erre

d R

ates

(Non

Cur

rent

Por

tion

)

Inte

rest

on

Lat

e Pa

ymen

t11

0,00

013

9,76

7-

Gen

eral

Rat

e-

Min

imum

Rat

e

SUB

TO

TA

L G

EN

ER

AL

23

,431

404,

550,

553

23,7

06,9

288,

271

46,2

96,9

333,

142,

980

27,1

09,6

4224

,300

404,

542,

372

23,7

06,1

838,

268

46,1

93,9

613,

141,

840

27,2

62,7

91R

AT

E

SP

EC

IFIE

D A

RE

AC

anni

ng V

ale

PO

S-

Gen

eral

Rat

es2,

711

29,3

20,7

290.

0049

3314

4,62

514

4,62

52,

730

29,3

12,7

290.

0049

3314

4,60

114

4,60

1C

anni

ng V

ale

PO

S-

Inte

rim

Rat

es3,

935

SUB

TO

TA

L S

PE

CIF

IED

2,71

129

,320

,729

144,

625

144,

625

2,73

029

,312

,729

144,

601

148,

536

AR

EA

GR

AN

D T

OT

AL

26,1

4243

3,87

1,28

223

,851

,553

8,27

146

,296

,933

3,14

2,98

027

,254

,267

27,0

3043

3,85

5,10

123

,850

,784

8,26

846

,193

,961

3,14

1,84

027

,411

,327

NO

TE

:(1

) T

HE

OB

JEC

TS

AN

D R

EA

SO

NS

FO

R G

EN

ER

AL

AN

D M

INIM

UM

RA

TE

(2)

RA

TE

S L

EV

IED

IF

NO

MIN

IMU

M R

AT

E O

F $

380P

A W

AS

IM

PO

SE

D

Cou

ncil

has

im

pose

d a

gene

ral

rate

of

0.05

86 c

ents

in

the

Dol

lar

and

Form

ula

min

imum

rat

e of

$38

0pa,

as

Cou

ncil

per

ceiv

es i

t to

be

a “r

easo

nabl

e”To

tal

GR

VA

ppli

cabl

eG

ener

al R

ate

Rat

es L

evie

d on

min

imum

lev

el o

f ra

tes

whi

ch a

ll r

atep

ayer

s in

its

dis

tric

t sh

ould

pay

.to

Pro

pert

ies

that

Xin

Dol

lar

=

P

rope

rtie

s th

at t

heT

he m

inim

um r

ate

refl

ects

the

bas

ic c

ost

incu

rred

by

the

Cou

ncil

in

Min

imum

Rat

e ap

plie

sM

inim

um R

ate

App

lies

serv

icin

g ea

ch l

ot o

r dw

elli

ng i

n it

s di

stri

ct.

$46,

193,

961

X0.

0586

=

2,

706,

966

City of CANNING 27

NO

TE

S

City of CANNING 31

NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTSFOR THE YEAR ENDING 30 JUNE 2004

1 SIGNIFICANT ACCOUNTING POLICIES

The significant policies which have been adopted in the preparation of the Financial Report are:

(a) Basis of Accounting

The Financial Report is a general purpose financial report which has been prepared in accordance withapplicable accounting standards and other mandatory professional reporting requirements and the LocalGovernment Act 1995 including the Local Government (financial Management) Regulations. The FinancialReport has been prepared on the basis of historical cost and does not take into account changing money valuesor, except where stated, current valuations of non-current assets. The accounting policies have beenconsistently applied, unless otherwise stated.

Local Governments are not required to comply with the following Australian Accounting Standards:AAS 16 “Financial Reporting by Segments”AAS 22 “Related Party Disclosures”

(b) The Local Government Reporting Entity

The Financial Statements forming part of this report has been prepared on the basis of five funds (Municipal,Reserve, Loan Capital, Trading and Trust Funds). For the purposes of reporting the Municipality authority asa single unit, all transactions and balances in respect to the Municipal, Loan, Reserve and Trading Funds havebeen consolidated. Certain monies held in the Trust Fund have been excluded from the consolidated FinancialStatements, but a separate Statement of those monies appear at Note 10.

(c) Non-Current Assets - Valuation and Depreciation

Council’s Policy in relation to the valuation and depreciation of Council Assets is as follows:

The Assets Classes include:Land and BuildingsFurniture and EquipmentPlant and EquipmentToolsInfrastructure Assets

Infrastructure Assets include the following Sub-Classes:Infrastructure Assets Roads-- Roads- Footpaths- Drainage- Street Signs- Parking Signs- Bus Shelters- BridgesRecreation Facilities- Playing Fields- Passive Parklands- Reticulation and Irrigation- Lighting- Fences- Play Equipment and Facilities- BBQ and Park Furniture

Other- Carparks


Land under roads is not recognised within the above Asset Classes as there is no legislative requirement to include such values.

The values of the above-mentioned Assets are based on the following:

In the 2003/2004 financial year, the City engaged Australian Property Consultants, Licenced Valuers, to value Council’s Landand Building Assets as at the 30th June 2004. Valuers and Consultants were engaged to value Council’s Furniture andEquipment Assets as at the 30th June 2004. All Plant and Equipment and Tools have been recorded at cost irrespective of thepurchase date.

From 1st July 1997, Council increased its minimum Asset Capitalisation Threshold from $100 to $1,000.

- Land

(i) Non Commercial Purposes (Recreation, Public Open Space, Roads and Drainage Construction) to be recorded at $100 perholding.

(ii) Commercial Purposes - Independent assessments to be obtained at 4 yearly intervals of the Fair Market Value of Landbased on existing use which wa undertaken in the 2003/2004 financial year and will be amended for the remaining 3 yearsby the additional historical cost value of land purchases.

- Buildings, Furniture and Equipment

Independent assessments to be obtained on 4 year intervals which was undertaken in the 2003/2004 financial year based on thereplacement cost of the Asset. These values to be incorporated in the Financial Records and for the remaining 3 years will beamended by the additional historical cost of new purchases.

- Plant and Equipment

Acquisitions are recorded at historical cost due to the frequent changeover of Council’s Plant, Equipment and Tools.

- InfrastructureInfrastructure Assets Valuation Policy

Where the annual valuation derived for the Infrastructure Asset models varies to the opening balance brought forward plus theactual amount expended on construction or purchase for each Asset class, the net increment or decrement in respect of that classcompared to the Valuation Model will be accounted for as follows:

(i) If the annual valuation amount derived from the model exceeds the opening balance brought forward plus the actualamount expended on construction or purchase for each Asset class the Increment will be credited directly to the AssetRevaluation Reserve - except to the extent that the increment reverses a re-valuation decrement previously recognised asan expense in the Operating Statement in respect of that same class of Asset, it must be recognised as revenue in theOperating Statement for the period,and

(ii) If the annual valuation amount derived from the Model is less than the opening balance brought forward plus the actualamount expended on construction or purchase for each Asset class the decrement will be recognised as an expense in theOperating Statement -except to the extent that such a decrement reverses a re-valuation increment previously credited to,and still included in the balance of the Asset Revaluation Reserve in respect of that class, in this situation it will bedebiteddirectly to the Asset Revaluation Reserve.

Asset class increments and decrements shall be offset against one another within a class of non-current Assets, but shallnot be offset in respect of different classes of non-current Assets.

Values of Infrastructure Assets are recorded based on models used to value each class of Infrastructure Assets on an annualbasis as detailed below.

City of CANNING 33

Infrastructure Asset Classes

Infrastructure Assets Roads includes:

- Roads

The Pavement and Road Management Maintenance System (PARMMS) is the method used by Council to value its RoadNetwork. The class of Asset is valued at Replacement Cost and depreciated after taking into account the condition of the roads.Physical inspections and condition testing of the Road Network are continually undertaken.

- Bridges

The valuations of Bridges are based on Replacement Cost and Depreciation is calculated on its useful life.

- Footpaths

The Valuation of Footpaths are based on Replacement Cost and Depreciation is calculated on its useful life.

- Drainage

The Valuation of Drainage is based on Replacement Cost and Depreciation is calculated on its useful life.

- Signs - Parking- Street

The Valuation of Signs is based on Replacement Cost and Depreciation is calculated on its useful life.

- Bus Shelters

The Valuation of Bus Shelters is based on Replacement Cost and Depreciation is calculated on its useful life.

Infrastructure Assets Recreation Facilities includes:

- Recreation Facilities - Playing Fields

The Valuation of Playing Fields is based on current Development Costs to develop land to Playing Fields.

- Passive Parklands

The Valuation of Parklands is based on current Development Costs to develop land to Passive Recreational Facilities.

-Reticulation and Irrigation

The Valuation of Reticulation and Irrigation is based on Replacement Cost and Depreciation is calculated on its useful life.

- Lighting

The Valuation of Lighting is based on Replacement Cost and Depreciation is calculated on its useful life.

- Fences

The Valuation of Fences is based on Replacement Cost and Depreciation is calculated based on annual condition assessmentswhich are continually undertaken.

- Play Equipment and Facilities

The Valuation of Play Equipment and Facilities is based on Replacement Cost and Depreciation is calculated on its useful life.

- Barbecues and Park Furniture

The Valuation of Barbecues and Park Furniture is based on Replacement Cost and Depreciation is calculated on its useful life.


Infrastructure Assets Other includes:

- Other - Carparks

This class of Asset is valued at Replacement Cost and depreciated after taking into account the condition of the Carparks.Physical inspections and condition testing of the all Carparks are continually undertaken.

Depreciation

All property (excluding land), plant and equipment and tools are depreciated over their useful lives on a straight line basis as follows:

Buildings 2-60 yearsTools 5 yearsPlant and Equipment- Mobile Plant and Vehicles 5 years- Other Plant 8 yearsFurniture and Equipment 10 years

From the 2003/2004 financial year, buildings have been recorded as per independent valuations and will be depreciated overthe remainder of their useful life. During subsequent years depreciation is calculated as determined by the independentassessment to be obtained on 4 year intervals. Buildings constructed in between independent assessments are depreciatedaccording to Officers estimate of their useful lives.

Infrastructure

Roads- Roads Condition Rated Annually- Bridges 30-50 years- Footpaths 50 years- Drainage 75 years- Signs

Streets 15 yearsParking 10 years

- Bus Shelters 20 years

Recreation Facilities- Playing Fields Not Depreciated- Passive Parklands Not Depreciated- Reticulation and Irrigation 25 years- Lighting 40 years- Fences Condition Rated Annually- Play Equipment and Facilities 10 to 15 years- BBQ and Park Furniture 5 to 10 years

Other Facilities- Carparks Condition Rated Annually

(d) Rates, Grants, Donations and Other Contributions

Rates, grants, donations and other contributions are recognised as revenues when the City of Canning obtains controlover the assets comprising the contributions. Control over Assets acquired from rates is obtained at the commencementof the rating period or, where earlier, upon receipt of the rates. Control over granted assets is normally obtained upontheir receipt or upon prior notification that a grant has been secured, and the timing of commencement of controldepends upon the arrangements that exist between the grantor and the City of Canning.

Unreceived contributions over which the City of Canning has control are recognised as receivables.

City of CANNING 35

Where contributions recognised as revenues during the reporting period were obtained on the condition that they beexpended in a particular manner or used over a particular period, and those conditions were undischarged as at thereporting date, the nature of and amounts pertaining to those undischarged conditions are disclosed in Note 5. That notealso discloses the amount of contributions recognised as revenues in a previous reporting period which were obtainedin respect of the City of Canning’s operations for the current reporting period.

The rating and reporting period coincides with rates levied for the year and recognised as revenues. All outstandingrates are collectable and therefore no provision has been made for doubtful debts.

(e) Employee Benefits

The amounts expected to be paid to Employees for their pro-rata entitlements to Long Service and Annual leave areaccrued annually as follows:

Annual and Special Leave - accumulated to the last anniversary date from the commencement of employment, lessleave taken. Leave untaken at balance date is expressed as a liability by utilising the rate of pay applicable at 30 June2004 plus applicable salary and wage oncost.

Long Service Leave - computed in accordance with the provisions of the Local Government (Long Service Leave)Amendment Regulations 1983 and Australian Accounting Standards Board 1028 - “Accounting for Employee Benefits”(AASB 1028).

The provision for employees entitlements to Long Service Leave represents the present value of the estimated futurecash outflows to be made by the City resulting from employees who have worked with the City for 12 months or more.

Liabilities for employee entitlements which are not expected to be settled within 12 months are discounted using therates attached to the Commonwealth Bond rates at balance date, which most closely match the terms of maturity of therelated liability.

In determining the liability for employee entitlements, consideration has been given to future increases in wage andsalary rate. Related on-costs for superannuation and workers compensation have also been included in the calculations.

(f) Superannuation

The Municipality contributes to the Local Government Superannuation Fund. Contributions for 2003/2004 were 9%for Superannuation Guarantee Charge (Compulsory Scheme) and 3.5% for the Voluntary Contribution Scheme.Effected from November 2002 the Council contributed an additional 1% Superannuation for all employees.Contributions are charged as an expense when incurred.

(g) Investments

All Investments are valued at cost and interest on those investments is recognised when accrued.

(h) Prepaid Expenses

Prepaid Expenses relate to the operations of Canning Lodge, which Council assumed responsibility from theAssociation of the Blind.

(i) Stock on Hand

Stocks on hand of materials and stores are valued at cost. Materials are issued to works on basis of cost.

(j) Cash

For the purpose of the statement of cash flows, cash includes cash on hand and in banks and investments in moneymarket instruments, net of outstanding bank overdrafts.


(k) Interest in Joint Ventures

Council’s interest in Joint Venture entities are brought to account using the equity method of accounting in the FinancialStatements. For further details relating to Interest in Joint Venture refer to Note 35.

(l) Comparative Information

Comparative Information has been included in the Financial Statements. Where required, comparative figures havebeen adjusted to conform with changes in presentation for the current financial year.

(m) Goods and Services Tax (GST)

In accordance with recommended practice, revenue expenses and assets capitalised are stated net of any GSTrecoverable, except where the amount of GST incurred is not recoverable from the Australian Taxation Office (ATO).Receivables and Payables in the Statement of Financial Position are stated inclusive of applicable GST.

(n) International Financial Reporting Standards

The Australian Accounting Standards Board (AASB) is adopting the International Financial Reporting Standards(IFRS) for application to reporting periods beginning on or after 1 January 2005 (effective for the 30 June 2006 financialreport). This requires the production of accounting data for future comparative purposes at the end of the currentfinancial year.

The Council are assessing the significance of these changes and preparing for their implementation. The Council hasreceived preliminary advice that the differences in accounting policies which will arise on adoption of IFRS are notlikely to be significant.

The above advice should not be regarded as definitive as not all standards have been analysed as yet, and some decisionshave not yet been made where choices of accounting policies are available. For these reasons it is not yet possible toquantify the impact of the transition to IFRS on the Council's financial position and reported results.

2 OPERATING REVENUES AND EXPENSES

The Operating Revenue and Expenses as reported in the Financial Report includes:Adopted

Actual Budget Actual2002/2003 2003/2004 2003/2004

$ $ $Charging as Expenses

15,689,872 Depreciation on Non-Current Assets 7,920,612 5,721,490

Charging as Expenses13,450 Auditors Remuneration 18,500 17,950

Crediting as IncomeProfit(Loss) on Sale of Non-Current Assets

0 Land 0 26,000 336,598 Plant and Equipment 514,725 473,287

0 Furniture and Equipment 1,000 0336,598 515,725 499,287

City of CANNING 37

3 DESCRIPTION OF FUNCTIONS/ACTIVITIES

General Purpose FundingRates Levied, Interest on Late Payment of Rates, General Purpose Grants and Interest Received on Investments.

GovernanceMember of Council Allowances and Reimbursements, Civic Functions, Election Expenses and AdministrationExpenses.

Law, Order, Public SafetySupervision of various Local Laws, Fire Prevention, Animal Control, Ranger and Security Services, Impounding ofVehicles and Emergency Services.

HealthEnvironmental Health, Food Control, Pest Control, Immunisation Services and Maintenance of Maternal Infant HealthClinics.

Education and WelfarePre-Schools and other Education. Care of Families and Children, Senior Citizens Centres, Day Care Centres, Meals onWheels, Home Help, Transport Services, Family Support and Multicultural Centre Activities.

HousingAged Persons Residence, Accommodation for People with Disabilities and Staff Housing.

Community AmenitiesRefuse Collection Services, Landfill Site Operations, Protection of the Environment. Administration of the TownPlanning Scheme and Urban Stormwater and Drainage Works.

Recreation and CultureMaintenance of Halls, Swimming Pool, Recreation Centres, Reserves, Libraries, Golf Course, Recreation EquipmentHire and Other Culture.

TransportMaintenance of Roads, Drainage Works, Footpaths, Street Lighting, Parking Facilities, Crossovers, Verge Maintenanceand Street Sweeping.

Economic ServicesWeed Control, Area Promotion, Implementation of Building Controls, Swimming Pool Inspections, Plant NurseryOperations and Concrete Batching Operations.

Other Property and ServicesPrivate Works, Town Planning Schemes, Public Works Overheads, Plant Operations, Materials, Salaries and WagesControls and Other Unclassified Activities.


4 OPERATING REVENUES AND EXPENSES BY NATURE AND TYPE

Operating expenses and revenues classified according to nature and type.

AdoptedActual Budget Actual

2002/2003 2003/2004 2003/2004$ $ $

Operating Expenses

21,601,694 Employee Costs 22,553,414 21,798,79810,207,814 Materials and Contracts 10,116,913 10,769,24415,689,872 Depreciation of Non-Current Assets 7,920,612 5,721,4912,364,403 Utility Charges (Gas, Electricity, Water, etc) 2,435,335 2,592,479

940,838 Insurance Expenses 1,100,878 1,100,87896,461 Interest Expenses 94,181 85,159

0 Other Items - Direct from Operating Statement 0 6,551,8234,400,325 Other Expenditure 7,336,365 4,898,364

55,301,407 51,557,698 53,518,236

Operating Revenues26,547,399 Rates - General 27,144,267 27,461,8701,774,186 Interest Earned 1,463,214 2,046,6469,221,861 Grants and Subsidies 8,755,651 8,961,6672,915,340 Contributions, Reimbursement & Donations 2,108,377 2,390,311

265,237 Service Charges 256,898 276,17814,393,837 Fees and Charges 13,431,052 15,101,834

336,598 Profit on Sale of Assets 516,725 499,2875,336,935 Other Items - Direct from Operating Statement 0 0

169,864 Other Revenue/Income 2,528,561 731,25960,961,257 56,204,745 57,469,052

Agreed with Change in Net Assets5,659,850 Resulting from Operations 4,647,047 3,950,816

5 CASH AND RESTRICTED FUNDS


2002/2003 2003/2004 2003/2004$ $ $

254,245 Cash at Bank 4,764,057 41,61712,105 Cash on Hand 12,105 11,455

266,350 Total Cash - Sub Total 4,776,162 53,07230,609,127 Investments 4,570,652 31,963,062

30,875,477 9,346,814 32,016,134

Represented by:-

7,503,020 Restricted Cash 4,570,652 5,127,723 23,372,457 Unrestricted Cash 4,776,162 26,888,411

30,875,477 9,346,814 32,016,134

City of CANNING 39

The following restrictions have been imposed byregulations or other externally imposed requirements

Actual Actual2002/2003 2003/2004

$ $

8,299 Loan Fund - Unspent (Restricted Cash) 8,2991,564,877 Reserve Fund - Aged Persons Homes (Restricted Cash) 1,684,9952,514,476 Reserve Fund - Land and Buildings (Restricted Cash) 2,489,3153,121,423 Reserve Fund - Waste Management (Restricted Cash) 837,428

293,945 Other - (Town Planning Scheme 23 and 24) (Restricted Cash) 107,686

7,503,020 5,127,723

The following details Grants recognised as revenues during the financial year in respect of which expenditure had not beenmade and is to be carried forward and expenditure incurred in the 2004/2005 financial year:

- Govt Grant - Local State Emergency Services Unit 3,725- Govt Grant - Club Development Program 2,000- Swan River Trust Contribution - Fishing Jetties 31,760- Nestle Australia Ltd - McDowell St Rehabilitation 40,000- Roads to Recovery - Specific Road Grant 209,701- Govt Grant - Community Integration Officer 74,243- Federal Government Blackspot Road Grant 76,065- City of Gosnells Contribution - Nicholson Road Median 53,278- Main Roads Department - Fern Road Bridge Grant 238,273

729,045

6 FIXED ASSETS

(a) Sale of Assets

In accordance with Financial Management Regulation 36(1)(e), the following information isprovided in relation to the disposal of Assets by Asset Class:

Proceeds Written Down Gain(Loss)Sale of Assets Value on Disposal

2003/04 2003/04 2003/04 2003/04 2003/04 2003/04Adopted Adopted AdoptedBudget Actual Budget Actual Budget Actual

$ $ $ $ $ $

Asset by ClassFurniture and Equipment 1,000 0 0 0 1,000 0Plant and Equipment 1,385,410 1,264,443 870,685 833,156 514,725 473,287Land 0 68,000 0 0 0 26,000

TOTAL BY CLASS OF ASSETS 1,386,410 1,332,443 870,685 833,156 515,725 499,287

(b) Borrowing Costs Incurred and Capitalised as part of a Qualifying Asset

No Borrowing Costs were incorporated in the Financial Statement as Assets purchased are to be funded from General Purpose Funding.


(c) Fixed Assets Classifed according to Class

Actual Actual2002/2003 2003/2004

$ $ $ $

23,966,700 Land 24,990,400

73,421,986 Buildings 96,744,275 (23,540,434) 49,881,552 Less Accumulated Depreciation (35,044,545) 61,699,730

12,273,814 Furniture and Fittings 13,539,700 (9,392,624) 2,881,190 Less Accumulated Depreciation (11,184,880) 2,354,820

12,635,987 Plant and Equipment (at cost) 12,752,450 (6,724,496) 5,911,491 Less Accumulated Depreciation (6,720,272) 6,032,178

92,516 Tools (at cost) 92,516 (92,516) 0 Less Accumulated Depreciation (92,516) 0

253,077,087 Roads 256,155,700 (64,364,734) 188,712,353 Less Accumulated Depreciation (63,206,462) 192,949,238

37,549,759 Recreation Facilities 39,236,735 (6,133,055) 31,416,704 Less Accumulated Depreciation (6,313,415) 32,923,320

5,004,382 Other 5,004,382 (1,081,594) 3,922,788 Less Accumulated Depreciation (1,138,519) 3,865,863

306,692,778 TOTAL FIXED ASSETS 324,815,549

For further details on Council’s Policy on Accounting for Fixed Assets refer to Note 1(c) “Non-Current Assets - Valuations and Depreciation”.

(d) Assets Classified by Program

Council’s Assets classified by Program are summarised as follows:

Program Land Buildings Furniture Plant Infrastructure All Totaland and and Other By

Equipment Equipment Equipment Assets Program$ $ $ $ $ $ $

Governance 0 9,257,244 353,310 905,048 0 1,381,212 11,896,815Law, Order &Public Safety 274,875 605,890 23,122 59,235 0 31,956 995,079

Health 0 439,054 16,756 42,925 0 45,685 544,420Education &Welfare 699,645 3,321,727 126,776 324,754 0 17,795 4,490,697Housing 1,799,146 1,671,877 63,809 163,453 0 14,177 3,712,462CommunityAmenities 3,023,628 8,800,233 335,869 860,370 0 1,243,287 14,263,386Recreation &Culture 10,871,694 16,568,785 632,360 1,619,873 36,789,183 153,995 66,635,890Transport 0 4,836,705 184,596 472,869 192,949,238 191,923 198,635,331Economic Services 0 313,434 11,965 30,643 0 0 356,042Other Property& Services 8,321,412 15,884,779 606,257 1,553,007 0 314,519 26,679,975No SpecificProgram Allocation 0 0 0 0 0 34,274,766 34,274,766

TOTAL 24,990,400 61,699,730 2,354,820 6,032,178 229,738,421 37,669,315 362,484,864

City of CANNING 41

The following buildings, included in the above figures are restricted assets:

176 Gibbs Street, East Cannington ) The properties are held under a Deed 22,000178 Gibbs Street, East Cannington ) Management from the State Planning 22,000305 Welshpool Road, Welshpool ) Commission for a period of 25 years. 22,00012/1179 Albany Highway, Bentley ) The properties are held under Deeds 75,00076 Hamilton Street, Cannington ) of Trust with Caveats lodged on the 60,00012 Allen Court, Queens Park ) Certificate of Title to prevent any 105,00012/152 Hamilton Street, Cannington ) dealings 100,0008 Blenny Close, Cannington ) 165,00054 Hybanthus Road, Ferndale ) 92,4368/19 Saurel Way, Ferndale ) 89,586

753,022

(e) Movements in Carrying Amounts

Movement in the carrying amounts of each of each class of property, plant, and equipment between thebeginning and the end of the current financial year

Program Land Buildings Furniture Plant Infrastructure Totaland and

Equipment Equipment$ $ $ $ $ $

Balance at the beginning of the year 23,966,700 49,881,552 2,881,190 5,911,491 224,051,845 306,692,778

Additions 0 3,527,570 672,095 2,925,758 8,653,240 15,778,663

Changes in Equity 0 0 0 0 0 0

Increase in ResidentsEquity Retirement Villages 0 298,094 0 0 0 298,094

Disposals (42,000) 0 0 (791,154) 0 (833,154)

Revaluation Increments/(decrements) 1,065,700 9,586,432 (758,348) 0 (1,293,125) 8,600,659

Depreciation Expense 0 (1,593,918) (440,117) (2,013,917) (1,673,539) (5,721,491)

Carrying Amount at the end ofYear 24,990,400 61,699,730 2,354,820 6,032,178 229,738,421 324,815,549

7 INTEREST BEARING LIABILITIES

(a) In accordance with Financial Management Regulation 48 the unspent balance of moneyborrowed in previous years is summarised as follows:

Loan Date Purpose Opening Funds ClosingNo. Raised Balance Spent Balance

01.07.03 2003/2004 30.06.04$ $ $

Community Amenities228 05/06/1992 Canning Regional 8,300 0 8,300

Centre Studies

TOTAL 8,300 0 8,300


(b) Loans Raised in Financial Year

No new Loans were raised during the 2003/2004 financial year:

(c) Loan Repayments

Council’s Loan Liability is summarised as follows:

Program Loan Principal Loans Interest Loan Repayment PrincipalNo. Raised Budget Actual Budget Actual

01/07/03 2003/04 2003/04 2003/04 2003/04 2003/04 30/06/04$ $ $ $ $ $ $

Economic Services

Underground Power 235 1,312,508 0 91,181 88,018 170,516 166,141 1,146,367

SUB TOTAL 1,312,508 0 91,181 88,018 170,516 166,141 1,146,367

LESS Change in Net Accrual (2,859)

TOTAL 1,312,508 0 91,181 85,159 170,516 166,141 1,146,367

Current 170,516 180,865 Non-Current 1,141,992 965,502

Loan Repayments to be 0 0 0 0financed by the CityLoan Repayments reimbursed 91,181 85,159 170,516 166,141from external sources

TOTAL 1,312,508 91,181 85,159 170,516 166,141 1,146,367

8 RESERVES

In accordance with Financial Management Regulation 38 the following Reserve account information is disclosed.

(a) Land and Building Reserve (Cash Backed)

Purpose - Acquisition, Development and Improvement of Land and Buildings.

The transactions of the Reserve Fund are summarised as follows:


2002/2003 2003/2004 2003/2004$ $ $

3,754,917 Opening Balance 2,514,475 2,514,476

Plus Transfer from Accumulated Surplus55,998 - Rental Pt Lot 79 Ranford Road 93,435 93,601

146,909 - Interest Received 103,233 108,790(26,245) - Net proceeds/(Expenditure) Proposed Ranford Rd Subdivision 130,525 (207,897)

Less Transfer to Accumulated Surplus7,719 - Feasibility Studies and Survey 10,000 5,932

384 - Legal Expenses 2,000 00 - Valuation Fees 1,000 629

9,000 - Demolition Costs - Wharf St Cannington 0 01,400,000 - Development and Extensions - Whaleback Golf Course 0 0

0 - Land Acquisition - Wharf St Cannington 14,000 13,0940 - Administration Centre Upgrade 200,000 0

2,514,476 CLOSING BALANCE 2,614,668 2,489,315

City of CANNING 43

(b) Waste Management Reserve (Cash Backed)

Purpose - Acquisition and Development of Landfill Sites including Buildings, Plan and Equipment and lining of Site.

The transactions of the Reserve Fund are summarised as follows:Adopted


$ $ $3,880,690 Opening Balance 3,121,424 3,121,423

Plus Transfer from Accumulated Surplus151,590 - Interest Received 129,026 125,237

Less Transfer to Accumulated Surplus319,109 - Rehabilitation & Ground Water Control Landfill 481,335 95,914

0 - Plant and Equipment - Front End Loader 225,000 207,4500 - Plant and Equipment - Overhaul Komatsu Dozer 140,000 132,5510 - Plant and Equipment - Sweeper 40,000 41,5000 - Plant and Equipment - Various Miscellaneous Tools 15,000 13,744

287,444 - Land & Building - Waste Transfer Station 1,613,769 1,613,769304,304 - Plant and Equipment-Mobile Bins Recycling 304,304 304,304

3,121,423 CLOSING BALANCE 431,042 837,428

(c) Aged Persons Home Reserve (Cash Backed)

Purpose - Acquisition, Development and Improvements of Facilities for the Aged.

The transactions of the Reserve Fund are summarised as follows:Adopted


$ $ $1,400,099 Opening Balance 1,564,877 1,564,877

Plus Transfer from Accumulated Surplus47,521 - Interest Received 60,955 55,149

- Surplus from the following Operations20,733 People with Disabilities 0 4,7316,787 Joint Venture Housing 0 0

0 Rossmoyne Village 0 4,18670,210 Canning Lodge 0 164,65754,186 Capital Gain of Reallocation of Units 0 177,916

1,599,536 1,625,832 1,971,516

Less Transfer to Accumulated Surplus0 - Land and Buildings-Paint/Curtains-Canning Lodge 10,000 6,565

17,276 - Wilson Village Deficit from Operations 0 010,892 - Rossmoyne Village Deficit from Operations 0 06,302 - Land & Buildings-Carport Wilson Village 60,973 61,976

189 - Land & Buildings-Utility Storage Rm-Rossmyne Village 11,811 8730 - Land and Buildings-Hall Extens. Rossmoyne Village 30,000 30,0000 - Land and Buildings-Carpark Wilson Village 24,750 24,7500 - Consultancy Fee - Study Future Expansion of Service 10,000 9,0100 - Various Furniture and Equipment Canning Lodge 17,300 9,6920 - Land and Buildings-Various properties refurbishment 15,000 16,489


Aged Persons Home Reserve cont...Adopted


$ $ $Supported Accommodation-Disabilities

0 - Land and Buildings-Fencing -Wilson Village 0 34,7500 - Land and Buildings-Painting -Wilson Village 0 25,4540 - Land and Buildings-Roof Repairs -Wilson Village 0 3,0800 - Land and Buildings-Landscape Improve-Wilson Village 0 2,2940 - Land and Buildings-Landscape Improve-Rossmoyne Village 0 29,527

- Deficits from the following Operations:0 Wilson Village 0 25,3610 Joint Venture Housing 0 6,700

1,564,877 CLOSING BALANCE 1,445,998 1,684,995

All of the above Reserve Accounts are Cash Backed and are disclosed as Restricted Cash Assets in Note 5 of the Financial Statements.

Its anticipated the Reserves will be utilised as follows:

Land and Buildings Progressively over the next 5 YearsWaste Management Progressively over the next 5 YearsAged Persons Homes Progressively over the next 5 Years

Council would expect further transfers to be made to the Aged Persons Home and Land and Building Reserve as funds areutilised.

It is not anticipated to change the purpose of the Reserve Funds during the next financial year.

(d) Asset Revaluation Reserve

The following Asset Revaluation Reserve has resulted from the revaluation of Council Assets in accordance with the Australian Accounting Standards 38 - “Revaluation of Non-Current Assets”.

The Asset Revaluation Reserve is not Cash Backed and future transaction on the Reserve will be in accordance with Note 1(c) “Non Current Assets - Valuation and Depreciation”.


2002/2003 2003/2004 2003/2004$ $ $

30,764,749 Opening Balance 0 41,686,61910,921,870 PLUS/(LESS) Valuation changes to Fixed Assets 0 15,496,542

41,686,619 CLOSING BALANCE 0 57,183,161

The amount in the Asset Revaluation Reserve is represented by the following Asset Class balances:$

Land 17,631,132Buildings 20,622,672Infrastructure Assets:

Footpaths 4,750,426Bridges 1,966,723Signs 113,511Playing Fields 234,313 Reticulation and Irrigation 588,019Park Furniture 70,471Carparks 1,829,295Drainage 8,243,399Bus Shelters 72,420Fences 1,060,780

57,183,161

City of CANNING 45

9 CASH FLOW INFORMATION

(a) Reconciliation of cash flows from operations with change in net equity resulting from operations.

For the purpose of this statement of cash flows, cash includes cash on hand and in or at call deposits with Banksor Financial Institutions.


2002/2003 2003/2004 2003/2004$ $ $

5,659,850 Change in net equity from operations 4,646,047 3,950,816

Non cash flows in change in Net Equity15,689,872 Depreciation 7,920,612 5,721,490

(336,598) (Profit) loss on sale of Fixed Assets (516,725) (499,287)251,655 Changes to provisions (273,792) 288,374

(9,392,504) Government Revenue (8,909,837) (9,160,789)(767,818) Change in Equity - Joint Venture 0 (434,059)

0 Change in Equity - Rounding Adjustment 0 (10)(4,483,910) (Increment)/Decrement from Revaluation-Infrastructure Assets 0 6,895,882

Change in Assets and Liabilities(14,010) (Increase)/Decrease in Inventory 31,367 (13,718)(68,976) (Increase)/Decrease in Prepaid Expenses 68,976 71,409(2,539) Increase/(Decrease) in Accrued Expenditure (22,587) (2,859)

1,085,851 (Increase)/Decrease in Accounts Receivables 607,889 (535,423)529,420 Increase/(Decrease) in Accounts Payables (1,018,861) 202,870312,209 Increase/(Decrease) in Income in Advance (89,476) 94,656

8,462,502 Cash flows from Operations 2,443,613 6,579,352

Credit stand by arrangement and loan facilitiesCouncil has Bank Overdraft facilities of:-

1,900,000 Credit Facility 1,900,000 1,900,0000 Amount Utilised 0 0

1,900,000 Unused Facility available 1,900,000 1,900,000

RECONCILIATION OF CASH

23,372,457 Cash at Bank - Operating 0 26,888,4117,200,776 - Restricted Reserves 0 5,011,737

8,299 - Restricted Loans 0 8,299

Bank Overdraft Facility293,945 - Town Planning Schemes 0 107,687

30,875,477 TOTAL CASH 0 32,016,134


10 TRUST FUND INFORMATION

In accordance with Financial Management Regulation 37 the transactions of the Trust Fund are summarisedas follows:

TRUST FUNDFOR THE PERIOD ENDING 30 JUNE 2004

PARTICULARS OPENING RECEIPTS PAYMENTS CLOSING BALANCEBALANCE ADOPTED ACTUAL ADOPTED ACTUAL ADOPTED ACTUAL

BUDGET BUDGET BUDGET01.07.2003 2003/04 2003/04 2003/04 2003/04 2003/04 2003/04

$ $ $ $ $ $ $DEPOSITSCanning Rugby Club -Establish ClubroomsWilson Park 500 0 0 0 0 500 500

Youth Accommodation Bond 645 1,100 1,835 1,100 1,395 645 1,095

Canning Literary Awards 3,649 0 0 0 0 3,649 3,649

Nomination Deposits 0 0 0 0 0 0 0

PUBLIC OPEN SPACE CONTRIBUTIONS

TPS6 Drainage (KempeHutchinson) 1,307 0 0 0 0 1,307 1,307

TPS9 (VM & FM Allen) 72 0 0 0 0 72 72Public Open Space

Contributions 0 0 0 0 0 0 0Public Open Space and Local

Centre Contributions- TPS 17 121,106 0 61,813 0 59,545 121,106 123,374- TPS 21 980,559 0 381,200 0 96,580 980,559 1,265,179- TPS 23 395,852 0 0 0 0 395,852 395,852- TPS 24 111,723 0 12128 0 56055 111,723 67,796

TOWN PLANNING SCHEMESTown Planning Scheme 28A-Reimbursement 154 0 0 0 0 154 154

Town Planning Scheme 30 34,139 0 0 0 0 34,139 34,139

OTHERWoodloes Folk Museum 628 0 0 0 0 628 628

Dewey St-Private DrainageScheme Contribution 19,783 0 0 0 0 19,783 19,783

Donation-Getting to Know You 7,300 0 0 0 0 7,300 7,300

City of Canning Relief Fund 116 0 0 0 0 116 116

“Unclaimed Monies and Returned Cheques” 76,546 0 3,356 0 0 76,546 79,902

Sale of ImpoundedVehicles 0 0 2,870 0 0 0 2,870

TOTAL 1,754,079 1,100 463,202 1,100 213,575 1,754,079 2,003,706

City of CANNING 47

11 COMPARISON WITH RATE SETTING BUDGET

In accordance with Financial Management Regulation 36(1)(a) the following information provides details of all incomeand expenditure together with movements to and from Reserve Accounts which have not been included in the OperatingStatement but which have been included in the “Rate Setting Statement”.


2002/2003 2003/2004 2003/2004$ $ $

Non Operating Income10,812 Principal Repayment Received (Community Groups) 12,878 12,879

Proceeds from Disposal of Assets:0 Furniture and Equipment 1,000 0

1,205,326 Plant and Equipment 1,385,410 1,264,4430 Land 0 68,000

2,397,391 Transfer from Reserves 3,226,242 2,950,0180 Transfer Other 0 215,7320 Loans - Unspent 8,300 8,3000 Loans - Raised 56,970 0

3,613,529 TOTAL 4,690,800 4,519,372

Non Operating Expenditure2,630,641 Purchase Land and Buildings 15,041,520 3,527,5702,395,536 Purchase Plant and Equipment 3,276,467 2,925,758

712,434 Purchase Furniture and Equipment 746,922 672,0957,300,401 Infrastructure Assets-Roads 12,755,145 7,345,596

880,803 Infrastructure Assets-Recreation Facilities 2,238,820 1,294,54049,278 Infrastructure Assets-Other 110,000 13,103

155,213 Repayments of Debt-Principal 170,516 166,141562,461 Transfer to Reserves 517,174 760,980

7,757 Transfer Other 0 29,473

14,694,524 TOTAL 34,856,564 16,735,256

12 RATING INFORMATION

In accordance with Financial Management Regulation 39 Council has imposed the following Rates:

(a) General and Minimum RateAdopted


$ $ $0.058 - General Rate 0.0586 0.0586

Rate in $ (The basis for the rate is Gross Rental Value) Rate in $ Rate in $

$375pa. - Minimum Rate $380pa $380pa

The Objects and Reasons for General and Minimum Rate

Council imposed a general rate of 0.0586 cents in the Dollar and minimum rate of $380pa, as Council perceives it to bea “reasonable” minimum level of rates which all ratepayers in its district should pay. The minimum rate reflects thebasic cost incurred by the Council in servicing each lot or dwelling in its district.

For additional information on the rates levied refer to the “Statement of Rating Information”.


(b) Specified Area Rates

(i) Canning Vale Public Open Space Maintenance

To maintain the level of Public Open Space Development at the current standard. Recentlyestablished and ongoing subdivisions in Canning Vale, a suburb located in the South East Corner ofthe City, adjacent to Ranford Road, all have Public Open Space fully developed and initiallyprovided at the expense of the respective subdividers.


2002/2003 2003/2004 2003/2004$ $ $

0.00044 The Rate in the Dollar 0.004933 0.004933(the basis for the rate is Gross Rental Value)

- Description of LandAll the land comprised within the area connecting at the north western corner of the intersection ofNicholson Road and Clifton Road then in a north easterly direction along the north western boundaryof Nicholson Road to Nicholson Court then in a north easterly direction along the north westernboundary of Nicholson Court to the south western corner of the intersection of Nicholson Court andthe Standard Gauge Railway Reserve then in a south westerly direction along the southern boundaryof the Standard Gauge railway Reserve and Ranford Road then in a south easterly direction alongthe north eastern boundary of Ranford Road to the north eastern corner of the intersection of RanfordRoad and Wilfred Road then in a south westerly direction along the south eastern boundary ofWilfred Road to the south eastern corner of the intersection of Wilfred Road and Clifton Road thenin a south easterly direction along the north eastern boundary of Clifton Road to the south easterncorner of the intersection of Clifton Road and Silicon road then in a south easterly direction alongthe north eastern side of Clifton Road to the starting point”.

More commonly known as the “Canning Vale Estates”.

Application of Rates Levied

To meet the additional cost of maintaining the Public Open Space developed in the Canning Vale Estates. The Canning Vale Estates ratepayers are required to contribute approximately 20% of the total amount of maintaining the parklands and street gardens.


2002/2003 2003/2004 2003/2004$ $ $

35,653 Unspent Balances Carried Forward 21,038 21,038127,053 Revenue 144,624 148,536162,706 165,662 169,574

Less ExpensesPublic Open Space & Verge Maintenance

(6,822) - Canning Vale Oval (12,830) (5,144)(42,495) - Livingston Estate P.O.S. (49,917) (43,422)(33,181) - Waratah Estate P.O.S. (37,686) (37,850)(59,170) - Ranford Estate P.O.S (65,229) (63,843)

(141,668) (165,662) (150,259)

21,038 Unspent/(Overspent) Balance Carried Forward 0 19,315

The additional information in the Specified Rates levied refer to the “Statement of Rating Information”.

City of CANNING 49

(c) Information about discounts,incentives,concessions and write offs

The following Prizes were donated by the Sponsors of the Rate Payment Incentive Scheme for the 2002/2003 Financial year.

First Prize - One “Classic Or Classic Plus Account” to the value of $1,500 donated by Challenge Bank.Second Prize- Money Order to the value of $1,000 donated by Australia Post.Third Prize- A “One Night Breakaway” for two Persons at the Esplanade Hotel, Fremantle.Fourth Prize- Two Nights Accomodation at any Best Western location in Australia.Fifth Prize- Household Termite Treatment donated by Stewarts Pest Control.Sixth Prize- Service Work to the value of $200 by Midas, Cannington.Seventh Prize- Twenty individual prizes of :

Double “A” Reserve tickets to the West Australian Ballet’s La Boheme at His Majesty’s Theatre from 21 May to 5 June 2004

13 SERVICE CHARGES

(a) Rossmoyne

Pursuant to Section 6.38(1) of the Local Government Act 1995 and Regulations 40 and 54 of the LocalGovernment (Financial Management) Regulations, a Service Charge is imposed for the provision ofUnderground Electricity within a defined part of the District of Rossmoyne.

Description of Land

The properties bounded by Leach Highway, the Council Boundary in Bullcreek, Riverton Drive and Fifth Aveand including the properties abutting Riverton Drive between Fifth Ave and Beatrice Ave, properties abuttingPleasant Place, Lot 211 Robins Place and Lot 210 Robins Place and properties abutting Fifth Ave betweenRiverton Drive and Leach Highway with the exception of Lot Pt 1135 Fifth Ave.

The Project involves the Design, installation and commissioning of an underground Electricity SupplyDistribution System. The Project includes the conversion of all existing Overhead customer serviceconnections to Underground between the property boundary and the property building.

Council has an objective to underground the powerlines where the residents support the Scheme as it representsa significant opportunity with tangible benefits, such as improved streetscape, enhance safety, better lightingand an attractive environment.

The Loan repayments for the 2003/2004 financial year amounts to $254,159 comprising of :

Interest Repayment $88,018Principal Repayment $166,141


2002/2003 2003/2004 2003/2004$ $ $

(6,460) Unspent Balance Carried Forward 4,799 4,799265,237 Service Charges Raised 249,360 249,612258,777 254,159 254,411

Less Expenses(155,213) Loan Repayment Principal (166,141) (166,141)(98,765) Loan Repayment Interest (88,018) (88,018)

Service Charge Instalment Refundable0 to lump sum Payment Contributors 0 0

(253,978) (254,159) (254,159)

4,799 Unspent/(Overspent) Balance Carried Forward 0 252


The Service Charges to be imposed are defined as follows:

Annual AnnualService ServiceCharge Charge

2002/2003 2003/2004$ $

Description

251.10 (A) House or Unit with overhead internal 240.60power connection

194.70 (B) House or Unit with Underground internal power connection 186.55(C) Flats with underground internal power

9,440.00 connection - 97 flats 9,045.356,909.10 - 71 flats 6,620.806,078.70 (D) Shopping Complex 5,824.55

93.00 (E) Houses in Streets already with Underground Power 89.105,958.45 (F) Council Properties 5,709.35

(G) 4 Units with overhead internal connection203.40 - one supply only 194.90

(H) 2 Units with overhead internal connection0 - one supply only 0

The categories and costings determined above are based on information provided by Western Power which categorises differentproperties depending on the “After Diversity Maximum Demand” which is affectively the average power draw at the time ofPeak load. Further the full service component for the underground connection between the street and the property is $900 andtherefore properties which already have this are given a discount of $450 (i.e. their half contribution).

The amount raised from the Service Charge is to meet the cost of the Loan repayment comprising of principal and interest.Lump sum amounts received reduced the amounts of the last Drawdown.

(b) St JamesPursuant to Section 6.38(1) of the Local Government Act 1995 and Regulations 40 and 54 of the Local Government(Financial Management) Regulations, a Service Charge is imposed for the provision of Underground Electricity within adefined part of the District of St James.

Description of Land

The properties on Boundary Road between Chapman Road and Albany Highway together with properties on WelshpoolRoad between Ellam Street and Albany Highway within the City of Canning.

The Project involved the Design, installation and commissioning of an underground Electricity Supply DistributionSystem. The Project included the conversion of all existing Overhead customer service connections to Undergroundbetween the property boundary and the property building.

The City proposed to borrow the sum of $56,970 for a term of 10 years to fund the above project.

City of CANNING 51

The Service Charges imposed for the 2003/2004 financial year are defined as :

Annual AnnualService ServiceCharge Charge

2002/2003 2003/2004$ $

DescriptionSt James - Once Only Charge (LumpSum)

0 (A) House or Unit with overhead internal power connection 1,500.00 0 (B) House or Unit with Underground internal power connection 1,000.00

via a greendome0 (C) House or unit with underground internal power connection 1,250.00

via a service pole0 (D) Commercial Premises 1,670.00 0 (E) Commercial Premises with underground power connection 1,400.00

via service pole0 (F) Welshpool Road Mult Unit Commercial Centre (Total 7 Units) 750.00

orAnnual Charge

0 (A) House or Unit with overhead internal power connection 198.500 (B) House or Unit with Underground internal power connection 132.35

via a greendome0 (C) House or unit with underground internal power connection 165.40

via a service pole0 (D) Commercial Premises 221.000 (E) Commercial Premises with underground power connection via 185.25

via service pole0 (F) Welshpool Road Mult Unit Commercial Centre (Total 7 Units) 99.25

The amount raised for the service charge is to meet the cost of the loan repayment comprising of principal and interest. Propertyowners were given a once only opportunity to make a lump sum payment in 2003/2004 financial year which together with the2003/2004 Annual Charge will reduce the amount of loan funds to be raised in the 2004/2005 financial year .

The 2003/2004 Financial Year transactions are summarised as follows:

$Cost of Underground Project - St James 56,970.00 less Lump Sum Payments Received 16,400.00 less Service Charge imposed for the 2003/2004 financial year 5,369.00

Amount Required to borrowed in the 2004/2005 financial year 35,201.00


14 INTEREST CHARGES FOR THE LATE PAYMENT OF RATES CHARGES

(1) Pursuant to Section 6.51 of the Local Government Act and Financial Management Regulation 43(a) the City of Canning imposed the following rate of interest applicable for the late payment of rates and applied as follows:

(a) Where no election has been made to pay the rate charge by instalments due

(i) after it becomes due and payable;or

(ii) 35 days after the date of issue of the rate notice

which ever is the later.

(b) Where an election has been made to pay the rate charge by instalments and an instalment remains unpaid after its due and payable.

The rate of interest to apply is 10% and the revenue from the imposition of the interest was as follows:


2002/2003 2003/2004 2003/2004$ $ $

141,871 Interest Charges for the late Payment of Rates Charged 110,000 139,767

(2) Pursuant to Section 6.45 of the Local Government Act and Financial Management Regulation 43(c) the due dates of each instalment was as follows:

1st Instalment 06th October 20032nd Instalment 08th December 20033rd Instalment 09th February 20044th Instalment 12th April 2004

15 FEES AND CHARGES INFORMATION

(a) In accordance with Financial Management Regulation 41, the estimates of total revenue fromFees and Charges for each program are summarised as follows:


2002/2003 2003/2004 2003/2004$ $ $3,055 Governance 1,000 2,650

146,992 Law, Order, Public Safety 145,000 136,711177,798 Health 176,283 205,927

1,030,872 Education and Welfare 1,033,288 1,045,335248,113 Housing 248,630 236,071

7,396,967 Community Amenities 6,567,786 7,764,9814,152,822 Recreation and Culture 4,316,374 4,446,673

9,610 Transport 14,000 10,329611,746 Economic Services 445,670 598,109615,862 Other Property and Services 483,021 655,048

14,393,837 TOTAL FEES AND CHARGES 13,431,052 15,101,834

(b) Fees and Charges amended during the financial year are as follows:

No amendments were made during the 2003/2004 financial year.

City of CANNING 53

16 INVESTMENTS

In accordance with Financial Regulation 49 the Earnings from Investments are summarised as follows:


2002/2003 2003/2004 2003/2004$ $ $

1,246,430 General Account 1,020,000 1,751,004 Reserve Funds

146,909 - Land and Buildings 103,233 108,790 47,521 - Aged Persons Homes 60,955 55,149

151,590 - Waste Management 129,026 125,237 7,757 Other - (Town Planning Scheme No 24) 8,000 6,467

1,600,207 TOTAL 1,321,214 2,046,647

17 COUNCIL MEMBERS - FEES, EXPENSES AND ALLOWANCES

In accordance with Financial Management Regulation 44 Fees, Expenses or Allowances paid to Council Members aresummarised as follows:


2002/2003 2003/2004 2003/2004$ $ $

- Annual Attendance Fee

54,000 Councillor (9) - $6,000 per annum 54,000 54,000

12,000 Mayor - $12,000 per annum 12,000 12,000

- Expenses

20,000 - $2,000pa per Member 20,000 20,000

3,883 - Travel Expenses 6,000 4,914

- Annual Local Government Allowance

44,232 - Mayor 44,463 44,4698,750 - Deputy Mayor 8,750 8,750


18 DEPRECIATION ON NON-CURRENT ASSETS

The Depreciation charge included in the Financial Statements are summarised as follows:


2002/2003 2003/2004 2003/2004$ $ $

357,780 Governance 324,451 123,524 39,882 Law, Order, Public Safety 108,724 54,104 19,338 Health 46,245 44,104

146,582 Education and Welfare 271,990 297,113 73,645 Housing 163,152 152,462

185,956 Community Amenities 340,127 178,976 1,875,880 Recreation and Culture 2,420,239 1,981,961

12,280,462 Transport 3,463,879 1,966,000 13,807 Economic Services 53,752 51,778

696,540 Other Property and Services 728,053 871,469

15,689,871 TOTAL 7,920,612 5,721,490

19 MAJOR LAND TRANSACTIONS

Council did not participate in any major land transactions.

20 TRADING UNDERTAKINGS

Council did not participate in any trading undertakings.

21 CAPITAL AND LEASING COMMITMENTS

Council did not have any Capital and Leasing Commitments.

22 FINANCIAL INSTRUMENTS

(a) Interest Rate Risk

The following table details the City of Canning’s exposure to interest rate risks as at 30th June 2004.

Average Variable Fixed Interest Rate Maturity Non TotalInterest Interest Less than 1 to 5 Interest

% Rate 1 year years Bearing$ $ $ $ $

Financial AssetsCash 4.6 4.55 41,617 0 11,455 53,072Bank Bills/Term Deposits 5.5 0 31,963,062 0 0 31,963,062Trade Receivables - Current 0 0 0 0 3,326,840 3,326,840

32,004,679 0 3,338,295 35,342,974

Financial LiabilitiesCash - Overdraft 0 0 0 0 0 0Accounts Payable - Current 0 0 0 0 4,265,568 4,265,568 Employee entitlements- Current 0 0 0 0 3,044,236 3,044,236 Interest Bearing Liabilities 7.0 0 180,865 965,502 0 1,146,367

180,865 965,502 7,309,804 8,456,171

City of CANNING 55

(b) Council does not have any material credit risk exposure to any single debtor under any financial instruments entered into.

(c) The aggregate net fair values and carry amounts of financial assets and financial liabilities are disclosed in the notes to and forming part of the Annual Financial Statements.

(d) Investment of Council Funds:

In accordance with Council's Policy, funds may be invested in one or more of the following:

- Fixed Deposits- Commercial Bills- Government bonds- Other Short-term Authorised Investments (ie Mortgage Backed Securities) with a AA+ Rating or better as set

by Standard and Poors. Investment in this area to be limited to 10% of the available funds.

Council’s Policy allows for funds to be invested with the following financial institutions:

- Licensed Australian Banks with a BBB rating or better as set by Standard and Poors- Bonds Issued by Government and/or Government Authorities and Utilities.- Corporate Entities which have a BBB rating or better as set by Standard and Poors.

23(a) POSITION AT COMMENCEMENT OF FINANCIAL YEAR

DETERMINATION OF OPENING FUNDS


30.06.2003 2003/2004 30.06.2004$ $ $

Current Assets30,609,127 Investments 4,570,652 31,963,062

254,245 Cash at Bank - (Overdraft) 4,764,057 41,61712,105 Cash on Hand 12,105 11,455

2,707,889 Receivables 2,100,000 3,291,041191,368 Stock on Hand 160,000 205,08673,519 Prepaid Expenses 4,543 2,110

33,848,253 11,611,357 35,514,371

Less Current Liabilities

(167,612) Interest Received in Advance (150,000) (171,300)(1,285,431) Income Received in Advance (750,000) (912,833)(4,213,929) Accounts Payable (3,017,221) (4,928,093)(1,505,571) Accrued Annual Leave (1,201,157) (1,576,771)(1,250,291) Accrued Long Service Leave (1,170,210) (1,467,465)

(22,587) Accrued Interest Loan Liability 0 (19,728)0 Provision - for Insurance (752,117) 0

(8,445,421) (7,040,705) (9,076,190)SURPLUS OF CURRENT ASSETS OVER

25,402,832 CURRENT LIABILITIES 4,570,652 26,438,181

ADJUSTMENTS

18 Rounding 0 30Restricted Funds

(7,503,020) Less Cash Backed Reserves and Restricted Funds (4,570,652) (5,127,723)

17,899,830 OPENING/CLOSING FUNDS 0 21,310,488


(b) STATEMENT OF RECONCILIATION OF NET CURRENT ASSETS BROUGHT FORWARD

In accordance with Financial Management Regulation 36(1)(b) the following reconciliation is provided between the NetCurrent Assets carried forward from the previous financial year, compared to the Net Current Assets detailed in the2003/2004 Annual Budget.

Net Current Asset detailed in the 2003/2004 Annual Budget $17,899,830

Net Current Assets Brought Forward as at 1st July 2003 $17,899,830

24 CAPITAL EXPENDITURE BY PROGRAM

Actual Capital Expenditure incurred by Program is summarised as follows:

Program Furniture Land Plant Infrastructure Totaland and and Roads Recreation Other

Equipment Buildings Equipment Facilities$ $ $ $ $ $ $

Governance 417,362 140,554 202,494 0 0 0 760,410

Law, Order, Public Safety 2,425 41,774 133,217 0 0 0 177,416

Health 0 0 74,422 0 0 0 74,422

Education and Welfare 124,724 925,131 426,601 0 0 0 1,476,456

Housing 1,543 270,224 0 0 0 0 271,767

Community Amenities 10,320 1,736,471 749,695 0 0 0 2,496,486

Recreation and Culture 91,440 404,403 768,690 0 1,294,540 13,103 2,572,176

Transport 0 0 346,799 7,345,596 0 0 7,692,395

Economic Services 1,230 9,013 113,021 0 0 0 123,264

Other Property & Services 23,051 0 110,819 0 0 0 133,870

TOTAL 672,095 3,527,570 2,925,758 7,345,596 1,294,540 13,103 15,778,662

City of CANNING 57

25 FINANCIAL INFORMATION BY RATIO

In accordance with Financial Regulation 50 the following Financial Information by Ratio is provided:

2001/02 2002/03 2003/04Percent Percent Percent

(a) Current Ratio

314% 334% (Current Assets Minus Restricted Assets) 329%(Current Liabilities-Liabilities Associated

with Restricted Assets)

(b) Debt Ratio (All Debt is Self Supporting)

4% 4% Total Liabilities 4%Total Assets

(c) Debt Service Ratio (All Debt is Self Supporting)

1% 0% Debt Service Cost 0%Available Operating Revenue

(d) Rate Coverage Ratio

45% 48% Net Rate Revenue 48%Operating Revenue

(e) Outstanding Rates Ratio

6% 4% Rates Outstanding 4%Rates Collectable

DEFINITIONS“available operating revenue” means the operating revenue-

(a) plus any contributions towards the repayment of money borrowed which have not been included in the operating revenue; and

(b) minus specific purpose grants, contributions and donations of a capital nature;

“current assets” means the total current assets as shown in the statement of financial position;

“debt service cost” means all principal and interest expenses for borrowings under Section 6.20 of the Local Government Act 1995;

“net rate revenue” means the revenue from all rates and money paid in lieu of rates on non-rateable land -

(a) plus interest for late payment and interest and additional charges on instalments;(b) minus discounts and concessions granted and money written off;

“rates collectable” means the amount of-

(a) all rates, interim rates, back rates, interim minimum payments, back minimum payments;(b) interest and additional charges payable on rates and payments referred to in paragraphs (a) and (b);(c) arrears brought forward from a previous financial year of the amounts referred to in paragraphs (a) and (b);

“rates outstanding” means unpaid rates collectable;

“restricted assets” has the same meaning as in Australian Accounting Standard 27 (AAS27);

“total assets” means all current and non-current assets as shown in the Statement of Financial Position;

“total liabilities” means all current and non-current liabilities as shown in the Statement of Financial Position.


26 RECEIVABLES

Receivables due to the City include the following:

Actual Actual2002/2003 2003/2004

$ $Current

602,973 Rates 689,644245,642 Sanitation 130,994

4,677 Swimming Pool Charges 1,23918,325 Underground Power 14,291

0 Bush Fire Charges 2,21829,172 Private Works 44,054

1,734,391 General 2,355,441(60,754) Less Provision for Doubtful Debts (150,754)12,878 Long Term Loans-Interest Free & Self Supporting 15,364

135,381 Goods and Services Tax 224,3492,722,685 3,326,840

Non Current556,308 Rates Outstanding-Pensioner Deferred 537,79271,576 Long Term Loans-Interest Free and Self Supporting 56,210

627,884 594,002

Deferred pensioners rates represent amounts owing by pensioners who have chosen to defer the payment of their rates in accordance with the Rates and Charges (Rebates and Deferments) Act 1992.

27 STOCK ON HAND

Actual Actual2002/2003 2003/2004

$ $

191,368 Comprises of Construction Materials, Fuels and Consumables 205,086

All stock on hand at balance date has been valued at cost.

28 DEVELOPMENT COSTS

Development costs represent preliminary expenditure on Town Planning Schemes financed by the City.

Actual Actual2002/2003 2003/2004

$ $Development costs to be recovered

118,532 Town Planning Scheme No 21 323,266

118,532 323,266

Development costs over recovered

(23,405) Town Planning Scheme No 29 (23,405)(315,092) Town Planning Scheme No 38 (247,904)

(338,497) (271,309)

(219,965) TOTAL DEVELOPMENT COSTS 51,957

City of CANNING 59

Town Planning Schemes 21

Recovery of Costs are subject to as and when participants in the Schemes subdivide their land holdings in accordancewith the relevant Scheme Texts and Maps.

Town Planning Schemes 29 and 38

Further costs are to be incurred in relation to the Schemes, the Over Recovery of Scheme Costs is considered temporary.

29 ACCOUNTS PAYABLE/INCOME RECEIVED IN ADVANCE

Actual Actual2002/2003 2003/2004

$ $Income Received in Advance

71,270 Restaurant/Eating House Licences 71,1401,214,161 Crossover Construction Fees 1,523,946

0 Other 0167,612 Interest Received in Advance 171,300

1,453,043 Sub Total 1,766,386

Accounts Payable927,848 Kerb and Footpath Deposits 996,709 22,586 Accrued Expenses - Interest on Loans 19,728

3,286,083 Goods and Services Received 3,249,1314,236,517 Sub Total 4,265,568

5,689,560 6,031,954

30 ACCRUED ANNUAL LEAVE, LONG SERVICE LEAVE PROVISIONS AND OTHER EMPLOYEEENTITLEMENTS

Employees’ entitlements at balance date are as follows:

Actual Actual2002/2003 2003/2004

$ $Current

1,505,571 - Accrued Annual Leave 1,576,771515,720 - Accrued Long Service Leave 1,467,465

Non Current1,264,757 - Accrued Long Service Leave 504,008

3,286,048 3,548,244

Accrued Long Service Leave Liability has been calculated under the provisions of AAS30 and in accordance with the provision of the Local Government (Long Service Leave) amendment Regulations 1983.


In addition to the above entitlements, Council’s Policy provides for the following:

(i) The provision of a watch, suitably inscribed, the value of which (together with engraving costs) is not to exceed $100.00, to those officers or employees who have completed ten (10) years service with the Municipality.

The provision of a watch or silver coffee/tea set suitably inscribed, the value of which (together with engraving costs) is not to exceed $250, to those officers or employees who have completed twenty-five (25) continuous yearsservice with the Municipality.

Council’s yearly liability is estimated at $2,000 and considered immaterial and has not been brought into account in these statements.

(ii) The provision of a gratuity, as a token of appreciation, to officers and employees who are retiring as follows:

Upon resignation, termination or retirement of an Employee, Council shall as a token of appreciation as recognition for years of continuous service, provide the following:

The payment made shall be the greater of:

(i) Prior to completion of ten (10) years service - Benefit Nil.(ii) On completion of ten (10) years service - Benefit - One days salary. (iii) On completion of eleven (11) years service and above - Benefit - One days salary plus 75% of a day’s salary for

each completed year of service over ten (10) yearsor

(iv) On completion of twenty (20) years to twenty nine (29) years of service - Benefit - $7,500 subject to the employeehaving accumulated sick leave entitlement, to the extent not taken to a total of not less than 75% of the maximumsick leave which can be accumulated.

or

(v) On completion of thirty (30) years and above - Benefit - $15,000 subject to the employee, having accumulated sickleave entitlement to the extent not taken to a total of not less than 75% of the maximum sick leave which can beaccumulated.

(vi) A Pro-rata payment shall apply for part time employees.

(viii) Any further recommended payments must be referred to Council for approval.

(viii) The Chief Executive Officer shall use his or her discretion to waive any rights to the above benefits in cases wherean employee is dismissed by Council for reasons of misconduct or unsatisfactory work performance.

(iii) Contract of Employment - Executive Officers and Managers.

The City has entered into Contracts of Employment with its five Executive Officers and sixteen Managers (21 Officers).

In the event that the City has not agreed to employ the Officers after the expiration of the Contract period (5 years), aliability may arise as follows:

a. If the Officer is under the age of 45 years at the time employment is terminated, 30% of the annual current cashsalary, less any applicable tax shall be paid;

or

b. If the Officer is 45 years of age but under 55 years of age at the time employment is terminated, 40% of theannual current cash salary less any applicable tax shall be paid;

or

c. If the Officer is 55 years of age or cover at the time employment is terminated, 50% of the annual current salary,less any applicable tax shall be paid.

City of CANNING 61

31 ROSSMOYNE AND WILSON RETIREMENT VILLAGES-RESIDENTS’ EQUITY

The Resident’s Equity in the Villages amount to $2,619,952 which is in exchange for their life occupancy of the Units.

The Resident’s Equity is summarised as follows:

Actual Actual2002/2003 2003/2004

$ $

2,555,582 Resident’s Equity Opening Balance 2,619,95264,370 PLUS Capital Gain on the re-allocation of Units 298,094

2,619,952 Resident’s Equity Closing Balance 2,918,046

32 TOWN PLANNING SCHEMES

With Overdraft Facility

Statement of Revenue and ExpenditureFor the Year Ended 30 June 2004

DESCRIPTION TP23 TPS24 TOTAL$ $ $

RevenueValuation 0 732 732Scheme Income 0 5146 5146Interest on Investments 0 6,467 6,467Reimbursement - Drainage Construction 0 17128 17,128

0 29,473 29,473ExpensesRoad Construction 0 (215,000) (215,000)Valuation Expenses 0 (732) (732)

Net Income Over Expenses 0 (186,259) (186,259)

Bank Balance As At 01.07.03 8,011 285,934 293,945

Bank Balance As At 30.06.04 8,011 99,675 107,686

Deficit/Surplus Represented by:Assets- Cash At Bank 8,011 (171,559) (163,548)- Investments 0 271,234 271,234

NET ASSETS OVER LIABILITIES 8,011 99,675 107,686

TOWN PLANNING SCHEMES

(i) Town Planning Scheme No 23

The Overdraft facility was established in August 1973 for the sum of $500,000.

Purpose - Implementation of Guided Development Town Planning Scheme No. 23.

(ii) Town Planning Scheme No. 24

The Overdraft facility was established in October 1976 for the sum of $400,000.

Purpose - Implementation of Guided Development Town Planning Scheme No. 24.


With No Overdraft Facility

Statement of Revenue and ExpenditureFor the Year Ended 30 June 2004

DESCRIPTION TPS21 TP29 TPS38 TOTAL$ $ $ $

RevenueContributions - Valuation Fees 8,991 0 0 8,991Contributions - Scheme Costs 11,603 0 0 11,603

ExpensesUnderground Power 0 0 (41,951) (41,951)Valuations (7,925) 0 0 (7,925)Legal Costs (3,677) 0 0 (3,677)Roadworks (12,986) 0 0 (12,986)Drainage Works 0 0 (25,237) (25,237)Land Acquisition for Drainage (63,740) 0 0 (63,740)Land Acquisition - Orange Roads (137,000) 0 0 (137,000)

Funds Advanced by Municipality (204,734) 0 (67,188) (271,922)

Funds Advanced As At 30.06.03 (118,532) 23,405 315,092 219,965

Funds Advanced As At 30.06.04 (323,266) 23,405 247,904 (51,957)

Represented by:Assets- Development Costs Capitalised 323,266 0 0 323,266

Liabilities- Development Cost Over Recovered 0 (23,405) (247,904) (271,309)

NET ASSETS OVER LIABILITIES 323,266 (23,405) (247,904) 51,957

33 STATEMENT OF CHANGES IN EQUITY

Sundry Adjustments

Adjustments to Capital Accumulation have resulted from the following:

Actual Actual2002/2003 2003/2004

$ $PLUS:- Land Acquisition

300 Land Acquired under Town Planning Schemes and from Government Departments 0- Net change in Development Costs Capitalised:

46,772 Town Planning Scheme 21 204,7340 Town Planning Scheme 38 67,1880 - Decrease in Provision for Long Service Leave - Non Current 26,178

LESS:3,280 - Increase in Provision for Long Service Leave - Non Current 0

13 - Sundry Adjustment - Rounding 10

43,779 TOTAL ADJUSTMENTS 298,090

City of CANNING 63

34 JOINT VENTURES

Investment in Joint Venture Canning Vale Regional Resource Recovery Centre (RRRC)

The Municipality is a participant in the above Venture.

The RRRC is controlled by a regional local government established in accordance with the Local Government Act 1995.The regional local government being the Southern Metropolitan regional Council (SMRC) consisting of 7 localgovernments of which five are participants in the Canning Vale Regional Resource Recovery Centre (RRRC). Thepurpose of establishing the RRRC is to maximise the diversion of waste from landfill and gain Economies of Scale inorder to reduce the operational and capital costs associated with the collection of waste.

The RRRC is proposed to become fully operational by December 2004 and will provide for future needs of wastedisposal for the participating Member Councils.

Participating Councils are required to contribute an annual fee to cover the capital cost in the establishment of thefacility and pay gate fees for each tonne of waste they deliver to the facility to cover the operating costs. The capitalcosts for each participating member Council is based on the Australian Bureau of Statistics census of populationstatistics. Each project participate will develop equity in the project equal to the relevant proportion of the total capitalloan repayments made by that project participant.

The City’s interest in the Joint Venture is calculated by the SMRC as at 30th June 2004 is 27.96% representing$1,201,877.

The $40M project is funded by borrowings repayable by annual contributions from the five participating LocalGovernments. Councils portion of the Capital repayment commenced in the 2001/2002 financial year and will continuefor a period of 20 years. The contribution for the 2003/2004 financial year by the City was $936,092 and thisexpenditure has been reflected in the Councils financial statements as an operating expense.

The City has guaranteed by way of agreement its share of the Loan Liability to the SMRC and Western AustralianTreasury Corporation (funding body). The City's share of outstanding loan liability of the RRRC as at the 30 June 2004is $9,790,776.

Interest in the Joint Venture is summarised as follows:

Actual Actual2002/2003 2003/2004

$ $

767,818 Retained Surplus attributable to interest in the joint venture as at the venture 1,201,877as at the 30 June 2004.

Share of Joint Venture entity's results and financial position.751,546 Current Assets 306,452

10,386,075 Non - Current Assets 10,149,020

11,137,621 Total Assets 11,455,472

1,685,527 Current Liabilities 1,525,6538,684,276 Non - Current Liabilities 8,727,942

10,369,803 Total Liabilities 10,253,595

767,818 Net Assets 1,201,877


35 DISABILITY SERVICE PLAN

In accordance with Section 29 of the Disability Service Act 1993, Local Governments are required to report annuallywith regard to their Disability Service Plan and provide details addressing the Plans key outcomes within the AnnualReport.

Key Outcomes:

1. Existing services are adapted to ensure they meet the needs of people with disabilities.2. Access to buildings and facilities is improved.3. Information about services is provided in formats which meet the communication requirements of people

with disabilities.4. Advice and services are delivered by staff who are aware of and understand the needs of people with disabilities.5. Opportunities are provided for people with disabilities to participate in public consultations, grievance mechanisms

and decision-making processes.

The City of Canning continues to ensure the above key outcomes are addressed in order to meet the needs of peoplewith disabilities.

The Community Inclusion Project oversees the improvement of access for people with disabilities across all areas ofCouncil services and buildings. Access improvement included consultation with the City’s Library Services, localbusinesses and community groups to make their premises and services more accessible.

The City’s Disability Service Plan is to be reviewed in the 2004/2005 financial year by an independent access consultantto ensure compliance and achievements of the above five key outcomes.

The City of Canning has established a Disability Access Advisory Group that provides people with disabilities theopportunity to participate in public consultations, grievance mechanism and decision-making processes.

New and planned Council buildings are designed to ensure full accessibility and to accommodate users with disabilities.

36 ENVIRONMENTAL REPORTING

Environmental and social factors are an important part of the local government decision-making process.

The City is committed to maintaining a strong environmental focus that will respond to current social demands.

The following details a listing of environmental services and activities currently undertaken by the City:

Waste Management- Co-mingled recycling from residential properties.- Composting of putrescible waste and green waste processing at Regional Facility, Canning Vale.- Verge collection and recovery of green waste and white goods from residential property.- Methane gas extraction at the Ranford Road Waste Disposal Site.- Recycling of construction waste from council operations.

Engineering- Participation in the Cities for Climate Protection Program.- Stormwater improvement project to identify best practice for stormwater gully educting operations and

identifying high risk stormwater catchments for potential location of gross pollutant traps.”- Encouraging onsite retention of stormwater for development and subdivision.- Stormwater gully educting.

City of CANNING 65

Property Services- Incorporating energy efficient principles into building design.- Using non toxic or low toxicity chemicals during building cleaning operations.

Land Administration- Ensuring that any development of land owned or under the control of Council meets all relevant environment

criteria.

Health- Pollution response (noise, water, air).- Urban drainage monitoring.- Household Hazardous Waste Management.- Member of Project Steering Group for Canning Plain Stormwater Quality Management Plan.- Member of the Canning Plain Catchment Management Group.- Co-ordinator of Stormwater Quality Improvement Project.- Regulator of pesticide use throughout the City.- Training provider for pesticide usage.- Assessment of noise management, stormwater and industrial waste management plans.- Mosquito management.- River and Lake water quality.- Member Swan Canning Industry Survey Group.- Contaminated Sites.- Provision and maintenance of equipment for Ribbons of Blue.- Noxious weed Control.

Parks and Streetscapes- Development and implementation of foreshore management plans.- Improving water conservation practices in Council parks and reserves.- Turf nutrient monitoring on major sports grounds.- Bushland management (weed control, dieback control, revegetation).- Minimising the use of pesticides on parks and reserves.- Membership and attendance at various environmental forums.- Providing administrative, financial and on ground support for environmental groups.- Participation in the Turf, Irrigation and Nutrient Study.- Provision and maintenance of street trees.- Management of parks and reserves.- Providing propagation and nursery facilities for the community.- Providing tools and equipment for community conservation groups.- Provision of seed and tube stock of revegetation projects.

Administration- Provision of subsidised compost bins.- Developing of brochures and information.- Office paper recycling.- Liaison with various environmental agencies including Department of Environmental Protection, Water and Rivers

Commission, Swan River Trust and the Department of Conservation and Land Management.”- Strategic and Administrative Policy on various areas of the environment.

Planning- Assessment of environmental impacts for applications relating to development and subdivision and application or

recommendation of appropriate environmental conditions.”- Enforcement of conditions relating to development.- Town Planning Schemes, Policies and Strategies reflect and consider sustainability and quality of life principles

relative to land use, development, transport networks and social impacts.”- Promotion of energy efficiency for group housing developments.- Development and implementation of an environmental strategy.- Preparation of an integrated strategic planning approach to manage growth and change.


37 RECORD KEEPING PLAN

The City of Canning has prepared a Record Keeping Plan as required by the State Records Act 2000. The plan has beenapproved by the State Records Commission and the City of Canning is committed to ensuring record keeping practicescomply with legislation.

Performance indicators and Disaster Management Plans are currently being developed and must be in place by 9 March2007. Information sessions for staff will be undertaken to ensure that they are aware of the requirements of the StateRecords Act 2000 and these will be ongoing in order or evaluate the record keeping practices of the council. In additioninduction programs have been established to address employee roles and responsibilities to enable compliance with theRecord Keeping Plan.

38 CORPORATE GOVERNANCE

The Council

The duty of the Council is to represent the people and to facilitate the decision-making process that will maintain andimprove community facilities and services.

The Council operates within the boundaries of the Local Government Act 1995, Local Laws and relevant legislation andis bound by a code of conduct.

The Council consists of the Mayor (Dr Michael Lekias) and Nine (9) Councillors who represent the District that isdivided into three Wards being:

Ward Councillor Term Expiring2005 or 2007

Mason Ward Joe Delle Donne, JP 2007Lindsay Elliott 2005Graham Barry 2007

Beeliar Ward Stuart Clarke, JP 2007Faye Morgan, OAM 2005Norm Snell 2007

Bannister Ward Bruce Mason 2007Mary Daly 2005John Wibberley 2005

The Mayor and Councillors are elected for a four year term with Local Government Elections being held on the firstSaturday in May every second year.

The Council meets in the Council Chambers at the City of Canning Administration Offices twice a month - on thesecond and fourth Tuesday at 6.00pm. These meetings are open to the public.

Organisational Structure

The organisation consists of four Divisions. Whilst the Chief Executive Officer is responsible for the overallmanagement of the organisation, each Division has its own Executive who oversees the functions of his/her Division.The Corporate Management team implements and administers the policies of the Council's elected members.

The City has entered into Contracts of Employment with its Executive Officers and Managers and undertakesPerformance Reviews of each employee who is employed for a term of more than one year.

City of CANNING 67

Auditors

Council has appointed Grant Thornton, Chartered Accountants, as the City’s Auditors until the financial year ending 30 June2005.

The City has appointed Auditors based on the minimum standard audit specifications developed by the Department of LocalGovernment in order to ensure that the scope of the Audit at least meets a minimum standard so as to satisfy the Council thatan adequate audit is undertaken.

Code of Conduct

The City has adopted a Code of Conduct in accordance with Section 5.103 of the Local Government Act 1995.

The Code of Conductor provides elected members and staff with consistent guidelines for an acceptable standard ofprofessional conduct. The Code addresses the broader issues of ethical responsibility and encourages greater transparency andaccountability from local governments.

The Code is complimentary to the principals adopted in the Local Government Act 1995 and Regulations which incorporatesfour fundamental aims to result in:

(a) better decision-making by local governments;(b) greater community participation in the decisions and affairs of local governments;(c) greater accountability of local governments to their communities; and(d) more efficient and effective local government.

The Code provides a guide and a basis of expectations for elected members and staff. It encourages a commitment to ethicaland professional behaviours and outlines principles in which individual and collective Local Government responsibilities maybe based.

Role of Elected Members.

A Councillor’s primary role is to represent the community, and the effective translation of the community’s needs and aspirationsinto a direction and future for the Local Government .A Councillor is part of the team in which the community has placed its trust to make decisions on its behalf and the communityis therefore entitled to expect high standards of conduct from its elected representatives.

In fulfilling the various roles, elected members’ activities will focus on:

- achieving a balance in the diversity of community views to develop an overall strategy for the future of the community;- achieving sound financial management and accountability in relation to the Local Government’s finances;- ensuring that appropriate mechanisms are in place to deal with the prompt handling of residents’ concerns;- working with other governments and organisation to achieve benefits for the community at both a local and regional level;- having an awareness of the statutory obligations imposed on Councillors and on Local Governments.


Financial Management

Local Government (Financial Management) Regulations 1996 require the Chief Executive Officer of a local government toestablish efficient systems and procedures:

(a) for the proper collection of all money owing to the local government;(b) for the safe custody and security of all money collected or held by the local government;(c) for the proper maintenance and security of the financial records of the local government (whether maintained in written

form or by electronic or other means or process);(d) to ensure proper accounting for municipal or trust -

(i) income received or receivable;(ii) expenses paid or payable; and(iii assets and liabilities.

(e) to ensure proper authorisation for the incurring of liabilities and the making of payments;(f) for the maintenance of payroll, stock control and costing records; and(g) to assist in the preparation of budgets, accounts and reports, required by the Act or these regulations.

The Chief Executive Officer is to -

(a) ensure that the resources of the local government are effectively and efficiently managed;(b) assist the Council to undertake reviews of fees and charges regularly (and not less than once in every financial year); and(c) undertake reviews of the appropriateness and effectiveness of the financial management systems and procedures of the

local government regularly (and not less than once in every 4 financial years) and report to the local government the resultsof those reviews.”

A review of Councils fees and charges is undertaken annually and coinsides with Budget preparation. A review of the financialmanagement systems and procedures was last performed in the 2003/2004 financial year and is due for review in the 2007/2008financial year.

PL

AN

OF

PR

INC

IPA

L A

CT

IVIT

IES

City of CANNING 71

39 PLAN OF PRINCIPAL ACTIVITIES

Plan of Principal Activities is a document which is produced annually and gives an overview of the significant programmes andactivities proposed to be carried out by the Council of the local government of the City of Canning over the next four years. Itsobjectives are to provide the community with information relating to proposed principal activities and to offer the communitythe opportunity to lodge submissions in relation to these proposals for consideration by the Council.

Pursuant to Section 5.53 of the Local Government Act 1995, a Local Government is required to report as follows in relation tothe Principal Activities in its annual report:

(a) Principal Activities commenced or continued during the financial year.

(b) Assessment of the Local Government’s performance in relation to each Principal Activity.

(c) An overview of the Principal Activities that are proposed to commence or to continue in the next financial year.

The Principal Activities are detailed as follows, together with estimates and actual Income and Expenditure detailed in the Planof Principal Activities, Annual Budget and Annual Statement.

The wording pertaining to each Principal Activity is taken from the Plan of Principal Activities the City adopted inAugust 2003, with comparative figures taken from the adopted Plan of Principal Activities, Adopted Budget and Actualamounts detailed in the Annual Statement.

PRINCIPAL ACTIVITIES

Ranford Road, Canning Vale Subdivision

The City proposes to carry out the subdivision of Lot 502,Part lot 72 and Part Lot 501 Ranford Road, Canning Vale and createan attractive residential environment that has due regards to the physical attributes and can be effectively linked into theadjoining Waratah Estate.

The subdivision comprises of 15.7ha of land and will result in the creation of 147 residential homesites.

The subdivision incorporates a “Conservation Dampland” as Public Open Space, which must be protected in accordance withthe conditions set by Environment Australia, which gave approval to the Subdivision in May 2003.

A Business Plan has been prepared in accordance with Section 3.59 of the Local Government Act 1995.

A flora and vegetation survey of the site was undertaken in September 2001 by the City’s environmental consultants ATAEnvironmental, emphasis was placed on identifying and recording the location of any Declared Rare Flora (DRF). The surveyrevealed Declared Rare Flora was located on part of the site, consequently a revised subdivision application to protect the DRFhas been submitted by the City to the Western Australian Planning Commission (WAPC) for approval. The City is now awaitingthe WAPC’s decision in relation to the approval of the subdivision and any conditions set.

The City is currently preparing a Management Plan for the conservation of the Public Open Space, which will be referred to theWest Australian Waters & Rivers Commission, Department of Environmental Protection (DEP), Environment Australia andDepartment of Conservation and Land Management (CALM) and the general public for comment.

Objective

(1) To create residential homesites with lot sizes ranging from 400 to 800 m2 with 15-20 metre frontages and 28-30metre depth.

(2) To promote the establishment of an attractive neighbourhood and to ensure that acceptable levels of safety,privacy and amenities are provided.


Performance Measures

(1) Development of the subdivision to be completed by March 2006.(2) Council’s Net Return on the Subdivision Development to be maximised.(3) Preparation of a Management Plan to be completed by August 2003.

Funding

Action taken during 2003/2004 Financial Year and Assessment of Performance

(1) A draft copy of the Management Plan for the conservation of the Public Open Space and protection of Declared Rare Flora(DRF) is anticipated to be presented to Council by 31 December 2004. The Draft management Plan will be subject to publicconsultation.

(2) Current projections indicate that the project will be completed by March 2006.

(3) It is proposed to carry out a review of Council initial projections of net return on the subdivision by February 2005.

Amount Amount AmountProgram Principal Annual Annual

Activities Budget StatementPlan

03/04 03/04 03/04$,000 $,000 $,000

Estimated ExpenditureRanford Road Residential- Other Property & Services 2,287 2,287 208SubdivisionTransfer (to) from Land and Fund Transfer 130 130 (208)Building Reserve Fund

TOTAL EXPENDITURE 2,417 2,417 0

Estimated FundingProceeds Sale of Lots Other Property & Services 2,417 2,417 0General Purpose Funding General Purpose Funding 0 0 0

TOTAL FUNDING 2,417 2,417 0

Administration and Civic Centre Upgrade

The City proposes to investigate the option of constructing a New Administration and the Landscaping of the CivicCentre Park located at 1317 Albany Highway, Cannington.

Council at its meeting held in April 2003 requested Woodhead International not to proceed with the Extension andRefurbishment Option as the design phase of this Option showed that the cost had increased substantially whencompared to the cost of a New Building. Therefore the Council has no alternative but to explore the New BuildingOption.

Woodhead International were appointed to prepare a Concept Plan sufficient to allow the Quantity Surveyors (DavisLangdon Australia) to determine the estimated cost of the New Building Option.

A Business/Development Plan was prepared and adopted by Council in March 2002 and will be amended to incorporatethe New Building Option based on costings to be provided by Woodhead International and Davis Langdon Australia.

Its proposed to fund the Project from funds allocated in the 2002/03 Annual Budget amounting to approximately$6.596M and the balance of the funds estimated a $3.6M to be provided in the 2003/04 and 2004/05 financial years.

Objective

(1) To provide a modern Administration & Civic Centre that will meet the needs of the City in the foreseeable future.(2) To upgrade the Landscaping in a way that will improve its appearance and enhance its usage by the City residents


(1) Construction of the Facility to be completed by July 2005.(2) Construction of the Facility to be on Budget.

Funding

City of CANNING 73



03/04 03/04 03/04$,000 $,000 $,000

Estimated ExpenditureAdministration and Civic Infrast. Land and Buildings 8,096 8,458 140Centre Upgrade - Governance

TOTAL EXPENDITURE 8,096 8,458 140

Estimated FundingGeneral Purpose Funding- Bought Forward General Purpose Funding 6,396 6,396 0- Annual Allocation General Purpose Funding 1,500 1,862 0Transfer from Reserve Fund Fund Transfer 200 200 0Land and Buildings


Funding available 2003/2004 Budget 0 0 8,458

Funding to be Carried Forward to2004/2005 Budget 0 0 8,318



(1) Council prepared an amendment to the Business Plan to incorporate the construction of a new Civic and AdministrationCentre.

(2) The amended Business Plan was duly adopted and Jones Coulter Young Architects were appointed to undertake the design,documentation and calling of Tenders for the Project.

(3) In October 2004, Tenders will be invited for the construction of the facilities, it is anticipated the successful Builder will beappointed in December 2004.

(4) The construction phase of the Development is expected to be completed in March 2006.

Multi-Purpose Recreation/Community FacilityNorth of the Canning River

In March 2002, Council appointed Lesley Solly and Associates to conduct a Feasibility Study for a possible Multi-PurposeRecreation/Community Facility for North of the Canning River.

The feasibility study took into account the aging of the existing recreation/community facilities such as the Canning AquaticCentre, Queens park Recreation Centre and the Bentley and Queens Park Libraries. In conjunction with community consultationthe following components of the Multi-Purpose facility were identified:

* Indoor Aquatic Facilities - to accommodate lap swimming, learn to swim and other swim programs, leisure andhydrotherapy, spectator seating, plant, changerooms and kiosk/kitchen.

* Indoor Multi-Purpose Courts - markings to accommodate sports functions, performing arts, exhibitions, etc.* Fitness Area/Multi Use Area - designed to accommodate fitness classes, functions, meetings, performing arts, etc.* General Area / Supporting Service Areas - designed to accommodate Creche facilities, Café, Administration Reception,

Changerooms and Storage.

* Public Library.

The possible site of the new facility is to be located at the corner of Sevenoaks and Wharf Street, Cannington.

Objective

(1) To cater for the diverse needs of the Community at a cost and standard that encourages access and increases participation.

(2) That the new Facility be integrated with the existing facilities located within the City.


(1) Additional research be undertaken to more accurately determine the mix, size and location of the facility. The research is expected to be completed by October 2003.

(2) A Business Plan to be completed by December 2003.

Funding

It is intended to fund the facility from own resources. The City in its Annual Budgets is progressively allocating funds for theproject. The figures indicated below do not include financial assistance from external sources, i.e. Department of Sport andRecreation.


(1) Council officers conducted further research to accurately determine the market share, type of facilities required and apossible site location. The research findings have been incorporated into a draft Development Plan for the Facility, whichwas advertised for public consultation in June 2004.

(2) The draft Development Plan was completed and presented to Council for consideration in June 2004 and Councilsubsequently undertook public consultation.

(3) In October 2004, Council gave consideration to submissions received pertaining to the Development Plan and resolved toundertake further investigations to address the concerns raised by residents and other interested parties relating to theproposed Development.

City of CANNING 75



03/04 03/04 03/04$,000 $,000 $,000

Estimated Expenditure

Multi Purpose Complex- Infrast.-Land and 0 0 0Mason Ward Buildings

TOTAL EXPENDITURE 0 0 0

Estimated FundingBrought Forward General Purpose Funding 864 864 0Annual Allocation General Purpose Funding 274 574 0


Funding available 2003/2004 Budget 0 0 1,438

Funding to be Carried Forward to2004/2005 Budget 0 0 1,438


Waste Management

The City provides for the collection and disposal of Household Refuse on a weekly basis ,a co-mingled Recycling Program ona fortnightly basis and six (6) Verge Collections per annum. A Waste Landfill Facility is operated by the City at Ranford Road,Canning Vale. This site has been closed to Commercial customers from March 2002 and is expected to reach the end of its lifein December 2003 for the City’s own waste. Gas is extracted from its Bannister and Ranford Landfill Sites which is used togenerate Electricity with the City receiving a royalty, based on the volume of gas extracted.

The City of Canning is a member of the Southern Metropolitan Regional Council (SMRC) who’s primary objective is to developsustainable Waste Management Strategies to ensure that the current and future Waste Disposal needs of its member Councils aremet. The Regional Council has adopted a strategy to reduce the amount of total Waste sent to Landfill by 50% by the year 2001and 85% when the Regional Resource Recovery Centre (RRRC) is fully operational. The Regional Waste Management Strategyis based on three components:

(1) Collection System - Weekly Mobile Garbage Bin (MGB) collection for non-recyclable general waste and smallgreenwaste

- Fortnightly MGB collection for co-mingled dry recyclables- Three verge side green waste collections per annum- Three bulk waste verge collections per annum

(2) Processing System - A combination of material recovery facility, greenwaste processing facility and an ‘In vessel’composting facility to reduce waste to landfill by approximately 85% from residential premises.

(3) Sale of recycled material and disposal of residual waste.

The Regional Resource Recovery Centre (RRRC) will provide for the future needs of waste disposal for the participatingmember Councils. The “Material Recovery Facility” for recyclables and “Greenwaste Processing” facility are completed andin operation. The ‘In Vessel’ Composting facility is currently under construction and expected to be fully operational by late2003.

Waste Transfer Station

A separate Business Plan has been prepared for the construction and operation of a Waste Transfer Station in Canning Vale onthe existing landfill site to cater for the needs of people wishing to dispose of inert waste (i.e. non organic) after the closure ofthe landfill operations. The transfer station will not accept greenwaste, although green waste material will be accepted by theSMRC facility in Canning Vale. The transfer station and associated works will cost approximately $1,900,000, funding for thebuilding being provided by the Waste Service Reserve Fund.

The proposed waste transfer station will take advantage of existing infrastructure at the landfill site to reduce the capital cost ofproviding the facility. The City through its Waste Management Service will manage the on-going day-to-day operations of theWaste Transfer Station.

A Business Plan for the four years ending 2007 is currently being reviewed and will address the following:

Domestic Collections

The on-going operation of the domestic household refuse collection service by the City.

Landfill Operations

An examination of the proposed closure of Ranford Road Lanfill Site and investigation into the development potential of thesite.

Waste Transfer Station

The construction and operation of a Waste Transfer Station.

City of CANNING 77

Objective

To provide an efficient and effective Waste Management Service that incorporates Collection, Disposal, Education and to adoptbest practices in Waste minimisation.


(1) Complete Post Closure Management Plan by December 2003.(2) Construction of a Waste Transfer Station by 31 December 2003.

Funding



03/04 03/04 03/04$,000 $,000 $,000

Estimated ExpenditureOperating

- Landfill Levy E.P.A. Community Amenities 58 58 142- Landfill Operations Community Amenities 321 321 847- Domestic Collection Community Amenities 2,256 2,256 1,272- Verge Collection Community Amenities 686 686 587- Verge Collection Street Tree Prun Community Amenities 102 102 102- Recycling Community Amenities 893 893 799- Transfer Station Operations Community Amenities 748 748 74- Contribution SW Metropolitan

Regional Waste Management Community Amenities 1,083 1,083 1,083- Recycling Construction Material Community Amenities 81 81 0- Rehabilitation and Ground Water

Control Community Amenities 481 481 96

Capital- Front End Loader - Transfer Infrast.-Plant & Equip. 225 225 207

Station Community Amenities- Sweeper - Transfer Station Infrast.-Plant & Equip. 40 40 41

Community Amenities- Misc. Tools - Transfer Station Infrast.-Plant & Equip. 15 15 14

Community Amenities- Transfer Station Construction Infrastructure-Land & 1,494 1,614 1,704

Buildings-CommunityAmenities

- Side Loader Compactor Trucks Infrast-Plant & 247 247 232Equip-Community Amenities

- Vacuum Blower } Infrast-Plant & 1 1 1- Brushcutter } Equip-Community 1 1 1- Motor Vehicle -Sedan } Amenities 24 24 25

TOTAL EXPENDITURE 8,756 8,876 7,227


Waste Management cont...

Funding


(1) The Post Closure Management Plan was not required to be completed by December 2003 as a result of the LandfillSites life being extended to provide the ability to meet the City’s waste requirements, due to the delay in thecompletion of the Regional Resource Recovery Centre (RRRC).

(2) The construction of the Waste Transfer Station was completed in December 2003.



03/04 03/04 03/04$,000 $,000 $,000

Estimated FundingOther Fees and Charges- Refuse Removal Domestic Community Amenities 4,840 4,839 4,872- Landfill Site Community Amenities 448 448 876- Transfer Station Community Amenities 749 749 55- Gas and Electricity Royalty Other Property & Svcs 20 0 20- Recycled Material Community Amenities 6 2 13- Construction Material Community Amenities 118 118 0- Street Tree Pruning - Parks Community Amenities 102 102 102

Proceeds Sale of Assets Operating Statement 49 49 61Transfer from Reserve Fund

Waste Management Fund Transfer 2,559 2,820 2,409General Purpose Funding General Purpose Funding (135) (251) (1,181)

TOTAL FUNDING 8,756 8,876 7,227

City of CANNING 79

Community Care Facilities

The City of Canning is committed to building modern Facilities from which it will deliver a wide range of services to theCommunity. The construction of the following Facilities is dependent on the availability of Grants from the FederalGovernment, State Government and the Lotteries Commission.

* Meals on Wheels Facility

Research was undertaken to determine whether the service should be expanded with the construction of a newkitchen/dining room facility in Bentley to service residents north of the river. The result of the Survey conducted during the1999/2000 financial year indicated that their was no immediate demand for the additional service. This project will bereviewed from time to time to determine its priority.

* Canning Lodge

(i) The on-going upgrading and enhancement of the Canning Lodge Building, equipment, furniture and fittings.

* Adult Day Centres

(i) A Feasibility Study was undertaken and it revealed that the extension to the existing Queens Park Day Care Centrewas the most practicable solution and consequently a Development Plan for the extensions has been prepared.Funding has been allocated in the 2003/04 financial year.

(ii) Refurbishment of the facilities to include painting and floor coverings. (iii) Replacement of furniture and equipment - various.

* Aged Persons Accommodation

(i) Extensions to Rossmoyne Retirement Village Hall.

* Youth Centres

(i) Extensions to Willetton Youth Centre(ii) Replacement of furniture and equipment - various.

* Youth Accommodation

(i) Replacement of furniture and equipment - various.(ii) Refurbishment - various buildings.

* Supported Accommodation

(i) Refurbishment - various buildings.

Objective

To provide modern and convenient facilities which cater for the Youth, Aged Persons, People with Disabilities and for peoplefrom Culturally and linguistically diverse backgrounds.


(1) Construction of the proposed facilities to be on time.(2) Construction of the proposed facilities to be on Budget.


Funding


(1) The construction of the Queens Park Day Centre Extension was completed in December 2004 and the RossmoyneRetirement Village Hall extensions in May 2004. Council resolved not to proceed with the extensions of the existingWilletton Youth Centre on Apsley Road and relocate the facility to the Willetton Sports Club, Burrendah Boulevard,Willetton.

(2) A Budget amendment was authorised by Council to account for the additional funding required for the extensions of theQueens Park Day Centre. The over-expenditure was required to integrate the new facility with the existing Queens ParkSeniors Building.



03/04 03/04 03/04$,000 $,000 $,000

Estimated ExpenditureCapital- Canning Lodge Hostel

Paint and Curtains Infrast-Land & Build. 10 10 7Furniture & Equip-Various Infrast-Furn & Equip. 17 17 9

- Day Care CentresFurniture & Equip-Various Infrast-Furn & Equip. 9 9 7 Painting Infrast-Land & Build. 4 4 0Extension Queens Park Ctr Infrast-Land & Build. 746 746 790 Floor Coverings Infrast.-Land & Build. 8 8 8

- Aged Persons AccommodationRossmoyne Retirement Village Hall Extension Infrast-Land & Build. 60 60 62

- Supported AccommodationProperties Refurbishment Infrast-Land & Build. 15 15 16

- Youth AccommodationFurniture & Equip-Various Infrast-Furniture & Equip 5 5 0Land & Building-Various Infrast-Land & Build 5 5 9

- Youth CentresFurniture & Equip-Various Infrast-Furniture & Equip. 14 14 12Extension Willetton Youth Centre Infrast-Land & Build. 25 64 2


Estimated FundingGovt Grants-Day Centres Educ. & Welfare 7 7 0Govt Grant-Building Educ. & Welfare 212 212 182Extension

Transfer from Reserve Fund Aged Persons Homes Fund Transfer 72 72 63General Purpose Funding General Purpose Funding 627 666 677

TOTAL FUNDING 918 957 922

City of CANNING 81

Street Beautification Programme

The Council is committed to improving the appearance of the City’s Streets and has developed a Street BeautificationProgramme. The Programme has brought the following activities under one umbrella.

- Streetscape Enhancements- Entry Statements- Street Sweeping- Weed Control- Street Gardens- Street Tree Pruning- Verge Maintenance - Mowing- Tree Watering- Street Signs

Objective

To ensure that the City’s Streets remain relatively free from Litter and their appearance is in keeping with high customersatisfaction.

Performance Measure

Conduct an Annual Community Survey to assess the level of customer satisfaction of the Street Beautification Programme.Funding


Council conducted a Community Survey in 2003/2004 financial year to assess the level of customer satisfaction to CouncilServices and Facilities including the Street Beautification Programme. The Survey was conducted in May 2004 with 200Ratepayers being randomly selected from each of the suburbs located within the City.

The results of the Survey indicated a high level of satisfaction towards the Street Beautification Programme.



03/04 03/04 03/04$,000 $,000 $,000

Estimated ExpenditureStreet Sweeping Transport 216 216 231- Path Sweeping Commercial Transport 63 63 27

Precincts- Weed Control Transport 77 77 52- Street Gardens Recreation & Culture 335 335 353- Street Tree Pruning Transport/ Recreation & Culture 530 530 555- Entry Statements Recreation & Culture 73 73 76- Verge Maintenance Mowing Transport 767 767 644- Tree Watering Recreation & Culture 148 148 169- Street Signs Transport 63 63 41Capital- Streetscape Enhancements Infrastructure-Roads 185 365 117


Estimated FundingGeneral Purpose Funding General Purpose Funding 2,457 2,637 2,265

TOTAL FUNDING 2,457 2,637 2,265


St James and Bentley Public Open Space Acquisition and Development

An analysis of open space throughout the City of Canning has identified shortfalls within the suburb areas of St James andBentley.

Accordingly, a Development Plan has been prepared detailing the City’s intentions for:

(a) The progressive acquisition of land to increase the overall area of parkland.(b) The development of acquired land.(c) Existing Reserve upgrade to provide a higher level of amenities to residents.(d) Undertake negotiations to establish shared management agreements for existing Water Corporation Reserves which have

been identified as having potential for passive open space and landscape amenity development.

The eight year program will see the proportion of open space increase from 5.4% to 6.5%. This compares with a benchmarkestablished by the State Government of 8%. In order to compensate for the remaining shortfall in land area, the DevelopmentPlan details work to be undertaken across various reserves to improve the level of amenity of open space.

The estimated cost of the project is summarised as follows:$

Acquisition of Land 1,302,000Development of Acquired Land 330,050Reserve Upgrades 329,000Development of Public Purpose-Reserve for multiple use 185,000

2,146,050

Objectives

(1) To overcome the shortage of public open space within the suburb areas of St James and Bentley.(2) To provide the residents of St James and Bentley with quality public open space within walking distance of their home.

Performance Measure

(1) That future annual budgets allocate the sum of approximately $270,000 per annum in order to fund the proposals as outlinedin the development plan.

(2) The Project be completed by June 2012. Funding



03/04 03/04 03/04$,000 $,000 $,000

Estimated ExpenditureAcquisition of Land Infrast-Land & Buildings 186 208 0Develop. of Acquired Land Infrast-Land & Buildings 47 47 0Reserve Upgrades Infrast-Land & Buildings 14 14 6Develop. of Public Purpose Infrast-Land & Buildings 25 25 0 TOTAL EXPENDITURE 272 294 6

Estimated Funding

General Purpose Funding General Purpose Funding 272 294 0


Funding available 2003/2004 Budget 0 0 294

Funding to be Carried Forward to2004/2005 Budget 0 0 288

City of CANNING 83


The 2003/2004 Annual Budget made provision of $294,000 for the purchase and development of Public Open Space inaccordance with the Development Plan.

Council Officers have undertaken assessment for the purchase of various landholdings that maybe suitable for the developmentof Public Open Space. However, no purchases were made in the 2003/2004 financial year and unspent monies as at 30 June2004 have been carried forward to allow sufficient funds to be accumulated for the purchase of suitable land holdings inaccordance with the Development Plan.

Ern Clark Athletic Centre - Regional Facility

The surface of the Ern Clark Athletic track is approaching the end of its useful life. Advise from the Ministry of Sport andRecreation is that based on the current condition the track should continue to be operational for up to four years.

Accordingly, a Business Plan has been prepared to facilitate the resurfacing and development of the Ern Clark Athletic Centreinto a Regional Facility. The Plan also proposes to lease a portion of the land forming part of the Centre for commercialpurposes. The rental income derived will offset the operation costs with the view to the Centre becoming financially selfsufficient.

The Ern Clark Athletic Centre with the refurbishment of the track will fulfill the role of a regional Athletics Facility for thesuburbs located in the East Metropolitan Region.

The Department of Sport and Recreation has set up a Working Party to investigate the needs of the relevant stake holders. Therefindings have indicated that the cost of the refurbishments is estimated at $800,000.Submissions have been made to the Department of Sport and Recreation in relation to the funding of the refurbishment andindications are that funding up to a maximum of $400,000 will be provided.

Objectives

(1) The refurbishment of the Ern Clarke Athletic Track to a level which will fulfill the role of a Regional facility.(2) To progress the lease of portion of the land forming part of the Athletic Centre for commercial purposes.(3) The Athletic Centre to become financially self-sufficient.

Performance Measure

To complete the refurbishing of the Facility incorporating the resurfacing of the track by December 2004.

Funding



03/04 03/04 03/04$,000 $,000 $,000

Estimated ExpenditureRefurbishment of the Facility Infrastructure-Land & 800 800 2and resurfacing of the Track Buildings-Rec & Culture


Estimated FundingGovt Grants-Dept Sport & Rec. Recreation & Culture 400 400 0General Purpose Funding General Purpose Funding 400 400 0TOTAL FUNDING 800 800 0

Funding available 2003/2004 Budget 0 0 800Funding to be Carried Forward to2004/2005 Budget 0 0 798



(1) State Government funding for the above facility has been confirmed.(2) The tender for the resurfacing of the tract and upgrading of the facility has been awarded. It is anticipated that the works

will be completed by December 2004.

Centenary Park Regional Open Space

The City proposes to develop the Centenary Park Regional Open Space which is located on the banks of the Canning River inthe suburb of Wilson.

A Development Plan has been prepared and was adopted by Council in May 2002.The re-development, restoration and enhancement of the Centenary Park Regional Open Space incorporates the following:

- Sportsground Stabilisation and Refurbishment- Passive Parkland Development.- Centenary Avenue / Leach Highway Interchange Streetscape Enhancement.- Building Analysis- Landscape and Master Plan Design Review.- Riverine Restoration.

Objectives

(1) To establish Centenary Park Regional Open Space as a premier Parkland within metropolitan Perth.(2) To ensure the existing passive and active recreation facilities are utilised to their maximum potential.(3) The restoration of the Canning River Foreshore within the Centenary Park Regional Open Space.

Performance Measure

(1) That the Project be completed by Year 2012.(2) An annual survey be conducted during the staged development to assess the increased level of utilisation and user

satisfaction.

Funding


(1) Works are progressing in accordance with the above Development Plan and associated works detailed for completion in2003/2004, which were works uncompleted have been carried forward as part of the 2004/2005 Annual Budget.

(2) A Survey to assess the increased level of utilisation and user satisfaction was not conducted, however the City has receivedseveral expressions of interest from Sporting Groups wishing to use the facility.



03/04 03/04 03/04$,000 $,000 $,000

Estimated ExpenditureStabilise Sports Surface Infrastructure Assets- 100 124 115Detailed Design Recreation Facilities 5 5 0Reconstruct Car Park Infrastructure Assets-Other 100 100 0Western End Landscaping Infrastructure Assets- 34 34 0

Recreation FacilitiesTOTAL EXPENDITURE 239 263 115

Estimated FundingGeneral Purpose Funding General Purpose Funding 239 263 115TOTAL FUNDING 239 263 115

City of CANNING 85

Shelley Beach Park Development

The City proposes to upgrade existing and develop new facilities on Shelley Beach Park as recommended in the ShelleyRossmoyne Foreshore Management Plan.

A Development Plan has been prepared to ensure that any development on the Shelley Beach Park integrates functionally andesthetically with the existing surroundings. It incorporates a consideration of a Kiosk/Café on the Park which will be subject toa separate Business Plan. The Plan will address the issues of land vesting, the ability to sub-lease a portion of the reserve, thecommercial viability and terms of development and useThe upgrading of the existing facility incorporates the existing elements such as carparking, fencing, toilet block, lighting,playground, picnic tables, barbeques, drink fountains, bicycle parking rails, seats, bins, signage and paths. The development ofnew facilities such as pedestrian jetty, kiosk/cafe and community notice board.

Objective

To encourage better utilisation of the facilities and to ensure that conflicts in usage patterns are minimised.


(1) That the project be completed by June 2012.(2) Preparation of a Business Plan in relation to the development of a Kiosk/Café on the Park to be completed by June 2004.

Funding


(1) The planning and design of the proposed Jetty Structure and Children’s Playground was completed, together with obtainingthe necessary statutory approvals.

The Contract for the construction of the Shelley Beach Jetty has been awarded and the Children’s Playground installed. Thetotal redevelopment of Shelley Beach is due for completion in June 2012.



03/04 03/04 03/04$,000 $,000 $,000

Estimated ExpenditureRe-Development of Infrastructure Assets - Recreation Area Recreation Facilities 100 127 14


Estimated Funding

General Purpose Funding General Purpose Funding 100 127 14



Canning Regional Centre

The Infrastructure development within the Canning Regional Centre has been in progress since 1992. It is the aim of the Cityto accelerate the Infrastructure development program and encourage development opportunities through the provision ofInfrastructure, including roads, drains, parks and streetscape enhancements.

Objectives

(1) To establish a strategic Regional Centre as intended within the State Governments Regional Scheme.(2) To ensure that the Canning Regional Centre is presented as an attractive and safe place to work, shop, recreate and meet.


(1) The Infrastructure works as detailed in the Development Plan be completed by December 2012.(2) The on-going operational maintenance of:

- Litter Control- Street Sweeping- Arterial Verge Mowing- Street Garden Maintenance- Street Furniture Maintenance/Graffiti Removal- Street Tree Maintenance

to be achieved as detailed in the Development Plan.

Funding


(1) The works identified in the Development Plan and listed in the Annual Budget were all programmed and commenced withthe exception of the Canning River Regional Park Interface. All unspent funds detailed above have been carried forward tothe 2004/2005 financial year.

(2) The maintenance program for the Regional Centre has been operating effectively resulting in improvements to thecleanliness of the area.



03/04 03/04 03/04$,000 $,000 $,000

Estimated ExpenditureOperatingRegional Centre Precinct-Operational Maintenance Recreation & Culture 69 69 57Capital-Streetscape EnhancementsGrose Ave-Dual Carousel Infrast Assets-Roads 535 535 16to Roundabout

Canning River Regional Park Infrast Assets-Roads 45 45 0Interface


Estimated FundingGovt Grant-State Black Sport Transport 80 80 15General Purpose Funding General Purpose Funding 569 569 58


City of CANNING 87

Asset Management Programme

To provide the necessary equipment, buildings and infrastructure for the Community and the Asset Management of suchfacilities.

Asset Acquisition and Replacement includes:

· Furniture and Equipment· Land and Buildings· Plant and Equipment· Tool Purchases· Infrastructure Assets - Roads

- Recreation- Other

Asset Management provides for the necessary preventive maintenance, to ensure the functionality and safety of theinfrastructure assets. Infrastructure maintenance includes:

· Roads, Drainage and Footpath maintenance· Parks and Reserve Maintenance· Building Maintenance· Plant Operation Costs.

Objective

To provide and replace as necessary the infrastructure of the City and maintain the infrastructure to an acceptablestandard of presentation, usability and safety.


(1) Monitor levels of expenditure in road asset management against those recommended by the Road PavementManagement System (PARRMS) which provides a highly complex based management tool for assessing conditionand predicting expenditure requirements.

(2) Lengths of roads, drains, footpaths replaced or constructed each year.

(3) Requirements that 97.5% of funds allocated for Capital Works and Services be spent by 30th June of each year.


Funding

Note:

(1) Amounts stated in the Capital Section above do not include items detailed in other Plans referred to previously.

(2) Expenditure incorporated in the Capital Section under the heading “Estimate Included in 2003/2004 Budget” includes allCapital Works approved in previous Budgets, but not completed as at 30 June 2003, thus the variation between the amountsincluded in the 2003/2004 Annual Budget and Plan of Principal Activity reflects this amount.



03/04 03/04 03/04$,000 $,000 $,000

Estimated ExpenditureOperating- Roads, Drainage and Transport; Community 927 927 921

Footpaths Maintenance Amenities- Parks and Reserves Mtce Recreation & Culture 5,313 5,313 5,056- Building Maintenance Various Programs 2,975 2,975 2,927- Plant Operation Costs Other Property & Services 2,322 2,322 2,397

Capital- Furniture & Equipment Infrast.-Furniture & 592 702 642

Equipment- Land and Buildings Infrast.-Land & 774 3,708 784

Buildings- Plant & Equipment Infrast.-Plant & 2,037 2,723 2,405

Equipment- Infrastructure Assets

- Roads Infrastructure-Roads 6,994 11,809 7,213- Recreation Infrastructure-Recreation 996 1,948 1,166-Other Infrastructure-Other 0 10 13


Estimated FundingSpecified Area Rate-POS

Canning Vale Recreation & Culture 165 165 169Contribution and Donations Various Programmes 112 112 143Grants and Subsidies General Purpose Funding 2,572 2,572 2,547

and TransportProceeds Sale of Assets Operating Statement 1,063 1,386 1,271Reimbursements Recreation & Culture 98 98 168Fees and Charges Recreation & Culture 280 280 272Plant Operation Costs

Recovered Other Property & Svcs 2,282 2,282 2,589General Purpose Funding General Purpose Funding 16,358 25,542 16,365

TOTAL FUNDING 22,933 32,437 23,524

City of CANNING 89


(1) All the objectives of the Activity set for the 2003/2004 financial year have been achieved with levels of expenditurekept generally within allowances made. Unspent funds allocated for Capital Expenditure have been carried forwardinto the 2004/2005 financial year.

(2) Council’s Strategic Planning Policy Number 61 states:

97.5% of the funds allocated for each Capital Works Program must be spent each year.

The only exception to this requirement occurs when:- the Plan of Principal Activities and/or the Strategic Plan provides for expenditure to be spent over two or more

years.- funds originate from sources external of the local government of the City of Canning and involves expenditure

extending two or more years, provided the Council is notified that such funds may not be expended within anyyear under review.

- funds held in trust or contributed by developers for works associated with developments.- prior Council approval has been given to carry forward works due to external factors outside the control of the

City or other justifiable reasons.

The City has implemented the Balanced Scorecard to report on Key Performance Indicators

The Balance Scorecard measures the output, efficiency and effectiveness of the City in fulfilling it’s StrategicObjectives.

Key Performance indicators as at 30 June 2004 for Capital Works are as follows:

* The level of Capital Works Programme percentage of Budget to Actual was 95%, which is less than the performance measure of 97%.

* The number of Capital Work Jobs completed is 90%, which is less than the performance Measure of 97%.

The length of roads, drains, footpaths replaced or constructed during the 2003/2004 financial year were as follows:

Roads- Upgrades 28.2km- New 4.8km

Total 33.0km

Drainage- Upgrades 1.1km- New 6.3km

Total 7.4km

Footpaths- Slab Upgrades 3.0km- New 4.3km

Total 7.3km

(3) The Activity is considered to be on -going.


Reserve Fund

The City of Canning has established Reserve Funds to provide funding for future projects, reduce the impact on future AnnualBudgets and to ensure “Debt Free” Status is sustainable.

Land and Building Reserve

The purpose of this fund is for the acquisition, development and improvement of Land and Buildings.

Waste Management Reserve

The purpose of this fund is for the acquisition and development of Landfill Sites, including Buildings and Equipment and liningof sites.

Aged Persons Homes Reserve

The purpose of this Fund is for the acquisition, development and improvement of facilities for the Aged.

Asset Revaluation Reserve

The purpose of this Fund is to reflect changes in the value of the City’s Fixed Assets.

With the exception of the Asset Revaluation Reserve, all the other reserves are cashed backed.

Objective

To provide cash backed Reserves to provide funding for future projects and reduce the impact on future Annual Budgets.


Annual assessment of the extent to which accumulated Reserves are able to meet the future expenditure needs of the City.

Funding



03/04 03/04 03/04$,000 $,000 $,000

Estimated ExpenditureLand & Building ReserveBalance B/Fwd 1st July 2,494 2,514 2,514

Revenue- Interest Earning Fund Transfer 103 103 109- Rent Received Fund Transfer 93 93 94- Net Proceeds Sale of Lots

- Ranford Road Subdivision Fund Transfer 130 130 (208)

Expenditure- Admin & Civic Centre Upgrade Fund Transfer 200 200 0- Environment Project-Wharf St, Cannington Fund Transfer 0 14 13- Feasibility Studies & Sundries Fund Transfer 13 13 7

Cannington

BALANCE AS AT 30 JUNE 2,607 2,613 2,489

City of CANNING 91

Funding



03/04 03/04 03/04$,000 $,000 $,000

Estimated ExpenditureOperating

Waste Management ReserveBalance B/Fwd 1 July 3,141 3,121 3,121Revenue- Interest Earnings Fund Transfer 129 129 125Expenditure- Transfer Station Development Fund Transfer 1,493 1,613 1,613- Plant and Equipment- Transfer Fund Transfer 280 280 263

Station- Rehabilitation & Ground Fund Transfer 481 481 96

Water Control- Plant & Equipment - Overhaul Fund Transfer 0 140 133

Komatsu Dozer- Garbage Bins - Recycling Fund Transfer 304 304 304

BALANCE AS AT 30 JUNE 712 432 837

Aged Persons HomesBalance B/Fwd 1 July 1,362 1,564 1,564

Revenue- Interest Earnings Fund Transfer 61 61 55- Surplus from the following operations:

People with Disabilities Fund Transfer 0 0 5Rossmoyne Village Fund Transfer 0 0 4Canning Lodge Fund Transfer 0 0 165

- Capital Gain on Re-allocation of Fund Transfer 0 0 178Retirement Units

Expenditure- Canning Lodge

Paint and Curtains Fund Transfer 10 10 7Furniture and Equipment Fund Transfer 17 17 10Consultancy Fee - Expansion of Service Fund Transfer 0 10 9

Supported AccommodationLand & Build Refurbishments Fund Transfer 15 15 16

- Rossmoyne Retirement Village- Hall Extension Fund Transfer 30 30 30

- Wilson Retirement Village- Carports Fund Transfer 0 61 62- Carpark Fund Transfer 0 25 25

- Utility Storage Room Fund Transfer 0 12 1- Fencing-Wilson Village Fund Transfer 0 0 35- Painting-Wilson Village Fund Transfer 0 0 25- Roof Repairs-Wilson Village Fund Transfer 0 0 3- Landscape Improvements-Wilson Village Fund Transfer 0 0 2- Landscape Improvements-Rossmoyne Village Fund Transfer 0 0 30- Deficits from the following Operations:

- Wilson Village Fund Transfer 0 0 25- Joint Venture Housing Fund Transfer 0 0 6

BALANCE AS AT 30 JUNE 1,351 1,445 1,685



(1) All of the objectives of the Activity set for the 2003/2004 financial year have been achieved resulting in additionalfunds being accumulated in the Reserve Funds and the transfers from Reserves reducing the impact on the need toraise additional Rates Revenue.

(2) The accumulation of funds held in the Reserves will enable the Local Government to fund many of its InfrastructureProjects from own resources, thus creating a financial stable environment for its Ratepayers.

(3) The Activity is considered to be on-going as funds accumulated will aid in the funding of proposed expenditure asset by future year Budgets.

NA

TIO

NA

L C

OM

PE

TIT

ION

PO

LIC

Y

City of CANNING 95

40 NATIONAL COMPETITION POLICY

(1) Competitive Neutrality

The 2003/2004 Annual Report identified the City’s Activities and Functions and how it intended to progressively cost theActivities as if a Business Unit to include Competitive Neutrality Principles.

The Business Plans compiled for the Business Units of the City address the requirements of Clause 7 of the NationalCompetition Policy and ensure that the Council of the Local Government of the City of Canning can satisfy itself that it ismeeting the essential criteria of the Policy.

Statement of Significant Activities to Which Competitive Neutrality have been Applied

Business Plans prepared and/or reviewed for the period 2003/2004 to 2006/2007 and presented to Council on 2 December 2003 included the following:

* Human Resource Management Service* Public Affairs Management Service* Real Estate and Land Administration Management Service* Finance and Administration Management Service* Information Technology Management Service* Rates and Client Management Service* Plant and Equipment Management Service* Road Reserve Management Service* Waste Management Service* Passive Parks and Property Management Service* Library Management Service* Queens Park Recreation Centre* Canning Aquatic Centre* Whaleback Golf Course* Recreation Management Service - Sportsfields* Recreation Management Service - Halls* Riverton Leisureplex* Patrol and Security Management Service* Multicultural Respite Services* Community Aged Care Package* Canning Lodge* Queens Park Community Care Service* South Canning Community Care Service* Youth and Family Service* Catering Service* Home and Community Care Service* Accommodation and Respite Service (Disability)* Planning Management Service* Building Service* Environmental Health Service

The City of Canning is classified as a Category 1 Local Government under the National Competition Policy. Under this Policya business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. The BusinessUnits detailed above in most instances derive an annual income of less than $200,000 from this Source, however the City haselected to prepare Business Plans for all the various activities and to apply the Principles of the Policy to each of the BusinessUnits.


The Business Plans findings in relation to the benefits and costs of introducing Competitive Neutrality are summarised asfollows:

Human Resources Management Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. TheHuman Resources Management Service does not generate any income and therefore is not considered to be a business activityunder the provisions of this policy.

Public Affairs Management Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. ThePublic Affairs Management Service does not generate any income and therefore is not considered to be a business activity underthe provisions of this policy.

Real Estate and Land Administration Management Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000.Although the income from fees and charges exceeds this amount, the properties from which the income is derived were notacquired for the purposes of establishing a business activity and accordingly the principles of National Competition Policy havenot been applied to the activities of this management service.

Finance and Administration Management Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. TheFinance and Accounting Management Service income from fees and charges does not exceed $200,000. The Service is thereforenot regarded as a business activity.

Information Technology Management Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. TheInformation Technology Management Service does not generate any income from fees and charges. The Service is therefore notregarded as a business activity.

Rates and Client Management Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000.Therate revenue raised from the activities of the Rates and Client Management is exempt from this definition and that as the otherfees and charges raised by the service are less than the $200,000 threshold, the Service is not considered to be a business activityunder the provisions of this policy.

Notwithstanding this, the service has implemented the principles of National Competition Policy in ensuring that the ongoingoperations of the service are being subjected to competitive outcomes. A private sector operator carries out the printing, foldingand dispatching of the annual rate notices and information pamphlets on behalf of the City. Research undertaken by the servicehas revealed that the out-sourcing of this function has been cost effective and an efficient means of delivering the notices in atimely manner.

City of CANNING 97

Plant and Equipment Management Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. ThePlant Management Service does not generate any income from fees and charges, all operating costs being allocated to the variousworks and service programs undertaken by the City. The Plant Management Service is therefore not regarded as a businessactivity.

Road Reserve Management Service

A business activity of a local government is required to comply with the provisions of National Competition Policy. Under thispolicy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. Therevenue from fees and charges does not exceed this amount and therefore the Road Management Service is not considered to bea business activity under the provisions of National Competition Policy.

Notwithstanding this, the service has implemented the principles of National Competition Policy in ensuring that the ongoingoperations of the service are being subjected to competitive outcomes. The service has over a number of years adopted a policyof regularly reviewing its financial and productivity performance through market testing of the various works and services itdelivers. Encouraging competition in this way has enabled the service to develop benchmarks, an analysis and measurement ofthem indicating that the services are being provided in a cost effective and economical manner.

Waste Management Service

A business activity of a local government is required to comply with the provisions of National Competition Policy. Under thispolicy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. In viewof this the Waste Management Service is considered to be a business activity with an annual income from fees and chargesexceeding this amount and accordingly the principles of National Competition Policy apply to the management of this service.

A general review of the overall management practices has revealed that the City is complying with the requirements of thepolicy. All costs attributable to the business activity have been identified in the accounts, consideration has been given to thefull price costing principles of the policy in determining the level of fees and charges and that the ongoing operations of theactivity are being subject to competitive outcomes.

Passive Parks and Property Management Service

A business activity of a local government is required to comply with the provisions of National Competition Policy. Under thispolicy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. Therevenue from fees and charges does not exceed this amount and therefore the Passive Parks and Associated PropertiesManagement Service is not considered to be a business activity under the provisions of National Competition Policy.

Notwithstanding this, the service has implemented the principles of National Competition Policy in ensuring that the ongoingoperations of the service are being subjected to competitive outcomes. The service has over a number of years adopted a policyof regularly reviewing its financial and productivity performance through market testing of the various works and services itdelivers. Encouraging competition in this way has enabled the service to develop benchmarks, an analysis and measurement ofthem indicating that the services are being provided in a cost effective and economical manner.


Library Management Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. Therevenue from fees and charges does not exceed this amount and therefore the Library Management Service is not considered tobe a business activity under the provisions of National Competition Policy.

Notwithstanding this, the service has applied the principles of National Competition Policy in ensuring that the ongoingoperations of the service are being subjected to competitive outcomes. The cleaning and ground maintenance of the four librarieswas market tested in 1999, the ground maintenance contract being awarded to a commercial operator and the in house cleaningcontract remaining with the Property Services Management Department of the City. The implementation of this competitivetender policy has enabled the service to develop benchmarks, an analysis and measurement of them indicating that these servicesare being delivered economically

Queens Park Recreation Centre

A business activity of a local government is required to comply with the provisions of National Competition Policy. Under thispolicy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. In viewof this the Queens Park Recreation Centre is considered to be a business activity as its annual income from fees and charges justexceeds this amount and accordingly the principles of National Competition Policy apply to the management of this recreationalfacility.

A general review of the overall management practices has revealed that the City is complying with the requirements of thepolicy. All direct and indirect costs attributable to the operation of the centre have been identified in the accounts, the ongoingoperations of the centre are being subject to competitive outcomes and consideration was given to the full price costingprinciples of the policy in determining the level of fees and charges. However in view of the fact that it would be uneconomicalfor anyone else to operate a recreation centre of the same design and structure, fees and charges are set at a level that the majorityof clients can afford and therefore the operations of the centre will continue to require a subsidy from the general purposerevenue of the City.

Canning Aquatic Centre

A business activity of a local government is required to comply with the provisions of National Competition Policy. Under thispolicy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. Therevenue from fees and charges does not exceed this amount and therefore the Aquatic Centre is not considered to be a businessactivity under the provisions of National Competition Policy.

Whaleback Golf Course

A business activity of a local government is required to comply with the provisions of National Competition Policy. Under thispolicy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. In viewof this the Queens Park Recreation Centre is considered to be a business activity as its annual income from fees and charges justexceeds this amount and accordingly the principles of National Competition Policy apply to the management of this recreationalfacility.

A general review of the overall management practices has revealed that the City is complying with the requirements of thepolicy. All costs attributable to the business activity have been identified in the accounts, consideration has been given to thefull price costing principles of the policy in determining the level of fees and charges and that the ongoing operations of theactivity are being subject to competitive outcomes.

Recreation Management Service - Sportfields

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. TheRecreation Management Services annual income from this source is less than this amount and therefore the operations of theservice are not regarded as a business activity

City of CANNING 99

Recreation Management Service - Community Halls

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. Theannual income from this source for the hire of the community halls and centres is less than this amount and therefore theoperations of the service are not regarded as a business activity.

Riverton Leisureplex

A business activity of a local government is required to comply with the provisions of National Competition Policy. Under thispolicy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. Theannual income from fees and charges of the Riverton Leisureplex exceeds this amount and therefore the principles of NationalCompetition Policy apply to the management of this recreational facility.

A general review of the overall management practices has revealed that the City is complying with the requirements of thepolicy. All direct and indirect costs attributable to the business activity are being clearly identified in the accounts andconsideration has been given to the full price costing principles of the policy in determining the level of fees and charges. Whileit is intended that the ongoing operations of the recreation complex will continue under the care, control and management of theCity throughout the period of this plan, the financial and productivity performances will be regularly reviewed to ensure theservices are being provided in a cost effective and economical manner.

Patrol and Security Management Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. ThePatrol and Security Management Services annual income from this source is less than this amount and in addition, as the serviceprovides a regulatory function requiring the implementation and enforcement of legislation, the service is not considered to bea business activity.

Multicultural Respite Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. TheMulticultural Respite Services annual income from this source is less than this amount and therefore the operations of the serviceare not regarded as a business activity.

Community Aged Care Package

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. TheCommunity Aged Care Packages annual income from this source is less than this amount and therefore the operations of theservice are not regarded as a business activity.

Canning Lodge

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. Theannual income of the Canning Lodge from fees and charges is greater than this amount and therefore the service is regarded asa business activity under this policy.

A general review of the overall management practices has revealed that the City is complying with the requirements of thepolicy. All costs attributable to the business activity have been identified in the accounts, consideration has been given to thefull price costing principles of the policy in determining the level of fees and charges. Regular reviews of the fees and chargesare undertaken, however as most of the clientele are financially disadvantaged, increases to the level of these fees and chargeswould result in fewer citizens being able to afford the standard of retirement accommodation required. The full price costingprinciples therefore have not been applied and consequently the City will continue to provide a subsidy to finance the ongoingoperations of the service over the life of the plan.


Queens Park Community Care Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. TheQueens Park Community Care Services annual income from this source is less than this amount and therefore the operations ofthe service are not regarded as a business activity.

South Canning Community Care Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. TheSouth Canning Community Care Services annual income from this source is less than this amount and therefore the operationsof the service are not regarded as a business activity.

Youth and Family Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. Theannual income from this source is significantly less than this amount and therefore the operations of the service are not regardedas a business activity.

Catering Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. TheCatering Services annual income from fees and charges is greater than this amount and therefore the service is regarded as abusiness activity under this policy.

A general review of the overall management practices has revealed that the City is complying with the requirements of thepolicy. All direct and indirect costs attributable to the business activity are being clearly identified in the accounts andconsideration has been given to the full price costing principles of the policy in determining the level of fees and charges. Whilea small subsidy is required from the City to finance the overall operations of the service, regular reviews of the fees and chargeswill be made over the life of the plan with a view to reducing the amount of this subsidy.

Home and Community Care Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. TheHome and Community Care and Seniors Residential Services total annual income from fees and charges is greater than thisamount.

The services delivered however fall into two distinct and separate categories, one in meeting the home help, home and gardenmaintenance, transport and podiatry services needs of frail elderly and people with disabilities and the other in providingaccommodation for seniors who can live independently. The annual income of each is significantly less than the $200,000threshold and therefore it is considered they are not regarded as business activities under the guidelines of this policy.

City of CANNING 101

Accommodation and Respite Service (Disability)

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. TheAccommodation and Respite Services (Disability) annual income from this source is less than this amount and therefore theoperations of the service are not regarded as a business activity.

Planning Management Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000.Although the Planning Service annual income from this source exceeds this amount, the service is a regulatory functionrequiring the implementation and enforcement of legislation and therefore the Service is not considered to be a business activityunder the provisions of this policy.

Building Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000.Although the Building Service annual income from this source exceeds this amount, the service is a regulatory functionrequiring the implementation and enforcement of legislation and therefore the Service is not considered to be a business activityunder the provisions of this policy.

Environmental Health Service

A business activity of a local government is required to comply with the requirements of National Competition Policy. Underthis policy a business activity is defined as one that generates an annual income from fees and charges exceeding $200,000. TheEnvironmental Health Service annual income from this source is less than this amount and in addition, the service is a regulatoryfunction requiring the implementation and enforcement of legislation and therefore the Service is not considered to be a businessactivity under the provisions of this policy.

Statement of Significant Activities to which Competition Neutrality Principles have not been Applied

The City has prepared Business Plans for all of its activities and included the Competitive Neutrality Principles as detailedabove.


(2) Legislative Review

The City’s Local Laws have been systemically reviewed as follows:

(a) ByLaws made under the provisions of the Roads Act 1911, The District Act 1919 and the Local Government Act 1960, which are no longer relevant, require appropriate action taken to remove them.

In April 1998 Council adopted a Local Law to revoke the following By Laws:

Name of Local Law Date Gazetted Date of Amendments

General 2.6.16Regulating Motor Traffic 3.11.16Discount of Rates 12.8.21Straying Stock 1.5.25Camping 14.5.26Appointment of Employees 10.10.41Bathing in Canning River 12.3.48Coker Park Sportsground 16.4.48 29.2.52Long Service Leave 24.3.50Buildings 9.11.51 9.4.57

27.11.565.6.53

Control of Dogs 10.2.56Building Line-Riverton Road 28.9.56Parking Facilities 10.1.66 22.1.69Payment of Rates by Instalments 30.8.85Caravan Parks and Camping Grounds 26.5.71

(b) The Local Law No. 1 - Standing Orders (Meeting Procedure) was reviewed and adopted by the Councilon 22 September 1998. The Local Law was updated having regard to changes in Legislation.

(c) Health Local Laws were reviewed and adopted by the Council on 22 September 1998.

(d) Council at its meeting held on 27th July 1999 adopted to revoke the following Obsolete and Redundant Local Laws.

· Regulating Motor Traffic By-law published in the Government Gazette 3 November 1916

· Long Service Leave By-law published in the Government Gazette 24 March 1950

· Bridges and Weirs By-law published in the Government Gazette 18 January 1952

· Removal of Verandah By-law published in the Government Gazette 13 June 1962

· Parking and Parking Facilities By-law published in the Government Gazette 10 January 1966

as amended in the Government Gazette published 12 October 1979

· Draft Model Bylaw No.17 - Vehicle Wrecking published in the Government Gazette 24

May 1966

· Draft Model By-law No.8 - Old Refrigerator Cabinets published in the Government Gazette 12 October 1962

· Quarrying, Excavating and Blasting By-law published in the Government Gazette 25 June

1958 as amended in the Government Gazette published15 August 1958 and 9 August 1967

· Crossing Places By-law published in the Government Gazette 23 April 1969

· Swimming By-law published in the Government Gazette 4 June 1970 as amended in the

Government Gazette published 16 February 1973, 28 February 1975, 17 October 1975, 24

December 1976 and the 23 May 1980.

City of CANNING 103

Obsolete and Redundant Local Laws cont ...

· Caravan Parks and Camping Grounds By-law published in the Government Gazette 26 May 1971

· Public Halls and Community Halls By-law published in the Government Gazette 23 January 1973 as

amended in the Government Gazette published 19 April 1984

· Public Reserves By-law published in the Government Gazette 16 February 1973 as amended in the

Government Gazette published 20 May 1977 and 19 January 1979

· Access Across Footpaths, Damage to Kerbing and Footpath By-law published in the Government Gazette

30 September 1966 as amended in the Government Gazette published 19 January 1979

· Care, Control and Management of Roads and Ways By-law published in the Government Gazette 2 March

1979 as amended in the Government Gazette published 28 September 1979

· Public Golf Course By-law published in the Government Gazette 19 March 1982

· Dog By-law published in the Government Gazette 7 July 1989 as amended in the Government Gazette

published 12 November 1993

· Use of Foreshores By-law published in the Government Gazette 21 May 1982

· Removal of Materials By-law published in the Government Gazette 11 January 1991

· Street Lawns and Gardens By-law published in the Government Gazette 12 April 1991

· Beekeeping By-laws published in the Government Gazette 12 July 1991.

· Hawkers, Stallholders and Street Traders By-law published in the Government Gazette 2 October 1992

· Parking and Parking Facilities By-law published in the Government Gazette 30 October 1992

· Signs, Hoardings and Billposting By-law published in the Government Gazette 8 July 1994

· Operations of the City of Canning Refuse and Recycling Facility published in the Government Gazette

28 October 1994

· Fencing By-law published in the Government Gazette 24 October 1996

· Draft Model By-law No.3 - Regulating Construction, Establishment, Operation and Maintenance of

Motels as published in the Government Gazette 6 January 1966.

and to Redraft and Consolidate Provisions of existing Local Laws into new Parts namely:

Parks, Reserves & ForeshoresCouncil Property, Public Swimming Pools, Public Golf Courses and Recreation FacilitiesAnimal in Public Places and BeekeepingDogsBridges and WeirsOperations of Refuse and Recycling FacilityQuarrying, Excavating and BlastingStreets and Public PlacesHawkers, Stallholders and Street TradersParking and Parking FacilitiesFencingSigns and Hoardings

and to provide new local laws covering -

Verge Treatments - details permitted treatments and obligations of owners/occupiers of abutting properties Rubbish,Disused and Stored Things - details action to be taken concerning matters adversely affecting land in a locality

Rubbish, Disused and Stored Things - details action to be taken concerning matters adversely affecting land in a locality.


Council on the 14th March 2000 resolved to make the following Local Laws and were gazetted on 31st March 2000 as the Cityof Canning Consolidated Local Laws:

* Part I - Repealed, Citation and Application of Local Laws

* Part II - General Interpretation

* Part III - Parks, Reserves and Foreshores

* Part IV - Council Property, Public Swimming Pools, Public Golf Courses and Recreation Facilities

* Part V - Animals in Public Places and Bee Keeping

* Part VI - Dogs

* Part VII - Bridges and Weirs

* Part VIII - Operation of Refuse and Recycling Facility

* Part IX - Quarrying, Excavating and Blasting

* Part X - Streets and Public Places

* Part XI - Hawkers, Stallholders and Street Traders

* Part XII - Verge Treatments

* Part XIII - Parking and Parking Facilities

* Part XIV - Fencing

* Part XV - Rubbish, Disused and Stored Things

* Part XVI - Signs & Hoardings & Bill Posting

* Part XVII - Enforcement of Local Laws

* Part XVIII - Objections and Appeals and Miscellaneous

The review of the above-mentioned Consolidated Local Laws incorporated the assessment as to whether the Local Laws wereanti-competitive as required by the National Competition Policy.

The City has now completed a review of all its Local Laws.

(3) Structural Reform

The City of Canning did not privatise any Activities in 2003/2004. Consequently, there were no obligations for StructuralReform.

STATEMENT BY CHIEF EXECUTIVE OFFICER

The attached financial report of the City of Canning being the Annual Financial Report and supporting notes andother information for the year ended 30 June 2004 are, in my opinion, properly drawn up to present fairly thefinancial position of the City of Canning at 30 June 2004 and the results of the operations for the financial year thenended in accordance with the Australian Accounting Standards (except to the extent that these have been varied inthe Statement of Accounting Policies required by Australian Accounting Standard AAS 6 “Accounting Policies” andthe accompanying notes to the annual financial report) and comply with the provisions of the Local Government Act1995 and the regulations under that Act.

Signed

Name Dominic CarboneChief Executive Officer

Date 27 October 2004

City of CANNING 105

ST

RA

TE

GIC

PO

LIC

IES

City of CANNING 109

STRATEGIC PLANNING

Planning of future works and services has been an integral part of the planning process at the City of Canning for manyyears.

The City looks beyond short-term planning to focus on strategic long-term goals and the achievement of these goals forthe benefit of the municipality as a whole.

Through Strategic Planning the City establishes the processes its needs to put in place to achieve the desired outcomes.

The Strategic Planning process involves on-going and systematic analysis of the City’s Activities and creates aframework for planning and decision-making. The foundation of the Strategic Planning process is the preparation offour-year Business Plans and Financial Plans, with annual reviews of all the City’s activities. The strategic objectivesof the Council are then incorporated into the process.

With due consideration given to the demands placed upon the City and the need for it to remain viable, Council ensuresStrategic Planning and Sustainability go hand-in-hand.

The City of Canning Strategic Plan is summarised on the following page. Through the development of its StrategicObjectives, the City presents a Balanced Scorecard by providing an overview of the City’s business undertakings fromboth a financial and non-financial perspective.

The Key Performance Indicators incorporated in the Balanced Scorecard measure the output, efficiency andeffectiveness of the City in fulfilling the Strategic Objectives.

The Balanced Scorecard is produced monthly and provides an instant snapshot of how the City is performing withminimal input and analysis time.

The City’s Key Performance Indicators as at 30 June 2004 are detailed on the following pages.

The graphs illustrate that overall the City has achieved its Strategic Aims for the year ended 30 June 2004.


STRATEGIC PLANM

issi

on S

tate

men

t:S

erve

the

peo

ple

of t

he C

ity

of C

anni

ng w

ith

sens

itiv

ity

to t

heir

nee

ds a

nd,e

ncap

sula

te a

s pa

rt o

f it

s cu

ltur

e,th

e or

gani

sati

on’s

mot

to…

“AB

OV

E A

LL

SE

RV

ICE

”

City of CANNING 111

Freedom of Information Act 1992

In accordance with the above legislation anInformation Statement has been prepared as a stand

alone document.

The Information Statement is available for perusal atthe Enquiry Counter, Administration Centre and at all

Council Libraries.

City of

CA

NN

ING

Annual R

eport 2003-2004

1317 Albany Hwy, Cannington WA

Locked Bag 80, Welshpool WA 6986

Telephone: (08) 9231 0606

Web-site: www.canning.wa.gov.auEmail: [email protected]

Authorised and produced by the City of Canning


54364 cc ar text cmyk - city of canning · cr john wibberley cr mary daly bannister ward mayor dr...

Documents