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Annual Report2013-2014

The success Council has achieved in 2013/14 is a credit to our staff and their unwavering commitment to serving the community.

Shire of Campaspe g 1 Annual Report 2013-2014

CONTENTS Overview of 2013/14 2Calendar events 4Awards 6Our vision, mission & values 7Campaspe profile 8Mayor’s message 10Our council 14CEO’s message 18The organisation 22Sustainability report 24

Council Plan reporting 28g Prosperity 28g Place 32g People 38g Leadership and Governance 44

Corporate governance 52Financial summary 63Understanding the financial report 65Financial report 67Acronyms & definitions 140

ABOUT THIS ANNUAL REPORTWelcomeWelcome to the Shire of Campaspe. Council honours the unique Aboriginal cultural heritage of this country and acknowledges the traditional owners of this land. Council also acknowledges the many other generations of people, past and present, who have lived, worked and contributed to the development and cultural heritage of Campaspe Shire.

PurposeCampaspe Shire Council’s Annual Report 2013/14 is a legislative requirement. The report summarises Council’s achievements against the objectives set out in the Council Plan 2013/17 and provides a concise statement of who we are, what we represent and how we advance Campaspe Shire. The report contains audited financial statements, an audited performance statement, and all information required under the Local Government Act 1989 and other relevant legislation.

FeedbackCouncil values community feedback on the annual report. Residents are invited to make suggestions on other items that could be included in next year’s annual report or ways to make the document easier to understand. Written comments are invited via:Email: [email protected]: Shire of Campaspe PO Box 35 Echuca Vic 3564

OVERVIEW OF 2013/14

PROSPERITY more detail page 29

PLACE more detail page 33

Highlights

g Port of Echuca Discovery Centre openedg Economic Development Strategy startedg Planning and design contract for Kyabram Business

Park awardedg Participation in Rural Victoria Living Expo

g 90% of planning applications processed in statutory timeframe

g Record $33.8 million capital works deliveryg Regional Rural Land Use Strategy amendment

approvedg Review of public toilet infrastructure completed

Challenges

g Complying with increasing legislative requirements for community events

g Maintaining ageing pool infrastructureg Responding to illegal building activity

Projects for the year ahead

g Recruitment of Event Support Officerg Update Events Strategyg Host biennial business awardsg Complete Port of Echuca operating model review

g Develop asset plans for key asset classesg Implement recommendations from the Rural Road

Reviewg Replace 1,833 street lights with energy efficient

alternativesg Review the domestic animal management service

2 g Shire of Campaspe Annual Report 2013-2014

PEOPLE more detail page 39

LEADERSHIP AND GOVERNANCE more detail page 45

Highlights

g Municipal Public Health and Wellbeing Plan adoptedg Community Engagement Policy adoptedg Campaspe Conversation day a successg Aquatic and leisure service programs expandedg Kindergarten review started

g Overall community satisfaction increasedg Days lost due to injury reducedg Enterprise Agreement finalisedg Contract awarded for ICT programg 63% increase in social media likesg Strategic Financial Assessment completed

Challenges

g Maintaining children’s services in an environment of regulatory reform

g Significant waiting list for HACC servicesg Low attendances at Stanhope outdoor pool

g Supporting volunteers with OHS requirementsg Progressing the organisation realignment

Projects for the year ahead

g Start Immunisation Strategyg Respond to change in HACC funding arrangementsg Implement Good Access is Good Business program

g Update the Communications & Public Affairs Strategy

g Complete and implement the customer complaints procedure

g Training and installing the OneCouncil modulesg Extending social media applications to aquatics and

library


JULY - SEPTEMBER 2013g More than $103,000 was provided to support 45 community

groups through round one of the Community Grants Program.

g Mayor, Cr Ian Maddison, requested the Chief Executive Officer to advise the Local Government and Investigations and Compliance Inspectorate of an incident relating to confidential information appearing in a local newspaper. The investigation was completed in April 2014 with the report advising that the inspectorate will take no further action in relation to the matter.

g Federal funding of $466,285 was announced to the ‘Watts Working Better’ project to support the change-over of 1,832 street lights to more energy-efficient alternatives across the shire.

g Moving, roaring, life-like dinosaur replicas attracted more than 2,000 people to the Campaspe Regional Library as part of the Dinosaurs Down Under day.

g Cr Robert Danieli resigned to contest a senate seat in the federal election in August. One month later, Rocchina D’Angelo was declared the new Kyabram Deakin Ward Councillor following a count-back of votes from the October 2012 general election.

g Amendment C69, an amendment to implement the Regional Rural Land Use Strategy, was approved by the Minister for Planning.

OCTOBER - DECEMBER 2013 g Moama on Murray Resort took out the top accolade of the

Business of the Year at the 2013 Powercor Australia Campaspe Murray Business Awards. The awards attracted more than 50 applications across 11 categories.

g Eight community representatives were appointed to the Connect Campaspe Community Leadership Group. The role of the group is to ensure that people are fully informed of the opportunities afforded by high speed broadband and address issues faced by key sectors of the community.

g Council’s WICKED waste program was launched with more than 25 residents joining the festivities. WICKED, Waste In Campaspe - Know, Education Do program, is designed to engage the community to help reduce waste to landfill, improve environmental outcomes and save money in waste disposal costs.

g Cr Ian Maddison was elected Mayor for a second term.

g More than $127,000 was provided to support 54 community groups through round two of the Community Grants Program.

g The opening of the 4.4 kilometre Kyabram walking and cycling trail capped off a six-month program of capital works for the town valued at more than $1.8 million.

g After three years of planning and construction, the new Port of Echuca Discovery Centre opened. This marked the completion of the $15.2 million Port Revitalisation project which included refurbishment of the wharf, construction of two red gum walkways and a new entry to the port precinct.

CALENDAR OF EVENTS


Pictured above: Cr Paul Jarman, left, with residents at the Dinosaur Down Under day. Pictured below: From left, Project Director John Webb, Mayor Cr Ian Maddison, Deputy Premier Peter Ryan, shipwright stalwart Kevin Hutchinson and historian Helen Coulson had the honour of cutting the ribbon at the Port of Echuca Discovery Centre opening.

JANUARY - MARCH 2014 g A dedicated community volunteer from Kyabram, Joyce

Robbins, was named Campaspe Citizen of the Year as part of the 2014 Australia Day awards.

g Council adopted a new customer-focused compliance framework which will result in a change of approach to enforcing laws related to parking, stock on roads, building permits and other compliance-related service areas.

g An extensive awareness and education campaign was delivered ahead of new kerbside waste collection services scheduled to start on 1 July 2014. The new service gave residents the power to choose from a broader range of waste, recycling and garden organic bin options that best suit their waste disposal requirements and budget.

g Council welcomed a funding announcement of $78 million from the Victorian Government and $78 million from Coca-Cola Amatil to secure the long-term future of SPC Ardmona in Shepparton.

g The Campaspe Conversation Day was held at five locations, attracting more than 300 people to have their say.

g A review of kindergartens was completed with Council to seek expressions of interest for the operation of the last four Council-managed services at Rochester, Lockington, Tongala and Gunbower.

APRIL - JUNE 2014

g Following an extensive tender process, Council awarded a $3.017 million contract to TechnologyOne, Australia’s largest publicly-listed software company, to supply key software systems to automate internal business processes and improve outcomes for residents.

g Volunteer awards were presented in the categories of individual, youth and organisation as part of Volunteer Week activities.

g Following a successful application, the Victorian Government’s Rural Council Planning Flying Squad started a review of the Campaspe Planning Scheme. The squad provides expert planning advice and technical planning assistance to rural and regional councils.

g Community engagement commenced for the Campaspe: Our future project, with the community asked about their priorities for the next 20 years and beyond.

g Parking meters in Echuca’s central business district were changed to “pay and display” after an overwhelming 85 per cent of the community indicated their preference in a survey. The project replaced 107 meters with 44 new multi-bay meters.

g The roll-out of 12,000 waste, recycling and garden organic bins commenced to residents and businesses who elected to change their bin service. By the end of June, 85 per cent of bins were delivered, ready for the new service to commence on 1 July.

g Council ran its inaugural grant writing workshop attended by more than 50 community members. The focus of the workshop was how to prepare a great grant submission, delivered by experts from ourcommunity.com.


Pictured above: Environmental Projects Officer, Sheri Streilein with bin display, showing the range of bin choices on offer. Pictured below: Road Services Manager, Ollie McNulty with Echuca resident at the Campaspe Conversation Day.

AWARDS

g Sustainable Project award The $6.67 million refurbishment of the Echuca wharf won the

Sustainable Project Award at the Australian Institute of Project Management, Victorian Chapter.

g Community Services and/or Development award

The $5.1 million Campaspe Regional Library won the Community Services and/or Development Award at the Australian Institute of Project Management, Victorian Chapter.

g Pierre Gorman award The Campaspe Regional Library service was presented with the

prestigious Pierre Gorman Award in Melbourne. The $25,000 biennial award, presented by the Library Board of Victoria for service development and delivery to people with a disability, will mean the service can implement its planned Being Connected - Libraries and Autism program, designed to help people with autism and Asperger’s spectrum.

g Best Campaign on a Shoestring award Council’s Communications and Public Affairs Department

won a significant national award in March. The team won the Best Campaign on a Shoestring category at the Government Communications Australia National Awards for Excellence, held in Melbourne. The award recognised a multi-platform campaign rolled out in late 2012 and early 2013 to inform residents of changed waste collection services.

g Public Buildings - New award JAWS Architects, architects of the Port of Echuca Discovery

Centre, was a joint winner of the Public Buildings - New category in the 2014 Victorian Architecture Awards. The awards, conducted by the Australian Institute of Architects - Victorian Chapter, recognise excellence and innovation in design, and are conferred by a rigorous system of peer review.

g Outstanding Team Contribution award As a partner of the Loddon Mallee Consortium of Aged and

Disability Services, Campaspe shared in an award at the LGPro Aged and Disability Services Awards in October for “Award for Outstanding Team Contribution”.

Pictured below left: Receiving the Best Campaign on a Shoestring award, Communications Officer Erin Delahunty, left, and Communications & Public Affairs Manager Sandra Ennis.Pictured below centre: Project Management team receiving two awards at the Victorian Chapter of the Australian Institute of Project Management awards.Pictured below right: Library Services Manager Jenny Mustey (centre) with Community Living and Respite Services’ CEO Suzanna Barry, right, and Family Services Team Leader Leah McNulty, left, with the Pierre Gorman award.


OUR VISION, MISSION & VALUES

g Vision A vibrant place to live, grow and

visit, with a thriving, diverse and healthy lifestyle.

g Mission We will improve the lives of people

in our community.

g ValuesWe value: g Our Community

We seek to understand and realise our community’s goals, balancing individual and overall benefit.

g Our Reputation We are known as leaders who address important issues, using a constructive approach and who can be relied upon to honour our commitments.

g Our People We achieve great things for our organisation and our community by caring and supporting our people.

g Our Future We use our resources smartly, understanding our community’s capacity and the importance of factors in addition to money.

g Our Delivery We set clear goals, measure results and seek to improve, with the courage to raise issues and build capabilities that underpin our delivery.


LocationThe Shire of Campaspe is located in north central Victoria, about 180 kilometres north of Melbourne. It includes the communities of Echuca, Kyabram, Rochester, Lockington, Gunbower, Rushworth, Stanhope and Tongala as well as many smaller areas outside of these main townships. The shire is located in the heart of one of the richest and most diverse agriculture and food processing areas in Victoria. Its climate, history, cultural heritage, natural assets and location in relation to major urban centres provide the shire with extensive opportunities. The shire encompasses a total land area of over 4,500 square kilometres.

PopulationWith an estimated residential population of 36,357 people, the diverse tapestry of the shire’s many communities is our strength and we value a municipality where people feel safe and supported regardless of age, background or abilities. The most recent Census indicated that compared with regional Victoria, Campaspe had a similar proportion of preschoolers but a higher proportion of people post retirement.

Fast Factsg population of 36,357 living in 16,369 dwellings with an average

household size of 2.42 peopleg 37.54% of the population live in Echuca g 25.9% of the community is over 60 years of ageg smaller proportion of people born overseas (Campaspe 6.3%,

regional Victoria 10.6%)g smaller proportion of people from non-English speaking

backgrounds (Campaspe 2.8%, regional Victoria 5.5%),

The Shire of Campaspe scores 964.07 on the SEIFA index, indicating that it is more disadvantaged than the Victorian average of 997.01 but slightly less disadvantaged than the national average of 960.31. The level of disadvantage varies across the Shire of Campaspe from well below the national average to above the Victorian average.

CAMPASPE PROFILE

Campaspe Regional Victoria

Babies and preschoolers (0-4)

6.1% 6.3%

Children (5-17) 18.4% 17.2%

Adults (18-59) 49.6% 52.4%

Mature adults and seniors (60-84)

23.4% 21.9%

Elderly (85 and over)

2.5% 2.3%


EmploymentApproximately three quarters of Campaspe’s employed residents work within the municipality. The four most popular occupations are:

g managers (2,950 or 18.5%)

g labourers (2,349 or 14.7%)

g technicians and trades workers (2,340 or 14.7%)

g professionals (2,082 or 13.1%).

In combination, these four occupations accounted for 61% of the employed resident population. Campaspe comprises of a smaller proportion of high income individuals and households compared with regional Victoria, with 29% of all households considered low income households, earning less than $500 per week.

The major industry contributors to local jobs are:

g manufacturing (2,308 or 14.5%)

g agriculture, forestry and fishing (2,060 people or 12.9%)

g health care and social assistance (1,930 or 12.1%)

g retail trade (1,826 or 11.5%).

In combination, these four industries employed a total of 8,124 people or 51% of the employed resident population.

Within Campaspe, a higher proportion of people volunteer with organisations or groups than compared with regional Victoria. Overall, 25.1% of the population reported performing voluntary work, compared with 23.4% for regional Victoria.

HistoryThe Shire of Campaspe was established in 1994 through an amalgamation of the following five councils - City of Echuca, Town of Kyabram, Shire of Rochester, Shire of Waranga and Shire of Deakin.

The shire is named after the Campaspe River, which was named by Major Mitchell in 1836. Legends claim that Campaspe was Alexander the Great’s concubine.

VictoriaMelbourne

Shire of Campaspe


MAYOR’S MESSAGE

As Mayor of Campaspe Shire Council, it is my pleasure to present Council’s annual report to the community for the 2013/14 year.This report details the many highlights and challenges faced during the year in the areas of financial management, policy and strategy development, service provision, delivery of capital works, advocacy, sustainability and many other areas of our diverse work. It also outlines some of our key projects for the financial year ahead.

People in the spotlightAn amount of $266,292 was distributed to community groups through Council’s Community Grants Program in the areas of Assistance, Events, Environment, Recreation, and Heritage and Culture. The activities of community groups bring a multitude of benefits to the wider community through increased participation in community activities, fostering a strong sense of community and local pride, and building leadership and self-sufficiency skills among residents.

Council recognised some of the shire’s most outstanding citizens as part of the 2014 Australia Day Awards where Joyce Robbins was announced Citizen of the Year, Tyler Lethlean, Young Citizen of the Year; Greg Shilling, Sportsperson of the Year; Jayden Gulson, Junior Sportsperson of the Year; Rushworth Easter Heritage Festival, Community Event of the Year; and Rochester Fine Art Exhibition, Community Art Event of the Year.

In celebrating the power of volunteering as part of National Volunteer Week, Council acknowledged the invaluable work of our wonderful volunteers through the Campaspe Community Volunteer Awards. Sue Portelli (Echuca) received the Individual Volunteer Award, Marcus Angelino (Kyabram), received the Young Person Volunteer Award and the Make Your Mark Committee (Echuca) received the Organisation Award.

On behalf of Council, I congratulate and thank you all for the positive difference you make to our community every day. Your wonderful contributions are sincerely appreciated and help make the Shire of Campaspe a great place to live, work and visit.

I also congratulate the Moama on Murray Resort which took out Business of the Year at the 2013 Powercor Australia Campaspe Murray Business of the Year Awards. This year’s awards attracted more than 50 applications across 11 categories.

The Campaspe Conversation Day hosted in five locations across the shire on Saturday, 22 March, again provided the community with an open forum to meet with councillors and staff. It was great opportunity to listen to the concerns of residents, and to gather ideas and feedback on a multitude of topics important to our shire’s future.

Council established the Farming Advisory Committee to provide advice on planning matters that have the potential to impact on the agricultural sector. Community members on this 15-person panel bring a wealth of knowledge, professional expertise and years of experience that will be invaluable in assisting Council to make decisions about the future use of rural land in the shire.

Council also established the NBN4Campaspe Community Leadership Group. The purpose of the group is to facilitate communication within the broader Campaspe community on the National Broadband Network (NBN) to ensure people are fully informed and ready to take full advantage of the opportunities afforded by high speed broadband when it arrives in Campaspe. It will also assist with Council’s advocacy efforts to achieve early roll out of NBN infrastructure across the municipality.


Planning for our futureA large part of Council’s work is to develop policies, plans and strategies to guide decision-making and provide robust frameworks and procedures for the delivery of more than 120 services to the community.Below are some of the key policies, plans and strategies initiated, progressed or completed in 2013/14:

g The analysis phase of Council’s comprehensive Rural Roads Review was completed. The purpose of the Rural Roads Review was to determine the best way of managing the shire’s road network into the future in light of community needs and funding availability. Council now has a robust and formalised system to determine the best mix and cost structure for the shire’s earth, gravel and bitumen roads.

Any changes to the road network will be progressively implemented over time in consultation with the community.

g A new Community Engagement Policy, based on the International Association for Public Participation’s spectrum of engagement: inform; consult; involve; collaborate; and empower, was adopted. This approach recognises that the engagement and consultation requirements will vary according to each initiative, allowing the best approach to be utilised in each case.

g The Municipal Public Health and Wellbeing Plan 2013/17 was adopted, providing a clear understanding of our challenges and how Council will work with other levels of government and community agencies to ensure a holistic approach to address the health and wellbeing needs of all residents.

g An independent review of the Campaspe Planning Scheme was conducted. The review found the scheme to provide a sound basis for decision-making on land use and development in the shire, fresh in its content but requiring structural change to align it with a new framework model. The review was a thorough analysis and involved extensive consultation with councillors, Council staff, regular users of the scheme and referral authorities.

g Work commenced on development of the Open Space Strategy to guide open space planning in the municipality for the next 10 years. The work involves consideration of the quality, quantity and accessibility of open spaces, their use and development as well as current and emerging areas of demand for open space.

g Community consultation started on the Campaspe: Our Future project, to develop a vision and priorities for the community for the next 20 years and beyond. The project is about creating an inspiring and sustainable future for the shire, a future that reflects the desires, priorities and preferences of our community.

g Objectives of the Campaspe Rural Living Land Use Review were endorsed. This review is one of a number of projects that will enhance Council’s framework for making planning decisions that seek to secure the productive future of agriculture in the region whilst addressing important aspirations for lower density living.

g A new Wayfinding Strategy and Style Guide were developed to improve the ability of pedestrians and cyclists to move easily and safely around the shire’s towns and improve accessibility to recreation facilities, tourist destinations and retail precincts.


Pictured below: Mayor Cr Ian Maddison, right, with local Kyabram resident, Bess Wood, at the Kyabram community garden opening.

MAYOR’S MESSAGE

Advocating for our communityLobbying the Federal and Victorian governments to secure the funding our community needs to build and improve infrastructure, facilities and services, continues to be a high priority of Council.Below are some of the key advocacy issues of 2013/14:

g A submission was lodged with the Federal Government’s Agricultural Competitiveness Review, in collaboration with a group of local agricultural producers, processors and peak-body representatives. As with the issue of water reform in the Murray Darling Basin, Council will continue its strong advocacy stance to protect the sector into the long-term future.

g Council again called upon the Victorian Government to adequately fund and resource the State Emergency Service to ensure it can effectively carry out its lead role in emergency situations and deliver education programs for the community. Council first raised the matter of the lack of resourcing of the State Emergency Service in its submission to the Review of the 2010/11 Flood Warnings and Response.

g A formal submission was lodged with the Victorian Parliament’s Rural and Regional Committee on the Inquiry into the Opportunities for People to Use Telecommuting and E-Business to Work Remotely in Rural and Regional Victoria. In this era of globalisation and the digital economy, it is imperative that rural and regional communities are seen as viable propositions for conducting business in a competitive market place.

g Council reaffirmed its commitment to advocate on behalf of the community for the early roll out of the National Broadband Network as part of this submission.

g A submission to the Electoral Boundaries Commission objecting to the 2012/13 Victorian State Electoral Boundaries Redivision was lodged. Council’s objection was based on the proposed abolition of the electorate of Rodney, which would see the northern section of Campaspe come under the electorate of Swan Hill and the southern section under the electorate of Seymour. Council was concerned that the proposed electoral boundary redistribution would significantly disadvantage constituents in the electorate of Rodney.

g A submission was lodged to the Victorian Government’s draft Loddon Mallee North Regional Growth Plan. This plan is one of eight regional growth plans being prepared across Victoria, the purpose of which is to assist in providing a broad direction for land use and development until 2041.

Campaspe Shire Council delivers its services, programs and events in partnership with the community, as together we strive to build a shire of which we are all extremely proud. A shire welcoming and supportive of all its citizens, a shire with vibrant, connected and strong communities, a shire with a strong and buoyant economy, a shire appreciative of its rich and diverse arts, culture and heritage, and a shire where we live in respectful harmony with our beautiful and unique natural environment. A shire we are proud to call our home.The success Council has achieved in 2013/14 is a credit to our Chief Executive Officer, the management group and staff, and their unwavering commitment to serving the community. It has been an honour and pleasure to serve the Campaspe community in my second term as Mayor. I sincerely thank all members of the Campaspe community for your support, partnership and friendship. I also thank my councillor colleagues for their hard work and ongoing contribution.

Cr Ian Maddison

Mayor



Campaspe Shire Council delivers its services, programs and events in partnership with the community, as together we strive to build a shire of which we are all extremely proud.

OUR COUNCIL

Council sets the strategic directions of the organisation and oversees its performance. On 27 October 2012, the Campaspe community elected the current Council for a four-year term, with nine Councillors representing five wards. Each Councillor is assigned one service delivery area of Council for the purpose of raising awareness, and promoting discussion of relevant issues within the organisation and in the community.

g CR EMMA BRADBURYEchuca Ward

First elected: 2012Service area: Community CareMobile: 0429 905 017Email: [email protected] committees: River Users & River Watch

Cr Emma Bradbury grew up in regional Queensland from the outback to the islands, developing a deep affinity with the land, respect for the connection between the land and its people, and a passion for supporting rural and regional living. Cr Bradbury is a successful businesswoman, having spent many years as the co-founder, director and business manager of a chain of industrial maintenance, logistics and engineering businesses servicing the central Queensland mining sector.Since moving to Victoria in 2006, Cr Bradbury has worked in senior management community services and education, and has consulted in business development. She is a resident of Echuca.Now Acting Chief Executive Officer of the Murray Darling Association, Cr Bradbury holds a Bachelor of Social Science and Graduate Diploma in Education. Her community work has included involvement with the Australian Institute of Welfare and Community Workers and she is on the Board of Campaspe Cohuna Youth Connections.Outside of her professional commitments, Cr Bradbury’s interests include cooking and writing. She is an enthusiastic motorcycle rider and is of course very close to her wonderful, close-knit but far-flung family.

g CR ROCCHINA D’ANGELO

Kyabram Deakin Ward

First elected: September 2013 (2012 election count-back)Service area: CommercialMobile: 0407 525 186Email: [email protected] committees: Echuca & District Livestock Exchange

Born in Foggia, Italy, Cr Rocchina D’Angelo migrated to Australia with her family as a 12-year-old in 1963. She has lived in the Kyabram area since this time, attending Kyvalley and Merrigum schools. Along with her three brothers and two sisters, she helped her parents who were share farmers growing tomatoes.With husband, John, Cr D’Angelo established the family business JN & R Engineering in 1973. Today it employs more than 20 staff, including their three sons and one daughter-in-law.Cr D’Angelo is active in supporting the local Italian community including providing interpreting services and taking those in need to medical appointments. She has been involved in a number of community groups including the Bocce Club, senior citizens’ centre, Kyabram Development Committee and Sherridan.A grandmother of eight, Cr D’Angelo describes herself as a practical person, hardworking, and with strong moral and work ethics. Her interests include travelling, socialising, working with the community and cooking.


g CR CAROL HOWELLKyabram Deakin Ward

First elected: 2008Re-elected: 2012Service area: Community Places & ProgramsMobile: 0427 561 573Email: [email protected] committees: Nil

A self-proclaimed “proud Kyabramite”, Cr Carol Howell was born in Melbourne and moved to Kyabram when she was nine. She attended Haslem Street State School, Kyabram High School and Girton Girls Grammar School, later gaining her VCE as a mature-age student.Cr Howell and her husband Russ owned Howell’s Fabric and Wool Shop in Kyabram until their retirement in 2005.Her family - son, Peter, daughter Renee and four grandchildren - is her passion. She also loves reading, travelling, sewing and gardening when she gets time away from her busy councillor and community commitments.Cr Howell’s community affiliations over the years have included membership on the Kyabram Chamber of Commerce, Kyabram Development Committee and the KyBuys Committee. She has been involved in a variety of events including chairing the Voice of the People Festival in 2001, three Fauna Food Fiestas and two Kyabram town balls. She is currently a member of the RV and Country Music Committee and the Enabling Committee for a Kyabram Community Bank.

g CR PAUL JARMANEchuca Ward

First elected: 2012Service area: Economic Development & TourismMobile: 0407 825 133Email: [email protected] committees: Audit Committee

Born in Melbourne, Cr Paul Jarman moved with his family to Johnson Street, Rochester when just a baby. At 14, his family relocated to a dairy farm at Ballendella.Educated at St Joseph’s Primary School in Rochester and Echuca Technical College, it was Cr Jarman’s formal training - a four-year diploma in cookery and hotel management at Geelong Institute - that launched his very interesting and successful career in hospitality.Following his first job at Echuca Hospital, he worked in Melbourne then spent two years in London and Europe. After extensive travel, he returned to Melbourne working as head chef in several restaurants, then moved to Echuca, where he and a partner redeveloped the former Riverside Restaurant into Oscar W’s. He also established the OPT nightclub and restaurant, and redeveloped the Star Hotel.Cr Jarman lives in Echuca with wife Gerardine. They have three children - Alinta, Louis and Jack - and one grandchild, Jobe.In addition to his passions for travel and hospitality, Cr Jarman’s other interests include sailing, water skiing and camping. He is involved in a number of community organisations including the Echuca Junior Football Club.


g CR IAN MADDISON Echuca Ward

First elected: 2005 (Western Ward)Re-elected 2012 Mayor: 2012, 2013Service area: GovernanceMobile: 0428 505 053Email: [email protected] committees: Murray River

Group of Councils, LoddonCampaspe Councils, Hume GV Sub-region Councils, Campaspe Murray Partnership, Municipal Association of Victoria, Port of Echuca Precinct Strategic Advisory Committee, Campaspe Safety Committee Cr Ian Maddison grew up on a dairy farm in Stoney Creek, south west Gippsland. He attended Grassy Spur Primary School and Leongatha High School, after which he undertook a traineeship with Elders and worked for five years in Melbourne, Bendigo and Portland as a livestock agent.After a five-year stint with the National Parks service working at Portland and Wangaratta, Cr Maddison moved to Lockington in 1980 and operated a dairy farm for 10 years. In 1990, he went back to work as a livestock agent and, in 2002, started his own business Maddison Livestock & Property.Cr Maddison now lives in Lockington with his wife Kathi. They have had five children and seven grandchildren. Cr Maddison first joined Council in 2005. While he did not stand at the 2008 elections, he was re-elected in 2012. His involvement with community groups over the years has included being president of the Lockington Bamawm Football Club and Lockington Apex Action Club.Cr Maddison’s passions are family, the community and sport of all kinds.

g CR NEIL PANKHURSTKyabram Deakin Ward

First elected: 2008Re-elected: 2012Mayor: 2010Deputy Mayor: 2009Service area: RoadsMobile: 0428 507 166Email: [email protected] committees: Nil

Cr Neil Pankhurst has been a local of Campaspe all his life. Raised on a 130ha beef cattle farm in Tongala, Cr Pankhurst went to primary school in Tongala, secondary school in Echuca and completed his senior years at The Scots School in Albury.Cr Pankhurst is married to Tamar and they have two children - Emma and Michael - both at university.Having completed a Diploma in Farm Management at Glenormiston Agricultural College at Noorat in south western Victoria, Cr Pankhurst has continued his family’s farming tradition, now running his own 200ha dairy cattle farm at Tongala.Cr Pankhurst has been a long-time community volunteer, having contributed to a number of local, regional and state groups including the Country Fire Authority, Tongala Bowls Club, Tongala Primary School, Tongala Financial Services (community bank), Tongala RSL, The Scots School Albury and Goulburn-Murray Water.Although a busy farmer, in his leisure time, Cr Pankhurst follows his passions of aviation, motor sport, Richmond Football Club and a good glass of wine!


g CR GREG TOLLWestern Ward

First elected: 1997Re-elected: 2000, 2003, 2008, 2012Mayor: 1998Deputy Mayor: 2012, 2013Service area: Environment & WasteMobile: 0429 871 252Email: [email protected]

Council committees: Murray Darling Association (Region 2), GV Regional Waste Management Group Cr Greg Toll has lived in the Gunbower area all his life. Educated at Gunbower Primary School and Cohuna High School, Cr Toll has been involved in a range of agricultural pursuits since he left school. He currently runs a mixed farming property with his brother, producing prime lamb, stud sheep and hay.Cr Toll and his wife, Margaret, have two children - Andrew and Kate - and one grandchild, Ella.Cr Toll has many community affiliations, including the Gunbower Preschool which he helped establish and Gunbower Landcare Group. He is a life member of the Gunbower Race Club, Gunbower Country Fire Authority and Wilshire Horn Association, and is the present chair of Region 2 Murray Darling Association and the National President of the Murray Darling Association.Cr Toll enjoys all sports and is passionate about growing high quality stud sheep.

g CR ADRIAN WESTONWaranga Ward

First elected: 2012Service area: Planning, Building & Local LawsMobile: 0428 320 464Email: [email protected] committees: Nil

Cr Adrian Weston grew up and was educated in both Rushworth and Melbourne. He moved back to Rushworth in 1988 with his family and, since then, has been running a 230ha mixed use-farm, dryland and irrigation.Cr Weston and partner, Simone, have two adult children - Daniel and Redmond.Cr Weston’s interests include the natural environment, especially ornithology (a branch of zoology that deals with birds), politics and numerous outdoor activities including fishing, hunting, motorcycle riding, vegetable gardening, reading and family.

g CR LEIGH WILSONRochester Ward

First elected: 2012Service area: Flood Recovery & Emergency ManagementMobile: 0429 842 111Email: [email protected] committees: Municipal Emergency Management Planning Committee, Goulburn Broken Greenhouse Alliance, Audit Committee

Born and raised in Rochester, Cr Leigh Wilson has strong family ties in the area with three generations living in the Rochester township and surrounding region.After completing his education in Rochester and Echuca, Cr Wilson moved to Melbourne for two years working as a draftsman in engineering and manufacturing. He then returned to Echuca and continued his drafting career for 10 years with local firms.While managing a licensed cafe in Rochester for seven years, he completed a Diploma of Building Design and Technology at Bendigo TAFE and, for the past three years, has been running his own drafting business - Wilplan - in Rochester.Cr Wilson and wife Samantha have two children - Brooke, 21, studying at LaTrobe University and Liam, 16, who attends school in Rochester.A long-time community volunteer, Cr Wilson was a former member of the Rochester Recreation Reserve Board of Trustees and Bendigo Bank Steering Committee, and is currently involved with the Committee for Rochester, Rochester Chamber of Commerce and Industry, and its sub-committee for the Rochester Market.His passion for early Volkswagens, especially type 1s, has seen him own four beetles, the oldest being his current 1958 model.


CEO’S MESSAGEThe 2013/14 year was another of outstanding achievement for Campaspe Shire Council as we pursue our Mission to “improve the lives of people in our community”. In particular it was pleasing to achieve excellent results in the Local Government Community Satisfaction Survey along with our continued efforts to build our organisation’s capabilities to serve our community.

Our performanceWe were particularly pleased with the results of the 2014 Community Satisfaction Survey of Local Government. Conducted between January and March this year by the Victorian Government on behalf of participating councils, the independent survey involved interviewing 400 people aged 18 years and over on their perceptions of how Campaspe Shire Council is performing on a range of key service delivery areas and governance matters.Campaspe achieved a strong result in its overall performance ratings and in the other four key areas of measurement including community consultation, advocacy, customer service and overall council direction, compared with 2013.These results are testament to the dedication, hard work and professionalism of our staff who deliver more than 120 services to the community every day. These results show that Campaspe outperformed group averages for other large rural shires (by up to 3 to 4 index points on core measures) and is in line with statewide averages. We are striving to build on this position as we continue to focus on service and efficiency through building our organisation’s capabilities.

Serving our communityA new customer charter setting new standards for the delivery of Council’s compliance services was put in place. Compliance 11, as it is known, is about providing a customer-focused approach to Council’s compliance responsibilities which include the enforcement areas of building, environmental health, local laws and statutory planning. As these areas of service delivery affect all Campaspe residents and businesses, we consulted widely in putting together the charter. This will help ensure there is clarity about Council’s approach to dealing with the community on compliance matters.As part of our commitment to providing a more sustainable waste management system for a better future, new contracts were awarded for Council’s waste and recycling collection services. The key plank of the new contracts was the introduction of a new standard 80-litre size waste bin and expansion of the recycling and optional garden organics collection services. The new system gave people the power to choose from waste, recycling and garden organics bin options that best suit their waste needs and budget. Residents and businesses embraced the new suite of waste collection services, which will go a long way towards reducing the amount of waste going to landfill and funds being spent on landfill disposal costs.The Campaspe Community Children’s Centre and Tongala Kindergarten completed the National Quality Rating and Assessment process. Both services achieved the national quality standard, with the Tongala Kindergarten exceeding the national quality standard. All Council-managed early childhood education services now have completed their National Quality Rating and Assessment process.


Pictured below: Chief Executive Officer, Keith Baillie was one of the guests who read their favourite children’s book from a reading chair as part of the Campaspe Regional Library’s first birthday celebrations.

Strong financial managementThe 2013/14 Budget revenue of $78 million continued to build on Council’s strong financial position, with Council achieving its lowest debt position since local government amalgamations in 1994, no new borrowings and a continued commitment to renewing assets. A small favourable cash result of $218,000 was achieved at year end.

Council delivered its largest ever Capital Works Program, with more than 80 projects valued at $33.8 million on the ground (compared to $12.6 million in 2008/09). This is an outstanding effort and exceeded the target of $30.8 million set in the budget. The stronger than forecast output was achieved despite a lower requirement for National Disaster Relief funded flood recovery works compared with that forecast in the budget.

Council also focused on its timely completion of previously funded projects, resulting in a reduction of cash reserves and timely completion of more projects. Council had only six projects carried over more than once valued at $300,000 into 2014/15; a number of years ago the number was more than 30.

An independent assessment of Council’s financial principles, position and performance confirmed that Council is being managed to a financially-sustainable position and is the envy of many regional councils.

The catalyst for the Strategic Financial Assessment was feedback in Council’s Customer Satisfaction Survey results and public submissions received as part of the 2013-14 budget process highlighting ratepayer affordability concerns. Additionally, Council was facing several key pressures including funding of the defined benefits superannuation shortfalls and the asset renewal backlog.

The Strategic Financial Assessment involved a robust analysis of Council’s key strategic planning and financial documents, coupled with an extensive community engagement program. We are extremely pleased that the final report confirmed that Council’s financial performance is excellent and Campaspe is a leading municipality when benchmarked against like large rural councils.

Building a great shireOne of Council’s proudest occasions during the year was the official opening on 14 December of the new Port of Echuca Discovery Centre by Deputy Premier, The Hon Peter Ryan. Thousands of local residents and visitors enjoyed the free community celebration that formed part of the official opening.

The day was the culmination of the three-year $15+ million Port of Echuca revitalisation project funded by the Federal Government, Victorian Government and Campaspe Shire Council. Works included the full restoration of the heritage-listed Echuca wharf, construction of three red gum walkways linking the wharf structure, the discovery centre and other works within the port precinct.

The project has already received a number of significant awards which is testament to the quality and innovation of the new facilities and infrastructure. JAWS Architects, architects of the Port of Echuca Discovery Centre, was a joint winner of the Public Buildings - New category in the 2014 Victorian Architecture Awards. Conducted by the Australian Institute of Architects - Victorian Chapter, these awards recognise excellence and innovation in design, and are conferred by a rigorous system of peer review. The $6.67 million refurbishment of the Echuca wharf won the Sustainable Project Award at the Australian Institute of Project Management, Victorian Chapter.

It was wonderful to receive further recognition of the quality of our facilities with the newly-opened $5.1 million Campaspe Regional Library winning the Community Services and/or Development Award at the Australian Institute of Project Management, Victorian Chapter.

The 2013/14 year also saw the completion of more than $18 million worth of flood recovery works, bringing to a conclusion the massive clean-up, repair and rebuilding program resulting from the floods of late 2010 and early 2011. The works program has involved the rehabilitation and reconstruction of more than 800 kilometres of roads, 50 bridges, 200 culverts, dozens of community buildings and many other assets including footpaths, retaining walls, drainage infrastructure, and sporting and recreation facilities.

Eight projects worth more than $1.7 million were delivered for the town of Kyabram to improve leisure opportunities, beautify streetscapes and renew local infrastructure such as roads, footpaths and toilet amenities.


A progressive organisationCouncil further progressed the organisational restructure which started in May 2013. The transition from four divisions down to three - Resources, People and Place, and Prosperity - will result in more focussed service and infrastructure delivery based on key directions of the council plan, and honing Council’s resources to achieve the needs of the community now and into the future.

Council is committed to developing the management and leadership skills of its executive and management team. This leadership group undertook five days of training throughout the year which included managing occupational, health and safety (OH&S) outcomes, and affirming organisational values. With an increased emphasis on accountability, in the area of OH&S, a daily indicator of days lost due to injury is now shown on the staff intranet.

As part of Council’s Information and Communications Technology (ICT) Strategy adopted in 2012, a contract valued at $3.017 million was awarded to TechnologyOne, Australia’s largest publicly listed software company. Council has purchased the OneCouncil system, which will see all key IT systems, including customer management, planning, building, finance, billing, community grants, payroll, human resources and many others, replaced with an integrated system. This system forms the basis of the technology-led business transformation, aimed at lifting service and efficiency. Extensive staff training will be needed to ensure a smooth transition for the community and staff.

While internal communication can be challenging in a diverse organisation where staff work from a multitude of locations across the geographic span of the shire, communication remained a top priority for Council’s management team. Two all-staff sessions were conducted during the year to provide an open forum for discussion and report on organisational projects and progress.

The staff of Campaspe Shire Council are passionate about their work and dedicated to serving the community to the best of their ability. On behalf of our leadership group, I thank you all and look forward to another exciting year of achievement and positive outcomes for the community of Campaspe.

Keith Baillie

Chief Executive Officer



The staff of Campaspe Shire Council are passionate about their work and dedicated to serving the community to the best of their ability.

THE ORGANISATION

g Keith Baillie, Chief Executive Officer

Bachelor of Economics

Master of Business Administration (Local Government)Fellow, CPA AustraliaGraduate, Australian Institute of Company Directors Fellow Local Government Professionals (LGPro)

Commenced: 29 January 2007Functions: Communications & Civic Events, Organisation Development, Grants Management

g Paul McKenzie, People & Place General Manager

Graduate Diploma of Management

Certificate of Management

Graduate Diploma of Education - Special Needs

Diploma of Teaching

Commenced: 17 April 2000

Functions: Environmental Health, Public Health, Local Laws, Waste & Environment Services, Statutory Land Use Planning, Building Control, Aged & Disability Services, Family Services, Library Services, Recreation, Arts & Culture, Emergency Management, Port of Echuca Discovery Centre

g Anne Howard, Prosperity General Manager

Masters of Infrastructure (Engineering and Management)

Bachelor of Engineering (Civil Engineering)Commenced: 1 October 2001Functions: Corporate Planning, Strategic

Land Use Planning, Community Planning, Economic Development, Tourism & Major Events Development, Strategic Initiatives Delivery, Strategic Asset Management, Program Management Office, Project Management

g Allan Cochrane, Resources General Manager

Bachelor of Commerce

CPACommenced: 17 January 2011Functions: Property Management, Financial Services, Information & Communications Technology,

Governance & Compliance, Commercial Operations, Procurement

Executive Management Team Council is the governing body that appoints the Chief Executive Officer (CEO). The CEO is responsible for the day-to-day management of Council operations in accordance with the strategic directions of the council plan. Three general managers and the CEO form the Executive Management Group (EMG). The EMG leads the organisation and meets weekly to oversee and manage Council operations. The EMG also provides Council with information and advice that supports strategic and effective decision-making. The EMG is supported by a team of departmental managers.


The Management Group includes the Executive Management Group and all department managers. Members of the Management Group bring together an extensive knowledge base, specialised expertise and professional skills to deliver Council services, programs and activities that support the strategic directions set by the Council.

ORGANISATION STRUCTURE

Communications & Public Affairs Manager

Organisational Development Manager

Keith Baillie

g Chief Executive officer

g Governance Managerg Finance Managerg ICT Program Directorg Procurement Managerg Property Managerg Commercial Operations Manager

g Economic Development Managerg Strategic Planning Managerg Port Project Managerg Strategic Asset Managerg Strategic Initiatives Manager

g Public Environments Managerg Statutory Services Managerg Community Care Managerg Recreation Managerg Port of Echuca Manager

g Road Services Managerg Construction Manager

Anne Howard

g Prosperity General Manager

Paul McKenzie

g People & Place General Manager

Infrastructure Delivery Manager

Allan Cochrane

g Resources General Manager


SUSTAINABILITY REPORTThis sustainability report addresses the three key areas recognised internationally as crucial to responsible and sustainable development in a rapidly-changing world: the natural environment; social environment; and economic environment.

Natural EnvironmentEducation and behavioural change programWICKED - Waste In Campaspe - Know, Educate, Do - is designed to engage the community to help reduce waste to landfill, improve environmental outcomes and save money in waste disposal costs.Through the program, staff work with local schools and businesses to reduce waste, reduce litter and conserve resources. The program was developed as part of Council’s commitment to educate the community and encourage behaviour change for a more sustainable future. WICKED focuses on reducing the amount of waste sent to landfill by:

g increasing recycling ratesg diverting organics from the waste stream through composting

and other methodsg avoiding waste, including decreasing food waste.

The program also focuses on reducing litter and illegal dumping, improving stormwater quality, protecting and enhancing biodiversity, increasing water and energy-use efficiency, and reducing greenhouse gas emissions. Some activities conducted during the year included:

g launching the program to the communityg conducting a WICKED waste and environment community

surveyg delivering education initiatives through Council’s new kerbside

waste and recycling servicesg conducting the WICKED Waste Schools Competition with the

theme “Reducing Waste to Landfill”g running compost DIY workshops to increase understanding of

the different methods of composting and their benefitsg delivering presentations to children at Rochester and

Lockington kindergartens on “What bin does this go in?.

Waste and recycling servicesThe average amount of waste generated per household increased by 0.32 kilograms on the previous year. The amount of recycling materials collected increased by 43 tonnes and the number of households taking up the garden organics recycling service increased by 203. These figures show that Campaspe residents are doing more to divert waste to landfill by increasing their recycling efforts.

Waste & recycling services

2010/11 2011/12 2012/13 2014/15

Number of weekly waste collection services

17,215 17,405 18,959 19,147

Average weekly household waste generation (kg)

9.8 10.9 9.8 10.12

Annual garbage collected kerbside (tonnes)

9,106 9,252 8,914 9,210

Number of kerbside recycling services

16,836 17,099 17,263 17,511

Annual recyclables collected kerbside (tonnes, excluding contamination)

3,876 4,200 4,139 4,182

Number fortnightly green waste collection services

2,100 2,378 2,728 2,931


Waste StrategyA number of actions were delivered as part of council’s five-year Waste Strategy including:g development and implementation of an education and

behavioural change program known as WICKED to increase the recovery of materials and reduce waste to landfill

g rehabilitation of the Lockington landfillg introduction of new waste, recycling and garden organics bin

size options and collection frequencies to maximise material recovery, and reduce costs and waste to landfill

g introduction of an expanded kerbside recycling service g development of contracts to allow local materials recovery

facilities to be considered and introduced for recovering recyclables (not sure what this means)

g continued advocacy to Parks Victoria for it to consider new ways to address the issue of campers’ waste

g introduction of a new service at transfer stations to provide for the safe disposal, recycling and processing of all fluorescent lighting using a unique piece of equipment called a Tube Terminator.

The Green TeamThe “Green Team” is an internal staff group working to improve environmental sustainability within the organisation. Projects undertaken during the year included:g installation of 13 Dyson hand dryers across service centres and

the regional library thereby eliminating the need for paper towel, and resulting in cost and efficiency improvements across the organisation

g introduction of dual-bin system (waste and recycling) in staff rooms including education and signage

g hosting of a Clean Up Australia Day event which involved cleaning up a large public space adjacent to the municipal buildings.

The focus of the team during the next 12 months is to reduce the energy use of the organisation.

Watts Working Better programFunding was secured for the installation of 1,833 energy-efficient street lights across the shire as part of a $2.95 million Watts Working Better program funded by nine participating councils and the federal government. All councils involved in the project will collectively reduce greenhouse emissions by 93,100 tonnes over 20 years and save significant costs to ratepayers for the provision of street lighting.The project will start in the Shire of Campaspe in August 2014.

Rural tree schemeThis scheme provides rural landowners with assistance to increase the number of native plants on their property. The planting of trees, shrubs and ground cover species, particularly indigenous species, provides multiple benefits to the landowner, broader community and catchment.The scheme was fully subscribed in 2013/14 with 66 landholders planting 8,490 plants. Nineteen landholders with properties of less than 5ha planted 950 plants. The remaining 47 landholders planted 7,540 plants.

Pictured above: Waste Environment Coordinator Brian Holmes with 20,000 new bins ready for roll-out to residents.Pictured below: Staff members, Jenny Williams, Georgina Riddington and Kirsty Beattie cleaning up for Clean Up Australia Day.


Social EnvironmentCampaspe: Our futureCouncil embarked on a major project to develop Campaspe: Our Future, a community plan for the next 20 years and beyond. Community consultation was completed in June with a number of workshops and pop-up activities held throughout the shire to gather community input. A draft document will be released in mid-2014 seeking further comment by the community ahead of the final draft version being considered for adoption by Council.

Sustainable communitiesThe Gunbower Landcare Group won the Keep Australia Beautiful, Tidy Town Sustainable Communities award for its project Increasing Awareness of Hollow Logs and Habitat Trees in the Protection in the Environment category. A number of groups were state finalists in the 2013 award program including:

g Tidy Town of the Year - Shire of Campaspeg St Augustine’s College for its projects:

- Active Schools category - Recycling Rewards Slash Waste - Resource Recovery and Waste Management category - Resource Recovery at Our School

g Litter Prevention category - Supporting Clean Up Australia Day (Shire of Campaspe)

g Resource Recovery Waste Management category - Kyabram organics trial (Shire of Campaspe)

Council continued to support Landcare activities throughout the year including National Tree Day, Clean Up Australia Day, Keep Australia Beautiful, various Community Grants projects (including Squirrel Gliders Project), Landcare Week, official opening of the Ern Miles Reserve and tree planting days.

Community places of prideThe Kyabram Memorial Gardens in Allan Street is a key “Place of Pride” of the Kyabram community, holding the Kyabram war memorial, band rotunda, park facilities, and well-established trees and gardens. With the base concept plan for the site approved in 2013, further work this year saw approval of a new toilet block added to the plan with progress made on securing final funding from the state government for the project.

The final concept plan for the open space in Tongala central was endorsed by Council and funding documentation finalised. The Tongala proposal will see new pathways, garden beds, a barbecue shelter and outdoor furniture installed through the park, with upgrades made to the existing toilet block and sound shell.

The revitalisation of central Stanhope has been a long-standing vision of the local community so Council was pleased to endorse the Stanhope Hub revitalisation project. This project will involve development of new toilet facilities and arts display on Brudenell Street along with streetscape beautification works down Birdwood Avenue. The arts display structure is intended to be a new and novel addition to central Stanhope, encouraging passers-by to stop off and explore the town. Council has part-funded the initiative and will be seeking to secure the balance through grant opportunities.

The above initiatives were progressed through the Community Places Project process, which has a dedicated officer to help communities bring new initiatives on Council land to fruition.

Community grantsA total of $182,000 was gifted to community groups and organisations to undertake projects and events through the Community Grants Program, in the categories of recreation, events, culture and heritage, and assistance. Since this program commenced in 2008, over $1.3 million has been invested in more than 530 initiatives to support community groups in delivering events and special projects that contribute to making Campaspe a more vibrant place and strengthen community connections.


Pictured below: Students from St Augustine’s College receive two awards for their school in the Keep Australia Beautiful program.

Economic EnvironmentAdvocating for better telecommunicationsCouncil continued to strongly advocate for improved telecommunications infrastructure; in particular, the need for high speed broadband for local businesses and communities as part of the roll out of the National Broadband Network (NBN). The wide range of initiatives and activities delivered during the year are outlined below.

g In September 2013, Council established a local community group to help with engaging the community on the NBN issue; in particular, by helping Council and the iLoddonMallee regional advocacy working group to understand the connectivity issues experienced by many businesses and households in Campaspe. Known as the Connect Campaspe Community Leadership Group, the group carried out a major community and business survey to capture some baseline data and feedback on key telecommunications issues. This information will help build a business case for why Campaspe should be prioritised for high speed broadband.

g Council contributed funding towards the development of a local digital strategy, the purpose of which is to identify opportunities for local communities and businesses for improved participation in the digital economy. A digital strategy will assist in identifying existing weaknesses in local digital usage and make recommendations on a range of digital initiatives to bring about improvements, primarily in the economic and social spheres.

g Digital strategies are not only essential in assisting communities in the ongoing transition to a digital economy, they are also integral in being able to demonstrate the need for government investment in improved telecommunications infrastructure, such as the NBN.

g Council supported improved mobile telephone connectivity by participating in region-wide mobile black spot testing. The data received will provide evidence on which parts of the shire have poor mobile phone reception. The findings will be forwarded to the Australian Government and telecommunication providers to help build a case for funding for infrastructure upgrades.

g Council continued to advocate to government and other decision-makers on this issue, including:

- submissions and presentations to the Victorian Government on the ‘Inquiry into Telecommuting and e-business in Rural and Regional Victoria’

- representing the region by meeting with key politicians in Canberra

- maintaining communication with local politicians and

decision-makers on telecommunications issues affecting the shire.

Advocating on the NBN and telecommunications infrastructure will remain a key focus area for Council during 2014/15.

Asset transitionCouncil continued to review its assets to ensure they are sustainable and their usage is maximised by the community. This often involves a transition of ownership to community groups who benefit from direct control of community facilities while at the same time resulting in a reduction in costs to ratepayers. In 2013/14, the Tongala bowls facility was transitioned to the Tongala Bowls Club and the historic Rochester Common School to the Rochester Historical and Pioneer Society.

Statistics

General Energy 2010/11 2011/12 2012/13 2013/14

Energy consumption (GJ)

11,200 11,380 10,478 11,167

Energy greenhouse gas emissions (tonnes CO2)

3,047 3,054 3,900 4,125

Street Lighting 2010/11 2011/12 2012/13 2013/14

Energy consumption (GJ)

5,550 4,200 4,139 4,182

Greenhouse gas emissions (tonnes CO2)

2,112 2,103 2,066 2,035

Fuel 2010/11 2011/12 2012/13 2013/14

Litres of diesel NA 717,248 784,643 778,712Litres of petrol NA 424,225 314,629 185,230Litres of autogas NA 29,749 19,909 15,939


Pictured above: Cr Paul Jarman and Strategic Initiatives Manager, Daniel Strachan, present to the Rural and Regional Committee’s inquiry into the Opportunities for People to Use Telecommuting and e-Business to Work Remotely in Rural and Regional Victoria.

g PROGRESS ON COUNCIL PLAN ACTIONSCouncil Plan Strategies Actions Status

Industry and businesses are attracted to invest, grow and diversity

Identify opportunities and barriers to economic growth for the shire of campaspe through development of a campaspe economic development strategySupport and promote participation in training and development initiatives for local businesses by facilitating business workshops across the shire

Our primary and secondary agricultural sectors are strong and viable

Partner with government and non-government organisations to hold a food summit in campaspe

Progress initiatives recommended in the innovative farming implementation plan

Campaspe is a desired tourist destination

Partner with echuca moama and district tourism and murray shire to support implementation of the regional strategic marketing plan

Campaspe attracts and retains new residents

Participate in the regional living expo promoting the municipality to prospective new residents

PROSPERITYThe Shire of Campaspe is committed to supporting and promoting a vibrant and thriving economy. Through strong support and partnership with businesses in areas such as tourism, building development, agriculture, food processing and manufacture, Council seeks to assist and drive a prosperous environment.

Same Up Down

Completed In progress, continuing 2014/15 On hold, for review

g SERVICES AND PROGRAMS DELIVERED WITHIN THIS ENVIRONMENT:

Economic development: business support, referrals and workshops, industrial land sales and promotion, investment attraction

Tourism and major events development:

tourism services, major event support

Economic infrastructure: aerodromeCommercial businesses: Echuca Paddlesteamers,

caravan parks, Echuca & District Livestock Exchange

g NET COSTS$8,801,000 Revenue received$2,678,000 Employee costs$5,222,000 Materials & services$559,000 Depreciation$149,000 Loans

g STATISTICS (compared with 2012/13)

5 business workshops hosted

event evaluations completed at 12 events

29,419 cattle sold through the Echuca & District Livestock Exchange2,740 horses hold through the Echuca & District Livestock Exchange

27,949 visitors to the Echuca Holiday Park

2 industrial lots sold


g HIGHLIGHTS

g Food sector supportCouncil recognises the importance of the agricultural and food processing sector to the local and regional economies, and actively seeks opportunities to advocate on particular issues of importance to the sector such as water reform, anti-dumping regulations and regional advocacy for SPC Ardmona.

In early 2014, Council lodged a formal submission to the federal government’s Agricultural Competitiveness Review, a wide-reaching review of issues affecting innovation, productivity, investment, employment and trade in the agriculture sector.

Council’s submission was supported by the contribution of views and expertise of local producers, processors and peak-body representatives. Council intends to provide further submissions to the review as it progresses.

g State electoral boundaries reviewIn late 2013, the local community identified the Electoral Boundaries Review as a key issue affecting the representation of local communities, particularly with regard to the abolition of the existing state seat of Rodney and redistribution of local communities to adjoining state seats. The community considered that this could have implications for the strength of local representation in the Victorian Parliament.

Council responded through the preparation of a formal submission and direct presentation to the Electoral Boundaries Commission, objecting on the grounds that the proposal would potentially dilute the capacity for local concerns and rural issues to be heard in the Victorian Parliament. Council also participated in an awareness campaign to help drive local support for the retention of the seat of Rodney.

While it has been determined that the proposal to abolish the seat of Rodney will proceed, Council will continue to work to bring prominence to key local issues with state representatives when the new electoral boundaries come into effect.

g Kyabram Business ParkThis project will develop the balance of Council’s freehold land on the corner of Albion and Graham Road, Kyabram. Council will subdivide the land and construct a range of fully-serviced lots to provide opportunities for business development and employment in Kyabram.

The project is funded by Council and the state government, with the majority funded through the Local Government Infrastructure Program.

The proposed layout has 15 lots of varying sizes plus a drainage reserve to cater for a variety of business uses. Providing affordable land for businesses is a key driver for business development within the shire. The contract for planning and design of the Kyabram Business Park was awarded to Planright (Tatura) and Northern Constructions.

g Economic Development StrategyCouncil started work on its Economic Development Strategy 2014/19, an important strategy that will set the vision for economic development in the Shire of Campaspe. The purpose of the strategy is to set a clear direction for fostering economic prosperity in the shire, and provide a framework for decision-making that supports and encourages economic growth. The strategy will assist other levels of government, the private sector and community members to better understand the economic environment in the Shire of Campaspe.

The strategy will include:

g a clearly articulated economic development vision g an evidence-based outline of the current environment including

the performance drivers, trends and issuesg clear articulation of Council’s desired future in relation to the

local and regional economiesg demonstration of genuine consultation and engagement aimed

at involving industry and community stakeholdersg an achievable implementation plan that articulates Council’s

role, responsibility and resourcesg benchmarking of economic development against other

comparative councils to assess resourcing, delivery approach, models and the like.


Pictured above: At the Regional Victoria Living Expo, sports personality Gary Lyon, Tourism Development Officer Chris Morgan, Cr Carol Howell and Deputy Premier Peter Ryan.

g Stronger tourism relationshipsCouncil continued to work closely with both Echuca Moama Tourism and the Murray Regional Tourism Board to increase visitation and expenditure across the region. Council’s financial contribution to both these organisations was increased to support their efforts both in visitor attraction and visitor servicing.

g Commercial businessesg Echuca and District Livestock Exchange Cattle throughput at the livestock exchange increased by 4.28 per cent in 2013/14 along with a good increase in horse throughput of 38.72 per cent. Horse numbers were bolstered with the addition of a second horse agent operating with a weekly horse sale now on the calendar.

As a result of customer feedback, improvements were made to the truck wash facility which contributed to an increase in revenue of 17 per cent over the previous year.

A one-off special sale for donkeys and camels held on a Saturday in November attracted large crowds, provided an interesting sale and positive media interest.

Leasing land around the Livestock Exchange and aerodrome was again successful in reducing the costs associated with vegetation control.

A commercial review of the Livestock Exchange was undertaken with a draft document developed. The final review is to be considered by Council in the second half of 2014.

g Echuca Holiday ParkThe Echuca Holiday Park was again popular with 27,949 visitors staying at the park in 2013/14.

The Echuca Holiday Park was named in three award categories for Turu (a website promoting holiday parks across Australia) with the following nominations:

g Victoria’s second favourite holiday parkg Victoria’s third favourite in the “best for camping” categoryg fourth in Victoria in the “best for boats” category.

The park achieved fourth place in Victoria for the Readers Choice Holidays with Kids award for 2013 (Top Ten Awards for Best Holidays Parks in Victoria) and a finalist in the 2014 Inland Tourism Awards.

These results are a reflection of Council’s continued investment in the park including the newly-constructed central amenities facility and recreation room.

g Echuca PaddlesteamersEchuca Paddlesteamers, owned by Campaspe Shire Council, operates paddlesteamers Pevensey and Alexander Arbuthnot. The goal of Echuca Paddlesteamers is to celebrate Echuca’s historic past as Australia’s busiest and largest inland river port, by providing a unique cruising experience and assisting in the ongoing development of the region’s vibrant tourism industry.

Echuca Paddlesteamers achieved strong passenger numbers and related on-board sales during the year.

Together with the opening of the new Port of Echuca Discovery Centre, Echuca Paddlesteamers strengthened its unique historical and cultural tourism focus with improvements in brand position and experience for passengers on-board.

Continued popularity of the Wharf to Winery tours and new partnerships were a highlight of the year. Charter performance was steady with significant improvements made to on-board capability for this market segment.

Improved point-of-sale ticketing options were also developed through the year, providing flexibility with high volume groups.

Major maintenance was undertaken on both boats to ensure ongoing operational safety and compliance.

g Attracting new residentsCampaspe Shire Council joined 37 other rural councils in the Rural Victoria Living Expo, showcasing what regional Victoria has to offer. Council’s stand received a high number of enquiries on topics such as affordable housing, education, health and community life. This year’s theme, Triple your Lifestyle Score, was based on the board game Scrabble. Ambassadors and staff wore colourful T-shirts with town-themed words.


Pictured above: Enjoying the Port of Echuca Discovery Centre.

g CHALLENGES

g Community event supportComplying with increasing legislative requirements to conduct community events is placing more pressure on event organisers, mostly volunteers, to deliver events. Council will continue to support organisers of community events - both small and large scale - for the benefit of the broader community and to strengthen the shire’s tourism industry.

g PROJECTS FOR THE YEAR AHEAD

g Adoption of the Economic Development Strategy 2014/19 and development of the implementation plan.

g Completion of the Kyabram Business Park (Stage 2).g Provision of professional development opportunities for

board members of non-profit organisations to encourage better governance and continued learning.

g Recruitment of the Event Support Officer position to support community-based and larger events.

g Update of the Events Strategy.g Partner with the Murray Shire Council to host the biennial

Powercor Campaspe Murray Business Awards. g Progression of the commercial review of the Echuca & District

Livestock Exchange. g Completion of the Master Plan Strategy for the Echuca Holiday

Park.g Completion of renewal projects at the Echuca Holiday

Park including camp kitchen, road maintenance and cabin refurbishment.

g Completion of the Port of Echuca operating model review.


PLACEWith an abundance of beautiful historic buildings and attractive townships, the community is proud of the heritage aspects of the shire, and the appearance of public places and facilities. Council adopts environmentally-sound practices to protect and enhance the unique natural environment and ensure land use management is wisely planned and implemented.


Strategic asset management: asset condition assessmentsFacilities management: maintenance and repair of

Council-owned properties and assets, building inspections, staff accommodation

Parks and gardens: maintenance of garden beds, broad-acre mowing, toilet and barbecue maintenance, tree maintenance

Statutory land use planning: processing planning permit applications, VCAT hearings, enforcement services, heritage advisory service

Building control: building permits, essential services inspections, audits of building works, complaint investigation

Road services: planning and design for roads, bridges, drains, footpaths, maintenance and construction for roads, bridge drains, footpaths, workshop

Waste and recycling: kerbside garbage, recycling, garden organics

Environmental services: landcare, salinity control

g NET COSTS$6,201,000 Revenue received$9,791,000 Employee costs$10,372,000 Materials & services$9,573,000 Depreciation


245,019 tonnes of crushed rock

211.3km of gravel roads resheeted

1,749 property information requests completed

655 planning permits audited

515 planning permits issued

42 annual playground audits completed

400 trees planted on nature strips, parks and reserves

19,147 weekly waste collection services

average weekly household waste generation 10.12 kg

17,511 fortnightly recycling collection services

4,182 tonnes of recycling materials collected kerbside

2,931 fortnightly green waste collection services

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Transport networks enable easy access to localities

Advocate to public transport providers for improved public transport schedules and routes across the shireImprove directional signage across the shire, starting with the renewal of the Gold and Ironbark Trail signage

Land use planning meets current and future needs

Enable Council to plan for current and future residents’ open space needs through development of an open space strategyEstablish the scope and consultation processes for Council’s Rural Living Review

Community infrastructure contributes to our long-term social and economic fabric

Maintain community buildings and facilities at a standard which meets the needs of Council and the communityContinue to work with the community to maintain, combine and rationalise the assets needed to support services into the future through the Financial Sustainability Review

Towns are attractive, with future requirements and unique features clearly understood by Council

Develop a service framework and consultation process through which Council and communities can establish service levels for Place of Pride

The natural environment is protected, respected and enhanced

Identify education opportunities around how the community can protect and enhance the environment through the development of an environmental education and behaviour change program



Pictured above: Kerb and channel replacement works underway in McKenzie Street, Echuca.

g HIGHLIGHTSg Planning Scheme Amendment C69

ApprovedThe Minister for Planning approved Planning Scheme Amendment C69 to the Campaspe Planning Scheme which sought to implement the principles of the Regional Rural Land Use Strategy adopted by Council in 2008. The aim of the strategy is to determine an appropriate balance between different rural land uses, and contribute to managing the social, economic and environmental implications of landscape change. The project was a partnership between the three councils of Moira, Greater Shepparton and Campaspe. In approving the amendment, the Minister congratulated Council on “persevering with this important project and I acknowledge that substantial resources have been committed to assist with securing the future of agriculture within the Shire of Campaspe”.

g Public toilet reviewA review of public toilet infrastructure was endorsed by Council which set down principles for the location and standard of public toilet facilities. The implementation of the plan over coming years will see upgrades of some facilities to provide a 24-hour service, while other facilities will have modified opening hours and amenities including disabled access. While some assets will be rationalised through this process, each community across the shire with a public toilet facility will be considered using the same criteria for service standards. Initial costs to implement the changes will by offset by financial savings yielded over a five year period.

g Quarry operationsThe two Council-owned and managed quarries - Mt Scobie and Nanneella - performed well during the year. The high demand for rock from the quarries over the past few years to cater for ongoing flood rehabilitation works as well as annual programmed road works settled with the conclusion of the flood recovery program. Production of crushed rock decreased slightly by 24,616 tonnes reflecting this change in operation.

g Capital Works DeliveryCouncil delivered a record $33.8 million in capital works projects in 2013/14. This is an outstanding result and exceeded the target of $30.8 million set in the 2013/14 program budget. The stronger than forecast project delivery output was achieved despite a reduction in required National Disaster Relief funded flood recovery works compared with that forecast in the budget.

This also demonstrates the benefits of Council’s comprehensive project management approach which delivers projects efficiently and effectively.

Major multi-year projects completed include:

g flood recovery works under the National Disaster Relief Funding - total cost $14.88 million

g Rochester Recreation Reserve including clubrooms, toilet block and other projects as part of flood recovery - total cost $1.8 million

g Port of Echuca Revitalisation Project - total cost $15.12 million. Other major projects completed include:

g capital expenditure on roads, bridges, drains and footpaths - total cost over $10.7 million

g Lockington Landfill rehabilitation - total cost $1.16 milliong Echuca Holiday Park Amenities Block refurbishment - total cost

$1.41 milliong aquatic facilities renewal - total cost $640,000g Kyabram Walking & Cycling Trail stages 2 to 5 - total cost

$450,000g Echuca SES Building relocation - total cost $440,000.

$ value of capital works completed:

New Renewal Upgrade Total

2009/10 2,434,000 9,452,902 0 $11,886,902

2010/11 2,426,525 10,309,922 1,416,824 $14,153,271

2011/12 7,243,404 17,695,511 980,480 $25,919,395

2012/13 5,241,329 19,398,549 563,607 $25,203,485

2013/14 8,740,914 21,695,232 3,412,763 $33,848,909


Pictured above: New lights installed at the Echuca South Recreation Reserve.

g Maintaining the road networkA restructure of Council’s public works, road construction and maintenance, engineering design and road services teams during the year enabled an increased focus on delivering road projects in the Capital Works Program more effectively. The restructure has allowed a more streamlined approach to roads delivery with the completion of designs, identification of projects, quarry resource requirements and physical works being considered more holistically.

Road construction valued at $6.5 million was delivered including the final section of Strathallan Road, the first stage of Burnewang Road rehabilitation and Brown Road rehabilitation, numerous kerb and channel renewals, and the final stage of the Kyabram streetscape project.

The Public Works Quality Management System successfully passed the annual audit through third party accreditation. This accreditation has been maintained since June 2000, ensuring consistent levels of service delivery and safe working practices.

g Drainage Policy implementationSince adoption of the Drainage Policy in 2013, Council has started a number of projects, prioritised according to the policy criteria.

Work started on the upgrade of the drainage network in High Street, Rushworth to reduce the risk of flooding along the northern end of the road. This complex project required significant resources to design an improved drainage network to meet Council and community expectations.

g Maintaining the road network Council continued its focus on continuous improvement in the road maintenance area alongside the delivery of works on the ground. There was a particular emphasis on improving customer service response times, reporting compliance metrics against statutory requirements and quality of works.

Council completed development of a reporting tool that clearly demonstrates compliance with the response time as set out in the Road Management Plan. Similar reporting mechanisms will be developed in line with works programs for further road maintenance activities.

g Trees assessedTrees in Crown Land were assessed and logged on a database as part of Council’s management of trees on crown land. Works identified were completed prior to major special events.

g Statutory planningStatutory planning approvals achieved an average processing time of 57 days for planning applications. The volume of applications received increased from 44 per month the previous year, to 45. The percentage of decisions within the statutory timeframe of 60 days was 90 per cent. These results are a significant achievement when compared with the statewide rural results for Victoria which were an average processing time of 122 days and 67 per cent of applications being processed within the statutory timeframe.

A Farming Advisory Committee, comprising of community representatives from the farming sector, was established. The committee will be a valuable resource to Council and the Planning team, bringing a wealth of agricultural experience and expert knowledge when assessing planning applications under the Campaspe Planning Scheme that have the potential to negatively impact on the agricultural sector. The committee will also assist on strategic planning projects.

g Parking meter replacementEchuca CBD parking meters were replaced with a ‘pay and display’ parking system, from a ‘pay by bay’ system. This project saw the replacement of 107 old meters with 41 new meters, thereby reducing clutter in the business district. The new system has been well received.


g CHALLENGESg $30.8 million capital works programCompleting works to the value of $30.8 million saw the largest Capital Works Program ever delivered by Council. Departures and secondments from the project management team required the recruitment of additional project managers to assist in meeting the target. Early in the year, flood recovery works were reduced by $1.5 million and immediate steps were taken to bring other projects forward to ensure the target was achieved.

g National Heavy Vehicle RegulatorAt the end of 2013, the National Heavy Vehicle Regulator (NHVR) was formed to be a single authority to manage heavy vehicle matters.

A number of implementation difficulties resulted in Council having to process heavy vehicle applications, along with VicRoads, to alleviate pressure on the NHVR. Recent improvements have reduced the applications that Council processes on behalf of the NHVR and this will be a continuing trend.

One of the NHVR’s goals is to be a single point of contact for heavy vehicle operators across Australia. This will make the administrative works behind logistics of heavy vehicle transport simpler and more consistent.

For Council, this means that it must assess “special purpose” applications on a case-by-case basis and allow the automatic classification of some of its roads where they are deemed to be suitable for certain heavy vehicle types. This will result in considerable up-front works in undertaking these assessments but will eventually result in a more user-friendly system for both Council and the heavy transport industry.

g Rural Roads ReviewCouncil’s comprehensive Rural Roads Review progressed, with adoption of the final report. The project identified the preferred rural road network able to be maintained with the funding available into the future. Council will consult with the community prior to progressing or implementing any changes to the rural road network.

g Ageing pool infrastructureThe ageing infrastructure of Council’s public swimming pools poses ongoing operational challenges across all aquatic facilities and rising expenditure to renew various items. Council has addressed a number of these items since it took over management of aquatic services in late 2012; however, a number of items require significant investment and are being managed through remedial works to ensure the pools continue to operate.

Outstanding items include:

g pool painting (various sites) - Stanhope pool was repainted in 2013 and Kyabram pool is programmed for 2014

g pipe works and leaks (various sites) - Kyabram and Tongala pools experience water loss issues resulting in significant cost to Council

g Change rooms at the Echuca War Memorial Aquatic Centre - the floor requires renewal and more significant works are required to ensure the facility meets the required standard.

g Planning staffThree experienced planners left the organisation, two gaining promotions with adjoining municipalities. A new Planning team has been successfully recruited, with two people from the local community.

g Building controlResponding to illegal building activity in the municipality is an ongoing challenge for the Building team. Awareness of the need for building approval does not appear to be the issue with many people deliberately choosing not to apply for approvals. Council issued 65 building notices and 68 building orders, both slightly down on the previous year.

g Stock on roadsStock on roads has continued to be a challenging area for the Local Laws team. Council responded to 46 incidents during the year, an increase of 6.5 per cent on the previous year. Poorly-maintained fencing on properties is the main contributing cause.


Pictured above: The Road Construction team completed the first stage of rehabilitation to Burnewang Road.


g Development of asset plans for key asset classes.g Management and delivery of the Capital Works Program,

comprising more than 90 projects valued at $23.37 million.g Revision of the Asset Capitalisation Policy, which provides

guidelines in accordance with accounting standards and state government policy for the capitalisation of assets.

g Preparation and implementation of a management plan for the Northern Plains Grassland at the Echuca Aerodrome to ensure the protection of native grasslands.

g Replacement of 1,833 street lights with energy-efficient alternatives under the Watts Working Better program.

g Implementation of the Rural Road Review recommendations, including increasing the depth of resheeting material of a gravel road from 75mm to 150mm. This change will reduce the amount of roads to be resheeted across the year and extend the life of each road before further resheeting is required.

g Completion of the Rural Living Review, an investigation into the appropriate application of the full suite of rural zones available under the Victorian Planning Provisions in order to improve liveability and land use for rural communities across the shire.

g Review of road maintenance practices to identify efficiencies.g Review of the Footpath Strategy.g Review of Council’s domestic animal management service

including operation of the Campaspe Regional Animal Pound, with the aim of delivering savings. The Domestic Animal Management Plan will be reviewed to introduce clear and achievable strategies and targets to significantly reduce the level of euthanasia of animals.

g Commencement of a review of Council’s General Local Law which will cease on 15 December 2015.

g Completion of a tree assessment program to collect data and tag all trees at aquatic facilities and nominated recreation reserves.

Road maintenance 2009/10 2010/11 2011/12 2012/13 2013/14

Sealed roads- length resealed 52km 57km 62km 58km 44.5km- value of works $1,400,000 $1,400,000 $1,389,000 $1,502,000 $1,468,193Gravel roads- length resheeted 123km 156km 240km 317km 211km- value of works $2,244,000 $2,550,000 $3,818,697 $5,396,000 $3,845,590Sealed road shoulders- length resheeted (shoulder) 36km 40km 40km 28km 46km- value of works $375,000 $400,000 $400,000 $300,000 $531,000

Planning applications

Year 2009/10 2010/11 2011/12 2012/13 2013/14Applications received 471 473 504 538 541Applications completed 463 514 489 508 515Completed within 60 days 77% 92% 96% 92% 90%Rural councils average - completed within 60 days 71% 71% 69% 71% 74%

Building applicationsYear 2009/10 2010/11 2011/12 2012/13 2013/14Municipal Building Surveyor 145 84 98 119 183Private building surveyor 750 717 651 511 543Total 895 801 749 630 726



Aged & disability services: meals on wheels, personal care, home maintenance, transport and senior citizens’ club support

Family services: preschools, maternal and child health, long day care

Library services: five branches, six depots, literacy programs, internet access, Books on Wheels, Words on Wheels

Community programs: youth development, health promotion, rural access, housing support, arts and culture

Community places: sporting grounds, pavilions, playgrounds or spaces used for recreation

Community planning: supports communities to achieve their planned future goals and priorities at a community level

Call centre and service centres:

customer interface with the community, five service centres

Emergency management: municipal emergency coordination centres, statutory emergency functions

Environment health: food safety inspections, immunisations, public health, housing standards, pest control

Local laws: parking enforcement, school crossing supervisors, animal control and registration

g NET COSTS$7,093,000 Revenue received$3,397,000 Grants$12,030,000 Employee costs$5,285,000 Materials & services$1,888,000 Depreciation$190,000 Loans


555 central kindergarten enrolments received

469 new maternal and child health registrations

average utilisation of Campaspe Community Children’s Centre 92.25%

average utilisation of Rochester and District Child Care Centre 89.5%

14,165 library memberships taken out

participation in library programs 21,924

7,250 immunisations given

84 food samples taken

661 food safety inspections completed

2,500 cats registered

8,554 dogs registered

4,793 parking infringements issued

958 parking appeals received

2,425 children participated in a learn to swim program

179,105 attendances at swimming pools

27,897 hours of Planned Activity Group provided

22,950 Meals on Wheels delivered

PEOPLESupporting a vibrant and diverse community, Council actively encourages community participation and engagement in the arts and cultural life of the shire. Community involvement is encouraged in the planning and evaluation of Council activities and the long-term vision of the shire. Council strives to provide quality services in the areas of most need and enhance the wellbeing of the community. Council also provides support to many agencies involved in service delivery.

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Services support our communities’ health and wellbeing

Develop the Municipal Public Health and Wellbeing Plan which seeks to maximise the health and wellbeing of all persons living within the shire through identifying key strategic priorities for the next four years

Communities are vibrant, happy and proud with strong arts, culture and heritage

Identify events that celebrate community identity and partner with community groups to enhance these events

The identity and diversity of our communities is strengthened and celebrated

Implement the Events Strategy recommendations that are funded for delivery

Young people reach their full potential Undertake an event to celebrate National Youth Week



Pictured above: Town Planning Team Leader, Andrew Fletcher with Echuca resident at the Campaspe Conversation Day.Pictured below: Immunisation Nurse, Gaylene Whitten preparing immunisation stock for the next community immunisation session.

g HIGHLIGHTSg Municipal Public Health and Wellbeing

PlanAfter extensive community consultation and a review of recent population health data, Council adopted the Municipal Public Health and Wellbeing Plan 2013/17. The plan provides a four-year blueprint on how council will work with other levels of government and community agencies to ensure a holistic approach to addressing the health and wellbeing needs of all residents.

Development of the plan involved extensive consultation with input from individuals, schools and community organisations across the shire, with the aim to reflect a broad range of needs and interests. The plan sets objectives, strategies and measures in the priority areas of:

g reducing the impact of alcohol and other drugs g climate change adaptation and mitigation g reducing violence against women and children g promoting oral health g encouraging healthy eating g increasing physical activityg reducing tobacco use g promoting mental health.

The plan is in alignment with objectives of the Council Plan 2013/17 and the catchment-wide Campaspe Primary Care Partnership Integrated Health Promotion Plan 2013/17. Rather than replicating initiatives or objectives within these plans, the plan serves to strengthen them to improve community outcomes.

g Community engagementCouncil adopted a new Community Engagement Policy. The revised policy is based on the International Association for Public Participation’s spectrum of engagement: inform; consult; involve; collaborate; and empower.

The policy objectives include to:

g ensure the Campaspe community is well informed about issues, strategies or plans that may directly or indirectly affect them

g ensure the Campaspe community has the opportunity for genuine involvement in Council’s decision-making and policy development

g seek the views of a wide cross-section of the community, selecting engagement methods that are flexible, inclusive and appropriate to those being engaged

g provide members of the community with the opportunity to hear

each other’s opinions and to recommend appropriate solutions to community issues

g ensure Council is meeting its legislative requirements regarding community consultation in all areas of its service delivery

g recognise that there is diversity in the activities and projects across Council and the type of engagement undertaken should vary accordingly.

g Campaspe Conversation DayThe Campaspe Conversation Day was hosted in five locations across the shire on Saturday, 22 March, providing the community with an open forum to share their views and ideas with councillors and staff. This is the second year the conversation day has been held. This year’s initiative was an outstanding success with more than 300 people attending; 72 per cent indicating that they had not previously participated.

The sessions were designed to initiate conversations between Council and members of the community about issues of concern and to gather ideas and feedback to improve Campaspe now and into the long-term future. During the face-to-face meetings, Council staff surveyed residents on a number of topics. The survey was also made available online for those who couldn’t attend the sessions. The 273 surveys completed provided a valuable insight into the preferred ways residents would like to communicate with Council.

g Environmental healthCouncil’s Environmental Health team implemented a new operational procedure to improve inspection processes and meeting inspection targets across all classes of food premises. This involved each officer being allocated specific premises to work with on all food safety matters. This new procedure resulted in increased food safety awareness among business owners and strengthened relationships.


Pictured above: Council hosted an emergency management exercise to test how prepared local authorities are for an emergency. The three-hour paper-based exercise was led by the local State Emergency Service unit.

g ImmunisationCouncil continued its focus on improving the uptake of secondary school vaccination rates by increasing the return rate of consent cards. Nurse immunisers worked closely with school staff to improve the response rate which has led to an increase in the number of vaccinations. Campaspe Shire Council is considered a leader within the Loddon Mallee region, with other municipalities taking a similar approach when working with local schools.

g Aquatic and leisure program development

The range of programs continued to expand through the year. Below are some highlights:

g Learn to Swim: participation exceeded expectations with enrolments increasing from a monthly average of 606 to 667 participants. School swim programs also increased with bookings in each term. A school program was provided at Stanhope in February, the first such program at an outdoor pool.

g Encore program: developed in partnership with Echuca Regional Health, the program delivered health and wellness programs to women who have experienced breast cancer. The program was incredibly well received, gained significant media coverage and will continue next year.

g Bronze Star: having identified a gap in aquatic programs for children who have completed Learn to Swim levels, a Bronze Star program was delivered for the first time to 13 and 14 year olds. Participants completing the 10-week program received the entry level, nationally-recognised lifesaving qualification, further development and the delivery of a Bronze Medallion program is planned.

g Outdoor pool programming: programs offered at outdoor pools continued to grow, in addition to a holiday learn to swim program at Lockington, Kyabram and Rushworth, Aqua Aerobics was delivered in Rochester and Kyabram, and the inflatable slide spent a week at each of the outdoor pools during summer. A significant increase in attendance was achieved in six of the seven outdoor pools.

g Children’s servicesThe Campaspe Community Children’s Centre and Tongala Kindergarten completed the National Quality Rating and Assessment process. Both services achieved the national quality standard, with the Tongala Kindergarten exceeding the national quality standard. All Council-managed early childhood education services now have completed their National Quality Rating and Assessment process.

The implementation of universal access to kindergartens in 2013, enabling all children access to 15 hours of funded four-year-old kindergarten each week, has been well received by families and is in high demand.

g Kindergarten services reviewA review of kindergarten services was completed, with expressions of interest advertised for the operation of the last four Council-managed services at Rochester, Lockington, Tongala and Gunbower. The review determined that cluster management was the preferred model as it provides professional, stable and ongoing management, and greater economies of scale. With several cluster managers already operating in the region, keen interest was shown. In seeking expressions from potential cluster managers, Council worked with existing committees of management to facilitate the process.

g Movers and ShakersThe strength and balance program, Movers and Shakers, celebrated its fifth birthday. The program provides a gentle exercise program for older residents in the townships of Echuca, Rochester, Lockington and Gunbower. Many of the founding participants are still involved in classes, with the program now expanded to Toolleen.

g Youth WeekNational Youth Week in April was celebrated in Campaspe with a photo competition. More than 70 images were entered into the competition with the four winners announced at a luncheon held as part of the week’s activities. The winning images were printed on postcards and provided to local libraries, schools and a number of other community outlets.


g CHALLENGESg Health and fitness competitionCompetition from 12 other service providers in the health and fitness sector impacts on the ability of the Echuca War Memorial Aquatic Centre to reach memberships targets in this area.

g ImmunisationAddressing a decline in the vaccination rates of four-year-olds across the region and municipality. Identifying this gap, Council’s Immunisation team researched ways to attract families to immunisation sessions and make it a more positive experience for children. Different approaches have included the use of a bubble machine at sessions as well as small rewards such as bracelets and lollies. These have proven to be successful with those who have attended.

g Children’s servicesMaintaining service viability continued to be a challenge in an environment of regulatory reform. Specific challenges include: implementation of reduced child-to-staff ratios in the under three age groups under the Education and Care Services national Regulations 2012; implementation of Universal Access to Kindergarten in 2013; and preparing for impending further child to staff ratio changes in 2016.

After a comprehensive review of shire’s cluster-managed kindergarten services across the municipality, in 2013, Council started to transition its four kindergarten services to other providers. In conducting the review, Council acknowledged the importance of delivering high quality preschool education to children and recognised that within Campaspe there already exists a number of organisations providing kindergarten cluster management. The review of kindergarten cluster management was conducted under Council’s Financial Sustainability Review program which seeks to identify and implement initiatives within the organisation to increase council’s long-term financial sustainability.

g Aged & disability servicesDemand for Home and Community Care (HACC) subsidised home care continued to outweigh service availability, with a significant waiting list for this service the majority of the year.

Recruiting and retaining qualified support workers in small townships of the municipality continued to be a challenge.

g Youth websiteAn application was made through the Youth Inclusion Grants program to establish a youth website in Campaspe. While the application was unsuccessful, funding was later secured through existing funds of the Engage! Program.

g Outdoor poolsAttendance at the Stanhope outdoor pool declined by 19 percent, with only 1,671 people using the facility during the summer season.


Pictured above: Children enjoying library storytime craft activities.


g Echuca will host the annual Environmental Health Professionals Association Symposium. This conference attracts environmental health practitioners from across Australia to discuss current environmental health issues impacting on the workforce. This will be a great opportunity to promote the Shire of Campaspe and Loddon Mallee region including the variety of work available in rural areas.

g Development and implementation of an Immunisation Strategy to assist in the successful delivery of Council’s immunisation program through improved education and communication.

g Implementation of dietician-approved menus and meal policy at child care centres.

g Participation in the “Let’s Read” program - an exciting initiative to promote reading with young children from birth to five years - giving children the skills they need to learn to read when they start school.

g As part of the Kindergarten Transition Project, transition of the four kindergartens to the new kindergarten cluster manager by term one of 2015.

g Conduct of a recruitment drive to recruit support workers for Aged & Disability services in smaller townships.

g Improvement of access to Home and Community Care services for clients with, and carer’s for clients with, dementia.

g Development of a response to the HACC transition in 2015, which will see clients under the age of 65 supported by state funding and clients over the age of 65 by federal funding.

g In partnership with the Campaspe Primary Care Partnership, development and implementation of the Good Access is Good Business program. This program will promote and recognise contributions towards access and inclusion in Campaspe businesses by people with a disability, and other access issues.

g Development of an online youth portal to complement current youth engagement and development activities. This online hub will seek to engage with and consult young people, celebrate the contributions and achievements of young people, provide information and service coordination, and offer opportunities for young people to build skills and more fully participate in their communities.

g Development of an Access and Inclusion Plan 2014/17.

g Establishment of an Echuca chapter of the Kyabram Youth Partnerships pilot project aimed at improving service coordination for young people through the establishment of a “no wrong door entry system”.

Aged care service hours delivered2009/10 2010/11 2011/12 2012/13 2013/14

Home Care 38,305 37,275 37,679 37,255 25,403Personal Care 12,921 12,854 13,207 13,021 7,495Respite Care 4,853 4,754 5,770 6,411 2,590

Note: The hours of aged care services delivered to the community decreased in 2013/14 following a reduction in government funding. Community immunisation rates 2013/14Age group Victoria Loddon Mallee Campaspe12-15 months 90.9% 90.26% 93.69%24-27 months 92.6% 92.66% 94.83%60-63 months 91.9% 94.47% 98.4%


Pictured above: The Aquatics and Leisure Services team marked Water Safety Week with a range of activities.

LEADERSHIP AND GOVERNANCECouncil aligns its resources and work practices with the strategic objectives of the council plan and strives to meet the needs of the community through efficient and cost effective service delivery. While Council’s frontline services are visible to the community, staff who support the organisation’s internal functions are equally committed to delivering excellent services and information. The organisation is formed on building a prosperous, resilient Campaspe community for current and future generations.


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Strategic planning: corporate strategic planning, strategic land use planning,

Communications and civic events:

corporate communications, Australia Day events, citizenship ceremonies, international friendship

Financial services: revenue collection, property valuations, accounts receivable, accounts payable, tax, reporting, payroll, accounting, fleet management

Procurement: contract management, purchasing

Information management: IT services, records management

Organisation development: human resources, industrial relation services, occupational health and safety

Project management: management of capital works projects

Program office management: coordination of the capital works program

Grants management: internal and external grant management

Governance and compliance: governance, insurance and risk management, councillor support, legal services

g NET COSTS$466,000 Revenue received$5,569,000 Employee costs$1,509,000 Materials & services$98,000 Depreciation


97.66% of rates collected

call abandonment rate 4.56%

71,810 calls received through networked call centre

40,380 walk-in contacts at service centres

199 media releases issued

961 articles in local papers

913 likers on Facebook

8 community newsletters issued

50 weekly half page advertisements

56 Australian citizenships conferred

8 days lost due to injury


Though respectful conversations with our stakeholders, partners and community, we hold shared goals, and understand each others’ obligations, activities and achievements

Encourage higher levels of community engagement in Council activities through establishment and implementation of a Campaspe Engagement Policy

Service delivery reflects community need and is efficient and effective

Continually assess and identify improved / alternative / innovative service delivery methods and models through the Financial Sustainability Review

Council continues to have the resources to provide services needed by our communities

Continue to implement the Attract, Develop, Retain program

Drive improvement in the core operational processes and critical information management through Information and Communications Technology (ICT) to support the timely, accurate, efficient and compliant operations of CouncilReflect the diverse views and aspirations of Campaspe communities through development of the Campaspe 2030 Strategy, providing a blueprint for building sustainable economic activity and maximising the quality of life in the municipality over the next 20 years

Council’s governance processes visibly meet stakeholder needs and statutory obligations

Increase efficiency, effectiveness and transparency of Council’s statutory compliance obligations through the development of a Compliance Framework

Enhance our ability to achieve outcomes through relationships and reputation

Increase awareness of the National Broadband Network project to assist Campaspe businesses and communities become “NBN-ready” and advocate to secure further rollout of the network in Campaspe towns and communities



Pictured above: Community groups with Mayor Cr Ian Maddison at presentations for the Community Grants program.

g HIGHLIGHTSg Occupational health & safetyCouncil continued its strong commitment to Occupational Health and Safety (OH&S) with a focus on improving and reviewing all existing documentation, and providing training to all levels of staff.

The Occupational Health and Safety Committee met regularly. The committee is responsible for reviewing and updating a number of guidelines/procedures and revising the current terms of reference for the committee to align with the new structure. Council’s strong focus on risk management has seen an increase in development of safe work method statements (SWMS), risk assessment and an increased focus on contractor SWMS reviews to ensure the safety of all on Council premises.

Training was provided to some committees of management to assist them in understanding legislation and their responsibilities in relation to reporting.

Chemical audits were undertaken to ensure compliance with the Code of Practice on Hazardous Chemicals.

A greater emphasis was placed on reporting “near miss” incidents to assist in preventing potential injuries.

Council achieved a reduction in the amount of lost time injuries and will continue its work in this area to further reduce injury to staff.

Days lost due to injury

g 2011/12 12 g 2012/13 19 g 2013/14 8

Workers’ compensation claims2010/11 2011/12 2012/13 2013/14

Standard 10 7 8 8Minor 11 14 14 6

g Learning and development Council provides and supports a range of opportunities to expand the professional knowledge and skills of its staff, ensure the organisation is up-to-date with current legislative requirements and explore modern standards of delivering best practice. In 2013/14, Council facilitated training events in line with its legislative responsibilities and the Attract, Develop, Retain (ADR) program.

Compliance training program Staff attending

Chemical management 48Safe use chainsaw 18Traffic management 12Traffic management refresh 36

Construction induction 10

Electrical spotters 12

Respect in the workplace 196

First aid 390

Initial five-day OH&S 8

Competition and consumer law 47

Conflict of interest 28

Corporate induction 84

Customised corporate induction for aquatics staff

50

Council supported four staff studying a Bachelor of Education to enable Council to effectively address changing quality standards in the child care industry. The Leadership group (executive team and managers) undertook five days of training throughout the year which included managing OH&S and establishing organisational values.


g Enterprise AgreementThe Enterprise Agreement was finalised with unions and staff, effective from February 2013 through to February 2016. Of significance in the new agreement is the inclusion of specific conditions for aquatic services staff. These conditions will contribute to a cost effective and equitable commercial operation for Council.

The agreement also included a family violence clause. A priority area of the Municipal Public Health and Wellbeing Plan is to prevent violence against women and children. Council recognised that its own staff may face situations of violence or abuse that may affect their attendance at work. The inclusion of this clause demonstrates Council’s commitment in providing support to staff.

g Staff engagement surveyAs part of Council’s commitment to continuous improvement, a staff engagement survey was completed using survey specialist firm, Insync Surveys. A total of 245 responses were received, a comparable result with organisations of a similar size.

A summary of the results and key issues were presented at all-staff sessions in June. The survey highlighted a number of strengths including the willingness of staff to share their knowledge and support their colleagues to ensure a successful organisation. Areas highlighted for improvement include reviewing staff rewards and recognition, and communication of the organisation’s values.

Staff turnover 2009/10 2010/11 2011/12 2012/13 2013/14

12.98% 14% 8% 5.5% 3.93%

Staff details Full-time Part-time Casual Total

Division Male Female Male Female Male FemaleOffice of CEO 1 14 0 6 0 10 31

People and Place 43 52 9 103 72 165 444

Prosperity 95 16 0 5 9 3 128

Resources 28 23 1 11 24 12 99

Total 167 105 125 105 105 190 702

g Employee profileAs at 30 June 2014, a total of 702 staff were employed in either a full-time, part-time or casual positions. This number is equivalent to 407 staff (EFT), of which 92 per cent live in Campaspe communities.

Age of the workforce

180

160

140

120

100

80

60

40

20

0

16-1920-29

30-3940-49

50-5960-69

70 +

Num

ber

of e

mpl

oyee

s

Years

39 106 113 105 17


155 166


g Workplace Learning OpportunitiesThe work experience program provides students with the opportunity to gain valuable experience, skills and knowledge by working in a variety of Council settings. The program sets a platform of engagement for younger people in the community for Council to promote itself as a future employer and gives students an insight into the services Council provides to the community.

A total of 34 workplace learning opportunities were provided as follows:

g Child care 8g Learn to swim 6g Library 4g Parks & gardens 4g Kindergartens 2g Aquatics and leisure 6g Waste management 2g Local laws 2

Staff also participated in Beacon’s ‘Work with Wheels’ career expo event. This expo showcased non-office-based careers in the community to year 10 students. The objective of the event was to broaden students’ thinking about what jobs are available locally. A grader driver and grader featured at the expo, providing an opportunity for students to learn more by speaking directly with the operator.Staff also participated in Beacon’s ‘mock interview program’ with students from secondary schools in the region experiencing the job application and interview process.

g Staff Service MilestonesSkilled, motivated and dedicated staff are critical to Council’s success. As part of Council’s ongoing “years of service” recognition program, in October 2013, the commitment and service of 38 staff to the Campaspe community was recognised at a presentation attended by staff and their families.

g 10 years Irene Shaw, Tara Sproxton, Diane Hansen, Denise Gilby, Joshua Sperling, Louise Heward, Hamish Thornton, Andrew Cowin, Kristy Maurizi, Amanda Roberts, Alissa Herd, Raelene George, Donna Wilson, Kevin Russell, Lesley Bell, Margaret Langdon, Cecilia Oddey, Jaclyn Dargan, Pauline Perry, Neryl Mooney

g 15 years Samantha Leorke, Lois Toohey, Gillian Holding, Margaret Wills, Linda Riding

g 20 years Helen Crilly, Lynne Napier, John Furzeg 25 years Austin Beamish, Wendy O’Hara, Lynne

Collins, Lynette Kyne, Anthony McDonnell, Kevin McLeod

g 30 years Gaye Pellegrino, Alan Maguire, Rod Lockwood

g 45 years Bryan Walshe

g ICT programIn 2012, Council adopted a new Information and Communications Technology (ICT) Strategy with a focus on improving the efficiency and effectiveness of Council’s administrative systems and online customer service capability. A naming competition with staff was held, with iNspire selected.

Following an extensive tender process, a $3.017 million contract was awarded to TechnologyOne, Australia’s largest publicly-listed company, to support Council’s key software systems. The OneCouncil system has been developed to meet the demands of the community and other stakeholders by integrating Council’s business processes. The project will see all key IT systems, including customer management, planning, building, finance, billing, grants management, payroll, human resources and many others, replaced with an integrated system. It will involve extensive staff training to ensure a smooth transition for the community and staff.

Council’s computer desktop environment was upgraded to Windows 8.1 and Windows 13, and Outlook and Exponare installed.

Pictured above: Staff celebrating their “Years of Service”


g Civic eventsCouncil supported 16 Australia Day events coordinated by community groups across the shire. Australia Day awards were presented in the districts of Echuca, Kyabram, Rochester, Rushworth and Tongala. Joyce Robbins, a dedicated community volunteer from Kyabram, was named Citizen of the Year. Joyce has volunteered with many community groups over a long period of time, as well as helping individuals overcome adversity.

Civic events coordinated during the year were many and varied, including:

g official opening of the $15.2 million Port of Echuca revitalisation project, celebrating completion of this major project incorporating the historic Echuca wharf refurbishment, construction of two red gum walkways and construction of the Port of Echuca Discovery Centre

g completion of community projects including Girgarre netball courts, Rochester recreation reserve pavilion, and Kyabram walking and cycling trail

g four citizenship ceremonies, conferring Australian citizenship for 56 residents

g Reconciliation Week flag raising and morning tea joined by many local school students

g grant writing workshop, attracting more than 50 people (a waiting list has been created for a further workshop).

g CommunicationsCouncil continued to monitor, report and review communication activities to ensure residents remain well informed and educated on Council’s programs and services. The focus to deliver information direct to residents continued through newsletters, direct mail and letterbox flyers. Council’s Campaspe Times community newsletter increased by one edition, to eight issues per year, in line with feedback received in a survey indicating residents prefer to receive Council news via newsletters.

A number of targeted communication plans were developed to support the roll-out of new waste bin services, the changeover of parking meters in Echuca, the Campaspe Conversation Day and the ENCORE program. Council’s proactive media relations approach to highlight Council activities continued with a regular flow of media releases, an increase in photo opportunities and ongoing supply of photos direct to the local media. In local newspapers, 961 articles regarding Council activities and issues were published, with 82 per cent including Council comment.

Council’s social media presence continued to grow, with its Facebook page increasing to 913 likers, up from 559 on the previous year. The page had an average engagement level of 15,000 each month.

g Strategic Financial AssessmentAn independent assessment of the Shire of Campaspe’s financial principles, position and performance was completed. The catalyst for the review was a clear trend from community satisfaction survey results and public submissions from the 2013/14 budget process, highlighting ratepayer affordability concerns. Additionally, Council was facing the medium-term challenge of community expectations of service levels, funding defined benefits superannuation shortfalls and the asset renewal backlog.

The assessment involved a robust analysis of Council’s key strategic planning and policies, coupled with a community engagement program. The final report confirmed Council’s financial performance is excellent with Campaspe being a leading municipality when benchmarked against like rural councils.

g CHALLENGESg Occupational, health and safetyWith ongoing and increasing compliance requirements to provide a safe workplace for employees, contractors and volunteers, additional resources will be required to develop processes and support volunteers.

g Increasing communicationsCouncil’s commitment to further improve its communication with the community and raise awareness of projects and activities will require an increase in departments using the strategic advice and resources of the Communications and Public Affairs team. The need of specialist community engagement skills has been highlighted as an issue to be addressed over the coming year.

g Compliance frameworkAll compliance services, including building, environmental health, local laws and statutory planning, were involved in the new initiative called Compliance 11. A detailed integrated service charter was developed with the involvement of the community, councillors and staff. This innovative program was supported by the Municipal Association of Victoria. Compliance 11 stands for the 11 elements that direct the way compliance services are to be delivered to the community.

g Organisation structureCouncil progressed streamlining the organisation’s structure from four divisions to three, and separating Port of Echuca-related activities.

Level of community satisfaction

2012 2013 2014

Campaspe LRS Campaspe LRS Campaspe LRS

Overall performance 53 56 52 57 60 57Community consultation 54 54 53 55 58 55Advocacy 52 53 50 53 58 54Customer service 66 68 64 69 71 68Overall council direction 43 48 49 51 53 51

LRS = Large rural shires

Source: Local Government Community Satisfaction Survey 2014, prepared by JWS Research


g Update of the Communications & Public Affairs Strategy and development of a four-year action plan.

g Completion and implementation of the customer complaints procedure.

g Development of a Customer First Strategy to improve customer focus across the organisation.

g As part of the iNspire program, progression of the selected OneCouncil modules including corporate services, human resource management, works management, asset management, development and regulatory services, and customer and community engagement.

g Extending the use of social media to specific services including aquatic and library services.

g Development of a Community Engagement Framework in line with the adopted policy.

g As part of the ICT program, redevelopment of the Council website and intranet.



Good governance is all about accountability, fairness and transparency.

CORPORATE GOVERNANCE

Good GovernanceGood governance is all about accountability, fairness and transparency in all our operations and decisions. It encompasses:

g making clear the legislation and regulations under which we operate

g local laws we are authorised to makeg our decision-making processesg delegations of authorityg effective risk management systems and processesg establishing frameworks for planning, monitoring operational

effectivenessg performance management.

Council’s RoleCampaspe Shire Council is one of 79 Victorian councils that derives its role, powers and functions primarily from the Local Government Act 1989, which states:

1. A Council is elected to provide leadership for the good governance of the municipal district and the local community.

2. The role of a Council includes:

a. Acting as a representative government by taking into account the diverse needs of the local community in decision making.

b. Providing leadership by establishing strategic objectives and monitoring their achievement.

c. Maintaining the viability of the Council by ensuring that resources are managed in a responsible and accountable manner.

d. Advocating the interests of the local community to other communities and governments.

e. Acting as a responsible partner in government by taking into account the needs of other communities.

f. Fostering community cohesion and encouraging active participation in civic life.

Campaspe Council performs this role by setting the strategic direction of the municipality, establishing and guiding policies, setting service delivery standards and monitoring the organisation’s performance.

Council decisions are made in one of two ways:

1. by resolution at a Council meeting

2. by Council officers under delegated authority.

Most decisions of an operational nature have been delegated to officers through the Chief Executive Officer. This system recognises the CEO’s responsibility under the Local Government Act in managing the day-to-day operations of the organisation.

Conflict of InterestIn dealing with matters that come before Council for decision, individual councillors and members of staff may find that they, or their immediate family, have either a financial or some other “interest” that could be interpreted as having an advantage or undue influence on the outcome.

To ensure transparency in the decision-making processes of Council, councillors and staff are required to declare and document their interest all matters. Where councillors have declared an interest they do not participate in the decision-making process.

Copies of the document “Conflict of Interest: A Guide for Councillors, June 2011” published by the Department of Planning and Community Development, has been provided to councillors for their reference.

Code of ConductCouncil has a Code of Conduct, which was reviewed and adopted on 17 September 2013. The code outlines the principles of good governance, and guides councillors’ behaviour, accountability and dispute resolution between councillors. The code is available on Council’s website www.campaspe.vic.gov.au.

Six complaints were made under this code to the Local Government and Investigations and Compliance Inspectorate in 2013/14.


Councillor Support and Remuneration Campaspe Shire Council has nine councillors representing five wards. The current councillors were elected on 27 October 2012 by postal voting for a four-year term.

For the purpose of setting mayoral and councillor allowances, the Victorian Government categorises each council according to its size and revenue. Campaspe is within category 2. In 2013/14, the annual allowance for the Mayor was set at $69,325 and for all other councillors, $22,405 (plus superannuation).

The reimbursement of councillor expenses is outlined in the Councillor Support Policy. Councillors are provided with a mobile phone and iPad with access to email and a printer. Administrative support is provided through the Governance Department and the Mayor is offered a vehicle for Council and private use for the duration of the mayoral term.

The following table sets out the allowances paid to councillors for the reporting period:

Councillor Superannuation Allowance Travel Training Total

Cr Emma Bradbury $2,072.68 $22,697.06 $4,977.60 $1,653.84 $32,152.09Cr Rocchina D’Angelo ** $1,652.71 $18,029.42 $2,649.25 $777.77 $23,109.15Cr Robert Danielli * $336.08 $3,734.16 $493.50 $606.06 $5,169.80Cr Carol Howell $2,072.68 $22,697.06 $7,604.16 $7,885.99 $40,259.89Cr Ian Maddison $6,413.26 $70,228.75 $28,918.43 $2,831.67 $108,392.11Cr Paul Jarman $2,072.68 $22,697.06 $3,715.50 $3,622.02 $32,107.26Cr Neil Pankhurst $2,072.68 $22,697.06 $8,842.66 $7,919.29 $41,531.69Cr Greg Toll $1,353.30 $22,697.06 $10,464.18 $2,436.84 $36,951.38Cr Adrian Weston $2,072.68 $22,697.06 $10,709.40 $1,653.84 $37,132.98Cr Leigh Wilson $2,072.68 $22,697.06 $9,685.18 $2,540.20 $36,995.12

$22,191.43 $250,871.75 $88,059.86 $32,678.43 $393,801.47

* Resigned 5 August 2013

** Commenced 16 September 2013


Council Meetings Councillor Council meetings Special meetings

Eligible Attended Eligible AttendedCr Emma Bradbury 12 12 6 6Cr Rocchina D’Angelo (commenced Sept 2013) 10 10 4 4Cr Robert Danielli (resigned Aug 2013) 1 1 1 1Cr Carol Howell 12 11 6 5Cr Ian Maddison 12 11 6 6Cr Paul Jarman 12 12 6 6Cr Neil Pankhurst 12 12 6 6Cr Greg Toll 12 11 6 6Cr Adrian Weston 12 12 6 6Cr Leigh Wilson 12 12 6 6

The statutory meeting, including election of the Mayor, was held on 12 November 2013.

Audit Committee The Audit Committee’s objectives include:

g monitoring and reviewing Council’s financial reporting and performance, and making recommendations for improvements

g helping Council make informed decisions about accounting policies, practices and disclosures

g considering the effectiveness of Council’s internal control systems and making recommendations regarding identified deficiencies

g reviewing Council’s risk profile to ensure that material operational risks are being dealt with appropriately

g reviewing the scope, performance and reports of the internal and external auditors

g ensuring compliance with legislation.

In undertaking its role to independently monitor, review and advise Council on matters of accountability and internal control affecting Council’s operations, the Audit Committee met six times in 2013/14. In line with its annual internal audit program, major reviews considered by the committee during the year included:

g Information and Communications Technology Strategy implementation

g fleet managementg revenueg project management.The committee consists of three community representatives and two councillors, support by the Chief Executive Officer and Resource Division staff.

Committee member Eligible to attend AttendedWayne Jenkin (community) 6 5Matthew Sharp (community) 4 4Suzanna Barry (community) 5 4

Cr Paul Jarman 6 6Cr Carol Howell 1 1Cr Leigh Wilson 4 4AFS Chartered Accountants (internal auditor)

6 6

Crowe Horwath Accountants (external auditor)

6 4


The Council Plan The Council Plan 2013/17 was adopted by Council on 25 June 2013 and reviewed on 20 May 2014. The aim of the council plan is to outline Council’s vision for the future and strategic objectives to be achieved during the four-year period. The plan identifies three foundations upon which to enhance the community’s health and wellbeing:

g Prosperityg Placeg People

The council plan is reviewed annually and made available to the community on the Council website www.campaspe.gov.au.

The Strategic Resource Plan is a four-year plan developed in 2013 by Council to achieve the strategic objectives identified in the council plan. The Strategic Resource Plan is reviewed annually to ensure it aligns with the annual program budget.

Policy and Strategy ReviewThe following policies, strategies and key plans were reviewed and/or adopted by Council during 2013/14.g July Toolleen Community Plang August Annual review of policy statementsg September Councillor Code of Conduct Loddon Mallee North Draft Regional Growth

Plan Model Litigant Policy for Civil Litigation Special Committees of Council Policyg October Wayfinding Strategy and Style Guide Annual Report 2012/13g November Domestic Animal Management Plan 2013/17 Community Engagement Policy Lockington Community Plang December Media Relations Policyg January Campaspe Compliance Frameworkg February 2013/17 Municipal Public Health & Wellbeing

Plang March Kyabram Recreation Reserve Infrastructure

Plan

Continuous ImprovementThe Local Government Act (Best Value Principles) Act 1999 requires all Victorian councils to review their services against key principles to ensure that they are providing value for money to their communities. Council delivers best value to the community by:

g understanding the needs of both customers and the communityg agreeing on what’s required with the resources availableg delivering what’s required through effective management in an

economical mannerg continually evaluating and improving the service.Council’s Best Value program was completed in accordance with its legislative requirements.

In 2009, Council commenced its internal Financial Sustainability Review (FSR) program to review the four key areas of assets, services, financial controls and Council’s rating strategy. While funding challenges are faced by all local governments, the FSR is a proactive approach to addressing this issue by ensuring that the community is receiving value for money, resources are allocated in the best possible way, and the Council’s long-term financial sustainability is secured.

In working towards long-term financial sustainability, Council continued to monitor and review the services it provides to the community to seek efficiencies and improvements. During the year, the following reviews were completed or commenced:

g public toilet infrastructureg the 13 phase Rural Roads Reviewg kindergarten service provisiong public halls.Reviews planned for the year ahead include:

g finalisation of public halls and kindergarten service provisiong ongoing Crown Land reviewsg ongoing review of council-owned facilities.


Money to the CommunityCouncil provided contributions, grants and donations to community groups under a number of programs including:

g $266,292 to 100 groups through the Community Grants Program

g $70,205 to 64 groups through Councillor Discretionary Fundsg $6,446 to 19 groups/individuals through general donationsg annual service agreements (community houses, Echuca Moama

Tourism, Golden Cow, Kyabram Fauna Park, Echuca Portside Traders)

g annual contributions (recreation reserve committees of management, halls, historical societies, search and rescue, senior citizens’ clubs).

The council plan is reviewed annually and made available to the community on the Council website www.campaspe.gov.au.

The Strategic Resource Plan is a four-year plan developed in 2013 by Council to achieve the strategic objectives identified in the council plan. The Strategic Resource Plan is reviewed annually to ensure it aligns with the annual program budget.

Some examples of projects supported through the Community Plan Program included:

g Kyabram senior education precinct (Kyabram Development Committee Inc) - $25,000

g Kyabram Memorial Walk & Park (Shire of Campaspe) - $47,000g solar light installation (Gunbower Development Group Inc) -

$2,882g establishment of community website (Lockington & District

Business Centre Inc) - $1,025g purchase of kitchen equipment (Nanneella Hall & Reserve

Committee of Management) - $2,147.66g restoration of Rochester Common School (Rochester Historical

& Pioneer Society Inc) - $15,000g Rochester Fine Art Exhibition – Hall Lights (Rochester

Development Committee Inc) - $4,000g Stanhope Hub Revitalisation project (Stanhope Wayside Stop

Committee) - $2,795g Stanhope & District Mens Shed (Stanhope & District Mens Shed

Inc) - $5,000g Tongala Central project (Tongala Community Plan Group) -

$50,000

In 2013/14, a total $1,460,426 was provided.

g 2009/10 $1,127,889g 2010/11 $1,147,686g 2011/12 $1,176,480g 2012/13 $1,395,362g 2013/14 $1,460,426

Council membershipsCouncil is a member of a number of groups and organisations including the following key memberships:

g Resource GV $18,570.00g Goulburn Broken Greenhouse Alliance $9,270.00g Water Watch, NCCMA $2,060.00g Municipal Association of Victoria $26,677.27g Rural Councils of Victoria $2,000.00g Victorian Caravan Parks $1,949.06g Top Tourist Parks of Australia $8,363.64g Echuca Moama Tourism $1,453.64g Caravan RV and Accommodation 500.00 g Keep Australia Beautiful 469.00 g EcoBuy 1,691.25 g Victorian Meals on Wheels 80.00 g School Crossings Victoria 150.00 g Civil Contractors Federation 604.55 g Municipal Works Officers Association 250.00 g Livestock Saleyards Association of Victoria 1,708.94 g Murray Darling Association 5,500.00 g Early Childhood Australia 222.73 g Community Childcare Association 527.27 g Libraries Australia 1,400.00Total $83,447.35


Community ConsultationSome examples of Council’s consultation and engagement with the community during the past year include:

g July Local Law No 1, Meeting Procedures Regional Growth Plan, listening postg August Campaspe in Focus, photo competition Campaspe’s Got Talent, talent competitiong September Kyabram Places of Assembly, Community

Facilities Study - draft reportg October Environmental awareness surveyg November Striking the Right Balance, financial review -

community meetingsg December Digital technology survey Compliance 11 - draft documentg January Farming Advisory Committee - expressions of

interest to joing February Open Space Strategy, community sessions and

open survey Rushworth drainage, onsite meeting New waste services, roving display across the

shireg March Campaspe Communicating sessions – Echuca,

Rochester, Kyabram, Lockington and Rushworth National Youth Week, photo competition Strategic Financial Assessment, draft reportg April Public Toilet Review, public comment Audit Committee, expression of interest to join Let’s Talk Tonnyg May 2014/15 Budget Expog June Grant writing workshop Campaspe: Our future, community workshops

and pop-up activities Compost workshop

Risk ManagementCouncil’s risk management framework continued to provide a sound basis upon which Council strives to achieve its strategic objectives.

In 2013/14, Council set an objective to identify tools and systems to progress risk integration throughout Council. A Corporate Risk Management Solution was purchased and once implemented, will achieve this integration. Council will be able to continually test the effectiveness of its risk management framework with a comprehensive internal auditing program for key risks and compliance exposures.

Municipal Asset Protection Policy

There was a continued increase in the number of and claim costs across Victorian councils for the year. Premiums increased overall, however, not to the extent of previous years where natural disasters caused significant increases. Council’s premium increased by 13 per cent, a reasonable result in light of Council’s asset base being revalued, increasing the total declared value by 25 per cent.

Asset Management Audit

Council performed consistently in the Asset Management Audit conducted this year achieving a score of 79 per cent. The format of the audit changed significantly with a greater focus on business continuity management which will be a focus area for improvement in the year ahead.

Public Liability

This year was the final transition period of the MAV pricing restructure. Although Council expected a premium increase of 14 per cent, its long-standing strong claims position was maintained resulting in a nominal 2.5 per cent increase on renewal.

No Public Liability Audit was conducted this year.


Legislative Complianceg Domestic (Feral and Nuisance) Animals Act

1994Under the Domestic Animals Act 1994, councils must prepare domestic animal plans and report on the implementation of the plan in the annual report. A new four-year Domestic Animal Management Plan was developed and adopted by Council. The primary objective of the plan is to guide Council and the community towards the goal of responsible animal ownership and management. Actions completed during the year included:

Staff Training

g One staff member completed Certificate IV in Statutory (Government) Compliance.

g One staff member completed Certificate IV in Animal Management.

All staff will be trained appropriately in animal management.

Encouraging Responsible Pet Ownership

g Website information was maintained.g Media releases and photo opportunities promoting responsible

pet ownership, such as reminders for annual registrations and microchipping, were issued.

g Achieved an increase in registrations for both dogs and cats, with dog registrations increasing from 7,631 to 8,554 and cat registrations increasing from 1,884 to 2,500 over the life of the plan.

g Dogs attacks increased slightly to 21, up from 17 the previous year.

Identification and Registration

g Life-time registration tags for dogs and cats fully implemented.g BPAY for annual registration implemented.g Undertook random door knocks in urban and rural areas,

checking currency of animal registrations.g Council partnered with The Lost Dogs Home in hosting a

microchipping day.Compliance and Enforcement

g Completed update of General Local Law.g Officers were provided with portable PCs allowing for remote

access while out on the road.Domestic Animal Businesses

g Annual inspection and registration completed for domestic animal businesses.

Declared / Dangerous Dogs

g Monthly patrols undertaken in industrial and commercial areas to assist with the identification of dangerous dogs on premises.

g Annual audits were undertaken where dangerous dogs are housed.

As at 30 June 2014, there were 11,054 domestic animals registered, 8,554 dogs and 2,500 cats.

Local Laws staff surrender dogs and cats to the Regional Animal Pound which is managed and operated by The Lost Dogs Home. Of the 562 dogs impounded by Local Laws staff, 373 were returned to their owners, 117 were adopted, and 72 euthanised.

Of the 411 cats impounded by Local Laws staff, 40 were returned to their owners, 105 were adopted, and 266 euthanised. Despite best efforts to rehouse cats, they continue to be prove more difficult to re-home than dogs.

g Equal OpportunityCampaspe Shire Council is committed to the principles of equal opportunity and anti-discrimination legislation. Council staff, contractors, consultants, suppliers, volunteers and customers are entitled to an environment free from unacceptable workplace behaviour.

Council will conduct a review of its policy regarding respect in the workplace. The policy states:

The Shire of Campaspe is committed to ensuring that staff work in an environment where people are treated with mutual respect. It is important for a productive and harmonious workplace that staff are aware of the impact of their behaviours on others. It is important that all employees feel secure and valued in an environment which enables them to achieve their highest levels of performance, personal job satisfaction and fulfilment.

Bullying, harassment, sexual harassment, discrimination, victimisation, racial and religious vilification in the workplace is inappropriate and unacceptable behaviour. The Shire of Campaspe has a zero tolerance approach to staff found to have either committed or condoned such behaviour in the workplace. Where a breach of this policy has been substantiated, the guilty offender will be subject to disciplinary action which may include the termination of employment.


g Freedom of Information Act 1992The Act grants the community the right to access certain Council documents. This general right of access is only limited by prescribed exceptions and exemptions, which serve to protect essential public interests, and the private and business affairs of people about whom Council holds information.

Written requests for documents must be addressed to the Freedom of Information Officer and accompanied by the prescribed fee.

FOI Applications Received

2013/14 2012/13 2011/12 2010/11 2009/107 16 15 21 16

g Information Privacy Act 2000Council has adopted a policy relating to information privacy and health records that meet the requirements of the Information Privacy Act 2000 and Health Records Act 2001. Both acts include privacy principles that relate to the collection, use and disclosure of information. The policy is available on Council’s website www.campaspe.vic.gov.au.

Council is committed to protecting the personal privacy of residents and ratepayers. Council will only collect, use or disclose personal information where it is necessary to perform Council functions or where disclosure is required by law. Council’s Information Privacy Policy, adopted in August 2002, is available on the Council website www.campaspe.vic.gov.au. The policy is reviewed annually.

g Local LawsCouncil has the following Local Laws in place:

g Meeting Procedures Local Law 1

Date adopted: 25 June 2013

Expiry date: 14 December 2017

Purpose: Regulate the proceedings and provide for orderly and fair conduct at all council meetings.

Regulate proceedings for the election of Mayor and Deputy Mayor and chair of any special committees.

Regulate the use of the common seal.

g Library Services Local Law 6

Date adopted: 21 June 2011

Expiry date: 21 June 2021

Purpose: Provide for the administration of Council’s powers and functions.

Ensure the delivery of high quality library services to the community.

Assist in the management of library services to the community.

g General Local Law 7

Date adopted: 13 December 2005 / Amended 20 August 2013

Expiry date: 13 December 2015

Purpose: Provide for the peace, order and good governance of the municipality.

A safe and healthy environment so that the community can enjoy a quality of life that meets its expectations.

The safe and equitable use and enjoyment of public and municipal places.

The protection and enhancement of the amenity and environment of the municipality.

The fair and reasonable use and enjoyment of private land.

The uniform and fair administration of the Local Law.

All Local Laws are available for inspection at each customer service centre and on the Council website www.campaspe.vic.gov.au.


g Road Management Act 2004Council, as a road authority, is required under Section 22 of the Act to publish a copy or summary of any direction received from the Minister in its annual report.

No directions were received from the Minister in 2013/14.

g Protected Disclosure Act 2012This Act aims to encourage and facilitate disclosures of improper conduct within the Victorian public sector and provide a framework to protect persons who make those disclosures.

Council has appointed the Governance Manager as the Protected Disclosure Coordinator. In the absence of the Protected Disclosure Coordinator, the Chief Executive Officer is the relief coordinator. Eight protected disclosure officers have been appointed and a Welfare Manager.

There were two disclosures made under this Act in 2013/14.

g Information Available for Public InspectionCouncil is required by the Local Government Act 1989, to make various documents and policies available for public inspection. In accordance with Section 11 of the Local Government (General) Regulations 2004, the following documents are available for inspection:

g 1. Details of current allowances fixed for the mayor and councillors.

g 2. Details of senior officers’ total salary packages for the current financial year and the previous year.

g 3. Details of overseas or interstate travel undertaken in an official capacity by councillors or any member of Council staff in the previous 12 months.

g 4. Names of Council officers who were required to submit a return of interest during the financial year and the dates the returns were submitted.

g 5. Names of councillors who were required to submit a return of interest during the financial year and the dates the returns were submitted.

g 6. Agendas and minutes of ordinary and special Council meetings held in the previous 12 months.

g 7. A list of all special committees established by Council and their purpose.

g 8. A list of all special committees established by the Council that were abolished or ceased to function during the financial year.

g 9. Minutes of meetings of special committees established under section 86 of the Act and held in the previous 12 months.

g 10. Register of delegations.g 11. Submissions received under section 223 of the Act during

the previous 12 months.g 12. Agreement to establish a regional library.g 13. Details of all property, finance and operating leases entered

into by Council as lessor or lessee.g 14. Register of authorised officers appointed under section 224

of the Act.g 15. List of donations and grants made by the Council during the

financial year.g 16. List of names of the organisations of which the Council was

a member during the financial year.g 17. A list of contracts valued at $100,000 (or such higher

amount as is fixed from time to time under section 186(1) of the Act) or more which the Council entered into during the financial year without first engaging in a competitive process and which are not contracts referred to in section 186(5) of the Act.

The public may view or copy any of the prescribed information at the Echuca Service Centre, located at the corner of Hare and Heygarth Streets, Echuca. Council’s website www.campaspe.vic.gov.au also offers extensive information ranging from Council meeting agendas and minutes to media releases and job vacancies.


g Victorian Local Government IndicatorsThe Victorian Government requires all Victorian councils to measure and annually report against 11 Victorian Local Government Indicators. These indicators are designed to quantify aspects of expenditure, the cost of service and infrastructure provision, customer satisfaction and governance. As a comparison, figures from the past five years are provided.

2009/10 2010/11 2011/12 2012/13 2013/14

Affordability

Average rates and charges per assessment $1,240.98 $1,377.18 $1,488.55 $1,580.48 $1,686.16

Average rates and charges per residential assessment $1,090.98 $1,189.46 $1,290.41 $1,228.00 $1,357.00

Sustainability

Average liabilities per assessment $849.38 $915.72 $651.68 $781.12 $1,118.74

Operating result per assessment - surplus (deficit) * ($17.33) $3.00 $50.36 ($14.20) ($196.20)

Services

Average operating expenditure per assessment $2,998.52 $3,362.88 $3,399.99 $3,624.10 $3,643.94

Community satisfaction survey - overall performance Index mean 53 52 60

Infrastructure

Average capital expenditure per assessment $585.86 $707.03 $1,294.86 $1,201.93 $1,418.36

Renewal gap (ratio of spending on renewal of assets) 82% 73% 114% 95% 116%

Renewal and maintenance gap (ratio of spending on renewal including maintenance)

80% 107% 147% 126% 156%

Governance

Community satisfaction survey - community consultation NA 54 53 58

Community satisfaction survey – advocacy NA 52 50 58

Community satisfaction survey – customer service NA 66 64 71

Community satisfaction survey – overall council direction NA 43 49 53

* Council’s operating result per assessment excludes one-off and non-operating items that influence the result.


Pictured above: Local Laws Officer, Ron Vickers operating the K9 Cube which collects dogs and cats at ground level removing the need to lift.

COMMUNITY SATISFACTIONThe 2014 Local Government Community Satisfaction Survey results show that Campaspe Shire Council rates higher than the large rural council group averages on all core performance measures.

Performance measure Shire of Campaspe Shire of Campaspe Large rural council2013 2014 2014

Overall performance 52 60 57Community consultation 53 58 55Advocacy 50 58 54

Customer service 64 71 68Overall council direction 49 53 51

The survey also includes results related to performance in specific service areas. Campaspe Shire Council did not participate in this section of the survey in 2013.

Performance measure Shire of Campaspe Shire of Campaspe Large rural council2013 2014 2014

Art centres & libraries NA 75 73Waste management NA 75 70Elderly support services NA 73 70Appearance of public areas NA 69 71Emergency disaster & management NA 68 72Tourism development NA 68 65Family support services NA 67 67Enforcement of local laws NA 66 65Recreation facilities NA 66 68Community & cultural NA 66 68Environmental sustainability NA 64 64Informing the community NA 63 60Traffic management NA 60 61Parking facilities NA 60 60Business & community development NA 57 61Population growth NA 56 51Community decisions NA 55 53Local streets & footpaths NA 54 53Town planning policy NA 54 54Planning permits NA 51 53Sealed roads NA 50 43Slashing & weed control NA 48 50Unsealed roads NA 41 43

* Council’s operating result per assessment excludes one-off and non-operating items that influence the result.



FINANCIAL SUMMARY

Campaspe Shire Council has a Strategic Resource Plan that sets the financial direction of Council. The key objective of this plan is to ensure that Council remains financially viable.

In brief, the 2013/14 year result provided:

g small favourable result of $218,000g delivery of the largest ever Capital Works Program with more

than 80 projects valued at $33.8 milliong further reduction in completion of outstanding community

projects

Debt Servicing RatioThe Debt Servicing Ratio identifies the capacity of Council to service its outstanding debt. Debt servicing costs refers to the payment of interest on loan borrowings, finance lease interest and bank overdraft. The ratio expresses the amount of interest paid as a percentage of Council’s total revenue. Campaspe Shire Council aims to maintain its debt servicing ratio below 5 per cent.

Debt Commitment RatioThe Debt Commitment Ratio is used to identify Council’s debt redemption strategy. The strategy involves the payment of loan principal and interest, finance lease principal and interest. The debt commitment ratio expresses the percentage of rate revenue used to pay interest and redeem debt principal.

Revenue RatioThe Revenue Ratio shows the level of Council’s reliance on rate revenue. The ratio is determined by assessing rate revenue as a proportion of the total revenue of Council. It is influenced by other revenue sources such as government grants, contributions and user fees and charges.

0.1

0.80

0.60

0.40

0.20

0

20102011

20122013

2014

%

Year

0.45 0.38 0.48 0.41

12

10

8

6

4

2

0

20102011

20122013

2014

Year

0.71 2.11 1.94 9.64 2.3610.53

50

40

30

20

10

20102011

20122013

2014

Year

0.71 36.64 35.73 39.03 46.0441.61

0.71

%%

Debt Exposure RatioThe Debt Exposure Ratio enables an assessment of Council’s solvency and exposure to debt. Total indebtedness refers to the total liabilities of Council. Total liability is compared to total realisable assets, which are all Council assets not subject to any restriction and which can be realised. The graph shows the amount of realisable assets available to meet each $1 of total liability.

Working Capital RatioThe Working Capital Ratio expresses the level of current assets Council has available to meet its current liabilities.

14

12

10

8

6

4

2

0

20102011

20122013

2014

Year

0.71 7.45 12.17 11.13 9.277.16

500

400

300

200

100

20102011

20122013

2014

Year

0.71443.55 420.60 332.70 344.10 153.78


%

%


IntroductionThe financial report details Council’s financial performance during the 2013/14 financial year and the overall position at the end of the financial year (30 June 2014).

Council presents its financial report in accordance with the Australian Accounting Standards. Council is committed to accountability and acknowledges that particular terms required by the standards may not be familiar to some readers. Consequently, the following explanations are provided to help readers understand and analyse the financial report.

What is Contained in the Annual Financial Report?Council’s financial report has two main sections - the report and the notes. There are four statements and 44 notes. These are prepared by Council staff, examined by the Audit Committee and Council, and then audited by the Victorian Auditor-General.

The four statements included in the first few pages of the report are the comprehensive income statement, balance sheet, statement of changes in equity and a cash flow statement.

The notes detail Council’s accounting policies and the make-up of values contained in the statements.

Comprehensive Income StatementThe comprehensive income statement measures Council’s performance during the year and shows if a surplus or a deficit has been achieved. To provide a comprehensive result, the statement also takes non-operational influences into account.

The statement identifies sources of Council’s revenue under various income headings and the expenses incurred in running the Council during the year. These expenses only relate to the operations and do not include the costs associated with the purchase or the building of assets. Although asset purchase costs are not included in expenses, there is an item for depreciation.

The key figure to look at is the surplus or loss for the year. A loss means that the expenses were greater than the revenue.

Balance SheetThis one-page summary is a snapshot of the financial situation as at 30 June 2014. It details Council-owned assets and what it owes as liabilities. The bottom line of this statement is net assets. This is the net worth of Council built up over many years.The assets and liabilities are separated into current and non-current. Current refers to assets or liabilities that will fall due in the next 12 months. The components of the balance sheet include:

Current and non-current assets

g Cash assets include cash held in the bank and petty cash.g Receivables are monies owed to Council by ratepayers and

others.g Financial assets include investments, ie term deposits.g Accrued income includes income owed to Council by others.g Prepayments are expenses that Council has paid in advance of

the service delivery.g Inventories are stocks held for sale or consumption in Council’s

services.g Property, infrastructure, plant and equipment is the largest

component of Council’s worth and represents the value of all of the land, buildings, roads, vehicles, and equipment which has been built up by Council over many years.

g Investment property represents commercial property held for leasing.

Current and non-current liabilities

g Trade and other payables are those to whom Council owes money.

g Provisions represent estimates of future obligations in regard to employee leave entitlements and landfill rehabilitations.

g Interest-bearing loans are borrowings of Council.g Trust funds and deposits relate to money owed to others and

held as a security.Net assets

g This term is used to describe the difference between the value of total assets and the value of total liabilities.

Total equityg The asset revaluation reserve is the difference between the

previously recorded value of property and infrastructure assets and their current valuations.

g Other reserves are allocations of the accumulated surplus to specific projects.

g Accumulated surplus is the value of all net assets accumulated over time.

UNDERSTANDING THE FINANCIAL REPORT

Statement of Changes in EquityDuring the year, the value of total ratepayers’ equity as set out in the balance sheet changes. This statement shows the value of such changes and how these changes arose.

The main reasons for a change in equity stem from:

g the profit and loss from operations, described in the statement as operating surplus or deficit for the year

g the use of monies from Council reservesg a revaluation of assets takes place on a regular basis to ensure

the most up-to-date value is included in Council’s books.

Statement of Cash FlowsThe statement of cash flows summarises Council’s cash payments and cash receipts for the year. This statement is presented according to a very specific accounting standard and needs some care in analysis. The values may differ from those shown in the income statement because Council’s accounts are prepared on an accrual accounting basis.

Cash in this statement refers to bank deposits and other forms of highly liquid investments that can readily be converted to cash, such as funds invested with fund managers.

Council’s cash arises from, and is used, in three main areas.

Cash flows from operating activities

Receipts - all cash received into Council’s bank account from ratepayers and others who owed money to Council. Receipts also include the interest earnings from Council’s cash investments. It does not include the costs associated with the sale of assets.

Payments - all cash paid to Council from its bank account to staff, creditors and other persons. It does not include the costs associated with the creation of assets.

Cash flows from investing activities

The accounting term “investing activities” only relates to assets such as new capital plant and other long-term revenue producing assets.

Cash flows from financing activities

This is where the receipt and repayment of borrowed funds are recorded.

The bottom line of the statement of cash flows is the cash at the end of financial year and indicates Council’s capacity to meet its cash debts and other liabilities plus Council’s holding of cash for designated purposes.

Notes to the AccountsThe notes are a very important and informative section of the report. To enable readers to understand the basis on which the values shown in the statements are established, it is necessary to detail Council’s accounting policies. These are described in Note 1.

Apart from the accounting policies, the notes also give details behind many of the summary figures contained in the statements. The note numbers are shown beside the relevant items in the income statement, balance sheet, statement of changes in equity and the cash flows statement.

The notes also include information that Council wishes to disclose but cannot be incorporated into the statements.

Other notes include:

g the cost of various functions of Councilg the breakdown of expenses, revenues, reserves and other

assetsg transactions with persons related to Councilg financial performance indicators.The notes should be read at the same time as, and together with, the other parts of the financial statements to ensure a clear picture of the accounts.

Standard StatementsThe Standard Statements section provides three of the four statements mentioned above (Income Statement, Balance Sheet and Statement of Cash Flows) together with a further statement (Statement of Capital Works).

The Statement of Capital Works sets out the expenditure on creating or buying property, infrastructure, plant and equipment assets by each category of asset. It also shows how much has been spent on renewing, upgrading, expanding or creating new assets of this type.

These Standard Statements provide a comparison between the actual results for the year and the budget that was set at the start of the year. All major differences are explained in accompanying notes.

Statements by Principal Accounting Officer and Councillors

The certification of the Principal Accounting Officer is made by the person responsible for the financial management of the Council that, in their opinion, the financial statements have met all the statutory and professional reporting requirements.

The Certification of Councillors is made by two councillors on behalf of Council that, in their opinion, the financial statements are fair and not misleading. The Chief Executive Officer also endorses and signs the certification.

Auditor-General’s Report

The independent audit report provides the reader with an external and independent opinion on the financial statements. It confirms that the financial report has been prepared in accordance with relevant legislation and professional standards, and that it represents a fair picture of the financial affairs of the Council.

General

g External Auditor: Auditor-General of Victoriag Internal Auditor: AFS and Associatesg Bankers: National Australia Bankg Website address: www.campaspe.vic.gov.au



Shire of CampaspeFinancial Report


FINANCIAL REPORT PAGEFinancial StatementsComprehensive Income Statement 69Balance Sheet 70Statement of Changes in Equity 71Cash Flow Statement 72Notes to Financial Statements Introduction 73Note 1 Significant accounting policies 73Note 2 Rates and charges 83Note 3 Statutory fees and fines 83Note 4 User fees 83Note 5 Grants 84Note 6 Other income - non-monetary assets 85Note 7 Net gain / (loss) on disposal of property plant and equipment 85Note 8 Other income 85Note 9 Employee costs 85Note 10 Materials and services 85Note 11 Bad and doubtful debts 86Note 12 Depreciation and amortisation 86Note 13 Borrowing costs 86Note 14 Other expenses 86Note 15 Cash and cash equivalents 86Note 16 Trade and other receivables 87Note 17 Other financial assets 87Note 18 Inventories 87Note 19 Assets held for sale 87Note 20 Other assets 87Note 21 Property, infrastructure, plant, equipment and infrastructure 88Note 22 Investment property 97Note 23 Trade and other payables 97Note 24 Trust funds and deposits 97Note 25 Provisions 97Note 26 Interest bearing loans and borrowings 99Note 27 Reserves 100Note 28 Reconciliation of cash flows from operating activities to surplus (deficit) 104Note 29 Reconciliation of cash and cash equivalents 104Note 30 Financing arrangements 104Note 31 Restricted assets 104Note 32 Superannuation 105Note 33 Commitments 107Note 34 Operating leases 108Note 35 Contingent liabilities and contingent assets 108Note 36 Financial risk management 109Note 37 Auditors’ remuneration 115Note 38 Events occurring after balance date 115Note 39 Related party transactions 116Note 40 Income, expenses and assets by functions/activities 117Note 41 Financial ratios (Performance indicators) 118Note 42 Capital expenditure 120Note 43 Special committees and other activities 121Note 44 Recognition of new assets 121Certification of the Financial Report 122


Shire of Campaspe2013/2014 Financial Report

Note 2014 2013$'000 $'000

IncomeRates and charges 2 33,912 31,706Statutory fees and fines 3 891 976User fees 4 16,662 16,044Contributions - non-monetary assets 6 - 193Grants - Operating (recurrent) 5 10,228 15,256Grants - Capital (non-recurrent) 5 11,018 13,647Other income 8 1,882 2,660Fair value adjustments for investment property 22 (940) 671Recognition of assets under Council control 21 - 94

Total income 73,653 81,247

ExpensesEmployee benefits 9 (30,325) (28,849)Materials and services 10 (26,465) (23,409)Adjustment to carrying value of work in progress - (483)Bad and doubtful debts 11 1 (60)Depreciation and amortisation 12 (12,166) (13,346)Net loss on disposal of property, infrastructure, plant and equipment 7 (1,979) (3,807)Finance costs 13 (301) (393)Other expenses 14 (2,052) (2,357)

Total expenses (73,286) (72,704)

Surplus/(deficit) for the year 367 8,543

Other comprehensive incomeItems that will not be reclassified to surplus or deficit in future periodsNet asset revaluation increment(decrement) 21 (a) (8,667) 116

Total comprehensive result (8,300) 8,659

For the Year Ended 30 June 2014Comprehensive Income Statement

The above comprehensive income statement should be read in conjunction with the accompanying notes.



Note 2014 2013 $'000 $'000

AssetsCurrent assetsCash and cash equivalents 15 4,907 8,818Trade and other receivables 16 6,368 3,319 Other financial assets 17 10,290 25,022 Inventories 18 559 634 Non-current assets classified as held for sale 19 910 - Other assets 20 284 124 Total current assets 23,318 37,916

Non-current assetsOther financial assets 17 11,500 10,000 Property, infrastructure, plant and equipment 21 550,491 545,620 Investment property 22 11,103 12,043 Total non-current assets 573,094 567,662Total assets 596,412 605,578

LiabilitiesCurrent liabilitiesTrade and other payables 23 6,865 6,491 Trust funds and deposits 24 507 470 Provisions 25 7,263 7,959 Interest-bearing loans and borrowings 26 529 499 Total current liabilities 15,164 15,419

Non-current liabilitiesProvisions 25 3,020 3,022 Interest-bearing loans and borrowings 26 4,823 5,352 Trust funds and deposits 24 123 204 Total non-current liabilities 7,966 8,578Total liabilities 23,130 23,997

Net Assets 573,282 581,582

EquityAccumulated surplus 284,805 269,583 Reserves 27 288,478 311,999

Total Equity 573,282 581,582

As at 30 June 2014Balance Sheet

The above balance sheet should be read in conjunction with the accompanying notes.


Shire of Campaspe

Accumulated Revaluation OtherTotal Surplus Reserve Reserves2014 2014 2014 2014

2014 $'000 $'000 $'000 $'000

Balance at beginning of the financial year 581,582 269,583 273,361 38,638Surplus / (deficit) for the year 367 367 - -Net asset revaluation increment (decrement) 27(a) (8,667) - (8,667) -Transfers from other reserves 27(b) - 41,918 - (41,918)Transfers to other reserves 27(b) - (27,063) - 27,063Balance at end of the financial year 573,282 284,805 264,695 23,783

Accumulated Revaluation OtherSurplus Reserve

2013 2013 2013 20132013 $'000 $'000 $'000 $'000

Balance at beginning of the financial year 539,951 230,920 273,245 35,786Correction of an error * 32,971 32,971Adjusted opening balance 572,922 263,891 273,245 35,786

Surplus / (deficit) for the year 8,543 8,543 - -Net asset revaluation increment (decrement) 27(a) 116 - 116 -Transfers from other reserves 27(b) - 36,935 - (36,935)Transfers to other reserves 27(b) - (39,786) - 39,787Balance at end of the financial year 581,582 269,583 273,361 38,638

2013/2014 Financial Report

Statement of Changes in Equity

Note

For the Year Ended 30 June 2014

* Shire of Campaspe has a correction of an error as outlined in note 1 (z).The above statement of changes in equity should be read in conjunction with the accompanying notes.


Shire of Campaspe

2014 2013Inflows/ Inflows/

(Outflows) (Outflows)Note $'000 $'000

Cash flows from operating activities

Rates and charges 33,758 31,568Statutory fees and fines 891 976User fees 17,296 19,470Grants - operating 11,250 14,496Grants - capital 9,589 17,297Interest 1,815 2,179Other receipts 411 178Net GST payment (642) (2,242)Employee costs (29,992) (32,830)Material and consumables (31,050) (27,579)Finance costs (301) (393)Net cash provided by (used in) operating activities 28 13,024 23,120

Cash flows from investing activities

Payments for property, infrastructure, plant and equipment (29,306) (24,214)Payments for landfill rehabilitation (1,030) (293)Payments for investment property (0) (25)Proceeds from sale of property, infrastructure, plant and equipment 713 2,864Net movement in trust funds and deposits (45) 19Purchase of financial assets (16,006) (23,953)Proceeds from sale of financial assets 29,239 20,087Net cash provided by (used in) investing activities (16,435) (25,515)

Cash flows from financing activities

Repayment of borrowings (499) (2,664)Net cash provided by (used in) financing activities (499) (2,664)

Net increase (decrease) in cash and cash equivalents (3,913) (5,059)Cash and cash equivalents at the beginning of the financial year 8,818 13,877

Cash and cash equivalents at the end of the financial year 15 4,907 8,818

Financing arrangements 30

Restrictions on cash assets 31

The above statement of cash flows should be read in conjunction with the accompanying notes.


Statement of Cash FlowsFor the Year Ended 30 June 2014


Shire of Campaspe Notes to the Financial Report2013/2014 Financial Report For the Year Ended 30 June 2014

Introduction(a) The Shire of Campaspe was established by an Order of the Governor in Council on 18 November

1994 and is a body corporate. The Council's main office is located at Heygarth St Echuca.

(b) The purpose of the Council is to:- provide for the peace, order and good government of its municipal district; - to promote the social, economic and environmental viability and sustainability of the municipal - to ensure that resources are used efficiently and effectively and services are provided in accordance with the Best Value Principles to best meet the needs of the local community; - to improve the overall quality of life of people in the local community;- to promote appropriate business and employment opportunities;- to ensure that services and facilities provided by the Council are accessible and equitable;- to ensure the equitable imposition of rates and charges; and- to ensure transparency and accountability in Council decision making.

External Auditor - Auditor-General of VictoriaInternal Auditor - AFS & AssociatesSolicitors - Dawes & VaryBankers - National Australia BankWebsite address - www.campaspe.vic.gov.au

This financial report is a general purpose financial report that consists of a Comprehensive Income Statement, Balance Sheet, Statement of Changes in Equity, Statement of Cash Flows, and notes accompanying these financial statements. The general purpose financial report complies with Australian Accounting Standards, other authoritative pronouncements of the Australian Accounting Standards Board, the Local Government Act 1989, and the Local Government (Planning and Reporting) Regulations 2014.

Note 1 Significant accounting policies(a) Basis of accounting

This financial report has been prepared under the historical cost convention, except where specifically stated in notes 1(h), 1(j), 1(s), 1(v), 1(w) and 1(x).

Unless otherwise stated, all accounting policies are consistent with those applied in the prior year. Where appropriate, comparative figures have been amended to accord with current presentation, and disclosure has been made of any material changes to comparatives.

All entities controlled by Council that have material assets or liabilities, such as Special Committees of Management, have been included in this financial report. All transactions between these entities and the Council have been eliminated in full.

(b) Change in accounting policiesAASB 13 Fair Value MeasurementCouncil has applied AASB 13 for the first time in the current year. AASB 13 establishes a single source of guidance for fair value measurements. The fair value measurement requirements of AASB 13 apply to both financial instrument items and non-financial instrument items for which other A-IFRS require or permit fair value measurements and disclosures about fair value measurements, except for share-based payment transactions that are within the scope of AASB 2 Share-based Payment, leasing transactions that are within the scope of AASB 17 Leases, and measurements that have some similarities to fair value but not fair value (e.g. net realisable value for the purposes of measuring inventories or value in use for impairment assessment purposes).

AASB 13 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction in the principal (or most advantageous) market at the measurement date under current market conditions. Fair value under AASB 13 is an exit price regardless of whether that price is directly observable or estimated using another valuation technique. Also, AASB 13 includes extensive disclosure requirements.



Note 1 Significant accounting policies (cont.)

AASB 13 requires prospective application from 1 January 2013. In addition, specific transitional provisions were given to entities such that they need not apply the disclosure requirements set out in the Standard in comparative information provided for periods before the initial application of the Standard. In accordance with these transitional provisions, Council has not made any new disclosures required by AASB 13 for the 2013 comparative period (please see note 15, 21 and 26 disclosures).

Other than the additional disclosures, the application of AASB 13 has not had any material impact on the amounts recognised in the financial statements

AASB 119 Employee benefits

In the current year, Council has applied AASB 119 Employee Benefits (as revised in 2011) and therelated consequential amendments for the first time. AASB 119 changes the definition of short-term employee benefits. These were previously benefits that were due to be settled within twelve months after the end of the reporting period in which the employees render the related service, however, short-term employee benefits are now defined as benefits expected to be settled wholly before twelve months after the end of the reporting period in which the employees render the related service. As a result, accrued annual leave balances which were previously classified by Council as short-term benefits no longer meet this definition and are now classified as long-term benefits. This has resulted in a change of measurement for that portion of annual leave provision from an undiscounted to discounted basis.

This change in classification has not materially altered Council's measurement of the annual leave provision.

(c) Revenue recognition

Rates, grants and contributions

Rates, grants and contributions (including developer contributions) are recognised as revenues when the Council obtains control over the assets comprising these receipts.

Control over assets acquired from rates is obtained at the commencement of the rating year as it is an enforceable debt linked to the rateable property or, where earlier, upon receipt of the rates.

A provision for doubtful debts on rates has not been established as unpaid rates represents a charge against the rateable property that will be recovered when the property is next sold.

Control over granted assets is normally obtained upon their receipt (or acquittal) or upon earlier notification that a grant has been secured, and are valued at their fair value at the date of transfer.

Income is recognised when the Council obtains control of the contribution or the right to receive the contribution, it is probable that the economic benefits comprising the contribution will flow to the Council and the amount of the contribution can be measured reliably.

Where grants or contributions recognised as revenues during the financial year were obtained on condition that they be expended in a particular manner or used over a particular period and those conditions were undischarged at balance date, the unused grant or contribution is disclosed in note 5. The note also discloses the amount of unused grant or contribution from prior years that was expended on Council’s operations during the current year.

A liability is recognised in respect of revenue that is reciprocal in nature to the extent that the requisite service has not been provided at balance date.

User fees and fines

User fees and fines (including parking fees and fines) are recognised as revenue when the service has been provided, the payment is received, or when the penalty has been applied, whichever first occurs.

A provision for doubtful debts is recognised when collection in full is no longer probable.

Sale of property, plant and equipment, infrastructure

The profit or loss on sale of an asset is determined when control of the asset has irrevocably passed to the buyer.



Note 1 Significant accounting policies (cont.)Rental

Rents are recognised as revenue when the payment is due or the payment is received, whichever first occurs. Rental payments received in advance are recognised as a prepayment until they are due.

InterestInterest is recognised as it is earned.DividendsDividend revenue is recognised when the Council's right to receive payment is established.Other Income

Other income is measured at the fair value of the consideration received or receivable and is recognised when Council gains control over the right to receive the income.

(d) Trade and other receivables and inventoriesTrade receivablesReceivables are carried at amortised cost using the effective interest rate method. A provision for doubtful debts is recognised when there is objective evidence that an impairment has occurred.Inventories held for distribution are measured at cost adjusted when applicable for any loss of service potential.Other inventories are measured at the lower of cost and net realisable value.

(e) Depreciation and amortisation of property, plant and equipment, infrastructure, intangibles

Buildings, land improvements, plant and equipment, infrastructure, heritage assets, and other assets having limited useful lives are systematically depreciated over their useful lives to the Council in a manner which reflects consumption of the service potential embodied in those assets. Estimates of remaining useful lives and residual values are made on a regular basis with major asset classes reassessed annually. Depreciation rates and methods are reviewed annually.

Where assets have separate identifiable components that are subject to regular replacement, these components are assigned distinct useful lives and residual values and a separate depreciation rate is determined for each component.

Road earthworks are not depreciated on the basis that they are assessed as not having a limited useful life.

Artworks are not depreciated.Straight line depreciation is charged based on the residual useful life as determined each year.Major depreciation periods used are listed below and are consistent with the prior year unless otherwise stated:

Period2014

PropertyLand land improvements 30 yearsBuildings buildings 75 -100 years building improvements 20 years leasehold building improvements 10 years heritage buildings 100 -150 years fire protection sprinkler systems 25 yearsPlant and Equipment plant, machinery and equipment 3 - 20 years fixtures, fittings and furniture 3 -15 years computers and telecommunications 4 years leased plant and equipment 4 years heritage plant and equipment (Paddlesteamers) 100 years library books 5 - 10 years


Note 1 Significant accounting policies (cont.)Rental

Rents are recognised as revenue when the payment is due or the payment is received, whichever first occurs. Rental payments received in advance are recognised as a prepayment until they are due.

InterestInterest is recognised as it is earned.DividendsDividend revenue is recognised when the Council's right to receive payment is established.Other Income

Other income is measured at the fair value of the consideration received or receivable and is recognised when Council gains control over the right to receive the income.

(d) Trade and other receivables and inventoriesTrade receivablesReceivables are carried at amortised cost using the effective interest rate method. A provision for doubtful debts is recognised when there is objective evidence that an impairment has occurred.Inventories held for distribution are measured at cost adjusted when applicable for any loss of service potential.Other inventories are measured at the lower of cost and net realisable value.

(e) Depreciation and amortisation of property, plant and equipment, infrastructure, intangibles

Buildings, land improvements, plant and equipment, infrastructure, heritage assets, and other assets having limited useful lives are systematically depreciated over their useful lives to the Council in a manner which reflects consumption of the service potential embodied in those assets. Estimates of remaining useful lives and residual values are made on a regular basis with major asset classes reassessed annually. Depreciation rates and methods are reviewed annually.

Where assets have separate identifiable components that are subject to regular replacement, these components are assigned distinct useful lives and residual values and a separate depreciation rate is determined for each component.

Road earthworks are not depreciated on the basis that they are assessed as not having a limited useful life.

Artworks are not depreciated.Straight line depreciation is charged based on the residual useful life as determined each year.Major depreciation periods used are listed below and are consistent with the prior year unless otherwise stated:

Period2014

PropertyLand land improvements 30 yearsBuildings buildings 75 -100 years building improvements 20 years leasehold building improvements 10 years heritage buildings 100 -150 years fire protection sprinkler systems 25 yearsPlant and Equipment plant, machinery and equipment 3 - 20 years fixtures, fittings and furniture 3 -15 years computers and telecommunications 4 years leased plant and equipment 4 years heritage plant and equipment (Paddlesteamers) 100 years library books 5 - 10 years



Note 1 Significant accounting policies (cont.)Infrastructure PeriodRoads 2014 road pavements and seals 7 - 15 years road substructure 74 -112 years road kerb, channel and minor culverts 50 years road other - gravel 15 yearsBridges bridges deck 80 years bridges substructure 80 yearsOther infrastructure footpaths and cycleways 50 years drainage 80 years parks, open space and streetscapes 20 years off street car parks 7 - 15 years other infrastructure - pools and equipment 80 years

(f) Repairs and maintenance

Routine maintenance, repair costs, and minor renewal costs are expensed as incurred. Where the repair relates to the replacement of a component of an asset and the cost exceeds the capitalisation threshold the cost is capitalised and depreciated. The carrying value of the replaced asset is expensed.

(g) Borrowing costs

Borrowing costs are recognised as an expense in the period in which they are incurred, except where they are capitalised as part of a qualifying asset constructed by Council. Except where specific borrowings are obtained for the purpose of specific asset acquisition, the weighted average interest rate applicable to borrowings at balance date, excluding borrowings associated with superannuation, is used to determine the borrowing costs to be capitalised.

Borrowing costs include interest on bank overdrafts and interest on borrowings.(h) Recognition and measurement of assets

Acquisition

The purchase method of accounting is used for all acquisitions of assets, being the fair value of assets provided as consideration at the date of acquisition plus any incidental costs attributable to the acquisition. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

Where assets are constructed by Council, cost includes all materials used in construction, direct labour, borrowing costs incurred during construction, and an appropriate share of directly attributable variable and fixed overheads.

The following classes of assets have been recognised in note 21. In accordance with Council's policy, the threshold limits detailed below have applied when recognising assets within an applicable asset class and unless otherwise stated are consistent with the prior year:

Threshold limit

$'000PropertyLand land improvements 10 Buildings buildings 10 building improvements 10 leasehold building improvements 10 heritage buildings 10



Note 1 Significant accounting policies (cont.)Threshold limit

(h) Recognition and measurement of assets (cont.) $'000Plant and Equipment plant, machinery and equipment 0.5 fixtures, fittings and furniture 0.5 computers and telecommunications 0.5 leased plant and equipment 0.5 heritage plant & equipment 5 library books 1 InfrastructureRoads road pavements and seals 10 road substructure 10 road formation and earthworks 10 road kerb, channel and minor culverts 10 Bridges bridges deck 10 bridges substructure 10 Other infrastructure footpaths and cycleways 10 drainage 10 recreational, leisure and community facilities 10 parks, open space and streetscapes 1 aerodromes 10 off street car parks 10 Revaluation

Subsequent to the initial recognition of assets, non-current physical assets, other than plant and equipment, are measured at their fair value, being the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. At balance date, the Council reviewed the carrying value of the individual classes of assets measured at fair value to ensure that each asset materially approximated its fair value. Where the carrying value materially differed from the fair value at balance date the class of asset was revalued.

Fair value valuations are determined in accordance with a valuation hierarchy. Changes to the valuation hierarchy will only occur if an external change in the restrictions or limitations of use on an asset result in changes to the permissible or practical highest and best use of the asset. More details about the valuation techniques and inputs used in determining the fair value of non-financial physical assets are discussed in Note 21 Property, Plant and Equipment.

In addition, Council undertakes a formal revaluation of land, buildings, and infrastructure assets on a regular basis ranging from 1 to 5 years. The valuation is performed either by experienced council officers or independent experts.

Where the assets are revalued, the revaluation increments are credited directly to the asset revaluation reserve except to the extent that an increment reverses a prior year decrement for that class of asset that had been recognised as an expense in which case the increment is recognised as revenue up to the amount of the expense. Revaluation decrements are recognised as an expense except where prior increments are included in the asset revaluation reserve for that class of asset in which case the decrement is taken to the reserve to the extent of the remaining increments. Within the same class of assets, revaluation increments and decrements within the year are offset.

Land under roadsCouncil recognises land under roads it controls at fair value.

(i) Cash and cash equivalents

For the purposes of the statement of cash flows, cash and cash equivalents include cash on hand, deposits at call, and other highly liquid investments with original maturities of three months or less, net of outstanding bank overdrafts.


Note 1 Significant accounting policies (cont.)Threshold limit

(h) Recognition and measurement of assets (cont.) $'000Plant and Equipment plant, machinery and equipment 0.5 fixtures, fittings and furniture 0.5 computers and telecommunications 0.5 leased plant and equipment 0.5 heritage plant & equipment 5 library books 1 InfrastructureRoads road pavements and seals 10 road substructure 10 road formation and earthworks 10 road kerb, channel and minor culverts 10 Bridges bridges deck 10 bridges substructure 10 Other infrastructure footpaths and cycleways 10 drainage 10 recreational, leisure and community facilities 10 parks, open space and streetscapes 1 aerodromes 10 off street car parks 10 Revaluation

Subsequent to the initial recognition of assets, non-current physical assets, other than plant and equipment, are measured at their fair value, being the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. At balance date, the Council reviewed the carrying value of the individual classes of assets measured at fair value to ensure that each asset materially approximated its fair value. Where the carrying value materially differed from the fair value at balance date the class of asset was revalued.

Fair value valuations are determined in accordance with a valuation hierarchy. Changes to the valuation hierarchy will only occur if an external change in the restrictions or limitations of use on an asset result in changes to the permissible or practical highest and best use of the asset. More details about the valuation techniques and inputs used in determining the fair value of non-financial physical assets are discussed in Note 21 Property, Plant and Equipment.

In addition, Council undertakes a formal revaluation of land, buildings, and infrastructure assets on a regular basis ranging from 1 to 5 years. The valuation is performed either by experienced council officers or independent experts.

Where the assets are revalued, the revaluation increments are credited directly to the asset revaluation reserve except to the extent that an increment reverses a prior year decrement for that class of asset that had been recognised as an expense in which case the increment is recognised as revenue up to the amount of the expense. Revaluation decrements are recognised as an expense except where prior increments are included in the asset revaluation reserve for that class of asset in which case the decrement is taken to the reserve to the extent of the remaining increments. Within the same class of assets, revaluation increments and decrements within the year are offset.

Land under roadsCouncil recognises land under roads it controls at fair value.

(i) Cash and cash equivalents

For the purposes of the statement of cash flows, cash and cash equivalents include cash on hand, deposits at call, and other highly liquid investments with original maturities of three months or less, net of outstanding bank overdrafts.



Note 1 Significant accounting policies (cont.)(j) Other financial assets

Other financial assets are term deposits valued at cost. Investments are held to maximise interest returns on surplus cash. Interest revenues are recognised as they accrue.

(k) InvestmentsInvestments, other than investments in associates, are measured at cost.

(l) Tender deposits

Amounts received as tender deposits and retention amounts controlled by Council are recognised as Trust funds until they are returned or forfeited (refer to note 24).

(m) Employee benefitsThe calculation of employee benefits includes all relevant on-costs and are calculated as follows atreporting date.(i) Wages and salaries, and annual leave

Liabilities for wages and salaries, including non-monetary benefits, annual leave and accumulated sick leave expected to be wholly settled within 12 months of the reporting date are recognised in the provision for employee benefits in respect of employee services up to the reporting date, classified as current liabilities and measured at their nominal values.

Liabilities that are not expected to be wholly settled within 12 months of the reporting date are recognised in the provision for employee benefits as current liabilities, measured at present value of the amounts expected to be paid when the liabilities are settled using the remuneration rate expected to apply at the time of settlement.

(ii) Long service leaveLiability for long service leave (LSL) is recognised in the provision for employee benefits.Current Liability - unconditional LSL representing 7 years is disclosed as a current liability even when the council does not expect to settle the liability within 12 months because it will not have the unconditional right to defer settlement of the entitlement should an employee take leave within 12 months.

The components of this current liability are measured at : - present value - component that is not expected to be settled within 12 months. - nominal value - component that is expected to be settled within 12 months. Non-current liability - conditional LSL representing less than 7 years is disclosed as a non - current liability. There is an unconditional right to defer settlement of the entitlement until the employee has completed the requisite years of service.This non-current LSL liability is measured at present value. (iii) Termination benefitsTermination benefits are payable when employment is terminated before the normal retirement date, or when an employee accepts voluntary redundancy in exchange for these benefits. The council recognises termination benefits when it is demonstrably committed to either terminating the employment of current employees according to a detailed formal plan without possibility of withdrawal or providing termination benefits as a result of an offer made to encourage voluntary redundancy. Benefits falling due more than 12 months after balance sheet date are discounted to present value.

(iv) Employee benefits on-costsEmployee benefits on-costs (workers compensation, superannuation, annual leave and long service leave accrued while on LSL taken in service) are recognised separately from provision for employee benefits.



Note 1 Significant accounting policies (cont.)(v) SuperannuationThe amount charged to the Comprehensive Income Statement in respect of superannuation represents contributions made or due by Shire of Campaspe to the relevant superannuation plans in respect to the services of Shire of Campaspe’s staff (both past and present). Superannuation contributions are made to the plans based on the relevant rules of each plan and any relevant compulsory superannuation requirements that Shire of Campaspe is required to comply with.

(n) LeasesOperating leases

Lease payments for operating leases are required by the accounting standard to be recognised on a straight line basis, rather than expensed in the years in which they are incurred.Leasehold improvements

Leasehold improvements are recognised at cost and are amortised over the unexpired period of the lease or the estimated useful life of the improvement, whichever is the shorter. At balance date, leasehold improvements are amortised over a 10 year period.

(o) Allocation between current and non-current

In the determination of whether an asset or liability is current or non-current, consideration is given to the time when each asset or liability is expected to be settled. The asset or liability is classified as current if it is expected to be settled within the next twelve months, being the Council's operational cycle, or if the Council does not have an unconditional right to defer settlement of a liability for at least 12 months after the reporting date.

(p) Agreements equally proportionately unperformedThe Council does not recognise assets and liabilities arising from agreements that are equally proportionately unperformed in the balance sheet. Such agreements are recognised on an 'as incurred' basis.

(q) Web site costsCosts in relation to websites are charged as an expense in the period in which they are incurred.

(r) Goods and Services Tax (GST)Revenues, expenses and assets are recognised net of the amount of GST, except where the amount of GST incurred is not recoverable from the Australian Tax Office. In these circumstances the GST is recognised as part of the cost of acquisition of the asset or as part of an item of the expense. Receivables and payables in the balance sheet are shown inclusive of GST.

Cash flows are presented in the statement of cash flows on a gross basis, except for the GST component of investing and financing activities, which are disclosed as operating cash flows.

(s) Impairment of assets

At each reporting date, the Council reviews the carrying value of its assets to determine whether there is any indication that these assets have been impaired. If such an indication exists, the recoverable amount of the asset, being the higher of the asset's fair value less costs to sell and value in use, is compared to the assets carrying value. Any excess of the assets carrying value over its recoverable amount is expensed to the comprehensive income statement, unless the asset is carried at the revalued amount in which case, the impairment loss is recognised directly against the revaluation surplus in respect of the same class of asset to the extent that the impairment loss does not exceed the amount in the revaluation surplus for that same class of asset.

(t) RoundingUnless otherwise stated, amounts in the financial report have been rounded to the nearest thousand dollars. Figures in the financial statement may not equate due to rounding.



Note 1 Significant accounting policies (cont.)(u) Non-current assets held for sale

A non-current asset held for sale (including disposal groups) is measured at the lower of itscarrying amount and fair value less costs to sell, and are not subject to depreciation. Non-current assets, disposal groups and related liabilities assets are treated as current and classified as held for sale if their carrying amount will be recovered through a sale transaction rather than through continuing use. This condition is regarded as met only when the sale is highly probable and the asset's sale (or disposal group sale) is expected to be completed within 12 months from the date of classification.

(v) Investment propertyInvestment property, comprising historical precinct buildings, is held to generate long-term rental yields. Investment property is measured initially at cost, including transaction costs. Costs incurred subsequent to initial acquisition are capitalised when it is probable that future economic benefit in excess of the originally assessed performance of the asset will flow to the Council. Subsequent to initial recognition at cost, investment property is carried at fair value, determined annually by independent valuers. Changes to fair value are recorded in the comprehensive income statement in the period that they arise. Rental income from the leasing of investment properties is recognisedin the comprehensive income statement on a straight line basis over the lease term.

(w) Financial guarantees

Financial guarantee contracts are recognised as a liability at the time the guarantee is issued. The liability is initially measured at fair value, and if there is material increase in the likelihood that the guarantee may have to be exercised, at the higher of the amount determined in accordance with AASB 137 Provisions, Contingent Liabilities and Contingent Assets and the amount initially recognised less cumulative amortisation, where appropriate. In the determination of fair value, consideration is given to factors including the probability of default by the guaranteed party and the likely loss to Council in the event of default.

(x) Contingent assets and contingent liabilities and commitmentsContingent assets and contingent liabilities are not recognised in the Balance Sheet, but are disclosed by way of a note and, if quantifiable, are measured at nominal value. Contingent assets and liabilities are presented inclusive of GST receivable or payable respectively.Commitments are not recognised in the Balance Sheet. Commitments are disclosed at their nominal value by way of note and presented inclusive of the GST payable.

(y) Pending Accounting StandardsThe following Australian Accounting Standards have been issued or amended and are applicable to the Council but are not yet effective. They have not been adopted in preparation of the financial statements at reporting date.

(z) Accounting Policies, Changes in Accounting Estimates and ErrorsAASB 108 prescribes the criteria for selecting and changing accounting policies, together with the accounting treatment and disclosure of changes in accounting policies, changes in accounting estimates and correction of errors.Opening Accumulated surplus has been adjusted for recognition of previously unrecognised Land. This has resulted in a net change to non-current assets of $32.971 million.


Shire of Campaspe Notes to the Financial Report2013/2014 Financial Report For the Year Ended 30 June 2014Note 1 (y) (cont)

Pronouncement Summary ApplicationDate

Impact on Council

AASB 9 Financial Instruments

AASB 9 standard is one of a series of amendments that are expected to eventually completely replace AASB 139. During 2010/11, the standard will be expanded to include new rules on measurement of financial liabilities and hedge accounting. Currently the existing provisions of AASB 139 will continue to apply in these areas.

1-Jul-15 The impact is not likely to be extensive in the local government sector. Although it will vary considerably between entities. While the rules are less complex than those of AASB 139, the option to show equity instruments at cost has been largely removed, which is likely to lead to greater volatility within the income statement. However it may also lead to an improved financial position for some entities.

AASB 9 simplifies the classifications of financial assets into those to be carried at amortised cost and those to be carried at fair value – the ‘available for sale’ and ‘held-to-maturity’ categories no longer exists. AASB 9 also simplifies requirements for embedded derivatives and removes the tainting rules associated with held-to-maturity assets.

The new categories of financial assets are: This will also create a requirement to measure some instruments annually that has not previously existed.

· Amortised cost – those assets with ‘basic’ loan features’.· Fair value through other comprehensive income -this treatment is optional for equity instruments not held for trading (this choice is made at initial recognition and is irrevocable).

· Fair Value through profit and Loss - everything that does not fall into the above two categories.The following changes also apply:· Investments in unquoted equity instruments must be measured at fair value. However, cost may be the appropriate measure of fair value where there is insufficient more recent information available to determine a fair value.

· There is no longer any requirement to consider whether ‘significant or prolonged’ decline in the value of financial assets has occurred. The only impairment testing will be on those assets held at amortised cost, and all impairments will be eligible for reversal.

Similarly, all movements in the fair value of a financial asset now go to the income statement, or, for equity instruments not held for trading, other comprehensive income. There is no longer any requirement to book decrements through the income statement, and increments through equity.


Shire of Campaspe Notes to the Financial Report2013/2014 Financial Report For the Year Ended 30 June 2014Note 1 (y) (cont)

AASB 10 ConsolidatedFinancialStatements

This Standard forms the basis for determining which entities should be consolidated into an entity’s financial statements. AASB 10 defines ‘control’ as requiring exposure or rights to variable returns and the ability to affect those returns through power over an investee, which may broaden the concept of control for public sector entities.

1-Jul-14 The AASB have finalised deliberations on ED 238 and any modifications made to AASB 10 for not-for-profit entities, Council will need to re-assess the nature of its relationships with other entities, including those that are currently not consolidated.

The AASB has issued an exposure draft ED 238Consolidated Financial Statements – Australian Implementation Guidance for Not-for-Profit Entities that explains and illustrates how the principles in the Standard apply from the perspective of not-for-profit entities in the private and public sectors.

AASB 11 Joint Arrangements

This Standard deals with the concept of joint control, and sets out a new principles-based approach for determining the type of joint arrangement that exists and the corresponding accounting treatment. The new categories of joint arrangements under AASB 11 are more aligned to the actual rights and obligations of the parties to the arrangement.

1-Jul-14 The AASB have finalised deliberations and any modifications made to AASB 11 for not-for-profit entities, Council will need to assess the nature of arrangements with other entities in determining whether a joint arrangement exists in light of AASB 11.

AASB 12 Disclosure of Interests in Other Entities

This Standard requires disclosure of information that enables users of financial statements to evaluate the nature of, and risks associated with, interests in other entities and the effects of those interests on the financial statements. This Standard replaces the disclosure requirements in AASB 127 Separate Financial Statements and AASB 131 Interests in Joint Ventures.

1-Jul-14 Impacts on the level and nature of the disclosures will be assessed based on the eventual implications arising from AASB 10, AASB 11 and AASB 128 Investments in Associates and Joint Ventures.

The exposure draft ED 238 proposes to add some implementation guidance to AASB 12, explaining and illustrating the definition of a ‘structured entity’ from a not-for-profit perspective.

AASB 127 Separate Financial Statements

This revised Standard prescribes the accounting and disclosure requirements for investments in subsidiaries, joint ventures and associates when an entity prepares separate financial statements.

1-Jul-14 The impact of this standard will need to be assessed in line with the final deliberations by the AASB on the application of this standard to not for profit entities.

AASB 128 Investments in Associates and Joint Ventures

This revised Standard sets out the requirements for the application of the equity method when accounting for investments in associates and joint ventures.

1-Jul-14 The impact of this standard will need to be assessed in line with the final deliberations by the AASB on the application of this standard to not for profit entities.

AASB 1053 Application of Tiers of Australian AccountingStandards and AASB 2010-2 Amendments to AustralianAccounts Standard arising from ReducedDisclosureRequirements

These standards set out the tiers of financial reporting and the reduced disclosure framework.

1-Jul-14 Council has yet to determine the impact of this standard.



2014 2013$'000 $'000

Note 2 Rates and charges

Council uses capital improved values as the basis of valuation of allproperties within the municipal district. The capital improved value of aproperty is its equivalent to market price at the prescribed date ofvaluation.

The valuation base used to calculate general rates for 2013/14 was$5.984 million (2012/13 $5.930 million). The 2013/14 rate in the capitalimproved dollar ranged from 0.42076 to 0.54231 (2012/13, 0.39608 to0.51050).

Residential 17,103 15,990 Commercial 3,120 2,784

Industrial 1,393 1,334 Farm/Rural 6,275 5,971 Municipal charge 981 1,004 Garbage charge 4,043 3,797 Recycling and garden organics charges 997 826

33,912 31,706The date of the latest general revaluation of land for rating purposeswithin the municipal district was 1 January 2014, and the valuation willbe first applied in the rating year commencing 1 July 2014.

The date of the previous general revaluation of land for rating purposeswithin the municipal district was 1 January 2012, and the valuation firstapplied to the rating period commencing 1 July 2012.

Note 3 Statutory fees and fines

Infringement revenue 402 521Town planning fees 432 397Land information certificates 57 57

891 976

Note 4 User feesLease / Rentals 544 541Children's services 1,860 2,083Fees - parking meters 690 602Aged and disability services 2,141 2,238Registration fees 354 290Sale of materials 3,617 3,869Caravan park fees 3,119 2,772Other fees and charges 4,337 3,649

16,662 16,044



2014 2013$'000 $'000

Note 5 GrantsGrants were received in respect of the following :

Summary of grantsFederally funded grants 6,922 6,383State funded grants 14,221 22,503Others 102 17Total 21,246 28,903

RecurrentCommonwealth Government - Family and children 171 245 Victoria Grants Commission - General purpose 3,519 6,690 Victoria Grants Commission - Local roads 2,118 3,864 School crossing supervisors 60 57 Planning and development 29 10 Maternal and child health 326 332 Family and children 522 491 Youth 99 84 Home help/linkages 2,691 2,632 Immunisation and vector control 84 42 Landcare 50 143 Drought recovery and community planning - 62 Emergency services 105 164 Libraries 292 268 Recreation 27 -Local government improvement incentives 25 50 Flood recovery 8 105 Other 102 17

Total recurrent 10,228 15,256

Non-recurrentCommonwealth Government - Roads to recovery 2,015 2,015Recreation 279 124Economic development 2,714 4,805Transport 1,523 1,000Flood recovery 4,487 5,703

Total non-recurrent 11,018 13,647

Conditions on grantsGrants recognised as revenue during the year that were obtained oncondition that they be expended in a specified manner that had notoccurred at balance date were:

Aged and disability 63 96Economic development 1,516 1,914Family and children 46 16Flood recovery - 806Recreation and community 142 1,715Primary care partnership 212 182Transport - 35Other 149 151

2,128 4,915



2014 2013$'000 $'000

Note 5 Grants (cont)Conditions on grants (cont)Grants which were recognised as revenue in prior years and wereexpended during the current year in the manner specified by thegrantor were:

Aged and disability 114 44Economic development 1,914 3,149Family and children 42 45Flood recovery 2,366 294Recreation and community 4 521Primary care partnership 73 209Transport 120 48Other 100 -

4,733 4,310 Net increase (decrease) in restricted assets resulting from grantrevenues for the year: (2,605) 605

Note 6 Other incomeNon-monetary assetsRoads - 56Footpaths - 57Drainage - 32Other - 49

- 193

Note 7 Net gain/(loss) on disposal of property, infrastructure, plant andequipment

Proceeds of sale 713 86Write down value of assets disposed (2,692) (3,893)Total (1,979) (3,807)

Note 8 Other income

Interest 1,420 2,005Interest on rates 50 174Reimbursements 411 481Total other income 1,882 2,660

Note 9 Employee costs

Wages and salaries 23,119 22,173Annual leave and long service leave 3,062 2,949Superannuation 2,583 2,452Fringe benefits tax and work cover 615 370Sick leave / public holidays 946 905Total employee costs 30,325 28,849

Note 10 Materials and servicesMaterial / Contract payments 23,245 20,437Insurance 702 720Utilities 2,070 1,906Legal costs 448 346Total materials and services 26,465 23,409



2014 2013$'000 $'000

Note 11 Bad and doubtful debts

Parking fine debtors (1) 60Total bad and doubtful debts (1) 60

Note 12 Depreciation and amortisationProperty

LandLand improvements 266 261

BuildingsBuildings 2,251 2,239

Plant and EquipmentPlant, machinery and equipment 1,312 1,165Fixtures, fittings and furniture 61 88Heritage plant & equipment (paddle steamers) 25 24Library books 118 102

InfrastructureRoads 6,232 7,626Bridges 250 248Footpaths and cycleways 670 649Drainage 708 703Other 273 241

Total depreciation and amortisation 12,166 13,346

Note 13 Borrowing costsInterest - Borrowings 301 393

301 393

Note 14 Other expensesAudit costs 134 65Councillors' allowances 251 244Operating lease rentals 1,666 2,048Total other expenses 2,052 2,357

Note 15 Cash and cash equivalentsCash on hand 11 8Cash at bank 4,896 4,801Term deposits 0 4,009

4,907 8,818Councils cash and cash equivalents are subject to a number of internaland external restrictions that limit amounts available for discretionary orfuture use. These include:- Reserve funds allocated for specific future purposes (Note 31) 11,024 16,783- Trust funds and deposits (Note 24) 630 674Restricted Funds 11,654 17,457Total unrestricted cash and cash equivalents (6,747) (8,639)



2014 2013$'000 $'000

Note 16 Trade and other receivablesCurrentRates debtors 849 695Parking infringement debtors 705 734Provision for doubtful debts - parking infringements (284) (286)Loans and advances to community organisations - 4Other debtors 1,413 984Accrued income 491 836Net GST receivable 893 281Accrued grant income 2,301 71Total 6,368 3,319

Note 17 Other financial assets (note 1 (j))CurrentTerm Deposits 10,290 25,022Non-currentTerm Deposits 11,500 10,000

Note 18 InventoriesInventories held for distribution 527 617Inventories held for sale 33 17Total inventories 559 634

Note 19 Assets held for saleAssets held for sale Cost of acquisition 910 -

Total 910 -

Note 20 Other assets

Prepayments 284 124284 124



2014 2013$'000 $'000

Note 21 Property, infrastructure, plant and equipment Summary

91,812 74,37813,972 13,81677,840 60,562

253,687 254,23081,504 77,780

172,182 176,450

482,194 486,726181,725 178,119300,469 308,607

Total 550,491 545,620

Land82,897 96,76882,897 96,768

Land under roads480 454480 454

Water rights1,153 1,4721,153 1,472

Land improvements7,819 7,7571,509 1,2746,310 6,483

Total land 90,841 105,177

Buildings 169,637 155,990

81,504 77,78088,133 78,210

Buildings 9,879 10,446

308 3289,571 10,118

Total buildings 97,703 88,329Total property 188,544 193,506

at costLess accumulated depreciation

at fair value as at 30 June 2014Less accumulated depreciation

at fair value as at 30 June 2013Less accumulated depreciation

at fair value as at 30 June 2014




Notes to the Financial ReportFor the Year Ended 30 June 2014


Less accumulated depreciationat cost

Less accumulated depreciation




Note 21 Property, infrastructure, plant and equipment (cont)Valuation basisNon-specialised land, non-specialised buildings

Specialised land and specialised buildings

Infrastructure

Valuation of water rights is based upon market value by reference to the water rate charged by the relevant authority and trading prices as at 30 June 2014.

Water Rights

Infrastructure is valued using the depreciated replacement cost method. This cost represents the replacement cost of the building/component after applying depreciation rates on a useful life basis. Replacement costs relate to costs to replace the property to an “as new” standard. Economic obsolescence has also been factored into the depreciated replacement cost calculation.

The market based direct comparison method is also used for specialised land although it is adjusted to reflect the specialised nature of the assets being valued. For Council specialised buildings, the depreciated replacement cost method is used, adjusting for the associated depreciations. Specialised assets contain significant, unobservable adjustments, therefore these assets are classified as Level 3 fair value measurements.

An adjustment is made to reflect a restriction on the sale or use of an asset by Council. The adjustment is an allowance made to reflect the difference in value between unrestricted assets and those held by the Council which are impacted by external restraints on their use.

Land under roads is valued at fair value using site values adjusted for englobo (undeveloped and/or unserviced) characteristics, access rights and private interests of other parties and entitlements of infrastructure assets and services. This adjustment is an unobservable input in the valuation. The adjustment has no impact on the comprehensive income statement.

Land Under Roads

An independent valuation of Council’s specialised land and specialised buildings was performed by Inece Bray, API Registration No 73629, LG Valuation Services Pty Ltd. The valuation was performed using either the market based direct comparison method or depreciated replacement cost, adjusted for restrictions in use. The effective date of the valuation is 1 March 2014.

Non-specialised land and non-specialised buildings are valued using the market based direct comparison method. Under this valuation method, the assets are compared to recent comparable sales or sales of comparable assets which are considered to have nominal or no added improvement value.

For non-specialised land and non-specialised buildings, an independent valuation was performed by Inece Bray, API Registration No 73629, LG Valuation Services Pty Ltd to determine the fair value using the market based direct comparison method. Valuation of the assets was determined by analysing comparable sales and allowing for share, size, topography, location and other relevant factors specific to the asset being valued. From the sales analysed, an appropriate rate per square metre has been applied to the subject asset. The effective date of the valuation is 1 March 2014. To the extent that non-specialised land and non-specialised buildings do not contain significant, unobservable adjustments, these assets are classified as Level 2 under the market based direct comparison approach.




Note 21 Property, infrastructure, plant and equipment (cont)Valuation basis

Plant and equipment 2014 2013Plant, machinery and equipment $'000 $'000at cost 13,709 13,232Less accumulated depreciation 7,634 7,970

6,075 5,262Fittings, furniture and equipment

2,188 2,1811,903 1,842

285 339Heritage plant and equipment (Marine vessels)

2,445 2,444348 335

2,097 2,109Art works

178 178178 178

Library books2,393 2,2591,985 1,869

407 390Total plant and equipment 9,043 8,278InfrastructureRoads

362,433 366,924135,262 133,251227,172 233,673

23,087 16,554257 157

22,830 16,397

Total roads 250,002 250,070

There were no changes in valuation techniques throughout the period to 30 June 2014.

A valuation of Council’s, infrastructure assets has been determined by applying the most recent unit rates as calculated from a sample of internal and external projects as at 31 March 2012. The valuation was performed based on the depreciated replacement cost of the assets.

Where it has not been possible to examine hidden works such as structural frames and floors, the use of reasonable materials and methods of construction have been assumed bearing in mind the age and nature of the building. The estimated cost of reconstruction including structure services and finishes, also factors in any heritage classifications as applicable. Infrastructure assets contain significant unobservable adjustments, therefore these assets are classified as Level 3.


at cost




at fair value as at 30 June 2013 (1)



For all assets measured at fair value, the current use is considered the highest and best use.




2014 2013$'000 $'000

Note 21 Property, infrastructure, plant and equipment (cont)Bridges

20,641 20,5187,078 6,942

13,563 13,576Footpaths, kerb and channel

37,007 37,16916,035 15,47220,972 21,697

3,393 1,76211 13

3,382 1,749Total footpaths, kerb and channel 24,354 23,446Drainage

55,355 55,39221,181 20,49534,174 34,897

1,519 4693 1

1,516 468Total drainage 35,690 35,365Other various

6,099 6,0912,172 1,9593,927 4,1321,369 777

14 271,355 750

Total other various 5,281 4,882

Total Infrastructure 328,890 327,339

(1)

(2)







at fair value as at 30 June 2013 (2)Less accumulated depreciation


at cost

Valuation of artworks was undertaken by Warren Joel Auction & Valuation Services. The valuation of art is at fair value based on the current replacement cost at the date of valuation. The values were returned on a common date of 10 October 2012.

Valuation of infrastructure assets has been determined by applying the most recent unit rates as calculated from a sample of internal and external projects as at 31 March 2012.


at cost





2014 2013$'000 $'000

Note 21 Property, infrastructure, plant and equipment (cont)

Works in progressBuildings at cost 1,192 2,285Information, communication and technology at cost 2,936 -Roads at cost 4,610 7,221Flood recover at cost 9,518 -Bridges at cost - 100Port of Echuca revitalisation 3,226 4,952Other infrastructure 2,531 1,939Total works in progress 24,013 16,497

550,491 545,620

* Shire of Campaspe has an error that, as outlined in note 1 (z), has resulted in a restatement of opening balances for Land.

Total property, infrastructure, plant and equipment



Note 21 Property, infrastructure, plant and equipment (cont)Level 1 Level 2 Level 3

$ '000 $ '000 $ '000- - 82,897- 88,133 -- - 480

1,153 - -Art works - 178 -

- - 227,172- 13,563

- - 20,972- - 34,175- - 3,927

Total 1,153 88,311 383,187

Reconciliation of Level 3 fair value

2014 Specialised landLand under

roads RoadsOpening balance 96,768 454 362,433Depreciation - - (135,262)Revaluation (13,738) - -Acquisitions (Disposals) (133) 26 -Closing Balances 82,897 480 227,171

Asset ClassValuation Technique Range

Specialised land Fair value $1,300 to $5.2 mil

Land under roads

Discounted fair value

$12.40

Road seal Depreciated replacement cost

$2 to $12

7 to 15 years


Specialised landNon specialised buildings

Water rights

Fair value measurement hierarchy for assets as at 30 June 2014

Land under roads

RoadsBridgesFootpaths, kerbs and channelDrainageOther various

Infrastructure

Significant Unobservable Inputs Sensitivity

Cost per unit Spray seal $4.00 per sq. metre based on 2012/13 revaluation.

Increase or decrease in the cost per unit would result in a significantly lower or higher fair value.

119,102(46,465)

-

Description of significant unobservable inputs into level 3 valuations

-

72,637

Increase or decrease in the market value would result in a significantly lower or higher fair value.

Fair value, being market value based on highest and best use permitted by relevant land planning provisions.Cost per sq. metre $12.40, based on the value at recognition discounted by 90%.


Useful life of road seal assets. Life assessed at revaluation.

Increase or decrease in the estimated useful life of the asset would result in a significantly lower or higher fair value






Road pavements Depreciated replacement cost

$30 to $50

7 to 15 years

Road pavements(unsealed)

Depreciated replacement cost

$18 to $26

7 to 15 years

Footpaths Depreciated replacement cost

$80 to $200

50 years

Kerb and channels


$56 to $300

50 years

Drainage - pipes Depreciated replacement cost

$64 to $456

80 years

Drainage - pits Depreciated replacement cost

$2,050 to $3,000

80 years

Bridges Depreciated replacement cost

$1,800 to $2,500

80 years

Other various infrastructure


$1,000 to $621,000

20 to 80 years

Sealed $30.00-$50.00 per sq metre depending on depth, based on 2012/13 revaluation.


Unsealed $10.00 per sq. metre based on 2012/13 revaluation.




Increase or decrease in the cost of items would result in a significantly lower or higher fair value.


Cost per item assessed and revalued at current replacement cost (Includes playgrounds, open space, road Useful lives assessed at revaluation

Useful life of drainage pipes. Life assessed at revaluation.


Cost per unit $1,013-$3,000 per item depending on size, based on 2012/13 revaluation.


Useful life of drainage - pits. Life assessed at revaluation.


Useful life of bridge decking. Life assessed at revaluation.


Cost per unit $2,500 per metre of deck area based on 2012/13 revaluation.


Cost per unit $64.00-$456.00 per metre depending on size, based on 2012/13 revaluation.


Cost per unit $21.00-$80.00 per sq. metre depending on surface type, based on 2012/13 revaluation.


Useful life of road assets. Life assessed at revaluation.


Cost per unit $56.00 per metre based on 2012/13 revaluation.


Useful life of footpath. Life assessed at revaluation.


Useful life of kerb and channel assets. Life assessed at revaluation.






Road pavements Depreciated replacement cost

$30 to $50

7 to 15 years

Road pavements(unsealed)


$18 to $26

7 to 15 years

Footpaths Depreciated replacement cost

$80 to $200

50 years

Kerb and channels


$56 to $300

50 years

Drainage - pipes Depreciated replacement cost

$64 to $456

80 years

Drainage - pits Depreciated replacement cost

$2,050 to $3,000

80 years

Bridges Depreciated replacement cost

$1,800 to $2,500

80 years

Other various infrastructure


$1,000 to $621,000

20 to 80 years

Sealed $30.00-$50.00 per sq metre depending on depth, based on 2012/13 revaluation.


Unsealed $10.00 per sq. metre based on 2012/13 revaluation.




Increase or decrease in the cost of items would result in a significantly lower or higher fair value.


Cost per item assessed and revalued at current replacement cost (Includes playgrounds, open space, road Useful lives assessed at revaluation

Useful life of drainage pipes. Life assessed at revaluation.


Cost per unit $1,013-$3,000 per item depending on size, based on 2012/13 revaluation.


Useful life of drainage - pits. Life assessed at revaluation.


Useful life of bridge decking. Life assessed at revaluation.


Cost per unit $2,500 per metre of deck area based on 2012/13 revaluation.


Cost per unit $64.00-$456.00 per metre depending on size, based on 2012/13 revaluation.


Cost per unit $21.00-$80.00 per sq. metre depending on surface type, based on 2012/13 revaluation.


Useful life of road assets. Life assessed at revaluation.


Cost per unit $56.00 per metre based on 2012/13 revaluation.


Useful life of footpath. Life assessed at revaluation.


Useful life of kerb and channel assets. Life assessed at revaluation.



Note 21 Property, plant and equipment, infrastructure (cont.)

2014

Balance atbeginning of

financialyear

Acquisitionof assets

ContributedAssets

Recognitionof assets

Revaluationincrements

(decrements)

Depreciationand

amortisation

Written down value of

disposals Transfers

Balance at end of

financialyear

(note 6(b)) (note 44) (note 27) (note 12) (a)$'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000

Propertyland 96,768 - - (13,738) - (133) - - 82,897land under roads 454 26 - - - - - - - 480water rights 1,472 - - - (319) - - - - 1,153land improvements 6,483 226 - - - (266) - - (132) 6,310Total land 105,177 252 - - (14,057) (266) (133) - (132) 90,841

buildings 88,329 8,049 - - 5,391 (2,251) (1,815) - - 97,703Total buildings 88,329 8,049 5,391 (2,251) (1,815) - - 97,703Total property 193,506 8,301 - - (8,667) (2,517) (1,947) - (132) 188,544

Plant and Equipmentplant, machinery and equipment 5,262 2,242 - - - (1,312) (117) - - 6,075art works 178 - - - - - - - - 178fittings, furniture and equipment 339 7 - - - (61) - - - 285marine vessels 2,109 68 - - - (25) (56) - - 2,097library books 390 134 - - - (118) - - - 407Total plant and equipment 8,278 2,451 - - - (1,516) (173) - - 9,043

Infrastructureroads 250,070 6,533 - - - (6,232) (370) - - 250,002bridges 13,576 346 - - - (250) (108) - - 13,563footpaths and cycleways 23,446 1,631 - - - (670) (53) - - 24,354drainage 35,364 1,050 - - - (708) (15) - - 35,690other 4,881 698 - - - (273) (26) - - 5,281Total infrastructure 327,337 10,258 - - - (8,133) (572) - - 328,890

Works in progressbuildings 1,838 (646) - - - - - - - 1,192information, communication & technology 447 2,489 - - - - - - - 2,936 roads 2,744 1,866 - - - - - - - 4,610flood recovery 4,477 5,041 - - - - - - - 9,518bridges 100 (100) - - - - - - - -Port of Echuca revitalisation 4,952 (1,726) - - - - - - - 3,226Other Infrastructure 1,939 592 - - - - - - - 2,531Total works in progress 16,497 7,516 - - - - - - - 24,013Total property, plant and equipment, infrastructure 545,620 28,526 - - (8,667) (12,166) (2,692) - (132) 550,491

(a) Impairment lossesImpairment losses are recognised in the comprehensive income statement under other expenses.Reversals of impairment losses are recognised in the comprehensive income statement under other revenue.

Impairmentlosses

recognised in profit or loss




Note 21 Property, plant and equipment, infrastructure (cont.)

2013

Balance atbeginning of financial year

Acquisitionof assets

ContributedAssets

Recognitionof assets

Revaluationincrements

(decrements)

Depreciationand

amortisation

Written down value of

disposals Transfers

Balance at end of

financialyear

(note 6(b)) (note 44) (note 27) (note 12) (a)$'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000

Propertyland 64,155 - - 32,971 - - (358) - - 96,768land under roads 454 - - - - - - - - 454water rights 1,691 - - - - (219) - - 1,472land improvements 6,765 - - - - (261) - - (21) 6,483Total land 73,065 - - 32,971 - (261) (577) - (21) 105,177

buildings 79,359 11,974 - - - (2,239) (833) - 68 88,329Total buildings 79,359 11,974 - - - (2,239) (833) - 68 88,329Total property 152,424 11,974 - 32,971 - (2,499) (1,409) - 47 193,506

Plant and Equipmentplant, machinery and equipment 4,946 1,579 - - - (1,165) (98) - - 5,262art works 62 - - - 116 - - - - 178fixtures, fittings and furniture 311 119 - - - (88) (3) - - 339marine vessels 2,134 - - - - (24) - - - 2,109library books 353 140 - - - (102) - - - 390Total plant and equipment 7,806 1,838 - - 116 (1,379) (101) - - 8,278

Infrastructureroads 252,591 7,277 56 16 - (7,626) (2,234) - (10) 250,070bridges 13,824 - - - - (248) - - - 13,576footpaths and cycleways 23,015 1,146 56 - - (649) (128) - 6 23,446drainage 35,676 418 32 16 - (703) (10) - (65) 35,364Other 4,357 665 49 62 - (241) (11) - - 4,881Total infrastructure 329,463 9,506 193 94 - (9,467) (2,383) - (69) 327,337

Works in progressbuildings 5,675 (3,390) - - - - - - - 2,285roads 1,036 6,668 - - - - - - (483) 7,221bridges 20 80 - - - - - - - 100Port of Echuca revitalisation 7,704 (2,752) - - - - - - - 4,952Other Infrastructure 1,628 311 - - - - - - - 1,939Total works in progress 16,063 917 - - - - - - (483) 16,497Total property, plant and equipment, infrastructure 505,756 24,235 193 33,065 116 (13,345) (3,893) - (505) 545,620

(a) Impairment lossesImpairment losses are recognised in the comprehensive income statement under other expenses.Reversals of impairment losses are recognised in the comprehensive income statement under other revenue.

Impairmentlosses

recognised in profit or loss




2014 2013$'000 $'000

Note 22 Investment property12,043 11,347

25(940) 671

11,103 12,043

Note 23 Trade and other payables5,827 5,326

55 37 983 1,128

6,865 6,491Note 24 Trust funds and deposits

Current11 7

245 2591 1

97 49126 12227 32

507 470Non-current

4 429 6171 12019 19

123 204Note 25 Provisions

Annual leave Long serviceleave

Landfillrestoration

Total

2014 $ '000 $ '000 $ '000 $ '000Balance at beginning of the financial year 2,226 5,060 3,695 10,981Additional provisions 1,975 582 - 2,557Amounts used (1,884) (341) (1,030) (3,255)Balance at the end of the financial year 2,317 5,301 2,665 10,2832013Balance at beginning of the financial year 2,080 4,703 3,988 10,771Additional provisions 1,896 598 - 2,494Amounts used (1,750) (241) (293) (2,284)Balance at the end of the financial year 2,226 5,060 3,695 10,981

Other refundable deposits

Sundry depositsSecurity depositsComplianceOther refundable deposits

Refundable building depositsRefundable contract depositsRefundable crossing depositsSubdivisions depositsCaravan deposits


Valuation of investment property has been determined in accordance with an independent valuation by LG Valuation Services Pty Ltd who has recent experience in the location and category of the property being valued. The valuation is at fair value, based on the current market value for the property.The valuation is a level two valuation, meaning it is based on quoted prices for similar assets in an active market.

2013/2014 Financial ReportShire of Campaspe

Balance at beginning of financial yearAcquisitionsFair value adjustmentsBalance at end of financial year

Trade payablesPrepaid revenueAccrued expenses


Notes to the Financial ReportFor the Year Ended 30 June 20142013/2014 Financial Report

Shire of Campaspe

2014 2013$'000 $'000

Note 25 Provisions (cont)(a) Employee provisions

Annual leave 1,799 1,762Long service leave 280 250

2,079 2,012

Annual leave noncurrent 518 464Long service leave 4,544 4,292

5,062 4,756Total Current provisions 7,142 6,768

Non-currentLong service leave non current 476 518

476 518

Current 7,142 6,768Non-current 476 518

7,618 7,286

4.31% 4.31%4.12% 3.11%

12 mths 12 mths(b) Landfill restoration

CurrentLandfill rehabilitation 121 1,191

Non-currentLandfill rehabilitation 2,544 2,504

Total provisions 10,283 10,981

Weighted average discount ratesWeighted average settlement period

The following assumptions were adopted in measuring the present value of employee benefits:Weighted average increase in employee costs

Aggregate carrying amount of employee provisions:

Current provisions expected to be settled within 12 months

Current provisions expected to be settled after 12 months

Council is obligated to restore landfill sites to a particular standard. The sites have ceased opertion and20 years of remediation on all land fills commenced in 2011/12 and is expected to be competed by 2032.The provision for landfill restoration has been calculated based on the present value of the expected costof works to be undertaken. The expected cost of works has been estimated based on currentunderstanding of work required to reinstate the site to a suitable standard. Accordingly, the estimation ofthe provision required is dependent on the accuracy of the forecast timing of the work, work required andrelated costs.


Shire of Campaspe Notes to the Financial ReportFor the Year Ended 30 June 2014

2014 2013$'000 $'000

Note 26 Interest-bearing loans and borrowings

CurrentBorrowings - secured 529 499

529 499

Non-currentBorrowings - secured non current 4,823 5,352

Total 5,352 5,851

The maturity profile for Council's borrowings is:

Not later than one year 529 499Later than one year and not later than five years 3,037 2,984Later than five years 1,786 2,368

5,352 5,851

Aggregate carrying amount of interest-bearing loans and borrowings:Current 529 499Non-current 4,823 5,352

5,352 5,851




Note 27Balance atbeginning

of reportingperiod

Increment(decrement)

Balance atend of

reportingperiod

(a) Asset revaluation reserves $'000 $'000

2014Property

Land revaluaLand 33,322 (13,738) 19,584Art revaluatioArt 124 - 124Water rights Water rights 1,185 (320) 865Library book Library books 49 - 49Equipment reEquipment 1,610 - 1,610Buildings revBuildings 38,172 5,391 43,563Heritage rev Heritage buildings 753 - 753

75,215 (8,667) 66,548 Infrastructure

Infrastructure revalRoads 151,952 - 151,952Bridges 8,983 - 8,983Footpaths and cycleways 10,692 - 10,692Drainage 21,534 - 21,534Other 4,985 - 4,985

198,146 - 198,146Total asset revaluation reserves 273,361 (8,667) 264,694

2013

PropertyLand 33,322 - 33,322Art 8 116 124Water rights 1,185 - 1,185Library books 49 - 49Equipment 1,610 - 1,610Buildings 38,172 - 38,172Heritage buildings 753 - 753

75,099 116 75,215InfrastructureInfrastructure 151,952 - 151,952Bridges 8,983 - 8,983Footpaths and cycleways 10,692 - 10,692Drainage 21,534 - 21,534Other 4,985 4,985

198,146 - 198,146Total asset revaluation reserves 273,245 116 273,361

The asset revaluation reserve is used to record the increased (net) value of Council's assets over time.

Reserves





Note 27 Reserves (cont)Balance atbeginning

of reportingperiod

Transferfrom

accumulated surplus

Transfer to accumulated

surplus

Balance atend of

reportingperiod

(b) Other reserves $'000 $'000 $'000 $'0002014Restricted reservesRecreational land 758 16 - 774Car parking 20 - - 20Waste 1,166 508 (1,674) -Carryover - Capital Works: Unexpended grant funds 5,218 2,959 (5,218) 2,959Carryover - Capital Works: Projects - Restricted 7,493 4,762 (7,493) 4,762Carryover - Operational: Unexpended grant funds 1,236 1,343 (1,236) 1,343Carryover - Operational: Projects - Restricted 217 536 (217) 536

16,108 10,124 (15,838) 10,395 Unrestricted reservesAdopted strategy implementation 3,256 1,484 (2,045) 2,695Community plan implementation 861 75 (143) 793Commercial investment - Echuca Holiday Park 554 250 151 955Renewal allocation - plant replacement 1,316 1,197 (1,924) 589Industrial land 1,953 - (770) 1,183Accumulated unallocated cash 4,893 1,461 (3,501) 2,853Asset renewal 3,344 10,845 (11,497) 2,693Carryover - Capital Works: Projects - Unrestricted 130 134 (130) 134Carryover - Operational: Projects - Unrestricted 6,222 1,493 (6,222) 1,493

22,530 16,939 (26,080) 13,388Total Other reserves 38,638 27,063 (41,918) 23,785

2013Restricted reservesRecreational land 754 4 - 758Car parking 20 - - 20Waste - infrastructure charge 748 508 (90) 1,166Carryover - Capital Works: Unexpended grant funds 4,874 5,219 (4,874) 5,218Carryover - Capital Works: Projects - Restricted 2,832 7,492 (2,831) 7,493Carryover - Operational: Unexpended grant funds 1,209 1,236 (1,209) 1,236Carryover - Operational: Projects - Restricted 199 217 (199) 217

10,636 14,676 (9,204) 16,108 Unrestricted reservesAdopted strategy implementation 3,887 2,324 (2,955) 3,256Community plan implementation 811 246 (196) 861Councillor ward funds 128 101 (229) (0)Commercial investment - Echuca Holiday Park 1,767 289 (1,502) 554Renewal allocation - plant replacement 857 1,166 (707) 1,316Industrial land 1,981 - (28) 1,953Water unbundling 166 - (166) 0Accumulated unallocated cash 3,267 3,474 (1,849) 4,893Asset renewal 4,363 11,158 (12,177) 3,344Carryover - Capital Works: Projects - Unrestricted 1,243 130 (1,243) 130Carryover - Operational: Projects - Unrestricted 6,680 6,222 (6,680) 6,222

25,150 25,110 (27,731) 22,530 Total Other reserves 35,786 39,786 (36,935) 38,638




Note 27 Reserves (cont)

Reserve Inventory

12. Industrial LandThe purpose of this reserve is to develop industrial land that can facilitate the growth, expansion and attraction of businesses across the Shire. This reserve is funded solely from sales of industrial land and must be used for the establishment of industrial estates.

9. Community Plan ImplementationThe purpose of this reserve is to provide funding for the implementation of community plans in line with Council strategy and is funded from operations.10. Commercial Investment – Echuca Holiday ParkThe purpose of this reserve is to allocate funds for investment in the Echuca Holiday Park to maintain and grow revenue and is funded from operations.

11. Renewal Allocation – Plant ReplacementThe purpose of this reserve is to provide for the replacement of fleet, major and minor plant and is funded bya 100% budgeted depreciation allocation of these assets.

3. Carryover – Operational Projects: Unexpended Grant FundsMechanism to carry over grants at year end that have been pre-allocated specific operational projects (inclusive of Council contributions).

4. Carryover – Operational Projects: RestrictedMechanism to carry over operational projects at year end that comprises external contributions or matching initiatives.5. Recreational LandThe purpose of this reserve is to provide improved recreational facilities for the Shire of Campaspe, both of an active and passive nature. This reserve is funded solely from subdivision developer contributions in lieu of the 5% Public Open Space requirement. Outflows are limited to capital works on parks & playgrounds, recreation reserves and other outdoor sporting activities including swimming pool development. The call on the reserve has to be directly connected to the residential catchments for which the contribution has been made.

6. Car ParkingThe purpose of this reserve is to capture funds that are received by Council either from developer contributions for lieu of parking or from the sale of car parking land, and also to establish funding for future development of car parking spaces in accordance with the Echuca CBD and Heritage Parking Strategies.This reserve is funded principally from developer contributions and used to provide parking development.

7. Waste – Infrastructure ChargeThis reserve has been established to plan for the rehabilitation of landfill sites and is funded from the waste infrastructure levy.8. Adopted Strategy ImplementationThe purpose of this reserve is to provide funding for capital projects in line with approved strategies adopted by Council and is funded from operations.

The purpose and funding mechanism for each reserve is detailed below. Council differentiates betweenrestricted reserves and unrestricted reserves on the following basis:Restricted Reserves - Must be cash backed at all times and relate to funds received that must be used by Council for a specific purpose. Unrestricted Reserves - Must be cash backed at year end but can be used throughout the year to fund Council’s working capital requirements. 1. Carryover – Capital Works: Unexpended Grant FundsMechanism to carry over grants at year end that have been pre-allocated to specific capital projects (inclusive of Council contributions).2. Carryover – Capital Works: Projects: RestrictedMechanism to carry over capital works in progress at year end where external spend has commenced.




Note 27 Reserves (cont)

16. Carryover – Operational Projects: UnrestrictedMechanism to carry over ongoing operational project allocations at year end where no external spend has occurred.

13. Accumulated Unallocated CashThe purpose of this reserve is to separately identify Council’s unallocated cash and is funded from the year end unallocated cash result.14. Asset RenewalThe purpose of this reserve is to allocate funds towards the reduction of the Infrastructure Renewal Gap based on the Asset Renewal Funding Strategy. This reserve is funded by a % allocation of budgeted total depreciation based on a 6 year rolling average of depreciation growth plus a 2.2% increase each year until alevel of 80% is achieved. The allocation is used to fund the renewal of infrastructure (excluding fleet, major and minor plant).

15. Carryover – Capital Works: Projects: UnrestrictedMechanism to carry over capital works allocations at year end where no external spend has occurred.



2014 2013$'000 $'000

Note 28

Surplus/(deficit) for the year 367 8,543

Depreciation/amortisation 12,166 13,346(Profit)/loss on disposal of property, plant and equipment, infrastructure 1,979 3,807Fair value adjustments for investment property 940 (671)Contributions - Non-monetary assets - (193)Recognition of assets - 389Change in assets and liabilities:(Increase)/decrease in trade and other receivables (3,048) 1,126Decrease in prepayments (161) 4Increase/(decrease) in trade and other payables 375 550(Increase)/decrease in inventories 74 200Increase/(Decrease) in employee provisions 332 503Increase/(Decrease) in provision for Defined Benefit Superannuation Fundshortfall - (4,484)

Net cash provided by/(used in) operating activities 13,024 23,120

Note 29 Reconciliation of cash and cash equivalents

Cash and cash equivalents (see note 15) 4,907 8,8184,907 8,818

Note 30 Financing arrangements

Bank overdraft 1,250 1,250Unused facilities 1,250 1,250

Note 31 Restricted assets

Council has cash and cash equivalents (note 15) and other financial assets(note 17) that are subject to restrictions. As at the reporting date, Council hadinternal and legislative restrictions (Recreational Lands Reserves) in relation toreserve funds.Trust funds and deposits 630 675Recreational land 774 758Car parking 20 20Waste - 1,166Carryover - Capital Works: Unexpended grant funds 2,959 5,219Carryover - Capital Works: Projects - Restricted 4,762 7,492Carryover - Operational: Unexpended grant funds 1,343 1,236Carryover - Operational: Projects - Restricted 536 217

11,024 16,783

Other Restricted assetsCrown land 24,854 33,808

Reconciliation of cash flows from operating activities to surplus (deficit)



2014 2013$'000 $'000

Note 32 - SuperannuationCouncil made contributions to the following funds:Defined benefit fundEmployer contributions to Local Authorities Superannuation Fund (Vision Super) 290 289

290 289

Council makes the majority of its employer superannuation contributions in respect of its employees to the Local Authorities Superannuation Fund (the Fund). This Fund has two categories of membership, accumulation and defined benefit, each of which is funded differently. The defined benefit section provides lump sum benefits based on years of service and final average salary. The defined contribution section receives fixed contributions from Council and the Council's legal or constructive obligation is limited to these contributions.Obligations for contributions to the Fund are recognised as an expense in the Comprehensive Income Statement when they are due.AccumulationThe Fund’s accumulation category, Vision Super Saver, receives both employer and employee contributions on a progressive basis. Employer contributions are normally based on a fixed percentage of employee earnings (for the year ended 30 June 2014, this was 9.25% required under Superannuation Guarantee Legislation). No further liability accrues to the employer as the superannuation benefits accruing to employees are represented by their share of the net assets of the Fund.Effective from 1 July 2014, the Superannuation Guarantee contribution rate will increase to 9.50%.

Defined BenefitThe Fund's Defined Benefit category is a multi-employer sponsored plan. As the Fund's assets and liabilities are pooled and are not allocated to each employer, the Actuary is unable to allocate benefit liabilities, assets and costs between employers. As provided under paragraph 32 (b) of AAS 119, the Council does not use defined benefit accounting for these defined benefit obligations.Council makes employer contributions to the defined benefit category of the Fund at rates determined by the Trustee on the advice of the Fund's actuary. This rate is currently 9.25% of member's salaries.Effective from 1 July 2014, the Superannuation Guarantee contribution rate will increase to 9.50%.In addition, Council reimburses the Fund to cover the excess of the benefits paid as a consequence of retrenchment above the funded resignation or retirement benefit (the funded resignation or retirement benefit is calculated as the Vested Benefits Index (VBI) multiplied by the benefit).Employees are also required to make member contributions to the Fund. As such, assets accumulate in the Fund to meet member benefits, as defined in the Trust Deed, as they accrue.



2014 2013$'000 $'000

Note 32 - SuperannuationUnfunded Superannuation Liability - Funding CallsThe fund is required to comply with the superannuation prudential standards.Under the superannuation prudential standards SPS 160, The Fund is required to target full funding of is vested benefits. There may be circumstances where: - a fund is in an unsatisfactory financial position at an actuarial investigation (i.e. its VBI is less than 100% at the date of the actuarial investigation); or - a fund's VBI is below the shortfall limit at any time other than the date of the actuarial investigations.If either of the above occur, the Fund has a shortfall for the purposes of SPS 160 and the Fund is required to put a plan in place so that the shortfall is fully funded within three. There may be circumstances where the Australian Prudential Authority (APRA) may approve a period longer than three years.The Fund monitors its VBI on a quarterly basis and has set its shortfall limit at 97%. Since 30 June 2013 the VBI has been in excess of 100%. The 31 March estimated VBI was 104.6%. As this is greater than 100%, the fund is considered to be fully funded with no action required by employers at this stage.The next full actuarial investigation of the Fund’s liability for accrued benefits will be based on the Fund’s position as at 30 June 2014. The anticipated completion date of this actuarial investigation is 19 December 2014.

Council expects to make the following contributions in 2014/15: $296,000

Accumulation fundsEmployer contributions to Local Authorities Superannuation Fund (VisionSuper) 2,636 2,075Employer contributions to First State super fund 6 5Employer contributions to HESTA super fund 2 3

2,644 2,083



Note 33 Commitments

2014Not later

than 1 year

Later than 1year and not

later than 2years

Later than 2years and not

later than 5years

Later than5 years Total

$'000 $'000 $'000 $'000 $'000OperatingGarbage collection & landfill 2,433 2,531 5,369 5,807 16,140Recycling and transfer stations 737 767 1,627 1,759 4,890Governance services 26 27 - - 53Quarry equipment 96 96 287 96 575Valuation services - 307 326 346 979Library services 15 16 33 16 80Meals on wheels 280 290 299 - 869Cleaning 152 - - - 152Ground maintenance (EWMAC) 43 - - - 43Corporate software 1,133 231 231 - 1,595Change management consultancy 191 - - - 191Environment centre management 107 110 114 331Pound management 128 - - - 128Caravan parks 558 570 581 - 1,709Public relations 59 59 59 - 177Total 5,958 5,004 8,926 8,024 27,912

2013Not later

than 1 year

Later than 1year and not

later than 2years

Later than 2years and not

later than 5years

Later than5 years Total

$'000 $'000 $'000 $'000 $'000OperatingRecycling 966 107 224 - 1,297Garbage collection 1,153 - - - 1,153Landfills and transfer stations 1,653 1,213 3,863 - 6,729Valuation services 220 - - - 220Library services 15 16 51 - 82Meals on wheels 346 - - - 346Pound management 264 - - - 264Caravan parks 543 552 1,126 - 2,221Public relations 56 - - - 56Total 5,216 1,888 5,264 - 12,368


The Council has entered into the following commitments



2014 2013$'000 $'000

Note 34 Operating leases

(a) Operating lease commitmentsAt the reporting date, the Council had the following obligations under non-cancellable operating leases for the lease of equipment and land and buildings for use within Council's activities (these obligations are not recognised as liabilities):

Not later than one year 939 961Later than one year and not later than five years 637 1,002

1,576 1,963

(b) Operating lease receivablesThe Council has entered into commercial property leases on its investment property, consisting of properties located at the Port of Echuca and surplus commercial premises in Kyabram. These properties held under operating leases have remaining non-cancellable lease terms of between 1 and 5 years. All leases include a CPI based revision of the rental charge annually.

Future minimum rentals receivable under non-cancellable operating leases are as follows:

Not later than one year 388 452Later than one year and not later than five years 1,268 1,835

1,656 2,287

Note 35 Contingent liabilities and contingent assets

Contingent liabilitiesDefined Benefits Superannuation Fund

Council has obligations under a defined benefit superannuation scheme that may result in the need to make additional contributions to the scheme to ensure that the liabilities of the fund are covered by the assets of the fund. As a result of the volatility in financial markets the likelihood of making such contributions in future periods exists. At this point in time it is not known if additional contributions will be required, their timing or potential amount.

Bank Guarantees held in favour of other Entities(a) Council currently has three Bank Guarantees in favour of the Department for

Primary Industries for the rehabilitation bond at the Nanneella Quarry. 365 365 (b) Council currently has three Bank Guarantees in favour of the Department for

Primary Industries for the rehabilitation bond at the Mt Scobie Quarry. 151 151

(c) Council currently has two Bank Guarantees in favour of the Department for PrimaryIndustries for the rehabilitation bond at Weeks and Browns Pits. 14 14

(d) Council currently has one Bank Guarantee in favour of Coliban Water for industrialland expansion. 100 100

(e) Council currently has one Bank Guarantees in favour of the EnvironmentalProtection Agency for the rehabilitation bond for Council landfills. 800 800

(f) Council currently has one Bank Guarantee in favour of Vic Roads for Industrial 10 10

Total contingent liabilities 1,440 1,440

The amount disclosed for financial guarantee in this note is the nominal amount of the underlying loan that is guaranteed by the Council, not the fair value of the financial guarantee.


2014 2013$'000 $'000

Note 34 Operating leases

(a) Operating lease commitmentsAt the reporting date, the Council had the following obligations under non-cancellable operating leases for the lease of equipment and land and buildings for use within Council's activities (these obligations are not recognised as liabilities):

Not later than one year 939 961Later than one year and not later than five years 637 1,002

1,576 1,963

(b) Operating lease receivablesThe Council has entered into commercial property leases on its investment property, consisting of properties located at the Port of Echuca and surplus commercial premises in Kyabram. These properties held under operating leases have remaining non-cancellable lease terms of between 1 and 5 years. All leases include a CPI based revision of the rental charge annually.

Future minimum rentals receivable under non-cancellable operating leases are as follows:

Not later than one year 388 452Later than one year and not later than five years 1,268 1,835

1,656 2,287

Note 35 Contingent liabilities and contingent assets

Contingent liabilitiesDefined Benefits Superannuation Fund

Council has obligations under a defined benefit superannuation scheme that may result in the need to make additional contributions to the scheme to ensure that the liabilities of the fund are covered by the assets of the fund. As a result of the volatility in financial markets the likelihood of making such contributions in future periods exists. At this point in time it is not known if additional contributions will be required, their timing or potential amount.

Bank Guarantees held in favour of other Entities(a) Council currently has three Bank Guarantees in favour of the Department for

Primary Industries for the rehabilitation bond at the Nanneella Quarry. 365 365 (b) Council currently has three Bank Guarantees in favour of the Department for

Primary Industries for the rehabilitation bond at the Mt Scobie Quarry. 151 151

(c) Council currently has two Bank Guarantees in favour of the Department for PrimaryIndustries for the rehabilitation bond at Weeks and Browns Pits. 14 14

(d) Council currently has one Bank Guarantee in favour of Coliban Water for industrialland expansion. 100 100

(e) Council currently has one Bank Guarantees in favour of the EnvironmentalProtection Agency for the rehabilitation bond for Council landfills. 800 800

(f) Council currently has one Bank Guarantee in favour of Vic Roads for Industrial 10 10

Total contingent liabilities 1,440 1,440

The amount disclosed for financial guarantee in this note is the nominal amount of the underlying loan that is guaranteed by the Council, not the fair value of the financial guarantee.


Note 36

Recognisedfinancial

instrumentsNote Accounting policy Terms and conditions

Financial assets

Cash and cash equivalents

15 Cash on hand and at bank and money market call account are valued at face value.

On call deposits returned a floating interest rate of 2.05% (2.92% in 2012/13).

Interest is recognised as it accrues.17 Investments and bills are valued at cost.

Investments are held to maximise interest returns on surplus cash.Interest revenues are recognised as they accrue.

Other debtors 16 Receivables are carried at nominal costless any provision for doubtful debts. A provision for doubtful debts is recognised when there is objective evidence that an impairment loss has occurred.Collectability of overdue accounts is assessed on an ongoing basis.

General debtors are unsecured and non interest bearing

Trade and other payables

23 Liabilities are recognised for amounts to be paid in the future for goods and services provided to Council as at balance date whether or not invoices have been received.

General Creditors are unsecured, not subject to interest charges and are normally settled within 28 days of invoice receipt.

Interest-bearingloans and borrowings

26 Loans are carried at their principal amounts, which represent the present value of future cash flows associated with servicing the debt. Interest is accrued over the period it becomes due and recognised as part of payables.

Borrowings are secured by way of mortgages over the general rates of the Council.The weighted average interest rate on borrowings is 5.32% (5.6% in 2012/13).

Bank overdraft 26 Overdrafts are recognised at the principal amount. Interest is charged as an expense as it accrues.

The overdraft is subject to annual review.It is secured by a mortgage over Council's general rates and is repayable on demand.The interest rate as at balance date was 7.97% (8.22 % in 2012/13).

Financial liabilities

Notes to the Financial Report

Funds returned fixed interest rate of between 3.00% - 7.08% , and (4.1% -7.3% in 2012/13) net of fees.

(a) Accounting pPolicy, terms and conditions


Trade and other receivables

Financial risk management

2013/2014 Financial ReportShire of Campaspe

Other financial assets



Note 36 Financial risk management (cont.)

(b) Interest rate risk

2014

Floatinginterest

rate1 year or

lessOver 1 to

5 years

Morethan 5years

Non-interestbearing Total

$'000 $'000 $'000 $'000 $'000 $'000Financial assetsCash and cash equivalents 4,896 0 - - 11 4,907 Other financial assets - 10,290 11,500 - - 21,790Trade and other receivables - - - - 6,368 6,368Total financial assets 4,896 10,290 11,500 - 6,379 33,065

Weighted average interest rate 2.05% 4.05%

Financial liabilitiesTrade and other payables - - - - 6,865 6,865Trust funds and deposits - - - - 630 630Interest-bearing loans and borrowings

- 529 3,037 1,786 - 5,352 Total financial liabilities - 529 3,037 1,786 7,495 12,847

Weighted average interest rate 5.32% 5.32% 5.32%

Net financial assets (liabilities) 4,896 9,761 8,463 (1,786) (1,116) 20,218

2013

FloatingInterest

rate1 year or

lessOver 1 to

5 years

Morethan 5years


$'000 $'000 $'000 $'000 $'000 $'000Financial assetsCash and cash equivalents 4,801 4,009 - - 7 8,818Other financial assets - 25,022 10,000 - - 35,022Trade and other receivables - - - - 3,319 3,319Total financial assets 4,801 29,031 10,000 - 3,326 47,159







The exposure to interest rate risk and the effective interest rates of financial assets and financial liabilities, bothrecognised and unrecognised, at balance date are as follows:

Fixed interest maturing in:



Note 36 Financial risk management (cont.)

(b) Interest rate risk

2014

Floatinginterest

rate1 year or

lessOver 1 to

5 years

Morethan 5years


$'000 $'000 $'000 $'000 $'000 $'000Financial assetsCash and cash equivalents 4,896 0 - - 11 4,907 Other financial assets - 10,290 11,500 - - 21,790Trade and other receivables - - - - 6,368 6,368Total financial assets 4,896 10,290 11,500 - 6,379 33,065






2013

FloatingInterest

rate1 year or

lessOver 1 to

5 years

Morethan 5years


$'000 $'000 $'000 $'000 $'000 $'000Financial assetsCash and cash equivalents 4,801 4,009 - - 7 8,818Other financial assets - 25,022 10,000 - - 35,022Trade and other receivables - - - - 3,319 3,319Total financial assets 4,801 29,031 10,000 - 3,326 47,159







The exposure to interest rate risk and the effective interest rates of financial assets and financial liabilities, bothrecognised and unrecognised, at balance date are as follows:

Fixed interest maturing in:




Note 36 financial risk management (cont.)

(c) Net fair values

Financial instruments2014 2013 2014 2013$'000 $'000 $'000 $'000

Financial assetsCash and cash equivalents 4,907 8,817 4,907 8,817Other financial assets 21,790 35,022 21,790 35,022Trade and other receivables 6,368 3,319 6,368 3,319Total financial assets 33,065 47,158 33,065 47,158

Financial liabilitiesTrade and other payables 6,865 6,491 6,865 6,491Trust funds and deposits 630 675 630 675Interest-bearing loans and borrowings 5,352 5,851 5,352 5,851Total financial liabilities 12,847 13,017 12,847 13,017

(d) Credit risk

(e) Risks and mitigation

Market risk

Interest rate risk

- conformity with State and Federal regulations and standards, - capital protection, - appropriate liquidity, - diversification by credit rating, financial institution and investment product, - monitoring of return on investment, - benchmarking of returns and comparison with budget.

For the Year Ended 30 June 2014Notes to the Financial Report

The aggregate net fair values of financial assets and financial liabilities, both recognised and unrecognised, at balance date are as follows:

The maximum exposure to credit risk at balance date in relation to each class of recognised financial asset is represented by the carrying amount of those assets as indicated in the Balance Sheet.

Maturity will be staggered to provide for interest rate variations and to minimise interest rate risk.

Total carrying amount as per Balance Sheet

Aggregate net fair value

The risks associated with our main financial instruments and our policies for minimising these risks are detailed below.

Market risk is the risk that the fair value or future cash flows of our financial instruments will fluctuate because of changes in market prices. The Council's exposures to market risk are primarily through interest rate risk with only insignificant exposure to other price risks and no exposure to foreign currency risk. Components of market risk to which we are exposed are discussed below.

- ensuring access to diverse sources of funding; - reducing risks of refinancing by managing in accordance with target maturity profiles; and - setting prudential limits on interest repayments as a percentage of rate revenue.

Interest rate risk refers to the risk that the value of a financial instrument or cash flows associated with the instrument willfluctuate due to changes in market interest rates. Interest rate risk arises from interest bearing financial assets and liabilities that we use. Non derivative interest bearing assets are predominantly short term liquid assets. Our interest rate liability risk arises primarily from long term loans and borrowings at fixed rates which exposes us to fair value interest raterisk.Our loan borrowings are sourced from major Australian banks by a tender process. Finance leases are sourced from major Australian financial institutions. Overdrafts are arranged with major Australian banks. We manage interest rate risk on our net debt portfolio by:

We manage the interest rate exposure on our debt portfolio by appropriate budgeting strategies and obtaining approval for borrowings from the Department of Transport, Planning and Local Infrastructure each year.

Investment of surplus funds is made with approved financial institutions under the Local Government Act 1989. We manage interest rate risk by adopting an investment policy that ensures:





Credit risk

- we have a policy for establishing credit limits for the entities we deal with; - we may require collateral where appropriate; and

Movement in provisions for doubtful debts 2014 2013$'000 $'000

Balance at the beginning of the year 286 223New Provisions recognised during the year (2) 63Balance at end of year 284 286

Ageing of trade and other receivables

2014 2013$'000 $'000

Current (not yet due) 410 565Past due by up to 30 days 2,980 1,255Past due between 31 and 180 days 2,978 1,499Total Trade & Other Receivables 6,368 3,319

Ageing of individually impaired trade and other receivables

2014 2013$'000 $'000

Current (not yet due) - -Past due by up to 30 days - -Past due between 31 and 180 days - -Past due between 181 and 365 days - -Past due by more than 1 year 273 251Total Trade & Other Receivables 273 251

Trade and other receivables consist of a large number of customers, spread across the consumer, business and government sectors. Credit risk associated with the Council's financial assets is minimal because the main debtor is the Victorian Government. Apart from the Victorian Government we do not have any significant credit risk exposure to a single customer or groups of customers. Ongoing credit evaluation is performed on the financial condition of our customers and, where appropriate, an allowance for doubtful debts is raised.

- we only invest surplus funds with financial institutions which have a recognised credit rating specified in our investment

We may also be subject to credit risk for transactions which are not included in the balance sheet, such as when we provide a guarantee for another party. Details of our contingent liabilities are disclosed in note 35.

At balance date other debtors representing financial assets were past due but not impaired. These amounts relate to a number of independent customers for whom there is no recent history of default. The ageing of the Council's Trade & Other Receivables was:

At balance date, other debtors representing financial assets with a nominal value of $273,848 (2013: $250,816) were impaired. The amount of the provision raised against these debtors was $273,848 (2013: $250,816). The individually impaired debtors relate to general and sundry debtors and have been impaired as a result of their doubtful collection. Many of the long outstanding past due amounts have been lodged with Council's debt collectors or are on payment arrangements.

The ageing of Trade and Other Receivables that have been individually determined as impaired at reporting date was:

Credit risk is the risk that a contracting entity will not complete its obligations under a financial instrument and cause us tomake a financial loss. We have exposure to credit risk on some financial assets included in our balance sheet. To help manage this risk:





Liquidity riskLiquidity risk includes the risk that, as a result of our operational liquidity requirements: - we will not have sufficient funds to settle a transaction on the date;

- we may be unable to settle or recover a financial assets at all.

To help reduce these risks we:

- have readily accessible standby facilities and other funding arrangements in place; - have a liquidity portfolio structure that requires surplus funds to be invested within various bands of liquid instruments; - monitor budget to actual performance on a regular basis; and

- we will be forced to sell financial assets at a value which is less than what they are worth; or

- have a liquidity policy which targets a minimum and average level of cash and cash equivalents to be maintained;

- set limits on borrowings relating to the percentage of loans to rate revenue and percentage of loan principal repayments to rate revenue.





6 mths 6-12 1-2 2-5 >5 Contractedor less months years years years Cash Flow

2014 $'000 $'000 $'000 $'000 $'000 $'000 6,865 - - - - 6,865 253 253 123 - - 630 264 264 - 3,037 1,786 5,352

7,382 518 123 3,037 1,786 12,847

6 mths 6-12 1-2 2-5 >5 Contractedor less months years years years Cash Flow

2013 $'000 $'000 $'000 $'000 $'000 $'000 6,491 - - - - 6,491 235 235 204 - - 674 249 250 2,984 2,368 - 5,851

6,975 485 3,188 2,368 - 13,016

(f) Sensitivity disclosure analysis

-2% -200 basis points +100 basis points1% Profit Equity Profit Equity

2014 $'000 $'000 $'000 $'000 $'000Financial assets:

4,907 (98) (98) 49 49 21,790 (436) (436) 218 218 6,368 (127) (127) 64 64

Financial liabilities: 5,352 (107) (107) 54 54

(g) Fair value hierarchy

All financial assets carried at fair value are measured at quoted prices in active markets for identical assets or liabilities.

Other financial assets

- A parallel shift of + 1% and -2% in market interest rates (AUD) from year-end rates of

Cash and cash equivalents

Trade and other receivables

Interest-bearing loans and borrowings

Taking into account past performance, future expectations, economic forecasts, and management's knowledge and experience of the financial markets, the Council believes the following movements are 'reasonably possible' over the next 12 months (Base rates are sourced from Reserve Bank of Australia):

The table below discloses the impact on net operating result and equity for each category of financial instruments held by the Council at year-end, if the above movements were to occur.

+1%-2%

Total financial liabilities


Interest rate risk

These amounts represent undiscounted gross payments including both principal and interest amounts

The Councils exposure to liquidity risk is deemed insignificant based on prior periods' data and current assessment of risk.

The table below lists the contractual maturities for Financial Liabilities

Interest-bearing loans and borrowingsTotal financial liabilities

Interest-bearing loans and borrowings


Trust funds and deposits

Trust funds and deposits



2014 2013$'000 $'000

Note 37 Auditors' remuneration

Audit fee to conduct external audit - Victorian Auditor-General 49 34Internal audit fees - AFS & Associates 85 19Internal audit fees - Richmond Sinnott & Delahunty - 10

134 63

Note 38 Events occurring after balance date

No matters have occurred after balance date that require disclosure in the financial report.




Note 39 Related party transactions

(i) Responsible Persons

Councillors Councillor Ian Maddison (Mayor 13/11/12 - current)Councillor Greg TollCouncillor Emma BradburyCouncillor Robert Danieli (resigned 5/08/13)Councillor Carol HowellCouncillor Paul JarmanCouncillor Neil PankhurstCouncillor Adrian WestonCouncillor Leigh WilsonCouncillor Rocchina D'Angelo (elected 16/09/13)

Chief Executive Officer Keith Baillie

(ii) Remuneration of responsible persons

2014 2013No. No.

1 51 57 4

- - - 1

1 - - 1

$270,000 - $279,999 1 - 11 16

550 532

(iii)

(iv)

(v) Other transactions

(vi)

2014 2013No. No.

7 17 73 1

- 11 1

- 4$180,000 - $189,999 3 -

21 15

2,920 2,222

<$133,000

$170,000 - $179,999

Total Remuneration for the reporting year for Senior Officers included above, amounted

$150,000 - $159,999

$133,000 - $139,999$140,000 - $149,999

$160,000 - $169,999

$10,000 - $19,999$20,000 - $29,999$30,000 - $39,999

$260,000 - $269,999

Income Range:

No retirement benefits have been made by the Council to a Responsible Person. (2012/13, $0).

The number of Senior Officers other than the Responsible Persons, are shown below intheir relevant income bands:

$70,000 - $70,999$50,000 - $59,999

Senior officers remunerationA Senior Officer other than a Responsible Person, is an officer of Council who:

No loans have been made, guaranteed or secured by the Council to a Responsible Person during the reporting year (2012/13, $0).

a) has management responsibilities and reports directly to the Chief Executive; orb) whose total annual remuneration exceeds $133,000.

No transactions other than remuneration payments or the reimbursement of approved expenses were entered into by Council with Responsible Persons, or Related Parties ofsuch Responsible Persons during the reporting year (2012/13, $0).

Total Remuneration for the reporting year for Responsible Persons included above amounted to:


Names of persons holding the position of a Responsible Person at the Council at any time during the year are:

The numbers of Responsible Officers, whose total remuneration from Council and any related entities fall within the following bands:

$1 - $9,999


Note 39 Related party transactions

(i) Responsible Persons

Councillors Councillor Ian Maddison (Mayor 13/11/12 - current)Councillor Greg TollCouncillor Emma BradburyCouncillor Robert Danieli (resigned 5/08/13)Councillor Carol HowellCouncillor Paul JarmanCouncillor Neil PankhurstCouncillor Adrian WestonCouncillor Leigh WilsonCouncillor Rocchina D'Angelo (elected 16/09/13)

Chief Executive Officer Keith Baillie

(ii) Remuneration of responsible persons

2014 2013No. No.

1 51 57 4

- - - 1

1 - - 1

$270,000 - $279,999 1 - 11 16

550 532

(iii)

(iv)

(v) Other transactions

(vi)

2014 2013No. No.

7 17 73 1

- 11 1

- 4$180,000 - $189,999 3 -

21 15

2,920 2,222

<$133,000

$170,000 - $179,999

Total Remuneration for the reporting year for Senior Officers included above, amounted

$150,000 - $159,999

$133,000 - $139,999$140,000 - $149,999

$160,000 - $169,999

$10,000 - $19,999$20,000 - $29,999$30,000 - $39,999

$260,000 - $269,999

Income Range:

No retirement benefits have been made by the Council to a Responsible Person. (2012/13, $0).

The number of Senior Officers other than the Responsible Persons, are shown below intheir relevant income bands:

$70,000 - $70,999$50,000 - $59,999

Senior officers remunerationA Senior Officer other than a Responsible Person, is an officer of Council who:

No loans have been made, guaranteed or secured by the Council to a Responsible Person during the reporting year (2012/13, $0).

a) has management responsibilities and reports directly to the Chief Executive; orb) whose total annual remuneration exceeds $133,000.

No transactions other than remuneration payments or the reimbursement of approved expenses were entered into by Council with Responsible Persons, or Related Parties ofsuch Responsible Persons during the reporting year (2012/13, $0).

Total Remuneration for the reporting year for Responsible Persons included above amounted to:


Names of persons holding the position of a Responsible Person at the Council at any time during the year are:

The numbers of Responsible Officers, whose total remuneration from Council and any related entities fall within the following bands:

$1 - $9,999



Note 40

2014 2013 2014 2013 2014 2013 2014 2013 2014 2013$'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000

IncomeGrants 2,359 2,420 8,503 8,962 4,668 6,912 5,717 10,609 21,246 28,903 Other 8,132 8,496 7,165 6,113 7,607 7,599 29,504 30,042 52,408 52,250 Asset recognition - 94 - - - - 94 Total Income 10,491 10,916 15,668 15,169 12,275 14,511 35,221 40,651 73,654 81,247

Expenses 9,739 9,137 30,357 31,685 22,445 22,535 10,746 9,347 73,287 72,704

Surplus (deficit) for the year 752 1,779 (14,689) (16,516) (10,170) (8,024) 24,475 31,304 367 8,543

Assets attributed to functions / activities * 67,308 64,621 421,124 404,316 105,101 100,906 2,879 2,765 596,412 572,608

Prosperity

Place

People

Organisation

Total

*Assets have been attributed to functions/activities based on the control and/or custodianship of specific assets.

Facilities Management, Parks and Gardens, Statutory Land Use Planning, Building Control, Road Services, Waste and Recycling and Environmental Services.

Councillors, Chief Executive and Executive Management, Call Centre and Services Centres, Communications and Public Relations, Financial Services, Information Management, Organisation Development, Grants Management, Commercial Business and Governance and Compliance.

Strategic Asset Management, Economic Development, Strategic Planning, Commercial Business, Project Management, Tourism and Major Event Development and Economic Infrastructure.

Aged and Disability Services, Family Services, Library Services, Community Programs, Community Places (Recreation), Emergency Management, Environmental Health and Local Laws.


Income, expenses and assets by function/activities

Prosperity Place People Organisation



Note 41 2014 2014 2013 2013 2012 2012$'000 (%) $'000 (%) $'000 (%)

(a) Debt servicing ratio (to identify the capacity of Council to service its outstanding debt)

Debt servicing costs 301 393 314Total revenue 73,653 81,247 83,368

(b) Debt commitment ratio (to identify Council's debt redemption strategy)

Debt servicing & redemption costs 800 3,057 578Rate revenue 33,912 31,706 29,788

(c) Revenue ratio (to identify Council's dependence on non-rate income)

Rate revenue 33,912 31,706 29,788Total revenue 73,653 81,247 83,368

(d) Debt exposure ratio (to identify Council's exposure to debt)

Total indebtedness 22,500 23,322 29,712Total realisable assets 242,669 244,433 207,048

(e) Working capital ratio (to assess Council's ability to meet current commitments)

Current assets 23,318 37,916 46,219Current liabilities 15,164 15,419 18,041


153.78% 245.91% ==

The ratio expresses the level of current assets the Council has available to meet its current liabilities.

= 0.48%

9.64%

= 46.04% 39.02%=

The ratio expresses the percentage of rate revenue utilised to pay interest and redeem debt principal.The strategy involves the payment of loan principal and interest, finance lease principal and interest.

35.73%

=

= 0.38%

1.94%

Any liability represented by a restricted asset (note 31) is excluded from total indebtedness.

=

=

The level of Council's reliance on rate revenue is determined by assessing rate revenue as a proportion of the total revenue of Council.

For the purpose of the calculation of financial ratios, realisable assets are those assets which can be sold and which are not subject to any restriction on realisation or use.

=9.54% 14.35%= 9.27% =

The following assets are excluded from total assets when calculating Council's realisable assets:Land and buildings on Crown land; restricted assets; heritage assets; total infrastructure assets.This ratio enables assessment of Council's solvency and exposure to debt. Total indebtedness refers to the total liabilities of Council. Total liabilities are compared to total realisable assets which are all Council assets not subject to any restriction and are able to be realised. The ratio expresses the percentage of total liabilities for each dollar of realisable assets.

256.19%


= 2.36% =

Financial ratios (Performance indicators)

0.41% =

Debt servicing costs refer to the payment of interest on loan borrowings, finance lease, and bank overdraft. The ratio expresses the amount of interest paid as a percentage of Council's total revenue.




Note 41 2014 2014 2013 2013 2012 2012$'000 (%) $'000 (%) $'000 (%)

(f) Adjusted working capital ratio (to assess Council's ability to meet current commitments)

Current assets 23,318 37,916 46,219Current liabilities 10,339 10,877 13,893

(g)Adjusted net surplus 3,288 11,392 12,038Total underlying revenue 74,595 80,289 80,126

(h)Net operating cash flows 13,026 22,998 30,731Underlying revenue 74,595 80,289 80,126

(i)Non-current liabilities 7,966 8,578 12,326Own-sourced revenue 86,834 51,386 49,240

(j)Capital spend 25,360 25,919 14,153Depreciation 12,166 14,000 13,622This ratio provides a comparison of the rate of spending on infrastructure with depreciation.

(k)Renewal and upgrade expenditure 17,039 14,349 15,978Depreciation 12,166 13,346 14,000

= 225.53% 332.68%= =348.59%

The ratio expresses the level of current assets the Council has available to meet its current liabilities.

Current liabilities have been reduced to reflect the long service leave that is shown as a current liability because Council does not have an unconditional right to defer settlement of the liability for at least twelve months after the reporting date, but is not likely to fall due within 12 months after the end of the period.

Underlying result ratio

15.02%

Financial ratios (Performance indicators)

= 38.35%

= 4.41% = 14.19% =

A positive result indicates a surplus, and the larger the percentage, the stronger the result. Underlying revenue does not take into account non-cash developer contributions and other one-off (non-recurring) adjustments.

Self financing %

= 17.46% = 28.64%

This ratio measures the ability to replace assets using cash generated by operations.Indebtedness %

= 9.17% = 16.69% = 25.03%

This ratio represents the ability to cover non-current liabilities from Council generated revenues. Own-sourced revenue is used (rather than total revenue) because it does not include capital grants, which are usually tied to specific projects.Investment gap

= 208.45% = 185.14% = 103.90%

= 114.13%

Renewal gap

This ratio provides a comparison of the rate of spending on existing assets through renewing, restoringand replacing existing assets with depreciation.

= 140.06% = 107.52%



2014 2013$'000 $'000

Note 42 Capital expenditure

Capital expenditure areas

Buildings 984 1,497Economic infrastructure 5,128 4,799Environmental works 76 -Plant, equipment and other 5,370 1,995Roads, drains and bridges 10,346 9,206Social projects 1,678 1,726Flood recovery works 4,943 5,013Total capital works 28,526 24,236

Represented by:New buildings 239 213Renewal of buildings 604 1,229Expansion/upgrade of buildings 141 55New economic infrastructure 3,012 3,614Renewal of economic infrastructure 595 883Expansion/upgrade of economic infrastructure 1,522 302New environmental works 24 -Renewal of environmental works 9 -Upgrade of environmental works 43 -New plant, equipment and other 2,492 455Renewal of plant, equipment and other 2,378 1,540Expansion/upgrade of plant, equipment and other 500 -New roads, drains and bridges 44 38Renewal of roads, drains and bridges 9,621 9,038Expansion/upgrade of roads, drains and bridges 681 130New social project assets 732 429Renewal of social project assets 931 1,243Expansion/upgrade of social project assets 14 54Renewal through flood recovery works 4,943 5,013Total capital works 28,526 24,236Property, plant and equipment, infrastructure movement

The movement between the previous year and the current year in property, plant and equipment, infrastructure as shown in the Balance Sheet links to the net of the following items:

Total capital works 21 28,526 24,236Asset revaluation movement 27 (8,667) 116Depreciation/amortisation 12 (12,166) (13,346)Recognition of assets 44 0 94Adjustment to the carrying value of work in progress - operational expense 21 - (483)Contributed assets 6 - 193Written down value of assets sold 21 (2,692) (3,893)Fair value adjustment to landfill asset 21 (132) (21)Transfer to investment land and buildings - -Net movement in property, plant and equipment, infrastructure 21 4,871 6,896



2014 2013$'000 $'000

Note 42 Capital expenditure

Capital expenditure areas

Buildings 984 1,497Economic infrastructure 5,128 4,799Environmental works 76 -Plant, equipment and other 5,370 1,995Roads, drains and bridges 10,346 9,206Social projects 1,678 1,726Flood recovery works 4,943 5,013Total capital works 28,526 24,236

Represented by:New buildings 239 213Renewal of buildings 604 1,229Expansion/upgrade of buildings 141 55New economic infrastructure 3,012 3,614Renewal of economic infrastructure 595 883Expansion/upgrade of economic infrastructure 1,522 302New environmental works 24 -Renewal of environmental works 9 -Upgrade of environmental works 43 -New plant, equipment and other 2,492 455Renewal of plant, equipment and other 2,378 1,540Expansion/upgrade of plant, equipment and other 500 -New roads, drains and bridges 44 38Renewal of roads, drains and bridges 9,621 9,038Expansion/upgrade of roads, drains and bridges 681 130New social project assets 732 429Renewal of social project assets 931 1,243Expansion/upgrade of social project assets 14 54Renewal through flood recovery works 4,943 5,013Total capital works 28,526 24,236Property, plant and equipment, infrastructure movement

The movement between the previous year and the current year in property, plant and equipment, infrastructure as shown in the Balance Sheet links to the net of the following items:

Total capital works 21 28,526 24,236Asset revaluation movement 27 (8,667) 116Depreciation/amortisation 12 (12,166) (13,346)Recognition of assets 44 0 94Adjustment to the carrying value of work in progress - operational expense 21 - (483)Contributed assets 6 - 193Written down value of assets sold 21 (2,692) (3,893)Fair value adjustment to landfill asset 21 (132) (21)Transfer to investment land and buildings - -Net movement in property, plant and equipment, infrastructure 21 4,871 6,896





Note 42 Capital expenditure (cont)(a) Asset renewal expenditure

(b) Asset upgrade expenditure

(c) Asset expansion expenditure

(d) New asset expenditure

Note 43 Special committees and other activities

Note 44 Recognition of assets

Expenditure which enhances an existing asset to provide a higher level of service or expenditure that willincrease the life of the asset beyond that which it had originally. Upgrade expenditure is discretional and oftendoes not result in additional revenue unless direct user charges apply. It will increase operating and maintenanceexpenditure in the future because of the increase in the Council’s asset base.

Expenditure which extends an existing asset, at the same standard as is currently enjoyed by residents, to a newgroup of users. It is discretional expenditure which increases future operating and maintenance costs, because itincreases council’s asset base, but may be associated with additional revenue from the new user group.

Expenditure on an existing asset which returns the service potential or the life of the asset up to that which it hadoriginally. It is periodically required expenditure, relatively large (material) in value compared with the value of thecomponents or sub-components of the asset being renewed. As it reinstates existing service potential, it has noimpact on revenue, but may reduce future operating and maintenance expenditure if completed at the optimumtime.

Expenditure which creates a new asset that provides a new service that did not previously exist. New asset expenditure does not have any element of renewal, expansion or upgrade of existing assets. New capital expenditure may or may not result in additional revenue for council and will result in an additional burden for future operation, maintenance and capital renewal.

The assets and liabilities of the following committees and trusts have not been included in this financial report Special Committees of Council in relation to Public Halls and Recreation Reserves.

External revaluations and audits of various asset classes resulted in $32.971 million of land assets being identified that belonged to Council. Per Note 1 (z) this has been brought to account as a correction to the 2012/13 opening balances. Additionally, in 2012/13 external revaluations and audits of various asset classes resulted in $0.94 million of assets being identified that belonged to Council and brought to account through the Comprehensive Income statement.


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Notes to the Standard Statements

1. Basis of preparation of Standard Statements

Council is required to prepare and include audited Standard Statements within its Annual Report. These statements and supporting notes form a special purpose financial report prepared to meet therequirements of the Local Government Act 1989 and Local Government (Planning and Reporting)Regulations 2014.

The Standard Statements have been prepared on accounting basis consistent with those used for the General Purpose Financial Report and the Budget. The results reported in these statements are consistent with those reported in the General Purpose Financial Report.

The Standard Statements are not a substitute for the General Purpose Financial Report, which is included inthe Annual Report. They have not been prepared in accordance with all Australian Accounting Standards orother authoritative professional pronouncements.

The Standard Statements compare Council’s financial plan, expressed through its budget, with actual performance. Explanations have been provided where the variance to budget is thought to be material as required by The Local Government Act 1989.

The budget figures included in the Standard Statements are those adopted by Council on 25 June 2013. The budget was based on assumptions that were relevant at the time of adoption of the budget. The Council sets guidelines and parameters for revenue and expense targets in this budget in order to meet Council’s business plan and financial performance targets for both the short and long term. The budget did not reflect any changes to equity resulting from assets revaluations, as their impacts were not considered predictable.

Detailed information on the actual financial results are contained in the General Purpose Financial Report. The detailed budget can be obtained by contacting Council or through the Council’s website. The Standard Statements must be read with reference to these documents.


Shire of CampaspeSTANDARD INCOME STATEMENTFor the Year Ended 30 June 2014

Actuals Budget2013/2014 2013/2014 Ref

$'000 $'000 $'000 %

RevenueRates income 28,872 28,856 16 0.1Garbage charge 5,040 5,034 6 0.1Grants Commission 5,637 11,254 (5,617) (49.9) 1Recurrent grants 4,591 4,094 497 12.1 2Non-recurrent grants 11,018 8,982 2,036 22.7 3User fees 17,966 18,045 (79) (0.4)Interest 1,470 1,728 (258) (14.9)Total revenue 74,594 77,993 (3,399) (4.4)

ExpensesEmployee benefits 30,325 31,108 783 2.5 4Materials and services 28,517 28,689 172 0.6Depreciation and amortisation 12,166 12,118 (48) (0.4)Finance costs 301 340 39 11.4Total expenses 71,309 72,255 946 1.3

Underlying surplus (deficit) 3,285 5,738 (2,453) 42.7

Fair value adjustments for investment property (940) - (940) -Recognition of assets under Council control - - - 100.0 5Net gain (loss) on sale of property, infrastructure, plant and equipment

(1,979) 10 (1,989) (100.0) 6

Surplus (deficit) for the year 367 5,748 (5,380) 93.6

Variances


For the Year Ended 30 June 2014Variance Explanation Report

Ref. Item Explanation

1 Grants Commission Victorian Grants Commission funding adjustment not provided in estimates at time ofbudget.

2 Recurrent Grants Grants received greater than budget for Aged & Disability $118K, Municipal EmergencyRestoration plan $60K, Count us in Youth $35K, L2P Driver education $54K, Recyclingeducation $15K, Library $25K and Fire Services Levy improvement $72K.

3 Non-Recurrent Grants Unbudgeted grants received for Flood recovery work $1.9 million and Kyabram Cyclingtrack $180,000

4 Employee benefits Savings due to timing of recruiting to fill vacant positions.

5 Recognition of assets under Council control

Audit of Council assets reveal assets not include on Council's asset register.

6 Net gain (loss) on sale of property, infrastructure, plant and equipment

Relates to standard write off of any remaining written down value balance when assetsare replaced.

Shire of CampaspeSTANDARD INCOME STATEMENT

Commentary on the Standard Income Statement for the Annual Report:The Standard Income Statement for the Annual Report shows what has happened during the year in terms of revenue, expenses and other adjustments from all activities.

The Standard Income Statement requires revenues to be separately disclosed where the item is of such a size, nature orincidence that its disclosure is relevant in explaining the performance of the council.


Shire of CampaspeSTANDARD BALANCE SHEETAs at 30 June 2014


$'000 $'000 $'000 %

Current assetsCash and cash equivalents 26,696 24,776 1,920 7.8 1Trade and other receivables 6,368 3,995 2,373 59.4 2Other current assets 844 716 128 17.8Non-current assets held for sale 910 478 432 90.4 3Total current assets 34,818 29,965 4,853 16.2

Non-current assetsProperty, infrastructure, plant and equipment

561,594 559,183 2,411 0.4 4

Total non-current assets 561,594 559,183 2,411 0.4Total assets 596,412 589,148 7,264 1.2

Current liabilitiesTrade and other payables 6,865 4,781 (2,084) (43.6) 5Interest bearing loans and borrowings 529 532 3 0.6Provisions 7,263 7,354 91 1.2Trust funds and deposits 507 348 (159) (45.6) 6Total current liabilities 15,164 13,015 (2,149) (16.5)

Non-current liabilitiesInterest bearing loans and borrowings 4,823 4,893 70 1.4Provisions 3,020 2,820 (200) (7.1)Trust funds and deposits 123 208 85 40.7 6Total non-current liabilities 7,966 7,921 (45) (0.6)Total liabilities 23,130 20,936 (2,194) (10.5)

Net assets 573,282 568,212 5,070 0.9

EquityAccumulated surplus 284,803 251,045 33,758 13.4Asset revaluation reserve 264,697 288,807 (24,110) (8.3) 7Other reserves 23,783 28,360 (4,577) (16.1)Total equity 573,282 568,212 5,070 0.9

Variances


As at 30 June 2014Variance Explanation Report

Ref. Item Explanation

1 Cash and cash equivalents Cash balance at the beginning of the year greater than anticipated ($10M), partially offset by delivery of greater than budgeted capital spend

2 Trade and other receivables Flood recovery claim receivable accrued $2.2million

3 Non-current assets held for sale Asset held at budget time were sold and new asset purchased.

4 Property, infrastructure, plant and equipment

Greater than budgeted delivery of capital works program.

5 Trade and other payables Significantly higher balance due to year end project based payables driven by work in progress.

6 Trust funds and deposits Adjustment to split between current and non-current allocation of trust funds and deposits.

7 Reserves Budget framed prior to the effects of the adoption of Asset Valuation Policy in 2012/13 being know.

The assets and liabilities are separated into current and non-current. Current means those assets or liabilities which will fall duein the next twelve months.

Shire of CampaspeSTANDARD BALANCE SHEET

Commentary on the Standard Balance Sheet for the Annual Report:The Standard Balance Sheet for the Annual Report shows a snap shot of the financial situation as at the end of the year. Itshows the total of what is owned (assets) less what is owed (liabilities). The bottom line of the statement is net assets, which isthe net worth of the Council.

The change in net assets between two years Standard Balance Sheets show how the financial position has changed over thatperiod which is described in more detail in the Standard Income Statement.


Shire of CampaspeSTANDARD CASH FLOW STATEMENTFor the Year Ended 30 June 2014


$'000 $'000 $'000 %Cash flows from operating activitiesReceipts from customers 33,758 33,861 (103) (0.3)User charges (inclusive of GST) 18,598 19,748 (1,150) (5.8) 1Net GST payment (642) (1,373) 731 53.2Payments to suppliers (inclusive of GST) (31,050) (31,403) 353 1.1Net cash from customers and suppliers 20,663 20,833 (170) (0.8)

Interest received 1,815 1,727 88 5.1Government receipts (inclusive of GST) 20,839 26,763 (5,924) (22.1) 2Payment to employees (29,992) (30,714) 722 2.3Debt servicing (301) (340) 39 11.5Net cash from operating activities 13,024 18,269 (5,245) (28.7)

Cash flows from investing activitiesPayments for infrastructure, property, plant and equipment (29,306) (26,118) (3,188) (12.2) 3Payments for landfill rehabilitation (1,030) (1,095) 65 5.9Payments for investment property (0) (0) -Proceeds from sale of infrastructure, property, plant and equipment

713 460 253 55.0Net cash from investing activities (29,623) (26,753) (2,870) (10.7)

Cash flows from financing activitiesProceeds from borrowings - - -Repayment of borrowings (499) (502) 3 0.5Trust funds and deposits (45) (50) 5 10.4Net cash from financing activities (544) (552) 8 1.4

Net increase (decrease) in cash and cash equivalents (17,143) (9,036) (8,107) (89.7)Cash and cash equivalents at the beginning of the year 43,840 33,812 10,028 29.7Cash and cash equivalents at the end of the year 26,696 24,776 1,920 7.8

Reconciliation of Surplus (Deficit) and Net Cash Flows from Operating ActivitiesSurplus (deficit) 367 5,748 (5,381) (93.6)Depreciation and amortisation 12,166 12,118 48 0.4(Profit) Loss on sale of property, infrastructure, plant and equipment

1,979 (10) 1,989 100.0

Recognition of assets - - - (100.0)Fair value adjustments to investment property 940 - 940 -Net movement in assets and liabilities (2,427) 413 (2,840) (687.6)Net cash from operating activities 13,024 18,269 (5,244) (28.7)

Variances



Ref. Item Explanation1 User charges Change in recognition of income from joint ticket sales, now only Council's portion

recognised $600K, operational user fees less than budgeted $717K

2 Government Receipts Grants Commission funding not received in advance in the 2013/14 year due to a change in Government policy. Flood recovery funding accrued as not yet received but budgeted.

3 Payment for infrastructure, property, plant and equipment

Capital works program exceeded budget by $3.02M.

The information in the Standard Cash Flow Statement assist users in the assessment of the ability to generate cash flows, meetfinancial commitments as they fall due, including the servicing of borrowings, fund changes in the scope or nature of activities andobtaining external finance.

Shire of CampaspeSTANDARD CASH FLOW STATEMENT

Commentary on the Standard Cash Flow Statement for the Annual Report:

A Standard Cash Flow Statement for the Annual Report shows what has happened during the year in terms of cash. It explainswhat cash movements have resulted in the difference in the cash balance at the beginning and the end of the year.

The net cash flows from operating activities, shows how much cash remains, after paying for providing services to the community,which may be invested in things such as capital works.


Shire of CampaspeSTANDARD STATEMENT OF CAPITAL WORKSFor the Year Ended 30 June 2014


$'000 $'000 $'000 %

Buildings 984 1,164 (180) (15.4)Economic infrastructure 5,128 5,132 (4) (0.1)Environmental works 76 1,095 (1,019) (93.1)Plant, equipment and other 5,370 4,027 1,343 33.3Roads, drains and bridges 10,346 9,515 831 8.7Social projects 1,678 1,587 90 5.7Flood recovery works 4,943 8,308 (3,365) (40.5)Total capital works 28,526 30,827 (2,301) (7.5) 1

Represented by:New buildings 239 40 199 496.6Renewal of buildings 604 1,044 (440) (42.1)Expansion/upgrade of buildings 141 80 61 76.7New economic infrastructure 3,012 3,083 (71) (2.3)Renewal of economic infrastructure 595 1,774 (1,179) (66.5)Expansion/upgrade of economic infrastructure 1,522 276 1,246 451.4New environmental works 24 909 (885) (97.4)Expansion/upgrade of environmental works 52 186 (134) (71.9)New plant, equipment and other 2,492 2,010 482 24.0Renewal of plant, equipment and other 2,378 2,017 361 17.9Expansion/upgrade of plant, equipment and other 500 - 500 -New roads, drains and bridges 44 115 (71) (61.5)Renewal of roads, drains and bridges 9,621 8,820 801 9.1Expansion/upgrade of roads, drains and bridges 681 580 101 17.4New social project assets 732 238 494 207.5Renewal of social project assets 931 1,281 (350) (27.3)Expansion/upgrade of social project assets 14 67 (53) (78.5)Renewal through flood recovery works 4,943 8,307 (3,364) (40.5)Total capital works 28,526 30,827 (2,301) (7.5)

Property, infrastructure, plant and equipment movement

Total capital works 28,526 30,827 (2,301) (7.5)Asset revaluation movement (8,667) 15,562 (24,229) (155.7)Depreciation/amortisation (12,166) (12,118) (48) 0.4Payments for landfill rehabilitation - (1,096) 1,096 (100.0)Written down value of assets sold (2,692) (450) (2,242) 498.2Other transfers (132) (3,615) 3,483 (96.4)Net movement in property, infrastructure, plant and equipment

4,871 29,111 (24,240) (83.3)

Variances

The movement between the previous year and the current year in property, infrastructure, plant and equipment, as shown in the Balance Sheet links to the net of the following items:



Ref. Explanation

1

Commentary on the Standard Statement of Capital Works for the Annual Report:The Standard Statement of Capital Works sets out the expenditure on creating or buying property, infrastructure, plant andequipment assets by each category of asset. It also shows how much has been spent on renewing, upgrading, expanding orcreating new assets of this type.

Shire of CampaspeSTANDARD STATEMENT OF CAPITAL WORKS

Variance to budgeted spend on the ,major works program were due to the following factors:Echuca west land purchase $0.91M

Increase in information technology spend due to council increasing budget $1.2M

Port building projects cancelled until further investigationIncreased works at Lockington landfill $0.3MHigher Plant replacement spend due to carryover from 2012/13 caused by late delivery of plant itemsRoads, drains and bridges spend increased by $1.9M

Lower than forecast flood recovery works due to change in scope of work required $1.48MAquatic facilities renewal $0.22MAdditional spend at Port of Echuca due to unbudgeted grant funding being received $0.4m


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Shire of Campaspe Performance Statement 2013/2014

Key Strategic Activities

Ref Objective Key Initiative Performance Target RESULT

1

Industry and businesses are attracted and supported to invest, grow and diversify.

Identify opportunities and barriers to economic growth for the Shire of Campaspe through the development of a Campaspe Economic Development Strategy.

Economic Development Strategy presented to Council.

No

2

Community infrastructure contributes to our long-term social and economic fabric.

Continue to work with the community to maintain, combine and rationalise these assets needed to support services into the future through the Financial Sustainability Review.

Two service reviews completed and reported to Council using the Financial Sustainability Review framework.

Yes

3

With our stakeholders, partners and community, we hold shared goals and understand each other's obligations, activities and achievements.

Encourage higher levels of community engagement in Council activities through establishment and implementation of a Campaspe Engagement policy.

Community Engagement Policy adopted by Council.

Yes

4

Council continues to have the resources to provide services needed by our communities.

Drive improvement in the core operational processes and critical information management through Information and Communication Technology (ICT) to support the timely, accurate, efficient and compliant operations of Council.

Implement infrastructure required for core ICT systems for business applications / functions

Yes

5

Council continues to have the resources to provide services needed by our communities.

Reflect the diverse views and aspirations of Campaspe communities through providing a blueprint for building sustainable economic activity and maximising the quality of life in the municipality over the next 20 years through the development of a Campaspe 2030 Strategy.

Complete the community engagement activities nominated to inform the development of the draft Campaspe 2030 Strategy.

Yes

6

Council's governance processes visibly meet stakeholder needs and statutory obligations.

Increase efficiency, effectiveness and transparency of Council's Statutory compliance obligations through the development of a Compliance Framework.

A Compliance Framework established and endorsed by Council.

Yes

7

Enhance our ability to achieve outcomes through relationships and reputation.

Build greater awareness around the National Broadband Network to assist Campaspe businesses and communities become 'NBN ready' and advocate to secure further rollout of the network in Campaspe towns and communities.

Establishment of a Campaspe NBN advocacy working group.

Yes

8

Enhance our ability to achieve outcomes through relationships and reputation.

Increase the profile of the Echuca-Moama Second River Crossing with potential funding partners and key stakeholders.

Present Council with a documented Echuca-Moama Second River Crossing Advocacy Strategy and implement agreed actions for 2013.

Yes


Shire of Campaspe Performance Statement 2013/2014 (cont)

Key Strategic Activities

NOTES TO AND FORMING PART OF THE PERFORMANCE STATEMENT

Introduction to the Performance Statement

The use of performance indicators by local government is a significant first step towards achieving:

●

● better informed local communities.

Summary of Explanations and Variations:

1

2

3

4

5

6

7

8

The Victorian Government is of the view that it is reasonable to expect all Councils to collect and publish performance information. The Government has amended the Local Government Act (Section 132 of the Local Government Act 1989) to ensure that Local Government develops new performance accountability mechanisms which allow for a consistent approach in the collection and reporting of informationregarding financial performance, operating costs and community satisfaction. Without comparable figures, a great deal of benefit of measuring performance is lost.

COMPLETED - Community engagement activities completed inline with the project plan and presented to Council

COMPLETED - Compliance 11 framework adopted by Council

COMPLETED - NBN Advocacy Working Group established

COMPLETED - Documented Echuca-Moama Second River Crossing Advocacy Strategy and implement agreed actions for 2013.

Of the key strategic activities not 100% complete, all are well underway and their stage of completion will not have any impact on the longer term strategies of Council.

an improved capacity to objectively measure Council performance leading to a better set of relationships between state and localgovernment; and

IN PROGRESS - Consultant appointed and Councillor workshop held

COMPLETED - Service Reviews completed regarding Tactical Approach to Toilets, Kyabram Places of Assembly, SES

COMPLETED - Community Enagement Policy 59 adopted by Council

COMPLETED - Acceptance Certificate outlines status of activities to be completed within 2013/14


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ACRONYMS & DEFINITIONS

Auditor-General - independent parliamentary officer appointed by legislation to examine and report to State Parliament and the community on the management of public sector resources and provide assurance of the financial integrity of Victoria’s system of government.

Best Value - State Government legislation that requires councils to review their services and adopt a model that is best for the community.

Capital works - any work undertaken to establish, renew, expand, upgrade and dispose of Council’s assets.

CEO - Chief Executive Officer.

Community Grants program - Council funding made available to not for profit community groups to assist in the provision of activities and programs.

Community Satisfaction Survey - a State Government requirement whereby councils conduct a survey once a year to obtain community feedback in order to gauge satisfaction levels with council services.

Compliance 11 - a new customer charter setting standards for the delivery of compliance services.

Council Plan - four year plan outlining Council’s strategic direction.

Councillors - the elected representatives of Council.

Council asset - an asset is a facility or part of a facility that has a value, enables a service to be provided.

EFT - Effective full-time

Encore program - a health and wellbeing program delivered to women who have experienced breast cancer.

EWMAC – Echuca War Memorial Aquatic Centre

FOI - Freedom of Information

FSR - Financial Sustainability Review

HACC - Home and Community Care

ICT - Information and Communications Technology

Local Law - the laws adopted by Council that prohibit, regulate and control activities, events, practices and behaviours within Campaspe.

LGPro - Local Government Professionals

MAV - Municipal Association of Victoria

NBN - National Broadband Network

NHVR - National Heavy Vehicle Register

OH&S - Occupational health and safety

Planning Scheme - a legal instrument that sets out the provisions for land use, development and protection.

PS - Paddlesteamer

SES - State Emergency Services

Strategic Resource Plan - outlines the resources required, financial and non-financial, to achieve the strategic objectives outlined in the Council Plan.

SWMS - Safe work method statements

VCAT - Victorian Civil Administrative Tribunal

WICKED - Waste in Campaspe - Know, Educate, Do


SHIRE OF CAMPASPECorner Hare and Heygarth Streets, EchucaHours: 8.15am to 5.00pmMonday to Friday

Postal address: PO Box 35, Echuca VIC 3564Telephone: (03) 5481 2200 1300 666 535Fax: (03) 5481 2290Email: [email protected]: www.campaspe.vic.gov.au

CUSTOMER SERVICE CENTRESKyabram, 19 Lake RoadRochester, 43-45 Mackay StreetRushworth, 33 High StreetTongala, 37 Mangan Street

SHIRE OF CAMPASPE

Corner Hare & Heygarth Streets, EchucaPO Box 35 Echuca VIC 3564Telephone: 03 5481 2200 1300 666 535Facsimile: (03) 5481 2290Email: [email protected]: www.campaspe.vic.gov.au

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