commencing at 12:00 am corner tozer and elbow streets, west … · 2020. 5. 12. · the crescent...

Ordinary Council Meeting - 19 May 2020

A Council meeting will be held on Tuesday 19 May 2020 in the Council Chambers located Corner Tozer and Elbow Streets, West Kempsey

commencing at 12:00 am


INDEX 1 OPENING PRAYER ..............................................................................................................................3 2 ACKNOWLEDGEMENT OF COUNTRY .................................................................................................3 3 APOLOGIES AND APPLICATIONS FOR A LEAVE OF ABSENCE BY COUNCILLORS ................................3 4 CONFIRMATION OF MINUTES ...........................................................................................................3 5 DISCLOSURES OF INTEREST ...............................................................................................................3 6 ITEMS PASSED BY EXCEPTION ...........................................................................................................4 7 MAYORAL MINUTES ..........................................................................................................................5 8 REPORTS OF COMMITTEES ...............................................................................................................6 9 REPORTS TO COUNCIL .......................................................................................................................7

9.1 CRESCENT HEAD PUBLIC DOMAIN PROJECT ..............................................................................................7 9.2 QUARTERLY REPORT ................................................................................................................................16 9.3 WATER RESTRICTIONS IMPLEMENTATION REVIEW ................................................................................24 9.4 POSTPONEMENT OF LOCAL GOVERNMENT ELECTIONS ..........................................................................27 9.5 MNCJO REVIEW .......................................................................................................................................29 9.6 LAND ACQUISITION - PART 1024 POINT PLOMER ROAD, CRESCENT HEAD .............................................33 9.7 LAND ACQUISITIONS - CLYDE STREET, KEMPSEY .....................................................................................35 9.8 WRITE-OFF OUTSTANDING DEBTORS ......................................................................................................38 9.9 RATES WRITE-OFF ....................................................................................................................................40 9.10 GREAT KOALA NATIONAL PARK PROPOSAL .............................................................................................42 9.11 RECOVERY PROGRAM UPDATE ................................................................................................................45 9.12 BASE LAND VALUATION CHANGE FOR RATING PURPOSES .....................................................................47 9.13 STATEMENT OF CASH AND INVESTMENTS - MAY 2020 ...........................................................................51

10 NOTICES OF MOTION/QUESTIONS WITH NOTICE ...........................................................................53 10.1 TREE PLANTING PROJECT .........................................................................................................................53 10.2 QUESTIONS ON NOTICE ...........................................................................................................................56

11 CONFIDENTIAL MATTERS ................................................................................................................58 11.1 LEGAL MATTERS .......................................................................................................................................59 11.2 CRESCENT HEAD WATER TREATMENT PLANT PROCUREMENT UPDATE .................................................59 11.3 TENDER FOR THE SUPPLY AND DELIVERY OF READY MIX CONCRETE TQE 20/4 ......................................59 11.4 TQE20/5 - TENDER FOR SUPPLY AND INSTALLATION OF 12 ACCOMMODATION CABINS AT CRESCENT

HEAD AND FORMATION OF PANEL FOR ACCOMMODATION CABINS .....................................................59 12 CONCLUSION OF THE MEETING ......................................................................................................60


1 OPENING PRAYER “Dear Lord, help us in our deliberations today so that our decisions will be for the greater good for the whole of Kempsey Shire - Amen”. 2 ACKNOWLEDGEMENT OF COUNTRY “Council acknowledges that this meeting is being held on the traditional lands of the Dunghutti People”. 3 APOLOGIES AND APPLICATIONS FOR A LEAVE OF ABSENCE BY COUNCILLORS That the apology submitted by Councillors for non-attendance at the meeting be accepted and leave of absence granted. 4 CONFIRMATION OF MINUTES That the minutes of the ordinary meeting of Kempsey Shire Council dated 21 April 2020 be confirmed. Attachments 1. 2020-04-21-draft-minutes-r 1 [4.1.1 - 18 pages] 5 DISCLOSURES OF INTEREST That Councillors' declared interests be noted.


6 ITEMS PASSED BY EXCEPTION The council or a committee of council may, at any time, resolve to adopt multiple items of business on the agenda together by way of a single resolution. Before the council or committee resolves to adopt multiple items of business on the agenda together, the chairperson must list the items of business to be adopted and ask councillors to identify any individual items of business listed by the chairperson that they intend to vote against the recommendation made in the business paper or that they wish to speak on. The council must not resolve to adopt any item of business that a councillor has identified as being one they intend to vote against the recommendation made in the business paper or to speak on. RECOMMENDED: That the recommendations contained in the following items be adopted:

9.5 MNCJO REVIEW 9.6 LAND ACQUISITION - PART 1024 POINT PLOMER ROAD, CRESCENT HEAD 9.7 LAND ACQUISITIONS - CLYDE STREET, KEMPSEY 9.8 WRITE OFF OUTSTANDING DEBTORS 9.9 RATES WRITE-OFF 9.10 GREAT KOALA NATIONAL PARK PROPOSAL 9.11 RECOVERY PROGRAM UPDATE 9.12 BASE LAND VALUATION CHANGE FOR RATING PURPOSES 9.13 STATEMENT OF CASH AND INVESTMENTS - MAY 2020 11.1 LEGAL MATTERS 11.2 CRESCENT HEAD WATER TREATMENT PLANT PROCUREMENT UPDATE 11.3 TENDER FOR THE SUPPLY AND DELIVERY OF READY MIX CONCRETE TQE 20/4 11.4 TQE20/5 - TENDER FOR SUPPLY AND INSTALLATION OF 12 ACCOMMODATION

CABINS AT CRESCENT HEAD AND FORMATION OF PANEL FOR ACCOMMODATION CABINS


7 MAYORAL MINUTES Nil


8 REPORTS OF COMMITTEES Nil


9 REPORTS TO COUNCIL 9.1 CRESCENT HEAD PUBLIC DOMAIN PROJECT Officer Bruce Potts, Strategic Planner File No 1812 Attachments 1. Crescent Head Traffic Management & Parking Plan [9.1.1 - 40 pages]

2. Draft Crescent Head Public Domain Project Plan [9.1.2 - 80 pages]

PURPOSE The Crescent Head Public Domain Project is the delivery of three priority programs identified in the Crescent Head Master Plan adopted by Council in 2017, being the Crescent Head Traffic Management and Parking Plan, the Crescent Head Foreshore Recreation and Landscape Plan, and the Crescent Head Town (Village) Centre Urban Landscape Plan. The amalgamation of the three projects into one single project provided Council with an opportunity to develop a seamless urban landscape and recreation design program for the village of Crescent Head.

The purpose of this report is to advise Council that the Draft Crescent Head Public Domain Plan has been completed and is ready for public exhibition.

RECOMMENDATION That Council endorse the Draft Crescent Head Public Domain Plan for public exhibition, and that it be placed on exhibition for a period of 42 days.

BACKGROUND

Master Plan The Crescent Head Master Plan, adopted by Council in November 2017, outlined a schedule of seven priority actions to be undertaken by Council as identified by the local community during an extended period of engagement that commenced in December 2016. This report deals with three of those actions through the delivery of the draft Crescent Head Public Domain Plan.

Consultancy In August 2019, landscape design firm Plummer and Smith were engaged as lead consultants on the project. In accordance with the Council Brief, they engaged a traffic and transport planning firm, GTA Pty Ltd to prepare a traffic management and parking plan for the project. The resulting document, The Crescent Head Traffic Management and Parking Plan was completed in December 2019 and underpinned the development of the draft design layouts, particularly for the foreshore and Willow Street sectors of the project area.

Process Clear feedback from the community that was received during the earlier Master Plan engagement was the desire for the local community to have a greater involvement in the decision-making process for any public domain plans at Crescent Head. In response, Council’s planning team have trialled a collaborative design exercise where community members have been directly involved in the design process. This is discussed further under Stakeholder Engagement section of this report.

The Crescent Head Public Domain Project The Crescent Head Public Domain Project was framed by nine project principles born out of the design workshops, engagement with Council stakeholders, site analysis and assessments. These formed the criteria and structure that guided the project development. They are:


Principle 1 – Natural Environment - The natural environment of Crescent Head should remain the primary experience of the place - it is the cultural, economic and aesthetic life blood of Crescent Head

Principle 2 – Culture and History - The culture and history of the place should be legible into the future

Principle 3 – It is a Village - Ensure proposals are in keeping with village scale and village atmosphere

Principle 4 - Access and Mobility - Improving access and mobility across the village centre and foreshore to improve resident and visitor experience and safety

Principle 5 – Traffic and Parking - Manage traffic flow and rationalise parking to improve safety and public domain amenity

Principle 6 – Public Space Amenity - Provide public domain and space outcomes that allow for casual social connection

Principle 7 – Economic Viability - Allow natural beauty and functional public domain to enhance economic viability and resilience

Principle 8 – Low Key Atmosphere - Any proposals should at all times seek to maintain a low key 'make-do' atmosphere as a defining characteristic of place

Principle 9 – Future Proofing - Ensure the place is fit for the future-both social and environmental - whilst retaining the essence of what makes it special

Document Format Due to the scale of the project, the draft plan is set out in a format that provides for the designs to be presented in sectors, each corresponding to an identifiable area of the foreshore or village, to provide greater detail and information concerning the proposal to emerge for each design component.

Crescent Head Foreshore The scope of the foreshore design investigations area extended from Willow Street through to Little Nobby Headland and encompasses the Killick Creek Foreshore pathway, the existing car park, playground and picnic areas, the SLSC open space sector and the pathway connecting to Little Nobby, and the headland itself.

In undertaking the design process for the foreshore, issues related to the operation of the Holiday Park (vehicle parking, egress and circulation) required careful consideration while aiming to provide a safer, more accessible, and legible car parking layout.

The key elements of the Foreshore Plan include:

The reorientation and consolidation of the main car park, allowing it to be pulled back from the foreshore creating a legible bay layout and vehicle circulation route for large and small vehicles, caravans, campervans and boat trailers.

Three layout options are provided for the foreshore carpark and are discussed separately below.

Relocation and expansion of the skate park to the oceanside foreshore adjacent to the SLSC and the creation of a new expanded parkland area along the foreshore path east to Little Nobby.

A new expanded day picnic area and playground sector. Creation of a well-defined soft boundary between the Holiday Park and the Killick Creek

Foreshore Walk and the installation of new seating and viewing points along the pathway.


The consolidation and formalisation of vehicle parking in Willow Street and the upgrade of the open space areas adjacent to the Holiday Park and Killick Creek to provide new picnic and parkland opportunities for the community.

Foreshore Car Park Layout Options In an assessment of the existing foreshore uses it was recognised that more efficient site planning, including rationalisation of land uses, would assist in creating public spaces of high public amenity and functional value. In the current layout, car parking and vehicular infrastructure dominate and segment the foreshore area, thereby fragmenting and restricting the public open space.

The aims of the foreshore parking proposal are:

to improve public space outcomes for the community through the provision of improved connectivity between public open space and the consolidation, rather than segmentation, of those spaces,

provide a safer, trafficable public car park that improves vehicle access, movement and parking to the foreshore and Holiday Park, and

improves separation of pedestrian and vehicles across the foreshore areas.

The design documentation includes three options for this area which are summarised below.

Option A: This is the preferred options as it provides the best balance in terms of open space amenity

and connectivity with the provision of a safe and functional car park layout. Removes the existing foreshore carpark ‘spur’ between the water's edge and surfside

Holiday Park boundary. Creation of new public parkland space which replaces the ‘spur’. Design allows for limited

vehicle access across this area for maintenance and event set up purposes. Landscape buffer provided between Holiday Park and car park. Car park spaces – 96 Long vehicle / trailer parking spaces – 6

Option B: Variant on Option A with slightly larger landscape buffer along Holiday Park boundary. Larger buffer achieved by replacing angle parking with parallel parking along this edge. Car park spaces – 91 Long vehicle / trailer spaces – 6

Option C: Retains existing foreshore car park ‘spur’ between water and Holiday Park. Least efficient option in terms of balancing the car park and vehicle circulation with open

space functionality, connectivity and amenity. Car park spaces – 89 Long vehicle / trailer spaces – 5

Crescent Head Village The Crescent Head Village Plan focuses on upgrading the public spaces on Main Street, Rankine Street, East Street and Scott Street, with the additional upgrading of the pedestrian link along Reserve Road to the foreshore. The foundations of the Village upgrade include:


Upgrading the Lloyd Park / Main Street precinct with new angle parking and a total refurbishment of Lloyd Park to create a centrepiece park for the village.

New outdoor dining areas provided outside storefronts on Main Street. Refurbishment of the public forecourt area adjacent to the Crescent Head Tavern into a

‘parklet’ with new pathway linkages, seats, and planting. Redevelopment of the footpath areas on Rankine Street to provide wider pedestrian access

and opportunities for outdoor dining. Accessible ramps and stairs between Rankine Street roadway and footpath. New outdoor furniture, paving and planting on Rankine Street, east Street and Main Street.

KEY CONSIDERATIONS

Policy and Legislation Coastal Management Act 2016 The Coastal Management Act 2016 (CM Act) applies to the project area and is supported by the associated regulations and State Environmental Planning Policy (Coastal Management) 2018 (Coastal SEPP). This legislative framework guides development within the coastal zone of NSW.

The objectives of the CM Act are:

To manage the coastal environment of New South Wales in a manner consistent with the principles of ecologically sustainable development for the social, cultural and economic well-being of the people of the State, and in particular:

a) to protect and enhance natural coastal processes and coastal environmental values including natural character, scenic value, biological diversity and ecosystem integrity and resilience, and

b) to support the social and cultural values of the coastal zone and maintain public access, amenity, use and safety, and

c) to acknowledge Aboriginal peoples’ spiritual, social, customary and economic use of the coastal zone, and

d) to recognise the coastal zone as a vital economic zone and to support sustainable coastal economies, and

e) to facilitate ecologically sustainable development in the coastal zone and promote sustainable land use planning decision-making, and

f) to mitigate current and future risks from coastal hazards, taking into account the effects of climate change, and

g) to recognise that the local and regional scale effects of coastal processes, and the inherently ambulatory and dynamic nature of the shoreline, may result in the loss of coastal land to the sea (including estuaries and other arms of the sea), and to manage coastal use and development accordingly, and

h) to promote integrated and co-ordinated coastal planning, management and reporting, and i) to encourage and promote plans and strategies to improve the resilience of coastal assets to

the impacts of an uncertain climate future including impacts of extreme storm events, and j) to ensure co-ordination of the policies and activities of government and public authorities

relating to the coastal zone and to facilitate the proper integration of their management activities, and

k) to support public participation in coastal management and planning and greater public awareness, education and understanding of coastal processes and management actions, and


l) to facilitate the identification of land in the coastal zone for acquisition by public or local authorities in order to promote the protection, enhancement, maintenance and restoration of the environment of the coastal zone, and

m) to support the objects of the Marine Estate Management Act 2014.

The project area is mapped as follows under the coastal management framework:

Coastal environment area Coastal use area

The management objectives of the coastal environment area are:

(a) to protect and enhance the coastal environmental values and natural processes of coastal waters, estuaries, coastal lakes and coastal lagoons, and enhance natural character, scenic value, biological diversity and ecosystem integrity,

(b) to reduce threats to and improve the resilience of coastal waters, estuaries, coastal lakes and coastal lagoons, including in response to climate change,

(c) to maintain and improve water quality and estuary health, (d) to support the social and cultural values of coastal waters, estuaries, coastal lakes and

coastal lagoons, (e) to maintain the presence of beaches, dunes and the natural features of foreshores, taking

into account the beach system operating at the relevant place, (f) to maintain and, where practicable, improve public access, amenity and use of beaches,

foreshores, headlands and rock platforms.

The management objectives of the coastal use area are:

(a) to protect and enhance the scenic, social and cultural values of the coast by ensuring that: (i) the type, bulk, scale and size of development is appropriate for the location and

natural scenic quality of the coast, and (ii) adverse impacts of development on cultural and built environment heritage are

avoided or mitigated, and (iii) urban design, including water sensitive urban design, is supported and incorporated

into development activities, and (iv) adequate public open space is provided, including for recreational activities and

associated infrastructure, and (v) the use of the surf zone is considered,

(b) to accommodate both urbanised and natural stretches of coastline.

The above-mentioned legislated objectives have been considered and adhered to in the development of the draft Crescent Head Public Domain Plan.

Crown Land Management Act 2016 The foreshore component of the project area is crown land to which the Crown Land Management Act 2016 (CLM Act) applies. The CLM Act provides the framework for the governance and management of crown land.

Under this framework, the foreshore component of the project area will be covered by and managed through an adopted plan of management in the future. A plan of management is a statutory instrument that provides strategic planning and governance for the management and use of land.


There is not a plan of management for the Crescent Head reserve in place at the moment but will soon be developed. The intention is that the work done through the Crescent Head Public Domain Plan will be incorporated into this future plan of management. Accordingly, further engagement with the Department of Planning, Industry & Environment (Crown Lands) as a key stakeholder is proposed during the public exhibition period to ensure compliance with the relevant land management requirements.

Strategic Alignment

North Coast Regional Plan 2036 The North Coast Regional Plan 2036 (NCR Plan) encompasses a vision, goals and actions geared towards delivering greater prosperity in the years ahead for those who live, work and visit the North Coast of NSW, and provides a blueprint to deliver on these.

The vision is:

The best region in Australia to live, work and play thanks to its spectacular environment and vibrant communities.

The draft Crescent Head Public Domain Plan has been developed with this vision and in accordance with the following goals and actions from the NCR Plan.

Goal 1: The most stunning environment in NSW o Direction 2: Enhance biodiversity, coastal and aquatic habitats, and water

catchments Action 2.2: Ensure local plans manage marine environments, water

catchment areas and groundwater sources to avoid potential development impacts

o Direction 3: Manage natural hazards and climate change Action 3.3: Incorporate new knowledge on regional climate projections and

related cumulative impacts in local plans for new urban development

Comment – Crescent Head is a stunning environment and the draft plan has been developed to respect and preserve this. There is a considerable body of work that has been undertaken to date through Council’s Coastal and Estuary Management Program and this has informed development of the draft plan.

Goal 3: Vibrant and engaged communities o Direction 15: Develop healthy, safe, socially engaged and well-connected

communities Action 15.1: Deliver best-practice guidelines for planning, designing and

developing healthy built environments that respond to the ageing demographic and subtropical climate.

Action 15.2: Facilitate more recreational walking and cycling paths and expand interregional and intra-regional walking and cycling links, including the NSW Coastline Cycleway.

Action 15.5: Deliver crime prevention through environmental design outcomes through urban design processes.

o Direction 18: Respect and protect the North Coast’s Aboriginal heritage o Direction 19: Protect historic heritage o Direction 20: Maintain the region’s distinctive built character


Action 20.1: Deliver new high quality development that protects the distinct character of the North Coast, consistent with the North Coast Urban Design Guidelines (2009)

Comment – Consistent with the NCR Plan and with a focus on Crescent Head, the key objectives of the Crescent Head Master Plan were to provide a framework to support the community in identifying and developing programs that invigorate the local economy, that provide improved public spaces, that protect and conserve public lands for future generations, that guard against inappropriate development practices, and that safeguard the character and quality of life inherent in living in Crescent Head. The draft Crescent Head Public Domain Plan is further delivering on these objectives as the move is made into a greater level of detail.

Community Strategic Plan 2036 (June 2017) The Crescent Head Public Domain project aligns with the Community Strategic Plan 2017-2021 being consistent with the following strategies:

HS-01 Plan for and provide infrastructure that encourages and allows for active lifestyles HS-03 Restore damaged environments and removal of environmental threats SOS-01 Create a range of meeting places for the community SAS-06 Provide vibrant public spaces owned by the community

Operating Plan 2019-2020 The project is listed in Council’s Operating Plan 2019-20:

CO01.1.7 Implementation of the Crescent Head Master Plan: o ID 4-6: Traffic Management and Parking Plan o ID 7-9: Foreshore Recreation & Landscape Plan o ID 16-18 Town Centre Urban Landscape Plan

Crescent Head Master Plan 2017 As referenced above, the draft Crescent Head Public Domain Plan delivers on the following from the adopted Crescent Head Master Plan program:

Project Proposal Objectives Issue

Investigate formalisation of overflow and peak period parking at willow street

Rationalise vehicle parking at willow street

Provide parking for a variety of vehicle types at key locations along foreshore area

Investigate new parking strategy for beach foreshore

Improve pedestrian safety and traffic management between foreshore and village centre on reserve road particularly during peak holiday periods

Crescent Head Traffic Management and Parking Plan

Investigate new town centre

Conflicts between traffic and pedestrians occurring along reserve road


parking scheme and traffic management strategy

Local amenities and beautification of the streets and parks. Crescent Head Foreshore

Recreation and Landscape Plan

Identify and upgrade picnic facilities and playgrounds in parklands around foreshores, beach and village centre, including swimming pool and Baker Drive Community Precinct

Picnic and open space facilities need upgrading

Village centre public domain upgrade

Poor public spaces in village

Improved streetscape with new street furniture and planting scheme

Street landscaping and new street trees

Crescent Head Town Centre Urban Landscape Plan

Improved lighting in village centre and foreshores

Increased security in public spaces

Impact on Financial Sustainability The costs associated in the preparation of the plan were fully funded in the 2019-2020 Operating Plan budget. Should the draft Crescent Head Public Domain plan be adopted, the implementation of the proposed civil and open space works will be subject to available funding. Funding sources could include the environmental levy, grants, development contributions and the holiday park reserve as appropriate. Costing estimates for key components of the work shall occur in conjunction with the finalisation of the plans.

Stakeholder Engagement Local community participation was achieved by first seeking expressions of interest from the community and selecting from a broad cross-section in terms of age, gender, and interest. Council staff and the team from Plummer & Smith ran a full day design workshop at the Crescent Head Community Hall in October 2019. Thirty community members, representing a cross section of the community, worked through issues relating to the foreshore and the village centre with the team.

In December 2019 a follow up meeting of those involved in the earlier workshop reviewed and discussed design concepts that had been developed out of the October workshop. This meeting assisted in providing additional information to the consultants and Council officers on the direction the project should follow, particularly in achieving the right balance of foreshore parking and functional open space.

A program of consultation with internal stakeholders commenced in October with an emphasis on engaging with the Commercial Business arm of Council given the relationship of the Crescent Head Holiday Park with the project area. The interface of the carpark and public open space with the Holiday Park is an important element of the plans. Key areas of the plan in this regard include:

Coastal foreshore public open space area and adjoining Holiday Park Adjoining area of the Holiday Park to the revised carpark layout


Reserve Road and adjoining areas Interaction between Killick Creek foreshore path and Holiday Park Willow Street Holiday Park exit and peak period overflow parking needs.

Engagement with Council officers from Civic Services, Infrastructure Delivery, Strategic and Asset Planning, and Waste Services was commenced at this time also.

Engagement with internal and external stakeholders will continue over May and June 2020.

For the community, the current restrictions on gatherings and social distancing requires the engagement to be undertaken principally through Councils on-line platforms. However, if restrictions are eased it may be possible to engage more directly with the community. It is planned to place the Crescent Head Public Domain Project documents on public exhibition via Council’s Your Say Macleay site for an extended period of 42 days (6 weeks) from May through to end of June 2020, and to seek comment from the community.

CONCLUSION The draft Crescent Head Public Domain Plan is the result of a partnership approach between the local community and Council, with the identified objective of delivering the best long-term design outcome for Crescent Head’s foreshore and village spaces. Aligning with the regional and local plans, the draft designs prepared for the Crescent Head foreshore and village establish a benchmark for urban landscape design in popular and sensitive coastal locations. The draft plans are now ready for public exhibition and comment from the community and other stakeholders on the draft plan is welcomed.


9.2 QUARTERLY REPORT Officer Ron Wood, Manager Finance File No F18/2009 Attachments 1. March 2020 QBRS [9.2.1 - 21 pages]

2. Quarterly KPI Report May 2020 [9.2.2 - 4 pages] 3. Matters In Progress May 2020 [9.2.3 - 52 pages] 4. Grants Status Summary May 2020 [9.2.4 - 2 pages] 5. Project Completion Report [9.2.5 - 3 pages]

PURPOSE To report to Council the Quarterly Report, including the Quarterly Budget Review, for the period ending 31 March 2020.

RECOMMENDATION That:

1. the Quarterly Budget Review for the period ending 31 March 2020 is adopted and the variations contained therein are approved;

2. the Key Performance Indicators report is noted; 3. the updates to the Matters in Progress are noted; 4. the Grants Status Summary is noted; and 5. The Project Practical Completion Reports are noted.

BACKGROUND This is the third Quarterly Report for the 2019/20 financial year. The commentary below relates to the Quarterly Budget Review (QBR) attached to this report. Also attached to this report are the following reports which are provided to Council on a quarterly basis for information and noting:

Key Performance Indicators; Matters in Progress; Grants Status Summary; and Project Practical Completion Reports.

KEY CONSIDERATIONS The Budget Review has been prepared for the period ending 31 March 2020.

Council continues to make significant progress in improving its financial management processes, including the implementation of a new corporate business system which is well progressed. The core financial modules have now largely been implemented, which will enable improved financial reporting and management. However, significant further work is required to achieve the desired level of financial management going forward.

Additionally, the Financial Sustainability Strategy and Financial Sustainability Strategy Roadmap that were adopted by Council at its April 2019 Council meeting outline several initiatives that, when fully implemented, will result in improved financial processes and longer-term financial sustainability.

These initiatives are in the process of being implemented and are a key focus area now that the financial related modules of the new corporate business system have been largely implemented.

The COVID-19 pandemic has had a widespread impact. While Council has largely been able to continue operating, a number of services have been affected and Council has also been significantly impacted from a financial perspective. These financial impacts, which include a sizeable reduction in


income from Council’s Macleay Valley Coast Holiday Parks, were summarised in detail in the COVID-19 report considered at the April 2020 Ordinary Meeting of Council and have been incorporated into the March QBR as detailed within this report.

Income & Expense Budget Review Statements

The projected consolidated net operating result has deteriorated by $1.8M from the current budget surplus of $11.2M to a surplus of $9.4M for the year. This is mainly due to proposed decreases in income of $1M and an increase in expenses of $0.8M.

The projected net operating result before capital items has deteriorated by $61k from a deficit of $3.4M to a deficit of $3.5M. This indicates that Council is not generating enough income to cover its operational expenditure this financial year.

Income The proposed decrease in income of $1.04M is summarised in the table below.

Income line item – Reason for proposed budget change Increase/(Decrease)

$‘M

Rates & Annual Charges, User Charges and Fees and Other revenues

This includes COVID-19 reductions of $744k for Holiday Parks revenue and user charges reductions of $205k. These are more than offset by corrections for higher Water access & user charges $658k, an increase in Sewer charges of $159k and the correction of a budgeting error relating to Stormwater Levy income, resulting in an increase of $400k. Additionally, there were various other smaller revenue adjustments resulting in a $0.5M total increase.

0.5

Interest and Investment revenues

A further reduction to investment income ($0.3M) is proposed this quarter due to continued low market interest rates, resulting in less interest revenue being earned than budgeted. This has been partly offset by the recognition of interest charged on overdue accounts ($0.2M).

(0.1)

Grants & Contributions – Operating

The increases are mainly due to the recognition of $219k for coastal environmental projects and $146k for weed control.

0.3

Grants & Contributions – Capital

The net decrease of $1.7M can principally be attributed to the below material movements:

Water and Sewer: A $2.1M decrease in grant income related to capital works which will be deferred to next financial year, including works for Crescent Head and Willawarrin WTP’s, Steuart McIntyre Dam Emergency Works, Stuarts Point Sewer, Central Kempsey Sewer Treatment Plant, SWR Telemetry Mast & South Kempsey Pressure Sewer.

A reduction of $0.3M in relation to public amenities – Back Creek,

(1.7)


Frederickton & Clyde Street Mall.

An increase in NSW Boating Program of $0.3M.

An increase in roads program grants of $0.2M.

An increase in bridges program grants of $0.2M.

Total (1.0)

Expenses The proposed decrease in expenditure of $0.8M is summarised in the table below.

Expense line item Increase/(Decrease)

$’M

Employee costs

A net $0.2M increase in employee costs is attributable to the following movements by fund:

General Fund - $0.7M decrease, which is the result of a $1.1M reduction in wages due to positions vacant/not filled offset by increases to overtime and allowances not previously budgeted as separate line items ($0.4M).

Water Fund - $0.4M increase comprising above budget wage costs of $0.2M, as well as increases to overtime and allowances not previously budgeted as separate line items ($0.2M).

Sewer fund - $0.4M increase due principally to overtime and allowances not previously budgeted as separate line items $0.3M.

0.2

Borrowing costs

Borrowing costs have been increased to align to actual borrowing cost expenses YTD, however full year forecast borrowing costs are still well under the original budgeted amount.

0.2

Materials and contracts (including legal & consultants)

Numerous changes made across the organisation to align the budget to the current year to date run rate.

0.5

Other expenses

Changes made across the organisation to align the budget to the current year to date run rate.

(0.1)

Total (0.8)


Capital Budget Review Statements The 2019-20 Capital budget after carry-overs and revotes was $60.8M. As a comparison, the 2018-19 actual capital spend was only $19.8M1, significantly lower than the current revised budget. Despite a clearer program of work for the 2019-20 financial year and several individually large capital projects, such as Turners Flat Bridge and Back Creek Bridge replacements, Council does not have the capacity to deliver this level of capital expenditure. Furthermore, substantial impacts on Council programs in 2019-20 have resulted from effects and response activities associated with bushfire, minor flooding and COVID19.

The September quarterly review included a $15M high level unallocated reduction in General Fund Capex to more closely align to historical spend levels. This unallocated reduction has now been fully ‘backed out’ as budget reductions have been fully allocated against specific projects. In this quarter a more detailed review of capital expenditure has been conducted and a further $3.4M in consolidated capex has been either removed or deferred to next year based on Council’s ability to deliver the works program. This has resulted in a total forecast capital budget of $39.5M - $13.7M below the Original Budget and $21.4M lower than 2019-20 Capital budget after carry-overs and revotes.

The proposed net decrease in capital expenditure of $3.4M is summarised in the table below, with additional information provided as relevant.

Capital line item Increase/(Decrease)

$’M

New assets other

The reductions include:

Corporate Business System replacement project ($0.3M) – Deferred to 2020-21 in line with implementation timetable.

Stuarts Point Boat Ramp and Associated Facilities Upgrade ($0.3M) - Delay in approval of specific components of the works within the waterway

(0.6)

Renewal line items are listed below:

Land and Buildings

Changes include:

Frederickton toilets ($0.2M) - Deferred to 2020-21 to enable resolution of land ownership related matters at the site

Kempsey Mall toilets ($0.3M) - Deferred to 2020-21 as a result of land acquisition delays

FACS Community Park Upgrade ($0.05M) – Project to be commenced in June and finalised early in 20/21

(0.6)

Roads, Bridges and Footpaths (1.5)

1 After excluding contributed assets of $9.4M. Cash Capital spend is $19.8M.


An overall decrease of $1.5M. The reductions include the following:

W2208 Hickeys Creek Rd ($0.4M) - Deferred to 2020-21 due to unsuitable conditions, replaced with Old Station Road resheet

W2195 South West Rocks Rd ($0.5M) - Funds not planned to be expended deferred to 2020-21, with 2020-21 planned works to follow

W2407 Crescent Head Rd Blackspot ($0.4M) - Deferred to 2020-21 W2196 Belmore River Right Bank Rd ($0.6M) - Project to be

considered in 2020-21 operational planning

W849 Barking Dog Bridge Mooneba Rd ($0.1M) - Project deferred due to repurposing of culverts purchased for bushfire response

Laurels Ave East Kempsey ($0.1M) - Project completed

W965 Gowings Hill Mollys Way ($0.1M) - Project completed

These are partly offset by increased forecasts for the following projects:

MVW Bitumen Reseal $0.3M - Block Grant project undertaken

W3462 Old Station Rd Gravel Resheet $0.3M - Brought forward per above

W3216 Spooners Ave $0.2M - Roads to Recovery funding brought forward

Other

A net $1.4M decrease comprising the following material changes:

Back Creek foreshore works stage 2 ($0.3M) - Deferred to 2020-21 on completion of Back Creek Footbridge works

SWR High Performance Centre ($0.2M) - Deferred to 2020-21 while overall project funding is resolved and design and construct tenders are sought

W494 SWR Pontoon, Amenities, Boat Trailer/Car Parking - Back Creek Off Gordon Young Drive ($0.4M) - Delay in approval of specific components of the works within the waterway

W2298 Edgar St Stormwater ($0.2M) - Project to be deferred to 2020-21 pending detailed design

Miscellaneous Stormwater ($0.1M)

(1.4)

Water

A reduction and deferral of expenditure related to:

Water Desalination ($0.2M) - Work no longer required as part of emergency drought situation response

(3.8)


Stueart Mcintyre Dam emergency works ($3M) - Work program amended to reflect changed grant and approval requirements given easing of drought situation

Bellbrook WTP ($0.1M)

Crescent Head WTP ($0.2M) - Refer to separate agenda item

Willawarrin WTP ($0.05M) - Access for survey and design purposes has been delayed due to river levels since January

Stuarts Point Reservoir ($0.1M)

Sewer

A reduction and deferral of expenditure related to:

Stuarts Point Sewer ($0.2M) - Refer to April 2020 agenda item regarding delay in acquisition process

Central Sewer Treatment Plant ($0.1M) - Reduced consultancy expenditure than planned

SWR Telemetry Mast ($0.1M) - Project deferred to 2020-21

South Kempsey Pressure Sewer ($0.2M) - Work commencement to be in 2020-21

(0.6)

Unallocated

All of the unallocated reductions have now been allocated against specific projects and the $5M unallocated reduction included in the December QBR has now been reversed

5.0

Total (3.4)

Cash and Investments Budget Review Statements As noted previously, work is currently underway to accurately report actual cash reserve movements throughout the financial year.2

The current budgeted cash and investments position at 30 June 2020 is $58.5M. The proposed budget variations of $4.4M this quarter increase that position to $62.9M at year end.

The below table summarises the proposed cash variations for the quarter. It should be noted that the impact of COVID-19 on Council’s cash flow could be significantly greater than what has been reflected in the March QBR cash flow forecast included within this report. The March QBR incorporates the cash flow impacts associated with COVID-19 income reductions (as discussed in the

2 The “Actual YTD figures” column in the QBRS Statement Cash & Investment schedules shows the reserve balances as they were at 30 June 2019. The total of that column is the actual cash balance at March and since Council does not currently record actual cash reserve movements during the year, the unrestricted cash amount in that column will tend to be negative, indicating that all the year to date spend is ‘assumed’ to come from non-reserve funds (which is not necessarily the case).


Income section above) but does not reflect the potential impacts on Council’s cash position at 30 June 2020 of delayed payments of rates and user fees and charges.

The impact of COVID-19 on the collection of rates and user fees and charges is difficult to estimate. While a number of scenarios were financially modelled and included within the COVID-19 report presented to the April 2020 Council meeting, these have not been reflected in the March QBR cash flow forecast given their uncertainty. The potential impact on cash flow is being closely monitored and will start to be better understood after 31 May 2020, when the fourth rates instalment for 2019-20 is due for payment.

Line item Increase/(Decrease)

$’M

Current cash forecast 58.5

COVID-19 related income reductions (1.0) Other operating statement reductions in cash flows (0.8)

Changes in capital expenditure programs resulting in net reduced cash outflows

6.2

Projected cash at the end of the year 62.9

Key Performance Indicators Operating Performance: The projected result of (4.5%), is well below the benchmark (> 0%) but is better than the 2018-19 actual result of (6.3%). The projected result is 8.6% better than the original budget of (13.1%). The ratio has been positively impacted by higher income and lower expenditure forecasts included in the 2019-20 QBR processes. A negative ratio means Council is not generating enough revenue to cover its operating expenses.

Own Source Operating Revenue: Forecast result of 66.8% is above benchmark (> 60%) but slightly lower than historical performance.

Debt Service Cover Ratio: Forecast result of 6.11x (times cover) is well above benchmark (> 2x) compared to previous years.

Building and Infrastructure Renewals Ratio: A ratio above the 100% benchmark means Council is spending more on capital infrastructure renewals than the value at which the infrastructure is depreciating at. The March 2020 QBR ratio is projected at 121% (which is well above the benchmark of (>= 100%). Council’s capacity to deliver capital works in excess of 100% for this ratio is limited. The current high level of capital grant funding is favourably impacting this ratio. Further analysis of this ratio and its impacts for future budget years is being undertaken.

Infrastructure Backlog Ratio: As previously reported, Councils asset management systems are currently under review and accurate data does not currently exist to allow accurate forecast results for this ratio. This ratio is reported annually as part of the annual financial statements and was 11.5% for the 2018-19 year, against a benchmark of less than 2%.

Asset Maintenance ratio: The current forecast of 100% is in line with benchmark (>100%) as projected asset maintenance is forecast to be in line with required asset maintenance. Consistent with the commentary above in relation to the Infrastructure Backlog Ratio, Council is undertaking


several improvements in relation to its Asset Management Systems and processes and this will drive improved reporting of this ratio. The actual asset maintenance backlog for 2018-19 was 82.6%.

CONCLUSION The proposed budget changes in the March QBR project result in a forecast net operating surplus from all operations of $9.4M. However, Council is forecasting an operating deficit (before capital contributions) of $3.4M for the 2019/20 financial year.

Capital expenditure is projected to be $39.4M for the year and cash and investments are projected to be $62.9M by the end of the financial year.


9.3 WATER RESTRICTIONS IMPLEMENTATION REVIEW Officer Wes Trotter, Manager Water and Sewer File No F19/2325 Attachments Water Restriction Review Paper May 2020

PURPOSE The Macleay Valley has just come out of one of the worst droughts in recent history. The Kempsey Shire Council Local Government Area had water restrictions in place across the entire Shire for a total of 305 days. Level 3 was the highest restriction level initiated by Council and was in place for 85 days from 2 December 2019 to 24 February 2020.

This report addresses the actions initiated from the Drought Response Strategy and Drought Recovery Strategy sections of the Drought Management Plan (DMP). The Drought Response Strategy was activated on 21 May 2019 in response to ongoing drought conditions in the region that placed water security pressures on Councils water supply reserves.

The DMP was developed as an interim plan and was adopted by Council in August 2019. The DMP is an update of the previous plan developed in 2007. Recommendations arising from this report will form the basis of review and updates of the DMP, along with further revisions as part of the Integrated Water Cycle Management Strategy that is currently being developed by Council.

RECOMMENDATION That Council:

1. Note the information summary provided on management of water supply provisions during recent intense drought conditions.

2. Revise the Drought Management Plan in accordance with the recommendations of this report in conjunction with the development of the Integrated Water Cycle Management Strategy.

3. Acknowledge the efforts of the Water and Sewer team and other key Council staff involved in the management of water supply during the intense drought conditions.

BACKGROUND In response to ongoing drought conditions that placed increased water security stressors on Council’s water supply resources, the General Manager (GM) in accordance with advice received from the Drought Management Team (DMT), activated Council’s Drought Management Plan (DMP) on 21 May 2019.

As a result of activating Council’s DMP, Water Restriction Levels were in place across the entire shire for a total of 305 days. Level 3 was the highest restriction level initiated by Council and was in place for 85 days from 2 December 2019 to 24 February 2020.

The Macleay River ceased flowing on 7 November 2019 for 66 days before flows re-commenced on 12 January 2020.

On 15 January 2020, the Kempsey Lower Macleay (KLM) supply system supply reserve level at Steuart McIntyre Dam (SM Dam) was at 56.1% volume capacity with a Day Zero estimate of 4.5 month’s supply remaining.

Water Carting to the Willawarrin supply system commenced on 2 October 2019. This remains ongoing as a result of poor water quality induced from the drought event and increased turbidity in


the source water from drought breaking rainfall in the catchment from 12 January 2020. Subsequent ongoing frequent catchment rain events have added to this increase in turbidity.

In November 2019 upriver communities were impacted by bushfires with a State of Emergency declared in the Kempsey Shire LGA. During the height of the bushfire emergency intermittent water carting was supplied to both the Bellbrook and Thungutti supply systems between 9 and 15 November 2019.

Additional water carting continued to the Thungutti supply system for 33 days between 20 December 2019 to 21 January 2020. Water carting to the Bellbrook supply system commenced on 13 January 2020 and remains ongoing due to identical conditions and influence factors seen in the Willawarrin supply system.

The DMP that was initiated for the 2019-2020 drought event was prepared with a view to providing Council with a comprehensive drought management strategy. The plan was developed as an interim plan and subsequently adopted by Council in August 2019. The DMP initiated for the 2019-2020 drought event was an updated version of the previous plan which was originally developed in 2007. Future revisions will align with the Integrated Water Cycle Management Strategy that is currently being developed by Council and outcomes from this report.

The DMP provided guidance to staff for the management of the declared drought event during 2019-2020 and provided the framework to facilitate information to the community of the issues associated with drought management and the community’s role during drought.

The DMP provided the following guidance with respect to drought event management:

• Operational planning • Resourcing strategy • Authorised approach, that is, staff had the confidence that the actions undertaken during

the drought event had been authorised in advance • Basis for government grant applications • Basis of a public awareness and community communication program

The NSW Local Government PPRR (prevention, preparation, response and recovery) emergency management approach is applied to the DMP. This approach provided a strategic and systematic drought management process that helped to reduce risk to the community and the environment.

The PPRR is a continuous process that involved implementing strategies before, during and after a drought event.

The scope of this paper details the actions taken by Council of the Response (Drought Response Strategy) and the Recovery (Drought Recovery strategy) phases of the PPRR of the DMP.

The implementation and review of these actions were the responsibility of the DMT. Drought Response Strategies included:

Drought Triggers Drought triggers activated each of the staged response strategies in accordance with the severity of the drought. The triggers were determined from monitoring the Kempsey and Lower Macleay (KLM) water supply system and restrictions were implemented across the Kempsey Shire LGA, according to these triggers.


During the course of the 2019 – 2020 drought, the Drought Triggers of the DMP were adjusted accordingly based on production demands, water storage levels and day zero calculation based off the Kempsey and Lower Macleay (KLM) water supply system.

Drought Management Team The Drought Management Team (DMT) was set up as part of the drought response and was responsible for managing the decisions and activities implemented during the drought event.

Demand-Side Actions Demand-side actions are the actions Council implemented to reduce water consumption to counter the demand of the diminishing water resources. The implementation of water restriction staged levels based on Drought Triggers was the main demand-side action.

Supply-Side Actions Supply-side actions are the actions that Council implemented to supplement the existing water resources, to match the demand.

The Recovery Strategy sets out the actions completed by Council. This also provided the actions to be undertaken to support the affected community and the restoration actions required to return the water supply operations to normal and restore community wellbeing.

KEY CONSIDERATIONS A detailed summary of the water supply response management and actions to the drought conditions is attached. Key learnings are also identified within that document and are outlined within the conclusions below.

CONCLUSION A number of lessons were learnt from the experience of managing water supply provisions throughout the recent drought. Key points of note to be updated in the DMP are:

1. Adjustment of Total Volume of SM dam water availability for supply. a. Volume adjustments based on off take level, b. Minimum pump level, c. Overflow spill volume d. Review of Drought Trigger levels for each level of water restrictions level based on

data representative of production during a “Drought Event” 2. Review and adjust reduction target, demand and Day Zero calculation on Drought Event data 3. Ongoing implementation of data transfer onto the Water Outlook platform 4. Finalisation of Kinchella Emergency Water Treatment Plant instrumentation and operate to

maintain. 5. Design and Construction of the Steuart McIntyre Dam Water Treatment Plant 6. Update the current permanent “drop down” water restriction signage, this should include an

increase in size and be reflected hazard yellow with black writing at all current locations. Consideration should also be given to the installation of a permanent sign on Armidale Road at the town entry points for the Willawarrin and Bellbrook communities.

7. Review and adjust Commercial Water Restriction Actions for Emergency Supply level for: a. Washing of transport vehicles for health and safety reasons aligned with NSW Roads

and Martine Vehicles transport and road safety requirements. b. Livestock supply of drinking water not permitted at level 5


9.4 POSTPONEMENT OF LOCAL GOVERNMENT ELECTIONS Officer Daniel Thoroughgood, Manager – Governance and Information Services File No F19/2315 Attachments 1. MM R-25032020- Local-government-elections [9.4.1 - 1 page]

2. 20-10 [9.4.2 - 1 page]

PURPOSE Implement governance arrangements to cater for the postponement of the 2020 Local Government Election in regards to the renaming of the shire, committee appointments and the September 2020 ordinary meeting date.


1. defer the report on the proposed name change, currently due to be reported to Council by June 2020, to be reported to Council by June 2021

2. extend the following appointments of Councillors to committees to expire at the next local government election:

a. Australia Day Awards Committee - McGinn b. Bush Fire Management - Morris and Saul (Alternate) c. Zone Liaison Committee - Morris and Saul (Alternate) d. ClubGRANTS Committee - Mayor and Deputy Mayor (Alternate) e. General Manager’s Performance Review Panel - Mayor, Deputy Mayor, Hauville

and GM selected candidate f. Local Traffic Committee - Williams g. Melville Community Centre Management Committee - Morris and Hauville h. Mid North Coast Regional Arts Board - Baxter i. Mayoral Community Fund Committee - All Councillors j. Sports Council - Williams and Patterson (Alternate) k. SWR Sport and Recreation Association - Shields and Williams (Alternate) l. Economic Development & Tourism Committee – Campbell and Hauville m. Audit & Risk Committee - McGinn

3. extend the appointments of non-Councillor members on Council committees, with the agreement of the appointee, to expire at the next local government election

4. delegate to each Council committee the power to determine if, and how, to fill any casual vacancies that occur until the next local government election in consultation with the General Manager

5. Change the date for the September 2020 Ordinary meeting from 29 September 2020 to 15 September 2020.

BACKGROUND On 25 March 2020, the NSW Parliament amended the Local Government Act 1993 (the Act) providing, among other things, the power for the Minister for Local Government (the Minister) to, by order, postpone the 2020 Local Government Election for up to 12 months in response to the COVID-19 pandemic.

The Minister then announced, on the same day, the postponement of the Local Government elections by 12 months.


This postponement creates the need to address the outstanding actions regarding the renaming of the shire, appointments to committees and the date of the September 2020 ordinary meeting of Council.

KEY CONSIDERATIONS

Policy and Legislation The power to postpone the Local Government election is provided for by s318B of the Act provided for in the COVID-19 Legislation Amendment (Emergency Measures) Act 2020 assented on 25 March 2020.

Other Matters Renaming the Shire At the ordinary meeting of 20 August 2019 regarding renaming the shire, it was resolved that the matter would be the subject of a report to the June 2020 meeting of Council. This date was selected to ensure that the gap between the engagement and the decision was minimal. This decision now needs to be taken in June 2021, and community consultation should occur closer to this date.

Additionally, the COVID-19 pandemic has prevented a large portion of the engagement plan, involving face to face engagement, from being implemented.

Committee Memberships Current appointments to committees expire in September 2020. Appointments to these committees for the 12 months between September 2020 and September 2021 are required. It is, therefore, recommended that the existing membership continues at this time.

The continued participation of external members on the Council’s committees is voluntary, and the Council cannot compel these people to continue to participate. It would be inefficient to advertise and appoint external members for a term of fewer than 12 months. Depending on the nature of the committee, it may not be appropriate to fill a casual vacancy, or it may be necessary to appoint somebody to the committee directly. It is, therefore, recommended that each committee is permitted to do this in consultation with the General Manager until the next local government election.

September 2020 Ordinary Meeting Council had postponed the September 2020 ordinary meeting until the fifth Tuesday of September to ensure that the declaration of the election had taken place before the meeting date. The change of schedule is now unnecessary, and it is, therefore, recommended to revert to the usual schedule of the third Tuesday.

CONCLUSION Council should resolve to implement the proposed governance arrangements to cater for the postponement of the 2020 Local Government Election.


9.5 MNCJO REVIEW Officer Craig Milburn, General Manager File No F19/1577 Attachments Nil

PURPOSE To provide Council with a review of the activities and progress of the Mid North Coast Joint Organisation (MNCJO) since its formation in June 2018, including the financial challenges of operating an effective Joint Organisation within the current three-member Council formation.


1. Note the information contained in the report. 2. Provide a financial contribution to the Mid North Coast Joint Organisation of $25,000 from

the Internal Reserve held for joint council activities. 3. Request the General Manager write to the Minister for Local Government detailing

concerns about the lack of ongoing operational funding being provided to Joint Organisations.

BACKGROUND This report details a brief history of the MNCJO since its formation on 13 June 2018 and issues surrounding the financial sustainability of the MNCJO. The report outlines the reason for the General Manager of Port Macquarie-Hastings Council (PMHC) to be appointed as the Executive Officer of the MNCJO until 30 June 2021, and unless funding is received, the plan to rotate the responsibilities of the Executive Officer position to the remaining member Councils, which will fall to the General Manager of Kempsey Shire Council in either the 2021/22 or 2022/23.

The member Councils of the MNCJO (Kempsey Shire, Bellingen Shire and PMHC) have worked hard in building collaborative networks with strategic partners, such as Destination North Coast, the Office of Emergency Management and Transport for NSW. Some of the key achievements to date are:

Development of the MNCJO Statement of Strategic Regional Priorities (SSRP). Development of the MNCJO Timber Bridge Renewal Prospectus for the purpose of seeking $10 million funding from the NSW government over three years, to be matched

by the member Councils. This is an important initiative as the three MNCJO Councils collectively have 15% of NSW’s ageing timber bridges. If the above-mentioned funding could be achieved, then 91 timber bridges will be upgraded across the three MNCJO Councils, which represents 42% of the total number.

A works program workshop was held in the last half of 2019 between member Councils to explore opportunities for collaborative efforts on Water, Sewerage and Road projects. Establishment of a network of MNCJO Environmental staff who are working towards

identifying collaborative sustainability initiatives. The commissioning of the Centre for Local Government (CLG) at the University of Technology Sydney to design and conduct social research across the Mid North Coast Region

to find out what matters most to individual communities and across the region.


Establishment of the Koala Recovery Partnership which seeks to improve koala conservation across the Hastings-Macleay Region by engaging with landholders, the community, research groups and government agencies.

Establishment and signing of a Memorandum of Understanding (MOU) between the MNCJO and the NSW Office of Emergency Management for the placement of a Regional Disaster Preparedness Officer (RDPO) for the entire MNC region. This placement is for two years and the RDPO role is one of only three across NSW.

Development of a MNCJO website which includes copies of all business papers relating to the MNCJO and which are available to the public.

Active involvement with a range of State agencies as part of the Department of Planning, Industry & Environment (DPIE) Regional Leadership Executive Meetings.

A joint Mid North Coast and Northern Rivers Joint Organisation series of Ministerial meetings were planned to take place in Parliament House, Sydney in late March 2020, however, this was cancelled due to COVID-19. It is likely that this joint meeting will now take place later in 2020.

Additional Investment to the Region The MNCJO, like other JOs, received establishment funds of $300,000 from the NSW Government in mid-2018. These funds were to assist in the set-up costs of the JO and for the engagement of an Executive Officer. Other than this funding, there has been no ongoing operational funding provided to JOs from the NSW Government. However, the MNCJO received separate funding for the following specific purposes:

Koala Recovery Partnership The Partnership is a joint venture under the MNCJO, with $450,000 in funding from NSW Government’s Saving Our Species Program, along with funding from the Port Macquarie Koala Hospital and Port Macquarie-Hastings and Kempsey Shire Councils. The partnership conducts a variety of educational, scientific and on-ground projects to help protect koalas and their habitat across the two LGAs.

Regional Disaster Preparedness Officer In late 2019, the MNCJO entered into an MOU with the NSW Office of Emergency Management for the placement of a Regional Disaster Preparedness Officer (RDPO) for the entire mid north coast region, which will be in place for two years and is one of only three such roles in NSW.

OLG Capacity Building Fund The MNCJO project that has been approved under this $150,000 funding is a Biodiversity Offset Project. The project includes an assessment of the unavoidable biodiversity offset requirements likely to be generated from land already identified for development across the MNCJO region, and an analysis of potentially available biodiversity stewardship sites on public land in the MNCJO region.

Strategic Benefits and Cost Impacts on MNCJO Councils The three member Councils have worked extremely well together at the Mayoral, General Manager and staff level since the establishment of the MNCJO, helped by the existing relationships between the three member Councils as former members of MIDROC over many years.

Along with opportunities to meet with Government Ministers on topical issues, there has been benefit in the MNCJO participating in a range of important regional committees that are not necessarily available to non-JO Councils. These committees include:

North Coast Regional Leadership Executive Committee


North Coast Local Land Services Pests Advisory Committee North Coast Weeds Advisory Committee North Coast Drought Task Group Transition North Coast Strategic Working Group.

There have been limited cost savings to individual Councils in being a member of the MNCJO. As a small three-member JO, each member Council has contributed a significant amount of time and resources to various projects, initiatives and to the operation of the MNCJO.

The costs required to establish the MNCJO and to continue to operate the MNCJO have largely been absorbed by all three member Councils since the establishment of the MNCJO. The initial funding of $300,000 from the NSW Government for the establishment of the MNCJO was of great value, but those funds were soon expended across a range of projects, appointing a permanent Executive Officer (EO), attendance at meetings and in the day-to-day operation of the MNCJO. The Mayors of each member Council have been required to attend a range of MNCJO Board meetings and workshops in addition to their current Mayoral duties. As the Chair of the MNCJO, Mayor Liz Campbell has been required to attend a range of ongoing MNCJO Chairs meetings in Sydney, along with the EO and to attend to a range of other duties as required of the Chair.

The General Managers of each member Council have contributed many hours at no cost through attendance at MNCJO Board meetings, the MNCJO General Manager Advisory Committee meetings, and meeting with a range of NSW Government representatives over the past two years. Each member Council has contributed to several submissions made by the MNCJO to the NSW Government on a range of issues impacting the local government sector in NSW. Being a small JO, there have been few opportunities to develop any projects around shared services, as without funding, there is simply not the capacity in member Councils to dedicate time to such projects.

Financial Sustainability of the MNCJO Financial sustainability presents the biggest challenge facing Joint Organisations, but for the MNCJO it is particularly difficult as it is one of the smallest JOs with only three member Councils. MNCJO has repeatedly raised this issue with NSW Government over the past two years.

NSW Government established JOs to achieve strategic regional priorities and inter-governmental relations. However, apart from the initial investment of $300,000 per JO, there has been no government funding to assist in delivering on these key functions. If JOs are to be a ‘joint venture’ between the NSW Government and local government, then resourcing needs to be allocated to enable the regions to pursue the core JO functions.

A Joint Organisation Advisory Committee was established in late 2019, with representatives from JOs across NSW, to provide recommendations on JO financial sustainability. Working closely with the Office of Local Government, a discussion paper was due to be finalised by April 2020 which included six recommendations and key opportunities around potential funding partnerships with the NSW Government, what performance and value might look like for JOs, and potential procurement initiatives. At the time of writing this report, the discussion paper had not been finalised.

One of the greatest costs to a JO is the cost of the Executive Officer (EO). The tasks required are to fulfil the obligations of its core functions, obtain grants, coordinate regional initiatives, regulatory compliance and assist in achieving financial sustainability. As we have found at the MNCJO, a part-time EO can impede efficiency and the ability of the EO to properly support the Board to drive strategic priorities. A permanent part-time EO was appointed in June 2019 on a 12-month contract,


however the contract was terminated in April 2020 by written agreement between the MNCJO Board and the EO to preserve remaining MNCJO funds.

To date, no modelling has been done in relation to what level of member Council contributions would be required to appropriately fund the operation of the MNCJO. However, based on the first two years of operation and assuming a full-time EO position, annual operational funding of approximately $180,000 - $200,000 would be required to successfully operate the MNCJO, noting that this does not allow for any project specific funding or any initiatives that may present themselves during a year.

This means each MNCJO member Council would be required to contribute between approximately $60,000 and $66,000 annually for the operation of the MNCJO, excluding any additional requests for project specific funding. This is not a cost that any member Council currently has budgeted in the current financial year or in draft budgets for the 2020-2021 financial year.

Council is being asked to consider making a financial contribution of $25,000 to the MNCJO, noting that this amount is currently held in a reserve for activities associated with the joint organisation. (The reserve was created from the credit council received from the Mid North Coast Regional Organisation of Councils (MICROC) when it resigned its membership at the start of the JO. These funds were held for joint council activities.) Whilst this level of contribution does not resolve the long-term financial sustainability of the MNCJO, it will ease the immediate financial pressure and will demonstrate to the NSW Government Council’s commitment to the success of the MNCJO. PMHC voted earlier in the month to provide $25,000 and Bellingen Council will be considering their position later this month or in June.

On 20 April 2020, the Chair of the MNCJO wrote to the Minister for Local Government and the Deputy Secretary Local Government, Planning & Policy, requesting $150,000 in urgent operational funding for the MNCJO. At the time of writing this report, no response had been received to this letter.

Executive Officer Position At an extraordinary meeting of the MNCJO Board held on 15 April 2020, the Board resolved to appoint the General Manager of Port Macquarie-Hastings Council (PMHC) as the Executive Officer of the MNCJO until 30 June 2021 (in addition to the role of General Manager of PMHC), subject to a formal resolution of PMHC supporting the appointment. The Board also endorsed the engagement of a Project Officer to undertake MNCJO administrative tasks and project management work. The MNCJO Project Officer role will ideally be funded via a combination of MNCJO funds (if available) and funds derived from an administration fee (at a percentage yet to be determined) taken from any financial grants that the MNCJO is successful in receiving.

The current plan, unless funding is received, is to rotate the responsibilities of the Executive Officer position for a 12-month period to the remaining member Councils, which will fall to the General Manager of Kempsey Shire Council in either the 2021/22 or 2022/23. This way, each member Council shares the workload of the EO role.

Whilst there are substantial challenges in front of the MNCJO, the most significant being financial sustainability, now more than ever is the time to be working not only for our own local community, but for the broader Mid North Coast region as we all continue to recover from the 2019-2020 bushfires and the COVID-19 pandemic.


9.6 LAND ACQUISITION - PART 1024 POINT PLOMER ROAD, CRESCENT HEAD Officer Ian Russell, Property Officer Contractor File No F19/2630 Attachments 1. Plan Highlighting Land to be Acquired [9.6.1 - 1 page]

PURPOSE This report considers the acquisition of land to address an anomaly where a short section of Point Plomer Road is not physically contained within the road reserve.


1. Pay compensation in the amount of $61,425 (GST Exclusive) to the owner of Lot 2 DP259465 for the acquisition of that part of Lot 2 DP259465 more particularly described as Lot 1 in plan of acquisition DP1259323.

2. Pursuant to Section 10 of the Roads Act 1993, on the acquisition of Lot 1 DP1259323 dedicate it as public road.

3. Pursuant to Section 377 of the Local Government Act 1993, delegate authority to the General Manager to sign:

a. Deed of Acquisition/ Contract for the Sale of Land b. Revenue NSW Purchaser Declaration Form c. Letter to Revenue NSW seeking exemption from the payment of stamp duty d. Land Registry Services Transfer Form

BACKGROUND As part of the design works for the upgrade of Point Plomer Road, a boundary identification survey has been conducted. A purpose of the survey is to ascertain if the upgrade works can be fully contained within the existing dedicated road boundary. It was found that part of the existing gravel road formation passing through 1024 Point Plomer Road (Lot 2 DP259465), is not contained with dedicated road reserve. This is not an uncommon occurrence in rural areas.

With the consent of the owner of Lot 2 DP259465, agreement has been reached to acquire the land comprising the existing formation and dedicate the acquired land as public road. Council’s Consulting Surveyor has identified the land to be acquired which is shown as Lot 1 in Plan of Acquisition DP1259323. Lot 1 DP1259323 is highlighted in the plan included is this report. Lot 1 comprises an area of 197.4m2

The acquisition of the land comprising the existing gravel formation, is preferable to the clearing of the vegetation within the already dedicated road reserve.

KEY CONSIDERATIONS

Policy and Legislation Section 177 of the Roads Act 1993, provides the ability for Council to acquire land for road purposes. Compensation for land to be acquired is assessed having regard to the provisions set out at Section 55 of the Land Acquisition (Just Terms Compensation) Act 1991.

Lot 2 DP259465 is subject to a registered Conservation Agreement. The Agreement is between the landowner and The Minister for the Environment. Whilst the Agreement prohibits the subdivision of Lot 2 DP259465, and noting that the land acquisition constitutes a land subdivision; nonetheless, Section 69D of the National Parks & Wildlife Act 1974 provides that a Conservation Agreement can be varied by the Minister on request made by the landowner. The landowner, through his legal


representative, has advised that a request to vary the Conservation Agreement will be made so as to permit the land acquisition to proceed. Payment of compensation for the acquisition of Lot 1 DP1259323 will need to be contingent on the satisfactory completion of a variation of the Conservation Agreement.

Strategic Alignment Council’s Delivery Program 2017-2021 identifies to investigate bitumen sealing of Point Plomer Road and to review funding options. Funding for the work has subsequently been secured via the NSW Government and Council and the project is identified in Council’s Operating Plan.

Council also has a resolved position to bitumen seal Point Plomer Road, with the land acquisition the subject of this report required to enable the project to proceed as planned.

Impact on Financial Sustainability Compensation for the land comprising Lot 1 DP1259323 has been agreed between Council’s Valuer and the landowner’s valuer in the amount of $61,425 (GST Exclusive). In addition to compensation for land value, Section 59 of the Land Acquisition (Just Terms Compensation) Act 1991 stipulates that an Acquiring Authority (Council) is to meet the legal and valuation fees reasonably incurred by the landowner. These costs are estimated as $5,500 (GST Exclusive). Cost of acquisition will be from the project funding available.

Stakeholder Engagement Consultation has occurred with the landowner through his appointed legal representative.

CONCLUSION The acquisition of Lot 1 DP1259323 is required as the existing road is not physically within the road reserve. Acquisition is also integral to the project to upgrade and bitumen seal Point Plomer Road. Acquisition is therefore recommended to proceed.


9.7 LAND ACQUISITIONS - CLYDE STREET, KEMPSEY Officer Ian Russell, Property Officer Contractor File No F19/1983 Attachments 1. Acquisition Extent - Concept [9.7.1 - 1 page]

2. Plan of Land Acquisition and Easement Creation [9.7.2 - 1 page]

PURPOSE A report to consider the acquisition of land and the creation of rights of carriageway to facilitate the upgrade of the Clyde Street Carpark.


1. Pay compensation in the amount of $136,000 (GST Exclusive) for the acquisition of part Lot 2 Deposited Plan 737746 for the acquisition of that part of Lot 2 Deposited Plan 737746 more particularly described as Lot 1 in Plan of Acquisition Deposited Plan 1263874.

2. Pay compensation in the amount of $75,000 (GST Exclusive) for the acquisition of the whole of Lot 192 Deposited Plan 778789.

3. Create rights of carriageway as shown marked (A) & (B) in Plan of Acquisition Deposited Plan 1263874.

4. Pursuant to Section 59 of the Land Acquisition (Just Terms Compensation) Act 1991 pay the legal and valuation fees reasonably incurred by the owners of Lot 2 Deposited Plan 737746 and Lot 192 Deposited Plan 778789.

5. Pursuant to Section 34 of the Local Government Act 1993, give public notice for a minimum of 28 days of the draft resolution “It is intended to classify Lot 1 Deposited Plan 1263874 and Lot 192 Deposited Plan 778789 (land in Clyde Street, Kempsey) as operational land”.

6. Consider a further report on the land classification post conclusion of the notification period.

7. Pursuant to Section 377 of the Local Government Act 1993 delegate authority to the General Manager to sign:

a. Contract for the Sale of Land/Deed of Land Acquisition and Creation of Rights of Carriageway;

b. Revenue NSW Purchaser Declaration Forms; and c. Letters to Revenue NSW requesting exemption from the payment of stamp duty

for the acquisition of Lot 1 Deposited Plan 1263874 and Lot 192 Deposited Plan 778789.

BACKGROUND The upgrade of the Clyde Street Carpark has been identified in Council’s Operational Plan. To facilitate the upgrade, the acquisition of part Lot 2 Deposited Plan 737746 and the whole of Lot 192 Deposited Plan 778789 is required to provide security that funds expended on the upgrade works will be on land owned by Council.

Whilst part Lot 2 Deposited Plan 737746 and Lot 192 Deposited Plan 778789 are presently utilised, by and large for carparking purposes, there would be no ongoing security of continuing use as a carpark following the expenditure of public funds if Council did not acquire the land. The general area of the land acquisitions is shown bounded by the red line in the aerial image attached to this report.


The land acquisitions will remove access to the public road network, Clyde Street, currently available to the owners of Lot 2 Deposited Plan 737746 and Lot 192 Deposited Plan 778789. To ensure that access to Clyde Street remains to enable the continuing use of the loading dock on Lot 2 Deposited Plan 737746 (the loading dock is excluded from the land acquisition but is subject to the granting of a right of carriageway shown (B) in DP1263874) and continuing access to the carparking available on Lot 191 Deposited Plan 778789, a right of carriageway can be created by Council simultaneously to the land acquisition. The route of the right of carriageway is shown marked (A) in the detailed survey plan of acquisition being Deposited Plan 1263874. A copy of Deposited Plan 1263874 is attached, with areas (A) and (B) highlighted for ease of reference. The layout of the revised carparking spaces takes account of the right of carriageway to ensure it provides unimpeded access to the Lots that derive benefit.

KEY CONSIDERATIONS

Policy and Legislation The acquisition of land by Councils is governed by the provisions of the Land Acquisition (Just Terms Compensation) Act 1991.

The Local Government Act 1993 stipulates that within three months of the acquisition of land, the acquired lands must be classified. There are two classifications; operational and community. An operational land classification would be given to land containing Council assets such as water and sewer, administration centre and depots. A community land classification would be given to a land comprising a park, open space or public recreation. In this instance, an operational land classification is considered appropriate for the use of land for carparking purposes.

Whilst the Local Government Act 1993 empowers only a Council to acquire land, Section 377 of the Local Government Act 1993 gives Council the ability to delegate functions to the General Manager associated with the land conveyancing component of the acquisition procedure.

Strategic Alignment This project will help deliver on two key asset renewal programs within the Operating Plan, being ‘Deliver the public carpark maintenance program across the Shire’s 14 public carparks’ and ‘Deliver public amenities renewal and construction program’.

Impact on Financial Sustainability The acquisition of the land entitles the landowners and those with registered interests (such as a lease) in the land to the payment of compensation. The Land Acquisition (Just Terms Compensation) Act 1991 sets out the matters that are to be considered in assessing compensation.

Council’s Consulting valuer has assessed compensation having regard to the statutory provisions and offers of compensation have been made to the landowners and lease holder. Legal representatives appointed by both landowners elected to obtain their own valuation, the costs of which are the responsibility of Council pursuant to Section 59 of the Land Acquisition (Just Terms) Compensation Act 1991. Negotiations on the matter of compensation have concluded and the matter of the land acquisition and the payment of the negotiated compensation is now reported to Council for approval.

The value of the acquisitions is in line with the estimated costs outlined in the report to the April 2020 Council meeting.


Stakeholder Engagement There has been ongoing consultation with the appointed legal representatives of the owners of the lands to be acquired. In addition, there has been consultation with the holder of the lease, being the ANZ Bank, over Lot 192 Deposited Plan 778789.

CONCLUSION To facilitate the upgrade of the Clyde Street carpark, the land acquisition and the payment of the negotiated compensation is recommended to Council.


9.8 WRITE-OFF OUTSTANDING DEBTORS Officer Ron Wood, Chief Financial Officer File No F12/1709 Attachments Nil

PURPOSE In accordance with Clause 213 of the Local Government (General) Regulation 2005, approval is sought to write off debts due to Council as they are not considered cost effective to recover.

RECOMMENDATION That outstanding debts totalling $230,555.63 as detailed in this report be written off as at 30 June 2020.

ISSUES Although these debts will be removed from Council's current debtor accounts, this does not preclude further action for recovery.

BACKGROUND Good management practice dictates that outstanding debtors are reviewed at least annually to determine amounts considered doubtful in terms of recovery. This is consistent with accounting practice and standards and ensures receivables are not overstated in Council's annual financial statements.

Only the accounts where all practical avenues have been pursued and further action is not considered cost effective are considered for write off purposes. These accounts are detailed below. Significant effort has been expended in pursuing the recovery of these outstanding debtor accounts, however these efforts have been unsuccessful.

Account Name Amount Comment(s)

3856 Just Dandy Café $5,677.27 Debt Circa: 2015-2017

2016 Legal action taken - no success, with no payments received.

Numerous reminders & statements sent.

Invoiced for Food Inspections, oil spill clean-up + legal costs.

Business has now closed.

Debt recovery was unsuccessful through Debt Recovery Agency.

3870 Robert Laut 27 Racemosa Circ,

South West Rocks, and Clout &

Associates as

$9,392.15 Debt Circa: 2014-2016.

First stage of Debt Recovery undertaken with Debt Recovery Agency closing file as debtor went bankrupt on


Account Name Amount Comment(s)

Receivers 26 June 2015.

Outstanding monies relate to invoices (Quarry contributions) dating back to 2015. No movement on account since 2016.

No success in recovery of debt even with legal action being undertaken.

3858 Malbec Properties Pty Ltd

$18,772.50 Debt Circa: 2008-2009 and one invoice in 2015.

Numerous Reminders sent.

No movement on account since 2015.

No success in recovery of debt resulting in account marked to be written off.

All records regarding these invoices have been destroyed under Archival rules.

Debt statute barred from collection.

3372 Kempsey Showground Trust

$196,713.71 This debt has been subject to ongoing negotiation spanning numerous years between the General Manager and the various interested parties.

The auditors have recommended that this debt be written off for the last two years given likelihood it will not be recovered.

TOTAL $230,555.63

CONCLUSION An annual assessment of debts for write-off is encouraged by Council’s auditors as it provides a more realistic picture of Accounts Receivable that will actually be achieved in Council’s Annual Statements. This does not preclude Council from recovering the outstanding monies in the future should circumstances change.

It is recommended that the debts as listed within this report be written off.


9.9 RATES WRITE-OFF Officer Ron Wood, Chief Financial Officer File No F12/1657 Attachments 1. 1. Lot 8 DP 111347 [9.9.1 - 1 page]

2. 2. Lot 8 DP 111347 property location [9.9.2 - 1 page] 3. 3. Mr H Smith surrounding property [9.9.3 - 1 page]

PURPOSE To seek approval to write-off rates owing on a small parcel of land under the Local Government (General) Regulation 2005, Division 3, Clause 131, (4)(d) which states: “if the council or the General Manager believes on reasonable grounds that an attempt to recover the amount would not be cost effective”.

There is an amount of $5,626.35 owing on a small parcel of land identified as Lot 8, DP111347 owned by D B McIver, who is deceased.

RECOMMENDATION That Council approve the write-off of $5,626.35 in rates owing on land identified as Lot 8, DP111347.

BACKGROUND The adjoining owner, Mr H Smith, has contacted Council to discuss gaining title to the parcel of land in question. Mr Smith’s land consists of approximately 203 hectares in the Willi Willi locality, which surrounds the parcel in question.

Mr Smith has indicated he is willing to go through possessory title to gain access to this land at his expense, but he is not willing to pay the rates outstanding.

Normally this parcel would be included in the next round of Sale of Land for Unpaid Rates under section 713 of the Local Government Act 1993 (LGA) as there is in excess of five (5) years rates outstanding. This process is time consuming and would add additional costs.

As the piece of land is a small parcel of 2,428 square metres, surrounded by Mr Smith’s land, it would not be expected to be of interest to any other bidders at auction and the sale price at said auction would be unlikely to go near the value of outstanding rates, if any bids were obtained.

It is therefore reasonable to expect the majority, if not all the rates would be written-off after the process of Sale of Land for Unpaid Rates – after significant additional time, effort and expense by council.

KEY CONSIDERATIONS Council may write-off rates if it reasonably considers recovery would not be cost effective under the Local Government (General) Regulation 2005, Division 3, Clause 131.

If the rates are not written off, in all likelihood, Mr Smith would still gain possession of the land under the provisions regarding Sale of Land for Unpaid Rates (S713 LGA).

Policy and Legislation Section 131 d) of the Local Government Act 1993 (LGA), Sale of Land for Unpaid Rates (S713 LGA) Local Government (General) Regulation 2005, Division 3, Clause 131.

Impact on Financial Sustainability Minimal.


Stakeholder Engagement There have been discussions with Mr Smith, the adjoining landholder.

CONCLUSION There is no reason to believe Council would be better off going through with the Sale of Land for Unpaid rates for this parcel of land as this process would certainly result in additional time, effort and costs accruing and this land would be of little use to anyone else.

Council would also benefit from the small increase in rates gained by the addition of this land to Mr Smith’s existing holdings going forward.


9.10 GREAT KOALA NATIONAL PARK PROPOSAL Officer Erin Fuller, Manager Strategic and Asset Planning File No F18/2494 Attachments 1. Great Koala National Park Plan [9.10.1 - 1 page]

PURPOSE To report on the Great Koala National Park (GKNP) proposal put forward by the National Parks Association of NSW. The Association are a non-government conservation group.


1. Note the Mid North Coast Joint Organisation has resolved to support the Great Koala National Park (GKNP) project.

2. Recognise the broader regional and ecological benefits that could be realised through the GKNP proposal.

3. Give in principle support for the GKNP concept whilst recognising that further detail will become available as the business case for the proposal is developed.

BACKGROUND

The Great Koala National Park (GKNP) Proposal The GKNP website (https://koalapark.org.au/about/ accessed 6 May 2020) describes the proposal:

The Great Koala National Park (GKNP) would see 175,000ha of publicly owned state forests added to existing protected areas to form a 315,000ha reserve in the Coffs Harbour hinterland. It would be the flagship of a suite of proposed koala reserves between Port Stephens and the Qld border.

The following benefits are also described on the GKNP website:

The Great Koala National Park would add another string to the bow of a region whose natural environment is the envy of the world. Our tourism industry tells us that the number one reason people come to Australia is nature. The Great Koala National Park would provide a range of new job opportunities and economic benefits to the Coffs Harbour region.

Regional Jobs The Great Koala National Park would provide opportunities for small business establishment to run nature-based experiences, jobs in the service industries and jobs in forest management and restoration. Importantly, these jobs are sustainable, secure and satisfying.

Economic Value Tourism is one of Australia’s biggest industries, and protected areas are a big driver of regional economies. Destination NSW figures show that nature-based tourism earned NSW almost $20 billion in 2017! It’s a massive industry, and the Great Koala National Park would ensure that the Coffs Coast is well placed to get a piece of the action. Speaking of koalas, the last estimate of the value of the koala to Australia was $3.2 billion per year. They’re just too valuable to lose!

Recreation Work is ongoing to undertake regional recreational planning for the Great Koala National Park. Recreation is now a really big industry – as well as being good for our health. For example, mountain bike riding in Rotorua, New Zealand, is now worth more to the town than the timber from the plantations that the mountain biking takes place in! With good planning, the Great Koala National

https://koalapark.org.au/about/


Park will provide fantastic recreation opportunities for bushwalkers, bikers, four-wheel drivers and horse riders! Find out more

The Koala Visitor Centre Designs have already been made for a gateway visitor centre to be situated on the Pacific Highway to house a koala hospital, café and education centre, to act as a launch point for koala spotting in Bongil Bongil National Park. The GKNP would offer opportunities for outdoor recreation and adventure tourism—one of the fastest growing tourism sectors. And of course, with increased visitation comes opportunities for small businesses and individuals to take advantage of the new national park and direct employment through the National Parks and Wildlife Service.

A map of the proposed GKNP is attached. It is understood that the proposal includes some public state forest land in the northern part of the Kempsey Shire.

Mid North Coast Joint Organisation (MNCJO) Support On 8 August 2019 the National Parks Association of NSW presented the Great Koala National Park proposal to General Managers Advisory Committee (GMAC). This was discussed at the MNCJO Board Meeting the following day, where it was resolved:

That the Board invite the National Park Association of NSW to the next meeting to present on the proposed creation of the Great Koala National Park.

At its next meeting on 11 October 2019, following a presentation from Kevin Evans JP Adjunct Lecturer at Charles Sturt University, the MNCJO Board resolved:

That the Board:

1. Endorse in principal the proposal to potentially establish a Great Koala National Park on the Mid North Coast NSW

2. Instruct GMAC to further consider the involvement and potential contribution of all the member Councils of the MNCJO, and report back to the next Board meeting

3. Instruct the MNCJO to write to the Hon. Matthew Kean, Minster of Energy and Environment as well as to the Hon. Shelly Hancock, Minister Local Government, to advise of the Board’s decision, and to seek advice on the Government’s position in terms of core koala habitat, so that this position may be considered in the development of the business case for the Great Koala National park

On 6 December 2019, the MNJO Board resolved the following in relation to the GKNP proposal:

That the Board:

1. Note that the Great Koala National Park Headquarters will open on the 16th December 9.30am in Urunga. MNCJO Board and member Council staff are invited to attend.

2. Note that Bellingen Council have provided input into the governance protocols surrounding the Great Koala National Park Project currently being scoped by NPWS

Other Council Support Coffs Harbour City Council, through their 2019/21 Environmental Levy Grants Program, have allocated $22,500 to the National Parks Association of NSW as a contribution towards an analysis of the economic benefits of the proposed Great Koala National Park within the Coffs Harbour local government area.


Bellingen Shire Council have in place an arrangement whereby the GKNP operates the Urunga Visitor Information Centre in conjunction with Visitor Information Centre volunteers to raise awareness of the GKNP proposal, and have allocated $25,000 from their Environmental Levy Reserve to assist the GKNP to develop an economic cost benefit study.

KEY CONSIDERATIONS

Policy and Legislation Not applicable.

Strategic Alignment The area of land that is within the Kempsey LGA and proposed for inclusion in the GKNP is limited to a small pocket in the north of the LGA which is not currently identified as koala habitat. In the short-term, it is therefore unlikely that our local koala populations would benefit from the proposal although there may be longer-term benefits to such a broad-scale land conservation initiative.

Although limited in direct environmental benefits for our Shire, there may be economic benefits from tourism. However, these would need to be carefully considered against any potential economic losses to other industry, including forestry and associated industry. It is envisaged that this would be considered as part of the economic analysis to be undertaken for the GKNP focused on Coffs Harbour and Bellingen LGAs, which may provide further insight for our Shire.

The GKNP initiative is not specifically identified in any of Council’s strategic documents. That said, the conservation of the natural environment and the promotion of nature-based tourism is consistent with the Macleay Valley 2036 Community Strategic Plan June 2017 and Macleay Valley Coast Destination Management Plan 2019-2029.

Impact on Financial Sustainability No impact. A financial contribution to the GKNP proposal is not recommended at this point in time. Completion of a business case referenced above is viewed as a critical element for the proposal and its further consideration.

Stakeholder Engagement Stakeholder engagement would be considered a critical element of the business case development and further consideration of the initiative from a community, government, industry and tourism perspective.

CONCLUSION In recognition of the potential broader regional and long-term benefits of the GKNP, it is recommended that Council provide in principle support for the proposal.


9.11 RECOVERY PROGRAM UPDATE Officer Jo McGoldrick, Bushfire Recovery Coordinator File No F19/2673 Attachments 1. OLG - Bushfire Recovery Funding - Program of Works [9.11.1 - 6 pages]

2. KSC Action Plan May 2020 [9.11.2 - 24 pages]

PURPOSE To provide a further update of Recovery actions as per the Council resolution 2020.34 of 17 March 2020.

This report provides an overview of:

The program of works to be undertaken utilising the $1.4 million funding received from the National Bushfire Recovery Agency;

The Kempsey Shire Council Recovery Action Plan; and The Federal Government Drought Communities Program.

RECOMMENDATION That the information be noted.

BACKGROUND In response to last year’s bushfire and drought conditions experienced in the Kempsey Shire, state and federal governments have provided local government with significant funding opportunities.

The most significant of these include:

Bushfire Community Resilience and Economic Development Fund 1 $250,000

National Bushfire Recovery Agency Fund $1,416,667

Federal Government Drought Communities Program 2 $1,000,000

1. As reported to the March 2020 Ordinary Meeting of Council. 2. Subject to grant funding submission which is currently in progress.

A Recovery Action Plan has been developed to guide the investment of these funds and to keep the community informed of Council’s ongoing commitment to recovery.

KEY CONSIDERATIONS

National Bushfire Recovery Agency Funding - $1.4 million As reported to Council in March 2020, Kempsey Shire Council received $1,416,667 from the Federal Government under Category D of the Disaster Recovery Funding arrangements for the recovery and renewal of communities affected by the bushfires. A requirement of this funding was that a Program of Works be developed and submitted to the Office of Local Government (OLG) by mid-April.

Council has submitted its Program of Works to the OLG and a copy has been attached to this report. The program includes work to Bellbrook and Willawarrin Halls, extensive works to the Willawarrin Rodeo and Sporting Ground, community workshops on land care and disaster preparation, improvements for unmaintained Council roads and $200,000 in community grants.

Council is set to deliver a significant program of works that will involve multiple facets of the organisation, including the infrastructure services, property and facilities, economic development


and community development teams, all of which is to be coordinated by the newly created Bushfire Recovery Coordinator role.

Developed in conjunction with the community and designed in direct response to the extensive engagement and consultation that Council has undertaken, the list of works are an example of the holistic strategic approach that the organisation is taking to all recovery planning.

Recovery Action Plan The Kempsey Shire Council Recovery Action Plan is a living document which outlines how and where Council will be investing resources into recovery initiatives for Bushfire and Drought. The Plan will be updated regularly and utilised to inform Council, the community and other relevant stakeholders. As recovery initiatives are developed in response to COVID-19 these may also be incorporated into the Recovery Action Plan.

The format of the plan is based on best practice recovery principles as outlined in the Office of Emergency Management resources, as well as the NSW State Recovery Plan.

The first version of the Recovery Action Plan, which has been attached to this report, includes work initially undertaken by Council in a bushfire recovery capacity, all approved projects associated with the Bushfire Community Resilience and Economic Development Fund, as well as the Program of Works associated with the National Bushfire Recovery Agency funding.

As other grant funded projects or recovery initiatives are confirmed (such as the Federal Government Drought Communities Fund or COVID-19 related initiatives) the Recovery Action Plan will be updated.

Stakeholder Engagement Recovery Community Planning meetings have been held as follows:

Willawarrin 27 February Kempsey 3 March Wittitrin 24 March Feedback was also gained through the Willawarrin Recovery Centre which was open from November 2019 until mid-March 2020. Mobile Recovery Centres also operated throughout the small communities such as Bellbrook, Moparrabah and Millbank.

In addition, senior staff also participated in various regional working groups.

CONCLUSION The Recovery Action Plan is a dynamic document which will be regularly updated to provide transparency to both Council and the Community on the investment of recovery related funding.


9.12 BASE LAND VALUATION CHANGE FOR RATING PURPOSES Officer Ron Wood, Chief Financial Officer File No F20/2716 Attachments Nil

PURPOSE In accordance with the Local Government Act 1993 and Local Government (General) Regulation 2005, the base valuations used for rating purposes are updated on a 3-yearly cycle. The latest updated valuations come into effect for the purposes of rating calculations next financial year, 2020-2021.

The change in valuations does not affect Council’s overall rating income, but it may affect the amount individual ratepayers are levied should the movement in valuation for their properties be above or below the mean change in valuation.

RECOMMENDATION That the report be noted.

BACKGROUND The Valuer General has supplied new valuations with a base date of 1 July 2019. The Valuer General revalues all properties in NSW every year and provides Council with an update every three (3) years. The valuations for the two (2) years not provided to Council are used elsewhere. The valuations become effective for rating purposes from 1 July 2020 for the 2020-2021 rating year.

As part of this process, ratepayers are advised of the updated valuation and provided the opportunity to lodge an objection to the change in valuation.

The total land value within the Shire has increased from $2,262,011,407 (General Valuation base date 1 July 2016) to $2,601,991,862 (General Valuation base date 1 July 2019) an average increase of 15.03%.

The approximate percentage change in Valuation for the various rate categories are:

Rate Category % Increase

Farmland 10.5%

Residential 17%

Business Urban 8%

Business Other 15%


The average land value of assessments for 2016 and 2019 are:

Rate Category 2016 2019

Farmland $286,494 $316,459

Residential $127,164 $149,310

Business Urban $210,070 $227,212

Business Other $164,240 $188,653

Comparative Rates for 2020-2021 based on the 2016 and 2019 average land values are shown in the table below. The figures shown include the environmental levy and have assumed an increase in notional income at the rate peg figure of 2.6%. It should be noted that the 2016 average rate levy amount in the below information is what would have been charged had the new 2019 land values not been issued.

Rate Category 2016 2019

Farmland $286,494 a levy of $2,084.61

$316,459 a levy of $2,234.35 an increase of $149.74

Residential $127,164 a levy of $1,140.01


Business Urban $210,070 a levy of $3,037.15


Business Other $164,240 a levy of $2,148.57


Those rate assessments that have experienced an increase greater than the Kempsey Shire average of 15.03 % will result in a greater increase in rate liability.

Rate Category # properties where valuation increased more than Shire average

# properties where valuation increased less than Shire average

# properties where valuations were less than 2016 valuation

# properties where valuation was unchanged

# properties where valuations increased by more than 100%

Farmland 89 1,383 6 14 n/a

Residential 7,744 4,884 190 484 9

Business Urban

143 486 13 356 1


Business Other

74 98 3 31 n/a

Council can only increase the rate income by the rate pegging limit, barring a successful special rate increase application. The 2019 land value changes will result in a minor redistribution of the rate liability of ratepayers within each category, based on the land value attributable to their property.

Council’s Current Rating Structure Council adopted its current rating structure effective from 1 July 1995. This rating structure has been reviewed on several occasions, coinciding with the Valuer General revaluation of the Shire. The structure was initially developed in response to changes in respect of rating incorporated in the Local Government Act 1993.

The rating model adopted and maintained by Council provides for rating purposes; land can be categorised as one of the following:

Farmland Residential Business Urban, or Business other.

Principles of Rating The Office of Local Government in its publication Council Rating and Revenue Raising Manual provides the following discussion on local rating concept:

“Every inhabitant of a district should be made to contribute according to his ability: and everyone who receives from the local expenditure should be made to contribute in proportion to the benefit he receives.

Thus, the fairness or appropriateness of rates may be considered in the light of these two criteria:

1. The extent to which those who receive the benefits of Council’s services also pay for those services – the so called “benefit principle”

2. The extent to which those who pay for Council’s services have the ability to pay for those services – the so called “ability to pay principle”.”

Council in setting its rates structure attempts to obtain an equitable balance for its ratepayers in addressing the forgoing principles.

The use of the base rate (benefits principle) provides the basis by which the cost of common services enjoyed by all ratepayers are shared equally whilst the ad valorem based upon the value of land can be said to “approximate” ability to pay.

The Rating Manual goes on to state:

“Whilst the Local Government Act makes provision for base amounts, the overriding characteristic of local government rating is that the assessments that are produced will be primarily and predominantly determined via the ad valorem method whereby the incidence of any rate burden is split differentially according to the value of ratable property.”

“At best, the value of land can be said to “approximate“ ability to pay. The value of land (particularly land which is not income producing) is often no indication of the means of the owner.”


Rate Pegging The rate pegging legislation defines the maximum rate revenue that Council can raise in a particular year. As at 25 February 2020, the notional rate yield base for the 2021-2022 rate year has been calculated at $21,326,842.

Any change in overall valuation serves only to redistribute the total revenue available from rating between individual ratepayers and rating categories.

KEY CONSIDERATIONS Council has no control over the valuation process, which is mandated by legislation.

The proportion of revenue raised by each category has been maintained in determining the ad-valorem and base amounts to be charged for the 2020-2021 financial year. The overall increase in rates to be levied is in line with the rate peg increase set by the Independent Pricing and Regulatory Tribunal (IPART).

In times of very high growth in property values there can be significant variations in individuals rate obligations. The overall average increase of approximately 15% over this cycle indicates this revaluation did not occur during a high growth cycle.

CONCLUSION This is a process that occurs routinely every 3 years.

As has happened during each revaluation in the past, there will be some shifting of the rate burden towards those properties that have had higher than average growth in valuation.


9.13 STATEMENT OF CASH AND INVESTMENTS - MAY 2020 Officer Ron Wood, Manager Financial Services File No N/A Attachments 1. Statement of Cash & Investments [9.13.1 - 3 pages]

PURPOSE In accordance with the Local Government (General) Regulation 2005 (the Regulation), a report on investments is to be provided monthly to Council.

RECOMMENDATION That the information be noted.

BACKGROUND Clause 212 of the regulation states:

Local Government (General) Regulation 2005

Part 9 Division 5 Clause 212

212 Reports on council investments

(1) The responsible accounting officer of a council:

(a) must provide the council with a written report (setting out details of all money that the council has invested under section 625 of the Act) to be presented:

(i) if only one ordinary meeting of the council is held in a month, at that meeting, or

(ii) if more than one such meeting is held in a month, at whichever of those meetings the council by resolution determines, and

(b) must include in the report a certificate as to whether or not the investment has been made in accordance with the Act, the regulations and the council’s investment policies.

(2) The report must be made up to the last day of the month immediately preceding the meeting.

Note: Section 625 of the Act specifies the way in which a council may invest its surplus funds.

KEY CONSIDERATIONS Council's investments are in accordance with the Local Government Act (1993) and Council's investment policy.

Council is currently holding $49.3M in cash and investments as at 30 April 2020. This is $3.3M lower than last month.

Council’s average return on its $49.3M term deposit investments is 1.59%, which is comparable to last month (1.61%).

The TCorp Medium Term Growth investment regained some of the $62k loss recorded last month due to COVID-19 related market volatility, with a return of 1.63%. This investment has a medium to long investment horizon of at least 5-7 years and it is expected that over this time period the


investment will significantly outperform term deposits, even though in times of extreme volatility there will be some months of negative returns.

Investment income year to date is $600k and remains lower than budget. The current budget for the full year as adopted in the December Quarterly Budget Review (QBR) is $985k. A reduction of budget for investment interest of $300k is proposed for the March QBR. Historically, interest charged on overdue rates and charges has incorrectly been included in the investment interest budget line item – this is also corrected in the March QBR, as it distorts the actual investment performance being reported.

A review of Council’s treasury management functions, including investments and borrowings, is currently underway to optimise financial outcomes. These have been delayed as a result of higher priority items due to the COVID-19 pandemic. Proposed changes to treasury management resulting from this review will be tabled at a future council meeting.

CONCLUSION Council is holding $49.3M in cash and investments. Investment income generated is lower than last year and budget mainly due to lower market interest rates than was assumed within the budget.


10 NOTICES OF MOTION/QUESTIONS WITH NOTICE 10.1 TREE PLANTING PROJECT Councillor Cl. Mark Baxter, Councillor File No F19/1930 Attachments Nil

PURPOSE To:

address the ecology of the River address the unemployment in the river valley address the climate crisis (absorbing CO2)


1. That Council provides in principle support for a major tree planting endeavour along the banks of the Macleay River and its tributaries in order to address issues such as erosion, soil degradation, water quality etc.

2. That Council provides letters of support, where appropriate, to any community group or not-for-profit organisation that seeks to develop applications for funding such a project

3. That Council consider how to address the issues around degradation of the Macleay River Valley as part of its sustainability program

4. Council endorses that consultation with stakeholders begin, so that landowners, landcare groups, interested residents can begin the process of planning and implementing the proposal.

5. Council endorses that a committee be created - of stakeholders - so that the logistics of implementing the proposal can be addressed.

BACKGROUND The State Government, via the DEPARTMENT OF PLANNING, INDUSTRY AND ENVIRONMENT, has instigated a ‘5 Million tree program for greater Sydney‘ and has requested Councils instigate sustainable development programs (see below). Our Council has done an exhaustive, professional study of our river, via the MACLEAY ECOHEALTH PROJECT 2015-2016, (see below), and has nominated the rehabilitation of the riparian zones - addressing riverbank erosion being part of that (see below). The MACLEAY LANDCARE, have made a Herculean effort at rehabilitation, planting over 10,000 trees (see below). So this proposal is coming on the back of this momentum.

May I PROPOSE a ‘tree planting project‘ for the River Banks of the Macleay. There is a world-wide movement underway to re-tree the planet, for ecological reasons. Some astounding achievements have occurred - see below. I see the project as having multiple benefits:

1. Re- foresting the river banks from Kempsey to the mouth of the river, will stabilise the banks, and stop the constant erosion that continually silts up the river. The river is at a historic low depth, which only makes flooding more likely. Some ‘expert‘ back in the fifties convinced the Council to remove the trees from the river banks. A catastrophic mistake.


2. Re-foresting the river banks will require a group of ‘unemployed‘ becoming a green team, and, with supervision and training - that might include a TAFE course - will become qualified. Plants could be nursed from seeds into seedlings for planting. Preparation and planting, and watering, would become the groups daily occupation for the year. This would mean some 10-20 unemployed would be given an avenue to get constructive work.

3. Planting a million trees would become part of our valley’s effort to address climate change - pulling carbon dioxide out of the atmosphere. It would be our constructive reply to the million trees that were destroyed by the bush-fires.

In all, the cost would be eclipsed by the ‘environmental’ and ‘social‘ benefits.

Costs would be (roughly) :

1. Qualified supervisor ($100,000 / year)

2. 10 workers @ $800 per week ($ 40,000/ year x 10 = $400,000)

3. 10,000 black plastic seedling tubes to propagate seeds (@.20 cents each = $ 2,000)

4. Council might donate the soil

5. Tools : 11 spades / 10,000 stakes / hoses / buckets / hats / gloves / (approx : $ 12, 000)

Rough total COST : $ 514, 000.

Rough total BENEFIT :

- 10 unemployed becoming trained workers, who will go on to find employment and become ‘taxpayers‘.

- river banks rehabilitated, reducing the severity of the flooding down river, as the river becomes deeper. Reducing flood costs

- a million trees absorbing CO2, benefitting the ecosystem, and giving kudos to our valley.

- a re-forested river becoming a permanent ‘memorial‘ of the 2019/20 Bush-fire crisis.

References:

https://trilliontrees.org.au/

https://www.weforum.org/agenda/2020/01/one-trillion-trees-world-economic-forum-launches-plan-to-help-nature-and-the-climate/

http://www.unenvironment.org/news-and-stories/blogpost/what-would-it-really-take-plant-trillion-trees

https://www.planning.nsw.gov.au/Policy-and-Legislation/Open-space-and-parklands/5-million-trees

https://www.canberratimes.com.au/story/6320951/indians-plant-220-million-trees-in-one-day/?cs=14232

General Managers Comment

https://trilliontrees.org.au/





https://www.planning.nsw.gov.au/Policy-and-Legislation/Open-space-and-parklands/5-million-trees




Internal resourcing of the initiative is not currently available and would require redirection from currently planned tasks within Council’s Operating Plan. Per further information below the initiative is likely to better suited to being managed by an alternative agency.

Numerous ecological investigations and natural resource management plans have identified that the removal and degradation of native riparian vegetation in the lower and middle sections of the Macleay catchment has/is contributing to impaired ecological conditions. It has been recognised as a serious issue.

Siltation of sections of the river was managed in years gone by when the river was used for commercial activities by multiple dredging operations. Siltation has been an ongoing issue. Further the river entrance, being modified from Grassy Head to its current location, means the river is still finding its way from a geomorphical perspective.

The concept of establishing large scale revegetation programs has significant benefits for the Macleay catchment, however, such programs come with inherent logistical problems/issues such as land holder willingness, site access, maintenance of young seedlings, weed control measures, etc. Several sections of river frontage also have a directly adjoining public road, meaning insufficient room exists for plantings or a road safety issue would exist. In addition, having a number of diverse native species available generally, requires a long lead up time for nurseries to produce such large numbers.

Landcare in conjunction with LLS would most likely be the best approach to deliver such programs, given that the vast majority of intended plantings would be on private property. Council will continue to initiate native vegetation rehabilitation programs on Council owned and managed lands as resources become available, and will aid with private land owners interested in considering and/or undertaking such activities.


10.2 QUESTIONS ON NOTICE

COUNCILLOR D F SAUL RRW QFNM1 Can Councillors be given the costings of memberships to associations that Council is involved in? RESPONSE A review of items costed to ‘membership/association fees’ reveals the following costs incurred to April in this financial year:

Local Government NSW 19-20 Membership Prepayment

$46,702

Country Mayors Association of NSW

$750

FMA Corporate Membership

$1,591

MidWaste membership

$5,777

Macleay Valley Business Chamber Membership 2019-2019

$225

Australian Airports Association membership 20/21

$546

Total: $55,591

COUNCILLOR A T SHIELDS DR QFNM1 Where are we with the external shower at Back Creek? RESPONSE Works are ongoing at the back creek footbridge, staff are working to demolish the timber structure and finalise the new bridge and wharf. Once this project is completed, there are further works planned for the car park, green space and pedestrian facilities. The current location for the proposed shower is likely to be seperate from the amenities that have been installed. The external shower will be constructed at the time of the carpark, greenspace and pedestrian facilities upgrades, which is currently scheduled for the first half of the 2020-2021 financial year.

COUNCILLOR L J HAUVILLE LJH QFNM1 With respect to Resolution 2020.40 of Council Meeting 17th March how has Point 2 “Publicises to the Kempsey Shire Community the fact of the need for submissions and invites people to do so online, by email, by post or by bringing submissions to the Customer Service Centre by 2nd April, 2020.” been implemented and in what time frame? RESPONSE This item was unfortunately overlooked and not achieved due to the sizeable workload of the Communications team in the days immediately after this resolution, caused by the significant and daily communications implications of the COVID-19 pandemic.


However, Council has promoted the NSW Government Inquiry into bushfires. This has been promoted verbally to participants at the Willawarrin Recovery Planning meeting in February. A social media strategy of two posts and an event creation resulted in a reach of over 3,500, 18 shares and 100 instances of engagement with the post. A story on the Inquiry is published on our dedicated Recovery Your Say Macleay site. Submissions have been extended until May 22 and Council will further promote the opportunity through print, digital and direct channels.

COUNCILLOR L J HAUVILLE LJH QFNM2 How many submissions on the “Bushfire” Royal Commission were received at the Customer Service Centre by the 2nd April? RESPONSE None

COUNCILLOR L J HAUVILLE DR QFNM3 Has there been any progress with negotiations with RMS in improving the Kempsey Traffic Bridge fencing? RESPONSE Staff have sought to secure funding through government stimulis package. Council staff have estimated the cost of the work on behalf of Transort for NSW, with confirmation received that the work may proceed.

COUNCILLOR L J HAUVILLE EF QFNM4 When will the workshop be held for Councillors to consider a Declaration of Climate Emergency by Kempsey Shire Council? RESPONSE At its meeting of 19 March 2019, Council resolved: That a Council workshop be conducted to inform the development of a suite of policies, strategies and action plans addressing issues such as but not limited to climate change, sustainable living, emissions reduction, renewable energy, sea level rise, carbon footprint, waste reduction and recycling, environmental sustainability and a subsequent report be brought back to Council. This workshop was conducted with Councillors on 4 September 2019. Following on from this consideration of a declaration of climate change workshop shall occur at a workshop within the next 3 months in conjunction with review of the long term energy strategy.


11 CONFIDENTIAL MATTERS MOTION FOR CONFIDENTIAL SESSION In accordance with the Local Government Act 1993 and the Local Government (General) Regulation 2005, in the opinion of the General Manager, the following business is of a kind as referred to in section 10A(2) of the Act, and should be dealt with in a part of the meeting closed to the media and public. Set out below is section 10A(2) of the Local Government Act 1993 in relation to matters which can be dealt with in the closed part of a meeting. The matters and information are the following: (a) personnel matters concerning particular individuals (other than councillors) (b) the personal hardship of any resident or ratepayer (c) information that would, if disclosed, confer a commercial advantage on a person with whom

the Council is conducting (or proposes to conduct) business (d) commercial information of a confidential nature that would, if disclosed;

(i) prejudice the commercial position of the person who supplied it, or

(ii) confer a commercial advantage on a competitor of the Council, or

(iii) reveal a trade secret (e) information that would, if disclosed, prejudice the maintenance of law (f) matters affecting the security of the Council, councillors, council staff or Council property (g) advice concerning litigation, or advice that would otherwise be privileged from production in

legal proceedings on the grounds of legal professional privilege (h) information concerning the nature and location of a place or an item of Aboriginal significance

on community land. Councillors are reminded of their statutory obligations in relation to the non-disclosure to any outside person of matters included in this section. That Council form itself into the Confidential Session, and at this stage, the meeting be closed to the public to permit discussion of the confidential business items listed for the reasons as stated in the Agenda.


11.1 LEGAL MATTERS Officer Daniel Thoroughgood, Manager Governance & Information Services File No F19/1960 Section 10A(2)(g) – Legal Proceedings

This report is submitted on a confidential basis as it involves advice concerning litigation, or advice that would otherwise be privileged from production in legal proceedings on the ground of legal professional privilege. (Local Government Act 1993, section 10A(2)(g))

On balance, the public interest in preserving the confidentiality of the advice, outweighs the public interest in openness and transparency in council decision making by discussing the matter in open meeting.

11.2 CRESCENT HEAD WATER TREATMENT PLANT PROCUREMENT UPDATE Officer Wes Trotter, Water and Sewer Manager File No F12/1896 Section 10A(2)(c) – Commercial Advantage in Business Dealing This report is submitted on a confidential basis as it involves information that would, if disclosed, confer a commercial advantage on a person with whom the council is conducting (or proposes to conduct) business. (Local Government Act 1993, section 10A(2)(c)).

On balance, the public interest in preserving the confidentiality of the commercial information supplied, outweighs the public interest in openness and transparency in council decision making by discussing the matter in open meeting.

11.3 TENDER FOR THE SUPPLY AND DELIVERY OF READY MIX CONCRETE TQE 20/4 Officer Dylan Reeves, Manager Infrastructure Delivery File No TQE20/4 Section 10A(2)(d)(i) – Commercial Position This report is submitted on a confidential basis as it involves commercial information of a confidential nature that would, if disclosed, prejudice the commercial position of the person who supplied it. (Local Government Act 1993, section 10A(2)(d)(i)).

On balance, the public interest in preserving the confidentiality of the commercial information supplied, outweighs the public interest in openness and transparency in council decision making by discussing the matter in open meeting.

11.4 TQE20/5 - TENDER FOR SUPPLY AND INSTALLATION OF 12 ACCOMMODATION CABINS AT CRESCENT HEAD AND FORMATION OF PANEL FOR ACCOMMODATION CABINS

Officer Gayleen Burley, Manager Commercial Business File No TQE20/5 Section 10A(2)(d)(i) – Commercial Position


This report is submitted on a confidential basis as it involves commercial information of confidential nature that would, if disclosed, prejudice the commercial position of the person who supplied it (Local Government Act 1993, section 10A(2)(d)(i)).

On balance, the public interest in preserving the confidentiality of the commercial information supplied, outweighs the public interest in openness and transparency in Council decision making by discussing the matter in open meeting.

12 CONCLUSION OF THE MEETING

commencing at 12:00 am corner tozer and elbow streets, west … · 2020. 5. 12. · the crescent...

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