infrastructure services committee agenda - upper hunter...

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Infrastructure Services

Committee Agenda

10 October 2017

Upper Hunter Shire Council – Infrastructure Services Committee Agenda – 10 October 2017 Page 1

To All Councillors You are hereby notified that the next meeting of the Infrastructure Services Committee will be held on 10 October 2017 in the Barry Rose Committee Room at 1.00pm, for the purpose of transacting the undermentioned business. The Infrastructure Services Committee consists of

Cr Lorna Driscoll, Cr Ron Campbell, Cr Maurice Collison and Cr James Burns.

W CROCKETT

GENERAL MANAGER 1. APOLOGIES 2. DECLARATIONS OF INTEREST 3. PUBLIC PARTICIPATION 4. BUSINESS ITEMS

INFRASTRUCTURE SERVICES REPORTS .................................................................................. 1

ISC.10.1 WORKS PROGRAM - INFRASTRUCTURE SERVICES - WATER AND SEWER ................................ 1

ISC.10.2 WORKS PROGRAM - INFRASTRUCTURE SERVICES ................................................................ 5

ISC.10.3 CAPITAL WORKS UPDATE .................................................................................................. 10

ISC.10.4 SPECIAL PROJECTS UPDATE .............................................................................................. 13

ISC.10.5 BUILDINGS ASSET MANAGEMENT PLAN .............................................................................. 20 5. COUNCILLOR QUESTIONS

Report To Infrastructure Services Committee 10 October 2017



INFRASTRUCTURE SERVICES REPORTS

ISC.10.1 WORKS PROGRAM - INFRASTRUCTURE SERVICES - WATER AND SEWER

RESPONSIBLE OFFICER: Steve Pryor - Director Operations

AUTHOR: Nilakshi Fernando - Engineer Water & Sewer Treatment

PURPOSE

The purpose of the report is to provide an update on all works undertaken by the Water and Sewer teams over the previous month and those planned for the upcoming month.

RECOMMENDATION

That the Committee receive the report and note the information.

BACKGROUND

The report provides information to assist in addressing ratepayer enquiries regarding construction, maintenance and other activities in the area of Water and Sewer. REPORT/PROPOSAL

Progress of major projects is listed in Attachment 1 along with upcoming planned works.

The projects currently underway include:

Replacement of old water meters in all Water Supply Areas.

Updating the Integrated Water Cycle Management (IWCM) Study

Scone to Murrurundi Pipeline.

Ultra violet light disinfection and additional chlorination for the Scone/Aberdeen water supply.

Scone Sewage Treatment Plant Augmentation

Carry out planning, design and construction work associated with Membrane Water Treatment Plant at Murrurundi

Water main replacement at Park St & Gundy Rd intersection Scone.

Concept Design for Cassilis Sewage System. COMPLIANCE ISSUES

Nil OPTIONS

Nil CONSULTATION

Director Operations Acting Manager Water Engineer Water and Sewer Distribution Engineer Water and Sewer Process




STRATEGIC LINKS a. Community Strategic Plan 2027 This report links to the CSP 2027 as follows: BUILT & NATURAL ENVIRONMENTAL Goal 4 Plan for a sustainable future

CS15 Plan, facilitate and provide for a changing population for current and future generations.

CS16 Provide efficient and effective waste and recycling services and support improved waste minimisation and recycling practices.

Goal 6 Increase, enhance and maintain civil infrastructure, Community assets and open spaces to meet the needs of current and future generations. CS24 Provide for replacement, improvement and additional Community and open

space infrastructure through investment, best practice and risk management. CS26 Provide safe and reliable water and sewerage services to meet the demands

of current and future generations. We are working to achieve the following Community Priorities:

b. Delivery Program The report addresses the following objectives for works up to 30 June 2018 as described in the 2017/18 DPOP:

Water Supplies To provide an adequate and secure potable water supply to recognised standards in defined areas on a cost effective basis. Sewage Services To maintain a sewage system for the transportation and treatment of sewage to licence requirements and encourage appropriate further expansion of services.

c. Other Plans Various asset management plans.




IMPLICATIONS a. Policy and Procedural Implications Maintenance guidelines as identified within Service Levels, Asset Management Plans and Strategic Plans. b. Financial Implications Identified within individual items in the 2017/18 DPOP. c. Legislative Implications

Protection of the Environment Operations Act 1997

Water Management Act 2000

Public Health Regulation 2012. d. Risk Implications Maintenance and Capital activities play a vital role to mitigate and minimise Council’s risk in these areas. e. Other Implications Nil. CONCLUSION The updated report is provided as Attachment 1 and details work undertaken over the previous month and works planned for the upcoming month.

ATTACHMENTS

1 Water and Sewer Works Program Update - September 2017

ATTACHMENT NO: 1 - WATER AND SEWER WORKS PROGRAM UPDATE - SEPTEMBER 2017 ITEM NO: ISC.10.1


Works Completed – September 2017

Location Chainage/Details Work Budget Area

Scone Scone Water meter replacement (up to date) Scone/Aberdeen Water Supply

Scone Togar Pump Station Completed pump & motor replacement work Scone/Aberdeen Water Supply

Scone Sewage Treatment Plant (STP) Augmentation Work

Concept design for STP Augmentation work (on going) Scone Sewer Services

Cassilis Cassilis Sewage System Concept Design for Cassilis Sewage System (on going) Cassilis Sewer Services

Murrurundi Murrurundi Dam Site – Membrane Water Treatment Plant

Internal Pipe Work Contract was awarded. Electrical Work Tender closed on 4 October 2017

Murrurundi Water Supply

UHSC DPI Water – Performance Monitoring Database

The information on UHSC Water & Sewer Systems for 2016-17 has been submitted on 22 September 2017

Scone, Aberdeen, Merriwa, Cassilis & Murrurundi Water Supply

Scone, Aberdeen, Merriwa & Murrurundi Sewer Services

Works Planned – October 2017

Location Chainage/Details Work Budget Area

Scone & Aberdeen Scone & Aberdeen Water meter replacement Scone/Aberdeen Water Supply

Scone Park St & Gundy Road Intersection

Water Main replacement (Commenced on 25 September 2017)

Scone/Aberdeen Water Supply

Scone Glenbawn Dam Pump assembly repairs and maintenance Scone/Aberdeen Water Supply

Scone STP STP Augmentation Work Concept design for STP Augmentation work Scone Sewer Services

Merriwa Merriwa CCTV Camera work in Sewer Distribution System Merriwa Sewer System

Cassilis Cassilis Sewage System Concept Design for Sewer System Implementation (on going)

Cassilis Sewer Services

Murrurundi Murrurundi Dam Site Commencing Internal Pipe Work. Finalise Electrical Contract and commence work

Murrurundi Water Supply

UHSC Integrated Water Cycle Management Plan (IWCM)

Review IWCM Draft Issue Paper and send comments to the consultant (on going)

Scone, Aberdeen, Merriwa, Cassilis & Murrurundi Water Supply

Scone, Aberdeen, Merriwa & Murrurundi Sewer Services




ISC.10.2 WORKS PROGRAM - INFRASTRUCTURE SERVICES


AUTHOR: Nicholas Havyatt - Manager Works Delivery

PURPOSE

The purpose of the report is to provide an update on the Works Delivery Program undertaken over the previous month and that planned for the upcoming month.

RECOMMENDATION


BACKGROUND

The report includes information on Infrastructure Services work including roads, bridges, and parks. The report provides information to assist in addressing enquiries regarding construction and maintenance works. REPORT/PROPOSAL

Some of the major projects currently under construction or planned are:

Susan Street Stormwater is 45% complete.

Hunter Road S bends pavement will be completed next week and the pavement will be open to traffic for four to six weeks before sealing.

Willow Tree Road drainage works has commenced.

OPTIONS Nil.

CONSULTATION

Director Operations

Infrastructure Services Managers

Supervisors and Team Leaders

COMPLIANCE ISSUES – WORKS DELIVERY

Site Issue Progress

Merriwa Depot Trade Waste discharge to sewer

Tender is current out for the removal of the old tanks and installation of new tanks.

Timor Caves Gravel Pit and Cressfield Pit

Incorrect batter slope for pit

Pits are being redesigned, then Council will regrade the pit to the correct batter slope. The expected completion date is December 2017.




STRATEGIC LINKS a. Community Strategic Plan 2027+

This Report links to the CSP 2027 as follows:

ECONOMY AND INFRASTRUCTURE Goal 6 Increase, enhance and maintain civil infrastructure, Community assets and

open spaces to meet the needs of current and future generations. CS24 Provide for replacement, improvement and additional Community and

open space infrastructure through investment, best practice and risk management.

CS25 Provide inviting public spaces that are clean, green, properly maintained, well designed, encourage active participation, family friendly and accessible to all.

CS27 Maintain and upgrade the road network and bridges.

We are working to achieve the following Community Priorities:

b. Delivery Program

The report addresses the following objectives up to June 2018 as described in the 2017/18 DPOP: Parks, Gardens and Sporting Fields By providing quality open spaces, parks sporting grounds and reserves that are suitable and accessible for the community. Roads and Bridges – Local & Regional By undertaking roads, stormwater, footpaths and bridge maintenance and construction works to Council’s standards and specifications so as to improve road safety and minimise future expenses.

Parks & Gardens

A parks and open space maintenance program across Council

Upgrade or replace parks and playground equipment Roads - Local & Regional

A well maintained urban, rural sealed and unsealed road network.

Increase effectiveness of preventative maintenance work as part of maintenance management works practices.

Construction and quality specifications for road construction.




c. Other Plans

Implementation of Asset Management Plans. IMPLICATIONS a. Policy and Procedural Implications

Parks, Sporting Fields, Footpath, Road and Bridge maintenance guidelines as identified within Asset Management Plans and Strategic Plans.

b. Financial Implications

Identified within individual items in the 2017/18 DPOP. c. Legislative Implications

Not applicable. d. Risk Implications

Road and asset inspections are undertaken to mitigate and minimise Council’s risk exposure in these areas.

e. Other Implications

Nil CONCLUSION The updated report is provided as Attachment 1 and details work undertaken over the previous month and works planned for the upcoming month. ATTACHMENTS

1 Works Delivery Works In Progress as at end of September 2017

ATTACHMENT NO: 1 - WORKS DELIVERY WORKS IN PROGRESS AS AT END OF SEPTEMBER 2017 ITEM NO: ISC.10.2


Programmed Construction Works

Location Work Area (Crew)

Hunter Road S Bends Reconstruction of Hunter Road S bends, guardrail programmed for October

Scone construction

Middlebrook Bridge Approaches Earthworks and drainage commenced Scone construction

Susan Street stormwater Stormwater works from corner of Aberdeen to Guernsey Streets Scone construction

Willow Tree Road Initial seal 7km Merriwa construction

Gundy Road Rehabilitation Reconstruction of 500m of MR105 (0.8-1.3km) Scone construction

Programmed Grading works


Moobi Road Maintenance grading Scone grader

Rossgole Road Maintenance grading Scone grader

Coogah Road Maintenance grading Murrurundi grader

Tinseys Road Maintenance grading Murrurundi grader

Green Creek Road Maintenance grading Murrurundi grader

Waverley Road Maintenance grading Scone grader

Upper Rouchel Road Maintenance grading Scone grader

Kruilaya Road Maintenance grading Merriwa grader

Comiala Road Maintenance grading Merriwa grader

Willy Wally Road Maintenance grading Merriwa grader

Wyoming Road Maintenance grading Merriwa grader

Darkwood/Racecourse/Bulgin Road Maintenance grading Merriwa grader

Willungra Road Maintenance grading Merriwa grader

Daeles Creek/Kars Springs Road Maintenance grading Merriwa grader

ATTACHMENT NO: 1 - WORKS DELIVERY WORKS IN PROGRESS AS AT END OF SEPTEMBER 2017 ITEM NO: ISC.10.2


Capital Works – Complete


Golden Highway, Ringwood Road Pavement widening in section Ringwood Road Merriwa Construction

Maintenance Grading – Complete


Warlands Creek Road Maintenance grading Murrurundi grader

Haydons Woolshed Road Maintenance grading Murrurundi grader

Yarrandi Road Maintenance grading Scone grader

Cliftlands Road Maintenance grading Scone grader

Yarrawonga Road Maintenance grading Merriwa grader

Rotherwood Road Maintenance grading Merriwa grader

Waverley Road Maintenance grading Scone grader

Martins Lane Maintenance grading Scone grader




ISC.10.3 CAPITAL WORKS UPDATE


AUTHOR: Nicholas Havyatt - Manager Works Delivery

PURPOSE The purpose of this report is to provide an update on capital works projects within the current budgetary period.

RECOMMENDATION That the Committee receive the report and note the information.

BACKGROUND In association with the 2017/18 Delivery Program and Operational Plan, a schedule of the planned capital works has been prepared. Budget holders have been asked to identify when the project is planned to be delivered. REPORT/PROPOSAL The spreadsheet provided under separate cover shows the expenditure up to the end September 2017, which is to date is running at 60%. Key projects currently include:

Hunter Road S Bends – pavement and sealing are complete, guardrail to be installed

Susan Street stormwater works

MR 358 Construction

Middlebrook Bridge approaches

Gundy Road MR 105 (0.8-1.3km) works complete

OPTIONS 1. By receiving and noting the capital works update, Council is advised of works progress

and associated works scheduling. 2. Councillors may seek adjustments to works timing and priorities where identified. CONSULTATION

Director Operations

Manager Works Delivery

Manager Strategic Assets

Acting Manager Water & Sewer




STRATEGIC LINKS a. Community Strategic Plan 2027+

This Report links to the CSP 2027 as follows:

ECONOMY AND INFRASTRUCTURE Goal 6 Increase, enhance and maintain civil infrastructure, Community assets and

open spaces to meet the needs of current and future generations. CS24 Provide for replacement, improvement and additional Community and


CS25 Provide inviting public spaces that are clean, green, properly maintained, well designed, encourage active participation, family friendly and accessible to all.

CS27 Maintain and upgrade the road network and bridges.


b. Delivery Program

The report addresses the following objectives as described in the 2017/18 DPOP.

Bridges By undertaking bridge maintenance and construction works to Council standards and specifications so as to improve safety and minimise future expenses

Footpaths

Providing and maintaining a cycleway/footpath network that will contribute to the accessibility, safety and amenity of streets in Council’s towns and villages. RMS State Roads

Remain a core service provider to RMS

Provide value for money service to RMS

Local Roads Undertake road maintenance and construction works to Council. Standards and specifications so as to improve road safety and minimise future expenses.

Regional Roads To undertake roads and bridge maintenance and construction works to Council’s standards and specifications so as to improve road safety and minimise future expenses.




Stormwater To provide Stormwater drainage systems to manage flows c. Other Plans

Many projects are identified within Community Plans, Emergency Plans or specific operational plans. Council’s Asset Management Plans are also reference documents for the development of the capital works program.

IMPLICATIONS a. Policy and Procedural Implications

Some projects involve grant funds, community donations or use of other funding sources such as R2R funds and section 94 contributions. Expenditure of these funds is in accordance with relevant policies and legislative requirements.


All works have been budgeted for in accordance with the Delivery Program and Operational Plan (DPOP) 2017/18.

c. Legislative Implications

Not applicable.

d. Risk Implications

The correct planning and completion of capital projects assists Council to mitigate their risk exposure.


Not applicable.

CONCLUSION

The capital works update report provides Councillors with a review of progress of the 2017/18 financial year capital works.

ATTACHMENTS

Capital Works Expenditure - Excluded




ISC.10.4 SPECIAL PROJECTS UPDATE

RESPONSIBLE OFFICER: Waid Crockett - General Manager

AUTHOR: Alan Fletcher - Special Projects Manager

PURPOSE The purpose of this report is to provide an update on the projects being managed by the Special Projects team.

RECOMMENDATION


BACKGROUND The report provides information to assist the Committee to understand the current status of each of the projects, what work has recently been completed, and the work that is planned for the next three months. REPORT/PROPOSAL Scone to Murrurundi Pipeline Forecast Cost $14,199,000 Expenditure to date $ 464,254 Key activities since last month:

Contract has been awarded to carry out the field excavation test pit program.

Council undertook a Review of Environmental Factors (REF) for the project and found that Potential Archaeological Deposits (PADs) existed along most of the length of the proposed pipeline alignment. PADs are areas where it is likely to find Aboriginal artefacts. This finding triggered the requirement for a full Aboriginal Cultural Heritage Assessment (ACHA) for the project, a legislated process of consultation with the local Aboriginal community. The ACHA determined that as there was a high likelihood of finding Aboriginal artefacts, a sub-surface testing program is required which will involve hand digging test pits 50cm x 50cm in area and nominally 50cm deep. 300 test pits are required.

Final ACHA report was submitted to OEH along with the supporting Archaeological Report, Testing Methodology and Consultation Log.

Key activities in the next three months:

Aboriginal archaeological (field excavation pits) testing program.

Agreement on land valuations for easements and acquisitions and establishment of easement agreements.

Land access dealings with Crown Lands, Local Land Services, Aboriginal land claimants and Aboriginal Native Title claimants.

Finalise funding deed for the $1.5M replacement grant funding.




Emerging issues:

The test pit program has delayed the project milestones however the pipeline completion date of 2020 is still on target.

Aboriginal land claimants Wanaruah have stated in an email that they will not support any impacts to the land they have under claim until their claims are resolved. Wanaruah have land claims over all eight portions of Crown Land that the proposed pipeline alignment crosses. These impacts will include the acquisition of easements required for the pipeline.

Middlebrook Bridge Replacement Forecast Cost $2,117,000 Expenditure to date $ 469,730 Key activities since last month:

Tender was awarded to Waeger Constructions Pty Ltd for design and construction of the bridge.

Detailed design of the bridge by Contractor.

Work continued on the road approaches by Council. Key activities in the next three months:

Continuation of roadworks by Council.

Completion of detailed design of bridge by Contractor.

Contractor to mobilise to site.

Construction of bridge to commence. Emerging Issues

Nil. White Park Indoor Arena – Stage 1 Forecast Cost $1,840,000 for Stage 1 Expenditure to date $ 40,368 Key activities undertaken last month:

90 x 60m indoor arena shed roof structure tender was advertised. Tenders closed 28 September. Seven (7) tenders were received. Tender report planned to go to October Council meeting.

100mm water main has been diverted around the building site.





Report to Council and accept roof structure tender.

Bulk earthworks.

Construction certificate approval when detailed construction plans are provided by the tenderer.

Commence construction. Emerging issues:

Need to progress the detailed design of stage 2 to facilitate firming up cost estimates and making grant applications. Economic Development Team have identified possible grants.

The White Park Management & Development Committee requested:-

o Possibly lowering walkway level to increase seating options, including lowering

the arena.

o Possibility of having canteen in a separate location – ie not under the arena roof

eg current sales centre. Separate wet and dry alcohol areas

o Easy entry for tractor.

o Liaising with seating contractor to produce a concept seating plan with potential

for other types of functions (eg music concerts) to utilise the arena area.

o Provision within the tender documents for separable portions relating to

Lighting, Ventilation and Insulation. Scone Golf Course Detailed Design and Reconstruction Forecast Cost $3,800,000 Expenditure to date $ 200,599 Key activities undertaken last month:

Tender for Detailed Design and Reconstruction awarded to McMahons Pty Ltd.

Detailed design finalized, some outstanding issues e.g. detail plans for Starter Hut and Toilet.

Consultation with RSL /Golf Club committee held. Held final game (wake) 16 September with presentation from project manager, designers and construction firm McMahons.

Finalising deferred commencement conditions in DA.

Site establishment commenced.


Construction of new course.

Emerging issues:

Some concerns have been raised with proposed scope change (savings) and the use of effluent water on greens. Meetings held with stakeholders will continue to address concerns.

Need to review 2006 effluent reuse management plan for Scone STP and sites including Golf Course. $50K in current sewerage budget.

Scone Sewerage Treatment Plant Augmentation Forecast Cost $1,119,000 for 2017/18. Total estimated cost $4.6m Expenditure to date $ 34,836




Key activities undertaken last month:

Consultant has commenced work.

30% design plans due Friday 29 September. Key activities in the next three months:

Consultant has commenced work.

30% design plans due Friday 29 September. Emerging issues:

Need to review 2006 effluent reuse management plan for Scone STP and sites including Golf Course, Bill Rose Sports Complex, Race Course and Bhima Stud. $50K in current sewerage budget. Initial quote is well over budget.

Cassilis Sewerage Scheme Forecast Cost Total estimated cost $2.2m Expenditure to date $20,620 Key activities undertaken last month:

Consultant has been engaged to prepare concept design, survey, geo tech and community consultation.

Key activities in next three months:

Develop concept design options.

Consultation with DPI and EPA.

Community consultation.

Arrange Section 60 of Local Government Act 1993 approval.

Arrange Review of Environmental Factors.

Prepare tender documentation for construction. Emerging issues:

Land acquisition for sewage treatment plant. MR358 Coulson Creek Road (Willow Tree Road) initial seal and widening Forecast Cost Total estimated cost $12,162,000 Expenditure to date $426,983 plus $203,759 repair funds (2016/17) Key activities undertaken last month:

Installing reinforced concrete stormwater drainage culvert pipes, 20 of the 27 culvert sets completed.

Survey completed for Stage 2.

Finalising REF.

Merriwa Works Delivery Team planning works for initial seal section using RMS methods and systems where appropriate for review by RMS.

Key activities in next three months:

Commence construction of, gravel pavements and initial seal for Stage 1

Complete the design of the widening of roadway Stage 2 (Liverpool Range within Upper Hunter Shire).




Emerging issues:

Nil at this time. OPTIONS

Nil CONSULTATION

Manager Special Projects Manager Works Delivery Manager Strategic Assets Acting Manager Water & Sewer Director Operations

STRATEGIC LINKS a. Community Strategic Plan 2027 This report links to the CSP 2027 as follows: Goal 4 Plan for a sustainable future

CS15 Plan, facilitate and provide for a changing population for current and future generations.

Goal 6 Increase, enhance and maintain civil infrastructure, Community assets and open spaces to meet the needs of current and future generations. CS26 Provide safe and reliable water and sewerage services to meet the demands

of current and future generations. Goal 7 Enhance and improve the road network and bridges to meet the needs of current and

future generations and communicate priorities and progress to the Community. CS27 Maintain and upgrade the road network and bridges. CS28 Increased Community engagement and updates on infrastructure planning,

road priorities, works and improvements. CS29 Advocate, facilitate and/or provide traffic management and public transport

facilities to meet the needs of the Community We are working to achieve the following Community Priorities:




b. Delivery Program The report addresses the following objectives for works to 30 June 2018 as described in the 2017/18 DPOP.

Bridges By undertaking bridge maintenance and construction works to Council standards and specifications so as to improve safety and minimise future expenses

Local Roads Undertake road maintenance and construction works to Council. Standards and specifications so as to improve road safety and minimise future expenses.

Regional Roads To undertake roads and bridge maintenance and construction works to Council’s standards and specifications so as to improve road safety and minimise future expenses. Stormwater

To provide Stormwater drainage systems to manage flows.

Water Supplies To provide an adequate and secure potable water supply to recognised standards in defined areas on a cost effective basis. Sewage Services To maintain a sewage system for the transportation and treatment of sewage to licence requirements and encourage appropriate further expansion of services.

c. Other Plans

Council’s Asset Management Plans list projects for the development of the capital works program.




IMPLICATIONS

a. Policy and Procedural Implications

Nil.


All works have been budgeted for in accordance with the Delivery Program and Operational Plan (DPOP) 2017/18.

c. Legislative Implications

Due to the value of the projects being over $150,000 the tendering provisions of the Local Government Act 1993 and the Local Government (General) Regulation 2005 apply.

The two sewerage scheme projects, the Scone Sewerage Treatment Plant Augmentation and Cassilis Sewerage Scheme require state government approval under Section 60 of the Local Government Act.

d. Risk Implications

Implementation of a project management framework will assist with project management completion of capital projects. Completion of these capital works projects assists Council to mitigate their risk exposure.


Nil CONCLUSION

The Special Projects update report provides Councillors with a review of progress of the projects and emerging issues.

ATTACHMENTS

Nil.




ISC.10.5 BUILDINGS ASSET MANAGEMENT PLAN


AUTHOR: Jeff Bush - Manager Strategic Assets

PURPOSE The purpose of this report is to provide an update to the Committee on the preparation of the Buildings Asset Management Plan.

RECOMMENDATION That the Committee:

Note the information.

Forward the Buildings Asset Management Plan to Council for approval.

BACKGROUND Council has an Asset Management Strategy that sets the guidelines for implementing consistent asset management processes throughout Council. Buildings Asset Management Plan (AMP) was prepared using the Institute of Public Works & Engineering Australia “NAMS PLUS” system which is based on the International Management System. There is a requirement that the activities associated with all of Council’s Asset Classes be reported on an annual basis and therefore the information needs to be easily updated without significantly altering the AMP document every year. Asset Management Plans are part of Council’s IP&R framework. As part of the IP&R framework Section 403 of the Local Government Act 1993 requires Council to have a Resourcing Strategy that includes AMPs to implement the strategies identified in the Community Strategic Plan. Asset management planning is a comprehensive process to ensure that the delivery of services from infrastructure is provided in a financially sustainable manner. An AMP provides detailed information about infrastructure assets including the actions required to provide an agreed level of service in the most cost effective manner. AMPs define the services to be provided, how the services are provided and what funds are required to provide the services. REPORT/PROPOSAL The new draft Buildings Asset Management Plan has been prepared and will be provided under separate cover. This draft AMP has been arranged generally in accordance with the National Asset Management System (NAMS) Template in that they retain the traditional AMP structure and text, however have been tailored to be more specific to Upper Hunter Shire Council. Key information that needs to be updated on an annual basis such as asset valuation, performance information and financial forecasts are located in a new section at the back of the document before the appendices. AMPs show the total cost of maintenance and renewal over a ten year period to identify the required funding to be factored into Council’s long term financial planning. The plans also identify:




Community and technical levels of service;

Funding levels determined using life cycle cost analysis principles;

Potential new assets required to cater for demographic changes;

Renewal/Replacement Plan;

Asset creation, acquisition and upgrade plans. The key inputs to the AMP’s development include:

Latest asset valuations, asset attributes and condition information;

Latest performance information from benchmarking reports;

Actual expenditure for operational and capital works;

Planned financial forecasts for operational and capital works at activity level;

Identified capital improvements by asset class and

Actual performance for achieving levels of service. The key deliverables for the AMP is:

Ten year financial forecasts based on the agreed capital projects and optimized operational expenditure forecasts;

Risk registers for the water and sewerage services activity in the NAMS PLUS risk template and

Levels of service tables to industry practice. This report seeks to note the information and that the Buildings AMP is forwarded to Council for approval OPTIONS 1. The draft Buildings Asset Management Plan be adopted. This is the preferred option. 2. The draft Buildings Asset Management Plan not be adopted.

CONSULTATION An internal steering group of Council officers was established to ensure wide input and review was obtained in updating the AMP’s. This group comprised:

Director Operations Manager Strategic Assets Manager Finance Manager Business Enterprise & Tourism

STRATEGIC LINKS a. Community Strategic Plan 2027 This report links to the Community Strategic Plan 2027 as follows: Goal 6 Increase, enhance and maintain civil infrastructure, Community assets and open spaces to meet the needs of current and future generations. CS24 Provide for replacement, improvement and additional Community and






The draft AMP is a key part of Council’s IP&R framework and will assist in achieving key focus area 6 of the Community Strategic Plan to “Maintain and enhance civil infrastructure and community assets to meet the needs of current and future generations”, specifically to “provide for the replacement and improvement of community infrastructure through best practice and risk management”. b. Delivery Program The 2017/18 DPOP objective for the Asset Management Plan are outlined below:

Provide cost effective Strategic Asset Management Plans that are compliant with legislative requirements.

The major activity is to implement Asset replacement programs to minimise failures and ensure provision of assets at a satisfactory level of service. c. Other Plans In addition Council’s Roads, Bridges, Stormwater, Open Spaces, Water and Sewerage Services, and Other Infrastructure AMP’s have been revised and updated to the same structure to ensure there is consistency and ease for Council staff to update the documents and use the information for reporting purposes as required. IMPLICATIONS a. Policy and Procedural Implications The AMP’s will introduce renewal criteria to assist in assessing the priority of asset renewal works. A number of specific internal procedures have been revised to improve data capture of asset conditions and record works undertaken. b. Financial Implications The revised allocations for renewals being proposed in the Plans will not impact adversely on the financial sustainability of the Buildings Asset Management Plan. However, the financial risk associated with the provision of major new infrastructure, as has been identified, will require action to ensure affordability of those projects overall. Whilst this draft AMP does not have direct financial implications, it highlights the potential deteriorating position of the asset network due to capital replacement shortfalls in the adopted Long Term Financial Plan.




c. Legislative Implications Section 403 of the Local Government Act 1993 requires Council to have a long-term strategy (called its “resourcing strategy”) for the provision of the resources required to implement the strategies established by the community strategic plan that the Council is responsible for. The resourcing strategy includes asset management planning (along with long term financial planning and workforce management planning). There is no legislative requirement for the resourcing strategy to be placed on public exhibition. d. Risk Implications Risks include public health and economic costs if funding levels for asset maintenance and renewal are not adequate, leading to increased potential asset failures. e. Other Implications Nil CONCLUSION The draft Buildings Asset Management Plan is concise, strategic and structured, with information that flows logically in the documents and is easily updated for future revisions. The AMP’s are more appropriate for Council in relation to Council’s size and recognising that it is a rural Council. The establishment and updating of sound AMP’s is both a legislative requirement and an essential tool to ensure that services are provided in an efficient and sustainable way for the long term. These plans will be a valuable tool in the management of services to the Shire’s residents.

ATTACHMENTS

Buildings Asset Management Plan – Excluded

infrastructure services committee agenda - upper hunter...

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