Agenda of Ordinary Council - Thursday, 15 September 2022

UNCONFIRMED MINUTES

Ordinary Council Meeting

18/08/2022

PRESENT

Members:

Mayor Peta Pinson (Mayor)

Councillor Adam Roberts (Deputy Mayor)

Councillor Lauren Edwards

Councillor Sharon Griffiths

Councillor Lisa Intemann

Councillor Nik Lipovac

Councillor Danielle Maltman

Councillor Rachel Sheppard

Councillor Josh Slade

Other Attendees:

Chief Executive Officer (Dr Clare Allen)

Acting Director Business and Performance (Ashley Grummitt)

Director Community, Planning and Environment (Melissa Watkins)

Director Community Infrastructure (Robert Fish)

Director Community Utilities (Jeffery Sharp)

Group Manager Governance (Michael Ferguson)

Governance Officer (Tania Ellis)

The meeting opened at 10:00am

01 ACKNOWLEDGEMENT OF COUNTRY

The Mayor opened the Meeting with an Acknowledgement of Country and welcomed all in attendance in the Chamber and viewing on line.

02 REMOTE ATTENDANCE AT MEETING

RESOLVED: Roberts/Lipovac

That Council accede to the request of Councillor Sheppard to attend the meeting by remote means.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

03 LOCAL GOVERNMENT PRAYER

Pastor Phil Thompson from the Divergent Church delivered the Local Government Prayer.

04 APOLOGIES

Nil.

05 CONFIRMATION OF MINUTES

resolvED: Roberts/Griffiths

That the Minutes of the Ordinary Council Meeting held on 21 July 2022 be confirmed.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

06 DISCLOSURES OF INTEREST

Councillor Adam Roberts declared a Non-Pecuniary - Less than Significant Interest in Item 14.04 There is the possibility when debating both of these items that issues or alternate motions may arise that may have an (as yet unknown, specifically) impact on my publicly declared interests. As such, I will be declaring a Non-Pecuniary – Less than Significant Interest and take no part in the consideration and voting and be out of sight of the meeting.

Councillor Adam Roberts declared a Non-Pecuniary - Less than Significant Interest in Item 14.06 There is the possibility when debating both of these items that issues or alternate motions may arise that may have an (as yet unknown, specifically) impact on my publicly declared interests. As such, I will be declaring a Non-Pecuniary – Less than Significant Interest and take no part in the consideration and voting and be out of sight of the meeting.

Councillor Maltman declared a Non-Pecuniary, Less Than Significant Interest in Item 14.07 - Lake Cathie Natural Resource Management Monthly Update, the reason being that Councillor Maltman is a non-financial life member of the community organisation Revive Lake Cathie Inc.

Councillor Slade declared a Non-Pecuniary, Less Than Significant Interest in Item 14.10 - Bain Park Car Parking, the reason being that Councillor Slade father owns 3 buildings in the Wauchope CBD and mother has a business.

07.01 Recognition of the Late John Tingle

RESOLVED: Pinson

That Council formally recognise the contribution to the community of the late John Tingle.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

07.02 Accounting Treatment of Rural Fire Service ("Red Fleet") Assets

RESOLVED: Pinson/Intemann

That Council:

1. Request the Chief Executive Officer to write to the Hon Leslie Williams MP (Member for Port Macquarie); the Hon Melinda Pavey MP (Member for Oxley); the Hon Matt Kean MP (NSW Treasurer); the Hon Stephanie Cook MP (Minister for Emergency Services and Resilience); the Hon Wendy Tuckerman MP (Minister for Local Government) and Auditor General (Ms Margaret Crawford):

(a) Expressing Council’s objection to the NSW Government’s determination on ownership of Rural Fire Service assets.

(b) Advising of the impact of the Government’s position on Council finances of this accounting treatment.

(c) Calling on the NSW Government to take immediate action to permanently clear up inequities and inconsistencies around the accounting treatment of Rural Fire Service (RFS) assets by acknowledging that rural firefighting equipment is vested in, under the control of and the property of the RFS.

(d) Amending s119 of the Rural Fires Act 1997 so that the effect is to make it clear that RFS assets are not the property of Councils.

2. Request the Chief Executive Officer to write to the Daniel Mookhey MLC (Shadow Treasurer); Jihad Dib MP (Shadow Minister for Emergency Services); Greg Warren MP (Shadow Minister for Local Government); Jamie Parker MP (Greens Spokesperson for Local Government) and the leaders of the Shooters, Fishers and Farmers (Robert Borsak MLC); Animal Justice Party (Emma Hurst MLC); One Nation Party (Mark Latham MLC), and all Independent members of the NSW Parliament:

(a) Advising the Members of Council’s position, including providing copies of correspondence to NSW Government Ministers

(b) Seeking the Members’ commitments to support NSW Councils’ call to amend the Rural Fires Act 1997 as set out in correspondence.

3. Promotes these messages via its digital and social media channels and

networks.

4. Re-affirm its complete support of and commitment to local RFS brigades noting that Council’s action is entirely directed towards the NSW Government’s position that, rather than being owned and controlled by local brigades, RFS assets are somehow controlled by Councils, which Council considers the NSW Government shifting its responsibilities at the cost of local communities.

5. Requests LGNSW to continue advocating on Council’s behalf in this matter

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

08 CONFIDENTIAL CORRESPONDENCE TO ORDINARY COUNCIL MEETING

RESOLVED: Intemann /Lipovac

That Council determine that the attachments to Item Number 11.14 be considered as confidential, in accordance with section 11(3) of the Local Government Act.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

09 PUBLIC FORUM – MATTERS NOT ON THE AGENDA

There were no requests to speak in the Public Forum - Matters Not On The Agenda.

10 PUBLIC FORUM – MATTERS ON THE AGENDA

The Mayor advised of requests to speak in the Public Forum - Matters On The Agenda from:

Mr Geoffrey Hawkins Item 11.06 - Significant Regulatory and Governance Developments Regarding Climate Change Risk (Supporting)

Mr Damian King Item 14.01 - Southern Breakwall Port Macquarie (Supporting)

Ms Michelle Richards Item 14.01 - Southern Breakwall Port Macquarie (Supporting)

Ms Alyson Ogilvie-Lee Item 14.01 - Southern Breakwall Port Macquarie (Supporting)

Mr Michael Mowle Item 14.04 - Wastewater Treatment Plant Capacities (Opposing)

Mr Graham Burns Item 14.04 - Wastewater Treatment Plant Capacities (Opposing)

Mr George Miedecke Item 14.04 - Wastewater Treatment Plant Capacities (Opposing)

Mr Scott Marchant Item 14.04 - Wastewater Treatment Plant Capacities (Opposing)

Ms Michelle Love Item 14.04 - Wastewater Treatment Plant Capacities (Opposing)

Mr Graham Burns Item 14.06 - Le Clos Sancrox Planning Proposal (Opposing)

RESOLVED: Maltman/Griffiths

That the above requests to speak in the Public Forum - Matters On The Agenda be acceded to.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

Mr Geoffrey Hawkins addressed Council in Item 11.06 - Significant Regulatory and Governance Developments Regarding Climate Change Risk and answered questions from Councillors.

Mr Damian King addressed Council in Item 14.01 - Southern Breakwall Port Macquarie and answered questions from Councillors.

Ms Michelle Richards addressed Council in Item 14.01 - Southern Breakwall Port Macquarie and answered questions from Councillors.

Ms Alyson Ogilvie-Lee addressed Council in Item 14.01 - Southern Breakwall Port Macquarie and answered questions from Councillors.

Mr Michael Mowle addressed Council in Item 14.04 - Wastewater Treatment Plant Capacities and answered questions from Councillors.

Mr Graham Burns addressed Council in Item 14.04 - Wastewater Treatment Plant Capacities and answered questions from Councillors.

Mr George Miedecke addressed Council in Item 14.04 - Wastewater Treatment Plant Capacities and answered questions from Councillors.

Mr Scott Marchant addressed Council in Item 14.04 - Wastewater Treatment Plant Capacities and answered questions from Councillors.

Councillor Maltman left the meeting, the time being 11:21am.

Councillor Maltman returned to the meeting, the time being 11:24am.

Ms Michelle Love addressed Council in Item 14.04 - Wastewater Treatment Plant Capacities and answered questions from Councillors.

Mr Graham Burns addressed Council in Item 14.06 - Le Clos Sancrox Planning Proposal and answered questions from Councillors.

Councillor Slade left the meeting, the time being 11:49am.

Councillor Slade returned to the meeting, the time being 11:51am.

Suspension of Standing Orders

RESOLVED: Roberts/Griffiths

That Standing Orders be suspended to allow Items 14.01, 14.04, 14.06, 11.06, 14.03, 14.02, 14.05, 11.04, 11.05, 11.10, 11.11, 11.15, 11.16, 11.19, 11.21, 12.02, 12.06, 14.07, 14.08, 14.09 and 14.10 not in the block to be brought forward and considered next.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

14.01 Notice of Motion - Southern Breakwall, Port Macquarie

RESOLVED: Roberts/Maltman

That Council:

1. Request the Chief Executive Officer write to the NSW Government, through the State Member for Port Macquarie, Leslie Williams MP, regarding the proposed works to the Port Macquarie Southern Breakwall.

2. Include in that correspondence a request for the provision of the following information for the purpose of informing the public as soon as possible:

a) Engineering reports, surveys or specific advice that considers the express need to replace or repair the rocks and or sections of the southern breakwall, including the head of the breakwall and the sandbar.

b) A request to show evidence that the Norfolk Pines must be removed to complete the works.

c) An indicative timeline for the works to be completed.

d) Any detailed final designs for the works to be completed.

e) Copies of the written submissions from the most recent community consultation process (2022).

f) Any evidence that the most recent (2021-2022) community feedback has been taken into account in determining the final designs for the works to be completed.

g) Any reports or information relating to the impacts on local business, the local economy or health impacts that the Community may need to be made aware of.

3. Through the Chief Executive Officer, provide a report to a future Council meeting with the information provided by the NSW Government.

carried: 8/1

For: Edwards, Griffiths, Intemann, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Lipovac

14.04 Wastewater Treatment Plant Capacities

Councillor Roberts declared a Non-Pecuniary Less than Significant Interest in this matter and left the room and was out of sight during the Council's consideration.

RESOLVED: Pinson/Intemann

That Council:

1. Note the capacity issues of the Port Macquarie-Hastings Sewerage Schemes, as outlined in this report.

2. Note that a Process Capacity Review and Optimisation Study for the Port Macquarie Wastewater Treatment Plant has been commissioned.

3. Continue to implement Council’s strategic planning program, including

a) Complete the higher order strategies that will be used to complement and inform the Blueprint;

b) Continue to progress the strategic land use planning actions identified in the Urban Growth Management Strategy – Background and Next Steps

c) Continue to progress the 33 Housing Actions, Economic Development Actions and Making It Happen Actions included in the Urban Growth Management Strategy.

d) Continue to progress those Planning Proposals reported to Council in Item 14.02 Update On Site Specific Planning Proposal Requests – Bi-Annual Report at the Ordinary Council meeting 16 June 2022;

4. Not proceed past Stage 6 Finalisation Stage of the Planning Proposal process for any existing or new Planning Proposals that will increase the loading to the Port Macquarie, Kew / Kendall and Wauchope Wastewater Treatment Plants until such time as all design work is complete and approvals are in place for the respective upgrades.

5. Request the Chief Executive Officer to investigate additional resources to support Council’s strategic planning team in Implementation of the strategic planning program outlined above.

6. Request the Chief Executive Officer to provide a report to Council in November 2022 regarding Council’s approach to Planning Proposal Assessment in response to the issues identified above and include in the report, details regarding the following;

a) How much vacant residential land can be developed under the current zoning(s)

b) Based on current (and past) growth, when is this projected to be exhausted

c) Reaffirm the trigger points at which rezoning applications could proceed

7. Request the Chief Executive Officer to provide a further report to Council regarding Council’s approach to finalising Planning Proposals in the Port Macquarie/Thrumster Sewerage Scheme catchment once the outcomes identified in 2 (above) are known.

carried: 8/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson

Sheppard and Slade

Against: Nil

Adjourn meeting

Resolved: Sheppard/Pinson

The Ordinary Council Meeting adjourned at 12:57pm

carried: 8/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson,

Sheppard and Slade

Against: Nil

Resume meeting

The Ordinary Council Meeting resumed at 1:17pm

Adjourn meeting

Resolved: Pinson/Griffiths

The Ordinary Council Meeting adjourned at 1:18pm

carried: 7/1

For: Edwards, Griffiths, Lipovac, Maltman, Pinson,

Sheppard and Slade

Against: Intemann

Resume meeting

The Ordinary Council Meeting resumed at 1:55pm

14.06 Le Clos Sancrox Planning Proposal

Councillor Roberts declared a Non-Pecuniary Less than Significant Interest in this matter and left the room and was out of sight during the Council's consideration.

MOTION: Pinson/Maltman

That Council:

1. Note the Alteration of the Gateway Determination in relation to the Le Clos Sancrox Planning Proposal, with the revised timeframe for completing the subsequent Local Environmental Plan being 13 November 2022, with a submission date of 19 September 2022.

2. Proceed with the preparation of a Voluntary Planning Agreement (VPA) in relation to the Le Clos Sancrox Planning Proposal, incorporating the detail as outlined following:

a. The “VPA” Business Case prepared by Land Dynamics Australia dated April 2022 noting Contributions to a total of $40,783 per lot.

b. Include within the VPA the clauses as required by the Biodiversity and Conservation Division (BCD) of the Department of Planning and Environment (DPE).

c. The LCS Estates Pty Ltd (LCS) “VPA” Offer No.4 dated 7 July 2022, which provides for Contributions up to a value of an additional $11,936 per lot, subject to road upgrades to be determined in the Fernbank Creek and Sancrox Villages Structure Plan Traffic Study, due for finalisation February 2023.

d. Any future Development Application to be subject to a Deferral of Commencement until completion of the following infrastructure by Council:

i. Thrumster Waste Water Treatment Plant;

ii. Cowarra Water Treatment Plant and subsequent first stage of the Northern Trunk Main (750mm) supplying the Sancrox Reservoir.

e. Make provision to apply DSP Contributions in accordance with Development Servicing Plans determined for the Fernbank Creek and Sancrox Villages Structure Plan area, where these have been adopted by Council, prior to any Contribution payment in accordance with any Development Consent issued, in lieu of Contributions noted in 2a. and 2c. above.

3. Delegate authority to the Chief Executive Officer to finalise the VPA documentation in accordance with Recommendation 2 above, place the VPA on Public Exhibition for 28 days and subsequently endorse the VPA, to meet the Gateway Determination time requirements of the Department of Planning and Environment.

4. Within required timeframes as agreed with the Department of Planning and Environment (DPE), submit the Le Clos Sancrox Planning Proposal as amended to the Minister for Planning to make the LEP amendment.

AMENDMENT: Griffiths/Lipovac

That the matter be deferred to an Extraordinary Council meeting prior to 1

September 2022, and that the CEO provide a written brief on the proposal as soon

as possible.

The amendment on being put was carried.

carried: 8/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Sheppard and Slade

Against: Nil

The amendment became the motion.

AMENDMENT: Pinson/Slade

That Council:

2. Proceed with the preparation of a Voluntary Planning Agreement (VPA) in relation to the Le Clos Sancrox Planning Proposal, incorporating the detail as outlined following:

a. The “VPA” Business Case prepared by Land Dynamics Australia dated April 2022.

b. Include within the VPA the clauses as required by the Biodiversity and Conservation Division (BCD) of the Department of Planning and Environment (DPE).

c. The LCS Estates Pty Ltd (LCS) “VPA” Offer No.4 dated 7 July 2022, subject to road upgrades to be determined in the Fernbank Creek and Sancrox Villages Structure Plan Traffic Study, due for finalisation February 2023.

d. Any future Development Application to be deferred until completion of the following infrastructure by Council:

i. Thrumster Waste Water Treatment Plant;

ii. Cowarra Water Treatment Plant and subsequent first stage of the Northern Trunk Main (750mm) supplying the Sancrox Reservoir.

3. Within required timeframes as agreed with the Department of Planning and Environment (DPE), submit the Le Clos Sancrox Planning Proposal as amended to the Minister for Planning to make the LEP amendment.

The amendment on being put was lost.

lost: 3/5

For: Maltman, Pinson and Slade

Against: Edwards, Griffiths, Intemann, Lipovac and Sheppard

Councillor Maltman left the meeting, the time being 02:22pm.

Councillor Maltman returned to the meeting, the time being 02:24pm.

AMENDMENT: Sheppard/Lipovac

That Council:

3. Note the Alteration of the Gateway determination in relation to the Le Clos Sancrox Planning Proposal, with the revised timeframe for completing the subsequent Local Environmental Plan being 13 November 2022.

4. Note that infrastructure demand, cost and funding mechanisms associated with the Le Clos Sancrox Planning Proposal have not been fully determined as detailed within this report.

5. As a result of the above, note that the Proposal does not adequately demonstrate consistency with Action 4.1 of Council’s Community Strategic Plan, Planning Priority 19 of Council’s Local Strategic Planning Statement, Action 21.1 of the North Coast Regional Plan and Ministerial Direction 6.1 under section 9.1 of the Environmental Planning and Assessment Act 1979.

6. Given items 2 and 3 above, request the Minister for Planning and Homes determine that the matter not proceed pursuant to section 3.35 of the Environmental Planning and Assessment Act 1979.

7. Note the detailed investigations undertaken to date and the merits of the proposal, however, note the critical importance of resolving infrastructure issues before land is rezoned to a higher use in accordance with Council and NSW Government requirements.

8. Continue to resource and progress infrastructure planning associated with the Fernbank Creek, Sancrox and Thrumster localities, which may assist to support future urban development within the Le Clos Sancrox site and subsequent potential amendment to the Port Macquarie-Hastings Local Environmental Plan 2011.

The amendment on being put was carried.

carried: 5/3

For: Edwards, Griffiths, Intemann, Lipovac and Sheppard

Against: Maltman, Pinson and Slade

PROCEDURAL MOTION:

MOVED: Sheppard

A Motion of Dissent was moved on the chairperson’s ruling regarding the suitability of comments made by a Councillor.

carried: 5/3

For: Edwards, Griffiths, Intemann, Lipovac and Sheppard

Against: Maltman, Pinson and Slade

The amendment became the motion.

RESOLVED: Sheppard/Lipovac

That Council:

1. Note the Alteration of the Gateway determination in relation to the Le Clos Sancrox Planning Proposal, with the revised timeframe for completing the subsequent Local Environmental Plan being 13 November 2022.

2. Note that infrastructure demand, cost and funding mechanisms associated with the Le Clos Sancrox Planning Proposal have not been fully determined as detailed within this report.

3. As a result of the above, note that the Proposal does not adequately demonstrate consistency with Action 4.1 of Council’s Community Strategic Plan, Planning Priority 19 of Council’s Local Strategic Planning Statement, Action 21.1 of the North Coast Regional Plan and Ministerial Direction 6.1 under section 9.1 of the Environmental Planning and Assessment Act 1979.

4. Given items 2 and 3 above, request the Minister for Planning and Homes determine that the matter not proceed pursuant to section 3.35 of the Environmental Planning and Assessment Act 1979.

5. Note the detailed investigations undertaken to date and the merits of the proposal, however, note the critical importance of resolving infrastructure issues before land is rezoned to a higher use in accordance with Council and NSW Government requirements.

6. Continue to resource and progress infrastructure planning associated with the Fernbank Creek, Sancrox and Thrumster localities, which may assist to support future urban development within the Le Clos Sancrox site and subsequent potential amendment to the Port Macquarie-Hastings Local Environmental Plan 2011.

carried: 5/3

For: Edwards, Griffiths, Intemann, Lipovac and Sheppard

Against: Maltman, Pinson and Slade

Suspension of Standing Orders

RESOLVED: Pinson/Intemann

That Standing Orders be suspended to allow Item 11.13 not in the block to be brought forward and considered next.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

11.13 Monthly Budget Review - July 2022

RESOLVED: Intemann/Griffiths

That Council:

1. Adopt the adjustments in the “July 2022 Adjustments” section of the Monthly Budget Review – July 2022 report and associated attachment.

2. Amend the 2022-2023 Operational Plan to include all budget adjustments approved in this report.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

11.06 Notice of Motion - Significant Regulatory and Governance Developments Regarding Climate Change Risk

MOTION: Sheppard/Edwards

That Council:

1. Regarding Council’s long-term financial sustainability

a. Note that the Australian Institute of Company Directors (AICD) has identified that climate change “presents material financial risks and opportunities for organisations - across short, medium and long terms” (Reference 1), including

i. physical risks including damage to assets, project delays, supply chain disruptions, and;

ii. litigation risks arising from failure to manage or disclose risks.

b. Note that the above listed risks identified by the AICD are directly relevant to the long-term financial sustainability of Council as a substantial service provider, asset owner and asset custodian.

c. Note that Council is preparing to deliver a General Fund Improvement Plan to the August 2022 Ordinary Council meeting.

d. Request the CEO provide a report to the October 2022 Ordinary Council meeting, which details Council’s current approach to assess and address climate change risk to Council, including reasonably expected impacts of climate change on Council’s general fund operating results and long-term financial sustainability.

2. Regarding Council’s investment of public funds

a. Note that peak financial regulatory bodies such as the Reserve Bank of Australia, the Australian Securities and Investments Commission and the Australian Prudential Regulation Authority, have identified climate change as a specific, significant and dynamic risk to financial institutions and investors.

b. Note that since 2020, the area of climate change risk assessment and disclosure is undergoing dynamic regulatory developments, with rapid progress from 2021 toward establishment of standardised international assessment and disclosure standards, to provide high quality, comparable climate risk information for investors.

c. Note that Council currently invests approximately $400million of public funds, and currently has placed a proposed updated investment policy on public exhibition, however it is unclear to what extent this investment policy is informed by the dynamic changes occurring regarding assessment and disclosure of climate related risk.

d. Request the Chief Executive Officer prepare a report to the November 2022 meeting of the Audit, Risk and Improvement Committee (ARIC), for the ARIC to give consideration to commentary and advice of financial regulatory bodies in Attachments 1-5 and any other sources they consider relevant, and subsequently provide informed commentary and recommendations to Council including but not limited to:

i. Implications of climate risk, climate risk assessment and climate risk disclosure for Council’s investment policy, if any;

ii. Implications of climate risk, climate risk assessment and climate risk disclosure for the long term financial sustainability of council, if any, and;

iii. Means through which Council can be kept continuously adequately informed of relevant current developments in the area of climate risk, climate risk assessment and climate risk disclosure.

e. Request the Chief Executive Officer provide a report detailing ARIC commentary and advice to the next available Ordinary Council meeting following the meeting of ARIC, no later than December 2022.

f. Request that the following questions be responded to in the report as mentioned in 1e above.

· What sources does Council use to determine its approach to assessing and addressing climate change?

· How is climate change risk integrated into Council’s existing risk management framework?

· How is damage from climate related natural disasters factored into our long-term financial planning?

· How has climate change been factored into asset management, in terms of useful lives of assets and anticipated depreciation?

· How has climate change been factored into delivery of critical infrastructure, including water supply, storm water, sewer, and roads/bridges?

· Has council undertaken adequate disclosure of climate impacts to various stakeholders to mitigate transition risk of litigation?

· How does Council currently determine which climate related risks present material exposure to council’s operations over the short, medium and long term?

· What is Council’s level of tolerance for climate risks, and how is this tolerance determined?

· What climate change scenario (how many degrees temperature change) is Council basing risk assessment and action upon?

· What is Council’s capacity to respond to changes in climate modelling and associated risk projections

g. Any other information relevant to Council’s current approach to climate risk assessment and action.

h. Defer consideration of the Investment Policy pending Council’s consideration of the report as detailed in 2e above.

AMENDMENT: Griffiths/Intemann

That Council note the information and consider as part of a review of policy and strategy relating to climate change.

The amendment on being put was lost.

lost: 2/7

For: Griffiths and Intemann

Against: Edwards, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

The motion on being put was lost.

lost: 4/5

For: Edwards, Intemann, Lipovac and Sheppard

Against: Griffiths, Maltman, Pinson, Roberts and Slade

Councillor Slade left the meeting, the time being 02:53pm.

Councillor Slade returned to the meeting, the time being 02:54pm.

14.03 Notice of Motion - Climate Response Fund

MOTION: Edwards/Intemann

That Council:

1. Note that Port Macquarie-Hastings Council, at its Ordinary Council Meeting March 17^th 2022 resolved unanimously in support of writing to the President of the Australian Local Government Association (ALGA), in support of the ALGA’s identified National Funding Priorities and its call on the Federal Government’s budget.

2. Note the ALGA President, Linda Scott’s renewed call on the current Federal Government, on July 28th 2022, to deliver a Climate Fund to the tune of $200 million dollars to support Local Governments in responding to Climate Change.

3. Note the State of the Environment Report for the North Coast Region of NSW, released in October 2021, states that electricity use continues to be the greatest contributor to emissions in Australia.

4. Note the PMHC Long Term Energy Strategy 2017 (LTES) and specifically its aim to implement one or more mid-scale solar projects in the medium to long term and includes more small scale solar projects in the short to medium term.

5. Request the Chief Executive Officer commence the LTES aims in point 4 of this motion as desired projects along with any other identifiable local projects and programs towards climate change mitigation efforts that could be progressed with additional financial assistance from a Federal Government Climate Response Fund, to ensure that PMHC is ready to apply for such funds when available.

6. Support and participate in the ALGA’s renewed call by requesting the Chief Executive Officer write to the Minister for Climate Change and Energy: Chris Bowen, Minister for the Environment and Water: Tanya Plibersek and President of the ALGA: Linda Scott to:

a) express support for the ALGA President’s renewed call for a Federally- funded Climate Response Fund.

b) communicate the identified local projects and programs within the PMHC LGA from point 5 above.

lost: 4/5

For: Edwards, Intemann, Lipovac and Sheppard

Against: Griffiths, Maltman, Pinson, Roberts and Slade

14.02 Notice of Motion - Private Native Forestry

MOTION: Edwards/Lipovac

1. Note the State of the Environment Report released this year by the current Federal Government and the statistics presented on the further decline in biodiversity since 2016, especially within Eastern Australia, and that forestry is recorded as being one of the main drivers in this loss of biodiversity.

2. Note the Regional State of the Environment Report Summary for the North Coast Region released in October 2021 which confirms that forestry is the most significant cause of vegetation loss for the North Coast Region and that Port Macquarie Hastings has the second highest rate of vegetation loss of all the Local Government Areas within the North Coast Region and the second highest number of Private Native Forestry approvals.

3. Note that Port Macquarie-Hastings Council Local Strategic Planning Statement Shaping Our Future 2040 includes the key principle of planning priority 2: No nett loss of biodiversity within the boundaries of our Local Government Area.

4. Note that the United Nations Sustainable Development Goals for Life on Land, of which PMHC acknowledges and pursues through the Community Strategic Plan, its strategies, policies and plans.

5. Note the Port Macquarie Hastings Council Sustainability Policy sustainability principles 1,3,4,9 and particularly 7 that convey the motive and intention to provide education and build our communities knowledge and capacity for sustainable practices.

6. Request the Chief Executive Office to:

(a) develop and implement an education campaign for the Port Macquarie Hastings Community, both targeted at land holders with PNF approvals and the wider community too, about the negative effects of Private Native Forestry to our biodiversity assets and overall sustainability.

(b) report to the November 2022 Ordinary Council Meeting on the timeline and progress of delivering such an education program.

lost: 4/5

For: Edwards, Intemann, Lipovac and Sheppard

Against: Griffiths, Maltman, Pinson, Roberts and Slade

Councillor Maltman left the meeting, the time being 03:45pm.

Councillor Maltman returned to the meeting, the time being 03:48pm.

PROCEDURAL MOTION / CONFIDENTIAL SESSION

RESOLVED: Pinson/Roberts

1. That the Council Meeting be extended to 5.00pm.

2. That pursuant to section 10A subsections 2 & 3 and 10B of the Local Government Act 1993 (as amended), the press and public be excluded from the proceedings of the Confidential Session of Council on the basis that items to be considered are of a confidential nature.

3. That Council move into Closed Session to receive and consider the following items:

Item 16.01 Independent Member for the Audit, Risk and Improvement Committee

This item is considered confidential under Section 10A(2)(c) of the Local Government Act 1993, as it contains information that would, if disclosed, confer a commercial advantage on a person with whom the Council is conducting (or proposes to conduct) business.

Item 16.02 Property Matter

This item is considered confidential under Section 10A(2)(d(ii)) of the Local Government Act 1993, as it contains commercial information of a confidential nature that would, if disclosed, confer a commercial advantage on a competitor of the Council.

Item 16.03 Procurement Trends January to June 2022

This item is considered confidential under Section 10A(2)(d(i)) of the Local Government Act 1993, as it contains commercial information of a confidential nature that would, if disclosed, prejudice the commercial position of the person who supplied it.

Item 16.04 T-21-50 Construction of Ocean Drive Duplication

Item 16.05 Acceptance of Kempsey Shire Council Waste at Cairncross Landfill

Item 16.06 NSW Government Planning Portal - ePlanning integration platform solution.

4. That the resolutions made by Council in Confidential Session be made public as soon as practicable after the conclusion of the Confidential Session and such resolutions be recorded in the Minutes of the Council Meeting.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

Councillor Slade left the meeting, the time being 04:16pm.

Councillor Slade returned to the meeting, the time being 04:17pm.

16.01 Independent Member for the Audit, Risk and Improvement Committee

RESOLVED: Intemann/Griffiths

That Council:

1. Appoint Ms Mel Jacobs as the independent member of the Audit, Risk and Improvement Committee for a four (4) year term.

2. Appoint Mr Vivek Chopra as an independent member of the Audit, Risk and Improvement Committee for a four (4) year term should a vacancy occur prior to 31 December 2022.

3. Maintain the confidentiality of the documents and considerations in respect of this item.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

16.02 Property Matter

RESOLVED: Lipovac/Roberts

That Council:

1. Delegate authority to the Chief Executive Officer to enter into negotiations regarding the possible purchase of the subject land as contained within the body of this report.

2. Request the Chief Executive Officer provide a report to the next available Council meeting providing advice on the negotiations and potential purchase of the subject land for the further consideration of Council.

3. Maintain the confidentiality of the documents and considerations with regard to this matter.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

16.03 Procurement Trends January to June 2022

RESOLVED: Roberts/Griffiths

That Council:

1. Note the current market challenges and responses to increasing costs and supply chain issues to procurement activities in the first six months of 2022.

2. Maintain the confidentiality of the procurement matters detailed in this report.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

16.04 T-21-50 Construction of Ocean Drive Duplication

RESOLVED: Intemann/Roberts

That Council:

1. Note the forecasted cost of the project as described in the Financial & Economic Implications section of this report.

2. In accordance with Section 178(1) of the Local Government (General) Regulation 2021, accept the Tender from Ditchfield Contracting Pty Ltd for the Schedule of Rates Sum of $80,126,573.71 (exclusive of GST) for T-21-50 Construction of Ocean Drive Duplication Main Works Package and Option 1B.

3. Note that the Chief Executive Officer, under existing delegation to the General Manager, will execute the necessary contract documents.

4. Maintain confidentiality of the documents relating to the Request for Tender T-21-50.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

16.05 Acceptance of Kempsey Shire Council Waste at Cairncross Landfill

RESOLVED: Griffiths/Roberts

That Council:

1. Note the request to accept kerbside municipal general waste from Kempsey Shire Council at the Cairncross Landfill until 30 June 2023.

2. Charge Kempsey Shire Council the Option 1 Rate for the disposal of their kerbside municipal general waste at the Cairncross Landfill until 30 June 2023 as detailed within the report.

3. Note the intention to work collaboratively with Kempsey Shire Council to develop and implement effective waste management strategies that benefit the region.

4. Note a report will be tabled at the August 2023 Ordinary Council Meeting detailing the Kempsey Shire Council waste accepted at the Cairncross Landfill for 2022-2023 Financial year.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

16.06 NSW Government Planning Portal - ePlanning integration platform solution

RESOLVED: Roberts/Maltman

That Council:

1. In accordance with section 55(3)(i) of the Local Government Act 1993, not invite tenders for an ePlanning integration platform as a service (iPaaS) solution due to no other mature options being available on the market that utilise Microsoft Azure Integration services.

2. Accept the proposal from Sentient Dynamics Pty Ltd for their ePlanning integration platform solution at a value of $109,400 (ex GST) for deployment and business analysis services plus monthly subscription fees of $5,028 per month (ex GST) for a minimum period of three (3) years.

3. Note that Council has received grant funding of $80,000 (ex GST) from the NSW Government Department of Planning and Environment to support implementation of the new ePlanning integration platform solution.

4. Maintain the confidentiality of the documents and considerations in respect of the ePlanning integration platform solution procurement matter outlined in this report.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

RESOLVED: Roberts/Griffiths

That the Council Meeting be re-opened to the public.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

The outcomes of the Confidential Session of the Ordinary Council meeting were read to the meeting by the Group Manager Governance.

14.05 Draft Joint Integrated Transport Network Plan update

RESOLVED: Griffiths/Intemann

That Council:

1. Note the progress of the draft Joint Integrated Transport Network Plan

2. Note the proposed title change to Integrated Transport Plan

3. Request the Chief Executive Officer provide a report to Council in accordance with milestone events associated with progress on the Integrated Transport Plan.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts and Sheppard

Against: Nil

11.04 Disclosure of Interest Return

RESOLVED: Roberts/Maltman

That Council note the Disclosure of Interest return for Deputy Mayor Adam Roberts.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts Slade Sheppard

Against: Nil

11.05 Coastal Conference - Living with Uncertainty

RESOLVED: Maltman/Griffiths

That Council note the information contained in the 29^th NSW Coastal Conference - Living with Uncertainty Conference report.

PROCEDURAL MOTION:

MOVED: Sheppard

A Motion of Dissent was moved on the chairperson’s ruling regarding the chairperson ruling that a question of a Councillor was out of order.

LOST: 3/6

For: Intemann, Lipovac and Sheppard

Against: Edwards, Griffiths, Maltman, Pinson, Roberts and Slade

The motion on being put was carried.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

Suspension of Standing Orders

RESOLVED: Roberts/Pinson

That Standing Order be suspended to allow Item 12.02 to be brought forward and considered next.

carried: 6/3

For: Griffiths, Lipovac, Maltman, Pinson, Roberts and Slade

Against: Edwards, Intemann and Sheppard

12.02 Rescission Motion - T-22-23 - Port Macquarie Hastings Blueprint

RESOLVED: Roberts/Pinson

That the undermentioned motion adopted at the Ordinary Council Meeting held on 16 June 2022:

That Council:

1. In accordance with section 178(1)(b) and 178(3)(e) of the Local Government (General) Regulation 2021, decline to accept any of the proposals submitted for T-22-23 Port Macquarie Hastings Blueprint 2022 and enters into negotiations with University of Newcastle or any other person whether or not they submitted a proposal for Port Macquarie Hastings Blueprint 2022, with a view to entering into a contract in relation to the subject matter of the Request for Proposal.

2. Pursuant to section 178(4)(a) and (b) of the Local Government (General) Regulation 2021 decline to invite fresh tenders for the reasons that the evaluation Panel considers that respondents have the demonstrated experience, capacity and capability to meet the requirements of the Request for Proposal and inviting fresh tenders likely will not achieve a superior outcome and will unduly delay the project.

3. Request the Chief Executive Officer present a further report to a future meeting of Council on completion of the negotiation process, for Council’s further consideration of Request for Proposal T-22-23 Port Macquarie Hastings Blueprint 2022.

4. Maintain the confidentiality of the documents and consideration in Attachment 1 and Attachment 2 of the report with respect of Request for Proposal T-22-23 Port Macquarie Hastings Blueprint 2022.

be rescinded.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

MOTION: Roberts/Griffiths

That Council:

1. In accordance with section 178(1)(b) and 178(3)(f) of the Local Government (General) Regulation 2021, decline to accept any of the proposals submitted for T-22-23 Port Macquarie Hastings Blueprint 2022 and carry out the requirements of the proposed contract itself.

2. Maintain the confidentiality of the documents and consideration in Attachment 1 and Attachment 2 of Item 12.05 of the June 2022

Ordinary Council meeting being the report with respect of Request for Proposal T-22-23 Port Macquarie Hastings Blueprint 2022

AMENDMENT: Sheppard/Lipovac

That Council:

2. Maintain the confidentiality of the documents and consideration in Attachment 1 and Attachment 2 of Item 12.05 of the June 2022 Ordinary Council meeting being the report with respect of Request for Proposal T-22-23 Port Macquarie Hastings Blueprint 2022

3. Request the CEO prepare a project plan to be presented to Councillors prior to progressing the Blueprint further, which includes:

a) The proposed working description for what the Blueprint is

b) Scope

c) Timeline for development/delivery.

d) Cost estimate

e) Proposed consultation process with Councillors

f) Proposed public consultation process

4. Request the Chief Executive Officer to urgently provide Councillor briefings on the draft Infrastructure Strategy and draft Regional Integrated Transport Strategy, with a view to meeting the requirements of Council’s resolutions in respect of Items 11.19 and 14.06 of the March OCM, and to then progressing the draft Infrastructure Strategy and draft Regional Integrated Transport Strategy to public exhibition at the earliest possible stage.

5. Dissolve the project working group.

The amendment on being put was lost.

lost: 4/5

For: Edwards, Intemann, Lipovac and Sheppard

Against: Griffiths, Maltman, Pinson, Roberts and Slade

RESOLVED: Roberts/Griffiths

That Council:

CARRIED: 7/2

FOR: Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts and Slade

AGAINST: Edwards and Sheppard

15 ITEMS TO BE DEALT WITH BY EXCEPTION

RESOLVED: Pinson/Roberts

That Items 11.01, 11.02, 11.03, 11.07, 11.08, 11.09, 11.12, 11.14, 11.17, 11.18, 11.20, 11.22, 12.01, 12.03, 12.04 12.05, 13.01, 13.02, 13.03 and 13.04 be considered as a block resolution.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

RESOLVED: Pinson/Roberts

That all recommendations listed in the block resolution be adopted by Council.

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

11.01 Request for Leave of Absence - Mayor Peta Pinson

BLOCK RESOLVED: Pinson/Roberts

That Council:

1. Grant leave of absence for Mayor Peta Pinson for the period 14 to 25 September 2022 inclusive.

2. Note that in accordance with Section 231(3) of the Local Government Act, the Deputy Mayor will perform all duties of the Mayor during this period.

3. Allocate the Mayoral allowance to the Deputy Mayor during this period in accordance with Section 249(5) of the Local Government Act.

11.02 Mayor's Sporting Fund Sub-Committee Charter

BLOCK RESOLVED: Pinson/Roberts

That Council:

1. Adopt the updated Mayor’s Sporting Fund Sub-Committee Charter.

2. Call for expressions of interest from the community to be members of the Mayor’s Sporting Fund Sub-Committee for a two (2) year term.

3. Request the Chief Executive Officer table a future report seeking Council endorsement of the membership of the Mayor’s Sporting Fund Sub-Committee.

11.03 Mayoral Discretionary Fund Allocations - 7 July to 3 August 2022

BLOCK RESOLVED: Pinson/Roberts

That Council note the Mayoral Discretionary Fund allocations for the period 7 July to 3 August 2022 inclusive.

11.07 STATUS OF REPORTS FROM COUNCIL RESOLUTIONS

BLOCK RESOLVED: Pinson/Roberts

That Council note the information contained in the Status of Reports from Council Resolutions report.

11.08 STATUS OF COUNCIL POLICIES

BLOCK RESOLVED: Pinson/Roberts

That Council note the information provided in the Status of Council Policies report.

11.09 Contracts Awarded under Delegation by the Chief Executive Officer

BLOCK RESOLVED: Pinson/Roberts

That Council note the information provided in the Contracts Register.

11.12 2021-2022 Financial Statements Audit

BLOCK RESOLVED: Pinson/Roberts

1. That Council refer to audit the draft Financial Statements as at 30 June 2022.

2. That the Statement by Councillors and Management be signed by the Responsible Accounting Officer, the Chief Executive Officer, the Mayor and one Councillor as required by the Local Government Act 1993.

11.14 Legal Fees

BLOCK RESOLVED: Pinson/Roberts

That Council note the information in the Legal Fees report.

11.17 Glasshouse Biannual Report and Update on Glasshouse Plan 2020 - 2022 Actions

BLOCK RESOLVED: Pinson/Roberts

That Council note the information provided in the Glasshouse Biannual Report and Update on Glasshouse Plan 2020 - 2022 Actions report.

11.18 Development Activity And Assessment System Performance

BLOCK RESOLVED: Pinson/Roberts

That Council:

1. Note the Development Activity and Assessment System Performance report for the fourth quarter of 2021-2022.

2. Note the determinations made by staff under Clause 4.6 of the Port Macquarie-Hastings Local Environmental Plan 2011 for the quarter.

11.20 Policy Review - Compliance and Enforcement Policy - Post Public Exhibition

BLOCK RESOLVED: Pinson/Roberts

That Council:

1. Adopt the Compliance and Enforcement Policy

2. Rescind the Regulatory Enforcement Policy

11.22 Policy Review - Draft Communication Policy

BLOCK RESOLVED: Pinson/Roberts

That Council:

1. Publicly exhibit the draft Communications Policy for a period of not less than 28 days.

2. Note that a further report will be tabled at the October 2022 meeting of Council, detailing the submissions received from the public during the exhibition period.

12.01 Recommended Items from Mayor's Sporting Fund Sub-Committee - July 2022

BLOCK RESOLVED: Pinson/Roberts

That Council endorse the Mayor’s Sporting Fund Sub-Committee’s recommendation for payment of $500 each from the Mayor’s Sporting Fund to locale athletes Ty McKibbin and Zora Boskovski.

12.03 Grant Applications Biannual Report

BLOCK RESOLVED: Pinson/Roberts

That Council note the Grant Applications Biannual Report, providing an update on grants that Council has applied for or obtained, for the 2021-2022 financial year.

12.04 Cultural Activation Framework

BLOCK RESOLVED: Pinson/Roberts

That Council:

1. Note the information and findings of the Cultural Precinct Activation Framework project.

2. Endorse the Cultural Precinct Activation Framework and support staff to actively seek funding opportunities to implement the Framework.

12.05 Recreation Action Plan - Annual Update

BLOCK RESOLVED: Pinson/Roberts

That Council:

1. Note progress achieved to date in implementing the current Recreation Action Plan 2021-2025

2. Note that a further report will be provided to October 2022 Council meeting with an updated draft Recreation Action Plan for Council’s consideration

13.01 COVID-19 Recovery and Stimulus Projects Update

BLOCK RESOLVED: Pinson/Roberts

That Council:

1. Note the progress of Council’s COVID-19 Recovery and Stimulus Projects as detailed in the report.

2. Note a further update report will be provided at the February 2023 Council Meeting.

13.02 Road Closure and Land Transfer - Part South Atlantic Drive, Lake Cathie

BLOCK RESOLVED: Pinson/Roberts

That Council:

1. Pursuant to Section 38D of the Roads Act 1993 publish a Notice in the NSW Government Gazette to close all that part of South Atlantic Drive, Lake Cathie east of its intersection with Baltic Drive.

2. Vest the land in the closed road in Council as operational land.

3. Transfer the land in the closed road to the owner of the adjoining land, Lot 11 Deposited Plan 1238617, Gwynvill Trading Pty Ltd.

4. All costs involved in the road closure and land transfer shall be the responsibility of the owner of Lot 11 Deposited Plan 1238617.

13.03 Destination Management Plan Annual Update

BLOCK RESOLVED: Pinson/Roberts

That Council:

1. Note the second annual progress report on implementation of the 2020-2024 Port Macquarie-Hastings Destination Management Plan.

2. Note the update on performance and challenges for our local visitor economy.

13.04 Artwalk - Future Direction

BLOCK RESOLVED: Pinson/Roberts

That Council:

1. Endorse the continuation of ArtWalk as a signature local event for a further three-year period with the support of a cross-council delivery model including the development of a cross-council representative internal working group.

2. Request that the Chief Executive Officer confirm funding for the recruitment of a Cultural Events Officer to lead event planning and seek additional funding to support event delivery.

PROCEDURAL MOTION:

RESOLVED: Pinson/Roberts

That Council defer the following items to the September 2022 Ordinary Council Meeting:

Item 11.10 2017 - 2022 Delivery Program and 2021 - 2022 Operational Plan -Six Monthly Progress Report as at 30 June 2022

Item 11.11 2021 - 2022 Carry-over Projects

Item 11.15 Investments - July 2022

Item 11.16 Improvement Plan - General Fund Operating Performance

Item 11.19 Bushfire Disaster Recovery Funding

Item 11.21 Policy Review - Asset Capitalisation and Disposal (Excluding Land) Policy - Post Public Exhibition

Item 12.06 Hastings Youth Voice

Item 14.07 Lake Cathie Natural Resource Management Monthly Update

Item 14.08 Urban Growth Management Strategy Update

Item 14.09 Urban Growth Management Strategy -Background and Next Steps

Item 14.10 Bain Park Car Parking

carried: 9/0

For: Edwards, Griffiths, Intemann, Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

Against: Nil

The meeting closed at 5.33pm

………………………………………..

Peta Pinson

Mayor

AGENDA Ordinary Council 15/09/2022

Item: 06

Subject: DISCLOSURES OF INTEREST

RECOMMENDATION

That Disclosures of Interest be presented

DISCLOSURE OF INTEREST DECLARATION

Name of Meeting:

Meeting Date:

Item Number:

Subject:

I, the undersigned, hereby declare the following interest:

Pecuniary:

Take no part in the consideration and voting and be out of sight of the meeting.

Non-Pecuniary – Significant Interest:

Take no part in the consideration and voting and be out of sight of the meeting.

Non-Pecuniary – Less than Significant Interest:

May participate in consideration and voting.

For the reason that:

Name:

Signed:

Date:

Please submit to the Governance Support Officer at the Council Meeting.

(Refer to next page and the Code of Conduct)

Pecuniary Interest

4.1 A pecuniary interest is an interest that you have in a matter because of a reasonable likelihood or expectation of appreciable financial gain or loss to you or a person referred to in clause 4.3.

4.2 You will not have a pecuniary interest in a matter if the interest is so remote or insignificant that it could not reasonably be regarded as likely to influence any decision you might make in relation to the matter, or if the interest is of a kind specified in clause 4.6.

4.3 For the purposes of this Part, you will have a pecuniary interest in a matter if the pecuniary interest is:

(a) your interest, or

(b) the interest of your spouse or de facto partner, your relative, or your partner or employer, or

4.4 For the purposes of clause 4.3:

(a) Your “relative” is any of the following:

i) your parent, grandparent, brother, sister, uncle, aunt, nephew, niece, lineal descendant or adopted child

ii) your spouse’s or de facto partner’s parent, grandparent, brother, sister, uncle, aunt, nephew, niece, lineal descendant or adopted child

iii) the spouse or de facto partner of a person referred to in paragraphs (i) and (i)

(b) “de facto partner” has the same meaning as defined in section 21C of the Interpretation Act 1987.

4.5 You will not have a pecuniary interest in relation to a person referred to in subclauses 4.3(b) or (c)

(a) if you are unaware of the relevant pecuniary interest of your spouse, de facto partner, relative, partner, employer or company or other body, or

(b) just because the person is a member of, or is employed by, a council or a statutory body, or is employed by the Crown, or

(c) just because the person is a member of, or a delegate of a council to, a company or other body that has a pecuniary interest in the matter, so long as the person has no beneficial interest in any shares of the company or body.

Non-Pecuniary

5.1 Non-pecuniary interests are private or personal interests a council official has that do not amount to a pecuniary interest as defined in clause 4.1 of this code. These commonly arise out of family or personal relationships, or out of involvement in sporting, social, religious or other cultural groups and associations, and may include an interest of a financial nature.

5.2 A non-pecuniary conflict of interest exists where a reasonable and informed person would perceive that you could be influenced by a private interest when carrying out your official functions in relation to a matter.

5.3 The personal or political views of a council official do not constitute a private interest for the purposes of clause 5.2.

5.4 Non-pecuniary conflicts of interest must be identified and appropriately managed to uphold community confidence in the probity of council decision-making. The onus is on you to identify any non-pecuniary conflict of interest you may have in matters that you deal with, to disclose the interest fully and in writing, and to take appropriate action to manage the conflict in accordance with this code.

5.5 When considering whether or not you have a non-pecuniary conflict of interest in a matter you are dealing with, it is always important to think about how others would view your situation.

Managing non-pecuniary conflicts of interest

5.6 Where you have a non-pecuniary conflict of interest in a matter for the purposes of clause 5.2, you must disclose the relevant private interest you have in relation to the matter fully and in writing as soon as practicable after becoming aware of the non-pecuniary conflict of interest and on each occasion on which the non-pecuniary conflict of interest arises in relation to the matter. In the case of members of council staff other than the Chief Executive Officer, such a disclosure is to be made to the staff member’s manager. In the case of the Chief Executive Officer, such a disclosure is to be made to the mayor.

5.7 If a disclosure is made at a council or committee meeting, both the disclosure and the nature of the interest must be recorded in the minutes on each occasion on which the non-pecuniary conflict of interest arises. This disclosure constitutes disclosure in writing for the purposes of clause 5.6.

5.8 How you manage a non-pecuniary conflict of interest will depend on whether or not it is significant.

5.9 As a general rule, a non-pecuniary conflict of interest will be significant where it does not involve a pecuniary interest for the purposes of clause 4.1, but it involves:

a) a relationship between a council official and another person who is affected by a decision or a matter under consideration that is particularly close, such as a current or former spouse or de facto partner, a relative for the purposes of clause 4.4 or another person from the council official’s extended family that the council official has a close personal relationship with, or another person living in the same household

b) other relationships with persons who are affected by a decision or a matter under consideration that are particularly close, such as friendships and business relationships. Closeness is defined by the nature of the friendship or business relationship, the frequency of contact and the duration of the friendship or relationship.

c) an affiliation between the council official and an organisation (such as a sporting body, club, religious, cultural or charitable organisation, corporation or association) that is affected by a decision or a matter under consideration that is particularly strong. The strength of a council official’s affiliation with an organisation is to be determined by the extent to which they actively participate in the management, administration or other activities of the organisation.

d) membership, as the council’s representative, of the board or management committee of an organisation that is affected by a decision or a matter under consideration, in circumstances where the interests of the council and the organisation are potentially in conflict in relation to the particular matter

e) a financial interest (other than an interest of a type referred to in clause 4.6) that is not a pecuniary interest for the purposes of clause 4.1

f) the conferral or loss of a personal benefit other than one conferred or lost as a member of the community or a broader class of people affected by a decision.

5.10 Significant non-pecuniary conflicts of interest must be managed in one of two ways:

a) by not participating in consideration of, or decision making in relation to, the matter in which you have the significant non-pecuniary conflict of interest and the matter being allocated to another person for consideration or determination, or

b) if the significant non-pecuniary conflict of interest arises in relation to a matter under consideration at a council or committee meeting, by managing the conflict of interest as if you had a pecuniary interest in the matter by complying with clauses 4.28 and 4.29.

5.11 If you determine that you have a non-pecuniary conflict of interest in a matter that is not significant and does not require further action, when disclosing the interest you must also explain in writing why you consider that the non-pecuniary conflict of interest is not significant and does not require further action in the circumstances.

5.12 If you are a member of staff of council other than the Chief Executive Officer, the decision on which option should be taken to manage a non-pecuniary conflict of interest must be made in consultation with and at the direction of your manager. In the case of the Chief Executive Officer, the decision on which option should be taken to manage a non-pecuniary conflict of interest must be made in consultation with and at the direction of the mayor.

5.13 Despite clause 5.10(b), a councillor who has a significant non-pecuniary conflict of interest in a matter, may participate in a decision to delegate consideration of the matter in question to another body or person.

5.14 Council committee members are not required to declare and manage a non-pecuniary conflict of interest in accordance with the requirements of this Part where it arises from an interest they have as a person chosen to represent the community, or as a member of a non-profit organisation or other community or special interest group, if they have been appointed to represent the organisation or group on the council committee.

SPECIAL DISCLOSURE OF PECUNIARY INTEREST DECLARATION

This form must be completed using block letters or typed.

If there is insufficient space for all the information you are required to disclose,

you must attach an appendix which is to be properly identified and signed by you.

[insert full name of councillor]

In the matter of

[insert name of environmental planning instrument]

Which is to be considered at a meeting of the

[insert name of meeting]

Held on

[insert date of meeting]

PECUNIARY INTEREST

Address of the affected principal place of residence of the councillor or an associated person, company or body (the identified land)

Relationship of identified land to councillor

[Tick or cross one box.]

 The councillor has interest in the land (e.g. is owner or has other interest arising out of a mortgage, lease, trust, option or contract, or otherwise).

 An associated person of the councillor has an interest in the land.

 An associated company or body of the councillor has interest in the land.

MATTER GIVING RISE TO PECUNIARY INTEREST[1]

Nature of land that is subject to a change

in zone/planning control by proposed

LEP (the subject land2

[Tick or cross one box]

 The identified land.

 Land that adjoins or is adjacent to or is in proximity to the identified land.

Current zone/planning control

[Insert name of current planning instrument and identify relevant zone/planning control applying to the subject land]

Proposed change of zone/planning control

[Insert name of proposed LEP and identify proposed change of zone/planning control applying to the subject land]

Effect of proposed change of zone/planning control on councillor or associated person

[Tick or cross one box]

 Appreciable financial gain.

 Appreciable financial loss.

[If more than one pecuniary interest is to be declared, reprint the above box and fill in for each additional interest]

Councillor’s Signature: ………………………………. Date: ………………..

This form is to be retained by the council’s Chief Executive Officer and included in full in the minutes of the meeting

Last Updated: 3 June 2019

Important Information

This information is being collected for the purpose of making a special disclosure of pecuniary interests under clause 4.36(c) of the Model Code of Conduct for Local Councils in NSW (the Model Code of Conduct).

The special disclosure must relate only to a pecuniary interest that a councillor has in the councillor’s principal place of residence, or an interest another person (whose interests are relevant under clause 4.3 of the Model Code of Conduct) has in that person’s principal place of residence.

Clause 4.3 of the Model Code of Conduct states that you will have a pecuniary interest in a matter because of the pecuniary interest of your spouse or your de facto partner or your relative or because your business partner or employer has a pecuniary interest. You will also have a pecuniary interest in a matter because you, your nominee, your business partner or your employer is a member of a company or other body that has a pecuniary interest in the matter.

“Relative” is defined by clause 4.4 of the Model Code of Conduct as meaning your, your spouse’s or your de facto partner’s parent, grandparent, brother, sister, uncle, aunt, nephew, niece, lineal descendant or adopted child and the spouse or de facto partner of any of those persons.

You must not make a special disclosure that you know or ought reasonably to know is false or misleading in a material particular. Complaints about breaches of these requirements are to be referred to the Office of Local Government and may result in disciplinary action by the Chief Executive of the Office of Local Government or the NSW Civil and Administrative Tribunal.

This form must be completed by you before the commencement of the council or council committee meeting at which the special disclosure is being made. The completed form must be tabled at the meeting. Everyone is entitled to inspect it. The special disclosure must be recorded in the minutes of the meeting.

[1] Clause 4.1 of the Model Code of Conduct provides that a pecuniary interest is an interest that a person has in a matter because of a reasonable likelihood or expectation of appreciable financial gain or loss to the person. A person does not have a pecuniary interest in a matter if the interest is so remote or insignificant that it could not reasonably be regarded as likely to influence any decision the person might make in relation to the matter, or if the interest is of a kind specified in clause 4.6 of the Model Code of Conduct.

2 A pecuniary interest may arise by way of a change of permissible use of land adjoining, adjacent to or in proximity to land in which a councillor or a person, company or body referred to in clause 4.3 of the Model Code of Conduct has a proprietary interest

AGENDA Ordinary Council

15/09/2022

Item: 11.02

Subject: Status of Reports From Council Resolutions

Presented by: Chief Executive Officer, Dr Clare Allen

Alignment with Delivery Program

1.3.2 Build trust and improve Council's reputation through transparency, good decision making and living Council’s Values.

RECOMMENDATION

That Council note the information contained in the Status of Reports from Council Resolutions report.

Discussion

Report	Date and Item of Resolution	Status	Reporting Officer	Previous Anticipated Date/s for Report	Current Anticipated Date for Report
Port Macquarie Aquatic Facility Business Case	21/4/22 Item 14.05	Business case development is underway	DCPE	Jun-22	Sep-22
Proposed Rescinding of the Asset Disposal Policy	16/6/22 Item 11.10	Deferred by Council to September 2022	DCU	Aug-22	Sep-22
Urban Growth Management Strategy	21/7/22 Item 14.01	Deferred by Council to September 2022	DCPE	Aug-22	Sep-22
On Street Carparking Loss in Relation to Bain Park Masterplan	21/7/22 Item 11.03	Deferred by Council to September 2022	DCPE	Aug-22	Sep-22
Policy Review Investment Policy Following Exhibition	21/7/22		DBP		Sep-22

Report

Date and Item of
Resolution

Status

Reporting Officer

Previous Anticipated Date/s for Report

Current Anticipated
Date for
Report

New Employment Lands Zones Translation to Port Macquarie-Hastings Local Environmental Plan 2011-post public exhibition

17/3/22
Item 14.02

The NSW Government’s exhibition period will run for 6 weeks from 27 May 2022 to 8 July 2022. Following exhibition, it is anticipated that this will be reported back to Council in Aug/Sept-2022.

DCPE

Sep-22

Coastal Protection Options-Illaroo Road, Lake Cathie

21/4/21
Item 13.06

Following Community meeting a report will be prepared for October meeting

DCPE

Jun-21
Sep-21
Feb-22
Mar-22
Jun-22

Oct-22

Property Matter Koala Street Operational Land Classification

1/9/22
Item 10.01

DBP

Oct-22

T-20-41 Kew Main Street Upgrade

21/4/21
Item 15.01

Negotiations ongoing and awaiting design information from consultant. Retendering period extended 07/09/2022 Kew Main Street item to October as it won’t be ready in time for this month. Discussions are still occurring with a prospective contractor with the funding we have available

DCI

Jun-21
Jul-21
Sep-21
Nov-21
Feb-22
Mar-22
July-22

Oct-22

Report

Date and Item of
Resolution

Status

Reporting Officer

Previous Anticipated Date/s for Report

Current Anticipated
Date for
Report

Independent Review - Funding Options and Rating Structure for Development and Maintenance of the Port Macquarie CBD

29/6/22
Item 6.02

DCPE

Oct-22

Policy Review Communications Policy - Following Exhibition

18/8/22
Item 11.22

MCCE

Oct-22

Policy Review - Road Reserve Management

19/5/22
Item 11.10

Public Exhibition yet to occur

DCI

Aug-22

Oct-22

Prioritisation of Sporting Infrastructure Projects

17/3/22
Item 12.01

Resolved by Council at July 2022 Ordinary Council meeting to defer pending advice from major funding partners and Federal and State Members

DCPE

Apr-22
Jun-22
Jul-22

Oct-22

Prioritisation of Sporting Infrastructure Projects Outcome of Discussions with Federal and State members

21/7/22
Item 12.05

Discussions to take place with Federal and State Members prior to report to Council

DCPE

Oct-22

Outcome of Micromex Community Satisfaction Survey

19/5/22 Item 7.01

Resolved as Item 11.01 in July 2022 Ordinary Council meeting to defer item to October 2022

DCPE

Sep-22

Oct-22

Policy Review - Climate Change Response Policy post public exhibition

19/5/22
Item 7.01

Resolved as Item 11.01 in July 2022 Ordinary Council meeting to defer item to October 2022

DCPE

May-22
Sep-22

Oct-22

Report

Date and Item of
Resolution

Status

Reporting Officer

Previous Anticipated Date/s for Report

Current Anticipated
Date for
Report

Bain Park Masterplan Stages 1 and 2- amendments

7/3/22
Item 07.01

Final design anticipated

DCPE

Aug-Sept 22

Oct-22

Potential Purchase of Land Following negotiations

19/5/22
Item 16.01

Negotiations not yet finalised

CEO

Aug-22

Oct-22

Port Macquarie Works Depot

16/6/22
Item 11.16

CEO

Oct-22

Updated Recreation Action Plan

18/8/22
Item 12.05

DCPE

Oct-22

Policy Review - Volunteer Policy

21/4/22 Item 11.09

Resolved by Council in July 2022 Ordinary Council meeting to defer policy pending a workshop being undertaken

DCPE

Jul-22

Oct-22

Town Centre Master Plan - Finding of Independent Review

16/2/22
Item 12.03

DBP

Oct-22

Draft Port Macquarie-Hastings Local Housing Strategy 2021-2041 - post exhibition

19/5/21
Item 12.06

Forum to be held prior to report to Council meeting.

DCPE

Oct-21
Mar-22
Jun-22

Sep-22

Port Macquarie-Hastings Tree Management Policies And Procedures
Budget required to fast track backlog
Process improvements
Options to reduce risk and provide for residents to prune trees without Council approval

19/5/22
Item 12.01

Procedure reviews are progressing. Website information and forms have been improved to make pathways clearer for customers. Additional time is required to fully assess operational efficiencies and report on resourcing required to reduce the backlog of tree requests.

DPCE

Jun-22
Sep-22

Nov-22

Report	Reporting Officer	Reporting Cycle	Month	Altered Report Date	Reason for Altered Date
Planning Proposal Assessment Residential Land Development Capacity and Sewerage Issues	18/8/22 Item 14.04		DCU DCPE		Nov-22
Dunbogan Beach Recreational Enhancement Options	21/4/22 Item 12.05	Community engagement anticipated to commence in Aug/Sept with a report back to Council following. 25.08.2022 advised that engagement is still to be completed	GMC	Jul-22 Sep-22	Nov-22
Data on Homelessness in the Local Government Area and Possible Solutions	21/7/22 Item 12.01		DCPE		Nov-22
Delivery of Camden Haven Surf Life Saving Club	21/7/22		DCPE		Dec-22
Implementation of Fly Neighbourly Agreement - 6 month Update	19/5/22 Item 13.01		DBP		Dec-22
Draft Joint Integrated Transport Network Plan	17/3/22 Item 14.01	Commenced the draft plan and working with TfNSW to finalise draft plan including highway corridor and related Council projects.	DCI	May-22 Jul-22	Dec-22
Draft s9.11 Airport Business Park Roads Contribution Plan	20/5/20 Item 13.05	To be considered as part of wider development contribution framework review	DCPE	Dec-20 Jun-21 Oct-21 Jun-22	Dec-22

Report	Date and Item of Resolution	Status	Reporting Officer	Previous Anticipated Date/s for Report	Current Anticipated Date for Report
Policy Review Management of Public Spaces Outlining Success of Method Dealing with these Issues	16/6/22 Item 12.03		GMC		Dec-22
Ferry Operations Vehicle Movements & Vehicles Left on Bank Monitoring	19/5/21 Item 12.03	Councillor Briefing to newly elected Council in early 2022 01 09 2022 “The trial period for amended ferry operations was superseded via resolution in August 2021 to continue indefinitely. A further update on ferry operations and associated data is planned for late 2022 via a briefing and report”.	DCI	Oct-21 Nov-21 Feb-22 Jun-22	Dec-22
PP2014 - 10.1 - Planning Proposal Assessment report - 11 and 33 Mumford Street, Port Macquarie - post public exhibition	17/3/22 Item 14.04	Gateway process commenced 16 May-22. Gateway determination provides for a 10 month timeframe for completion.	DCPE		Dec-22
COVID-19 Recovery and Stimulus Projects Update	18/8/22 Item 13.01		DCPE		Feb-23
Material Public Benefit - Developer Delivered Sewer Works Kendall - completion of works	17/3/22 Item 14.07		DCU		Feb-23

Report	Date and Item of Resolution	Status	Reporting Officer	Previous Anticipated Date/s for Report	Current Anticipated Date for Report
Tendering and purchasing process - Council's commitment and support to local business for previous 12 months	17/3/22 Item 11.20		DBP		Mar-23
Classification as "Operational" Land - 52 John Oxley Drive, Port Macquarie - post exhibition.	20/6/18 Item 14.05	To be incorporated in strategic property portfolio review to be undertaken in 2022/2023	DBP	Mar-20 Nov-20 Mar-21 Apr-21 Jun-21 Sep-21 Feb-22 Jun-22	Jun-23
Implementation of Fly Neighbourly Agreement- 12 month Update	19/5/22 Item 13.01		DBP		Jun-23
Kempsey Shire Council at Cairncross Landfill - Details of Waste Accepted During 2022-2023	18/8/22 Item 16.05		DCU		Aug-23
Biodiversity Certification Assessment and Strategy - Port Macquarie Airport and Surrounding Land - viability and implications of the options for securing the required Blackbutt Tallowwood dry grassy open forest and Koala habitat credits, prior to the clearing that creates the demand for those credits.	10/8/16 Item 12.01		DCPE		2024 (estimate)
Report	Date and Item of Resolution	Status	Reporting Officer	Previous Anticipated Date/s for Report	Current Anticipated Date for Report
Sale of Surplus Land- 178 Nancy Bird Walton Drive, Kew	16/2/22 Item 09.23	Subject to strategic property portfolio review to be undertaken in 2022.	DBP	Dec-22	TBA
Tuffins Lane Sporting Fields - Terms of Agreement	14/12/16 Item 06.02	Awaiting Catholic Parish advice	CEO	Oct-18 Mar-19 Apr-19 Jul-19 Dec-19 Jun-20	TBA
Lots 101 and 102 DP 1244390 Pacific Drive, Port Macquarie - options for operational land	07/3/22 Item 10.01	Subject to strategic property portfolio review to be undertaken in 2022.	DBP		TBA
T-22-51 Water and Sewer Process Membrane Replacement Program - following negotiations.	21/7/22 Item 16.02		DCU		TBA
T-21-27 Supply and Delivery of Water Treatment Chemicals - following negotiations.	21/7/22 Item 16.03		DCU		TBA
Draft MR538 and MR600 Corridor Strategy - Following public exhibition.	19/5/22 Item 14.04		DCI		TBA
Response to Notice of Motion - Southern Breakwall, Port Macquarie.	18/8/22 Item 14.01		DCPE		TBA

Report	Date and Item of Resolution	Status	Reporting Officer	Previous Anticipated Date/s for Report	Current Anticipated Date for Report
Wastewater Treatment Plant Capacities - Finalising Planning Proposals in Port Macquarie/Thrumster Sewerage Scheme Catchment.	18/8/22 Item 14.04		DCU DCPE		TBA
Integrated Transport Plan - Milestone Events.	18/8/22 Item 14.05		DCI		TBA
Endorsement of Membership to Mayor's Sporting Fund Sub-Committee.	18/8/22 Item 11.02		DCPE		TBA

Cyclic Reports

Report	Reporting Officer	Reporting Cycle	Month	Altered Report Date	Reason for Altered Date
Mayoral Discretionary Fund Allocations	CEO	Monthly	Every
Monthly Financial Update	DBP	Monthly	Every (except July)
Investments	DBP	Monthly	Every
Recommendations by the Mayor’s Sporting Fund Sub-Committee	DCPE	Monthly	Every
Opening Lake Cathie (13/01/2022 Item 05.01)	DCPE	Monthly	Every
Legal Fees - Update Report (19/09/18 - Item 09.16)	CEO	Quarterly	Feb, May, Aug, Nov

Report	Reporting Officer		Reporting Cycle	Month		Altered Report Date	Reason for Altered Date
Development Activity and Assessment System Performance	DCPE		Quarterly	Feb, May, Aug, Nov
Community Inclusion Plan - Update of Tasks, Measures and Actions	DCPE		Quarterly	Sep, Dec, Mar, Jun
Operational Plan – Quarterly Progress	DBP	Quarterly			May, Nov (other 2 quarters reported with DP 6 monthly progress report)
Grant Application Status Report (21/08/19 - Item 11.02)	DCPE	Biannual			Feb, Aug
Glasshouse Strategic Plan Update	DBP	Biannual			Feb, Aug
Delivery Program – Six Monthly Progress	DBP	Biannual			Feb, Sep
Update on Site Specific Planning Proposal Requests	DCPE	Biannual			Jun, Dec
Mayoral and Councillor Fees (Setting of)	CEO	Annually			May
Port Macquarie-Hastings Destination Management Plan 2020-2024 (20/05/2020 - Item 12.01)	DCPE	Annually			Jun
Kooloonbung Creek Flying Fox Camp Management Plan - Annual Update (16/06/2021 - Item 12.03)	DCPE	Annually			Jun
Council Policy - Status	CEO	Annually			Jul
UGMS - Annual Progress Report on Implementation and Status of Actions (20/06/18 - Item 12.07)	DCPE	Annually			Jul
Local Preference Policy Outcomes	DBP	Annually			Aug

Report	Reporting Officer		Reporting Cycle	Month	Altered Report Date	Reason for Altered Date
Cultural Plan 2021 - 2025: Implementation and evaluation of actions undertaken 04/08/2021 - Item 10.01)	DCPE		Annually	Aug
Annual Report of the Activities of the Mayor’s Sporting Fund	DCPE		Annually	Sep
Council Meeting Dates	CEO		Annually	Nov
Audit Committee Annual Report	CEO		Annually	Dec		Deferred due to a new chairperson being appointed
Legislative Compliance Register		CEO	Annually	Sep
Koala Recovery Strategy Annual Report (19/09/18 - Item 12.05)		DCPE	Annually	Sep Oct		Postponed until October to include the road strike guidance document which is currently being finalised.
Annual Disclosure of Interest Returns		CEO	Annually	Oct
Professional Development of Councillors (15/09/2021 - Item 09.07)		CEO	Annually	Oct
Council’s Annual Report		DBP	Annually	Nov
Performance of Property Investment Portfolio (20/11/19 - Item 10.17)		DBP	Annually	Nov
Local Strategic Planning Statement (03/11/2021 - Item 12.05)		DCPE	Annually	Nov
Strategic Planning Statement - Implementation of Actions (03/11/2021 - Item 12.05)		DCPE	Annually	Nov
Code of Conduct Complaints Annual Report		CEO	Annually	Dec

Attachments

Nil

Item: 11.03

Subject: Code of Meeting Practice

Presented by: Chief Executive Officer, Dr Clare Allen

Alignment with Delivery Program

1.4.3 Build trust and improve Council’s public reputation through transparency and accountability.

RECOMMENDATION

That Council:

1. Pursuant to section 361(3) of the Local Government Act 1993, place on public exhibition the draft Code of Meeting Practice for a period of not less than of 28 days.

2. Pursuant to section 361(4) of the Local Government Act 1993, accept submissions on the draft Code of Meeting Practice, for a period of not less than 42 days.

3. Note that a further report will be presented at a future meeting of Council, detailing the submissions received from the public and further consideration of Council during the exhibition period.

Executive Summary

A Council, under the Local Government Act 1993 must adopt a Code of Meeting Practice that regulates the conduct of Council and committee meetings.

Council’s draft Code of Meeting Practice has been developed based on the updated Model Code of Meeting Practice that was prescribed 12 November 2021.

Council is proposing modifying a number of the non-mandatory provisions of the code along with the addition of supplementary amendments to the Model Code of Meeting Practice.

It is proposed that the draft Code of Meeting Practice (Attachment 1) be publicly exhibited for 28 days (Local Government Act 1993 section 361(3)) and that Council accept submissions from the public for the required 42-day period (Local Government Act 1993 section 361(4)) before further considering the public submissions at a future Council meeting.

Discussion

A Council, under the Local Government Act 1993 (the Act) must adopt a Code of Meeting Practice that incorporates the regulations made for the purposes of the conduct of Council and committee meetings and may supplement the regulations with provisions that are not inconsistent.

The relevant regulation is the Local Government (General) Regulation 2021 (the regulation).

Council’s current Code of Meeting Practice was last adopted at the 23 June 2022 Extraordinary Meeting of Council.

For clarity, the draft Code applies to Council Meetings and any Council Committees established for which their membership consists solely of (any number of) Councillors. Council currently does not have any “Council Committees” established.

Council Sub-Committees and Working Groups (for which membership consists of members of the public) can elect to adopt the Code of Meeting Practice or a (commonly less formal) alternative process by which to conduct their meetings.

It is proposed to amend the Code of Meeting Practice to improve the efficiency of Council meetings.

The draft Code (Attachment 1) makes the following key changes which are indicated in red text throughout the document:

· Removing the public forum from the Council meeting and conducting it at a separate time. This will allow Councillors adequate time to consider what is said in the public forum before having to make a decision in the Council meeting.

· Removing the option to speak on items not on the agenda as part of a public forum. The public forum is about assisting Councillors to make decisions on matters on the agenda.

· Adding the following words to clause 4.8 “Approval to speak shall be granted on a first in basis with the first 2 applications to speak received being approved (subject to any other conditions) and additional applications not being successful. The CEO may permit additional speakers under exceptional circumstances.”

· Proposed to delete 4.9 and 4.10 as below. These are covered in the addition to clause 4.8 as above.

4.9 If more than the permitted number of speakers apply to speak ‘for’ or ‘against’ any item of business, the Chief Executive Officer or their delegate may request the speakers to nominate from among themselves the persons who are to address the Council on the item of business. If the speakers are not able to agree on whom to nominate to address the Council, the Chief Executive Officer or their delegate is to determine who will address the Council at the public forum.

4.10 If more than the permitted number of speakers apply to speak ‘for’ or ‘against’ any item of business, the Chief Executive Officer or their delegate may, in consultation with the Mayor or the Mayor’s nominated chairperson, increase the number of speakers permitted to speak on an item of business, where they are satisfied that it is necessary to do so to allow the Council to hear a fuller range of views on the relevant item of business.

· Proposed to delete 4.26. Councillors can be emailed directly through their email addresses as provided on Council’s website.

4.26 Members of the public may also make written representations to Councillors regarding matters on the agenda. These representations are required to be received by Council at councilmeeting@pmhc.nsw.gov.au no later than 12 noon the day prior to the meeting. These representations will be circulated to Councillors to assist in their decision making prior to the commencement of the Council meeting.

· Remove 4.25(a) as historically these submissions have been permitted during public forum

4.25 The following submissions may not be made at an open forum:

a. a submission on a proposed or pending planning proposal, development application, application to modify a development consent, application to review a determination or any related matter,

· Add a new clause as 10.22A that states “Where a motion or amendment has been changed with the permission of the mover and seconder, speakers who have already spoken to the motion or amendment shall be provided the opportunity to speak for an additional three (3) minutes to address the change to the motion or amendment only.”

· It is proposed to bring items by exception to the start of the meeting to ensure that they are completed early.

Options

Council has a number of options in determining this matter. Council may resolve to:

· Place this draft Code of Meeting Practice on exhibition for public comment for a further report to come to Council following the exhibition period; or

· Place an amended draft Code of Meeting Practice on exhibition for public comment for a further report to come to Council following the exhibition period; or

· Further consider the draft Code of Meeting Practice prior to placing on public exhibition; or

· Not place the draft Code of Meeting Practice on exhibition and continue to use the current Code of Meeting Practice

Community Engagement and Internal Consultation

Community Engagement

It is proposed that the draft Code of Meeting Practice be publicly exhibited for at least 28 days (Local Government Act 1993 section 361(3)) and that Council accept submissions from the public for the required 42-day period (Local Government Act 1993 section 361(4)).

Certain clauses of the draft Code are mandatory clauses from the Model Code which means that altering, amending or removing such clauses is not permitted. It is planned to communicate this fact throughout the community engagement process, ensuring that no confusion arises and that the engagement is focused on the sections of the draft Code that can be altered or amended (not sourced from mandatory clauses of the model Code).

Internal Consultation

· Mayor and Councillors.

· Executive Team

· Group Manager Governance

Planning and Policy Implications

There are no policy implications at this stage however it is proposed that the draft Code of Meeting Practice replace the current Code of Meeting Practice subject to the consideration of public submissions.

Financial and Economic Implications

There are no financial and economic implications as a result of this report.

Attachments

1 . Draft Code of Meeting Practice

AGENDA Ordinary Council

15/09/2022

Item: 11.09

Subject: Investments - August 2022

Presented by: Business and Performance, Ashley Grummitt

Alignment with Delivery Program

1.5.1 Manage Council’s financial assets and provide accurate, timely and reliable information.

RECOMMENDATION

That Council note the Investment Report for the month of August 2022.

Executive Summary

· Total funds invested as at 24 August 2022 was $420,713,843.

· Interest for the month of August was $581,343.

· The year-to-date investment income of $1,186,465 represents 23% of the total annual investment income budget of $5,173,100.

· Council’s total investment portfolio performance for the financial year to date was 0.17% above the benchmark (1.73% against 1.56%), benchmark being the Bank Bill reference rate as at 24 August 2022.

The following outlines the significant points identified in the attached Monthly Investment Report (Attachment 1), as provided by Council’s investment advisors:

· Council’s portfolio has met compliance requirements and outperformed benchmarks during the month.

· Over the past 12 months, the portfolio has returned 1.56% p.a., strongly outperforming bank bills by 1.24% p.a.

· Markets are now factoring in the possibility of a global recession as early as the second half of 2023. The RBA increased the official cash rate by another 50bp to 1.85% in early August 2022 and is looking to move towards their neutral setting of 2.5% by calendar year-end.

· The biggest risk to Council’s portfolio has been decreasing interest income while interest rates remain low, as opposed to loss of capital, noting that markets are factoring in additional rate increases over the coming months.

· Council’s exposure to institutions that fund fossil fuels is 67% of the total portfolio.

· Port Macquarie-Hasting Council remains amongst the best performing Councils in NSW where deposits are concerned, earning on average, $3m in additional interest income compared to its peers.

Discussion

Council has engaged Imperium Markets to provide both an investment management platform and investment advisory service. This decision was based on the need to provide more rigour and transparency around investment choices and to provide a sound framework to support the need for increased financial sustainability into the future.

The attached investment report and portfolio (Attachment 2) provides detailed information on the performance of Council’s investment portfolio.

Overview

Councils are often large and diverse organisations which have many regulatory and compliance requirements including how to raise revenue, and how that can be spent. For context, Port Macquarie-Hastings Council is a large regional Council with an annual expenditure of approximately $200 million. Whilst every Council has some similarities, they often have characteristics that may set them apart. Port Macquarie-Hastings Council is a large regional Council with high development activity and is also a water authority. These points are relevant in the context of Council reserves / investments. Following is a summary outline of the main areas that have seen an increase in reserves being collected.

Development Activity

This Council has experienced large development growth in recent years and this cycle of activity has seen larger amounts of developer contributions being received during those years. The purpose of these contributions is to fund infrastructure associated with the growth of an area and consequently are for new infrastructure and are future focussed. The funds cannot be spent on existing infrastructure. There are specific contribution plans which dictate which projects can be funded from these funds and many of the projects are not ready for completion yet (or are not yet needed as growth levels do not yet require the infrastructure). To complicate matters, Council’s cannot spend these funds on projects that are not listed in the relevant contribution plans.

Water and Sewer

Port Macquarie-Hastings Council is a water authority. Not every Council is (as separate Water Authorities exist for example, Sydney Water and Hunter Water). The provision of water and sewer services requires large capital investment, with large projects often occurring cyclically and requiring a combination of reserve funds and borrowing to fund these large infrastructure requirements.

Current Investments

Council is required to undertake investments in accordance with section 625 of the Local Government Act 1993. This report provides details of Council’s investments, and certifies that all funds that Council has invested as at 24 August 2022, comply with this Act. All investments have been made in accordance with the Act and Regulations, and Council’s Investment Policy.

As at 24 August 2022, the investments held by Council totalled $420,713,843 and were attributed to the following funds:

General Fund*	192,430,305
Waste Fund	22,781,654
Water Fund	139,180,555
Sewer Fund	64,634,267
Broadwater	1,628,162
Sanctuary Springs	58,900
	420,713,843

*Includes funds collected from development that must be expended in relation to adopted contribution plans. Also includes funds collected for works on the Port Macquarie Town Centre Master Plan.

Whilst the current level of investments remains high, these largely relate to funds which have legal restrictions (for example water and sewer), or for funds held for specific purposes.

These funds may be spent in the shorter or longer term depending on the required timing of future works. The totals will fluctuate dependent on the status of individual projects.

It is noted that there is a variance between the total investments held as per this report, ($420,713,843), and total investments held as per Imperium’s attached monthly report ($420,716,877). This is due to the fact that Council’s accounting policy treatment means that floating rate notes (FRNs) are held at amortised cost, whereas they are included at fair value in Imperium’s report.

In relation to Council’s exposure to financial institutions that fund fossil fuels, the following table provides a summary:

Financial institutions funding fossil fuels	Purchases since 01/07/22 ($)	Purchases since 01/07/22 (%)	Amount invested at 24/08/22 ($)	Amount invested at 24/08/22 (%)
Yes	7,020,000	64%	280,713,843	67%
No	4,000,000	36%	140,000,000	33%
	11,020,000		420,713,843

It is noted that if ICBC is considered to fund fossil fuel industries, the amount invested in the ‘yes’ category would be 83%.

Staff are currently undertaking a broader review in conjunction with Imperium Markets against the information reported via the “marketforces.org.au” website. Commentary on fossil fuel investments is provided by Imperium Markets in the attached Monthly Investment Report (Attachment 1).

The following graph shows total investments on a rolling 12-month basis:

The value of Council’s investments as at 24 August 2022 was $3m higher than

31 July 2022 due to receiving $1.7m in grant funding ($1m being 2022 flood grant), developer contributions of approx. $600k and an increase in rates income in the lead-up to quarterly rates due date of 31^st August.

Options

This is an information report.

Community Engagement and Internal Consultation

Council uses the services of an independent financial advisor, on an ongoing basis with investments. Council obtains regular updates regarding market activities positions from various institutions.

Planning and Policy Implications

There are no planning and policy implications in relation to this report.

Financial and Economic Implications

Benchmark and budget levels have been met on a year to date basis. On an annual basis, if benchmark levels are not reached, then this may result in budget cuts in other areas to fund the shortfall.

Council’s total investment portfolio performance for the financial year to date is 0.17% above the benchmark (1.73% against 1.56%) and year to date income is 23% of the total annual budget.

It should be noted that investment income is noted as a gross amount. Section 97(5) of the Local Government Act 1993 indicates that any security deposit held with Council must be repaid with interest accrued. These security deposits will only relate to bonds held for security to make good damage done to works.

The overall investment income will be adjusted at financial year end by the total interest refunded on repayment of bonds. As Council constantly receives and refunds bonds, it is difficult to accurately determine the quantum of these refunds.

Certification

I hereby certify that the investments listed within this report were made in accordance with Section 625 of the Local Government Act 1993, clause 212 of the Local Government (General) Regulation 2005 and Council’s Investment Policy.

Nicole Spencer

Responsible Accounting Officer

Attachments

1. Port Macquarie-Hastings Council Investment Report - August 2022

2. Port Macquarie-Hastings Council Portfolio Valuation - August 2022

AGENDA Ordinary Council

15/09/2022

Item: 11.12

Subject: Improvement Plan - General Fund Operating Performance

Presented by: Business and Performance, Ashley Grummitt

Alignment with Delivery Program

1.5.1 Manage Council’s financial assets and provide accurate, timely and reliable information.

RECOMMENDATION

That Council:

1. Note the importance of the key financial and asset ratios, and in particular the Operating Performance ratio, as indicators of Council’s long term financial sustainability.

2. Note the Improvement Plan as outlined in this report to address the General Fund operating performance ratio over the coming years.

3. Request the Chief Executive Office provide biannual update reports to Council in February and August each year detailing progress made against the Improvement Plan.

Executive Summary

This report provides an outline of the Improvement Plan proposed to address Council’s financial sustainability, in particular the General Fund operating performance ratio and infrastructure backlog over the coming years.

The Operating Performance ratio measures Council’s achievement of containing its operating expenditure within operating income, and is measured as a percentage “Operating Revenue excluding capital grants and contributions minus Operating Expenses, divided by Operating Revenue excluding capital grants and contributions”.

The benchmark set by the Office of Local Government for this ratio is 0% or greater.

An operating deficit occurs when operating expenses are greater than operating income.

Discussion

At the Extraordinary Council meeting held on 28 April 2022, Council considered a report on the suite of draft Integrated Planning and Reporting documents prior to public exhibition, and resolved as follows:

06.02 DRAFT DELIVERY PROGRAM 2022-2026, DRAFT RESOURCING STRATEGY, DRAFT OPERATIONAL PLAN AND BUDGET 2022-2023

RESOLVED: Roberts/Pinson

That Council:

1. Place the following Draft Integrated Planning and Reporting (IP&R) documents on public exhibition for a period of not less than 28 days:

a. Draft Delivery Program 2022 - 2026

b. Draft Resourcing Strategy 2022 - 2026, with the following components:

i) Long Term Financial Plan

ii) Workforce Management Strategy

iii) Asset Management Strategy

c. Draft Operational Plan 2022 - 2023

d. Draft Fees and Charges 2022 - 2023

e. Draft Revenue Policy 2022 - 2023

f. Draft Rating Maps 2022- 2023.

2. Note that as per the Council Resolution dated 16 February 2022 Item 09.09 Notice of Motion - Rate Freeze, the draft 2022 - 2023 Operational Plan has been prepared with Ordinary and Special Rates retained at the 2021 - 2022 level, and the draft Long Term Financial Plan has been prepared with Ordinary and Special Rates retained at the 2021 - 2022 level for the period 1 July 2022 to 30 June 2025 inclusive.

3. Note that as per the Council Resolution dated 16 February 2022 Item 12.03 Notice of Motion - Town Centre Master Plan, the draft 2022 - 2023 Operational Plan (and the draft Long Term Financial Plan) have been prepared with the removal of the Town Centre Master Plan (TCMP) component from the Port Macquarie CBD business rate sub-category.

4. For the reasons outlined in the body of the report, note that the Chief Executive Officer will prepare an Improvement Plan to address the general fund operating performance ratio over the coming years and will present a report to a future meeting of Council for consideration.

5. Note that a further report will be tabled at the June 2022 meeting of Council detailing the submissions received from the public during the exhibition period.

6. Note the additional funding for projects of strategic importance across the 2022-23 and 2023-24 financial years:

a. Lorne Road $5M

b. Footpath works $3.47M

c. Bridges and Road Resealing Works of $5M

d. Drainage Maintenance and Renewals $5M

e. Parks and Recreation areas maintenance and renewals $2M

f. Tree maintenance $600K

7. Note the strategic use of Council Reserves to deliver additional works.

8. Make provision in the final 2022 - 2026 Delivery Program, 2022 - 2023 Operational Plan and Budget a Contingency allocation of $20M from Reserves and or loan borrowings as appropriate for possible contribution to dollar-for-dollar or co-contribution funding opportunities for significant road, footpath/cycleway, water, sewer or water security projects of strategic importance, for use in collaboration with the State and or Commonwealth Governments, noting that any funds to be allocated, first be the subject of a Report to Council before commitment and or expenditure.

9. Provide as part of the 2022 - 2023 Suite of Documents for approval at the June 2022 Ordinary Council Meeting, a detailed Program of Total Works for the financial year ahead.

CARRIED: 6/3

FOR: Griffiths, Lipovac, Maltman, Pinson, Roberts and Slade

AGAINST: Edwards, Intemann and Sheppard

This report addresses Resolution 4 above, and the requirement for the Chief Executive Officer to prepare an Improvement Plan to address the General Fund operating performance ratio over the coming years and to present a report to a future meeting of Council for consideration.

The benchmark set by the Office of Local Government for this ratio is 0% or greater.

An operating deficit occurs when operating expenses are greater than operating income.

The Long Term Financial Plan adopted by Council at the Extraordinary Council meeting held on 29 June 2022 included the following graph of Council’s operating performance over the next 10 years, forecasting significant General Fund operating deficits.

While Council currently has a strong balance sheet position with strong cash and investment reserves, noting that the majority of these are externally restricted by legislation, it is clear from the above graph that Council will face some financial challenges in the years ahead. In addition, the key asset ratios present some challenges, in particular the asset renewals ratio which impacts the overall infrastructure backlog. We need to focus on generating operating surpluses to ensure that we can continue to meet our community’s expectations and maintain our infrastructure through higher investment in asset maintenance and renewals.

To address this issue, and generate operating surpluses in future years to support the long term financial sustainability of Council and facilitate the required levels of asset maintenance and renewals, a targeted Improvement Plan (see Attachment 1) has been developed. This Plan will include the following key components / reviews:

· Long Term Financial Plan (LTFP)

· Business rating model (including TCMP / CBD business rate)

· Asset Management

· Workforce Management

· Transformation Program

· Technology Improvements (DT Roadmap)

· Service Reviews, including service level, efficiency reviews.

Other improvement initiatives may be added to the Plan in line with the Australian Business Excellence Framework subject to the outcome of the above reviews. Each of the components identified above will contribute in part to improving the efficiency and effectiveness of the delivery of Council services to our community, within the financial resources available.

Long Term Financial Plan

The Long Term Financial Plan (LTFP) is an important part of Council’s strategic planning process. It is a decision making and problem solving tool that is designed to inform and plan for the financial needs and implications arising from Imagine 2050 (our Community Strategic Plan (CSP), Delivery Plan (DP) and Operational Plan (OP). It captures the financial impacts of asset and resource management, as well as service delivery, and covers 10 year projections of revenue, operating expenditure, capital projects and funding sources.

The review of the LTFP aims to ensure that our LTFP tool / model has the functionality and flexibility to support Council’s long term sustainability and financial planning functions in line with industry best practice.

Business rating model (including TCMP / Port Macquarie CBD business rate)

The review of Council’s business rating model has been identified as a priority action by Council (refer Ordinary Council Meeting held on 16 February 2022, and Extraordinary Council Meeting held on 7 March 2022). This component of the Improvement Plan is complementary to the LTFP, and will involve a detailed independent review of Council’s business rating model including the TCMP component of the Port Macquarie CBD business rate, historical TCMP processes and management structures, and will provide recommendations for the funding options and rating structures for future development and maintenance of the Port Macquarie CBD and potentially other defined urban centres across the local government area.

Asset Management

Council owns and manages a broad range of valuable community assets. These assets are valued at over $2.6 billion.

Our asset management practices vary in levels of maturity depending upon the asset class. Recent attention and improvements to our practice means that we are reviewing each of our current asset plans and progressing towards achieving core asset maturity, as defined by the International Infrastructure Management Manual. This work includes reviewing our asset management framework and policies in line with international standards.

The asset management review will provide a critical input to improving Council’s long term financial planning and ensuring that adequate funding is available in future years for the effective maintenance and renewal of our valuable community assets.

Workforce Management

Effective workforce planning is fundamental in meeting the community’s needs now and into the future. Our Workforce Management Strategy outlines our commitment to ensuring we have both the capability and capacity within our workforce to deliver positive outcomes for the organisation and ultimately, for our community.

This component of the Improvement Plan aims to continue to develop and improve our workforce planning capability to support the efficient and effective delivery of services and infrastructure for our community.

Transformation Program

Council has already embarked on an ambitious Transformation Program to ensure we deliver the community's vision to be the most liveable, sustainable, and innovative place in Australia.

The Transformation priorities are: building robust governance, strong leadership, investing in our community infrastructure, and skillful planning for the next seven generations.

This includes a focus on:

· new ways of working

· upgrades to our technology that enhance our customers and employee experience

· updates to our policies and governance frameworks so they’re fit for purpose

· ensuring our staff have a clear focus and direction as part of their work

A key part of the transformation is modernising the way we do key processes, like procurement. Procure 2 Pay (P2P) is a digital solution for our procurement which will revolutionise how we conduct business.

Technology Improvements (DT Roadmap)

The DT Roadmap forms a key component of the Improvement Plan and Transformation Program, and aims to implement a range of technology improvements aligned with business needs to better enable service delivery and better manage data to support effective, data driven, decision making.

Service Reviews

Understanding our community’s expectations around priorities and service levels is a key component of the Integrated Planning & Reporting (IP&R) system. It involves understanding the range of services the community wants, the service standards they expect and the infrastructure that will be required to deliver them.

Undertaking formal service reviews is a fundamental requirement of the IP&R system to encourage continuous improvement in the efficiency and effectiveness of Council’s operations.

Options

This is an information report. It is proposed that the Chief Executive Office provide biannual update reports to Council in February and August each year detailing progress made against the Improvement Plan.

Community Engagement and Internal Consultation

Internal consultation has been undertaken with:

· Chief Executive Officer

· Executive Team

· Executive Manager Transformation

· Group Manager Financial Services

Planning and Policy Implications

There are no planning and policy implications in relation to this report however the components of the Improvement Plan will contribute to improving the maturity of Council’s planning and policy framework, for example asset management, long term financial plan etc.

Financial and Economic Implications

The Improvement Plan will be funded via ongoing budget allocations across a number of areas such as Transformation and Digital Technology. Relevant procurement processes will be followed for the individual components as required. This will include verifying that there is an approved budget / funding source for the work. Should further Council approval be required for these allocations, this approval will be sought through the monthly finance reports.

Attachments

1. General Fund Operating Performance Improvement Plan

AGENDA Ordinary Council

15/09/2022

Item: 11.14

Subject: Policy Review - Asset Capitalisation and Disposal (Excluding Land) Policy - Post Public Exhibition

Presented by: Community Utilities, Jeffery Sharp

Alignment with Delivery Program

1.3.2 Build trust and improve Council's reputation through transparency, good decision making and living Council’s Values.

RECOMMENDATION

That Council:

1. Note the information contained in this report pertaining to the Policies being on public exhibition

2. Note the Asset Capitalisation and Disposal Policy (Excluding Land) is now an operational Policy and will not be presented to Council in future

3. Rescind the Asset Disposal Policy

Executive Summary

At the Ordinary Council Meeting held on 16 June 2022, Council resolved to place the rescindment of the Asset Disposal Policy and the new combined Draft Asset Capitalisation and Disposal (Excluding Land) Policy on public exhibition.

The policies were subsequently placed on public exhibition from Wednesday 29 June to Wednesday 27 July 2022. During the exhibition period, no submissions were received in support or opposition of the proposed rescindment of the Asset Disposal Policy or the new combined Draft Asset Capitalisation and Disposal (Excluding Land) Policy.

Discussion

At the Ordinary Council Meeting held on 16 June 2022, Council resolved as follows:

1. Note the separate Asset Capitalisation and Disposal Policies have been reviewed and combined into one new policy.

2. Note that the draft Asset Capitalisation and Disposal (Excluding Land) Policy will be placed on public exhibition, for a period of not less than 28 days.

3. Place on public exhibition, for a period of not less than 28 days, the intent to rescind the current Council adopted Asset Disposal Policy noting it is proposed to combine it with the updated Asset Capitalisation Policy.

4. Note the Policy excludes the disposal of Council owned land, which will be covered in a separate policy.

5. Note that the implementation of the draft Asset Capitalisation and Disposal (Excluding Land) Policy is operational in nature and will be approved by management.

6. Request the Chief Executive Officer present a report to Council with the outcome of the public exhibition period with regard to proposed rescinding of the Asset Disposal Policy for the consideration of Council.

The Policies were placed on public exhibition period from Wednesday 29 June 2022 to Wednesday 27 July 2022. There were 64 visits to the page on Have Your Say, with nine people downloading a document, however no submissions were received either in support or opposition of either Policy

It is therefore recommended to rescind the Asset Disposal Policy and adopt the combined Asset Capitalisation and Disposal (Excluding Land) Policy as an operational Policy which will be approved by Executive Management.

Options

Council has the option to resolve as recommended or choose not to rescind the Asset Disposal Policy and adopt the combined Asset Capitalisation and Disposal (Excluding Land) Policy as an Operational Policy.

Community Engagement and Internal Consultation

Internal consultation has been undertaken with the following staff:

· Executive Leadership and Senior Leadership Teams

· Strategic Projects Manager

· Asset Officers and Finance Staff

External consultation:

The documents were placed on public exhibition from Wednesday 29 June 2022 to Wednesday 27 July 2022 on Council’s Have Your Say website and no submissions were received. Attachment 5 - Engagement Summary Report.

Planning and Policy Implications

There are no planning and policy implications in relation to this report. The current policies will remain in force until such time as an updated policy is approved.

Once approved the new policy will be an internal operational policy.

Financial and Economic Implications

There are no financial and economic implications in relation to this report.

Attachments

1. Policy - Asset Disposal - adopted 2013 02 20

2. Internal Policy - Asset Capitalisation - adopted Executive Group out-of-session 2015 12 07

3. Final Draft - Policy - Asset Capitalisation and Disposal (Excluding Land) 2022

4. Final Draft - Procedure - Asset Capitalisation and Disposal (Excluding Land) 2022

5 . Document Summary Report Draft Asset Capitalisation and Disposal Policy 2022 07 28

Item: 11.15

Subject: Financial Assistance Grants

Presented by: Business and Performance, Ashley Grummitt

Alignment with Delivery Program

1.5.1 Manage Council’s financial assets and provide accurate, timely and reliable information.

RECOMMENDATION

That Council note the 2022/23 Grant calculations provided by the NSW Local Government Grants Commission for Port Macquarie-Hastings Council in relation to the Financial Assistance Grant program.

Executive Summary

The NSW Local Government Grants Commission in their correspondence dated 16 August 2022 (see Attachment 1) have detailed their Financial Assistance Grants (FAG) calculations for the 2022/23 period for Council, and provide an opportunity for Council to submit a special submission in relation to the 2023/24 grants regarding the distribution, should it deem this appropriate.

The Commission has asked that this correspondence be tabled at a meeting of Council.

Discussion

The attached correspondence details the FAG calculations for the 2022/23 financial year including:

1. The measures used in the calculation of Council’s FAG;

2. Explanation of how the revenue and expenditure allowances are calculated, and used in the FAG determination process; and

3. Background information relating to what each expenditure disability factor recognises, the measures used, their source, the standards (state averages) and weightings.

The current method of allocating resources is based on a sophisticated mechanism of calculating a state standard based on the collective state results and then weighting each Council against this State standard with certain disability factors. Factors which may affect calculations each year include population changes and changes in the standard costs and disability measures, local road and bridge length variations and changes in property values.

Council’s amounts are determined by the Commission based on the relative disadvantages and needs of each Council. This includes the needs of smaller rural Councils, along with those Councils which currently receive the minimum allowance yet have an increasing population base currently above state averages. Excluding minor CPI adjustments, actual amounts received since 2013/14 are as follows:

Financial Assist. Grant (FAG)

2013/14

2014/15

2015/16

2016/17

2017/18

2018/19

2019/20

2020/21 $k

2021/22

Totals

8,844

8,842

8,764

8,575

9,185

9,325

9,585

9,433

12,756*

Movement Since 2013/14

(2)

(80)

(269)

341

481

741

589

3,323

*Includes a higher prepayment amount than in previous years - refer below

The Federal Government paused indexation to the Local Government Financial Assistance Grants (FAG) Program for three years commencing 1 July 2014. This resulted in a reduction of the grant by $269k, between 2013/14 and 2016/17, despite inflationary pressures. Although the freeze was lifted in 2017/18, the cumulative effect of this will continue to impact into the future. It is also noted that the CPI component of the calculation may be reduced going forward given the current economic environment.

The correspondence notes that approximately 75% of the current year allocation was prepaid in 2021/22. Council is required to bring these revenues to account in the year in which they are received as opposed to the year to which they relate. The 2022/23 revenue budget assumes that prepayments will continue. It includes a full year allocation, but in effect this is made up of the second half of the 2022/23 annual allocation and the first half of the 2023/24 annual allocation.

In the last few years, the prepayment has generally been around 50% of the total allocation. Given that 75% of the 2022/23 allocation however has been prepaid this time, this means that more revenue than anticipated will be recognised in the 2021/22 results. Should the Federal Government cease payment in advance, or reduce next year’s prepayment, this will have a significant impact on the monies actually received in 2022/23 and therefore on the operating result for this period. It is noted however that this is a timing issue only and from a cash perspective overall monies received across the 2 years will not be impacted.

The total grant allocated to Council in 2022/23 is $10.47m ($10.22m plus a $250k CPI adjustment on the 2021/22 amount) including the amount paid in advance of $7.73m.

In addition to the notification of the calculations, Council is provided an opportunity to submit a special submission in relation to the 2023/24 allocation. This is to present information on the financial impact of any inherent expenditure disabilities beyond its control that are generally not recognised in the current methodology.

Following previous discussions with the Executive Officer of the Local Government Grants Commission to explore any additional options available in relation to a special submission, Council has been advised that the Commission are unlikely to consider any additional submissions for Port Macquarie-Hastings Council.

On this basis, there is no intention to submit any additional special submissions by the required timeframe of 30 November 2022.

Options

This report is provided for information purposes.

Community Engagement and Internal Consultation

There has been no community engagement as this is an information report.

Planning and Policy Implications

There are no planning and policy implications in relation to this report.

Financial and Economic Implications

The amount budgeted is $10,103,000. The approved allocation of $10,468,461 is more than the budget and hence the adjustment of $365,461 will be reported in the next monthly financial report.

Attachments

1. Correspondence to PMHC from Grants Commission regarding Financial Assistance Grant Payments 21-22

2. Financial Assistance Grants - Appendix A

3. Financial Assistance Grants - Appendix B

4. Financial Assistance Grants - Appendix C

5. Financial Assistance Grants - Appendix D

AGENDA Ordinary Council

15/09/2022

Item: 12.03

Subject: Port Macquarie Aquatic Facility

Presented by: Community, Planning and Environment, Melissa Watkins

Alignment with Delivery Program

2.3.4 Plan, investigate, design and construct open spaces, recreational and community facilities.

RECOMMENDATION

That Council:

1. Note the information contained within the Port Macquarie Aquatic Facility report

2. Request the Chief Executive Officer (CEO) present a further report to Council outlining staging options and impacts to the Business Case

Executive Summary

This report seeks to address the resolution at the April 2022 Ordinary Council Meeting (below) and proposes to progress the detailed business case into the next phase, being staging options for delivery of the Port Macquarie Aquatic Facility.

10.03 PORT MACQUARIE AQUATIC FACILITY

RESOLVED: Roberts/Maltman

That Council:

1. Note the information contained within the Port Macquarie Aquatic Facility report.

2. Endorse the revised design options A, B, C, D to progress to development of a Business Case Report.

3. Request the Chief Executive Officer (CEO) present the Business Case report to the June 2022 Ordinary Council meeting outlining the Capital and Operational impacts / Financial implications for Council.

CARRIED: 6/1

FOR: Lipovac, Maltman, Pinson, Roberts, Sheppard and Slade

AGAINST: Intemann

Discussion

1. Introduction

The Port Macquarie Aquatic Facility project is a key infrastructure project that seeks to replace the current Port Macquarie Olympic Pool facility on Gordon Street with a purpose built modern facility at Macquarie Park, also on Gordon Street. The construction of a new aquatic facility would address the current pools significant age-related infrastructure issues, while also assisting Council in meeting the region’s current and future community health and strategic recreational objectives, noting the region’s rapidly expanding population forecast to reach more than 110,000 by 2041.

2. Background

The Port Macquarie Olympic Pool was opened in 1966, with the addition of the 25m pool coming in the late 1970’s. It has served the community well for over 50 years however, it has come to the end of its functional life due to its poor structural condition, non-compliance with current health and access guidelines, and undersized facilities for its user base. A new facility is needed to meet the current and future needs of the community now and over the next 50 years.

There have been several previous reports exploring the feasibility of a new aquatic facility in Port Macquarie, namely the Port Macquarie Aquatic Facility Feasibility Study (Tregear, 2000), and the Port Macquarie Aquatic Facility Council Report (Council, 2005). To date, however, there has been slow progress in replacing the current pool. More recently in 2019, Council engaged Otium Planning Group to prepare a regional aquatic facilities strategy (Port Macquarie-Hastings Council Aquatics Facility Strategy). This report, which encompasses the Wauchope, Kendall, Laurieton, and Port Macquarie pools, has served as an overarching strategic document to inform the planning of the regions aquatic facilities.

3. Project Progress

Subsequent to the Otium report, the following progress has been made on the Port Macquarie Aquatic Facility project:

Sep 2019

Macquarie Park selected as the preferred site for the new Aquatic Centre in the September 18 Council Meeting out of a total of six considered sites (Macquarie Park, Dixie Park, Findlay Park,

Oxley Oval, Thrumster Sporting Fields, Wayne Richards Park).

Oct 2020

Council engages CO-OP Studios to undertake detailed demand analysis, options assessment, detailed business case assessment, site investigations, concept design and environmental assessments for the new facility.

Apr 2021

In the Ordinary Council Meeting, dated 21 April 2021, Council resolved to: Endorse the Port Macquarie Aquatic Facility as a major strategic infrastructure project and as such, pursue progression of this project as a standalone item and as an urgent priority to seek external funding for the project noting the risk of failure of the existing facility

May 2021

In the Ordinary Council Meeting, dated 19 May 2021, Council were presented with a preferred option for the purpose of exhibiting to the public. This option was primarily informed by the detailed demand analysis and Council’s other project objectives. Council resolved as follows:

That Council:

1. Note the information contained within the Port Macquarie Aquatic Facility report

2. Place the Port Macquarie Aquatic Facility Layout Design presented within this report on Public Exhibition to seek feedback from the community for a minimum of 28 days

3. Request the Chief Executive Officer provide a report to the July 2021 Ordinary Council Meeting outlining community feedback provided during the public exhibition period.

May/June

2021

The preferred option exhibited to the public via the “Have Your Say” forum from 24/05/21 - 21/06/21.

Jul 2021

In the Ordinary Council Meeting, dated 21 June 2022, The Council resolved to allow more time to enable the large number of community submissions to be considered and to subsequently determine a way forward for the project. Council resolved as follows:

That Council:

1. Note the recommendation from the May 2021 Ordinary Council Meeting to provide a report to the July 2021 Ordinary Council Meeting outlining community feedback provided during the public exhibition period.

2. Note the completion of the 28-day consultation period on the 20 June 2021.

3. Note that given the large amount of feedback received from the community in relation to the project there is further review required to be undertaken by staff.

4. Request the Chief Executive Officer present a report to the October 2021 Ordinary Council meeting outlining the community feedback provided during the public exhibition period and the proposed way forward.

Due to the ongoing impact of COVID-19 and delayed council elections towards the end of 2021, the project governance Steering Group (incorporating the Project Team, Project Sponsor, Council Executive Group and the Mayor and Councillors) further recommend to delay the project until a new Council was elected.

Mar 2022

Subsequent to the decision by the project governance Steering Group to delay the project until the new Council have been elected, the original preferred option was developed into four new options (Options A, B, C, & D) that incorporate key elements identified from the community consultation phase. These revised options form the basis of this report, and it is sought that Council endorse these options to progress into the detailed business case phase.

Following completion of the business case, it is intended to seek endorsement of a preferred option to move into the Concept Design/Development Approval Phase. Following completion of this phase, and subject to funding, the detailed design and construction will commence.

April 2022

In the Ordinary Council Meeting, dated 21 April 2022, Council resolved to:

Endorse the revised design options A, B, C, D to progress to development of a Business Case Report.

4. Business Case

Council is required comply with the Office of Local Government Capital Expenditure Guidelines, given the type of project and significant projected expenditure. The previous consultation, assessments, and reporting to date, including the Detailed Business Case Report, will assist Council in fulfilling its obligations under these guidelines.

The Preliminary Detailed Business Case is appended to this report (Attachment 1). A summary of key items detailed in the business case is as follows:

1. The Benefit Cost Ratio (BCR) for Option A, B, C, & D is greater than 1 (between 1.17:1 to 1.24:1), which indicates that in monetary terms, these options are expected to generate a positive net present value.

· Option A presents the best value in monetary terms with a BCR of 1.24:1

· The base case “do nothing” has a BCR of 0.69:1 (“do nothing” means maintaining the existing facility and replacing elements like for like when they reach end of life).

· A significant proportion of the monetary benefit will come from indirect social and health benefits and not from direct revenue, which is why the BCR is positive but the facility will operate at a deficit.

2. The capital cost is estimated to be between $91.8m & $99.6m for the four options, with Option A being the least expensive.

· This estimate is based on a “mid-range” facility in terms of building size, architectural embellishment, quality of finishes, and quality of mechanical systems.

· There have been significant cost increases and labour shortages in recent years which have resulted in the very high capital cost estimates.

3. The facility is estimated to operate at an annual deficit to Council.

· For the purposes of the draft report, Option A is assumed to be the preferred option (TBA) given it presents the best value in monetary terms.

· The operational losses are estimated to commence at approximately $800k/year and gradually reduce over 5 years to approximately $650k/year as memberships grow and programs mature.

· Renewal costs are estimated at 1% of total capital costs (approximately $900k to $1mil per year). These costs will increase inversely with the age of the facility.

4. As part of the business case review, the program space has been reintroduced. This includes the gym and dry fitness component. Whilst not the primary purpose of the project, this component provides a significant proportion of projected revenue and the indirect health/social benefits. Should the gym component be removed, the operational deficit would increase significantly, and the Benefit Cost Ratio (BCR) would likely drop below 1.

5. Next Steps

The Detailed Business Case is currently in draft/preliminary form, and prior to finalising Council will need to determine a preferred option and a funding arrangement for this option. The Office of Local Government Capital Expenditure Guidelines require Council to prepare a Capital Expenditure Review, which among other things, requires Council to demonstrate how the facility capital and ongoing costs will be incorporated into Council’s long term financial plan.

It is noted that within Council’s long term financial plan, there is currently no allocation of reserve funding for the construction, operation, or future renewal costs of the facility. Some contribution funding is allocated (approx. $10m) and it is estimated that grant funding may be secured up to $15m. This leaves a significant shortfall in funding (approx. $65m - $75m) that Council would need to commit to the project from reserves. For this reason, it is proposed to develop staging options for the facility in order to assist in cash flow but minimise the cost of stage one. Alternate layout options will also be explored in an effort to reduce the cost of the facility and facilitate staging. Should funding be available, the facility would still be able to be constructed in its entirety in stage one.

It is noted that whilst staging the facility will reduce the cost of stage 1, this initial cost will still be significant given the facility still needs to provide a level of service at least equal to the existing facility, and given the high costs of establishing the site (utilities, parking, auxiliary buildings and systems, filling etc.). This funding still needs to be allocated to the project within Council’s long term financial plan (LTFP).

The detailed business case report can be finalised following the completion of staging plans, endorsement of a preferred option, and inclusion of the project within the long term financial plan. Following this, Council can notify to the Department, and the project can commence into the design and approvals phase and subsequently the construction and operational phases.

Options

Council has the option to:

1. Adopt the recommendations contained within this report; or

2. Request further information in regards to the Port Macquarie Aquatic Facility project; or

3. Resolve in some other manner.

Planning and Policy Implications

There are a range of planning implications associated with this project, which will be assessed through the development application process. The project will be assessed as a State Significant Infrastructure project by the Joint Regional Planning Panel. Ultimately, the facility will be subject to the statutory approvals process in accordance with the Environmental Planning and Assessment Act 1979.

It is also noted that Council have obligations under The Office of Local Government Capital Expenditure Guidelines. Much of the work done to date has been completed with these guidelines in mind, but it is noted that council is yet to complete a capital expenditure review. Following this, and prior to construction, Council is required to report to the Office of Local Government, and then report quarterly until completion.

Financial and Economic Implications

Council has allocated a funding commitment to undertake the Demand Analysis, Options Assessment, Concept Design, Business Case and prepare the Development Application. The costs to construct, operate, and maintain the facility will be significant and are currently substantially unfunded.

External funding will be a key element in funding the construction of the facility, however this is unlikely to substantially fund the project given the high estimated capital cost. Recent experience from other councils in Australia who have sought state and federal funding for proposed pool and aquatic facility projects indicate that it will be difficult to secure more than $10-15m in combined state and federal grant funding for the project. This reiterates the need for all funding avenues to be explored to ensure the success of the project.

Council will need to consider the costs detailed in the business case report and how these impact Council’s long term financial plan. This is considered to be the major constraint and risk item that will affect the project going forward.

Attachments

1. Preliminary Detailed Business Case

AGENDA Ordinary Council

15/09/2022

Item: 14.02

Subject: Lake Cathie Natural Resource Management Monthly Update August 2022

Presented by: Community, Planning and Environment, Melissa Watkins

Alignment with Delivery Program

4.2.1 Develop and implement coastal, estuary, floodplain, and bushfire management plans.

RECOMMENDATION

That Council note the progress of natural resource management projects/initiatives within the Lake Cathie / Lake Innes / Cathie Creek waterway and the progression of the Coastal Management Program.

Executive Summary

Council is currently involved in a number of projects involved in the management of the Lake Cathie/Lake Innes/Cathie Creek waterway (referred herein as Lake Cathie) and its surrounds. This report addresses Item 7 of the Council resolution from Extraordinary Council Meeting held on 13 January 2022 (included in discussion below) which requests a monthly update report. It provides an update on Lake Cathie/Lake Innes/Cathie Creek waterway natural resource management projects/initiatives and the progression of the Coastal Management Program (CMP) that have occurred since the report presented to the April 2022 Ordinary Council Meeting.

Works currently being undertaken and outlined in this report include:

1. Hydrodynamic Model of Lake Innes / Lake Cathie / Cathie Creek

2. Illaroo Road Coastal Hazard Protection Options Review and Co Design

3. Illaroo Road Stormwater Redirection Project

4. Sensitive Receptors - Catchment Management: Bushfire Affected Coastal Waterways Project

5. Dredging Lower Cathie Creek

6. Coastal Recreational User Needs Analysis

7. Review of the Opening Strategy

8. Invasive Weed Management

9. Development of other CMP Chapters

Discussion

At the Extraordinary Council Meeting on 13 January 2022 Council resolved in part as follows:

That Council:

7. Request the Chief Executive Officer to provide a monthly update report to Council on the progress of items above.

In response to Item 7 of the Extraordinary Council meeting, this monthly report advises Council of the progress undertaken to address the items identified in the abovementioned resolution, the progression of the CMP and address other subsequent Council Resolutions concerning the management of the Lake Cathie/Lake Innes/Cathie Creek waterway.

The following provides an overview of the progress since last month of Council projects and initiatives within the Lake Cathie/Lake Innes/Cathie Creek waterway.

1. Hydrodynamic Model of Lake Innes/Lake Cathie

Royal HaskoningDHV have provided an update on works complete to date as follows:

· Most of the fieldwork program has been carried out. This has included:

o Deployment of water level loggers at four locations (installed since 6 April). Routine inspection of water level instruments and data download.

o Tidal gauging for a spring tide (27 April) and neap tide (6 June).

o Deployment of ADCP current instruments at two locations since early May. The ADCPs were retrieved in mid-June.

o Four rounds of routine monthly water quality sampling and analysis.

· Field measurements are being quality assured and processed for use in the modelling investigations.

· A mosaic Digital Elevation Model of Lake Innes-Lake Cathie was prepared using the latest available hydro survey and bathymetric datasets. RHDHV is also investigating the possibility of obtaining Satellite-Derived Bathymetry (SDB) for the entrance compartment from EOMAP. (https://www.eomap.com/services/sdb-online/).

· Stage 1 model development is underway. An initial tidal hydrodynamic model calibration exercise was carried out using the previous tidal gauging datasets available for the estuary. Field measurements are being processed to calibrate the hydrodynamic model over the next month or so.

· Once the tidal hydrodynamic model is developed, RHDHV will calibrate/validate the morphodynamic model to simulate entrance breakout events. Wave modelling will be carried out as well.

· Progress on catchment modelling (continuous and design event hydrology) has commenced – these models will provide an estimate of runoff volume received by the estuary during rainfall events or small to moderate flood events. The continuous hydrology model will eventually include water quality to provide an estimate of suspended sediments and nutrients (TN and TP) delivered from the catchment to the estuary.

2. Illaroo Road Coastal Hazard Protection Options Review and Co-Design

Rhelm/Bluecoast are currently finalising the Stage 4 Workshop Report.

A Councillor briefing was held on 4 August 2022 to discuss the preliminary findings of the workshop report with Councillors.

In the previous Lake Cathie NRM report it was reported that DPE Principal Coastal Specialist, Phil Watson, advised staff that the Minister was considering a new position in regards to the apportionment of costs for these works that may have an implication on any future funding models and that this advice was likely to be received in the coming weeks.

Subsequently, Council staff have now received correspondence from the Department of Planning and Environment advising that this is no longer the case and to continue under the existing frameworks required under the Coast and Estuary grant program for apportionment of benefit.

Following the Councillor briefing on 4 August 2022 it is intended that the following actions be taken, with dates to be determined:

· Meeting with Decision Makers: Following a request from Co-Design workshop attendees, a meeting with Council decision makers including Executive Staff and Councillors will be organised. The Local Members of Parliament will also be invited to hear the discussion directly. At the meeting, participants will be given an opportunity to share their findings, preferred approach and ask questions relating to process, funding and prioritisation. Council staff will provide a schedule for this meeting in the coming weeks.

· Wider Community Survey: The wider community will have the opportunity to provide feedback on the proposed options via a survey. Along with the survey, we will provide an information package that will include more detailed drawings and visual representations of options, factsheet and/or FAQs. The survey content and format is yet to be finalised.

· Council Report: Following the co-design with directly and indirectly affected residents and the wider community consultation, results will be reported to Council for a decision on a Council adopted pathway.

3. Illaroo Road Stormwater Redirection Project

An Extraordinary Council Meeting was held on 28 April 2022. In the meeting it was resolved:

That Council:

1. Note the findings of the Illaroo Road Stormwater Redirection Project Engagement and that the issue of the Illaroo Road Stormwater Redirection Project was also raised at the Illaroo Road Coastal Hazard Protection Options Review and Co Design Project Community Engagement session held on 27 April 2022.

2. Note the revised cost estimates undertaken in late 2021 for the Illaroo Stormwater Redirection Project amounts to $1,929,000 if this project is to proceed.

3. Request the Chief Executive Officer to submit a request for variation to NSW Department of Planning and Environment (DPE) to fund the shortfall in the current funding allocation under the Coastal and Estuary Implementation Grant.

4. Address the long-term erosion around the two stormwater outlets off Illaroo Road as a component of the Illaroo Road Coastal Hazard Protection Options Review and Co Design.

5. Address the short-term erosion hazard around the southern stormwater outlet off Illaroo Road by using dredged material from lower Cathie Creek to nourish the shoreline around the outlet utilising the existing approved dredging Development Application.

6. Undertake emergency works around the existing stormwater outlet should engineering advice determine if there is any imminent risk to Illaroo Road.

7. Proceed to undertake the Asbestos Remediation Works to the extent that addresses immediate risk and within the available budget of $121,554 as noted in the report.

8. Agree to waive the waste disposal fees (excluding the waste levy) associated with Asbestos Removal on the Illaroo Road embankment.

9. Request the Chief Executive Officer to provide a report to a future meeting of Council on the stormwater issues in the immediate areas surrounding Illaroo Road, including but not limited to Aqua Crescent and Kywong Street.

The DPE Coast and Estuary Grant has been finalised with a variation to amend the scope and funding to works completed to date approved by DPE. Future application to the Coast & Estuary grants stream will be considered to fund the remainder of the project through the CMP process.

Action 5: The dredging and nourishment project is discussed further below in Section 5 of this report.

Action 6: on July 28 Council staff submitted a grant application to the Significant Open Coast Hazard grant stream of the Coast and Estuary Grants to construct coastal protection works primarily to protect Council’s existing stormwater asset, which was observed to develop cracking, triggering the grant process. The grant application was developed with supporting documentation of concept design and costing from coastal engineering consultants Bluecoast Consulting. If successfully funded this protection measure will remediate the damage caused by the erosion around the stormwater outlet and reinstate the profile of coffee rock in the location to provide long term protection to the stormwater assets and the road in this area. The proposed works will coordinate with the planned dredging and nourishment actions, and also be incorporated into the coastal protection option being developed for the coastline along the entire length of Illaroo Road. A determination from DPE Grants is expected within 2 months.

Action 7: The Natural Resource Management team are working with the Infrastructure delivery team to progress the asbestos remediation works, and working with DPE Crown Lands to understand the financial co-contributions available.

4. Sensitive Receptors - Catchment Management: Bushfire Affected Coastal Waterways Project

NSW Soil Conservation Services (SCS) are continuing to finalise their report into the recovery of the Lake Innes/Lake Cathie/Cathie Creek waterway following the 2019/2020 bushfire/drought event. The final report is expected in September 2022.

Aquatic Science and Management are continuing to develop water quality management plans as a component of this grant. These plans are expected to be completed in August 2022.

5. Dredging Lower Cathie Creek

Council’s Natural Resource Management staff were notified on 20 June 2022 that the Crown Lands licence to allow Port Macquarie-Hastings Council to dredge lower Cathie Creek was executed on behalf of the Minister for Lands and Water over the next five years (until May 2027). The terms of the licence (RN 628585) are in accordance with a recently modified Development Application (DA2013/151.2) which now allows Council to dredge material for sand nourishment in response to coastal erosion adjacent to Illaroo Road, as well for recreational amenity every five to ten years.

The trigger to undertake dredging in response to coastal erosion adjacent to Illaroo Road is: If the zone of reduced foundation capacity (ZRFC) encroaches onto the road assuming a storm bite of 75 m3/m, there is 20,000 m³of sand available within the approved dredge footprint and the lake is closed, then the lake can be dredged to nourish the beach.

Council staff completed a survey of the beach profile adjacent to Illaroo Road following the East Coast Low on July 20, and the sand resource in the approved dredge footprint area to confirm current conditions against this trigger. The results show that the dredging trigger has been met at both survey profiles and that the amount of available sand in the approved dredge footprint is 21,010m³.

Once the lake closes all permit conditions will be satisfied, allowing dredging and nourishment to proceed.

Council staff will now commence the procurement process to engage a contractor to undertake the works. Given the expected value of the project, a formal public tender is required in accordance with the PMHC Procurement Policy. Budget for dredging activity at Lake Cathie has been included in the 2022/2023 Operational Plan, however the preliminary estimates of a dredging activity require a Budget Variation Request to cover an estimated $115,000 shortfall. NRM staff have prepared a grant application under the Significant Open Coast Hazards grant stream to provide matched funds and will submit once Council’s funding is confirmed.

6. Coastal Recreational User Needs Analysis

Council staff submitted a funding application on 22 April 2022 to DPE to undertake a Local Government Area (LGA) Coastal Recreational User Needs Analysis. A grant application of $66,667 was made. This grant requires 2:1 funding and requires Council to commit an additional $33,333.

Council is currently awaiting a determination of the grant application before proceeding with procurement.

7. Review of the Opening Strategy

The hydrodynamic model being developed by Royal HaskoningDHV will assess various management options for the Lake Innes/Lake Cathie/Cathie Creek waterway, including the permanent opening.

8. Invasive Weed Management

The PMHC Natural Resource Management team and contractors have undertaken the following invasive weed management works around Lake Cathie over the past month including:

· 14 July - Contractors have controlled approx. 1ha of priority weeds: Ground asparagus, Bitou bush, Lantana, Cassia and Giant bird-of-paradise on the northern side of the lake entrance. A combination of herbicide spraying and hand weeding was used.

· 22 July - Contractors have controlled approx. 2ha of priority weeds: Bitou bush, Ground asparagus, Cassia, Giant bird-of-paradise, Lantana, Cocos palm and Umbrella tree on the northern side of the lake entrance. A combination of herbicide spraying and hand weeding was used.

· 27 July - Contractors have controlled approx. 1ha of priority weeds: Ground asparagus, Lantana, Bamboo, Ginger lily and Crofton weed on the eastern side of Cathie Creek (behind houses on Evans St). Mainly hand weeding and cut and paint methods were used.

9. Development of other CMP Chapters

Although these projects are located outside of the Lake Innes/Lake Cathie/Cathie Creek waterway, the findings of these projects will feed into the CMP.

· Hastings River Estuary Bank and Riparian Assessment

Fruition Environmental are continuing to develop a bank and riparian assessment of Hastings River Estuary to inform future management actions to be incorporated into the Hastings River Estuary CMP.

Initial field assessments have been completed and 5 priority sites selected for further investigation. Council staff attended site with Fruition on 4 August 2022. The priority reaches will have further work done to develop options for protection, enhancement and/or remedial intervention.

· Hydrographic Dilution Study Kooloonbung Creek

The purpose of this is to investigate the impacts of sewage overflows on oyster leases in the lower Hastings River estuary. The scope of works provides a staged approach to improving an understanding of the exposure of Hastings River oyster leases to sewage overflows, and development of a decision supporting matrix to guide authorities in determining aquaculture industry closures following sewage overflow events. University of NSW has been engaged to undertake this work and it is expected that this project will commence July 2022.

Council staff have provided UNSW Water Research Laboratory previous estuary models and datasets to allow the new model to be validated.

· Hydrographic Dilution Study Camden River

The NRM team confirmed a contribution to a further assessment of the Camden River using the same methodology as the Kooloonbung Creek project. This joint project between DPI Fisheries, Council and UNSW WRL will investigate the impacts of sewage overflows and pollutants on oyster leases in the Camden River estuary and provide valuable findings for the Camden Haven CMP chapter.

Options

This report is provided for information.

Community Engagement and Internal Consultation

This report is provided for information only.

Community consultation has been undertaken in some of the abovementioned projects, as mentioned in the discussion section of this report.

Planning and Policy Implications

There are no planning or policy implications in relation to this report. However, the outcomes of the various investigations and activities referenced in this report will guide the content of the Lake Cathie Bonny Hills and Hastings River Estuary Chapter of the Coastal Management Program.

Financial and Economic Implications

A Budget Variation Request is being prepared to fund the projected shortfall in the budget for dredging of Lake Cathie and nourishment of the beach in front of Illaroo Road. Matched funding must be confirmed prior to submission of a grant application.

A funding application was made to DPE Coastal and Estuary Grants Program on 30 June 2022 for additional workshops and visualisation material associated with this project. An application was made for $15,120, assuming a commitment of $7,560 from PMHC. The variation request has not yet been finalised.

Funding currently allocated to the projects outlined in this report are detailed below:

Project	Grant Funding ($)	Council Contribution ($)	Total Estimated Project Cost ($)
Lake Cathie/Lake Innes/Cathie Creek
Hydrodynamic Model	300,000	150,000	450,000
Illaroo Road Coastal Hazard Protection Options	86,835	43,418	130,253
Bushfire Affected Coastal Waterways Program	265,000	30,000	295,000
Illaroo Stormwater Redirection Project including variations for Asbestos Remediation and Aboriginal Cultural Heritage	456,825	456,825	913,650*
SUB TOTAL	1,102,325	677,075	1,779,400
Hastings River Estuary
Hastings River Estuary Bank and Riparian Assessment	76,954 (DPE) 33,000 (DPI-Fisheries)	38,477	148,431
Hydrographic Dilution Study Kooloonbung Creek	70,001	35,000	105,001
SUB TOTAL	179,955	73,477	220,432
TOTAL	1,282,280	750,552	2,032,832

* The latest cost estimate to undertake the Stormwater Redirection project was $1,929,000. Currently Council has $720,000 for the civil works and $121,553 for asbestos remediation around the proposed stormwater outlet - totalling $841,553 (split 1:1).

Attachments

Nil

AGENDA Ordinary Council

15/09/2022

Item: 14.03

Subject: Lake Cathie Natural Resorce Management Monthly Update September 2022

Presented by: Community, Planning and Environment, Melissa Watkins

Alignment with Delivery Program

4.2.1 Develop and implement coastal, estuary, floodplain, and bushfire management plans.

RECOMMENDATION

That Council note the progress of natural resource management projects / initiatives within the Lake Cathie, Lake Innes and Cathie Creek waterway and the progression of the Coastal Management Program.

Executive Summary

Council is currently involved in a number of projects involved in the management of

the Lake Cathie/Lake Innes/Cathie Creek waterway (referred herein as Lake Cathie)

and its surrounds. This report addresses Item 7 of the Council resolution from

Extraordinary Council Meeting held on 13 January 2022 (included in discussion

below) which requests a monthly update report. It provides an update on Lake

Cathie/Lake Innes/Cathie Creek waterway natural resource management

projects/initiatives and the progression of the Coastal Management Program (CMP)

that have occurred since the report presented to the August 2022 Ordinary Council

Meeting (deferred to the September meeting).

Works currently being undertaken and outlined in this report include:

1. Hydrodynamic Model of Lake Innes, Lake Cathie and Cathie Creek

2. Illaroo Road Coastal Hazard Protection Options Review and Co Design

3. Illaroo Road Stormwater Redirection Project

4. Sensitive Receptors - Catchment Management: Bushfire Affected Coastal Waterways Project

5. Dredging Lower Cathie Creek

6. Coastal Recreational User Needs Analysis

7. Review of the Opening Strategy

8. Invasive Weed Management

9. Development of other CMP Chapters

Discussion

At the Extraordinary Council Meeting on 13 January 2022 Council resolved in

part as follows:

That Council:

7. Request the Chief Executive Officer to provide a monthly update report to

Council on the progress of items above.

In response to Item 7 from the Extraordinary Council meeting, this monthly report

advises Council of the progress undertaken to address the items identified in the

abovementioned resolution, the progression of the CMP and address other

subsequent Council Resolutions concerning the management of the Lake

Cathie, Lake Innes and Cathie Creek waterway.

The following provides an overview of the progress since last month of Council

projects and initiatives within the Lake Cathie, Lake Innes and Cathie Creek waterway.

1. Hydrodynamic Model of Lake Innes/Lake Cathie

The fieldwork program associated with the updated model has continued, with the first round of sediment sampling carried out in August. Collected field data is being processed for hydrodynamic model calibration, as well as the development of the catchment models.

2. Illaroo Road Coastal Hazard Protection Options Review and Co-Design

Following a request from Co-Design workshop attendees, a meeting with Council decision makers including Executive Staff, Councillors and the State Member for Port Macquarie has been organised for 6 September at the Lake Cathie Community Hub. At the meeting, participants will be given the opportunity to share their findings of the previous workshops, their preferred approach and ask questions relating to process, funding and prioritisation.

To allow the outcomes of the decision makers meeting to be captured, the report on the coastal hazard protection options for Illaroo Road has been delayed and will be provided for the October Council Meeting.

3. Illaroo Road Stormwater Redirection Project

As mentioned in last month’s update, The DPE Coast and Estuary Grant has been finalised with a variation to amend the scope and funding to works completed to date approved by DPE. A final acquittal report was submitted to DPE on 26 August 2022. Future application to the Coast & Estuary grants stream will be considered to fund the remainder of the project through the CMP process.

Staff are still waiting on a determination from DPE Grants for the grant application submitted on 28 July 2022 under the Significant Open Coast Hazard grant stream of the Coast and Estuary Grants to construct coastal protection works around Council’s existing stormwater assets off Illaroo Road.

Council staff are liaising with DPE Crown Lands to confirm co-contribution to the asbestos remediation portion of the scope of works at Bundella Avenue. Funding of 50% is being sought. Once confirmed staff will proceed to schedule the works.

4. Sensitive Receptors - Catchment Management: Bushfire Affected Coastal Waterways Project

NSW Soil Conservation Services (SCS) are continuing to finalise their report into the

recovery of the Lake Innes, Lake Cathie and Cathie Creek waterway following the

2019/2020 bushfire/drought event. The final report is expected in September 2022.

Aquatic Science and Management are continuing to develop water quality

management plans as a component of this grant. These plans are expected to be

completed later this year.

5. Dredging Lower Cathie Creek

To address coastal erosion along Illaroo Road, staff submitted a grant application under the NSW DPE Government Coastal Estuary Implementation Program on 25 August 2022 to undertake a dredging event of lower Cathie Creek after it was confirmed that the coastal hazard triggers associated with Councils DA had been met. As this proposed action is listed in the certified Lake Cathie Coastal Zone Management Plan, Council is potentially eligible for 1:1 funding. It is estimated that the dredging of lower Cathie Creek and sand nourishment of beach profile adjacent to Illaroo Road will cost ~$470,000. Staff submitted an application for $235,000 from DPE, assuming Council will make a contribution of $235,000 towards the project.

Staff are continuing to develop the planning documentation associated with the procurement process while waiting on the announcement of the grant application.

6. Coastal Recreational User Needs Analysis

No further update from last report.

7. Review of the Opening Strategy

No further update from last report.

8. Invasive Weed Management

Staff and contractors have undertaken the following invasive weed management works around Lake Cathie over the past month including:

· 23 August 2022: Cathie Creek - Eastern side: Further invasive weed control has been undertaken in bushland and the foreshore area off Evans St, Lake Cathie. Weeds in the Asparagus fern family (Asparagus aethiopicus & Asparagus virgatus) were the main targets in a treatment program that included other invasive vines and woody weeds across 0.3ha.

9. Development of other CMP Chapters

Although these projects are located outside of the Lake Innes, Lake Cathie and Cathie Creek waterway, the findings of these projects will feed into the CMP.

· Hastings River Estuary Bank and Riparian Assessment

Fruition Environmental are continuing to develop a bank and riparian

assessment of Hastings River Estuary to inform future management actions

to be incorporated into the Hastings River Estuary CMP.

Initial field assessments have been completed and 5 priority sites selected for

further investigation. Concept plans for restoration works at the priority sites are currently being developed. The assessment is expected to be completed in September.

· Hydrographic Dilution Study Kooloonbung Creek

The University of NSW (UNSW) have been engaged to investigate the impacts of sewage overflows on oyster leases in the lower Hastings River estuary. The scope of works provides a staged approach to improving an understanding of the exposure of

Hastings River oyster leases to sewage overflows, and development of a

decision supporting matrix to guide authorities in determining aquaculture

industry closures following sewage overflow events.

UNSW have commenced the development of modelling based on information provided by Council staff. Fieldwork associated with the project is expected to commence late September early October. This project is expected to be completed by February 2023.

· Hydrographic Dilution Study Camden River

No further update from last report.

As detailed in last month’s report, the NRM team confirmed a contribution to a further assessment of the Camden River using the same methodology as the Kooloonbung Creek project. This joint project between DPI Fisheries, Council and UNSW WRL will investigate the impacts of sewage overflows and pollutants on oyster leases in the Camden River estuary and provide valuable findings for the Camden Haven CMP chapter.

Options

This information is provided for information purposes.

Community Engagement and Internal Consultation

This information is provided for information purposes.

Community consultation has been undertaken in some of the abovementioned

projects, as mentioned in the discussion section of this report.

Planning and Policy Implications

Financial and Economic Implications

Council staff submitted an application for $235,000 from DPE for dredging of Lake Cathie and nourishment of the beach in front of Illaroo Road, this is contingent on Council contribution of $235,000 towards the project. The BVR process has been approved for this matched funding.

Staff submitted an application on 28 July for up to $350,000 from DPE for emergency works at the Southern end of Illaroo Road to provide remediation and enhanced protection of the stormwater asset and road from coastal erosion. If successful Council will contribute 1:1 matched funding.

A funding application was made to DPE Coastal and Estuary Grants Program on 30 June 2022 for additional workshops and visualisation material associated with this project. An application was made for $15,120, assuming a commitment of $7,560 from Council. Council is still awaiting the variation request to be finalised.

Funding currently allocated to the projects outlined in this report are detailed below:

Project	Grant Funding ($)	Council Contribution ($)	Total Estimated Project Cost ($)
Lake Cathie / Lake Innes / Cathie Creek
Hydrodynamic Model	300,000	150,000	450,000
Illaroo Road Coastal Hazard Protection Options	86,835	43,418	130,253
Bushfire Affected Coastal Waterways Program	265,000	30,000	295,000
Illaroo Stormwater Redirection Project including variations for Asbestos Remediation and Aboriginal Cultural Heritage	36,048.50	36,048.50	72,097
SUB TOTAL	687,883.50	259,466.50	947,350
Hastings River Estuary
Hastings River Estuary Bank and Riparian Assessment	76,954 (DPE) 33,000 (DPI-Fisheries)	38,477	148,431
Hydrographic Dilution Study Kooloonbung Creek	70,001	35,000	105,001
SUB TOTAL	179,955	73,477	253,432
TOTAL	867838.50	332,943.50	1,200,782

There are no financial and economic implications in relation to this update report.

Attachments

Nil

AGENDA Ordinary Council

15/09/2022

Item: 14.04

Subject: Urban Growth Management Strategy Update

Presented by: Community, Planning and Environment, Melissa Watkins

Alignment with Delivery Program

4.5.1 Carry out strategic planning to manage population growth and provide for co-ordinated urban development.

RECOMMENDATION

That Council:

1. Note that this item was deferred from the July 2022 Ordinary Council meeting to be considered at the August 2022 Ordinary Council meeting.

2. Note the progress of actions from Council’s Urban Growth Management Strategy as detailed within this report.

3. Endorse the information and associated timeframes contained within this report, in relation to the proposed continued progression of actions as detailed within Council’s Urban Growth Management Strategy.

Executive Summary

The Urban Growth Management Strategy 2017-2036 (UGMS) provides a framework for urban planning in the Port Macquarie-Hastings Local Government Area (LGA), with a focus on key actions in the 5-year period to 2022-2023. The UGMS was adopted by Council in June 2018 and endorsed by the former NSW Department of Planning in November 2018.

The purpose of this report is to provide a status update on the progress of the implementation of the actions as detailed within the UGMS. This report also recommends re-evaluation of some actions based on current identified opportunities, constraints and priorities.

Discussion

At the time of adoption of the UGMS in June 2018, Council resolved to “receive an annual update report in relation to the implementation and status of the Urban Growth Management Strategy actions during preparation of Council’s annual Operational Plans.” The full resolution is shown below:

RESOLVED: Hawkins/Turner

That Council:

1. Note the submissions received and recommended amendments to the draft Urban Growth Management Strategy contained in the attached Consultation Report.

2. Adopt the revised Urban Growth Management Strategy attached to this report.

3. Submit the revised Urban Growth Management Strategy to the Director General of the NSW Department of Planning for approval.

4. Delegate to the General Manager the authority to make minor amendments and corrections to the Strategy during referral to the Department of Planning.

5. That Council receive an annual update report in relation to the implementation and status of the Urban Growth Management Strategy actions during preparation of Council’s annual Operational Plans.

6. That Council amend the revised Urban Growth Management Strategy attached to this report to address an ambiguity and ensure the body of the Strategy is consistent with Key Action #6, as follows: Page 62 be updated to reflect the combination of Fernbank Creek and Sancrox such that the wording is amended as follows: “The priority order for long term investigations around Port Macquarie in terms of land capability and suitability is Fernbank Creek and Sancrox, and then Lake Innes.”

7. Note the resolution from the Ordinary Council Meeting of February 2015 that the General Manager is to provide a report to Council on the Greater Sancrox Area after the Urban Growth Management Strategy is endorsed/adopted by Council.

8. Request that the report be presented at or before the Council Meeting of September 2018 and that the report consider in more detail the timing of investigations and the resourcing requirements to achieve an earlier commencement.

carried: 7/0

For: Alley, Cusato, Hawkins, Intemann, Levido, Pinson and Turner

Against: Nil

This report is intended to provide a progress update for item 5 of the June 2018 Council resolution and demonstrates how Council has proceeded to action the September 2018 resolution in relation to UGMS priorities.

Actions – Status Summary

The UGMS contains 33 Actions for delivery indicatively in the period 2018/19 – 2022/23. The Actions relate to Housing, Economic Development and Making It Happen (i.e. the delivery of essential planning and services) to cater for projected population growth in the Port Macquarie-Hastings region.

A summary of the actions, their current status and the proposed delivery in 2022-2023 are provided in the table below.

Note: Year 1 of the Strategy is 2018-2019. As stated in the UGMS, the timeframes shown are “indicative only and will be confirmed in Council’s annual operational plans.”

Housing Actions
Action		UGMS Year	Status at July 2022	Proposed 2022/23 Delivery
1	Review Local Environmental Plan (LEP) and Development Control Plan (DCP) provisions to promote appropriate housing choice options	1-2	The Draft Port Macquarie-Hastings Local Housing Strategy 2021-2041 (LHS) has been developed in consultation with Council and the community. The LHS has been placed on public exhibition and submissions received are currently being reviewed and summarised. These submissions are intended to be reported to Council in late 2022 to allow Council to consider the submissions received and whether to adopt the LHS. The LHS includes consideration of LEP and DCP provisions to promote appropriate housing choice options.	Delivery of Local Housing Strategy.
2	Review planning for the Wauchope CBD and adjoining mixed use area	3-4	Due to competing priorities, this project has not commenced in 2021/22.	Re-evaluation of this action as part of the upcoming UGMS review and Blueprint investigations.
3	Undertake neighbourhood planning in Kendall	4-5	Due to competing priorities, this project has not commenced in 2021/22.	Re-evaluation of this action as part of the upcoming UGMS review and Blueprint investigations.
4	Review LEP and DCP provisions to promote development of the Yippin Creek Urban Release Area	1-3	Specialist support studies have been progressed and are at varied stages of completeness. Following the preparation of a draft Surface Water Management Strategy, Council Staff met with relevant project representatives on 23 September 2021 to discuss arrangements for access to the site in consideration of potential flooding impacts and potential isolation of future residents within the site in the event of flooding. Following this meeting, general principles for access to the site during flood events were communicated between Council Staff and project representatives, with an intent to resolve/mitigate flooding access constraints. To date, no response in relation to this matter has been received by Council Staff.	Identification of appropriate access to the site in consideration of potential flooding impacts or re-evaluation of this action as part of the upcoming UGMS review and Blueprint investigations.
5	Investigate options for development and review LEP and DCP provisions in the West Lake Cathie Investigation Area	2-3	A planning proposal pre-lodgement meeting for this site was held on 25 January 2022. A planning proposal has not been lodged.	Council Staff to continue liaising with relevant project representatives as applicable in relation to this proposal.
6	Preparation of an Outline Plan (Stage 1 investigations) for the Fernbank Creek and Sancrox potential future growth areas	1-3	The subject Draft Structure Plan (previously referred to as an Outline Plan) has been prepared. At its Ordinary Meeting of 17 March 2021, Council Resolved to place this document on public exhibition for a period of not less than 28 days subject to the issuing of a ‘Gateway Determination’ in relation to the Le Clos Sancrox Planning Proposal and preparation of associated draft infrastructure contributions and finance documentation. Submissions in relation to this public exhibition have been received. These submissions will be summarised and reported to Council, along with the provision of recommendation(s) in relation to the progression of this project.	Delivery of the Fernbank Creek and Sancrox Villages Structure Plan or re-evaluation of this action as part of the upcoming UGMS review and Blueprint investigations.
7	Investigate options for limited rural residential development at Telegraph Point and review LEP and DCP provisions	4-5	Due to competing priorities, this project has not commenced in 2021/22.	Re-evaluation of this action as part of the upcoming UGMS review and Blueprint investigations.
8	Review LEP provisions for small lots around nominated rural villages and the merits of permitting detached dual occupancy with consent in all rural zones	4-5	Due to competing priorities, this project has not commenced in 2021/22 in its entirety. However, a report has been prepared in relation to the facilitation of secondary dwellings in rural zones for consideration during Council’s Ordinary meeting of 21 July 2022.	Consideration and potential implementation of an LEP amendment to facilitate secondary dwellings in rural zones. Re-evaluation of this action as part of the upcoming UGMS review and Blueprint investigations.
9	Monitor rates of subdivision and development in the LGA	1-5	The monitoring of subdivision and development in the LGA is ongoing. Rates of subdivision and development will also be reviewed in detail as part of the upcoming review of the UGMS.	Ongoing.
10	Review LEP and DCP provisions for land at West Lindfield, previously deferred from the Thrumster urban release area	1-2	The commencement of this project was brought forward to 2018/19 by Resolution of Council in September 2018.	Following the subject Council Resolution, Council has contacted Landowners who have indicated an unwillingness to contribute to the planning proposal. Therefore, this project will be deferred until 2022/23 as per previous Council Resolution in relation to the UGMS annual update.
11	Commence Stage 1 investigations and the preparation of an Outline Plan for the West Bonny Hills investigation Area	4-5	Due to competing priorities, this project has not commenced in 2021/22.	Re-evaluation of this action as part of the upcoming UGMS review and Blueprint investigations.

Economic Development Actions
Action		UGMS Year	Status at July 2022	Proposed 2022/23 Delivery
12	Review LEP and DCP provisions for the Port Macquarie CBD	3-4	Superseded by Local Strategic Planning Statement (LSPS) Action 13.5 (Review LEP and DCP provisions for the Port Macquarie CBD to ensure that the CBD continues to be the primary retail and business centre in the Port Macquarie Hastings).	Delivery of review of local environmental plan and development control plan provisions for the Port Macquarie CBD.
13	Council led precinct planning for the proposed Health and Education Precinct	1-3	Strategic planning investigations to support the development of a planning proposal and revised development control and development contributions framework have substantially progressed. Traffic and transport, bushfire, economic analysis, urban design and development control plan procurement packages are currently being progressed.	Completion of initial specialist studies to support precinct strategic planning. Completion of draft Council initiated planning proposal report.
14	Develop a new Destination Management Plan for the Port Macquarie - Hastings	1-2	Endorsed by Council in June 2020.	N / A - Completed.
15	Planning for the development of a Business Park at the Port Macquarie Airport	1	Port Macquarie-Hastings Local Environmental Plan (Amendment No 56) relating to Council’s Airport, Thrumster lands and adjoining private property commenced on 10 September 2020.	N / A - Completed.
16	Planning for the ‘gateway sites’ at the intersection of the Pacific and Oxley Highways in Port Macquarie	1-2	Amendment to the Port Macquarie - Hastings Local Environmental Plan 2011 in relation to a proposed new highway service centre on the south western side of the intersection of the Pacific and Oxley Highways was approved in August 2019. Planning for the north western gateway site is proposed to be undertaken as part of the Fernbank Creek and Sancrox Villages Structure Plan, as detailed within Item 6 above.	Planning for the north western gateway site as part of the progression of the Fernbank Creek and Sancrox Villages Structure Plan.
17	Investigate the capacity of land at the intersections of Ocean Drive with Houston Mitchell Drive for light industrial use and at the intersection of Ocean Drive with Bonny View Drive for light industrial development or for use as a school	1-2	At its Ordinary Meeting of 19 May 2021 Council endorsed the planning proposal in relation to Lot 10 DP 615775 and Lot 6 DP 1210904, corner Houston Mitchell Drive and Ocean Drive and Resolved to take steps in order to give effect to the planning proposal. A planning proposal in relation to land at the intersection of Ocean Drive with Bonny View Drive was lodged on 21 April 2022 and an associated assessment is being undertaken.	Completion of planning proposal assessment in relation to land at the intersection of Ocean Drive with Bonny View Drive.
18	Investigate options for future service industrial land in the Camden Haven	5	Scheduled to commence in 2022/23, as per adopted Strategy.	Scheduled to commence in 2022/23, as per adopted Strategy.
19	Review planning controls for rural and environmental areas in relation to recreation, agri-business and nature-based tourism	3-4	Superseded by Action 15.1 (prepare a Rural Land-Use Strategy with a focus on protecting our agricultural farmland from inappropriate uses) and Action 15.2 (review planning controls and permissible uses in rural zones to facilitate land uses that will support and serve rural industries and encourage tourism) of the LSPS in relation to rural areas. Due to competing priorities, review of planning controls in environmental areas has not commenced.	Rural areas action to be completed by 2022 and 2025 respectively as detailed within the LSPS. Re-evaluation of the environmental areas action as part of the upcoming UGMS review.

Making it Happen Actions
Action		UGMS Year	Status at July 2022	Proposed 2022/23 Delivery
20	Council will review population statistics and growth forecasts annually	1-5	A reoccurring forecast review is proposed to be completed by the end of 2022/23.	A reoccurring forecast review is proposed to be completed by the end of 2022/23.
21	Collaboration with the NSW government to prepare a Regional City Action Plan (RCAP) for Port Macquarie	1-2	The RCAP has been developed by the NSW Government, in collaboration with Council, to help Port Macquarie fulfil its potential as a thriving regional centre and build on the city’s growth, strong employment base, diversified economy and local character.	N / A - The RCAP has been made and finalised.
22	Commence UGMS review to coincide with the next review of the North Coast Regional Plan	4-5	Council Staff have worked in collaboration with the NSW Government in relation to the review of the North Coast Regional Plan. Whilst this draft Plan has not yet been finalised or exhibited, review of the UGMS is anticipated to commence in 2022/23.	Scheduled to commence in 2022/23.
23	Review Major roads contributions plan	1-2	Council has commenced a review of the development contributions framework, including the major roads contributions plan.	Finalisation of a development contributions framework review.
24	Review open space contributions plan	5	Council has commenced a review of the development contributions framework, including the open space contributions plan.	Finalisation of a development contributions framework review.
25	Review the Water and Sewer Development Servicing Plans	2-3	Council has commenced a review of the development contributions framework, including the Water and Sewer Development Servicing Plans.	Finalisation of the review of Water and Sewer Development Servicing Plans.
26	Preparation of a Regional Integrated Transport Strategy	1-2	Council has prepared a draft Regional Integrated Transport Strategy (RITS). This RITS was considered at Council’s Ordinary meeting of 17/3/2022. However, during this meeting Council did not Resolve to proceed through to public exhibition of this document. Rather, it is anticipated that the RITS will be required to align with the future Port Macquarie-Hastings Blueprint, which is yet to be developed.	Public exhibition of a Draft Regional Integrated Transport Strategy, subject to the development of a future Port Macquarie-Hastings Blueprint.
27	Preparation of an Integrated Water Cycle Management Strategy (IWCMS) for the Port Macquarie - Hastings	1-2	In consideration of upcoming changes in the IWCM process requirements (currently under review), Council has opted to not complete the IWCM in the formal structure. However, much of the background work has been completed, and will be used to form a Water Security Plan (expected to be finalised before the end of the calendar year), which will cover the same aspects as the IWCMS. A new IWCMS will be completed once the updated guidelines and regulatory requirements are finalised and implemented.	Water Security Plan expected to be finalised before the end of the 2022. Commencement of the preparation of a new IWCMS once the updated guidelines and regulatory requirements are finalised and implemented.
28	Complete Biodiversity Strategy and implement key actions	1-5	In relation to the implementation of key actions from the Biodiversity Strategy: - The Port Macquarie -Hastings Council specific management actions generated from the Hastings Wild Deer Program have continued to be implemented. - An internal procedure for offsetting koala food trees and hollow bearing tree nesting cavities has been finalised. - The Flying Fox Camp Management Plan has continued to be implemented. - Investigation of engineering opportunities to reduce native fauna road strike continues to be undertaken.	In relation to the implementation of key actions from the Biodiversity Strategy, Council Staff will: - Continue to implement the Port Macquarie - Hastings Council specific management actions generated from the Hastings Wild Deer Program and deliver feral animal control actions where applicable for Koala plans of management. - Continue the development of an internal procedure for Part 5 projects for offsetting impacts to koala habitat, threatened ecological communities and hollow bearing tree nesting cavities. - Continue to implement the Flying Fox Camp management plan. - Deliver actions to reduce native fauna road strike with focus on koala throughout Port Macquarie area where most koala road strikes are recorded. - Undertake weed management and ecological restoration to improve bushland reserves. - Implement educational and communications resources created as per the koala recovery strategy - Undertake biosecurity weed inspections and management of weeds throughout the LGA.
29	Complete strategies in relation to koala populations and implement key actions	1-5	On 12 August 2020 Council resolved not to proceed with finalisation of the Draft Coastal Koala Plan of Management (CKPoM) and to commence a review of the adopted Koala Recovery Strategy. At the Ordinary Council meeting of 17 March 2022 the results of the Koala Recovery Strategy Review were presented in a Report to Council which outlined the following: o Of the 26 actions within the Koala Recovery Strategy, 16 were found to be unachievable due to being a) based on the adoption and ratification of the CKPoM, b) beyond the scope of Council resources or c) outside of Council’s remit. o 7 of the remaining 10 actions have been delivered, 5 through Operational Plan (OP) 2021-2022 including; the Koala Road Strike Report & Guidance document (3 actions), an Education program (on-going action), future Road strike risk addressed during Development Application process (on-going). 2 of the 3 remaining actions have been included in the adopted OP 2022-2023 being; 1) Koala population assessment - budget allocated with proposed project officer pending and; 2) Rezone environmental lands. The third requires Part 5 offsets land acquisition to be presented to Councillors in a brief and Council report.	Key actions proposed to be delivered in the upcoming reporting period (as detailed within the OP) include: a) · OP 2022-2023 OP NRM 12.1 ES 1.1 - Draft Koala Recovery Action Plan to be delivered once State Government agencies provide information relating to Private Native Forestry and relevant mapping. Inclusion of NSW Koala Strategy funding possible for Koala Habitat mapping in the LGA. b) · OP 2022-2023 NRM 21.1 ES 1.1 Council KPoM compliance budget $122K allocated requires Project Officer support to deliver (new role under negotiation). c) · OP 2022-2023 NRM 16.1 ES 2.1 Conservation Zones. · OP 2022-2023 NRM 19.1 Long Term Biodiversity Planning - audit / studies for potential offset sites. · OP 2022-2023 NRM 20.1 ES 1.1 Koala Road Strike project reported and moved into next phase.
30	Develop Community Plans and Local Strategic Planning Statement (LSPS) in consultation with key communities	1-5	Community Plans have been completed and endorsed by Council for 11 communities: Bonny Hills, Comboyne & Byabarra, Lake Cathie, Pappinbarra, Telegraph Point, Camden Haven, Kew/Kendall, Rollands Plains, Hastings Hinterland, Wauchope and Beechwood / Pembrooke. A plan for North Shore is in draft and is intended to be reported to Council in the 2022/23 reporting period. Port Macquarie-Hastings Council adopted its Local Strategic Planning Statement (LSPS) ‘Shaping Our Future 2040’ on 30 September 2020. The LSPS is published on the NSW Planning Portal.	In addition to completing the North Shore plan, Council is intending to work with all communities with endorsed plans on implementing identified actions. Council has also committed to developing Community Masterplans to complement the Community Plans, these are intended to help identify the communities’ top priorities for future community and infrastructure needs to support our growing population. In the 2022/23 Operational Plan, council has committed to the development of two Masterplans to commence this process.
31	Review the Port Macquarie-Hastings Heritage inventory	1-2	Superseded by Action 10.2 of the LSPS (update the Heritage inventory in the Port Macquarie-Hastings LEP 2011).	To commence in 2022.
32	Complete a review of the Port Macquarie-Hastings Development Control Plan	1-2	The Port Macquarie-Hastings Development Control Plan (Amendment 13) has been finalised and commenced on 17 June 2020. A detailed review of the DCP is also likely to be undertaken following the provision of guidance from the NSW Government in relation to potential standardisation of DCPs.	N / A - The Port Macquarie-Hastings Development Control Plan (Amendment 13) has been finalised. Further review of the DCP is likely to be undertaken following the provision of guidance from the NSW Government in relation to potential standardisation of DCPs.
33	Preparation of a Coastal Management Program	2-3	Council has commenced preparation of Coastal Management Program Stage 2 Chapter 1: Lake Innes/Lake Cathie to Rainbow Beach and Stage 2 Chapter 2: Hastings River.	- Fast tracked development of Coastal Management Program Stage 2 Chapter 1: Lake Innes/Lake Cathie to Rainbow Beach. - Continue development of Coastal Management Program Stage 2 Chapter 2: Hastings River. - Commence Costal Management Program Stage 2 Chapter 3: Camden Haven River.

As shown in the table above, there are a range of land use planning actions related to housing, economic development, infrastructure and service delivery that are proposed for implementation in 2022-2023.

The delivery of these actions will generally be coordinated by Council’s Strategy Group, with input from other sections of Council.

The following section of this report provides further detail in relation to some key projects from the above table.

1. UGMS Review

The UGMS is reviewed on a five yearly basis. As such, it will be required to be reviewed in 2022-2023. During this review, the UGMS (or equivalent strategy) is intended to be updated to align with current relevant Council strategies, plans and policies such as the LSPS and the future Blueprint as applicable. The review will also consider any new documentation or updates to relevant NSW Government strategies, plans and policies, such as the North Coast Regional Plan and the Port Macquarie Regional City Action Plan.

2. Local Housing Strategy

The Draft Port Macquarie-Hastings Local Housing Strategy 2021-2041 (LHS) has been developed in consultation with Council and the community.

The LHS was placed on public exhibition for a period of 60 days from Wednesday 14 July to Sunday 12 September 2021. Submissions received in relation to this public exhibition are currently being reviewed and summarised. These submissions are intended to be reported to Council in late 2022 to allow Council to consider the submissions received and whether to adopt the LHS.

A Councillor briefing on the LHS will be undertaken on 11 August 2022, with an industry forum to follow.

3. Contributions Planning

Council’s Contributions Planning Team have continued with the management of the existing contributions system over the 2021/22 period, particularly development assessment, the deferral of contributions for Torrens title lots and voluntary planning agreement (VPA) implementation. This work will continue throughout the 2022/23 period.

In addition to the above, a major focus for Council’s Strategy Team during the 2022-2023 period will be on reviewing Council’s existing Development Contributions Framework with the intent to identify:

· Any aspects of current contributions plans that are outdated or require revision,

· Opportunities to streamline the planning framework, to create a framework that is more easily applied and administered,

· Opportunities for potential improvement to support Council’s infrastructure delivery; and

· Identify any changes likely to be required as a result of the NSW Government’s recent infrastructure contributions reform.

The above review has commenced and its findings, along with a recommended implementation plan, are intended to be reported to Council during the 2022-2023 period.

Options

A large program of strategic and land use planning is proposed in 2022-2023 to deliver a variety of actions in accordance with the UGMS. Some of these actions are required to implement Council’s legislative responsibilities. Others are necessary to plan for coordinated housing, economic development and expected population growth.

This report outlines the current status of these tasks and proposed delivery methodology and timeframes in order to ensure the practical and efficient achievement of tasks associated with the UGMS.

Community Engagement and Internal Consultation

Community engagement and internal consultation has been undertaken in relation specific projects on a case by case basis. Consultation with the NSW Government is also undertaken on an as needs basis in relation to specific projects.

Planning and Policy Implications

The UGMS was adopted by Council in June 2018 and endorsed by the NSW Department of Planning on 2 November 2018. The continued implementation of the UGMS would ensure that Council continues delivery of work in accordance with the current applicable strategic planning framework.

Financial and Economic Implications

The implementation of Council’s strategic planning framework, including the UGMS, is intended to inform the sustainable cultural, economic, environmental and social management of Council’s strategic planning activities.

Attachments

Nil

Item: 14.05

Subject: Urban Growth Management Strategy - Background and Next Steps

Presented by: Community, Planning and Environment, Melissa Watkins

Alignment with Delivery Program

4.5.1 Carry out strategic planning to manage population growth and provide for co-ordinated urban development.

RECOMMENDATION

That Council:

1. Note the three areas of focus for Council as identified in the adopted 4-year Delivery Program namely:

· Setting the foundations for our region’s future by taking a strategic approach to planning, while

· Delivering excellent services to our community and

· Managing our organisation effectively

2. Note the role of the Local Strategic Planning Statement Shaping Our Future 2040 as the principal strategic land use planning document for Council.

3. Note the background to and status of the Urban Growth Management Strategy (2017-2036).

4. Note the program of projects (and associated performance measures) identified as actions within the adopted 2022/23 Operational Plan relating to Strategic Land Use Planning.

5. Note the requirement to review Council’s Local Strategic Planning Statement Shaping Our Future 2040 and Urban Growth Management Strategy to ensure there is alignment with NSW State Planning requirements and directions and also alignment between strategic land use planning strategies and supporting strategies.

Executive Summary

The Urban Growth Management Strategy 2017-2036 (UGMS) provides a framework for urban planning in the Port Macquarie-Hastings Local Government Area (LGA), with a focus on key actions in the 5-year period to 2022/23. The UGMS was adopted by Council in June 2018 and endorsed by the former NSW Department of Planning in November 2018.

At the time of adoption of the UGMS, Council resolved to “receive an annual update report in relation to the implementation and status of the Urban Growth Management Strategy actions during preparation of Council’s annual Operational Plans.”

This annual report was presented to Council at the July 21, 2022 Ordinary Council Meeting. It was resolved at this meeting as follows:

RESOLVED: Sheppard/Edwards

That Council:

1. Defer consideration of this item pending receipt of a Councillor Briefing on the Urban Growth Management Strategy.

2. Determine that the matter be considered further at the August 2022 Council Meeting following receipt of the Councillor Briefing referred to in 1 above.

carried: 7/1

For: Edwards, Griffiths, Intemann, Lipovac, Pinson, Sheppard and Slade

Against: Roberts

The above mentioned report is to be considered by Council as a separate item on this agenda.

This report responds to the above resolution and provides Councillors and the community with the following:

- Background information on the role of the UGMS and its place in the strategic land use planning framework;

- A description of the current UGMS;

- A discussion of the review of Council’s land use planning strategies (including the UGMS).

This report also provided the background to the Councillor Briefing which took place on Thursday 11 August to address Item 1 of the above resolution.

Discussion

Role of the UGMS

The UGMS addresses urban development in the defined area of Port Macquarie-Hastings LGA. A goal of the UGMS is to identify opportunities and provide Council and the community with a framework to help make decisions related to economic development and housing, to meet the future needs of our growing community as well as the social and physical infrastructure required to service and support this growth.

The Strategy uses population projections and identifies the expected demand for new dwellings within our major towns and villages where urban growth is expected to occur. It has a particular focus on Port Macquarie which has been identified by the NSW Government as one of three key centres on the North Coast to accommodate future growth along with Tweed Heads and Coffs Harbour.

Background to the current UGMS

Council’s current UGMS was prepared in 2017 and adopted by Council in June 2018. The UGMS was prepared to align with the goals, directions and actions specified in the North Coast Regional Plan (NCRP) 2036 prepared by the NSW Government and released by the Minister for Planning in March 2017.

The North Coast Regional Plan forms the basis for regional and local planning decisions and Council is required to ensure that local land use management strategies and planning controls reflect the priorities contained in the Regional Plan. Attachment 1 details the strategic planning framework for land use planning and provides strategic context for the UGMS.

It is an intention of the NSW Government that all levels of government, the private sector and communities work together to deliver the NCRP.

The current UGMS (2017-2036) is the first review of the UGMS - the original being prepared by Council in 2010 in response to the requirements of the former regional plan - The Mid North Coast Regional Strategy.

The UGMS has provided a strategic planning framework for all forms of urban land use, including residential, large lot residential and employment lands.

The Strategy was developed with a forward-looking horizon of 20 years, with the intention of accommodating the predicted future needs of our community.

The UGMS was prepared in 2 volumes:

1. Volume 1 provides a summary of the key data including forecast population growth, historic growth and housing supply and identifies proposed short-term actions (to 2023);

2. Volume 2 provides a more detailed discussion regarding urban growth issues and proposed actions to 2036.

The content of Volume 2 is presented in the following Parts:

Part 1 provides and introduction, including the Port Macquarie-Hastings Vision (which was current at the time of adoption of the Strategy): A sustainable high quality of life for all.

Part 2 provides context for the UGMS including key information regarding:

- Planning for the North Coast Region

- A description of our local places

- Demographic statistics and projections (based on 2016 census data) and

- Environmental and natural resource factors

Part 3 of the UGMS provides a planning framework in relation to housing, including an analysis of the housing supply (at the time of preparation of the Strategy) and longer-term growth options.

The stated aim of the UGMS with regard to housing is to provide Housing Choice - now and in the future, and identifies two key aspects of housing in order to achieve that goal:

1. Achieving a better fit between housing types and the changing needs of our community and

2. Establishing residential zoned land for population growth that limits any adverse impact on the environment and other costs to community.

In summary, the Strategy identified a projected demand for 10,000 new dwellings to accommodate the 23,000 new people that were expected in the Port Macquarie-Hastings by 2036. The Strategy concluded that we were generally well-placed to accommodate this projected growth within the existing undeveloped residential areas.

Eleven housing actions were proposed for the period 2017-2022.

Part 4 of the Strategy looks in more detail at the actions needed to plan for employment growth with the aim of achieving a prosperous and diversified economy. An analysis is provided of strategic planning for retail and industrial growth, for key current emerging industry sectors including health, education, tourism, creative industries and aviation.

The Strategy concluded that in relation to retail and business uses, the current centres hierarchy is well-placed to accommodate the forecast growth in retail and commercial demand to 2036. Similarly, the current supply of industrial land is also well-placed to accommodate projected demand to 2036.

Eight economic development actions were proposed for the period 2017-2022.

Part 5 of the Strategy provides a summary of “Making It Happen Actions” that were identified to support the growth of our community relating to strategic planning, supporting services infrastructure (including road, water, sewerage and stormwater), environmental management, community facilities, open space, place making and community engagement.

Fourteen supporting actions were proposed for the period 2017-2022.

Current Status of the UGMS

As with all Council strategies, actions identified to support the objectives of the strategy are considered for inclusion in the development of each annual Operational Plan taking into account the available resourcing and priorities across all of Councils areas of business.

Progress on the delivery of the thirty-three (33) proposed actions identified in the UGMS for the period 2017-2022 as at the date of this report are summarised and the subject of further detail regarding the status of each action provided in the separate report on the UGMS progress included in this agenda which was deferred from the July 2022 Council meeting.

Land Use Planning Operational Plan Actions for 2022/23

The following strategic land use planning actions have been endorsed by Council in the 2022/23 Operational Plan:

This program of work is commencing with the audit of existing and planned capacity of our infrastructure (OP action LUP 03_ L 1.1) to ensure that the any land use development is able to be supported by the appropriate infrastructure.

Review and Update of Council’s Land Use Management Documents

As identified above, both the Port Macquarie-Hastings Local Strategic Planning Statement (LSPS) “Shaping Our Future 2040” and the UGMS are to be reviewed this financial year.

“Shaping Our Future 2040” is the core strategic land-use planning strategy for the Port Macquarie-Hastings Local Government Area and sits at the top of Council’s Strategic Planning Hierarchy along with the Community Strategic Plan Imagine 2050; and the Resourcing Strategy. It outlines the vision for land-use planning in our local area over the next 20 years and sets the direction for our community’s environmental, social and economic land-use needs. The LSPS bridges the space between the Community Strategic Plan and the North Coast Regional Plan and must be responsive to both documents.

The LSPS is a principles-based statement which guides all land-use documents and planning decisions into the future and identifies the planning priorities for the LGA. It guides the character of our centres and neighbourhoods and give direction to the decisions we will make to preserve and enhance the wellbeing of our people, our environment and our lifestyle.

While strategic documents like the UGMS and LSPS are developed with a 20-year horizon, the documents can only reliably provide detailed plans for the short term due to a range of factors including:

- the uncertainty in long term demographic projections;

- changes in assumptions that informed the development of the strategy;

- new directions, policy and guidelines from the NSW Government that need to be incorporated and addressed in strategic work;

- progression in the development of Council’s own strategic work;

- any changes to the direction of the strategy in response to changes in community sentiment, Councillors’ priorities and/or available resourcing.

Shaping Our Future 2040 will be reviewed this financial year to:

· ensure alignment with Council’s new Community Strategic Plan Imagine2050 which was adopted by Council in June of this year, and also the updated North Coast Regional Plan 2041 which is currently on public exhibition and due for publication in November 2022.

· take into account recently released NSW Government guidelines and policies including the consolidated State Environmental Planning Policies.

· reflect strategic planning work that has been completed since the adoption of the LSPS.

· include updated assumptions following on from development of an LGA-wide demographic dashboard and model - OP Item SP 02.1_AHP 3.3) based on 2021 ABS census data.

The requirement for Councils to develop an LSPS was introduced by the NSW State Government post the endorsement of Council’s current UGMS. As a result of this, there is some conflict and duplication between the two documents.

Additionally, following the introduction of the LSPS, NSW Councils have typically moved away from the development of growth strategies to more contemporary and holistic land use management strategies which together with other key thematic strategies such as the Infrastructure Strategy, Regional Integrated Transport Strategy and Housing Strategy address the planning priorities identified in the LSPS.

Following Council’s review of Shaping Our Future and the completion of the Housing and Land Supply Model and Monitoring project and infrastructure audit, Council will develop a land use management strategy which responds to the full scope of the LSPS. This will include the review of the UGMS as an element of a broad-based land use management strategy.

Options

This report is provided for information. Council may choose to either:

1. Resolve according to the recommendation or

2. Seek further information relating to this report.

Community Engagement and Internal Consultation

This report is primarily an information-only report and as such no engagement outside of the Strategic Land Use Planning Team was undertaken.

Planning and Policy Implications

This report identifies the requirement to review Council’s Local Strategic Planning Statement Shaping Our Future 2040 and Urban Growth Management Strategy to ensure there is alignment both externally to NSW State Planning requirements and directions and also internally between Council’s key strategic documents (e.g. Infrastructure Strategy).

Financial and Economic Implications

There are no specific financial and economic implications in relation to this report.

Attachments

1. Attachment 1 - Strategic Land Use Planning Framework

AGENDA Ordinary Council

15/09/2022

Item: 14.08

Subject: Sancrox Employment Land Environmental Lands and Services Planning Agreement - Clause 11.6

Presented by: Community, Planning and Environment, Melissa Watkins

Alignment with Delivery Program

4.5.1 Carry out strategic planning to manage population growth and provide for co-ordinated urban development.

RECOMMENDATION

That Council:

1. In accordance with Voluntary Planning Agreement (VPA) First Deed of Variation Sancrox Employment Land Environmental Lands and Services Planning Agreement dated 16 January 2017 delegate to the Chief Executive Officer authority to make payment to the initial developer the agreed cost of the works outlined in this report less funds collected by Council for that purpose to date as outlined in the VPA.

2. Note that the amount required to be paid to the initial developer is to be funded from Council’s Development Servicing Funds.

Executive Summary

This report relates specifically to the following Planning Agreements and in particular the Sancrox Employment Land Environmental Lands and Services Planning Agreement (the Agreement):

Planning Agreement	Parties	Date	Notes
Sancrox Employment Land & Services Planning Agreement And First Deed of Variation Sancrox Employment Land Environmental Lands and Services Planning Agreement	- Council - Expressway Spares P/L - JJ Dunn & CB Dunn (Dunn)	Original Agreement - 15 July 2011 First Deed of Variation - 16 January 2017	The Agreement was later amended with regard to the dedication of environmental land. The latest version of the VPA is known as the First Deed of Variation
Sancrox Employment Lands and Services McMullen Land Planning Agreement	- Council - McMullen	15 July 2011	Land adjoins the Expressway Spares and Dunn land. The McMullen agreement contains similar provisions to the Expressway Spares & Dunn VPA.
Fernbank Park Planning Agreement	- Council - Fernbank Investments (NSW) Pty Ltd - GR & MP Murcott		Refers to land on the eastern side of the Pacific Highway. The Agreement includes provisions related to the payment of monetary contributions towards the infrastructure referred to in the above agreements - although the % share has not been determined.

Water Supply Work has been undertaken by the initial developer, Expressway Spares. An initial developer Water Supply Work is defined in the Agreement as the person who commences any part of the Development at a time when the construction of the Water Supply Work has not been commenced.

Evidence of the delivery of this work, including approved designs, invoices and approved plans for works undertaken have been submitted by consultant King and Campbell.

Having regard to the information provided and the alternative water supply work arrangements that resulted from the advancement of the Sovereign Hills development and the upgrade to the Pacific Highway, the Water Supply Work Value is confirmed at $495,556.06 as at 29 April 2019.

The cost of this work has been verified by Council.

Sewerage Service Work has been undertaken by the initial developer, Expressway Spares. For the purposes of Clause 11.3, Expressway Spares has constructed the Sewerage Service Work to the satisfaction of Council.

Having regard to the information provided the Sewerage Services Work Value is confirmed at $1,644,319.60 as at 29 April 2019.

The cost of this work has been verified by Council.

The practice at the time of this Planning Agreement was for the proponent (in this case, Expressway Spares) to provide the infrastructure upfront that would benefit the broader area not just their development site. The other developments that benefit from this pay contributions to Council, and the original proponent (Expressway Spares) periodically seeks reimbursement from Council from those paid contributions.

This approach creates a significant accounting and administrative burden on Council and a financial burden on Expressway Spares who have paid for the infrastructure works already and then have to wait for development to occur so that they can seek to be reimbursed.

Accordingly, this report recommends that Council make payments to the initial developer to the agreed cost of the works outlined in this report less funds collected by Council for that purpose to date as outlined in the VPA.

Discussion

Background

In July 2011, Council entered into four Voluntary Planning Agreements under section 93F of the Environmental Planning and Assessment Act 1979 (the EP&A Act) in relation to the Port Macquarie Hastings (Sancrox Employment Lands) Local Environmental Plan (Sancrox Employment Lands LEP). The Sancrox Employment Lands LEP provided for the rezoning of approximately 70 hectares of land for industrial purposes and about 30 hectares for environmental purposes on the western side of the Pacific Highway at Sancrox.

The four voluntary planning agreements are as follows:

· Sancrox Employment Lands and Services Planning Agreement

· Sancrox Employment Lands and Services McMullen Land Planning Agreement

· Sancrox Employment Lands Road Construction Planning Agreement

· Sancrox Employment Land and Quarry Planning Agreement.

The agreements provide for various planning outcomes in relation to the rezoning including:

· construction of water and sewerage infrastructure;

· construction of road works;

· carrying out of specified works by the landowner including establishing and managing environmental land;

· monetary contributions for maintenance of environmental lands;

· dedication of land on which some works will be situated;

· lodgment of security for works; and

· imposition of obligations in relation to development in the vicinity of a quarry.

The planning agreements were exhibited in conjunction with the Structure Plan, Local Environmental Study, Draft LEP and Draft DCP Provisions for the subject land.

This report relates specifically to the following Planning Agreements and in particular the Sancrox Employment Land Environmental Lands and Services Planning Agreement (the Agreement):

Planning Agreement	Parties	Date	Notes
Sancrox Employment Land & Services Planning Agreement And First Deed of Variation Sancrox Employment Land Environmental Lands and Services Planning Agreement	- Council - Expressway Spares P/L - JJ Dunn & CB Dunn (Dunn)	Original Agreement - 15 July 2011 First Deed of Variation - 16 January 2017	The Agreement was later amended with regard to the dedication of environmental land. The latest version of the VPA is known as the First Deed of Variation
Sancrox Employment Lands and Services McMullen Land Planning Agreement	- Council - McMullen	15 July 2011	Land adjoins the Expressway Spares and Dunn land. The McMullen agreement contains similar provisions to the Expressway Spares & Dunn VPA.
Fernbank Park Planning Agreement	- Council - Fernbank Investments (NSW) Pty Ltd - GR & MP Murcott		Refers to land on the eastern side of the Pacific Highway. The Agreement includes provisions related to the payment of monetary contributions towards the infrastructure referred to in the above agreements - although the % share has not been determined.

Water Supply Work

Clause 9.3 of the Agreement details that “The Developer is to construct the Water Supply Work to the reasonable satisfaction of the Council.”

In the Agreement, Water Supply Work means:

The water supply work was undertaken in the following components:

· A 600mm/450mm/300mm watermain was constructed between John Oxley Drive and the Pacific Highway near Partridge Creek as part of the development of Sovereign Hills. Expressway Spares Pty Ltd made a financial contribution of $150,000 towards the cost of construction of the 300mm watermain.

· The 300mm watermain along the eastern side of the Pacific Highway between Partridge Creek and the future alignment of Thrumster Street constructed by Lend Lease in conjunction with the duplication of the Pacific Highway.

· The 300mm watermain along the eastern side of Wambuyn Drive between the future alignment of Thrumster Street and Fernbank Creek Road including connections to road crossings constructed as part of the Sancrox Road Interchange.

Although the Water Supply Work undertaken does not conform to part (a) of the definition and varies from part (b), for the purposes of Clause 9.3, the Developer has constructed, or procured the construction of a watermain, to the reasonable satisfaction of Council that connects the Land to Council’s existing water supply network.

Evidence of the delivery of this work, including approved designs, invoices and approved plans for works undertaken have been submitted by consultant King and Campbell.

The cost of this work has been verified by Council.

Clause 9.6 of the Agreement details that:

Once the Developer has complied with its obligation under clause 9.3, the Council is to pay to the Developer:

9.6.1 any Water Supply Contribution it then holds or later receives,

9.6.2 any Water Supply DSP Contribution it receives, and

9.6.3 any other monetary Development Contributions paid to the Council after the Water Supply Work has been completed in relation to land other than the Land that benefits from the Water Supply Work and which the Council considers, acting reasonably, should be paid to the Developer, but only to the extent to which such payments do not exceed the Water Supply Contribution Reduction.

Note:

“Land” means the Expressway Spares Land and the Dunn Land.

“Water Supply Contribution Reduction” means the cost of the construction of the Water Supply Work determined by Council indexed from the date of determination to the date of payment in accordance with the Consumer Price Index published by the Australian Bureau of Statistics.

Based on the value of the Water Supply Work the Expressway Spares Water Supply Contribution Reduction is $495,556.06.

Sewerage Services Work

Clause 11.3 of the Agreement details that “The Developer is to construct the Sewerage Service Work to the reasonable satisfaction of the Council.”

The subject Sewerage Service Work has been undertaken by the initial developer, Expressway Spares. For the purposes of Clause 11.3, Expressway Spares has constructed the Sewerage Service Work to the reasonable satisfaction of Council.

Having regard to the information provided the Sewerage Services Work Value is confirmed at $1,644,319.60 as at 29 April 2019.

The cost of this work has been verified by Council.

It is important to note a distinction in definitions.

1. Cost of works.
The cost of the works detailed by the Proponent and confirmed by Council as a reasonable claim for the cost of the scope of works and representative of what it would have cost Council to deliver the works.

2. Proponent Claims

This sum represents the confirmed cost of works less the initial developers own contributions sum for their development.

3. The Reimbursable Sum defined by the Voluntary Planning Agreement
This sum may not include every element of the itemised cost schedule, or the Proponent Claim, and will only recognise detailed itemised costs and proportions of those costs defined by the Planning Agreement.

Clause 11.6 of the Agreement details that:

Once the Developer has complied with its obligation under clause 11.3, the Council is to pay to the Developer:

11.6.1 any Sewerage Services Contribution it then holds or later receives, and

11.6.2 any Sewerage Services DSP Contribution it receives,

11.6.3 any other monetary Development Contributions paid to the Council after the Sewerage Services Work has been completed in relation to land other than the Land that benefits from the Sewerage Service Work and which the Council considers, acting reasonably, should be paid to the Developer, but only to the extent to which such payments do not exceed the Sewerage Services Contribution Reduction.

Note:

“Sewerage Services Contribution Reduction” means:

a) The cost of the construction of the sewer pump referred to in paragraph (a) of the Sewerage Service Work determined by Council and indexed from the date of determination to the date of payment in accordance with the Consumer Price Index published by the Australian Bureau of Statistics; and

b) The component of any Sewerage Services Contribution paid to the Council after the Sewerage Service work is completed relating to the Work referred to in paragraphs b) and c) of the definition of the Sewerage Service Work.

For the purposes of Clause 11.6, the value of the Sewerage Services Contribution Reduction is the cost of the sewer pumping station referred to in paragraph (a) of the definition of Sewerage Services Work and the amount of the Sewerage Service Contribution paid to Council by Dunn and McMullen relating to the rising main and gravity sewer main estimated at $1,143,891.14 as at 29 April 2019.

It can be noted that arrangements for the provision of sewer and water supply works under the Agreement also relate to arrangements under other planning agreements, such as the Fernbank Park Planning Agreement. This facilitates the payment of contributions from other developers who benefit from this infrastructure.

In order to progressively administer the Agreement, contributions would be collected by Council from other applicable developments over time prior to a Subdivision Certificate being issued in relation to any part of the land being developed. These contributions would then be paid to the initial developer (Expressways Spares) under the terms of the Agreement.

Current Situation

The following table summarises the current situation regarding the repayment of contributions as required under the Agreement to the Initial Developer (Expressway Spares). The amounts shown below are based on documentation provided to Council by consultant King & Campbell and have not been verified as yet by Council. Please note this represents Proponents Claim and will be reconciled against the Reimbursable Sum defined by the Planning Agreement. All costs are shown below as at 29 April 2019.

Type of Works	Maximum Contribution Reduction Amount	Contributions Collected and requiring payment to Expressway Spares	Remaining Contributions to be repaid to Expressway Spares as they are collected
Sewerage Services Work	$1,143,891.14	$25,049.38	$1,118,841.76
Water Supply Work	$495,556.06	$220,067.67	$275,488.39
Total	$1,639,447.20	$245,117.05	$1,394,330.15

This report details potential options to improve the timeliness of payments to the initial developer (Expressway Spares) and lessen the administrative burden on Council that the progressive collection of funds and associated payments to the initial developer creates.

Options

The following options have been considered in relation to the administration of Sewer Services Work and Water Supply Work associated with the Sancrox Employment Land Environmental Lands and Services Planning Agreement:

Option 1 - Continue to progressively administer collection of funds and payment to the initial developer.

This option would require:

- The funds already collected to be immediately paid to the initial developer.

- The ongoing progressive collection and payment of funds to the initial developer under the Agreement. This would result in transfer of funds to the initial developer only once the funds have been received by Council from other applicable developments.

This option would avoid the need to pay funds upfront from Council’s Development Servicing Funds. However, it would also result in an ongoing burden and liability for Council in receiving funds and administrating their transfer to the initial developer.

Option 2 - Annual progressive payout of credits under the Agreement to the initial developer.

This option would require:

- The funds already collected to be immediately paid to the initial developer

- A single annual payment to the initial developer based on an agreed number of Equivalent Tenements (ETs) or the contributions received by Council (whichever is the greater).

Option 3 - Payout of credits under the Agreement to the initial developer in full.

This option would involve the payment of credits under the Agreement to the initial developer in full. As Council has only collected $245,117.05 for this purpose to date, a shortfall in the order of $1,540,243.30 would be required to be paid from Council’s Development Servicing Funds. However, this option would also remove the ongoing burden and liability for the administration of this component of the Agreement.

A summary of the 3 options and associated matters is provided in the Table below:

	Option 1 - Continue under existing arrangement	Option 2 - Annual payout to Initial Developer	Option 3 - Full payout to the Initial Developer
Payout of already collected contributions to initial developer	Immediate	Immediate	Immediate or as part of subsequent full payout
Administrative burden	Highest	Less than current arrangement as payout to Initial Developer is annual	Least - however as for other options, the collection of contributions still needs to be tracked internally against any future amended DSP until DSP infrastructure contributions are complete
Monetary risk due to slow development of land	Risk lies with Initial Developer	Risk lies with Initial Developer although somewhat lessened as Initial Developer may receive payments in advance of Council’s collection	Risk lies with Council. There is a risk that projected contributions may not be realised and there will be a shortfall or long delay in payments back to Council
Precedent	No exposure or risk to Council	Council may be called upon by other Initial Developers to replicate this arrangement which will draw down on Council funds	Council may be called upon by other Initial Developers to replicate this arrangement which will draw down on Council funds
Changes to VPA Agreements and potential for their further public exhibition	None Required	TBC - some potential for this action to be required	TBC - most potential for this action to be required as payback mechanism is not consistent with the Agreements as signed by the Landowners

Community Engagement and Internal Consultation

The subject Agreement was prepared in accordance with Council’s Planning Agreements Policy, including the undertaking of public notification in accordance with the provisions of the Environmental Planning and Assessment Act 1979.

Planning and Policy Implications

The subject Agreement has been prepared in accordance with Council’s Planning Agreements Policy.

Financial and Economic Implications

The implementation of the recommendations of this report would result in maximum payments (including indexation) to the Initial Developer (Expressway Spares) as at the time of this report of:

· The Sewerage Services Contribution Reduction amount being $1,289,804.29.

· The Water Supply Contribution Reduction amount being: $495,556.06.

Council has collected $25,049.38 in relation to Sewerage Services Work and $220,067.67 in relation to Water Supply Work respectively.

This report recommends the difference between funds collected by Council to date and the amount required to be paid to the initial developer be funded from Council’s Development Servicing Funds.

The above is summarised within the table below based on figures as at the time of preparing this report.

Type of Works	Maximum Contribution Reduction Amount	Contributions Collected	Amount Proposed to be Paid from DSP Fund
Sewerage Services Work	$1,289,804.29	$25,049.38	$1,264,754.91
Water Supply Work	$495,556.06	$220,067.67	$275,488.39
Total	$1,785,360.35	$245,117.05	$1,540,243.30

Attachments

Nil

Status	Q1 Jul-Sep		Q2 Oct-Dec		Q3 Jan- Mar		Q4 Apr-Jun
2019/20 On Track	375	88%	375	88%	375	86%	375	80%
2020/21 On Track	521	94%	527	96%	527	93%	464	86%
2021/22 On Track	430	89%	439	91%	443	83%	453	85%

Community Theme	Total	On Track	Off Track	Overall Delivery
Leadership & Governance	80	75	5	94%
Your Community Life	111	97	14	87%
Your Business & Industry	34	28	6	82%
Your Natural & Built Environment	228	187	41	82%
Total	453	387	66	85%

General Fund*	191,058,135
Waste Fund	22,619,204
Water Fund	138,188,094
Sewer Fund	64,173,378
Broadwater	1,616,552
Sanctuary Springs	58,480
	417,713,843

Original Budget as at 1 July 2022	Balanced	$0
Plus adjustments:
July Review	Shortfall	($102,411)
August Review	Balanced	$0
Forecast Budget Position for 30 June 2023	Shortfall	($102,411)