Agenda of Ordinary Council - Thursday, 15 June 2023

UNCONFIRMED MINUTES

Ordinary Council Meeting

18/05/2023

PRESENT

Members:

Mayor Peta Pinson

Deputy Mayor Rachel Sheppard

Councillor Lauren Edwards

Councillor Lisa Intemann

Councillor Nik Lipovac

Councillor Danielle Maltman

Councillor Adam Roberts

Councillor Josh Slade

Other Attendees:

Chief Executive Officer (Dr Clare Allen)

Director Business and Performance (Keith Hentschke)

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 3.00pm

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

Nil

03 LOCAL GOVERNMENT PRAYER

Pastor Kendell Cobbin from the Port Macquarie Seventh-Day Adventist Church delivered the Local Government Prayer.

Councillor Sheppard left the meeting, the time being 03:03pm.

Councillor Sheppard returned to the meeting, the time being 03:04pm.

04 APOLOGIES

Resolved: Lipovac/Roberts

That the apology received from Councillor Sharon Griffiths be accepted.

carried: 8/0

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

Against: Nil

05 CONFIRMATION OF MINUTES

Resolved: Roberts/Slade

That the Minutes of the Ordinary Council Meeting held on 20 April 2023 be confirmed.

carried: 8/0

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

Against: Nil

06 DISCLOSURES OF INTEREST

Councillor Lipovac declared a non-pecuniary, less than significant interest in Item 10.10 Business Rating Model. The reason being that Councillor Lipovac works for a business which is involved in the local community and therefore they are financial members of Business Port Macquarie and the Greater Port Macquarie Tourism Association and has no family links to any local business in the Hastings Local Government Area or across the Mid North Coast. Councillor Lipovac intends to remain in the meeting, participate and vote in the matter as this perceived conflict will not influence his decision making in the matter.

Councillor Slade declared a non-pecuniary, significant in Item 10.10 Business Rating Model. The reason being immediate family owns property in the Wauchope Central Business District. Councillor Slade intends to take no part in the consideration and voting and be out of sight for consideration of this matter.

Mayor Pinson declared a pecuniary, significant interest in Item 12.01 Notice Of Motion Annual Reporting of Wet and Dry Hire Contractual Arrangements. The reason being that Stabilcorp and Shoulder Master are listed contractors in this matter. As these companies are owned by Mayor Pinson’s husband, Mayor Pinson has a financial interest in these companies. Mayor Pinson intends to take no part in the consideration and voting and be out of sight for consideration of this matter.

Councillor Maltman declared a non-pecuniary, less than significant interest in Item 13.04 Lake Cathie Natural Resource Management Monthly Update. The reason being that Councillor Maltman is a non-financial life member and former President of the community organisation Revive Lake Cathie Incorporated. Councillor Maltman intends to remain in the meeting, participate and vote in the matter as this perceived conflict will not influence her decision making in the matter.

07 MAYORAL MINUTES

Nil.

08 CONFIDENTIAL CORRESPONDENCE TO ORDINARY COUNCIL MEETING

Resolved: Roberts/Lipovac

That Council determine that the attachments to Item Number 10.07 be considered as confidential, in accordance with section 11(3) of the Local Government Act.

carried: 8/0

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

Against: Nil

09 ITEMS TO BE DEALT WITH BY EXCEPTION

Resolved: Slade/Maltman

That Items 10.01, 10.03, 10.04, 10.05, 10.07, 10.08, 10.09, 10.12, 11.01, 11.03, 11.04 and 13.02 be considered as a block resolution.

carried: 8/0

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

Against: Nil

Resolved: Sheppard/Lipovac

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

carried: 8/0

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

Against: Nil

10.01 Mayoral Discretionary Fund Allocations - 6 April to 3 May 2023

BLOCK RESOLVED: Sheppard/ Lipovac

That Council note the Mayoral Discretionary Fund allocations for the period 6 April to 3 May 2023 inclusive.

10.03 Status of Reports From Council Resolutions

BLOCK RESOLVED: Sheppard/ Lipovac

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

10.04 2023-2024 Councillor and Mayoral Fees

BLOCK RESOLVED: Sheppard/ Lipovac

That, in relation to Councillor remuneration for the 2023-2024 financial year, Council:

1. Pursuant to the provisions of section 248(2) of the Local Government Act 1993, Council set the annual fee payable to a Councillor for the financial year commencing 1 July 2023 to be $26,070.

2. Pursuant to the provisions of section 249(3) of the Local Government Act 1993, Council set the annual fee payable to the Mayor for the financial year commencing 1 July 2023 to be $90,460 (this amount includes the fee payable to a Councillor).

3. Make superannuation contribution payments for Councillors, in addition to the annual fees, with the amount of the payment to be the amount the Council would have been required to contribute under the Commonwealth Superannuation Guarantee (Administration) Act 1992 as superannuation if the Councillors were employees of the Council.

4. Note that individual Councillors may opt out of receiving superannuation contribution payments or opt to receive reduced payments.

10.05 Legal Fees

BLOCK RESOLVED: Sheppard/ Lipovac

That Council note the information in the Legal Fees report.

10.07 Quarterly Budget Review Statement - March 2023

BLOCK RESOLVED: Sheppard/ Lipovac

That Council note the Quarterly Budget Review Statement for the March 2023 Quarter.

10.08 Monthly Budget Review - April 2023

BLOCK RESOLVED: Sheppard/ Lipovac

That Council:

1. Adopt the adjustments in the “April 2023 Adjustments” section of the Monthly Budget Review – April 2023 report and associated attachment.

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

10.09 Investments and Loans - April 2023

BLOCK RESOLVED: Sheppard/ Lipovac

That Council note the Investment and Loans Report for April 2023.

10.12 Development Activity And Assessment System Performance

BLOCK RESOLVED: Sheppard/ Lipovac

That Council:

1. Note the Development Activity and Assessment System Performance report for the third quarter of 2022-2023.

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

11.01 Recommended Items from the April 2023 Meeting of the Port Macquarie-Hastings Sporting Fund

BLOCK RESOLVED: Sheppard/ Lipovac

That Council note the applications to Port Macquarie Hastings Sporting Fund considered at the April 2023 committee meeting and endorse payments from the Fund as follows:

1. Cruz Tate-Whalley - $500 for Tokyo International Youth Football

2. Nate Castelli - $750 for Australian Little Athletics Championships

11.03 Post Exhibition Report- Draft Parking Policy and Parking Management Plan 2023

BLOCK RESOLVED: Sheppard/ Lipovac

That Council:

1. Note the Information in the Draft Parking Policy 2023 & Draft Parking Management Plan 2023 Community Engagement Report.

2. Note the responses to feedback themes and associated updates to the Draft Parking Policy 2023 & Draft Parking Management Plan 2023.

3. Thank the community for their feedback.

4. Adopt the Draft Parking Policy 2023 & Draft Parking Management Plan 2023.

11.04 Classification of Council Land - Maize Parkway Thrumster

BLOCK RESOLVED: Sheppard/ Lipovac

That Council:

1. Note the information in this report for two lots on Maize Parkway to be considered for classification.

2. Pursuant to Section 34 of the Local Government Act 1993 commence the process to classify Lot 290 DP 1281501 Maize Parkway, Thrumster as operational land by placing on public exhibition for a minimum of 28 days with the proposed resolution, “It is intended to classify Lot 290 DP 1281501 Maize Parkway, Thrumster as operational land”.

3. Note that a further report will be tabled at a future Council meeting detailing any submissions received during the exhibition period for Lot 290 DP 1281501.

4. Note that Lot 70 DP 1274051 Maize Parkway, Thrumster was transferred to Council in January 2023 and the classification of Lot 70 DP 1274051 Maize Parkway, Thrumster has defaulted to Community Land.

13.02 Classification of Council Land - Carlie Jane Drive Thrumster

BLOCK RESOLVED: Sheppard/ Lipovac

That Council:

1. Pursuant to Section 34 of the Local Government Act 1993 commence the process to classify Lot 383 DP 1241368 Carlie Jane Drive Thrumster as operational land by placing on public exhibition for a minimum of 28 days with the proposed resolution, “It is intended to classify Lot 383 DP 1241368 Carlie Jane Drive Thrumster as operational land”.

2. Note that a further report will be tabled at a future Council meeting following exhibition detailing any submissions received during the exhibition period.

Item 10.01 Mayoral Discretionary Fund Allocations 6 April to 3 May 2023, has been addressed previously within the meeting

10.02 Port Macquarie-Hastings Blueprint - Post Community Consultation

MOTION: Roberts/Maltman

That Council:

1. Note the community feedback contained in the Future Strategies Engagement report and the Part A - Blueprint Summary Document

2. Determine to adopt the draft Blueprint for Generational Equity subject to the changes identified in the table included in Attachment 2 arising from the feedback received from community consultation

3. Thank the community for their feedback and advise them of the outcome of Council’s determination.

equal: 4/4

For: Maltman, Pinson, Roberts and Slade

Against: Edwards, Intemann, Lipovac and Sheppard

CASTING VOTE: For

CARRIED

Item 10.03 Status of Reports From Council Resolutions, has been addressed previously within the meeting

Item 10.04 2023-2024 Councillor and Mayoral Fees, has been addressed previously within the meeting

Item 10.05 Legal Fees, has been addressed previously within the meeting

10.06 2022-2023 Operational Plan - Quarterly Progress Report as at 31 March 2023

MOTION: Sheppard/Edwards

That Council:

1. Note the 2022-2023 Operational Plan Quarterly Progress Report as at 31 March 2023.

2. Determine that the actions listed as cancelled/deferred in this report be noted and the 2022-2023 Operational Plan updated.

3. Note that actions in the Operational Plan that have previously been endorsed by Council to be cancelled or deferred to a future financial year, are currently reported to Council as ‘progressing as scheduled’ in the Operational Plan Quarterly Progress Report

4. Request the Chief Executive Officer to consider an alternative way of reporting the progress status of cancelled and deferred items.

carried: 8/0

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

Against: Nil

Item 10.07 Quarterly Budget Review Statement March 2023, has been addressed previously within the meeting

Item 10.08 Monthly Budget Review April 2023, has been addressed previously within the meeting

Item 10.09 Investments and Loans April 2023, has been addressed previously within the meeting

10.10 Business Rating Model

Councillor Lipovac declared a non-pecuniary, less than significant interest in this item. The reason being that Councillor Lipovac works for a business which is involved in the local community and therefore they are financial members of Business Port Macquarie and the Greater Port Macquarie Tourism Association and he has no family links to any local business in the Hastings Local Government Area or across the Mid North Coast. Councillor Lipovac remained in the meeting, participated and voted in the matter as this perceived conflict would not influence his decision making in the matter.

Councillor Slade declared a non-pecuniary, significant in Item 10.10 Business Rating Model. The reason being immediate family owns property in the Wauchope Central Business District. Councillor Slade took no part in the consideration or voting and was out of sight for consideration of this matter.

RESOLVED: Intemann/Sheppard

That Council:

1. Endorse the communications plan outlined in this report to address the stakeholder concerns identified in the Business Rating Model - Independent Review report in relation to transparency, access to information and governance regarding the Town Centre Master Plan (TCMP) component of the Port Macquarie CBD ordinary business rate.

2. Defer the assessment of a possible governance structure for the establishment and operation of a Working Group or Sub- Committee pending the future development and / or reviews of the Port Macquarie, Wauchope and Laurieton town centre master plans, and associated funding models, with such considerations to be developed in consultation with stakeholders and the community.

carried: 7/0

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

Against: Nil

10.11 Payment of Water Fund and Sewer Fund Dividend for the Year 2021-2022 - Allocation of Funds

RESOLVED: Sheppard/ Roberts

That Council:

1. Note that Council has been successful in its application to the NSW Government for approval to pay:

a) a dividend of $954,315 to the General Fund from the surplus in Water Supply Operations for the 2021-2022 financial year; and

b) a dividend of $910,818 to the General Fund from the surplus in the Sewerage Fund for the 2021-2022 financial year.

2. Note that Council has previously authorised the payment of $207,237, in total, for tax equivalents to the General Fund from the Water Supply Operations and Sewerage Fund for the 2021-2022 financial year, providing total funding of $2,072,370 that is available for allocation.

3. Approve the allocation of $1,036,185 to a new Strategic Risk Reserve.

4. Note that the funding in the Strategic Risk Reserve will be allocated to specific projects based on the Risk Register, once a risk rating criteria is finalised, and that Council approval will be sought for these specific projects through the Monthly Budget Review report.

5. Approve the allocation of $1,036,185 to the Business Improvements Initiatives Reserve to fund initiatives under the Council adopted Improvement Plan.

6. Note that Council approval for the allocation of funding from the Business Improvements Initiatives Reserve to specific Improvement Plan Initiatives will be sought through the Monthly Budget Review report.

carried: 8/0

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

Against: Nil

Item 10.12 Development Activity And Assessment System Performance, has been addressed previously within the meeting

Item 11.01 Recommended Items from the April 2023 Meeting of the Port Macquarie-Hastings Sporting Fund, has been addressed previously within the meeting

11.02 Port Macquarie-Hastings Sports Council

MOTION: Intemann/Lipovac

That Council:

1. Endorse the draft Terms of Reference for the Port Macquarie-Hastings Sports Council.

2. Request the Chief Executive Officer to:

a) Seek Expressions of Interest for membership of the Council, and also invite those who previously expressed an interest to resubmit their application, and

b) Seek Councillor interest in membership of the Council.

AMENDMENT: Slade/Roberts

That Council endorse the draft Terms of Reference for the Port Macquarie-Hastings Sports Council.

equal: 4/4

For: Maltman, Pinson, Roberts and Slade

Against: Edwards, Intemann, Lipovac and Sheppard

CASTING VOTE: For

CARRIED

The amendment on being put was carried.

The amendment then became the motion and on being put was carried

Resolved: Slade/Roberts

That Council endorse the draft Terms of Reference for the Port Macquarie-Hastings Sports Council.

carried: 8/0

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

Against: Nil

Item 11.03 Post Exhibition Report- Draft Parking Policy and Parking Management Plan 2023, has been addressed previously within the meeting

Item 11.04 Classification of Council Land - Maize Parkway Thrumster, has been addressed previously within the meeting

Mayor Pinson left the meeting, the time being 03:56pm.

The Mayor vacated the Chair and the Deputy Mayor assumed the Chair.

12.01 Notice of Motion - Annual Reporting of Wet and Dry Hire Contractual Arrangements

Mayor Pinson declared a pecuniary, significant interest in Item 12.01 Notice Of Motion Annual Reporting of Wet and Dry Hire Contractual Arrangements. The reason being that Stabilcorp and Shoulder Master are listed contractors in this matter. As these companies are owned by Mayor Pinson’s husband, Mayor Pinson has a financial interest in these companies. Mayor Pinson left the meeting and took no part in the consideration or voting and was out of sight for consideration of this matter.

MOTION: Lipovac/Intemann

That Council maintain a high level of transparency, integrity and accountability, by informing Councillors of annual expenditure relating to the Wet and Dry Plant Hire contractual arrangement by:

1. Providing a confidential report at the end of each financial year on the total value of contracts for each individual contractor appointed to the Wet and Dry Plant Hire contractual arrangement.

2. Presenting the confidential report to the ordinary meeting of Council held in September each year.

AMENDMENT: Intemann/ Edwards

That the Chief Executive Officer be requested to conduct a workshop by October 2023 regarding the appointment and management of procurement Panels.

carried: 6/1

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

Against: Lipovac

The amendment on being put was carried.

The amendment then became the motion.

Adjourn meeting

RESOLVED: Sheppard/Slade

The Ordinary Council Meeting adjourned at 4.24pm for a 5 minute adjournment.

carried: 8/0

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

Against: Nil

Resume meeting

The Ordinary Council Meeting resumed at 4.29pm

The motion and on being put was carried.

RESOLVED: Intemann/Edwards

That the Chief Executive Officer be requested to conduct a workshop by October 2023 regarding the appointment and management of procurement Panels.

carried: 7/0

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

Against: Nil

Mayor Pinson returned to the meeting, the time being 04:31pm.

The Deputy Mayor vacated the Chair and the Mayor resumed the Chair.

13.01 DA2022 - 774.1 48 Lot Industrial Subdivision and Associated Infrastructure Including Clause 4.6 Variation to Clause 4.1 (Minimum Subdivision Lot Size) of the Port Macquarie-Hastings Local Environmental Plan 2011, Lot 36 DP 1292179, Waapangal Road, Thrumster

Resolved: Intemann/Roberts

That DA2022 - 774.1 for a 48 lot Industrial Subdivision and Associated Infrastructure including a Clause 4.6 variation to Clause 4.1 (Minimum Subdivision Lot Size) of the Port Macquarie-Hastings Local Environmental Plan 2011 at Lot 36 DP 1292179, Waapangal Road, Thrumster, be determined by granting consent subject to the recommended conditions.

carried: 8/0

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

Against: Nil

Item 13.02 Classification of Council Land - Carlie Jane Drive Thrumster, has been addressed previously within the meeting

Councillor Sheppard left the meeting, the time being 04:43pm.

Councillor Sheppard returned to the meeting, the time being 04:46pm.

13.03 Hastings River Drive / Aston Street Pedestrian Crossing, Port Macquarie

RESOLVED: Pinson/Lipovac

That Council:

1. Note the additional immediate and short-term measures that have been established or will be put in place to improve pedestrian safety on Hastings River Drive near Aston Street, Port Macquarie.

2. Note that funding support is being sought for the implementation of these immediate and short-term measures as outlined within the report.

3. Note that any required allocation by Council for the additional immediate and short-term measures will be funded through operational funding within the current Operational Plan and 2023-2024 Operational Plan budgets.

4. Progress with design, investigation, estimation of cost and approval via a Works Authorisation Deed with Transport for NSW for the signalisation of the pedestrian crossing.

5. Include funding to progress part 4 of the recommendation within the 2023-2024 Operational Plan.

6. Seek funding support for the signalisation of the crossing from the NSW and Australian Governments as outlined within the report.

7. Receive a further report with regard to the funding of construction work to signalise the pedestrian crossing should Council be required to contribute to this cost.

8. Note that progressing with the signalisation project shall require resourcing allocation and review of planned actions and projects within the 2023-2024 Operational Plan.

carried: 8/0

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

Against: Nil

13.04 Lake Cathie Natural Resource Management Monthly Update Report

Councillor Maltman declared a non-pecuniary, less than significant interest in this item. The reason being that Councillor Maltman is a non-financial life member and former President of the community organisation Revive Lake Cathie Incorporated. Councillor Maltman remained in the meeting, participated and voted in the matter as this perceived conflict will not influence her decision making in the matter.

MOTION: Intemann/Maltman

That Council:

1. Note the progress of natural resource management projects / initiatives within the Lake Cathie, Lake Innes and Cathie Creek waterways, and progression of the Coastal Management Program.

2. Continue with monthly reporting for the Lake Cathie Natural Resource Management Update Report, and review the frequency of reporting no later than the November 2023 Ordinary Council Meeting.

AMENDMENT: Lipovac/Edwards

That Council:

1. Note the progress of natural resource management projects / initiatives within the Lake Cathie, Lake Innes and Cathie Creek waterways and progression of the Coastal Management Program.

2. Endorse the reporting frequency for the Lake Cathie Natural Resource Management Update Report be changed to quarterly - August, November, February and May annually.

Lost: 3/5

For: Edwards, Lipovac and Sheppard

Against: Intemann, Maltman, Pinson, Roberts and Slade

The amendment on being put was lost.

The motion on being put was carried.

Resolved: Intemann/Maltman

That Council:

1. Note the progress of natural resource management projects / initiatives within the Lake Cathie, Lake Innes and Cathie Creek waterways, and progression of the Coastal Management Program.

2. Continue with monthly reporting for the Lake Cathie Natural Resource Management Update Report, and review the frequency of reporting no later than the November 2023 Ordinary Council Meeting.

carried: 8/0

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

Against: Nil

CONFIDENTIAL SESSION

Resolved: Roberts/Lipovac

carried: 8/0

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

Against: Nil

1. 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.

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

Item 14.01 2023.010 Manufacture and Delivery of two 11,000L Vacuum Sucker Trucks

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 14.02 Port Macquarie Golf Course

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 14.03 Cairncross Waste Management Facility Leachate Pre-treatment Temporary System - Single Select Procurement

Item 14.04 Acceptance of Kempsey Shire Council Waste at Cairncross Landfill

Item 14.05 Chief Executive Officer's Performance Review

This item is considered confidential under Section 10A(2)(a) of the Local Government Act 1993, as it contains personnel matters concerning particular individuals (other than Councillors).:

3. 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.

14.01 2023.010 MANUFACTURE AND DELIVERY OF TWO 11,000L VACUUM SUCKER TRUCKS

RESOLVED: Edwards/Lipovac

That Council:

1. Under the extenuating circumstances provision of s.55(3)(i) of the Local Government Act 1993, not invite open tenders as a satisfactory outcome would not be achieved, for the reason of limited availability of competitive or reliable tenderers to manufacture and deliver two 11,000L vacuum sucker trucks.

2. Issue a formal Request for Quotation 2023.010 Manufacture and Delivery of two 11,000L Vacuum Sucker Trucks on a single invitation basis to the Contractor recognised by Council.

3. Request the Chief Executive Officer enter into negotiations with the contractor detailed in this report with a view to entering into a contract for the Manufacture and Delivery of two 11,000L Vacuum Sucker Trucks.

4. Note that the Chief Executive Officer, under existing delegations to the General Manager, may accept a quotation for the Manufacture and Delivery of two 11,000L Vacuum Sucker Trucks, and present a further report to a future meeting of Council after contract award for Council’s information.

5. Maintain the confidentiality of the documents and consideration in respect of 2023.010 Manufacture and Delivery of two 11,000L Vacuum Sucker Trucks and this report.

carried: 8/0

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

Against: Nil

14.02 PORT MACQUARIE GOLF COURSE

RESOLVED: Intemann/Lipovac

That Council:

1. Note the current land options available in relation to the subject land.

2. Request the Chief Executive Officer action Council’s determination as detailed in Option 1 of this report.

3. Retain the confidentiality of the other documents in relation to this matter.

carried: 7/0

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

Against: Nil

Councillor Slade left the meeting, the time being 05:21pm.

14.03 CAIRNCROSS WASTE MANAGEMENT FACILITY LEACHATE PRE-TREATMENT TEMPORARY SYSTEM - SINGLE SELECT PROCUREMENT

RESOLVED: Roberts/Edwards

That Council:

1. Note that untreated leachate from the Cairncross Waste Management Facility is currently disposed of to the Port Macquarie Wastewater Treatment Plant in accordance with a Department of Planning and Environment approved temporary Trade Waste Agreement.

2. Note the temporary Trade Waste Agreement expires in October 2023 and will not be reapproved by Department of Planning and Environment for the disposal of untreated leachate.

3. Note that, due to recent wet weather, untreated leachate is currently constituting approximately 10% to 15% of the treatment load on the Port Macquarie Wastewater Treatment Plant, adding significantly to the current capacity issues at the Plant.

4. Note the need for a permanent pre-treatment solution to be included in any Leachate Management Plan for the Cairncross Waste Management Facility.

5. Under the extenuating circumstances provision of s.55(3)(i) of the Local Government Act 1993, not invite open tenders for an interim solution of a containerised leachate pre-treatment processing facility at Cairncross Waste Management Facility. The reason being that a satisfactory outcome to address the current pressing risks associated with leachate disposal at Cairncross would not be achieved, due to the constrained timeframe imposed for the temporary Trade Waste Approval and the requirement for the Department of Planning and Environment to approve any pre-treatment solution prior to adoption.

6. Note the attached proposal from Oleology Pty Ltd has been approved by the Department of Planning and Environment in addressing the criteria for leachate pre-treatment prior to discharge at the Port Macquarie Wastewater Treatment Plant.

7. Note that the Chief Executive Officer, under existing delegations to the General Manager, may enter into a contract following successful negotiations with Oleology Pty Ltd for the supply of a containerised leachate pre-treatment solution and present a further report to a future meeting of Council on completion of the works for Council’s information.

carried: 7/0

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

Against: Nil

Councillor Slade returned to the meeting, the time being 05:23pm.

Councillor Roberts left the meeting, the time being 05:26pm.

Councillor Roberts returned to the meeting, the time being 05:28pm.

14.04 ACCEPTANCE OF KEMPSEY SHIRE COUNCIL WASTE AT CAIRNCROSS LANDFILL

RESOLVED: Roberts/Edwards

That Council:

1. Note the request to continue to support Kempsey Shire Council’s Waste management activities given the issues they are having with their landfill expansion project.

2. Continue to accept kerbside municipal general waste from Kempsey Shire Council at the Cairncross Landfill until 31 December 2023.

3. Accept (transfer station waste) from Kempsey Shire Council at the Cairncross Landfill until 31 December 2023.

4. Note the additional volume of waste will have minimal impact on landfill capacity at the Cairncross site over this extended period.

5. Charge Kempsey Shire Council the adopted Waste Fees and Charges applicable for the disposal of all municipal waste at the Cairncross Landfill from 1 July 2023 to 31 December 2023.

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

7. Note that a report will be tabled at the completion of this arrangement with Kempsey Shire Council detailing the waste accepted from Kempsey Shire Council at the Cairncross Landfill.

carried: 8/0

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

Against: Nil

14.05 CHIEF EXECUTIVE OFFICER'S PERFORMANCE REVIEW

MOTION: Pinson/Roberts

That Council:

1. Endorses the Chief Executive Officer Performance Review Committee’s assessment of the Chief Executive Officer’s Annual Performance Review as ‘Significant Strength’ across all agreed KPIs for the previous review period ending March 2023.

2. That Council formally endorse the recommendation of the Chief Executive Officer Performance Review Panel decision to award a 4% performance-based increase to the Chief Executive Officer’s Total Remuneration Package as allowed under the criteria contained in section 8 clause (8.3) of the General Manager / Chief Executive Officer’s existing standard contract of employment backdated to 1 February 2023.

3. That a new Chief Executive Officer performance agreement be drafted as soon as possible for the next review period.

AMENDMENT: Sheppard/Edwards

That Council:

3. That a new Chief Executive Officer performance agreement be drafted as soon as possible for the next review period and finalised by the Chief Executive Officer Performance Review Panel.

4. Note the revised Guidelines for the Appointment and Oversight of General Managers, issued by the Office of Local Government in 2022, and determine that the finalised Chief Executive Officer performance agreement be presented to the confidential session of the next possible Ordinary Meeting of Council.

carried: 8/0

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

Against: Nil

The amendment on being put was carried.

The amendment became the motion and on being put was carried.

Resolved: Sheppard/Edwards

That Council:

3. That a new Chief Executive Officer performance agreement be drafted as soon as possible for the next review period and finalised by the Chief Executive Officer Performance Review Panel.

carried: 8/0

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

Against: Nil

Resolved: Lipovac / Maltman

That the Council Meeting be re-opened to the public

carried: 8/0

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

Against: Nil

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

The meeting closed at 6.33pm.

………………………………………..

Peta Pinson

Mayor

AGENDA Ordinary Council 15/06/2023

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

15/06/2023

Item: 10.01

Subject: Status of Reports From Council Resolutions

Presented by: Business and Performance, Keith Hentschke

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

JUNE 2023 REPORTS
Report	Date and Item of Resolution	Status	Reporting Officer	Previous Anticipated Date/s for Report	Current Anticipated Date for Report
Policy Review: Volunteer Policy	21/04/2022 Item 11.09	Policy deferred pending workshop/brief session. Workshop/briefing held 6 April 23. Draft policy to Ordinary Council June-23	DCPE	Jul-2022 Oct-2022 Dec-2022	Jun-2023
Tuffins Lane Sporting Precinct - Commencement of Design	16/03/2023 Item 11.02	A further report be bought to Council detailing submissions received following Public Exhibition	DCPE		Jun-2023
Implementation of Fly Neighbourly Agreement 12 month Update Port Macquarie Airport - Six Month Report	19/05/2022 Item 13.01 08/12/2022 Item 12.04	Dec-2022 Jun-2023	DBP		Jun-2023
Draft Operational Plan 2023-2024, fees and charges, revenue policy, and rating maps documents for Public Exhibition	20/04/2023 Item 10.03	Further report to Council Meeting June 2023 for the adoption of the 23-24 IP&R documents detailing the submissions received following Public Exhibition.	DBP	Jun-2023	Jun-2023
JULY 2023 REPORTS
Report	Date and Item of Resolution	Status	Reporting Officer	Previous Anticipated Date/s for Report	Current Anticipated Date for Report
Ferry Operations	16/02/2023 Item 11.01	A future report to Council upon conclusion of the trial period of two-person operating hours	DCI		Jul-2023
T-22-51 Water and Sewer Process Membrane Replacement Program - following negotiations	21/07/2022 Item 16.02	For inclusion in report: Contracts Awarded under Delegation by the Chief Executive Officer - Quarterly Report	DBP	Feb, Apr, Jul, Oct.	Jul-2023
T-21-27 Supply and Delivery of Water Treatment Chemicals - following negotiations	21/07/2022 Item 16.03	Report to future meeting of Council after contract award for Council’s information Waiting on advice from procurement	DBP	Feb, Apr, Jul, Oct.	Jul-2023
Strategic Land Purchase for future infrastructure provision	20/04/2023 Item 14.01	Report to be provided at next available Council meeting following negotiations	DCI		Jul-2023
Chief Executive Officer's Performance Review	18/05/2023 Item 14.05	Note the revised Guidelines for the Appointment and Oversight of General Managers, issued by the Office of Local Government in 2022, and determine that the finalised Chief Executive Officer performance agreement be presented to the confidential session of the next possible Ordinary Meeting of Council.	CEO		Jul-2023

AUGUST 2023 REPORTS
Report	Date and Item of Resolution	Status	Reporting Officer	Previous Anticipated Date/s for Report	Current Anticipated Date for Report
Prioritisation of Sporting Infrastructure Projects - Outcome of Discussions with Federal and State members	21/07/2022 Item 12.05 20/04/2023 Item 11.08	Discussions to take place with Federal and State members prior to report to Council Provide report to update on this matter no later than August 2023	DCPE	Dec-2022	Aug-2023
Draft Port Macquarie-Hastings Local Housing Strategy 2021-2041 Post Exhibition	19/05/2023 Item 12.06	Consultation with industry to take place. Report to Council following Public Exhibition. Item 10.15 Feb meeting addressed this item	DCPE	Oct-2021 Mar-2022 Jun-2022 Nov-2022 Mar-2023	Aug-2023
Material Public Benefit - Developer Delivered Sewer Works Kendall completion of works	17/03/2022 Item 14.07	Request the CEO to add a new action to the 2021-2022 Operational Plan Kew Kendall SPS#1 Upgrade and Works. Moved to June 23 as works have not yet been completed.	DCU	Feb-2023	Aug-2023
SEPTEMBER 2023 REPORTS
Report	Date and Item of Resolution	Status	Reporting Officer	Previous Anticipated Date/s for Report	Current Anticipated Date for Report
Wastewater Treatment Plant Capacities	18/8/2022 Item 14.04	Report to Council impacts on Planning Proposals Port Macquarie/Thrumster Sewerage Scheme catchment once the outcomes identified * Briefing scheduled - June 2023 * Report to Council September 2023	DCU/DCPE		Sep-2023

OCTOBER 2023 REPORTS
Report	Date and Item of Resolution	Status	Reporting Officer	Previous Anticipated Date/s for Report	Current Anticipated Date for Report
Marrungbalbu Group (Aboriginal Advisory Group)	20/04/2023 Item 11.02	Further report to Council providing feedback received for further consideration. Six monthly progress report on item 4	DCPE	Oct-2023 Apr-2024	Oct-2023 Apr-2024
NOVEMBER 2023 REPORTS
Report	Date and Item of Resolution	Status	Reporting Officer	Previous Anticipated Date/s for Report	Current Anticipated Date for Report
Council owned lots at North Shore - Progress of Sale	19/09/2018 Item 09.24	Subject to strategic property portfolio review to be undertaken.	DBP		Nov-2023 For inclusion “Operational Plan Quarterly Progress”
Sale of Surplus Land- 178 Nancy Bird Walton Drive, Kew	16/02/2022 Item 09.23	Subject to strategic property portfolio review to be undertaken.	DBP		Nov-2023 For inclusion “Operational Plan Quarterly Progress”
Lots 101 and 102 DP 1244390 Pacific Drive, Port Macquarie - Options for operational land	07/03/2022 Item 10.01	Subject to strategic property portfolio review to be undertaken.	DBP		Nov-2023 For inclusion “Operational Plan Quarterly Progress”
Hastings River Drive/Aston Street Pedestrian Crossing Port Macquarie	18/05/2023 Item 13.03	A further report with regard to the funding of construction work to signalise the pedestrian crossing should Council be required to contribute to this cost.	DCI		Nov-2023
DECEMBER 2023 REPORTS
Report	Date and Item of Resolution	Status	Reporting Officer	Previous Anticipated Date/s for Report	Current Anticipated Date for Report

FEBRUARY 2024 REPORTS
Report	Date and Item of Resolution	Status	Reporting Officer	Previous Anticipated Date/s for Report	Current Anticipated Date for Report
Acceptance (transfer station waste) from Kempsey Shire Council until December 2023 Kempsey Shire Council at Cairncross Landfill - Details of Waste Accepted During 2022-2023	18/05/2023 Item 14.04 18/08/2022 Item 16.05	A further report to be tabled at the completion of this extended arrangement with Kempsey Shire Council detailing the waste accepted from Kempsey Shire Council at the Cairncross Landfill Report to 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	DCU	Aug-2023	Feb-2024
Draft MR538 and MR600 Corridor Strategy - Following public exhibition	19/05/2022 Item 14.04	Alignment of the Corridor Strategy with the Integrated Transport Plan will be required The Draft Corridor Strategy shall be reviewed on completion of the Integrated Transport Plan	DCI		Feb-2024
Cairncross Waste Management Facility Leachate Pre-Treatment	18/05/2023 Item 14.03	Following successful negotiations with Oleology Pty Ltd for the supply of a containerised leachate pre-treatment solution and present a further report to a future meeting of Council on completion of the works for Council’s information	DCU		Feb-2024

MARCH 2024 REPORTS
Report	Date and Item of Resolution	Status	Reporting Officer	Previous Anticipated Date/s for Report	Current Anticipated Date for Report
Classification as "Operational" Land - 52 John Oxley Drive, Port Macquarie - post exhibition.	20/06/2018 Item 14.05	To be incorporated in strategic property portfolio review to be undertaken in 2022/2023 Reclassify the property to operational land, this is a statutory process involving a planning proposal which includes Council fees, public exhibition, submissions, a public hearing, council resolutions and Depot Planning approval. It is estimated that this would take at least 6-9 months.	DBP	Mar-20 Nov-20 Mar-21 Apr-21 Jun-21 Sep-21 Feb-22 Jun-22 Jun-23	Mar-2024
Opportunities for Local Firms to do Business with Port Macquarie-Hastings Council	16/03/2023 Item 10.05	A report to be presented to the March 2024 Ordinary Council Meeting	DBP		Mar-2024
FUTURE REPORTS
Report	Date and Item of Resolution	Status	Reporting Officer	Previous Anticipated Date/s for Report	Current Anticipated Date for Report
Biodiversity and Land Acquisition for offsets update 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.	20/04/2023 Item 14.02 10/08/2016 Item 12.01	Further report to be presented for further consideration A report on the 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	DBP		Estimated 2024
FUTURE REPORTS
Report	Date and Item of Resolution	Status	Reporting Officer	Previous Anticipated Date/s for Report	Current Anticipated Date for Report
Environmental Land Rezoning - Council owned land	08/12/2022 Item 13.10	A report to Council following public exhibition	DCPE		Future report
Land Acquisition - Kendall Road, Kendall - following exhibition	17/11/2022 Item 14.05	Report to future Council meeting following Public Exhibition	DCPE		Future report
PP2022-2.1 Planning Proposal Assessment Report - Proposed Catholic High School Lot 6 DP 594793 Lots 6 and 7 DP 594792 1175 and 1191 Ocean Drive Bonny Hills	16/03/2023 Item 13.04	A further report be bought to Council later in 2023 addressing the additional information submitted by the Proponent	DCPE		Future report
Response to Notice of Motion - Southern Breakwall, Port Macquarie	18/8/2022 Item 14.01	Report to future Council meeting with the information provided by the NSW Government.	DCPE	Future report	Subject to Government advice
Classification of Council Land - Maize Parkway Thrumster	18/05/2023 Item 11.04	A further report to future Council meeting detailing any submissions received following Public Exhibition.	DCPE
Classification of Council Land - Carlie Jane Drive Thrumster	18/05/2023 Item 13.02	A further report to future Council meeting detailing any submissions received following Public Exhibition.	DCPE
Draft s9.11 Airport Business Park Roads Contribution Plan	20/05/2020 Item 13.05	To be considered as part of wider development contribution framework review and proposed development yet to be assessed.	DCPE	Dec-2020 Jun-2021 Oct-2021 Jun-2022 Dec-2022

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 Port Macquarie-Hastings Sporting Fund Sub-Committee	DCPE	Monthly	Every (except February)
Lake Cathie Natural Resource Management update (13/01/2022 Item 05.01)	DCPE	Monthly	Every
Contracts Awarded under Delegation by the Chief Executive Officer (Including Tender T-22-61 Aviation Security Screening Services)	DBP	Quarterly	April, July, October, February	May 2023	Moved from Reports from Council Resolutions to Cyclic Reporting
Election of Deputy Mayor Term of the Office of Deputy Mayor to be a period of (12) twelve months.	CEO	Annually	February
Legal Fees - Update Report (19/09/18 - Item 09.16)	CEO	Quarterly	February, May August, November
Development Activity and Assessment System Performance	DCPE	Quarterly	February, May August, November
Community Inclusion Plan Update of Tasks, Measures and Actions	DCPE	Biannual	February, August
Glasshouse Strategic Plan Update	DBP	Biannual	February, August
2022-2026 Delivery Program – Six Monthly Progress	DBP	Biannual	February, September
Grant Application Biannual Report (16/02/23 - Item 11.05 (21/08/19 - Item 11.02)	DCPE	Biannual	February, August
Chief Executive Officer's Performance Review	CEO	Annually	Apr
Report	Reporting Officer	Reporting Cycle	Month	Altered Report Date	Reason for Altered Date
Operational Plan – Quarterly Progress	DBP	Quarterly	May, November (other 2 quarters reported with DP 6 monthly progress report)
Mayoral and Councillor Fees (Setting of)	CEO	Annually	May
General Fund Operating Performance	CEO	Biannual	June and December
Update on Site Specific Planning Proposal Requests	DCPE	Biannual	June, December
Port Macquarie-Hastings Destination Management Plan 2020-2024 (20/05/2020 - Item 12.01)	DCPE	Annually	June
Kooloonbung Creek Flying Fox Camp Management Plan - Annual Update (16/06/2021 - Item 12.03)	DCPE	Annually	June
Council Policy - Status	CEO	Annually	July
Recreation Action Plan – Status	DCPE	Annually	July
UGMS - Annual Progress Report on Implementation and Status of Actions (20/06/18 - Item 12.07)	DCPE	Annually	July
Local Preference Policy Outcomes	DBP	Annually	August
Cultural Plan 2021 - 2025: Implementation and evaluation of actions undertaken (04/08/2021 - Item 10.01)	DCPE	Annually	August
Legislative Compliance Register	CEO	Annually	September
Annual Reporting -
Koala Recovery Strategy Annual Report	DCPE	Annually	September
Annual Disclosure of Interest Returns	CEO	Annually	October
Professional Development of Councillors (15/09/2021 - Item 09.07)	CEO	Annually	October
Council Meeting Dates	CEO	Annually	November
Report	Reporting Officer	Reporting Cycle	Month	Altered Report Date	Reason for Altered Date
Council’s Annual Report	DBP	Annually	November
Performance of Property Investment Portfolio (20/11/19 - Item 10.17)	DBP	Annually	November
Local Strategic Planning Statement (03/11/2021 - Item 12.05)	DCPE	Annually	November
Strategic Planning Statement - Implementation of Actions (03/11/2021 - Item 12.05)	DCPE	Annually	November
Code of Conduct Complaints Annual Report	CEO	Annually	December
Audit Committee Annual Report	CEO	Annually	December

Attachments

Nil

AGENDA Ordinary Council

15/06/2023

Item: 10.02

Subject: Mayoral Discretionary Fund Allocations - 4 to 31 May 2023

Presented by: Chief Executive Officer, Dr Clare Allen

Alignment with Delivery Program

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

RECOMMENDATION

That Council note there were no Mayoral Discretionary Fund allocations for the period 4 to 31 May 2023 inclusive.

Executive Summary

To advise of the Mayoral Discretionary Fund allocations for the period 4 to 31 May 2023 inclusive.

Discussion

There were no allocations made from the Mayoral Discretionary Fund during this reporting period.

Options

This report is for noting only.

Community Engagement & Internal Consultation

There has been no community engagement or internal consultation in relation to this report.

Planning & Policy Implications

There are no planning and policy implications in relation to this report. This report is provided to Council as per the requirements of the Mayoral Discretionary Fund Policy.

Financial & Economic Implications

There are no economic implications in relation to this report.

Should any allocations have been made during this reporting period, they would’ve been funded from the Mayoral Discretionary Fund as included in the 2022-2023 Operational budget.

Attachments

Nil

Item: 10.03

Subject: Rescission Motion - Blueprint for Generational Equity

Councillors Sheppard, Lipovac and Edwards have given notice of their intention to move the following motion:

RECOMMENDATION

That the undermentioned motion adopted at the Ordinary Council meeting held on 18 May 2023 with regard to Item 10.02 Port Macquarie-Hastings Blueprint - Post Community Consultation:

1. Note the community feedback contained in the Future Strategies Engagement report and the Part A - Blueprint Summary Document

3. Thank the community for their feedback and advise them of the outcome of Council’s determination.

be rescinded.

Should the rescission motion be successful, it is the Councillors’ intention to move the following motion:

That Council:

1. Note the community feedback contained in the Future Strategies Engagement report and the Part A – Blueprint Summary Document.

2. Thank the community for their feedback.

3. Determine not to adopt the draft Blueprint for Generational Equity and cease any further work on the draft Blueprint for Generational Equity.

4. Note that there are no anticipated adverse strategic planning impacts to result from the decision to not progress the Blueprint.

5. Continue to progress the strategic planning priorities and projects as endorsed by Council.

Comments by Councillor Sheppard

What is The Blueprint?

The Blueprint concept was proposed to Council in February 2022 and Council voted in support of developing an Action Plan to create the Blueprint (8/1).

Key phrases presented in the debate, reports, and the final document, include that the Blueprint: would support future readiness for our community, enable the right infrastructure in the right places, enable strategic work to eventuate to action, and would provide a clear statement of the strategic focus of Council. Few people would disagree with the value of these sentiments, if achieved. It was proposed at this time that the development of the Blueprint would be collaborative, take minimal staff resources, and estimated to be delivered by October 2022.

General comments

I initially supported the Blueprint, by voting in favour of developing the Action Plan to develop the Blueprint.

While I held and raised significant concerns about the lack of clarity of the purpose of Blueprint, I accepted the assurance that Councillors would be provided meaningful opportunities to collaborate, and there would be no undue burden on staff. Further, Councillors were already aware that staff’s significant strategic work and alignment was well underway, with the goal of future readiness in relation to infrastructure and land use planning. I hoped that the Blueprint might help expedite this important work.

However, it soon became apparent that the Blueprint process was hindering rather than helping Council progress on future readiness.

I formed the view that the proposed Blueprint concept was perhaps not well thought out and I observed that Councillors were not being meaningfully consulted. I was concerned that the project scope remained unclear, and that costs, staff demands and timeline were escalating unexpectedly - Going to tender for a projected $150-250k cost in April 2022, and reaching $8,000 in staff time by May 2022.

It also became apparent that important strategic work was being delayed or blocked by the Blueprint, particularly the completed draft Infrastructure Strategy, completed draft Regional Integrated Transport Strategy, and the completed draft Economic Development Strategy, each of which reflected months-years of work.

I was especially concerned that the process to develop the Blueprint was not in keeping with due diligence and sound governance, with Council declining to seek basic project information while continuing to progress development of the document.

In my opinion, the resulting document reflects these shortcomings of process. The document was not broadly well received by our community during consultation, with many people expressing confusion about the purpose of the document, and questioning the value-add it offers. I share these concerns.

While the Blueprint contains specific pages of high communication value, it unfortunately is not strategically coherent, not a sound reflection of council priorities, and so offers limited strategic or operational value.

Moreover, I am concerned that retaining the Blueprint leaves our Council vulnerable to potential further strategic delays, or ad hoc and reactive spending associated with supposed ‘priorities’ or actions specified in the document.

Specific issues:

Unusual development process

In my view, the Blueprint development process was unusual. The following points 1-6 summarises key milestones, noting particularly those elements that concerned me from governance and due diligence perspectives:

1. February 2022 Council resolved to form a Project Working Group, co-chaired by the Mayor Pinson and Councillor Roberts, to develop an action plan to develop a Blueprint of undefined scope. I understand that staff produced the action plan. The meetings and actions of this PWG remain unknown to several councillors.

2. April 2022: Councillors attended a workshop to brainstorm possible Blueprint priorities and directions, yielding 14 pages of answers.

3. April 2022: Council resolved to adopt an Action Plan to go to tender to develop the Blueprint for $150-$250k.

4. When the tender was unsuccessful, Council voted NOT to receive a report on the considerations to undertake the work internally, and resolved instead to commence negotiations with any external party to develop the Blueprint.

5. A Blueprint was drafted internally, and presented to councillors in a workshop for consideration.

6. Council resolved to rescind the decision to go into negotiations with external parties to develop the Blueprint.

7. In the same meeting, Council then resolved to undertake to develop the Blueprint internally, and declined to first request a project plan outlining scope/costs/timeline.

Delays or blocking of completed strategic work and seeking further information

Important strategic work was delayed or blocked, with this being explicitly attributed to the Blueprint. This includes:

· Council determined not to progress the Draft Infrastructure Strategy and Draft Regional Integrated Transport Strategy in March 2022, in order to ensure alignment with Blueprint, expected for delivery in October 2022. These documents had each taken months to draft, and were ultimately exhibited in early 2023 and recently adopted.

· The Economic Development Strategy was produced over several years of staff work, consultant work, and consultation with the Economic Steering Group and broader community. Council voted not to adopt the Economic Development Strategy, citing that economic development would form a significant part of the Blueprint.

Future Blueprint considerations

During the Blueprint development, several councillors identified potential directions or components of the Blueprint as being particularly useful and supportable.

· The Blueprint as a single page statement of the elected council priorities, to be included in the OP/DP.

· Focusing the Blueprint specifically as a land use planning tool, similar to what was once proposed by Lake Macquarie Council.

· Adopting the use of the visual mapping tools for infrastructure and land use planning, which might help community members engage more readily.

· Using the ‘list of key challenges’ for placement in the IP&R documents, including OP.

· Using the list of Infrastructure ‘key actions’ as a communications piece in the OP/DP/IP&R, or potentially the existing LSPS/UGMS or other actions.

Attachments

Nil

AGENDA Ordinary Council

15/06/2023

Item: 10.04

Subject: Making of Rates and Charges for 2023-2024, Adoption of the Fees and Charges and Revenue Policy for 2023-2024

Presented by: Business and Performance, Keith Hentschke

Alignment with Delivery Program

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

RECOMMENDATION

That Council:

1. Make an Ordinary Rate – Residential, pursuant to Section 494 of the Local Government Act, for 2023-2024 of (0.16371 cents) in the dollar with a Base Amount of $656.10 for all rateable land in the Port Macquarie-Hastings LGA categorised as ‘Residential Defined Urban Centres”. In accordance with Section 537 of the Act the percentage to be raised by the base amount will be 49.43%.

2. Make an Ordinary Rate – Residential, pursuant to Section 494 of the Local Government Act, for 2023-2024 of (0.15368 cents) in the dollar with a Base Amount of $556.10 for all rateable land in the Port Macquarie-Hastings LGA categorised as ‘Residential Other”. In accordance with Section 537 of the Act the percentage to be raised by the base amount will be 39.78%.

3. Make an Ordinary Rate – Business, pursuant to Section 494 of the Local Government Act, for 2023-2024 of (0.37510 cents) in the dollar with a Base Amount of $656.10 for all rateable land in the Port Macquarie-Hastings LGA categorised as ‘Business Defined Urban Centres”. In accordance with Section 537 of the Act the percentage to be raised by the base amount will be 20.09%.

4. Make an Ordinary Rate – Business, pursuant to Section 494 of the Local Government Act, for 2023-2024 of (1.62828 cents) in the dollar with a Base Amount of $656.10 for all rateable land in the Port Macquarie-Hastings LGA categorised as ‘Business Port Macquarie CBD”. In accordance with Section 537 of the Act the percentage to be raised by the base amount will be 8.15%.

5. Make an Ordinary Rate – Business, pursuant to Section 494 of the Local Government Act, for 2023-2024 of (0.30475 cents) in the dollar with a Base Amount of $556.10 for all rateable land in the Port Macquarie-Hastings LGA categorised as ‘Business Other”. In accordance with Section 537 of the Act the percentage to be raised by the base amount will be 30.59%.

6. Make an Ordinary Rate – Farmland, pursuant to Section 494 of the Local Government Act, for 2023-2024 of (0.14829 cents) in the dollar with a Base Amount of $677.70 for all rateable land in the Port Macquarie-Hastings LGA categorised as ‘Farmland”. In accordance with Section 537 of the Act the percentage to be raised by the base amount will be 30.70%.

7. Make a Special Rate – Residential, pursuant to Section 495 of the Local Government Act, for 2023-2024 of (0.04232 cents) in the dollar for all rateable land within the Broadwater Special Rate area outlined in the attached rating maps.

8. Make a Special Rate – Residential, pursuant to Section 495 of the Local Government Act, for 2023-2024 of (0.09135 cents) in the dollar for all rateable land within the Sanctuary Springs Special Rate area outlined in the attached rating maps.

9. Make an Annual Charge for Waste Management Services – Domestic, pursuant to Section 496 of the Local Government Act, for 2023-2024 on all rateable land, categorised as Residential or Farmland, to which a domestic waste service is (or able to be) provided. The Domestic Waste Annual Charge will be based on the type of service received:

Type of Service	Charge for 2023-2024
Standard service – 240 litre fortnightly general waste	$524.27
Minimiser service – 140 litre fortnightly general waste	$459.80
Excess service – 240 litre weekly general waste	$774.78
Half standard service – 240 litre fortnightly general waste (multi-unit dwellings only)	$288.56
Half excess service – 240 litre weekly general waste (multi-unit dwellings only)	$415.40
Half minimiser service - 140 litre fortnightly general waste (multi-unit dwellings only)	$256.85
Half special weekly service - 140 Litre weekly general waste (multi-unit dwellings only)	$353.04
Availability charge on vacant land	$84.56
Availability charge on land not receiving full charge (multi-unit dwellings only)	$153.27
Additional recycling service – 240 litre fortnightly	$81.39
Additional organics service – 240 litre weekly	$105.70
Additional weekly garbage service – 240 litre general waste	$400.60
Additional weekly garbage service – 140 litre general waste (multi-unit dwellings only)	$304.42
On application only special weekly service – 140 litre weekly general waste	$647.94
Minimum waste charge – single dwellings	$459.80

10. Make an Annual Charge for Waste Management Services – Other, pursuant to Section 501 of the Local Government Act, for 2023-2024 on all rateable land, categorised as Business, to which a waste service is (or able to be) provided. The Other Waste Annual Charge will be based on the type of service received:

Type of Service	Charge for 2023-2024
Commercial weekly service – 140 litre general waste	$647.94
Commercial excess service – 240 litre weekly general waste	$774.78
Commercial half weekly service – 140 litre fortnightly general waste (shared)	$353.04
Commercial half excess service – 240 litre weekly general waste (shared)	$415.40
Availability charge on vacant land – business properties	$84.56
Commercial availability charge on land not receiving full charge	$84.56
Commercial additional recycling service – 240 litre fortnightly	$81.39
Commercial additional organics service – 240 litre weekly	$105.70
Commercial additional weekly garbage service – 240 litre general waste	$400.60
Commercial additional weekly garbage service – 140 litre general waste	$304.42
Waste management access charge	$33.82

11. Make an Annual Charge for Water Availability and a charge per kilolitre for Water Usage, pursuant to Section 501 and 502 of the Local Government Act, for 2023-2024 on all rateable land, to which a water service is (or able to be) provided. The Water Annual Charge will be based on water meter size:

Size of water meter connection	Charge for 2023-2024
20 mm including vacant properties and equivalent tenants	$182.00
25 mm	$284.00
32 mm	$466.00
40 mm	$728.00
50 mm	$1,138.00
80 mm	$2,912.00
100 mm	$4,550.00
150 mm	$10,238.00
200 mm	$18,200.00
Fire service - 32mm	$233.00
Fire service - 40mm	$364.00
Fire service – 50 mm	$569.00
Fire service – 80 mm	$1,456.00
Fire service – 100 mm	$2,275.00
Fire service – 150 mm	$5,119.00
Fire service – 200 mm	$9,100.00
Tier 1 usage charges – per kilolitre	$3.67
Tier 2 usage charges – per kilolitre	$7.34

12. Make an Annual Charge for Sewer Availability, pursuant to Section 501 of the Local Government Act, for 2023-2024 on all rateable land, to which a sewer service is (or able to be) provided. Make a usage charge for sewerage usage, pursuant to Section 502 of the Local Government Act, for 2023-2024 on Caravan Parks, Retirement Homes, Motels, Clubs, Hotels, Schools, Backpacker Hostels, Flats, Major Regional Shopping Centres. The Sewer charges are as follows:

Service	Charge for 2023-2024
Pressure Sewer	$953.50
Connected or available (excluding churches and halls)	$983.50
Non-rateable (other than churches & halls S555)	$783.00
Non-rateable (S556)	$983.50
Unconnected (S548a)	$631.20
Non-rateable (churches & halls S555)	$631.20
Usage Charge - per kilolitre	$1.45

13. Make an Annual Charge for Recycled Water Availability, pursuant to Section 501 of the Local Government Act, for 2023-2024 on urban area business/commercial/council facilities where a recycled water service is provided. Make a usage charge for recycled water usage, pursuant to Section 502 of the Local Government Act, for 2023-2024 where a recycled water service is provided, including on residential properties. The recycled water annual charges are based on meter size:

Recycled Metre size - Business/Commercial/Council Facilities only	Charge for 2023-2024
20 mm	$91.00
25 mm	$142.00
32 mm	$233.00
40 mm	$364.00
50 mm	$569.00
80 mm	$1,456.00
100 mm	$2,275.00
150 mm	$5,119.00
200 mm	$9,100.00
Tier 1 usage charges - per kilolitre	$1.84
Tier 2 usage charges - per kilolitre	$3.67

Domestic Dual Reticulation Systems - Residential properties to be serviced by dual scheme (i.e. Two meters per property)

Charge for

2023-2024

Tier 1 usage charges - per kilolitre

$2.94

Tier 2 usage charges - per kilolitre

$5.87

14. Make an Annual Charge for Stormwater Management Services, pursuant to Section 496A of the Local Government Act, for 2023-2024 on each parcel of rateable land for which the service is available. The stormwater annual charges are as follows:

Service	Charge for 2023-2024
Residential	$25.00
Residential - Strata	$12.50
Business - Strata	$12.50
Business – 0m2 to 350m2	$25.00
Business – 351m2 to 700m2	$50.00
Business – 701m2 to 1,000m2	$75.00
Business – 1,001m2 to 1,400m2	$100.00
Business – 1,401m2 to 1,750m2	$125.00
Business – 1,751m2 to 2,100m2	$150.00
Business – 2,101m2 to 2,450m2	$175.00
Business – 2,451m2 to 2,800m2	$200.00
Business – 2,801m2 to 3,200m2	$225.00
Business – 3,201m2 to 3,500m2	$250.00
Business – 3,501m2 to 3,850m2	$275.00
Business – 3,851m2 to 4,200m2	$300.00
Business – 4,201m2 to 4,600m2	$325.00
Business – 4,601m2 to 4,900m2	$350.00
Business – 4,901m2 to 5,200m2	$375.00
Business – 5,201m2 to 5,600m2	$400.00
Business – 5,601m2 to 5,950m2	$425.00
Business – 5,951m2 to 6,300m2	$450.00
Business – 6,301m2 to 6,600m2	$475.00
Business > 6,600m2	$500.00

15. Make an Annual Charge for Onsite Effluent Services, pursuant to Section 501 of the Local Government Act, for 2023-2024 on each parcel of rateable land for which the service is provided. The Onsite Effluent annual charge are based on the risk of the system:

System	Charge for 2023-2024
Low risk system	$42.40
Medium risk system	$83.50
High risk system	$119.50
Small commercial	$238.90
Large commercial	$297.70

16. Adopt the following Integrated Planning and Reporting (IPR) documents:

a) 2023-2024 Fees & Charges

b) 2023-2024 Revenue Policy

c) 2023-2024 Rating Maps

17. Set the interest rate on overdue rates and charges at 9.0% from 1 July 2023 to 30 June 2024 in accordance with the Office of Local Government directive.

Executive Summary

The rates and annual charges for 2023-2024 have to be formally ‘made’ by Council resolution under Section 535 of the Local Government Act 1993. This report encompasses the rates and annual charges along with the fees and charges that are included in the 2023-2024 Revenue Policy that require formal adoption by Council.

The full listing of rates, fees and charges, relevant statutory regulations and the proposed income generated is contained in the Revenue Policy and the Fees and Charges documents as attached to this report.

Discussion

The Fees and Charges document and Revenue Policy are an integral part of the Integrated Planning and Reporting (IP&R) suite of documents. These documents outline Council’s rating structure and the fees and charges to be applied to the 2023-2024 financial year.

The draft plans were exhibited for the required 28-day period and this report now seeks Council’s endorsement of the Rating Structure and Revenue Policy, including the Fees and Charges.

Rates and Annual Charges

At the 16 March 2023 Ordinary Council meeting, Council resolved as follows:

12.01 Notice of Motion - Rate Freeze 2023-2024

That Council:

1. Request the Chief Executive Officer prepare as part of the Integrated Planning and Reporting process, a draft Operational Plan for the 2023-2024 financial year that freezes the Ordinary and Special Rates, excluding the Town Centre Master Plan component of the Port Macquarie CBD ordinary business rate, at the 2022-2023 level.

2. Request the Chief Executive Officer model the impact of freezing Ordinary and Special Rates at the 2022-2023 levels for the period 1 July 2023 to 30 June 2025 inclusive and that a report is returned to the April 2023 Ordinary Council meeting that addresses how the financial impact of the rate freeze might be mitigated.

lost: 4/5

For: Maltman, Pinson, Roberts and Slade

RESOLVED: Sheppard/Griffiths

That Council:

1. Request the Chief Executive Officer to prepare, as part of the Integrated Planning and Reporting process, a draft Operational Plan for the 2023- 2024 financial year that incorporates the NSW rate peg increase for the Ordinary and Special Rates, excluding the TCMP component of the Port Macquarie CBD Business Rate.

2. Note the following:

(a) The impact on Council rate income from a one-year rate freeze in the 23/24 financial year would be a reduction of approximately $2.6m less revenue from ordinary rates during that year, with a cumulative impact across 10 years of approximately $32m.

(b) That approximately 69% of Council’s operational costs supporting core operations of Council are fixed and cannot readily be reduced without reducing services and staffing. As a result, potential operational impacts of a rate freeze would need to consider the following areas:

• Parks and Gardens, including sporting fields: Selective reductions in level of maintenance and frequency;

• Transport: Selective reductions in operational maintenance, drainage works, road resealing, bridge investigation and preventative maintenance, leading to potential safety issues and degradation of assets;

• General works: Revenue funded projects would need to be re-prioritised, with delivery timeframes potentially slowed down or deferred.

(c) That Council is directly addressing Long Term Financial Sustainability by undertaking a General Fund Improvement Plan with a 3-5 year horizon for implementation, which could be accelerated with additional resource allocation.

(d) That the benefit of a one-year rate freeze on residential rate payers would equate to a rate reduction of approximately $60 for the year, on average depending on land valuation.

In accordance with the above resolution, the Ordinary Rate structure detailed in the recommendation to this report incorporates an increase in Council’s General Rating Income of 4.7% for 2023-2024, which is the rate peg increase approved by IPART. The same increase (4.7%) has been applied to all the annual charges, excluding stormwater and waste. The base stormwater annual charge has remained unchanged since its inception in 2006-2007. The Domestic Waste Management Charges are determined in accordance with the Reasonable Cost guidelines issued by the Office of Local Government.

The rates and annual charges structure has remained unchanged from the Draft Revenue policy that was placed on exhibition except for Waste Annual Charges. The draft fees and charges were placed on public exhibition with an increase in these charges of 4.7%. These have been amended, as per Item 14.03 in the April 2023 Ordinary Council meeting. The public exhibition process and engagement on the proposed 5.7% increase to the waste fees and charges did not generate a significant number of submissions and therefore the charges have been updated to reflect the 5.7% increase as per the above resolution.

As above, the Local Government Minister’s allowable increase for the 2023-2024 financial year has been set at 4.7% and this has been applied in full. In applying this increase, the increase to rates revenue in 2023-2024 is approximately $2.6m. This amount does not even cover the labour statutory award increase or estimated increases in electricity charges, noting inflationary impacts have had a significant impact on the draft plan and are over and above the increase in rating revenue.

Legislation and guidelines reference the importance of financial sustainability and the need for Councils to consider whether proposed increases in services and assets are within the financial means of the council. With approximately 69% of Council’s core operating costs being fixed and 27% relating to maintenance, it is challenging to reduce these without impact service delivery. The rate peg will therefore allow Council to continue to provide important services and works. The application of the 4.7% rate peg results in an increase of approximately $60 per year to the average residential rate.

Fees and Charges

Some minor amendments have been made to the Fees and Charges since the draft Fees and Charges document was placed on exhibition as follows:

· Waste - Tyres: Port Macquarie Waste Depot - Car on Rim - changed from $15.00 to $16.00, consistent with other sites.

· Waste - Tyres: Wauchope, Kew & Comboyne Waste Depots - Motorcycle - changed from $4.50 to $5.00 to align with other sites.

· Rates & Annual Charges: Council has received advice, post exhibition, from the Office of Local Government (OLG) that the statutory Section 603 certificate fee will be $95.00 in 2023-2024, compared to $90.00 in 2022-2023. In addition, the Interest Rate on Overdue Rates & Charges which is determined by the OLG has been set at 9% for the financial year 2023-2024.

· Minor administrative and typographical changes.

Options

It is a statutory requirement that Council adopt its Integrated Planning and Reporting suite of documents by 30 June 2023.

Community Engagement & Internal Consultation

The IP&R suite of documents were exhibited from 21 April to 21 May 2023. The consultation process undertaken is outlined in the “Integrated Planning and Reporting (IP&R)” report included in this meeting.

Planning & Policy Implications

This report is aligned with Council’s legislative obligations under the requirements of the NSW Integrated Planning and Reporting Framework.

Financial & Economic Implications

The making of the rate and adoption of the fees and charges will allow Council to raise the income that is required to undertake the works included in the 2023-2024 Operational Plan.

Attachments

1 ⇩. 2023-2024 Fees & Charges

2 ⇩. 2023-2024 Revenue Policy

3 ⇩. 2023-2024 Rating Maps

AGENDA Ordinary Council

15/06/2023

Item: 10.05

Subject: 2023-2024 Operational Plan - Integrated Planning and Reporting

Presented by: Business and Performance, Keith Hentschke

Alignment with Delivery Program

1.1.4 Provide easy to understand and accessible community reporting.

RECOMMENDATION

That Council:

1. Thank community members who provided feedback on the draft Operational Plan and related suite of documents during the public exhibition period.

2. Note the Operational Plan 2023-2024 Community Engagement Report

3. Note the amendments to the exhibited Operational Plan as a result of community feedback during the public exhibition period.

4. Adopt the 2023-2024 Operational Plan as attached.

5. Note the 2023-2024 budget position of a balanced budget and that update reports will be reported to Council monthly during the financial year.

6. Enter into total borrowings of:

- $2 million for Stormwater and Flood Mitigation Upgrades;

- $0.75 million for Footpath and Signalisation Upgrades;

- $4 million for Additional Investment in Road Resealing;

- $0.2 million for Limeburner’s Bridge Upgrade;

- $0.5 million for Settlement Shores Canal Replenishment; and

- $25 million for Ocean Drive Duplication

7. Publish a copy of the Operational Plan and associated documents in accordance with the NSW Office of Local Government Integrated Planning and Reporting Guidelines for Local Government in NSW (September 2021) on Council’s website within 28 days of adoption.

Executive Summary

All Councils in NSW are required to follow the Integrated Planning and Reporting Framework to guide short, medium and long-term planning aligned with a focus on community engagement to provide clear strategies and actions for the delivery of identified community priorities in a sustainable manner.

The Integrated Planning and Reporting Framework consists of the following documents:

· The Community Strategic Plan otherwise known as Imagine 2050 details the Objectives against six identified Strategic Themes

· The Delivery Program details the strategies and actions that Council will be undertaken to achieve the Objectives established by the Community Strategic Plan

· The Resourcing Strategy including the Long Term Financial Strategy, Workforce Management Plan and Asset Management Plan identifies how Council will allocate resources to deliver the Community Strategic Plan objectives

· The annual Operational Plan is prepared as a sub-plan of the Delivery Program and details the Actions that Council will undertake, including defined performance measures, during the financial year to address the Strategies outlined in the Delivery Program and support the delivery of objectives in the Community Strategic Plan

These documents must align to the quadruple bottom line principles addressing Civic Leadership, Social, Environmental and Economic issues in an integrated manner.

The Draft 2023-2024 Operational Plan, in support of the 2022-2026 Delivery Program, includes a one-year budget snapshot providing an overview of key projects proposed across the region for the 2023-2024 financial year.

The estimated budget position of a balanced budget has not changed.

The 2023-2024 financial year will see Council continue to deliver a range of actions across its service areas as detailed in the Draft 2023-2024 Operational Plan (Attachment 1) including the maintenance of over $2 billion worth of assets. Council will also deliver/commence major infrastructure works such as the continuation of the Ocean Drive duplication, Thrumster Sports Fields, Kew Sewer Treatment Plant Upgrade Construction, King Creek Bridge, Trunk Main from Bonny Hills to Kew, Beach to Beach Walk, North Haven Flood Mitigation Works and Road resurfacing and rehabilitation works.

Documents to be endorsed are the Draft 2023-2024 Operational Plan (Attachment 1), with supplementary documents included in a separate report tabled at this same Council meeting with subjects:

· Making of 2023-2024 Rates and Charges

· Adoption of the 2023-2024 Fees and Charges; and

· 2023-2024 Revenue Policy.

· 2023-2024 Rating Maps

In addition to the subject and abovementioned reports there is also a separate report tabled at this meeting titled Tuffins Lane Sporting Precinct. This report deals specifically with feedback from the engagement on the Draft Operational Plan regarding funding for detailed stormwater designs for the Tuffins Lane Sporting Precinct and will be determined separately by Council. Council’s determination may result in an adjustment to the Operational Plan depending on whether funding (ie $200,000) is to be included in the Operational Plan. Any adjustment in this regard can be included in the adopted Operational Plan before it is published.

This report recommends that the Draft Operational Plan be adopted.

Discussion

It is a statutory requirement for NSW Councils to develop and adopt the Integrated Planning and Reporting suite of documents as set out in the Local Government Act 1993 and the Local Government (General) Regulation 2021. A component of the Integrated Panning and Reporting Framework is the Operational Plan. The Operational Plan is a one-year plan that identifies the individual projects and activities that will be undertaken in the 2023-2024 financial year.

Council, at its Ordinary Meeting held 20 April, 2023 considered a report in relation to the Draft 2023-2024 Operational Plan, Fees and Charges, Revenue Policy, and Rating Maps documents for Public Exhibition and resolved in part to place the draft suite of Integrated Planning and Reporting documents on public exhibition for a period of 28 days from 21 April to 21 May 2023.

At the conclusion of the public exhibition period, a meeting was held with Senior Council Staff and Councillors to review and review the submissions received and consider any proposed changes required to the draft plans. The purpose of this report is to consider the community feedback received during the public exhibition period and the changes and alterations proposed by staff in order to finalise the planning documents prior to the start of the new financial year.

Operational Plan and Budget Snapshot

The Draft Operational Plan provides specific information about the year ahead and includes information that illustrates the cost of each service delivered to the community and the actions proposed for 2023-2024.

The challenges of recent years from natural disasters and the COVID-19 pandemic, as well as global factors, are placing a number of pressures on Council’s finances, with significant cost escalations, economic volatility, rising interest rates and pressures on supply chain, resourcing and contractor availability. Despite a balanced budget position, the general fund operations continue to be tested, with long term financial projections showing some ongoing financial challenges in this space.

Council continues to leverage its strong balance sheet position and strategically use a number of internal reserves to deliver some key works, as well as leveraging its low debt levels to access new borrowings to facilitate the delivery of key infrastructure projects.

To ensure that Council can meet the community’s service expectations and maintain infrastructure through higher investment in asset maintenance and renewals into the future, there needs to be a focus on generating operating surpluses moving forward to ensure ongoing financial sustainability. This will be addressed in part by the Council endorsed Improvement Plan.

The total 2023-2024 budgeted expenditure, (excluding depreciation and loss on disposal of assets), will be $331.5m, with total revenues expected to be $268.2m. Council is strategically utilising a mixture of reserves and loans to fund the difference and minimise the impact on the program deliverables. The overall budget position is forecast to be a balanced position for 2023-2024.

Further information relating to the Draft 2023-2024 Budget can be found under the Financial and Economic Implications section of this report, and in the attached documents.

The proposed Capital Works for 2023-2024, totalling $176.0M, are detailed in the draft Operational Plan, with major Capital commitments including:

Across the Region $

Sewer Pump Station Upgrades 6,700,000

Road Resealing Works 5,475,300

Grant Funded Road Repairs 1,723,254

Timber Bridge Program 2,231,000

Cowarra Water Scheme (Multi-Year Project) 1,050,000

Footpath, Cycleway & Pedestrian Management 892,945

Schools to Schools Shared Pathway 661,952

Bulk Water Chlorination 975,308

Laurieton, Camden Haven and Surrounds

Beach to Beach Walk 4,217,464

Footpath Bonny Hills 1,870,000

Elevated Reservoir 1,000,000

Kendall Skate Park 550,000

Kew Main Street Upgrade 400,000

Illaroo Coastal Hazard Management 250,000

North Haven Flood Mitigation Works 105,000

Wauchope Rural and Surrounds

Maria River Road 8,500,000

Trunk Main from Bonny Hills to Kew (Area 15) reservoir 3,000,000

King Creek Bridge 2,885,044

Bottlebrush No 1 - Bridge Replacement Program 2,323,539

Little Mortons Creek Bridge 2,016,500

Langdons Bottlebrush No 2- Bridge Replacement Program 1,274,150

Koree Island Rock Ramp 1,095,000

Hastings Regional Sporting Complex 660,000

Pembrooke Road - Stoney Creek Bridge Upgrade 580,000

Bain Park 549,618

Bril Bril Road Upgrade 414,500

Port Macquarie

Ocean Drive Duplication (Multi-Year Project) 45,000,000

Thrumster Sports Fields 9,999,177

Fixing Local Roads Round 4 2,327,000

Gravity Sewer Trunk Mains (Area 15) 2,300,000

West Port (Buller Street) Flood mitigation works 2,000,000

Gordon Street Upgrade 1,600,000

Tacking Point Lighthouse - Accessible Walkway 1,050,000

Thrumster Wastewater Treatment Plant 1,050,000

Continuation of High Traffic Road Resurfacing 1,039,122

Port Dam Pump Station 1,000,000

Post Exhibition Amendments to the Capital Works Program and Operational Budgets

The Draft 2023-2024 Operational Plan contains a number of amendments as compared to the Draft Plan that was placed on public exhibition.

The capital works program incorporated in the exhibited 2023-2024 Operational Plan was valued at $185.6m, (excluding developer provided assets). As a result of the above changes the capital works program outlined in the 2023-2024 Operational Plan is now $176.0m, (excluding developer provided assets). Attachment 3, Changes to the 2023-2024 Capital Works Program - lists the specific changes to the program.

Amendments to the operational budgets included the following:

· Minor changes to salaries and wages with a net impact of $212k

· Additional $110k maintenance for Broadwater funded by reserves

· Additional $196k for waste management contract funded by reserves

· Additional $50k for Telegraph Point Water Treatment Plant River Intake Improvement Investigations funded by reserves

· Additional $300k for work, health, safety reviews across the Water, Sewer and Waste functions, funded by reserves

It should also be noted that there is a separate report tabled at this meeting titled Tuffins Lane Sporting Precinct. This report deals specifically with feedback from the engagement on the Draft Operational Plan regarding funding for detailed stormwater designs for the Tuffins Lane Sporting Precinct and will be determined separately by Council. Council’s determination may result in an adjustment to the Operational Plan depending on whether funding (ie $200,000) is to be included in the Operational Plan. Any adjustment in this regard can be included in the adopted Operational Plan before it is published.

Options

It is a Local Government statutory requirement for NSW Councils to develop the Integrated Planning and Reporting suite of documents and for them to be endorsed by Council by 30 June each year.

Community Engagement and Internal Consultation

Our community have told us that they are eager to be part of the planning for Councils Operational Plan from the beginning, in October/November 2022 we asked the community to provide their thoughts and feedback for consideration when drafting the plan. Engagement was through online survey and interactive map, E-Newsletters, posters, email notifications (to previous submitters) and social media. Through this first phase of engagement we received 559 pieces of feedback and 67 submissions. The key priority areas for consideration were:

· Confidence in Council

· Infrastructure

· Pathways

· Traffic Congestion

This information was shared across the organisation to assist in developing the Draft Operational Plan. The draft documents were then placed on public exhibition from Friday 21 April to Sunday 21 May 2023. A meeting was held between staff and Councillors to discuss the submissions and any potential changes to the Operational Plan as a result of the submissions.

To assist the community in understanding the Draft 2023-2024 Operational Plan, and in accordance with statutory requirements, a number of documents were produced in support of the Draft Plan. The documents shared through Have Your Say included;

· Draft 2023-2024 Operational Plan

· Draft 2023-2024 Fees and Charges

· Draft 2023-2024 Fees and Charges - New Fees

· Draft 2023-2024 Revenue Policy

· Draft 2023-2024 Rating Maps

· Draft 2023-2024 Operational Plan - Fact Sheet

Other key Fact Sheets include

· Tuffins Land Sporting Precinct Drainage Improvements - Fact Sheet

· Tuffins Lane Sporting Precinct Drainage Improvements Background Information

· Organic Waste Processing Fee Increase - Fact Sheet

Council undertook broad community engagement activities through the following communication methods to achieve reach across our community. This included;

· Print Media – Camden Haven Courier, Port News – ¼ page advertisements

· Social Media – Facebook, Instagram, LinkedIn – including regionally targeted posts

· Facebook Live Question and Answer sessions

· Direct emails to stakeholder groups

· Posters

· Pop Ups – Port Macquarie, Wauchope, Lake Cathie, Laurieton

· Exhibitions at Libraries and Customer Service Centres

· Media releases

· Local news stories

· Staff lunchtime talk

· Radio and news Interviews

The engagement response received greater reach than in previous years. We received submission through a variety of methods including face to face (pop-ups), letters, emails, and through the Have Your Say portal. In fact, we were able to increase our Have your Say members by 174.

The “Have Your Say” online portal activity during the exhibition period was as follows:

· Total visits - 3,100

· Max visitors per day - 259

· Engaged visitors (submissions) - 194

· Informed visitors (downloaded documents) - 1,100

· Aware visitors (read through documents without downloading) - 2,300

Overall, 278 submissions were received via letter, email and on line. Of the 278 submissions there was 355 free text comment/questions received about the Operational Plan. The following table provides a summary of the higher areas of submissions by Service.

Service	Number of submissions
Transport	220 (62%)
Sport and Recreation	66 (18.6%)
Land use Planning	13 (3.6%)
Financial Management	11 (3.1%)
All other areas (22 areas)	45 (12.7%)

Through resolutions of Council from the March 2023 and April 2023 Ordinary Council meetings two key areas were highlighted during the engagement to seek feedback from the community as to whether they should be included in the 2023-2024 Operational Plan. This included Tuffins Lane Sporting Precinct Drainage Design and the Organic Waste fee increase. There was only one submission on the Organic Waste fee increases.

Council received considerable feedback through both submissions, and the survey in the Tuffins Lane Sporting Precinct. Feedback received indicated that the there was a community desire to see $200,000 for the detailed design work for drainage improvements at the Tuffins Lane Sporting Precinct included in the 2023-2024 Operational Plan. Furthermore, most would also like to see the complete works conducted and the necessary money spent in this area. The regular sporting uses of this space as well as the significant sporting competition interest and the economic benefits that come with it appear to be a priority to the community. This is covered in a separate report to Council for consideration on this same agenda so this will be determined separately by Council.

Detail of the depth and breadth of the engagement and submissions can be view in the 2023-2024 Operational Plan Engagement Report (Attachment 2). A full set of all submissions has been provided to the Mayor and Councillors separately in advance of the Council meeting.

Planning and Policy Implications

This report is aligned with Council’s legislative obligations under the requirements of the NSW Integrated Planning and Reporting Framework.

Financial and Economic Implications

The Numbers

The 2023-2024 Budget forecasts a balanced position as shown below:

Budget Summary Table Surplus/(Shortfall)	2023-2024 Draft Budget $'000
Operating Budget
Total Income	268,208 ^
Operating Expenses (excl. Interest Expense, Depreciation, Loss on Disposal of Assets)	(140,115) *
Interest Expense	(1,057) *
Net Operating Budget	127,036

Capital Items
Net transfers from reserves	30,925
Purchase of Assets	(183,994) ^*
Proceeds from New Loans	32,450
Loan Principal Repayments	(6,417) *
Net Capital Result	(127,036)

Budget Result surplus/(shortfall)	-

^Includes $8.0m in Developer Provided Assets

Total projected income is $268.2m and includes $72.4m in capital grants and contributions. Excluding depreciation and loss on disposal of assets, the total expenditure is $331.5m which includes the items in the above table marked with an *. Council will also take out new loans of $32.5m to fund significant infrastructure works, as well as utilising $91.3m of reserves to fund a variety of projects, (noting that this is offset by current year revenue such as developer contributions that must be put into reserves for use on future projects).

Despite a balanced budget position, the 2023-2024 Budget forecasts an operating loss of $2.7m on a consolidated basis which is driven by an operating loss of $11.1m for Council’s general fund. There are a number of factors impacting this result as discussed below.

Attachment 4, Operational and Capital Expenditure by Service shows the spread of both operating and capital spend by service area, noting that the majority of spend is across the core infrastructure areas of Transport, Water and Sewer.

Significant Impacts on the Plan

The 2023-2024 Operational Plan has been prepared in the context of a challenging economic environment, with significant inflationary impacts and volatility affecting forward estimates.

Our Community has faced drought, fires and floods in recent times. These impacts, along with global factors, have led to significant repair costs and significant increases in material and contractor costs. It is also difficult to quantify the impact of resourcing and supply chain issues on delivery and more difficult to find savings in an inflationary environment.

Economic volatility has provided a level of uncertainty and risk around key assumptions, especially in relation to CPI, and this will need to be managed carefully moving forward. Whilst rising interest rates are providing increased investment revenue, the cost of debt has sharply increased potentially placing additional pressure on operating results which again will need to be managed carefully moving forward. Council also continues to feel the impacts of cost shifting from other levels of government.

The Rate Peg

Councils’ main revenue stream of rates and annual charges is restricted each year by a Rate Peg set by IPART. This presents challenges in meeting increased service delivery expectations from a growing community, whilst having limited revenue raising avenues, and in recent years has seen costs increase at a higher rate than the revenue has been generated. This is exacerbated by the significant inflationary impacts noted above.

The rate peg for the 2023-2024 financial year has been set at 4.7% and this has been applied in full. In applying this increase, the increase to rates revenue in 2023-2024 is approximately $2.6m. It is noted that this amount does not adequately cover statutory labour award increases, nor estimated increases in electricity charges, which along with general inflationary impacts, are over and above the increase in rating revenue.

Legislation and guidelines reference the importance of financial sustainability and the need for Councils to consider whether proposed increases in services and assets are within the financial means of the council. With approximately 69% of Council’s core operating costs being fixed and 27% relating to maintenance, it is challenging to reduce these without impact service delivery. The rate peg will therefore allow Council to continue to provide important services and works. The application of the rate peg results in an increase of approximately $60 per year to the average residential rate.

At the 8 December 2022 Ordinary Council meeting, Council resolved to endorse a 32% reduction in the Town Centre Master Plan (TCMP) component of the Port Macquarie CBD ordinary business rate through to 2027 and a 45% reduction thereafter. The Operational Plan incorporates this. This means that whilst maintenance funding and current commitments to capital projects are maintained, there are no future allocations for capital works in the Operational Plan or Long Term Financial Plan. There are however sufficient funds to cover the final repayments of the TCMP loan without impacting the general fund.

Reserves

Despite the above challenges, Council maintains a strong balance sheet position, with strong cash and investment reserves. The majority of these reserves are however legally restricted for use on, for example, significant Water and Sewer projects, and cannot be spent on general operations or works. Other reserves are allocated to specific projects such as the Ocean Drive Duplication. These reserves will be spent depending on the required timing of future works and the totals will fluctuate depending on the status of individual projects. A number of these projects will be delivered, with significant infrastructure investment over the next few years.

Attachment 5, Cash and Investment Reserves provides further information on reserves.

The Way Forward

In the short term, Council continues to strategically leverage a number of its internal reserves to deliver on key works, in particular across the maintenance and renewal of our roads, storm water and footpath networks, as well as our parks and recreation spaces. Council also plans to leverage its low debt levels to access new borrowings to facilitate the delivery of key infrastructure works.

Although a negative operating result is manageable in the short-term, the forward projections indicate ongoing operating losses in the general fund, which indicates a need to focus on financial sustainability moving forward. With a focus on improving and maintaining Council’s assets, significant investment has been made through this and recent plans in asset maintenance and renewals across our core areas, including roads, storm water, water, sewer, footpaths and open spaces. Investment in improved asset management planning will enhance this further. Council needs however to generate operating surpluses into the future to ensure that our Community’s service expectations are met and important infrastructure is maintained through higher investment in asset maintenance and renewals.

Council has developed and is implementing a comprehensive Improvement Plan to focus on returning to surplus in the general fund operations and generating sustained balanced budgets moving forward. This plan covers things such as improved asset management planning, efficiency reviews of operational areas, enhanced technology solutions and more efficient procurement solutions. These initiatives are underway and will flow into improved long term planning and financial modelling, as well as providing greater transparency and certainty to our Community.

Risk and New Initiatives Register

With the above focus on service delivery and limited resources, it is noted that there are always programs and works that cannot be fully funded within the Operational Plan and Long Term Financial Plan. The projects are monitored internally and as funding becomes available, re-prioritised in the plan. To provide a greater level of transparency and facilitate improved project prioritisation, a Risk and New Initiatives Register is being developed.

Financial Assistance Grant

It should be noted that the Draft 2023-2024 Budget includes grant funding from the Federal Government in the form of a Financial Assistance Grant, ($10.5m). The budget has assumed an uplift from the 2022-2023 levels. Any reduction to this funding could impact upon Council’s ability to deliver services.

It should also be noted that the Federal Government has in recent years made advance payments of the annual allocation of the Financial Assistance Grant. 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. Should the Federal Government cease payment in advance, this may have a significant impact on the monies actually received in 2023-2024 and therefore on the operating result for this period. It is noted however that this is a timing issue only and overall monies received across periods will not be impacted.

Attachments

1 ⇩. 2023-2024 Operational Plan

2 ⇩. 2023-2024 Operational Plan Engagement Report

3 ⇩. Changes to 2023-2024 Capital Works Program.

4 ⇩. Operational and Capital Expenditure by Service

5 ⇩. Cash and Investment Reserves

AGENDA Ordinary Council

15/06/2023

Item: 10.06

Subject: Improvement Plan 2022-2026 - General Fund Operating Performance

Presented by: Business and Performance, Keith Hentschke

Alignment with Delivery Program

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

RECOMMENDATION

That Council note the update provided in this Improvement Plan 2022-2026 - General Fund Operating Performance report.

Executive Summary

This report provides an update on progress against the Improvement Plan 2022-2026 adopted by Council at the Ordinary Council Meeting held on 15 September 2022.

The Improvement Plan outlines a range of actions proposed to address Council’s financial sustainability, in particular the General Fund operating performance ratio and infrastructure backlog over the coming years.

This is the second biannual update report on the Improvement Plan 2022-2026.

Discussion

At the Ordinary Council Meeting held on 15 September 2022, Council considered a report on the Improvement Plan - General Fund Operating Performance and resolved as follows:

11.12 IMPROVEMENT PLAN - GENERAL FUND OPERATING PERFORMANCE

That Council:

1. Note the importance of the key financial and asset ratios, and in particular the Operating Performance ratio as indicators of Councils 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 Officer provide an initial progress report to Council at the December 2022 Ordinary Meeting of Council, detailing progress made against the Improvement Plan, with biannual reporting in June and December annually thereafter.

In accordance with Resolution 3, this report provides the second biannual progress report against the Improvement Plan 2022-2026, with the next biannual report due in December 2023.

Objective

One of the key objective of the Improvement Plan is to address the forecast deteriorating general fund operating performance ratio over the future years. Direct impact on this ratio can be achieved through initiatives that either increase revenues, reduce expenses or through a combination of both.

It is also important to note that there are some improvement initiatives that will improve productivity or efficiencies without necessarily impacting the ratio, that is the investment amount does not change but more is delivered from that same level of funding. An example could be that as a result of service reviews we deliver increased services from the same budget allocation.

This report provides updates against each of the following key components outlined as part of the adopted Improvement Plan:

a) Long Term Financial Plan (LTFP);

b) Asset Management;

c) Workforce Management;

d) Transformation Program (including Service Reviews);

e) Technology Improvements (DT Roadmap);

f) Future considerations

a) Long Term Financial Plan

a. Overview

Robust long term financial planning is key in managing Council's financial sustainability and assists in the effective and efficient management of our significant asset base. It is also important in managing the delivery of Council's services. A focus on strong planning and financial sustainability ensures we can deliver to our community into the future.

We need to improve the quality of data inputs into the LTFP and systems that support data capture and reporting. This will facilitate timely, data driven business decisions, with technology uplift facilitating agile and efficient budgeting, meaning that the human effort is focused on providing insights. This will lead to greater transparency, clarity and usability of budget information and reporting, as well as stronger governance and accountability over financial management.

b. Status Update

An external review of Council’s LTFP process was completed in 2022 with a

number of initiatives identified covering systems, reporting and accountability.

The initiatives are broadly split into ‘quick wins’ and medium to longer term

horizon improvements.

The initial focus has been on achieving ‘quick wins’ which have included:

· Development of a new financial reporting framework is progressing

· Creating a Risk and New Initiative Register as part of the current budget cycle to improve transparency and reporting of emerging risks and opportunities, as well as providing visibility around unfunded priorities should additional funding become available

· A new internal management reporting pack has been developed and will be rolled out across the organisation over the coming months at an organisational, divisional and group level. This will improve internal transparency, accountability and management of budgets

· Internal training has also been provided to budget owners throughout current budget cycle and this will continue through the next cycle

c. Next steps

The medium to longer term improvements noted in the external LTFP review will require management to work through recommendations and develop an implementation plan. This will also need to consider the implementation funding options for the program which currently has no specific additional funding allocation.

It is noted that a number of longer term improvements for the LTFP are aligned to Council’s wider review and technology uplift initiatives as well as other projects such as the Asset Management Framework and Developer

Contribution Plan reviews, projects which are currently underway.

b) Asset Management Framework (AMF)

a. Overview

Council’s existing AMF was last reviewed in 2015. Improvements to Council’s AMF were identified as a part of the Improvement Plan to support better service delivery and long term financial planning.

A revised and improved AMF will support Council to:

· Obtain the best value out of the over $2 billion of community assets that Council manages, and support the efficient delivery of services to the community

· Obtain maximum value out of future capital works investments

· Improve long term strategic and financial planning and sustainability

· Fulfil asset management compliance requirements under the NSW Government Integrated Planning and Reporting regime

Council Directors lead the Asset Management Steering Group, underscoring the strategic importance of having an effective and consistent Asset Management approach across all Council operations.

b. Status Update

Consultants have been engaged to undertake Part 1 of the Asset Management Improvement Project (AMIP) which commenced in December 2022 and is on track to be completed in November 2023.

Part 2 of the project will run from 2024 to the end of 2025. Part 2 will be managed in house and implement and embed agreed AM improvements: better long term financial planning, establishing clear asset processes and accountabilities, and improving asset systems, data, auditing and asset reporting.

Key project progress to date includes:

· Establishment of the asset management governance structure, and the asset project control and working groups.

· General project communications to staff and detailed asset management communication to asset owners is ongoing.

· A comprehensive review of the existing AMF, strategy, policy and plans, asset processes and procedures, and asset information systems and data.

· Completion of workshops with directors, senior leadership team (SLT) and staff to identify asset management gaps, objectives and the focus for improvements.

· A gap analysis report has been produced, and an improvement pathway and plan has been drafted.

· A completely revised Asset Management Framework, Strategy and Policy have been drafted and will be finalised in June 2023

· Asset management plan workshops are organised for June 2023.

c. Next steps

The AMIP is progressing well, and next steps include:

· Finalisation of the AM Improvement Plan with agreed priorities for Part 1 and Part 2 of the project through to December 2025

· Finalisation of the revised Asset Management Framework, Strategy and Policy

· Workshops to prepare the detailed asset management plans for all assets

· Development of the asset management training package

· Development of revised models and scenarios for long term financial planning.

c) Workforce Management Strategy

a. Overview

The Workforce Management Strategy (WMS) was adopted in June 2022 as

part of our IP&R suite of documents for the period 2022-2026.

The objectives of the WMS include:

· Enabling an engaged, empowered and accountable workforce

· Meeting the Local Government reporting requirements under the Resource Plan

· Determining strategies to address skill shortages in leadership roles, engineering and trades during the current low unemployment environment

· Reducing turnover and driving performance

b. Status Update

The SLT and Executive teams were engaged through workshops during 2022 to verify the identified actions prior to adoption of the Strategy.

Progress since the last report include:

· Human Resources Information System (HRIS) Project continues with user acceptance testing of the “Core” module underway

· The People Strategic Plan has been adopted for implementation

· Leadership Program continues for the SLT including teambuilding, 360 degree reviews and coaching

· Flexible Working policy and procedure has been reviewed and is currently out for consultation

· People, Safety & Performance Transformation project is progressing against the implementation roadmap

· Reward Framework has been communicated to employees. Job Grading structure is in draft

· The Employee Engagement Survey has been completed which saw a 5% increase in response rate and 6% increase in engagement

· Rescission of the COVID Safe Workplace Policy & Procedure. This has been replaced by the Managing Contagious Illnesses in the Workplace procedure which is currently under consultation

· Developed the People, Safety & Performance (PSP) Service Desk

c. Next steps

Continue to deliver against the identified Transformation program actions and key activities which include:

· Implementation of the New Local Government (State) Award - 2023

· Continue with the Policy & Procedure Review Plan

· Commence consultation with employees and Unions on the new Job Grading Structure

· Consult on the new Health & Safety Plan and Learning & Development Plan

· Implementation of the first HRIS modules; “Core”, “Recruitment” and “On-boarding”

d) Transformation Program (including Service Reviews)

a. Overview

The Transformation program vision is to enable and empower great service delivery, innovation and community connection through efficient, effective and well governed organisational operations.

Key objectives of the program include:

· Achieving the goals set out by our Executive Ambition

· Strategically position Council for now and in the future so we can effectively serve our community

· Enabling the need to move from a traditional to contemporary way of operating

· Enhancing Governance and compliance

· Build people capabilities and empower our workforce

· Enhancing efficiencies within our operating service delivery model for identified outdoor services

b. Status Update

The Transformation program updates since the last report include:

· Procurement

Our Procurement capability continues to mature in line with our implementation roadmap which seeks to further advance procurement practices.

We have implemented a new structure for the service and enhanced procure2pay digitisation to automate the purchasing of goods and services which has achieved up to 86% compliance with the new processes during the year. Mandatory training was also developed and rolled out in March 2023.

· People, Safety & Performance

We are continuing on the journey in evolving a contemporary people agenda where we have established 16 key projects as part of the People, Safety and Performance Transformation program. A key focus has been on People Strategy Developments and Worker Safety. Complimentary to our 16 projects is the technology uplift Human Resources Information System (HRIS) and Learning Management System (LMS).

Key drivers for our people include:

o Online access to employee personal information

o Less paperwork and manual processes

o Better employee experience

o Convenient access to online, self-paced learning resources

Benefits for our Business include:

o Simplified processes and systems

o Provides transparency and we will have a trusted central source of our employee data

o Access to better quality information for decision making

o Whole of lifecycle management

o Improved workforce regulatory compliance and ease of reporting.

· Long Term Financial Plan

The external review was completed in late 2022 and development of the implementation plan is the next step. This will provide a pathway ensuring our LTFP is underpinned by sufficient capabilities, processes, systems and governance, ensures long-term financial sustainability and robust financial planning. We will see valuable improvement moving forward in strengthening our business processes, technology and data.

· Service (efficiency) review of outdoor services

In 2021, Council engaged consultants to undertake a review of outdoor operational areas to identify opportunities for improvements and efficiency gains. The review identified key opportunities for improvement, including aligning asset maintenance with strategic requirements, improving planning and scheduling, and developing delivery performance measurement criteria and resource estimates.

A consolidated annual works program has now been developed and is being progressed toward the implementation phase.

c. Next steps

· Continuation of the abovementioned Transformation programs

· Strengthen the approach to Transformation Strategy and governance

· Development of a Customer Experience Strategy and Change Management

· Development of a Payroll Improvement project

e) Technology Improvements

a. Overview

The Digital Technology (DT) roadmap seeks to address the following:

· Unfavourable user satisfaction with core systems

· Cyber Security maturity is low

· Increasing the customer focus within the DT Strategy Roadmap

· Build productivity and resilience

· Drive value from existing investments

· Addressing legacy back-end systems requiring immediate uplift

b. Status update

The Digital Technology Strategy, focussed on Customer Experience, use of Data, and Cyber Security, has now been finalised and delivered to the Executive and SLT teams for feedback. The strategy envisions a digital future for PMHC through a set of initiatives aligned with digital priorities and enablers over the strategy cycle (2023-2026).

Strategy Priorities

o Customer Experience (Improving, digital, accessible and integrated)

o Data (informed decision making, open, real time and shared)

o Digital On The Inside (Streamlined and simplified processes, user centric and automated)

Strategy Enablers

o Technology (Optimise technology spend to realise value for money)

o Cyber Security (Strengthen risk management and response by building on existing cyber security capability)

o Policy and Strategy (Future policy and strategy supports digital transformation)

o Delivery Capability (Increase collaboration and agility across council via agile solution delivery, governance structures and capability enhancement)

The FY 2023/2024 priorities from the strategy are

· Cyber Security Remediation

· Cloud Migration

· Records and Knowledge Management

· Integration Platform

· Hardware upgrades

· Online Certificates

· Online Payments

· Field Service Management and Field Service Access

· CRM

Projects completed recently include:

· Contact Centre Phone System

· Diligent implementation

· Purchase Card Expense Platform

· Service Desk solution for People Safety and Performance

· Portable office building relocation of staff

· Ocean Drive Duplication Office set up

· Community Utilities staff relocation to SWOC

· Phishing Skills training

c. Next steps

Focus over the coming months for DT will be:

· DPE Development Portal Integration

· HRIS

· Centralised platform integration system

· Cloud Migration

· Core Network upgrades

· Workforce Mobility (4G and Satellite uplinks) for field staff

· Telecommunications contract renewal

· Cyber Security Uplift

f) Future Considerations

As previously noted, impacts on the General Fund Operating Performance Ratio can also be achieved through positive impacts on general fund revenues.

Future consideration will be given to including a formalised strategic review of revenue opportunities as part of the Improvement Plan. This would be in addition to current initiatives in this space including the Strategic Property Investment Framework Review and the review of the Port Macquarie Airport service, both of which are anticipated to be incorporated into Councillor Briefings in early 2023-2024 financial year.

Options

This is an information report.

Community Engagement and Internal Consultation

Internal Consultation has been undertaken with:

· Chief Executive Officer

· Executive Team

· Executive Manager Transformation

· Chief Information Officer

· Group Manager Financial Services

· Group Manager Utilities Planning and Design

· Group Manager Operational and Project Delivery

· Group Manager People, Safety and Performance

· Asset Management Coordinator

Planning and Policy Implications

The components of the Improvement Plan will contribute to improving the maturity of Council’s planning and policy framework, i.e. through the Long Term Financial Plan, Asset Management Framework etc.

Financial and Economic Implications

The Improvement Plan is currently funded from some ongoing budget allocations across a number of areas like Digital Technology plus additional finite budget allocations to Transformation initiatives. A number of unfunded elements of the Improvement Plan, for example the LTFP, will utilise additional one off funding when available from the recently created Improvement Plan Reserve.

Appropriate procurement processes will be followed for each component as required, including the verification of approved budget and funding sources to service the work.

Should further Council approval be required for these allocations, approval will be sought through the monthly financial reports.

Attachments

Nil

AGENDA Ordinary Council

15/06/2023

Item: 10.08

Subject: Investments and Loans - May 2023

Presented by: Business and Performance, Keith Hentschke

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 and Loans Report for May 2023.

Executive Summary

· Council’s investment portfolio has met compliance requirements and investment income is aligned to the revised budget.

· Total investment portfolio performance for the financial year to date was marginally below benchmarks due to the unexpected aggressive rate hikes undertaken by the RBA. Whilst the ‘underperformance’ may continue in the short term, it is anticipated that this is temporary.

· The RBA somewhat unexpectedly increased rates in May 2023. The commentary ongoing from the Board suggests they will continue lifting rates if inflation remains persistently resistant to efforts to control it and trends well above their target band of 2-3%.

· Over the past 12 months the portfolio has returned 2.01% p.a. being 0.61% lower than the benchmark (AusBond Bank Bill Index).

· In August 2019, Council placed a bid of $3m into the new Bendigo (BBB+) 5 year FRN at +97bp maturing 6 September 2024. Following NAB’s announcement to close their safe custody account in recent months, Imperium Markets recommended that Council sell out of this FRN slightly earlier than expected (by around 4 months). On 1 May 2023, Council sold this FRN at +80bp trading margin or capital price of $100.22, realising a small capital gain (profit) of $6,600.

· Council undertook new loan borrowings in May 2023 of $4.995m being $1.375m for Tuffins Lane Sporting Fields and $3.62m for the Airport taxiway these funds were received 30 May 2023.

· Outstanding loan balances are at relatively low levels which provides the opportunity to leverage borrowings to invest in capital works moving forward.

· The loans portfolio is currently attracting average rates lower than new investments, meaning that Council is currently experiencing a positive net exposure to interest rates.

Discussion

The purpose of this report is to provide details of Council’s investment and loan portfolios and to certify that all investment funds have been made in accordance with section 625 of the Local Government Act 1993.

Council has engaged Imperium Markets to provide both an investment management platform and investment advisory service. Attachments 1 and 2 prepared by Imperium Markets provides detailed information on the performance of Council’s investment portfolio for the period.

Investment Portfolio

As at 30 May 2023, the investments held by Council totalled $424,779,761. This is $4m lower than as at 30 April 2023 due to maturity of investment end of May that will be reinvested in June. Investment activity during the month was as follows:

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

The maturity profile of the investment portfolio, (excluding the cash management account which is at call) is illustrated below and shows that maturities are well balanced across the next 5-year horizon.

The average interest rate of those falling in the current year illustrates the impact of longer term investments made in higher rated products prior to the interest rate decline during the COVID-19 pandemic. This has meant that returns have been somewhat protected against falling rates and the portfolio performed strongly in spite of this. From next year the average interest rate of maturities falls. This reflects the declining interest rates of the last two years, noting that Council protected the portfolio against even lower interest rates by taking advantage of longer term and higher rated products, thereby still maintaining average returns above industry benchmarks. Moving forward it will be important to take advantage of rising interest rates if re-investing maturing investments, whilst also balancing with a level of risk mitigation against a potential recession environment.

Council’s total investment portfolio is attributed to the following funds:

Whilst the current level of investments remains high, these largely relate to funds which have legal restrictions, (for example Water and Sewer), where funds cannot be spent on general operations or works, or for funds held for specific purposes. These funds will be spent depending on the required timing of future works and the totals will fluctuate depending on the status of individual projects.

(1) The General Fund reserves include the following:

· Approximately $75m are development contributions that must be expended in relation to adopted plans to fund growth related infrastructure. They cannot be spent on existing infrastructure or on projects not listed in the relevant plans.

· At 30 June 2022, $61m were grants for specific projects which will be spent over the coming year, including Ocean Drive ($31m) and Maria River ($11m).

· Remaining reserves are fully allocated to range of projects including Ocean Drive ($10m), additional Parks and Tree Maintenance ($3m) and various airport projects ($4m). They are also allocated to fund operational needs of Council, such as replacing Plant and Equipment, with approximately $12m also held for security bonds which will be returned to suppliers on completion of works.

(2) The majority of the portfolio is held in the Water, Sewer and Waste Funds which require significant capital investment. Projects often occur cyclically, with a combination of reserves and borrowings used to fund the large infrastructure needs. The funds are fully allocated to projects over the coming years including:

· Cowarra Water Treatment / Filtration Plant = $125m of reserves funding

· Thrumster Sewerage Treatment Plant = $19m of reserves funding

· Kew STP Upgrade = $35m of reserves funding

· Kew and Bonny Hills Reservoirs = $11m of reserves funding

The following is a summary of Council’s exposure to financial institutions that fund fossil fuels:

Further commentary on fossil fuel investments is provided by Imperium Markets in the attached Monthly Investment Report (Attachment 1).

When investing, Council seeks and receives multiple quotes from a range of financial institutions across the different ratings spectrum. In the instance that a bank is not lending to the fossil fuel industry and they are offering the highest rate, and comply with the various Policy risk limits, Council preferences that bank, in accordance with the Investment Policy. The investment policy is formulated with reference to Office of Local Government Investment Policy Guidelines.

Interest on Investments

The following table shows the interest returns as at 30 May 2023 and the portfolio performance against benchmark (bank bill Index).

As noted above, although the total portfolio performance for the financial year to date was marginally below benchmarks due to the unexpected aggressive rate hikes undertaken by the RBA, this ‘underperformance’ is expected be temporary only.

Loan Portfolio

Below are details of Council’s current loan balances and interest expense for the month, noting that all loans are currently at fixed rates of interest:

The maturity profile of the loans portfolio is shown below. It details when the outstanding loan balances will be paid down and the average interest rate payable that has been attributable to those loans. The increase in the average interest rate in the 2032 and 2033 years is result of the two new loans taken up in May 2023.

Summary - Net Position Investments and Loans

As interest rates rise, Council is able to invest funds at higher rates, currently locking in rates in the vicinity of 5.06%. With the majority of the loan portfolio locked in at average rates lower than this, Council is experiencing a positive net exposure to interest rates. It is noted however, that pressure is likely to be put on this position moving forward as future loans are expected to attract higher rates.

In May 2023 Council undertook new loan borrowings of $4.995m being $1.375m for Tuffins Lane Sporting Fields and $3.62m for the Airport Taxiway.

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

The budget for interest on investments was increased in the March budget review with interest levels currently aligned to the updated budget. Returns are currently marginally below benchmark. On an annual basis, if budget 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 0.76% below the benchmark (2.06% against 2.82%) and year to date income is 93% of the total annual budget.

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 2012 and Council’s Investment Policy.

Nicole Spencer

Responsible Accounting Officer

Attachments

1 ⇩. Port Macquarie Hastings Council Investment Report - May 2023

2 ⇩. Port Macquarie Hastings Council Portfolio Valuation - May 2023

AGENDA Ordinary Council

15/06/2023

Item: 10.09

Subject: Mid North Coast Joint Organisation Annual Request for Funding

Presented by: Chief Executive Officer, Dr Clare Allen

Alignment with Delivery Program

1.2.1 Promote Council participation and build linkages in local, state and federal initiatives, forums and opportunities to support Council’s continued planning for the growth of the region.

RECOMMENDATION

That Council endorse and approve the annual request for funding to continue

its membership with the Mid North Coast Joint Organisation

Executive Summary

The purpose of this report is to formally request Council’s endorsement for Port Macquarie-Hastings Council’s annual membership contribution to the MNCJO, following the procedure that was adopted in 2021.

Discussion

Background:

The Mid North Coast Joint Organisation comprises the member Councils of Bellingen, Kempsey and Port Macquarie-Hastings.

Joint Organisations were created in NSW following changes to the Local Government Act 1993 (NSW) in 2017. The Mid North Coast Joint Organisation was created in 2018 and comprises the local government areas of Bellingen, Kempsey and Port Macquarie-Hastings.

Together the member councils comprise an area of 8,658 square kilometres and a population of approximately 125,000 people.

The core functions of the Mid North Coast Joint Organisation are:

· Strategic Planning and Priority Setting;

· Inter-governmental Collaboration;

· Regional Leadership and Advocacy; and

· Building efficient and effective councils.

The Mid North Coast Joint Organisation is overseen by a Board comprising the Mayors of the three member councils. The Board meets four times each year. The three Mayors are the voting members of the Board. The General Managers of Bellingen and Kempsey and Chief Executive Officer of Port Macquarie Hastings Council also attend Board meetings. The General Managers Advisory Committee (GMAC) meets prior to each board meeting and minutes and papers from this meeting form part of the agenda of the Board meeting. Board and GMAC meetings are also attended by representatives of Regional NSW, Destination NSW, Regional Development Australia and the Office of Local Government.

A report was prepared for the 16 June 2021 Council Meeting which provided an overview of the Mid North Coast Joint Organisation to date. It was resolved at that meeting that the Chief Executive Officer would:

“Provide a report to the October 2021 Ordinary Council Meeting providing information on the financial arrangements with the Mid North Coast Joint Organisation and the mechanism by which the Mid North Coast Joint Organisation can request funding from Council”.

Following internal discussions on the matter, the following procedure was adopted by Council at the October 2021 meeting.

1. That the Mid North Coast Joint Organisation prepare in writing, any request for funding for the attention of the Chief Executive Officer.

2. Requests for funding are to be received no later than 2 months prior to funding requirements;

3. That the Chief Executive Officer present this request to the next appropriate Council meeting for decision by the elected body.

09.03 Mid North Coast Joint Organisation - Mechanism By Which To Request Funding

That Council:

1. Note the information contained in the Mid North Coast Joint Organisation - Mechanism by Which to Request Funding report.

2. Adopt the process for requesting funding for the Mid North Coast Joint Organisation.

In keeping with the abovementioned procedure, Council has received a letter (Attachment 1), from the Mid North Coast Joint Organisation Acting Executive Officer, Mark Griffioen requesting the $25,000 member contribution for the 2022-2023 financial year.

In order to process this funding contribution, Council are now requested to endorse and approve the annual request for funding to continue its membership with the Mid North Coast Joint Organisation.

Current Active Projects:

Since its inception, the Mid North Coast Joint Organisation has had considerable success in attracting funds to undertake projects across the region and a summary of the active projects has been provided below for information. Further project updates and reports are available via the Mid North Coast Joint Organisation website.

Towards Net Zero

The Joint Organisation Net Zero Acceleration grant is a capacity-building pilot program established to help regional councils reduce their carbon emissions to achieve their part in the State’s Net Zero target of 50 per cent reduction by 2030 and net zero by 2050.

The program is delivered by the NSW Office of Energy and Climate Change (OECC) to address chronic resource constraints in regional areas by funding full-time employees within JOs to lead and coordinate net zero activities for their member councils.

Community Land Trust

The focus of a CLT is will be delivering more affordable housing to local households unable to access home ownership or suitable rental accommodation because of limited availability of affordable housing.

The Mid North Coast Joint Organisation's CLT Proof of Concept is a ground breaking and innovative piece of work, produced by consultants Urbanista with the support of a dedicated project team, including the Housing Matters Action Group and subject experts from each member council.

Simtable for Community Empowerment Project

The Simtable was purchased with grant funds from the NSW Government’s Bushfire Community Recovery and Resilience Fund (BCRRF) for the local government areas that were disaster declared in the 2019-2020 Black Summer bushfires.

The project aims to improve the capacity of communities across the Mid North Coast to plan and respond to disasters, particularly our vulnerable populations.

Circular Economy Centre of Excellence

The Mid North Coast Joint Organisation was successful in receiving funding through the Regional NSW Business Case and Strategy Development Fund to develop a feasibility and business case into the development of a Circular Economy of Excellence for the Mid North Coast region.

Disaster Risk Reduction Project

The Mid North Coast Joint Organisation was successful in receiving funding through NSW Reconstruction Authority's, Disaster Risk Reduction Fund (DRRF). The DRRF project will deliver a Mid North Coast Joint Organisation Resilience Blueprint and achieve several strategic outcomes for the Mid North Coast Joint Organisation, its member councils and the Mid North Coast region.

Mid North Coast Joint Organisation Resilience Blueprint builds capacity, shares resources, and develops leading practice in Disaster Risk Reduction across 9 participating JOs and neighbouring councils. This will include a systematic collaboration with key State agencies and embedment in IP&R.

Options

Council may choose to endorse and approve the annual funding contribution of $25,000 or resolve in another manner.

Planning and Policy Implications

There are no specific planning and policy implications in relation to this report, however if Port Macquarie-Hastings Council was to withdraw from the Mid North Coast Joint Organisation, then it is likely that the Mid North Coast Joint Organisation would cease to exist with only two member Councils.

Financial and Economic Implications

If Council resolves not to contribute any funds to the Mid North Coast Joint Organisation and if no other member Council chooses to do so and / or the NSW government do not contribute any further operational funds to the Mid North Coast Joint Organisation, then it is likely that the Mid North Coast Joint Organisation will be unable to trade and will effectively cease to exist. If this were to occur, this in itself would not have any direct financial implications for Council.

Attachments

1 ⇩. Mid North Coast Joint Organisation Request for Funding Contribution

AGENDA Ordinary Council

15/06/2023

Item: 12.01

Subject: Destination Management Plan Annual Update

Presented by: Community, Planning and Environment, Melissa Watkins

Alignment with Delivery Program

3.1.4 Implement the Destination Management Plan.

RECOMMENDATION

That Council note the third annual progress report on implementation of the 2020-2024 Port Macquarie-Hastings Destination Management Plan.

Executive Summary

Implementation of actions under Council’s 2020-2024 Destination Management Plan (DMP) continues the work to manage and enhance our local visitor economy. A diverse range of projects are underway, with progress being achieved through collaboration between Council, the Greater Port Macquarie Tourism Association, regional and state government agencies, National Parks, Forestry Corporation and local business and industry. This report provides an update on the implementation since the Destination Management Plan was adopted 36 months ago.

In addition to implementing the Plan’s actions, it is important to acknowledge that significant staffing changes, vacancies ad recruitment occurred in 2022-2023 has had an impact on implementation of the DMP.

Discussion

In adopting the 2020-2024 Destination Management Plan, Council resolved to

monitor implementation by way of an annual report on progress against actions.

This Plan was considered to be a renewal rather than a divergence from the previous plan and continued with the following four key strategic priorities:

1. Destination Management

2. Destination Experience Development

3. Destination Event Development

4. Destination Marketing

The intent, emphasis and priorities of the Destination Management Plan will be subject to review as part of the review of the draft Economic Development Strategy.

Attachment one provides detail on the range of actions and initiatives that have

been completed or progressed in the period since the last report to Council in August 2022.

Some key outcomes over the past twelve months include:

• Implementation of the Destination Brand Strategy, including content development for branding, website redevelopment and deployment, updating collateral, development of a PR proposal to support the brand launch and targeting the lifestyle market.

• Finalisation of the Destination Marketing Strategy 2023-2025.

• Commenced the implementation of the Destination Marketing Strategy.

• Commenced Destination Media Buy procurement tender for 2023-2024.

• Generated approximately $3 million value of positive media coverage from July 2022 to May 2023.

• Continuation and update of Taste Trails, increasing dispersal of visitors and locals across the region.

• Renegotiation of the IRONMAN contract for 2024-2028.

• Ongoing work with Forestry Corporation, Koala Hospital and Bunyah Land Council to support and facilitate the development of the Guulabaa / Cowarra Tourism precinct.

• Ongoing work on the delivery of the Tourism Trade and Product Development Project activity.

• Ongoing industry updates.

Priorities for the next twelve months include:

• Implementation of the Destination Marketing Strategy, with primary focus on the identified five prioritised marketing activities.

• Development and rollout of the brand launch campaign to raise awareness and promote the Port Macquarie-Hastings region as a lifestyle brand.

• Continued development and refresh of content (website, images, copy, and video) for new brand marketing.

• Secure positive media coverage for the region using the new Brand as a lens for differentiation in the market.

• Search Engine Optimisation for the new destination website.

• Support to local Tourism Association and business networks.

• Commence Media Buy Procurement Contract and develop campaigns and brand launch activities.

• Assess the Destination Eco Certification project and consider a scope for progression.

• Use the product and experience development workshops to identify a Brand campaign activity with stakeholders.

• Continue to strategically support events and conferences for value and support for the off-peak seasons with an economic benefit.

• Conduct tourism monitoring data research in 2023 and utilise more detailed data analysis (Spendmapp) to gain additional insight into the economic effects of tourism-attracting events and improve benefit reporting methodology.

• Support the Great North Coast Trails Feasibility study to link 700km of coastal and nature walking trails between Newcastle and Tweed Heads.

• Continue to review and identify strategic Destination collateral and update to new branding (example Major Event Prospectus)

Destination Management

The Destination Management Plan provides a sound destination management framework to lead and implement the actions of Council, as well as work to sharpen the region’s points of difference and further develop and promote tourism experiences to sustainably grow the local visitor economy.

The recent work to develop and adopt a refreshed Destination Brand is important for

Destination Management perception of Port Macquarie Hastings in the marketplace. With the adoption of the new brand Port Macquarie Hastings have a more contemporary presentation of the LGA as a lifestyle brand. This will be used to target the high value traveller through profiling existing and developing new experiences, implementing promotion activities, using and leveraging established marketing assets as well as strengthening partnerships across sectors within the region to ensure contributions from all stakeholders are maximised.

Data from the Tourism Monitor for the 2021-2022 financial year demonstrates that the number of overnight and day visitors to regional areas in NSW decreased by 22% and 24% respectively from the 2021 financial year. Port Macquarie Hastings LGA shows a similar trend with a 24% decrease on the previous year for overnight visitors, however, it shows a larger decrease of 39% in day visitors.

The Destination Marketing Strategy provides the plan of taking the new brand to market. The goals of the strategy address the peaks and troughs of the visitor economy across the seasons as well as dispersal of visitors around the region and to attract the higher value traveller and increase length of stay.

Tourism contributes an estimated $361 million to the region’s economy, which has decreased from pre-COVID figures of $487 million in 2019 (REMPLAN). The tourism industry faced many challenges with the 2019 bushfires, drought, COVID and 2021 floods, yet continues to play a key role in our region as the 5^th largest employment industry supporting an estimated 2,103 jobs in 2022 (REMPLAN).

Tourism and the visitor economy play a key role in our region. It affects how our region is perceived, influences liveability for our local community, drives relocation and investment and supports a strong ecosystem of businesses and employment.

The Destination Management Plan provides a community endorsed strategic

framework to work effectively in this space. A review of the draft Economic Development Strategy may inform a review of the Destination Management Plan to ensure Council receives the greatest value for its investment and is aligned with the execution of the vision to be ‘the most liveable, sustainable and innovative place in Australia’.

Options

Council may note the report or request further information.

Community Engagement and Internal Consultation

The Strategy implementation is undertaken working with local business and industry,

and other levels of Government and relevant stakeholders.

Internal Consultation

Strategy action implementation has been undertaken by and in collaboration with Cultural and Economic Development staff.

Planning and Policy Implications

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

Financial and Economic Implications

There are potential significant benefits to the visitor economy and local community in the Local Government Area if the outcomes identified in the Plan are achieved. These will be reported as part of the more detailed data analysis referred to under the heading “Priorities for the next 12 months include:”

Council made an investment of time and money in execution of the Plan. The review of the draft Economic Development Strategy and a review of the Destination Management Plan will ensure this investment delivers the maximum benefit for cost, for the greatest number of stakeholders in the community. The recent changes to structure of the Economic Development team, and the resulting recruitment activity, was the first stage of implementing a review of the investment of Council in Destination Management and Economic Development more broadly.

Attachments

1 ⇩. Destination Management Plan Reporting Matrix

AGENDA Ordinary Council

15/06/2023

Item: 12.02

Subject: Port Macquarie Airport - Pilot Training and Aircraft Noise - Fly Neighbourly Agreement Trial - 12 Month Review

Presented by: Business and Performance, Keith Hentschke

Alignment with Delivery Program

3.3.1 Develop, manage and maintain Port Macquarie Airport as a key component of the regional transport network and continue to grow the airport’s contribution to the regional economy.

RECOMMENDATION

That Council:

1. Note the information provided in this Port Macquarie Airport - Pilot Training and Aircraft Noise - Fly Neighbourly Agreement Trial - 12 Month Review report.

2. Endorse the extension of the Fly Neighbourly Agreement for a further 12 months as a useful method of managing circuit movements at the Airport to minimise impact on the local community, with a further report presented at the Ordinary Council Meeting to be held in July 2024.

Executive Summary

This report provides a 12-month update on the implementation of the Fly Neighbourly Agreement (FNA) trial at Port Macquarie Airport which was adopted by Council in May 2022.

Aircraft movement data contained within this report is provided by a third-party service provider, Avdata, with data provided approximately mid-month following the completion of each month and as such this report provides aircraft movement data from May 2022 to April 2023 to provide a full 12-month data review. The comparative pre-COVID reporting period is May 2019 to April 2020.

There has been a strong commitment by local operators, particularly the flying schools, to comply with the intent of the FNA during the trial period.

Circuit movement data from Avdata confirms a significant reduction (89%) in movements after 6pm on Saturdays (six circuits during the trial period compared to 54 circuits in the comparison period of May 2019 to April 2020). There was also a reduction (36%) in circuits conducted on Sundays (1,612 circuits during the trial period compared to 2,522 circuits in the comparison period of May 2019 to April 2020).

With regards to circuits undertaken on public holidays, the December six-month report highlighted that over the three public holidays during the initial trial period, a total of 31 training circuits occurred at the airport.

Over the subsequent months to 30 April 2023 there have been seven additional public holidays with Avdata reporting no circuit movements on those days.

Complaints have also reduced over the trial period, with 14 complaints reported during the first 6-month trial period to four reported since December 2022. From the total of 18 complaints, 16 were in relation to Sunday circuits.

Discussion

At the Ordinary Council Meeting held on 08 December 2022, Council considered a six-monthly report on the Port Macquarie Airport - Pilot Training and Aircraft Noise - Draft Fly Neighbourly Agreement and resolved as follows:

12.04 PORT MACQUARIE AIRPORT - PILOT TRAINING AND AIRCRAFT NOISE - FLY NEIGHBOURLY AGREEMENT TRIAL - SIX MONTH REVIEW

That Council:

1. Note the information provided in this Port Macquarie Airport - Pilot Training and

Aircraft Noise - Fly Neighbourly Agreement Trial - Six Month Review report;

2. Note that a further report will be presented at the Ordinary Council Meeting to be held in June 2023.

In accordance with Resolution 2, this report represents a 12-month (May 2022 to April 2023) review of the FNA and its impact on the local Community and represents the conclusion of the 12-month trial requested by Council in its May 2022 Resolution.

Avdata 12-month Circuit Movements and FNA Undertakings

For the purposes of this report the definition of a circuit movement comprises the following:

· Touch and Go - A trainee pilot on circuit training landing on the runway and immediately taking off again

· Stop and Go - A trainee pilot on circuit training landing and stopping on the runway and taking off again

· Missed Approach - A trainee pilot following the airport go around procedures for a hypothetical missed approach to the runway (an essential part of training)

· Practice Approach - A trainee pilot practicing their approach to the runway and then re-joining the circuit without landing

Each one of the above circuit descriptions counts as two circuit movements.

As shown in Figure 1 below, during the period of May 2022 to April 2023 a total 18,294 circuit movements were reported at the Port Macquarie Airport. This represents a decline in overall circuit activity of 37% in comparison to the number of similar movements during the May 2019 to April 2020 period (29,064).

Three flying schools are currently operating at the airport including the previously COVID impacted Australian International Aviation College (AIAC). However, the total number of circuits are still well below pre-COVID levels.

Figure 2 illustrates the monthly profile of activity at the airport. The figure highlights that during the 12-month trial period there was only one occasion that the number of circuits exceeded the 2019 levels. This occurred in August 2022.

All other months within the trial period were below those of the comparison period.

It was suggested in the previous report (six-month report) that movements appeared to be returning to pre-COVID levels. However, this has proven not to be the case with monthly totals for 2022-2023 still below the comparison period due to flying schools operating with a smaller student body compared with the pre-COVID period. The previous six-month trial report also highlighted the anomaly of the December 2019 peak in circuit numbers as being due to poor flying conditions during November 2019.

It is anticipated that as 2023 progresses, the AIAC student body will grow along with an increase in activity of the other flying schools. This will most likely lead to a corresponding growth in monthly circuit movements.

The following analysis relates to some of the key undertakings agreed as part of the FNA.

Fly Neighbourly Agreement Undertaking #1:

Conduct continuous circuit training during the Circuit Training Hours of Operation, being:

Monday - Friday - 0700hrs - 2200hrs AEDT

- 0700hrs - 2100hrs AEST

Saturday - 0800hrs - 1800hrs

Sunday and Public Holidays - No continuous circuit training

One of the key measures of the trial FNA is the reduction in agreed Circuit Training Hours of Operation to 7am to 10pm (or 9pm in Winter) from Monday to Friday, 8am to 6pm on Saturdays, with no continuous circuit training on Sundays and Public Holidays.

For the 12-month trial period, a total of six circuit movements were conducted after 6pm on Saturday. This compares with 54 circuit movements in the comparison period (May 2019 to April 2020).

Over the 12-month trial period a total of 1,612 circuits were conducted on Sundays. This equates to approximately 30 circuits on average each Sunday. This compares with 2,522 circuits on Sundays during the corresponding 12-month period (2019-2020) equating to an average of 49 circuits each Sunday (see Figure 3).

While the FNA seeks to have no continuous circuits on a Sunday, the Agreement does allow operators and students to catch up on lost time caused by weather, airspace, technical or other disruptions on Sundays between 8am and 4pm. During the 12-month trial period 94% of Sunday movements occurred during the 8am to 4pm period (although not all may be associated with the FNA catch up criteria).

In terms of public holidays, the December six-month report highlighted that over the three public holidays during the initial trial period, a total of 31 training circuits occurred at the airport.

Over the subsequent months to 30 April 2023 there have been seven additional public holidays with Avdata reporting no circuits movements on those days.

In general, there has been a strong commitment by local operators, particularly the flying schools, to comply with the intent of the FNA.

Airport staff have liaised and will continue to liaise with operators to encourage compliance, noting that the FNA is a voluntary agreement.

However, full compliance with the FNA regarding weekend circuit activity (particularly Sunday) is going to be an ongoing issue due to the catch-up criteria previously mentioned. Some students that are unable to attend training during the week, due to work, school or other commitments, will continue to request training on weekends, including Sundays.

Circuit training performed on Sundays has been the trigger for the majority of noise complaints received by Council during the FNA 12-month trial. Eighteen noise complaints were lodged between May 2022 and April 2023. Of these, 16 were associated with circuit training performed on Sundays.

As shown in Figure 4, for the trial period, circuit training after 6pm represents 3% of total circuit movements compared with 19% of total movements during the 2019-2020 comparison period.

Fly Neighbourly Agreement Undertaking #2:

Recreational aircraft (i.e., up to 600kg maximum take-off weight (MTOW)) may commence continuous circuit training from 0600hrs Monday to Friday.

The FNA allows recreational aircraft, below 600kg, to operate early mornings, between 6am and 7am Monday to Friday. This time is allocated for the aircraft operated by the non-commercial flying schools (e.g., Hastings Flying Club). During the 12-month trial 396 circuits were reported between 6am and 7am, compared to 392 during the same period in 2019-2020. Growth in early morning circuits is consistent with the overall growth in circuit training using recreational aircraft, which has more than doubled compared to the same period in 2019-2020.

No complaints have been received regarding this activity.

Fly Neighbourly Agreement Undertaking #5:

Preferred use of runway 03 when wind and traffic conditions permit, with circuits conducted to the west of the Airport.

The FNA requires operators to preferably use runway 03 (take off to the north) when wind and traffic conditions permit, taking traffic to the west of the Airport. Runway usage is largely determined by the prevailing wind direction, which is seasonal.

Typically, circuit operations are conducted predominantly to the west of the Airport in summer, and to the east of the Airport in winter. The trial has produced a small improvement in the usage of runway 03 with approximately 40% of movements using runway 03 over the 12-month trial period, compared to 39% during the same period over the previous two years. The parallel taxiway development, which was completed and opened in March 2023, will make runway 03 more accessible for operators and may increase the proportion of runway 03 usage.

The airport will continue to monitor the usage of the 03 runway.

Fly Neighbourly Agreement Undertaking #6:

Commensurate with traffic situation and aircraft performance, operators will implement their own procedures for turning crosswind after take-off that considers the impact of aircraft noise on residential areas.

Fly Neighbourly Agreement Undertaking #7:

When conducting Precautionary Search and Landing – not operating below 500 ft AMSL within the vicinity of the runway, otherwise not below 700 ft AMSL.

Fly Neighbourly Agreement Undertaking #9:

Minimising low level flight over built-up areas in accordance with Civil Aviation Regulations.

The FNA also requires aircraft operators to be mindful of altitude when setting operating procedures, including when to turn cross wind after take-off and performing precautionary search and landing, to minimise low level flight over built up areas. To help monitor altitude and respond to enquiries or complaints, Council has installed Automatic Dependent Surveillance-Broadcast (ADS-B) recording equipment at the Airport that records flight paths and altitude for aircraft with an activated transponder.

No complaints have been received regarding aircraft altitude during the trial period.

Due to the Local Government elections being conducted in September 2024, it is proposed to bring the next annual report back to Council in July 2024. This report may consist of data from May 2023 to May 2024 due to delays in obtaining monthly data and deadlines for approval of reports for inclusion into the Council meeting agenda.

Summary

In summary, the FNA has proved useful for circuit management and the 12-month trial has highlighted the following:

· Circuit movements are still significantly below the peak activity during the 2019-2020 period

· General understanding and acceptance of the FNA by the main flying schools operating at the airport

· Strong compliance regarding circuit activity being conducted on public holidays (particularly during late 2022 and 2023)

· Significant reduction in circuit training being conducted after 6pm (reduction from 19% of total circuit traffic to 3%)

· Slight increase in the usage of the preferred 03 runway direction. Long term impact of the newly opened parallel taxiway on runway take-off direction to be assessed.

· Noise complaints have reduced, particularly on a Sunday but will continue to be monitored

Options

· Adopt the recommendations as tabled in the report

· Adopt the recommendations as tabled in the report with amendments

· Note the report and not continue with Port Macquarie Airport - Pilot Training and Aircraft Noise - Fly Neighbourly Agreement

Community Engagement and Internal Consultation

In conjunction with the implementation of the FNA, an aircraft noise complaint register has been established to monitor and respond to complaints received from local residents.

Over the 12-month trial period a total of 18 noise complaints have been received, with details shown below. Four complaints were received since the six-month interim report.

Date	Issue
29/05/2022	Sunday training circuits contravene FNA
06/06/2022	Sunday training circuits contravene FNA
14/06/2022	Sunday training circuits contravene FNA
07/08/2022	Sunday training circuits contravene FNA
08/08/2022	Sunday training circuits contravene FNA
13/08/2022	Concerns about aircraft flying circuits in tandem
22/08/2022	Sunday training circuits contravene FNA
29/08/2022	Sunday training circuits contravene FNA
18/10/2022	Sunday training circuits contravene FNA
19/10/2022	Sunday training circuits contravene FNA
30/10/2022	Sunday training circuits contravene FNA
28/10/2022	Ongoing disturbance from frequent light aircraft noise
31/10/2022	Sunday training circuits contravene FNA
07/11/2022	Sunday training circuits contravene FNA
08/01/2023	Sunday training circuits contravene FNA
13/02/2023	Sunday training circuits contravene FNA
26/03/2023	Sunday training circuits contravene FNA
02/04/2023	Sunday training circuits contravene FNA

Planning and Policy Implications

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

Financial and Economic Implications

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

Attachments

Nil

AGENDA Ordinary Council

15/06/2023

Item: 13.05

Subject: Update on Site Specific Planning Proposal Requests - Bi-annual Report

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 status of site specific Planning Proposal requests detailed in this report.

2. Receive a further update report in December 2023 regarding the progress of site specific Planning Proposal requests.

Executive Summary

The purpose of this information report is to provide Council with an update on the status of the current site specific Planning Proposal requests.

Since the February 2023 Council report, there has been progress made on a number of site specific planning proposals as outlined in this report.

It is recommended that Council note the status of the site specific planning proposal requests to amend the Port Macquarie-Hastings Local Environmental Plan 2011 (LEP).

Council will receive individual reports on each of these planning proposal requests at key stages of the process, and a further update report will be presented to Council in December 2023.

Background

Council at its meeting on 16 February 2023, considered a report on the status of eight site specific planning proposal requests (Item 13.02) and resolved:

That Council:

1. Note the status of site specific Planning Proposal requests described in this report.

2. Note the NSW Government Planning Reform Action Plan and “Local Environmental Plan (LEP) Making Guideline September 2022”, and Council’s performance responsibilities in respect of processing changes to zoning and planning controls (eg Planning Proposals).

3. Council notify proponents and landowners of its intent to receive further separate individual assessment reports in March 2023 in respect of Planning Proposals that have not progressed from Stage 1, recommending that they be considered based on the information at hand.

4. Note that proponents may submit a new application via the NSW Planning Portal, when all required information is available.

Discussion

Status of Site Specific Planning Proposals (Planning Proposals) - June 2023

Since the February 2023 Council report progress has been made on the following planning proposals:

· The Blackwood Street Extension (PP2011-9.3) was made on 6 April 2023;

· The Mumford Street planning proposal (PP2014-11.1) was made on 17 March 2023;

· PP2022-2.1 to rezone land from RU1 Primary Production to part SP2 Infrastructure (school) and part C2 Environmental Conservation to enable a school at 1175 and 1191 Ocean Drive Bonny Hills, is awaiting additional information.

Three planning proposals have been withdrawn:

· PP2017-1 - Rezone land from RU1 Primary Production to IN1 General Industrial at Frogs Road and Benjamin Close Sancrox;

· PP2020-3.1 - Part of the Health and Education Precinct (8 Highfields Circuit, 3-5 Kulai Place and 9-11 Kingfisher Road Port Macquarie) to rezone land from Part R1 General Residential and Part R2 Low Density Residential to B4 Mixed Use and associated changes to building height and FSR; and

· PP2021-4-1 - Rezone land from B4 Mixed Use to R1 General Residential at Seaside Drive Lake Cathie (Rainbow Beach)

Below in Table 1 is an update on all of the Site Specific planning proposal requests reported in February 2023.

Table 1: Status of Site Specific Planning Proposal Requests (February 2023)

Item No

Planning Proposal Ref.

Property

Summary of amendment to LEP

Fees Paid

Status February 2023

Status June 2023

PP2011-9.3

“Blackwood Street Extension Planning Proposal”

Lodged:

2011

The Proponent wrote to Council.

29/01/21 Council received an amended Planning Proposal

Part Lot 499

DP1258597 Ruins Way Port Macquarie

Rezone land from RU1 Primary Production to Part R1 General Residential and Part C2 Environmental Conservation.

Yes

Stage 1 and 2.

With DPE for finalisation and drafting of LEP instrument as of 06/01/23, noting:

KPoM and other outstanding information received late Nov 2022, and final assessment report to Ordinary Council Meeting held on 08/12/22.

Complete

Was made on 6 April 2023

PP2014-10.1

“Mumford Street Planning Proposal”

DA2021-257

Lodged:

16/02/18

11 and 33 Mumford Street Port Macquarie

Rezone land from R1 General Residential and Part E2 Environmental Conservation to Business Zone.

Yes

Stage 1

Gateway Determination received and amended information required prior to exhibition. With DPE for final map checking and legal drafting of amending instrument as of 04/01/22.

Completion target early Feb 2022.

Complete

Was made on 17 March 2023

PP2017-3.1

Lodged:

21/12/18

Lot 37 and Part Lot 39 DP 1191701, Frogs Road and Benjamin Close Sancrox

Rezone land from RU1 Primary Production to IN1 General Industrial for employment purposes.

Yes

Stage 1

Ecological issues with Koala habitat. Not advanced since 2017 lodgement, and captured by Council’s resolution of 18/08/22 to not proceed with current Planning Proposals past Stage 6 Finalisation Stage. Recommend separate report in March 2023 to discontinue, based on inadequate infrastructure, insufficient information to demonstrate strategic merit and justify conversion of rural zoned land at this time having regard for Ministerial Directions and State Environmental Planning Polices (SEPPs).

Proponent to initiate new proposal in the NSW Planning Portal when all information requirements can be satisfied.

Complete

Withdrawn by Proponent March 2023.

PP2020-3.1

“HEP Planning Proposal”

Lodged:

25/05/20

8 Highfields Circuit

3-5 Kulai Place

and

9-11 Kingfisher Road Port Macquarie

Mixed-use health and education precinct

Rezone land from Part R1 General Residential and Part R2 Low Density Residential to B4 Mixed Use and associated changes to building height and FSR.

Yes

Stage 1

Not advanced since June 2022.

The property has been sold and the developer relocated interstate. Recommend separate report in March 2023 to discontinue, based on no sewer treatment capacity, insufficient information to demonstrate strategic merit and justification having regard for Ministerial Directions and SEPPs.

Proponent to initiate new proposal in the NSW Planning Portal when all information requirements can be satisfied.

Complete

Withdrawn by Proponent March 2023.

PP2021-4.1

Lodged:

5/08/2021

Lot 11

DP 1226839 Seaside Drive Lake Cathie (Rainbow Beach)

Rezone land from B4 Mixed Use to R1 General Residential

Yes

Stage 1

No information received since meeting with Proponent 06/10/21. Issues with Part 3A modification currently with DPE, impacting progress of this Planning Proposal. Follow up report to be provided to Council.

Recommend separate report in March 2023 to discontinue, based on insufficient information demonstrating strategic merit, and justifying a change in planning controls having regard for Ministerial Directions and SEPPs.

Proponent to initiate new proposal in the NSW Planning Portal when all information requirements can be satisfied.

Complete

Withdrawn by Proponent March 2023.

PP2022-2.1

Lodged: 21/04/22

Lot 6

DP 594793, Lots 6 and 7 DP 594792 1175 and 1191 Ocean Drive Bonny Hills

Rezone land from RU1 Primary Production to part SP2 Infrastructure (school) and part C2 Environmental Conservation to enable an education establishment.

Yes

Stage 1

Recommend separate report in March 2023 to discontinue, based on inadequate infrastructure, insufficient information demonstrating strategic merit and justifying conversion of rural zoned land having regard for Ministerial Directions and SEPPs.

Proponent to initiate new proposal in the NSW Planning Portal when all information requirements can be satisfied.

Ongoing

Applicant provided opportunity to provide additional information to address issues of ecology and access.

PP2023-2.1

Lodged 01/03/23

Lots 1 & 2 DP 1091253, Beach Street Bonny Hills

Rezone land from R1 General Residential and RU1 Primary Production to C2 Environmental Conservation and R1 General Residential.

Yes

Stage 1

N/A

Ongoing

Awaiting additional information

Options

The update on the site specific Planning Proposals is for information only.

Community Engagement and Internal Consultation

Depending upon the stage of the Planning Proposal, consultation may have been undertaken between Council staff, proponents, State agencies and the public.

Further community consultation consistent with the requirements of the Environmental Planning and Assessment Act 1979 (EP&A Act), DPE’s LEP Making Guideline and Council’s adopted Community Participation Plan will occur where a Planning Proposal is supported by Council and a Gateway determination is received.

Planning and Policy Implications

Council’s consideration and assessment of requests for Planning Proposals is governed by the EP&A Act, Environmental Planning and Assessment Regulations 2000, various state policies, DPE guidelines and Council’s Planning Proposal Policy.

A separate report for Council’s consideration will be required for each Planning Proposal as to whether or not to support an amendment being made to the LEP. If supported, the Planning Proposal will be forwarded to DPE for a Gateway determination.

In the event Council does not indicate support for the proposal or has failed to indicate its support within 90 or 115 calendar days (depending on the Planning Proposal category), then the proponent has the opportunity to submit a rezoning review application that requests an independent planning panel to evaluate and make a recommendation to the Minister on whether a proposal should progress to Gateway determination.

Financial and Economic Implications

Council fees consistent with current adopted Fees and Charges (Stage 1 and Stage 2 fees) will apply to each of the Planning Proposal requests to amend the LEP.

Attachments

Nil

AGENDA Ordinary Council

15/06/2023

Item: 13.06

Subject: Kooloonbung Creek Flying-Fox Camp Management Plan Update

Presented by: Community, Planning and Environment, Melissa Watkins

Alignment with Delivery Program

4.8.2 Increase community awareness and enable access to the natural environment.

RECOMMENDATION

That Council note the information presented in the Kooloonbung Creek Flying Fox Camp Management Plan update report.

Executive Summary

The Kooloonbung Creek Flying-Fox Camp Management Plan (CMP) was adopted by Council at the June 2019 Ordinary Council meeting. The CMP follows the Department of Planning Industry and Environment (DPIE) template and state legislative guidelines and contains recommendations, specific to Kooloonbung Creek, for action based on feedback from the community and in particular, the local residents.

Since adoption in June 2019 staff have been implementing the Level 1 and 2 management actions identified in Table 8 on page 48 of the adopted CMP (Attachment 1).

This report provides an update on the progress of implementing those Level 1 and 2 management actions including education and awareness programs, property modification/service subsidies, as well as canopy mounted sprinklers. Given this program has been running successfully for four years, the focus for the next Operational Plan is proposed to be on appropriate land use planning actions.

Discussion

The Kooloonbung Creek Flying-Fox Camp Management Plan (CMP) (Attachment 1) was developed following a resolution by Council in August 2018 as follows:

That Council:

1. Note the information contained in the Management of the Flying-fox Camp in Kooloonbung Creek Nature Reserve report;

2. Establish a Consultative Committee for Flying-fox Management in Kooloonbung Creek;

3. Invite nominations for membership on the Committee from the following:

· Affected residents;

· Representatives from the Office of Environment and Heritage (OEH);

· Representatives of the Friends of Kooloonbung;

· Expert ecologists; and

· Other interested community representatives.

4. Prepare a Project Plan for delivery of a Camp Management Plan and associated community consultation/engagement/education program;

5. Formally seek OEH and Local Government NSW funding for the development of a Camp Management Plan and future implementation of the Camp Management Plan;

6. Engage a suitably qualified consultant to assist in the preparation of a new Flying-fox Camp Management Plan for Kooloonbung Creek, which takes account of new camp management options and legislation and to undertake associated community consultation (including formalised attitudinal surveys, etc.).

7. Ensure that the Kooloonbung Creek Management Plan fully explores all other options and outlines the legislative obligations, pros, cons, and costs for management options including but not limited to:

a) Noise barriers (e.g. Perspex sheeting);

b) Buffer landscaping using non-roost trees;

c) Specific rebates to residents to assist with air-conditioning etc.;

d) (Voluntary) acquisition of properties for affected residents with these residences leased back by Council with agreements in place;

e) Other novel options.

8. Further considers the draft Camp Management Plan and the options outlined therein at a future meeting of Council, with further Actions to be based on this work.

9. Request the General Manager provide quarterly reports to Council on progress in these matters.

The Kooloonbung Creek Flying-Fox Camp Management Plan (CMP) was adopted by Council at the June 2019 Council meeting as follows:

That Council:

1. Adopt the Kooloonbung Creek Flying-fox Camp Management Plan (Attachment 1).

2. Acknowledge the submissions made during the exhibition period and advise people who made submissions of the outcome of Council consideration of this matter.

3. Acknowledge the contribution of the Kooloonbung Creek Flying-fox Camp Management Plan Consultative Committee in the development of the Management Plan and thank the members of the committee for their input.

The Kooloonbung Creek Camp Management Plan provides Council with a framework for managing community impacts associated with flying foxes roosting along Kooloonbung Creek, whilst ensuring flying foxes and their ecological services are conserved.

Level 1 and 2 management actions have commenced and continue. Table 1 below outlines the works that have been completed from June 2021 to June 2023.

Table 1: Progress Report

Actions	Expected timeline	Progress to date
Level 1 Management Actions
Education and awareness programs	June 2020	The Education Team is delivering ongoing educational activities including with school groups community groups and educational activities to the community to raise awareness about flying foxes. These include: 1. Koolongbung Creek Interactive 360-degree map of the camp The interactive map can be access via the Council Website. It provides an opportunity for Community members to explore the local Kooloonbung Creek camp, with the opportunity to click through to see images, videos and listen to information about flying foxes 2. Kooloonbung Creek 360 video of camp with sound This 34 second video show the bats in the camp, moving and making noise - As a 360-degree video, the viewer can move the screen to see the camp from various angles 3. Community update on the Flying Fox Camp Management Plan The video presentation discusses the unique attributes and contribution of flying foxes and discusses our need to live and work beside them in the community. The presentation takes viewers through the 360-degree interactive map resource (above) to demonstrate how to use it and what you can learn. It was designed to share as part of an update with the local community in regard to the Kooloonbung Creek flying fox camp management plan. 4. Social Media posts promoting positive impacts of Flying Foxes In conjunction with the communication team, a series of Flying fox posts have been shared to promote the positive attributes and contribution of the flying fox. 5. Connect Ed Schools Website - links to flying fox resources (1 and 2 above). Promotion of the flying fox resources on our School Education Hub - for students and teachers to access for interest or to support their learning. Flying foxes: breeding season might see a swell in numbers. - ConnectEd PMH (nsw.gov.au) Flying fox research and numbers - ConnectEd PMH (nsw.gov.au) 6. Creation of a Flying Fox box as a resource for schools A Flying fox box is a resource that is available for loan by schools and families through Connect Ed. The box includes a flying fox soft toy, 2 books - one factual and one fictional story, a template to make your own flying fox, lesson plan ideas to stimulate discussion, learning and engagement with flying foxes, why they are important and how we can live in harmony with them. The boxes are complete and available for loan with several schools already taking advantage of the resource. The resource is also being promoted on the Connect Ed schools and library websites. The Flying Fox Box resource kit has garnered positive feedback from four preschools and primary schools, particularly for its localised information and interactive learning journal. One institution found it valuable in enhancing their visit to Kooloonbung Creek Nature Reserve, leading to students developing a better understanding of the crucial role played by flying foxes in our local ecosystem. 7. Artwalk 2023 - Frankies Fan Club Artwalk 2023 will be used to shine a spotlight on our ecosystem's unsung heroes: the flying foxes. Through 'Frankie's Fan Club' residents can uncover why these rather cute, intriguing, yet sometimes maligned flying mammals play such a critical role in our local environment. Includes a radiant handcrafted mascot flying fox, Frankie, a happy snap at “Frankie’s Photo Booth”, a free kid’s activity booklet, and chance to become a club member of Frankie’s Fan Club taking home a membership card and a choice of a Frankie’s Fan Club wristband or DIY badge. Ongoing community information sessions are scheduled at six monthly intervals to inform the community of the progress of implementing the CMP. The next community information session is scheduled for 28 June 2023 in the Function Room at 17 Burrawan Street Port Macquarie. Due to COVID-19 Restrictions, the community information session was held on 10 December 2021 via a live Zoom Presentation. In addition to the community information session Council provided a brief update via letter box drop to 168 residents living in close proximity to the camp in January 2023. This update is also available on Council’s website, Kooloonbung Creek Flying Fox Camp Management Plan Port Macquarie Hastings Council (nsw.gov.au) Council’s website is continuously updated and provides a range of information about flying-foxes and management. The last update was May 2023. Interpretative Signage has been installed at strategic locations in Kooloonbung Creek. Customer service staff have been provided guidance on how to respond to frequently asked questions (FAQ’s). Port Macquarie Library presented a Wildlife Educational Display Sept-Dec 2020 which included: · Educational resources about the importance of wildlife and their habitats · New Book Life Upside Down. Explore the upside down world of Australia’s Grey-Head Flying Fox. Learn about their habitat, behaviours and how to protect the species. In 2018 Council developed and IZI Interactive Audio Educational Walk of Kooloonbung Creek which includes: · 27 points of interest with audio interpretations via GPS · Audio Number 5 talks about the importance of Flying Foxes Regular contact has been maintained with residents living in proximity to the camp and the Friends of Kooloonbung Creek.
Property modification /service subsidies	June 2020	The subsidy program has been delivered over the past 4 years and made a substantial difference with a total of $62,748 assisting residents identified as Tier 1 (0-20m from camp), Tier 2 (20-40m from camp) and Tier 3 (40-60m from camp). Several residents have participated in the subsidy 4 times. It is considered that many residences are now fitted out with items such as Noise Proofing Windows and Air-conditioning therefore limiting future assistance to cleaning services only. With less than half of eligible residents participating it is proposed that the 2023-2024 financial year focusses on other actions within the Camp Management Plan such as appropriate land use planning instead of providing ongoing subsidies to residents who have already received significant assistance to retrofit dwellings. The 2022-2023 subsidy package is in the process of finalisation using the funding provided through the Operational Plan The 2022-2023 subsidy was offered to 36 residents in November 2022 living in proximity to the flying fox camp ensuring a targeted mitigation strategy with long term benefits. 12 residents applied for the subsidy within the required time and a further 5 residents were offered the subsidy in February 2022 as a result of the camp area moving and the additional residents becoming eligible. This was identified after receiving enquiries from residents living in proximity to the camp who were not eligible at the time the subsidy was offered in November 2022. Due to the lack of uptake of the subsidy, funding was available and the additional 5 residents identified in February 2023 to be within the eligibility distance of 60m from the camp were offered to participate. A total of 2 additional residents participated in the subsidy making a total of 14 residents out 41 offered. Summary of 2022-2023 subsidy package: · Offered to 41 eligible residents. · 14 residents participated · 25 residents did not make any contact or participate in the subsidy · 2 residents responded and applied to participate however did not take advantage of the subsidy Total cost of 2022-2023 subsidy $30,507 Cost breakdown · Noise Proofing Glass $2,800 · Air-conditioning $13,553 · Professional Cleaning and Rejuvenation of outdoor Areas $14,154 Summary of 2021-2022 subsidy package: · Offered to 36 eligible residents. · 11 residents participated · 21 residents were unable to be contacted and therefore did not participate. · 4 resident declined to participate Total cost of 2021-2022 subsidy $4,565 Summary of 2020-2021 subsidy package: · Offered to 36 eligible residents. · 20 residents participated in the 2021 · Delivery being finalised prior to 17 June 2021. · 10 residents were unable to be contacted and therefore did not participate. · 5 residents applied but later declined to participate. · 1 resident declined to participate Total cost of 2020-2021 subsidy $15,614 The first subsidy program was run as a trial and developed in 2019 with Executive endorsement on 30 October 2019. 14 residents were provided the subsidy information package and 8 residents took advantage of the package. Total cost of 2019-2020 subsidy $12,062
Routine Camp Management	Ongoing	Friends of Kooloonbung Creek with support from Council’s NRM team continue to work in the Kooloonbung Creek reserve maintaining the bushland ecosystem and flying fox camp area. The planting of 150 Broadleaf paperbark trees (Melaleuca quinquenervia), supplied by the Port Macquarie Land Care nursery has assisted with the regeneration of the defoliated trees in the camp area. The work was undertaken in April 2020 by the Friends of Kooloonbung Creek. An additional 100 native trees including Broadleaf paperbark trees (Melaleuca quinquenervia), Sandpaper fig (Ficus coronate) and Red ash (Alphitonia excelsa) supplied by the Port Macquarie Land Care nursery. Additional works by Council within the camp area to remove broken and discarded sections of boardwalk that was under the canopy for several years was carried in April/May 2021. Additional weed management was undertaken by council to support the works of Friends of Kooloonbung Creek in June 2021, July 2021 and May 2022 to ensure ongoing weed control within the camp area. Ongoing support to Friends of Kooloonbung Creek is provided by Council to manage the Kooloonbung Creek Nature Reserve.
Alternative habitat creation	June 2020	· Alternative habitat exists all throughout Port Macquarie-Hastings local government area of 368,018 hectares. · Many areas are within proximity to residents · Areas within Conservation Estates, State Forests, Crown Lands and Private Property exist · Flying-fox camps are usually found in cool areas where there is a closed canopy of at least five metres tall with understorey and mid storey layers, mostly near water and of a size of at least 1 Ha. Rehabilitation of potential habitat is also an option where a suitable location may exist and could be revegetated. Local Government NSW commissioned a report titled Flying-fox Habitat Restoration Program - Camp Mapping Final Report 2019. This report identifies potential restoration in the centre of the Kooloonbung Creek Nature Reserve at the area of defoliation in the current camp location. The works undertaken by Friends of Kooloonbung Creek and Council are assisting in regeneration of this area.
Protocols to manage incidents	June 2021	The Department of Planning and Environment (DPE) are working with a range of stakeholders to develop protocols, suggested roles and responsibilities, and supporting resources for all involved in managing heat stress events in flying-fox camps. In the interim the Department has provided fact sheets developed by Armidale Regional Council on correct disposal of deceased bats. The correct procedure for disposal of deceased Bats has been included in the information about living near flying foxes and is available on Councils website.
Research	Ongoing (long term)	Due to significant increase in Camp occupancy during March and April staff counted the flying-fox camp on 30 March 2023, 18 April 2023 and 3 May 2023 to ensure we are keeping the community informed of the numbers and location of roosting. The camp numbers increased significantly over a short period of time coinciding with prolific flowering of the broadleaf paperbark (Melaleuca quinquinervia). The total numbers of flying foxes peaked in April 2023 with up to 100,000 flying foxes present mostly the vulnerable grey headed flying-fox. This represents peak camp occupancy which has historically occurred during the months of February to March. This data is also supplied to Port Macquarie Airport to assist Airport Management to understand the risk of Biomass in the area. 30March 2023 Count depicted in Figure 1 below · 24,762 Grey-headed flying fox · 380 Black flying-fox · 4,190 Little red flying-fox 18 April 2023 Count depicted in Figure 2 below · 84,987 Grey-headed flying fox · 1,307 Black flying-fox · 14,382 Little red flying-fox 3May 2023 Count depicted in Figure 3 below · 15,000 Grey-headed flying fox · 240 Black flying-fox · 0 Little red flying-fox The quarterly flying-fox counts continue to be undertaken for the national census. PMHC staff counted the flying-fox camp for the National census on 18 May 2023 using the area density methodology over an area of 3.5 hectares was: · 23,679 Grey-headed flying fox · 990 Black flying-fox · Little red flying-fox The 18 May 2023 census is depicted in Figure 4 below. For comparison, the National census undertaken in February 2023 which normally represents peak camp occupancy over the camp area of 2.72 hectares was using the area density methodology was: · 11,166 Grey-headed flying fox · 245 Black flying-fox · 0 Little red flying-fox The next National Census is scheduled to occur in August 2023. Other research activities have included: · Working with other government agencies and to build protocols around managing incidents · Alternative habitat identification · Monitoring the effectiveness of irrigation System · Monitoring the effectiveness of subsidy program items Noise Monitoring: · Residences greater than 50m from the camp have expressed concern about the noise. · The 2019-2020 trial subsidy package was based on proximity to the camp. · Noise monitoring will help to determine impacts to surrounding residences up to 100m through modelling. · Acoustic consultant engaged to undertake noise monitoring and modelling and prepare a report with recommendations for mitigation measures to assist residents with noise impacts. · Kooloonbung Creek CMP Report - May 2023 (Attachment 2). Research: · A study published in 2020 reveals unprecedented detail on the movement of three flying fox species · Flying foxes are profoundly nomadic and travel up to 6,000 kilometres a year · 17% turnover per night for Grey-headed flying fox at any given camp
Appropriate land-use planning	June 2022	Project planned for 2023-2024 Operational Year will involve working with land use planners to address this action including scope to address: · What is the effective minimum buffer between a flying fox camp and places of residences to reduce impacts from noise, droppings and smell? · Potential habitat is everywhere that is vegetated and flying fox camps can establish anywhere. · Can land use planning tools be used to minimise this risk. · Develop appropriate land use planning tools
Level 2 Management Actions
Canopy mounted sprinklers	June 2022	After formal adoption of the CMP, staff implemented the Level 1 and 2 management actions identified in the CMP. In respect of the canopy mounted sprinklers, these were installed and operated from 10 March 2020 up until March 2022. Monitoring over 20 months and community survey results indicate the sprinkler system has a negligible effect at alleviating impacts. The results indicate: · No reduction in noise from the roosting flying fox and in fact could increase noise during operation. We have received noise complaints when roosting more than 50m away since operation began this indicates that 15 metres is not effective at reducing the noise impacts. · No reduction in smell as smell spreads more than 15 metres and some residents have stated the water increases the smell. We are aware that when it rains the smell is more noticeable so the sprinklers may have the same effect. · No reduction in droppings as the flying foxes drop their faeces when flying out or in to roost each morning. In consideration of the monitoring and community survey, we have ceased operation of the canopy mounted sprinklers and removed the system and recycling for use on other council projects in July 2022.
Buffers through vegetation trimming and removal	June 2024	If it is determined that canopy mounted sprinklers and the subsidy program have not managed the impact adequately then this management action will be investigated. However, impacting on an Endangered Ecosystem mapped as Coastal Wetlands, included the Biodiversity Values Mapping, habitat for threatened species including State and Commonwealth listed Koala and Flying Fox would be very difficult to secure the required approvals and any impact would require substantial cost for biodiversity offsets if approved. Clearing vegetation within area mapped as Coastal Wetlands is not consistent with State Environmental Planning Policy (Resilience and Hazards) 2021 ie Sec 2.7 (4) where a consent cannot be granted unless sufficient measures have been, or will be, taken to protect, and where possible enhance, the biophysical, hydrological and ecological integrity of the coastal wetland. Clearing a coastal wetland does not demonstrate protection. As such it is not feasible to increase buffers through vegetation removal because it is not able to be done under the current legislative framework.

Extent of Flying Fox Camp

The maps below show the extent of the Flying Fox Camp in Kooloonbung Creek, comparing February 2023, March 2023, April 2023 and May 2023

Figure 1 Kooloonbung Creek Flying Fox Camp Area and Numbers 30 March 2023

Figure 2 Kooloonbung Creek Flying Camp area and Numbers 18 April 2023

Figure 3 Kooloonbung Creek Flying Camp area and Numbers 3 May 2023

Figure 4 Kooloonbung Creek Flying Camp area and Numbers 18 May 2023

Options

This report is for notation only.

Community Engagement and Internal Consultation

The next community information session is scheduled to occur on 28 June 2023.

Regular contact with Council’s Customer Service and Communications teams has been undertaken to discuss the progress of implementing the camp management plan and work through any communications actions. Community engagement has included social media posts and use of local media to keep the community informed.

The Education team is delivering ongoing educational activities to the community to raise awareness about flying foxes.

Planning and Policy Implications

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

Financial and Economic Implications

Funding for the Flying Fox Camp Management Plan (detailed action plan is in Table 8 of the CMP - Attachment 1) was incorporated in the 2022-2023 Operational Plan.

The Operational Plan actions from the Flying Fox Camp Management Plan were delivered through the 2022-2023 operational budget totalling $63,000.

Actions delivered included costs associated with camp management activities, operational costs, education and awareness costs and the subsidy program.

The 2023-2024 proposed funding for the Flying Fox Camp Management Plan actions are presented in the draft Operational Plan as $45,000.

Actions proposed to be delivered in accordance with the Camp Management Plan include: Education, routine camp management, investigations into alternative habitat creation, flying fox census data collection and an investigation of land use planning provisions.

Attachments

1 ⇩. Kooloonbung Creek Flying Fox Camp Management Plan

2 ⇩. Kooloonbung Creek Camp Management Plan Report - May 2023

AGENDA Ordinary Council

15/06/2023

Item: 13.07

Subject: Lake Cathie Natural Resource Management Monthly Update Report

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 waterways and progress on the Coastal Management Program.

Executive Summary

Council is currently involved in a number of projects for 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 which requests a monthly update report.

Specifically, this report 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 previous report was presented to the May 2023 Ordinary Council 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 Emergency Coastal Erosion Works

3. Bundella Avenue Asbestos Remediation Works

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

5. Dredging Lower Cathie Creek

6. Coastal Recreational User Needs Analysis

7. Coastal Hazard Assessment and Coastal Vulnerability Assessment Mapping Project

8. Review of the Opening Strategy

9. Invasive Weed Management

10. Development of Other CMP Chapters

Discussion

The following provides an overview of the progress since the last monthly report

detailing Council projects and initiatives within the Lake Cathie, Lake Innes and

Cathie Creek waterway, as well as other projects and initiatives related to the

development of the CMP.

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

Royal HaskoningDHV are working on the development and calibration of the detailed water quality model, which is the last piece of modelling to be done. Field data obtained by Royal HaskoningDHV and others, including the recently repaired water quality monitoring buoy in Lake Innes will be used to calibrate the model. Once the development of models has been completed, potential management scenarios for the system will be assessed. The list of possible management scenarios to be investigated will be reviewed and agreed upon by Council staff and informed by previous resolutions of Council. The overall project, including the scenario modelling and assessment is expected to be completed by December 2023.

2. Illaroo Road Emergency Coastal Erosion Works

Council have completed emergency coastal protection works around the damaged stormwater outlet off Illaroo Road, Lake Cathie. Council staff are continuing to undertake ongoing maintenance of the revegetation works to encourage the establishment of the flora. The establishment of flora will help retain the nourished dune profile and increase the visual amenity of the dune. Council staff, in consultation with DPE representatives are planning to install a small education sign near the site informing the community of the works. The sign is expected to be installed in the coming weeks.

3. Bundella Avenue Asbestos Remediation Works

Council and Crown Lands DPI have committed to split the cost of remediating the section of embankment off Bundella Avenue known to contain Asbestos Containing Material given the contamination has been identified across both Council and Crown Land tenure. Soil Conservation Services (SCS) provided Council with a quote in late February to undertake the following works:

· Stage 1: Complete the environmental and safety management plans required for class 1 asbestos removals works

· Stage 2: undertake remedial works.

SCS have been engaged to undertake Stage 1 and are aiming to commence the project in the coming weeks. Staff are currently working with Crown Lands DPI to identify additional funding to allow costs of Stage 2 of the project to be spilt evenly. If sufficient funding can be identified, it is estimated that the Stage 2 works will be completed in the 2023-2024 financial year.

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

Council staff and key stakeholders have reviewed and provided feedback to Soil Conservation Services (SCS) on their draft report for the recovery of the Lake Innes, Lake Cathie and Cathie Creek waterway following the 2019-2020 bushfire/drought event. The report is expected to be finalised in the coming weeks.

Rhelm have been engaged to undertake a Water Quality Monitoring Plan for the Lake Cathie/Lake Innes/Cathie Creek waterway. The intent of the Water Quality Monitoring Plan is to assist in the ongoing management of the waterway and improve stakeholder understanding of the waterway condition and how it varies over time. Rhelm are currently working on the development of the Water Quality Monitoring Plan. The Water Quality Monitoring Plan will be delivered in June.

5. Dredging Lower Cathie Creek

Dredging Solutions Pty Ltd have been engaged to undertake the dredging of lower Cathie Creek and associated beach nourishment. Staff will continue to work with Dredging Solutions to ensure dredging can commence as quickly as conditions allow. As previously indicated, dredging of lower Cathie Creek can only commence once the lake entrance has closed and there is a waterbody deep enough for the dredge to commence its operation. The entrance to Cathie Creek remains open to the ocean at the time this report was prepared.

6. Coastal Recreational User Needs Analysis

Otium Planning Group are currently working with staff in undertaking the community and stakeholder engagement component of the LGA wide Coastal Recreational User Needs Analysis. This involves:

· Community and User Group Surveys - two surveys were developed for the community. One for the general community and one for community and business groups that have a direct relationship with Council’s coastal zone. A large number of surveys were received, including 187 community surveys and 12 user group surveys. Surveys closed on 28 May 2023.

· Have Your Say Map - A map has been developed that allows respondents to add comments to specific coastal areas in the Port Macquarie-Hastings LGA. At the time this report was prepared, 154 individual comments were provided. Submissions to the map closed on 28 May 2023.

· User Group Workshops - 36 Community groups and businesses that have a direct relationship with the PMHC coastal zone were invited to a workshop. The purpose of the workshops was to gain feedback from these groups and businesses about identifying specific uses and opportunities within the coastal area. A workshop was undertaken on 18 May 2023. Six community groups were represented at the workshop.

· Consultation with Key Stakeholders - Representatives for Government agencies that have an influence in the recreational use of coastal areas within the PMHC LGA were invited to meet with the project team to discuss current recreational uses, issues and opportunities. Meetings have been held with representatives from Crown Lands DPI, NSW National Parks and Wildlife Service and Transport for NSW.

The outcomes of the engagement will be referenced in further stages of this project which includes a Needs Analysis and Opportunity Assessment involving a demand and gap analysis, opportunity mapping and development of preliminary directions. The outcomes of this project will integrate with other Council strategies, in particular the CMP and inform short to long term priorities across the coastal recreation network. The project is expected to be completed mid-2023.

7. Coastal Hazard Assessment and Coastal Vulnerability Assessment Mapping Project

Council staff are working with DPE staff to finalise the scope of work to be included in the tender specification. It is expected that the tender will be released in the coming months.

8. Review of the Lake Cathie 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.

9. Invasive Weed Management

Invasive weed control was undertaken along Cowarra Creek at the northern end of Lakeside Woods, targeting priority weeds Lantana, Groundsel bush and Tobacco bush. Weed control was also undertaken on the lake edge near Lakeside Way / Temple Circuit targeting Asparagus fern, Cassia and Ochna.

Invasive weed mapping was undertaken within Lake Innes State Conservation Area / Nature Reserve, identifying high weed load of Lantana and Tobacco bush. Weed mapping was also completed in bushland behind Evans Street, and on the northern side of the entrance of Cathie Creek. Overall these sites were identified as having a low weed presence in general, although ongoing attention will be required to keep weeds at bay.

During the 2022-2023 financial year, the coastal strip from the northern end of Chepana Street to Middle Rock received extensive invasive weed management. Management activities have resulted in a tangible reduction in the weed load of the area, although ongoing works will be required to reduce the amount of Morning glory and Bitou bush. Final reporting for the Crown Land Improvement Fund Program has been completed.

10. Development of other CMP Chapters

Camden Haven River Estuary Bank and Riparian Assessment

Council staff received three responses to the request for quote to undertake a Camden Haven River Estuary Bank and Riparian Assessment. Council and DPE staff are currently reviewing the submissions. It is expected that a preferred respondent will be identified by mid-June 2023. It is estimated the work will take between 4-6 months to complete.

This project aims to replicate the successful Bank and Riparian Assessment recently completed on the Hastings River Estuary. There is currently a lack of comprehensive, up to date bank and riparian condition data for the Camden Haven Estuary and a lack of suitable evidence based methodology to select and implement bank treatment works. The project will provide a comprehensive understanding of the issues associated with bank and riparian land condition within the Camden Haven Estuary and will identify targeted costed actions to inform future management actions within the Camden Haven Estuary CMP.

DPI Fisheries have generously contributed $30,000 to the project for LiDAR mapping of key erosion sites as part of the Marine Estate Management Strategy.

Options

This report is provided for information purposes only.

Community Engagement and Internal Consultation

This report 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

There are no planning and 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 Coastal Management Program.

Financial and Economic Implications

Funding currently allocated to active projects outlined in this report is detailed below.

Attachments

Nil

AGENDA Ordinary Council

15/06/2023

Item: 13.08

Subject: Out of Water Inspection and Maintenance (Slipping)

Presented by: Community Infrastructure, Robert Fish

Alignment with Delivery Program

4.4.2 Develop and implement annual maintenance and renewal programs for transport assets.

RECOMMENDATION

That Council:

1. Note the actions planned for the Out of Water Inspection and Maintenance (Slipping) of the Settlement Point Ferry.

2. Under the extenuating circumstances provision of s.55(3)(i) of the Local Government Act 1993, not invite open tenders for the Out of Water inspections and Maintenance (Slipping) of Council’s Ferries due to the remoteness of locality. The reason being that a satisfactory outcome to address the inspection and maintenance programs will not be achieved as there is only one provider in the local government area with the appropriate capacity and capability.

3. Undertake single select procurement processes with Birdon Pty Ltd to provide quotations to undertake the Out of Water Inspection and Maintenance (Slipping) of Council’s Ferries in accordance with the inspection program.

4. Note that the Chief Executive Officer, under existing delegations to the General Manager, may enter into a contract following successful negotiations with Birdon Pty Ltd Out of Water Inspection and Maintenance (Slipping) of Council’s Ferries and present a further report to a future meeting of Council on completion of the works for Council’s information.

Executive Summary

Under compliance with the Marine Safety National Law Act 2012, it is mandatory that the Settlement Point Ferry be slipped for dry hull inspection twice in five years by an Australian Maritime Safety Authority certified Surveyor. Council holds two specific exemptions issued by Australian Maritime Safety Authority to the two in five-year inspection program. These exemptions allow Council to maintain a four-year inspection program.

Under the extenuating circumstances provision of s.55(3)(i) of the Local Government Act 1993, Council may not invite open tenders for the out of water inspections and maintenance of Council’s Ferries due to the remoteness of locality. The reason being that a satisfactory outcome to address the inspection and maintenance programs will not be achieved as there is only one provider in the local government area with the appropriate capacity and capability.

It is recommended to commence a single select procurement activity with Birdon Pty Ltd. Birdon Pty Ltd are the only local supplier that has a slipway with the necessary ship building, engineering and maintenance capability within the Port Macquarie-Hastings Local Government Area to undertake the slipping.

Discussion

Proposed Procurement Pathway

Council’s ferry operations are highly regulated and come under compliance with the Marine Safety (Domestic Commercial Vessel) National Law Act 2012. Per this Act, it is mandatory that the Council’s ferries be slipped for dry hull inspection twice in five years by an Australian Maritime Safety Authority (AMSA) certified Surveyor. Council holds a “Specific Exemption” for the Settlement Point Ferry until 21 November 2034 and Hibbard Ferry until 17 October 2035, that allows Council to maintain a four-year inspection program.

Council allocates funds for the ferries to be slipped once in a four-year cycle. The Hibbard Ferry was last slipped in October 2020 and Settlement Point Ferry in October 2019. Funding of $900,000 has been allocated in the 2023-2024 Operational Plan for Settlement Point Ferry slipping.

The Settlement Point Ferry must be slipped during 2023. It is proposed to take the ferry out of service on Tuesday 10 October 2023, following the school holiday period. During the inspection, the opportunity is taken to conduct maintenance work to meet the requirements of the Certificate of Survey, and perform other general maintenance and service upgrades which cannot be carried out during regular monthly servicing performed by Council’s mechanics.

The intent is to seek a single quote from local supplier Birdon Pty Ltd (Birdon) to undertake the slipping of the Settlement Point Ferry. Birdon is the only slipway with the necessary ship building, engineering and maintenance capability within the Port Macquarie-Hastings local government area. Demonstrated through previous engagements, Council and Birdon have worked well to maximise the effectiveness of the slipping programs and minimise the operational impact to residents of the North Shore. Additionally, and supported by previous slipping projects, engaging a local business has enabled Council to evaluate additional works required on-site prior to the works being approved. This flexibility has reduced the potential time the ferries are out of service.

Due to the nature of the construction of the vessel and its operating environment, the extent of work to be undertaken cannot be determined until the vessel is slipped and an underneath and internal inspection of the hull is carried out by the AMSA certified surveyor. The findings of the inspection as well as the maintenance items identified by Council such as, replacement parts, metal sandblasting requirements and hydraulic work required will be detailed in the Scope of Works. Birdon’s will be requested to submit a quotation for consideration. The quote will be assessed against pre-determined evaluation criteria to confirm that the quote is technically and commercially acceptable.

Whilst there are suppliers in Sydney, Newcastle and Clarence River with the appropriate slipway and capability in ship building, engineering and maintenance, there are several significant factors and risks to be considered:

· Towing vessels in open waters have strict compliance requirements and additional costs such as:

o Tug hire and operator costs (e.g. mobilising, demobilising, accommodation, mooring costs, fuel etc.)

o Work required to make the Ferry seaworthy (e.g. ramp removal/reinstall, securing gates, anchors and other deck items)

· Weather conditions can significantly delay the slipping program, impacting local residents and ferry users (swell and wind conditions can result in towing vessels being returned to enclosed waters).

· The ferry is a critical part of the transport infrastructure servicing the North Shore area, and minimising the time the vessel is out of service is a priority.

· Additional costs due to the relocation of Hibbard ferry to Settlement Point and then relocating upon completion of the maintenance.

The intent of this report is to seek Council’s exemption to the tendering requirements. Due to the remoteness of locality and that a satisfactory result would not be achieved by tendering this requirement, single selective procurement processes will be undertaken with Birdon Pty Ltd for each slipping program until 2035 (when the last AMSA Specific Exemption expires). Each slipping program quote will be assessed in accordance with the approved Procurement and Evaluation Plan, considering past performance, quality of services, proposed timeframes, appropriate certifications and management systems and value for money.

Additionally, prior to commencing the future slipping program procurement activities Council will evaluate the previous procurement and contract process against:

· supplier performance

· benefit realisation

· any proposed improved outcomes, and

· value for money.

2023 Slipping Program

It is proposed to take Settlement Point Ferry out of service at 10:00am Tuesday 10 October 2023 for a period of approximately four to six weeks. The slipping period will be dependent on the final scope of works required to be performed once inspected by the AMSA certified Surveyor.

During this time, Hibbard Ferry will operate on a 24-hour basis to ensure continuity of service. It is proposed to relocate Hibbard Ferry to Settlement Point, the main reason being the signalised intersection at Hastings River Drive and Boundary Street may at times not be able to cater for the significant increase in traffic should all traffic be diverted to the Hibbard crossing. Additionally, the limited area in Boundary Street may be insufficient at times for vehicles queueing for the ferry heading north, causing blockages, significant delays and confusion.

In order to move the Hibbard Ferry, there will be a period of time where no ferry service is available on Tuesday 10 October 2023. This will also be the case when Settlement Point Ferry is placed back in service. This cannot be avoided as Hibbard Ferry must be stopped and released from its cables and moved to Settlement Point, at which time Settlement Point Ferry needs to be removed from its cables and the Hibbard Ferry connected. It is estimated to take approximately three to four hours to complete this process.

It should be noted that changing of ferries on waterways is a difficult manoeuvre and unfavourable conditions could cancel the planned changeover day at short notice. Tide conditions, water flow and wind conditions all need to be favourable to complete the changeover with reduced risk.

During the slipping period, ferry users will experience some delays with only one ferry operating, noting Hibbard Ferry has a slightly less vehicle (car) capacity of 15, compared to Settlement Point Ferry which has a 21 vehicle (car) capacity.

It is proposed to provide a mini bus service on the North Shore to assist in managing access to the ferry by school children as well as other users who may opt to travel as pedestrians rather than using their vehicle.

Options

Council has the option to:

· Support the recommendation

· Not support the recommendation

· Make changes to the recommendation or;

· Seek further information

Council must have a current Certificate of Survey for the vessel in order to be issued with a licence to operate the ferry. This can only be achieved through an out of water inspection. In exceptional circumstances the out of water inspection may be delayed, however NSW Maritime may require underwater dive inspections every three (3) months until a dry dock inspection is carried out.

Community Engagement and Internal Consultation

Prior to the slipping, a communications campaign will include:

· Letter to North Shore residents

· Flyers provided to the ferry operators and distributed to ferry users

· Electronic information on websites and other social media platforms

Variable Message Sign (VMS) boards will be placed at each of the ferries for a minimum of three (3) weeks prior to the slipping.

Parent/care givers of students on the North Shore who use the ferry for access to school buses shall be informed of arrangements to be in place. Busways will be notified of the slipping arrangements.

It should be noted that Council has no other method of transporting vehicles or commuters across the river should a mechanical breakdown occur during the slipping program and that each household on the North Shore prepare their own contingency plan in the event this occurs. Alternate access to Port Macquarie is available for North Shore residents by travelling north towards Kempsey and returning south on the Pacific Highway towards Port Macquarie. It is understood that the slipping program would occur during the Higher School Certificate period, and parents/care givers will need to manage alternate arrangements in the case of an unexpected mechanical failure. As always, all reasonable measures will be taken to reduce the likelihood of this occurring.

Emergency Services will be notified of the changes and outages required for changing over both ferries.

Consultation has occurred with the Ferry Contractor (Ferrymen Pty Ltd) with regard to arrangements during the slipping period.

Internal consultation has occurred with:

· Fleet Services Manager

· Group Manager Community Infrastructure and Recreation Operations

· Director Community Infrastructure

· Communications Team

· Stakeholder Relations Team

Planning and Policy Implications

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

Financial and Economic Implications

$900,000 has been allocated in the 2023-2024 Operational Plan for the Out of Water Inspection and Maintenance (Slipping) of Settlement Point Ferry.

Attachments

Nil

date of meeting:		Thursday 15 June 2023
location:		Council Chambers, 17 Burrawan Street, Port Macquarie
time:		3:00pm

Original Budget as at 1 July 2022	Balanced	$0
Plus adjustments:
July Review	Shortfall	($102,411)
August Review	Balanced	$0
September Review	Surplus	$136,452
October Review	Balanced	$0
November Review	Shortfall	($7,000)
January Review	Balanced	$0
February Review	Balanced	$0
March Review	Balanced	$0
April Review	Balanced	$0
May Review	Balanced	$0
Forecast Budget Position for 30 June 2023	Surplus	$27,041