2017-10-13 Special Meeting - Hinterland Environmental Conservation Project - Further Report

Section 2

SPECIAL MEETING REPORT                                                         13 OCTOBER 2017


EXECUTIVE SUMMARY
Not applicable.

RECOMMENDATION
That Council note the report by the Chief Executive Officer to the Special Meeting dated 13 October
2017 and the further report by the Chief Executive Officer to the Special Meeting dated 13 October
2017 containing updated information regarding a proposed hinterland environmental conservation
project and:
A.   Note the proposed environmental benefits, risks and costs associated with the proposed
     project; and
B.   Approve the project “in principle” and authorise the Chief Executive Officer to proceed with
     the Approved Actions as set out in the further report.



REPORT
1.   Purpose

Further to the report provided to Council as part of the agenda for the Special Meeting on 13
October 2017, this report provides Council with additional and updated information.

2.   Parliament House meetings - 10 October 2017

On 10 October 2017, the Mayor, CEO and President of the Noosa Parks Association attended
Parliament House to undertake a series of meetings facilitated by our local member, Glen Elmes
MP.

2.1. Minister for Environment and Heritage Protection

A meeting was held with the Hon Dr Steven Miles MP, Minister for Environment and Heritage
Protection to update the Minister on progress with this project. Key outcomes from that meeting
are as follows:
    Minister Miles remains committed to this project and appreciated the update on progress;
    Minister Miles was advised that Council has a Special Meeting scheduled for 13 October
     2017 and that if Council supported the project “in principle” there would be no barriers to the
     Minister making an announcement of this project at a time after that date to be determined
     by the Minister;
    Mr Elmes also committed to supporting the project and not making any announcement before
     the Minister;
    We also provided positive feedback to the Minister on the support from Departmental staff;
     and
    Further, the Minister advised that he would brief the new Minister for Agriculture and
     Fisheries (Anthony Lynham MP). The previous Minister has resigned due to ill health earlier
     this week.




                                                                                       Page 2 of 5

Section 3

SPECIAL MEETING REPORT                                                             13 OCTOBER 2017


2.2. Shadow Minister for Environment and Heritage Protection

Mr Elmes also arranged a deputation with Dr Christian Rowan MP, Shadow Minister for
Environment and Heritage Protection. Dr Rowan was briefed on the project and he provided an
assurance that if there was a change of government at the upcoming election, an incoming LNP
government would honour and support the continuation of this project. Dr Rowan indicated that
this type of partnership model to enhance the conservation estate was one that would have the
Opposition’s full support.

3.    Format of the MOU

As flagged in the original report to the Special Meeting, the format of the draft MOU had not been
signed off by HQP or DAF at the time that report was finalised. Indeed, while our informal
understanding was that DAF was somewhat comfortable with the earlier version of the MOU, their
subsequent formal advice on 10 October 2017 was that they would prefer a simplified MOU at this
stage with the detail to be included in the formal transaction agreements. At a meeting on 11
October 2017, HQP indicated a similar view.

The parties have therefore developed a “short version” MOU (see attachment 1). This MOU will
achieve the following:
    Allow all of the parties to the project to sign off the project “in principle” and then work through
     the details to be contained in the transactional documents;
    Allow for a Ministerial announcement of the project at an earlier stage rather than waiting for
     the finalisation of the transactional documents;
    Allow for the Transition Committee to commence sooner rather than later which will be
     beneficial as the project unfolds; and
    Not bind the parties into the detail (which can be done via the transactional documents) but
     rather simply confirm the intent to work towards that outcome (noting that an MOU is not
     legally binding in any event).

The intention is to use the format of the MOU attached to this report rather than the draft MOU
attached to the original report.

4.    Further information

In my original report to the Special Meeting, I set out some details of what would be addressed in
the different transaction agreements. Further information has been provided since that report
(particularly from HQP) which clarifies certain elements. Details are as follows:

4.1. Early access to PLA area
HQP have shared (on a “commercial in confidence basis”) details of their proposed pine cut
schedule for the PLA area. It seems likely that HQP may finish their harvest of their pine
(particularly at Yurol) before the 5-year timeframe. HQP and Council have also discussed further
how Council may wish to access some of the existing PLA areas in the first 5 years (particularly
the recently fallow PLA pine areas) in the event that we are able to secure external funding for
remediation. It was agreed that these matters can be managed through the Transition Committee
process with, for example, early access for remediation work to be dealt with via a permit from
HQP. This may reduce the Council’s long term remediation costs.




                                                                                            Page 3 of 5

Section 4

SPECIAL MEETING REPORT                                                          13 OCTOBER 2017


4.2. Extra PLA areas to be surrendered at the outset of the agreement
HQP have identified some additional parcels in the Ringtail PLA area that can be immediately
excluded from the PLA area and transferred into National Park. One of these in particular will
provide potential better access and linkage to the recently purchased Franz land. Others parcels
to the north of Louis Bazzo Drive can also be immediately transferred to National Park. These are
on separate titles to the other PLA lands in the Ringtail locality. A map identifying these parcels
will be shown to Councillors at the Special Meeting.

4.3. Clarification of hardwood PLA areas to be surrendered at the outset of the agreement
HQP have now identified which hardwood areas can be immediately excluded from the PLA area
and transferred into National Park. This covers almost all of the hardwood areas. The remaining
hardwood areas cannot be surrendered at this stage as they are part of the same title of an existing
pine plantation block and access to the pine is through that hardwood area. None of the hardwood
plantation areas will be cut. A map identifying these parcels will be shown to Councillors at the
Special Meeting.

4.4. Clarification of harvesting practices and pine clearance
HQP have confirmed that they will be bound by the Conservation Handback Guidelines for the
Yurol forest area. This is due to the endangered giant barred frog habitat. However, those
guidelines do not apply to the Ringtail forest area under the HQP PLA. HQP agree that they will
ensure that any native forest species contained in their pine harvest area that is 20cm diameter or
greater will be retained (subject to any WH&S requirements). Their harvest will be of the planted
pine areas, not any pine wildings that have emerged in fallow or buffer areas.

There are also practical issues that will need to be managed through the Transition Committee.
For example, the “Christmas tree” block of pine at the eastern edge of the Ringtail block will not be
of merchantable quality due to the 5 year harvesting period and HQP do not wish to be required to
harvest this block. Options that can be explored through the Transition Committee include early
mulching of this block to allow early remediation access.

There are also other practical matters in the pine harvesting to be considered including leaving
rows of stumps intact along the property boundaries to provide a physical barrier to unauthorised
entry. Further, while the agreement provides that the hardwood areas are not harvested, there
may be some environmental benefits in thinning the hardwood mono-culture. HQP have agreed
that they would consider any request to facilitate the use of their contractors (at normal contract
cost) to undertake this work while their contractors are on site undertaking their pine harvest.
Again, this is a matter that could be addressed via the Transition Committee if required.

5.    The Way Forward - Approved Actions

If Council wishes to proceed with this project in principle, the following actions would be need to
be approved by Council:
     Authorise the CEO to enter into a Memorandum of Understanding generally in accordance
      with the terms of the draft MOU contained in Attachment 1 to the further report to achieve
      the overall project objectives;
     Authorise the CEO to work with the other parties to develop the required transactional
      documents and to report back to a future Council meeting with those transactional documents
      for Council’s consideration;
     Authorise the CEO to remove the confidentiality associated with the two reports to the Special
      Council meeting regarding this project once the project has been publically announced by
      the Minister for the Environment.




                                                                                        Page 4 of 5

Section 5

SPECIAL MEETING REPORT                                                        13 OCTOBER 2017


Previous Council Consideration

Nil.


Finance & Risk

Refer to original report.


Consultation

External Consultation - Community & Stakeholder

Refer to original report.

Internal Consultation

Refer to original report.



Departments/Sections Consulted:

 X     Chief Executive Officer    Community Services                      Corporate Services
       Executive Officer          Community Development                   Financial Services
       Executive Support          Community Facilities                    ICT
                                  Libraries & Galleries                   Procurement & Fleet
                                  Local Laws                              Property
                                  Waste & Environmental Health            Revenue Services

       Executive Services         Environment & Sustainable Development   Infrastructure Services
       Community Engagement       Building & Plumbing Services            Asset Management
       Customer Service           Development Assessment                  Buildings and Facilities
       Governance                 Economic Development                    Civil Operations
       People and Culture         Environmental Services                  Disaster Management
                                  Strategic Land Use Planning             Infrastructure Planning,
                                                                          Design and Delivery




                                                                                        Page 5 of 5

Section 6

                     Memorandum of Understanding
                                             between


                                    the State of Queensland
acting through the Department of Environment and Heritage Protection, the Department of
     Agriculture and Fisheries and the Department of National Parks, Sport and Racing
                                             (‘State’)
                                               and
                               the Noosa Shire Council (‘Council’)
                                               and
               the Noosa Parks Association Incorporated (‘Association’)
                                               and
                               HQPlantations Queensland (‘HQP’)


IT IS AGREED as follows:


1.    SCOPE OF THE MEMORANDUM OF UNDERSTANDING (‘MOU’)

      1.1   The objective of this MOU is to reflect an intention between the parties to convert the
            Yurol and Ringtail State Forests (‘Land’) to protected area tenure as set out in the
            Terms of Reference.

      1.2   The parties agree to collaborate and further enhance their relationship to realise the
            long-term environmental benefits of preserving the Land for future generations.

      1.3   This collaboration may focus on, but is not limited to, the following areas:

             1.3.1     the relinquishment of harvesting rights by HQP.
             1.3.2     the State, Council and Association jointly funding costs incurred to
                       transition the Land to the protected area estate.

             1.3.3     joint engagement on issues relating the management and rehabilitation of
                       the Land for environmental outcomes.


2.    ESTABLISHMENT OF A JOINT TRANSITION COMMITTEE

      2.1   The joint transition committee will meet as per the terms of reference to progress
            priority issues.

      2.2   Joint annual reports on progress will be provided to respective Directors-General and
            CEOs of the relevant parties.

Section 7

     2.3   Working groups will be convened as necessary to consider specific management
           issues.

     2.4   It is intended that stakeholders external to government will be actively engaged in the
           collaborative effort.

     2.5   State agencies remain responsible for the delivery of and compliance with legislative
           obligations and associated agreement obligations within their jurisdictions, and such
           obligations prevail in the case of inconsistencies with the intent articulated within this
           MOU.


3.   STATUS OF THE MOU

     3.1   The parties acknowledge that the provisions of this MOU are not legally binding
           (except for clause 6, ‘Confidential Information’). Final policy decisions and legislative
           enactments remain the responsibility of the respective departments of the State and
           the Council.

     3.2   Nothing contained in this MOU will fetter, act as an estoppel or as an agreement
           about the exercise of discretion or the making of a decision or subordinate legislation
           under any law.


4.   TIMEFRAME, MODIFICATION AND TERMINATION

     4.1   This MOU commences on the date the last party to do signs this MOU and will be
           operative for a period of seven (7) years from that date, unless otherwise varied by
           the parties or terminated.

     4.2   Any variation of this MOU must be in writing and signed by all parties.


5.   MOU MANAGEMENT
     5.1   Each party nominates the Contact Officer for the purpose of this MOU.

     5.2   A party’s Contact Officer is responsible for:

            5.2.1      receiving communications;

            5.2.2      issuing and signing notices; and

            5.2.3      responding to requests or directions,

            on behalf of that party in relation to this MOU.

     5.3   The Contact Officers, or any officer appointed by each Contact Officer, will meet as
           reasonably required by the parties for the purpose of discussing the performance of
           this MOU.

Section 8

6.    INFORMATION
     6.1    Subject to clause 6.2, a Recipient must not:

                6.1.1   disclose Confidential Information to a third party; or

                6.1.2   use Confidential Information other than for the purpose of this MOU.

     6.2    Exceptions

                A party may disclose Confidential Information:

                6.2.1   with the other party’s prior written consent;

                6.2.2   to a professional adviser, financial adviser, banker, financier or auditor if
                        that person is obliged to keep the information disclosed confidential;

                6.2.3   to any of its Representatives who are bound to keep the information
                        confidential and to whom it is necessary to disclose the information;

                6.2.4   to comply with the law, or a requirement of a regulatory body;

                6.2.5   to the responsible Minister administering the department or the agency and
                        their personal and departmental advisers;

                6.2.6   in response to a request by the Parliament or a Committee of the
                        Parliament of the State of Queensland; or

                6.2.7   where disclosure is required to be made in accordance with established
                        governmental policies, procedures or for public accountability purposes.


7.   LIABILITY
     The parties agree that they enter into this MOU and the purpose entirely at their own risk and
     without exception.


8.   DISPUTE RESOLUTION
     The parties agree that any dispute arising during the course of this MOU is to be dealt with
     by a process of escalation through each party’s respective management hierarchy.


9.   GENERAL
     9.1    Assignment
     A party must not assign, novate or subcontract the whole or any part of this MOU without the
     prior written consent of the other party, such consent not to be unreasonably withheld or
     delayed.

Section 9

      9.2    Notices
      Each communication (including each notice, consent, approval, request and demand) in
      connection with this MOU to be given by either party to the other must be in writing and
      delivered to the address specified in Schedule 1 (or any other address notified from time to
      time) by hand, posted by pre-paid post, or sent by facsimile transmission or email.

      9.3    No relationship
      Nothing contained in this MOU will be taken as giving rise to any employment, agency,
      partnership or joint venture relationship between the parties.


10.   DEFINITIONS AND INTERPRETATION
      10.1   Definitions
      In this MOU:
      Confidential Information means all information, trade secrets and knowledge of or
      disclosed by a party (the Discloser) to another party (the Recipient) that:

               10.1.1   is by its nature confidential;

               10.1.2   is designated or marked by the Discloser as confidential; or

               10.1.3   the Recipient knows or ought to know is confidential,

               10.1.4   but does not include information which:

               10.1.5   is or becomes public knowledge other than by breach of this MOU or any
                        other confidentiality obligation; or

               10.1.6   is independently developed by a party while having no knowledge of or
                        access to the other party’s Confidential Information.

      Contact Officer means the contact person for each party specified in Schedule 1.

      Relevant Parties means the parties who are signatories to this MOU.

      Representative means an employee, agent, officer, director, contractor, subcontractor or
      other authorised representative of a party.

      Terms of Reference means any document issued by either party to the other specifying the
      Purpose and the parties’ obligations, a copy of which is contained in Schedule 2.

      10.2   Interpretation
      In this MOU unless the context indicates a contrary intention:
               10.2.1   a reference to a document (including this MOU) is to that document as
                        varied, novated, ratified or replaced from time to time;

Section 10

10.2.2   a reference to a statute includes its delegated legislation and a reference to
         a statute or delegated legislation or a provision of either includes
         consolidations, amendments, re-enactments and replacements;

10.2.3   a word importing the singular includes the plural (and vice versa), and a
         word indicating a gender includes every other gender;

10.2.4   a reference to a party, clause, schedule, attachment or annexure is a
         reference to a party, clause, schedule, attachment or annexure to or of this
         MOU, and a reference to this MOU includes all schedules, attachments and
         annexures to it;

10.2.5   includes in any form is not a word of limitation;

10.2.6   a reference to $ or dollar is to Australian currency; and

10.2.7 if a word or phrase is given a defined meaning, any other part of speech or
         grammatical form of that word or phrase has a corresponding meaning.

Section 11

                                                 Schedule 1

                                            Contact Officers
State
1.    Department of Environment and Heritage Protection:

 Party Name:                  State of Queensland acting through the Department of
                              Environment and Heritage Protection
 ABN:                         46 640 294 485

 Street Address:              Level 5, 400 George Street, Brisbane QLD 4000
 Contact Officer Name:        Lisa Watts, A/Director
 Contact Officer Postal       Level 5, 400 George Street Brisbane Q 4000
 Address:
 Contact Officer Telephone:   07 3330 6080
 Contact Officer Facsimile:   n/a
 Contact Officer Email:       [email protected]


2.    Department of Agriculture and Fisheries:

 Party Name:                  State of Queensland acting through the Department of Agriculture and
                              Fisheries
 ABN:                         66 934 348 189
 Street Address:              [insert details]
 Contact Officer Name:        [insert details]
 Contact Officer Postal       [insert details]
 Address:
 Contact Officer Telephone:   [insert details]
 Contact Officer Facsimile:   [insert details]
 Contact Officer Email:       [insert details]


3.    Department of National Parks, Sport and Racing:

 Party Name:                  State of Queensland acting through the Department of National Parks,
                              Sport and Racing
 ABN:                         11 322 391 452
 Street Address:              L6, 12 First Avenue, Maroochydore Q 4558
 Contact Officer Name:        Geoff Brittingham, Regional Director
 Contact Officer Postal       L6, 12 First Avenue, Maroochydore Q 4558
 Address:
 Contact Officer Telephone:   07 5459 6112
 Contact Officer Facsimile:   07 5443 8942
 Contact Officer Email:       Geoff.brittingham@[email protected]

Section 12

Noosa Council:
Party Name:                  Noosa Shire Council
ABN:                         97 969 214 121
Street Address:              9 Pelican Street, Tewantin, QLD 4565
Contact Officer Name:        Brett de Chastel, CEO
Contact Officer Postal       P O Box 141, Tewantin QLD 4565
Address:
Contact Officer Telephone:   07 5329 6500
Contact Officer Email:       [email protected]



Noosa Parks Association:
Party Name:                  Noosa Parks Association Incorporated
ABN:                         18 870 049 909
Street Address:              Environment Centre, 5 Wallace Drive, Wallace Park, Noosaville QLD
                             4567
Contact Officer Name:        Michael Gloster, President
Contact Officer Postal       P O Box 836, Noosa Heads, QLD 4567
Address:
Contact Officer Email:       [email protected]



HQPlantations Queensland:
Party Name:                  HQPlantations Pty Ltd
ABN:                         25 142 448 977
Street Address:              3A/2 Flinders Parade
Contact Officer Name:        Brian Farmer CEO
Contact Officer Postal       PO Box 785 North Lakes Qld 4509
Address:
Contact Officer Telephone:   3882 8200


Contact Officer Email:       [email protected]

Section 13

                                             Schedule 2
                                       Terms of Reference

The role of the joint transition committee is to provide a coordinated approach to the transition of the
Yurol and Ringtail State Forest lands to protected tenure and on issues relating to management and
rehabilitation of the Land for environmental outcomes.

Responsibilities

The key responsibilities of the committee will include:
     Work collaboratively to achieve the project outcomes.
     Ensure project management processes are put in place to achieve agreed Project timelines.
     Assess and report on progress including an annual joint report to respective Directors-General
      and Chief Executive Officers of the relevant parties.
     Monitor risks and assist in resolving any issue that has implications for the Project.
     Identify opportunities and use best endeavours to facilitate early access to plantation areas
      post-harvest for land remediation activities.
     Convene working groups as necessary to provide specialist input.

Membership

The joint transition committee membership will include one (1) member and one (1) proxy member
from:
   Council
   Department of Environment & Heritage Protection
   Department of National Parks, Sport & Racing
   Department of Agriculture & Fisheries
   HQP
   NPA

Meetings

Meetings shall be convened by the Council committee member.

The Committee will nominate a chairperson.

Meetings will be held a minimum of 6 monthly in the first two years after the signing of this MOU and
a minimum of annually thereafter.

Council will provide secretariat services to the joint transition committee and ensure appropriate
meeting records are maintained and provided to all parties.

Any disputes in the Transition Committee will be managed by the provisions of Clause 8 of the MOU.

Section 14

EXECUTED AS A MEMORANDUM OF UNDERSTANDING
Signed for and on behalf of the State of
Queensland acting through the Department of
Environment and Heritage Protection ABN 46
640 294 485 by
_____________________________________                   __________________________
(name and position)                                     Signature
                                                        Date:______________________
a person duly authorised to act in that behalf in the
presence of:

_________________________________
Signature of Witness
__________________________________
Name of Witness in full


Signed for and on behalf of the State of
Queensland through the Department of
Agriculture and Fisheries ABN 66 934 348 189
by
_____________________________________                   __________________________
(name and position)                                     Signature
                                                        Date:______________________
a person duly authorised to act in that behalf in the
presence of:

_________________________________
Signature of Witness
__________________________________
Name of Witness in full


Signed for and on behalf of the State of
Queensland through the Department of National
Parks, Sport and Racing ABN 11 322 391 452
by
_____________________________________                   __________________________
(name and position)                                     Signature
                                                        Date:______________________
a person duly authorised to act in that behalf in the
presence of:

_________________________________
Signature of Witness
__________________________________
Name of Witness in full

Section 15

Signed for and on behalf of the Noosa Shire
Council ABN 97 969 214 121 by

_____________________________________                   __________________________
(name and position)                                     Signature
                                                        Date:______________________
a person duly authorised to act in that behalf in the
presence of:

_________________________________
Signature of Witness
__________________________________
Name of Witness in full


Signed for and on behalf of the Noosa Parks
Association ABN 18 870 049 909 by

_____________________________________                   __________________________
(name and position)                                     Signature
                                                        Date:______________________
a person duly authorised to act in that behalf in the
presence of:

_________________________________
Signature of Witness
__________________________________
Name of Witness in full


Signed for and on behalf of HQ Plantations
Queensland ABN 25 142 448 977 by

_____________________________________                   __________________________
(name and position)                                     Signature
                                                        Date:______________________
a person duly authorised to act in that behalf in the
presence of:

_________________________________
Signature of Witness
__________________________________
Name of Witness in full