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2017-03-13 General Committee Agenda
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AGENDA
General Committee
Meeting
Monday, 13 March 2017
commencing at 10am
Council Chambers, 9 Pelican Street, Tewantin
Committee: Crs Frank Wilkie (Chair), Jess Glasgow, Ingrid Jackson,
Joe Jurisevic, Frank Pardon, Brian Stockwell, Tony Wellington
“Noosa Shire – different by nature”
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Full text of the other 33 sections
Section 2
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
TABLE OF CONTENTS
ITEM PAGE
ATTENDANCE & APOLOGIES -
PRESENTATIONS -
ITEMS REFERRED FROM PLANNING & ENVIRONMENT COMMITTEE -
1 NOOSA BIOSPHERE RESERVE FOUNDATION BOARD – 6 MONTHLY REPORT
(Planning & Environment Committee Agenda,7 March 2017, Item 7, Page 74)
Reason for referral – Requested by Cr Pardon due to the significance of the issue
ITEMS REFERRED FROM SERVICES & ORGANISATION COMMITTEE -
2 NOOSAVILLE FORESHORE – COMMERCIAL JETTY LEASES &
ENCROACHMENTS ONTO COMMUNITY LAND
(Services & Organisation Committee Agenda,7 March 2017, Item 6, Page 18)
Reason for referral – Significance of the issue
REPORTS DIRECT TO GENERAL COMMITTEE 3
3 1617T059 - DESIGN & CONSTRUCTION OF PEREGIAN BEACH DIGITAL HUB
BUILDING & CARPARK 3
4 OUTCOME OF ORGANISATIONAL STRUCTURE REVIEW 9
5 DRAFT TRANSPORT STRATEGY 2017-2027 24
6 FINANCIAL PERFORMANCE REPORT - FEBRUARY 2017 27
CLOSED SESSION -
Page 2 of 34
Section 3
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
REPORTS DIRECT TO GENERAL COMMITTEE
3 1617T059 - DESIGN & CONSTRUCTION OF PEREGIAN BEACH DIGITAL HUB
BUILDING & CARPARK
DOCUMENT INFORM AT ION
Author Project Manager, Adam Britton
Planning & Infrastructure Department
Index ECM\ Project & Contract\ Rufous Street Precinct Project – Peregian Beach
Bowls Club\ Digital Hub
ECM\ Subject\ 46.02 Council Owned Buildings/ Properties
Attachments 1. Design and Construction of Peregian Beach Digital Hub Building &
Carpark Tender Assessment
EXECUTIVE SUMMARY
This report provides a recommendation for the appointment of the preferred contractor for the
Design and Construction of the Peregian Beach Digital Hub Building & Carpark.
RECOMMENDATION
That Council note the report by the Project Manager to the General Committee Meeting dated 13
March 2017 and award tender 1617T059 for Design and Construction of Peregian Beach Digital
Hub Building & Carpark to J Hutchinson Pty Ltd t/as Hutchinson Builders for the lump sum price of
$2,727,461 (excluding GST).
REPORT
The project is for the design and construction of a two storey 750m2 (approximately) digital hub
facility and associated carpark on Lot 253 & 255 on SP137431 on David Low Way at Peregian
Beach. The project is targeted at providing a leading class facility for a range of digital information
technology enterprises to operate from within the Noosa Shire.
Council has previously obtained a Material Change of Use (MCU) over the site and has completed
the preliminary architectural design and prepared performance based specifications for
mechanical, electrical, and information technology services.
This design and construct contract will complete the detailed design in line with Council’s
preliminary designs and performance based specifications, undertake all other associated design,
prepare and obtain all necessary approvals and construct the facility.
The contract works will be completed by 24 November 2017 as governed by State Government
grant funding.
1. Design
The digital hub building and carpark design along with the concept design of the open space and
future community centre was originally developed through extensive public consultation with the
Peregian community. The resultant design formed the basis of the Material Change of Use over
the site.
Page 3 of 34
Section 4
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
Following receipt of the Material Change of Use the Project Control Group rationalised elements
of the architectural design and with the use of specialist consultants developed performance
specifications for the key aspects of the building including the information and communication
Ttchnology (ICT), electrical and mechanical services.
The above process provided designs and specifications suitable for a design and construct tender
allowing Council to fast-track the procurement process in order to meet the State Government
grant timeframe.
The final detailed design process becomes the responsibility of the contractor with Council
maintaining involvement in any decision making.
2. Tender Process
Due to the value of the works being greater than $200,000, Council called a public tender for the
works through the LG Tender Box system in accordance with the Local Government Act 2009.
An open invitation to tender was released via LG Tender Box on 21 December 2016 with
advertising in the Sunshine Coast Daily on 21 and 24 December 2016. The tender closed on 9
February 2017. Seven (7) conforming tenders were received.
3. Tender Assessment
The tender evaluation panel undertook an assessment of the conforming tender submissions from
the following respondents, which are listed in ascending order of price:
1) J Hutchinson Pty Ltd t/as Hutchinson Builders;
2) Bryant (Qld) Pty Ltd;
3) Kane Constructions Pty Ltd;
4) Integral Construction Pty Ltd;
5) Midson Construction (Qld) Pty Ltd t/as Midson Construction;
6) RCQ Construction Pty Ltd; and
7) PJM Civil Contractors Pty Ltd.
The tenders were evaluated using the following criteria:
Capability and resourcing;
Contract experience and track record;
Timeline and methodology;
Quality;
Health and safety;
Environment and sustainability;
Contribution to local economy; and
Price.
Submitted tender prices ranged from $2,727,461 to $5,930,410 excluding GST. The tendered price
from J Hutchinson Pty Ltd t/as Hutchinson Builders is the lowest at $2,727,461 excluding GST.
The tender evaluation team has finalised tender evaluations and further clarifications with
Hutchinson Builders and considers this tender to be the most advantageous to Council and
presents the best value for money.
Page 4 of 34
Section 5
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
Hutchinson Builders tender submission is favourable as they have significant previous experience
with the design and construct delivery method, an excellent track record with similar projects, they
are more than capable and have the necessary resources to meet Council’s program to complete
these works by the 24th November 2017.
4. Programme & Next Steps
Pending Council approval, Hutchinson Builders propose to construct the project including wet
weather allowances within 34 weeks, targeting practical completion before 24 November 2017.
5. Construction Management and Inspections
Under the design and construct delivery model, Council will maintain the overall project
management role supported by externally appointed superintendent and specialist engineering
consultants to administer the contract and progressively inspect the works ensuring the project
objectives are met.
6. Delivery
The delivery process involves the following key steps;
Contractor finalising designs;
Contractor obtaining all approvals including operational works, building and plumbing
approvals;
Contractor taking possession of site;
Preparing site including reconstruction of car park;
Construction of building including all services (excludes fit out);
External landscaping;
Commissioning and handover.
Finance & Risk
Council has allocated a total of $3,000,000 (excluding GST), with $1,000,000 in the 2016/17 capital
works budget and a further $2,000,000 identified in the draft 2017/18 capital works budget with
$13,486 spent to date. The budget for the design and construction of Peregian Beach Digital Hub
Building & Carpark works is sufficient to complete the project. Refer below table.
Council has been successful in receiving a grant for $1,008,000 from the State Government for
this project.
Item Cost
Costs to Date (Jan 2017) $13,486
Tendered Contract Value $2,727,461
Council Project Manager $20,000
Superintendent $40,000
Engineering consultants (ICT, Electrical, Mech) $20,000
Developer Contributions from MCU $64,576
Qleave (on $2.8M) $13,775
Subtotal $2,899,298
Contingency $100,000
Total $2,999,298
Project Budget $3,008,000
Page 5 of 34
Section 6
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
Risk
Finance risks include;
Client request for scope changes. This is to be mitigated through project control group
management and limitation of client requested scope variations.
Latent conditions. Typically a geotechnical risk, previous investigations have mitigated much
of this risk.
Costs relating to service connections such as Energex and Unity Water. Mitigated through
allowances based on industry experience.
Variation risks. This has been partly mitigated through the lump sum design and construct
procurement method with further mitigation through post tender clarifications tying Hutchinson
Builders firmly into the scope of works.
Contingency amount being insufficient. This risk may be mitigated through the adoption of
saving options negotiated with Hutchinson Builders with further value engineering to occur
during the detailed design process.
Time risks include;
Wet weather delays. Construction during the typically dry season aims to mitigate this.
Delays in obtaining approvals.
Delays from specialist equipment such as lifts.
Safety Risks;
Hutchinson Builders would be appointed as the Principal Contractor and responsible for
Workplace Health and Safety of the site and the ultimate design. Prior to construction
commencing, workplace health and safety and pedestrian and traffic management plans will
be required to be submitted to Council for approval. Regular audits on contractor compliance
with these approved plans will be undertaken by Council throughout construction.
Scope & Quality Risk;
The risk of meeting project objectives is to be managed through Council staff reviews supported
by specialist consultants who developed the engineering performance specifications.
Resource Risk;
Hutchinson Builders have nominated a very capable team for this project limiting the resourcing
risks to the project. The addition of external superintendent and engineering consultants,
mitigates the resourcing risk from Council.
External Consultation - Community & Stakeholder
Extensive community consultation has been undertaken for this project and site in general. The
Peregian ‘Your Say’ site has a specific page dedicated to informing the community of progress and
updates to the project. This consultation tool will be supplemented during construction with project
news at the appropriate times through the project.
Immediately affected stakeholders will also be directly consulted during the works.
Internal Consultation
Rufous Street Project Control Group, Finance, Procurement, Environment, Civil Operations and
Asset Planning Teams.
Page 6 of 34
Section 7
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
Departments/Sections Consulted:
Chief Executive Officer X Community Services X Corporate Services
Executive Officer to the Mayor & CEO Community Facilities X Financial Services
Executive Support Community Development ICT
Libraries & Galleries X Procurement & Fleet
Local Laws Property & Facilities
Waste & Environmental Health Revenue Services
Executive Office X Planning & Infrastructure
Community Engagement Building & Plumbing Services
Customer Service Civil Operations
Economic Development Disaster Management
Governance X Infrastructure Planning & Design
Human Resources Planning & Environment
Sustainability Strategic Land Use Planning
Page 7 of 34
Section 8
ATTACHMENT 1
Page 8 of 34
NOOSA SHIRE COUNCIL Weighted Attribute Evaluation Spreadsheet - Final Evaluation
Design & Construction of Peregian Geach Digital Rub Building &
pCa ATTACHMENT 1
[cence fioms
NAME OF TENDERER PRICE
(Conforming Tenders Only) (excl of GST)
i
2 [Bryant (Qld) Pty te 98,445}
3
4
5 [Midson Construction ees 189, 120}
6
7
Be
Sp
tO
NON-CONFORMING TENDERS
IR&O Communication Pty Ltd
a | |
1 2 3 4 5 6 7 8 9 10
vo 0 rs [Og snorted
n onstructions integra! Constructio iCQ Co truction Pt UM Civil Contrecto
Resultant
Evaluation Criteria score x
weightin I Ct ating 1
Ervmrinatenaatewnen | as | vas | om [ me | ase [noms | om [oom] ame | vas [om [vss | co [mum | an | 0 [om | 0 | om | 0 | om |
MethodsloeyterProjectDetvery | zox | ses | a0 | ss | sao | 7 | smo | sors | a | as | am | ie | sa | 2 | 2 [| o | om | o | om | o | 000 |
entry ms ots Ts | ots Ts | os | s [os | s | os | s | oa | 2s | ox | o | om | oo | om | 0 | om |
Panna setety ss | ote | seers | ous | aus | ox | asus | ox | aseas | om | ars | ow | 2s | os | o | om | 0 | om | 0 | om |
frekoomenesensiebimy | me ts | os | s | os | s | os | os [os | s | os | s | os | 2s | om | © | om | o | om | o | om |
foumiowwctwom | ox | 2 | om | + | om | na | ie |uons| on [ues] om [umm] om [wom] om | © | om | o | om | 0 | om |
tat Techn Soe a EE ee ee ee ee ee ee ee
Mermeted Tecate Sere (Td rr a
[eam titnedemant | Hutchinson sere | Sooner ied | OO tag nn prytad | Méton construction [NOT | mm |
K ons ton: integra! Constructic iCQ Constructio IM Civil
‘otal Fees (Pc) $2,727,461 $2,933,445 $2,997,938 $3,121,684 $3,169,120 $3,326,350 $5,930,410 $0
erage Fees (Pav) $.........ccee
Price Score 121 115 113 110 108 104 29 °
Normalised Price Score (Pn) 100 95 94 91 89 86 24 °
thted Price Score (Pw)
[aa on ped np So ee ee
Ce The Contract Administrator confirms the above scores
Contract Administrator & Assesment Panel Member 1 and weightings of this evaluation
| Assesment PanelMember2 | Property Advisor, Corporate Services|
Contract Administrator's signature: Project Manager, Planning and Infrastructure
Workplace Health and Safety Advisor, Executive Office
Assesment Panel Member 5 Procurement Services Consultant
Page 8 of 34Section 9
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
4 OUTCOME OF ORGANISATIONAL STRUCTURE REVIEW
DOCUMENT INFORM AT ION
Author Brett de Chastel, CEO
CEO’s Office
Index ECM/ Subject/ Organisational Structures
Attachments 1. Organisational Structure by Function
2. Organisational Structure by Branch and EFT
EXECUTIVE SUMMARY
It is timely to review our organisational structure following the adoption of our new Corporate Plan.
This will ensure that we have the best structure to be able to efficiently deliver services and
outcomes to the Noosa community. The key changes proposed are:
1. The separation of the existing Planning and Infrastructure Department to form an
Environment and Sustainable Development Department and an Infrastructure Services
Department; and
2. The establishment of a new Environment Branch in the Environment and Sustainable
Development Department.
Other proposed changes are also designed to provide a greater emphasis on asset management
and management of Council buildings and facilities.
RECOMMENDATION
That Council note the report by the Chief Executive Officer to the General Committee Meeting
dated 13 March 2017 and:
A. Adopt the Organisation Structure by Function as set out in Attachment 1 to the report and
the Organisation Structure by Branch and Equivalent Full Time staff allocation as set out in
Attachment 2 to the report;
B. Request the Chief Executive Officer to develop and action a Transition Plan to implement
the organisational structure to ensure that the changes are implemented in a practical way
and further that the Chief Executive Officer continue to engage with affected staff during the
implementation phase; and
C. Delegate to the Chief Executive Officer the power to appoint an Acting Chief Executive
Officer pursuant to section 196 of the Local Government Act for any period that the Chief
Executive Officer is absent for annual leave or the like.
REPORT
1 Background
Why have a review of the organisational structure?
As Council is aware, I have been reviewing our organisational structure over the last 3 months. It
was timely to review the organisational structure for a number of reasons:
1. It is some 3 years since we were established and our original organisational structure was
designed for our “start-up” phase;
2. A new Council was elected in March 2016 and it is timely to review the organisational
structure early in the term of a new Council; and
Page 9 of 34
Section 10
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
3. The Council has just adopted a new Corporate Plan which defines the focus and priorities
for the coming years and the organisational structure should reflect those priority areas. Of
the three reasons, this is the most compelling as “structure follows strategy”.
The review was led by myself with support from the Executive Officer. Early in the process, eight
key review principles were established to guide the review. The eight review principles were:
1. No forced redundancies: We are in the growth phase for staff numbers so the clear
intention is not to have any forced redundancies.
2. Meeting the change / benefit equation (not change for changes sake): Only making a
change where we are positive that it would meet one or more of these principles.
3. “Like with like” functions to maximise effectiveness: Ensuring that functions that are
inter-related are put together from an organisational structure perspective.
4. Outward facing organisation: We should have more departments focused on direct service
delivery than internal functions (from start-up phase to ongoing phase).
5. Operational efficiency: Will the change make our service delivery more efficient?
6. Reflection of Council’s priorities: The new structure reflects our Council’s priorities (as per
the new Corporate Plan).
7. Addressing new areas of business: Finding the right organisational home for emerging
issues (e.g. Zero Emissions, Peregian Digital Hub management).
8. Is a structural change the best solution: Are there other options for solving an issue other
than structure (e.g. strategy, Project Control Group etc).
All ideas and input were examined against these eight principles.
Benchmarking with other Councils
As part of the research process to review our organisational structure, we examined the structure
of a number of other like sized Councils. We looked at Lockyer Valley, Scenic Rim, Somerset,
Whitsunday, Cassowary Coast, Central Highlands, Gympie and Isaac. No two structures were the
same.
However, it should also be noted that an organisational structure is not the be all and end all of
whether our Council can successfully deliver the outcomes required by our community. In fact, it
is arguably, one of the least important. The issues of culture and strategy are more significant in
terms of organisation effectiveness while systems/processes and structure can have a bigger
impact on organisation efficiency.
Page 10 of 34
Section 11
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
Consultation process
An extensive internal consultation process was undertaken as part of this review. Details are
contained in the “Internal Consultation” section at the end of this report. It was important to
undertake an extensive internal consultation process for the following reasons:
1. Due to the start-up nature of our Council in 2014, there was not a lot of time for staff
consultation when we adopted out first structure. Accordingly, our first structure was
developed using a “top down” approach.
2. We undertook good internal consultation for the Corporate Plan and on that basis, it was
important to follow up with staff about how we can make sure that our structure supports our
desired strategies.
3. We had a number of years’ experience with our initial structure so had better practical
experience as to what was working well and what could be improved. The best knowledge
of that comes from our staff.
4. Experience tells us that organisational structure change can lead to concerns from staff if
that change process is not managed well. An essential part of that change management
process is for our staff to have their say on the future and be heard. The consultation process
was designed accordingly with two rounds of staff consultation i.e.
(i) the “blank piece of paper stage” in December 2016 asking staff for their feedback
generally and
(ii) the “draft structure stage” in February 2017 when staff were provided with a draft
structure based on feedback from stage 1 and asked to comment on specific proposals.
Many of the comments by our staff have been taken on board in the formulation of the final
structure. Obviously, there are always diverse opinions on what is an ideal structure for a local
government.
2. Proposed Changes to Existing Structure
A number of “big picture” changes to our current organisational structure are proposed:
1. Planning and Infrastructure Department to be split in two with the new Departments being
called Environment and Sustainable Development and Infrastructure Services.
2. The Environment and Sustainable Development Department is to have responsibility for
Environmental Services, Strategic Planning, Development Assessment, Economic
Development and Building & Plumbing regulatory functions.
Page 11 of 34
Section 12
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
3. Infrastructure Services will be the Department responsible for all of our asset management
planning, infrastructure design and delivery and civil operations (including road and parks
maintenance).
4. These changes also involve:
a. Creation of a new Environmental Services Branch that would bring together a range of
different staff who work on environment issues. This would include our current
Environment Officers, Natural Areas staff, and the staff who work in the Pest
Management area. This new branch will be part of the Environment and Sustainable
Development Department. The branch will also take the lead on our Zero Emissions
strategy. A greater emphasis on environment issues was one of the key focus areas
for our new Corporate Plan. Further consideration will also need to be given to how
administrative support is provided to this proposed Branch.
b. The existing Asset Planning team within Infrastructure Planning & Design will become
a branch. This is aimed at highlighting the importance of asset management to our
organisation.
c. The Council Buildings & Facilities team (corporate & community buildings and facilities)
will become part of Infrastructure Services. That change is contingent on additional
resources being applied to this area and that proposal will be considered by the Council
as part of the upcoming budget process. Implementation of that change will be held
pending a formal Council decision on those resources (see section on implementation
below). Further consideration will also need to be given to how administrative support
is provided to this proposed Branch.
The above changes are the major changes proposed as part of the restructure. However, there
are some other detailed changes to ensure that we maximise efficiency. These issues are
identified to the Council for the sake of completeness. There is also the opportunity to further refine
some of the detail when the Council adopts the structure again as part of the annual budget
process. Some of the other detailed changes are:
Centralising the GIS function in the ICT branch – this will involve transferring a vacant GIS
position in the Asset Management area to the ICT area (the GIS position which is specifically
allocated to the new Planning Scheme will not be changed). Centralising the GIS function will
improve our use of GIS systems although it will be important for the GIS function to continue to
support our asset management function. Centralising will allow that to occur during periods of
annual leave, peak demands etc.
Capital works planning will form part of the functions of the new Asset Management Branch.
The Environment Officer position currently in the Development Assessment Branch will remain
as part of that Branch as almost 100% of that function is related to Development Assessment.
It is anticipated that this position will liaise closely with the new Environment Branch.
The Technical Officer (Road Reserves) in the Infrastructure and Design Branch will transfer to
the Civil Operations Branch as the role has more alignment with some of the functions
performed by that area. The change is supported by the managers of those two branches.
3. Transition Plan
For the majority of our staff, there is no change. Even for most of our staff in Planning and
Infrastructure Department, there will be no real change on a day to day basis as most staff in
Branches will stay the same and simply have a new Director etc. There will be significant change
for some individuals (e.g. staff forming the new Environment Branch, individuals transferring
between Departments or Branches etc).
Page 12 of 34
Section 13
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
An extensive consultation and change management process has been underway for the last three
months leading up to this Council decision to adopt a new structure. It is important that a logical
transition plan is now applied. The transition plan will apply an orderly transition from our current
structure to our new structure. It is not intended to apply a “big bang” approach but rather to phase
in the new structure. For example, the centralisation of our environmental staff into the new
Environment Branch would not happen immediately but would coincide with the appointment of a
new Branch Manager. Similarly, the recruitment process for our new Directors will commence
shortly after the Council decision on the new structure but it may be some time before that selection
process is finalised and the new Directors can commence. It is anticipated that the new structure
would be fully implemented by 1 July (but that is of course dependant on the recruitment process).
I will keep Councillors informed about the progress of the transition plan.
The other issue to consider as part of the review of the organisational structure is the issue of staff
accommodation and locations. There are no immediate plans to shift branches or sections within
our existing office accommodation as a result of the structure review changes. Some individuals
may move in due course for operational efficiency reasons following the restructure but this is not
a high priority.
However, at some stage in the future, we will need to take a structured look at our office layouts –
are we using our existing office space in the most efficient way possible, are there any changes
that would sit like with like areas near each other to improve interactions and communication, are
our customer interfaces as good as they can be? This will be a future project for our proposed
Council Building and Facilities Branch.
It is also important to note that this proposed restructure is being implemented against the backdrop
of the annual budget process. As Councillors are aware, each year during the budget process,
potential new positions are considered as part of that process. Usually, potential new positions
are identified via a service review process. The proposed new structure has taken these potential
new positions into account but they are identified as being subject to budget consideration in
Attachment 2.
Council should note that:
The proposed two new Director positions (replacing the vacant Director of Infrastructure and
Planning role) and the new Environment Manager position are intended to be advertised
following the adoption of the new structure and these costs have been built into the 2017/18
base budget.
Some position titles will be revisited as a result of this restructure. The aim is to better reflect
what certain roles do and to bring better consistency to how we name positions (e.g. Director,
Manager, Co-ordinator).
The only part of the proposed restructure that is contingent on proposed positions under
consideration in the upcoming budget process is the establishment of the Council Buildings
and Facilities Branch. This area will only be able to function as a stand-alone Branch in the
Infrastructure Department if the proposed position of Council Buildings and Facilities Manager
is advanced. It is not imperative to resolve that issue at this stage as it will be considered
during the budget process and implementation can occur once that has been determined by
Council. It will be business as usual until that time.
4. Cross Department Working Teams
One of the risks about focusing too much on organisational structures is that silos can develop. It
is important that this does not occur. One of the practical ways that this can be avoided is through
the extended use of cross department working teams or project control groups. There are a
number of these already in operation under our current structure.
Page 13 of 34
Section 14
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
They cover diverse topics such as asset management, stormwater management, Transport
Strategy, Peregian Beach Digital Hub, new Planning Scheme etc and these type of cross
Department working groups will continue. Our current approach is working well and making sure
that silos don’t develop.
It is intended to establish one more such group following a review of the organisational structure.
The new issue to be addressed by a cross Department working group is the issue of “place
making”. This concept has been done informally to this point but the need to have a more
structured and focused approach has arisen during the organisational review process.
In the organisational structure, it is proposed that the responsibility to manage place making will lie
with the Infrastructure Planning, Design & Delivery Branch. Their role is to lead the establishment
a working group that brings together different skill sets within Council to look at particular areas
across our shire from a place making perspective. Place making is all about bringing together a
multi-faceted team with different skills to look at planning, design and management of (usually)
public spaces. For example, a place making team could bring together designers, planners,
engineers, landscaping experts and even other skills such as staff from community development,
arts and economic development areas. Place making also usually involves extensive community
engagement.
This report on the organisational structure is not intended to be a detailed analysis of how place
making should work or how we can apply place making practices in the future. It is simply
highlighted on the basis that it was gap that was identified through the consultation process on the
new organisational structure and the issue now has a “home” through the allocation of functions
by Branch. The Infrastructure Planning, Design & Delivery Branch will take the lead in advancing
the concept and establishing appropriate a cross Council working group on the issue.
5. Adoption of Organisational Structure
Pursuant to section 196 of the Local Government Act, the organisational structure is adopted by
Council. It cannot delegate that power under the Local Government Act.
It is intended to adopt the organisational structure to Branch level identifying the staff resources
and general functions which apply to each Branch. This ensures that there is the right balance
between fixing the structure and resources to deliver the various Council activities while also
retaining some flexibility within each Branch to organise staff in the most efficient way. This is
consistent with how our Council has adopted the organisational structure in the past.
Also as a reminder, it is intended to continue to re-adopt our structure each year as part of our
annual operational plan and budget process. This allows us to fine tune the structure each year if
needed and include any changes to employee numbers included as part of the annual budget
process.
6. Acting Chief Executive Officer
One of the issues arising from a review of the structure is the need to put in place arrangements
for an Acting CEO when I am away on annual leave etc. Section 195 of the Local Government Act
provides that the Council may appoint someone with suitable qualifications to act in the role of
CEO when the CEO is absent. Previously, the Council had appointed the former Director of
Infrastructure and Planning to act as CEO during any absences.
Given the proposed change to the structure, it is timely to revisit the appointment an acting CEO.
I would like the opportunity to rotate the Acting CEO role to give all Directors experience in that
role. This would be desirable both from a professional development perspective for the individual
Directors and also to match the Acting CEO role with specific issues that Council may be
addressing when I am on annual leave.
Page 14 of 34
Section 15
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
If the Council is comfortable with this approach, it could delegate the decision to appoint an Acting
CEO to the Chief Executive Officer. This would provide flexibility in appointing one of the Directors
for any period of leave. A rotation based approach is proposed to be undertaken to broaden the
experience within the Leadership Team. Item C in the recommendation is framed accordingly.
Previous Council Consideration
While the current organisational structure is largely as per the structure adopted by Council
resolution in 2014, we have built into our current annual budget process an annual re-adoption of
the organisational structure to ensure that the staff resources align with our adopted budget.
Ordinary Meeting, 3 April 2014, Item 5, Page 16
That Council note the report by the Chief Executive Officer to the General Committee Meeting
dated 31 March 2014 in relation to the new Organisational Structure and:
A. Adopt the Organisational Structure and EFT levels as set out in Attachment 2 of the report;
B. Note that five areas have been identified for further consideration; and
C. Authorise the Chief Executive Officer to take all necessary action to implement the new
Organisational Structure.
Special Meeting, 29 June 2016, Item 1, Page 2
That Council, pursuant to section 174 of the Local Government Regulation, adopt for the 2016/17
financial year its annual Operational Plan 2016/17, provided as Attachment 1.
Finance & Risk
As outlined earlier in this report, a good organisational structure can improve the efficiency of
Council in the delivery of services and the achievement of our goals. Conversely, a poor structure
can create the risk of not providing an opportunity for efficiency.
As Council is aware, there are costs associated with implementing this new structure. These costs
fall into two categories:
One off implementation costs: $159,000
These costs are funded through BR3.
Additional ongoing Costs: $293,000
These additional ongoing costs are built into the 2017/18 base budget and cover the costs of
the new Director positions for the Environment and Sustainable Development Department and
the Infrastructure Services Department plus the new Environment Manager position. This
takes into account the existing budget provision for the vacant Planning & Infrastructure
Director role.
The net increase in staff positions as a result of this re-structure is two but the Council will be
considering other roles during the upcoming budget process.
Page 15 of 34
Section 16
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
Consultation
External Consultation - Community & Stakeholder
Relevant unions via the Employee Consultative Committee.
Internal Consultation
Significant internal consultation has been undertaken as part of the review process. This has
included:
Five staff newsletters keeping staff informed about progress.
Two rounds of staff consultation. The first occurred in December 2016 and resulted in over 75
suggestions that helped shape the draft structure. The second round of consultation on the
draft structure occurred during February 2017 and resulted in over 20 suggestions on that draft
structure.
A number of workshops were held in December 2016 with the Leadership Team and Managers
Group.
Some specific staff workshops were held on particular issues (e.g. Council building and
facilities management) to gain further input.
Councillor briefings during the review process.
A number of one on one meetings with affected staff to discuss issues.
Departments/Sections Consulted:
x Chief Executive Officer x Community Services Corporate Services
x Executive Officer to the Mayor & CEO Community Facilities x Financial Services
Executive Support Community Development ICT
Libraries & Galleries Procurement & Fleet
Local Laws Property & Facilities
Waste & Environmental Health Revenue Services
x Executive Office x Planning & Infrastructure
Community Engagement Building & Plumbing Services
Customer Service Civil Operations
Economic Development Disaster Management
Governance Infrastructure Planning & Design
x Human Resources Planning & Environment
Sustainability Strategic Land Use Planning
Page 16 of 34
Section 17
Page 17 of 34
| NOOSA Attachment 1 - Organisational Structure Functional Alignment Our Vision: “Noosa Shire - different by nature”
mm Keele (Total EFT 354.17) Our Purpose: “Working with our community to shape Noosa Shire’s future”
NCIL
GOVERNANCE COMMUNITY PEOPLE & CULTURE CUSTOMER SERVICE —
ENGAGEMENT
Mayoral support Corporate Plan Strategy, Policy & Standards Strategy & Policy Customer request coordination Financial strategy & policy Property records IT systems Strategy & Policy Strategy & Policy
CEO support Operational Plan External communications Organisation development Front counter, telephone and Investments Rates & charges IT hardware Purchasing & contracts Land registers
Councillor services Annual Report (incl. print, TV, web & Change management online contact Budget Debt management Helpdesk Stores Property leases (commercial &
Statutory registers Risk & insurance social media) Industrial relations Cashier services Accounting Property searches Telecommunications Fleet, plant & workshops community)
Council meetings Delegations Engagement coordination & Employee relations Financial reporting Accounts receivable Business systems support Acquisitions & disposals
Elections Business continuity tools Recruitment Asset accounting Business systems process Tenure changes
Internal communications Local Law reviews Citizenship events Inductions Accounts payable enhancement Commercial property
Advocacy & inter-government Right to Information Training & development Geographic Information management
relationships Complaints management coordination System Holiday Parks
Internal audit Performance appraisal Records management Permits use of Council land
Business review & improvement coordination & reporting Archives management (commercial & community)
program Payroll Lifeguard Contract
Special projects Workplace, Health & Safety
ENVIRONMENT TAINABLE DEVELOPMENT (43.5 EFT)
a ee ee ee eee COMMUNITY COMMUNITY LIBRARIES & LOCAL LAWS WASTE &
DEVELOPMENT FACILITIES GALLERIES ENVIRONMENTAL
HEALTH
Strategy & Policy Strategy & Policy Development application Building application Strategy & Policy Strategy and Policy (Social, The J Strategy & Policy Local Law regulation Strategy & Policy
Strategic land use advice & advocacy Program delivery assessment assessment Environment Levy Sport & Recreation, Arts & Aquatic Centre Lending services Security cameras (public Waste landfill & transfer
Planning scheme review & Economic Development Grants Development information Building certification Land management agreements Culture, and Community SSB Skate Park Reference & research places) stations
amendments Tourism Levy (incl. major services Plumbing assessment Sustainability programs (carbon Development) Leisure Centre Information technology Waste collection
Climate adaptation (land use) Events funding) Operational works Building & plumbing reduction) Community and external Bicentennial Hall access facilities Waste processing & disposal
Reviewing relevant State draft plans, Peregian Beach Digital Hub assessment compliance Problematic wildlife management grants Noosa Community Support Leaming programs & events Waste material recovery
policies and legislation coordination LG Infrastructure Plans & Swimming pool inspections Noosa River management (policy Not for Profit and community Heritage Levy Waste holding tanks
Biophysical studies and strategies charges Statutory audit programs & advocacy) services sector liaison and Heritage services Waste education
Reviewing census, population and Signs (commercial & private Environmental compliance development Regional Art Gallery Public health licensing of
dwelling modelling property) (Council activities) Community recovery Butter Factory premises & inspections
Planning certificates Environmental recognition (Noosa (Disasters) Vector control
Development regulation & Biosphere® & Heritage listings) Community events ERA licensed premises
compliance Environmental partnerships Environmental nuisances
Natural areas reserve (noise, air, light & water
management & maintenance pollution)
Noosa Trails Network Water quality (tank drinking
maintenance water & recreational contact)
Fire management (bushland Cemeteries
reserves)
Pest management (invasive
plants & animals)
INFRASTRUCTURE SERVICES (115.8 EFT)
pT
Disaster Management including: Strategy, Policy & Standards Strategy & Policy Buildings & facilities asset Maintenance of road, bridge, pathway, Technical support services including:
Planning & preparedness Infrastructure planning for: Asset management coordination management, service planning stormwater drainage, and car park networks Asset management, service planning &
LDMG coordination Transport network & facilities Asset plans & programming and associated facilities. programming
SES liaison & facilities Streetscapes Asset inventory Capital works delivery (other than Maintenance of coastal infrastructure (beach Annual roads reseal program
Coordinate NDRRA (claims & Coastal, canals & waterways Asset systems & support major projects) accesses; rock groynes, jetties etc.) Public Land Activity Notices
reconciliation) Parks & gardens Condition assessment & asset renewal Asbestos management Construction works Permits (works in roads & parks, vehicle
Special projects Public amenities program Maintenance works Signs & line marking (install & maintain) accesses & memorials)
Business support Stormwater & flood management Capital works planning Building operations & contract Maintenance of parks & gardens and related Graffiti management
Place Making coordination Coordination of capital works program services (fire, HVAC, cleaning, facilities Flood alert system maintenance
Flood studies development security, lifts etc.) Maintenance of vegetation & landscaping (parks Public lighting (incl. glare shield requests;
Technical investigations Plumbing maintenance services & roads) maintenance of Rate 3 assets)
Road safety & traffic management (Council assets) Mowing contracts Disaster response
Signs & line marking (requests for new) Electrical maintenance services Cleaning services (streets, pathways, NDRRA assessment
Design services (civil & landscaping) (Council assets) commercial precincts, public toilets & Ringtail Quarry management
Engineering surveys barbecues)
Capital works delivery (project management)
Page 17 of 34Section 18
Page 18 of 34
ATTACHMENT 2
Management
March 2017
| Internal Audit |
\ } CHIEF EXECUTIVE
— OFFICER
A 1 EFT
{{ CEO's Office i
\ 3 EFT }
. Director Community Director Infrastructure Director Environment & Director Corporate
Executive Manager Services Services Sustainable Services
Development
Total EFT: 4
Page 18 of 34Section 19
Page 19 of 34
Executive Office
March 2017
EXECUTIVE MANAGER
| 1 EFT
People & Culture Governance Customer Service a eames Administrative Support
10.6 EFT 2 EFT 7.7 EFT 929 0.6 EFT
3.4 EFT
Note — Fixed term appointments approved by Council as part of the 16/17 budget are not included within the EFT totals as shown on this structure.
Further details are available on the individual branch/team structures. Positions recommended from 2017 Service Reviews are also not included. Total EFT: 25.3
Page 19 of 34Section 20
Page 20 of 34
Corporate Services
March 2017
( DIRECTOR \
CORPORATE SERVICES
\\ 1 EFT }}
. poy ' Financial Services Revenue Services ICT Procurement & Fleet
EET 8 EFT 6.5 EFT 14.5 EFT 5 EFT
Note — Fixed term appointments approved by Council as part of the 16/17 budget are not included within the EFT totals as shown on this structure.
Further details are available on the individual branch/team structures. Positions recommended from 2017 Service Reviews are also not included. Total EFT: 40.6
Page 20 of 34Section 21
Page 21 of 34
Environment & Sustainable Development
March 2017
DIRECTOR \
ENVIRONMENT &
SUSTAINABLE
DEVELOPMENT
veh |
Environmental Services _—_ ane ame Economic Development Conn Building & Plumbing
13 EFT anning 2 EFT a 11.5 EFT
1.5 EFT 14.5 EFT
Note — Fixed term appointments approved by Council as part of the 16/17 budget are not included within the EFT totals as shown on this structure.
Further details are available on the individual branch/team structures. Positions recommended from 2017 Service Reviews are also not included. Total EFT: 43.5 *
Page 21 of 34Section 22
Page 22 of 34
Community Services
March 2017
DIRECTOR Administrative
COMMUNITY SERVICES Support
1 EFT 1 EFT
Waste & Loca! awe Community Facilities Community Libranes & Galleries
Environmental Health 10.4 EFT Management Development Management
15.1 EFT i 3.4 EFT 5.4 EFT 2 EFT
Noosa Aquatic Centre} | Noosa Leisure Centre| | The J & Bicentennial en Libraries Art Gallery
19.56 EFT 8.41 EFT 4.6 EFT PP 24.5 EFT 4.7 EFT
24.9 EFT
Note — Fixed term appointments approved by Council as part of the 16/17 budget are not induded within the EFT totals as shown on this structure.
Further details are available on the individual branch/team structures. Positions recommended from 2017 Service Reviews are also not included. Total EF T: 124.97
Page 22 of 34Section 23
Page 23 of 34
Infrastructure Services
March 2017
( DIRECTOR >)
INFRASTRUCTURE Project & Business
Support
SERVICES 3 EFT
; SEE EI yy
Infrastructure Planning, Seay ai at :
Design & Delivery Asset oo Buildings & Facilities Civil Operations
3 EFT 91.2 EFT
13.6 EFT
: *2 Additional Roles
: proposed — subject to :
| budget :
Note — Fixed term appointments approved by Council as part of the 16/17 budget are not included within the EFT totals as shown on this structure.
Further details are available on the individual branch/team structures. Positions recommended from 2017 Service Reviews are also not included. Total EFT: 115.8
Page 23 of 34Section 24
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
5 DRAFT TRANSPORT STRATEGY 2017-2027
DOCUMENT INFORM AT ION
Author Project Officer, Joanna Ferris
Planning & Infrastructure Department
Index ECM /Subject / Transport Policy
ECM / Project & Contract / Transport Strategy
Attachments 1. Draft Transport Strategy 2017-2027
(attachment provided separately to this report)
EXECUTIVE SUMMARY
Not applicable.
RECOMMENDATION
That Council note the report by the Project Officer to the General Committee Meeting dated 13
March 2017 and:
A. Adopt the draft Transport Strategy 2017-2027, provided at Attachment 1 to the report; for the
purposes of community consultation, and
B. Amend the Transport Policy vision to “Noosa Shire enjoys an efficient, free flowing transport
system that enhances resident and visitor experiences”.
REPORT
The purpose of this report is to approve the draft Transport Strategy 2017-2027 in order to consult
with the community on the draft.
1. Background
In late 2015, independent consultants, Parsons Brinckerhoff, were engaged to provide advice
on contemporary global responses to transport challenges. They were also asked to provide
input into transport in Noosa - where we are now, where we want to be and how we might get
there.
Engagement with key stakeholders and the community took place in January 2016.
A second and larger phase of stakeholder and community engagement took place in May 2016.
Council adopted a Transport Policy in November 2016.
Transport Strategy workshops were held with Councillors in September 2016, January 2017
and February 2017.
Based on the work of Parsons Brinkerhoff, stakeholder & community feedback and Councillor
workshops, a draft Transport Strategy document has been developed which provides a
transport vision, key principles, challenges, desired outcomes and proposed priority actions.
Page 24 of 34
Section 25
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
2. Proposed Community & Stakeholder Consultation
The community and key stakeholders will be invited to comment on the Draft Transport Strategy
2017-2027 from 20 March – 13 April 2017 through a variety of ways including:
Online via Your Say Noosa website & Facebook.
Mail.
In person or over the phone.
Noosaville and Cooroy Library static & manned Transport Pop-ups
Transport Strategy ‘Have Your Say’ Days: Noosa Junction, Noosa Farmers Market, Cooroy /
Pomona.
A presentation and discussion with key stakeholders will be held on 13 March 2017.
Invited stakeholders include:
Buslink Noosa Probus
Bike On Noosa Rotary
Cooroy Chamber of Commerce Noosaville State School
Dept Transport and Main Roads Peregian Beach Business Association
Dept of Education Sunshine Beach State School
Good Shepherd Lutheran College St Thomas More Catholic Primary School
Hastings Street Association Suncoast Cabs
Noosa Biosphere Association Sunbus
Noosaville Business Association Tewantin State School
Noosa Chamber of Commerce TransLink
Noosa Community Biosphere Association Tourism Noosa
Noosa Junction Association United Synergies
Noosa Parks Association Zero Emissions Noosa - Transport
Noosa Ratepayers Association
Previous Council Consideration
Ordinary Meeting, 17 November 2017, Item 1, Page 10
That Council note the report by the Director Planning & Infrastructure to the Services &
Organisation Committee Meeting dated 8 November 2016 and adopt the Transport Policy provided
at Attachment 1 to the report, for the purposes of community consultation. incorporating the
following amendments:
1. Delete the word “Strategy” from the title of the Policy;
2. Under Transport Principles, add a 9th dot point to read:
Design for, encourage and facilitate transport options that reduce the emissions
produced by our community.
3. Under Transport Key Outcomes, amend Items 2 and 11 to read:
2. The transport network is designed to facilitate and encourage an overall modal shift
away from private car use towards more sustainable transport modes including
walking, cycling, public transport, electric vehicles and motor scooters/cycles.
11. Road crossings and associated pedestrian networks are safe and accessible for
mobility scooters, cyclists and pedestrians
Page 25 of 34
Section 26
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
Transport Policy Amendment
The adopted Transport Policy included the following mission for Noosa Council: To encourage
alternative transport usage and reduce dependence on private cars.
Based on further discussions with staff and Councillors it is proposed to amend the Transport
Policy from a mission to a vision statement. The new proposed vision is: Noosa Shire enjoys an
efficient, free flowing transport system that enhances resident and visitor experiences.
Finance & Risk
The Transport Strategy is a key document which will provide guidance for the next 10 years on
addressing the transport challenges faced in the Noosa Shire. Failure to have such a strategy will
result in haphazard responses, which will not be aligned to specific outcomes improving issues of
congestion, car parking, public transport and active transport.
The Transport Strategy can also lead to the deferral or removal of planned expenditure associated
with future intersection upgrades and other road infrastructure.
Consultation
External Consultation - Community & Stakeholder
For details refer to Draft Transport Strategy 2017-2027
Jan 2016 – Community & Stakeholder Engagement
May - June 2016 – Community and Stakeholder Engagement
Dec 2016 – Community Engagement
Internal Consultation
Councillor workshops
Staff Workshops
Transport Strategy Project Control Group
Departments/Sections Consulted:
X Chief Executive Officer X Community Services X Corporate Services
Executive Officer to the Mayor & CEO Community Facilities Financial Services
Executive Support Community Development ICT
Libraries & Galleries Procurement & Fleet
Local Laws Property & Facilities
Waste & Environmental Health Revenue Services
X Executive Office X Planning & Infrastructure
x Community Engagement Building & Plumbing Services
Customer Service Civil Operations
Economic Development Disaster Management
Governance X Infrastructure Planning & Design
Human Resources Planning & Environment
Sustainability X Strategic Land Use Planning
Page 26 of 34
Section 27
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
6 FINANCIAL PERFORMANCE REPORT - FEBRUARY 2017
DOCUMENT INFORM AT ION
Author Manager Financial Services, Wayne Jensen
Corporate Services Department
Index ECM / Subject / 22.09 – Monthly Financial Performance Report
Attachments 1. Statement of Comprehensive Income
2. Statement of Financial Position
3. Statement of Cash Flows
EXECUTIVE SUMMARY
Overall year to date (YTD) financial performance against budget shows a positive variance, with
both revenue and expenditure continuing to track above and below budget respectively.
Adjustments will be required at the next budget review to address emerging items and current
significant variances. Council is on track to achieve a modest operating surplus at the end of this
financial year provided trends continue which reflects conservative budgeting practices.
YTD Financial Performance Summary to February 2017
Current YTD Actual Variance Variance Status
YTD $m $m YTD
Budget %
$m
Recurrent Revenue $80.2 $82.0 $1.7 2.2% On track
Recurrent Expense $57.1 $56.5 $0.6 1.1% On track
Net Capital Revenue $2.7 $4.0 $1.4 50.8% On track
Capital Expenditure $11.5 $7.3 $4.2 36% Watch
Financial statements including Statement of Comprehensive Income (profit & loss), Statement of
Financial Position (balance sheet), and Statement of Cash Flows are included as attachments for
information of Council.
Figure 1: Actual Performance Compared to YTD Budget
$90
$80
$70
$60
$50
$40
$30
$20
$10
$-
YTD Budget ($m) YTD Actual ($m)
Operating Revenue Operating Expenditure
Page 27 of 34
Section 28
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
RECOMMENDATION
That Council note the report by the Manager Financial Services to the General Committee Meeting
dated 13 March 2017 providing the February YTD monthly financial performance report for the
2016/17 financial year.
REPORT
Operating Revenue (YTD Benchmark 67% - 8 months)
Council has recognised 92% ($82 million) of its operating revenue budget of $89 million as at the
end of February 2017. Commentary on each revenue category is provided below:
Rates and Levies – $62.4m (100%) of the annual budget of $62.3m has been earned.
General rates are marginally above forecast levels ($46k) and waste collection charges are
$22k (net) above budget, with discounts and pensioner remissions marginally exceeding
budgeted levels ($11k).
Fees and Charges – Fees and charges earned ($4.1m) totals 90% of the full year forecast.
Planning Material Change of Use ($270k), Planning Lot Reconfiguration ($41k), and
Planning Operational Works fees ($99k), Plumbing Inspection fees ($25k), Change of
Property Ownership fees ($51k) and Property Search fees ($65k) all currently exceed YTD
budget.
Interest Received – Interest on invested funds is currently $131k ahead of revised YTD
forecast levels. Interest on outstanding rates is showing $40k below the YTD budget
(reflecting the increased attention to rate arrears collection over the last 6 months).
Dividend and Tax – Dividends and the payment of tax equivalent from Unitywater are in line
with YTD budget.
Other Revenue – Other revenue earned ($7.5m) totals 78% of the full year forecast. Sale of
Waste Recyclables ($196k), Waste Tip Fees ($39k) auction proceeds ($47k), Lease revenue
($102k), Holiday Park fees ($166k), Noosa Leisure Centre activities ($34k), and Noosa
Aquatic Centre revenues ($97k) are all above YTD budget.
Grants, Subsidies & Contributions – Receipts for operational grants $42k ahead of YTD
budget, related to $7k from RADF, and the balance represented by $26k operational funding
and a contribution of $13k for Noosa Community Support.
Figure 2: Operating Revenue Position by Type (Excluding Rates)
$8.0
YTD Budget ($m)
$7.0
YTD Actual ($m)
$6.0
$5.0
$4.0
$3.0
$2.0
$1.0
$0.0
Other
Fees
Grants
Dividend
Tax
Interest
Page 28 of 34
Section 29
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
Recurrent Expenditure (YTD Benchmark 67% - 8 months)
Operating expenditure is currently 63% of the full year budget forecast. Detailed commentary for
each expenditure category appears below:
Employee Costs – Actuals of $18.4m against the YTD budget of $18.5m and equates to 64%
of the full year budget. This is represented by an under-expenditure of the training allocation
($132k), a rebate for Work Cover premiums ($38k), and recovery from labour allocations to
capital projects exceeding budget, partially offset by unbudgeted redundancy payments of
$184k.
Materials and Services – $24.7m (64% of the full year budget) has been expended compared
to the YTD budget of $25.4m. Year to date variances primarily relate to contract services
budgets, specifically under expenditure in electricity costs ($105k); insurance costs ($21k);
Waste operations ($195k); ICT Operations ($127k); Fleet & Plant operations ($67k); Library
Services ($53k); and Civil Works is below budget ($349k). Planning costs are currently ahead
of budget by $309k due to ongoing appeal defence costs.
Finance Costs – bank merchant fees ($11k) and interest on loans ($64k) are currently below
the YTD budget.
Depreciation expenses – actual depreciation exceeds YTD budget by $249k due to 2015/16
revaluation impacts being higher than budgeted.
Other Expenses – in accordance with YTD budget.
Figure 3: Recurrent Expenditure Position by Type
$30
$25 YTD Budget ($m)
$20 YTD Actual ($m)
$15
$10
$5
$0
Finance Costs
Materials
Depreciation
Employees
Other
Capital Revenue
YTD capital revenue of $4m received includes $2.6m of cash contributions from developers,
together with $1.4m received as grant funding towards capital projects, including $200k (TIDS);
$153k (Natural Disaster Relief and Recovery); $303k (Rufous Street Project); $75k (Natural
Disaster Resilience Program – Flood studies and flood gauges); $275k (Bus Shelter Disability
Upgrade program); $288k (Cycle Network Program); and $11k Road Safety Grant.
Page 29 of 34
Section 30
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
Capital Works Program
Actual capital expenditure (excluding commitments) is $7.3 million against the revised full-year
budget of $25.4 million. Committed expenditure totals a further $5.8 million bringing the total of
actual and committed funds to $13.2 million (52% of the total program). There are a number of
changes to the composition of the program proposed which will be subject of a future budget review
report to Council. A report on the status of delivery of the capital program was provided to the
Services & Organisation Committee meeting on 7 March 2017.
Cash Management and Investment Performance
Council funds are currently invested in compliance with Council’s Investment Policy, with 58% held
in highly liquid investments (minimum required of 10%), and all counterparty thresholds within
policy guidelines. Total cash on hand at the end of February was $87.2 million, which recognises
payments received from the half-yearly rates levy. Included in this balance are funds held in trust
and for restricted purposes (unexpended levy and grant funds).
Council’s investment portfolio is balanced across a number of agencies, as shown in the graph on
the left. The graph on the right shows the current risk profile using industry credit ratings.
Bendigo A2
Suncorp 5%
7% 5%
Westpac A1
9% 7%
A1+
QTC (QTC)
39% 39%
NAB A1+
21% (Other)
49%
CBA
19%
Actual interest revenue for December was $140,160 with a weighted average yield of 2.08%
against the industry benchmark (Bloomberg AusBond Bank Bill Index) of 1.78%.
Previous Council Consideration
Nil.
Finance & Risk
Finance – as above
Risk – Council’s strategic risk register includes a number of risks that could impact on ongoing
financial sustainability. Effective budget management and reporting is an important risk mitigation
tool.
Page 30 of 34
Section 31
GENERAL COMMITTEE MEETING AGENDA 13 MARCH 2017
Consultation
External Consultation - Community & Stakeholder
Nil.
Internal Consultation
All areas of Council are consulted as part of the regular monitoring of budget performance.
Departments/Sections Consulted:
x Chief Executive Officer x Community Services x Corporate Services
Executive Officer to the Mayor & CEO Community Facilities Financial Services
Executive Support Community Development ICT
Libraries & Galleries Procurement & Fleet
Local Laws Property & Facilities
Waste & Environmental Health Revenue Services
x Executive Office x Planning & Infrastructure
Community Engagement Building & Plumbing Services
Customer Service Civil Operations
Economic Development Infrastructure Planning & Design
Governance Planning & Environment
Human Resources Strategic Land Use Planning
Sustainability
Page 31 of 34
Section 32
ATTACHMENT 1
Page 32 of 34
ATTACHMENT 1
Noosa Council
Statement of Comprehensive Income
For the Year Ended 30 June 2017
As at 06-Mar-2017
Current Current
Budget Budget Actual Percentage
2017 YTD YTD Annual Budget
$ $ $ %
Revenue
Recurrent Revenue
Rates, levies and charges 62,319,194 62,319,194 62,386 696 100%
Fees and charges 4,487,451 3,368,184 4,058,410 90%
Dividend income 1,651,805 703,214 703,214 43%
Interest received 4,315,093 2,569,981 2,661,480 62%
Tax equivalents 1,489,834 865,664 865,664 58%
Sale of Goods and Major Services 7,622,843 5,161,329 5,767,722 76%
Sale of Contract & Recoverable Works 15,970 10,647 2,323 15%
Rental & Lease Income 1,237,656 871,771 974,147 79%
Other income 718,630 551,744 708,439 99%
Grants, subsidies, contributions and donations 5,591,811 3,825,339 3,867,451 69%
89,450,287 80,247,066 81,995,546 92%
Expenses
Recurrent Expenses
Employee benefits 28,636,365 18,479,992 18,363,731 64%
Materials and services 40,561,935 25,405,748 24,729,516 61%
Finance costs 2,583,584 1,722,389 1,647,290 64%
Depreciation and amortisation 17,122,216 11,414,811 11,664,051 68%
Other expenses 85,863 66,597 68,971 80%
88,989,963 57,089,536 56,473,558 63%
Operating Result 460,324 23,157,530 25,521,987
Capital Revenue
Capital contributions and donations 1,733,634 1,396,717 2,591,902 150%
Grants, subsidies, contributions and donations 5,179,000 1,266,254 1,424,513 28%
Other capital revenue - - -
Total Capital Revenue 6,912,634 2,662,971 4,016,416
Page 32 of 34Section 33
ATTACHMENT 2
Page 33 of 34
ATTACHMENT 2
Noosa Council
Statement of Financial Position
For the Year Ended 30 June 2017
As at 06-Mar-2017
Consolidated
2017 Year End
Forecast 2017 YTD 2016
Note $ $ $
Current Assets
Cash and cash equivalents 50,163,274 83,730,933 52,586,475
Trade and other receivables 8,315,517 9,887,572 5,946,062
Inventories 104,025 157,497 156,056
Other current assets 668,000 1,156,864 2,628,892
59,250,816 94,932,866 61,317,486
Non Current Assets held for sale - - -
Total Current Assets 59,250,816 94,932,866 61,317,486
Non Current Assets
Trade and other receivables 49,217,517 49,217,517 49,217,517
Other non current Assets - - -
Investments 60,978,225 60,978,225 60,978,225
Investment property 3,831,234 4,150,000 4,150,000
Property, plant and equipment 940,511,084 901,762,090 906,665,451
Intangible assets 3,502,623 3,032,355 2,613,761
Total Non Current Assets 1,058,040,682 1,019,140,187 1,023,624,954
Total Assets 1,117,291,498 1,114,073,053 1,084,942,440
Current Liabilities
Trade and other payables 4,460,191 12,313,198 7,887,760
Borrowings 3,079,477 1,667,907 2,932,289
Provisions 5,090,852 2,672,803 4,328,513
Other 390,000 863,294 537,888
Total Current Liabilities 13,020,520 17,517,202 15,686,451
Non Current Liabilities
Trade and other payables - - -
Borrowings 34,362,811 32,952,158 35,186,158
Provisions 8,410,678 9,082,779 9,082,779
Total Non Current Liabilities 42,773,489 42,034,938 44,268,938
Total Liabilities 55,794,009 59,552,140 59,955,389
Net Community Assets 1,061,497,489 1,054,520,914 1,024,987,051
Community Equity
Asset Revaluation Surplus 47,237,401 24,518,021 24,518,021
Retained Surplus / (Defeciency) - - -
Shire Capital 1,014,260,088 1,000,469,031 987,372,510
Current Year Net Earnings - 29,533,862 13,096,521
Total Community Equity 1,061,497,489 1,054,520,914 1,024,987,051
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ATTACHMENT 3
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ATTACHMENT 3
Noosa Council
Cash flow Statement
For the Year Ended 30 June 2017
Actuals as at 28 February 2017
Actual YTD Actual
2017 2016
$'000 $'000
Cash Flows from Operating Activities
Receipts from Customers 74,362 79,410
Payments to Suppliers and Employees (44,130) (68,477)
30,232 10,933
Receipts: - -
Investment and Interest Revenue Received 2,661 4,908
Rental Income 974 1,227
Non Capital Grants and Contributions 3,867 5,205
Income Tax Equivalent Received 866 1,144
Income from Equity Investments 703 1,864
Payments: - -
Borrowing Costs - -
Interest Expense (178) (955)
Net Cash from Boundary Adjustments - -
Net Cash Inflow/(Outflow) from Operating Activities 39,126 24,326
Cash Flows from Investing Activities - -
Receipts: - -
Proceeds of Sale of Property, Plant and Equipment 153 452
Grants, Subsidies, Contributions and Donations 4,016 7,696
Payments: - -
Payments of Property, Plant and Equipment (6,570) (28,858)
Payments for Intangible Assets (614) (202)
Contributions Paid to Joint Ventures and Associates - 1,864
Net Cash Inflow/(Outflow) from Investing Activities (3,014) (19,048)
Cash Flows from Financing Activities - -
Receipts: - -
Proceeds from Borrowings - 1,360
Payments: - -
Repayment of Borrowings (4,967) (4,943)
Net Cash Inflow/(Outflow) from Financing Activities (4,967) (3,583)
Net Increase/(Decrease) in Cash and Cash Equivalents held 31,144 1,695
Cash and Cash Equivalents at the beginning of the financial year 52,586 50,891
Cash and Cash Equivalents at the end of the financial year 83,731 52,586
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