2014-02-25 Infrastructure & Services Committee Meeting Agenda

INFRASTRUCTURE & SERVICES COMMITTEE MEETING AGENDA                         25 FEBRUARY 2014


There are still a number of steps that need to be completed before the 3 year Capital Program
can be considered for adoption for the 2014/15 Budget. These include:

1.   Council confirms and adopts the principles process and overview for the development of
     the Capital Works Program;
2.   The scoring of projects based on the set criteria;
3.   The drafting of the 2014/15 to 2017/18, 3 year Capital Program; and
4.   The adoption by Council of the 2014/15 (year 1) and endorsement of years 2 and 3 for
     planning purposes.

3.   Program Statements

The program statements have been drafted to enable the identification of where capital works for
assets and infrastructure are within each program. For example the kerb and channel assets will
be identified within the Stormwater Drainage Program. The program statements have defined
objectives and principles to ensure they are considered when the prioritising and scoring of
projects occur.

An indicative annual allocation has been placed in each of the programs. This annual allocation
is an average expenditure over the life of the assets within each program. This is important to
note as there will be financial years where a concentration of expenditure may be limited to a
reduced number of asset types to ensure Council has the financial capacity to maintain its asset
renewal and rehabilitation programs and ensure intervention levels are achieved before
increased financial liabilities are incurred if assets fail.

4.   Project Scoring

The project scoring criteria was developed to assist in the prioritisation of projects across all
programs. The scoring of projects is critical to ensuring that projects are validated and
complement the principals and objectives of Noosa Council. The weighting of the scoring system
has been developed to prioritise projects that are focussed on the renewal and rehabilitation of
Council’s existing asset base and any new infrastructure projects will be scored independently
form the scoring criteria. The project scoring criteria will continue to be further developed.

5.   Conclusion

The interim Capital Works Program and Framework will still require significant work into the
future as the organisation matures. The ongoing development of processes and supporting
systems will ensure the Capital Works Program will become more robust through the adoption of
the Corporate Plan, long term Financial Plan, Asset Management Plans and complemented with
the determination of agreed levels of service across Council infrastructure.

FINANCE & RISK

Approximately $18m per annum has been identified as the benchmark for annual renewal /
replacement of assets and this amount reflects current consumption levels of Council's existing
asset base. Appropriate condition assessments will be undertaken on all assets classes to
identify potential risks surrounding the ability to address any identified renewal replacement
backlogs to bring asset condition to acceptable levels.




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