2017-10-13 Special Meeting

SPECIAL MEETING AGENDA                                                               13 OCTOBER 2017


Accordingly, Council should recognise that there is some potential uncertainty with respect to future
financial contributions from the co-funding NFP. Nevertheless, it is also important to note that NPA
has played an important and valuable role in this project to date. Discussions throughout this
project have certainly evidenced a strong long term commitment by NPA to this project and indeed,
this project would not be possible without their valuable contribution in bringing the parties together
to achieve the long term environmental outcomes.
In addition to the above, there is also a risk that there will be a perception within the community
that this project is an example of cost shifting from the State Government to Council given that the
land will eventually become National Park. Essentially, this project would not proceed without
Council and NPA’s financial contributions. The State has confirmed that the required rehabilitation
costs are not available in its budget. The project accelerates the permanent protection of land
which will directly benefit the Noosa community and allows the Council to leverage its funds from
the Environment Levy to protect a greater area than has historically been the case with normal
purchases. Further, in the long term, Noosa ratepayers will not have to pay ongoing maintenance
costs of the conservation land as it will be the responsibility of National Parks.

8.1.5. Native Title implications and other future land use matters
Legal advice has confirmed that Native Title rights are not extinguished in the project area. This is
not considered a significant risk in terms of future uses for the area. It is considered that indigenous
use the project area will be negotiated as part of a broader Indigenous Land Use Agreement
currently being considered separately to this project. Future discussions and consultation should
take place between Indigenous groups, the State and Council with regard to desired use for the
project area when it comes under protected environmental status.
Ultimately, a management plan will be needed for the area, which should involve community
consultation with all stakeholders.
There are a number of other risks for Council’s consideration outlined in the Project Risk Register
provided at Attachment 4.

8.2. Finance
8.2.1. Financial Modelling
Financial modelling has been completed in accordance with Council’s ‘Use of Project Decision
Framework Toolkit’ Organisational Policy to ensure that an informed decision can be made relating
to the potential significant ongoing investment of ratepayer funds in this project.
The financial inputs relating to the modelling specifically relate to the initial upfront acquisition costs
(land acquisition, legal costs, management plan) and future land remediation and management
costs (tree planting, weed management, fire and pest management, signage, gates) over a five-
year period following Council assuming trusteeship of the conservation parks (in approximately
2023). Attachment 5 provides a summary of the assumptions used for the analysis.
For the purposes of informing Council on the likely total cost of this project the base case scenario
is being presented. The difference between the base case and other two remediation scenarios
relates specifically to the intensity of remediation and the associated cost implications (i.e. ranging
from base case natural regeneration through to full site reconstruction). This intensity difference is
outlined for information in the table below.




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