2021-02-09 Services & Organisation Committee Meeting Agenda

SERVICES & ORGANISATION COMMITTEE MEETING AGENDA                                  9 FEBRUARY 2021


2                        COMMERCIAL HIGH USE PERMITS - TENDER PROCESS
DOCUMENT INFORM AT ION




Author                           Property Advisor, Denis Wallace
                                 Corporate Services

Index                            ECM/Subject/34.61 Commercial Use of Community Land

Attachments                      Nil


EXECUTIVE SUMMARY
Council supports a limited number of Commercial High Use Permits for commercial activities on
community land focused around the Noosa Main Beach area. These were last issued in 2017
following a public expressions of interest process and will expire in June this year. The report
outlines the permit types, fees, terms and assessment criteria recommended to be offered in an
upcoming public tender process.

RECOMMENDATION
That Council note the report by the Property Advisor to the Services & Organisation Committee
Meeting dated 9 February 2021 regarding Commercial High Use Permits and agree to proceed to
a public tender process for new permits based on the proposed permits, fees, terms and
assessment criteria detailed in the report.


REPORT
Council allows limited commercial use of public land under its control in accordance with its
Commercial Use of Community Land Policy (available on Council’s website). Noosa is a
desirable place to operate a commercial business on community land and levels of enquiry for
commercial permits have been very high in recent times. Overheads for businesses operating
under these permits are lower than commercial premises and Noosa’s open space areas provide
opportunities for lifestyle businesses with broad appeal to patrons, though trade is subject to
weather and other seasonal impacts.
Noosa Council’s approved Commercial High Use Permit locations are concentrated on Noosa
Main Beach and adjacent land due to the area’s high visitation. There are currently 8 activities
undertaken by 12 permit holders. Two permit holders enjoy special terms, being Hey Bill’s
mobile refreshment iconic lifetime permit and a 10 year refreshment van permit at First Point,
which is now approaching the end of its term.
The standard permits were due to expire in June 2020 but were granted a 1 year extension, as it
would have been inappropriate to conduct a public tender process at the height of the COVID-19
pandemic. With the exception of Hey Bill’s lifetime permit, all permits are now due to expire on
30 June 2021. This report outlines the process and timing required for Council to be able to
award new permits.
Tender Process and Timing
An Expression of Interest (EOI) process was undertaken in accordance with the Commercial Use
of Community Land Policy (the Policy) by Council in 2014 and 2017. A similar tender process for
available permits is recommended in 2021. The change from an EOI to a tender is based on
legal advice regarding whether the permits constitute valuable non-current assets (which exceed
a value of $10,000 across the permit term) under the Local Government Regulation 2012. The
process involved will remain generally unchanged. Notably, tenderers will not be required to
tender a value for the permits, as the fees are set by Council.
This report identifies the proposed range of permits to be offered, the permit fees and the
assessment criteria against which the respondents will be assessed.

                                                                                      Page 16 of 100