General Committee - May 2024
Date: Monday, 13 May 2024 at 12:30PM
Location: Noosa Shire Council Chambers , 9 Pelican Street , Tewantin , QLD 4565 , Australia
Organiser: Noosa Shire Council
Duration: 01:23:20
Synopsis: Financial performance ahead of budget and Q3 plan on track, Noosa Plan amendments progressing, Housing land disposal approved, Staffing and cybersecurity scrutinised, Capital delayed by weather.
Meeting Attendees
Committee Members
Brian Stockwell Karen Finzel Amelia Lorentson Jessica Phillips Tom Wegener Frank Wilkie Nicola Wilson Executive Officers
Acting Chief Executive Officer Larry Sengstock Director Corporate Services Trent Grauf Director Strategy And Environment Kim Rawlings Director Development & Regulation Richard MacGillivray AI-Generated Meeting Insight
Key Decisions & Discussions Larry Sengstock: Council appointed Brian Stockwell as Chair of the General Committee under s267(2) Local Government Regulation 2012; unanimous (01:02; Item 1.1). Deborah Olieke: Q3 Operational Plan: 149 initiatives—11 complete, 107 on track, 21 minor and 10 major disruptions; reporting by exception per statutory quarterly requirement (03:39; Item 6.1). Amelia Lorentson: Probed staffing shortages, outsourcing and data security; CEO differentiated consultants vs contract staff and outlined contract management and cybersecurity controls (06:27–12:49; Item 6.1). Richard MacGillivray: Explained statutory timeframes: concurrence agency (10 days) and minor change (20 days) decisions lag due to complexity; internal process review underway (22:33–24:54; Item 6.1). Deborah Olieke: Added four new KPIs for development/plumbing statutory timeliness; broader performance framework and corporate reporting system in development (17:31; Item 6.1). Frank Wilkie: Q3 passed unanimously after debate on over-commitment; members urged budget restraint and capability planning (25:56–37:04; Item 6.1). Financial Services (Acting): April YTD operating revenue +$2.1m (interest +$1.5m; goods/services +$1.4m); operating expenditure −$1.6m (employee −$1.5m); overall +$3.7m vs budget (38:27–40:59; Item 6.2). Trent Grauf: Noted NCP application to Waste and Holiday Parks; explained competition policy thresholds and annual budget adoption process (43:34; Item 6.2). Officers: Capital program 53% delivered excl. disaster works; weather delays; cash $123.7m incl. term deposits; sensitivity to FA Grant prepayment timing (52:33; Item 6.2). Councillors: Agreed need for revenue diversification to reduce rate burden; holiday parks performance improving via occupancy and cost control; $600k gross ≈ 1% rates but note commissions/costs (58:46–01:03:02; Item 6.2). Patrick Murphy: Tabled four months of planning decisions by delegation (caretaker catch-up); context on minor code variations and internal negotiations (01:11:08–01:16:30; Item 6.3). Council: Endorsed Noosa Plan 2020 amendments for public notification (31 business days) per Minister’s conditional approval; CEO authorised to make further changes; documents public from 31 May 2024 (Item 7.1). Council: Awarded CN00619 Street Sweeping to Specialised Pavement Services Pty Ltd (2-year term from 1 Jul 2024, 3x12‑month options); CEO to finalise contract (Item 7.3). Council: Approved disposal of proposed Lot 1, 62 Lake Macdonald Dr to Coast2Bay Housing Group under s236(1)(b) LGR (exemption), per Heads of Agreement (4 Apr 2024); CEO delegated to undertake subdivision, remediation tenders and execute contracts; sale at market value (Item 7.2). Contentious / Transparency Matters Frank Wilkie: Justified closing meeting under s254J(3)(g) LGR to avoid preemptive land speculation on potential rezonings; outcomes to be on public record post-decision (01:19:23; Items 7.1–7.3). Amelia Lorentson: Challenged necessity for leaving room on noting item; Chair clarified noting is not a procedural motion—conflict processes still apply (01:07:11–01:10:28; Item 6.3). Councillors: Sought clearer spend distribution (infrastructure vs services vs admin) to align with corporate plan and risk priorities; officers to consider quarterly view (55:50–57:29; Item 6.2). Officers: Admitted “camera car” parking revenue assumptions contributed to Local Laws revenue shortfall due to rollout delay (51:26; Item 6.2). Chair: Noted staffing attraction hampered by local housing costs; linked to confidential community housing agenda as systemic response (35:02–36:21; Items 7.2). Legal / Risk Chair/Officers: Quarterly operational reporting is a statutory duty (Local Government Regulation 2012); KPIs and performance framework under review to ensure alignment (03:39; Item 6.1). Council: Noosa Plan amendment process aligned to Minister’s conditional approval and “certain advice”; 31 business days consultation; reduces exposure to invalidity challenges (Item 7.1). Council: Land disposal relied on s236(1)(b) LGR exemption (community housing) and delegations under LGA ss257, 262; market value and protective conditions to mitigate undervalue risk (Item 7.2). CEO: Outsourcing/consultancy managed via contract oversight, confidentiality and cybersecurity protocols; recognised project management market constraints (08:57–12:49; Item 6.1). Officers: Asset management flagged as strategic risk; internal audit recommendations being implemented; Strategic Asset Management Plan in train; Audit & Risk Committee oversight (32:12–33:20; Item 6.1). Finance: FA Grant prepayment timing materially affects period recognition under accounting standards; vigilant long‑term sustainability posture with “sound/neutral” S&P-style rating context (52:33–47:49; Item 6.2). Conflicts of Interest Brian Stockwell: Announced he will cease prior Altum/Leigh McCready conflict declaration as events pre‑relevant term and McCready no longer associated (01:04:39; Item 6.3). Karen Finzel: Declared declarable COI for Altum applications MCU21/0228.01 & OPW21/0364.014; left room during consideration (01:06:08–01:07:38; Item 6.3). Amelia Lorentson: Declared declarable COI for OPW21/0353.02 (MC Bain) due to personal relationship; left room (01:08:11–01:09:32; Item 6.3). Planning Scheme Amendments & Zoning Frank Wilkie: Emphasised confidentiality pre‑consultation to prevent land speculation on rezonings; public notification to commence 31 May (01:19:23; Item 7.1). Council: CEO authorised to make additional changes required by Minister’s approval and advice; consultation period set at 31 business days with approved engagement plan (Item 7.1). Environmental & Infrastructure Concerns Officers: Shoreline Erosion Management Plan listed “major disruption” due to earlier contractor false start; new contractor engaged and work underway (15:20; Item 6.1). Officers: Weather over first quarter of 2024 delayed capital delivery; disaster recovery works (~$28.5m YTD) largely outsourced and contract‑managed (11:59; 40:59; Item 6.2). Council: Street sweeping contract CN00619 awarded to improve service continuity; staged options provide flexibility and performance leverage (Item 7.3). Community Housing Council: Approved direct disposal of Lot 1 to Coast2Bay for community housing with CEO delegated to deliver subdivision/remediation; unanimous after noting a councillor’s absence in confidential (Item 7.2; 01:22:09). Brian Stockwell: Linked worker housing shortage to broader organisational delivery risks; decision framed as systemic response (35:02–36:21; Item 7.2). Development Activity & Delegations Patrick Murphy: Reported four months of delegated approvals (Jan–Apr) due to caretaker pause; reaffirmed transparency rationale for publishing delegated decisions (01:11:08–01:17:48; Item 6.3). Officers: Development market softening in scale (not volume) reducing fee yield; year‑end reconciliation of unearned revenue to narrow gap (50:06–51:19; Item 6.2).
Official Meeting Minutes
MINUTES General Committee Meeting Monday, 13 May 2024 12:30 PM Council Chambers, 9 Pelican Street, Tewantin Committee: Crs Frank Wilkie, Karen Finzel, Amelia Lorentson, Jessica Phillips, Brian Stockwell, Tom Wegener, Nicola Wilson “Noosa Shire – different by nature” GENERAL COMMITTEE MEETING MINUTES 13 MAY 2024 1. ATTENDANCE & APOLOGIES COMMITTEE MEMBERS Cr Brian Stockwell (Chair) Cr Karen Finzel Cr Amelia Lorentson Cr Jessica Phillips Cr Tom Wegener Cr Frank Wilkie Cr Nicola Wilson EXECUTIVE Acting Chief Executive Officer Larry Sengstock Director Corporate Services Trent Grauf Director Strategy and Environment Kim Rawlings Director Development & Regulation Richard MacGillivray APOLOGIES Nil. 1.1. APPOINTMENT OF CHAIR OF GENERAL COMMITTEE Committee Resolution Moved: Cr Frank Wilkie Seconded: Cr Tom Wegener That Council appoint Cr Brian Stockwell as Chairperson of the General Committee Meetings in accordance with section 267(2) of the Local Government Regulation 2012. Carried unanimously. 2. CONFIRMATION OF MINUTES 2.1. GENERAL COMMITTEE MEETING MINUTES 12 FEBRUARY 2024 Committee Resolution Moved: Cr Amelia Lorentson Seconded: Cr Tom Wegener The Minutes of the General Committee Meeting held on 12 February 2024 be received and confirmed. Carried unanimously. GENERAL COMMITTEE MEETING MINUTES 13 MAY 2024 3. PRESENTATIONS Nil. 4. DEPUTATIONS Nil. 5. ITEMS REFERRED FROM COMMITTEES Nil. 6. REPORTS DIRECT TO GENERAL COMMITTEE 6.1. OPERATIONAL PLAN 2023-24 Q3 QUARTERLY REPORTING Committee Recommendation Moved: Cr Frank Wilkie Seconded: Cr Amelia Lorentson That Council note the report by the Chief Executive Officer (Acting) to the General Committee dated 13 May 2024 regarding the 2023-24 Operational Plan and: A. Note the progress report for Q3 2023-24 Operational Plan to 31 March 2024 provided as Attachment 1; B. Note the comments on the progress of all initiatives identified provided as Attachment 2; and C. Note the status of Council's Key Performance Indicators as provided as Attachment 3. Carried unanimously. 6.2. FINANCIAL PERFORMANCE REPORT – APRIL 2024 Committee Recommendation Moved: Cr Frank Wilkie Seconded: Cr Tom Wegener That Council note the report by the Manager Financial Services (Acting) to the General Committee Meeting dated 13 May 2024 outlining April 2024 year to date financial performance against budget, including changes to the financial performance report with the inclusion of key financial sustainability indicators. Carried unanimously. GENERAL COMMITTEE MEETING MINUTES 13 MAY 2024 6.3. PLANNING APPLICATIONS DECIDED BY DELEGATED AUTHORITY - JANUARY, FEBRUARY, MARCH & APRIL 2024 Cr Stockwell informed the meeting that he had previously declared conflicts of interest in relation to applications made by Altum Property Group in the Planning Applications by Delegated Authority Reports. Cr Stockwell advised: “During the last term I, Cr Stockwell, declared a conflict relating to Leigh McCready and the Altum property group relating to events in the lead up to the 2020 election. As this issue was prior to the relevant term, and as I am advised Leigh McCready no longer has an interest in the company it is not my intent to continue to make this declaration.” In accordance with Chapter 5B of the Local Government Act 2009, Cr Finzel provided the following declaration to the meeting of a declarable conflict of interest in this matter: I, Cr Finzel, inform the meeting that I have a declarable conflict of interest in this matter in relation to applications MCU21/0228.01 & OPW21/0364.014 (Combined with MCU21/0228.01) by Altum Property Group which are Items 7 & 22 in the Delegated Authority report. Leigh McCready who is associated with the applicant to the best of my knowledge, was involved in a volunteer capacity for my 2020 election campaign with Future Noosa, which is no longer an entity. As a result of my conflict of interest I will now leave the meeting room while the matter is considered and voted on. Cr Finzel left the meeting. In accordance with Chapter 5B of the Local Government Act 2009, Cr Lorentson provided the following declaration to the meeting of a declarable conflict of interest in this matter: I, Cr Lorentson, inform the meeting that I have a declared conflict of interest in relation to the application OPW21/0353.02 by MC Bain which is Item 13 in the Delegated Authority report, due to my personal relationship with the applicant Mark Bain and the Bain Family who are family friends. We have attended social events together, and our children have attended school together. As a result of my conflict of interest I will now leave the meeting room while the matter is considered and voted on. Cr Lorentson left the meeting. Committee Recommendation Moved: Cr Jessica Phillips Seconded: Cr Nicola Wilson That Council note the report by the Development Assessment Manager to the General Committee Meeting 13 May 2024 regarding applications that have been decided by delegated authority as per Attachment 1. Carried unanimously. Cr Finzel and Cr Lorentson returned to the meeting. 7. CONFIDENTIAL SESSION GENERAL COMMITTEE MEETING MINUTES 13 MAY 2024 CLOSURE OF THE MEETING TO THE PUBLIC Committee Resolution Moved: Cr Frank Wilkie Seconded: Cr Karen Finzel That the meeting be closed to the public pursuant to section 254J(3)(g) of the Local Government Regulation 2012 for the purpose of discussing: Item 7.1 - CONFIDENTIAL - NOT FOR PUBLIC RELEASE - ENDORSEMENT OF PROPOSED AMENDMENTS TO NOOSA PLAN 2020 FOR THE PURPOSE OF PUBLIC NOTIFICATION AND COMMUNITY CONSULTATION; Item 7.2 - CONFIDENTIAL - NOT FOR PUBLIC RELEASE - DISPOSAL OF LAND FOR COMMUNITY HOUSING; and Item 7.3 - CONFIDENTIAL - NOT FOR PUBLIC RELEASE - CN00619 – PROVISION OF STREET SWEEPING SERVICES. Carried unanimously. RE-OPENING OF THE MEETING TO THE PUBLIC Committee Resolution Moved: Cr Amelia Lorentson Seconded: Cr Karen Finzel That the meeting be re-opened to the public. Carried unanimously. 7.1. CONFIDENTIAL - NOT FOR PUBLIC RELEASE - ENDORSEMENT OF PROPOSED AMENDMENTS TO NOOSA PLAN 2020 FOR THE PURPOSE OF PUBLIC NOTIFICATION AND COMMUNITY CONSULTATION Committee Recommendation Moved: Cr Frank Wilkie Seconded: Cr Brian Stockwell That Council note the report by the Strategy and Sustainability Manager to the General Committee Meeting dated 13 May 2024 regarding proposed amendments to Noosa Plan 2020 and: A. Endorse the proposed amendments to Noosa Plan 2020 provided as tracked changes in Attachment 3 for the purpose of public notification and community consultation; B. Authorise the Chief Executive Officer to make additional changes to the proposed amendments to Noosa Plan 2020 contained in Attachment 3 as required by the Minister's conditional approval and Minister's certain advice recommendations outlined in this report; C. Authorise public notification and community consultation for a period of 31 business days and in accordance with the Community Engagement Plan as amended by the Minister's conditional approval; D. Following public notification bring forward a community consultation report for Council consideration; E. Make the proposed amendments publicly available on Council's website as of 31 May 2024, being the first day of public notification. Carried unanimously. GENERAL COMMITTEE MEETING MINUTES 13 MAY 2024 7.3. CONFIDENTIAL - CN00619 – PROVISION OF STREET SWEEPING SERVICES Committee Recommendation Moved: Cr Amelia Lorentson Seconded: Cr Jessica Phillips That Council A. Note the report by the Maintenance Planning Coordinator regarding the provision of Street Sweeping Services to the General Committee dated 13 May 2024; B. Award both separable portions of Contract No. CN00619 Provision of Street Sweeping Services to Specialised Pavement Services Pty Ltd, for an initial term of up to two (2) years, commencing 1 July 2024 and expiring 30 June 2026, with an option to extend for three (3) further periods of up to twelve (12) months each. The option to extend will be at Council’s own discretion and subject to the Contractor’s ability to meet the requirements under the Contract; and C. Authorise the CEO to negotiate the final contract with Specialised Pavement Services Pty Ltd. Carried unanimously. CLOSURE OF THE MEETING TO THE PUBLIC Committee Resolution Moved: Cr Nicola Wilson Seconded: Cr Tom Wegener That the meeting be closed to the public pursuant to section 254J(3)(g) of the Local Government Regulation 2012 for the purpose of discussing: Item 7.2 - CONFIDENTIAL - NOT FOR PUBLIC RELEASE - DISPOSAL OF LAND FOR COMMUNITY HOUSING. Carried unanimously. Cr Wilkie left the meeting. RE-OPENING OF THE MEETING TO THE PUBLIC Committee Resolution Moved: Cr Karen Finzel Seconded: Cr Nicola Wilson That the meeting be re-opened to the public. Carried unanimously. GENERAL COMMITTEE MEETING MINUTES 13 MAY 2024 7.2. CONFIDENTIAL - DISPOSAL OF LAND FOR COMMUNITY HOUSING Committee Recommendation Moved: Cr Brian Stockwell Seconded: Cr Amelia Lorentson That Council A. Note the report by the Senior Strategic Planner to the General Committee dated 13 May 2024 regarding the disposal of proposed Lot 1, 62 Lake Macdonald Drive to Coast2Bay Housing Group; B. Delegate to the CEO the power to perform the actions required to undertake the subdivision of the base parcel including: 1. tender for the remediation works; 2. negotiate, finalise and execute a contract for the remediation works for the sum generally outlined in the Report: 3. finalise the scope for subdivision works; 4. tender for the subdivision works; 5. enter to negotiate, finalise and execute a contract for the subdivision works for the sum generally outlined in the Report; and 6. finalise the subdivision works. C. Resolve that the exemption to dispose of a non-current asset other than by tender or auction contained in section 236(1)(b) of the Local Government Regulation applies to the disposal of proposed Lot 1. D. Approve to dispose of proposed Lot 1 of land under section 236 of the Local Government Regulation 2012 to Coast2Bay Housing Group subject to: 1. provisions outlined in the Heads of Agreement dated 4 April 2024; 2. purchase price being the market value outlined in the Report; and 3. other conditions which the CEO considers appropriate for the protection of Council's interests; E. Pursuant to section 257 of the Local Government Act 2009 (Qld), delegate to the Chief Executive Officer the power to negotiate, approve and pursuant to section 262 of the Local Government Act 2009 (Qld), enter into a contract on behalf of Noosa Shire Council for the disposal of proposed Lot 1 to Coast2Bay Housing Group on the conditions outlined above for the purpose of delivering the community housing outcomes. Carried unanimously. 8. MEETING CLOSURE The meeting closed at 3.59pm.
Meeting Transcript
Larry Sengstock 00:00.000
As you can see, this is our first meeting in this term of council for a general committee meeting, so we need to elect a chair for this meeting, but before we start, I'll act as the chair until we go into that formal proceeding. So, I'd like to start by acknowledging that we are meeting on lands of the Kabi Kabi people today, and pay my respects to elders past, present, and emerging. Item one is attendances and apologies. I think we've got all councillors present around the table, including Councillor Lorentson, who's back from her injury, or still injured, but back on deck. Good to see you. So the first point then is to appoint a chair for this group, this meeting. So, the first So I'd like to call for nominations if I could. Frank Wilkie 01:02.214
I move that Councillor Stockwell be appointed chair. Amelia Lorentson 01:14.420
Any discussion? I'll speak to it. I'm happy to support the recommendation given that it's what we have historically done, elected the deputy to be chair of the general committee and given that I support historical precedents, I'm happy to support that. Frank Wilkie 01:41.308
Any other councillors wish to speak? In closing I'd say yes, I support Councillor Stockwell, he's the most experienced councillor around the table apart from myself. And you need that in chairing the General Committee which is where all the robust debate usually happens. Larry Sengstock 02:00.474
I need to ask you, Councillor, if you'd like to accept the motion before we go forward. Okay, I'll put it to the floor. All in favour? That's unanimous. Thank you. We now have the chair of this committee, Councillor Stockwell. Brian Stockwell 02:16.021
Welcome all to the first General Committee of this term in council. For the new councillors, this committee is a little bit more formal than the previous two and a little less formal than the general meeting. So we tend to staff outline their report. And then we have the ability for councillors to ask questions, points of clarification. And then once we do move the motion to second, then we go into formal debate. The only difference is you don't need to stand up in this committee. Today, we have a number of items that are in confidential session. are in confidential session and for those of you in the gallery, when we get to item number seven, we do need to clear the gallery. So first up, do I have someone who will move the confirmation of the general meeting on 12 February? That's moved by Councillor Lorentson. We have a seconder, Councillor Wegener. Anyone wish to discuss? No? All those in favour? That's That's unanimous. We have no presentations, no deputations. There was no items referred from committee, so we move straight into section 6, which is report general committee. the first item there is the operational plan 2023-2024 third quarter report, and we have Deborah Olieke here to give us an outline. Deborah Olieke 03:39.680
Okay, Thank you, thank you. you, thank you, Chair. So this report outlines the progress towards the completion of initiatives and it's the Q3 report. So the CEO under the local government regulation is required to report quarterly quarterly on progress to council and it's a statutory requirement so hence the report. So the operational plan details 149 initiatives aligned to the five themes of the corporate plan. Of these initiatives 11 are complete, 107 are on track and 21 are experiencing a minor disruption and 10 are experiencing a major disruption. The details of the the reasons why they're experiencing minor and major disruptions are outlined in the attachment 1 and that provides an overview for each theme. We've taken an approach where we report by exception so we focused on those initiatives that are experiencing minor and major disruptions as opposed to on every single initiative. We do however do that and in the mid-year report which we did in February this year and we will be doing it again for the end of the financial year report in detail but for this report those things that are progressing normally have been identified as on track and you haven't got details reasons for for that. One thing I'd like to is that just to assist councillors where we've previously reported on an item I did put a note in their comments against the initiative to say as previously reported so I hope I didn't confuse anybody that that was simply just so knew that we have previously discussed that item it may have been completed earlier in the year just just for clarity so I did include that and we did include where an item had changed so it might have been in progress it might have been on track and then has moved disruption. We have given a reason for that and made a note of that so you'll see that as we go through. So I'd probably like to just draw your attention to attachment one so that report that shows of the overall progress by theme and there's some comments there about some highlights for each theme. The directors have made those highlights just to bring those to your attention for the quarter and then the quarter. And then we also go by in detail providing the information on how the initiatives are trafficking and also some reasoning why. So they're in those graphs in attachment one. So I'm happy to continue unless you have any questions. Amelia Lorentson 06:27.140
Just in terms of the report, Deb, you mentioned some of the challenges, in particular just difficulty in recruiting the qualified staff. Can you give us a little bit of detail and more importantly how does this challenge impact the organisation's approach to outsourcing and consultancy? Deborah Olieke 06:53.943
I'll I'll deal with the first part of the questions because it may be that see and I like to talk to it as well but it is a challenge for local government when you look at our staff turnover rates local government and the government sector is higher than say the private sector so we've got a fairly high turnover rate so we do lose stuff. Especially staff who are moving on to say within the construction sector where there's there are job opportunities so we do lose staff so it is you know is this sometimes challenging to keep staff especially when you're looking at remuneration and opportunities and being offered in the private sector so that that is always a challenge for us and it is traditionally for us and it has traditionally been it's one of the KPIs that we report when you when you look at turnover like that so that addresses the I think that responds to that issue of turnover. There are shortages in different different occupations and that means it's a challenge as well because we're competing with the private sector so your engineering and your technical type areas especially in our infrastructure area as well and that's been evident in the capital program. Where we've seen the impact and some delays on some of our projects. So can I go back to the other parts of your question? Could you just refer back if you wouldn't mind? Amelia Lorentson 08:16.709
How does these challenges in staff recruitment, how do they impact impact the organisation's approach to outsourcing and consultancy? And I think more where I'm sort of heading with that question, Deb, is the risk of outsourcing and consultancy. Risk as in data security Loss of control and how we manage those risks. Deborah Olieke 08:41.446
Did you want to talk to this, Larry, or would you like- look, what I could say that where we have got shortages, we have had to engage consultants, but we would also engage consultants in areas where we may not have the expertise. But I'd probably then hand over to the CEO to further discuss that. Larry Sengstock 08:57.615
So I guess there's different terms as well. So the consultancy for us is where we need specific expertise or skills that we don't have or it's not efficient for us to have them on full time because they're only needed in specific areas or specific times. So we use consultants for that. If it's where we've got a need for a need for specific or staff people that it's either we recruit. If we can't recruit, we do contract. So it's more contract as opposed to consulting, so it's backfilling with contracts. So it's a nuance of terms, but that's how we do it. So we don't really just grab consultants to fill gaps. Consultants generally are for if we've got specific needs and we don't have the skills and expertise to cover or we recognise we need that information and knowledge. In terms of outsourcing, that's certainly something that is a bit of a cycle for local governments where everything comes in, we bring everything back in, then the next model is we take everything and put it back out again and get outsourced. more so from a project management because they're very difficult to source project managers at the moment because there is so much work out there in the commercial world and people can make more money and do other So it's more and more attractive for staff to be able in the broader world so it's difficult for us so in that case we are looking at some of our projects going forward in particular where we will use more outsourcing. But that doesn't mean we just hand it out, it's really a contract that we hand out as an outsource and then we manage the contract as opposed to doing we manage the contract which is a different thing again, a different model but it's a model that again in the cycle that, again, in the cycle, that's a well-accepted model, and it is certainly what we are doing with our disaster management works, the 140-odd million dollars that we've got in works happening at the moment without it's a majority outsourced, and we manage the contract from within, and it works really, really well. From a cyber security and everything else, I mean, that's just something that we do as a matter of course. We protect ourselves, and it is a there's a whole lot of confidentiality that goes with contracts, there's a whole lot of that type of back end work that we're comfortable with, we're covering ourselves in that regard. We only go with reputed contractors and reputed work people, and that's always a challenge, but we do everything we can to make sure that we check those groups before. Before we do allocate them and sign off on contracts and get them to do the work. So as best we can, we're confident that those people are the right people for the job, and I think from an efficiency point of view, it's difficult at this day and age to try to keep everything in. We do need to outsource. We do need to utilise the skills that are out there. cost, but it also comes with an efficiency, so it's a matter of balance. Amelia Lorentson 11:59.699
And is some of the cost also organisational culture, our workplace culture? There's got to be some impact in terms of... Absolutely Larry Sengstock 12:09.519
Yeah. So again, there's two sides to that one as well, because if we try to keep everything in and we overload everybody, then the culture suffers because everybody's so spent that they can't deliver anyway. they can't deliver anyway, so it becomes a negative effect on the culture, whereas if we outsource it and get other people to do it and you balance then the work across our resources, then it's a much better. So it's a balance and I think there's times where we overload, no question about that, but we're getting better and more efficient at outsourcing where we need to. Thank you very much. Deborah Olieke 12:49.750
Okay, so I'll just work through the following documents. So then when you look at attachment 2, which I was referring to where the detail is which outlines every initiative, so this is all all of the 149 initiatives and the current status of those initiatives. So you can see that in the number completed, we went up by one and that was in our Workplace Health and Safety System Management Plan. We actually completed that initiative. So that's sort of the completed initiatives increased by one. Those initiatives on track remain constant at 107. The minor disruption, an additional two projects did decrease in the minor disruption and in the major disruption we had an increase by one. So you're looking at the 11, previously it that's sort of the Previously it was 10 in the complete on the on track it was 107 constant in the minor disruption the previously it was 23 we now we only have 21 and in the major disruption previously we had nine and now we've got ten. So just marginal movement in that. You'll see the movement in the next quarter report when we're reporting against the end of the financial year. That's where you see a significant difference in these figures. Larry Sengstock 14:07.973
I'll just make a point there, but this is the third quarter as well, so it's not the end of the year, so you don't expect to see them all complete, and where we say they're on track, it's also in relation to the timelines, the timeframe, because some of these projects, not all of them are due to finish on June 2. They're multi-year contracts and multi-year projects, so we cater for that. So if it's on track for the time that we are catering for that project, that's still September. Deborah Olieke 14:32.143
Impact. And there has The period of the election and just leading up to the election, there were some items that were sort of put on hold until the new council took office. So there are a few initiatives that have been affected by that as well, which wouldn't normally be the case. So just bringing your attention to that. Okay, so then going on to attachment three, and I identified in the report that... Sorry, Deb, before you go, I may ask a question. One of the major disruptive projects... of the major disruptive projects was the SEMP, Shoreline Erosion Management Plan. We've got a new contract, the hall's contract has been engaged, and work is well underway, and work's progressing well. We've got it as a major disruption, is it because of of the false start of the previous contract? Yeah, and the time factor. Frank Wilkie 15:20.426
Even though we're underway again now? Deborah Olieke 15:21.066
Yeah, and the time factor, and the time factor. Because it was to the 30th of March, 1st of March, so at that time when the comments were made, that was the Okay, so then just to talk about the key performance measures, so there are a number of measures that we have reported over the years, and they cut across our people, our customers, and our various systems and processes. We are currently reviewing our performance measures. There are a number of measures that are in the corporate plan, which we're refining, and we've done work to review all of our service profiles and focus on looking at the efficiency and effectiveness measures for the different services of Council. And those service profiles will come before Council along with the budget, because that's normally when we report them. we've kind of got two extremes. We've got the corporate plan measures, which we're refining, and then we've got the service measures. And then the next focus is really clearly looking at the operational ones, so making sure that we've got alignment of the measures. There is an initiative in this operational plan, which is actually the development of the performance measurement framework, which is in progress, and that also includes looking at all of our performance measures. It's quite a lengthy process to do this, and we're also looking at the development and implementation of a new system, corporate reporting system. system, again, that's to develop, so it is work in progress. But I did want to just bring to your attention, we added four additional measures, and they provide a further breakdown in the development approval in the plumbing area. council's information, because the director felt that it would be informative for council to see the current month's figures in the numbers of applications, but also the ones that are meeting statutory timelines. So there are four new They've got a little label "new" on them just to bring them to your attention, and they just support the existing measures, which actually show performance over a number of years. So it just provides a little bit more detail. going forward we will be reviewing these these measures. Amelia Lorentson 17:31.160
Can I ask a question in relation to the review, Deb? Yeah. Will the review be developed by council? Or will the LGAQ, the Office of the Local Government, will they have any input on the framework or review of our framework? Deborah Olieke 17:49.095
We are actually developing the frameworks ourselves and aligning it to our planning hierarchy. For example, corporate plan, operational plan, branch plans as well. we we do we're taking board the State government is very interested in helping to promote councils to be sustainable going forward and have introduced some sustainability type measures. They're mainly in the financial type area. we have incorporated, we are incorporating those. They're really relevant at the service level. So in the review of our service profiles and we're looking at efficiency and effectiveness measures, that's where we've really taken that on board. But of course, But of course, this framework and the measures will come back before council for approval and endorsement. But we are looking at what the State is doing and what they are implementing so that we make sure that we have got alignment and we will be sustainable going forward. So, yeah. Larry Sengstock 18:45.965
Any other questions? Frank Wilkie 18:48.437
On the KPIs. They are excellent graphics, thank you. Why was there such a spike in requests in general? Is that a traditional trend? Deborah Olieke 18:59.637
Oh, I'm sorry. I probably don't have enough detail to be able to answer that question. I'd have to take that on notice. Are you talking about the customer service requests? The number of requests received by month. Yes, by month. I was just thinking, yeah, rates, rates, rates, rates, and were there any other... Yeah, and we might have already, with the dog registration, were there were there some other registrations possibly? Richard MacGillivray 19:29.866
I noticed there was a, just looking at the data, there are higher than average number of waste management inquiries, and also other general inquiries were up for the month. SPEAKER_01 19:42.211
You do, you do tend to get that at the beginning of the year, coming out of Christmas and school holidays, and then everything's very topical, so yeah, it gets raised in the numbers of contacts. Frank Wilkie 19:53.111
Okay, and then there's a percentage of building information requests completed within a statutory timeframe. It says a downturn in application numbers has contributed to reduced processing timeframe. So maybe I'm mis... I'm not reading the graph correctly, but if the green elements were higher, that means more would be processed within the correct timeframe, is that correct? Deborah Olieke 20:23.790
I'd have to refer to Richard to these... Frank Wilkie 20:25.930
You're saying a downturn in application numbers has contributed to reduced processing timeframe. Do you think the opposite would be the case? Yes. Like a... Fewer applications would lead to increase... Improvements in timeframes there. I mean, the only comment I would make would be to other work-related tasks that may have been taking up that extra capacity, but, yeah, generally, we would think that if we've got more capacity here, these applications... Thank you. And then the other new, the new, one of the new graphics about MCU development applications decided within the statutory time frame. Unless I'm misreading the colours, MCUs are the dark blue? Correct. I see. In almost all cases, MCU applications are decided within statutory time frames. In February and March they were, but in January they weren't. Yes, correct. Richard MacGillivray 21:27.728
So there were a few that didn't get the staff on leave, for example? Potentially, and in some cases where the applicant doesn't agree to extend the time frame. We also, we were about to lead into caretake at that stage as well, so there's possibly another, and sometimes when the consultants don't extend Frank Wilkie 22:07.946
About percentage of payments made electronically it's almost a hundred percent we heard the other day three percent of all payments are still cash and even though it's an extremely high number of electronic payments there's no there's no suggestion this council is ever going to move away from cash accepting cash Brian Stockwell 22:33.141
Not that I'm aware of but it's really interesting about 97 percent of money electronically thank you so I'll follow one of the questions about the new grow The number of development applications decided in the second timeframe. Consistently concurrency agency, and I would presume that's the State Government getting back to us, but then the other interesting one was minor changes at 21%. Is that because they're seen as a lower priority, or there can be more complications, or because the timeframe's very narrow for it? Richard MacGillivray 23:12.104
In relation to the concurrency agency referrals, they're actually usually the referrals from the building certified to Council. So, Council has a limited time, 10 business days, to make a decision on those. Often, we've extremely complex variations to the planning scheme, so that takes a lot longer for us to deliberate with the applicant, back and forth with exchanges, but because we're bound to have 10 days to decide that, that means that it's very difficult to provide a particular decision within that period of time. often is too, they're auditing those very early, so without the building approval application process being lodged as well, so we're having a discussion internally around some of those should be potentially revisited to be early pre-request response because the building application actually hasn't been lodged and we're assessing as part of that, so we're actually having a look at that as part of an internal discussion with our planning assessment team at the moment. And the minor change ones? Yeah, minor changes. So there's 20 business days associated with minor changes. Again, we're finding a lot of situations where there is quite a bit to them and requiring a lot of assessment from referrals as well, some in some cases external consultants assisting us on those reviews. So that's taking more than 20 business days to make a decision on those particular applications. Hence why the numbers are lower than desired. In terms of working on those, particularly around the concurrence agencies and minor changes to seek further information and more time for those decisions to be made. Deborah Olieke 24:54.293
So um so will that benefit us with the new corporate reporting system giving us more detail will that drill down on more of this information when we get the reports it'll ultimately it it will give you more information but it will take time to build the system but it will be picking up, it will look very much like a traffic signal if you like in how we work and highlight those areas that are sort of abnormalities. different or spikes and so to speak that the data will be entered for example by the relevant area and then we'll be able to report differently so it'll improve our reporting format format, but there's still quite a bit of work to be done on data and connectedness within and across different modules, so it will take some time to do that. Ultimately, definitely, but it will take some time to build to do that. Brian Stockwell 25:52.102
Any further questions? Would someone like to move the recommendation? Frank Wilkie 25:56.982
We have Brian Stockwell 25:57.662
Councillor Wilkie and a seconder, Councillor Lorentson. Would you like to... Frank Wilkie 26:02.462
Look, I'd like to thank the staff. The quarterly report, the operational report gives a good indication of how the organisation is moving and is moving and how hard it's working. And as you've said, there are many, many challenges with staff, staffing and recruiting. We've had weather delays with a lot of programs as well. And any interested residents and ratepayers want to know how their ratepayer dollars are being spent. Direct them towards the quarterly report and the annual report. There are so many initiatives. It's good to see most of them are on track and you've clearly articulated the reasons why there's major disruptions. It makes it really understood why there are disruptions and a lot of those solutions to those things are going to going to be addressed in the coming months, so please pass on our thanks again to the staff for how hardworking they actually are. It's greatly appreciated. Okay. Larry Sengstock 26:58.038
Thank you. Tom Wegener 27:00.178
Just a comment. It appears to You know, we have a lot of things on the table here, really a lot of programs, and a very small handful of directors. So the directors wear a hat, the sub-directors, and we know that lots of hats are being worn by one person. And I think that when you look at some of these areas here, you know, there's so many things that are happening. For example, facilitate youth engagement needs to be, you know, is in the yellow. project is in the yellow. Noosa design principles, revenue diversification, reconciliation action plan. Those are things that we aspire to do and we want to get to them, but in my opinion, where the lack of or trouble filling all these positions, actually that's a symptom of us wanting to get to these projects, but they're just filtered down at the bottom because the director so many hats on, they're just like right, okay, I can't take that hat and pass it down to somebody because there's nobody, there's no head down there to put it on. Is that accurate, Larry? Kind of an accurate kind of mental image of how council works? Larry Sengstock 28:06.454
Oh absolutely, I think that's the piece we need to continue to bring back to the table and this shows it, is the complexity and the breadth of activities. It's broader than any other business that you can find I think and that's symptomatic of it and absolutely it then becomes a priority of where do we spend our time because we've all got limited time and we have to then try to just keep things moving along. It's almost in some respects it's like trying to push a log up a bench here, push a little bit more and just keep it moving and that's sometimes what we need to do in order to do it because we don't have the luxury of a massive staff base regardless. We're just not in that position from the financial position and your resources. You're right, it is a very complex business and we are managing a whole lot of things worldwide. Deborah Olieke 29:00.523
And we have an ambitious corporate plan and this operational plan is essentially the one year component of the five year plan. When we go into our next year, it'll be the second year operational plan for the corporate plan, but the corporate plan plan is very ambitious in what we said that we would deliver over five years and a number of the initiatives you will see that you know they might be at a initial phase and then they might they'll move to a next stage next year because it's not always is always completed within the financial year especially with some of the complexities of some of the projects they go beyond one year and they and they then move over into another stage in the in the following year which also then needs further consideration budget wise and and then you have emerging issues on top of that so yeah so just sort of of rephrasing but asking a question so we have set overly ambitious goals and we potentially are overstretching our resources so understanding that now what adjustments are we going to make next quarter to address these issues? Amelia Lorentson 30:14.620
Well I don't think it's just next quarter I think it's going forward in total. We have set a lot of things in motion and what we are looking to do but this is part of our budget deliberations in the next financial year is to finish the things we've started that's the risk and we're all we're all guilty of it because we're guilty of it because we're all humans and we all want to do as much as we can for our community, so we're all prepared to take on more as it comes our way and see what we can do and try and help. We need to take a much more considerate view of some of these things and just say we can't do any more, we need to finish these off before we move on to the next one. That's what we are trying to do and this report shows that we're on track to do that. But, you know, everything takes resources and like I said at the start, even though they're green, they're not necessarily going to be finished 30 June so we can move on to the next financial year, they're actually multi-year projects that continue, they're all on track but they're continuing. So they're continuing to suck up resources and finances. But that's the plan, is to deliver what Deborah Olieke 31:33.666
Just further to what the CEO said is that, have acknowledged that we do need to consider what our finances are and what our people capacity are and we look and a workforce plan has been identified as one of the initiatives as well to further look at our staffing resources and ability to deliver and the simile and similarly with our systems and with our finances as well. So that's the capability plan that was actually identified in the corporate plan but is also included in the operational plan. Amelia Lorentson 32:00.573
In terms of high risk priorities in council, stormwater and ageing infrastructure, where is that identified in the operational plan? Deborah Olieke 32:12.773
I'll I'll give you an example a key one would be asset management so that is actually identified in the operational plan. It's also identified in our strategic risk register and it's also something that we report regularly to the Audit and Risk Committee on because there was an internal audit done of our asset management and there's a number of recommendations that we'll be moving to implement to approve our asset management and there And there is also some other work being done, particularly in community services, where they're looking at maintenance requirements on some of the community buildings going forward. So there is definitely a plan of the TAC in that space. That's in relation to asset management. that's probably a big part of it really. Larry Sengstock 32:57.553
Register. Deborah Olieke 33:00.433
Which we review, the executive team reviews regularly and we report to regularly and we report to the as I said to the Audit and Risk Committee at least twice yearly on that and we have specific actions that we're putting in place to address those and the development of a strategic asset management plan will be a key piece of work in that space. Larry Sengstock 33:20.276
There is a piece as well to to take the time to celebrate what we've done and what we're doing what we've got in our books of all these things because we tend to sort of assume we finish something we just move on what's next and that just gets pushed aside or we start it and it's like great we've started what's next. we've started. What's next? As opposed to really focusing on all the great things that we are delivering and doing over the course of the 12 months, two years, three years, four years in terms of the cycle. So I think that's really important that we do that as well because it's very easy to forget that we've built these roads, we've built that roundabout, we've done all that great work. It's like, here I go, what's next? As opposed That's fantastic, and we recognise that there's more projects in train. Amelia Lorentson 34:02.657
Quick question, and this is maybe in terms of the review of our framework or additional KPIs. We look at, like, customer customer satisfaction, whether it's customer service, we look at experience surveys, do we look at, and I'm thinking of roads that we've just completed or whether it's stormwater, do we ever consider whether the service is fit for purpose? Absolutely. Yeah. Yeah. Absolutely. Within the restraints of what we can deliver. Yeah, absolutely. It's, it's, it's always going to be. Fit for purpose. In my, in my opinion. But we can't always deliver some people's fit for purposes here and, you know, it's, it's where that, where that line's drawn. But absolutely, that should be our. Excellent. Thank you. Frank Wilkie 34:51.541
You're saying what council was, uh, according to. Designated standards. Larry Sengstock 34:57.863
Specific to our community as well. Yeah. With their expectations. Brian Stockwell 35:02.723
Who else wishes to talk to the motion? Oh, you should talk. I'll just point to my thinking on this is, when we look at the cause of the delays, there's some that are outside our area of influence. think Things like, the you first three months of this year, in my recollection, have probably got the most wet days that I've known for at least 40 years, and we know the labour market is difficult, and that we know that some of these key positions have caused major delays. We've advertised some of them three times, and sometimes we get a African who accepts and then finds out about the housing market, and that's the one I think that we have to look at systemically. What do we change? And then on today's agenda in the confidential session, two of the three items is about addressing that systemic issue in terms of accommodation for key workers in the Shire. So that will take years to work through the system, but that's the sort of thing I think we should be looking at. What are the large, big picture constraints on achievement of this organisation and the broader economy and how do we... do we change that paradigm so that in future it ceases to be such a large constraint? Tom Wegener 36:21.004
As a mayor, as maybe part of your new job, you could be in charge of celebrations. Amelia Lorentson 36:32.384
It's really positive for culture. People and culture. I'd just like to acknowledge the staff and you Deb for, you know, you bring so much expertise and years of experience to council and just thank the staff for all their hard work. I think when you run through the report, it's overwhelming how big a business we are and what we've actually got on our plate at the moment. Thank you. Deborah Olieke 37:04.425
Thank you for that. Would you like to close? Yes, I will. You talked about capability plans being prepared which will give us a good insight into what the organisation is set up to actually deliver. When we're overstretching. But any councillors who are concerned about overworking this organisation have got an opportunity in the upcoming budget not to overcommit to initiatives, not to overcommit to capital works because we do have to because we do have to sign off on the budget and also the operational plan for the next year. So all the initiatives this year we unanimously approved and we're going to have an opportunity to really set a regime of tasks that hopefully will be taking into account the things we've heard around the table today by June 30. Thank you. Brian Stockwell 38:01.607
Those in favour? That's unanimous. Thank you there. And our next item is the financial report for April. And we have to are you going to do this one? SPEAKER_09 38:19.642
Absolutely I am. Are you good for me to go? Brian Stockwell 38:26.042
Are you ready? SPEAKER_09 38:27.802
Afternoon councillors. So year to date for April 2024, operating revenue is continued to outperform our forecast as well as operating expenditures are running under forecast to the end of April. Operating revenue is $2.1 million above budget and that's being predominantly driven by interest income of $1.5 million and sales of goods and services of $1.4 million from holiday parks, waste disposal. Our operating expenditure is $1.6 million underspent year to date, with $1.5 million of that relating to employee costs. And materials and services expenditure is slightly under the forecast, which is five grand. However, there is some offsets between legal services, which are actually over budget at the present time, offset against underspending contract services and consultancies. Tourism economic development expenditure continues to show that it's tracking against budget year-to-date. And overall, Council's operating position at the end of April is $3.7 million above budget. Year-to-date, excluding disaster projects, Council has expended 53% of its full-year capital program, which equates to $24.3 million of our full-year $45.9 million capital. with further nearly $11 million committed. Year-to-date, we've spent $28.5 million on QRA-funded disaster projects. However, we are obviously running a little behind on our capital projects, and some of that is to do with the weather that we've seen in the last three months. Council's cash holding at the end of April was $123.7 million. And some of that is actually relating to the capital program in the fact that it is delayed, and we were expecting a lot more of an expenditure to come through from the QRA projects than have. We currently have $30 million of those funds invested in term deposits. Overall, Council's financial performance continues to be strong, and it's forecasted to result in a surplus at the end of the year, pending any accounting adjustments that may come through. Tom Wegener 40:59.340
Just seeing that this extra boom, $1.5 million from interest rates, so that is just such a bonus, isn't it, for us. It'll probably wind up by the end of this year, do you think? SPEAKER_09 41:13.780
It will depend on the delivery of the QRA program, that's where a lot of the funding comes from and the timing of delivery of those programs, as well as the delivery So there's some funds obviously with that, whether it spreads into the next year as well, but we obviously are expecting that interest rates will decline coming into the next year, but we haven't quite seen that just yet. So while we can utilise the funds and We will continue to do that and look at ways of doing that. Obviously, however, interest is in an ongoing revenue stream and it will come down, so it can't be used to fund ongoing projects and costs. Tom Wegener 41:48.922
And then the next question, because of these, there's all that money in the bank account from the, from say Black Mountain Road, eventually that's going to be an asset. Do we pay the depreciation on that asset as the council, or is that the State? SPEAKER_09 42:01.642
No, so that, part of that will become an asset, some of it may not become an asset, so there's parts that will be capitalised as an asset and some that may be expended, but that asset becomes ours, so we're there to reconstruct. road of Black Mountain, that road is ours and we own that asset and it will depreciate through the accounts. Tom Wegener 42:18.503
Okay, sorry, last question. Because of that, it's such a huge project and it costs so much money, the depreciation on that would be a lot, but on the other hand, it should last a really, really long time. SPEAKER_09 42:29.403
Yes and no, however, not all of that particular project will necessarily end up as an asset. we don't as a council generally value the land under a road and some of that construction is building land under the road. There's obviously pylons and gabions and all those sorts of assets. So it really comes down to the components that are constructed and the elements that meet the criteria for capitalisation as an asset on our finances, versus being expended and offset with the revenue that we've received from QRA. So they're the sort of assessments that we do as part of the end of year accounting with the auditors as well. Amelia Lorentson 43:07.720
Council elects to apply national competition policy reforms to waste management and holidays park. So from the wording NCP is not compulsory, or is it amongst local governments? I've always understood it should be compulsory, but the wording says otherwise. Trent Grauf 43:34.274
So the thresholds and the definitions of what constitute commercial activities is embedded in the Local Government Act, but what we need to do as a council each year when you adopt the the budget is you do adopt through that process the activities that fall into that threshold so what we're required to do each year as part of the budget is not just look at holiday parks and waste which are clearly above the threshold the revenue of being considered commercial but have a look at everything we do so each year we do that assessment and there might be things at some point in the future that might trigger over we might we might do a major upgrade or one of our sports or aquatic facilities like that might fall into that competition policy framework and we'd have to make sure that we do that extra due diligence around pricing and no anti-competitive pricing in our structures with those. That's why we elect you as part of the budget adoption this Frank Wilkie 44:46.401
In the rates and levy section, you've got $88.9 million or 100% of the budget is being In the comments, general rate, 123.6 above the year-to-date budget. And I understand we are actually, there was some, we received less income to use on ratepayers' behalf because there have been some property re-evaluations. you just explain how we reconcile that with the comments I've seen here, please? SPEAKER_09 45:15.711
Some of those relate to some levy funds as well that we have, but there's also, we did do an adjustment at the last budget review to accommodate that reduction, or part of that reduction, so it's not showing as over or under-spend over or under-spend as it possibly would be had we not made that adjustment at the budget review that we adopted in January. Trent Grauf 45:31.148
Thank you, that explains that. And through the Chair, we're still continuing to see those revised valuations, or the UCVs as we call them, of land come through, so our OATS revenue is continuing to reduce as properties... test those valuations, so it was just the assessment we took at the time at budget review too, as to what that would land at by the end of financial year. Frank Wilkie 45:58.177
Traditionally, this Council's trying to bring in a budget, a minimum general rate, the rates rise is no higher than CPI, and I heard that federal CPI rate, what, 3.5? 3.6%. SPEAKER_09 46:09.077
It's predicted to be 3.5.3.6. Frank Wilkie 46:10.817
But I understand... I understand we're still feeling the impacts of record high CPI... SPEAKER_09 46:16.911
We are. So, I mean, talk to CPI. So, CPI that's released is based on a set of standard expenditures, so groceries, milk, fuel, those sorts of things. And while that's representative of you and me at home, that's not necessarily representative of the goods and services that Council's procuring. Not the local government index? Well the local government index is again another indicator, but obviously you know roads, construction, asphalt, those sorts of items generally track a lot higher than the base CPI. We also have employee costs that are tied to a certified agreement. agreement and those have been higher than the 3.6 that we're currently sitting at. So we had 4.2 in December that increased our employee costs. So we tend to, we run higher than necessarily the announced 3.6, the announced CPI by the ABS. But obviously we've historically adopted a track to try and tie rates to CPI, but that has constrained us in our ability to continue to deliver those services and maintain that level of service. Frank Wilkie 47:22.974
And just a general question, the financial rating this council has received from the State governments, was it financially sound with a neutral outlook? I understand sound is like five on a scale of seven. Are you just talking board terms for those who may What that means in terms of the way this council is able to deliver services for its residents and rate payers? Trent Grauf 47:49.163
Through the chair, I can speak to that one. If you look at the first part of the scale, which is sound, we aren't a local government that generates generates robust or strong or significant operating services, we start the financial year targeting just above a break even. If we've got excess funds, we look at whether we invest that in services or reduce our rate accordingly. So we always target a very lean financial position to start the year. Larger councils and those with a more significant revenue and rating base such as those in SEQ might be looking at a larger operating surplus when they adopt their budget. So that's where the sound position comes from. We're one of the 20-odd councils in Queensland that are financially sustainable, so we have a sound position. A neutral outlook is that, exactly as it says it's neutral, we're not declining, we're not significantly growing in our financial sustainability, it requires ongoing astute financial decisions, not just or tomorrow or next month's council meeting, but every council meeting to ensure and every budget deliberation to ensure that your intergenerational financial sustainability remains over the next 10 or 20 years. that's why that long-term view is always important and knowing what your asset management planning is for example so that you know what you're funding for not just in one year or two years but in 10 years time in ensuring that you're funding that. So that's why the neutral outlook's there that we're looking at that long-term view and keeping it well balanced over that decade. Thank you. Brian Stockwell 49:35.835
I've got a couple of questions. It's around fees and charges. So obviously that's the area where there's the most deviation from the budget and I know in budget review we had a look at development assessment. assessment fees and building and plumbing compliance were a similar level below then and we thought there was going to be some more movement. Have we seen that more movement and it's coming in the last quarter or is it the mean that we really are seeing a downturn in the budget? the budgeted forecast was a bit ambitious. SPEAKER_09 50:06.084
I was going to say probably Richard. Yeah as we mentioned it the last month we are seeing a bit of a softening in the development market in terms of whilst the numbers aren't decreasing significantly the scale of the proposals coming in at the moment are not at the higher end so therefore the scale of the fees. not quite hitting probably the mark we were and I think that's to do with interest rates as well. I think also a bit of the supplier piece as well so some projects are holding off. We do have some large development applications that are being processed at the moment that at the end of each financial year we can reconcile so basically we have unearned revenue. we have unearned revenue that's held across from a previous financial year so it's in large fees paid last financial year that have been held over so we'll notice there'll be several hundred thousand dollars so that will significantly reduce by the time we So that gap is probably not quite as large as what it's showing on there because we've still got to do the reconciliation of unearned revenue by the end of financial year, but we have noticed that we're not getting as many of those big new development applications coming in right this moment and obviously that's showing on our bottom line at the moment. Brian Stockwell 51:19.996
And the other one, local laws and community facilities. SPEAKER_09 51:26.065
So in terms I can comment on some of that so in terms of the local laws some of that actually related to the camera car initiative that was supposed to roll out so there was an additional revenue stream added obviously as part of that and that's obviously been delayed so as a result there's of a compounding factor coming through from that. Community facilities predominantly relates to Noosa seniors and there has been a change in the manager and I suppose the change in strategy they have an offsetting expenditure as well so that even that even though their revenues down their expenditure is down as well because that operation generally operates at a neutral position and I think that was just some of the initiatives and maybe he was a little bit optimistic about what could be achieved in the financial year but there was a change in manager during the year as well. Frank Wilkie 52:14.452
You mentioned, there's a comment in there I can't find at the moment about the impact of the two million dollar financial assistance grant. The timing of when the council receives the money can affect the bottom can you? Correct. Perhaps negatively, can you explain that counter-intuitive comment? SPEAKER_09 52:33.064
Yes I can. So we receive approximately two million dollars in a financial assistance grant from the government and historic they have always prepaid it in June and last June they paid a hundred percent financial assistance grant in June and under the accounting standards how that gets treated it gets recognised recognised in the prior year so in last year's financial statements so depending on what happens this year in terms of whether they reduce that prepayment so whether that's a percent 75 percent or 100 percent there may there potentially is that fluctuation in what we've forecast so we've forecasted receive that 100 percent however we're really dependent on that announcement which we're waiting to hear and also about the amount that they allocate to us as well so our amount was supposed to decrease but actually slightly increased last year but until we get that notification we won't know that so it would essentially Karen Finzel 53:50.229
Through the chair, given like coming off the back of the bottom line, I'm just interested in moving forward looking at the long-term view around our asset management planning and when we're converting the QRA projects into our asset moving forward. What's a reasonable time we can expect that conversion rate to take and then the benefits? SPEAKER_09 54:21.703
Well it really is dependent on the on the delivery and completion of the project, so there's sort of a cycle I suppose in terms of assets that they get constructed, they get completed, we then rely on the componentisation of those assets that go on, and then the financial side of allocating the costs to that asset and reviewing the costs to that asset and reviewing what's there and what can be capitalised and what needs to be expensed. There are some projects that we actually, like a lot of the gravel roads works that were completed has been done but we don't have the component parts of those assets to finalise so that probably won't hit this year unless they get it to us very soon. So it'll fall into next year. But what happens with the gravel roads for instance, we would actually write off some of those gravel roads that they've repaired or replaced and then reinstate. So there's kind of an in and out. So some of those renewal type works won't impact our Brian Stockwell 55:50.076
A quick question Pauline and maybe even just a suggestion but I would love to see see somewhere somewhere in the report like maybe it's too simplistic but how our council's expenditure is the report like maybe it's too simplistic but how our council's expenditure is distributed across areas in terms of how much do we distributed across areas in terms of how much do we actually allocate to infrastructure how much actually allocate to infrastructure how much do we allocate to council services and how much do we do we allocate to council services and how much do we allocate to administrative costs just Amelia Lorentson 56:21.314
Just to have like a, I don't know, simplistic or an overview, and that would also help me, and maybe again too simplistic, but what I read out of something like that is how we actually prioritise our funding and does that then align to our corporate plan and more importantly our external auditing risk are high priority issues. Can we do that? SPEAKER_09 56:57.396
To a certain point yes we could do some allocations and I would probably suggest maybe we would start as a quarterly update like we've done in the past with some of the other requests but I kind of need to get some feedback from councillors as to what sort of they would find useful and how sort of what to what level of what, to what level you want that information, and what we can also pull together within the system. Frank Wilkie 57:18.142
You already do that to an extent with the, when you're in the budget workshops, you're showing how much you expend on infrastructure, how much you expend on community. Yeah, so it depends on how much you're wanting to see that, SPEAKER_09 57:29.222
I mean, Councillor O'Mealy has just obviously talked about infrastructure, and versus our services, so whether that's that's by by department some of the facilities, it's more just getting an understanding of to what level we need that, and how quickly we could turn it around. Brian Stockwell 57:45.163
We have someone who wants to move the motion. I'll move the motion. Councillor Wilkie and the seconder. Councillor Wegener. Councillor Wilkie. Frank Wilkie 57:55.163
Look, thank you for the excellent report. Financial reporting is essential to let us all know how the organisation is going. As Trent said, financial sustainability is nothing to be taken for granted given that we're one of 20 councils, which is a minority, that return surpluses. There's 77 councils in Queensland. And it lays at the heart of being able to deliver services. services. and infrastructure and programs for our community. Without financially sustainable practices, none of that can be delivered with the relative ease with which Noosa Council is able to do it, despite the challenges of being a relatively small council. So thank you for keeping us all on track with really good reporting. It's much appreciated. Amelia Lorentson 58:46.340
I'll quickly speak to it. Thank you again. Great report, Pauline and Trent. My sort of take home with the report is that, and it's not scary, but it's a moment of pause where I keep going, what's changed over time in terms of our primary source of source of income for Noosa Council. And we haven't changed, we haven't diversified, it's essentially rates. And my concern is given the high cost of living pressures and our obligation to spend money wisely and also reduce that impact of rate increases on our residents, we need to really we need to really be thinking heavily how we're going to diversify an income source without imposing rate increases and I know discussion we've been having for quite some time but I think it's you know listening to Richard just before in terms of phases just planning fees the drop in planning fees we've got to be a We've got to be a little bit more inventive than just raising fees and rates in getting more cash through through the chair you would have noted that in the operational plan update there is a revenue diversification strategy so short of simply saying watch this space through the budget process our goal this year budget for the community's budget for the next financial year for 24-25 is more of a long-term strategy it's not just looking at one year's worth of revenue generation it's how do we deliver the ambitious corporate plan without it being burdened purely on the general rate so that is that is key for the financial conversation over the next six months- I'll follow up on that one because it's quite an interesting set of figures this time because the fees and charges from the traditional services of council is significantly down 1.2 million below budget from now this year. Brian Stockwell 01:01:03.498
There's the other source of revenue we can get is by our holiday parks and obviously there's opportunities we've got another site that's already got a planning approval and we've got some some of the parks that could be upgraded with cabins so to me historically when we've seen these downturns in construction and planning we see a downturn in the local economy but we've seen diversification through things like the digital hub evening out the hub evening out the process, but from a ratepayer perspective, we aren't going to have a population-led economic growth, so we need to get that long-term strategy in place to ensure that as our population ages, our workforce increasingly comes from further afield, that we need to have these alternative sources of revenue. I think $660,000 would be a bet. Frank Wilkie 01:01:56.592
So just a follow-up question on that. What's actually being done at the holiday parks to make them generate such, being so successful in generating extra revenue? Trent Grauf 01:02:09.559
Primarily over the last couple of years it's been a range of things. One is occupancy rates are up. Two, it's also efficient and effective management of maintenance structures so that it's not about the revenue side, it's also the cost side and how you manage both sides of the P &L if you like. So it's been a combined exercise there in terms of how we've structured tapping into the market and making sure occupancy rates are high but also making sure that our cost base is efficient and effective and it's a good customer experience. Frank Wilkie 01:02:42.747
And just Just to clarify, that extra $600,000 as Councillor Stockwell mentioned, $600,000 raised from other sources is equivalent to 1% rate rise. We SPEAKER_09 01:03:02.713
The equivalent would be, I'd also like to flag that there are additional costs that come with that $600,000, so we do pay commissions and other costs that relate to that, so the net probably isn't that $600,000. But yes, in theory, the $600,000 is equivalent to that $1,000. Sorry, I just wanted to flag it, but yeah. Tom Wegener 01:03:20.357
Okay, anyone else wish to talk? Just a comment. I think you guys, what Frank just was talking about takes it to another level where we, our population is much older, 12 years older than the average. Our is substantially lower than the average and somehow we still are doing very well in our sustainability index and we have these bonuses like the 1.5 million which is two rate points. Interest rates and the holiday parks doing well but in some ways I see ourselves you know really sailing a tight line and just like to thank you guys and appreciate that. I think it's harder than it sounds. SPEAKER_09 01:04:08.235
It doesn't take much to deviate. Amelia Lorentson 01:04:10.875
Do you go to bed at night, Pauline, and just see numbers in your head all night? Trent does, I know. Frank Wilkie 01:04:23.366
And just to follow on, I'm sure I won't be speaking out of turn and saying that all councillors have been working very hard to bring forward a budget that respects the constraints that you've raised. Brian Stockwell 01:04:39.380
All those in favour? That's unanimous. for January, February, March and April 2024. Before we start that, I have an undeclaration to do. So, councillors, I'll start before I get to the final word. In the last term, I declared a conflict of interest in relation to Leigh McCready and also to her relationship with Altum Property Group. I wish to advise... advise that the declared conflict relating to Leigh McCready and Altum Property Group... I think I've lost myself again. Relating to events in the lead up to the 2020 election. As this was prior to the relevant term and as I advise Leigh McCready no longer has an interest in the company it is not my intent to continue to make this declaration. Councils you'll be aware that the department suggested that that was a wise thing to do if you were going to cease to declare as to make a public announcement about the reasons why you were not declaring. Do we have any other Do we have any other declarations or advices? Karen Finzel 01:06:08.391
Yes, I have one. That's new to my attention that Leigh McCready has left the Altum Property Group, but based on advice around relevant I'd like to inform the meeting that I have a declarable conflict of interest in this matter in relation to applications MCU21/0228.01 and OPW21/0364.014 combined with MCU21/0228.01 by Altum Property Group which are items 7 and 22 in its delegated authority report. Leigh McCready who was associated with the applicant to the best of my knowledge was involved in the volunteer capacity for my 2020 election campaign with Future Noosa which is no longer an entity. As a result of my conflict of interest will now leave the meeting room while the matter is considered. Amelia Lorentson 01:07:11.001
Question through the Chair, given that this is a noting report and not a decision-making report is it necessary for Council Councillor Finzel to leave the room? Brian Stockwell 01:07:24.890
It's still up to her. It is only a declarable rather than a prescribed conflict of interest for Councillor Finzel to make her decision. She can ask the meeting to stay if she wishes. Karen Finzel 01:07:38.530
Given the we're waiting for information regarding the relevant term, I will choose to leave the meeting room until we've had further workshop from the department regarding the matter. In the relevant term, I will choose for consistency to leave the room as I have done in the past until we get other information that will inform my decision. Amelia Lorentson 01:08:11.620
I also would like to declare, I, Councillor Lorentson, inform the meeting that I have a declarable conflict of interest in relation to the application. Can I change that to a prescribed conflict of interest in relation to the application? OPW21/0353.02 by MC Bain which is item 13 in the delegated authority report due to my personal relationship with the applicant Mark Bain and the Bain family who are family friends. We have attended social events together and our children have attended school together. I will leave the meeting as I as I had previously agreed to. Brian Stockwell 01:08:57.240
So if I typically do, do you change to prescribed? There's nothing in the declaration that suggests it is prescribed? Pleasant Satisfied. Amelia Lorentson 01:09:12.100
No, actually, it's not. It's a described conflict and I choose to leave it to clear course. Excuse me. And I choose to leave. Frank Wilkie 01:09:32.060
Just a question to the chair and the CEO. Is it, given that this report is for noting, this isn't this sort declaration unnecessary given that the decision's already been made and are we being overly cautious and are we doing exactly what we hope we wouldn't need to do with our Declarations. Brian Stockwell 01:09:55.001
I'll answer from my perspective first. It's my understanding that the Standing Orders only relate to procedural motions. Just because it's for noting isn't a procedural motion. There's a set number of procedural motions in the Standing Orders which you don't have to be clear for, but noting report isn't one of those. Frank Wilkie 01:10:15.784
So you do need to... In my view, it's still, yeah, it's not a... Okay. Yeah. Brian Stockwell 01:10:23.374
Yeah, I think... Whether we're making a decision related to that, that's the other one, yeah. Frank Wilkie 01:10:28.914
There's more information needed, perhaps. Yeah. Larry Sengstock 01:10:31.414
I think we will get some information, but both of those have been retrieved in the past Frank Wilkie 01:10:39.777
And the presentation from the department that was referred to, is that the presentation by the Office of the Independent Assessor or is there a different departmental presentation? Presentation on the line. Larry Sengstock 01:10:56.060
It's a big question. I know we've got it coming, but I couldn't find it in my... The Office of the Independent Assessor. I think it's coming now. Brian Stockwell 01:11:03.040
Yeah. Okay. We have Patrick joining us. Patrick Murphy 01:11:08.500
Thank you, councillors. What you have before you is a report detailing the applications that have been decided by delegated authority for the period of to April of this year. This is a bit different to the reports that would normally come before council because it has four months' worth of information in it. Normally, it's just one month of reporting that is provided to council, and obviously, that was due to the caretaker period where we're playing catch-up. We're playing catch up in terms of the reports. So the format of the report for the councillors that are new, you'll see that there's a table at the beginning of each month that details the types of applications that have been decided and the number of applications that were either approved or refused. And then there's also a line item regarding the number regarding the number of applications that were determined by council as well. So the purpose of the report is to provide clarity on the number of applications that are decided. Historically in sort of the public eye were those applications that came before council and this was to give the fuller picture to show the full range of decisions that would be made at officer level under delegation. Brian Stockwell 01:12:23.500
Do we have any questions? No, we'll get there. Tom Wegener 01:12:29.320
The first, number five on the first one, so just on that, basically, the first page. Building works accessible against the planning scheme code, and so that's on 50 Noosa Parade? Yes. And it's, it just, it kind of strikes me if it, all these things, if it says against code, dwelling houses, site cover, height, setback, and cut and fill. Was that, was that against the code, or was that just, how am I reading that? Patrick Murphy 01:12:57.780
So this was an application for a new dwelling, and those were the elements of the code which it was seeking variation. So whilst you're seeing a number of aspects that they're seeking variations. aspects that they're seeking variations sometimes, and generally they're very minor variations that are sought. Tom Wegener 01:13:13.508
They're very small variations? Generally, yes. If there was a big variation, it would come before us probably? Patrick Murphy 01:13:19.388
For a house, generally not. Houses, due to timeframes, are generally decided on a delegation. We have delegation to decide those. and then And then the certifier, was it a private certifier that suggested that the house could just kind of be a little bit bigger? This was an application that was lodged by planning consultants. For a house, it doesn't necessarily need to come from a certifier. This is not a concurrence agency request. This is This is a development approval issued by council for the dwelling and in this instance I must say that whilst there's a number of elements that were proposed to be varied, there was a lot of negotiation between the parties to reduce the extent of variation. That was initially proposed to come up with something that we were satisfied with. Brian Stockwell 01:14:32.260
You go through these and you kind of, you just want to ask questions to see where things are going, if you could mentally process that trend of some sort. On 38 Umundi Road, there's a smart hub on Gateway Drive, second to number one, so it is February. Is it going backwards or forwards? Patrick Murphy 01:15:07.900
The first report is for January, the second report is for February. Yeah, so February number one. Sorry, you'd like some information? We're just, I'm just fascinated that there's a smart hub that I didn't know about. Well this is what the developer is terming, talking their development. terming their development. So it's just the name Smart Hub, it's not like the digital hub? No, that's correct. It's just a private development and that's the name that they've given to it. Tom Wegener 01:15:45.382
And the last one is the Wedding Chapel in the Botanic Gardens. Which number is that? Ah, it was at the very end. It's the last one, number five. Without page numbers, it gets... Patrick Murphy 01:16:04.400
Can't remember the very specific details of the application but from memory it was quite minor structures that were being developed. Just minor structures there. And who wrote the application? Was that Council? Yes, it would have been Council as the applicant. It was. Okay, thank you. Brian Stockwell 01:16:30.560
Okay, there's no more questions. Would someone like to move? It would be a good motion for one of the new councillors to get their name in the minutes. Councillor Phillips is moving, and Councillor Wilson, second. Would you like to talk to the motion? Jessica Phillips 01:16:50.912
No, thank you. It's not very straightforward, thank you. Karen Finzel 01:16:56.512
I just want to say thank you for maintaining all the work during that caretaker mode. There's obviously been a lot of work happening in that few months before we were aware of what actually goes on in council, so Thank you. Just a comment, a lot of people question why we bring a report about decisions made under delegated authority, planning decisions. It's to let the community know that there are, as Councillor Wilson alluded to, there are a lot of decisions, planning applications being approved that go below the radar. The ones that come the ones that come to this chamber here and are often reported on are the ones that are high profile or contain conflicts with the planning scheme. Traditionally it's been about 96% of all planning applications are approved by Noosa Council. So it is a council that says yes more often than no. That's correct. Brian Stockwell 01:17:48.276
Very good. I think we should close. Karen Finzel 01:17:52.876
Thank you. Brian Stockwell 01:17:53.064
I'll put the motion. All in favour? That's unanimous. Thank you Patrick. Our next item will be in confidential session so there will be a motion soon. that will be the end of the public session. We will reconvene after we've gone into confidential session to make any resolution that comes out of the three items we've discussed in the confidential session. Frank Wilkie 01:19:00.505
For the purpose of discussing confidential not for public release endorsement of proposed amendments to the Noosa Plan for the purpose of public notification and community consultation. Another item not for the disposal of land for community housing. Another item for provision of street sweeping services. Street sweeping services. Brian Stockwell 01:19:21.285
Do we have a seconder? Frank Wilkie 01:19:23.065
I'll speak to the Look, the reason why we're doing this for the planning scheme amendments, they contain potential rezoning of land and the idea is that until they go to community consultation None of us can have access to the information in case there's some preemptive buying. People can profit from changes to zonings. The next one is a commercial and confidence arrangement with a community housing provider. also the awarding of a contract, which is also commercial and confidence. But we will discuss the nuts and bolts of that in closed session. But when we come back out in the public session, the decisions made will be on the public record. Brian Stockwell 01:22:09.600
Okay, welcome back. We're back into open session and there is a recommendation in front of us in regard to disposable land for community housing and I am happy to move that motion as it is on the screen. I'll second that. I'll second Councillor Lorentson. There's no need to discuss the matter from my perspective. Does anyone else want to say anything? No? Karen Finzel 01:22:35.118
I just think it's really exciting. So early in our first term as this new council to have such a project on the table and on a topic that I'm really passionate about I just want to thank the staff for all the work that's gone in the last few years to actually get us to this place. Thank you. Brian Stockwell 01:22:54.640
Very good. And I'll put the motion to the vote. Those in favour? It'd be noted that during the confidential session, the councillor will be left the meeting, so that makes the motion unanimous. That being the last item to do with today, I will declare the meeting closed at 3:55. Related Noosa Council Meetings
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