Finance and Governance Committee

Notice of Meeting

Monday, 13 August 2018

 

 

 

A meeting of the Finance and Governance Committee will be held at 6.00pm on Monday, 13 August 2018 in the River Room, Level 1, Georges River Civic Centre, corner Dora and MacMahon Streets, Hurstville, for the consideration of the business available on Council’s website at http://www.georgesriver.nsw.gov.au/Council/Council-Meetings

 

 

 

 

 

BUSINESS

1.      Apologies

2.      Disclosures of Interest

3.      Minutes of previous meetings

4.      Committee Reports

5.      Confidential items

 


Finance and Governance Committee Meeting

Summary of Items

Monday, 13 August 2018

 

Previous Minutes

MINUTES: Finance and Governance - 09 July 2018

Committee Reports

FIN060-18         Georges River Council 2017/18 Achievements - Review of 2017/2018 Operational Plan

(Report by Senior Corporate Planner)........................................................................ 2

FIN061-18         Quarterly Report - Outstanding Council Resolutions as at 30 June 2018

(Report by Acting Executive Manager, Office of the General Manager)............ 70

FIN062-18         Calendar of Meetings 2018/2019

(Report by Acting Executive Manager, Office of the General Manager)............ 71

FIN063-18         Georges River Council Voluntary Pensioner Rebate

(Report by Acting Chief Operating Officer)............................................................. 76

FIN064-18         Property Matter - Compulsory Acquisition of Part Todd Park and Part Church Street Reserve by RMS - Road Widening - Princes Highway Blakehurst

(Report by Strategic Property Officer)....................................................................... 80

FIN065-18         Advice on Costs and Status of Council's Court Proceedings - July 2018

(Report by General Counsel)..................................................................................... 85

FIN066-18         Georges River Council Quarterly Property Portfolio Report

(Report by Strategic Property Specialist)................................................................. 97

FIN067-18         18th International Cities, Town Centres and Communities Conference

(Report by Acting Head of Executive Services)................................................... 105

FIN068-18         Investment Report as at 30 June 2018

(Report by Financial  Accounting Officer)............................................................. 118  

Confidential (Closed Session)

FIN002A-18       St George Business Chamber - Annual Report on Compliance with Deed of Agreement Obligations

(Report by Economic Development Officer)  

 


Georges River Council – Finance and Governance Committee Meeting -  Monday, 13 August 2018                         Page 2

Committee Reports

Item:                   FIN060-18          Georges River Council 2017/18 Achievements - Review of 2017/2018 Operational Plan 

Author:              Senior Corporate Planner

Directorate:      Office of the General Manager

Matter Type:     Committee Reports

 

 

 

Recommendation:        

(a)     That the report on the June 2018 review of the 2017 - 2018 Operational Plan be received and noted.

(b)     That a copy of the June 2018 review of the 2017 - 2018 Operational Plan, as contained in attachment 1, be published on Council’s website.

 

 

Executive Summary

1.      Council has successfully implemented the 2017-2018 Operational Plan, completing a range of projects, programs and delivering services across the local government area spanning engineering, environmental, economic and community services and more. Council has addressed projects and programs spanning the quadruple bottom line (Social, Environmental, Economic and Civic Leadership). The annual review of Council’s performance against the 2017-2018 Operational Plan is submitted for the information of Council and the community.

 

Background

2.      Sections 404 and 405 of the Local Government Act 1993 require councils to adopt a four-year Delivery Program and one-year Operational Plan. Reporting on progress against the Delivery Program is required at least every six months.

 

3.      As a newly merged Council, Georges River Council was not required to have a Delivery Program in place for 2017-2018, therefore half-yearly reports are provided against the Operational Plan. On 25 June 2018 Council adopted the Delivery Program for 2018-2019 to 2020-2021 and the Operational Plan for 2018-2019, accordingly, reports on the Delivery Program will be reported to Council on a half-yearly basis.

 

4.      The Council’s 2017-2018 Operational Plan was approved on 29 June 2017 and, at that time, was Council’s second Operational Plan since the May 2016 proclamation. The Plan set out the strategic and financial objectives for the year. It also detailed the goals and various performance measures for Council’s seven themes:

 

·         Stronger Councils

·        Corporate Measures

·        Strategic Direction

·        Assets and Infrastructure

·        Environment and Planning

·        Community and Culture

·        Office of the Chief Operating Officer

 

Performance Review Highlights

5.      Attachment 1 provides details of the organisation’s performance as at 30 June 2018 against the planned actions and performance targets for 2017-2018.

 

6.      Some of the significant achievements during 2017-2018 include:

 

Stronger Councils

·        Improved community satisfaction index score for Council’s overall performance with 89% of residents satisfied with Council's performance, a 19% increase from the previous survey.

·        Increased online payment options have been introduced.

·        95% of Capital Projects have been delivered on time and within budget.

·        Council is on-track to achieve the 10-year financial savings target.

 

Corporate Measures

·           86% of correspondence received in 2017-2018 was responded to within 14 days, exceeding the 80% target.

·           There has been an outstanding 63% reduction in lost time injuries compared to 2016-2017.

·           69% of customer requests received during the year were completed within the agreed timeframe.

 

Strategic Direction

·           In 2017-2018 over 95% of Council’s 277 Resolutions were considered in meetings open to the public - more than half the 14 Resolutions made in closed sessions related to tenders.

·           Survey results show that 68% of respondents were satisfied that Council's decisions are being made in the best interests of the community, a 13% increase from the previous survey.

·           All legal cases were determined in accordance with Council's strategic and corporate objectives.

·           98% of NSW Government deliverables have been completed.

·           The Enterprise Risk Management project was completed with endorsement by Council's Audit, Risk and Improvement Committee.

·           Master planning of the Hurstville Civic Precinct was completed.

·           Development of Hurstville Centre Plaza is progressing.

·           The first Georges River Community Strategic Plan was endorsed by Council.

·           The Council’s 'Your Say' engagement portal and panel has been successfully established.

·           A staff learning and development program that supports strategic direction and service delivery was developed.

Assets and Infrastructure

·        3,650 trees have been given to residents.

·        86% of graffiti tags were removed within 48 hours, the total year to date of graffiti tags removed is 3,543. 

·        Target rates were achieved for all commercial centres identified for daily cleaning.

·        Hurstville CBD ‘Big Wash’ was completed.

·        Jubilee Park Adventure Playground was completed and received fantastic feedback.

·        The 2017 – 2018 Roads Program was 100% completed.

·        A review of the CCTV Camera Network was undertaken and the installation of new systems were completed.

 

Environment and Planning

·        Inspections have been conducted of 100% of food shops.

·        80% of environmental compliance matters have been responded to within 48 hours.

·        Kempt Field Plan of Management was completed.

·        95% of waste customer requests were responded to within 48 hours.

·        The Hurstville Town Centre Urban Redesign Strategy was completed.

·        The tender for the Georges River Area Car Parking Strategy was awarded.

·        The new Economic Development Strategy has progressed with further stakeholder input during 2018.

 

Community and Culture

·        Total library membership is now 69,155.

·        During 2017-2018 there was a 14% increase in the number of times on-line library services were accessed.

·        A new Library Management System was implemented across all Council libraries.

·        A 90% utilisation rate has been achieved across Council Childcare Centres.

·        There has been a significant reduction in average customer call waiting times.

·        Just under 76% of customers have expressed satisfaction with their service request experience.

·        The Inaugural Georges River Art Prize was delivered.

·        Council adopted a Museum and Gallery Collection Management and Conservation Policy.

·        The work plan for the implementation of the Disability Inclusion Action Plan has been completed.

Office of the Chief Operating Officer

·        Investment portfolio benchmark returns were exceeded during the year.

·         % of outstanding Rates, Annual Charges, Interest and Extra Charges were within target and achieved a positive result.

·        A balanced Operating Result was achieved, with positive results achieved in all 4 quarters.

·        The Debt Service Ratio is within the target, and at a low level due to low debt levels

·        A Procurement Policy and suite of documents was developed.

·        The Workforce Strategy was adopted by Council.

 

Financial Implications

7.      No budget impact for this report.

 

Risk Implications

8.      The Enterprise Risk Management Strategy contains two relevant actions in regards to the provision of an open, accessible and transparent decision making and meeting process.  The consideration of this report ensures that Councillors and members of the community are informed in regards to the status of implementation of the Council’s key planning document, the 2017 - 2018 Operational Plan.

9.      No operational risks have been identified.

 

Community Engagement

10.    Community engagement was conducted prior to adoption of the 2017/18 Operational Plan.

 

 

Conclusion

11.    Council has had a successful year, with major achievements and implementation of its major plan, the 2017 - 2018 Operational Plan. A ‘Scorecard’ has been developed to visually show the volume of work, services and customers for the 2017/18 financial year and is contained in Attachment 2.

 

12.    The Delivery Program for 2018-2019 to 2020-2021 and the Operational Plan for 2018-2019, are now in place, guiding Council’s activities, and reports on progress and achievements on the Delivery Program will be reported to Council on a half-yearly basis.

 

File Reference

< Enter Records Reference Number Here >

 

 

 

ATTACHMENTS

Attachment 1

Operational Plan Review Q4

Attachment 2

Scorecard 2017-18 v4

 


Georges River Council - Finance and Governance Committee Meeting - Monday, 13 August 2018

FIN060-18              Georges River Council 2017/18 Achievements - Review of 2017/2018 Operational Plan

[Appendix 1]          Operational Plan Review Q4

 

 

Page 6

 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


Georges River Council - Finance and Governance Committee Meeting - Monday, 13 August 2018

FIN060-18              Georges River Council 2017/18 Achievements - Review of 2017/2018 Operational Plan

[Appendix 2]          Scorecard 2017-18 v4

 

 

Page 69

 


Georges River Council – Finance and Governance Committee Meeting -  Monday, 13 August 2018                         Page 70

Item:                   FIN061-18          Quarterly Report - Outstanding Council Resolutions as at 30 June 2018 

Author:              Acting Executive Manager, Office of the General Manager

Directorate:      Office of the General Manager

Matter Type:     Committee Reports

 

 

 

Recommendation:

That the quarterly report - Outstanding Council Resolutions as at 30 June 2018, be received and noted.

 

 

Executive Summary

1.      Council resolved on 26 February 2018 that a quarterly report be provided, commencing in April 2018, detailing progress made on any outstanding resolutions from previous Council meetings.

2.      Note that the attachment providing the outstanding resolution updates will be provided under separate cover.

 

Background

3.      The attached summary contains all resolutions of the current Council that remain outstanding or require further action.  During the last quarter 58% of outstanding actions have been completed.

 

4.      Completed items have been marked accordingly and will be removed from future reports. 

 

Financial Implications

5.      There are no budget implications for this report.

 

Risk Implications

6.      The Enterprise Risk Management Strategy contains two relevant actions in regards to the provision of an open, accessible and transparent decision making and meeting process.  The quarterly consideration of this report ensures that Councillors and members of the community are informed in regards to the status of implementation of council resolutions.

  

7.      No operational risks have been identified.

 

Community Engagement

8.      Members of the community are able to attend and address Council meetings in accordance with Council’s Code of Meeting Practice.

 

File Reference

D18/61564

 

 

 

  


Georges River Council – Finance and Governance Committee Meeting -  Monday, 13 August 2018                         Page 71

Item:                   FIN062-18          Calendar of Meetings 2018/2019 

Author:              Acting Executive Manager, Office of the General Manager

Directorate:      Office of the General Manager

Matter Type:     Committee Reports

 

 

 

 

Recommendation:

That Council endorse the proposed Calendar of Meetings to September 2019, as attached to

this report.

 

 

Executive Summary

1.      Council resolved on 4 October 2017 (CCL216-17) to endorse a Calendar of Council Meetings to September 2018 with the last Council meeting occurring on 24 September 2018. 

2.      This report is presented to Council to endorse the proposed Calendar of Meetings to September 2019.

 

Background

3.      Council resolved at its meeting of 25 September 2017, that Committees will convene on the second Monday of each month at 6.00pm and 7.00pm; minutes of the Georges River Council Committees would be reported to the next Meeting of Council; and Councillor Workshops and Briefing Sessions would be held on the third Monday of each month.

 

4.      During a Councillor Workshop and Briefing Session held during the year, a decision was made to include additional briefing sessions on the first Monday of each month.  It is intended to continue these scheduled briefings.

 

5.      A proposed Calendar of Meeting dates is attached to this report for the consideration and endorsement of the Council.

 

6.      The proposed schedule has been adjusted to take into consideration public holidays, the LGNSW Annual Conference, which is being held on the 21-23 October 2018 and Christmas period, in all instances the cycle has been adjusted appropriately.          

Financial Implications

7.      A budget allocation exists for the convening of Council Meetings and associated Standing Committees.

Risk Implications

8.      The Enterprise Risk Management Strategy contains two relevant actions in regards to the provision of an open, accessible and transparent decision making and meeting process.  The endorsement of a meeting cycle and subsequent inclusion of this information on Council’s website is one of many strategies that have been implemented to ensure that these actions are achieved.  

9.      No operational risks have been identified.

Community Engagement

10.    Members of the community are able to attend and address Council meetings in accordance with Council’s Code of Meeting Practice.

 

File Reference

17/1831

 

 

 

ATTACHMENTS

Attachment 1

Calendar of Meetings 2018/2019

 


Georges River Council - Finance and Governance Committee Meeting - Monday, 13 August 2018

FIN062-18              Calendar of Meetings 2018/2019

[Appendix 1]          Calendar of Meetings 2018/2019

 

 

Page 73

 


 


 


Georges River Council – Finance and Governance Committee Meeting -  Monday, 13 August 2018                         Page 76

Item:                   FIN063-18          Georges River Council Voluntary Pensioner Rebate 

Author:              Acting Chief Operating Officer and Acting Chief Financial Officer

Directorate:      Office of the Chief Operating Officer

Matter Type:     Committee Reports

 

 

 

Recommendation:

(a)     That Council adopt the process of allowing eligible pensioners to pay off their rates and charges over a 12 month period with no interest charges occurring as per section 582 Local Government Act 1993 (The Act).

 

(b)     That Council undertake a process of communicating to all eligible pensioners that this process will commence for the 2019/20 rates and charges levy.

 

(c)     That Council review the new payment process after it has been operating for 12 months to gauge its take up rate and its effectiveness in providing relief to eligible pensioners.

 

 

Executive Summary

1.      Georges River Council (GRC) currently offers all eligible pensioners a voluntary pensioner rebate of $75. This is over and above the Eligible Pensioner Rebate under section 575 of the Act, which allows for all eligible pensioners a reduction in their ordinary rates and charges for domestic waste management services levied on any land for the same year to be reduced by a maximum of $250. The purpose of this report is to address the resolution of Council from 25 June 2018 Council meeting to investigate options of enhancing the existing voluntary pensioner rebate of $75.

 

Background

2.      The former Hurstville Council introduced a voluntary pensioner rebate of up to $75 some 20 years ago. Upon amalgamation of the former Hurstville and Kogarah Council’s, the voluntary pensioner rebate of up to $75 was extended to include eligible pensioner across the entire Local Government Area (LGA).

 

3.      At the Council meeting held on Monday 25 June 2018, the following was resolved:

That the General Manager prepare a report to Council that investigates options for enhancing the existing voluntary pensioner rebate of $75, including:

(i)      increasing the amount of the voluntary rebate;

(ii)     introducing a monthly instalment payment plan in lieu of quarterly instalments;

(iii)    offering a financial incentive (discount) for early or on-time payment of the annual rates amount;

(iv)    any other enhancements which could assist pensioners with cost of living expenses; and

(v)     the financial implications to Council associated with introducing any of the above enhancements.

 

4.      Eligible pensioners, who are able to claim the eligible pensioner rebate across the LGA is approximately 13.8% of Council’s residential rates or 7,670 properties. Council currently subsidies 45% of the Eligible Pensioner Rebate Scheme, which equates to approximately $863,000 whilst the State Government subsidies 55%, which equates to approximately $1.054 million.

 

5.      The current cost to Council for offering the voluntary pensioner rebate is approximately $575,000. This will continue to grow with the LGA’s increasing aging population as well as more eligible pensioners meeting the sliding scale that was originally adopted by Council based on the sum of the Ordinary Rates Levy and Domestic Waste Charge. See table below:

Pensioner Rebate Structure

 

Combined

Ordinary Rate Levy & Domestic Waste Service Charge

Eligible Pensioner Rebate per rate assessment

Council’s Additional Voluntary Pensioner Rebate per rate assessment

 

Rebate amount up to maximum, as per structure below: - based upon pensioner eligibility criteria

Rebate amount up to maximum, as per structure below: - based upon pensioner eligibility criteria

Up to $ 500

50 %

nil

$ 501 - $ 550

$ 250.00

nil

$ 551 - $ 600

$ 250.00

$ 10.00

$ 601 - $ 650

$ 250.00

$ 30.00

$ 651 - $ 700

$ 250.00

$ 40.00

$ 701 - $ 750

$ 250.00

$ 60.00

$ 751 upwards

$ 250.00

$ 75.00

Within the former Hurstville LGA there are Pensioners who do not receive the full $75 voluntary rebate due to their rates and charges totalling below $750 per annum. These pensioners are only charged the minimum Ordinary Rates Levy and do not have a Domestic Waste Service. This year (2018/2019) the minimum Ordinary Rates Levy is $555.87 for the former Hurstville Ratepayers.

 

6.      As per the resolution of Council from its 25 June Council meeting, the following options for enhancing the existing voluntary pensioner rebate are now discussed:

i.        Increasing the amount of the Voluntary Rebate

Based on 7,670 eligible pensioner properties, for every $5 increase, the voluntary pensioner rebate additional cost to Council would be approximately $38,000 plus lost interest on investments. This may be deemed unsustainable over a longer period of time and other incentives for eligible pensioners may be advisable. 

 

ii.       Introducing a monthly instalment payment plan in lieu of Quarterly Instalments

          Under section 582 of the Act (Abandonment of Pensioners Rates and Charges) a council may waive or reduce rates, charges and interest due by any person prescribed by the regulations who is in receipt of a pension, benefit or allowance under the Social Security Act 1991 of the Commonwealth. Therefore, Council may elect to allow eligible pensioners to pay off their rates and charges over a 12 month period with no interest charges occurring. This arrangement would not be a financial burden to Council as Council would still be collecting rates from pensioner with no additional voluntary rebate. There would, however, be a reduction to interest on investments and the size of the reduction would be dependent on the uptake of the payment plan by eligible pensioners. However, this arrangement would be of benefit to pensioners as it would allow pensioners to pay off their rates and charges over a longer period of time with no interest being charged against the outstanding balance.

 

iii.      Offering a financial incentive (discount) for early or on-time payment of the Annual Rates Amount;

On average a GRC’s eligible pensioner’s annual rates and charges account, after deducting the eligible pensioner rebate and voluntary pensioner rebate, would be approximately $400 per annum. Therefore, a discount for early or on time payment of 5% of the remaining total rates and charges account  would be $20 and an additional $20 for every 5% discount thereafter e.g. 5% discount = $20;  10% discount = $40; 15% discount = $60; and so on. Therefore, every 5% discount ($20) would cost Council approximately $153,000 per annum plus lost interest on investments based on 7,670 eligible pensioner properties.

iv.      Any other enhancements which could assist pensioners with Cost of Living Expenses;

Under the Local Government (General) Regulation 2005 (Reg. 130), additional circumstances in which rates or charges may be written off:

The council may write off the whole or part of any stormwater management services charge or the interest accrued on any such charge if:

(a)     in the opinion of the council, the ratepayer liable for the charge has demonstrated that the ratepayer has practiced good stormwater management, or

(b)     the person liable for the charge is an eligible pensioner.

 

Council currently charges Residential Stormwater $25 per rateable property and Residential Strata Lot Stormwater $12.50 per rateable property. Therefore, if Council resolved to write off residential stormwater charges to eligible pensioners, it would cost Council approximately $190k plus lost interest on investments. This is based on 7,670 eligible pensioners claiming the full residential stormwater charge of $25 per rateable property.

Council may also decide not to recover any outstanding debt that is incurred by an eligible pensioner after exhausting all realistic avenues to making payment arrangements with the eligible pensioner. The debt would remain against the property incurring interest until the property was sold. The debt would then be paid as part of the sale process.

Therefore, if a property was allowed to accumulate 10 years of outstanding rates and the eligible pensioner was claiming his and/or her eligible pensioner rebate as well as the voluntary pensioner rebate, the average outstanding amount would equate to approximately $4,200. This estimate does not include interest, which is set by the state government and is currently 7.5% calculated on a daily basis on the outstanding balance. Whilst Council would be guaranteed recovery of the outstanding rates and charges, it may have an adverse effect on its cash surplus because for every 100 eligible pensioners that decided to go down this path, Council’s cash surplus would decrease by $420,000 plus interest on investments over the 10 year period.

 

v.       The financial implications to Council associated with introducing any of the above enhancements.

The financial implications to Council associated with introducing any of the above enhancements has been discussed within each scenario (enhancement). This report recommends that Council introduce a monthly instalment payment plan for all eligible pensioners in lieu of quarterly instalments and not charge interest charges on the outstanding balance providing that the balance was paid prior 30 June of that financial year.

Financial Implications

7.      Council has allowed sufficient budget ($1.438 million) to cover the cost of the Eligible Pensioner Rebate as per Sec. 575 of the LG Act as well as the additional voluntary pensioner rebate of up to $75 to all eligible pensioners depending on their Ordinary Rates Levy and Domestic Waste Service charge.

8.      Council will lose an unknown amount of revenue from interest on investments, depending on how many eligible pensioners decide to take up the offer of being placed on a monthly instalment payment plan. 

 

Community Engagement

9.   Community engagement was not conducted.

 

File Reference

13/38

 

 

 

  


Georges River Council – Finance and Governance Committee Meeting -  Monday, 13 August 2018                         Page 80

Item:                   FIN064-18          Property Matter - Compulsory Acquisition of Part Todd Park and Part Church Street Reserve by RMS - Road Widening - Princes Highway Blakehurst  

Author:              Strategic Property Officer

Directorate:      Office of the General Manager

Matter Type:     Committee Reports

 

 

 

Recommendation:

(a)     That Council note that Roads and Maritime Services (RMS) will commence the compulsory acquisition of land for over Lot 14 in Deposited Plan (DP) 133445, being part of Todd Park, Blakehurst and Lot 2 in DP1129264, being part of Church Street Reserve, Blakehurst as generally detailed in this report.

(b)     That Council note that RMS will commence the compulsory acquisition process for an Easement for Transmission Line in favour of Ausgrid over Council land described as Lot 14 in DP1129264 being part of Todd Park, Blakehurst.

(c)     That the General Manager be authorised to execute all documentation in relation to the proposed compulsory acquisition including the settlement of any determined consideration.

 

 

Executive Summary

1.      As part of the “Easing Sydney’s Congestion Program”, Roads and Maritime Services (RMS) propose to widen the Princes Highway at Blakehurst.

2.      In order to widen the Princes Highway, the project will require RMS to acquire part of the adjoining Todd Park and part of the Church Street Reserve as well as an easement for transmission line purposes.  The subject land is classified as community land and as a result, Council is precluded from dealing with the land.  Due to the classification of the land, RMS have advised that they propose to use their statutory powers under the Roads Act, 1993 to compulsory acquire the necessary lands.

Background

3.      Council is the owner of public open space described as Lot 14 in Deposited Plan (DP) 133445, being part of Todd Park located on the Princes Highway at Blakehurst.  Across from Todd Park on the western side of the highway is Council owned land described as Lot 2 in DP1129264, being part of Church Street Reserve located at 2 Water Street, Blakehurst.  A location plan showing the land is annexed to this report as Attachment 1.

4.      The RMS as part of the “Easing Sydney’s Congestion Program” have now approached Council to acquire part of Council’s land, as described above, for the purpose of widening the Princes Highway at Blakehurst.

5.      The proposed road widening area will affect approximately 260m2 from Todd Park and 100m2 from the Church Street Reserve along the frontage with the Princes Highway.  Details of the proposed road widening are highlighted in pink in Attachment 1 to this report.

6.      As the subject lots are classified as community land, Council in accordance with Section 45 of the Local Government Act, 1993 has no power to sell, exchange or otherwise dispose of community land.  In this regard, the RMS has proposed to acquire the land by way of compulsory acquisition.

 

7.      The RMS has statutory powers to compulsory acquire land for road widening purposes under Section 203 of the Road Act, 1993.  Council’s authority to refuse compulsory acquisition is extremely limited.  This report will recommend that Council agree to receiving a Proposed Acquisition Notice (PAN) on the basis that Council reserves its rights in relation to the amount of any compensation determined (by the Valuer General) for the loss attributed to the compulsory acquisition.

 

8.      In addition to the proposed road widening, Council is advised that an Easement for Transmission Line is required to be granted to Ausgrid (for an existing transmission line) over Council’s land described as Lot 14 in DP133445, being part of Todd Park as no easement currently exists for this infrastructure.  The proposed easement is approximately 5m wide x 31m long and will encumber Council’s land by approximately 150m2 as shown shaded in orange within Annexure 1. It is understood that RMS will undertake the compulsory acquisition on behalf of Ausgrid. Council will seek all appropriate compensation payable for the proposed easement.

 

Financial Implications

9.      The proposed road widening of the Princes Highway will have an impact on established trees that are located within Todd Park.  In addition to compensation payable for the loss of land, it is proposed to seek additional compensation for the loss or disturbance that the acquisitions will have in relation to the loss of established trees at this location.

 

10.    In addition to any compensation payable, it is proposed that all costs incurred by Council associated with the compulsory acquisitions will be met by the acquiring authority. All monies received from the compulsory acquisition will be allocated to the Asset Management Reserve. 

Community Engagement

11.    Community engagement will be conducted by RMS as part of the compulsory acquisition process. 

Conclusion

12.    It is anticipated that the “Easing Sydney’s Congestion Program” will have a positive impact on general traffic conditions in this area despite the loss of Council owned open space. 

 

13.    As RMS has statutory acquisition powers to compulsorily acquire the subject land and easement rights, it is recommended that Council agree to accept the proposed acquisition notice subject to reserving its right to independently determine appropriate consideration in this matter (including costs), to adequately compensate for the loss of public amenity.

 

File Reference

18/1458

 

 

ATTACHMENTS

Attachment 1

Location Plan

 


Georges River Council - Finance and Governance Committee Meeting - Monday, 13 August 2018

FIN064-18              Property Matter - Compulsory Acquisition of Part Todd Park and Part Church Street Reserve by RMS - Road Widening - Princes Highway Blakehurst

[Appendix 1]          Location Plan

 

 

Page 83

 


 


Georges River Council – Finance and Governance Committee Meeting -  Monday, 13 August 2018                         Page 86

Item:                   FIN065-18          Advice on Costs and Status of Council's Court Proceedings - July 2018 

Author:              General Counsel

Directorate:      Office of the General Manager

Matter Type:     Committee Reports

 

 

 

Recommendation:

That the report, “Advice on Costs and Status of Council’s Court Proceedings – July 2018”, be received and noted.

 

 

Executive Summary

1.      Advice on Council’s Court proceedings for the period 2 July 2018 to 30 July 2018 is contained within this report.

2.      Total nett costs to date for the 2018/19 financial year for Court proceedings are $42,475.40.

3.      Total legal costs recovered to date for the 2018/19 financial year are $37,500.00.

 

Background

4.      The current Court Proceedings for the reporting period are broken down as follows:

Supreme Court

·   1 x Summons

Land and Environment Court

·   26 x Class 1 (Merit/DA)

·   2 x Class 4 proceedings (including 1 x Contempt of Court proceedings)

·   2 x Appeals from Local Court

·   18 x Class 5 (Environmental Prosecutions) Summons’

Local Court

·   7 x Prosecutions (3 of which are brought by NSW Police)

Cost Recovery

·   3 x cost recovery matters

 

New Matters

 

5.      Four new Class 1 appeal matters were received during the reporting period (Lateral Estate Pty Ltd, Bonamici, CA Camperdown Pty Limited and Chung Kei Ng).  One Supreme Court matter was received (Sykalos) and three new Local Court matters were received (King, Dimovski and McLennan).  Eighteen summons’ were also filed against 3 defendants for significant environmental offences (Haidar, W K Strong Pty Limited and Awada).

 

 

 

Finalised matters

6.      Five finalised matters – (GCK Investments), (Regent Land Pty Limited), (Daoud & Daoud Pty Ltd), (W & J Lee Pty Limited) and a Workers Compensation matter.

Current Table

7.      The Court Proceedings current for the reporting period are set out below. The external costs include both external legal and expert consultants’ fees.

 

 

 

No.

Property Address / Applicant / Proceedings Number

Description of Matter

Status / Critical Dates

Land and Environment Court Proceedings – Class 1 Appeals

1

70 – 78 Regent Street, Kogarah

 

Applicant: Regent Land Pty Limited ATF Regent Land Unit Trust

 

Proceedings No. 215083 of 2017

Kogarah North Precinct

Class 1 Appeal against deemed refusal of DA 2017/111 for the demolition of existing buildings over eight lots (5 properties), amalgamation of the lots and development of an 11 storey residential flat building with 127 apartments and 145 car parking spaces.

 

Appeal upheld with amended plans for 104 apartments on 24 July 2018.  Council awarded costs – currently preparing calculation of costs thrown away.

2

11 Stanley Street & 28 – 36 Victoria Street, Kogarah

 

Applicant: No. 1 Victoria Dragons Pty Limited

Proceedings No. 217118 of 2017

Kogarah North Precinct

Class 1 Appeal against deemed refusal of DA9/2017/110/1 for demolition of existing buildings and construction of a residential flat building comprising 96 residential dwellings over 3 levels of basement parking.

Matter not resolved at S34 Conference on 4 December 2017.   Matter has now been listed for hearing on 15 and 16 August 2018.  External urban design, planning and traffic consultants briefed.

3

2 – 10 Palmerston Street, Kogarah

 

Applicant: Palmerston Dragon No. 1 Pty Limited

 

Proceedings No. 217105 of 2017

Kogarah North Precinct

 

Class 1 Appeal against deemed refusal of DA9/2017/112/1 for demolition of existing buildings and construction of a residential flat building comprising 67 residential dwellings over 2 levels of basement parking.

Matter not resolved at S34 Conference on 5 December 2017. Matter now listed for hearing on 20 & 21 September 2018.  External urban design, planning and traffic consultants briefed.

4

41 – 47 Princes Highway, Kogarah

 

Applicant:

GCK Investments Pty Limited

 

Proceedings No.  235909 of 2017

Kogarah North Precinct

Class 1 Appeal against refusal of DA183/2016 for the demolition of existing buildings and construction of a 10 storey mixed use development consisting of ground floor commercial tenancy and 51 residential apartments over basement car parking.

Matter resolved by way of S34 Agreement on 5 July 2018.  Awaiting payment of s8.15(3) costs of $16,000.

5

58 and 60 Blackshaw Avenue, Mortdale

 

Applicant:

Marion McDowell and Associates

 

Proceedings No.

294745 of 2017

Class 1 Appeal against refusal of Building Certificate Application No. 149D2016/0038 lodged on 21 September 2016 and refused on 20 September 2017.

Matter listed for contested hearing on 2 March 2018.  Applicant ordered to carry out structural rectification works to the warehouse building within 28 days, to pay $7,000 for contribution to storm water works and to obtain Sydney Water consent relative to the sewer assets within 3 months.

6

6 The Crescent, Kingsgrove

 

Applicant: One Funds Management Ltd ATF Kingsgrove Property Trust

 

Proceedings No. 2017/309712

Class 1 Appeal against actual refusal of DA2017/0151 for construction of new off-street entry to premises along Vanessa Street, Kingsgrove.

Matter was unresolved at the S34 Conference on 22 March 2018 and 4 April 2018.  The matter has now been set down for hearing on 13 and 14 September 2018.  External traffic and counsel briefed.

7

16 – 20 Tooronga Terrace, Beverly Hills

 

Applicant: Nicole Saoud

 

Proceedings No. 328848 of 2017

Class 1 appeal against refusal of DA 2016/0230 seeking development consent for retention of existing development fronting Tooronga Terrace, Beverly Hills and construction of a 3 storey building at rear for use as a boarding house of 15 rooms with parking at ground level

Matter resolved by way of S34 Agreement. Section 8.15(3) costs in the amount of $9,500 to be paid.

8

849 King Georges Road, South Hurstville

 

Applicant: Urban Link Pty Limited

 

Proceedings No. 351493 of 2017

Class 1 Appeal against refusal of DA for demolition of existing structures and construction of a 4 storey flat building with 13 units and basement parking.

Matter resolved by way of S34 Agreement.  Section 8.15(3) costs in the amount of $12,000 to be paid.

9

2 – 10 Woniora Road, Hurstville

 

Applicant:

Stellar Hurstville Pty Limited

 

Proceedings No. 2017/370324

Class 1 Appeal against deemed refusal of DA262/2016 for demolition of existing buildings and ancillary structures and construction of a new mixed use commercial residential building comprising three basement levels containing car parking and storage, ground floor commercial and basement parking and 12 residential apartment levels containing 112 apartments.

Matter was not resolved at the S34 Conference on 15 June 2018 and has been set down for hearing on 11 – 13 February 2018.  External heritage, traffic and urban design expert retained. 

10

2 – 4 Gladstone Street & 10 Victor Street, Kogarah

 

Applicant: Vortex Property Group

 

Proceedings No. 2017/377046

Kogarah North Precinct

Class 1 appeal against Council’s deemed refusal of DA 2017/0519 for demolition of existing structures and construction of eleven (11) storey residential flat building containing thirty eight (38) units with basement car parking at 2 – 4 Gladstone Street and 10 Victor Street, Kogarah.

Matter has been listed for S34 Conference on 11 July 2018.  External traffic, heritage and urban design briefed.  Matter is listed for further directions hearing on 10 August 2018.

11

832 – 836 King Georges Road & 51 Connells Point Road, South Hurstville

 

Applicant:  Cash Warwick Pty Limited

 

Proceedings No. 2017/384934

Class 1 appeal against Council’s deemed refusal of modification application no. MOD2017/0169 seeking to modify development consent structures and construction of a part 5, part 7 storey residential flat building containing sixty seven (67) units to provide for internal reconfigurations and addition of a storey to building B at 832-836 King Georges Road and 51 Connells Point Road, South Hurstville.

Matter did not resolve at S34 conciliation and has been terminated with a further directions hearing and amended proposal being considered.

12

35 – 37 Empress Street, Hurstville

 

Applicant: Tribeca Property Developers Pty Limited

 

Proceedings No. 2017/385110

Class 1 appeal against Council’s deemed refusal of DA 2017/0496 lodged on 20 October 2017 for the demolition of existing structures and construction of a four (4) storey residential flat building comprising of fifteen (15) units with partially below ground basement car parking at 35 – 37 Empress Street, Hurstville.

Matter resolved by way of S34 Agreement.  Awaiting s8.15(3) costs of $6,000.

13

2D The Crescent, Kingsgrove

Applicant:  W & J Lee Property Investments Pty Limited

Proceedings No. 2018/9499

Class 1 appeal against Council’s refusal of DA 2016/0107 for the construction and operation of a Resource Recovery Facility at 2D The Crescent, Kingsgrove.

 

Matter listed for S34 Conference on 6 September 2018.  Council asserts application is designated development.  Preliminary hearing on designated development issue was listed for hearing on 30 July 2018.  Applicant withdrew DA and discontinued proceedings.

14

5 – 9 John Street, Kogarah Bay

 

Applicant: Touma Property Developments

Proceedings No. 2018/38420

Class 1 appeal against Council’s deemed refusal of DA 2017/0663 for demolition of existing structures and construction of a six storey residential flat building with 44 units with associated 2 levels of basement parking.

 

 

Matter listed for S34 Conference on 30 July 2018.  Applicant has suggested changes to the proposal.  Section 34 process adjourned for applicant to prepare amended plans.

15

80 Penshurst Street, Penshurst

 

Applicant: 80 Penshurst St Pty Ltd ATF 80 Penshurst St Trust

 

Proceedings No. 2018/84104

Class 1 appeal against Council’s deemed refusal of Modification Application MOD2018/0007 to modify Development Consent 2016/0363 to add an additional unit on level 4, modifications that increase floor space to units on level 3, reduction of floor space for ground floor retail and addition of a substation.

Matter has been listed for hearing on 18 & 19 October 2018.  External planner and lawyer have been retained.

16

1 – 3 John Street, Kogarah Bay

 

Applicant: Al Abrahim

 

Proceedings No. 2018/114721

Class 1 appeal against deemed refusal to grant development consent to the Applicant for the demolition of existing structures and construction of a 7 storey residential flat building compromising 25 residential apartments and basement parking to

1 – 3 John Street, Kogarah Bay.

Matter listed for S34 Conference on 26 September 2018.

17

22 Vaudan Street, Kogarah Bay

 

Applicant: Nelson Architecture Pty Limited

 

Proceedings No. 2018/121980

Class 1 appeal against deemed refusal of Development Application DA2017/0571 for the demolition of existing house, driveways and parking areas at 22 Vaudan Street, Kogarah Bay.

Matter is listed for hearing on 8 & 9 November 2018.  Section 8.15(3) costs are to be paid in the amount of $3,000.

18

25 Koorabel, 25A Koorabel, 25B Koorabel Street

LUGARNO

 

Parties:

Daoud & Daoud Developments Pty Ltd

Appeals against Penalty Notices issued for carrying out development not in accordance with development consent.

Defendant found guilty of 2 offences of carrying out development without consent.  Judgment handed down on 16 March 2018 with penalty of $30,400 and costs of $12,000 (total $42,400) ordered.  Appeals lodged in the Land and Environment Court.  Timetable set.  Defendant discontinuing proceedings and ordered to pay costs.

19

10 – 12 Mimosa Street, Oatley

 

Applicant: Ezra 1 Pty Limited

 

Proceedings No: 2018/140860

Class 1 appeal against deemed refusal of Development Application DA2018/0071 for demolition of existing structures and construction of basement car park and 8 attached units to be used as seniors living housing and other ancillary works.

Matter listed for first S34 Conference on 17 October 2018.  External planner, traffic, acoustic and urban design consultants briefed.

20

313 – 323 Princes Highway, Carlton

 

Applicant: Carlton Investments No. 1 Pty Limited

 

Proceedings No: 2018/ 140963

Class 1 appeal against deemed refusal of DA2018/0102 for demolition of existing structures and construction of a part five (5) part six (6) storey mixed use development with three (3) levels of basement carparking.

Matter listed for S34 Conference on 27 November 2018.  External solicitor and planner have been retained.

21

71 – 97 Regent Street, Kogarah

 

Applicant: 95 Regent Street Kogarah Pty Limited

 

Proceedings No: 2018/140943

Kogarah North Precinct

Class 1 appeal against deemed refusal of DA2017/0438 for demolition of existing structures and construction of a part twelve (12) part thirteen (13) storey residential flat building development with three (3) levels of basement car parking.

Matter listed for S34 Conference on 16 November 2018.  External experts for planning, urban design and traffic have been retained.

22

12 John Street, Kogarah Bay

 

Applicant: CAAE Consulting Pty Limited

 

Proceedings No: 2018/168099

Class 1 appeal against deemed refusal of DA2017/0595 for demolition of existing structures and construction of attached 1 and 2 storey dual occupancy with pools to each dwelling and Torrens title subdivision.

Matter listed for s34AA hearing on 4 & 5 December 2018.

23

22 – 26 Montgomery Street, Kogarah

 

Applicant: Icon Consulting Group Pty Limited

 

Proceedings No: 2018/167910

Class 1 appeal against deemed refusal of Development Application DA2018/0138 for partial demolition of existing buildings, restoration of existing heritage listed terraces and construction of a 12 storey plus rooftop, mixed use development consisting of 27 residential units, commercial retail floor area and basement car parking.

Matter listed for S34 Conference on 3 December 2018.  External planner, heritage and urban design experts retained.

24

36 Bunyala Street, Blakehurst

Applicant: Lateral Estate Pty Limited

 

Proceedings No: 2018/201275

Class 1 appeal against deemed refusal of DA2017/0649 for the demolition of existing structures, tree removal, excavation, shoring, piling works and the construction of a residential flat development comprising 49 apartments, basement car parking and landscape works.

Matter has been listed for S34 Conference on 21 February 2019.

25

44 Mulga Road, Oatley

 

Applicant: Franco & Susan Lynette Bonamici

 

Proceedings No: 2018/208552

Class 1 appeal against order to remove unauthorised paving dated 8 June 2018.

Matter listed for S34 Conference on 11 January 2019.

26

2 – 4 Allen Street & 42 – 44 Connells Point Road, South Hurstville

 

Applicant:  C A Camperdown Pty Limited

 

Proceedings No: 2018/213640

Class 1 appeal against deemed refusal of DA2017/0421 for the construction of an 8 storey mixed use building containing 64 residential units & 2 retail/commercial tenancies and 4 levels of car parking.   DA includes part of Council land (public car park).

 

Matter listed for first directions hearing on 8 August 2018.

27

158 Connells Point Road, Connells Point

 

Applicant: Chung Kei Ng

 

Proceedings No: 2018/223668

Class 1 appeal against LPP refusal of DA2017/0286 for alterations and additions to a dwelling, construction of a new building to rear and change of use into a child care centre.

 

Matter listed for first directions hearing on 17 August 2018.

Land and Environment Court Proceedings – Class 4 Proceedings

1

977 Forest Road, Lugarno

 

Parties: The Congregational Christian Church in Samoa, Parish of Sydney Incorporated and Taeipo Malifa

 

 

Proceedings No. 2018/23816

Proceedings commenced against Respondents for a declaration that the First and Second Respondents have each breached the Protection of the Environment Operations Act 1997 by failing to comply with prevention notices given to each of them under section 96 of that Act by Council.

 

Mediation on 2 occasions has failed to resolve noise issues.  Matter listed for further directions on 10 August 2018. Council’s evidence filed.

2

34 Milsop & 47 Jersey Avenue, Mortdale

 

Robert Stojanovski &

Steven Stojanovski

Proceedings No. 2018/99739

 

Proceedings commenced for unauthorised erection of structures and slabs, including habitation of structure at the premises.

Matter listed for hearing on 21 August 2018.  Council’s evidence filed.

Land and Environment Court Proceedings – Class 5 Proceedings

1

111 Gungah Bay Road, Oatley

 

Parties: W K Strong Pty Limited

Proceedings No: 2018/227315, 2018/227316, 2018/227317, 2018/227361, 2018/227362 and 2018/227363.

 

Parties: Nader Haidar

Proceedings No: 2018/227331, 2018/227332, 2018/227333, 2018/227377, 2018/227378 and 2018/227379.

 

Parties: Khaled Awada

Proceedings No: 2018/227336, 2018/227337, 2018/227338, 2018/227399, 2018/227400 and 2018/227401.

 

Class 5 appeals in relation to lopping and injuring trees and development not in accordance with development consent at 111 Gungah Bay Road, Oatley.

 

First directions hearing on 7 September 2018.  Council’s evidence in chief filed.

Local Court Proceedings

1

8 Kimberley Road, Hurstville

Parties:

Petre Dimovski

Local Court prosecution for unlawful tree removal.

Guilty plea entered.  A conviction was recorded with matter adjourned for sentencing on 10 August 2018.

2

7 Isaac Street, Peakhurst

Parties:

Christina King

Local Court prosecution for no PCA signage erection and site fence down on ground.

Matter was listed for first directions on 5 July 2018 and adjourned to 24 September 2018 for hearing.

3

6 Loch Maree Crescent, Connells Point

Parties:

Mende Dimovski

Local Court prosecution for 2 offences of development without consent involving failure to display sign and storage of building materials on public road.

Matter was listed for first directions hearing on 26 July 2018.  Defendant pleaded not guilty.  Matter fixed for hearing on 26 September 2018.

4

10 Tasker Avenue, Peakhurst

Parties:

Steve Krimizis

Mr Krimizis has been charged by Police with making threats to and intimidation of Council’s environmental health officer and customer service officer. 

Matter has been stood over for plea or mention on 17 August 2018.  Council has a watching brief only.

5

24 Ballantyne Road, Mortdale

Parties:

Gavin McLennan

Local Court prosecution for development without consent – no sign erected showing PCA.

Matter listed for first directions hearing on 16 August 2018.

6

47 Croydon Road, Hurstville

Parties:

Van Lam

Police prosecution for failure to comply with requirements of authorised officers under s40 of the Food Act, 2003.

Matter has been stood over to 30 August 2018.  Council has a watching brief only.

7

Parties: Mr Xie

Police prosecution for an assault on Council’s parking officer.

Matter has been stood over to 4 September 2018.  Council has a watching brief only.

 

Supreme Court

1

220 – 226 Princes Highway, Kogarah Bay.

 

Parties:

Nikolaos & Marianna Sykalos

 

Proceedings No.

2018/215935

Supreme Court appeal seeking transfer of ownership of public car park on corner of Princes Highway and Park Road to the plaintiffs as adjoining land owners allegedly pursuant to an historic Deed.

Matter listed for first directions hearing on 7 August 2018.

Costs Recovery

1

37 Boronia Street

KYLE BAY

 

Parties:

Mrs Megan McOnie

 

Proceedings No.

40940 of 2015

Class 4 commenced in relation to failing to comply with Council Notices/Orders relating to a non-compliant swimming pool fence, overgrown vegetation and unhealthy swimming pool water.

Court Orders in support of Council’s Notices/Orders made including costs.  Pool safety works to be completed and Mortgagee to sell property.  Council will seek to recover outstanding rates and costs upon sale.  Awaiting further advice from Mortgagee in possession.

2

977 Forest Road, Lugarno

 

Applicant: Congregational Christian Church Samoa Parish of Sydney

 

Proceedings No: 103967 of 2017

Class 1 Appeal against refusal of DA2015/0443 for a child care centre

Council successful in obtaining costs order for $1,200 following applicant’s application being out of time.  Costs recovery action being undertaken as payment has not been made, following refusal by the Church and Rev Malifa to pay.  Matter sent for external debt recovery.

3

27 Newman Street, Mortdale

 

Applicant: Morgan Ng

 

Proceedings No. 343784/2017

 

Class 1 appeal against deemed refusal of DA2017/0121 for demolition of existing structure and construction of a new boarding house (12 rooms) and carport.

Matter was listed for S34 Conference on 8 May 2018.  Council’s experts are satisfied that the amended plans are capable of approval subject to conditions.   Section 8.15(3) costs to be paid in the amount of $5,400.

4

296 Forest Road and Diment Way, Hurstville

 

Applicant: Telado Pty Limited

 

Proceedings No. 299079 of 2017

Applicant seeks s88K order for property rights in perpetuity over Council land known as Central Plaza.

Evidence filed. Applicant’s s96 modification application to delete conditions requiring easements approved by SSPP.  Matter discontinued with applicant to pay Council’s costs on a solicitor/client basis.

 

8.       Costs to date are as follows:

 

Type

Amount

Class 1 Appeals – Consultants for Court Proceedings

$33,786.82

Class 1 Appeals – Planning DA External Lawyers

$5,454.55

Class 2 Appeals

$0

Class 3 Appeals

$0

Class 4 Appeals

$0

Class 5 Appeals

$0

Local Court Prosecutions/Enforcements

$3,234.03

Industrial Relations Commission (IRC)

$0

Total

$42,475.40

 

Financial Implications

9.      Within budget allocation.

Risk Implications

10.    No risks identified.

File Reference

17/1831

 

 

 

  


Georges River Council – Finance and Governance Committee Meeting -  Monday, 13 August 2018                         Page 97

Item:                   FIN066-18          Georges River Council Quarterly Property Portfolio Report 

Author:              Strategic Property Specialist

Directorate:      Office of the General Manager

Matter Type:     Committee Reports

 

 

 

Recommendation:

That the report “Georges River Council Quarterly Property Portfolio Report” be received and noted.

 

 

Executive Summary

1.      At its meeting on 1 May 2017, Council resolved to report regularly on the commercial properties and other leases and licences.

2.      This report details Council’s performance of its property portfolio. The report includes information on Council’s Commercial Properties (Commercial Properties listed in Attachment 1), Community Properties (Community Properties listed in Attachment 2), Commercial Car Parking, Sporting Facilities and Footway Licences.

 

Background

3.      This report details Council’s performance of its property portfolio. The report includes information on Council’s Commercial Properties, Community Properties, Commercial Car Parking, Sporting Facilities and Footway Licences.

 

4.      There are currently zero (0) arrears on leases and licences.

5.      The report is an evolving document and responds to the ongoing audit of Council’s leases and licences. It is expected that in the future the report will include the net position for each of the property groups after costs and expenses.

 


 

 

6.      Commercial Property

 

Property Address

No. of Current Leases

No. of Vacant Premises

% Vacant Premises

Monthly Rent       (incl. GST)

Annual Rent – Estimated (incl. GST)

Comment

Commercial Office Building - 34 MacMahon Street, Hurstville – (Hurstville House)

24

0

0%

$107,742

$1,292,904

Offer accepted on remaining vacant suite. Rental per annum (inc GST) = $35,750

Commercial Office Building - 38 Humphreys Lane, Hurstville

2

1

33%

$58,457

$701,484.00

Offer accepted on remaining shop. Rental per annum (inc GST) = $16,500

Other Leases

 

 

 

 

 

 

Commercial

17

NIL

 

$94,655

$1,135,860

Retail

4

NIL

0%

$19,122

$229,464

Telecommunications

3

N/A

 

$3,901

$46,812

Footway Licences

TBA

 

 

 

 

Policy to be finalised and data included in next report

Kogarah Civic Centre Building - 2 Belgrave Street Kogarah

2

1

 

$17,296

$207,552

Offer accepted on remaining vacant suite. Rental per annum (inc GST) = $66,000

Total

52

2

4%

$301,173

$3,614,076

 

 

 

 

 

 

 

 

 

 

 

 

 

 

7.      Sporting Facilities

Property

No. of Current Agreements

Hirer or Club

Agreement

Monthly Revenue   (excl. GST)

Annual Revenue    (excl. GST)

Comment

Golf Courses

 

 

 

 

 

$79,134 pa Golf Course Rental + $29,015 pa Club House Rental

Beverly Park Golf Course

1

Beverly Park Golf Club Ltd

Lease
Beverly Park Golf Club Ltd

$9,012

$108,144

 

 

 

 

 

 

Hurstville Golf Course

2

Hurstville Golf Club

Bluefit Management Agreement

$46,892

$562,704

Revenue includes contribution to utilities and maintenance. Not a NET figure

Hurstville Golf Club (MoU)

$2,486

$29,832

Swimming Pools/Aquatic

 

 

 

 

 

Revenue includes contribution to utilities and maintenance. Not a NET figure.

HALC

1

NA

Bluefit Management Agreement

$146,274

$1,755,288

Sans Souci

1

NA

Lease
Hinarni Pty Ltd

$8,800

$105,600

Lease option negotiation finilised.
Asset Management Plan required.

Carss Park Pool

Nil

Council

Nil

-$17,830

-$213,960

Operation assisted by Bluefit staffing

Tennis Courts

 

 

 

 

 

Term from September 2016 to September 2019

Ken Rosewell

1

NA

Management Agreement
Evolution Tennis

$7,083

$85,000

Parkside Drive

1

NA

Lease
Graeme Wardrop

$3,098

$37,176

Term from June 2016 to June 2021 with a 5 year option.

Jubilee Oval

 

 

 

 

 

Revenue includes on-costs for matches

St George NRL Club

1

St George NRL Club

Hire Agreement

-

$410,000

St George District Football Club

1

St George District Football Club

Lease includes use of venue for fixtures

-

$71,500

Hurstville Oval

 

 

 

 

 

6 month seasonal arrangement - October to March

St George District Cricket Club

1

St George District Cricket Club

Licence

-

$1,576

Total

10

 

 

$205,815

$2,952,860

 

 

 

8.      Commercial Car Parking

 

Car Park

No. Permanent Parking

No. of Public Parking Spaces

Management Agreement

Monthly Revenue       (incl. GST)

Annual Revenue Estimate (incl. GST)

Comment

Waratah Hospital Car Park

-

150

Secure Parking

$4,949

$59,388

$265,000 Strata Fees

31 Dora St Hurstville

(Average)

Annual subsidy of $211,732 per annum

 

 

 

Kogarah Town Square Car Park

4

224

APARC

$35,656

$427,872

Annual Strata Fees of $94,509

6 Derby St Kogarah

TDN

Empress/Woniora Gardens Car Park

5

100

APARC

$11,600

$139,200

Annual Strata Fees of $2,756

588-604 Railway Pde Hurstville

TDN

ATO spaces
12-22 Woniora Road, Hurstville

-

79

Council as Lessee

-

$300,000

$300,000 for the first year followed by a prorated amount for each month thereafter until handover of stratum title to Council

Total

9

553

 

$52,205

$926,460

 

 

9.      Community Leases

Community Leases

No. of Properties

Vacancies

% Vacant Premises

Annual Rent

NOTE

(excl. GST)

Scouts & Girl Guides

10

NIL

0%

$63

 

Community Centres

6

NIL

0%

 

 

1. Jubilee (Mortdale)

 

 

 

$63,000

Nil income due to 100% Council reimbursement of annual rent

2. Kingsgrove

 

 

 

$54,798

Nil income due to 100% Council reimbursement of annual rent

3. Kogarah

 

 

 

$10,920

 

4. Riverwood

 

 

 

TBC

Rental and subsidy to be assessed in line with Policy.

5 Pole Depot (Penshurst)

 

 

 

$1

Subsidised rental due to extensive capital investment by tenant.

6. Youth Outreach Kogarah

 

 

 

$1,000

 

Community Sports

3

NIL

0%

$19,362

 

St George Business Chamber of Commerce

1

NIL

0%

-

$22,000 annual office rental subsidy plus $30,000 per annum over 5 years Council cash contribution to assist with program development

Radio 2NBC

1

NIL

0%

$1

$1 income to Council as per Council Resolution

Hurstville District Small Bore Rifle Club

1

NIL

0%

$1

 

Misc. Others

9

NIL

0%

$2,047

Total

31

0

0%

$151,193

 

 

Financial Implications

10.    No budget impact for this report.

 

File Reference

17/2939

 

 

 

ATTACHMENTS

Attachment 1

Commercial Properties

Attachment 2

Community Properties

 


Georges River Council - Finance and Governance Committee Meeting - Monday, 13 August 2018

FIN066-18              Georges River Council Quarterly Property Portfolio Report

[Appendix 1]          Commercial Properties

 

 

Page 103

 


Georges River Council - Finance and Governance Committee Meeting - Monday, 13 August 2018

FIN066-18              Georges River Council Quarterly Property Portfolio Report

[Appendix 2]          Community Properties

 

 

Page 104

 


Georges River Council – Finance and Governance Committee Meeting -  Monday, 13 August 2018                         Page 105

Item:                   FIN067-18          18th International Cities, Town Centres and Communities Conference 

Author:              Acting Head of Executive Services

Directorate:      Office of the General Manager

Matter Type:     Committee Reports

 

 

 

Recommendation:

That in accordance with the Mayor and Councillors’ Expenses and Facilities Policy, interested Councillors and relevant staff be authorised to attend the 18th International Cities, Town Centres and Communities Conference.

 

 

Executive Summary

1.      The 18th International Cities, Town Centres and Communities Conference (ICTC) will be held at the Esplanade Hotel Fremantle – Perth, Western Australia from 14 to 16 November 2018.

Background

2.      The ICTC Conference brings together a diverse cross-section of city leaders and urban place professionals – from those who lead and plan cities and town centres through to those who implement and manage them on the ground.  The theme for the Conference is Progressive Cities: Innovative + Authentic + Connected.

3.      The Conference program (Attachment 1) includes creating a connected city, understanding the impacts and opportunities of technology on town centres and the rise and rise of the “local” renewable city.  The cost of delegate non-member registration is $1200 for early bird registration up to 7 September 2018. 

Financial Implications

4.      The cost of registrations, travel, accommodation and sustenance allowance will be funded from the Councillors’ Conference budget.  The Mayor and Councillors’ Expenses and Facilities Policy allows $3,000 per Councillor per year for Conference and Seminar attendance and $10,000 total for all Councillors for interstate, overseas or long distance travel.

Risk Implications

5.      The Enterprise Risk Management Strategy contains two relevant actions in regards to the provision of professional development to Councillors.  Affording Councillors the opportunity to participate in professional development mitigates both political and governance risks by ensuring that Councillors are provided forums which provide exposure to current trends and changes within the Local Government Sector.

Community Engagement

6.      The Mayor and Councillors’ Expenses and Facilities Policy was publically exhibited prior to adoption in May 2018.

 

 

File Reference

17/1831

 

 

 

ATTACHMENTS

Attachment 1

18th International Cities Town Centres and Communities Conference 2018

 


Georges River Council - Finance and Governance Committee Meeting - Monday, 13 August 2018

FIN067-18              18th International Cities, Town Centres and Communities Conference

[Appendix 1]          18th International Cities Town Centres and Communities Conference 2018

 

 

Page 107

 


 


 


Georges River Council - Finance and Governance Committee Meeting - Monday, 13 August 2018

FIN067-18              18th International Cities, Town Centres and Communities Conference

[Appendix 1]          18th International Cities Town Centres and Communities Conference 2018

 

 

Page 110

 


 


Georges River Council - Finance and Governance Committee Meeting - Monday, 13 August 2018

FIN067-18              18th International Cities, Town Centres and Communities Conference

[Appendix 1]          18th International Cities Town Centres and Communities Conference 2018

 

 

Page 112

 


 


 


 


 


 


Georges River Council – Finance and Governance Committee Meeting -  Monday, 13 August 2018                         Page 118

Item:                   FIN068-18          Investment Report as at 30 June 2018 

Author:              Financial  Accounting Officer

Directorate:      Office of the Chief Operating Officer

Matter Type:     Committee Reports

 

 

 

Recommendation:

That Council receive and note the Investment Report as at 30 June 2018.

 

 

Executive Summary

1.      This report details Council’s performance of its investment portfolio as at 30 June 2018 and compares it against key benchmarks. Note that year-end reconciliations are currently being finalised and if there are any changes to the information contained in this report as a result of the reconciliations, they will be highlighted to Council in the 2017/18 General Purpose Financial Statements report.

2.      This report also includes the estimated market valuation of Council’s investment portfolio, loan liabilities and an update on Council’s legal action against various parties.

3.      Council’s annualised rate of return is 2.91%, which is 1.13% above benchmark. Income    from interest on investments totals $5,787,411 which is $881,323 above 2017/18 year-to-date adopted budget of $4,906,088.

Background

4.      Council’s Responsible Accounting Officer is required to report monthly on Council’s Investment Portfolio and certify that the Investments are held in accordance with Council’s Investment Policy and Section 625 of the Local Government Act.

Investment Performance Commentary

 

5.      Council’s performance against the benchmark for returns of its investment portfolio for June 2018, are as follows:

 

 

1 Month

3 Month

12 Month

Portfolio Performance

0.21%

0.67%

2.91%

Performance Index

0.15%

0.49%

1.78%

Excess

0.06%

0.18%

1.13%

Notes:                                                      

a)      Portfolio performance is the rate of return of the portfolio over the specified period.

b)      The Performance Index is the rate of return of the market (comparable securities) over the specified period.                                    

c)      Excess performance is the rate of return of the portfolio in excess of the Performance Index.

 

6.      Council’s investment portfolio as at the end of June was as follows:

Security Type

Market Value $000's

% Total
Value

Cash at Bank

7,673

4.18%

11am Cash

 8,942

4.91%

31 Day Notice Account

 22

0.01%

Flexi Deposit (Fix/Float)

 6,000

3.29%

Floating Rate Deposit

 5,000

2.74%

Floating Rate Note

 63,986

35.13%

Floating Rate TCD

 3,512

1.93%

Term Deposit

 81,041

44.49%

Managed Funds Trust

 5,989

3.29%

Total Cash and Investments

 182,165

100.00%

 

7.      At the end of May 2018, Total Cash and Investments were $190.87M and have decreased by $8.71M at end of June 2018.

 

8.      Council continues to utilise the Federal Government’s current guarantee ($250k) investing in Term Deposits with a range of Authorised Deposit Taking Institutions (ADI’s) on short to medium term investments (generally 30 days to 180 days maturity) where more competitive rates are available.

 

Legal Issues

 

9.      Nil.

 

Loan Liability

 

10.    Council’s loan liability as at 30 June was $2.125m which represents the balance of a $5m ten (10) year loan drawn down on 16 November 2012 for Jubilee Park upgrade in Mortdale. Next repayment of $125k is due 28 September 2018.

 

The outstanding balance on this facility is at a variable interest of 194 basis points over three month BBSW. At the current three month BBSW rate, the interest rate payable is 4% pa.

 

10.    Council receives a 4% p.a. subsidy under the NSW Government’s Local Infrastructure Renewal Scheme funding agreement for this Jubilee Park upgrade facility. It is intended to continue this financially-advantageous arrangement through to full term in 2022.

 

Policy Limits

 

11.    The following graph below shows the limits, as a percentage of total cash investments, of the amount by periods, as allowed under Council’s policy, and comparing them to the amounts actually invested, as a percentage of the total cash investments.         It shows that the funds invested are within the limits set in the Investment Policy.

 

 

Investment Income

12.    Income from interest on investments approximate totals $5.78M which is $880k above 2017/18 year-to-date adopted budget of $4.90M.

Certificate by Chief Operating Officer (Responsible Accounting Officer): David Tuxford

13.    Investments have been made in accordance with the Local Government Act, Minister’s Guidelines, Regulations and Council’s Investment Policy.

 

Analysis of Investments

Investment Duration

Investment Term

Market Value ‘000

% Total Value

Policy Limits

0 to < Year

63,895

35.08%

100%

1 to < 3 Years

84,452

46.36%

70%

3 to < 5 Years

33,818

18.56%

50%

Portfolio Total

182,165

100.00%

 

 

14.    Council’s portfolio is liquid, with 35.08% of assets maturing within 12 months. FRNs, funds and fixed bonds also provide additional liquidity in an emergency.

15.    The following graphs show analysis of the total cash investment by:

 

Type of Investments

 

16.    Council’s investment portfolio is mainly directed to fixed term deposits, which account for approximately 48% of total investments. Yields have steadily contracted, while tracking bond market volatility in the short term.

17.    Bank Floating Rate Notes (FRN) offer liquidity and a higher rate of income accrual, which is highly recommended by our Investment Advisors (CPG Research & Advisory) going forward.

18.    The following are the types of investments held by Council:

a)      Cash & Call Accounts refer to funds held at a financial institution and can be recalled by Council either same day or on an overnight basis.

b)      A Floating Rate Note (FRN) is a debt security issued by a company with a variable interest rate. This can either be issued as Certificates of Deposit (CD) or as Medium Term Notes (MTN). The interest rate can be either fixed or floating, where the adjustments to the interest rate are usually made quarterly and are tied to a certain money market index such as the Bank Bill Swap Rate.

c)      A Fixed Term Deposit is a debt security issued by a company with a fixed interest rate over the term of the deposit.

d)      A managed fund is a professionally managed investment portfolio that individual investors can buy into, purchasing 'units' rather than shares. Each managed fund has a specific investment objective. This is usually based around the different asset classes (cash, fixed interest, property and shares). The money you invest is used to buy assets in line with this investment objective. When you invest in a managed fund, you are allocated a number of 'units'. The value of your units is calculated on a daily basis and changes as the market value of the assets in the fund rises and falls.

* These managed funds have been grandfathered since the NSW State Government changed the list of Approved Investments as a result of the Cole enquiry (which was reflected in the Ministerial Order dated 31/7/2008).

Credit Rating

19.    Credit ratings are generally a statement as to an institution’s credit quality. Ratings ranging from A1+ to NR (Short Term) & AAA to NR (long term) are considered investment grade.

20.    A general guide as to the meaning of each credit rating that Council deals with is as follows:

Short-term

A1+: the best quality companies, reliable and stable. An obligor has extremely strong capacity to meet its financial commitments.

A1:    Adequate capacity to meet financial commitments, many positive investments attributes but also elements susceptible to adverse effects of changes in economic conditions.

A2:    Adequate capacity to meet financial commitments, but also speculative or lack of protection against changes of economic conditions.

B1:    Moderate characteristic capacity to meet financial commitments, also in good economic conditions.

Unrated:    This category includes unrated Authorised Deposit-Taking Institutions (ADI’s) such as some Credit Unions and Building Societies to the extent not Commonwealth-guaranteed. No rating has been requested, or there is insufficient information on which to base a rating.     

Long-term

AAA: the best quality companies, reliable and stable. An obligor has extremely strong capacity to meet its financial commitments.

AA:   quality companies, a bit higher risk than AAA. An obligor has very strong capacity to meet its financial commitments. It differs from the highest-rated obligors only to a small degree.

A:      economic situation can affect finance. An obligor has strong capacity to meet its financial commitments but is somewhat more susceptible to the adverse effects of changes in circumstances and economic conditions than obligors in higher-rated categories.

BBB: medium class companies, which are satisfactory at the moment. An obligor has adequate capacity to meet its financial commitments. However, adverse economic conditions or changing circumstances are more likely to lead to a weakened capacity of the obligor to meet its financial commitments.

Unrated:  This category includes unrated Authorised Deposit-Taking Institutions (ADI’s) such as some Credit Unions and Building Societies to the extent not Commonwealth-guaranteed. No rating has been requested, or there is insufficient information on which to base a rating.

21.    The credit quality of Council’s portfolio is relatively high with approximately 69% of assets rated ‘A’ or higher. The ‘AAA’ assets represent the deposit investments covered by the Federal Government’s Financial Claims Scheme (FCS).

22.    The remaining 31% rated ‘BBB’ or ‘unrated’ reflects the deposit and Floating Rate Notes (FRN) investments with the regional and unrated ADIs.

Council’s Investment Powers

23.    Council’s investment powers are regulated by Section 625 of the Local Government Act, which states:

·        A council may invest money that is not, for the time being, required by the council for any other purpose.

·        Money may be invested only in a form of investment notified by order of the Minister published in the Gazette.

·        An order of the Minister notifying a form of investment for the purposes of this section must not be made without the approval of the Treasurer.

·        The acquisition, in accordance with section 358, of a controlling interest in a corporation or an entity within the meaning of that section is not an investment for the purposes of this section.

24.    Council’s investment policy and strategy requires that all investments are to be made in accordance with:

·        Local Government Act 1993 - Section 625

·        Local Government Act 1993 - Order (of the Minister) dated 12 January 2011

·        The Trustee Amendment (Discretionary Investments) Act 1997 – Sections 14A (2), 14C (1) & (2)

·        Local Government (Financial Management) Regulation 1993

·        Investment Guidelines issued by the Department of Local Government

 

Financial Implications

25.    Within budget allocation.

 

File Reference

D18/169967

 

 

 

ATTACHMENTS

Attachment 1

Investment Portfolio as at 30 June 2018

 


Georges River Council - Finance and Governance Committee Meeting - Monday, 13 August 2018

FIN068-18              Investment Report as at 30 June 2018

[Appendix 1]          Investment Portfolio as at 30 June 2018

 

 

Page 125

 


 


 


 


 


 


 


 


 

  


Georges River Council – Finance and Governance Committee Meeting -  Monday, 13 August 2018                         Page 134

Confidential items (Closed Council Meeting)

Council's Code of Meeting Practice allows members of the public present to indicate whether they wish to make representations to the meeting, before it is closed to the public, as to whether that part of the meeting dealing with any or all of the matters listed should or should not be considered in closed session.

 

Recommendation

That in accordance with the provisions of Part 1 of Chapter 4 of the Local Government Act 1993, the following matters be considered in closed Council Meeting at which the press and public are excluded.

 

FIN002A-18       St George Business Chamber - Annual Report on Compliance with Deed of Agreement Obligations

(Report by Economic Development Officer)

THAT in accordance with the provisions of Part 1 of Chapter 4 of the Local Government Act 1993, the matters dealt with in this report be considered in closed Council Meeting at which the press and public are excluded. In accordance with Section 10A(2) (d(i)) it is considered the matter concerns commercial information of a confidential nature that would if disclosed prejudice the position of a person who supplied it.

THAT in accordance with Section 10D it is considered that if the matter were discussed in an open Council Meeting, it would on balance, be contrary to the public interest as it concerns commercial information of a confidential nature that would if disclosed prejudice the position of a person who supplied it.

 

That in accordance with the provisions of Section 11(2) of the Act, the reports and correspondence relating to these matters be withheld from the press and public.