c78 quarterly budget review for september 2008 · 11/20/2008 · corporate business committee 20...

CORPORATE BUSINESS COMMITTEE 20 NOVEMBER 2008 - 50 -

C78 QUARTERLY BUDGET REVIEW FOR SEPTEMBER 2008

Purpose: To report on the estimated budget position as at 30 September 2008. Description of Item: Estimated Budget Position as at 30 September 2008:

General Water Sewer Account Account Account $ $ $

Original Budget adopted 30th June 2008 93,365 (D) 6,695,376 (D) 6,820,832 (D) Recommended variations for September per attached exception report 6,970 (S) 280,826 (S) 289,103 (S) Estimated result 2008/09 as at 30 September 2008 86,395 (D) 6,414,550 (D) 6,531729 (D) Sustainability Assessment: This report is one of procedure only. • Environment

There are no perceived short or long-term environmental impacts. • Social

There are no perceived short or long term social impacts.

• Economic

Management Plan Implications

The Original budget for the General Account adopted on the 30 June 2008 provided for a deficit of $93,365. For substantial budget adjustments the associated council reports have addressed the triple bottom line factors independently in 2008/09.

Consultation: Managers have been provided with budget analysis reports for each program. Requested variations and variations adopted by Council have been included in the report.

Cont'd


C78 Quarterly Budget Review For September 2008 …(Cont’d) Statutory Requirements: Under local government regulations Council is required to submit a quarterly budget review to Council. Therefore Council is under no obligation to provide monthly reviews but has recommended they be completed as part of prudent financial management. The Responsible Accounting Officer believes this report indicates the financial position of the Council is satisfactory, having regard to the original estimate of Income and Expenditure. Recommendation: 1. The variations in the attached exception report be approved. 2. The revised Budget position as at 30 September 2008 be noted:

General Water Sewer Account Account Account $ $ $

Original Budget adopted 30th June 2008 93,365 (D) 6,695,376 (D) 6,820,832 (D) Recommended variations for September per attached exception report 6,970 (S) 280,826 (S) 289,103 (S) Estimated result 2008/09 as at 30 September 2008 86,395 (D) 6,414,550 (D) 6,531729 (D)

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Attachments:

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C79 PECUNIARY DISCLOSURES BY COUNCILLORS AND DESIGNATED PERSONS

Purpose: To table the Register of Returns received. Description of Item: Councillors, General Managers, Senior Staff and other designated persons as at 30 June, are required to lodge a completed Disclosure Return by the subsequent 30 September of pecuniary interests and other matters. Designated persons identified by Council previously include the General Manager, all Directors and Managers, Town Planners, Environmental Health Officers, Building Inspectors, Subdivision and Design Engineers and the Landscape Architect. Statutory Requirements: Sections 449 and 450A of the Local Government Act 1993, as set out in the attachment, cover the compulsory lodgment of Pecuniary Interest Annual Returns. The Act details specific responsibilities of the General Manager in relation to the collection, reporting, tabling and public accessibility of the returns. Issues: The purpose of these provisions is to ensure transparency and accountability in local government decision making. The obligations upon Councillors, General Manager, Senior Staff and other designated persons are as much a protection for them as it is for the community in the review of Council’s decisions, and one of the important mechanisms in enhancing public confidence in local administration. A register containing all disclosures will be tabled at this meeting for inspection by any Councillors. The register will now be held as a permanent record and available for public inspection. Implementation Date: Implementation is immediate. Recommendation: That the Register of Disclosures by Councillors and designated persons for the period July 2007 – June 2008, as tabled, be noted.

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Attachment: Local Government Act 1993 No 30

449 Returns disclosing interests of councillors and designated persons

(1) A councillor or designated person must complete and lodge with the general manager, within 3 months after becoming a councillor or designated person, a return in the form prescribed by the regulations.

(1A) A person must not lodge a return that the person knows or ought reasonably to know is false or misleading in a material particular.

(2) A person need not lodge a return within the 3-month period after becoming a councillor or designated person if the person lodged a return in that year or the previous year or if the person ceases to be a councillor or designated person within the 3-month period.

(3) A councillor or designated person holding that position at 30 June in any year must complete and lodge with the general manager within 3 months after that date a return in the form prescribed by the regulations.

(4) A person need not lodge a return within the 3-month period after 30 June in a year if the person lodged a return under subsection (1) within 3 months of 30 June in that year.

(5) Nothing in this section prevents a councillor or designated person from lodging more than one return in any year.

(6) Nothing in this section or the regulations requires a person to disclose in a return lodged under this section an interest of the person’s spouse or de facto partner or a relative of the person.

Local Government Act 1993 No 30

450A Register and tabling of returns

(1) The general manager must keep a register of returns required to be lodged with the general manager under section 449.

(2) Returns required to be lodged with the general manager under section 449 must be tabled at a meeting of the council, being:

(a) in the case of a return lodged in accordance with section 449 (1)—the first meeting held after the last day for lodgement under that subsection, or

(b) in the case of a return lodged in accordance with section 449 (3)—the first meeting held after the last day for lodgement under that subsection, or

(c) in the case of a return otherwise lodged with the general manager—the first meeting after lodgement.


C80 BANK BALANCES AND INVESTMENTS FOR AUGUST 2008

Purpose: To list Council’s Bank Balances and Investments as at 31 August 2008. Description of Item: A copy of the state of Bank Balances and Investments as at 31 August 2008 is attached. It should be noted that Council is now required to account for investments in accordance with the Australian International Financial Reporting Standards. As such the ledger balances at the end of each month reflect market value movements which would be inclusive of accrued interest. Interest when paid, say quarterly, would result in reductions in the market value of the investments. The Investment Report reflects the above requirements and reflects the interest earned (or accrued) on each investment, based on the acquisition price. Sustainability Assessment: • Environment

There are no perceived current or future environmental impacts. • Social

There are no perceived current or future social impacts.

• Economic

Council’s investments are held according to the requirements stated within Council’s investments policy and the returns are acceptable in relation thereto.

Recommendation: 1. That the bank balances and investments totaling two hundred and thirty four million, nine hundred and fifty seven thousand, three hundred and sixty three dollars ($234,957,363) as at 31 August 2008 be noted. 2. It is also noted that after deducting, from the total bank and investment balances, the estimated restricted General, Water & Sewerage cash and investments of $233,441,040 the estimated General Fund unrestricted cash and investments is $1,516,323.

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Attachments:

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C81 2007/2008 ANNUAL REPORT AND 2007/2008 SUPPLEMENTARY STATE OF THE ENVIRONMENT REPORT

Purpose: To provide Council with the Annual Report and Supplementary State of the Environment Report for the 2007/2008 financial year. This report recommends that the 2007/2008 Annual Report (except for the 2007/2008 Financial Report) and 2007/2008 Supplementary State of the Environment Report be adopted. Description of Item: The Annual Report describes Council’s achievements for the 2007/2008 financial year and reports on various matters required by legislation. Legislative requirements include, among other things, the Annual Financial Report, Performance Report, and Supplementary State of the Environment Report. The Annual Report is completed as three separate documents: a Summary Report, a Regulatory Report and a Financial Report. The Summary document is prepared as an overview of Council’s activities, achievements and ongoing challenges during the year. The Regulatory Report and the detailed Financial Report are prepared in line with legislative requirements. The reports are to be made available to be viewed by the public. The Supplementary State of the Environment Report provides an outline of significant change in environmental indicators over the last reporting period and updates action towards the management responses identified in the 2004 Comprehensive State of the Environment Report. Under section 416 (1) of the Local Government Act 1993, Council’s financial reports for a year must be prepared and audited within the period of 4 months after the end of that year i.e. by 31 October and submitted to the Department of Local Government by 7 November. Council applied to the Department of Local Government for an extension of time on lodging the 2007/2008 Annual Financial Reports on the basis that the required operational land and building valuations were not received within the timeframes specified to the external valuers resulting in a delay to the preparation of the reports. In its response, the Department said it could not grant an extension beyond 30 November 2008 but acknowledged that Council was unlikely to meet that deadline because of circumstances beyond its control. The Department understands that Council’s audited Financial Statements will be considered by Council on the 18 December 2008 and will be with the Department by 22 December 2008 and has undertaken to amend its records accordingly. The 2007/2008 Annual Report Summary will be distributed to Councillors. Copies of the Regulatory Report, Financial Report (when adopted) and the 2007/2008 Supplementary State of the Environment Report will be available in the Councillors’ room. Sustainability Assessment: • Environment

Apart from printing and energy costs associated with compiling the report, there are no environmental impacts flowing from the preparation of the Annual Report and Supplementary State of Environment Report. However, environmental issues relating to Council and the city are identified in the Annual Report and the Supplementary State of the Environment Report.

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C81 2007/2008 Annual Report and 2007/2008 Supplementary State of the Environment

Report…(Cont’d) • Social

Similarly, the Annual Report details the community benefit of the works and services undertaken by Council through the year reported. The publication of an Annual Report – detailing Council’s performance – is consistent with Council’s commitment to accountability to the community.

• Economic

Broader Economic Implications There are no economic implications associated with compiling the report. However the report includes information relating to Council activities aimed at stimulating the economic sustainability of Coffs Harbour. Management Plan Implications As a legislative requirement, the preparation of the Annual Report is accommodated within Council’s budget on an annual basis.

Consultation: Appropriate submissions from all Council departments are included in the 2007/2008 Annual Report and 2007/2008 Supplementary State of the Environment Report. The Department of Local Government understands that Council’s audited Financial Reports will be available by 22 December 2008 and has undertaken to amend its records accordingly. Related Policy and / or Precedents: Council has previously considered and adopted the Annual Report and State of the Environment Report each year prior to distribution. Statutory Requirements: Section 428 of the Local Government Act 1993 requires Council to produce an Annual Report and State of the Environment Report by 30 November each year. Additional information is required in accordance with: • General Regulation 2005 Clause 217 and 218-226; • Freedom of Information Act 1989 Section 68 and Clause 10; • Privacy and Personal Information Protection Act 1998 Section 33; and • Environmental Planning and Assessment Act 1979 Section 93G(5).

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Report…(Cont’d) Issues: − Performance

There are 18 principal objectives incorporating 197 performance measures identified in Council’s 2007/2010 Management Plan. Of the performance measures, 189 were achieved for the 2007/2008 year. The fifteen outstanding measures were largely the result of resourcing issues or factors outside of Council’s control. Achievement of 96% of performance measures is considered acceptable. In 2006/2007, Council achieved 93.15% of performance measures. In 2005/2006, the result was 97.3%; in 2004/2005 it achieved 86%. There were a number of significant milestones during 2007/2008. These included: • The completion of the $17m Hogbin Drive extension. • The replacement of the Middle Creek bridge at Sawtell and the Coral Street bridge at

Corindi and the commencement of work in replacing the Coldwater Creek bridge on Orara Way.

• The opening of the Orara Valley Community Swimming Pool at Nana Glen. • The commencement of construction of the $2.4m Cavanbah Multi-Purpose Centre. • Major progress in the construction of the Shannon Creek Dam and the Coffs Harbour Water

Treatment Plant as part of the $180-million Regional Water Supply project. • Ongoing construction of the Coffs Harbour Water Reclamation Plant as part of the Coffs

Harbour Sewerage Strategy.. • Initiatives to support existing businesses and attract new enterprise to Coffs Harbour. • Major community events and promotions including the Buskers Festival, the Growers

Markets, the Food and Wine Festival and Carols by Candlelight. • The staging of a wide range of arts, cultural and performance programs through city

attractions including the Regional Gallery, the Jetty Memorial Theatre, the Bunker Cartoon Gallery and the Historical Museum.

• A range of environmental initiatives including Environmental Levy-funded projects and community awareness programs to assist in combating climate change.

− State of the Environment Report

This year’s Supplementary State of the Environment Report suggests numerous further actions that are needed to help protect and restore our environment. The Supplementary Report continues to be formatted as a user-friendly document providing for better integration between the 2004 Comprehensive State of the Environment Report, the Management Plan and Budget. The 2007/2008 report identifies climate change as the principal challenge facing Coffs Harbour (and the world) into the future. The report notes however that the emission of greenhouse gases from our community continues to rise with increasing numbers of commuter vehicles, vegetation clearing and resource-dependent urban development as well as resource-intensive lifestyles. It also recognizes Council’s ongoing, strong commitment (through the Cities of Climate Protection Program) towards reducing the community’s CO2 emissions.

Cont'd



Report…(Cont’d)

Council’s overall corporate performance with regards to sustainability has remained “Condition Steady” throughout the reporting period. This year saw an improvement in the condition of our human settlements; this resulted from continued reduction in waste generation, waste to landfill and water consumption. During the reporting period, Heritage moved from “condition steady” to “condition improving”. Elsewhere, the SoE reports a “condition steady” finding for the environmental categories of Biodiversity, Land, Coastal Creeks, Estuaries and the Sea and Inland Waters, and a “condition uncertain” finding for The Atmosphere.

Implementation Date / Priority: Subject to Council approval, the 2007/2008 Annual Report (Summary and Regulatory) and Supplementary State of the Environment Report will be lodged by 30 November 2008 in line with statutory requirements and made available to the public. It is proposed that, following receipt of the completed documents from the auditors, Council consider the 2007/2008 Financial Report at its meeting of 18 December 2008. Recommendation: That Council: 1. Adopts the 2007/2008 Annual Report and 2007/2008 Supplementary State of the

Environment Report. 2. Note that the 2007/2008 Annual Financial Reports will be presented to Council for

consideration at the meeting on 18 December 2008.


C82 ELECTION FUNDING DISCLOSURES BY COUNCILLORS

Purpose: To ensure that all councillors have acknowledged that they have received correspondence from the Election Funding Authority, dated the 22 October 2008, and that they are aware of their obligations under the Election Funding and Disclosure Act 1981 Description of Item: On the 22 October 2008, the Acting Director, Funding and Disclosure, Election Funding Authority, wrote to each Councillor and Mayor, advising them of their obligations under the Election and Funding Disclosure Act 1981 (the Act), with respect to bi-annual reporting conditions. The Chair of the Authority also wrote to Council to inform the General Manager of the fact that letters had been sent to each councillor, and provided the General Manager with a copy of the letter. The Chair of the Authority recommended that this item be brought to a meeting of Council to ensure that all councillors have acknowledged that they have received the correspondence and that they are aware of their obligations under the Act. Statutory Requirements: Part 6, Division 2 of the Act sets out the requirements for disclosure. Section 96H of the Act sets out penalties that may be imposed for breaches of disclosure requirements. Issues: The purpose of these provisions is to ensure transparency and accountability in legislative requirements for local government and in its decision making processes. The obligations upon Councillors, are as much a protection for them as it is for the community in the review of Council’s decisions, and one of the important mechanisms in enhancing public confidence in local administration. It is noted that General Managers have no obligation regarding the administration of the aforementioned provisions, and that the Authority recommends that General Managers should not undertake to submit declarations to the Authority on behalf of Councillors. Recommendation:

1. That each Councillor acknowledges in this meeting of Council that they have received the correspondence addressed to them individually from the Election Funding Authority, dated the 22 October 2008.

2. That each Councillor acknowledges in this meeting of Council that they are aware

of their obligations under the Election Funding and Disclosure Act 1981. Craig Milburn Director Corporate Business

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Attachments:

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c78 quarterly budget review for september 2008 · 11/20/2008 · corporate business committee 20...

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