annual report 2017 - home | city of greater bendigo report_a4 single...management system • council...

ANNUAL REPORT2016 2017

INTRODUCTION

CONTENTS

Introduction 4Greater Bendigo profile 4Snapshot of Council 5Demographic profile 6

The year in review 7Highlights of the year 8Challenges and future outlook 15Message from the Mayor and Chief Executive Officer 16Financial summary 18 Description of operations 20

Our Council 22Current councillors 22Retiring councillors 24

Our people 25Organisation structure 26City staff 27Equal employment opportunity 28 Other staff matters 29

Our performance 30Planning and accountability framework 30Council Plan 31Performance 31Theme 1: Leadership and Good Governance 32Theme 2: Planning for Growth 40Theme 3: Presentation and Vibrancy 47Theme 4: Productivity 57Theme 5: Sustainability 60

Governance, management and other information 32Governance 66Management 70Governance and management checklist 71Statutory Information 74Glossary 78

Financial statements 2016/2017 80

ACKNOWLEDGMENT OF COUNTRY The City of Greater Bendigo is on both Dja Dja Wurrung and Taungurung Country whose ancestors and their descendants are the traditional owners of this Country.

We acknowledge that they have been custodians for many centuries and continue to perform age old ceremonies of celebration, initiation and renewal.

We acknowledge their living culture and their unique role in the life of this region.

WELCOME TO THE ANNUAL REPORT FOR 2016/2017Council is committed to transparent reporting and accountability to the community, and the Annual Report for 2016/2017 is the primary means of advising the City of Greater Bendigo community about Council’s operations and performance during the financial year.

GREATER BENDIGO PROFILE

The City of Greater Bendigo is located in the centre of Victoria, covering almost 3,000 square kilometres.

Greater Bendigo is a vibrant, creative and culturally enriched major regional centre for northern Victoria and southern NSW, and has the third largest urban area in Victoria.

It also includes productive agricultural areas and many small towns and villages such as Heathcote, Axedale, Huntly, Marong, Elmore, Goornong, Kamarooka, Lockwood, Neilborough, Sebastian, Woodvale, Raywood, Mia Mia and Redesdale, which are renowned for their strong sense of community and lifestyle.

The local population is continuing to grow and is becoming increasingly culturally, religiously and ethnically diverse. Council is committed to Greater Bendigo being a community that understands and respects cultural and religious differences, supports multiculturalism and actively promotes cultural inclusion.

4

INTRODUCTION

5Annual Report 2016/2017

SNAPSHOT OF COUNCIL

The City of Greater Bendigo (the City) has nine councillors across three wards.

Lockwood Ward

Localities include: Big Hill, Golden Gully, Golden Square, Harcourt North, Kangaroo Flat, Leichardt, Lockwood, Lockwood South, Maiden Gully, Mandurang, Mandurang South, Marong, Myers Flat, Quarry Hill, Ravenswood, Sailors Gully, Sedgwick, Shelbourne, Spring Gully, West Bendigo, Wilsons Hill.

Whipstick Ward

Localities include: Ascot, Avonmore, Bagshot, Bagshot North, Barnadown, Bendigo, California Gully, Drummartin, Eaglehawk, Eaglehawk North, East Bendigo, Elmore, Epsom, Fosterville, Goornong, Hunter, Huntly, Huntly North, Ironbark, Jackass Flat, Kamarooka, Long Gully, Neilborough, North Bendigo, Raywood, Sebastian, Wellsford, Whipstick, White Hills, Woodvale.

Eppalock Ward

Localities include: Argyle, Axe Creek, Axedale, Bendigo, Costerfield, Derrinal, East Bendigo, Emu Creek, Eppalock, Flora Hill, Heathcote, Junortoun, Kennington, Kimbolton, Knowsley, Ladys Pass, Longlea, Lyal, Mia Mia, Mount Camel, Myrtle Creek, Redcastle, Redesdale, Strathdale, Strathfieldsaye, Tooleen.

WHIPSTICK WARD

EPPALOCK WARD

LOCKWOOD WARD

Redesdale

Axedale

Heathcote

Mia Mia

Costerfield

Goornong

Elmore

Mandurang

Huntly

Myers Flat

Raywood

Neilborough

Sebastian

Lockwood

Ravenswood

MaidenGully

Marong

Flora Hill

KangarooFlat

Golden Square

Eaglehawk

Epsom

Bendigo

Strathfieldsaye

DEMOGRAPHIC PROFILE

• Bendigo has an estimated population of 111,783 people (as at June 30, 2016)

• More than 23.9% of the population are aged 60 years and over (ABS 2016)

• About 16,000 people currently live in the City’s rural communities, which is about one-in-seven of the entire residential population

• 8% of the population were born overseas, compared to the Victorian average of 28.3%

• 26.7% of households rent

• 85% of residents live in urban Bendigo

• The Greater Bendigo SEIFA score of 983 (index of inequalities) is lower than the Victorian average of 1,010

• 47.3% of people have no formal qualifications

• 26.3% of people live on their own

• 23.1% of residents volunteer

• Compared to regional Victoria, Greater Bendigo has:

- A larger percentage of persons aged 20-24 (6.9% compared to 5.5%)

- A smaller percentage of persons aged 65-69 (5.7% compared to 6.6%)

• 19.2% of residents are aged under 15 years

• Number of young people (25-34 years) in the workforce – 7,077 residents or 18.7% of workforce

• 76.8% of the City's resident workers were employed locally

• The median weekly household income in Greater Bendigo is $1,184 compared to $1,419 for Victoria

• Median house price - $325,000

85% of Greater Bendigo residents live in urban Bendigo

6

THE YEAR IN REVIEW

THE YEAR IN REVIEW


47,703tonnes of garbage, recycling and organics collected from kerbside bins

39,638people attended 213 performances at Ulumbarra Theatre

9,885immunisations administered

41,000trees, shrubs and grasses planted

38,548library members

1,117planning permits issued

47,796residential properties

1,287health inspections of food businesses

68,956hours of personal, respite and general home care provided

17,892registered dogs

142,541visitors to the Bendigo Art Gallery

18kmnew roads constructed

HIGHLIGHTS OF THE YEAR

July• The Bendigo Art Gallery won the

Victoria Day Award for the Arts

• The City's Citizens’ Jury sat for the first time to consider “What should Council spend our money on to shape the community’s future?”

• A $246,000 project to upgrade the lighting at the Wade Street Oval, Golden Square to training standard commenced

• Work commenced on a $150,000 upgrade to the Elmore tennis courts

• Council adopted the Domestic Animal Management Plan 2016-2021. The plan recommends the creation of new dog parks in Kangaroo Flat and California Gully

• Work commenced on a $350,000 upgrade to Kennington Recreation Reserve tennis/netball courts

• The delivery of alomst 40,000 new organics bins commenced to households in the urban Bendigo and Marong areas as part of the City’s new organics collection service

• The City’s Economic Development unit launched a new publication called Made in Bendigo to showcase the region’s manufacturing and mining sectors

8


August• The Rosalind Park Recreation Reserve

Precinct Master Plan and Management Framework 2014 received an Australian Institute of Landscape Architecture (Victoria) Award

• An exhibition celebrating the sensational fashions created by Jenny Kee and Linda Jackson at their Flamingo Park Frock Salon in Sydney opened at the Bendigo Visitor Centre’s Living Arts Space

THE YEAR IN REVIEW

• Renowned Australian fashion designer Toni Maticevski’s Maticevski: Dark Wonderland exhibition opened at Bendigo Art Gallery

• The final report on the implementation of the City's Independent Review was completed

• The City launched its newly established Disability and Inclusion Reference Committee

• The Minister for Planning approved an amendment

to the Greater Bendigo Planning Scheme to enable the implementation of the Eaglehawk Structure Plan

• Work began to upgrade and extend the Spring Gully Soccer Pavilion

• Council endorsed a Cultural Diversity and Inclusion Plan, the Greater Bendigo Housing Strategy, the Rural Communities Strategy and the Greater Bendigo Environment Strategy

10

September• The City made vertical wall space

available at the McIvor Road Skate Park for local artists to display their work as part of a 12 month trial

• The City’s new organics collection began for almost 40,000 residents in Bendigo and Marong

• The City allocated $185,131 to 54 community groups through Round 1 of the 2016/2017 Community Grants

• A new art installation called Imagine.Wonder.Full was presented in the Rosalind Park Conservatory as part of the annual children’s Art in the Conservatory program

• The City was announced as a finalist in the Government category for the 2016 Premier’s Sustainability Awards for the Lighting the Regions partnership program

October• Over 60 local residents, groups and

organisations contributed ideas to the City's Epsom, Ascot, Huntly Floodplain Management Study

• Work commenced on the construction of a new roundabout at the intersection of Chum and Booth Streets in Golden Square. This was the first of three new roundabouts to be constructed along Chum and Barnard Streets

• Hundreds of local children and families enjoyed a day of entertainment as part of FunLoong Fun Day in Hargreaves Mall

• Local businesses and freight operators were invited to take part in a study of Bendigo’s freight sector

• 2016 Council elections were held

• The restored Vahland drinking fountain was unveiled at the intersection of Bull Street and Pall Mall

• The City hosted a reception at the Bendigo Town Hall to recognise the 13 Greater Bendigo residents who received an Australian Honour during 2015 and 2016 and the nine residents who received an Australian Services Medal since 2007


November• Cr Margaret O’Rourke was elected

Mayor and Cr Rod Fyffe became the first Deputy Mayor

• Bendigo took out three major awards at the 2016 RACV Victorian Tourism Awards. The City took out the Destination Marketing category while Masons of Bendigo won the Restaurant and Catering category and Bendigo Tramways won the Cultural Tourism category for the third year in a row

• The Bendigo Livestock Exchange commenced work to prepare for the introduction of the State Government-legislated new sheep and goat electronic identification program

• The City held its fifth and final citizenship ceremony for 2016, which brought the total number of new Australian citizens in Greater Bendigo to 282 for the year

• Bendigo Airport was Highly Commended in the ‘Airport Innovation and Excellence’ category at the Australian Airports Association Airport Industry Awards

• New data on the State Government’s ‘Know Your Council’ website shows the City performed well in 2015/2016

• Bendigo hosted Australia’s first Cycling Innovation Showcase and launched CyclePort – the world’s most sophisticated bike fleet management system

• Council approved the development of Plan Greater Bendigo, a first-of-a-kind plan for a regional city that will shape the future development of the municipality

December• A series of five new art works were

unveiled at the multi-storey car park end of Chancery Lane

• Research that used labelling and signage to promote healthier food choices in Bendigo supermarkets won the 2016 VicHealth Promoting Healthy Eating Award

• Summer in the Parks commenced with the Lighting of the Christmas Tree family event in Rosalind Park

• Construction started on the $6M Bendigo Tennis Centre redevelopment

• For the first time Bendigo became the most searched regional area in Australia by Australians on the world’s largest travel site tripadvisor ®

• In 2016, more than 3,100 students and teachers from 38 different schools from throughout regional Victoria benefitted from the Bendigo Arts Access program, which is designed to assist students, disadvantaged groups and young people in rural areas to make the most of Bendigo’s arts and cultural performances and exhibitions

• The City supported the Community Christmas Lunch at the All Seasons Conservatory on Christmas Day and presented two New Year’s Eve firework displays to celebrate the start of 2017

THE YEAR IN REVIEW

January• The City in partnership with Huntly

community groups held a free family fun day in Huntly

• The City held a Garden Party at Dudley House to bring the creative community together to celebrate the start of the 2017 creative calendar

• Volunteer Garth Keech and activist Khayshie Tilak Ramesh are named as the 2017 Greater Bendigo Citizen and Young Citizen of the Year

• Residents celebrate at Australia Day activities and ceremonies at Lake Weeroona, Axedale, Eaglehawk,

Huntly, Strathfieldsaye, Maiden Gully, Mia Mia, Heathcote, Elmore, Junortoun, Kangaroo Flat, Golden Square and Goornong

• Residents were encouraged to have their say on the future of Bendigo’s public spaces at a series of listening posts throughout Greater Bendigo as part of the development of the Public Space Plan Conceptual 50 year vision

12

February • The City launched a new 2017

Bendigo & Heathcote Region Official Visitor Guide and the Bendigo Dining & Shopping Guide

• The City's Tourism unit won a bronze award for Destination Marketing at the Qantas Australian Tourism Awards in Darwin

• The City successfully undertook a $299,000 rehabilitation of Olympic Parade between Mackenzie Street West and Mockridge Drive using a new foam bitumen stabilisation construction method saving both time and money

• Mayor Cr Margaret O’Rourke and Cr James Williams were part of a delegation that travelled to China

• Mayor Cr Margaret O’Rourke was appointed to the 2017 Local Government Mayoral Advisory Panel. This was the first time in four years the Council had been represented on the panel

• Council adopted the first Urban Design Framework to guide future development of the Strathfieldsaye township

• The City supported National Youth Week by working with young people’s groups to organise an extensive calendar of events

March• Bendigo Art Gallery celebrated

130 years with an exhibition that explored the gallery’s vast collection called Collective vision: 130 years

• The City trialled an Envirosonic ultrasound wave algae control system in Kennington Reservoir to combat the recurrence of blue green algae

• Greater Bendigo residents helped clean up nine local sites on Clean Up Australia Day

• Bendigo hosted it’s first-ever Our Choice Expo aimed at increasing community inclusion for people with a disability and their carers

• To celebrate National Playgroup Week, the City and community organisations hosted a family fun day in Long Gully

• Ten Eaglehawk businesses signed up to improve their accessibility for people with a disability as part of the Inclusive Towns project

April• The City engaged a waterway

management and maintenance specialist company to remove an infestation of curly pondweed in Lake Weeroona

• Bendigo Art Gallery presented the renowned art installation House of Mirrors – the hit of Hobart’s 2016 Dark Mofo event - in Rosalind Park

• Construction started on the new $2.7M Strathfieldsaye Early Learning Hub

• The 2017 Bendigo Easter Festival was an outstanding success with thousands of people taking advantage of all the activities on offer

• The City called for feedback on a new 10-year Public Toilet Strategy. The strategy is designed to provide Council with clear recommendations about where and how future investment in public toilet facilities should be made

• Work commenced on the new $4.6M, two hectare Garden for the Future at Bendigo Botanic Gardens, White Hills

• A new $2.2M Canterbury Park community pavilion in Eaglehawk was completed

THE YEAR IN REVIEW


May• The City began trialling a new

online parking payment system to allow residents to more easily pay for their parking

• A bold new public art work to bring both colour and life to the Bath Lane shopping precinct was installed

• As part of National Volunteer Week, the City held functions to thank the more than 500 people who volunteer with the organisation

• Work began on the $4.5M RSL Soldiers Memorial Institute revitalisation project

• The $15M redevelopment of the Bendigo Airport is officially opened

• The City trialled a new, smart waste compacting bin called a Clean Cube at Lake Weeroona as part of its ongoing commitment to improve the efficiency of waste services

• Work commenced to construct a new three span bridge over the Bendigo Creek floodway in Scott Street, White Hills

• The talent of young local artists aged nine to 25 was recognised through the City’s 2017 Raw Arts Awards and Exhibition

• The Bendigo Livestock Exchange in Wallenjoe Road, Huntly celebrated its 20 year anniversary

June• The City and Bendigo Bank Central

(formerly Fountain Court) joined forces to establish a permanent art space called Exhibit B

• The City celebrated NAIDOC Week with a special flag raising ceremony

• The City completes a $100,000 refurbishment of Flora Hill’s Summit Drive Play Space

• Greater Bendigo recorded improvements across all performance measures in the annual Local Government Community Satisfaction Survey

• Central Australian artist Margaret Loy Pula won the 2017 Arthur Guy Memorial Painting Prize for her 2016 work Anatye (bush potato)

• The City installed 21 new parking machines with credit card facilities

• A campaign to raise $300,000 to investigate the viability of developing a dementia village in Heathcote was launched

• The City celebrated 100 years of Maternal and Child Health Services in Victoria with a special celebration at the Bendigo Library

• Council formally adopted the 2017-2021 Community Plan to guide its work over the next four years

• Work was undertaken to remove vegetation from two islands at Lake Weeroona to discourage Ibis from nesting on the islands during the breeding season

14


CHALLENGES AND FUTURE OUTLOOK

Challenges and opportunities• There is significant inequality in

health status and access to life opportunities between geographic areas across Greater Bendigo

• Declining State Government funding in key service areas such as maternal and child health, libraries and immunisation

• Reducing the amount of waste going to landfill to reduce costs and environmental impact, and encouraging better management of the community’s waste

• Poor access to fast digital communications technology remains a barrier to many businesses and residents. Taking advantage of the opportunities provided by the NBN and online services will be important for Council and the community

• The long-term impacts of the rate-capping legislation imposed by the Victorian Government, and ensuring the organisation is able to deliver contemporary services to a growing community

• Ensuring Council is able to manage additional responsibilities such as levee banks and management of facilities on Crown Land in a financially responsible way

The future • Ensuring sufficient growth and

diversity in housing availability

• Completing major infrastructure projects such as the Bendigo Stadium expansion and new indoor aquatic and wellbeing centre

• Building and maintaining a diverse and innovative economy to ensure economic sustainability

• Sustaining our thriving arts, culture and tourism industries

• Investigating the viability of a ‘gov hub’ for Bendigo and advocating for decentralisation of government services and agencies

• Supporting businesses that attract visitors, residents and workers, especially in emerging industries and new technologies

• Keeping Council assets and infrastructure in good repair and fit for purpose

• Building and maintaining essential infrastructure - footpaths, open space, drainage and roads - to keep up with population growth

• Continuing to deliver high quality services and infrastructure to meet the needs of a growing and more diverse community

THE YEAR IN REVIEW

16

MESSAGE FROM THE MAYOR AND CHIEF EXECUTIVE OFFICER

Welcome to the City of Greater Bendigo 2016/2017 Annual Report.

This report details how the Council and the organisation worked together to deliver a range of services, major projects and other initiatives to enhance the liveability of the Greater Bendigo community.

The 2016/2017 financial year was the first for the Local Government sector operating in a rate capping environment, so the completion of the Independent Review of the City was timely.

The review was undertaken in 2013 to see what improvements could be made to the City’s operations and included 69 recommendations. The process created a more efficient and responsive, better governed organisation equipped to engage with and meet the needs of its growing community. The review identified approximately $4.2M in savings for the four years to June 30, 2017 and assisted in removing $3.67M of items from the 2016/2017 Budget. It also introduced a Service Review Program to reach all parts of the organisation, a new framework for evaluating, prioritising and funding capital works, and a new Personnel Evaluation System to track, benchmark and continuously improve the performance and output of directorates, units and individuals.

Following the successful trial of an organics waste collection service, the City rolled out the service to almost 40,000 households in Bendigo and Marong in September. Each household

received a lime-green lidded bin, kitchen caddy and caddy liners.

The service diverts organic

waste (cooked and uncooked food, bones, tea bags, coffee grounds, paper towel, tissues and green waste) from landfill to be recycled into useable compost. The service is on track to collect 12,000 tonnes of organic waste in the first 12 months of operation.

Prior to the completion of the 2012-2016 Council term, Council endorsed major strategies to guide the future development of the municipality. The City’s first Cultural Diversity and Inclusion Plan aims to support our community to respect cultural and religious differences, the Bendigo Housing Strategy establishes a framework for how the municipality will grow in the future, the Rural Communities Strategy aims to increase support for Bendigo’s rural communities, and the Greater Bendigo Environment Strategy is based on the internationally-recognised One Planet format and aims to provide the local community with clean air, water and a healthy natural environment.

The City’s first Citizens’ Jury process was completed in October, when it handed down a report making 44

THE YEAR IN REVIEW

recommendations across a range of policy areas. The report was informed by hearing from a range of local organisations, community groups and residents, and influenced the development of the 2017-2021 Community Plan.

A new Council was sworn-in in November. For the first time in Greater Bendigo’s history there was a majority of women elected. Council also elected its first Deputy Mayor, Cr Rod Fyffe. Council adopted a new vision Greater Bendigo – creating the world’s most liveable community and changed the name of the Council Plan to the Community Plan to better reflect the purpose and key focus of the plan. The plan is guided by six overarching goals: Lead and govern for all; Wellbeing and fairness; Strengthening the economy; Presentation and managing growth; Environmental sustainability; Embracing our culture and heritage.

The organisation also welcomed three new directors, following the first stage of a two-stage restructure process. The organisation went from five directorates to four and then commenced refining the structure of each directorate. The new

structure was designed to ensure the organisation could continue to make an important contribution at a local and regional level, and ensure it could deliver on the objectives set by the Council in the new Community Plan.

We learnt that community satisfaction is on the rise and it was very pleasing to record improvements across all performance measures in the annual Local Government Community Satisfaction Survey, which surveyed 400 people over February and March.

Thorough, meaningful and accessible community engagement has been an objective of the new Council, which has re-evaluated how it reaches the community and placed an emphasis on going ‘to the people’ by making use of events where residents are already gathering. In particular, visiting rural communities has been a key focus.

The City also commenced preparation of Plan Greater Bendigo, a first-of-a-kind plan for a regional city that will shape the future development of our municipality. It aims to support a local population of 200,000 and a regional population of 300,000 by 2050. When complete, the plan will deliver a list of top infrastructure projects that will

benefit our municipality and wider region for many years to come. This work is ongoing and we are working with the community to do this.

In regards to Greater Bendigo’s role in developing important regional infrastructure, a key highlight was the official opening of stage two of the Bendigo Airport redevelopment, which delivered a new 1,600m runway and associated taxiways, signage, lighting and fencing infrastructure. This was a project more than a decade in the making and was funded by Local, State and Federal Governments.

Together, we are proud of the achievements recorded in the 2016/2017 financial year and thank current and former councillors and staff for their contribution to shaping our wonderful region.

We hope you enjoy reading the Annual Report.

Mayor Cr Margaret O’Rourke Chief Executive Officer Craig Niemann


1818

FINANCIAL SUMMARY

Financial summary Council’s financial position continues to remain sound. Detailed information relating to Council’s financial performance is included throughout the Annual Report, but also in the Financial Statements and Performance Statement sections of this report.

Operating position Council achieved a surplus of $50.18M in 2016/2017. This surplus is higher than the prior year surplus of $41.49M. The main reason for the increase is due to non-monetary contributions to capital and grants received in advance in the 2016/2017 financial year.

The adjusted underlying surplus of Council for the year, after removing nonrecurring capital grants, cash capital contributions and non-monetary capital contributions, is a deficit of $8.07M or -4.28 per cent when compared to adjusted underlying revenue. This compares unfavourably to the target of >0 per cent. In the current year, the underlying result has been impacted by Landfill operations experiencing higher expenditure than budgeted due to EPA costs and the recognition of landfill provision at the Eaglehawk and White Hills sites. Regaining and sustaining a position of adjusted underlying surplus is a critical part of Council's financial strategy. This will enable renewal where appropriate of the $1.53B of community assets under Council’s control.

LiquidityCash has increased by $14.8M from the prior year, mainly due to the timing of receiving additional grant funding in June, and borrowings to ensure available funds for ongoing works on capital projects that are due to be completed in 2017/2018. A large percentage of the cash balance at 30 June 2017 has some form of restriction or future allocation applied to it. The working capital ratio, which assesses Council’s ability to meet current commitments, is calculated by measuring current assets as a percentage of current liabilities. Council’s result of 236.56 per cent is an indicator of a satisfactory financial position and within the expected target band of being greater than 150 per cent.

ObligationsCouncil aims to ensure that it is able to maintain its infrastructure assets at the expected levels, while at the same time continuing to deliver the services needed by the community. To bridge the infrastructure gap, Council invested $29.47M in renewal works during the 2016/2017 year. At June 30, 2017 Council’s debt ratio, which is measured by comparing interest bearing loans and borrowings to rate revenue was 47.6 per cent. Council’s asset renewal ratio, which is measured by comparing asset renewal expenditure to depreciation, was 94.4 per cent and is below the expected target of 100 per cent. While not meeting this target for renewals,

Council spent an additional $9.13M on upgrade and expansion works. Whilst currently close to targets, it is anticipated there will be future pressure on asset renewals and service capability in future years due to cost shifting, the methodology used in setting the rate cap and the growing needs of a regional city.

2013/2014 2014/2015 2015/2016 2016/20170.00%

-1.00%

-2.00%

-3.00%

-4.00%

-5.00%

-6.00%

-7.00%

Adju

sted

und

erly

ing

resu

lt ra

tio %

Loan

s and

bor

row

ing

ratio

%

2013/2014 2014/2015 2015/2016 2016/2017

50.0%

45.0%

40.0%

35.0%

30.0%

25.0%

20.0%

15.0%

10.0%

5.0%

0.0%

THE YEAR IN REVIEW


Stability and efficiencyCouncil raises revenue from a wide range of sources including rates, user fees, fines, grants and contributions. Council’s rates concentration, which compares rate revenue to adjusted underlying revenue, was 66 per cent for the 2016/2017 year, within the expected target band of 40-80 per cent. This resulted in an average residential rate per residential assessment of $1,637.27.

300%

250%

200%

150%

100%

50%

0%

Wor

king

Cap

ital r

atio

%

2013/2014 2014/2015 2015/2016 2016/2017

Asse

t Ren

ewal

ratio

%

2013/2014 2014/2015 2015/2016 2016/2017

100%

80%

60%

40%

20%

0%

70%

65%

60%

55%

50%Rate

s Con

cent

ratio

n ra

tio %

2013/2014 2014/2015 2015/2016 2016/2017

20

DESCRIPTION OF OPERATIONS

The City is responsible for a number of services, including family and children’s services, traffic regulation, open space, youth facilities, waste management and community building, and matters concerning business development, planning for appropriate development and ensuring accountability for Council’s Budget. This broad range of community services and infrastructure for residents supports the wellbeing and prosperity of our community. This Annual Report for 2016/2017 aligns to the Council Plan 2014-2017. Council’s future vision, strategic objectives and strategies to further improve services and facilities are described in the Community Plan 2017-2021.

Refer to the section on Our Performance for more information about specific Council services. The delivery of services, facilities, support and advocacy to achieve the Strategic Objectives is measured by a set of service performance indicators and measures. Council also has a wide range of responsibilities under State and Federal Government legislation.

Economic factorsThe 2016/2017 Budget was the first budget under the State Government’s ‘Fair Go Rates’ System. The rate cap for 2016/2017 was 2.5 per cent, which has been followed by a cap of 2 per cent for 2017/2018. Council’s program of service reviews continues, alongside the continuation of a larger than usual 2016/2017 capital works program.

Major capital worksDuring the 2016/2017 financial year, major capital works included:

Greater Bendigo Indoor Aquatic and Wellbeing Centre at Kangaroo Flat

Construction on the $31M Greater Bendigo Indoor Aquatic and Wellbeing Centre began in July 2016. When complete, the facility will be accessible year round for people of all ages and abilities and will feature:

• 51.5m, eight-lane swimming pool• Indoor splash play area• Learn to swim pool• Hydrotherapy pool• Wellness centre• Spa and sauna• Gymnasium• Multipurpose rooms and café

Bendigo Stadium expansion

Construction on this $16.5M redevelopment began in 2016 and will set a benchmark for high quality indoor and outdoor sporting and events facilities, including:

• An indoor three court/show court expansion catering for up to 4,000 spectators

• Kiosk/kitchen/bar

• Change rooms and court facilities • Retail and administrative areas • 12 netball courts • Improved public access to

amenities • Meeting rooms • Crèche • Car parking

Garden for the Future, Bendigo Botanic Gardens, White Hills

Work on the new $4.6M, two hectare Garden for the Future at Bendigo Botanic Gardens, White Hills began in April 2017.

The new garden will include: • A stage and grassed amphitheatre

for outdoor performances and cinema

• New toilet facilities• A number of semi-intimate

gathering spaces for weddings and corporate functions

• A promenade that can be used for markets and other events

THE YEAR IN REVIEW

Major changesA major change in 2016/2017 was the election of a new Council in October 2016. Seven new councillors were elected and two councillors from the previous Council were re-elected. During 2016/2017, the new Council undertook comprehensive planning and community engagement to develop a new Community Plan 2017-2021 (formerly the Council Plan) and then develop the first budget for 2017/2018.

During 2016/2017, the City also implemented a new organisation structure and went from five directorates to four. The directorates are Strategy and Growth, Health and Wellbeing, Presentation and Assets and Corporate Performance. The

new structure is designed to make the organisation more responsive to community needs and best support the new Council.

The City also successfully rolled out the new organics collection service to urban Bendigo and Marong following a successful trial in 2015/2016. This is the biggest change to waste services in Greater Bendigo for 30 years.

Major achievementsCompletion of the Bendigo Airport redevelopment has been a substantial achievement of the 2016/2017 year. The $15M redevelopment has delivered a new 1,600m ‘Class 3C’ runway and associated taxiway, lighting, signage and fencing

infrastructure. Savings identified across the life of the project meant an additional taxiway at the southern end of the runway and additional boundary fencing were also able to be delivered.

The airport can now welcome aircraft carrying up to 70 passengers or weighing up to 30 tonne. The $15M project was jointly funded by the City ($5.3M), the State Government ($4.7M) and the Federal Government ($5M). This project builds on previous work delivered in 2014, including the development of 25 new aviation hangar sites, three new taxiways, improved road access and the installation of critical drainage infrastructure.


22

Mayor Cr Margaret O’Rourke

T 4408 6692 M 0429 061 096 E [email protected]

Date elected: October 22, 2016

Cr Margaret O’Rourke is an accomplished business woman with extensive leadership experience.

She is a former manager of Telstra Countrywide and is currently a Deputy Director at the Bendigo Kangan Institute and Director at Goulburn Murray Water and Bendigo Health Care Group.

Cr O’Rourke was elected to Council on the platform of developing a strong and prosperous future for Greater Bendigo that encourages industry and job development. She also has a strong interest in supporting regional and rural communities.

Cr George Flack



Cr George Flack was elected to Council in 2016 and is a first-time councillor. He is a qualified accountant and Certified Financial Planner with 45 years’ experience.

He is a Life Member of the following organisations: Marist Brass Band, Athletics Bendigo, Bendigo Athletic Club, Central Victoria District 15 Swimming Association, Bendigo Fire Brigade and CFA Victoria.

Cr Flack is passionate about athletics and continues to compete actively in track and cross country events. He is also a junior leader with the Bendigo Fire Brigade and plays the trombone with the Marist Brass Band.

Cr Yvonne Wrigglesworth



Cr Yvonne Wrigglesworth lives in Axedale and has more than 15 years’ experience in health care management.

Cr Wrigglesworth was inspired to run for Council after she participated in the Loddon Murray Community Leadership Program and learnt about the importance of equipping people with the skills to identify and deliver initiatives that build and strengthen communities.

She is particularly interested in the areas of active transport, economic development and tourism, and supporting rural communities.

CURRENT COUNCILLORS

OUR COUNCILIn October 2016, Council elections were held across Victoria. A new Greater Bendigo City Council was elected, which was made up of seven first-time councillors and two returning councillors. The remaining seven councillors from the previous Council retired.

Greater Bendigo is divided into three wards, each with rural areas, small towns and parts of urban Bendigo. Each ward is represented by three councillors. They have responsibility for setting the strategic direction for the municipality, policy development, identifying service standards and monitoring performance across the organisation.

Eppalock Ward

OUR COUNCIL


Councillor emails, like other correspondence, are the property of the City and may be referred to a staff member for action. As with any correspondence, if you would like emails to be kept private and confidential please place ‘private and confidential’ in the subject line.

Cr Andrea Metcalf



Cr Andrea Metcalf is excited to represent the Whipstick Ward as a first-time councillor.

She is a lifelong resident of Bendigo and has been a long-time observer of Local Government and its practices and procedures, which inspired her to run for Council.

She is interested in the areas of waste management and supporting rural communities to achieve their long-held goals.

Cr James Williams


Date elected: first elected in 2012

Cr James Williams was first elected to Council in 2012. Prior to amalgamation he was a councillor with the Shire of Huntly.

He is a retired farmer and has completed the Diploma of Local Government and is a graduate of the Institute of Company Directors.

Cr Williams’ areas of interest include advocating for improved road and rail infrastructure and support for rural communities.

Cr Julie Hoskin



Cr Julie Hoskin has lived in Bendigo for 53 years and is a former business owner who has worked in a number of sectors including Local Government, hospitality, corporate security/major events and as an advocate for residents’ rights.

Cr Hoskin is focused on achieving positive and meaningful engagement with the community to facilitate the best outcomes at a Council level for residents and ratepayers.

Her interests include social justice, politics, building, planning, heritage preservation and more.

Deputy Mayor Cr Rod Fyffe OAM


Date elected: first elected 1996

Cr Rod Fyffe has been a councillor with the Greater Bendigo City Council since 1996, when he was first elected to represent the Fortuna Ward. Prior to amalgamation he was a member of the City of Bendigo Council.

He has served four terms as Mayor and in 2013 was awarded an Order of Australia for his services to Local Government.

Cr Fyffe currently serves as a Council representative on a range of committees, including the Municipal Association of Victoria, Bendigo Easter Festival and Goldfields Library Corporation.

Cr Jennifer Alden



Cr Jennifer Alden is a first-time councillor who has built a career specialising in health, environmental and social outcomes.

She has a Doctorate of Public Health and her interests include health and wellbeing, food security, diversity, inclusion and inequalities, sustainability and preventing violence against women.

Cr Alden is Chair of the Bendigo Regional Food Alliance, on the Board of Bendigo Foodshare and The Green Institute, and a is member of the Public Health Association of Australia.

Cr Matt Emond



Cr Matt Emond was elected to Council in 2016.

He grew up in Bendigo and trained as a primary school teacher at La Trobe University. He then went on to obtain his Executive Master of Arts.

In recent years he has guided the development of key policies to support the growth of Australia’s creative industries.

Cr Emond is interested in the areas of economic development, rural communities, community services, the environment and the arts.

Whipstick Ward

Lockwood Ward

24

Cr Elise Chapman Lockwood Ward


Cr Barry Lyons Lockwood Ward


Cr Rod Campbell Eppalock Ward


Cr Helen Leach Eppalock Ward


Cr Mark Weragoda Eppalock Ward


Cr Lisa Ruffell Whipstick Ward


Cr Peter Cox Whipstick Ward


RETIRING COUNCILLORS

OUR PEOPLECouncil appoints a Chief Executive Officer who is responsible for the day to day management of operations in accordance with the strategic directions of the Community Plan. The CEO and four directors make up the Executive Management Team.

Craig Niemann, CEOBachelor of Business (Local Government) and a Master of Business Administration

Craig joined the City in October 2005. Prior to joining the City, Craig was the CEO of the Shire of Loddon (1997-2005).

He has more than 30 years’ experience working in the Local Government sector. Craig has also served on the board of North Central Regional Goldfields Library for 10 years and been a board member of the Inglewood and District Health Service for more than 10 years.

Kerryn Ellis, Director Corporate PerformanceBachelor of Arts, Master of Commerce, Graduate Diploma of Public Policy and Management

Kerryn is a passionate Local Government leader with extensive experience, who understands the changing environment and external pressures currently facing the sector. Before joining the City, Kerryn was the Governance and Innovation Manager at Knox City Council and has previously worked for the City of Melbourne and Bayside City Council.

Vicky Mason, Director Health and WellbeingMaster of Public Health, Master of Business

Vicky has a strong health and Local Government background and joins the City from Mount Alexander Shire. Her previous roles include Community Development Director at Warrnambool City Council, Health Development Unit Assistant Director at the Department of Health, and Chief Executive Officer at the Darebin Community Health Service and Nillumbik Community Health Service.

Bernie O’Sullivan, Director Strategy and GrowthBachelor of Agricultural Science, Master of Public Affairs

Bernie has had extensive experience working for the Department of Environment, Land, Water and Planning (and its predecessors) leading the Department’s state-wide regional operations. Prior to working for the Department, he held senior executive roles with the Royal Agricultural Society of New South Wales, a livestock peak industry body in Canberra and the New South Wales Farmers’ Association.

Craig Lloyd, Director Presentation and AssetsMaster of Project Management, Master of Business Administration, Post Graduate Certificate in Community Development

Craig’s career has spanned the emergency services sector, working for the Metropolitan Fire Brigade, Rural Ambulance Victoria, and other national and international emergency services. Before joining the City he was the Executive Director Property and Assets at the Metropolitan Fire Brigade, which saw him oversee asset planning and construction, project management, fleet management, equipment and resource management, and engineering and facilities management.

The units each Director is responsible for are provided on page 26 and a description of the services provided by each unit is provided in the Our Performance section of this report (pages 30 – 65).

OUR PEOPLE


26

ORGANISATION STRUCTURE

Chief Executive OfficerCraig Niemann

Executive Services

Contract and Project Coordination

Customer Support

Finance

Information Management

People and Performance

Rating and Valuation Services

Director, Corporate Performance

Kerryn Ellis

Building and Property Services

Community Partnerships

Active and Healthy Communities

Community Services

Environmental Health and Local Laws

Parking and Animal Control

Director, Health and Wellbeing

Vicky Mason

Engineering and Public Space

Major Projects

Parks and Natural Reserves

Waste Services

Works

Director, Presentation and AssetsCraig Lloyd

Bendigo Art Gallery

Economic Development

Major Events

Statutory Planning

Strategy

Sustainable Environment

Tourism

Capital Venues and Events

Director, Strategy and Growth

Bernie O’Sullivan

OUR PEOPLE


CITY STAFF

A summary of the number of full time equivalent (FTE) staff by organisational structure and employment type

Corporate Performance

Health and Wellbeing

Presentation and Assets

Strategy and Growth

Executive Services

Total

Full Time

Female 35.00 62.00 17.00 34.00 7.00 155.00

Male 27.00 37.00 180.00 30.00 4.00 278.00

Part Time

Female 15.11 87.12 1.20 17.72 0.40 121.55

Male 0.60 14.97 2.02 4.03 0.80 22.44

Temporary - Full time

Female 7.00 13.00 8.00 5.00 1.00 34.00

Male 3.00 5.00 7.00 4.00 0.00 19.00

Temporary - Part time

Female 3.24 8.74 0.00 4.46 0.60 17.04

Male 0.70 2.00 0.00 1.20 0.00 3.90

Casual

Female 0.0010 1.0043 0.0001 0.0034 0.0000 1.0088

Male 0.0005 0.0018 0.0003 0.0021 0.0000 0.0047

Total 91.65 230.83 215.22 100.42 13.80 651.92

Full time

Female

Male

Part time

Female

Male

Temp full time

Female

Male

Temp part time

Female

Male

Casual

Female




Strategy and Growth

Executive Services

Number of staff (FTE)

0

25

50

75

100

125(180)

28

A summary of the number of full time equivalent (FTE) staff categorised by employment classification and graph below.

EQUAL EMPLOYMENT OPPORTUNITY

Respecting each other at work The City is an equal opportunity employer and is committed to providing a safe and supportive work environment that is free from discrimination, harassment, victimisation and bullying, and where all individuals associated with the organisation treat each other with respect.

The organisation outlines expected standards of behaviour and why these standards are important. Staff receive training on a three year cycle on acceptable workplace behaviour, with 310 employees receiving training.

The organisation also has a network of trained Contact Officers who provide employees with impartial support regarding inappropriate workplace behaviour and equal opportunity. Confidential and appropriate support and assistance is also available to employees who are victims of family violence. Several Contact Officers have also attended targeted training, which enables a higher level of appropriate support and/or referral to be provided to employees.

Organisational cultureThe organisation values a diverse and skilled workforce and is committed to maintaining an inclusive and collaborative workplace culture. The City does this by:

• Implementing the Reconciliation Action Plan and Cultural Diversity and Inclusion Plan

• Updating recruitment and selection documentation to encourage applications from Aboriginal and Torres Strait Islander employees, and people with a disability

• Job vacancies are actively promoted with Bendigo District Aboriginal Cooperative

• Maintaining a safe and inclusive working environment through the delivery of all staff training and targeted Working Safely training sessions, including First Aid/CPR, Asbestos Awareness, Fire Wardens, Health and Safety Representatives refreshers and Organisational Injury and Illness (Management and Early Intervention)

• Supporting employees’ cultural obligations through the inclusion of employment provisions within our Enterprise Agreement

• Building a flexible organisation by providing opportunities for flexible work arrangements that accommodate different career and life stages through the Enterprise Agreement

• Creating an equitable environment that encourages open, two-way communication between staff about responsibilities, performance, feedback and career planning, including training in how to conduct effective performance conversations and resilience and emotional intelligence

The City continues to build upon the organisational culture survey results of March 2015. This has been done by aligning key priorities with staff values and behaviours, an increased focus on customer service and corporate planning and reporting, and a range of long term strategies related to leadership, workforce development, and workplace health and wellbeing.

Female Male TotalApprentices / Band 1 16.27 4.93 21.20

Band 2 26.81 15.86 42.67

Band 3 33.00 109.72 142.73

Band 4 74.65 31.01 105.66

Band 5 53.96 42.20 96.16

Band 6 63.57 52.10 115.67

Band 7 21.08 18.80 39.88

Band 8 15.39 24.80 40.19

Registered / Immunisation Nurse

13.76 13.76

All 9.00 25.00 34.00

Total 327.50 324.42 651.92

Number of staff according to band level

150

140

120

100

80

60

40

20

0

MaleFemale

Band 2

Band 5

Band 8

Band 3

Band 6

Registered/

Immunisa

tion Nurse

All

Apprentices/

Band 1Band 4

Band 7

OUR PEOPLE


OTHER STAFF MATTERS

Values and behavioursThe City aspires to be a values-driven organisation, working together to be the best we can be for our community. The City’s values are: We Lead, We Learn, We Care, We Contribute, We Respond, We Respect. We continue to work towards integrating our values and behaviours into our day-to-day work and service provision to the community.

Professional developmentThe City provides professional development opportunities through the provision of a comprehensive corporate learning program, specialist conferences, seminars, and training and study support.

Reward and recognitionThe City is committed to recognising and rewarding the work performance and behaviours of employees who reflect, support or contribute to our vision and our values and behaviours through our Reward and Recognition program.

• Recognition of years of service

Employees are recognised for their service at the City after 10 years of continuous completed service and every five years thereafter. Employees with 20 years of service or more are recognised at an annual function.

• Staff awards

An annual function is held to recognise outstanding performance in the following categories; Go To Person Award, Delivering Quality Service Award, Lead By Example Award, Respecting Each Other Award, Quiet Achiever Award and Supporting Diversity and Inclusion Award.

• Culture Champion recognition

The Culture Champion program provides recognition for an employee’s performance, contribution, achievements or demonstration of the City’s values and behaviours in a less formal way. Employees are presented with a certificate at a function appropriate to their work unit.

OUR VALUES AND BEHAVIOURS

Working together to be the best we can for our community

1. We have a clear vision and understand our purpose2. We encourage each other to be the best we can3. We listen and think things through4. We work together to make a difference in our community

1. We talk to each other and share information and knowledge

2. We nurture ideas, creativity and innovation3. We use feedback to improve our performance4. We work together to continuously improve what we do

1. We plan and deliver quality programs, projects and services2. We help each other to make informed decisions and take

action3. We make the best use of our resources4. We work together as a team

1. We support each other2. We recognise contribution, performance and achievement3. We take responsibility for our actions4. We work together to create a safe and healthy workplace

1. We get to know our customers and understand their needs2. We do what we say we will do3. We follow our policies and procedures4. We work together to provide great service

1. We are friendly, professional and treat each other with courtesy

2. We recognise and value diverse backgrounds and perspectives

3. We gain the trust of others by acting fairly and with integrity4. We work together to create and maintain a positive culture

OUR PERFORMANCE

PLANNING AND ACCOUNTABILITY FRAMEWORK

The Planning and Accountability Framework is found in Part 6 of the Local Government Act 1989 (the Act). The Act requires councils to prepare the following planning and reporting documents:

• A Council Plan within six months after each general election or by June 30, whichever is later

• A strategic resource plan for a period of at least four years and include this in the Council Plan

• A budget for each financial year

• An annual report in respect of each financial year

The following diagram shows the relationships between the key

planning and reporting documents that make up the planning and accountability framework for the City. It also shows that there are opportunities for community and stakeholder input and feedback at each stage of the planning and reporting cycle.

Integrated Corporate Planning Framework

30

Resource and unit planning

Annual plan and budget

Community input

Government policy and regulations

Adopted strategies, policies and plans

Research and evidence

Municipal Public Health and Wellbeing Plan

Community Plan (Council Plan)

Municipal Strategic Statement (Legal Land Use Framework)

LEGISLATED PLANS

Annual Report

OUR PERFORMANCE


COUNCIL PLAN

The Council Plan 2013-2017 includes five themes, which comprise the main goal areas for Council. Each theme has a series of strategic objectives and strategies for achieving these in the four-year period. The strategies have actions that reflect the budget allocations and new initiatives for the 2016/2017 year.

The five themes and strategic objectives as detailed in the Council Plan are show in the table on the right.

In June 2017, Council adopted its new Community Plan 2017-2021, which is available on the City’s website www.bendigo.vic.gov.au

PERFORMANCE

Council’s performance for the 2016/2017 year has been reported according to each theme in the Council Plan. Performance has been measured as follows:

• The updated report for the City's Liveability Indicators (2016). The Liveability Indicators are also used as the strategic indicators

• Progress in relation to major initiatives identified in the Budget

• Results against the actions in the 2016/2017 Council Plan

• Services funded in the Budget and persons or sections of the community who benefit from these services

• Results against the prescribed service performance indicators and measures (Local Government Performance Reporting Framework)

1. Leadership and good governance

1. Council demonstrates leadership in its decisions to meet future needs and challenges

2. Long term planning and prudent financial management ensure financial sustainability

3. Lobbying and advocacy about agreed priorities place Greater Bendigo at the forefront of policy and funding considerations

4. Community members are supported to take an active part in democratic engagement

5. Continuous improvement methods are used to ensure the standard of service delivery is excellent

6. Long-term planning and staff capacity building help to develop a resilient organisation

2. Planning for growth

1. Greater Bendigo plans for the needs of our growing population through the preparation of long-term strategies and the development of 'major new assets' and supporting infrastructure

2. Greater Bendigo residents, businesses and communities are connected with accessible transport options

3. Planning ensures residents have access to diverse, affordable and sustainable housing choices

4. Effective telecommunication options connect businesses and community members

3. Presentation and vibrancy

1. High quality public space infrastructure, programs and services are planned and delivered that support the City to be Australia’s most liveable regional city

2. Diverse sporting, recreational and artistic experiences are offered for residents and visitors

3. Activities, groups and networks enable people to be connected and feel welcome

4. Greater Bendigo is a child friendly city where people report improved health and wellbeing and they can feel safe

5. Greater Bendigo is a drawcard for visitors

4. Productivity 1. Greater Bendigo has a vibrant and diverse economy that grows jobs and enables good living standards

2. Bendigo is a centre for innovation and creativity that helps build economic sustainability

3. Educational diversity and support for lifelong learning is fostered

5. Sustainability 1. The built and natural qualities that make Greater Bendigo an attractive and appealing place are valued and conserved

2. Council demonstrates leadership in reducing our environmental footprint

3. We help to build community resilience for managing the impacts of climate change

4. Council manages its resources, assets and infrastructure for the long term

32

THEME 1: LEADERSHIP AND GOOD GOVERNANCE

Strategic indicatorsThe following statement reviews the performance of Council against the strategic indicators (Liveability Indicators).

Strategic indicator/measure 2016/2017 result

Comments

Community satisfaction with lobbying to other levels of government on behalf of the community.

55 This result is six points higher than the 2015/2016 year.

The percentage of agreed major initiatives completed in agreed timeframes. (Internal measure aim for >90%)

92% Construction commenced on both the Garden for the Future at the Bendigo Botanic Gardens, White Hills and the Greater Bendigo Indoor Aquatic and Wellbeing Centre.

Increase the proportion of residents born overseas.

7% (ABS 2011) The proportion of Greater Bendigo residents born overseas remains much lower than the national average.

Increase proportion of the population who volunteer for a community group or activity more than once per month.

49.6% (Community Indicators Vic)

Greater Bendigo scores well with volunteering when compared with similar municipalities in Victoria.

Increase in municipal-wide average SEIFA index of disadvantage.

983 (ABS 2011) Greater Bendigo's score is similar to other Victorian rural centres. However, there is considerable variation in scores within the municipality.

Increase the proportion of people taking part in a public discussion. (Liveability Indicator). Measure: ‘In the last 12 months have you: i. attended a community meeting, public hearing or discussion? ii. Participated in an online discussion about political or local community issues?’

38% People are more likely to take the quickest option to have their say – sign a petition.

Improved community satisfaction with community consultation and engagement.

54 The City’s score is the same as the average for regional centres and just below the state average.

Maintain or improve community satisfaction rating for overall performance generally of the Council.

56 This is an improvement on last year’s score, however it is still just below the state-wide and regional centre averages.

Satisfaction with council decision-making in the interest of the community.

52 This is the same as the average for regional centres but below the state-wide average.

OUR PERFORMANCE


Major initiativesThe following statement reviews the progress of Council against major initiatives identified in the 2016/2017 Budget.

• Citizens Jury to inform the development of the 2017-2021 Council Plan ($58,000) - complete

Council Plan objectives and actionsThe following statement reviews Council’s performance against its 2016/2017 actions from the Council Plan.

1.1 Good governance principles are used to guide strategic decision-making

Council Plan action Progress Comments

Provide high level strategic advice to Council to enable it to meet its legislative responsibilities.

Completed Council was provided with comprehensive advice in order to meets the legislative requirements of a new council, including adopting the Community Plan 2017-2021 and 2017/2018 budget.

Meet Local Government legislative requirements and support councillors in their role using Good Governance principles.

Completed An audit of current Council practices against the good governance charter was completed and a range of improvements implemented, and all legislative requirements for the year were met.

Complete planning for the 2016 Council elections and the induction and training of councillors following the election.

Completed Council planned appropriately for the 2016 election and completed councillor induction and training.

1.2 Maintain strong and positive relationships with the Federal and State Governments and relevant departments and agencies, and advocate to ensure that the required infrastructure, key projects, policies and services are in place as our community grows


Take a lead role in the Regional Partnership Forum and Regional Cities Victoria to benefit the region and the City, including regional action on water security.

Completed The City is very involved with Regional Cities Victoria and is working to develop liveability indicators for the regional cities. A submission was made to the State Government’s Regional and Rural Committee highlighting feedback from the Loddon Campaspe Regional Assembly.

Meet regularly with relevant Members of Parliament and advocate for funding for required infrastructure, key projects and services that bring improved outcomes for our growing and liveable municipality.

Completed The Mayor and CEO attended the National General Assembly of Local Government in Canberra and met with a number of Members of Parliament to discuss key projects.

34

1.3 Contribute to policy and strategy development being led by government and other agencies


Review the impact of rate capping on the City’s long term financial sustainability and community aspirations for services and facilities and use this to inform future advocacy activities to the State Government for the best outcome for our community.

Completed Advocacy activities to the State Government are continuing, most recently through participation in the Fair Go Rates System technical working group.

Respond to any discussion papers, draft Bills and proposed changes to the Local Government Act 1989 within required deadlines.

Completed Council responded to the Local Government Act Review Directions Paper and inquiry into the Sustainability of Victoria’s Rural and Regional Councils.

1.4 Continue to improve Council’s communications and engagement practices to support open and inclusive decision making and reach diverse audiences


Implement the Community Engagement Framework to guide engagement opportunities, timetables and feedback throughout strategy and policy development and service reviews.

Completed Training sessions with staff have been held and the framework is used by staff across the organisation.

Provide seamless and consistent information to the community about Council’s policies and processes.

Completed The Communications Unit uses both traditional (print, radio and television) and digital methods (social media, e-newsletter, online publications) to reach residents.

Use more innovative approaches and new technologies to inform and engage the community.

Completed The City uses an e-newsletter, YouTube and social media to inform and engage the community.

1.5 Greater Bendigo residents receive responsive, accessible and inclusive customer services


Implement actions set out in the Information Technology Digital Strategy to meet increased and changing service requirements.

Completed The Information Technology Strategy was endorsed in July 2016 and implementation is now underway.

Continue to implement the Customer Service Charter and improve satisfaction with customer service and responsiveness.

Completed Results from two customer satisfaction projects conducted by external entities confirmed that the City performs highly in customer service.

OUR PERFORMANCE


1.6 Programs, projects and services are guided by best practice principles and delivered to respond to community needs


Develop a Project Management Office Centre of Excellence (methods, processes, tools, templates etc.) in line with Project Management Office best practice principles.

Completed The role of project management was considered as part of the restructure and a dedicated Project Management Office was established to lead excellence in this area across Council.

Undertake a program of service reviews to ensure services provided by the organisation are efficient and matched to community priorities.

Completed The service review program progressed well in 2016/2017, and continues to be developed and refined.

Implement continuous improvement strategies in the Works area in accordance with best practice guidelines.

Completed Improvements have been made on incident reporting, site inspections, maintenance of plant and equipment, and purchasing.

Deliver the budgeted works program, both capital and maintenance, and enhance planning for the future with relevant skills development.

Completed Capital and maintenance works are being delivered according to the annual plan. A new apprentice started in January 2017 to support career pathways.

1.7 The organisation has the right people who succeed in delivering the best outcomes


Implement a Performance Management Framework, Change Management Plan and an information technology software system that is capable of facilitating performance management for all levels of the organisation.

Completed The Performance Evaluation System has been implemented and was used for 2016/2017 performance and development plans.

Implement the recommendations arising from the Safety Culture Review to continue to strengthen the organisation’s commitment to staff safety.

Completed Results from the work done on Safety Culture have been incorporated into the broader Organisational Culture Plan.

36

1.8 Sustain the long term financial viability of the Council


Further develop the 10-year Long Term Financial Plan incorporating the ongoing changes to Victorian Legislation and Council decisions with regards to rate capping.

Completed Council's Long Term Financial Plan reflects Council's decision to develop the 2017/2018 Budget within the State Government’s 2% rate cap, with future modelling also reflecting the rate cap.

Thoroughly evaluate the potential long term impacts of any shift of responsibility or reduction in funding from the State Government, before agreeing to continue to fund service delivery, fund new services or take over responsibility for assets.

Completed All proposed shifts of responsibility between State and Local Government were monitored and advocacy conducted on relevant matters. One example included Council’s advocacy on the proposal to shift responsibility for land valuations away from Local Government, potentially adding to Local Government costs and reducing valuation quality.

Advocate to maintain the long term Local Government position that the management of groundwater and levee banks are a State Government responsibility.

Completed Council continues to provide advocacy in this area.

1.9 Enhance the capability and capacity of the City to meet its obligations in the management of emergencies


Develop community engagement strategies with a focus on emergency management and the development of a stronger and more resilient community.

Completed The City provided support for community planning groups to undertake aspects of community emergency planning, including risk assessment.

Ensure the emergency management arrangements for the City are aligned with Emergency Management Victoria policies and procedures, and implement the Cluster Municipal Emergency Management Plan in partnership with surrounding municipalities.

Completed A service review of the City’s Emergency Management service has been completed.

OUR PERFORMANCE


ServicesThe following statement provides information in relation to the services funded in the 2016/2017 Budget and the persons or sections of the community who are provided the service.

Service Description

Net Cost Actual

(less) Budget(equals ) Variance

$000

Executive Services

The Executive Services unit provides support to the Chief Executive Officer, Mayor and councillors; including authoritative advice on civic administration, governance and legislative compliance, and comprehensive monitoring and implementation of Council resolutions. The Executive Services unit includes the Communications team, which is responsible for high quality online, printed, radio and television communication.

(3,937)(3,625)

(312)


The Corporate Performance Directorate contributes to the executive management of the City and contributes to the good governance of the Goldfields Library Corporation, the Bendigo Regional Archives Centre and the Bendigo Stadium Finance Committee by representing the City on these bodies.

(684)(413)(271)

Library Services

The Goldfields Library Corporation, of which the City is one of four member Councils, provides a public library service at four sites throughout the municipality in Bendigo, Kangaroo Flat, Eaglehawk and Heathcote, and provides print and digital resources to the community in a variety of formats including collection services, e-services, research tools and interactive learning programs.

(3,101)(3,083)

(18)

Rating and Valuation Services

The Rating and Valuation Services unit provides statutory valuations for rating purposes, provides asset and insurance valuations and maintains the integrity and currency of the land information database. The unit also annually levies and collects rates and charges, maintains the corporate property database, maintains the central name register of ratepayers and prepares voters rolls.

(1,611)(1,781)

170

People and Performance

The People and Performance unit focuses on strengthening corporate resilience and aligning the organisation’s people, culture, services and performance to the Council Plan.

(1,765)(1,662)

(103)

Information Management

The Information Management unit is responsible for providing, developing and maintaining corporate information and communications technology systems and continually improving business processes. The unit also manages records, Ombudsman requests and privacy matters.

(151)(281)

130

Contract and Project Coordination

The Contract and Project Coordination unit provides the organisation with centralised tendering and contracts processes.

(650)(749)

99

Customer Support

The Customer Support unit provides the first point of contact for our customers. The unit also manages events and activities in the CBD on behalf of the City and delivers information and cashiering services at service centres at Lyttleton Terrace, Bendigo and High Street, Heathcote.

(925)(1,034)

109

38

Performance indicatorsThe following statement provides the results of the prescribed service performance indicators and measures including explanation of material variations.

Service/indicator/measure Results Material variations

2015 2016 2017

Governance

Transparency

Council decisions made at meetings closed to the public

[Number of Council resolutions made at ordinary or special meetings of Council, or at meetings of a special committee consisting only of councillors, closed to the public / Number of Council resolutions made at ordinary or special meetings of Council or at meetings of a special committee consisting only of councillors] x100

4.00% 4.69% 3.23% Council had less decisions made in meetings closed to the public than the 2015/2016 reporting year.

Consultation and engagement

Satisfaction with community consultation and engagement

Community satisfaction rating out of 100 with how Council has performed on community consultation and engagement

52 53 54

Attendance

Councillor attendance at council meetings

[The sum of the number of councillors who attended each ordinary and special Council meeting / (Number of ordinary and special Council meetings) × (Number of councillors elected at the last Council general election)] x100

95.91% 93.21% 95.56%

Service cost

Cost of governance

[Direct cost of the governance service / Number of councillors elected at the last Council general election]

$76,118 $43,983 $60,105 Councillor allocations are higher in 2016/2017.

Satisfaction

Satisfaction with Council decisions

[Community satisfaction rating out of 100 with how Council has performed in making decisions in the interest of the community]

51 51 52

OUR PERFORMANCE



2015 2016 2017

Libraries

Utilisation

Library collection usage

[Number of library collection item loans / Number of library collection items]

4.13 4.61 5.57

Resource standard

Standard of library collection

[Number of library collection items purchased in the last five years / Number of library collection items] x100

64.78% 55.02% 70.30%

Service cost

Cost of library service

[Direct cost of the library service / Number of visits]

$4.47 $3.96 $4.05

Participation

Active library members

[Number of active library members / Municipal population] x100

16.69% 15.67% 14.82%

40

THEME 2: PLANNING FOR GROWTH


Strategic indicator/measure 2016/2017 result Comments

Increase the proportion of people who walk or cycle five times a week for at least 30 minutes.

66.3% (2011/2012)

Bendigo’s result is higher than the State average of 63.9%.

Increase opportunities for people to use public transport.

5.3% of people walk, cycle or take public transport to work

This is despite the 2015 Greater Bendigo Wellbeing Survey showing that 49% of respondents lived within a 10 minute walk of a bus stop.

Increase medium-density housing. 11.54% of housing in Greater Bendigo is medium density

The proportion of townhouses, flats, units and apartments is decreasing despite 50% of Bendigo households having just one or two people.


• Construction of the social pavilion at Canterbury Park, Eaglehawk ($350,000) – complete• Commence construction of the Greater Bendigo Indoor Aquatic and Wellbeing Centre, Kangaroo Flat ($10.3M) - complete• Commence construction of the Garden for the Future at Bendigo Botanic Gardens, White Hills ($2.4M) – complete• Construction of the Bendigo Airport Runway ($3.7M) – complete• Construction of the Barrack Reserve Pavilion, Heathcote ($1.6M) – in progress

OUR PERFORMANCE



2.1 To maintain the unique character of Greater Bendigo, Council delivers major projects that accommodate the growing population and diversifies the economy


Complete the Greater Bendigo Indoor Aquatic and Wellbeing Centre in Kangaroo Flat.

In progress Construction is approximately 50% complete.

Continue development of the Bendigo Botanic Gardens Garden for the Future project, including completion of the Visitor Hub design.

In progress Works commenced in April 2017 and are to be completed by December 2017.

Complete the expansion and upgrade of the Bendigo Airport Stage two, and continue planning and attraction of funding to progress Stage three, the Business Park.

Completed Construction of stage two has been completed and stage three expression of interest funding application lodged with Regional Development Victoria.

Soldiers’ Memorial Institute revitalisation project, Pall Mall: Advocate for State and Federal funding support so construction can commence.

Completed Required funding for the project has been obtained and works commenced in May 2017.

Complete the design for the Strathfieldsaye Community Hub.

Completed Construction is approximately 60% complete.

Complete the expansion of the Bendigo Stadium.

In progress The overall project is on schedule.

Progress reconstruction works at the Bendigo Tennis Centre in partnership with the Bendigo Tennis Association and continue advocacy for additional external funding.

In progress International Tennis Federation courts are complete. Pavillion and car park construction is underway.

Promote opportunities for and the benefits of CBD living in Bendigo.

In progress This is being done through Plan Greater Bendigo and as part of the Housing Strategy.

Work with Marist College Bendigo to deliver a range of facilities to be shared by the school and local community.

Completed Official opening was held on March 23, 2017.

Continue implementation of the Rosalind Park Recreation Reserve Precinct Master Plan by undertaking works for the redevelopment of the former Municipal Baths.

In progress Detailed design of former Municipal Baths has been included in the 2017/2018 Council Budget.

Progress implementation of the Barrack Reserve Master Plan by completing construction of the stadium, including undertaking landscape planning for the swimming pool solar extension project.

In progress Construction of pavilion redevelopment almost complete. Design of pool solar extension is completed.

Continue planning and attraction of funding to progress the Marong Business Park in conjunction with the State Government.

In progress Collaboration with the State Government to progress this project is ongoing. The planning approvals are expected to be finalised by the end of 2017.

42

2.2 Council manages the planning and development of the City through the preparation of major strategies and effective amendments to the planning scheme


Complete and implement the following major strategies through planning scheme amendments:

- Commercial Land and Activity Centre Strategy

- Maiden Gully Precinct Structure Plan, including a Development Contributions Plan

- Intensive Animal Industries- Housing Strategy- Connecting Greater Bendigo: Integrated

Transport and Land Use Strategy (ITLUS)

In progress • Commercial Land and Activity Centre Strategy planning scheme amendment has been adopted by Council

• Maiden Gully Precinct Structure Plan and Development Contributions Plan will be presented to Council later in 2017

• Intensive Animals Industries is on hold • Draft Housing Strategy Implementation Plan

approved for exhibition by Council in June• The ITLUS amendment has now been

implemented through the planning scheme

Commence and significantly progress the La Trobe University Precinct Plan and Structure Plans for the Heathcote, Goornong, Redesdale and Marong townships.

In progress • University Precinct Plan deferred pending resolution of the subdivision of the Osborne Street site

• Marong Precinct Project - first draft Structure Plan completed

• Heathcote project underway• Goornong proposed to start late 2017• Redesdale proposed to commence 2018

Complete Urban Design Frameworks for Maiden Gully and Strathfieldsaye main streets.

In progress The Strathfieldsaye Urban Design framework was adopted in March 2017.

Complete the St John of God Hospital Precinct Master Plan and the Eaglehawk Railway Station Precinct Master Plan in collaboration with relevant partners.

In progress Eaglehawk Railway Station draft completed and agreed to by Public Transport Victoria. The St John of God Master Plan will be linked to the Housing Strategy Implementation Plan, and the development of a Golden Square Precinct Redevelopment Plan.

OUR PERFORMANCE


2.3 Sustainable transport options are supported in the Connecting Greater Bendigo: Integrated Transport and Land Use Strategy (ITLUS)


Complete further works to consolidate regional cycle and pedestrian linkages, including design and construction of improved shared networks to access commercial, recreational and community services.

In progress • Spring Gully path works completed, apart from McIvor Highway underpass.

• Review of Walking and Cycling Strategy commenced.

Complete investigations into the relative merits of completing the Bendigo Creek Linear Cycle Path through the Bendigo city centre via Hargreaves Street and/or Bendigo Creek and commence implementation of the recommendations.

In progress Consultants expected to be appointed in August/September 2017.

Implement the joint VicRoads and Council SmartRoads framework and principles for urban Bendigo.

In progress Project has stalled due to lack of VicRoads' resources including staff changes at the VicRoads Regional Office.

Increase footpath maintenance in accordance with the Road Management Plan.

Completed Regular meetings held with inspectors to improve work efficiencies and contractor performance has been well managed.

Complete ‘transport hub and urban renewal implementation plans’ for Bendigo, Eaglehawk, Epsom and Kangaroo Flat railway stations and surrounding precincts.

In progress Bendigo and Eaglehawk plans have been completed.

Continue to implement ITLUS through a program of community engagement, targeted infrastructure and recommended developments, with a particular focus on healthy active travel and travel behaviour change.

Completed In March, Council adopted a program of community engagement and a governance structure.

Work with VicRoads to ensure the outcome for improvements to Napier Street, White Hills is consistent with ITLUS.

Completed Involvement in community consultation forums, community consultation group and direct meetings with VicRoads.

Complete the Greater Bendigo Freight Study in collaboration with the State Government.

In progress Survey of freight operators completed. Draft report expected to be completed by late August 2017.

2.4 Increase access to IT communications options for residents and visitors


Prepare a Greater Bendigo Digital Strategy to take advantage of the NBN.

In progress Fixed line NBN connections are now available to 27,000 premises in Greater Bendigo.

44

2.5 Housing options provide broader choice in order to meet current and future community expectations and needs


Complete a Housing Strategy that implements the Greater Bendigo Residential Development Strategy and provides a framework to meet the needs of ‘housing for all’ with respect to diversity and accessibility.

Completed Council adopted the Strategy in August 2016.


Service Description

Net Cost Actual


$000

Statutory Planning

The Statutory Planning unit facilitates planning and delivery of timely and quality planning decisions, provides a heritage advisory and heritage architecture service and implements Planning Scheme Amendments, including the Bendigo Urban Flood Study and the Marong Business Park.

(1,633)(2,678)1,044

Strategy The Strategy unit facilitates, coordinates and develops strategies, plans and advice that provide direction and guidance for Council to make decisions and implement projects, Planning Scheme provisions, land use change, social and community development, health and wellbeing, integrated transport and heritage management for the municipality.

(1,796)(1,967)

172

Major Projects The Major Projects unit focusses on major projects that involve significant funding from external sources, requiring significant stakeholder engagement and require detailed planning, design and delivery, including the Greater Bendigo Indoor Aquatic and Wellbeing Centre, the Bendigo Stadium expansion and the Bendigo Airport.

(769)(769)

(0)



2015 2016 2017

Aquatic Facilities

Service standard

Health inspections of aquatic facilities

[Number of authorised officer inspections of Council aquatic facilities / Number of Council aquatic facilities]

2.23 2.54 2 There are two health inspections per facility planned per season.

OUR PERFORMANCE



2015 2016 2017

Aquatic facilities (continued)

Health and safety

Reportable safety incidents at aquatic facilities

[Number of WorkSafe reportable aquatic facility safety incidents]

0 1 1

Service cost

Cost of indoor aquatic facilities

[Direct cost of indoor aquatic facilities less income received / Number of visits to indoor aquatic facilities]

$0.00 $0.00 $0.00 This facility is leased.

Service cost

Cost of outdoor aquatic facilities

[Direct cost of outdoor aquatic facilities less income received / Number of visits to outdoor aquatic facilities]

$6.63 $5.95 $6.90 Increase in pool maintenance across all of the City's aquatic facilities.

Utilisation

Utilisation of aquatic facilities

[Number of visits to aquatic facilities / Municipal population]

1.66 1.68 1.72 The utilisation of aquatic centres has had no material variations from year to year. In previous years the attendance of the Indoor Aquatic Facility has also been included in this calculation. However as the facility is leased and not controlled by the City, this has now been removed from the calculation for the current and prior year results.

Roads

Satisfaction of use

Sealed local road requests

[Number of sealed local road requests / Kilometres of sealed local roads ] x100

43.75 39.71 48.76

Condition

Sealed local roads below the intervention level

[Number of kilometres of sealed local roads below the renewal intervention level set by Council / Kilometres of sealed local roads] x100

99.47% 99.80% 99.66%

46


2015 2016 2017

Roads (continued)

Service cost

Cost of sealed local road reconstruction

[Direct cost of sealed local road reconstruction / Square metres of sealed local roads reconstructed]

$83.55 $99.17 $37.04 More square metres of roads were reconstructed in 2016/2017 compared to 2015/2016.

Service cost

Cost of sealed local road resealing

[Direct cost of sealed local road resealing / Square metres of sealed local roads resealed]

$6.02 $4.46 $5.32 More works completed this financial year.

Satisfaction

Satisfaction with sealed local roads

[Community satisfaction rating out of 100 with how council has performed on the condition of sealed local roads]

61 56 59

Statutory planning

Timeliness

Time taken to decide planning applications

[The median number of days between receipt of a planning application and a decision on the application]

49.88 days

52.40 days

48.10 days

Service standard

Planning applications decided within 60 days

[Number of planning application decisions made within 60 days / Number of planning application decisions made] x100

76.88% 76.60% 72.80% From July 1, 2016 this indicator will be updated to include VicSmart planning applications, which should be assessed within 10 days. This may result in some variances year on year.

Service cost

Cost of statutory planning service

[Direct cost of the statutory planning service / Number of planning applications received]

$2,026 $2,586 $2,684

Decision making

Council planning decisions upheld at VCAT

[Number of VCAT decisions that did not set aside Council's decision in relation to a planning application / Number of VCAT decisions in relation to planning applications] x100

76.47% 83.33% 62.50% There were four less cases referred to VCAT in the 2016/2017 reporting period (2015/2016: 12 cases). Due to the small number of cases, the variation percentage is higher year on year.

OUR PERFORMANCE


THEME 3: PRESENTATION AND VIBRANCY



Fairer access to parks or open spaces close to where people live.

More than 75% of people reported using open spaces at least once in the last year

The 2015 Greater Bendigo Wellbeing Survey showed that paths, facilities such as toilets and seats, and trees are the most important items for open spaces.

Maintain child immunisation completion rates to be better than the state average. (Bendigo population=93.9%; Indigenous persons=50%)

94.45% of children are immunised at 60-63 months

The significant improvement compared to recent years is a result of targeted local interventions.

Reduce obesity. 56.9% of people in Greater Bendigo are overweight or obese (DHHS)

Bendigo’s score is worse than all other regional centres and the state as a whole (48.6%).

Increase the proportion of people who meet recommended fruit and vegetable dietary guidelines.

53.4% do not meet either fruit or vegetable guidelines

Respondents living in Long Gully, West Bendigo, Ironbark and Huntly reported the lowest proportions meeting recommendations.

Increase social connection. 61.9% agree they live in a close knit community (VicHealth)

This is a slightly different indicator than has been used in previous years, in order to provide the most up to date data .

Improved community satisfaction rating for the appearance of public areas.

N/A Not surveyed in 2017.

Community satisfaction with community and cultural activities.



• Proactive tree maintenance program ($280,000) - complete

48


3.1 Greater Bendigo has attractive and accessible parks, public places and streetscapes that are widely used and enable people to be healthy and active


Complete the Greater Bendigo Public Space Plan in partnership with the Community Wellbeing and Presentation and Assets Directorates and commence implementation.

In progress The development of a 50-year conceptual public space vision was reported to Council in April.

Implement community strategies, policies and projects that support active healthy living, including continuing to apply the results of the Active Living Census.

In progress Ironbark Gully Master Plan has been developed for public release.

Deliver high quality services and upgrades to parks, natural reserves and streetscapes that ensure they meet liveability, accessibility and legislative requirements as our City grows, including implementing Council’s Tree Management Strategy and upgrading sportsfields, play spaces and furniture.

Completed Maintenance activities are being delivered in accordance with the Parks and Natural Reserves Service Delivery Plan. Capital improvements to parks are continuing.

Continue improvements to irrigation systems and water management processes in parks and natural reserves.

In progress Irrigation improvements to Weeroona Oval have been completed. Works at Upper Rosalind Park have commenced.

Support the activation and use of public spaces in the Bendigo CBD for social connections and events.

Completed A large number of events have been facilitated including school holiday fun days, Youth Expo, Moonlight Markets and FunLoong's birthday.

Negotiate with La Trobe University to finalise the long term future for ownership, management and upgrade of the athletics track.

In progress The City has formally approached La Trobe University seeking to purchase this property as per the Council resolution.

OUR PERFORMANCE


3.2 Residents and visitors are able to access good quality sports and recreational leisure facilities that are fit for purpose and enable them to celebrate their active, artistic, cultural, sporting and social lives


In partnership with relevant organisations, encourage and support artistic and creative endeavours and increase community participation in these.

Completed A range of cultural events including the Bendigo Writers Festival and Bendigo International Festival of Exploratory Music were successfully staffed and there was significant activity at all venues.

Significantly advance construction of the Eaglehawk Regional Play Space at Canterbury Park and continue the program of play space upgrades across the municipality.

In progress Detailed design of Eaglehawk Regional Play Space underway. Strathdale District Play Space Stage two has been completed.

Ensure high quality presentation and cleanliness of streets and public spaces.

Completed Street sweeping and litter collection has continued according to the agreed program.

Work with the Bendigo Chinese Association to facilitate a sustainable future for the Golden Dragon Museum by finalising the business redevelopment plans and implementing priority actions, including the design, funding and construction timelines for the Chinese gateway project.

Completed A feasibility study and business case for a redevelopment of the Golden Dragon Museum site has been completed and submitted to Regional Development Victoria.

3.3 Greater Bendigo is a community that values its heritage, art facilities and major events, supports arts and cultural experiences


Foster local artistic talent and increase participation in the arts in suburban and rural locations, and explore options for an exhibition space for local artists at the Bendigo Art Gallery.

Completed The Gallery hosts an annual exhibition titled 'Going Solo', which features an artist from the central Victorian region. The Gallery also offers local artists the opportunity to enter the Paul Guest Drawing Prize.

Attract, retain and develop major events that deliver substantial economic, promotional and social benefits for Greater Bendigo.

Completed Strategic efforts have managed to grow the number of annual events to over 90, up from approximately 20 only five years ago.

Continue to offer world class exhibitions at the Bendigo Art Gallery.

Completed The Gallery continues to offer world class exhibitions.

Ensure the ongoing profile and diversity of performing arts and entertainment events across the municipality.

Completed Capital Venues and Events manage the ongoing delivery of Engine Room small towns tours.

Work closely with Bendigo Heritage Attractions (Bendigo Trust) to assist, advise and accelerate both their short and longer term financial sustainability and business prosperity through implementation of the Bendigo Tramways Strategic Plan.

In progress The City maintains regular contact with the CEO of Bendigo Heritage Attractions.

50

3.4 The reputation, profile and attraction of Greater Bendigo and the region are further enhanced through effective promotion


Conserve, interpret and increase activity and use of important Bendigo venues, including the Bendigo Town Hall, Ulumbarra Theatre and The Capital.

In progress Negotiations are continuing to find a solution for the ventilation and heating needs of Bendigo Town Hall.

Deliver on the major recommendations of the Destination Management Plan as adopted by the Council, including establishing a regional tourism website and working with Bendigo Heritage Attractions.

In progress The City and the Regional Tourism Board have been working together to build the regional website and develop regional itineraries.

Market the Bendigo region to Australian and international visitors and local residents as a vibrant destination for shopping, dining, the arts, and a range of sporting and recreational attractions.

Completed The Tourism Marketing team continues to market Bendigo as a major visitor destination through major seasonal campaigns into Melbourne, regional Victoria and interstate.

3.5 People are supported to learn about and make decisions that enable them to be connected, safe and the healthiest they can be


Review the Local Laws that regulate and control activities in public places, on private property, streets and roads to protect the good order and amenity of the municipality.

In progress The review of Local Laws number 3, 4 and 5 is well progressed.

Adopt the updated Domestic Animal Management Plan (2016-2020) and implement the first year actions.

In progress The Domestic Animal Management Plan was sent to the Minister for endorsement in August 2016.

Implement agreed priority actions from the Youth Strategy with a focus on young people’s participation in decision making and implementing programs that respond to the priority needs of young people including good health, drug and alcohol harm prevention, and personal safety.

Completed The current Youth Strategy is complete. A new draft Youth Strategy will be presented to Council in early 2017/2018.

3.6 Greater Bendigo has inclusive and equitable communities where people feel welcome and connected to others


Promote equitable and inclusive communities through implementation of the Human Rights Charter across the organisation and implementation of the first Reconciliation Action Plan and Cultural Diversity and Inclusion Plan.

Completed Implementation has included the following: • New staff training has been developed that

covers human rights responsibilities and an element of unconscious bias

• Implementation of the Reconciliation Plan and Cultural Diversity and Inclusion Plan has progressed well

OUR PERFORMANCE



Review policies and procedures for Home and Community Care Services, in line with the implementation of the Commonwealth Home Support Program (CHSP) and the National Disability Insurance Scheme (NDIS).

In progress The Systems Administration Officer’s temporary contract has been extended until the end of August to complete this work.

Continue to implement the Community Access and Inclusion Plan, including establishing and supporting a Disability Inclusion Reference Group.

In progress Implementation of the Community Access and Inclusion Plan is well advanced. The Disability Inclusion Reference Committee has continued to run well.

Improve disability inclusion in the public arena by implementing the Inclusive Towns Project, preparing and promoting opportunities related to the Information Capacity Building component of the NDIS and strengthening collaborations within the disability sector and between sectors.

Completed The Inclusive Towns project was publicly launched in late 2016 and implementation work has been successful with business uptake exceeding expectations.

Undertake further planning and development of a regional food hub in partnership with key stakeholders.

In progress Progress on developing a regional food hub for Bendigo has been made, however a preferred site is still to be determined.

Working with key partners across the community, implement early years planning initiatives identified in the Municipal Early Years Plan that build on a child friendly city and create the best future for our children.

Completed Implementation has included: • Annual Early Years Forum • Sod turning at Strathfieldsaye Early Learning

Centre • Maintaining and upgrading preschool facilities

Work with key partners across the community to implement initiatives that progress identified Community Safety Strategy priorities to promote community health and wellbeing.

Completed Implementation has included:• Recruiting members and launching a new

Positive Ageing Advisory Committee• Supporting the production of the ZooM

publication

Support children and families from birth to school age through immunisation programs, maternal and child health, enhanced maternal and child health, early learning centres, and the Off to an Early Start program, which supports children aged zero to eight years.

Completed Immunisation rates remain above State targets, maternal and child health key age and stage visits continue to track well. The enhanced maternal and child health program is having significant positive impacts on vulnerable families, and the success of the Off to an Early Start program is well reported. Utilisation rates of the Early Learning Centres continue to be maintained above budget at 90%.

52

3.7 Structured community engagement, community planning and community development programs to support our residents and communities, particularly those who may experience isolation


Support rural and neighbourhood communities, including Axedale, Kangaroo Flat and Woodvale to review and develop their community plans.

Completed Junortoun Community Plan adopted. Axedale and Goornong Community Plan updates commenced.

Use structured approaches of engagement and community development to support communities and community groups to achieve their desired aims, including priorities from their community plans.

Completed Implementation has included the following:• Community grants program successfully

delivered. • Facilitated grant seeking workshops and

networking forums.• Completed draft business plan for the

Redesdale Community Hub concept

Implement agreed actions from the adopted Rural Communities Strategy.

Completed Implementation has included the following:• The establishment of a Rural Communities

Committee• Supported development of a Councillor

Engagement program in rural areas


Service Description

Net Cost Actual


$000

Capital Venues and Events

The Capital Venues and Events unit provides quality performing arts programming and activities to the central Victorian region and provides facilities and opportunities for participation in the arts.

(2,343)(2,203)

(140)

Bendigo Art Gallery

The Bendigo Art Gallery develops and delivers exhibitions, public programs and associated events that are appealing to a range of audiences. The Gallery also encourages philanthropy and supports the Bendigo Art Gallery Foundation.

(1,758)(2,302)

544


The Health and Wellbeing Directorate advises Council on matters relating to the directorate and contributes to the executive management of the City.

(769)(509)(260)

Active and Healthy Communities

The Active and Healthy Communities unit is responsible for the planning, design, management, maintenance and creation of public access to sport and leisure opportunities for the residents of and visitors to Greater Bendigo.

(3,920)(4,355)

436

OUR PERFORMANCE


Service Description

Net Cost Actual


$000

Community Services

The Community Services unit delivers a broad range of community services, including early learning centres, maternal and child health service and immunisation, as well as home support services for frail older people and people with disabilities.

(1,417)(2,511)1,094

Community Partnerships

The Community Partnerships unit prepares and implements social policy and community development programs focussed on cultural diversity, disability inclusion, positive ageing, community development, early years planning, youth development, emergency response and recovery, crime prevention and small town and rural development.

(3,221)(3,573)

351

Environmental Health and Local Laws

The Environmental Health and Local Laws unit works to protect and improve public health and safety in the areas of food safety and tobacco control, wastewater management and the enforcement of Local Laws.

(1,089)(1,383)

295

Engineering and Public Space

The Engineering and Public Space unit provides a network of road and footpath infrastructure to service the mobility requirements of the municipality.

(647)(2,616)1,969

Parks and Natural Reserves

The Parks and Natural Reserves unit provides a safe network of open space that meets the needs of users to participate in a variety of recreational activities, including sports fields. The unit also protects and enhances the natural environment through the implementation of management strategies and practices.

(11,364)(11,202)

(162)

Works The Works unit ensures essential infrastructure is constructed, maintained and renewed including: sealed local roads and other civil construction projects such as bridges, drains, footpaths.

(12,082)(12,073)

(9)

Bendigo Livestock Exchange

The Bendigo Livestock Exchange is a National Saleyard Quality Assurance (NSQA) and European Union (EU) accredited sheep, cattle and pig selling complex, which conforms to the Occupational Health and Safety Management System for saleyards.

(254)(146)(108)

54



2015 2016 2017

Food safety

Timeliness

Time taken to action food complaints

[Number of days between receipt and first response action for all food complaints / Number of food complaints]

0 2.81 3.16 From July 1, 2016, 'Time taken to action food complaints' will be reported by calendar year. Previously this indicator was reported by financial year. This has been implemented to better align reporting with the Department of Health and Human Services. This may result in some variances year on year.

Service standard

Food safety assessments

[Number of registered class 1 food premises and class 2 food premises that receive an annual food safety assessment in accordance with the Food Act 1984 / Number of registered class 1 food premises and class 2 food premises that require an annual food safety assessment in accordance with the Food Act 1984] x100

82.22% 88.92% 66.30% The differences between the 2015 and 2016 calendar year are due to a staff shortage for much of the 2016 calendar year, a stronger focus on enforcement for serial offenders and corrections to reporting methods for temporary premises. For the majority of the 2016 calendar year, the Food and Tobacco team was operating with below 3.5FTE officers, which is less than that of previous years.

Service cost

Cost of food safety service

[Direct cost of the food safety service / Number of food premises registered or notified in accordance with the Food Act 1984]

$410.88 $322.22 $239.42 For the majority of the 2016 calendar year, the Food and Tobacco team was operating with below 3.5FTE officers, which is less than that of previous years.

Health and safety

Critical and major non-compliance outcome notifications

[Number of critical non-compliance outcome notifications and major non-compliance notifications about a food premises followed up / Number of critical non-compliance outcome notifications and major non-compliance notifications about a food premises] x100

100% 93.55% 74.66% From July 1, 2016, 'Critical and major non-compliance outcome notifications' will be reported by calendar year. Previously this indicator was reported by financial year. This has been implemented to better align reporting with the Department of Health and Human Services. This may result in some variances year on year. The decrease is predominantly related to staff shortages in the 2016/2017 period.

OUR PERFORMANCE



2015 2016 2017

Home and Community Care (HACC)

Timeliness

Time taken to commence the HACC service

[Number of days between the referral of a new client and the commencement of HACC service / Number of new clients who have received a HACC service]

0 8.60 Reporting ceased July 1, 2016

Reporting on HACC ceased on July 1, 2016 due to the introduction of the Commonwealth Government's National Disability Insurance Scheme (NDIS) and Commonwealth Home Support Program (CHSP).

Service standard

Compliance with Community Care Common Standards

[Number of Community Care Common Standards expected outcomes met / Number of expected outcomes under the Community Care Common Standards] x100

77.78% 88.89%. Reporting ceased July 1, 2016

Reporting on HACC ceased on July 1, 2016 due to the introduction of the Commonwealth Government's NDIS and CHSP.

Service cost

Cost of domestic care service

[Cost of the domestic care service / Hours of domestic care service provided]

$0.00 $46.40 Reporting ceased July 1, 2016


Service cost

Cost of personal care service

[Cost of the personal care service / Hours of personal care service provided]



Service cost

Cost of respite care service

[Cost of the respite care service / Hours of respite care service provided]



Participation

Participation in HACC service

[Number of people that received a HACC service / Municipal target population for HACC services] x100

19.64% 18.29% Reporting ceased July 1, 2016


Participation

Participation in HACC service by CALD people

[Number of CALD people who receive a HACC service / Municipal target population in relation to CALD people for HACC services] x100

11.58% 12.04% Reporting ceased July 1, 2016


56


2015 2016 2017

Maternal and Child Health (MCH)

SatisfactionParticipation in first MCH home visit

[Number of first MCH home visits / Number of birth notifications received] x100

98% 101.22% 99.15%

Service standardInfant enrolments in the MCH service

[Number of infants enrolled in the MCH service (from birth notifications received) / Number of birth notifications received] x100

93% 97.49% 100.78%

Service costCost of the MCH service

[Cost of the MCH service / Hours worked by MCH nurses]

$0.00 $68.84 $78.17 More labour was used in 2016/2017 for the service.

ParticipationParticipation in the MCH service

[Number of children who attend the MCH service at least once (in the year) / Number of children enrolled in the MCH service] x100

79% 77.40% 76.65%

ParticipationParticipation in the MCH service by Aboriginal children

[Number of Aboriginal children who attend the MCH service at least once (in the year) / Number of Aboriginal children enrolled in the MCH service] x100

76% 74.74% 78.56%

Animal Management

TimelinessTime taken to action animal management requests

[Number of days between receipt and first response action for all animal management requests / Number of animal management requests]

0.00 1.28 1.23

Service standardAnimals reclaimed

[Number of animals reclaimed / Number of animals collected] x100

55% 52.93% 40.56% The number of animals collected remained consistent with previous years however there has been a drop in the number of animals reclaimed by their owners this year.

Service costCost of animal management service

[Direct cost of animal management service / number of registered animals]

$42.74 $40.00 $38.83

Health and safetyAnimal management prosecutions

[Number of successful animal management prosecutions]

6 5 7 There were five successful prosecutions for 2015/2016 and seven for 2016/2017 which results in an increase of 40%.

OUR PERFORMANCE


THEME 4: PRODUCTIVITY

Strategic IndicatorsThe following statement reviews the performance of Council against the strategic indicators (Liveability Indicators).


Increase proportion of the workforce who have completed a Bachelor Degree or higher.

12.5% (ABS 2011) This is similar to the regional Victorian average of 13%.

Decrease unemployment, especially for young people.

Overall unemployment was 5.4% (June 16-March 17)

This is lower than last year’s unemployment figures.

Increase the proportion of 17-year-olds still attending education (including school and vocational training).

76% (ABS 2011) In Bendigo there are likely to be more than 300 17-year-olds who are not in schooling, training or the workforce.

Maintain a growth rate of the Greater Bendigo economy that is equal to or better than Victoria, as measured by Gross Regional Product (GRP).

2.8% (2016) This is a bigger increase than the previous year.


• Develop the Career Horizons online work experience program ($20,000) - complete


4.1 Council fosters business and industry growth


Implement the Economic Development Strategy with a strong focus on growing jobs in Small to Medium Business Enterprises (SME) through “business health” mentoring and support, high profile events such as the Small Business Festival, and youth employment through the Career Horizons program in partnership with Mt Alexander and Central Goldfields Shires.

Completed Job growth within the SME community was encouraged through 11 small business support initiatives.

58

4.2 Effective partnerships build and support increased workforce skills for young people in particular


Support development of La Trobe University’s Bendigo Art Institute in association with Bendigo Art Gallery.

Completed This is ongoing through programs such as 'Exhibiting Culture’ and various exchanges of physical space and educational forums shared between the two organisations.

Foster new industry and business initiatives through business, agricultural and industry events and workshops.

Completed Regional intensive livestock opportunity feasibility study completed.

Support tourism business growth by facilitating their access to industry research, training opportunities, recent publicity and cooperative marketing and networking opportunities.

Completed An Instagram workshop was held for retailers and tourism operators. The Visitor Services team is continuing to work with Heathcote operators to ensure they can market their business via digital channels.

4.3 Invention and innovation is fostered through a series of targeted activities and partnerships


Promote Bendigo as a centre for invention and innovation through the Bendigo Inventor Awards (BIA), Bendigo Industry and Innovation Initiative and associated innovation programs.

Completed Significant work is being undertaken to source sponsorship of BIA by Be.Bendigo and BIA Advisory Group.

Develop programs that facilitate young people to develop skills that enable employment readiness through the Community, Opportunity, Growth Centre at 45 Mundy Street, Bendigo.

Completed Implementation has included the following:• Delivering a range of events and programs

for young people i.e: FReeZA events and the YO Media Team

• Skill development workshops have included photography, barista training, coding and film making

OUR PERFORMANCE


4.4 Stronger and wider links between students, education and employers are built through structured programs, marketing, skills development and the promotion of work placements


Support secondary and tertiary education providers to expand their offerings in identified local priority employment areas.

In progress Curriculum and industry groups now formed for the Bendigo Technical School.

Use deliberate strategies to foster the active participation of young people in creative thinking and research about climate change strategies for Greater Bendigo.

In progress The City is continuing discussions with La Trobe University to explore the opportunity for post graduate students to conduct sustainability projects.

Support the development of the Bendigo Kangan Institute's proposed Centre of Excellence in health-related vocational training.

In progress Negotiations continue with Bendigo Kangan Institute to identify opportunities to link the training offer to local businesses.

Use deliberate strategies to foster the active participation of young people in creative industries.

Completed Children's choir performed with Victorian Opera's Pied Piper at The Capital in November 2016.


Service Description

Net Cost Actual


$000

Strategy and Growth

The Strategy and Growth Directorate advises Council on matters relating to the directorate, contributes to the executive management of the City and represents Greater Bendigo on a number of key organisations and industry boards.

(2,119)(1,729)

(389)

Tourism The Tourism unit delivers quality visitor experiences through a team of staff and volunteers and develops and markets Bendigo Tourism’s experiences digitally across a number of platforms.

(2,088)(2,250)

163

Major Events The Major Events unit attracts and supports major events, such as sport and leisure events, conferences, expos, and food and wine events. The unit manages the annual Bendigo Easter Festival and delivers civic events, including Citizenship Ceremonies.

(1,878)(2,090)

212

Economic Development

The Economic Development unit provides support and advice to businesses and industry, including lobbying, partnership opportunities, networking and training programs in order to stimulate local economic activity.

(1,243)(1,372)

129

60

THEME 5: SUSTAINABILITY



Decrease greenhouse pollution. 9.1 tonnes of CO₂ per occupied private dwelling (2007)

Bendigo’s emissions are comparatively better than other cities in Victoria, which may be explained by climatic conditions.

Increase diversion of domestic waste to resource recovery.

44.32 % This is a significant increase on last year due to the introduction of the organics service.

Increase community satisfaction rating for Council’s general town planning policy.


Reduce average volume of waste generated by each household.

501kg This has decreased significantly from last year’s result.

Maintain or exceed the current community satisfaction level with Council’s waste services, as measured annually on a state-wide basis.



• Organics fortnightly waste collection ($0) - complete


5.1 Protect and conserve Greater Bendigo’s natural environment and settings for the future


Implement the City’s Invasive Plants and Animals Strategy.

Completed Recommendations are continuing to be implemented. The strategy is due for review in 2017/2018.

Implement the agreed first year action plan from the Greater Bendigo Environmental Sustainability Strategy (2015-2020).

In progress Sustainable Building Policy adopted by Council in June. Initial work on an urban forest strategy has commenced.

OUR PERFORMANCE


5.2 The history, unique heritage, streetscapes and buildings of Greater Bendigo are conserved, restored, celebrated and managed wisely for the long term


Use a range of approaches to support the conservation and restoration of heritage buildings.

Completed A list of heritage properties requiring restoration works has been prioritised and a budget secured to undertake these critical works.

Conserve Greater Bendigo heritage by commencing an annual streetscape photographic record.

In progress An annual heritage photographic competition, now known as 'Heritage through the Lens', is being run under the auspices of the Greater Bendigo Heritage Advisory Committee.

Implement the recommendations of the Bendigo City Centre Citations Study that documents the heritage significance of key buildings in central Bendigo.

In progress The Planning Scheme Amendment process cannot commence until the Citation Study is completed. Preliminary work on the amendment is underway.

Provide visitor materials and experiences that connect people with Bendigo’s history, heritage and buildings.

Completed The Bendigo Visitor Centre is conducting a range of local history tours to major heritage attractions.

Complete, adopt and commence implementation of the Heritage Strategy.

In progress A draft of the Heritage Study has been completed and will be put to Council in 2017/2018.

Develop a strategic direction for a long term management plan for Bendigo’s historical artefacts and the conservation of the Bendigo Historical Society collection, which incorporates interim steps as required.

In progress A consultant was engaged in March 2017 to survey the major community collections, including Bendigo Historical Society, and advise on the long term preservation, management and access to their historical artefacts.

62

5.3 Essential infrastructure is constructed, maintained and renewed to meet the needs of current and future residents


Deliver building projects approved by Council. Completed 80% of projects completed with the remainder in the final stages of delivery.

Maintain and renew existing Council owned and managed properties to agreed service level requirements and statutory regulations.

Completed Service contracts for cleaning, preventative maintenance works along with essential safety measures are in place in nominated Council owned and managed properties.

Complete the Planning Scheme Amendment for the Urban Bendigo Flood Study.

In progress Following the public release of the Panel report in December 2016, ongoing discussions are occurring with interested parties and a decision on when to submit the study for final endorsement by Council is pending.

Finalise flood records/levels in collaboration with the Catchment Management Authority as part of the completion of the Marong Structure Plan.

Completed Flood levels and mapping has been agreed with the Catchment Management Authority.

Implement asset management strategies including for paths, roads, bridges and drainage systems.

Completed Asset management plans have been prepared for all major asset groups.

Continue to work with the community to better utilise and access current community building assets, more clearly identify user/owner responsibilities and implement the Surplus Property Disposal Plan.

Completed Discussions have been undertaken to ensure community groups have access to current property assets and new groups or activities are encouraged to access current facilities, at times through a shared arrangement.

5.4 Enable community members to reduce their environmental footprint by using resources, materials and assets more wisely


Build knowledge and capacity to respond to the State Government developing policy about localised solutions to water capture, use and disposal.

Completed The City has participated in the stakeholder reference group for the development of Coliban Water's Integrated Water Cycle Augmentation planning process looking at water requirements and possible sources into the future.

Develop a ‘Greening Bendigo’ strategy in accordance with the State Government initiative to capture and use storm water from public spaces on site to increase their attractiveness.

In progress The City was successful in obtaining a grant for Greening Bendigo to fund two projects; Stormwater Harvesting at the Bendigo Botanic Gardens and Irrigation for Upper Rosalind Park.

OUR PERFORMANCE



Promote water security through Council-led action on local education and conservation.

In progress The Sustainable Building Policy adopted by Council promotes using the most efficient Water Efficiency Labelling and Standards (WELS) rated products, best practice stormwater quality and management practices for Council projects.

Conduct deliberate activities designed to increase social commitment to reducing the impacts of climate change and set a liveability target to document progress.

Completed This primarily occurs through City support of Bendigo Sustainability Group projects. Recent activity includes the Bendigo Sustainability Awards and an electric vehicle expo.

Renew the Ecologically Sustainable Design Policy, Guidelines and Checklist.

Completed The Sustainable Building Policy was adopted in June 2017. The City will begin trialling Sustainable Design Assessments on selected planning applications in 2017/2018.

5.5 The level of waste to landfill is reduced and residual waste is managed responsibly to deliver the adopted waste management targets


Implement the Waste and Resource Management Strategy including implementing the recommendations of the trial kerbside organics collection program, community education about waste avoidance and reducing contamination in recycled materials.

Completed A key action of the Waste and Resource Management Strategy was the implementation of the kerbside organics collection, which commenced in September 2016.

Progress the development of a resource recovery and transfer facility to replace the Eaglehawk Landfill, subject to external funding support.

In progress A draft Master Plan for the proposed facility has been completed, but is being reviewed for suitability.

5.6 Continued effort is made to minimise Council’s energy use and greenhouse gas emissions


Implement the data integrity and collection recommendations from the 2015 Sustainable Procurement Gap Analysis.

Completed The Sustainable Procurement Schedule has been fully developed and is now being used in all new Council tenders.

Reduce the City’s corporate greenhouse gas emissions through corporate initiatives.

Completed Eleven Council facilities have now had lighting upgrades and the City continues to implement its solar PV program.

64


Service Description

Net Cost Actual


$000

Parking and Animal Control

The Parking and Animal Control unit manages the City's parking control, animal management, school crossing supervision, aerodrome safety maintenance, and compliance and CCTV surveillance in the CBD.

1,7142,390(676)

Building and Property

The Building and Property unit develops, upgrades and maintains community assets and provides professional building advice and support to the public and promotes compliance with building codes and standards to ensure public safety.

(5,678)(5,485)

(193)


The Presentation and Assets Directorate advises Council on matters relating to the directorate and contributes to the executive management of the City.

(24,103)(23,861)

(242)

Waste Services

The Waste Services unit provides domestic waste collection services, is responsible for the operation of landfills and transfer stations, as well as street cleaning, drain and pit cleaning.

(15,256)(12,657)(2,600)

Sustainable Environment Unit

The Sustainable Environment unit provides a coordinated approach to the development of environmental policies, strategies, programs and processes, including climate change mitigation, adaptation and carbon management.

(896)(914)

18

Finance Unit The Finance unit is responsible for the sound and professional stewardship of Council finances and ensures financial accountability and compliance with the legislative framework.

(268)(524)

256

OUR PERFORMANCE




2015 2016 2017

Waste collection

Satisfaction

Kerbside bin collection requests

[Number of kerbside garbage and recycling bin collection requests / Number of kerbside bin collection households] x1000

166.92 135.31 154.26 The rollout of the organics service saw an increase in requests to downsize the kerbside garbage bin.

Service standard

Kerbside collection bins missed

[Number of kerbside garbage and recycling collection bins missed / Number of scheduled kerbside garbage and recycling collection bin lifts] x10,000

4.04 3.56 4.64 The increase of 1.08 missed bins per 10,000 household can be explained by the introduction of a third collection service.

Service cost

Cost of kerbside garbage bin collection service

[Direct cost of the kerbside garbage bin collection service / Number of kerbside garbage collection bins]

$140.35 $136.31 $135.03

Service cost

Cost of kerbside recyclables collection service

[Direct cost of the kerbside recyclables bin collection service / Number of kerbside recyclables collection bins]

$27.30 $27.30 $28.03

Waste diversion

Kerbside collection waste diverted from landfill

[Weight of recyclables and green organics collected from kerbside bins / Weight of garbage, recyclables and green organics collected from kerbside bins] x100

26% 28.65% 45.59% The increase in waste diverted from landfill is primarily due to the successful rollout of an organics service across the municipality, which began in September 2016.

66

GOVERNANCE, MANAGEMENT AND OTHER INFORMATION

GOVERNANCE

The Greater Bendigo City Council is constituted under the Local Government Act 1989 to provide leadership for the good governance of the municipal district and the local community.

Council has a number of roles including:

• Taking into account the diverse needs of the local community in decision-making

• Providing leadership and governing for all

• Ensuring that resources are managed in a responsible and accountable manner

• Advocating the interests of the local community to other communities and governments

• Fostering community cohesion and encouraging active participation in civic life

Council is committed to effective and sustainable forms of democratic and corporate governance as the key to ensuring that Council and its administration meet the community’s priorities and expectations. The

community has many opportunities to provide input into Council’s decision-making processes, including community consultation, public forums such as ward meetings and the ability to make submissions on a range of matters including strategies and plans. Council’s formal decision-making is conducted through Council meetings. Council delegates the day-to-day operating activities to City staff. These delegations are exercised in accordance with adopted Council policies and budget.



Meetings of Council Since January 2017 Council has conducted open public meetings on the third Wednesday of each month instead of every third Wednesday, which was the previous meeting cycle.

Members of the community are welcome to attend these meetings and observe from the gallery. There is also the opportunity to submit a question to the Council.

In 2016/2017 Council held the following meetings:

• 13 ordinary Council meetings

• 2 special Council meetings

The following table summarises councillor attendance at Council meetings for the 2016/2017 financial year. There are two lists of councillors because Council elections were held in October 2016.

Special committees The Act allows councils to establish one or more special committees consisting of:

• Councillors

• City staff

• Other persons

• Any combination of the above.

The table below contains a list of special committees established by the Council that are in operation and the purpose for which each committee was established.

Councillors Council Meeting

Special Council Meeting

Total

Cr Rod Fyffe (Mayor)

5 0 5

Cr Rod Campbell 4 0 4

Cr Elise Chapman 5 0 5

Cr Peter Cox 5 0 5

Cr Helen Leach 5 0 5

Cr Barry Lyons 5 0 5

Cr Lisa Ruffell 4 0 4

Cr Mark Weragoda 5 0 5

Cr James Williams 4 0 4

July 1, 2016 to October 12, 2016

Councillors Council Meeting

Special Council Meeting

Total

Cr Margaret O'Rourke (Mayor)

8 2 10

Cr Jennifer Alden 8 2 10

Cr Matt Emond 8 2 10

Cr George Flack 6 2 8

Cr Rod Fyffe 8 2 10

Cr Julie Hoskin 8 2 10

Cr Andrea Metcalf 8 2 10

Cr James Williams 7 2 9

Cr Yvonne Wrigglesworth 8 2 10

November 7, 2016 to June 30, 2017

Special Committee Councillors Officers Other Purpose

Bendigo Maubisse Friendship Committee

1 1 14 Facilitate volunteer support from the Bendigo community to the community of Maubisse, Timor Leste

68

Code of Conduct The Local Government Amendment (Improved Governance) Act 2015 became fully operational on March 1, 2016.

The amending Act makes changes to the Local Government Act 1989, particularly in relation to councillor conduct. These changes are intended to encourage improved standards of behaviour in order to strengthen Council governance.

This Code was in place at the general election on October 22, 2016 and, consequently, was the Code of Conduct for the new incoming councillors. Each new councillor declared they would abide by and sign the Code of Conduct before they commenced office.

The Act requires that council review and make any necessary amendments to its Councillor Code of Conduct within four months of an election. This process takes place by calling a special meeting solely for the purpose of reviewing the Councillor Code of Conduct; and approving any amendments deemed necessary by the Council. This special meeting was held in February 2017.

If any councillor did not comply with section 76(A) by signing the Code of Conduct within one (1) month of the special meeting, they would be disqualified as a councillor under Section 29(1)(e) of the Act.

Conflict of interestCouncillors are elected to act in the best interests of the community and govern for all. When Council delegates its powers to a City officer or a committee, the committee or officer also needs to act in the public interest. A conflict of interest occurs when a personal or private interest might compromise the ability to act in the public interest. A conflict of interest exists even if no improper act results from it. Declaration of a conflict of interest is a standard agenda item for all Council and Committee meetings. While the procedures vary depending on the particular role and circumstances, in general they involve disclosing the relevant interests and then stepping aside from the relevant

decision-making process or from the exercise of the public duty. During 2016/2017, 16 conflicts of interest were declared at Council meetings.

Councillor allowances Section 74 of the Local Government Act 1989, entitles councillors to receive an allowance while performing their duty as a councillor. The Mayor is also entitled to receive a higher allowance. The State Government sets the upper and lower limits for all allowances paid to councillors and Mayors. For the period July 1, 2016 to June 30,

2017, the councillor annual allowance was fixed at $31,652 per annum and the allowance for the Mayor was $101,104 per annum. The Minister for Local Government approved an annual adjustment of 2.5 percent from December 1, 2016 bringing the allowances to $32,443 per annum for councillors and $103,632 per annum for the Mayor. The following table contains a summary of the allowances paid to each councillor during the financial year.

Councillors Allowance $

Cr Rod Fyffe (Mayor) 33,701.52

Cr Rod Campbell 10,550.96

Cr Elise Chapman 10,550.96

Cr Peter Cox 10,550.96

Cr Helen Leach 10,550.96

Cr Barry Lyons 10,550.96

Cr Lisa Ruffell 10,550.96

Cr Mark Weragoda 10,550.97

Cr James Williams 10,550.96

Councillors Allowance $

Cr Margaret O'Rourke (Mayor) 69,911.73

Cr Jennifer Alden 22,599.43

Cr Matt Emond 22,598.43

Cr George Flack 21,242.58 (Cr Flack requested his allowance

be reduced by 10% as a cost-cutting initiative in the current economic

climate)

Cr Rod Fyffe 22,567.43

Cr Julie Hoskin 22,596.43

Cr Andrea Metcalf 22,595.43

Cr James Williams 22,591.43

Cr Yvonne Wrigglesworth 22,593.43

July 1, 2016 to October 12, 2016

November 7, 2016 to June 30, 2017



Councillor expenses Under Section 75 of the Local Government Act 1989, Council is required to reimburse a councillor for expenses incurred whilst performing his or her duties as a councillor. Council is also required to adopt and maintain a policy in relation to the reimbursement of expenses for councillors. The policy provides guidance for the payment of reimbursements of expenses and the provision of resources, facilities and other support to the Mayor and councillors to enable them to discharge their duties. Council also publishes in its Annual Report the details of the expenses, including reimbursement of expenses for each councillor and member of a Council Committee paid by the Council. The expenses for the 2016/2017 year are set out in the following table.

Councillors - current TR $ CM $ CC $ IC $ CT $ Total $

Cr Jennifer Alden Nov 2016 - Jun 2017 290 1,596 - 271 2,410 4,567

Cr Matt Emond Nov 2016 - Jun 2017 - - - 403 1,779 2,182

Cr George Flack Nov 2016 - Jun 2017 - - - 274 1,533 1,807

Cr Rod Fyffe Jul 2016 - Jun 2017 (Former Mayor)

4,439 4,219 - 1,584 2,165 12,407

Cr Julie Hoskin Nov 2016 - Jun 2017 273 1,874 - 595 4,017 6,759

Cr Andrea Metcalf Nov 2016 - Jun 2017 271 - - 657 2,492 3,420

Cr Margaret O'Rourke Nov 2016 - Jun 2017 (Current Mayor)

9,481 - - 1,181 6,782 17,444

Cr James Williams Jul 2016 - Jun 2017 512 446 - 1,495 4,736 7,189

Cr Yvonne Wrigglesworth Nov 2016 - Jun 2017

449 - 91 275 4,259 5,074

Councillors - former

Cr Rod Campbell Jul 2016 - Oct 2016 630 - - 311 10 951

Cr Elise Chapman Jul 2016 - Oct 2016 - 4,492 735 668 10 5,905

Cr Peter Cox Jul 2016 - Oct 2016 - 1,590 - 520 10 2,120

Cr Helen Leach Jul 2016 - Oct 2016 - 650 - 465 83 1,198

Cr Barry Lyons Jul 2016 - Oct 2016 - 2,480 - 518 83 3,081

Cr Lisa Ruffell Jul 2016 - Oct 2016 - - - 977 - 977

Cr Mark Weragoda Jul 2016 - Oct 2016 - 1,003 - 573 10 1,586

Legend: TR - Travel, CM - Car Mileage, CC - Child Care, IC - Information and Communication expenses, CT - Conferences and Training expenses

70

MANAGEMENT

Council has continued to implement a number of statutory and better practice programs to strengthen its management framework. Adhering to strong governance leads to better decision making by Council. The Act requires Council to undertake an assessment against the prescribed governance and management checklist and include this in its Annual Report. Council’s Governance and Management Checklist results are set out in the section following. The following items have been highlighted as important components of the management framework.

Audit Committee The Audit Committee's role is to report to Council and provide appropriate advice and recommendations relevant to its charter. This facilitates good decision making by Council. The Audit Committee plays a key role in oversight for financial reporting, internal control, risk management system, ethical accountability and the internal audit function. The Audit Committee consists of two councillors and three independent members, currently Mr Ken Belfrage (Chair), Mr Graham Bastian and Mr Warren Pollock (who replaced Ms Kate Scarce during the year). Independent members are appointed for a three year term. A sitting member is able to reapply and be appointed for subsequent terms, though all reappointments following second terms must be advertised. The Audit Committee meets at least four times a year with the Internal Auditor, Chief Executive Officer and Director Corporate Performance attending Audit Committee meetings. The external auditors attend in May and September each year to present the audit plan and independent audit report. Minutes of Audit Committee meetings are forwarded to councillors, including a report explaining any specific recommendations and key outcomes if relevant. Each year, the Chair reports to Council a summary of the activities and achievements of the Committee during the financial year.

Internal auditCouncil’s internal audit function provides independent and objective assurance that the appropriate processes and controls are in place across Council. The internal audit function is outsourced. The Internal Auditor undertakes a three yearly assessment of significant risks and exposures to establish the priority areas for review. The Internal Audit Plan is then revised annually and approved by the Audit Committee to ensure audit resources remain focused on appropriate areas. The review process considers Council’s risk framework, the Community Plan, the impact of any change on operations, systems or the business environment, prior audit coverage, and outcomes and management input. Each Audit Committee meeting receives a report on the status of the Internal Audit Plan and is presented the findings of completed reviews. The responsible Director and Manager for each area reviewed attend the Audit Committee meeting to respond to questions in relation to the review. Following the completion of reviews, any outstanding recommendations are assigned to responsible Managers and reported quarterly to the Executive Management Team and the Audit Committee.

Quality assurance is measured through the annual Audit Committee performance review and completion of the internal audit plan. The Annual Internal Audit Plan for 2016/2017 included the following reviews:

• Strategic Audit Plan • Contaminated Land• Corporate Governance and

Councillor Expenses • Tree Management • Depot Operations (including OH&S)

External audit Council is externally audited by the Victorian Auditor-General. For the 2016/2017 year, the annual external audit of Council’s Financial Statements and Performance Statement was conducted by the Victorian Auditor-General’s representative. The external

auditors attended the March and September Audit Committee meetings to present the annual audit plan and Independent Audit Report. The external audit management letter and responses are also provided to the Audit Committee.

Risk management The City's risk management framework (which is aligned to risk management ISO 31000) supports the achievement of corporate objectives by providing a clear and consistent approach to review, manage and report on risks. The approach is supported by a cross organisation software tool (CAMMS) which specifies actions from the Council Plan in the InterPlan Module and the Project Management Module – both of which contain embedded processes linked to the Risk Management Module. Quarterly reporting generated from these integrated modules provides assurance to the Executive Management Team (acting as the Risk Management Committee) and the City of Greater Bendigo Audit Committee.



GOVERNANCE AND MANAGEMENT CHECKLIST

The following are the results in the prescribed form of council’s assessment against the prescribed governance and management checklist.

Governance and management items Assessment

1 Community engagement policy Policy outlining Council’s commitment to engaging with the community on matters of public interest

Date of operation of current policy: April 13, 2016

2 Community engagement guidelines Guidelines to assist staff to determine when and how to engage with the community

Date of adoption: April 13, 2016

3 Strategic Resource Plan Plan under section 126 of the Act outlining the financial and non-financial resources required for at least the next four financial years

Date of adoption: June 21, 2017

4 Annual budget Plan under section 130 of the Act setting out the services to be provided and initiatives to be undertaken over the next 12 months and the funding and other resources required

Date of adoption: June 21, 2017

5 Asset management plans Plans that set out the asset maintenance and renewal needs for key infrastructure asset classes for at least the next 10 years

Date of operation for all plans: June 28, 2016

6 Rating strategy Strategy setting out the rating structure of Council to levy rates and charges

Date of operation: June 21, 2017

7 Risk policy Policy outlining Council’s commitment and approach to minimising the risks to Council’s operations

Date of operation: March 6, 2013

8 Fraud policy Policy outlining council’s commitment and approach to minimising the risk of fraud

Date of operation: July 14, 2015

9 Municipal emergency management plan Plan under section 20 of the Emergency Management Act 1986 for emergency prevention, response and recovery

Date of operation: August 15, 2016

10 Procurement policy Policy under section 186A of the Local Government Act 1989 outlining the matters, practices and procedures that will apply to all purchases of goods, services and works

Date of adoption: August 16, 2017

11 Business continuity plan Plan setting out the actions that will be undertaken to ensure that key services continue to operate in the event of a disaster

Date of adoption: March 31, 2017

12 Disaster recovery plan Plan setting out the actions that will be undertaken to recover and restore business capability in the event of a disaster

Date of adoption: March 31, 2017

72


13 Risk management framework Framework outlining Council’s approach to managing risks to the council’s operations

Date of operation: March 6, 2013

14 Audit Committee Advisory committee of Council under section 139 of the Act whose role is to oversee the integrity of a council’s financial reporting, processes to manage risks to the council’s operations and for compliance with applicable legal, ethical, and regulatory requirements

Date of establishment: April 10, 1994

15 Internal audit Independent accounting professionals engaged by the Council to provide analyses and recommendations aimed at improving Council’s governance, risk and management controls

Date of engagement of current provider: June 24, 2015

16 Performance reporting framework A set of indicators measuring financial and non-financial performance, including the performance indicators referred to in section 131 of the Act

Date of operation of current framework: July 1, 2013

17 Council Plan reporting Report reviewing the performance of the Council against the Council Plan, including the results in relation to the strategic indicators, for the first six months of the financial year

Reported to Council on: December 14, 2016 March 15, 2017 June 21, 2017

18 Financial reporting Quarterly statements to Council under section 138 of the Act comparing budgeted revenue and expenditure with actual revenue and expenditure

Reported to Council: December 14, 2016 March 15, 2017 June 21, 2017

19 Risk reporting Six-monthly reports of strategic risks to Council’s operations, their likelihood and consequences of occurring and risk minimisation strategies

End of 2015/2016 report went to Audit Committee on September 14, 2016 and to Council on October 12, 2016.

Half year 2016/2017 report went to Council on March 8, 2017 and Audit Committee on March 9, 2017.

20 Performance reporting Six-monthly reports of indicators measuring the results against financial and non-financial performance, including performance indicators referred to in section 131 of the Act

End of 2015/2016 reports to Audit Committee on September 14, 2016 and to Council on October 12, 2016.

Half Year report to Council on March 8, 2017 and Audit Committee on March 9, 2017.

21 Annual report Annual report under sections 131, 132 and 133 of the Act to the community containing a report of operations and audited financial and performance statements

Date presented: October 12, 2016

22 Councillor Code of Conduct Code under section 76C of the Act setting out the conduct principles and the dispute resolution processes to be followed by councillors

Reviewed in February 15, 2017




23 Delegations A document setting out the powers, duties and functions of Council and the Chief Executive Officer that have been delegated to members of staff

Updated March 21, 2017

24 Meeting procedures A Local Law governing the conduct of meetings of Council and special committees

Local Law created January 1, 2010

I certify that this information presents fairly the status of Council’s governance and management arrangements.

Craig Niemann Chief Executive Officer Dated: September 22, 2017

Cr Margaret O'Rourke Mayor Dated: September 22, 2017

74

STATUTORY INFORMATION

The following information is provided in accordance with legislative and other requirements applying to council.

Documents available for public inspectionIn accordance with Regulation 12 of the Local Government (General) Regulations 2015, the following is a list of the prescribed documents that are available for inspection or copies of the documents can be obtained for the purposes of section 222 of the Local Government Act 1989 at 195-229 Lyttleton Terrace, Bendigo

• A document containing details of overseas or interstate travel (other than interstate travel by land for less than 3 days) undertaken in an official capacity by any councillor or member of staff in the previous 12 months, including—

- the name of the councillor or member of staff; and

- the dates on which the travel began and ended; and

- the destination of the travel; and- the purpose of the travel; and- the total cost to the Council of the

travel, including accommodation costs;

• The agendas for, and minutes of, ordinary and special meetings held in the previous 12 months which are kept under section 93 of the Act, other than those agendas and minutes relating to a part of a meeting which was closed to members of the public under section 89 of the Act and are confidential information within the meaning of section 77(2) of the Act;

• The minutes of meetings of special committees established under section 86 of the Act and held in the previous 12 months, other than those minutes relating to a part of a meeting which was closed to members of the public under section 89 of the Act and are confidential information within the meaning of section 77(2) of the Act;

• A register of delegations kept under sections 87(1) and 98(4) of the Act, including the date on which the last

review took place under sections 86(6) and 98(6), respectively, of the Act;

• A document containing details of all leases involving land which were entered into by the Council as lessor, including the lessee and the terms and the value of the lease;

• A register maintained under section 224(1A) of the Act of authorised officers appointed under that section;

• A list of donations and grants made by the Council in the previous 12 months, including the names of persons who, or bodies which, have received a donation or grant and the amount of each donation or grant.

Best valueThe Local Government Act 1989 identifies six Best Value Principles that every council in Victoria must comply with when providing services to the community, which are as follows:

a) All services provided by a council must meet quality and cost standards

b) All services provided by a council must be responsive to the needs of the community

c) Each service provided by a council must be accessible to those members of the community for whom the service is intended

d) A council must achieve continuous improvement in its provision of services for its community

e) A council must develop a program of regular consultation with its community in relation to the services it provides

f) A council must report regularly to its community on its achievements in relation to the Best Value Principles

The City has a hierarchy of indicators that monitor performance outcomes. These are the Strategic Indicators (Liveability Indicators), Council Plan actions, Budget actuals and variances and indicators set out in the Local Government Performance Reporting Framework. A hierarchy of plans in the

Integrated Planning and Reporting Framework ensures that services are responsive to community needs which have been identified through service reviews and a variety of community engagement processes such as community forums, small township meetings, questionnaires, meetings, surveys and customer requests.

Other actions undertaken this year that support Best Value include:

• Continuing program of service reviews undertaken by various units within the City

• Comprehensive consultation with the community through the development of the Community Plan and Public Health and Wellbeing Plan

• Annual budget process

Community Access and Inclusion Plan (Disability Action Plan)In accordance with section 38 of the Disability Act 2006, in 2015 the City prepared a Community Access and Inclusion Plan (Disability Action Plan), which has a three-year life span. During 2016/2017 the City achieved the following progress on actions in the Plan:

• Established the City’s first Disability Inclusion Reference Committee to advise Council on matters relating to disability access and inclusion

• Began rolling out the Inclusive Towns project, which assists businesses to become more accessible for people with disabilities

• Worked with the Customer Support team to develop communication boards to assist people with disabilities to communicate their needs to staff

• Funding secured for the construction of a ‘Changing Place’ (a fully accessible bathroom) for Bendigo

• Purchased a Marveloo (a fully accessible mobile bathroom) for use at City and community events



Carers recognitionIn accordance with the Carers Recognition Act 2012, Council is required to report annually on its care measurement obligations under Section 11 of that Act. Council has taken all practicable measures to comply with its responsibilities outlined in the Carers Recognition Act 2012. Council has promoted the principles of that Act to people in care relationships who receive council services, to people in care relationships and to the wider community by:

• Distributing printed material through relevant Council services

• Providing information to organisations represented in Council/community networks

Council has taken all practicable measures to ensure staff, Council agents and volunteers working for Council are informed about the principles and obligations of the Act by including information on the care relationship in:

• Council induction and training programs for staff working in Home Support Services

• Council induction and training programs for staff working in frontline positions with the general community

• Induction and training programs for volunteers working directly with the community

Council has taken all practicable measures to review and modify policies, procedures and supports to include recognition of the carer

relationship and has provided the following additional activities and resources to recognise the care relationship:

• Link carers to Carers Support Group and Advocacy supports

• Provision of respite services for care recipients to maintain healthy relationships with their carer

• Provision of Social Support Groups for clients and their carers

ContractsDuring the year Council did not enter into any contracts valued at $150,000 (including GST) or more for services or goods, or $200,000 (including GST) or more for works without engaging in a competitive process.

Local Law Description Function

Number 1 Revocation Revoking previous Local Laws so that they do not run concurrently with new laws adopted as of January 1, 2000.

Number 2 Keeping of Animals To regulate and control activities associated with the keeping of animals so as to provide for the welfare of animals and to protect the general amenity.

Number 3 Environment Regulates and controls activities to protect and conserve the environment such as domestic/trade waste; open air burning and incinerators; European wasps and unsightly land.

Number 4 Streets and Roads The objective is to control certain secondary uses of streets and roads including street parties, processions and the display of advertising signs. The Local Law also requires that properties display their property number, regulates the construction of vehicle crossings and prevents the sale of vehicles on roadways.

Number 5 Municipal Places Regulates and controls activities in public places, such as consumption of liquor; cigarette vending machines; activities in trading areas, outdoor eating areas and camping to ensure peace, order and good governance.

Number 8 Process of Municipal Government

Municipal Government processes.

Number 9 Bendigo Livestock Exchange

Allows for the management and administration of the Bendigo Livestock Exchange.

Number 10 Administration Sets out the procedures for administering local laws.

Number 11 Protection of Public Assets and Control of Building Sites

Protecting public assets vested in Council and setting standards for the management of building sites.

Local Laws in force in Greater Bendigo

Freedom of informationIn accordance with section 7(4AA) (a) and 7(4AA)(b) of the Freedom of Information Act 1982, Council is required to publish certain statements in their annual report or separately such as on its website, concerning its functions and information available.

Council has chosen to publish the statements separately, however provides the following summary of the application and operation of the Freedom of Information Act 1982. Access to documents may be obtained through written request to the Freedom of Information Officer, as detailed in section 17 of the Freedom of Information Act 1982 and in summary as follows:

• It should be in writing

• It should identify as clearly as possible which document is being requested

• It should be accompanied by the appropriate application fee (the fee may be waived in certain circumstances)

Requests for access to information under the Freedom of Information Act should be lodged on the Freedom of Information application form and sent to the Freedom of Information Officer. Requests can also be lodged online or by email.

Access charges may also apply once documents have been processed and a decision on access is made (e.g. photocopying and search and retrieval charges).

Protected disclosure procedures In accordance with section 69 of the Protected Disclosure Act 2012 a council must include in its annual report information about how to access the procedures established by the Council under Part 9 of that Act. It is also required to provide certain information about the number and types of protected disclosure complaints investigated during the financial year.

Procedures on how to make a disclosure are publicly available on the City's website. During the 2016/2017 year no disclosures were notified to City officers appointed to receive disclosures or to IBAC.

Human Rights and ResponsibilitiesAll public authorities in Victoria are obliged to comply with the Victorian Charter of Human Rights and Responsibilities Act 2006. The development of the Bendigo Human Rights Charter 2014 articulated Council responsibilities and strengthened the commitment to Human Rights.

In 2016 Council adopted the Greater Bendigo Cultural Diversity and Inclusion Plan; and the Greater Bendigo Reconciliation Plan in consultation with key stakeholders.

Actions completed as part of the Cultural Diversity and Inclusion Plan and Reconciliation Plan in 2016/2017 include:

• Aboriginal cultural awareness training delivered for councillors and senior staff

• All staff diversity and inclusion training is under development to be rolled out in late 2017

• Support provided to the inaugural Bendigo Indigenous Film Festival

• NAIDOC Week Flag Raising Ceremony hosted at the Bendigo Town Hall and participation in events including Children’s Day

Road Management Act Ministerial DirectionsIn accordance with section 22 of the Road Management Act 2004, Council must publish a copy or summary of any Ministerial Direction in its Annual Report.

No such Ministerial Directions were received by the City during the 2016/2017 financial year.

Food Act Ministerial DirectionsIn accordance with section 7E of the Food Act 1984, Council is required to publish a summary of any Ministerial Directions received during the financial year in its annual report.

No such Ministerial Directions were received by the City during the financial year.

Total Applications

Granted in Full

Granted in Part

Denied Withdrawn No Document found or does

not exist

Transferred

2016/2017 26 14 7 3 Nil Nil 2

2015/2016 16 4 9 3 Nil Nil Nil

2014/2015 35 16 12 3 Nil 4 Nil

2013/2014 17 6 8 2 Nil 1 Nil

2012/2013 16 4 7 Nil 2 Nil Nil

2011/2012 40 11 17 6 6 Nil Nil

Further information can be found at www.foi.vic.gov.au and on the City's website: www.bendigo.vic.gov.au

Freedom of Information Applications

76


Domestic Animal Management Plan

The Domestic Animal Management Plan 2016 – 2021 (DAMP) was adopted in July 2016.

Some of the key strategies and actions the DAMP 2016 – 2021 identifies are to:

• Ensure officers are adequately trained to administer and enforce the Domestic Animals Act 1994

• Promote and encourage responsible pet ownership

• Minimise the risk of dog attacks

• Address over-population and high euthanasia rates for dogs and cats

• Minimise the potential for dogs and cats to create a nuisance

• Identify dangerous, menacing and restricted breed dogs and ensure these dogs are kept in compliance with the Domestic Animals Act 1994

• Identify and register all Domestic Animal Businesses in the municipality and ensure they are in compliance with the Domestic Animals Act 1994


78

GLOSSARY

Act means the Local Government Act 1989

Annual report means a report of the Council’s operations of the previous financial year and contains a report of operations, audited financial statements and an audited performance statement

Appropriateness means indicators or measures that provide users with sufficient information to assess the extent to which an entity has achieved a pre-determined target, goal or outcome

Budget means a plan setting out the services and initiatives to be funded for the financial year and how they will contribute to achieving the strategic objectives specified in the Council Plan

Council Plan means a plan setting out the medium-term strategic objectives, strategies, strategic indicators and resources reflecting vision and aspirations of the community for a four year period

Financial performance indicators means a prescribed set of indicators and measures that assess the effectiveness of financial management in a council covering operating position, liquidity, obligations, stability and efficiency

Financial statements means the financial statements and notes prepared in accordance with the Local Government Model Financial Report, Australian Accounting Standards and other applicable standards as they apply to the general purpose financial reports and a statement of capital works and included in the annual report

Financial year means the period of 12 months ending on June 30 each year

Governance and management checklist means a prescribed checklist of policies, plans and documents that councils must report the status of in the report of operations, covering engagement, planning, monitoring, reporting and decision making

Indicator means what will be measured to assess performance

Initiatives means actions that are one-off in nature and/or lead to improvements in service

Major initiative means significant initiatives that will directly contribute to the achievement of the council plan during the current year and have a major focus in the budget

Measure means how an indicator will be measured and takes the form of a computation, typically including a numerator and denominator

Minister means the Minister for Local Government

Performance statement means a statement including the results of the prescribed service outcome indicators, financial performance indicators and sustainable capacity indicators for the financial year and included in the annual report

Planning and accountability framework means the key statutory planning and reporting documents that are required to be prepared by councils to ensure accountability to local communities in the performance of functions and exercise of powers under the Act

Regulations means the Local Government (Planning and Reporting) Regulations 2014



Relevance means indicators or measures that have a logical and consistent relationship to an entity's objectives and are linked to the outcomes to be achieved

Report of operations means a report containing a description of the operations of the Council during the financial year and included in the annual report

Services means assistance, support, advice and other actions undertaken by a council for the benefit of the local community

Service outcome indicators means the prescribed service performance indicators to be included in the performance statement which measure whether the stated service objective has been achieved

Service performance indicators means a prescribed set of indicators measuring the effectiveness and efficiency of Council services covering appropriateness, quality, cost and service outcomes

Strategic objectives means the outcomes a Council is seeking to achieve over the next four years and included in the Council Plan

Strategic resource plan means a plan of the financial and non-financial resources for at least the next four years required to achieve the strategic objectives in the Council Plan. It is also referred to as a long term financial plan

Strategies means high level actions directed at achieving the strategic objectives in the Council Plan

Sustainable capacity indicators means a prescribed set of indicators measuring whether councils have the capacity to meet the agreed service and infrastructure needs of the local community and absorb foreseeable changes and unexpected shocks into the future covering financial performance, capacity and governance and management

80

Greater Bendigo City CouncilFinancial StatementsFor the Year Ended 30 June 2017

FINANCIAL STATEMENTS 2016/2017


FINANCIAL REPORT Page

Financial StatementsComprehensive Income Statement 1Balance Sheet 2Statement of Changes in Equity 3Statement of Cash Flows 4Statement of Capital Works 5

Notes to Financial StatementsIntroductionNote 1 Significant Accounting Policies 6Note 2 Budget Comparisons 15Note 3 Rates and Charges 19Note 4 Statutory Fees and Fines 19Note 5 User Fees and Charges 20Note 6 Contributions 20Note 7 Net Gain/ (Loss) on Disposal of Property, Infrastructure, Plant and Equipment 20Note 8 Grants 21Note 9 Other Income 22Note 10 Employee Costs 22Note 11 Contract Payments, Materials and Services 23Note 12 Depreciation 23Note 13 Other Expenses 24Note 14 Investments in Associates 24Note 15 Cash and Cash Equivalents 25Note 16 Other Financial Assets 25Note 17 Non-Current Assets Held For Sale 25Note 18 Other Assets 25Note 19 Trade and Other Receivables 26Note 20 Property, Infrastructure and Plant Equipment 27Note 21 Forestry Plantations 33Note 22 Intangible Assets 33Note 23 Trade and Other Payables 33Note 24 Trust Funds and Deposits 34Note 25 Provisions 34Note 26 Interest Bearing Loans and Borrowings 36Note 27 Reserves 37Note 28 Notes to Cash Flow Statement 39Note 29 Commitments for Expenditure 40Note 30 Operating Lease Commitments 41Note 31 Superannuation 41Note 32 Contingent Liabilities 43Note 33 Cintingent Assets 44Note 34 Financial Instruments 45Note 35 Related Party Transactions 47Note 36 Senior Officer Remuneration 49Note 37 Events Occurring after Balance Date 49Certification of Financial Statements 50Auditor General's Report - Financial Statements 51Performance Statement for 2016/2017 53Certification of Performance Statement 63Auditor General's Report - Performance Statement 64

Greater Bendigo City Council

Table of ContentsFinancial Report

8283848586

8796100100101101101102103103104104105105106106106106107108114114114115115117118120121122122124125126128130130131132134144145

82

Comprehensive Income StatementFor the Year Ended 30 June 2017

Greater Bendigo City Council2017 2016

Note $'000 $'000

INCOME

Rates and Charges 3 106,143 99,971

Statutory Fees and Fines 4 4,466 3,818

User Charges, Fees and Fines 5 24,650 25,519

Contributions - Cash 6 19,193 7,523

Contributions - Non Monetary 6 20,342 17,095

Found Assets 20 21,782 1,691

Grants - Operating 8 32,784 19,342

Grants - Capital 8 14,125 32,130

Interest on Investments 1,722 1,645

Other Income 9 1,751 1,735

Total Income 246,958 210,469

EXPENSES

Employee Costs 10(a) 58,302 56,910

Contract Payments, Materials and Services 11 71,583 68,322

Depreciation and Amortisation 12 31,230 30,149

Borrowing Costs 1,773 1,716

Bad and Doubtful Debts 731 293

Other Items of Expense 13 5,035 2,696

Net Loss on Disposal of Property, Plant, 7 27,225 8,981Infrastructure and Assets Held for SaleShare of Losses / (Profits) of Associates 14 898 (90)

Total Expenses 196,777 168,977

Surplus for the year 50,181 41,492

Other Comprehensive IncomeItems that will not be reclassified to surplus or deficit:

Net Asset Revaluation Increments 27(a) 23,500 14,042

Total comprehensive result 73,681 55,534

The above comprehensive income statement should be read with the accompanying notes.

Page 1



Balance SheetAs at 30 June 2017

Greater Bendigo City Council2017 2016

Note $'000 $'000ASSETSCurrent AssetsCash and Cash Equivalents 15 79,950 65,115 Trade and Other Receivables 19 16,105 19,727 Other Financial Assets 16 - 34 Inventories 241 175 Non-Current Assets Held for Sale 17 335 - Other Assets 18 1,953 2,274

Total Current Assets 98,584 87,325

Non-Current AssetsInvestments in Associates 14 3,222 4,120Trade and Other Receivables 19 85 84Property, Infrastructure, Plant and Equipment 20 1,428,320 1,341,542Forestry Plantations 21 63 57Intangible Assets 22 4,220 2,583

Total Non-Current Assets 1,435,910 1,348,386TOTAL ASSETS 1,534,494 1,435,711

Current LiabilitiesTrade and Other Payables 23 17,584 14,082Trust Funds and Deposits 24 3,112 3,151Provisions 25(a) 17,273 15,499Interest Bearing Loans and Borrowings 26 3,705 1,964

Total Current Liabilities 41,674 34,696

Non-Current LiabilitiesProvisions 25(a) 12,518 7,689Interest Bearing Loans and Borrowings 26 46,779 33,484

Total Non-Current Liabilities 59,297 41,173TOTAL LIABILITIES 100,971 75,869

NET ASSETS 1,433,523 1,359,842

EquityAccumulated Surplus 660,206 603,406Reserves 27 773,317 756,436

TOTAL EQUITY 1,433,523 1,359,842

The above balance sheet should be read in conjunction with the accompanying notes.

Page 2

84

Statement of Changes in EquityFor the Year Ended 30 June 2017Greater Bendigo City Council

Total Accumulated Surplus

Asset Revaluation

Reserve

Statutory Reserve

Discretionary Reserves

Note $'000 $'000 $'000 $'000 $'000

Balance at 1 July 2016 1,359,842 603,406 716,121 6,379 33,936Surplus for the Year 50,181 50,181 - - - Net Assets Revaluation Increment 27(a) 23,500 - 23,500 - - Transfer to Other Reserves 27(b) - (13,269) - 1,371 11,898 Transfer from Other Reserves 27(b) - 19,888 - (710) (19,178)

Balance at 30 June 2017 1,433,523 660,206 739,621 7,040 26,656

Total Accumulated Surplus

Asset Revaluation

Reserve

Statutory Reserve

Discretionary Reserves

Note $'000 $'000 $'000 $'000 $'000

Balance at 1 July 2015 1,304,308 575,373 702,079 5,207 21,649 Surplus for the Year 41,492 41,492 - - - Net Assets Revaluation Increment 27(a) 14,042 - 14,042 - - Transfer to Other Reserves 27(b) - (23,985) - 2,045 21,940Transfer from Other Reserves 27(b) - 10,526 - (873) (9,653)

Balance at 30 June 2016 1,359,842 603,406 716,121 6,379 33,936

The above statement of changes in equity should be read in conjunction with the accompanying notes.

Page 3



Statement of Cash FlowsFor the Year Ended 30 June 2017Greater Bendigo City Council

2017 2016Note $'000 $'000

Cash Flows from Operating ActivitiesRate and Charges 106,143 99,803 Statutory Fees and Fines 4,913 4,200 User Charges Fees and Fines 26,311 27,303 Grants - Operating 34,423 20,309 Grants - Capital 18,634 23,575 Contributions - Monetary 21,112 8,275 Interest Received 1,722 1,872 Other Receipts 1,906 1,872 Net GST Refund (661) 1,503 Employee Costs (58,671) (57,485) Materials and Services (74,707) (88,102) Trust Monies Repaid (43) -

Net Cash Provided by / (Used in) Operating Activities 28(b) 81,082 43,125

Cash Flows from Investing ActivitiesProceeds - Sale of Property, Plant and Equipment and Infrastructure 7 731 1,103 Payments - Property, Plant, Equipment and Infrastructure (80,335) (43,969) Proceeds from Investments 34 5,966 Net Cash Provided by / (Used in) Investing Activities (79,570) (36,900)

Cash Flows from Financing ActivitiesLoans for Heritage Loans (48) (15) Loan Repayments from Heritage Loans 54 65 Loans to Local Organisations (15) (46) Loan Repayments by Local Organisations 69 60 Proceeds from Borrowings 17,000 5,000 Repayment of Borrowings (1,964) (1,402) Finance Costs (1,773) (1,679)

Net Cash Provided by / (Used In) by Financing Activities 13,323 1,983 Net Increase / (Decrease) in Cash and Cash Equivalents 14,835 8,208

Cash and Cash Equivalents at beginning of Financial Year 65,115 56,907

Cash and Cash Equivalents at the end of Financial Year 28(a) 79,950 65,115

Financing Arrangements 28(c) 3,900 3,900

Restrictions on Cash Assets 36,808 43,466

Inflows / (Outflows)

The above cash flow statement should be read in conjunction with the accompanying notes.

Page 4

86

Statement of Capital WorksFor the Year Ended 30 June 2017Greater Bendigo City Council

2017 2016Capital Works Areas Note $'000 $'000

PropertyLand 446 - Buildings 27,495 8,482 Total Property 20 27,941 8,482

Plant and EquipmentPlant, Machinery and Equipment 4,053 3,850 Office Equipment, Furniture and Fittings 598 511 Artwork - 76 Fountains Statues and Monuments 156 61 Total Plant & Equipment 20 4,807 4,498

InfrastructureLand Improvements 390 4,047 Bridges 2,846 1,163 Sealed Roads 26,118 13,012 Unsealed Roads 3,006 2,051 Pathways 2,538 2,861 Drainage 7,040 4,796 Public Furniture and Fittings 5,649 3,131 Total Capital Infrastructure 20 47,587 31,061

Total Capital Works Expenditure 80,335 44,041

Represented by:New Assets 31,018 10,091 Renewal 29,474 23,241 Upgrade 8,449 2,017 Expansion 11,394 8,692 Total Capital Works Expenditure 80,335 44,041

Page 5



Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City CouncilIntroduction

Note 1 Significant Accounting Policies

(d) Committees of Management

(b) Change in Accounting Policies There have been no changes in accounting policies from the previous period.

Council has considered the principles of AASB 10 Consolidated Financial Statements and have determinedthat there are no entities controlled by Council.

(c) Principles of Consolidation

Council has one Committee of Management. The Council asset it controls is included in the accounts of theCouncil. The revenues and expenses of the Committee is not significant, and has not been included in thesefinancial statements.

These financial statements are a general purpose financial report that consists of an Comprehensive IncomeStatement, Balance Sheet, Statement of Changes in Equity, Statement of Cash Flows, Statement of CapitalWorks and notes accompanying these financial statements. The general purpose financial report complieswith applicable Australian Accounting Standards, other authoritative pronouncements of the AustralianAccounting Standards Board, the Local Government Act 1989, and the Local Government (Planning andReporting) Regulations 2014.

(a) Basis of Accounting

Judgements, estimates and assumptions are required to be made about the carrying values of assets andliabilities that are not readily apparent from other sources. The estimates and associated judgements arebased on professional judgement derived from historical experience and various other factors that arebelieved to be reasonable under the circumstances. Actual results may differ from these estimates.

The City of Greater Bendigo was established by an order of the Governor in Council on 10 September 1993and is a body corporate. The Council's main office is located at 192-229 Lyttleton Terrace.

Unless otherwise stated, all accounting policies are consistent with those applied in the prior year. Whereappropriate, comparative figures have been amended to accord with current presentation, and disclosure hasbeen made of any material changes to comparatives.

- the fair value of land, buildings, infrastructure, plant and equipment (refer to Note 1 (m) ) - the determination of depreciation for buildings, infrastructure, plant and equipment (refer to Note 1 (n)) - the determination of employee provisions (refer to Note 1 (t))

The accrual basis of accounting has been used in the preparation of these financial statements, wherebyassets, liabilities, equity, income and expenses are recognised in the reporting period to which they relate,regardless of when cash is received or paid.

Revisions to accounting estimates are recognised in the period in which the estimate is revised and also infuture periods that are affected by the revision. Judgements and assumptions made by management in theapplication of AAS's that have significant effects on the financial statements and estimates relate to:

Statement of Compliance

Page 6

88

Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City CouncilNote 1 Significant Accounting Policies (cont.)(e) Accounting for Investments in Associates and Joint ArrangementsAssociates

Joint Arrangements

Rates and Charges

Statutory Fees and Fines

User Fees

Grants

Monetary and non monetary contributions are recognised as revenue when Council obtains control over thecontributed asset.

Associates are all entities over which Council has significant influence but not control or joint control.Investments in associates are accounted for using the equity method of accounting, after initially beingrecognised at cost.

Investments in joint arrangements are classified as either joint operations or joint ventures depending on thecontractual rights and obligations each investor has, rather than the legal structure of the joint arrangement.

Council recognises its direct right to the, and its share of jointly held assets, liabilities, revenues and expensesof joint operations. These have been incorporated in the financial statements under the appropriate headings.

Interests in joint ventures are accounted for using the equity method. Under this method, the interests areinitially recognised in the consolidated balance sheet at cost and adjusted thereafter to recognise Council’sshare of the post-acquisition profits or losses and movements in other comprehensive income in profit or lossand other comprehensive income respectively.

(i) Joint Operations

(ii) Joint Ventures

Where grants or contributions recognised as revenues during the financial year were obtained on conditionthat they be expended in a particular manner or used over a particular period and those conditions wereundischarged at balance date, the unused grant or contribution is disclosed in Note 9. The note also disclosesthe amount of unused grant or contribution from prior years that was expended on Council’s operations duringthe current year.

Contributions

(f) Revenue RecognitionIncome is recognised when the Council obtains control of the contribution or the right to receive thecontribution, it is probable that the economic benefits comprising the contribution will flow to the Council andthe amount of the contribution can be measured reliably.

Annual rates and charges are recognised as revenues when Council issues annual rates notices.Supplementary rates are recognised when a valuation and reassessment is completed and a supplementaryrates notice issued.

Statutory fees and fines (including parking fees and fines) are recognised as revenue when the service hasbeen provided, the payment is received, or when the penalty has been applied, whichever first occurs.

Grant income is recognised when Council obtains control of the contribution. This is normally obtained upontheir receipt (or acquittal) or upon earlier notification that a grant has been secured, and are valued at their fairvalue at the date of transfer.

User fees are recognised as revenue when the service has been provided or the payment is received,whichever first occurs.

Page 7



Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City Council

Note 1 Significant Accounting Policies (cont.)

(h) Cash and Cash EquivalentsCash and cash equivalents include cash on hand, deposits at call, and other highly liquid investmentswith original maturities of 90 days or less, net of outstanding bank overdrafts.

Short term receivables are carried at invoice amount as amortised cost using the effective interestrate method would not impact the carrying value. A provision for doubtful debts is recognised whenthere is objective evidence that an impairment has occurred.

(i) Trade and Other Receivables

In addition, Council determines whether transfers have occurred between levels in the hierarchy by re-assessing categorisation (based on the lowest level input that is significant to the fair value measurement as awhole) at the end of each reporting period.

Other income is measured at the fair value of the consideration received or receivable and is recognised whenCouncil gains control over the right to receive the income.

InterestInterest is recognised as it is earned.

DividendsDividend revenue is recognised when the Council's right to receive payment is established.

The profit or loss on sale of an asset is determined when control of the asset has irrevocably passed to thebuyer.

Sale of property, infrastructure, plant and equipment

Other Income

Level 2 — Valuation techniques for which the lowest level input that is significant to the fair valuemeasurement is directly or indirectly observable; andLevel 3 — Valuation techniques for which the lowest level input that is significant to the fair valuemeasurement is unobservable.

For the purpose of fair value disclosures, Council has determined classes of assets and liabilities on the basisof the nature, characteristics and risks of the asset or liability and the level of the fair value hierarchy asexplained above.

(g) Fair Value MeasurementCouncil measures certain assets and liabilities at fair value where required or permitted by AustralianAccounting Standards. AASB 13 Fair value measurement, aims to improve consistency and reduce complexityby providing a definition of fair value and a single source of fair value measurement and disclosurerequirements for use across Australian Accounting Standards.

AASB 13 defines fair value as the price that would be received to sell an asset or paid to transfer a liability inan orderly transaction between market participants at the measurement date. Fair value under AASB 13 is anexit price regardless of whether that price is directly observable or estimated using another valuationtechnique.

All assets and liabilities for which fair value is measured or disclosed in the financial statements arecategorised within a fair value hierarchy, described as follows, based on the lowest level input that is significantto the fair value measurement as a whole:

Level 1 — Quoted (unadjusted) market prices in active markets for identical assets or liabilities

Page 8

90

Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City CouncilNote 1 Significant Accounting Policies (cont.)

Acquisition

RevaluationSubsequent to the initial recognition of assets, non-current physical assets, other than plant and equipment, aremeasured at their fair value, being the amount for which the assets could be exchanged between Subsequent tothe initial recognition of assets, non-current physical assets, other than plant and equipment, are measured attheir fair value, being the price that would be received to sell an asset or paid to transfer a liability in an orderlytransaction between market participants at the measurement date. At balance date, the Council reviewed thecarrying value of the individual classes of assets measured at fair value to ensure that each asset materiallyapproximated its fair value. Where the carrying value materially differed from the fair value at balance date, theclass of asset was revalued.

Fair value valuations are determined in accordance with a valuation hierarchy. Changes to the valuationhierarchy will only occur if an external change in the restrictions or limitations of use on an asset result in changesto the permissible or practical highest and best use of the asset. Further details regarding the fair value hierarchyare disclosed at Note 20, Property, Infrastructure, Plant and Equipment.

In addition, Council undertakes a formal revaluation of land, buildings, and infrastructure assets on a regularbasis ranging from 1 to 5 years. The valuation is performed either by experienced council officers or independentexperts.

Inventories held for distribution are measured at cost adjusted when applicable for any loss of service potential.

All other inventories, including land held for sale, are measured at the lower of cost and net realisable value.Where Inventories are acquired for no cost or nominal consideration, they are measured at current replacementcost at the date of acquisition.

(j) Other Financial Assets

In accordance with Council's policy, the threshold limits detailed in Note 1(n) have applied when recognisingassets within an applicable asset class and unless otherwise stated are consistent with the prior year.

(m) Recognition and Measurement of Property, Plant and Equipment, Infrastructure, Intangibles

(l) Non-current Assets Classified as Held for SaleA non-current asset classified as held for sale (including disposal groups) is measured at the lower of its carryingamount and fair value less costs to sell, and are not subject to depreciation. Non-current assets, disposal groupsand related liabilities and assets are treated as current and classified as held for sale if their carrying amount willbe recovered through a sale transaction rather than through continuing use. This condition is regarded as metonly when the sale is highly probable and the asset's sale (or disposal group sale) is expected to be completedwithin 12 months from the date of classification.

Where assets are constructed by Council, cost includes all materials used in construction, direct labour,borrowing costs incurred during construction, and an appropriate share of directly attributable variable and fixedoverheads.

The purchase method of accounting is used for all acquisitions of assets, being the fair value of assets providedas consideration at the date of acquisition plus any incidental costs attributable to the acquisition. Fair value isthe amount for which the asset could be exchanged between knowledgeable willing parties in an arm's lengthtransaction.

Other financial assets are valued at fair value, being market value, at balance date. Term deposits are measuredat amortised cost. Any unrealised gains and losses on holdings at balance date are recognised as either arevenue or expense.

(k) Inventories

Page 9



Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City CouncilNote 1 Significant Accounting Policies (cont.)Revaluation (cont.)

Land Under Roads

Asset Recognition Thresholds and Depreciation PeriodsDepreciation

PeriodThreshold

Limit$000

Property land - $0 land improvements 10-80 years $5Buildings 20-125 years $10-$20Plant and Equipment plant and equipment 1-20 years $1 office equipment, furniture and fittings 1-20 years $1 artwork - $0Infrastructure sealed roads 2-100 years $5-$20 unsealed roads 15-100 years $5-$10 pathways 25-50 years $5 bridges 100 years $10-$20 drainage 100 years $5-$20 public furniture and fittings 8-25 years $2-$5 fountains, statues and monuments 80-100 years $5 landfill 8 years $0Intangibles landfill airspace 6-10 years $0

Where the assets are revalued, the revaluation increments are credited directly to the asset revaluation reserveexcept to the extent that an increment reverses a prior year decrement for that class of asset that had beenrecognised as an expense in which case the increment is recognised as revenue up to the amount of theexpense. Revaluation decrements are recognised as an expense except where prior increments are included inthe asset revaluation reserve for that class of asset in which case the decrement is taken to the reserve to theextent of the remaining increments. Within the same class of assets, revaluation increments and decrementswithin the year are offset.

(n) Depreciation and Amortisation of Property, Infrastructure, Plant and Equipment and IntangiblesBuildings, land improvements, plant and equipment, infrastructure, and other assets having limited useful livesare systematically depreciated over their useful lives to the Council in a manner which reflects consumption of theservice potential embodied in those assets. Estimates of remaining useful lives and residual values are made ona regular basis with major asset classes reassessed annually. Depreciation rates and methods are reviewed

Land under Roads acquired after 30 June 2008 is brought to account using the fair value basis. Council does notrecognise land under roads that it controlled prior to that period in it's financial statements. Council recognisesland under roads at fair value.

Where assets have separate identifiable components that are subject to regular replacement, these componentsare assigned distinct useful lives and residual values and a separate depreciation rate is determined for eachcomponent.

Road earthworks are not depreciated on the basis that they are assessed as not having a limited useful life.Straight line depreciation is charged based on the residual useful life as determined each year.Depreciation periods used are listed below and are consistent with the prior year unless otherwise stated.

Page 10

92


At each reporting date, the Council reviews the carrying value of its assets to determine whether there is anyindication that these assets have been impaired. If such an indication exists, the recoverable amount of theasset, being the higher of the asset's fair value less costs to sell and value in use, is compared to the assetscarrying value. Any excess of the assets carrying value over its recoverable amount is expensed to thecomprehensive income statement, unless the asset is carried at the revalued amount in which case, theimpairment loss is recognised directly against the revaluation surplus in respect of the same class of asset tothe extent that the impairment loss does not exceed the amount in the revaluation surplus for that same classof asset.

(p) Investment PropertyInvestment property may be held to generate long-term rental yields. Investment property is measured initiallyat cost, including transaction costs. Costs incurred subsequent to initial acquisition are capitalised when it isprobable that future economic benefit in excess of the originally assessed performance of the asset will flow tothe Council. Subsequent to initial recognition at cost, investment property is carried at fair value, determinedannually by independent valuers. Changes to fair value are recorded in the comprehensive income statementin the period that they arise. Rental income from the leasing of investment properties is recognised in thecomprehensive income statement on a straight line basis over the lease term.

(o) Repairs and MaintenanceRoutine maintenance, repair costs, and minor renewal costs are expensed as incurred. Where the repairrelates to the replacement of a component of an asset and the cost exceeds the capitalisation threshold thecost is capitalised and depreciated. The carrying value of the replaced asset is expensed.

(q) Impairment of Assets

Borrowing Costs Borrowing costs are recognised as an expense in the period in which they are incurred, except where they arecapitalised as part of a qualifying asset constructed by Council. Except where specific borrowings are obtainedfor the purpose of specific asset acquisition, the weighted average interest rate applicable to borrowings atbalance date, excluding borrowings associated with superannuation, is used to determine the borrowing coststo be capitalised.

Borrowing costs include interest on bank overdrafts, interest on borrowings, and finance lease charges.

(r) Trust Funds and DepositsAmounts received as deposits and retention amounts controlled by Council are recognised as trust funds untilthey are returned, transferred in accordance with the purpose of the receipt, or forfeited (refer to Note 24).

(s) BorrowingsBorrowings are initially measured at fair value, being the cost of the interest bearing liabilities, net of transactioncosts. The measurement basis subsequent to initial recognition depends on whether the Council hascategorised its interest-bearing liabilities as either financial liabilities designated at fair value through the profitand loss, or financial liabilities at amortised cost. Any difference between the initial recognised amount and theredemption value is recognised in net result over the period of the borrowing using the effective interestmethod.

The classification depends on the nature and purpose of the interest bearing liabilities. The Council determinesthe classification of its interest bearing liabilities at initial recognition.

Page 11




Wages and Salaries and Annual Leave

- nominal value - component that is expected to be wholly settled within 12 months.

(t) Employee Costs and BenefitsThe calculation of employee costs and benefits includes all relevant on-costs and are calculated as follows atreporting date.

Liability for long service leave (LSL) is recognised in the provision for employee benefits.

- present value - component that is not expected to be wholly settled within 12 months.

Liabilities for wages and salaries, including non-monetary benefits, annual leave and accumulated sick leaveexpected to be wholly settled within 12 months of the reporting date are recognised in the provision foremployee benefits in respect of employee services up to the reporting date, classified as current liabilities andmeasured at their nominal values.

Liabilities that are not expected to be wholly settled within 12 months of the reporting date are recognised inthe provision for employee benefits as current liabilities, measured at present value of the amounts expectedto be paid when the liabilities are settled using the remuneration rate expected to apply at the time ofsettlement.

Long Service Leave

Current Liability - unconditional LSL is disclosed as a current liability even when the council does not expect tosettle the liability within 12 months because it will not have the unconditional right to defer settlement of theentitlement should an employee take leave within 12 months.

The components of this current liability are measured at :

Employee Benefits On-CostsEmployee benefits on-costs (payroll tax, workers compensation, superannuation, annual leave and longservice leave accrued while on LSL taken in service) are recognised separately from provision for employeebenefits.

SuperannuationThe amount charged to the Comprehensive Income Statement in respect of superannuation representscontributions made or due by the Corporation to the relevant superannuation plans in respect to the services ofthe Corporation’s staff (both past and present). Superannuation contributions are made to the plans based onthe relevant rules of each plan and any relevant compulsory superannuation requirements that the Corporationis required to comply with.

Classification of Employee CostsNon-current liability - conditional LSL that has been accrued, where an employee is yet to reach a qualifyingterm of employment, is disclosed as a non - current liability. There is an unconditional right to defer settlementof the entitlement until the employee has completed the requisite years of service.This non-current LSL liability is measured at present value.

Termination BenefitsTermination benefits are payable when employment is terminated before the normal retirement date, or whenan employee accepts voluntary redundancy in exchange for these benefits. The Council recognisestermination benefits when it is demonstratably committed to either terminating the employment of currentemployees according to a detailed formal plan without possibility of withdrawal or providing terminationbenefits as a result of an offer made to encourage voluntary redundancy. Benefits falling due more than 12months after balance date are discounted to present value.

Page 12

94


Operating Leases

Sick Leave / Service Recognition Some employees benefit from a service recognition scheme which enables payment of a proportion of unusedsick leave upon termination. The payment commences after 5 years of service with the percentage paymentranging from 10% of unused sick leave to 40% after 20 years of service.

The dollar value of the Service Recognition entitlements has been frozen as at 4 January 1996. Adjustmentswill be made annually in accordance with the Consumer Price Index for the preceding 12 months and paid toeach relevant employee on termination.

Provision is also made for some employees entitled to payment of a portion of unused sick leave, pursuant tosome employment contracts, on leaving the Council's employ.

At balance date, the liability is measured at the present value of estimated future cash flows to be made for theentitlement. All sick leave/service recognition liability is disclosed as current.

Contingent assets and contingent liabilities are not recognised in the Balance Sheet, but are disclosed by wayof a note and, if quantifiable, are measured at nominal value. Contingent assets and liabilities are presentedinclusive of GST receivable or payable respectively.

Commitments are not recognised in the Balance Sheet. Commitments are disclosed at their nominal value byway of note and presented inclusive of the GST payable.

(u) Landfill Rehabilitation ProvisionCouncil is obligated to restore the Eaglehawk & White Hills Landfill sites to a particular standard. The forecastlife of the site is based on current estimates of remaining capacity and the forecast rate of infill. The provisionfor landfill restoration has been calculated based on the present value of the expected cost of works to beundertaken. The expected cost of works has been estimated based on current understanding of workrequired to reinstate the site to a suitable standard. Accordingly, the estimation of the provision required isdependent on the accuracy of the forecast timing of the work, work required and related costs.

(v) Leases

Lease payments for operating leases are recognised on a straight line basis.

(w) Goods and Services Tax (GST)Revenues, expenses and assets are recognised net of the amount of GST, except where the amount of GSTincurred is not recoverable from the Australian Tax Office. In these circumstances the GST is recognised aspart of the cost of acquisition of the asset or as part of an item of the expense. Receivables and payables inthe balance sheet are shown inclusive of GST.

Cash flows are presented in the Statement of Cash flows on a gross basis, except for the GST component ofinvesting and financing activities, which are disclosed as operating cash flows.

(x) Financial GuaranteesFinancial guarantee contracts are not recognised as a liability in the balance sheet unless the lender hasexercised their right to call on the guarantee or Council has other reasons to believe that it is probably that thatright will be exercised. Details of guarantees that Council has provided, that are not recognised in the balancesheet are disclosed at Note 32 Contingent Liabilities.

(y) Contingent Assets and Contingent Liabilities and Commitments

Page 13




Water Rights are recorded at fair value. These are tradeable rights which were initially issued by the LocalWater Authority, and can be traded to and from third parties. Australian Accounting Standards allow for theserights to be valued at market value.

(ab) Water Rights

The following new AAS's have been issued that are not mandatory for the 30 June 2017 reporting period.Council has assessed these pending standards and has identified the following potential impacts will flow fromthe application of these standards in future reporting periods.

(z) Pending Accounting Standards

Unless otherwise stated, amounts in the financial report have been rounded to the nearest thousand dollars.Figures in the financial statement may not equate due to rounding.

(aa) Rounding

Revenue from contracts with customers (AASB 15) (applies 2018/19)The standard shifts the focus from the transaction-level to a contract-based approach. Recognition isdetermined based on what the customer expects to be entitled to (rights and obligations), while measurementencompasses estimation by the entity of the amount expected to be entitled for performing under the contract.The full impact of this standard is not known however it is most likely to impact where contracts extend overtime, where there are rights and obligations that may vary the timing or amount of the consideration, or wherethere are multiple performance elements. This has the potential to impact on the recognition of certain grantincome.

Leases (AASB 16) (applies 2019/20)The classification of leases as either finance leases or operating leases is eliminated for lessees. Leases willbe recognised in the Balance Sheet by capitalising the present value of the minimum lease payments andshowing a 'right-of-use' asset, while future lease payments will be recognised as a financial liability. The natureof the expense recognised into he profit or loss will change. Rather than being shown as rent, or as leasingcosts, it will be recognised as depreciation on the 'right-of-use' asset, and an interest charge on the leaseliability. The interest charge will be calculated using the effective interest method, which will result in a gradualreduction of interest expense over the lease term.

Page 14

96

Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City CouncilNote 2 Budget Comparisons

(a) Income and Expenditure Budget Actual2017 2017 Variance % Ref$'000 $'000

IncomeRates and Charges 106,616 106,143 (473) 0%Statutory Fees and Fines 4,103 4,466 363 9%User Charges, Fees and Fines 24,223 24,650 427 2%Contributions - Cash 11,613 19,193 7,580 65% 1Contributions - Non Monetary 11,846 20,342 8,496 72% 2Found Assets - 21,782 21,782 100% 3Government Grants - Operating 24,207 32,784 8,577 35% 4Government Grants - Capital 26,367 14,125 (12,242) -46% 5Interest on Investments 1,471 1,722 251 17%Other Income - 1,751 1,751 100% 6

Total Income 210,446 246,958 36,512 17%

ExpensesEmployee Costs 60,805 58,302 (2,503) -4%Contract Payments, Materials and Services 59,689 71,583 11,894 20% 8Borrowing Costs 1,891 1,773 (118) -6%Depreciation and Amortisation 30,919 31,230 311 1%Bad and Doubtful Debts 130 731 601 462%Other Expenses - 5,035 5,035 100% 9Net (Gain) / Loss on Disposal of Property, Plant and Equipment, Infrastructure 3,000 27,225 24,225 808% 7Share of Net Profits / (Losses) of Associates 184 898 714 388%

Total Expenses 156,618 196,777 40,159 26%

Surplus for the Year 53,828 50,181 (3,647) -7%

The budget comparison notes compare Council’s financial plan, expressed through its annual budget, with actualperformance. These notes are prepared to meet the requirements of the Local Government (Planning and Reporting)Regulations 2014 which requires explanation of any material variances. Council has adopted a materiality threshold withexplanations provided if the variance is greater than 10 percent or is greater than $1,000,000. Explanations have notbeen provided for variations below this materiality threshold unless the variance is considered to be material because ofits nature.

The budget figures detailed below are those adopted by Council on 29th June 2016. The budget was based onassumptions that were relevant at the time of adoption of the budget. Council sets guidelines and parameters forrevenue and expense targets in this budget in order to meet Council’s planning and financial performance targets forboth the short and long-term. The budget did not reflect any changes to equity resulting from asset revaluations, as theirimpacts were not considered predictable.

Page 15



Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City CouncilNote 2 Budget Comparisons (cont.)(a) Income and Expenditure (cont.)

9. Other ExpensesOther expenses relate to the accounting treatment of the increase in the provision for rehabilitation recognisedfor the Eaglehawk and White Hills Landfill. The unbudgeted expense of $4.9M is an expense to recognisefuture rehabilitation and aftercare costs. This amount was not known when the budget was prepared.

Asset write off / disposals are over budget mostly due to the identification of $13M of Artwork previouslyrecorded as Council's assets, but which were loaned items and required disposal. A further $2M of Bridgesgoing over train tracks were taken over by Victrack and $5M for roads to replace with new roads as part of therenewal program.

7. Net Gain / (Loss) on Disposal of Property, Plant and Equipment, Infrastructure

2. Contributions - Non-Monetary

5. Government Grants - CapitalThe variance of actual to budget is due to the timing of funding received by State Government departments.Funding for the new Aquatic Centre $9M and the Bendigo Stadium expansion $2M were received late in2015/2016 after the 2016/2017 budget was adopted.

6. Other IncomeThe difference to budget is due to the actual income for Reimbursements and Property Rental being budgetedfor in User Fees, Charges and Fines. User Fees, Charges and Fines is higher than budget this year in partbecause of planning permit fees increases introduced by State Government.

8. Contract Payments, Materials and ServicesThere are four main areas that have caused an overspend of $11.9M against budget:- Additional costs associated with running the Eaglehawk Landfill - in particular $4M was spent on landfillcover and increased levy to meet EPA requirements for landfill remediation work. - Higher than expected costs of $2.5M associated with exhibitions and higher levels of activity at UlumbarraTheatre. These increases were offset by favourable variances to income in User Charges, Fees and Fines. - Unbudgeted expenditure of $2.3M on final works on the Ulumbarra Theatre which was budgeted for in2015/2016. - Unbudgeted expenditure of $600K for the White Hills Landfill Rehabilitation Works.

(i) Explanation of Material Variations1. Contributions - CashContributions of cash are higher than budget by $7.58M. This is due to receiving an unbudgeted contributionof $2.3M from the Bendigo Stadium towards the Bendigo Stadium Expansion project. Council also received anunbudgeted contribution of $4.4M from VicRoads for the Black Spot Program.

The variance of actual to budget is due to the Victorian Grants Commission paying $7.9M of the 2017/2018grant in this financial year.

Council's Non-Monetary assets budget is set based on an assessment of the prior year actual contributionsreceived. The majority of the variance to budget is related to the recognition of $6.5M worth of Tram Tracksfrom Bendigo Heritage Attractions.

4. Government Grants - Operating

3. Found AssetsCouncil have recognised Dam Walls for the first time with a written down value of $18M. There was also$530K of small structure buildings identified through a review process Council undertook. This was to assist inbreaking buildings down to component level within the asset management system. There was $1.6M ofArtwork which has been brought to account this year as part of the valuations process. The balance of thedifference is in Infrastructure. These items were unforeseen during the budget process.

Page 16

98

Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City CouncilNote 2 Budget Comparisons (cont.)(b) Capital Works Budget Actual

2017 2017 Variance % Ref$'000 $'000

PropertyLand 500 446 (54) -11%Buildings 52,526 27,495 (25,031) -48% 1Total Property 53,026 27,941 (25,085) -47%

Plant and EquipmentPlant, Machinery and Equipment 4,437 4,053 (384) -9%Office Equipment, Furniture and Fittings 605 598 (7) -1%Artwork - - - 0%Fountains Statues and Monuments 20 156 136 680%Total Plant & Equipment 5,062 4,807 (255) -5%

InfrastructureBridges 4,172 2,846 (1,326) -32% 2Sealed Roads 14,889 26,118 11,229 75% 3Land Improvements 12,824 390 (12,434) -97% 4Unsealed Roads - 3,006 3,006 100% 5Pathways 2,718 2,538 (180) -7%Drainage 3,941 7,040 3,099 79% 6Public Furniture and Fittings 2,623 5,649 3,026 115% 7Total Capital Infrastructure 41,167 47,587 6,420 16%

Total Capital Works Expenditure 99,255 80,335 (18,920) -19%

Represented by:New Assets 50,961 31,018 (19,943) -39% 8Renewal 27,794 29,474 1,680 6%Upgrade 7,693 8,449 756 10% 9Expansion 12,807 11,394 (1,413) -11% 10Total Capital Works Expenditure 99,255 80,335 (18,920) -19%

Page 17



Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City CouncilNote 2 Budget Comparisons (cont.)(b) Capital Works (cont.)

10. ExpansionThe underspend is due to the $1.4M Bendigo Stadium expansion project being delayed and carried forward to2017/2018.

(i) Explanation of Material Variations

1. Buildings

3. Sealed Roads

6. Drainage

Council sets the capital works budget at a project level, however when actual expenditure occurs it isallocated to each of the relevant asset classes constructed during that project. For example, a bridge projectwill be listed under the bridges asset class within the budget. However a bridge construction job will alsoconsist of sealed road, drainage, kerb and non capital expenditure. This impacts underspends, for thisexample, within the bridge asset class, and an overspend in other asset classes. This occurs acrossinfrastructure asset classes and in some instances buildings projects. This results in some significantvariations across the capital works program when looking at variations within asset classes.

Underspend on Buildings is due to the a number of large construction projects being budgeted for during the 2016/2017 financial year, however $28M has being delayed and carried forward to 2017/2018. The most significant projects carried forward are the new Aquatic Centre $18M, the Bendigo Stadium expansion $3.9M, Strathfieldsaye Early Learning Centre $2.7M and $3.2M on various other smaller projects.

2. BridgesThe Bridges budget included the Scott Street bridge project $3.4M. The project has been delayed andrequires a carry forward of $955K to 2017/2018. The actual expenditure for the project has been allocated toother assets classes; $215K Sealed Roads, $114K Drainage and $95K of expenditure not capitalised as perCouncil's Capitalisation Policy.

5. Unsealed RoadsThe $3M budget for Unsealed Roads was misallocated to the Sealed Roads budget.

4. Land ImprovementsThe Land Improvements budget included the Bendigo Airport Runway project $9.2M. The actual expenditureagainst projects budgeted as Land Improvements is allocated to the following asset classes: $2.26M PublicFurniture & Fittings; $10.3M Sealed Roads and $1.1M Drainage.

7. Public Furniture and Fittings

The overspend is due to the upgrade portion of the $1.6M expended on the unbudgeted Black Spot Program.This has been partially offset by the upgrade portion of $848K for Scott Street Bridge being delayed andcarried forward to 2017/2018.

The overspend is due to $2.3M for the Bendigo Airport Runway project lighting works which was budgeted forunder Land Improvements. A further $890K was carried forward from 2015/2016 for the purchase of bins forthe organic waster collection service.

Overspend on Drainage is $3M. Of this $1.1M for the Bendigo Airport Runway was budgeted for in LandImprovements; $447K for the Bendigo Stadium expansion budgeted for in Buildings; $343K for shoulder re-sheeting works budgeted for in Sealed Roads; and $175K for Garden of the Future was budgeted in LandImprovements. The remaining $900K overspend is made up of unbudgeted works of $417K relating todeveloper projects.

Overspend on Sealed Roads is due to the Bendigo Airport Runway project being allocated here. This projectbudget was allocated to Land Improvements. There was also $3M included in the budget for Unsealed Roads.After adjusting the Sealed Road budget for the misallocation, the variance would be a $1.7M overspend inSealed Roads. This overspend is largely due to $1.8M being spent on black spot funding projects which wereunknown at the time the budget was set.

9. Upgrade

8. New AssetsThe underspend is due to a number of large construction projects being delayed and carried forward to2017/2018. The projects consist predominantly of the new Aquatic Centre project $16.4M and Garden of theFuture project $1.4M.

Page 18

100

Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City CouncilNote 3 Rates and Charges

2017 2016$'000 $'000

General Rates 89,308 85,034 Organics Charge 2,702 - Supplementary Rates and Rate Adjustments 1,331 1,779 Garbage Charge 9,267 9,789 Recyclable Garbage Charge 3,287 3,142 Interest on Rates and Charges 248 227 Total Rates and Charges 106,143 99,971

Note 4 Statutory Fees and Fines2017 2016$'000 $'000

Building and Planning 1,860 1,433 Parking 268 226 Regulatory Service 191 95 Fines 1,355 1,318 Other Fees and Charges 792 746 Total Statutory Fees and Fines 4,466 3,818

The Council declares rates on the Capital Improved Value (CIV) of all rateableproperty within the municipal district. The CIV is the value of the land and allit's improvements.

The date of the last general valuation of land for rating purposes was 1 January 2016 and the valuation firstapplied to the rating period commencing 1 July 2016.

The date of the next general valuation of land for rating purposes within the municipal district is 1 January2018 and the valuation will be first applied in the rating year commencing 1 July 2018.

The valuation base used to calculate general rates for 2016/2017 was$19,915,731,000 (2015/2016 $18,594,370,000). The 2016/2017 rate in theCIV dollar was 0.0040424 (2015/2016, 0.004113).

Page 19



Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City CouncilNote 5 User Fees and Charges

2017 2016$'000 $'000

Fees and Charges:Children's Services 3,605 3,856 Parking 3,301 3,268 Aged Services 931 679 Waste Disposal 6,427 6,000 Saleyard Yarding 983 1,106 Regulatory Service 1,152 1,074 Recreation 322 357 Ticket Income 4,293 5,238 Sales Income 714 960

Other Fees and Charges 2,922 2,981 Total User Fees and Charges 24,650 25,519

Note 6 Contributions2017 2016$'000 $'000

Contributions Cash 19,193 7,523

Non-Monetary - Developer Assets 13,783 17,019 Non Monetary - Donated/Gifted Assets 6,559 76 Total Non-Monetary Contributions 20,342 17,095

Total Contributions 39,535 24,618

Artworks - 76 Land 2,500 3,902 Sealed Roads 11,706 6,700 Unsealed Roads 20 29 Pathways 2,159 2,320 Bridges 124 - Drainage 3,833 4,068

Total Non-Monetary Contributions 20,342 17,095

Note 7 Net Gain/(Loss) on Disposal of Property, Infrastructure, Plant and Equipment2017 2016$'000 $'000

Proceeds of Sale 731 1,103 Written Down Value of Assets Disposed (14,630) (10,084) Disposal of Artworks on Loan (12,973) - Impairment of Assets Held for Sale (353) -

(27,225) (8,981) Total Net Gain/(Loss) on Disposal of Property, Infrastructure, Plant and Equipment

Contributions of non monetary assets were received and brought to account in relation to the following asset classes.

Disposal of Artworks on Loan - $12.97M of Artworks were determined as part of a rolling revaluation process to not be Council owned (loaned pieces of Artwork). These items have been disposed of during the 2016/2017 financial year.

Written Down Value (WDV) of Assets Disposed - Council disposed of 46 buildings with a WDV of $2.7M. Council also transferred ownership of 17 residential units in Heathcote with a combined WDV of $1.8M. It was also determined during the year that all road bridges over train tracks are in fact managed by Vic Track, with $1.9M of bridges removed from Council's asset register. $2.4M of WIP at 30 June 2016 was not capitalised, and disposed during 2016/2017 in line with Council's Capitalisation Policy. The remainder relates to the disposal of infrastructure assets demolished and renewed.

Page 20

102

Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City CouncilNote 8 Grants

2017 2016$'000 $'000

Grants were received in respect of the following:Summary of GrantsCommonwealth Funded Grants 36,327 16,225 State Funded Grants 10,582 35,247 Total Grants Received 46,909 51,472

Operating GrantsRecurrent - Commonwealth GovernmentVictorian Grants Commission - Unallocated * 18,240 5,878 Victorian Grants Commission - Local Roads * 4,883 1,602 Aged Services 3,968 - Health Services - Immunisation 11 21 Recurrent - State GovernmentAged 1,253 6,003 Youth 71 73 Health Services - Immunisation 92 97 Tourism / Events Projects 81 231 School Crossing Supervisors 177 174 Maternal and Child Health 776 693 Family and Children 446 430 Rural Access Initiative 63 240 Arts & Culture 380 239 Environment 56 56 Recreation 35 - Community Safety 230 - Emergency Management 60 96 Total Recurrent Operating Grants 30,822 15,833

Non Recurrent - Commonwealth GovernmentAged 578 - Arts and Culture 54 1,280 Street lighting - 1,300 Community Resilience 181 7 Non Recurrent - State GovernmentAged 196 90 Arts & Culture 100 456 Community and Strategy Planning 158 - Business Development 8 88 Cultural Diversity - 25 Tourism / Events Projects - 20 Transport 82 30 Youth 153 213 Environment 32 - Recreation / Healthy Communities 80 - Infrastructure - Drainage 40 - Heritage 300 - Total Non Recurrent Operating Grants 1,962 3,509

Total Operating Grants 32,784 19,342

Capital GrantsRecurrent - Commonwealth GovernmentRoads to Recovery 3,665 4,535 Total Recurrent Capital Grants 3,665 4,535 * $7.9M of the 2017/18 grant was received in 2016/17 & $5.8M of the 2015/16 grant was received in 2014/15.

Page 21



Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City CouncilNote 8 Grants (cont.)

2017 2016$'000 $'000

Non Recurrent - Commonwealth GovernmentHeritage - 76 Environment 60 36 Airport 3,600 1,200 Infrastructure - Bridges 452 290 Plant, Machinery & Equipment 489 Recreation 146 Non Recurrent - State GovernmentArts & Culture - 1,300 Street lighting - (124) Recreation 2,880 19,207 Heritage 1,000 17 Waste 60 440 Environment - 227 Airport 1,200 4,297 Family and Children 284 129 Infrastructure - Transport (70) 500 Open Space 144 - Plant, Equipment & Machinery 132 - Tourism / Events 83 - Total Non Recurrent Capital Grants 10,460 27,595

Total Capital Grants 14,125 32,130

Total Grants 46,909 51,472

Unspent Grants received on condition that they be spent in a specific matter*Balance at start of year 18,975 8,740 Received during the financial year and remained unspent at balance date 11,194 18,975 Received in prior years and spent during the financial year (16,975) (8,740) Balance at year end 13,194 18,975 * Note that not all unexpended grants are transferred to Other Reserves

Note 9 Other Income2017 2016

Note $'000 $'000Net Increase in Net Market Value of Forestry Plantation 21 6 1 Net Increase in Net Market Value of Water Rights 22 11 32 Property Rental 1,567 1,520 Reimbursements 167 182 Total Other Revenue 1,751 1,735

Note 10 (a) Employee Costs2017 2016$'000 $'000

Wages and Salaries 48,363 45,154 Annual, Sick and Long Service Leave 7,204 7,446 Superannuation 4,923 4,717 WorkCover 537 1,718 Fringe Benefit Tax 240 255

61,267 59,290 Less Amounts Capitalised 2,965 2,380 Total Employee Costs 58,302 56,910

Page 22

104

Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City CouncilNote 10 (b) Superannuation

2017 2016$'000 $'000

Council made contributions to the following funds:

Defined Benefit FundEmployer contributions to Local Authorities Superannuation Fund (Vision Super) 556 534

556 534

Employer contributions payable at reporting date. - 132

Accumulation FundsEmployer contributions to Local Authorities Superannuation Fund (Vision Super) 2,993 2,765 Employer contributions - other funds 1,372 1,242

4,365 4,007

Employer contributions payable at reporting date. 166 332

Refer to Note 31 for further information relating to Council's superannuation obligations.

Note 11 Contract Payments, Materials and Services2017 2016$'000 $'000

Contract Payments 35,257 30,379 Administration Expenses 8,041 9,330 Utility Expenses 4,790 5,246 Materials, Concrete Products and Hardware 9,922 9,406 Maintenance and Consumables 8,945 8,738 Plant and Equipment Operating Expenses 7,329 7,465 Contributions and Donations 1,946 2,080 Insurance 1,499 1,536

77,729 74,180 Less Amounts Capitalised 6,146 5,858 Total Contract Payments, Materials and Services 71,583 68,322

Note 12 Depreciation and Amortisation2017 2016$'000 $'000

Land Improvements 2,165 2,067 Buildings 3,852 3,890 Plant and Equipment 2,455 2,384 Office Equipment, Furniture and Fittings 658 672 Sealed Roads 11,395 10,865 Unsealed Roads 1,867 1,865 Pathways 3,001 2,884 Bridges 770 775 Drainage 2,568 2,492 Public Furniture and Fittings 1,458 1,215 Fountains, Statues and Monuments 100 100 Landfill 601 600 Total Depreciation 30,890 29,809 Intangible Assets 340 340 Total Depreciation and Amortisation 31,230 30,149 Refer to Note 20 and 22 for a more detailed breakdown of depreciation and amortisation charges.

Page 23



Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City CouncilNote 13 Other Item of Expense

2017 2016$'000 $'000

performance statement and grant acquittals 54 52 35 34

Discount Rate Movement of Landfill Provision (557) 498 Landfill Rehabilitation and Aftercare 5,503 2,112 Total Other Expenses 5,035 2,696

Note 14 Investments in Associates2017 2016$'000 $'000

Investments in Associates accounted for under the equity method are:North Central Goldfields Regional Library Corporation (refer Note 1 (e))

Council’s Share of Accumulated Surplus/(Deficit) and Contributed Capital

Council’s share at the beginning of the year 3,394 3,401 % share of equity adjustment (1) (8) Share of reported surplus / (deficit) (896) 100 Transfers to (from) reserves (27) (99) Council’s share at end of the year 2,470 3,394

Council’s Share of Reserves

Council’s share at the beginning of the year 726 629 % share of equity adjustment (1) (2) Transfers to (from) reserves (27) 99 Council’s share at end of the year 698 726

Movement in Carrying Value

Carrying value at beginning of the year 4,120 4,030 % share of equity adjustment (2) (10) Share of reported surplus / (deficit) (896) 100 Carrying value at end of the year 3,222 4,120

Council’s Share of Expenditure Commitments

Operating Commitments 233 313 Capital Commitments - - Council’s Share of Expenditure Commitments 233 313

The Council is a member of the North Central Goldfields Regional LibraryCorporation. The Council has a 61.29% share of the net assets (61.32%2016). At 30 June 2017 Council's equity in the corporation was $3,221,516 (30June 2016 $4,119,759).

Auditors' Remuneration - VAGO - audit of the financial statements,

Auditors' Remuneration - Internal

Page 24

106


Note 15 Cash and Cash Equivalents2017 2016

Note $'000 $'000CurrentCash on Hand 30 30 Cash at Bank 3,884 10,584 Term Deposits 76,036 54,501 Total Cash and Cash Equivalents 28 79,950 65,115

Restricted FundsCouncil's cash and cash equivalents are subject to externalrestrictions that limit amounts available for discretionary or futureuse. These include:- Statutory Reserve funds allocated for specific future purposes 27 7,040 6,379 - Trust funds 24 3,112 3,151 - Other Reserves - Unexpended Grants & Donations 27 13,011 18,975 Total Restricted Funds 23,163 28,505

Total Unrestricted Cash and Cash Equivalents 56,787 36,610

Intended AllocationsAlthough not externally restricted the following amounts have been allocated for specific future purposes by Council

13,645 14,962 29,831 7,800

- Future Projects where unspent funding has been received 749 650 Total Funds Subject to Intended Allocations 44,225 23,412 Refer also to Note 16 for details of other financial assets held by Council.

Note 16 Other Financial Assets2017 2016$'000 $'000

Term Deposits - 34 Total Other Financial Assets - 34

Note 17 Non-Current Assets Held for Sale2017 2016$'000 $'000

Written Down Value of Assets transferred to Held for Sale 688 - Less: Impairment 7 (353) Total Non-Current Assets Held for Sale 335 -

Note 18 Other Assets2017 2016$'000 $'000

CurrentAccrued Income 903 1,141 Prepayments 1,050 1,133 Total Other Assets 1,953 2,274

- Cash held to fund carried forward capital works- Other Reserves excluding Unexpended Grant & Donation Reserve

Page 25




Note 19 Trade and Other Receivables2017 2016$'000 $'000

CurrentStatutory ReceivablesRates Debtors 1,286 1,274 Infringement Debtors 2,124 2,569 Allowance for Doubtful Debts - Infringements (77) (95) GST Receivable 1,691 1,226 Non Statutory ReceivablesFootpath, Kerb and Channel Debtors 263 2 Loans to Community Organisations 14 69 Loans for Heritage Restoration Works 40 46 General Debtors - Grants 2,833 12,525 General Debtors - Other 7,946 2,126 Allowance for Doubtful Debts - General Debtors (15) (15) Total Current 16,105 19,727

Non-CurrentNon Statutory ReceivablesFootpath, Kerb and Channel Debtors 1 1 Loans to Community Organisations 37 37 Loans for Heritage Restoration Works 47 46 Total Non-Current 85 84

Total Trade and Other Receivables 16,190 19,811

a) Ageing of Receivables

Current (not yet due) 8,772 12,153 Past due by up to 30 days 416 2,103 Past due between 31 and 180 days 264 307 Past due between 181 and 365 days 1,508 16 Past due by more than 1 year 206 258 Total Trade & Other Receivables 11,166 14,837

b) Movement in Provisions for Doubtful DebtsBalance at the beginning of the year 110 149 New Provisions recognised during the year - - Amounts already provided for and written off as uncollectible (18) (39) Amounts provided for but recovered during the year - - Balance at End of Year 92 110

c) Ageing of Individually Impaired Receivables

Past due between 181 and 365 days - - Past due by more than 1 year 92 110 Total Trade & Other Receivables 92 110

At balance date, other debtors representing financial assets with a nominal value of $91,553 (2016: $110,000)were impaired. The amount of the provision raised against these debtors was $91,553 (2016: $110,000).They individually have been impaired as a result of their doubtful collection. Many of the long outstanding pastdue amounts have been lodged with Council's debt collectors or are on payment arrangements.

At balance date other debtors representing financial assets were past due but not impaired. The ageing of theCouncil's trade & other receivables (excluding statutory receivables) was:

The ageing of receivables that have been individually determined as impaired at reporting date was:

Page 26

108

Not

es to

the

Fina

ncia

l Rep

ort f

or th

e Ye

ar E

nded

30

June

201

7G

reat

er B

endi

go C

ity C

ounc

il

Not

e 20

Pro

pert

y, In

fras

truc

ture

, Pla

nt a

nd E

quip

men

t

Sum

mar

y of

Pro

pert

y, In

fras

truc

ture

, Pla

nt a

nd E

quip

men

t

At F

air V

alue

30

Jun

e 20

16Ac

quis

ition

sC

ontr

ibut

ions

Foun

dR

eval

uatio

nD

epre

ciat

ion

Dis

posa

lTr

ansf

ers

At F

air V

alue

30

Jun

e 20

17$'

000

$'00

0$'

000

$'00

0$'

000

$'00

0$'

000

$'00

0$'

000

Land

206,

610

44

6

2,50

0

-

5,

679

-

(4

29)

(5

82)

21

4,22

4

Bui

ldin

gs22

4,41

2

-

-

53

1

10

,287

(3,8

52)

(2,7

25)

4,72

4

23

3,37

7

Pla

nt a

nd E

quip

men

t88

,145

4,65

1

-

1,57

0

6,02

1

(3

,213

)

(1

3,84

4)

211

83

,541

Infra

stru

ctur

e79

4,16

5

-

17,8

42

19

,681

1,51

3

(2

3,82

5)

(8

,178

)

50

,324

851,

522

W

ork

in P

rogr

ess

28,2

09

75

,238

-

-

-

-

(2,4

27)

(55,

364)

45

,656

1,34

1,54

1

80

,335

20

,342

21,7

82

23

,500

(3

0,89

0)

(27,

603)

(687

)

1,42

8,32

0

Sum

mar

y of

Wor

k in

Pro

gres

s

Ope

ning

WIP

Addi

tions

Tran

sfer

sW

rite

Offs

Clo

sing

WIP

$'00

0$'

000

$'00

0$'

000

$'00

0

Bui

ldin

gs9,

565

27

,495

(4

,829

)

(9

65)

31

,266

Pla

nt a

nd E

quip

men

t78

156

(2

11)

(1

8)

5

Infra

stru

ctur

e18

,566

47,5

87

(50,

324)

(1,4

44)

14,3

85

To

tal

28,2

09

75

,238

(5

5,36

4)

(2,4

27)

45,6

56

Pag

e 27



Not

es to

the

Fina

ncia

l Rep

ort f

or th

e Ye

ar E

nded

30

June

201

7G

reat

er B

endi

go C

ity C

ounc

ilN

ote

20 P

rope

rty,

Infr

astr

uctu

re, P

lant

and

Equ

ipm

ent (

cont

.)

Land

and

Bui

ldin

gsLa

nd -

Spe

cial

ised

Land

- N

on

Spe

cial

ised

Land

Und

er

Roa

dsTo

tal L

and

Her

itage

B

uild

ings

Bui

ldin

gs -

Spe

cial

ised

Bui

ldin

gs -

Non

S

peci

alis

edTo

tal

Bui

ldin

gsW

ork

in

Pro

gres

sTo

tal

Prop

erty

$'00

0$'

000

$'00

0$'

000

$'00

0$'

000

$'00

0$'

000

$'00

0$'

000

At fa

ir va

lue

1 Ju

ly 2

016

189,

626

10,8

52

6,13

2

20

6,61

0

12

3,22

5

212,

384

8,82

5

344,

434

9,

565

56

0,60

9

Ac

cum

ulat

ed d

epre

ciat

ion

at 1

Jul

y 20

16-

-

-

-

(40,

421)

(7

9,54

9)

(52)

(120

,022

)

-

(1

20,0

22)

189,

626

10,8

52

6,13

2

20

6,61

0

82,8

04

132,

835

8,77

3

224,

412

9,56

5

440,

587

Mov

emen

ts in

fair

valu

eAc

quis

ition

of a

sset

s at

fair

valu

e44

6

-

-

446

-

-

-

-

27

,495

27

,941

C

ontri

bute

d as

sets

1,71

0

-

79

0

2,50

0

-

-

-

-

-

2,

500

Foun

d as

sets

-

-

-

-

43

1

655

-

1,08

6

-

1,

086

Rev

alua

tion

incr

emen

ts/d

ecre

men

ts5,

661

18

-

5,

679

2,

567

22,3

77

1,12

8

26,0

72

-

31,7

51

Fair

valu

e of

ass

ets

disp

osed

(103

)

(3

26)

-

(4

29)

-

(1,5

24)

(1

,921

)

(3,4

45)

(965

)

(4

,839

)

Impa

irmen

t los

ses

reco

gnis

ed in

ope

ratin

g re

sult

-

-

-

-

-

-

-

-

-

-

Tran

sfer

s3,

545

(4,1

27)

-

(582

)

(7

67)

2,07

9

-

1,31

2

(4

,829

)

(4,0

99)

11

,259

(4

,435

)

790

7,

614

2,

231

23,5

87

(793

)

25,0

25

21,7

01

54

,340

Mov

emen

ts in

acc

umul

ated

dep

reci

atio

nD

epre

ciat

ion

and

amor

tisat

ion

-

-

-

-

(9

86)

(2,7

22)

(1

44)

(3,8

52)

-

(3,8

52)

C

ontri

bute

d as

sets

-

-

-

-

-

-

-

-

-

-

Foun

d as

sets

-

-

-

-

(3

57)

(198

)

-

(555

)

-

(555

)

R

eval

uatio

n in

crem

ents

/dec

rem

ents

-

-

-

-

(7

,494

)

(8

,519

)

228

(15,

785)

-

(1

5,78

5)

Accu

mul

ated

dep

reci

atio

n of

dis

posa

ls-

-

-

-

-

656

64

72

0

-

720

Im

pairm

ent l

osse

s re

cogn

ised

in o

pera

ting

resu

lt-

-

-

-

-

-

-

-

-

-

Tr

ansf

ers

-

-

-

-

1,

843

1,56

9

-

3,41

2

-

3,

412

-

-

-

-

(6

,994

)

(9,2

14)

14

8

(1

6,06

0)

-

(1

6,06

0)

At fa

ir va

lue

30 J

une

2017

200,

885

6,41

7

6,

922

214,

224

125,

456

23

5,97

1

8,

032

36

9,45

9

31,2

66

614,

949

Accu

mul

ated

dep

reci

atio

n at

30

June

201

7-

-

-

-

(47,

415)

(8

8,76

3)

96

(136

,082

)

-

(1

36,0

82)

200,

885

6,41

7

6,

922

214,

224

78

,041

14

7,20

8

8,

128

23

3,37

7

31

,266

478,

867

Pag

e 28

110

Not

es to

the

Fina

ncia

l Rep

ort f

or th

e Ye

ar E

nded

30

June

201

7G

reat

er B

endi

go C

ity C

ounc

ilN

ote

20 P

rope

rty,

Infr

astr

uctu

re, P

lant

and

Equ

ipm

ent (

cont

.)

Plan

t and

Equ

ipm

ent

Pla

nt a

nd

Equ

ipm

ent

Offi

ce

Equ

ipm

ent,

Furn

iture

&

Fitti

ngs

Artw

orks

Sta

tues

and

M

onum

ents

Wor

k in

Pro

gres

sTo

tal

$'00

0$'

000

$'00

0$'

000

$'00

0$'

000

At fa

ir va

lue

1 Ju

ly 2

016

27,7

95

8,32

1

62

,783

9,71

6

78

108,

693

Accu

mul

ated

dep

reci

atio

n at

1 J

uly

2016

(11,

115)

(5

,557

)

-

(3,7

98)

-

(20,

470)

16,6

80

2,76

4

62

,783

5,

918

78

88,2

23

Mov

emen

ts in

fair

valu

eAc

quis

ition

of a

sset

s at

fair

valu

e4,

053

598

-

-

156

4,

807

Fo

und

asse

ts-

-

1,

560

100

-

1,

660

R

eval

uatio

n in

crem

ents

/dec

rem

ents

-

-

4,97

6

82

5

-

5,80

1

Don

ated

ass

ets

-

-

-

-

-

-

Fair

valu

e of

ass

ets

disp

osed

(1,9

47)

(143

)

(12,

973)

-

(1

8)

(15,

081)

Impa

irmen

t los

ses

reco

gnis

ed in

ope

ratin

g re

sult

-

-

-

-

-

-

Tran

sfer

s-

-

-

211

(2

11)

-

2,10

6

45

5

(6,4

37)

1,13

6

(7

3)

(2,8

13)

Mov

emen

ts in

acc

umul

ated

dep

reci

atio

nD

epre

ciat

ion

and

amor

tisat

ion

(2,4

55)

(658

)

-

(1

00)

-

(3

,213

)

Dep

reci

atio

n of

foun

d as

sets

-

-

-

(9

0)

-

(90)

Rev

alua

tion

incr

emen

ts/d

ecre

men

ts-

-

-

220

-

22

0

Ac

cum

ulat

ed d

epre

ciat

ion

of d

ispo

sals

1,07

7

14

2

-

-

-

1,

219

Im

pairm

ent l

osse

s re

cogn

ised

in o

pera

ting

resu

lt-

-

-

-

-

-

Tr

ansf

ers

3

(3

)

-

-

-

-

(1

,375

)

(519

)

-

30

-

(1

,864

)

At fa

ir va

lue

30 J

une

2017

29,9

01

8,77

6

56

,346

10,8

52

5

10

5,88

0

Ac

cum

ulat

ed d

epre

ciat

ion

at 3

0 Ju

ne 2

017

(12,

490)

(6

,076

)

-

(3,7

68)

-

(22,

334)

17,4

11

2,70

0

56

,346

7,

084

5

83

,546

Pag

e 29



Not

es to

the

Fina

ncia

l Rep

ort f

or th

e Ye

ar E

nded

30

June

201

7G

reat

er B

endi

go C

ity C

ounc

ilN

ote

20 P

rope

rty,

Infr

astr

uctu

re, P

lant

and

Equ

ipm

ent (

cont

.)

Infr

astr

uctu

reS

eale

d R

oads

Uns

eale

d R

oads

Brid

ges

&

Maj

or

Cul

verts

Pat

hway

sD

rain

age

*La

nd

Impr

ovem

ents

Pub

lic F

urni

ture

&

Fitt

ings

Land

fill

Wor

k in

P

rogr

ess

Tota

l In

fras

truc

ture

$'00

0$'

000

$'00

0$'

000

$'00

0$'

000

$'00

0$'

000

$'00

0$'

000

At fa

ir va

lue

1 Ju

ly 2

016

597,

828

46

,834

76

,633

12

3,63

3

25

6,17

9

60,9

84

28

,587

4,

807

18

,566

1,

214,

051

Ac

cum

ulat

ed d

epre

ciat

ion

at 1

Jul

y 20

16(2

10,7

52)

(15,

165)

(3

2,33

6)

(40,

575)

(60,

648)

(2

9,44

8)

(1

1,79

5)

(6

01)

-

(401

,320

)

387,

076

31,6

69

44,2

97

83,0

58

19

5,53

1

31

,536

16,7

92

4,

206

18

,566

81

2,73

1

Mov

emen

ts in

fair

valu

eAc

quis

ition

of a

sset

s at

fair

valu

e-

-

-

-

-

-

-

-

47

,587

47

,587

Foun

d as

sets

943

53

657

39

8

30

,323

1,

080

68

-

-

33

,522

Con

tribu

ted

asse

ts20

,426

20

130

2,

163

3,

842

-

-

-

-

26

,581

Rev

alua

tion

incr

emen

ts/d

ecre

men

ts2,

479

715

54

6

1,06

2

(871

)

-

-

-

-

3,

931

Fa

ir va

lue

of a

sset

s di

spos

ed(1

0,16

1)

(2,4

07)

(5,6

46)

(335

)

(6

27)

(6

44)

(5

18)

-

(1,4

44)

(2

1,78

2)

Im

pairm

ent l

osse

s re

cogn

ised

in o

pera

ting

resu

lt-

-

-

-

-

-

-

-

-

-

Tran

sfer

s29

,880

3,

056

1,73

8

2,

879

6,

592

(807

)

6,98

6

-

(50,

324)

-

43

,567

1,

437

(2,5

75)

6,

167

39

,259

(3

71)

6,

536

-

(4,1

81)

89

,839

Mov

emen

ts in

acc

umul

ated

dep

reci

atio

nD

epre

ciat

ion

and

amor

tisat

ion

(11,

395)

(1

,867

)

(7

70)

(3

,001

)

(2,5

68)

(2,1

65)

(1,4

58)

(6

01)

-

(23,

825)

Foun

d as

sets

(354

)

(26)

(2

76)

(1

01)

(12,

367)

(7

03)

(1

4)

-

-

(13,

841)

Con

tribu

ted

asse

ts(8

,720

)

-

(6

)

(4

)

(9)

-

-

-

-

(8

,739

)

Rev

alua

tion

incr

emen

ts/d

ecre

men

ts(2

,249

)

1,

101

(279

)

(492

)

(4

99)

-

-

-

-

(2,4

18)

Ac

cum

ulat

ed d

epre

ciat

ion

of d

ispo

sals

6,41

9

1,

182

3,36

9

19

4

18

5

461

350

-

-

12,1

60

Im

pairm

ent l

osse

s re

cogn

ised

in o

pera

ting

resu

lt-

-

-

-

-

-

-

-

-

Tran

sfer

s(2

,605

)

-

-

-

-

2,60

5

-

-

-

-

(1

8,90

4)

390

2,

038

(3,4

04)

(15,

258)

19

8

(1,1

22)

(6

01)

-

(3

6,66

3)

At fa

ir va

lue

30 J

une

2017

641,

395

48

,271

74

,058

12

9,80

0

29

5,43

8

60,6

13

35

,123

4,

807

14

,385

1,

303,

890

Ac

cum

ulat

ed d

epre

ciat

ion

at 3

0 Ju

ne 2

017

(229

,656

)

(1

4,77

5)

(30,

298)

(4

3,97

9)

(7

5,90

6)

(29,

250)

(12,

917)

(1,2

02)

-

(4

37,9

83)

41

1,73

9

33

,496

43

,760

85

,821

219,

532

31,3

63

22

,206

3,60

5

14,3

85

865,

907

*

Dra

inag

e - F

ound

ass

ets

prim

arily

rela

tes

to in

itial

reco

gniti

on o

f Dam

Wal

ls. I

t is

not a

ntic

ipat

ed th

at th

ere

will

be

furth

er s

igni

fican

t fou

nd a

sset

s of

this

nat

ure

in fu

ture

yea

rs.

Pag

e 30

112

Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City CouncilNote 20 Property, Plant, Equipment and Infrastructure (cont.)Valuation of Land, Heritage and Non Specialised Buildings

Level 1 Level 2 Level 3 DoV$'000 $'000 $'000 M/Y

Land - Non Specialised - 6,417 - Jun-17Land - Specialised - - 200,885 Jun-17Land Under Roads - - 6,922 Jun-17Buildings - Non Specialised - 8,128 - Jun-17Buildings - Specialised - - 147,208 Jun-17Buildings - Heritage - - 78,041 Jun-17

- 14,545 433,056

Valuation of Infrastructure and Specialised Buildings

Level 1 Level 2 Level 3 DoV$'000 $'000 $'000 M/Y

Sealed Roads - - 411,739 Jun-17Unsealed Roads - - 33,496 Jun-17Pathways - - 85,821 Jun-17Bridges and Major Culverts - - 43,760 Jun-17Drainage - - 219,532 Jun-17Land Improvements - - 31,363 Jun-15Public Furniture and Fittings - - 22,206 Jun-15Landfill - - 3,605 N/A

- - 851,522

Valuation of land, heritage and non specialised buildings were undertaken by Mr James Collins, AAPICertified Practicing Valuer, Senior Valuer at the City of Greater Bendigo at 30 June 2017. The valuation ofthese asset classes is at fair value, being market value based on highest and best use permitted by relevantland planning provisions. Where land use is restricted through existing planning provisions the valuation isreduced to reflect this limitation. This adjustment is an unobservable input in the valuation. The adjustmenthas no impact on the comprehensive income statement.

Specialised land is valued at fair value using site values adjusted for englobo (undeveloped and/orunserviced) characteristics, access rights and private interests of other parties and entitlements ofinfrastructure assets and services. This adjustment is an unobservable input in the valuation. Theadjustment has no impact on the comprehensive income statement.

Any significant movements in the unobservable inputs for land and land under roads will have a significantimpact on the fair value of these assets.

Details of the Council’s land and buildings and information about the fair value hierarchy as at 30 June 2017are as follows:

Valuation of infrastructure assets and specialised buildings has been determined in accordance with anindependent valuation undertaken by Mr Brett Martini, Certified Practicing Engineer.

Details of the Council’s infrastructure and information about the fair value hierarchy as at 30 June 2017 areas follows:

The date of the current valuation is detailed in the following table.

The date of the current valuation is detailed in the following table.

The valuation is at fair value based on replacement cost less accumulated depreciation as at the date ofvaluation.

Page 31




Note 20 Property, Plant, Equipment and Infrastructure (cont.)

Reconciliation of Specialised Land 2017 2016$'000 $'000

Land Under Roads 6,922 6,132 Land 200,885 189,626 Total Specialised land 207,807 195,758

Infrastructure assets are valued based on the depreciated replacement cost. Significant unobservableinputs include the current replacement cost and remaining useful lives of infrastructure. The remaininguseful lives of infrastructure assets are determined on the basis of the current condition of the asset andvary from 2 years to 100 years. Replacement cost is sensitive to changes in market conditions, with anyincrease or decrease in cost flowing through to the valuation. Useful lives of infrastructure are sensitive tochanges in use, expectations or requirements that could either shorten or extend the useful lives ofinfrastructure assets.

Specialised buildings are valued using a depreciated replacement cost technique. Significantunobservable inputs include the current replacement cost and remaining useful lives of buildings. Currentreplacement cost is calculated on a square metre basis and ranges from $125 to $21,000 per square metre.The remaining useful lives of buildings are determined on the basis of the current condition of buildings andvary from 2 years to 120 years. Replacement cost is sensitive to changes in market conditions, with anyincrease or decrease in cost flowing through to the valuation. Useful lives of buildings are sensitive tochanges in expectations or requirements that could either shorten or extend the useful lives of buildings.

Description of Significant Unobservable Inputs into Level 3 Valuations

Specialised land and land under roads is valued using a market based direct comparison technique.Significant unobservable inputs include the extent and impact of restriction of use and the market cost ofland per square metre. The extent and impact of restrictions on use varies and results in a reduction tosurrounding land values between 10% and 95%. The market value of land varies significantly depending onthe location of the land and the current market conditions. Currently land values range between $1 and$800 per square metre.

Page 32

114


Note 21 Forestry Plantations2017 2016$'000 $'000

Forestry Plantations - at Valuation 63 57 Total Forestry Plantations 63 57

Net Increase / (Decrease) in Net Market Value of Forestry Plantation 6 1

Note 22 Intangible Assets2017 2016$'000 $'000

Water Rights - at Valuation 216 205 Landfill Air Space 4,004 2,378 Total Intangible Assets 4,220 2,583

Information Pertaining to Water Rights

Information Pertaining to Landfill Air Space

Landfill Air Space

Water Rights

Total

Note $'000 $'000 $'000

Gross Carrying AmountBalance at 1 July 2016 2,718 205 2,923 Additions 1,966 - 1,966 Net Increase in Net Market Value 9 - 11 11 Balance at 1 July 2017 4,684 216 4,900

Accumulated Amortisation & ImpairmentBalance at 1 July 2016 (340) - (340) Amortisation Expense 12 (340) - (340) Balance at 1 July 2017 (680) - (680)

Note 23 Trade and Other Payables2017 2016$'000 $'000

Trade Payables 6,829 5,514Sundry Creditors 6,197 6,552Accrued Expenses 4,558 2,016 Total Trade and Other Payables 17,584 14,082

An air space asset is an intangible asset that is measured based on the net present value of the future cashflows required to meet the rehabilitation requirements detailed in the landfill licencing agreement. Council hasrecognised a landfill air space intangible asset for cells 4 & 5 located at the Eaglehawk landfill site. This initialrecognition is consistent with the related provision for rehabilitation of cells 4 & 5 in accordance with AASB 137Provisions, Contingent Liabilities and Contingent Assets.

The water rights (369 Megalitres) has been valued at current market value as at 30 June 2017 by Council'sSenior Valuer, Mr. James Collins, AAPI, Accredited Specialist Water Valuer.

Information Pertaining to Forestry PlantationsTwo separate sites cover an area of 206 Hectares. The Plantations consist of approximately 200,000 treesaging from 12 years to 16 years. The trees have been valued at net market value as at 30 June 2017 byCouncil's Senior Valuer, Mr. James Collins, AAPI, Grad Dip Ag.Econ.

Page 33




2017 2016$'000 $'000

Contract Retention Amounts 2 50 Refundable Key Deposits 63 60 Ticket Trust Fund 660 811 Refundable Security Holding Deposits 2,164 1,908 Steam Train Asset Trust 35 34 Bendigo Art Gallery Board Trust - 7 Tourism Bookings Trust 100 190 Facilities Hire Bond 15 15 Sundry 73 76 Total Trust Funds 3,112 3,151

Purpose and nature of items

Note 25 ProvisionsAnnual Leave

Long Service Leave

Sick Leave ContractedEmployees

Service Recognition

Landfill Restoration

Total

$'000 $'000 $'000 $'000 $'000 $'0002017Balance at beginning of the financial year

4,679 9,958 288 161 8,102 23,188

Additional provisions 3,962 1,508 33 10 7,469 12,982 Amounts used (3,943) (1,422) (37) (29) - (5,431) Decrease in the discounted amount arising because of time and the effect of any change in the discount rate

(16) (356) (13) (6) (557) (948)

Balance at End of the Financial Year 4,682 9,688 271 136 15,014 29,791

2016Balance at beginning of the financial year

4,629 9,989 325 169 5,491 20,603

Additional provisions 3,626 900 13 - 2,113 6,652 Amounts used (3,571) (1,184) (35) - - (4,790) Increase in the discounted amount arising because of time and the effect of any change in the discount rate

(5) 253 (15) (8) 498 723

Balance at End of the Financial Year 4,679 9,958 288 161 8,102 23,188

Sundry - Funds received from closed committees or programs where the donations are to be used for a specific purpose.Unclaimed monies also make up part of this trust.

Refundable Key Deposits / Security Holding Deposits / Facilities Hire Bond - Deposits are taken by Council as a formof surety in a number of circumstances, including in relation to subdivision works and the use of civic facilities.Ticket Trust Fund / Tourism Bookings Trust - Council sells tickets for a number of events, these amounts are transferredto the relevant parties at the completion of the event.

Note 24 Trust Funds and Deposits

Contract Retention Amounts - Council has a contractual right to retain certain amounts until a contractor has met certainrequirements or a related warrant or defect period has elapsed. Subject to the satisfactory completion of the contractualobligations, or the elapsing of time, these amounts will be paid to the relevant contractor in line with Council's contractualobligations.

Steam Train Asset Trust - In 2005 Council leased a Steam Locomotive to Steamrail Victoria Inc. At the time a surety bondof $20,000 was placed in a truct account in the name of Council with any interest to go to Steamrail Victoria Inc. at the endof the agreement.

Page 34

116


Note 25 Provisions (cont.)2017 2016$'000 $'000

(a) Total ProvisionsCurrent 17,273 15,499 Non-Current 12,518 7,689 Total Provisions 29,791 23,188

(b) Employee Provisions

Annual Leave 3,563 3,555 Long Service Leave 1,408 641 Sick Leave - Contracted Employees 23 24 Service Recognition 12 14

5,006 4,234

Annual Leave 1,119 1,124 Long Service Leave 6,669 7,632 Sick Leave - Contracted Employees 247 264 Service Recognition 124 147

8,159 9,167 Total Current 13,165 13,401

Non-CurrentLong Service Leave 1,612 1,685 Total Non-Current 1,612 1,685 Total Employee Provisions 14,777 15,086

The following assumptions were adopted in measuring the present value of employee benefits:

- Weighted average increase in employee costs 3.81% 4.13%- Weighted average discount rates 2.61% 1.99%- Weighted average settlement period (Years) 17 17

(c) Landfill RestorationCurrent 4,108 2,098 Non-Current 10,906 6,004 Total Landfill Restoration 15,014 8,102

The following assumptions were adopted in measuring the present value of the landfill restoration:

- Weighted average increase in landfill restoration costs 2.00% 1.99%- Weighted average discount rates 2.61% 2.30%- Weighted average settlement period (Years) 30 30

Current Provisions Expected to be Settled Within 12 Months

Current Provisions Expected to be Settled After 12 Months

Under the current EPA Environmental Licence the Council is obligated to restore landfill sites to a particularstandard. Provision has been made for the existing Eaglehawk site at $9,897,084 (2016: $8,101,328) and theno longer active White Hills site is $5,117,232 (2016: $Nil). A rehabilitation plan for the White Hills site wasdeveloped during the 2016/2017 financial year. Through this process an accurate calculation for the cost torehabilitate this site was determined. Previously information was not available to provide an accuratecalculation of what the rehabilitation costs would be, therefore the White Hills site was listed as a contingentliability. Current engineering projections indicate that the Eaglehawk landfill site will cease operation in 2021and restoration work is expected to commence in 2017/2018. The forecast life of the Eaglehawk landfill site isbased on current estimates of remaining capacity and the forecast rate of infill. The provision for each landfillrestoration has been calculated based on the present value of the expected cost of works to be undertaken.The expected cost of works has been estimated based on current understanding of work required to reinstatethe site to a suitable standard and budgeted costs for that work. Accordingly, the estimation of the provisionrequired is dependent on the accuracy of the forecast timing of the work, work required and related costs.

Page 35




Lender

Amount Borrowed

$'000Rate

% Period2017 $'000

2016 $'000

CurrentBendigo Bank * 2,770 6.39 2009/2019 340 319 National Australia Bank * 10,700 5.84 2012/2027 615 581 National Australia Bank * 11,300 5.66 2013/2028 618 584 National Australia Bank * 5,000 3.54 2016/2025 497 480 National Australia Bank * 17,000 3.49 2017/2026 1,635 -

3,705 1,964

Non-CurrentBendigo Bank * 2,770 6.39 2009/2019 363 703 National Australia Bank * 10,700 5.84 2012/2027 7,493 8,109 National Australia Bank * 11,300 5.66 2013/2028 8,534 9,152 National Australia Trustees Limited (as Trustee for the LGFV Program Trust) *

11,000 4.65 2015/2021 11,000 11,000

National Australia Bank * 5,000 3.54 2016/2025 4,023 4,520 National Australia Bank * 17,000 3.49 2017/2026 15,366 Total Non-Current 46,779 33,484

Total Interest Bearing Loans and Borrowings 50,484 35,448

The maturity profile for Council's Borrowings is:Not later than one year 3,705 1,964 Later than one year and not later than five years 26,392 8,186 Later than five years 20,387 25,298 Total Interest Bearing Loans and Borrowings 50,484 35,448

Note 26 Interest Bearing Loans and Borrowings

* Interest Bearing Loans and Borrowings are secured against a charge over Council'sRate Revenue.

Page 36

118


Note 27 ReservesBalance at

beginning of reporting period

Increment (decrement)

Balance at end of reporting period

$'000 $'000 $'000

(a) Asset Revaluation Reserves2017PropertyLand 130,546 5,680 136,226 Buildings 99,251 10,286 109,537 Plant & Equipment 1,541 - 1,541 Library Resources 820 - 820 Artwork 42,331 4,976 47,307

274,489 20,942 295,431 InfrastructureRoads, Bridges & Pathways 359,939 2,883 362,822 Drainage 60,214 (1,370) 58,844 Public Furniture & Fittings, Statues and Monuments 10,476 1,045 11,521 Land Improvements 11,003 - 11,003

441,632 2,558 444,190 Total Asset Revaluation Reserves 716,121 23,500 739,621

2016PropertyLand 130,546 - 130,546 Buildings 99,251 - 99,251 Plant & Equipment 1,541 - 1,541 Library Resources 820 - 820 Artwork 42,331 - 42,331

274,489 - 274,489 InfrastructureRoads, Bridges & Pathways 344,883 15,056 359,939 Drainage 61,228 (1,014) 60,214 Public Furniture & Fittings, Statues and Monuments 10,476 - 10,476 Land Improvements 11,003 - 11,003

427,590 14,042 441,632 Total Asset Revaluation Reserves 702,079 14,042 716,121

The asset revaluation reserve is used to record the increased (net) value of Council's assets over time.

Notes to the Financial Report for the Year Ended 30 June 2017

Page 37



Greater Bendigo City CouncilNote 27 Reserves (cont.)

Balance atbeginning of

reporting period

Transfer from accumulated

surplus

Transfer to accumulated

surplusBalance at end of reporting period

(b) Other Reserves 2017 $'000 $'000 $'000 $'000

Statutory ReservesOpen Space 2,620 776 (256) 3,140 Development 3,759 595 (454) 3,900

6,379 1,371 (710) 7,040 Discretionary and Other ReservesWaste Facility 6,885 251 (1,772) 5,364 Land & Buildings 1,519 36 (431) 1,124 Carpark 661 - - 661 Defined Benefits 2,200 400 - 2,600 Long Service Leave 3,696 200 - 3,896 Unexpended Grants & Donations 18,975 11,011 (16,975) 13,011

33,936 11,898 (19,178) 26,656 Total Other Reserves 40,315 13,269 (19,888) 33,696

Other Reserves 2016Statutory ReservesOpen Space 1,878 1,061 (319) 2,620 Development 3,329 984 (554) 3,759

5,207 2,045 (873) 6,379 Discretionary and Other ReservesWaste Facility 5,289 2,234 (638) 6,885 Land & Buildings 1,794 - (275) 1,519 Carpark 630 31 - 661 Defined Benefits 1,800 400 - 2,200 Long Service Leave 3,396 300 - 3,696 Unexpended Grants & Donations 8,740 18,975 (8,740) 18,975

21,649 21,940 (9,653) 33,936 Total Other Reserves 26,856 23,985 (10,526) 40,315

Statutory Reserves

Discretionary and Other Reserves

Defined Benefits - This reserve is used to assist with the funding of any call that may be made on Council as a result of shortfall

Unexpended Grants & Donations - This reserve is used to set aside grant and donation monies in relation to specific projects received in one financial year that will not be expended until a later financial year. Funds in this account are predominantly not discretionary.

Development Reserve - Statutory developer contribution funds for future drainage, road, fencing and tree planting.

Waste Facility Reserve - This reserve has been established to make some provision for a replacement waste treatment facility

Car Park Reserve - This reserve has been established for the provision of an additional car parking facility in the Central Business District of Bendigo.

Land & Building Reserve - This reserve has been established for future expansion of Community Land & Buildings.

Long Service Leave - This reserve has been established after changes to the Local Government (Long Service Leave) Regulations 2002 came into effect, removing requirement to maintain a separate investment. Council agreed to create a reserve to acknowledge the liability and ensure funds are available when required.

Open Space - Statutory developer contribution funds to be used for future recreation facility additions or improvements.

Notes to the Financial Report for the Year Ended 30 June 2017

Page 38

120


Note 28 Notes to Cash Flow Statement2017 2016

(a) Reconciliation of Cash and Cash Equivalents Note $'000 $'000Cash on Hand 30 30 Cash at Bank 3,884 10,584 Term Deposits 76,036 54,501 Cash at end of Financial Year as per Cash FlowStatement 15 79,950 65,115

(b) Reconciliation of Cash Flows from Operating 2017 2016Activities to Surplus / (Deficit) Note $'000 $'000Surplus / (Deficit) for the Year 50,181 41,492

Items not Involving CashDepreciation / Amortisation 12 31,230 30,149 (Profit) / Loss on disposal of Property, Infrastructure, Plant and Equipment 7 27,225 8,981 Contributions - Non Monetary Assets 6 (20,342) (17,095) Found Assets (21,782) (1,691) Share of Net (Profits) / Losses of Associates Accounted 14 for Using the Equity MethodFinancing Costs (Other) 1,773 1,679

Change in Operating Assets and LiabilitiesMovement in: (Increase) / Decrease in Trade and Other Receivables 19 3,561 (10,249) (Increase) / Decrease in Other Assets 18 321 (836) (Increase) / Decrease in Intangible Assets 22 (1,983) (32) (Increase) / Decrease in Inventory (66) (6) Increase / (Decrease) in Trade and Other Payables 23 3,502 (12,106) Increase / (Decrease) in Trust Funds and Deposits 24 (39) 344 Increase / (Decrease) in Provisions 25(a) 6,603 2,585 Net Cash Provided By / (Used In) Operating Activities 81,082 43,125

(c) Financing Arrangements $'000 $'000

Bank Overdraft 3,500 3,500 Credit Card Facility 400 400 Total Facilities 3,900 3,900

Used Facilities 64 47 Unused Facilities 3,836 3,853 Total Facilities 3,900 3,900

(90) 898

Page 39




Note 29 Commitments for Expenditure The Council has entered into the following commitments.

2017Not later

than 1 year

Later than 1 year and not later than

5 yearsLater than 5

years Total$'000 $'000 $'000 $'000

OperatingAnimal Pound Services 252 261 - 513 Building Essential Services 254 653 - 907 Children and Family Services 167 35 108 310 Cleaning Contracts 1,038 1,341 - 2,379 Cleaning Public Bins 113 442 - 555 Communications 131 - - 131 Contract Management 20 20 - 40 Garbage Collection - Transfer Stations 121 - - 121 Internal Audit 39 - - 39 IT / Telecommunications 219 171 - 390 Organics Collection 891 3,744 - 4,635 Processing Organic Waste 1,155 4,247 - 5,402 Recyclable Garbage Collection 1,683 2,652 - 4,335 Sanitary Services 25 51 - 76 Security Services 147 295 - 442 Septic Systems 33 3 - 36 Theatre Costs 164 - - 164 Transportation of Waste from Eaglehawk Landfill 2,200 2,889 - 5,089

8,652 16,804 108 25,564 CapitalCommunications 8 - - 8 Construction Works* 38,968 2,000 - 40,968

38,976 2,000 - 40,976 TOTAL 47,628 18,804 108 66,540

2016Not later

than 1 year

Later than 1 year and not later than

5 yearsLater than 5

years Total$'000 $'000 $'000 $'000

OperatingCleaning Contracts 765 467 - 1,232 Building Essential Services 187 741 - 928 Security Services 99 334 - 433 Sanitary Services 20 56 - 76 Children and Family Services 89 106 - 195 Contract Management 20 48 - 68 IT / Telecommunications 211 332 - 543 Internal Audit 39 39 - 78 Recyclable Garbage Collection 1,548 2,349 - 3,897 Garbage Collection - Transfer Stations 122 127 - 249 Transportation of Waste from Eaglehawk Landfill 2,910 3,355 - 6,265 Processing Organic Waste 1,012 5,474 270 6,756 Organics Collection 759 4,153 2,629 7,541 Cleaning Public Bins 110 442 - 552 Animal Pound Services 244 252 - 496 Aged Care Services 49 7 - 56 Septic Systems 41 78 - 119 Community Chef 180 - - 180 Strategy - Consulting Services 65 - - 65 Infrastructure - Consulting Services 171 - - 171 Community Development Services 104 88 - 192 Communications 83 - - 83 Electoral Services 467 - - 467

9,295 18,448 2,899 30,642 CapitalSupply of Bins 726 165 - 891 Construction Works 51,199 12,741 - 63,940

51,925 12,906 - 64,831 TOTAL 61,220 31,354 2,899 95,473

* Construction Works are for Commitments for Major Projects including; $18M new Aquatic Centre, $7M Bendigo Stadium Expansion, $4M Bendigo RSL Soldiers Memorial, $3.2M Garden for the Future, $2.4M Strathfieldsaye Early Learning Centre and $1.3M Bendigo Tennis Centre.

Page 40

122


Note 30 Operating Lease Commitments2017 2016$'000 $'000

Not later than one year 148 493

Later than one year and not later than five years 93 242

Total Operating Lease Commitments 241 735

Note 31 Superannuation

Defined Benefit

Funding Arrangements

7.0% pa4.25% pa2.5% pa.

At the reporting date, the Council had thefollowing obligations under non-cancellableoperating leases for equipment and land These obligations are not recognised in the financial statements as liabilities:

As at 30 June 2016, an interim acturial investigation was held as the Fund provides lifetime pensions in the DefinedBenefit category. The vested benefit index (VBI) of the Defined Benefit category of which Council is a contributingemployer was 102.0%. To determine the VBI, the fund Actuary used the following long-term assumptions:

Vision Super has advised that the estimated VBI at 30 June 2017 was 103.1%. The VBI is to be used as the primaryfunding indicator. Because the VBI was above 100%, the 2016 interim acturial investigation determined the DefinedBenefit category was in a satisfactory financial position and that no change was necessary to the Defined Benefitcategory’s funding arrangements from prior years.

Council makes the majority of its employer superannuation contributions in respect of its employees to the LocalAuthorities Superannuation Fund (the Fund). This Fund has two categories of membership, accumulation anddefined benefit, each of which is funded differently. Obligations for contributions to the Fund are recognised as anexpense in the Comprehensive Income Statement when they are made or due.

AccumulationThe Fund's accumulation categories, Vision MySuper/Vision Super Saver, receive both employer and employeecontributions on a progressive basis. Employer contributions are normally based on a fixed percentage of employeeearnings (for the year ended 30 June 2017, this was 9.5% as required under Superannuation Guarantee legislation).

Council does not use defined benefit accounting for its defined benefit obligations under the Fund's Defined Benefitcategory. This is because the Fund's Defined Benefit category is a pooled multi-employer sponsored plan.

There is no proportional split of the defined benefit liabilities, assets or costs between the participating employers asthe defined benefit obligation is a floating obligation between the participating employers and the only time that theaggregate obligation is allocated to specific employers is when a call is made. As a result, the level of participationof Council in the Fund cannot be measured as a percentage compared with other participating employers. Therefore,the Fund Actuary is unable to allocate benefit liabilities, assets and costs between employers for the purposes ofAASB 119.

Council makes employer contributions to the Defined Benefit category of the Fund at rates determined by theTrustee on the advice of the Fund Actuary.

Net investment returnsSalary information Price inflation (CPI)

Page 41




Note 31 Superannuation (cont.)Employer Contributions

Regular Contributions

Funding Calls

2016 Interim actuarial investigation surplus amounts

A VBI surplus of $40.3 million; andA total service liability surplus of $156 million.

2017 Full triennial actuarial investigation

Future superannuation contributions

The VBI surplus means that the market value of the fund’s assets supporting the defined benefit obligations exceedthe vested benefits that the defined benefit members would have been entitled to if they had all exited on 30 June2016. The total service liability surplus means that the current value of the assets in the Fund’s Defined Benefitcategory plus expected future contributions exceeds the value of expected future benefits and expenses. Councilwas notified of the 30 June 2016 VBI during August 2016.

There were $166,537 contributions outstanding and no loans issued from or to the above schemes as at 30 June2017. The expected contributions to be paid to the Defined Benefit category of Vision Super for the year ending 30June 2018 is $488,431.

On the basis of the results of the 2016 interim actuarial investigation conducted by the Fund Actuary, Council makesemployer contributions to the Fund’s Defined Benefit category at rates determined by the Fund’s Trustee. For theyear ended 30 June 2017, this rate was 9.5% of members' salaries (9.5% in 2015/2016). This rate will increase inline with any increase to the contribution rate. In addition, Council reimburses the Fund to cover the excess of thebenefits paid as a consequence of retrenchment above the funded resignation or retirement benefit.

If the Defined Benefit category is in an unsatisfactory financial position at an actuarial investigation or the DefinedBenefit category‘s VBI is below its shortfall limit at any time other than the date of the actuarial investigation, theDefined Benefit category has a shortfall for the purposes of SPS 160 and the Fund is required to put a plan in placeso that the shortfall is fully funded within three years of the shortfall occurring. The Fund monitors its VBI on aquarterly basis and the Fund has set its shortfall limit at 97%.

In the event that the Fund Actuary determines that there is a shortfall based on the above requirement, the Fund’sparticipating employers (including Council) are required to make an employer contribution to cover the shortfall.Using the agreed methodology, the shortfall amount is apportioned between the participating employers based onthe pre-1 July 1993 and post-30 June 1993 service liabilities of the Fund’s Defined Benefit category, together withthe employer’s payroll at 30 June 1993 and at the date the shortfall has been calculated.

Due to the nature of the contractual obligations between the participating employers and the Fund, and that the Fundincludes lifetime pensioners and their reversionary beneficiaries, it is unlikely that the Fund will be wound up. If thereis a surplus in the Fund, the surplus cannot be returned to the participating employers. In the event that aparticipating employer is wound-up, the defined benefit obligations of that employer will be transferred to thatemployer’s successor.

The Fund’s interim actuarial investigation as at 30 June 2016 identified the following in the defined benefit categoryof which Council is a contributing employer:

A full actuarial investigation is being conducted for the Fund's position as at 30 June 2017. It is anticipated that thisactuarial investigation will be completed in December 2017.

Page 42

124


Note 32 Contingent Liabilities(a) Loan Guarantees

Name of Organisation

CouncilGuarantee

Amount

Current Loan

Guarantee Exposure

Financial Institution

Date Approved by

CouncilGuarantee

Expires$ $

Bendigo Stadium Ltd - Loan 1 - Bendigo Bank 31/10/2002 Sep 2025 *

Bendigo Stadium Ltd - Loan 2 - Bendigo Bank 31/10/2002 Sep 2025 *

Bendigo Stadium Ltd - Loan 3 12,205,986 Bendigo Bank 4/05/2016 May 2027 *

Kangaroo Flat Bowling Club - Bendigo Bank 14/11/2002 Nov 2017 **

Bendigo Properties Pty Ltd - Bendigo Bank 29/02/2008 Dec 2017 **Total Amount 12,205,986

(b) Performance Guarantees

Name of Organisation Description AmountFinancial Institution

Date Entered

20,000$ Commonwealth Bank 25/08/1998

1,952,877$ Bendigo Bank 17/05/2005

(c) Other Contingent Liabilities

(iii) Council has obligations under a defined benefit superannuation scheme that may result in the need tomake additional contributions to the scheme, matters relating to this potential obligation are outlined in Note32. As a result of the volatility in financial markets the likelihood of making such contributions in future periodsexists. At this point in time it is not known if additional contributions will be required, their timing or potentialamount.

EPA Victoria

1,811,107

300,000

1,600,000

(ii) Council has confirmed the presence of ten past and one current landfill sites that may require some form ofrehabilitation or remediation works. Both the Eaglehawk and White Hills sites have had a rehabilitation plandeveloped. This has allowed Council to include an accurate provision within the financial statements for bothsites at the 30 June 2017. To date, discussions with the Environmental Protection Authority (EPA) have beencentred on the possible works required at the old Wolstencroft Landfill site. Council are in discussions as tohow to redevelop this site with the decision likely to impact the rehabilitation costs. Due to these unknowns,Council are unable to accurately assess the financial implications of such works. The remainder of the formerlandfill sites that have been identified are considered a low risk and are unlikely to require any furtherrehabilitation.

As at 30 June 2017, the Council had contingent liabilities in respect of loan guarantees given on behalf of thefollowing organisations.

(i) Council is currently negotiating with a State Government Department in regards to the rehabilitation of acontaminated site within the municipality. The Department has commenced an assessment program at thesite with Phase 1 and Phase 2 of an Environmental Site Assessment being completed. It is not known ifCouncil will be required to contribute to any future rehabilitation costs upon the completion of the assessmentprogram.

Gravel Pit RehabilitationRemedial Action Landfill Site

Department of Natural Resources and Environment

As at 30 June 2017 the Council had contingent liabilities in respect of contracts entered into which requireperformance standards to be maintained.

* Bendigo Stadium Ltd - Loan 1 and Loan 2 have been consolidated into the new Bendigo Stadium Ltd - Loan3. An additional guarantee was approved for $11,000,000 on 16 May 2017. The total exposure at 30 June2017 is $12,205,986.

13,819,898

1,008,791

** Kangaroo Flat Bowling Club and Bendigo Properties Pty Ltd were repaid during the 2016-17 financial year.

Page 43




Note 33 Contingent AssetsContributed Assets

Due to the nature of the arrangements in place and the assets involved, a contingent asset amount cannot bereliably measured prior to completion.

Construction of infrastructure assets by developers in the course of creating new subdivisions results in theinfrastructure assets being vested in Council when Council issues a Statement of Compliance. These assetsare bought to account as revenue and capitalised.

At reporting date, developers had commenced construction of assets that will eventually be transferred toCouncil contingent upon Council issuing a Statement of Compliance.

Page 44

126


Note 34 Financial Instruments (a) Objectives and Policies

(b) Market Risk

(c) Credit Risk

The Council's principal financial instruments comprise cash assets, term deposits, receivables (excludingstatutory receivables), payables (excluding statutory payables) and bank borrowings. 'Details of the significantaccounting policies and methods adopted, including the criteria for recognition, the basis of measurement andthe basis on which income and expenses are recognised, in respect of each class of financial asset, financialliability and equity instrument is disclosed in Note 1 of the financial statements. 'Risk management is carriedout by senior management under policies approved by the Council. These policies include identification andanalysis of the risk exposure to Council and appropriate procedures, controls and risk minimisation.

Receivables consist of a large number of customers, spread across the ratepayer, business and governmentsectors. Credit risk associated with the Council's financial assets is minimal because the main debtor is securedby a charge over the rateable property.

We may also be subject to credit risk for transactions which are not included in the balance sheet, such aswhen we provide a guarantee for another party. Details of our contingent liabilities are disclosed in Note 33.

Market risk is the risk that the fair value or future cash flows of our financial instruments will fluctuate becauseof changes in market prices. The Council's exposures to market risk is primarily through interest rate risk withonly insignificant exposure to other price risks and no exposure to foreign currency risk.

Interest Rate RiskInterest rate risk refers to the risk that the value of a financial instrument or cash flows associated with theinstrument will fluctuate due to changes in market interest rates. Our interest rate liability risk arises primarilyfrom long term loans and borrowings at fixed rates which exposes us to fair value interest rate risk. Cash flowinterest rate risk is the risk that the future cash flows of a financial instrument will fluctuate because of changesin market interest rates. Council has minimal exposure to cash flow interest rate risk through its cash anddeposits that are at floating rate.

Investment of surplus funds is made with approved financial institutions under the Local Government Act 1989.

There has been no significant change in the Council's exposure, or its objectives, policies and processes formanaging interest rate risk or the methods used to measure this risk from the previous reporting period.

Interest rate movements have not been sufficiently significant during the year to have an impact on theCouncil's year end result.

Credit risk is the risk that a contracting entity will not complete its obligations under a financial instrument andcause us to make a financial loss. We have exposure to credit risk on some financial assets included in ourbalance sheet. To help manage this risk, we only invest surplus funds with financial institutions which have arecognised credit rating specified in our investment policy.

The maximum exposure to credit risk at the reporting date to recognised financial assets is the carrying amount,net of any provisions for impairment of those assets, as disclosed in the balance sheet and notes to thefinancial statements. Council does not hold any collateral.

- diversification of investment product, - monitoring of return on investment, - benchmarking of returns and comparison with budget.

There are no material financial assets which are individually determined to be impaired.

Page 45




Note 34 Financial Instruments (cont.)(d) Liquidity Risk

e) Fair Value

Fair value hierarchy

(f) Sensitivity Disclosure Analysis

- have a liquidity portfolio structure that requires surplus funds to be invested within various bands of liquid instruments;

Liquidity risk includes the risk that, as a result of our operational liquidity requirements or we will not havesufficient funds to settle a transaction when required, we will be forced to sell a financial asset at below value ormay be unable to settle or recover a financial asset.

To help reduce these risks Council:

Taking into account past performance, future expectations, economic forecasts, and management's knowledge and experience of the financial markets, Council believes the following movements are 'reasonably possible' over the next 12 months:

These movements will not have a material impact on the valuation of Council's financial assets and liabilities, nor will they have a material impact on the results of Council's operations.

- A parallel shift of +1% and -0.5% in market interest rates (AUD) from year-end rates of 2.3%.

The Council's maximum exposure to liquidity risk is the carrying amounts of financial liabilities as disclosed in the face of the balance sheet and the amounts related to financial guarantees disclosed in Note 34, and is deemed insignificant based on prior periods' data and current assessment of risk.

- have a liquidity policy which targets a minimum and average level of cash and cash equivalents to be maintained;

There has been no significant change in Council's exposure, or its objectives, policies and processes for managing liquidity risk or the methods used to measure this risk from the previous reporting period.

Unless otherwise stated, the carrying amount of financial instruments reflect their fair value.

Council's financial assets and liabilities are not valued in accordance with the fair value hierarchy , Council's financial assets and liabilities are measured at amortised cost.

With the exception of borrowings, all financial liabilities are expected to be settled within normal terms of trade. Details of the maturity profile for borrowings are disclosed at Note 26.

Unless otherwise stated, the carrying amounts of financial instruments reflect their fair value.

- have readily accessible standby facilities and other funding arrangements in place;

- monitor budget to actual performance on a regular basis; and - set limits on borrowings relating to the percentage of loans to rate revenue and percentage of loan principal repayments to rate revenue.

Page 46

128

Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City CouncilNote 35 Related Party Transactions(i) Related Parties

(ii) Key Management Personnel 2017No.

CouncillorsMargaret O'Rourke Mayor (15/11/2016 - 30/06/2017) (15/11/2016 - 30/06/2017)Rod Fyffe Mayor (01/07/2016 - 14/11/2016) (01/07/2016 - 30/06/2017)James Williams (01/07/2016 - 30/06/2017)Jennfier Alden (15/11/2016 - 30/06/2017)Matt Emond (15/11/2016 - 30/06/2017)George Flack (15/11/2016 - 30/06/2017)Julie Hoskin (15/11/2016 - 30/06/2017)Andrea Metcalf (15/11/2016 - 30/06/2017)Yvonne Wrigglesworth (15/11/2016 - 30/06/2017)Barry Lyons (01/07/2016 - 22/10/2016)Peter Cox (01/07/2016 - 22/10/2016)Lisa Ruffell (01/07/2016 - 22/10/2016)Rod Campbell (01/07/2016 - 22/10/2016)Elise Chapman (01/07/2016 - 22/10/2016)Helen Leach (01/07/2016 - 22/10/2016)Mark Weragoda (01/07/2016 - 22/10/2016)Total Number of Councillors 16Chief Executive Officer and other Key Management Personnel* 9Total Key Management Personnel 25

(iii) Remuneration of Key Management Personnel 2017$'000

Short-term benefits 1,679 Long-term benefits 19 Termination benefits 181 Total 1,879

2017No.

$10,000 - $19,999 8$20,000 - $29,999 6$30,000 - $39,999 1$50,000 - $59,999 1$60,000 - $69,999 2$70,000 - $79,999 -$100,000 - $109,999 1$110,000 - $119,999 1$130,000 - $139,999 -$160,000 - $169,999 2$170,000 - $179,999 -$210,000 - $219,999 -$220,000 - $229,999 -$230,000 - $239,999 1$310,000 - $319,999 1$330,000 - $339,999 1

25

Parent EntityGreater Bendigo City Council is the parent entity.

Subsidiaries and AssociatesInterest in subsidiaries and associates are detailed in Note 14.

Details of persons holding the position of a Councillor or other members of key management personnel at any time during the year are:

Total remuneration of key management personnel was as follows:

The numbers of key management personnel whose total remuneration from Council and any related entities, fall within the following bands was as follows:

* Other Key Management personel during the period were: Chief Executive Officer Craig Neimann; Directors Kerryn Ellis, Vicky Mason, Craig Lloyd and Bernie O'Sullivan; and former (or acting for a period) Directors Prue Mansfield, Darren Fuzzard, Michael Smyth and Terry Karamaloudis.

Page 47



Notes to the Financial Report for the Year Ended 30 June 2017Greater Bendigo City CouncilNote 35 Related Party Transactions (cont.)(iv) Transactions with Related Parties

2017$'000

IncomeFinancial Services provided to North Central Goldfields Regional Library Corporation (NCGRLC) 84 Rent and outgoings received from NCGRLC for the Bendigo Library Headquarters 31

115 ExpensesContribution to NCGRLC 2,815 Reimbursement for running the Bendigo Regional Archive Centre (BRAC), paid to NCGRLC 91 Room Hire / Other Expenses, paid to NCGRLC 18

2,924

(v) Outstanding Balances with Related Parties

(vi) Loans To/From Related Parties

(vii) Commitments To/From Related Parties

(b) Whilst a Councillor, Peter Cox was the General Manager of the Eaglehawk Recycle Shop Inc. (ERS) for a part of the year. ERS operates the Recovery Centre at the Eaglehawk Landfill site. The Landfill site is operated by Council and no fees are paid by the operators of the Recovery Centre. The Council has a three year lease with ERS up until 15 March 2019.

During the period Council entered into the following transactions with related parties.

There was material no balances outstanding at the end of the reporting period in relation to transactions with related parties.

There are no loans in existence at balance date which have been made, guaranteed or secured by Council to a related party.

There following commitments are in existence at balance date that have been made, guaranteed or secured by Council to a related party:

(a) The Counil has an agreement with the North Central Goldfields Regional Library Corporation to provide accounting and financial services to 30 June 2018 for which a fee is paid. The Council also has a 10 year lease agreement for buildings with the Corporation which commenced on 1 July 2015, for which rental is charged.

Page 48

130


Note 36 Senior Officer Remuneration

a) has management responsibilities and reports directly to the Chief Executive; orb) whose total annual remuneration exceeds $142,000.

The number of Senior Officers are shown below in their relevant income bands:2017 2016No. No.

Income Range:< $142,000 - 2$142,000 - $149,999 10 5$150,000 - $159,999 3 5$160,000 - $169,999 6 4$170,000 - $179,999 - 1

19 17

2017 2016$'000 $'000

2,919 3,656

Note 37 Events Occurring after Balance Date

A Senior Officer is an officer of Council, other than Key Management Personnel, who:

Total remuneration for the reporting year for Senior Officers included above, amounted to:

No matter has occurred after balance date that require disclosure in the financial report.

Page 49

132

Independent Auditor’s Report To the Councillors of Greater Bendigo City Council

Opinion I have audited the financial report of Greater Bendigo City Council (the council) which comprises the:

balance sheet as at 30 June 2017 comprehensive income statement for the year then ended statement of changes in equity for the year then ended statement of cash flows for the year then ended statement of capital works for the year then ended notes to the financial statements, including a summary of significant accounting

policies certification of the financial statements.

In my opinion the financial report presents fairly, in all material respects, the financial position of the council as at 30 June 2017 and their financial performance and cash flows for the year then ended in accordance with the financial reporting requirements of Part 6 of the Local Government Act 1989 and applicable Australian Accounting Standards.

Basis for Opinion

I have conducted my audit in accordance with the Audit Act 1994 which incorporates the Australian Auditing Standards. My responsibilities under the Act are further described in the Auditor’s Responsibilities for the Audit of the Financial Report section of my report.

My independence is established by the Constitution Act 1975. My staff and I are independent of the council in accordance with the ethical requirements of the Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (the Code) that are relevant to my audit of the financial report in Australia. My staff and I have also fulfilled our other ethical responsibilities in accordance with the Code.

I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my opinion.

Councillors’ responsibilities for the financial report

The Councillors of the council are responsible for the preparation and fair presentation of the financial report in accordance with Australian Accounting Standards and the Local Government Act 1989, and for such internal control as the Councillors determine is necessary to enable the preparation and fair presentation of a financial report that is free from material misstatement, whether due to fraud or error.

In preparing the financial report, the Councillors are responsible for assessing the council’s ability to continue as a going concern, and using the going concern basis of accounting unless it is inappropriate to do so.






Basis for Opinion









Auditor’s responsibilities for the audit of the financial report

As required by the Audit Act 1994, my responsibility is to express an opinion on the financial report based on the audit. My objectives for the audit are to obtain reasonable assurance about whether the financial report as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes my opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this financial report.

As part of an audit in accordance with the Australian Auditing Standards, I exercise professional judgement and maintain professional scepticism throughout the audit. I also:

identify and assess the risks of material misstatement of the financial report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for my opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the council’s internal control

evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Councillors

conclude on the appropriateness of the Councillors’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the council’s ability to continue as a going concern. If I conclude that a material uncertainty exists, I am required to draw attention in my auditor’s report to the related disclosures in the financial report or, if such disclosures are inadequate, to modify my opinion. My conclusions are based on the audit evidence obtained up to the date of my auditor’s report. However, future events or conditions may cause the council to cease to continue as a going concern.

evaluate the overall presentation, structure and content of the financial report, including the disclosures, and whether the financial report represents the underlying transactions and events in a manner that achieves fair presentation.

I communicate with the Councillors regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that I identify during my audit.

MELBOURNE 22 September 2017

Tim Loughnan as delegate for the Auditor-General of Victoria

134

Greater Bendigo City CouncilPerformance StatementFor the Year Ended 30 June 2017

Page 53




Description of Municipality

PERFORMANCE STATEMENT

The City of Greater Bendigo is located in the geographic centre of Victoria about 90 minutes’ drive north of Melbourne. Greater Bendigo has an estimated population of almost 114,000 at 30 June 2017 and covers almost 3,000 square kilometres of the central Victorian landscape, including smaller towns and villages such as Heathcote, Axedale, Huntly, Marong, Elmore, Goornong, Neilborough, Sebastian, Woodvale, Raywood, Mia Mia and Redesdale.

The resident population of Greater Bendigo at the 2016 ABS census of population and housing was 111,783, this was a growth of 9.6% from a population of 101,995 at the 2011 Census, which represents an average annual growth rate of 1.9% or 2,157 people.

The service age structure of Greater Bendigo shows different populations at their different life stages. Looking at age structure this way can better inform the level of demand on specific age based services as well as specific housing needs.

The age structure of Greater Bendigo at the 2016 Census shows that overall 19.2% of the population was aged between 0 and 15 and 17.8% of residents were over the age of 65. Compared to Regional Victoria, Greater Bendigo has a higher proportion of people in the younger age groups and lower proportion of those 65 and over (18.2% and 20.4% respectively).

Page 54

136


Sustainable Capacity IndicatorsResults Results Results

Indicator /measure 2015 2016 2017 Material VariationsPopulationExpenses per head of municipal population $1,606.68 $1,559.13 $1,508.76 [Total expenses / Municipal population]Infrastructure per head of municipal population $10,326.64 $10,488.21 $10,861.75 [Value of infrastructure / Municipal population]Population density per length of road 34.62 34.99 35.89 [Municipal population / Kilometres of local roads]Own-source revenue Own-source revenue per head of municipal population [Own-source revenue / Municipal population]

$1,042.70 $1,224.47 $989.50 In 2016/17 Council's Rates, Fees and Charges revenue grew by 4.5%, alongside a 2.7% increase in the municipal population. However the revenue mix for "total" own-source revenue was impacted by a large loss on disposal of property, infrastructure, plant and equipment. This was predominantly related to a non-cash disposal of $13M of Artworks incorrectly recorded as Council assets (previously brought to account as non-monetary contributions).

Recurrent grants Recurrent grants per head of municipal population [Recurrent grants / Municipal population]

$318.57 $178.30 $308.52 The variance is due to receiving approximately 50% of the 2017/18 Financial Assistance Grant in 2016/17 - inflating the 2017 results. Approximately 50% of the 2015/16 Financial Assistance Grant was received in 2014/15, impacting 2015 /16.

DisadvantageRelative Socio-Economic Disadvantage 4.00 4.00 4.00 [Index of Relative Socio-Economic Disadvantage by decile]


Definitions"adjusted underlying revenue" means total income other than: (a) non-recurrent grants used to fund capital expenditure; and (b) non-monetary asset contributions; and (c) contributions to fund capital expenditure from sources other than those referred to above“infrastructure” means non-current property, plant and equipment excluding land"local road" means a sealed or unsealed road for which the council is the responsible road authority under the Road Management Act2004"population" means the resident population estimated by council"own-source revenue" means adjusted underlying revenue other than revenue that is not under the control of council (including government grants)"relative socio-economic disadvantage", in relation to a municipality, means the relative socio-economic disadvantage, expressed as a decile for the relevant financial year, of the area in which the municipality is located according to the Index of Relative Socio-EconomicDisadvantage (Catalogue Number 2033.0.55.001) of SEIFA"SEIFA" means the Socio-Economic Indexes for Areas published from time to time by the Australian Bureau of Statistics on its Internetwebsite"unrestricted cash" means all cash and cash equivalents other than restricted cash.

Page 55




Service Performance IndicatorsResults Results Results

Service/indicator /measure 2015 2016 2017 Material Variations

Aquatic FacilitiesUtilisationUtilisation of aquatic facilities 1.66 1.68 1.72

[Number of visits to aquatic facilities / Municipal population]

Animal ManagementHealth and safety

Animal management prosecutions 6.00 5.00 7.00[Number of successful animal management prosecutions]Food SafetyHealth and safetyCritical and major non-compliance outcome notifications 100.00% 93.55% 74.66%

[Number of critical non-compliance outcome notifications and major non-compliance notifications about a food premises followed up / Number of critical non-compliance outcome notifications and major non-compliance notifications about a food premises] x100

GovernanceSatisfactionSatisfaction with council decisions 51.00 51.00 52.00[Community satisfaction rating out of 100 with how council has performed in making decisions in the interest of the community]Home and Community Care (HACC)Participation

Participation in HACC service 20.00% 18.29%Reporting on HACC ceased on 1 July 2016 due to the introduction of the Commonwealth Government's NDIS and CHSP programs.

[Number of people that received a HACC service / Municipal target population for HACC services] x100

Participation

Participation in HACC service by CALD people 12.00% 12.04%Reporting on HACC ceased on 1 July 2016 due to the introduction of the Commonwealth Government's NDIS and CHSP programs.

[Number of CALD people who receive a HACC service / Municipal target population in relation to CALD people for HACC services] x100LibrariesParticipationActive library members 17.00% 15.67% 14.82%[Number of active library members / Municipal population] x100

The utilisation of aquatic centres has had no material variations from year to year. In previous years the attendance of the Indoor Aquatic Facility has also been included in this calculation. However as the facility is leased and not controlled this has now been removed from the calculation for the current and prior year results.

There were 5 successful prosecutions for 2015/2016 and 7 for 2016/17 which results in an increase of 40%.

From 1 July 2016, 'Critical and major non-compliance outcome notifications' will be reported by calendar year. Previously this indicator was reported by financial year. This has been implemented to better align reporting with the Department of Health and Human Services. This may result in some variances year on year. The decrease is also related to staff shortages in the 2016/17 period.


ReportingCeased1 July 2016

ReportingCeased1 July 2016

Page 56

138

Greater Bendigo City CouncilPERFORMANCE STATEMENTService Performance Indicators (cont.)Maternal and Child Health (MCH)ParticipationParticipation in the MCH service[Number of children who attend the MCH service at least once (in the year) / Number of children enrolled in the MCH service] x100

79.00% 77.40% 76.65%

Participation

Participation in the MCH service by Aboriginal children 76.00% 74.74% 78.56%

[Number of Aboriginal children who attend the MCH service at least once (in the year) / Number of Aboriginal children enrolled in the MCH service] x100

RoadsSatisfactionSatisfaction with sealed local roads 61.00 56.00 59.00[Community satisfaction rating out of 100 with how council has performed on the condition of sealed local roads]Statutory PlanningDecision making Council planning decisions upheld at VCAT 76.00% 83.33% 62.50%[Number of VCAT decisions that did not set aside council's decision in relation to a planning application / Number of VCAT decisions in relation to planning applications] x100Waste CollectionWaste diversionKerbside collection waste diverted from landfill 26.00% 28.65% 45.59%

[Weight of recyclables and green organics collected from kerbside bins / Weight of garbage, recyclables and green organics collected from kerbside bins] x100

The increase in waste diverted from landfill is primarily due to the successful rollout of an organics service across the municipality which began in September 2016.

There were 4 less cases referred to VCAT in the 2016/17 reporting period (2015/16: 12 cases). Due to the small number of cases, the variation percentage is higher year on year.

Definitions"Aboriginal child" means a child who is an Aboriginal person "Aboriginal person" has the same meaning as in the Aboriginal Heritage Act 2006"active library member" means a member of a library who has borrowed a book from the library "annual report" means an annual report prepared by a council under sections 131, 132 and 133 of the Act“CALD” means culturally and linguistically diverse and refers to persons born outside Australia in a country whose national language is not English“class 1 food premises” means food premises, within the meaning of the Food Act 1984, that have been declared as class 1 food premises under section 19C of that Act “class 2 food premises” means food premises, within the meaning of the Food Act 1984 , that have been declared as class 2 food premises under section 19C of that Act "Community Care Common Standards "means the Community Care Common Standards for the delivery of HACC services, published from time to time by the Commonwealth"critical non-compliance outcome notification" means a notification received by council under section 19N(3) or (4) of the Food Act 1984 , or advice given to council by an authorized officer under that Act, of a deficiency that poses an immediate serious threat to public health"food premises" has the same meaning as in the Food Act 1984"HACC program" means the Home and Community Care program established under the Agreement entered into for the purpose of the Home and Community Care Act 1985 of the Commonwealth "HACC service" means home help, personal care or community respite provided under the HACC program "local road" means a sealed or unsealed road for which the council is the responsible road authority under the Road Management Act2004"major non-compliance outcome notification" means a notification received by a council under section 19N(3) or (4) of the Food Act1984, or advice given to council by an authorized officer under that Act, of a deficiency that does not pose an immediate serious threat to public health but may do so if no remedial action is taken

Page 57



Greater Bendigo City CouncilPERFORMANCE STATEMENT

Service Performance Indicators (cont.)

Definitions (cont.)"MCH" means the Maternal and Child Health Service provided by a council to support the health and development of children within the municipality from birth until school age"population" means the resident population estimated by council "target population" has the same meaning as in the Agreement entered into for the purposes of the Home and Community Care Act 1985of the Commonwealth "WorkSafe reportable aquatic facility safety incident" means an incident relating to a council aquatic facility that is required to be notified to the Victorian WorkCover Authority under Part 5 of the Occupational Health and Safety Act 2004.

Page 58

140

Gre

ater

Ben

digo

City

Cou

ncil

Fina

ncia

l Per

form

ance

Indi

cato

rsR

esul

tsR

esul

tsR

esul

tsD

imen

sion

/indi

cato

r/m

easu

re20

1520

1620

1720

1820

1920

2020

21Ef

ficie

ncy

Rev

enue

leve

lA

vera

ge re

side

ntia

l rat

e pe

r res

iden

tial p

rope

rty

asse

ssm

ent

$1,28

4.74

$1,46

8.94

$1,63

6.27

$1,70

1.71

$1,73

3.65

$1,78

5.65

$1,80

2.42

[Res

iden

tial r

ate

reve

nue

/ Num

ber o

f res

iden

tial

prop

erty

ass

essm

ents

]

Expe

nditu

re le

vel

Exp

ense

s pe

r pro

perty

ass

essm

ent

$3,16

4.57

$2,80

8.53

$2,90

7.83

$2,76

7.52

$2,68

5.00

$2,68

1.62

$2,67

2.28

[Tot

al e

xpen

ses

/ Num

ber o

f pro

perty

ass

essm

ents

]

Wor

kfor

ce tu

rnov

er

Res

igna

tions

and

term

inat

ions

com

pare

d to

ave

rage

st

aff

6.97%

7.67%

8.79%

8.53%

8.81%

9.08%

9.38%

[Num

ber o

f per

man

ent s

taff

resi

gnat

ions

and

te

rmin

atio

ns /

Ave

rage

num

ber o

f per

man

ent s

taff

for t

he

finan

cial

yea

r] x1

00

Liqu

idity

Wor

king

cap

ital

Cur

rent

ass

ets

com

pare

d to

cur

rent

liab

ilitie

s[C

urre

nt a

sset

s / C

urre

nt li

abili

ties]

x10

016

7.10%

251.6

9%23

6.56%

131.8

8%14

7.52%

156.5

1%12

5.86%

Unr

estr

icte

d ca

shU

nres

trict

ed c

ash

com

pare

d to

cur

rent

liab

ilitie

s98

.64%

84.91

%64

.24%

56.82

%71

.36%

86.09

%81

.82%

[Unr

estri

cted

cas

h / C

urre

nt li

abili

ties]

x10

0

PER

FOR

MA

NC

E ST

ATE

MEN

T

Fore

cast

sM

ater

ial V

aria

tions

At t

he e

nd o

f 20

16/1

7 th

e ca

sh b

alan

ce w

as $

14M

hi

gher

than

201

5/16

due

to c

apita

l exp

endi

ture

pr

ojec

ts to

be

com

plet

ed in

201

7/18

. The

slig

ht

decr

ease

to 2

016/

17 is

due

to a

n in

crea

se in

pr

ovis

ions

for r

emed

iatio

n of

land

fills

.

Hig

her c

apita

l exp

endi

ture

rela

ted

to c

arrie

d fo

rwar

d pr

ojec

ts h

ave

redu

ced

the

unre

stric

ted

cash

co

mpa

red

to 2

015/

16. T

rade

pay

able

s an

d ad

ditio

nal

prov

isio

ning

for l

andf

ill re

med

iatio

n ha

s al

so

incr

ease

d cu

rren

t lia

bilit

ies.

Onc

e th

e cu

rren

t maj

or c

apita

l pro

gram

, inc

ludi

ng a

n A

cqua

tic C

entre

, is

com

plet

e, o

vera

ll ex

pend

iture

per

pr

oper

ty a

sses

sed

is fo

reca

st to

dec

reas

e.

Ther

e w

as a

hig

her t

urno

ver t

his

year

due

to

resi

gnat

ions

whe

re p

ositi

ons

wer

e no

t fill

ed o

n a

perm

anen

t bas

is. T

he fo

reca

st is

bas

ed o

n a

trend

an

alys

is o

f pre

viou

s ye

ars.

Thi

s ha

s se

en th

e av

erag

e he

adco

unt d

eclin

e, a

nd th

e nu

mbe

r of

resi

gnat

ions

and

term

inat

ions

rem

ain

stea

dy.

The

incr

ease

is d

ue to

: the

intro

duct

ion

of th

e or

gani

cs b

in c

olle

ctio

n se

rvic

e, w

hich

cha

rge

$71p

.a.

acro

ss a

ll re

side

ntia

l pro

perti

es; r

ecyc

le c

harg

es

incr

easi

ng b

y 3.

1% o

ver t

he p

erio

d; a

nd th

at in

20

15/1

6 $1

.2M

was

refu

nded

via

a re

duce

d ga

rbag

e ch

arge

s (to

acc

ount

for h

ighe

r cha

rges

pre

parin

g fo

r a

Car

bon

Tax

in p

rior y

ears

). S

mal

ler i

ncre

ases

are

ex

pect

ed in

futu

re y

ears

.

Pag

e 59



Gre

ater

Ben

digo

City

Cou

ncil

Res

ults

Res

ults

Res

ults

Dim

ensi

on/in

dica

tor/

mea

sure

2015

2016

2017

2018

2019

2020

2021

Obl

igat

ions

Ass

et re

new

al

Ass

et re

new

al c

ompa

red

to d

epre

ciat

ion

64.86

%77

.09%

94.37

%10

3.59%

105.4

0%10

7.88%

108.8

5%[A

sset

rene

wal

exp

ense

/ A

sset

dep

reci

atio

n] x

100

Loan

s an

d bo

rrow

ings

Lo

ans

and

borr

owin

gs c

ompa

red

to ra

tes

34.02

%35

.54%

47.56

%45

.18%

43.42

%41

.65%

39.55

%[In

tere

st b

earin

g lo

ans

and

borr

owin

gs /

Rat

e re

venu

e]

x100

Loan

s an

d bo

rrow

ings

repa

ymen

ts c

ompa

red

to ra

tes

10.90

%3.0

9%3.5

2%5.2

7%5.5

0%5.4

0%5.5

8%[In

tere

st a

nd p

rinci

pal r

epay

men

ts o

n in

tere

st b

earin

g lo

ans

and

borr

owin

gs /

Rat

e re

venu

e] x

100

Inde

bted

ness

Non

-cur

rent

liab

ilitie

s co

mpa

red

to o

wn

sour

ce re

venu

e33

.32%

33.26

%53

.61%

40.13

%38

.84%

37.28

%28

.10%

[Non

-cur

rent

liab

ilitie

s / O

wn

sour

ce re

venu

e] x

100

Ope

ratin

g po

sitio

nA

djus

ted

unde

rlyin

g re

sult

Adj

uste

d un

derly

ing

surp

lus

(or d

efic

it)-6

.35%

-5.40

%-1

2.44%

-0.80

%6.9

2%7.7

7%8.6

8%[A

djus

ted

unde

rlyin

g su

rplu

s (d

efic

it)/ A

djus

ted

unde

rlyin

g re

venu

e] x

100

PER

FOR

MA

NC

E ST

ATE

MEN

T

Sev

eral

item

s ha

ve c

ause

d th

e de

crea

se in

the

adju

sted

und

erly

ing

surp

lus

for 2

016/

17 in

clud

ing

an

addi

tiona

l lan

dfill

pro

visi

on c

osts

, and

slig

ht in

crea

se

in d

irect

mat

eria

ls, s

ervi

ces

and

empl

oyee

cos

ts.

Ove

r fut

ure

year

s, th

e un

derly

ing

surp

lus

is p

roje

cted

to

impr

ove

with

redu

ced

grow

th in

dire

ct m

ater

ials

, se

rvic

e an

d em

ploy

ee c

osts

.

Fina

ncia

l Per

form

ance

Indi

cato

rs (c

ont.)

Add

ition

al re

new

al w

orks

wer

e un

derta

ken

in

2016

/17,

in li

ne w

ith th

e m

ove

to u

tilis

ing

Ass

et

Man

agem

ent P

lans

as

the

basi

s fo

r ren

ewal

m

odel

ling.

Cou

ncil's

stra

tegi

c in

tent

is to

ade

quat

ely

fund

ass

et re

new

al in

to th

e fu

ture

.

Larg

e lo

an h

as b

een

draw

n do

wn

in 2

016/

17 to

as

sist

with

the

com

plet

ion

of th

e ca

pita

l exp

endi

ture

pr

ogra

m.

Fore

cast

sM

ater

ial V

aria

tions

Loan

repa

ymen

ts a

re s

light

ly h

ighe

r in

line

with

pr

ofile

of b

orro

win

gs a

nd re

finan

cing

dur

ing

the

perio

d. T

he d

ecre

ase

in 2

016

due

to re

finan

cing

to

an in

tere

st o

nly

loan

.

A n

ew lo

an o

f $17

M in

the

perio

d in

crea

sed

non-

curr

ent l

iabi

litie

s du

ring

the

perio

d. A

n in

crea

se o

f $4

M fo

r the

land

fill r

ehab

ilita

tion

prov

isio

n al

so

impa

cted

on

curr

ent y

ear,

whi

ch is

pro

ject

ed to

de

crea

se in

futu

re p

erio

ds.

Pag

e 60

142

Gre

ater

Ben

digo

City

Cou

ncil

Stab

ility

Rat

es c

once

ntra

tion

Rat

es c

ompa

red

to a

djus

ted

unde

rlyin

g re

venu

e57

.92%

65.67

%70

.77%

69.42

%66

.42%

66.27

%66

.23%

[Rat

e re

venu

e / A

djus

ted

unde

rlyin

g re

venu

e] x

100

Rat

es e

ffort

R

ates

com

pare

d to

pro

perty

val

ues

0.51%

0.54%

0.52%

0.52%

0.52%

0.52%

0.52%

[Rat

e re

venu

e / C

apita

l im

prov

ed v

alue

of r

atea

ble

prop

ertie

s in

the

mun

icip

ality

] x10

0

PER

FOR

MA

NC

E ST

ATE

MEN

T

"ow

n-so

urce

reve

nue"

mea

ns a

djus

ted

unde

rlyin

g re

venu

e ot

her t

han

reve

nue

that

is n

ot u

nder

the

cont

rol o

f cou

ncil

(incl

udin

g go

vern

men

t gra

nts

"pop

ulat

ion

"mea

ns th

e re

side

nt p

opul

atio

n es

timat

ed b

y co

unci

l“r

ate

reve

nue”

mea

ns re

venu

e fro

m g

ener

al ra

tes,

mun

icip

al c

harg

es, s

ervi

ce ra

tes

and

serv

ice

char

ges

"rec

urre

nt g

rant

"mea

ns a

gra

nt o

ther

than

a n

on-r

ecur

rent

gra

nt"r

esid

entia

l rat

es" m

eans

reve

nue

from

gen

eral

rate

s, m

unic

ipal

cha

rges

, ser

vice

rate

s an

d se

rvic

e ch

arge

s le

vied

on

resi

dent

ial p

rope

rties

"res

trict

ed c

ash"

mea

ns c

ash

and

cash

equ

ival

ents

, with

in th

e m

eani

ng o

f the

AA

S, t

hat a

re n

ot a

vaila

ble

for u

se o

ther

than

for a

pur

pose

for w

hich

it is

rest

ricte

d, a

nd in

clud

es c

ash

to b

e us

ed to

fund

cap

ital w

orks

exp

endi

ture

from

the

prev

ious

fina

ncia

l yea

r"u

nres

trict

ed c

ash"

mea

ns a

ll ca

sh a

nd c

ash

equi

vale

nts

othe

r tha

n re

stric

ted

cash

.

Fina

ncia

l Per

form

ance

Indi

cato

rs (c

ont.)

Def

initi

ons

"adj

uste

d un

derly

ing

reve

nue"

mea

ns to

tal i

ncom

e ot

her t

han:

(a) n

on-r

ecur

rent

gra

nts

used

to fu

nd c

apita

l exp

endi

ture

; and

(b

) non

-mon

etar

y as

set c

ontri

butio

ns; a

nd

(c) c

ontri

butio

ns to

fund

cap

ital e

xpen

ditu

re fr

om s

ourc

es o

ther

than

thos

e re

ferr

ed to

abo

ve"a

djus

ted

unde

rlyin

g su

rplu

s (o

r def

icit)

" mea

ns a

djus

ted

unde

rlyin

g re

venu

e le

ss to

tal e

xpen

ditu

re"a

sset

rene

wal

exp

endi

ture

" mea

ns e

xpen

ditu

re o

n an

exi

stin

g as

set o

r on

repl

acin

g an

exi

stin

g as

set t

hat r

etur

ns th

e se

rvic

e ca

pabi

lity

of th

e as

set t

o its

orig

inal

cap

abili

ty“c

urre

nt a

sset

s” h

as th

e sa

me

mea

ning

as

in th

e A

AS

"cur

rent

liab

ilitie

s" h

as th

e sa

me

mea

ning

as

in th

e A

AS

“non

-cur

rent

ass

ets”

mea

ns a

ll as

sets

oth

er th

an c

urre

nt a

sset

s"n

on-c

urre

nt li

abili

ties"

mea

ns a

ll lia

bilit

ies

othe

r tha

n cu

rren

t lia

bilit

ies

“non

-rec

urre

nt g

rant

” mea

ns a

gra

nt o

btai

ned

on th

e co

nditi

on th

at it

be

expe

nded

in a

spe

cifie

d m

anne

r and

is n

ot e

xpec

ted

to b

e re

ceiv

ed a

gain

dur

ing

the

perio

d co

vere

d by

a c

ounc

il's

Stra

tegi

c R

esou

rce

Pla

n

Pag

e 61




Other Information

1. Basis of Preparation


Council is required to prepare and include a performance statement within its annual report. The performance statement includes the results of the prescribed sustainable capacity, service performance and financial performance indicators and measures together with a description of the municipal district and an explanation of material variations in the results. This statement has been prepared to meet the requirements of the Local Government Act 1989 and Local Government (Planning and Reporting) Regulations 2014.

Where applicable the results in the performance statement have been prepared on accounting bases consistent with those reported in the Financial Statements. The other results are based on information drawn from council information systems or from third parties (e.g. Australian Bureau of Statistics).

The performance statement presents the actual results for the current year and for the prescribed financial performance indicators and measures, the results forecast by the council’s strategic resource plan. The Local Government (Planning and Reporting) Regulations 2014 requires explanation of any material variations in the results contained in the performance statement. Council has adopted materiality thresholds relevant to each indicator and measure and explanations have not been provided for variations below the materiality thresholds unless the variance is considered to be material because of its nature.

The forecast figures included in the performance statement are those adopted by council in its strategic resource plan on 21st June 2017 and which forms part of the council plan. It should be noted that the exact method of calculation for certain ratios (e.g. adjusted underlying result) is different within the strategic resource plan. The strategic resource plan includes estimates based on key assumptions about the future that were relevant at the time of adoption and aimed at achieving sustainability over the long term. Detailed information on the actual financial results is contained in the General Purpose Financial Statements. The strategic resource plan can be obtained by contacting council.

Page 62




Opinion I have audited the accompanying performance statement of Greater Bendigo City Council (the council) which comprises the:

description of municipality for the year ended 30 June 2017 sustainable capacity indicators for the year ended 30 June 2017 service performance indicators for the year ended 30 June 2017 financial performance indicators for the year ended 30 June 2017 other information and the certification of the performance statement.

In my opinion, the performance statement of Greater Bendigo City Council in respect of the year ended 30 June 2017 presents fairly, in all material respects, in accordance with the performance reporting requirements of Part 6 of the Local Government Act 1989.

Basis for Opinion I have conducted my audit in accordance with the Audit Act 1994 which incorporates the Australian Standards on Assurance Engagements. My responsibilities under the Act are further described in the Auditor’s responsibilities for the audit of the performance statement section of my report.

My independence is established by the Constitution Act 1975. I and my staff are independent of the council in accordance with the ethical requirements of the Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (the Code) that are relevant to my audit of the performance statement in Australia and have also fulfilled our other ethical responsibilities in accordance with the Code.


Councillors' responsibilities for the performance statement

The Councillors is responsible for the preparation and fair presentation of the performance statement in accordance with the performance reporting requirements of the Local Government Act 1989 and for such internal control as the Councillors determines is necessary to enable the preparation and fair presentation of the statement of performance that is free from material misstatement, whether due to fraud or error.






Basis for Opinion







146 2

Auditor’s responsibilities for the audit of the performance statement

As required by the Audit Act 1994, my responsibility is to express an opinion on the performance statement based on the audit. My objectives for the audit are to obtain reasonable assurance about whether the performance statement as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes my opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Australian Standards on Assurance Engagements will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this financial report.

As part of an audit in accordance with the Australian Standards on Assurance Engagements, I exercise professional judgement and maintain professional scepticism throughout the audit. I also:

identify and assess the risks of material misstatement of performance statement, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the council’s internal control

evaluate the overall presentation, structure and content of the statement of performance, including the disclosures, and whether the statement of performance represents the underlying events and results in a manner that achieves fair presentation.

I communicate with the Councillors regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that I identify during my audit.

MELBOURNE 22 September 2017

Tim Loughnan as delegate for the Auditor-General of Victoria

COUNCIL OFFICES

City of Greater Bendigo office locations and service points:

Main Office 195-229 Lyttleton Terrace, Bendigo T: (03) 5434 6000 F: (03) 5434 6200 E: [email protected] W: www.bendigo.vic.gov.au

45 Mundy Street, Bendigo



41-44 Mundy Street, Bendigo

Adam Street Depot 64 Adam Street, Golden Square

Planning, Building, Engineering and Environmental Health Reception 15 Hopetoun Street, Bendigo

Jaara Building Corner Mundy Street and Lyttleton Terrace, Bendigo

Parking and Animals Reception St Andrews Avenue, Bendigo

Heathcote Service Centre 125 High Street, Heathcote T: (03) 5433 3211

Bendigo Art Gallery 42 View Street, Bendigo T: (03) 5434 6088 E: [email protected] W: www.bendigoartgallery.com.au

Capital Venues and Events 50 View Street, Bendigo T: (03) 5434 6100 E: [email protected] W: www.thecapital.com.au

Bendigo Livestock Exchange Wallenjoe Road, Huntly T: (03) 5448 8111 E: [email protected]

Address:195-229 Lyttleton Terrace, Bendigo

Postal Address:PO Box 733 Bendigo VIC 3552

T: (03) 5434 6000National Relay Service: 133 677 then quote 03 5434 6000F: (03) 5434 6200E: [email protected]: www.bendigo.vic.gov.au