meeting: finance & administration committee · cairns city council enjoys a very high public...

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Minutes – Finance & Administration Committee – 15.9.03 1/59/1- #681116

CAIRNS CITY COUNCIL

MINUTES

MEETING: FINANCE & ADMINISTRATION COMMITTEE

MONDAY, 15th SEPTEMBER

COMMENCING AT 4 PM

PRESENT Councillor A Blake (Chairperson) Councillor M Gill Councillor J O’Brien Councillor A Sheppard Councillor M Cochrane Councillor P Gregory

APOLOGY: His Worship the Mayor Cr K Byrne OFFICERS:

D Farmer Chief Executive Officer J Scarini General Manager Corporate Services P Tabulo General Manager City Development

C Teitzel Manager Financial Services L Kirchner Manager Legal & Administration Services

G Schofield Manager Media & Public Relations R Reilly Team Leader Rates C Cresswell Minute Secretary

OBSERVERS:

Councillor F Lindsay

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The Chairperson, Cr Blake opened the meeting. APOLOGY Council notes the apology of Councillor Byrne.

1. 2004 AUSTRALIA DAY AWARDS AND CELEBRATIONS................... 1 Gary Schofield : #670806v1

RECOMMENDATION: GILL / GREGORY That:- 1. Cairns City Council endorse the composition of the Australia Day

Committee, as per the Mayoral Minute of August 28, to be chaired by the Mayor with three councillors – Cr Deirdre Ford, AM, Cr Margaret Cochrane, and Cr Paul Gregory - nominated by the Mayor, and with the assistance of the Manager of Media and Public Relations, Executive Assistant to Mayor, and Events and Marketing Coordinator.

2. The four categories for the 2004 Australia Day Awards as listed in this report

– Citizen of the Year (Senior and Junior), Cultural Award (Open) and Volunteer of the Year (Open) – be adopted.

3. Cairns City Council delegate to the committee the authority to judge the

winners in each of these categories. 4. The proposed venues for Cairns, Babinda and Yorkey’s Knob be adopted. 5. Media and Public Relations organise the central activity, reporting directly to

the committee, and in co-operation with the divisional councillors for the northern and south activities.

carried

INTRODUCTION: Each year in early October, Cairns City Council calls for expressions of interest from the community to seek to identify persons, organisations or groups worthy of an Australia Day award.

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These awards are then presented the following January 26 on Australia Day at a public ceremony hosted by Cairns City Council. It is proposed to again stage that ceremony next year in the Council’s atrium area off the civic reception rooms, following the success of this venue for this year’s awards ceremony.

BACKGROUND: Each year a report has been tabled with Council by Media and Public Relations, which include the names of all nominees in each category. Councillors then debate the merits of each nominee to reach a decision on who should receive the various awards, including the prestigious Citizen of the Year Award. The reigning Citizen of the Year is street kids advocate and counsellor Harald Falge. On Wednesday, March 5, 2003, a combined Australia Day meeting was held at city hall and attended by community and council representatives, during which plans for next year were discussed, and recommendations made to Council for its consideration.

COMMENT: The formation of a small committee has been proposed by Cairns Mayor Cr Kevin Byrne, and endorsed by Council by way of a Mayoral Minute (August 28), which gives delegated authority to the committee to judge these awards. The committee would comprise the Mayor as chair, three councillors yet to be selected, and with assistance and support from Manager of Media and Public Relations, Executive Officer to Mayor, and Council’s Events and Marketing Coordinator. Reporting directly to the committee, Media and Public Relations Branch would be charged with responsibility for presenting the central based activity at Council’s administration building. This committee would also conduct preliminary judging and make a short listed recommendation to Council of its decisions in each category for the Australia Day awards for 2004. Each divisional councillor is asked to help identify worthy candidates from within their respective communities, and encourage their nomination. It is also proposed that Media and Public Relations staff write to and approach various community, sporting and service organisations encouraging them put forward nominations.

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These were the categories judged for last year’s awards: Citizen of the Year; Young Citizen of the Year; Cultural Award (senior); Cultural Award (junior); Sports award (senior); Sports Award (junior); Community Event of the Year; Volunteer of the Year (senior); Volunteer of the Year (junior).

Following consultation with the Mayor, members of the incumbent committee, and various community groups involved in Australia Day activities, it is recommended that several of these categories be eliminated for the next awards, while four awards be retained. The proposed awards to be promoted for 2004 are:

Citizen of Year (Senior and Junior).

Cultural Award (open to all ages).

Volunteer of the Year award (open to all ages).

The following program of events is proposed for the 2004 Australia Day Celebrations in

Cairns City, Yorkeys Knob and at Babinda:

6.00a.m. The party will begin at Yorkeys Knob with the traditional Aussie BBQ

breakfast. This will be followed by family fun activities, flag raising and entertainment.

11.00a.m. Will see the official part of the celebrations commence in the Council

Chambers internal courtyard. The program will include the official flag raising ceremony, address by

the Mayor Cr. Kevin Byrne, followed by the presentation of the Australia Day Awards, and Citizenship Ceremony.

A light lunch will be served in the Reception Room to close the program. 1.00p.m. The celebrations will then move to Babinda hosting a fun afternoon of

activities and entertainment. This event will conclude the Australia Day Celebration for 2004.

CONSIDERATIONS: Statutory: There are no considerations.

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Policy: There are no considerations. Financial: Each year a number of advertisements are placed in local newspapers to encourage people to nominate for these awards, and various literature is circulated through all of Council’s offices, including background material and nomination forms. Media releases and photographic opportunities to promote the awards are planned to be rolled out in early October. The Media and Public Relations Australia Day budget this financial year contains $20,000 to cover and promote the staging of three Australia Day activities at Yorkeys Knob, Babinda and Cairns, and these funds are distributed proportionately across all three activities by the committee. Social: Cairns City Council enjoys a very high public profile through the conducting and hosting of its Australia Day celebrations, and its promotion of Australia Day awards.

CONSULTATION: Cr Deirdre Ford, Mayor Cr Kevin Byrne, Cr Margaret Cochrane, Cr Paul Gregory, CEO David Farmer, Events and Marketing Coordinator Glenda McAuliffe, Manager of Media and Public Relations Gary Schofield, Cr Margaret Cochrane, Executive Officer to Mayor Dennis Quick, Mrs Cheryl Campbell (Gordonvale), Mrs Dot Billingham (Gordonvale), Daphne Stokes (Gordonvale), and David Ryan (Yorkeys Knob).

OPTIONS Because the southern activities rotate each year between Babinda, Gordonvale and Edmonton, Council may wish to consider a rotation arrangement for celebrations along the Northern Beaches, with renewed interest expressed from Trinity Beach.

CONCLUSION: There needs to be more attention paid to encouraging organisations and individuals to nominate for these awards, and for the awards to be re-vamped to better reflect the significance of the most important categories. A concerted effort will be made to do this from September onwards, and in the lead-up to the Christmas/New Year holiday season and beyond.

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2. EXECUTIVE SUPPORT MONTHLY REPORT FOR AUGUST 2003 ... 14 Ian Lowth : 1/59/1-01: #661807v.2

RECOMMENDATION: GREGORY / COCHRANE That the report from Executive Support for the month of August 2003, be received and noted. carried

3. RATE BASED FINANCIAL ASSISTANCE FOR NON PROFIT RECREATION, SPORTING & COMMUNITY GROUPS ..................... 26

Rob Reilly : 17/49/9-03 : #677792

RECOMMENDATION: COCHRANE / O’BRIEN That Rated Based Financial Assistance of $44,472.81 be granted to Non Profit Recreation, Sporting & Community Groups for the half year ending 31st December 2003, as per attached schedule. carried

INTRODUCTION: The following documents make recommendations on Rate Based Financial Assistance to be provided to non profit Recreation, Sporting and Community Groups for the half year 1st July 2003 to 31st December 2003. See attachment A.

BACKGROUND: In June 2002, Council decided to provide Rate Based Financial Assistance to Recreation, Sporting and Community Groups, so long as they applied for assistance within the required timeframe and complied with the guidelines. See attachment B.

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CONSIDERATIONS: Policy: Council’s Rates Based Financial Assistance policy allows for assessments to receive assistance for a period of up to 2 years from 1st July 2002 to 30th June 2004. Financial: The granting of this assistance being $31,215.73 General and $13,257.08 Sewerage is within budgetary constraints.

CONCLUSION: It is recommended that Rate Based Financial Assistance be granted to the organisations listed in Attachment A for the amounts recommended in line with policy and previous resolutions and decisions of Council.

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Eligible Applications Received for Rate Based Financial Assistance

(Attachment A) ASSESSMENT NUMBER

NAME OF ORGANISATION AND LOCATION OF PROPERTY

POSTAL ADDRESS

SELECTION CRITERIA CLAUSE

ASSISTANCE FOR

SEWERAGE

GENERAL RATE ASSISTANCE

1/07/03 to 31/12/03

TOTAL ASSISTANCE FOR

01/07/03 to 31/12/03

152611

ATSI Youth Welfare Co Ltd 156-164 Irene Street, Mooroobool

PO Box 539 Earlville 4870

2.1 (a)

$749.56 No Disc

$1568.41 No Disc

$2317.97

659664

Babinda & District Aged Care Assoc Inc King Street, Babinda

PO Box 188 Babinda 4861

2.1 (b)

$1034.40

$437.25

$1471.65

443291

Babinda Golf Club 2-4 Mill Street, Babinda


2.2 (c)

N/A

$633.70 No Disc

$633.70

561167

Barron Valley Gymnastics Club Inc 46 Magazine Street, Stratford

PO Box 121 Stratford 4870

2.2 (a)

$178.42

$783.60

$962.02

649970

Cairns Cricket Association Gatton St Westcourt

PO Box 147 Cairns 4870

2.2 (c)

$86.20

$1166.00

$1252.20

189266

Cairns & District Soccer Assoc 36-42 Cannon Street, Manunda


2.2 (c)

$258.60

$539.28

$797.88

189274 Cairns & District Soccer Assoc 28-30 Cannon St, Manunda


2.2 (c)

$603.39

$131.17

$734.56

296608

296608

Cairns & District Soccer Assoc & 1st Half Yearly Period Cairns Junior Cricket Association Inc. 2nd Half Yearly Period 41-53 Behan St,Manunda


2.2 (c)

2.2 (c)

N/A

N/A

$1370.06

$1370.06

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Eligible Applications Received for Rate Based Financial Assistance ASSESSMENT NUMBER


POSTAL ADDRESS


ASSISTANCE FOR

SEWERAGE


01/07/03 TO 31/12/03


01/07/03 to 31/12/03

296616

Cairns Junior Cricket Association Inc. 55-63 Behan Street, Manunda


2.2 (c)

$374.78 No Disc

$124.25 No Disc

$499.03

198853

Cairns & District Softball Assoc Little Street, Manunda

PO Box 754M Manunda 4870

2.2 (c)

$86.20

$539.28

$625.48

266916

Cairns Hockey Association 23-33 Rutherford Street, Cairns North

PO Box 73N North Cairns Qld 4870

2.2 (c)

N/A

$932.80

$932.80

275982

Cairns Hockey Association 35-37 Rutherford Street, Cairns North

PO Box 73N North Cairns Qld 4870

2.2 (c)

$862.00

$171.99

$1033.99

188672

Cairns Marine Radio Club 52-54 McNamara Street, Edge Hill


2.1 (a)

N/A

$282.76

$282.76

139246

Cairns Ratepayers Assocation 7-9 Reservoir Road, Manoora

7-9 Reservoir Rd Manoora 4870

2.1 (a)

$172.40

$629.62

$802.02

610618

Cairns Roller Sports Assoc Inc and Nth Cairns Aust Football & Sport Club 2-44 Behan Street, Manunda


2.2 (b)

$93.70 No Disc

$332.69 No Disc

$426.39

610626

Cairns Roller Sports Assoc Inc 2-44 Behan Street, Manunda


2.2 (b)

$936.95 No Disc

$356.46 No Disc

$1293.41

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Eligible Applications Received for Rate Based Financial Assistance ASSESSMENT

NUMBER NAME OF ORGANISATION AND

LOCATION OF PROPERTY POSTAL

ADDRESS SELECTION CRITERIA CLAUSE

ASSISTANCE FOR

SEWERAGE


01/07/03 TO 31/12/03


01/07/03 to 31/12/03

249458

Cairns Table Tennis Assoc. Inc. 99 Sheridan Street, Cairns

99 Sheridan St Cairns 4870

2.2 (b)

$344.80

$2000.00 Maximum

$2344.80

279455

Cairns Tennis Club Inc. 152 Abbott Street, Cairns


2.2 (b)

$258.60

$2000.00 Maximum

$2258.60

276584

Cairns Touch Association Inc. 11-17 Quarry Street, Aeroglen


2.2 (c)

$517.19

$553.85

$1071.04

459149

Clifton Beach Tennis Club 13-23 Clifton Road, Clifton Beach

The President 13 Clifton Beach Rd Clifton Beach 4879

2.2 (b)

N/A

$437.23

$437.23

432690

Cootheringa Society of North Qld 41-43 Munroe Street, Babinda

PO Box 789 Townsville 4810

2.1 (a)

$86.20

$228.61

$314.81

432708

Cootheringa Society of North Qld 45 Munroe Street, Babinda

PO Box 789 Townsville 4810

2.1 (a)

$86.20

$228.61

$314.81

111187

Earlville Pony Club 4 Telford Street Earlville


2.2 (b)

$172.40

$1355.00

$1527.40

112656

Earlville Tennis Club Henley Street , Earlville


2.2 (b)

$258.60

$332.30

$590.90

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Eligible Applications Received for Rate Based Financial Assistance ASSESSMENT NUMBER


POSTAL ADDRESS


ASSISTANCE FOR

SEWERAGE


01/07/03 to 31/12/03


01/07/03 to 31/12/03

607846 Edge Hill Saints Soccer Club Russell Street, Manunda

PO Box 6791 Cairns Mail Centre

2.2 (c)

N/A

$514.88 No Disc

$514.88

180380 Edge Hill Tennis Club 27-31 Darlymple Street, Edge Hill


2.2 (c)

$172.40

$604.86

$777.26

525618

Ellis Beach Surf Life Saving Club Captain cook Hwy, Ellis Beach

PO Box 114 Clifton Beach 4879

2.2 (c)

N/A

$320.65

$320.65

566091

Freshwater & District Horse & Pony Club Lower Freshwater Rd, Freshwater

PO Box 8 Freshwater 4870

2.2 (b)

$172.40

$249.23

$421.63

567362

Freshwater Masonic Lodge 90 Old Smithfield Rd, Freshwater

C/- G Neill PO Box 66F Freshwater 4870

2.1 (c)

$172.39

$582.98

$755.37

187823

Friends of Cominos House Inc. 27-29 Greenslopes Street, Manunda

PO Box 129N Cairns North 4870

2.1 (b)

$517.20

$402.28

$919.48

669770 Gordonvale & District Tennis Assoc. 67-71 Gordon St, Gordonvale

C/- Post Office Gordonvale 4865

2.2 (b)

N/A

$196.77

$196.77

491928

Ivanhoes Football & Rec Club Inc Chevoit St, Smithfield


2.2 (c)

$1030.65 No Disc

$633.70 No Disc

$1664.35

189209

North Cairns Australian Football & Sporting Club 2-44 Behan St, Manunda

PO Box 607N North Cairns

2.2(c)

$948.19

$553.85

$1502.04

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ASSESSMENT NUMBER


POSTAL ADDRESS


ASSISTANCE FOR

SEWERAGE


01/07/03 to 31/12/03


01/07/03 to 31/12/03

251967

QCWA 258 Grafton Street, Cairns

PO Box 359* Cairns 4870

2.1 (a)

$922.25

$1470.99

$2393.24

434167

RSL – Babinda Sub Branch 26 School Street, Babinda


2.2 (b)

$517.20

$171.47

$688.67

412445

RSL – Gordonvale Sub Branch 92 Gordon Street, Gordonvale

PO Box 288 Gordonvale 4865

2.2 (c)

$603.39

$233.20

$836.59

553123

St Andrews College, The Roman Catholic Trust Corp Lot 2 Redlynch Intake Rd, Redlynch

PO Box 150 Redlynch 4870

2.1 (c)

N/A

$5072.11

$5072.11

193573

St John’s House 3 Cominos Place, Manunda

3 Cominos Place Manunda 4870

2.1 (b)

$344.79

$349.80

$694.59

112250

St Margaret’s House 13 Thomson St, Earlville

13 Thomson St Earlville 4870

2.1 (a)

$92.23

$279.24

$371.47

561159

Stratford United Soccer Club Cnr Arnold & Magazine Sts, Stratford

Stratford United Soccer Club PO Box 6 Stratford 4870

2.2 (c)

$431.00

$653.01

$1084.01

242842

St. Vincent De Paul 3 Maranoa Street, Parramatta Park

PO Box 12061D Manunda 4870

2.1 (b)

$172.40

$1201.52

$1373.92

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ASSESSMENT NUMBER


POSTAL ADDRESS


ASSISTANCE FOR

SEWERAGE


01/07/03 to 31/12/03


01/07/03 to 31/12/03

316026

Olympic Tennis Club

Windarra Street, Woree

PO Box 220 Earllville 4870

2.2 (b)

N/A

$284.22

$284.22

646109

Olympic Tennis Club

Windarra Street, Woree


2.2 (b)

N/A

$306.05

$306.05

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4. GENERAL POLICY – ASSET CAPITALISATION .............................. 36 Sandra Burke: 1/58/9: #678818v1

RECOMMENDATION: COCHRANE / GILL That the General Policy – Asset Capitalisation - be adopted by Council. carried

INTRODUCTION: The Local Government Finance Standard (LGFS), Section 37, requires Council to set a Policy on capitalisation of its assets as well as a monetary threshold by each asset class. Capitalisation of assets refers to the activity for recording financial asset information into the Fixed Asset Register and General Ledger.

COMMENT: Councils’ Accounting Manual provides guidelines for the capitalisation of assets. It does not specify capitalisation threshold limits by asset class. The Accounting Manual is also being reviewed to bring it into line with current Accounting Standards. The policy defines : Where/How capitalisation is to be applied Capitalisation threshold for each asset class. Capital versus Maintenance expenditure Responsibilities for implementing the policy Non-Current Assets, Networked Assets, Capitalisation Process.

CONSIDERATIONS: Policy: The policy sets the standard for capitalisation of assets and the threshold limits that apply.

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CONSULTATION: CEO General Managers Manager, Financial Services Managers

CONCLUSION Council is required to adopt an Asset Capitalisation Policy.

5. DELEGATION OF AUTHORITY TO THE CHIEF EXECUTIVE OFFICER – LAND PROTECTION (PEST AND STOCK ROUTE MANAGEMENT) ACT 2003....................................................................................... 42

Graham Busby:tll : 1/11/2-10: #679687

RECOMMENDATION: GREGORY / COCHRANE That pursuant to Section 472 of the Local Government Act 1993, Council resolves to delegate to the Chief Executive Officer, the exercise of the powers contained in Schedule 1 of the Instrument of Delegation, as specified in Appendix A in agenda. carried

BACKGROUND: As previously reported at the last Finance & Administration meeting, the Land Protection (Pest and Stock Route Management) Act 2002 replaced the Rural Lands Protection Act 1985 on the 1 July, 2003.

COMMENT:

The effect of this legislative change now needs to be properly reflected in the delegated powers of Council’s authorised officers. Consequently, new instruments have now been drafted. However, for these instruments to be of any effect, Council must first resolve to delegate to the Chief Executive Officer, all of Council’s powers under the new Act which are capable of being delegated (refer Appendix A).

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Once Council has resolved to delegate these powers, the Chief Executive Officer may then sub delegate these powers along with additional powers conferred directly on the Chief Executive Officer by the Land Protection (Pest and Stock Route Management Act 2002 (refer Appendix B).

CONSIDERATIONS: Statutory: The delegation authorities have been drafted in accordance with the requirements of the Local Government Act 1993 and the Land Protection (Pest and Stock Route Management) Act 2002. Policy: The proposed delegation is in accordance with the Corporate Plan objective of access to open accountable decision making in a consistent and congruent manner. Financial: There are no financial implications. Social: Not applicable.

CONSULTATION: The Local Laws Officer and Manager Legal & Administration Services have assisted with this exercise.

OPTIONS: Council should resolve to delegate to the Chief Executive Officer its powers under the Land Protection (Pest and Stock Route Management) Act 2002, in the interests of good governance.

CONCLUSION: In order to ensure that Council Officers are properly authorised under the Land Protection Act (Pest and Stock Route Management) Act 2002, the recommendation as detailed at the beginning of this report will need to be made.

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6. GENERAL POLICY – REVIEW OF ACCOUNTING POLICIES............ 62 Christopher Teitzel: 17/49/7-01: #679690v1

RECOMMENDATION: COCHRANE / GREGORY That the following policies be adopted by Council:

Reserves Policy Revenue – Contributions and Donations Policy Interest Earned on Constrained Works Reserve Funds policy Employee Entitlements Policy Full Cost Pricing Policy Taxation Policy Internal Works Recovery Policy Investment Policy

carried

INTRODUCTION: Financial Services have been in the process of reviewing policies contained in the Accounting Policy manual that have an impact on the financial accounting and financial management of the organisation. This is the first of a series of amended and new policies that will be submitted to Council for consideration.

BACKGROUND: Council adopted the Accounting Policy manual in 1999. It is a requirement of division 3, section 10 of the Local Government Finance Standards 1994 that Council maintains an Accounting Manual that contains all relevant policies, procedures and roles of staff. The policies that are now put before Council reflect a number of practices that have changed due to the introduction of changes to business process, legislation and accounting standards.

COMMENT: It has been identified by both internal and external audit that our current Accounting Manual requires updating. Financial Services staff have commenced the process of rewriting the Accounting Manual to ensure that all policies and procedures reflect our current practices and the provisions of the relevant accounting standards.

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The following policies have been identified as requiring amendment and resubmission to Council:

Reserves Policy Revenue (Contributions and Donations) Policy Interest Earned on Constrained Works Reserve Funds policy Employee Entitlements Policy Full Cost Pricing Policy Taxation Policy Internal Works Recovery Policy Investment Policy

The investment policy was last amended on 19 September 2002. This policy provides the framework within which surplus funds are to be managed and invested. The changes made in this policy compared with the previously adopted policy have been identified in bold and italic fonts. The material change relates to Item 1.4C(ii) which now requests Council approval to invest with institutions with a short term rating of A2 up to a maximum of 30% of the average annual funds. This was previously nil. A2 rating under Standard and Poors Short Term Ratings means there is a “strong capacity to pay.” The policies referred to above are attached to this report.

CONSIDERATIONS: Statutory: Local Government Finance Standards 1994 Statutory Bodies Financial Arrangements Act 1982 Local Government Tax Equivalents Manual Goods & Services Tax Act 1999 Fringe Benefits Tax Act 1986

CONCLUSION:

In order to demonstrate good financial management, Council should adopt the policies specified above. This will also provide administrative and accounting clarity and demonstrate to the external and internal auditors that Council has taken reasonable steps to document various frameworks which will guide Council officers in dealing with matters identified in the respective policies.

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7. STATE POLICY AND GUIDELINES : SECONDARY USE OF TRUST LAND. ............................................................................................ 85

Linda Kirchner : 19/3/3-46: #679056

RECOMMENDATION: COCHRANE / GILL That Council note the Minister for Natural Resources and Minister for Mines has now approved this policy. carried

INTRODUCTION: The Minister for Natural Resources and Minister for Mines on the 26 August 2003 wrote to the Mayor informing Council that he had recently approved the “Secondary Use of Trust Land” policy and guidelines. This Policy represents a shift in State Government position. The purpose of this report is to provide an overview to Council of the new policy but also to indicate the ultimate goals still to be achieved.

BACKGROUND: In February 2003, the Manager Legal and Administration Services discovered a draft Policy Paper – Secondary Use of Trust Land on the Local Government Associations web site. This policy had been posted there on 11 February with comments required by Councils by the 14 March 2003. It would appear that whilst SEQROC Councils may have been consulted, no formal notification or circulation was provided by the Department to northern Councils. A report was tabled at the February 2003 Ordinary Meeting outlining officers’ concerns about the contents of the draft policy. In summary these included: Limitations on the intensity of development – the TTNQ model would have been

restricted to 10% subleasing to full rent paying tenants. Commerciality restrictions - café at the regional playground would not have been

acceptable. Community markets – attempting to prohibit or at best highly regulated by the

Department of Natural Resources and Mines (DNR&M) community markets. Sponsorship – restrictions on revenue opportunities would be difficult for Council

as well as many of the community organisations using Crown land.

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Car Parking – prohibition on fee charging car parks adjacent to reserves. Public Access – prohibition on restricted access functions. Local Government and Utility Infrastructure – Council infrastructure, such as

water booster pumps, was considered to be operational and had to be excised from the reserve and purchased at market value.

Community Consultation – no allowance was made for integration of IPA consultation requirements and Secondary Use proposals, eg the café at the playground.

Overall lack of clarity, rigidity and a seemingly big brother approach to Council management of reserves.

A submission based on these concerns was presented to LGAQ with a copy to the Regional Director of DNR&M. A number of informal meetings were held with officers from the Department to attempt to inform the debate, including meetings with the Regional Director, the Manager State and Policy, Brisbane and finally the Director State Land Asset Management. As a result of these proactive discussions the Chief Executive Officer was able to negotiate a more realistic approach to issues like the Café, 51 the Esplanade and a trial for Exclusive Use activities at the Esplanade. Council also began discussions about a standard (Vanilla) lease concept, the level of unnecessary oversighting of Council management of reserves and ultimately Council’s desire to get a Section 64 approval (see detailed explanation below). In June, Officers reviewed a 2nd draft document and comment was provided to LGAQ with a copy to the Department. Whilst this represented a substantial improvement, some of the concerns from the first draft had still not been addressed. A second submission was prepared and submitted. Informal discussions continued, eg the Manager Legal and Administration Services, the DNR&M Policy unit in Brisbane, and the Chief Executive Officer with LGAQ. In mid August, the Manager Legal and Administration Services obtained a copy of the final draft, which at that stage did not have Ministerial approval. That has now occurred. A number of positive policy changes have been achieved: States that an objective of the Policy is to allow trustees to adopt a flexible

approach to the management of reserves. The old policy was based on a premise of excise and buy. The new policy recognises that this resulted in fragmentation and erosion of land for community purposes and as such allows for more intensive secondary uses to stay within the reserve area. Existing inconsistent secondary uses can now be renewed eg the Botanical Gardens restaurant.

Similarly a commercial component is now acceptable if it serves the activity of the patrons of the trust land and the funds generated are feed back into the management of trust land. In fact, it now encourages trustees charging appropriate fees for periods of use.

The arbitrary distinction between kiosk and café has been removed. Utility Infrastructure has been amended to give greater latitude for Council

infrastructure within reserves. Intensive Development – the previous arbitrary limitation of 10% has been

removed and replaced by community acceptance.

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The blanket ban on Telecommunication Towers has been moderated by when a broad community need is met or there are no alternative options.

Car parking facilities are now permissible as long as they are not intended to service adjacent commercial development on non-trust land.

Community markets – a more balanced approach, but a management plan will be required.

The guidelines recognise the need to correlate with Council’s strategic planning documents such as the Planning Scheme and the Local Area Open Space Management Plans.

The guidelines recognise in kind contribution in lieu of rental but clearly state that peppercorn rental is not considered appropriate. It encourages multiple use of the reserve for same or complementary purposes.

Similarly the guidelines recognise the existing approvals systems under Council’s local laws for commercial uses like ice-cream vendors or surf-ski hire. In the past, DNR&M officers have indicated that a trustee permit registered with the Minister would also be required for any activity in excess of three months.

Some elements will still however be considered restrictive: It should however be noted that freestanding billboards, freestanding sponsorship signage and advertising structures are not permitted and existing structures are to be phased out. Sponsorship signage is only acceptable on internal fencing and associated buildings and structures.

COMMENT: As indicated above, on balance this Policy demonstrates that lobbying of the Department can result in significant changes to policy position. However, it is important that lobbying continue on two key points (1) a standard lease and ultimately (2) a section 64 approval. In April, Council resolved to seek the Department’s approval to register a standard terms reserve land lease (ie the Vanilla lease). A letter of request was sent to the Department on the 15 April, 2003. Whilst the Manager Legal and Administration Services has had verbal endorsement from senior Brisbane Policy officers of the standard lease concept, this has yet to be formally accepted and implemented. Significant resources and time delays are still being experienced because DNR&M officers are editing each and every word in each draft of the lease. There are significant time delays between when a draft is sent to the Department and when an officer is available to review it. The concept of a standard (Vanilla) lease would ensure that DNR&M officer only had to review any variation from standard lease conditions, which in the vast majority of non for profit leases would be nil. The recent experience with the menu at the Kiosk is a good example of on going unnecessary bureaucratic intervention.

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The ultimate goal is for the Minister to give a Section 64 approval to Council.

S.64(1) of the Land Act 1994 states “If the Minister considers it appropriate, the Minister may give a trustee a written authority dispensing with the need to obtain the Minister’s approval for trustee leases”.

It can well be argued that the Local Authority has a better understanding of community needs and expectations and that these are reflected in its strategic planning documents (such as CairnsPlan). The Act gives the Minister the ability to withdraw this authority. Clearly community acceptance or displeasure at Council’s management of reserves under a Section 64 approval is a sound monitoring tool for the Minister. Such an approval would free up significant Council and departmental resources and dramatically reduce the hurdles in reserve land management.

CONSIDERATIONS: Statutory: This report has been prepared to reflect the policy changes in the interpretation and implementation of the Land Act 1994. Policy: Council’s ongoing input into State Policy and Guidelines reflects the Corporate Plan aim of “partnerships with all levels of government that promote innovation and efficiency”. Financial: There are significant favourable financial benefits to Council from this new Policy position. Social: The new Policy will assist Council to meet community needs and expectations through efficient and effective reserve management.

CONSULTATION: The Manager Legal and Administration Services will continue to maintain regular dialogue with senior Policy Officers in the Department to ensure that Council’s perspective on reserve management is well understood and that more efficient policies and systems are approved by the Minister.

OPTIONS: That Council note the change in the Department’s policy position on Secondary Use of Trust Land.

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CONCLUSION: The Policy is a substantive improvement and should be welcomed by this Council.

8. PEACEFUL ASSEMBLY ACT 1992 ................................................. 90 Linda Kirchner: 1/11/3-03: #670972

RECOMMENDATION: O’BRIEN / COCHRANE That Council note: the legal advice on Council’s ability to regulate activities in public places in

accordance with its Local Laws, and on going Local Laws training is provided to relevant staff on the

implementation of all of Council’s Local Laws and Council’s statutory obligations.

carried

INTRODUCTION: At the Ordinary Council meeting of the 24 July 2003, the Chief Executive Officer, the Manager Legal and Administration Services and the Manager Precincts and Facilities were requested to review Local Law 7 to ensure it is consistent with the obligations contained within the Peaceful Assembly Act 1992.

BACKGROUND: Council has three Local Laws, which regulate public assemblies: Local Law No 7 (Pedestrian Malls) Local Law No 26 (Parks and Reserves) and Esplanade Interim Local Law 2003.

The Peaceful Assembly Act 1992 ("the Act") provides for the recognition, exercise and any necessary and reasonable restrictions on the right of peaceful assembly.

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Section 5 of the Act provides –

5. Right of peaceful assembly

(1) A person has the right to assemble peacefully with others in a public place.

(2) The right is subject only to such restrictions as are necessary and reasonable in a democratic society in the interests of -

(a) public safety; or

(b) public order; or

(c) the protection of the rights and freedoms of other persons.

(3) In subsection (2)(c), a reference to the rights of persons includes a reference to -

(a) the rights of members of the public to enjoy the natural environment; and

(b) the rights of persons to carry on business.

(4) Nothing in this section limits the power of a local authority to regulate pedestrian malls, but the power is subject to the right mentioned in subsection (1).

The right to assemble peacefully with others is limited to a public place (see section 5 (1) of the Act) and a “Public Place” is defined in section 4 of the Act.

A public assembly will be an authorised public assembly if a Notice of Intention to Hold an Assembly ("an Assembly Notice"), that complies with section 9 of the Act, is given and subsequently approved. An Assembly Notice must be given to the Police Service's Commissioner. An Assembly Notice is only required to be given to Council if the assembly is to be held in a park, reserve, pedestrian mall, square or other public place under Council’s jurisdiction.

If an Assembly Notice is given more than 5 days before the proposed date of the assembly, the assembly will be approved –

(a) if the organiser has received a written Notice of Permission from the Police Service's Commissioner, and if relevant, Council; or

(b) if an order refusing the assembly has not been obtained.

In providing a written notice of permission, the Police Service's Commissioner and Council may specify conditions on the provision of the Notice of Permission. The ability to impose conditions on a Notice of Permission is limited by section 11(2) which requires the Police Service’s Commissioner or Council to-

have regard to the objects of the Act; and

obtain the organiser's written agreement to the condition; and

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undertake consultation with persons or bodies that have a significant interest in the place of assembly.

These obligations require Council to consult with all business within the pedestrian mall (or if another location, the immediate vicinity) and any other body or agency who has a significant interest or responsibility for the area before imposing any conditions on the assembly.

Section 11(3) of the Act states that if conditions are to be imposed, they must relate to:

(a) a matter concerning –

(i) public safety; or

(ii) the maintenance of public order; or

(iii) the protection of the rights and freedoms of persons; or

(b) the payment of clean up costs arising out of the holding of the assembly; or

(c) the recognition of an inherent environmental or culturally sensitivity to the place of assembly; or

(d) the application to the place of assembly of any resource management practice of a delicate nature.

COMMENT: Depending on where the assembly is to be conducted, Council may, under its Local Laws, regulate –

(a) the assembly itself (whether described as an assembly or otherwise); or (b) an activity that is conducted in the course of, or in conjunction with, the

assembly (an "associated activity"). Section 5(4) of the Act specifically provides that –

(4) Nothing in this section limits the power of a local authority to regulate pedestrian malls, but the power is subject to the right mentioned in subsection (1).

This subsection allows Council to regulate assemblies and associated activities in pedestrian malls, provided the regulation is consistent with the public's right to assemble peacefully with others in a public place. Section 5(4) does not prevent Council regulating assemblies in other public places under Council's jurisdiction (ie other than pedestrian malls). A Local Law could regulate assemblies and associated activities in other public places, provided the regulation is consistent with the public's right to assemble peacefully.

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Local Law no 7 (Pedestrian Malls) provides –

A person must not engage in any of the following activities in a pedestrian mall except in accordance with a current approval issued under this local law for that purpose:

(g) any other activity which may obstruct the safe movement of users of the

pedestrian mall or which has the potential to damage the pedestrian mall infrastructure.

Section 15 of the Local Law specifies the assessment criteria and Section 16 provides examples of the subject matter for conditions. During 2002 Council officers regulated assemblies at City Place. A copy of the types of conditions that are imposed is attached. If the assembly is approved, under the Act, Council cannot refuse the application for a local law approval but the approval may be conditioned, even if conditions are not imposed under the Act. Council has very limited rights to control any gathering under the Peaceful Assembly Act 1992. We do however have rights to regulate under several of the Local Laws as detailed above. Typically Council places the following conditions on this type of application: No amplification Not restricting access to trade for adjoining businesses Placement of banners, tables etc Not restricting public movement.

CONSIDERATIONS: Statutory: This report explains Council’s legal rights in accordance with the Peaceful Assembly Act 1992. Policy: Council’s Administrative Instruction – Peaceful Assembly has been prepared to ensure officers perform their duties in accordance with the legislative requirements of the Peaceful Assembly Act 1992 and Council’s Local Laws. Financial: The Local Laws give Council the power to impose penalties for non compliance with a Local Law permit.

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Social: Council needs to ensure that the rights of public safety, public order and the protection of the rights and freedoms of other persons are protected. Council officers have on going training on Local Law implementation and on Council’s statutory obligations to ensure that the enforcement by delegated officers is conducted in a lawful and professional manner.

CONSULTATION: This report has been prepared in consultation with Council’s legal advisers and the Manager Precincts and Facilities.

OPTIONS: That Council note the subject matter of this report.

CONCLUSION: That Council note the subject matter of this report.

9. LOCAL LAW POLICY NO. 5 - PARKS AND RESERVES REGISTER.. 96 Linda Kirchner: 1/11/3-03: #678895

RECOMMENDATION: COCHRANE / GREGORY That Lot 122 on NR 840892 (R2206 – Reserve for Local Government – Beach Protection and Environment Protection) be added to the Parks and Reserves Register, which is maintained in accordance with Local Law Policy No. 5 (Parks and Reserves). carried

INTRODUCTION:

On the 28 June 1999, the then Council resolved to make Local Law 26 (Parks and Reserves) and Local Law Policy No 5 (Parks and Reserves). These instruments

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enable Council to designate land under the Council’s control (including Trust land) as a park or a reserve. Local Law Policy No. 5 (Parks and Reserves) provides for a “Parks and Reserve Register” to be kept and maintained by Council, which details all designated Parks or Reserves land under Council’s control.

BACKGROUND: It would appear that over time there has been little or no updating of this Register. It is likely that a large number of newly created Parks and Reserves have not been added to the Register. It is therefore proposed that a review of the Register be undertaken in conjunction with the Manager Precincts and Facilities and the Manager Infrastructure Management. However, there needs to be an integrated process to ensure that this information correlates with the Asset Register and that as new Parks and Reserves are created these additions are incorporated into both Registers. The Manager Legal and Administration will work with other Managers across Council to ensure that responsibility, and the process for future maintenance of this Register, is established and implemented.

COMMENT: At the Planning, Development and Community Services Committee Meeting in April 2002, Council resolved to extend the existing lease area over parts of Lots 121 and 122 on NR840892 to Education Queensland (these lots being the Holloways Beach Environmental Centre). Officers have had ongoing discussions with Education Queensland about the lease conditions since that date. As part of that discussion, it was identified that whilst Lot 121 was listed on the Parks and Reserves Register, Lot 122 was not. It is therefore proposed that Lot 122 be included in the register now, to ensure that Council can regulate activities on this reserve in accordance with Local Law No 26 (Parks and Reserves).

CONSIDERATIONS: Statutory: The legislative requirements of the Local Government Act 1993 have been met. Policy: The amendment to the Register will give Council greater control over the activities on this parcel of land. Financial: There are no financial implications.

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Social: The amendment to the Register will ensure public access to this land.

CONSULTATION: The Manager Infrastructure Management and the Manager Precincts and Facilities have been consulted about this matter.

OPTIONS: Council can resolve to include this parcel or can resolve to defer action.

CONCLUSION: This is an administrative process, which will give Council greater certainty in the management of parks and reserves.

10. UNAUDITED FINANCIAL STATEMENTS FOR 2002/03 FINANCIAL YEAR ............................................................................................. 99

Christopher Teitzel: 17/49/1-01: #680127

RECOMMENDATION: O’BRIEN / GREGORY That the Unaudited Financial Statements for the year ended 27 June 2003 be noted. carried

INTRODUCTION: Attached in agenda are the financial statements for the year ended 27 June 2003. These financial statements include: Statement of Financial Performance Statement of Appropriations Statement of Financial Position Cash Flow Statement

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Capital Funding Statement Notes to the Financial Statements The statements are for Cairns City Council only and do no include the Cairns Regional Gallery Ltd. It is a requirement of the Local Government Act that the Draft Financial Statements be presented to the Auditor General no later than 15 September of each year and to Council at the next Council meeting after this date. The statements were presented to the Auditor General on 9 September 2003, and are now presented to Council in accordance with the Act.

COMMENT: STATEMENT OF FINANCIAL PERFORMANCE Council has achieved a net result from operations for the period of $14.2M compared to a budgeted amount of $16.7M. The net result from operations for the previous financial year was $23.9M. This is a worsening of our position of $9.7M. This was primarily bought about by a reduction in the Capital Grants and Subsidies ($4.9M) and adjustments to asset values ($2.9M). In addition the commencement of Bedminster and the operations of the esplanade have had an impact on the final result. Total revenue raised from ordinary activities was $144.7M compared with a budget of $144.6M. This favourable variance to budget was bought about by a combination of Rates and Charges, Grants and Subsidies and Interest Received being higher than budget. Expenses from ordinary activities and borrowing costs are $127.1M compared to a budget of $127.5M. STATEMENT OF APPROPRIATIONS Council closed the year with a Retained Surplus available for transfer to reserves of $5.2M. From this amount Council has transferred $1.2M to the Cleaner Seas Initiative Reserve, $3.8M to the Cairns Water Asset Augmentation Reserve, $120K to the Natural Disaster Reserve and $7K to recurrent reserves. Council was able to fully fund depreciation for the year. The final result after appropriations to reserves is a balanced (or $0) position. STATEMENT OF FINANCIAL POSTION Council has ended the year with a cash balance of $48.9M, loan balance totalling $98.1M and Infrastructure Assets with a value of $1,117M.

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CAPITAL FUNDING STATEMENT This statement summarises the capital expenditure and sources of capital funding for the year. Council drew down $7M in new loan borrowings and paid a total of $11.5M in debt redemption, leaving a closing loan balance of $98.1M. Expenditure on property, plant, equipment and infrastructure assets totalled $48.7M compared to the budgeted expenditure of $63.9M. The Foreshore Promenade works accounts for at least $7M of the $15M under expenditure.

CONSIDERATIONS: Statutory: The financial statements are prepared in accordance with the Local Government Act 1993, Local Government Finance Standards 1994 and the Australian Accounting Standards.

CONCLUSION: The financial statements, as at 27 June 2003, show that Council achieved a sound result for the 2002/2003 financial years.

11. FINANCIAL STATEMENTS PERIOD ENDED 29 AUGUST 2003......148 Pina Parlapiano : 17/49/9-02 #679704

RECOMMENDATION: COCHRANE / GILL That the Financial Statements for the period ended 29 August 2003 be adopted by Council. carried

INTRODUCTION:

Attached in agenda are the financial statements for the period ended 29 August 2003. Actual amounts are compared against the 2003/2004 budget adopted by Council.

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These financial statements include: - Statement of Financial Performance - Statement of Appropriation - Statement of Financial Position - Cash Flow Statement - Capital Funding Statement Divisional statements are included in this report to provide information on the performance of each division for the period ended August 2003. The statements are for Cairns City Council only and do not include the Cairns Regional Gallery Ltd.

COMMENT: STATEMENT OF FINANCIAL PERFORMANCE Council has achieved a unfavourable net result of $(671)k for the period. Revenue from ordinary activities is $21.1m, with a budget of $21.9m. This 4% unfavourable variance is the result of the following: Rates and Utility Charges are less than budget by $463k. This is due to greater

prepaid rates at year end than expected. This budget has been adjusted as part of the financial services budget review.

Fees and Charges are greater than budget by $430k. This is due to, in the

main, greater fees and charges earned as a result of the increased activity in the building and development industry. Higher fees and charges were earned in the following areas:

Development assessment applications Building regulation fees Water meter connection fees Plumbing approvals

More camping fees were earned than forecast due to the current high seasonal activity. Infringement fines and penalties were greater than forecast and collections from parking meters for the month were higher than expected due to the earlier times meter parking commences.

Recurrent grants, contributions and donations are greater than by $569k. This is due to higher than expected developer contributions earned by the Cairns Water Business Unit. This has been impacted by an increase in development in the City.

Capital grants are less than budget by $1.5m. Expenditure on capital works for

the month by Cairns Water and City Works and Services was not significant and therefore no claims were issued.

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Expenses from ordinary activities and borrowing costs are $21.8m which is 3% lower than the budget of $22.4m.

Employee costs are less than budget by 320k. This variance has been caused by vacant positions/delays in filling positions in various branches throughout council and less expenditure than expected on other employee related costs e.g workers compensation and superannuation. Other expenses are greater than budget by $221k. This over expenditure represents the payment of the contribution to AFL Cairns that was not factored into the original budget. The source of these funds will have to be identified as part of the first full-scale budget review. CAPITAL FUNDING STATEMENTS Capital works expenditure to date totals $15.6m, including $11.2m of committals. This represents 32% of the total approved capital expenditure of $48.9m. The August capital expenditure has been funded by capital grants and developer contributions 34%, loans 8% and revenue 58%. CASH INVESTMENTS Cash invested as at the end of August 2003 is $75.7m (August 2002 $61.1m). QTC currently holds 61% of the total invested funds and 23% with Citi Bank and 16% with Bank West. QTC yields an interest rate of 4.85%, while Citi Bank and Bank West yield 4.93%. LOAN BORROWINGS QTC Loan balance at the end of the period is $96.1m (August 2002 $99.6m), of which $983,550 was paid during the month. Based on the recent assessments issued, the borrowing per assessment is $1,753 per assessment, compared to $1,872 per assessment in August 2002, a reduction by 6% from the same period last year. As at the end of August, the capacity of Council to service its outstanding debt based on the operating revenue earned is 16% representing debt servicing and redemption cost to total revenue as a proportion. Council’s exposure to debt is 13% representing total liabilities to total assets as a proportion.

CONCLUSION: Council has achieved a small net deficit for the period $(671k). The year to date budget has also forecast a small net deficit for the period $(451k). The budget for this financial year has forecast increased operational expenditure in relation to the Bedminster contract and the esplanade. It is expected that on a monthly basis Council will operate close to a breakeven point. All other considerations were reviewed and deemed not applicable.

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12. CORPORATE SERVICES MONTHLY REPORT FOR AUGUST 2003 Jo-Anne Scarini : cc : 1/3/83-01: #678269……………………………….176

RECOMMENDATION: O’BRIEN / GREGORY That the report of the Corporate Services Division for the month of August be received and noted. carried CLOSED SESSION COCHRANE / O’BRIEN COUNCIL RESOLVE INTO CLOSED SESSION TO DISCUSS CERTAIN MATTERS FOR THE REASONS LISTED IN THE AGENDA AND NOTED ON THE RESOLUTIONS SUBSEQUENTLY RECORDED carried OUT OF CLOSED SESSION COCHRANE / O’BRIEN COUNCIL RESOLVE TO MOVE OUT OF CLOSED SESSION carried RESOLUTIONS ARISING FROM THE MATTERS DISCUSSED IN CLOSED SESSION

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1. BUDGETARY MATTER – SECTION 1040 – SALE OF LAND FOR ARREARS IN RATES.........................................................................1

Kelly Barnes : 19/23/3-15: #679610

RECOMMENDATION: COCHRANE / O’BRIEN That action for sale of land for arrears of rates in accordance with Section 1040 of the Local Government Act 1993 commence for assessment number 249284 where rates are outstanding in excess of 3 years. carried

2. CONTRACTUAL MATTER - PURCHASE OF LOT 11 ON RP891006 (6 FLAME CLOSE, BAYVIEW HEIGHTS) – A.F. HARDING & U.M. ELMS – DIV. 4 ...................................................................................3

Allan Simpson : 19/3/3-46: #679193

RECOMMENDATION: GREGORY / COCHRANE That Council advise A.F. Harding & U.M. Elms that it accepts the offered purchase price of $80,000.00 (inclusive of GST) for Lot 11 on RP891006 (6 Flame Close, Bayview Heights subject to the following condition:

The Buyer (Harding & Elms) acknowledging and accepting that the land falls within the Hillslopes Development Control Plan – Category B – Constrained Area and is therefore subject to constraints on development.

carried

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3. BUDGETARY MATTER – OUTSTANDING DEBT REPORT..................7 Duane Forward : 19/23/1-14: #678479v1

RECOMMENDATION: COCHRANE / GILL That Council note that it has been updated on the status of outstanding debts as at 31st August 2003. carried

4. BUDGETARY MATTER – L234 SP122860, YORKEYS KNOB SPORTS CENTRE – ASSESSMENT 499293 ...................................................18

Rob Reilly:FZ 17/49/9-03 : #678775

RECOMMENDATION: O’BRIEN / GREGORY That Council write off $18,991.16 in rates, charges and water usage as the lease to Yorkeys Knob Sports Centre has been terminated. carried THE MEETING CLOSED AT 5.15 PM

meeting: finance & administration committee · cairns city council enjoys a very high public...

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