minutes of ordinary meeting of council - 13 september 2016 · minutes of the ordinary meeting of...

ORDINARY MEETING OF

COUNCIL

MINUTES

13 SEPTEMBER 2016

MINUTES - ORDINARY MEETING OF COUNCIL - 13 SEPTEMBER 2016

2

MINUTES OF THE ORDINARY MEETING OF THE PORT PHILLIP CITY COUNCIL HELD 13 SEPTEMBER 2016 IN

ST KILDA TOWN HALL

The meeting opened at 6:04pm. PRESENT Cr Voss (Chairperson), Cr Bond, Cr Horvath, Cr Huxley (6.07pm), Cr Stevens, Cr Thomann, Cr Touzeau. IN ATTENDANCE Tracey Slatter Chief Executive Officer, Claire Ferres Miles Acting General Manager Infrastructure and Amenity, Peter Sagar Acting General Manager Place Strategy and Development, Vanessa Schernickau Acting General Manager Community Development, Chris Carroll General Manager Organisational Performance, Nicholas Petrucco Executive Manager People & Culture, Anthony Traill Acting Sponsor Ferrars Street Precinct, Leonie Kirkwood Senior Strategic Planner, Jacqui Banks Manager Strategy & Growth, Gavin Tan Senior Traffic Engineer, Andrew Scarlett Senior Urban Economist, Susan Strano Acting Manager - Vibrant & Creative City, Nick Alsop Acting Coordinator Sustainable Programs & Fishermans Bend Sustainability Lead, Renae Walton Acting Coordinator Sustainable Policy, Caroline Chandler Coordinator Sustainable Policy, Brian Tee Senior Strategic Relations Advisor, Damian Dewar Coordinator City Design, Kirsty Reidy Coordinator Public Space Planning, Anita Johnstone Acting Manager Public Space & Recreation, Joanne McNeill Manager Asset Planning & Property, George Borg Manager City Development, Gabi Alleyne Market Manager, Katrina Preski Property Project Manager The City of Port Phillip respectfully acknowledges the Yalukit Willam Clan of the Boon Wurrung. We pay our respect to their Elders, both past and present. We acknowledge and uphold their continuing relationship to this land.

1. APOLOGIES

Nil.

2. CONFIRMATION OF MINUTES

MOVED Crs Thomann/Horvath

That the Minutes of the Ordinary Meeting of the Port Phillip City Council held on 23 August 2016 be confirmed.

A vote was taken and the MOTION was CARRIED.


3

3. DECLARATIONS OF CONFLICTS OF INTEREST

Councillor Anita Horvath declared an indirect conflict of interest by close association on item 8.10 Proposed Lease - Royal Melbourne Yacht Squadron.

4. PETITIONS AND JOINT LETTERS

Nil.

5. SEALING SCHEDULE

Nil.

6. PUBLIC QUESTION TIME

Mayor Councillor Voss noted that Richard Roberts had tabled the following questions via email which would be taken on notice and a written response provided.

Richard Roberts • Please provide details of the length and location of on-road bike lanes on local streets and

off-road bike routes actually fully delivered in the City of Port Phillip since the adoption of the Bike Plan 2011-2020 (I am not interested in planned, or half completed or in train - please provide the details for fully completed and in operation paths).

• For the Contracts entered into by the City of Port Phillip in relation to both: o weekly garbage service; and o renewal, replacement, upgrading, installation of roads and footpaths and other transport

infrastructure; please provide the following details:

1. Name of the Contracting company that Council has contracted with and the ABN for each company;

2. Whether there is a formal Guarantee in favour of the Council from the Head Ownership Company of the Contracting company providing a financial and/or financial guarantee of the Contracting Company; the name of that Head Company and the ABN for same;

3. Outline of the chief obligations of the Contracting Company under the contract; 4. Date of Commencement of the contract and date of Expiry of the contact; 5. Are there any options available to the Contracting Company under the contract to

extend the contract and if so the option periods available under such terms? 6. Total Net Payments made by Council to the Contracting Company in 2014-15, 2015-

16 and budgeted in 2016-17 in relation to the services rendered;


4

7. Key KPIs that must be met by the Contracting Company; • in relation to the garbage contract specifically, please advise if the contractor

is required under the contract to leave all rubbish bins upright and with the lid closed after emptying the bins;

8. Is there a KPI scoring system such that if the Contracting company fails to meet specified scores there is first abatement of the Council payments to the contracting company and then termination rights?

9. Alternately, does the KPI or similar scoring system allow for bonus payments to be made to the Contracting Company for outperformance Contract for maintenance and upkeep of North Port Oval playing surface In relation to the above contract?, please provide details of:

• Name of the Contracting company that Council has contracted with and its ABN;

• Outline of the chief obligations of the Contracting Company under the contract;

• Date of Commencement of the contract and date of Expiry of the contact; • Are there any options available to the Contracting Company under the

contract to extend the contract and if so the option periods available under such terms;

• Total Net Payments made by Council to the Contracting Company in 2014-15, 2015-16 and budgeted in 2016-17 in relation to the services rendered specifically for North Port Oval;

• Key KPIs that must be met by the Contracting Company; and • If there is a KPI scoring system such that if the Contracting company fails to

meet specified scores there is first abatement of the Council payments to the contracting company and then termination rights.

• Regarding the Ferrars Street Precinct Contamination Issue: o Why has the Golder Report not been made available publicly given the fact that this

is essentially a childrens park and that the ratepayers of the city are being asked to spend millions on the project ? .

o What cost estimates have been made to now remediate the contamination at this site in such a more significant manner;

o Does this significant upgrade in the remediation requirement put the whole Council budget allocation for this park in jeopardy?

o Has any contamination assessment been made of the ground under Gladstone & Kerr streets (or has the contamination assessment only related to the original land purchase site ?)

o Has any assessment been made of the likely impact of potential flooding on the park with a view to determine special factors that might need to be taken to ensure the park remains in a viable state?

o Has any assessment been undertaken as to the presence of water and sewerage and drainage mains under Gladstone, Kerr and Ferrars in the vicinity of the proposed park;

• if not, why not; if yes what are the findings?


5

7. COUNCILLOR QUESTION TIME

Councillor Anita Horvath asked the following:

• What is Council’s approach and controls towards project management of capital works to ensure projects are delivered on time and within budget?

Chris Carroll General Manager Organisational Performance responded that over the past three years, the organisation has embarked on a capability uplift initiative to improve enterprise portfolio management including better practice processes and controls, governance and oversight of key stages of delivery of projects. There is a requirement for all projects to have a Project Idea Definition and Business Case, which involves careful planning around scope, cost, and time. These projects also go through independent internal quality assurance and executive oversight, and sometimes are referred for external assurance. Additionally, Council has begun implementing contingency management for both budget and time, and progress continues to be made in terms of cost and time overruns.

• Asked for a summary of the verbal submission provided by Council officers to the Melbourne Metro Rail Project Joint Enquiry on Wednesday 7 September.

Claire Ferres Miles Acting General Manager Infrastructure & Amenity responded that Council presented a verbal submission to the Melbourne Metro Rail Project Environment Effects Statement Joint Inquiry and Advisory Committee, to complement the written submission endorsed by Council in June 2016. The verbal submission addressed 8 outstanding matters that Council is of the view that more work needs to be done:

• Retention of trees – Council considered that the current proposal shows an unacceptable loss of 223 trees in the precinct;

• Domain Station precinct – significant opportunity to expand the scope of investigation to create a transformational precinct in Albert Road to Kings Way with an opportunity to create a lasting place legacy for the community, a city-shaping outcome with significant amenity uplift as a result of this project;

• South African Soldiers Memorial – as custodian, we want to ensure the integrity and prominence of the memorial is preserved, noting that the project will require the memorial to be dismantled, stored and reinstated;

• Transport connections –greater priority be given to remoding of trips to more sustainable/efficient modes of transport and Council support and is advocating for a 40kph speed limit in the vicinity of the Domain Station precinct;

• Bicycle parking – only 25 bicycle hoops are proposed for the Domain Station precinct. Council is of the view that 400 undercover secure bicycle parking spaces should be provided and open on Day 1 of the new station, with provision for an expansion to at least 2,000 bicycle spaces.

• Construction methodology – satisfied on the basis of evidence presented that the ‘cut & cover’ approach is the best solution, but Council is open to exploring other ways to reduce the overall impact on the community;

• Location of chiller/mechanical plant for tunnel– dissatisfied with the proposal to use the public open space as a dumping ground for utilities and a better solution must be found

• Planning Scheme Amendment – Council provided to the Committee a detailed response focusing on transparency, engagement, and greater certainty for the community around potential changes of the planning controls through the life of the project.

A written copy of the verbal submission will be uploaded to Council’s website.


6

8. PRESENTATION OF REPORTS

Discussion took place in the following order:

8.1 Montague Community Park - Response to submissions and request for 20(4) Ministerial Amendment to the Port Phillip Planning Scheme

8.2 Proposed Statutory and Consultation Process for Railway Place

8.3 Victorian Pride Centre

8.4 Implementation of In Our Backyard-Growing Affordable Housing in Port Phillip

8.5 Fishermans Bend Best Practice Sustainability

8.6 Implementing Towards Zero Energy Program and South Melbourne Market Solar Project

8.7 Better Apartments Draft Design Standards - Submission

8.8 Property Sales 2016/17

8.11 St Kilda Marina Lease

8.13 Outdoor Commercial Recreation Expression of Interest 2016 - Kiteboarding

The following 5 items were moved en bloc:

8.9 Palais Theatre Lease Transition

8.12 Lots 10, 11 and 12, 339 Williamstown Road, Port Melbourne

8.14 Contract 2013 Desktop Laptop Replacement Panel

8.15 Tender Evaluation Report - Tender No 2022 Gasworks Building Upgrade (Construction Services)

8.16 Audit & Risk Committee Charter Review 2016

8.10 Proposed Lease - Royal Melbourne Yacht Squadron

8.17 Esplanade Market Strategic Plan 2016 - 2020


7

8.1 MONTAGUE COMMUNITY PARK - RESPONSE TO SUBMISSIONS AND REQUEST FOR 20(4) MINISTERIAL AMENDMENT TO THE PORT PHILLIP PLANNING SCHEME

The following speakers made a verbal submission in relation to this item:

Graham McDonald

• Expressed his outrage that the proposal to allow vehicle access only until 2023 will just postpone the inevitable demise of the businesses and financial investment of his properties on Ferrars Street.

• Stated Council’s stated vision to attract and retain creative industries in Fishermans Bend is completely at odds with this proposal.

• Asked Council how many businesses they think will want to invest in the area when they see how the existing businesses have been treated throughout this process?

• Explained there is plenty of room for compromise, and that even closing a portion of the street would be acceptable to most of the businesses.

• Asked Council how waste removal, utilities, or emergency services are supposed to access the units when there is no road?

• Asked Council if they will be providing compensation for loss of tenants or investment when the buildings are vacant and or destroyed by vandals?

Peter Harvey

• Provided a written submission to Councillors as representative of Surveyors Place at 111 Ferrars Street.

• Stated they support the primary school and the park, but not in its current form with road closures, narrowing roads and loss of parking which will adversely affect the businesses.

• Expressed concern that the traffic reports have only been available for four days and that the process was extremely rushed.

• Disagreed with many points made in the traffic report which was dismissive of the cul-de-sac option, by saying it was less safe.

• Proposed further amendments to the recommendation in regards to a re-evaluation and consultation period prior to reverting car spaces to park land to test need for permanent road closure.

Polly McGregor

• Stated that the plans for no parking directly impacts business, disregards Council’s stated goals to retaining and developing creative industries and shows a lack of understanding of needs for school community.

• Explained that the lack of parking near businesses also disregards needs of disabled members of community.

• Asked why the existing creative businesses seem to be unworthy of Council’s support?

• Stated that schools need accessible parking to accommodate the busy lives of the community members.


8

Stephen Renfree • Explained the road closures and loss of parking have been highly criticised in media and

community but it doesn’t seem to impact Council’s intention. • Stated Council’s Good Governance Guide indicates the goal of Council decision making is

to support long term interests of the community as a whole, however small businesses don’t seem to be considered in this plan.

• Asked Council where their support will be when the negative impacts of this plan come to fruition.

• Asked Council what businesses they think will come to Port Phillip with the way they are treating existing businesses, and the existing businesses deserve better consideration so they aren’t forced to shut down.

Trisha Avery • Spoke as representative of Montague Community Alliance (MCA) in support of the school

and the park, and it is understood they are in a Capital City Zone

• Stated the MCA supports Peter Harvey and the Surveyors Place proposal. • Asked if 10 days was truly sufficient to conduct a significant traffic management process that

consults all stakeholders?

• Asked Council to postpone decision until a comprehensive traffic assessment is complete. • Asked Council to undertake a review in 2023 instead of making a permanent change

without re-evaluating the impacts of the park and road changes. Lucinda Esler

• Explained that they purchased their property on Meaden Street because of the access to car parking and public transport that their employees require.

• Expressed problems with inflexibility of Council’s position and asked if Council is truly committed to make a difference for local businesses.

• Stated that the Melbourne Fire Brigade recently attended the property and they indicated they had no idea the roads were being closed in the area.

• Asked Council where her employees should park, and what happens if they are assaulted in the dark? Will Council pay compensation?

• Asked Council if, when her investment value plummets due to the results of this plan, will Council pay market rates for her property?

• Stated that local businesses will have to take Council to VCAT over this plan because there seems to be no compromise or collaboration.

Earl James

• Stated that he supports the school and the park. • Proposed that the plan is missing the consideration of car sharing and encouraged Council

to invite car share companies into the precinct to ameliorate some of the business’ concerns.

• Proposed that Council have considerable metrics for success of the project, for example conduct a longitudinal study over the six years to see what the impacts are and if goals aren’t being achieved that changes can be made.

• Asked Council to defer this decision until after the election.


9

Purpose

To inform Council on the outcome of the community engagement process and respond to the issues raised in submissions. To inform Council on the assessment of options in accordance with resolution on the 23 August 2016. To provide recommendations from a precinct perspective regarding creation of a park and associated streetscape works. To consider making a request to the Minister for Planning to undertake Amendment C135 to the Port Phillip Planning Scheme via a Ministerial 20(4) Amendment (without the requirement for a formal statutory public exhibition process) to facilitate the delivery of the Montague Community Park in time for the opening of the South Melbourne Primary School. The proposed amendment would: • rezone land at 2-4 Buckhurst Street and surrounding streets from the Capital City Zone (CCZ)

to a Public Park and Recreation Zone (PPRZ), • apply the Road Closure Overlay (RXO) to close sections of the surrounding roads to increase

the park area, and • introduce an Incorporated Document into the scheme to facilitate delivery of the Montague

Community Park and associated streetscape works.

MOVED Crs Stevens/Bond

That Council:

1.1 Notes the community engagement process which included five weeks of public notification and informed a further two weeks of engagement and the analysis of options.

1.2 Requests the Minister for Planning to prepare and approve Amendment C135 to the Port Phillip Planning Scheme as shown in Attachment 1, pursuant to section 20(4) of the Planning and Environment Act 1987 to:

• Rezone land at 2-4 Buckhurst Street, Ferrars Street (between Douglas and Gladstone Streets) and Gladstone Street (from Ferrars Street to Kerr Street) and part of Kerr Street, from the Capital City Zone (CCZ) to a Public Park and Recreation Zone (PPRZ).

• Apply the Road Closure Overlay (RXO) to legally close Ferrars Street (between Douglas and Gladstone Streets) and Gladstone Street (from Ferrars Street to Kerr Street) and to narrow Kerr Street.

• Include an Incorporated Document titled ‘Montague Community Park and associated Streetscape Works’, which facilitates the delivery of the Montague Community Park and associated streetscape works along Buckhurst Street (between Kerr Street and Ferrars Street), Douglas Street and Ferrars Street(between Buckhurst Street and Thistlethwaite Street), as part of the Ferrars Street Education and Community Precinct Proposed Works (June 2016), in the:

• Schedule to Clause 52.03 – Specific Sites and Exclusions; and

• Schedule to Clause 81.01 – ‘Table of Documents Incorporated in this Scheme’.


10

1.3 Authorises the Chief Executive Officer (or delegate) to finalise the amendment documentation to form the basis of the request to the Minister for Planning.

1.4 Design and deliver open space, street upgrade and parking outcomes in the Ferrars Street Education and Community Precinct that balances the maximising of public open space in the long term with temporary traffic and parking needs in recognition of current creative industry operations, summarised by:

• Rezoning the land, closing the roads and remediating the land in accordance with the exhibited plan.

• Convert 25 to 50 existing 4 hour / all day on street car parking spaces to 1 hour / 2 hour restrictions in the precinct to accommodate visitor parking needs subject to consultation with affected properties.

• Constructing the full vision of the park by 2018 while also supporting the important creative industries, Council will temporarily offer a new permit type and mechanism (or other similar solution) to provide 20 local employment car parking spaces for Surveyors Place owners and employees within 200 metres of corner of Ferrars Street and Douglas Street until and not beyond 2023, in recognition of the unique transition circumstances they face (having a park built on a current roadway in an area undertaking urban renewal) subject to the Surveyors Place owners corporation agreeing to designate at least 20 of their off street title car parking spaces for business customers and couriers.

• Postponing works in Meaden Street until 2023, after which time the works described in the Ferrars Street Education and Community Precinct Proposed Works for Meaden Street are to be completed in support of expected increased bicycle and pedestrian traffic through the precinct.

• Delivering the Ferrars Street Education and Community Precinct Proposed Works for Douglas Street, Ferrars Street South and ‘The Knuckle’ as planned due to the important interface the works has to the school, public transport and park boundaries.

• Delivery of school drop-off zones in Ferrars Street, Kerr Street and Whiteman Street

1.5 Writes to all submitters thanking them for their interest in the matter and advising them of Council’s decision.


Cr Horvath called for a DIVISION.

For Against Cr Touzeau Cr Horvath Cr Bond Cr Voss Cr Thomann Cr Huxley Cr Stevens



11

8.2 PROPOSED STATUTORY AND CONSULTATION PROCESS FOR RAILWAY PLACE

Purpose

1) To inform Council of the proposed changes to Railway Place in South Melbourne, including closure of the northern section and widening of the southern section.

2) To inform Council of the statutory process for the proposed road closure and widening of Railway Place in accordance with the Local Government Act 1989.

3) To provide a recommendation regarding the consultation process for the proposed changes to Railway Place.

MOVED Crs Stevens/Huxley

That Council:

1.1 Proceeds with the statutory process for a permanent road closure of the northern section and proposed road widening of the southern section of Railway Place, South Melbourne, in accordance with powers under the Local Government Act 1989.

1.2 Gives public notice to affected stakeholders, of the proposal for a permanent road closure of the northern section and proposed road widening of the southern section of Railway Place, South Melbourne, and invites submissions in accordance with Section 223 of the Local Government Act 1989.

1.3 Resolves to hear and consider any submissions received pursuant to Section 223 of the Local Government Act 1989 at a Council meeting to be held in December 2016.

A vote was taken and the MOTION was CARRIED unanimously.


12

8.3 VICTORIAN PRIDE CENTRE

The following speaker made a verbal submission in relation to this item:

Brenda Forbath

• Stated she thinks it is great that Council is looking to bid for the Pride Centre. • Asked what kind of financial contribution is being proposed? • Asked where the Pride Centre would be located within the municipality, and if it could be

located on the Triangle site? • Stated the location should be the subject of extensive consultation as it is of great interest

to the community.

Purpose

• To outline the State Government’s proposal to build a Victorian Pride Centre, and the need for a response by City of Port Phillip during caretaker period.

• To inform a Council resolution authorising the CEO to submit a proposal to the State Government during caretaker period (in September and October 2016), in line with site options and financial parameters identified in a separate confidential report at this meeting.

MOVED Crs Thomann/Horvath

That Council:

1.1 Notes the important contributions of LGBTI people across all facets of the City of Port Phillip’s community life over generations;

1.2 Affirms its long-standing commitment to the health, well-being and inclusion of LGBTI community members; and

1.3 Authorises the CEO to submit a proposal to the State Government during the 2016 caretaker period, including a significant Council contribution, to host the proposed Pride Centre in the City of Port Phillip.


The Chairperson adjourned the meeting for a recess at 7:58pm.

The Chairperson resumed the meeting at 8:06pm.


13

8.4 IMPLEMENTATION OF IN OUR BACKYARD-GROWING AFFORDABLE HOUSING IN PORT PHILLIP


Frank O’Connor

• Spoke as Chairperson of the PPHA Board and raised concerns about the process by which this report has come into existence; no formal process or record has been kept.

• Stated the report is wrong in fact, flawed in strategy and impugns the integrity of the Directors of PPHA and the way we manage the Trust despite the last minute change to paragraph 3.3.

• Explained the history of the relationship of the trust and Council and encourages a proper consultation with the trustees to come up with a better proposal.

• Noted that last year an offer to review the governance issues of the Trust with Council was made, but nothing has ever been requested and any recent meetings have offered nothing in writing despite requests.

• Stated that if Councillors don’t throw this report out, this Council, as it rushed towards Caretaker period, will forever be known as the one which pushed through the demise of the highly regarded Port Phillip Housing Trust.

Damian Ferrie

• Explained the background of the State government choice to focus major capital grants to Housing Associations such as the PPHA, and the vision of the partnership of the City of Port Phillip and the PPHA of providing affordable housing for locals.

• Stated that as a Trustee for PPHA, he has a legal responsibility to do what is in the best interest of PPHA and not support a strategy which will not produce the number of housing units into the future that has been achieved in the past decade.

• Explained that requests have been made for housing modelling that would enable major capital projects to take place which have not been provided and so the Trustees are not able to enter into the high level sophisticated conversation required for this kind of major decision.

• Implored Councillors to delay a decision on this submission to provide more time for modelling to be presented, as this will only increase the Trustees’ willingness to engage in an open conversation enabling genuine consideration of options for maximising growth of affordable housing in the municipality.


14

Jennifer Stone

• Spoke as a Board Member of PPHA and Trustee for Port Phillip Housing Trust to endorse the previous two speakers.

• Expressed her disappointment with the existing report as it fails to fairly present the facts or to provide sound modelling to grow social housing, and with the process that has not engaged the PPHA as a strategic partner.

• Asked why the report lacks an assessment of pros and cons or an informed analysis of the risks to the Trust and PPHA?

• Reminded Council that 75% of the initial value of the properties in the Trust came from State Government which continues to have an interest on the title of those properties, and that Council has no capacity to review the performance of the Trust and implement changes without agreement of PPHA.

• Explained that Council originally determined to invest its financial investment in one entity because it understood the need for economies of scale, in a partnership that dates back 30 years.

• Refuted the idea that contemporary standards of governance require Trust assets to be separated from the management and development of those assets, and no supporting evidence is provided in the report to justify this position.

• Reminded Council that the partnership has flourished and allowed growth in housing stock for both PPHA and Council’s trust and a breakdown in relationships should never be the basis for policy making.

John Enticott

• Spoke as a representative of St Kilda Community Housing to state that whatever process goes forward should have better accountability and transparency than the PPHT.

• Reminded Council that the PPHA and PPHT have grown the portfolio to make sure there is a place for many low income people in the City of Port Phillip and is lauded as a model for other local governments to follow.

• Recommended Option 2 to set up a new Trust in order to address concerns raised in the report.

Bill Joyce

• Spoke as Vice President of Southport Community Housing to support the recommendation and growing affordable housing as set out in the report.

• Stated these recommendations will only work if the Trust is independent and has high calibre independent Trustees who support community housing, and asked what safeguards are envisaged to ensure this is the case.


15

Leslie Rosenblatt

• Noted that some of the language in the report could be deemed insulting to the PPHT.

• Noted several apparent contradictions in the report including whether there is or is not conflict of interest between the PPHA and PPHT.

• Explained that only 7% of dwellings in the municipality are deemed affordable, most due to the deliberate investments made by state and local government

• Asked Council to carefully consider whether setting up a new administrative structure and complex legal arrangement will achieve the growth it claims to want.

• Suggested Council aim for a target of 10% (a 3% increase over existing offerings) for affordable housing in this City particularly with the projected Fishermans Bend growth.

Brenda Forbath

• Spoke as convener of Community Alliance of Port Phillip to recommend that this report should not be supported by Council for the following reasons:

o No widespread consultation within the community or Housing organisations.

o Council is a week away from the Caretaker period and should not be making important decisions which will have long term implications for the provision of affordable housing – the report should be deferred so the new Council can have full consultation and make an informed decision.

o The PPHA was appointed as a Trustee and cannot be removed without their agreement.

o The implication of the conflict of interest with the PPHA being both Trustee and Manager has no grounds or evidence in the report.

o The proposal of a separate Board of Directors has cost implications.

o The report fails to explain how other local housing organisations develop Council housing assets through the PPHA when they are not registered Housing Associations and only have limited access to State Government capital funding.

• Asked if Council sought to have more regular reports from PPHA regarding performance of the Trust than is currently provided for under the Trust Deed, and if not, why has this now been raised as a basis for changes to the Trust?

• Noted the evidence shows the current model is successful and strongly urged Council to vote against the recommendation and allow the new Council to enter into appropriate discussions in the new term.

Dick Gross

• Urged Council to not support the recommendation.

• Explained that the alleged conflict of interest is a result of a failure to conduct survey of checks and balances this sort of organisation requires.


16

• Asked why this proposal is being put forward now, when it appears to increase expensive bureaucratic duplication?

• Noted that sophistication, confidence and prudence are required to leverage on the housing market and the PPHA shows growth over decades in managing assets and funds.

• Stated the paper has no analysis of the existing Trust and no analysis of what will occur.

• Stated the balance of power proposed in this report is a recipe for disaster and will result in a case before the Supreme Court, causing unnecessary reputational damage to all players involved.

Michael Sabada

• Noted that there is no evidence of an actual problem in the report and no effort to establish what the costs and benefits will be.

• Asked how are the skills of the PPHA and Trust recreated or transferred, and at what cost?

• Noted there is no actual Triple Bottom Line assessment of the proposed changes, or economic or financial implications.

• Urged Council to not to adopt the recommendation without a clear-cut model for the future.

Purpose

• To adopt a new governance model to implement Council’s In Our Backyard- Growing Affordable Housing in Port Phillip 2015 - 2025 strategy.


17


That Council:

1.1 Notes it adopted the In Our Backyard - Growing Affordable Housing in Port Phillip 2015/16 - 2024/25 strategy on 12 April 2016, and that its policy objectives cannot be fully realised without changes being made to the Port Phillip Housing Trust (PPHT) Deed, particularly governance changes.

1.2 Notes that 358 community housing units are managed as affordable housing under the Port Phillip Housing Trust (PPHT).

1.3 Writes to Port Phillip Housing Association (PPHA) as Trustee and seeks amendments to the PPHT Deed that improve governance arrangements to align with current best practice and to support the implementation of the policy objectives of the In Our Backyard strategy. This would involve consideration of the following principles through a process that aims to build strong relationships:

i. A separate board, separate from the PPHA and any other participating agency. ii. That Directors be appointed on the basis of publically available, specified skills

based criteria through a process agreed to by Council. iii. Transparently enabling entities, in addition to PPHA, to develop and manage

Trust properties. iv. Ensuring that Council formally develops and implements an EOI process to

determine who is best placed to deliver affordable housing outcomes on Council owned properties.

v. Allowing Council to periodically review the effectiveness of the Trust and implement changes to improve the Trust’s performance.

1.4 Notes that, importantly, the proposed changes continue the requirement for the Trust assets to be used only for the purposes of affordable housing in perpetuity.

1.5 Recognises that PPHA has extensive strategic management expertise, including in the 2014/15 year PPHT paid fees of-

i. $1,189,996 to PPHA for ‘Property Management’ and ii. $1,734,310 to PPHA for ‘Maintenance and property expenses’.

1.6 Agrees that transition arrangements be negotiated so that PPHA’s expertise in providing strategic asset management and advice for the development and growth of Trust assets be maintained. These arrangements could include the revised Trust paying PPHA an agreed fee for property management and maintenance and property expertise.

1.7 Following revision of PPHT governance, to Council’s satisfaction, commence an expression of interest process to enable parcels of land to be packaged with annual cash contributions of $500,000, totalling $5 million over 2015/16 - 2024/25.



18

Cr Horvath called for a DIVISION.

For Against Cr Touzeau Cr Horvath Cr Bond Cr Thomann Cr Voss Cr Huxley Cr Stevens



19

8.5 FISHERMANS BEND BEST PRACTICE SUSTAINABILITY

Purpose

To update Councillors on progress made to pursue sustainability as a deliverable in Fishermans Bend, and the Best Practice Sustainability Study project.

MOVED Crs Horvath/Thomann

That Council:

1.1 Notes the progress made to date on actions endorsed by Council in December 2015 to pursue sustainability within Fishermans Bend.

1.2 Endorses the public release of the report “Five Key Actions to Help Make Fishermans Bend Australia’s Most Sustainable Urban Renewal Precinct”.


The Chairperson adjourned the meeting for a recess at 10:03pm. The Chairperson resumed the meeting at 10:11pm.


20

8.6 IMPLEMENTING TOWARDS ZERO ENERGY PROGRAM AND SOUTH MELBOURNE MARKET SOLAR PROJECT


Jack Halliday

• Spoke as convener of Port Phillip Alliance for Sustainability to ask questions around greenhouse gas targets, purchases of offsets, and plans for the future.

• Noted that works proposed are either uncosted, dependent on grant funds being obtained from commonwealth government, or on the possibility of an energy performance contract being carried out on an unspecified number of Council buildings.

• Asked if Council believes this process is transparent?

Michael Sabada

• Asked why there was a delay on the project for the solar panel installation on the South Melbourne Market, as there is no explanation of how a roof structure completed 5 years ago is not “future proof”.

• Asked what reports were made with regards to the design and planning for the installation of the solar panels?

• How is it possible that we are in this position now, who is responsible, and how will they be held to account?

Purpose

• To advise Council of the high level forward plans regarding the Toward Zero Energy Program, including the South Melbourne Market (SMM) Solar project.

• To seek a variation in the 2016/17 Council Project Portfolio to immediately commence delivery of an alternate scope of works that will contribute towards achieving Council's Toward Zero Greenhouse targets.

MOVED Crs Horvath/Touzeau

That Council:

1.1 Approve an alternative program of works for 2016/17 that will achieve the Toward Zero Energy Program’s target.

1.2 Note that regulatory compliance with the National Construction Code and the Disability Discrimination Act at the South Melbourne Markets (SMM) is being addressed in tandem with the planned Solar Project.

1.3 Note that the delivery of the SMM Solar Project may be deferred to 2017/18, depending on the ability to schedule compliance works.



21

8.7 BETTER APARTMENTS DRAFT DESIGN STANDARDS - SUBMISSION


Leslie Rosenblatt

• Noted that adaptability is addressed in Council’s submission and that Council’s disappointment around certain issues that weren’t accounted for in the Draft Design Standards is raised.

• Commended Council on some very good responses the submission.

• Asked if there is any consideration towards inclusionary zoning, height standards, noise separation, or size of apartments.

Purpose

• To consider the proposed City of Port Phillip submission in response to the Better Apartments Draft Design Standards released by the Victorian Government in August 2016.

MOVED Crs Horvath/Stevens

That Council:

1.1 Endorses the submission paper in response to the Better Apartments Draft Design Standards attached to this report (Attachment 2).

1.2 Authorises the General Manager Place Strategy and Development to make further editorial changes to the submission, particularly to make the submission bolder as well as addressing adaptability, prior to submitting to the Victorian Government.



22

8.8 PROPERTY SALES 2016/17


Michael Sabada

• Stated he didn’t see the notice in the paper to write a submission, and expressed concern that it is short-sighted to sell this property in response to a budget shortfall.

• Noted that this heritage building could possibly be used for affordable housing and that a house like this could suit a family.

• Raised a concern over communication received in response to his budget submission on an item indicating the impending sale of property, felt it was unsatisfactory that the address wouldn’t be released until the budget is approved.

Purpose

To seek Council approval to complete the statutory procedures to sell 130 Nott Street, Port Melbourne.


That Council:

1.1 Notes that in accordance with Sections 189 and 223 of the Local Government Act 1989 and the Council resolution of 12 July 2016, a notice of intention to sell 122 Nott Street, Port Melbourne and 130 Nott Street, Port Melbourne was published on 19 July 2016.

1.2 Notes that two submissions were received in regards to the sale of 122 Nott Street, Port Melbourne and 130 Nott Street, Port Melbourne.

1.3 Notes that sale of 122 Nott Street, Port Melbourne is not proposed at this time.

1.4 Being of the opinion that 130 Nott Street, Port Melbourne is no longer required for the purpose for which it was acquired, resolves to sell 130 Nott Street, Port Melbourne.

1.5 Authorises the Chief Executive Officer or delegate to undertake the necessary tasks required to facilitate the sale of 130 Nott Street, Port Melbourne including the execution of the sale documentation.

1.6 Authorises the use of the Common Seal of Port Phillip City Council to be affixed to the Transfer of Land.



23

8.11 ST KILDA MARINA LEASE


Greg Spooner

• Stated he was only informed on Monday that this report was going to be tabled at the Council meeting tonight.

• Expressed deep disappointment with the process, as the founding tenant of St Kilda Marina, they have tried to have meaningful conversation with Council and have been unsuccessful.

• Explained that the family was awarded the tender as the sole submission, they have built all that is above ground, and managed the facility with no issues to Council.

• Feels it is unacceptable to be sidelined from the process and for Council to move straight to a public competitive process.

Purpose

To seek Council approval to run a competitive process to award a new lease for the St Kilda Marina at Marine Parade, Elwood following expiry of the current long term lease in 2019.


That Council:

1.1 Notes that the existing lease for Marine Parade, Elwood being the St Kilda Marina and surrounds, between Council and Australian Marinas (A’Asia) Pty Ltd expires 1 May 2019 and that the Council has had several parties including the current tenant express their interest in leasing the property after this date.

1.2 Approves that selection of a tenant for the long term lease of the St Kilda Marina at Marine Parade, Elwood will be undertaken through a competitive selection process.

1.3 Directs Officers to develop principles for the selection of a tenant for the St Kilda Marina at Marine Parade, Elwood for approval by Council that include optimising community benefit and providing an appropriate commercial outcome for the site.

1.4 Directs Officers to develop a leasing process for the site for approval by Council that includes extensive community engagement in the development of strategic objectives and leasing principles for the site.

1.5 Approves in principle the development of a short term lease, if required, to provide certainty to current operators at the site whilst a new lease is secured, with the rent for the short term lease to be based on market value.



24

8.13 OUTDOOR COMMERCIAL RECREATION EXPRESSION OF INTEREST 2016 - KITEBOARDING


David Streefkirk

• Read a statement on behalf of Chris Sal in support of Matt Jones and his kiteboarding operation.

Matt Jones

• Expressed disappointment that the report seems to be exactly the same as the previous report.

• Stated that while Councillors say they make “evidence based decisions”, expressed concerns that the new operator being granted a 1 year permit only just got a his licence and his business partner is not actually involved and the company seems to be simply a money-making venture.

• Reminded Council of the community benefits which Melbourne Kiteboarding has provided throughout the years of operation including lower rates for services which haven’t increased in eight years, safety record, experience, advocacy for the sport, developing guidelines for safety, involvement in the governing body, money donated to Sacred Heart, fundraiser for Queensland Flood Appeal, active member of the community, working to raising money for families who have lost children to SIDS, mental health issues and domestic violence issues.

• Urged Councillors to consider that this operation is his livelihood, not simply a business venture, and his presence on the beach has saved lives, even not in relation to kiteboarding.

• Explained that he wasn’t told why his application was being rejected, and after the last meeting he offered to help provide any additional information as required, but was never contacted.

Purpose

To present to Council the outcomes of the expression of interest (EOI) process for the awarding of kite boarding licences at West Beach, St Kilda in accordance with the Outdoor Commercial Recreational Activities Policy 2011.

MOVED Crs Stevens/Horvath

That Council:

1.1 Thanks all applicants for their submissions.

1.2 Approves the following existing licence applications:

Operator Activity Site History Length

Kite Republic Kite boarding West Beach St Kilda Existing Licensee Three years The Zu Board Sports Kite boarding West Beach St Kilda Existing Licensee Three years

GoKite Kite boarding West Beach St Kilda Existing Licensee Three years


25

1.3 Approval of the following new licence application:

1.4 Decline the following applications:


Cr Bond called for a DIVISION

For Against Cr Touzeau Cr Bond Cr Horvath Cr Thomann Cr Voss Cr Huxley Cr Stevens


Operator Activity Site History Length

Kitearmada Kite boarding West Beach St Kilda New Licensee One year

Operator Activity

Operator A Kite boarding

Operator B Kite boarding


26


To move the following 5 reports en bloc:

8.9 Palais Theatre Lease Transition

8.12 Lots 10, 11 and 12, 339 Williamstown Road, Port Melbourne

8.14 Contract 2013 Desktop Laptop Replacement Panel

8.15 Tender Evaluation Report - Tender No 2022 Gasworks Building Upgrade (Construction Services)

8.16 Audit & Risk Committee Charter Review 2016



27

8.9 PALAIS THEATRE LEASE TRANSITION

Purpose

To seek approval of the proposed process for implementation of key elements of the 30 year lease for the Palais Theatre recently awarded to Live Nation.


That Council:

1.1 Notes that on 24 May 2016 Council approved the granting of a 30 year lease for the Palais Theatre to Live Nation Australia Venues Pty Ltd and that the cumulative effect of Live Nation’s financial contribution to asset maintenance and renewal, redevelopment, rental and community benefits over the lease period is approximately $60M over 30 years.

1.2 Notes that the new lease contains a number of items to be actioned by Live Nation soon after the start of the lease and that Live Nation have indicated a willingness to bring forward some of those actions as a means of engaging the community during the lead up to the new lease beginning in April 2017, pending completion of works by Major Projects Victoria.

1.3 Approves the process for implementation of the items listed in the Palais Theatre lease between Live Nation and Council as detailed in Attachment 1, including development and approval of:

1.3.1 Fair Competition and Confidentially Policy 1.3.2 Community Advisory Committee Terms of Reference 1.3.3 Palais Theatre Community Fund structure 1.3.4 Palais Community Fund Committee Terms of Reference 1.3.5 Community Purpose Reservation Days allocation process 1.3.6 Asset Management Plan 1.3.7 Annual Reporting requirements.



28

8.12 LOTS 10, 11 AND 12, 339 WILLIAMSTOWN ROAD, PORT MELBOURNE

Purpose • Demolish the existing buildings. • Construct a mixed use, 14 level building containing commercial tenancies, 71 dwellings, and car,

motorcycle and bicycle parking in the Capital City Zone. • Construct and carry out works in the Capital City Zone. • Use the land for Accommodation in the Capital City Zone. • Exceed the maximum car parking rates of the Parking Overlay. • Waive the loading bay requirements associated with buildings and works for the sale of goods.

MOVED Crs Stevens/ Horvath

That Council:

14.1 Resolves that a letter be sent to the Department of Environment, Land, Water and Planning advising that the Council:

1. Does not support the proposal in its current form based on the matters set out in Sections 7 and 9 of report.

2. In the event that Minister determines to grant a permit for the application, any permit issued should incorporate the conditions set out in the Attachment to this report.

14.2 Notes and endorses the Statement of Grounds for the VCAT Application for Review as follows:

1. The east tower setbacks would be inconsistent with the preferred setback and built form massing of the Fishermans Bend Strategic Framework Plan Design Guidance and would present unreasonable building bulk and mass to the adjacent internal road and the J L Murphy Reserve public open space.

2. The west tower setbacks would be inconsistent with the preferred setback and built form massing of the Fishermans Bend Strategic Framework Plan Design Guidance and would present unreasonable building bulk and mass to the adjacent internal road and facing properties.

3. The south tower setback would be inconsistent with the preferred setback and built form massing of the Fishermans Bend Strategic Framework Plan Design Guidance and would reduce light access to the subject site and opposite property, contribute to increased noise resonance between properties and would be insufficient to prevent overlooking between properties.

4. The use of opaque glazing to 1700mm above finished floor level for all south facing windows at Levels 1 to 10 would deprive those windows of outlook and natural ventilation and is poor design and a consequence of inadequate side setbacks and overdevelopment of the site(s).


29

5. The tower would overshadow the adjacent J L Murphy public open space reserve.

6. The reduced setbacks of the tower are a consequence of overdevelopment of the site(s).

7. The design and width of the internal road network is inadequate to accommodate increased vehicular and pedestrian traffic generated by the proposal and future residential approvals on the parent lot.

8. The proposal does not provide necessary stores for dwellings and commercial tenancies.

9. The proposal would not provide sufficient or satisfactory bicycle parking in accordance with Objective 6.4 Guideline 1 of the Fishermans Bend Strategic Framework Plan Design Guidance.

10. The number of car parking spaces provided would be excessive and contrary to the Parking Overlay and Objective 6.5 Guideline 1 of the Fishermans Bend Strategic Framework Plan Design Guidance.

11. The proposed pedestrian path and awnings to the south side of the site(s) rely on and would occupy common property outside of the subject site / planning unit.

12. The car stacker entry / exit point would be too narrow and lacks satisfactory exit sightlines.

13. The car stacker does not provide for vehicles to turn on-site and enter and exit in a forward direction.

14. The proposal makes no provision for the queuing and management of vehicles waiting at ground level to use the car stacker; vehicles queuing for the car stacker would obstruct the internal road.

15. The proposal would not make satisfactory provision for loading for deliveries to and collections from the commercial tenancies, furniture removal and other servicing for the dwellings, and waste collection for all tenancies.

16. The omission of a loading bay for the commercial tenancies and the dwellings would be contrary to Clause 52.07 of the Planning Scheme and Objective 6.2 Guideline 3 of the Fishermans Bend Strategic Framework Plan Design Guidance.

17. The access roads abutting and near the subject sites are too narrow to satisfactorily provide for loading and collection for the proposal.

18. Loading from the abutting and nearby access roads would result in periodic obstruction or blocking of the internal road network.

19. The proposed waste bin collection location would obstruct the adjacent access way and access to the bicycle parking room.

20. The proposal lacks dedicated pedestrian facilities.

21. The podium western elevation would be dominated by building services, particularly at ground floor and the car park levels.


30

22. The architectural treatment, materials, finishes and colours of the western podium elevation glazing of the car stacker lacks detail and resolution.

23. The podium western elevation entry to the dwelling lobby lacks presence and a strong sense of address.

24. The proposal does not detail how landscaping of multiple private lots can be maintained.

25. The proposal would be an overdevelopment of the site and premature given the lack of a master plan for the redevelopment of the area.

26. The application is premature as it relies upon the consent of the Owners Corporation for buildings and works on Owners Corporation land.



31

8.14 CONTRACT 2013 DESKTOP LAPTOP REPLACEMENT PANEL

Purpose

To present the report of the Tender Evaluation Panel for Tender 2013 Desktop and Laptop Replacement Panel and to recommend awarding of the panel contracts to Blue Connections Unit Trust and CommsTech Australia Pty Ltd.


That Council:

1.1 Awards Contract No 2013 to provide Desktop and Laptop Replacement Panel for a four year period commencing on 1 October 2016 to Blue Connections Unit Trust and CommsTech Australia Pty Ltd.

1.2 Notes that the contract sum is based on a schedule of rates and has a projected value of $1,000,000 exclusive of GST over the four year period.

1.3 Affixes the Common Seal of the Port Phillip City Council to Contract No. 2013 between Council and Blue Connections Unit Trust and CommsTech Australia Pty Ltd.



32

8.15 TENDER EVALUATION REPORT - TENDER NO 2022 GASWORKS BUILDING UPGRADE (CONSTRUCTION SERVICES)

Purpose

To seek Council’s approval to award the contract for construction services of the Gasworks Building Upgrade.


That Council:

1.1 Awards Contract 2022 to McCorkell Constructions Pty Ltd for the construction services of the Gasworks Building Upgrade.

1.2 Notes that the contract value is based upon a lump sum price of $1,609,900 excluding GST. The proposed contract commencement date is 17 October 2016.

1.3 Affixes the Common Seal of the Port Phillip City Council to Contract 2022 between Council and McCorkell Constructions Pty Ltd.



33

8.16 AUDIT & RISK COMMITTEE CHARTER REVIEW 2016

Purpose

The purpose of this report is to present to Council the revised Audit & Risk Committee Charter for adoption, following endorsement by the Audit and Risk Committee.


That Council:

1.1 Adopts the revised Audit & Risk Committee Charter (Attachment 1) for immediate implementation.



34

Cr Horvath declared an indirect conflict of interest by close association and vacated the chamber at 11:30pm. 8.10 PROPOSED LEASE - ROYAL MELBOURNE YACHT SQUADRON

Purpose

To seek Council’s approval to commence the statutory procedures to establish a new lease with the Royal Melbourne Yacht Squadron for premises at 2 Jacka Boulevard, St Kilda.

MOVED Crs Thomann/Stevens

That Council:

1.1 Resolves that the statutory procedures be commenced under Section 190 of the Local Government Act 1989 (‘the Act’) for a new lease with Royal Melbourne Yacht Squadron by publishing a notice in the local newspaper inviting interested persons to make a submission under Section 223 of the Act for the proposed lease of the premises at 2 Jacka Boulevard, St Kilda, on the following key terms:

1.1.1 Proposed Tenant: Royal Melbourne Yacht Squadron

1.1.2 Demised Premises: 2 Jacka Boulevard St Kilda

1.1.3 Permitted Use: Sail club and associated activities

1.1.4 Commencement Date: 1 March 2017

1.1.5 Term: 21 Years

1.1.6 Rent: $40K per annum plus GST at commencement representing a commercial valuation of ground rent

1.1.7 Capital investment: $1.146M within the first 5 years

1.1.8 Maintenance All maintenance and asset renewal to be undertaken by the tenant

A vote was taken and the MOTION was CARRIED. Cr Horvath returned to the chamber at 11:31pm.


35

8.17 ESPLANADE MARKET STRATEGIC PLAN 2016 - 2020

Purpose

To present the draft St Kilda Esplanade Market Strategic Plan 2016 – 2020 for Council’s consideration.

MOVED Crs Bond/Thomann

That Council:

1.1 Adopts the St Kilda Esplanade Market Strategic Plan 2016 - 2020.

1.2 Adopts the following new charges being :

1.2.1 a one-off administrative charge for new stallholders of $30.

1.2.2 a late payment fee of $30 for permanent booking invoices when unpaid for more than 30 days.

1.2.3 a late payment fee of $10 for casual booking invoices when unpaid for one week prior to trade.



36

9. NOTICES OF MOTION

Item 9.1

MOVED Crs Touzeau/Huxley

That Council:

1. Writes to the Premier of Victoria to congratulate the State Government on the announcement of its intention to permanently ban the exploration and development of all onshore unconventional gas in Victoria, including hydraulic fracturing (‘fracking’) and coal seam gas. This matter will go before parliament at a later date.


Item 9.2


Daniel Ischia

• Indicated that a petition is underway and 295 signatories to that petition show that this development at 8-12 Punt Road is strongly opposed.

• Pointed out conflicting information in the VCAT decision regarding pedestrian use of Wellington Street; resident concerns over increased vehicle activity, particularly of delivery vehicles and illegal turning and breaking of the kerb; as well as wind effects on the street due to the development including the misidentified terrain category; and cars travelling on Dandenong Road will not be slowing down.

Cr Thomann advised the meeting that he will withdraw his Notice of Motion as the legal advice indicates leave to appeal is unlikely to be granted, and that if granted, a successful appeal is improbable.


37

Item 9.3

MOVED Crs Bond/Thomann

That Council:

1. Seeks leave to appeal and appeal the VCAT decision to approve a 26 storey development at 8-12 Punt Road and 3&7 Wellington Street St Kilda to the Supreme Court of Victoria.

Cr Horvath foreshadowed a MOTION if the above motion was LOST.

A vote was taken and the MOTION was LOST.

Cr Bond called for a DIVISION

For Against Cr Bond Cr Touzeau Cr Thomann Cr Horvath Cr Voss Cr Huxley Cr Stevens

A vote was taken and the MOTION was LOST.


That Council:

1. Authorises the CEO to release the legal advice received by Council only after the period of appeals has lapsed and subject to there being no appeals lodged by any other party.



38

10. REPORTS BY COUNCILLOR DELEGATES

Nil.

11. URGENT BUSINESS

Nil.

12. CONFIDENTIAL MATTERS


That in accordance with Section 77(2)(a) of the Local Government Act 1989 (as amended), the meeting be closed to members of the public in order to deal with the following matters, that are considered to be confidential in accordance with Section 89(2) of the Act, for the reasons indicated:

12.1 Department of Education and Training Tender The information in this report is considered to be confidential in accordance with the Local Government Act 1989 (as amended), as it relates to:

89(2)(d). Contractual matters.

12.2 City of Port Phillip Pride Centre Opportunity The information in this report is considered to be confidential in accordance with the Local Government Act 1989 (as amended), as it relates to:

89(2)(d). Contractual matters 89(2)(e). Proposed developments.


The meeting was closed to the public and the Chamber vacated at 12:13am


39

The meeting was reopened to the public at 12:27am.

As there was no further business the meeting closed at 12:27am.

Confirmed: 4 October 2016

Chairperson ________________________________________