Council Minutes - Section B: Reports - 12 February 2019
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Contents | Previous Page: Section A - Procedural Matters | Next Page: Section C – Urgent Business
Reports tabled at the Community Focus Council Meeting of Council on Tuesday 12 February 2019, held at the Potato Shed, 41 Peninsula Drive, Drysdale.
Source: |
Planning and Development – Strategic Implementation |
Director: |
Gareth Smith |
Portfolio: |
Sustainable Development |
To consider the Panel Report about Amendment C375 and adopt the Amendment.
A review of the 2010 Barwon Heads Structure Plan led to the adoption of an updated version in August 2017. Council, acting as the Planning Authority, then initiated Amendment C375 to implement the Structure Plan into the Greater Geelong Planning Scheme. Attachment 2 provides a background summary of the structure planning and amendment process, including consideration of the Panel Report.
Exhibition of the Amendment in February and March 2018 resulted in a total of 942 written submissions. Most submissions related to the Barwon Heads settlement boundary and proposed new residential zones and development overlays.
The submissions were considered at the 26 June 2018 Council Meeting where it was resolved to refer all the submissions to an Independent Panel appointed by the Minister for Planning.
Following a seven day hearing held in Geelong in late August 2018, the Panel’s report was sent to Council officers dated 31 October 2018. Under Section 27 of the Planning and Environment Act the Planning Authority must consider the Panel’s report before deciding whether or not to adopt the Amendment.
The Independent Panel recommends Amendment C375 be adopted as exhibited subject to some minor drafting changes to the planning controls. The Panel supported the Amendment’s retention of the existing settlement boundary location.
Whilst the Panel’s recommendations are supported, this report at Attachment 6 provides justification where officers prefer alternative wording to the proposed planning scheme controls.
It is recommended that Amendment C375 be adopted and sent to the Minister for Planning requesting approval.
Councillor Sullivan moved, Councillor Mason seconded -
That the report be deferred.
Carried.
Source: |
Investment & Attraction |
Director: |
Brett Luxford |
Portfolio: |
Social and Infrastructure Planning |
To identify the open space required to support Central Geelong, including investment in public open space that supports growth and regeneration outcomes.
In 2013, Council endorsed the Central Geelong Action Plan, a 15 year plan to increase the number of people living, working, studying and visiting Central Geelong. The plan sets a target of at least 10,000 people living in Central Geelong by 2028.
The ‘Inhabiting the City’ initiative from the Revitalising Central Geelong Action Plan and the objective of the Central Geelong Public Open Space Network Report (refer to Attachment 2), is to:
Review the network of public open spaces in Central Geelong and the quality of connections between those spaces; and
Identify opportunities to improve the amenity of key public open spaces and the associated connections between these.
The report identifies a range of public and private opportunities to provide new open space and experiences that, by further exploring these opportunities, demonstrate Geelong as a vibrant, liveable and creative city.
The Central Geelong Public Open Space Network Report will inform the review of the Greater Geelong Open Space Strategy, and once adopted by Council, will set the strategic direction and guide decision making, prioritising and investing in the current and future open space network.
Private open space which is not generally open to the public (for example: residential private gardens) is not within the scope of this report however open space within church, private education and medical institutions and private developments are fully considered if it was thought possible that common goals could be achieved, development conditions put in place and partnerships developed.
Councillor Aitken moved, Councillor Kontelj seconded -
That:
Council note the Central Geelong Public Open Space Network Report as being received;
The Central Geelong Public Open Space Network Report is referred to the Geelong Public Open Space Strategy for consideration, and;
Council does not support the report’s recommendation that Little Malop Street Plaza Open Space, “The Mall” is a low priority. Council identifies “The Mall” as a high priority.
Carried.
There are no financial implications arising from the subject of this report.
Report identifies a range of strategic levers for the renewal of existing open space and funding mechanisms for strategic development of future open space by both the private and public sectors.
The development of the report forms part of the Revitalising Central Geelong Partnership budget at a cost of approximately $76,000.
The City of Greater Geelong Open Space Strategy is currently in development, and through the City of Greater Geelong Social Infrastructure Plan, will include extensive community engagement. It aims to take a fresh look at all the public open space across the municipality.
This Central Geelong Public Open Space Network Report will inform the broader strategy, providing the issues, gaps and opportunities for the Central Geelong area.
The community’s views were sought through a survey undertaken from 27 March to 7 April 2017. 269 survey responses on a range of open space and community infrastructure questions, have informed the context and recommendations of the draft Central Geelong Open Space Network Report.
The draft report was reviewed through targeted stakeholder engagement and interviews.
Overall the respondents indicated that they would like to see a Central Geelong that is greener and cleaner and has a network of parks and community spaces that are flexible, multi-purpose, vibrant, safe, creative and full of artistic expression. Places that are easy to relax and socialise in but also to be active in as well. They love to dine outside.
They envision places to run dogs off lead, more events to go to, less cars and safer and more comfortable places for walking and cycling. They would like more places to sit down in the public realm and places for children and young people to play.
The planning and provision of open space focuses on the amount of open space that is available, the activities that can be undertaken and the overall accessibility level of the network.
Inequitable provision and distribution of spaces, places and activity provision within the City for example: limited access to quality public open space (PPRZ) and active sport and recreation spaces have been considered as part of the Network Report.
There are no policy/legal/statutory implications arising from the subject of this report.
The Council Plan includes a number of key priorities related to public open spaces:
Informed Social Infrastructure and Planning – Provide more quality spaces that support active lifestyles and maintaining our public open space; and
Improved Health and Safety of our Community – Provide safer public spaces and promoting healthy eating and supporting active living.
The Revitalising Central Geelong Action Plan (based on Vision 2 and Council's Central Geelong Action Plan) is to increase the number of people living in the city, making it a safer, more vibrant and mixed use area. The Action Plan sets out the 10 year plan to drive change in Central Geelong, designed to encourage:
people living and working in the city;
permanent and construction job creation;
demand for retail and services;
creativity and vibrancy across the city;
new development opportunities;
private sector confidence to invest.
No Council officers or consultants who have provided advice in relation to this report have declared a conflict of interest regarding the matter under consideration.
There are no high or extreme risks arising from the subject of this report.
There is a risk that the targeted Central Geelong population will not be achieved in the absence of a strategic direction for the open space network.
There are no environmental implications arising from the subject of this report.
The key elements of the open space network in Central Geelong are the major parklands along the waterfront, the historic Johnstone Park; small parks and plazas at the neighbourhood level; wide footpaths and intimate laneways.
The implementation of the report will contribute to recognising, protecting and enhancing the environmental values of Central Geelong’s public open space, as well as mitigating the urban heat island effect. The report advocates for the inclusion of green walls and roof tops in developments as a positive contribution to the city’s ecological health.
Source: |
Community Life |
Acting Director: |
Robyn Stevens |
Portfolio: |
An Inclusive and Diverse Community |
To present the Ba-Gurrk Gender Equity Framework to Council for endorsement.
Gender equity is the process of being fair to women and men in providing fair and just access in the distribution of opportunities and responsibilities to enable equal outcomes.
Achieving gender equity has emerged as a community priority as awareness of the contribution gender equality makes to achieving a civil, safe and healthy society has increased. International evidence demonstrates that countries with higher levels of gender equity have lower levels of violence against women and children.
Gender equity recognises that women and men have different life experiences, levels of power and access to decision-making, therefore different approaches are needed to provide equitable outcomes for all.
To ensure fairness, strategies and measures must often be available to compensate for women’s historical and social disadvantages that prevent women and men from otherwise operating on a ‘level playing field’.
The development of the Ba-Gurrk Gender Equity Framework (framework)
(Attachment 2) builds on the work and recommendations of the Women in Community Life Advisory Committee and the City of Greater Geelong's Family Violence Action Group. The Framework will guide the City’s community-based activities and responses, as well as the City’s internal policies and procedures.
The framework is based on consultation with community members, government and non-government organisations along with Council staff.
The draft plan was endorsed by Council at 10 July 2018 meeting. As a result, public feedback was sought between 12 July 2018 and 13 August 2018. The final document has been advised and updated based on the feedback received. Additionally, the framework has considered the “Best Practice Guide for Gender Equality in Local Government” and the proposed priorities of the Gender Equality Bill to be presented to the Victorian Parliament in March 2019.
The framework identifies principles and key themes that focus on community, leadership and organisational policies and procedures.
The framework provides the context from which an action plan will be developed.
The action plan will incorporate the requirement for all policies, plans, services and programs with an organisational-wide and community-wide impact to commit to gender equity principles to achieve a fair and inclusive community.
Councillor Mansfield moved, Councillor Aitken seconded -
That Council endorse the Ba-Gurrk Gender Equity Framework at Attachment 2 of this report.
Carried.
The framework will be delivered within existing budget and resources. Grant applications will be submitted when funding opportunities arise.
The draft framework was available for community feedback via the Have Your Say web page from 12 July 2018 to 13 August 2018. Comments were also provided by Women in Community Life Advisory Committee members at their regular meetings in October and December 2018.
The framework will contribute to addressing all the adopted Social Equity principles. The focus on addressing inequality, inequity and social exclusion for women is key to achieving social equity in Geelong.
The framework’s contribution to addressing family violence is a requirement of the Municipal Public Health and Wellbeing Plan 2018-21. Additionally, the Victorian Government Gender Equality Strategy 2016 identifies a strategic outcome of 50:50 by 2025 for women in elected positions. Actions directly aimed at achieving gender equity are within the remit of the Human Rights Charter. In March 2019, it is anticipated the Victorian Government will present the Gender Equality Bill to Parliament. The Bill proposes new obligations on the Victorian public sector, including local government, to plan and report on gender equality.
The achievement of gender equality within the City will positively contribute to and underpin all ten of the Council Plan strategic priorities. In particular improved health and safety of our community; informed social infrastructure and planning; a more inclusive and diverse community; vibrant arts and culture; a thriving and sustainable economy; and organisational leadership, strategy and governance. A City focussed on gender equity positively supports and complements all aspects of the Clever and Creative Future vision, in particular the achievement of an inclusive, diverse, healthy and socially-connected community; a community where people feel safe; and a prosperous economy that supports jobs and education opportunities. An internal working group will be established to develop the action plan and monitor its progress.
No conflict of interest was identified in the development of this report.
There is an increased risk to Council’s reputation by not actively addressing gender equity.
There are no environmental implications arising from the subject of this report.
Source: |
Community Life – Healthy Communities |
Acting Director: |
Robyn Stevens |
Portfolio: |
Community Health and Safety |
To present a Joint Statement Response to federal government changes to asylum seeker Status Resolution Support Services and seek endorsement to become a signatory to the statement.
Since 1993, the Australian Government has financially supported individuals waiting for their asylum claims to be considered. The program, called the Status Resolution Support Service (SRSS), provides a basic living allowance (approximately $35 a day), casework support and specific counselling access. In 2017, the Department of Home Affairs cut funding for the program and changed the eligibility criteria. In July 2018, the City of Greater Dandenong invited Victorian Councils to a Mayoral roundtable, and presented for discussion a joint statement in response to the SRSS changes. The Joint Statement Response (Attachment 2) advocates for the Australian Government to reverse the changes and provide funding and support to individuals seeking asylum. To date, 22 Victorian Councils have become signatories to the Joint Statement Response.
Many asylum seekers rely solely on the SRSS as a means of support while awaiting a decision on their claim.
These changes will negatively impact on asylum seekers’ health and wellbeing, contributing to housing and food insecurity, as well as affecting the educational, social, mental and physical health outcomes for individuals. This will in turn exacerbate the challenges faced seeking employment.
People seeking asylum are requesting emergency assistance in increasing volumes from local not for profit agencies, charities and churches. The federal government’s changes will add increased pressure on already stretched services.
The City is not a service provider in this area, but works with and supports agencies funded to undertake this work, such as Diversitat.
The Local Government Mayoral Taskforce Supporting People Seeking Asylum has three levels of membership. These are Executive Members, General Members and Observer status members.
While recognising the significant impact on Geelong residents seeking asylum, the City of Greater Geelong is home to a relatively small number (1.5 per cent) of the Victorian population. As a result, the recommendation is that Council endorse the Joint Statement and join as an Observer member, as this is felt to be the appropriate level of advocacy for the City.
Councillor Mansfield moved, Councillor Mason seconded -
That Council endorse the Joint Statement and become a signatory to the collaborative response initiated by the City of Greater Dandenong and remain as Observer status.
Carried.
Since the initial release of the Joint Statement Response, a Local Government Mayoral Taskforce Supporting People Seeking Asylum has been developed by the same group, as a national coalition of concerned Councils to advocate against federal government changes to income support for people seeking asylum.
Membership of the Taskforce is not linked to a financial contribution, however both the Executive and General Membership categories include a membership fee and commitment of officer time.
As an Observer member, there are no financial implications.
There is no community engagement required to action this report.
There are currently over 100 individuals in the City of Greater Geelong waiting on a decision on their application for asylum. It is estimated the majority of these residents will be significantly affected by the changes to SRSS funding, and will face even greater challenges to daily life. Loss of income and individual case management support will intensify the sense of uncertainty in Australia, leading to social and perhaps psychological health implications. Furthermore, language and cultural barriers will be negatively affected, while health issues from any effects of torture and trauma may become exacerbated. These complex detriments, coupled with potential homelessness and mental health risks, will erode the social cohesion Council has committed to in various strategic plans and initiatives.
There are no direct impacts to policy, legal or statutory requirements associated with this report.
Australia has obligations under the International Covenant on Economic, Social and Cultural Rights to protect the economic, social and cultural rights of people in Australia. This includes; the right to social security (Article 9), the right to an adequate standard of living (Article 11) and the right to physical and mental health (Article 12).
Should Council endorse the Joint Statement Response, officers will notify the City of Greater Dandenong and the City of Greater Geelong will be added to the Statement signatory list in any public statements and be added to the mailing list for updates on advocacy for SRSS funding.
The report aligns to two key priorities of the Council Plan 2012-2022; Focus 1, Improved health and safety of our community, and Focus 3, A more inclusive and diverse community. A collaborative effort, by various Councils advocating to reverse the funding cuts, sends a strong message of leadership on the health, equality and respect of all of our community members. Council’s support for this initiative highlights a commitment to addressing home and food insecurity issues, improving the health and well-being of communities, and supporting equality for all Geelong residents.
This initiative supports our creative vision to be an inclusive, diverse, healthy and socially connected community. This initiative will also shape how the City develops its framework to support social and charitable groups (Focus 3 aim for 2018-2019).
This report aligns to the Municipal Public Health and Wellbeing Plan 2018-2021, specifically goals to support social connection and improve access to safe and healthy environments, services and food. Moreover, this report aligns to Council’s Access and Inclusion Plan 2018-2022, in particular our commitment to upholding human rights.
There are no conflicts of interest to note.
The reduction of funding and support to people seeking asylum has the potential to impact on the local community, including the City, as people seek alternate material aid and personal support.
Committing to Observer status rather than the Executive or General Membership category poses no risk to Council. Council will continue to receive all notifications and updates regarding the status of the joint statement and associated actions.
There are no environmental implications to note.
Source: |
Finance & Strategy – Strategy & Program Delivery |
Director: |
Michael Dugina |
Portfolio: |
Strategy and Communications |
To present the Council Plan Quarterly Report – December 2018 for consideration and endorsement by Council.
Council adopted the 2018–22 Council Plan at the Council Meeting on 26 June 2018. The Council Plan identified the objective and priorities of Council. This quarterly report tracks the progress against Council Plan’s 11 strategic priorities and the one year aims.
There are 84 key priorities and 56 aims. At the end of December 2018, the majority of these were on track year to date with:
Four ‘completed’:
Renew the Multicultural Action Plan, which is part of our key priority to improve our engagement with our culturally diverse population;
Renew the Municipal Early Years Plan, which is part of our priority to further develop programs that support older people and young people in our community;
Continue to invest in the community Environment and Sustainability grants program, which is part of our priority to further develop programs that support older people and young people in our community;
Constructing a green organics facility, which is a key priority.
Two ‘not started’.
Five ‘needs improvement’.
One ‘off track’.
Councillor Mason moved, Councillor Sullivan seconded -
That Council endorses the Council Plan Quarterly Report – December 2018, which will be made available to the community on the Council website.
Carried.
Actions outlined in the Council Plan are delivered through the 2018/19 budget.
The Council Plan Quarterly Report has been prepared in consultation with Managers, Coordinators and Officers from across the organisation. The report will be made available to the community online through Council’s website (www.geelongaustralia.com.au/documents) after the Community Focus Council Meeting, four times a year.
The Council Plan Quarterly Report documents the work Council is undertaking in relation to improving access and inclusion for all.
The City’s activities are guided by its Council Plan 2018–22, which was adopted in accordance with the Local Government Act 1989. The implementation of the Council Plan is monitored via the quarterly report.
The Quarterly Council Plan Report has been developed to meet our commitment to transparently report, including progress on Council Plan key priorities and aims.
There have been no direct or indirect interests declared.
There are no identified risks arising from this report.
There are no identified environmental implications arising from this report.
Source: |
Finance & Strategy – Financial Services |
Director: |
Michael Dugina |
Portfolio: |
Finance |
To present to Council the Financial Performance information to 31 December 2018.
On 26 June 2018 the Final Budget was adopted with a recurrent deficit of ($8.0 million) and higher opening cash balance of $81.6 million. This recognised the early receipt in 2017-2018 of expected 2018-2019 Commonwealth Government Grants Commission funding (50% of allocation). On 28 August 2018 Council approved the carryover of capital and non-capital project funding into 2018-2019.
This change known as 2018-2019 projection was in response to funding allocated in 2017-2018 for projects not completed, resulting in higher than expected opening cash balance of $102.6 million. The 2018-2019 recurrent projection is an operating deficit of ($17.3 million) and non-recurrent surplus of $78.8 million.The 2018-2019 full year projected net result is a surplus of $61.5 million.
The financial statements and commentary is for the period July – December 2018, which compares the budget projection with actual revenue and expense.
The key issues are noted below:
The recurrent operating result for the six month period is a surplus of $3.2 million. The projected position was a deficit of ($7.9 million) so our result represents a better than anticipated outcome of $11.1 million. It is expected however that in the full year this surplus will reduce to our projected position of ($17.3 million) deficit with perhaps a small favourable saving of $0.7 million. A summary of the half year variances are provided in Attachment 2 of this report.
Capital expenditure year to date is $53.9 million against a projection of $58.2 million. It is anticipated that there will be a carryover figure of $26.5 million (as budgeted) for works not completed by the end of the financial year. This figure will be reviewed during the third quarter of 2018-2019. A summary of capital expenditure variances is provided on Attachment 2 of this report.
The cash and investment balance of $54.0 million is $13.1 million higher than expected at this stage of the year mainly due to unbudgeted land sales and capital spend behind schedule. A summary of the cash and investments is provided on Attachment 2 of this report.
The non-recurrent result (for example: gifted assets from development, sale of properties, developer cash contributions to infrastructure etc.) for the half year period was a surplus of $54.5 million. This was $21.7 million favourable to the anticipated position. At the end of the year it is expected that the positon will be $6.2 million better than anticipated. A summary of the non-recurrent variances is provided on Attachment 2 of this report.
There were no environmental upgrade agreements entered into for the quarter. The existing agreement is valued at $115,000.
Councillor Murnane moved, Councillor Sullivan seconded -
That Council endorse the Financial Report to 31 December 2018.
Carried.
Any financial implication is addressed within the body of the report.
Project managers have been consulted and provided the latest project updates which have been factored into this report.
There are no social equity implications arising from the subject of this report.
The report is provided in accordance with requirements under the Local Government Act 1989.
This report is aligned to the Council Plan Strategic Objective ‘Organisational Leadership, Strategy and Governance’.
No Council officers or contractors who have provided advice in relation to this report have declared a conflict of interest regarding the matter under consideration.
There are no high or extreme risks arising from the subject of this report.
There are no environmental implications arising from the subject of this report.
The 2018-2019 full year projected net result is a surplus of $61.5 million.
Refer following Table:
|
|
Expenditure |
Income |
Surplus/(Deficit) |
Opening Cash Balance |
Council Draft 2018-2019 Budget - Recurrent Surplus/(Deficit) |
354,553 |
356,831 |
2,278 |
$63.7 million |
Grants Commission 2018-2019 - 50% received in 2017-2018 |
|
(10,271) |
(10,271) |
|
Council adopted 2018-2019 Budget - Recurrent Surplus/(Deficit) |
354,553 |
346,560 |
(7,993) |
$81.6 million |
2017-2018 Non Capital Carryover Requests |
9,360 |
79 |
(9,281) |
|
2018-2019 Recurrent Projection |
363,913 |
346,639 |
(17,274) |
$102.6 million |
Non Recurrent Surplus/(Deficit) |
6,190 |
84,989 |
78,799 |
|
Net Result Surplus/(Deficit) |
370,103 |
431,628 |
61,525 |
|
The December management reports are provided in the following table to report year-to-date performance and full-year forecast performance versus projection.
|
Summary |
||||||
|
YTD Actual |
YTD Projection |
YTD Var
Fav/(UnFav) |
FY Projection |
FY Forecast |
FY Var |
Recurrent Surplus/(Deficit) |
3.19 |
(7.92) |
11.11 |
(17.27) |
(16.55) |
0.72 |
Non-Recurrent Surplus/(Deficit) |
54.47 |
32.76 |
21.71 |
78.80 |
85.09 |
6.29 |
Net Surplus/(Deficit) |
57.66 |
24.84 |
32.82 |
61.53 |
68.54 |
7.01 |
Capital Expenditure |
53.92 |
58.23 |
4.31 |
127.22 |
128.48 |
(1.26) |
Closing Net Cash |
53.98 |
40.93 |
13.05 |
87.67 |
|
|
|
Recurrent Variance Commentary |
||||||
|
YTD Actual |
YTD Projection |
YTD Var
Fav/(UnFav) |
FY Projection |
FY Forecast |
FY Var |
Recurrent Income |
180.31 |
175.04 |
5.27 |
346.64 |
347.89 |
1.25 |
Recurrent Expenditure |
177.12 |
182.96 |
5.84 |
363.91 |
364.45 |
(0.54) |
Recurrent Surplus/(Deficit) |
3.19 |
(7.92) |
11.11 |
(17.27) |
(16.55) |
0.72 |
YTD Variance - $11.11 million Favourable |
||||||
The following major variances contributed to this result:
Recurrent Income
|
Actual YTD |
Variance |
General Rates and Charges – Favourable rates generation and supplementary rates YTD, expected to be partly offset by objections in full year. |
114.95 |
1.05 |
Government Grants Main favourable variances consist of:
Offset by:
|
22.74 |
0.71 |
User Charges Main favourable variances consist of:
Offset by:
|
29.55 |
1.59 |
Other Fees & Charges Favourable mainly due to:
|
8.23 |
1.48 |
Sundry Income
|
3.91 |
0.50 |
Interest on Investments |
0.89 |
(0.06) |
Recurrent Income Sub-total |
$180.31 |
$5.27 |
Recurrent Expenditure
|
Actual YTD |
Variance |
Employee related expenditure – Favourable salary related costs $4,181,000 mainly relating to unfilled vacancies. Offset by unfavourable supplementary labour costs ($3,819,000) (see external services). |
72.09 |
4.22 |
General Works: Materials $497,000 favourable with the main variances being Road making materials $832,000 and cleaning $104,000 (both phasing only), offset by consumable materials ($447,000) unfavourable (Home Care Packages). Plant / Equip / Vehicle Costs $426,000 favourable with the main variances being External plant & equipment hire $241,000 and Minor Plant & Equipment $108,000 (both phasing only). External Services is ($1,195,000) unfavourable mainly due to:
Offset by:
|
59.38 |
(0.27) |
Administration costs ($234,000) unfavourable mainly due to:
|
6.76 |
(0.23) |
Professional Services costs $427,000 favourable mainly due to:
|
3.17 |
0.43 |
Utility costs are $895,000 favourable mainly due to electricity $648k, communications $140,000 and gas $117,000 (phasing and timing of invoices). |
5.06 |
0.89 |
Depreciation costs $630,000 favourable (timing of capitalisations). |
30.82 |
0.63 |
(Gain)/Loss on Sale of Plant and Equipment $168,000 favourable. |
(0.16) |
0.17 |
Recurrent Expenditure Sub-total |
$117.12 |
$5.84 |
Full Year Forecast
The 2018-2019 full year recurrent forecast has improved by $0.72 million including:
Subdivision design & supervision fees $400,000
Planning & Building permit income $330,000
VicRoads School Grant – higher than budget $304,000
Transfer to Capital for Irrigation Upgrades $156,000
Council Election Fines – unbudgeted $110,000 fav
Grants Commission reduction ($260,000)
Leopold Library Book Collection – transfer from Capital ($186,000)
Rippleside catchment flood study – unbudgeted ($150,000)
|
Non Recurrent Variance Commentary |
||||||
|
YTD Actual |
YTD Projection |
YTD Var
Fav/(UnFav) |
FY Projection |
FY Forecast |
FY Var |
Non-Recurrent Surplus/(Deficit) |
54.47 |
32.76 |
21.71 |
78.80 |
85.09 |
6.29 |
|
YTD Variance – $21.71 million favourable |
||||||
The following variances contributed to this result:
|
Actual YTD |
Variance |
Subdivision gifted assets $19.94 million favourable |
42.44 |
19.94 |
Capital grants & income ($1.03 million) unfavourable |
10.04 |
(1.03) |
Developer contributions $1.03 million favourable |
3.31 |
1.02 |
Gain/(Loss) on sale of property ($0.07 million) unfavourable |
(0.07) |
(0.07) |
Loss on disposal of infrastructure $2.11 million favourable |
(0.99) |
2.11 |
Prior Year Adjustments ($0.26 million) unfavourable |
(0.26) |
(0.26) |
|
$54.47 |
$21.71 |
Full Year Forecast
The 2018-2019 full year non recurrent forecast has improved by $6.29m including:
Capital income $4,178,000 favourable – Community Sports Infrastructure Fund unbudgeted grants: St Mary’s Social Room Extension $1,165,000, Ocean Grove Tennis Club $860,000 and South Barwon FNC Netball Change-rooms $500,000. Also Vic Roads blackspot program funding increased from budgeted $500,000 to $2,166,000.
Gain on Sale of Property $1,880,000 favourable – mainly relating to unbudgeted sales of 702 Grubb Road, Drysdale and the Geelong Ring Road Employment Precinct.
The full year net operating forecast is $68.5 million, an increase of $7.0 million.
|
Annual Projection |
Annual Forecast |
Movement |
|
Recurrent Income |
346,639 |
347,893 |
1,254 |
|
Recurrent Expenses |
363,913 |
364,449 |
(536) |
|
Recurrent Surplus/(Deficit) |
(17,274) |
(16,556) |
718 |
|
Non Recurrent Surplus/(Deficit) |
78,799 |
85,092 |
6,293 |
|
Net Surplus/(Deficit) |
61,525 |
68,536 |
7,011 |
Capital Expenditure Variance Commentary |
||||||
|
YTD Actual |
YTD Projection |
YTD Var |
FY Projection |
FY Forecast |
FY Var |
Capital Expenditure |
53.92 |
58.23 |
4.12 |
127.22 |
128.48 |
(1.26) |
|
YTD Variance – $4.12 million favourable |
||||||
The capital program is $4.12 million underspent, with the major project variances as follows:
|
$ million |
• Fleet Replacement |
2.22 |
• Building renewal works |
0.87 |
• Rosewall Community Hub |
0.72 |
• Beach house landlord works |
0.50 |
• Leopold Community Hub Stage 2 |
0.42 |
• Drysdale Integrated Children’s & Family Centre |
0.41 |
• Osborne House Remedial Works |
0.40 |
• ACEP – NAC community complex |
(1.63) |
• Other |
0.21 |
|
$ 4.12 million |
Forecast changes to capital projects at 31 December 2018, recommended by the Capital Works Project Group and approved by the CEO.
Project ID |
Name |
Transfer Amount |
From |
Date CWPG Recommended |
C19404 |
Lara Soccer Pavilion |
$165,000 |
Fund from $250,000 savings on Flinders Peak (C16807) |
28/08/2018 |
C19424 |
Griggs Creek |
$100,000 |
To take from overall capital program savings |
28/08/2018 |
C15812 |
Western Beach Park |
$120,000 |
Transfer from saving on C18422 Eastern Beach footpath |
25/09/2018 |
C13857 |
Corio Landfill Rehabilitation |
$100,000 |
Savings as per CPWG |
14/11/2018 |
C15841 |
Leopold Community Hub Stage 2 |
$540,000 |
Savings as per CPWG |
4/11/2018 |
C17201 |
Drysdale Landfill Cell 5 |
$650,000 |
Savings as per CPWG |
14/11/2018 |
C68051 |
ACEP NAC Community Complex |
$700,000 |
Savings as per CPWG |
14/11/2018 |
C68204 |
DCP- Barwon Heads Rd to Harriot Rd land Acquisition |
$1,684,661 |
Savings as per CPWG (Harriot Rd Drainage Project funded in 2019-2020 at $1.25 million |
14/11/2018 |
C19201 |
Waterworld Canopy |
$240,000 |
Savings as per CPWG |
14/11/2018 |
Carryover of expenditure to 2019-20 on incomplete projects as at 30 June 2019 is projected to be as budgeted $26.5 million and this will be further reviewed and updated for the March quarter report.
The graph below summarises total capital gross expenditure to date compared to budget and projection.
Environmental Upgrade Agreements
An environmental upgrade agreement was entered into for Lot 2 on Plan Subdivision 041455, Volume 08704 Folio 526.
Council only has one environmental upgrade agreement in place.
The total charge for this agreement is $115,000 and all payments that have fallen due have been remitted.
The total value of payments that are yet to fall due is $98,000.
|
Cash and Investments |
||||||
|
YTD Actual |
YTD Projection |
YTD Var |
FY Projection |
FY Forecast |
FY Var |
Closing Net Cash |
53.98 |
40.93 |
13.05 |
87.67 |
|
|
YTD Variance – $13.05 million favourable |
||||||
The month end cash and investments balance was $53.98m. This was ($13.05 million) favourable, mainly due to unbudgeted land sales and capital spend behind schedule.
Council has future commitments for $35.3m, which are fully cashed back:
Long Service Leave |
22.1 million |
Statutory Reserves |
$3.6 million |
Refundable Deposits |
$5.4 million |
Income in Advance |
$3.7 million |
Asset Development |
$0.5 million |
Total |
$35.3 million |
The Landfill Provision balance is currently $13.0 million.
Working capital funds are invested in short term deposits and investment returns are as follows.
Investment returns are currently $60,000 below budget and $81,000 down compared to the same time last year.
Financial Performance Indicators
As at 31 December 2018
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