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00:00:00 Councillor Jurisevic: Good afternoon, everybody. Welcome to the Services and Organisation Committee. Before we begin, I'd like to acknowledge the Indigenous parties whose song lines traverse these lands we meet on today, the Kabi Kabi or Kabi Kabi people, and pay respects to their Elders present and emerging. We're not all in attendance. Councillor Frank Wilkie is an apology today. Otherwise, everyone else is in attendance. Can I get a confirmation of minutes of the last meeting? Councillor Stewart, seconded Councillor Lorentson, all in favour? Thank you. Distracting CA, no presentations or deputations today? Okay, so we'll move right on to item one. Contract number T53, Bus Shelf Supply and Installation Tender Award. James, would you like to give us a bit of an overview of the situation?
00:01:00 Speaker 5: So, I'll jump in there as the Chair. So, I just want to introduce James this morning. James is our project officer, and he's been handling the Bus Stop Program for the past 12 months, nine months. So, as just an introduction to the report, this report is... This is a tender evaluation summary and recommendation for the award of Supply and Installation of Bus Stops. The first contractor that the tender evaluation is recommending is Newge Engineering in Cranehall. They're a local firm who have been successfully delivering these services since 2015, the last 15 years. They worked with us to develop the Bus Stop originally, and they've been successfully carrying out that program since then. We received two tender responses as part of the tender process, and following a detailed assessment by the Tender Panel, it was recommended that it be awarded to Newge Engineering in Cranehall for a period of two years from the 30th of November, with an option for three potential extra 12 month terms after that.
00:02:00 So, the tender review and recommendation process identified a number of different factors. Newge Engineering in Cranehall is third and most advantageous to Newsa Council for delivering the Bus Stop Program. Bus Shelters, please. Questions, councillor? Speaker 9: Oh, I've got a question, Joe. Fire away. Are we incorporating solar panels into our bus shelters to allow LED lighting? James? Yeah, we are, yeah. Fantastic. Councillor Jurisevic: We've done that since the very first... Solar panels and LED lighting? I'll ask the question. The significant discrepancy between the two tenders, there's almost $100,000 difference between them, a better part of it, $88,000 difference between them, and yet we've still gone with the higher quotes, so there must be a fair bit in that capability and resourcing and methodology and stuff, having utilised these guys over the last six years.
00:03:00 Would that be correct? Is there support for that? Yeah, there's sufficient there to warrant that discrepancy, and the question with that discrepancy is how many bus stops is that going to deliver? How many more have we got to deliver under this program? Speaker 5: So there is a component for a local employer as well, so that plays into it, and then there is a component for previous track or . So there are key factors in it, and then there's a component for the ability to deliver as well. So there's a driving factor. It's not just . Councillor Jurisevic: Streets Ahead Maintenance do not have any local? Speaker 3: So in their response, they mainly do it fine by shareholders in Queensland.
00:04:00 They're only, the only on-place they've done by shareholders are in Perth. If we get a clarification from them, then we can do it. They can give us a reference in some terms to kind of back that up. And then the evaluation part is the stock of the road. Speaker 5: So when we developed the prototype it was quite an extensive process and to make up jeeps and manufacture it you can understand it's the best boat for shelter so to do that from scratch I think it would take some time and given that there's only how many left to deliver in the program oh yes we have ten would be a significant tooling set up and all the rest of the arrangement for such a small Councillor Jurisevic: a small number to go by that's all right that's the question that would be asked if people looked at that it's all such a such a discrepancy in the two tenters as to why we wouldn't consider the other so yeah so as far as the the program goes ten shelters remaining for the program will be delivered over the next two years so that should beyond that what is there any need or further scope I mean what is the life expectancy of the shelters that we've
00:05:00 Speaker 5: we've put in is there maintenance required on them is there any scope for any any further shelters such as school bus stops perhaps that have been brought up by our residents so there is a transplant program that's been introduced I think in the last 12 months or two years where they are now recognising and realising that certain bus stops are increasing in patronage and there's a new program whereby you can apply to get a shelter 100% funded I think it's yeah so there is a figure where you're getting a large component of the fee or the price to install a shelter so it may be a stock that doesn't currently have a shelter so there's a new program and we've been successful with that a lot and we've been able to get some bus stops upgraded to shelters with the school children what we've
00:06:00 found in the past is that children can change schools children can grow up and no longer go to school and they can move to different areas so it's pretty fickle to pay for all school children and bus stops I could understand that in the hinterland but in the urban area probably less so because the population will fix them more likely to go to the Councillor Jurisevic: more likely to go to the the area school because that's the catchment within those facilities and an example of one where we don't have a shelter presently we have had a shelter in the past one on Griffith Avenue and that has always been the school bus stop for all school buses of the morning so that's an example of one that we could perhaps look at and I'm sure there are others I know from a hinterland perspective and I'm sure there are others I know from a hinterland perspective and I'm sure there are others I know from a hinterland perspective and I'm sure there are others
00:07:00 challenging but perhaps we need to have a conversation with the school bus route providers and see where the popular pickups are or if there are some consistent pickups that we could also identify in that regard to look at for the future in those areas. Possibly some of those hinterland locations that don't have, that are J stops and don't have a shelter may be ones that could be looked at there as well. Speaker 5: Yeah so our focus has been on the TransLink shoulders because of the funding opportunity and it was a limited funding opportunity so that's what we focused on and a big focus that was the DDA compliance. We haven't focused on school bus stops to date because there hasn't been any funding for that program. Councillor Jurisevic: It would be interesting to know how many sort of with limited abilities require, do catch transport, bus transport and would need the facilitation of DDA?
00:08:00 I guess that we can ask of the school bus providers once this system, once we've gone through all of these or in the process of completing all of these perhaps. Speaker 9: Further, Camelia? Just going back to the solar panels that power LED lights, does council have USB portals for the use, for public to use to charge mobile devices? I can't think of where I've seen it but I have actually seen it in Russia. Is that something that we're thinking of helping us with greener solutions? Speaker 5: Yeah we currently don't have that. And at the time it wasn't considered when we developed the shelter so yeah. Speaker 9: Something that we may consider Craig? Speaker 5: It would be a cost to go back and retrofit and there'd be a high risk of .
00:09:00 That would be my concern as well. What we found with the current shelter is that the batteries were getting stolen. So we've had to really beef up security on our shelters. They were smashing open tin sort of recesses and stealing the batteries. So I think if you had a small USB port it would probably be . Councillor Jurisevic: But buses these days have USB ports, most buses are now coming with USB ports on board. So when you're on the bus you can actually charge your device on the bus. Speaker 8: Yeah. You're worth having a look and seeing a lot of other places. Councillor Jurisevic: The other more modern version is if you can get contactless charging which is less phoned abandoned because there's nothing to actually connect to. That's something you can sit your phone on and charge more. So perhaps that's another option you could look at for the future of phones with contactless charging. Speaker 8: Things changing quickly. We'll have a look and see if others are using them and what issues they have or not.
00:10:00 Yeah. Speaker 4: So we've got a couple of questions for the chair. Given the length of the, the term of up to the, the tender award going through to 29 November 2026, and I have raised this in the past, as well as the product and service winning the tender, can you tell me how Noosa Engineering and Crane Hire, P4LTD, We want to ensure our environment is protected and enhanced and is valued by the community. Speaker 3: Yes, in their response they demonstrate their environmental plans and then they have a carbon
00:11:00 reduction plan as well across the whole business and stuff like that for them. Speaker 4: And through the charity, are you satisfied that that will take effect by the tender? Is it a continuous improvement documentation or will you have an opportunity to revisit that at increments for the tender? Speaker 5: So we've only got 10 shelters to deliver in the next 2 years and after that we don't actually have any shelters currently. So we're just allowing an opportunity to go for those extra 3 years that's required. So really the current contract is for 10 shelters over the next 2 years. And how many have we delivered to date? Speaker 3: About 80 or 90. Speaker 5: Yeah, so the bulk of our shelters have been tackled with 80 or 90 and we really only have 10 left over the next 10 years which is a fairly small number. Two years. Two years, yeah. And then the one plus one contracts are just for any opportunities that might come up like
00:12:00 Griffith Avenue. Speaker 9: So under the criteria, 5% has been allocated to environment and sustainability. Does that encompass what Councillor Beazle was mentioning? And is there opportunity for us to revisit the criteria and maybe perhaps raise that 5% to be in line with our MetaMission objectives for 2026? Yeah, that's a good question. Speaker 5: Yeah, so with each tender that gets assessed prior to actually going out to tender. So it's a bit like a job application where you select the criteria for the application prior. So we actually set that criteria and that's done through a panel process and it's tailored to each contract. Speaker 7: Should I explain that at the end? Yeah. Speaker 5: Yeah, so it varies with different contracts. Speaker 8: So those percentages can be changed and adjusted. Councillor Jurisevic: Well, and I know here that with 5% waiting for environment sustainability and sustainability,
00:13:00 they've attained a 4. Now, I'd like a greater understanding of what obtaining a 4 means given our program going forward. And perhaps this is something that not just in this tender specifically, but all tenders that we have a look and see how that waiting is derived and what elements are considered in that. Because we've now got electric vehicles on the agenda of even the federal government and looking at subsidising businesses and the like and seeing what elements are considered in that. Although limited opportunities with probably larger trucks and that at this point in time. Cranes and vehicles delivering that sort of service, I don't know. Where does the future lie and what are each of these companies looking at with regard to how they improve their environment sustainability footprint? Is that a fair sort of? Speaker 4: Yeah, I guess so. And through the Chair, just wondering how we measure the carbon offset from tender winners that come into our organisation. How do we measure that? And would that benefit from carbon credits through the tender process?
00:14:00 And has that been taken into consideration when we're recruiting these people to come in and do this job? Councillor Jurisevic: I guess that becomes part of the procurement process that we look at the environmental credentials of each of these contractors and see what they are putting forward as their environment and sustainability measures for the future. Speaker 5: So the tender process is not... No. So we're trying to balance all those factors, and that's where the criteria comes in, and that's set by a panel. So it's not just one person who might be more focused on jobs, say, whereas if it's set by a panel where we're trying to balance the whole of the Shire between the environment, sustainability, creating jobs, deliverability, and achieving council's goals of disability compliant hustles.
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00:15:00 Speaker 9: So that's a holistic overall approach. Craig, on the panel, does someone in environmental services sit on the panel to just give you some input? Speaker 5: My understanding is currently no. We do have a WHS person who plays a similar sort of role. If the council chose to do that in the future, that may be something that council would choose to do. Councillor Jurisevic: Well, again, they've got an 80% weighting out of that 5% to environmental sustainability. Yeah. Without much awareness of what they're delivering. I mean, what does 80% achieve? I mean, are they really... What are they doing to obtain an 80% pass mark out of that 5%? Speaker 3: Yeah. So with that one, yeah. So they get, like, a ISO accreditation. So that's a more combined approach. So it depends on . Craig. Speaker 4: So Craig, you mentioned disability compliance on the... All of these... Yeah.
00:16:00 Speaker 5: Yeah. So the 80 or 90 today have all been distributed. They're all according to the 10 remaining. Speaker 4: Yeah. Speaker 5: That's part of the funding agreement for them. Speaker 4: And under the contribution to local economy, which is weighted at 15%, obviously this is Speaker 9: a local supply generating, you know, employing 30 to 40 local jobs in that business. Do you know how many jobs this would directly, I guess, benefit? Speaker 5: I couldn't actually. Okay. I couldn't tell you actually. Councillor Jurisevic: So, perhaps Larry, that's something we could look at getting some more detail on in these tenders in a bit. Speaker 8: In terms of jobs or in terms of... Councillor Jurisevic: In terms of jobs, in terms of environmental sustainability, all those elements that are crucial to it. Speaker 8: In terms of the criteria, that's how we do enforce it in some respects, particularly in local jobs and local economy, or advantage the local economy. So, we put a high percentage on that, but the risk then, you rule out a number of companies that can bid.
00:17:00 Therefore, you run a price risk, you run a whole lot of other risks. So, it's a matter of balancing. As Craig said, it's a holistic thing. You've got to try and get at that. Councillor Jurisevic: I understand that, but I guess it's a matter of councils understanding what the value of each of those, within each of those areas is. Speaker 8: Well, I think more and more we can start to put more... I think there's more pressure on more... Yeah. More weighting on various things. We can do that because companies will become more sophisticated in how they build as well. Whereas, in the past, the engineering companies tend not to be all that sophisticated. Councillor Jurisevic: But, I mean, you know, they may recycle this scrap, they may... Speaker 8: That's right, but that's changing. So, again, if we make that one of the criteria, then some companies will take that as an opportunity to get more work. So, it's not a quick fix, but it's something we can certainly look at. Thank you. Any more... One more question? No. Speaker 4: I'm going to move this just now. Councillor Jurisevic: Mayor of Council Stewart. Seconded by Council Laurence. No further discussion. All in favour?
00:18:00 Thank you. Councillor? Speaker 4: Thank you. Thank you, guys. Councillor Jurisevic: Thank you. Can I remind everybody to send their phones to off or silent as well, please? Thanks, guys. Speaker 4: Thank you. Councillor Jurisevic: Item number two, contract 58. Maintenance and servicing of heating, ventilation, air conditioning, HVAC systems. Tender award. Chris. Chris, welcome. Do you want to give us a bit of an overview on the... Hello, everyone. Speaker 1: Yes. Councillor Jurisevic: On the HVAC tender. Speaker 1: The HVAC tender. The report provides tender evaluation summary, recommendation for the tender award for an external supplier for maintenance, service and heating and ventilation of HVAC systems. Council outsources its maintenance and servicing of HVAC systems for a set period. The current existing contracts will end on the 30th of November this year, 2021. In accordance with Council's procurement policy and procedure, an invitation to tender is
00:19:00 initiated from the... The contract has been agreed with four one year extensions, it's based on performance for the contractor. Tender evaluation panel, complete evaluation process and considered DEE's investment, air conditioning and refrigeration, to the most advantageous of Council, presenting the best value for money. Councillor Jurisevic: My understanding is they've been delivering the services in the current contract and for some time, sometime in the past. How long have we had yearly delivering of services? Speaker 1: We've had Geelys delivering for the last five years, similar contract. Questions councillor? Speaker 4: I guess it's sort of the same question. I know that the environment and sustainability sits at 5% in the waiting.
00:20:00 I guess it's across the board how we address it and then the targets across the organisation given the expectations in community that we have the climate change response and how are we showing that we're now meeting those targets and we're making continuous improvement in our urbanisation to reflect the current contemporary needs of our community. Who found the client response and our urbanisation? Councillor Jurisevic: I noticed that the values associated with the environment and sustainability in this sector seem to be far less than the engineering sector. This is the service sector, so they're servicing. Yeah. Speaker 8: We're the ones who put the conditioning units on the road. They're servicing. They're servicing. So for them to be highly environmentally, it's us. Councillor Jurisevic: We're using the latest gas in our equipment. Speaker 8: We're giving their advice, but we're the ones who are making those decisions.
00:21:00 Speaker 4: So just through the chair, just to clarify, what I'm trying to see is that the service providers to our organisation are meeting their own environmental targets and how are they demonstrating that? Because we want to be engaging with contractors and service providers that are progressive, that are contemporary, and that are meeting the targets of climate change. And how is that reflected in our urbanisation? I understand that we're being diligent in that, but how are we benefiting our urbanisation given we are seen to be leaders and innovators in this space? And we want to be recognised as that in the smart biosphere. So I'm just trying to find out how we are adopting those goals in the real terms. Councillor Jurisevic: And I'll add to that. Whilst, yes, I appreciate it's our equipment and air conditioning has gone a long, long way over the years with different, you know, with CFCs and holding the ozone layer and stuff
00:22:00 over the years, having been in the industry for donkeys, there's still expectations on service providers in having environmental targets. As part of our, as part of our attempt to lower our footprint in our impact. Speaker 4: And through the Chair, we've been raising this right back from Street 111 with the contracting for the street sweepers and we pretty much raise this every time it comes up about procurement. Councillor Jurisevic: So I guess the question for the Acting CEO is some more detail information around both of those elements that we spoke about previously and see what, how we can obtain more, better credentialed contractors or at least give some credence to better credentialed contractors that are delivering more environmental and sustainable practices.
00:23:00 Yep, sure. Thank you. Speaker 1: I can answer that and we'll let you. Fire away, fire away if you've got something to answer. It also moves on to the operational side of things as well. So as part of awarding a tenure of this type, we would be undertaking contract management. And part of that contract management would be to ensure they're maintaining their credentials. So an ISO standard for environment policy, for example, and then gathering evidence from them to ensure that they're completing their tasks correctly. Especially when we talk about the optic licence, refrigeration and those sort of things as well. And then gathering innovation, federal innovation and that sort of stuff. Councillor Jurisevic: There's certainly significant elements within refrigeration air conditioning that have been required ISO standards for some time. So yeah, exactly. Speaker 1: Yeah. Councillor Jurisevic: Anything further, councillor? No, thanks. Can I have a mover? Councillor Lorentson, seconded. Councillor Stewart, all in favour? Thank you, Chris. Speaker 5: Thanks, Greg. Thank you, Chris.
00:24:00 That's all. Thank you. Councillor Jurisevic: Item three is the Tourism Funding Agreement Review Process, written by our councillors. Can I please ask that you keep your chatter down in the background there, please? This has been requested to go to the general committee due to the significance of the item. But before we go that way, is there any questions that councillors have? Speaker 4: No, this is one for the CEO, Mr. Chair. Just providing an annual report, including a copy of your financial statements to council at 30th November each year. I think we're still heading to the seat of that. Councillor Jurisevic: Are AGMs due next Thursday? Next Thursday. I believe once they've ratified their report, then it'll probably come to... Yeah, it's all prepared. Speaker 9: Yeah, okay. That's all then. Thank you. Councillor Jurisevic: That's all. That would be my expectation anyway. Speaker 9: I've got a couple of questions to CEO. Speaker 8: Do we want to context it first, or, sorry, Councillor, do you want to do a quick summary
00:25:00 of it, or for those who might be viewing? Councillor Jurisevic: If you would, in view of the fact that the report was written by the previous C, the departing C, whether you're across it, what you're across? Well, I'm across a little bit of it. Speaker 8: Okay. Councillor Jurisevic: Well, why don't you give us a summary? Speaker 8: Certainly, yeah. Thank you. I meant to do that. So this is the current contract with Noosa, Tourism Noosa finishes at the end of next June. So we're in the second half of this financial year, and we work to negotiate a renewal of that agreement, or an ongoing potential change to that agreement, because of a number of reasons, a number of things that the council's doing. For example, the destination management project, the change of the CEO. We are aware that Tourism Noosa is going through some change in terms of their constitution and potential number of, and make up of their board.
00:26:00 So we've now got to a position where we believe it's in everybody's best interest just to continue the existing contract for another 12 months, which would then take us from July 1, 2022 to June 30, 2023. And in that period, we would look to then see what the future holds in terms of ongoing arrangements and funding agreements. So this is really a bit of a, just keep it steady as you go as well. There's a few changes happening in both organisations, and then we see how it goes from there. But realistically, we're still six months away from, or eight months away from the end of this current contract as well. Speaker 9: One more question to the CEO. Just for anyone listening today, can you just explain the relationship between the
00:27:00 council and Tourism Noosa in regards to parties of the funding agreement, and explain council's capacity to influence or direct the board and its members? That is, can council actually get involved in matters such as the proposed changes to the Tourism Noosa constitution? Speaker 8: So my understanding is this is an independent body, commercial body, that is made up of its members, and the members then, as part of the constitution, appoint the board members. Currently, there's 12 board members. They're going to take that down to seven board members going forward, my understanding. From a council point of view, we have a funding, and have had a funding agreement with them for a number of years. We have a position on the board as an observer only, with no voting rights. So again, it's an independent group that we entrust with our funds to carry out their
00:28:00 marketing activities as we see, or they see fit, and we have some ability to guide that through our funding arrangement. But realistically, it's an independent body that operates as a commercial body. Thank you. Speaker 9: My last question is on page 16 of the report, references made to our destination management project. Maybe this is something for the general meeting to the CEO but can I have some detail as to what's actually meant by destination management project and what role counselling tends to play in that project or in that space, again maybe just put that on notice for the general meeting? Speaker 8: Yeah if I can come back to you with some information on that, my understanding is that's a project
00:29:00 that council undertakes from a destination management point of view but it's something that we haven't finalised or we're in the process of doing but have not finalised at this point in time so I'll bring some more information back to you. Thank you. Speaker 4: Council. Council. On page 16, it actually reads that Council looking at the project, looking at its role as the destination management agency and how it can better define its expectations in terms of the destination management. I'd like some clarification on agency there, in what role is Council going to be looking at its project through the lens of destination management? Thank you. I have a question. Just looking at consultation, external consultation, Chairperson of Tourism Nurses and CEO of Tourism Nurses. So, Mr. CEO, I take it that this potential 12-month extension has been discussed and
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00:30:00 is supported by Tourism Nurses? Speaker 8: Yes. So all parties are in agreement with this and this is something that will go through the ATN. Speaker 3: Okay. Thank you. Speaker 8: Thank you. Thank you. Thank you. Speaker 6: Could you find out if we're looking at Melanie Anderson to lead that through the tourism business, or is that going to be in the council? Speaker 8: Sorry, as a four-day person, I'll need to understand a bit more of that. But my understanding is that we're looking at what destination management means as opposed to what marketing and attraction is in terms of tourism and bringing people here. So it's when they get here, how do we manage, what's their experience? Speaker 6: Now, I know it's your first week in the South Tennessee, so it's probably quite a tough survey, but I don't think there's clear sailing on either side, especially on tourism and music going forward.
00:31:00 But my big question is, if the new constitution is voted in, and all those things like plastic green news, destination management, brand management, all of that have been deleted from the constitution, yet council still expects them to perform those roles, what is the relationship? One, is it legal for them to do those things that we've asked them when it's not in the constitution? And two, can we force them to do it when it's not in the constitution, and the board doesn't want to do it either? Those are the two questions that are really, really big. Because I fear that... We'll find ourselves funding tourism and music for a complete extra year for two and a half billion dollars, when the board is saying, we can't do that, it's not in the constitution. But we're not going to pull the funding, we're not going to stop paying Melanie and that team that is pure gold, and putting the entire volunteer group at risk.
00:32:00 We've got to keep those 120 volunteers on board, 100%. And I just... So when we talk about clear sailing... I want to recognise that it's actually not clear sailing. So those are the two big questions is, what can they do? So you've got those questions. Councillor Jurisevic: Yes sir. I'm guessing that's why we're asking for extra 12 months, so that we can get our heads around it, and the tourism ministers do. What roles there are, what destination management means, and who's responsible for what element of delivering those sort of solicitations. Speaker 8: That will help us in that position. But certainly, in terms of what you're saying, Councillor Wegener, in terms of... It's not in the constitution, but if it's what we require for our funding, and that's where we do have the power, in my understanding, and the funding agreement is quite general,
00:33:00 but that's where, if we say, these are the things that we'd like for our money, and they're not able to deliver that, then we have to have a conversation. We've got to look at where else, possibly, where else we're delivering it. Speaker 6: Yeah. It's a major issue, because we have volunteers and jobs on the line, we can't just really cut funding. Absolutely. So I'm not very excited. To be honest with you, I'm giving an opinion, but very excited about extending the agreement out for a year, when the day after our ordinary meeting, we might be dealing with a tourism visa that has completely taken the act to the whole arrangement. Of course. The whole tourism visa, the way it was, the way it's going to be after, if the constitution is changed. I think it's substantial. Speaker 9: I think that, Councillor Wegener, with all due respect, you're pre-empting a decision that hasn't been made, and you're also undermining the governance of the board.
00:34:00 It's up to the members to review and vote on whether to abolish or adopt the constitution, and we've got to respect that democracy. So I think maybe a little bit of point of order, I want to call a point of order on that. Councillor Jurisevic: Well, the reason I'm asking- Like I said, I think we'll refer those matters to the general committee for further discussion, with further report from the CEO on some of the questions that have been asked here today. We can ask one more question. Speaker 6: Fire away. If the constitution is amended, will it be changed? If it's amended, or the new constitution is brought in, will tourism visa be essentially a community group, just like the chess club, just like any other community group, because they're taking off the yoke of council? Councillor Jurisevic: I don't think anyone can answer that question, because the constitution hasn't been decided
00:35:00 by the entity that's got to decide it. It's their constitution. It's up to them to decide what their role is. That they want to stay operating, and the space they want to operate in. It's up to tourism visa to come back to us and tell us. Speaker 9: And could I also add, Councillor Widmark, that it's a 12 month roll over period, and during that term, we're allowing tourism visa to actually sort out some of their issues, and it also gives us, as a council, an opportunity to watch what their future model is, whether we agree or not. And I think it's really important that we do that. And then when we enter into a longer funding agreement, that's when any issues that are unresolved, or any uncertainties that are unresolved, that's when we can take, I think... Well, can potentially be... Well, could be, yeah. That's when we take all this on notice. Yeah. Okay. Any further questions, Councillor?
00:36:00 Councillor Jurisevic: I think it's been asked to be moved to the general committee, so can I have a mover? Councillor Lotteston? Larry's going to bring some more information. Larry's going to look at the questions. Are you going to do that as a report, Larry, or are you just going to derive that information? Speaker 8: I think I'll bring the report as an agenda, or those questions as an agenda. As an agenda, okay. Speaker 9: Can I also request... Councillor Jurisevic: Additional report from the acting CEO to the general committee. Speaker 9: Can I also request the councillors to sign reading a copy of the Tourism Resource Funding Agreement? Just a copy of the actual funding agreement, and we just have that just for our own reading. Councillor Jurisevic: And perhaps a copy of the existing funding agreement, but also the existing constitution. Oh, copy. We've got one there. Okay, nothing further?
00:37:00 Speaker 6: Would we be able to move an amendment to delay... Councillor Jurisevic: You could... You could certainly look at all of that on Monday at the general committee. Any changes and amendments would be appropriate for Monday's general committee meeting, Councillor Wegener. Not here, but... Speaker 5: Not here, but... Yes, I'm just putting you guys up on notice there. Certainly, if you want to do that, Councillor Jurisevic: you're quite at liberty to undertake that for a general committee meeting. If you have something that differs from the staff recommendation. We'll move on. Item four. Four. Sorry, was that all in favour? Yes. To go to general committee, thank you. Item four, July 2021 Rate Review Overview. Kelly. Entry. Thank you. Again, I'll ask that we get a bit of an overview
00:38:00 on how the rates collection has gone for this last period. Speaker 4: Thank you, Mr Chair. Well, you know, there were significant changes to this levy following our extensive budget consultation process last year. So, I'm sure you're all aware, but yes, we introduced, we did significant changes to our differential general rate categories, including the introduction of the transit stream, home, and also transit accommodation categories. We also eliminated the rural fire as a separate charge and put it on as a special charge and put it on as a separate charge on all properties. There's a bus fire and response levy, but we modified to include other areas as well. Removal of the tourism levy as a special charge, and we made minor changes to the pension policy that we allowed all pensioners to get their accounts and rebates straight away. And we also introduced the pay-per-fee for the first time, so it was basically an additional charge for people that choose not to get their rates and all these things delivered electronically.
00:39:00 So, some significant changes and some significant increases to some of the transit stream accommodation categories, particularly, as we decided at the budget, which did cause a great deal of unhappiness with some rate payers. So, we did have a very busy levy period, both the customer service staff and my team would like to commend, because they worked very hard through the levy period with some very unhappy customers. And I believe they continue to provide high-level support. And at the conclusion, as I said, quite a few unhappy people, but in general terms of the recovery, the discount period, as you know, was extended partway through the period, just to allow a little bit of extra relief. That had little to no impact, aside from the fact that we changed the six-month indirect debitor, so that's all those people that have registered to have the net amount taken out on the discount day.
00:40:00 That was done on the later date of the levy period. And I believe that the rate payers were paid to the earlier date. So, including that, the payment patterns were pretty similar too. So, all in all, our current vision was that the rate for levy was not significantly different than it was before. Yes. Councillor Jurisevic: Considering all the challenges of COVID, that's pleasing to hear that we're not being challenged with the – well, that the rate payers aren't being challenged by paying their rates on time. Questions? Any further questions? Speaker 4: My question is how are we tracking in Paraguay to what you thought or to previous years or how are we going in general in regards to our rates going on the back? Speaker 7: In terms of where we budgeted, our general rates and discount were slightly under. So remembering that when we embark on the years of change to the rating categories, we make those assumptions on land uses earlier in the financial year.
00:41:00 So obviously there's always room to move and there's some assumptions there. But overall between the general rate of the discount, $1,330,000 out of a $50,000. Speaker 4: $50,000? $75,000. Speaker 7: $75,000. $75,000, we had the It's not sufficient. Speaker 4: That's quite good. Speaker 7: And as the rates arrange themselves in the line with our period, and I suppose, what other things that is of the value might move the number of properties itself. It's quite low and remembering that those properties that are in arrears or aren't paying, as time goes on, they're outstanding balance growth. But the number of properties themselves may not have enough. Councillor Jurisevic: So that's the question with regard to rate to rears. Is it the value of rate to rears that is increasing or the number of properties that is pretty much staying the same?
00:42:00 Speaker 4: Just to give you some context, around 55% of the current rates that are outstanding is held on just over 1% of the properties. So we're talking 350 to 350 to 400 properties that comprise over 56% of the current rates. Councillor Jurisevic: And that's been fairly consistent over the years. Speaker 4: And that's been fairly consistent. We have started several years ago, we started a process of referring some properties to an external debt collector. We're just getting to the point now where we find that, and again I'm talking a very small number of properties here, less than 10 million that we're looking at seriously, where we've run through our internal processes, we've run through the process of the debt collector, we've got the judgement, we still aren't able to obtain the funds.
00:43:00 So the next step there is to look at this from the legal action and taking sale of land action, and that's the very different there. But we'll have exhausted all our other options, but you'll be able to take that step, which obviously becomes the decision. We'll just wait and the debt will just continue to increase. Councillor Jurisevic: If the debt does continue to increase, upon sale of the property, that debt is then recoverable. Speaker 4: And that's the thing, is that there's no debt on any single property that's just anywhere close to the cost. Councillor Jurisevic: And that was the next question, you know, what are the sort of values where, given the value of properties these days, are any of them reaching any sort of critical mass? What would be the worst case scenario? Speaker 4: Currently, we've got one property that's over $65,000. Just, you talked about transitory accommodation that you had agreed, and you know, there's obviously a lot of issues around it.
00:44:00 Out of 300 of these 400 properties that are currently, I guess, owing in rates, Speaker 2: how did that group go? I mean, did they pay the rates, or are there people who are still, I guess, voting but with their feet not paying, or...? Speaker 4: I did do a breakdown. Just to have a look at the category by category, you know, outstanding debts. Obviously, this is just looking at this current value, because this is the first time we've had those categories in there. And it was quite similar. I mean, there's some of the smaller categories that only have four or five properties in them, but most of, you know, those ones are 100% paid. There are no properties, no categories, that's about over some money. But if you're looking at the residential PPR, the residential non-PPR, the transitory and the home-hosted, they're all within a couple of percentage points. I think they're all around 5% to 6% at the moment, 7%. But there was no significant difference in the current value payment between who's paying or who's not paying.
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00:45:00 So, if anything, the home-hosted was slightly higher, and then the PPR and the transitory was slightly below PPR. So, it's not a huge difference. Not a huge. Nothing that I would consider expensive. It, to me, indicated that there weren't a lot of people. I mean, we did have one or two people that told us they didn't pay. It's a basic non-management principle. But certainly, the majority of people did not pay very much. Speaker 9: Thank you. Kelly, I'm looking at the levy summary, and environmental levy, sustainable transport levy, re-heritage bushfire resilience response levy. Really clear how many properties are paying and what the total amount is. Tourism and economic levy. I know it's absorbed in the transitory weight. Do we actually have a total amount and how many properties are actually paying for tourism and economic levy? Speaker 4: Well, that would just be the properties
00:46:00 that are in that transitory accommodation category. Speaker 9: Do we have a total? That transitory property is actually also is general rates plus tourism and environment. Speaker 4: And we also incorporated that. Because the commercial properties had a component by title of the tourism levy, so we adjusted the rates plus tourism. Speaker 9: So, how can we clearly see how much money was collected specifically for tourism and economic levy? Can I get a total amount for that? Speaker 7: Just to answer that, so the changes we made to the rating structure that we adopted on it here, we no longer separate the funding allocations. So, the tourism funding for tourism, the certain funding for economic development, LEP or local economic plan implementation, now falls under the general rate. And what we don't do is we don't get pulling apart the general rate into every single specific funding allocation that it gets used across the organisation,
00:47:00 whether that's tourism, environmental services, road maintenance. We don't go breaking it out for that purpose. So, obviously, what we can do at the very least is we can look at the arrears and non-payment against those particular land uses that do have a component of tourism that would have increased as a result of absorbing the tourism levy. But we don't re-incent it as such as we used to under the levy. So, we can look at the land uses and then flag which ones and come back to you on notice about which ones are those that have increased. Has there been any change in arrears? And we can provide that for you. And what we do, what we do do when you notice this with the general committee report that comes up from Financing for London, we now provide that snapshot in the Financing report every month. That's right. So, we've made sure that we show how much we're spending and how much we committed to spend. Councillor Jurisevic: And that's where I was going.
00:48:00 The other side of that coin is that we actually see the spend that goes to tourism, the actual spend that goes to economic, and that comes out of the collection out of all of those pockets. So, what percentage they're paying is dependent on the amount of actual expenditure that goes into those areas, which could increase as a result of the increased collection. Speaker 7: That's right. And one of the outcomes from obviously is the levy being moved into general rate is that it is in effect, it's no longer subject to the risk of payment arrears from the tourism levy or from those businesses or land uses that were paying the levy. That's dissolved into general rate. So, it means that as a council, if we adopted a budget on a contract that's $4.5 million, tourism levy, regardless of what the general rate does or the arrears do, we're committed to pay that and the funding is always made available. We just, we just bear a hedge
00:49:00 that if we learn a little, that our rates arrears don't grow on those land passes that we have to address that screw rate recovery. Speaker 9: It would be great, just for the sake of clarity, to understand still that total pool of money and, you know, environment, I know how much money we've got in the environment levy. It'd be great again to understand, I get that we're committed to the $2.52 million in tourism use of funding, but it'd be great to understand is that pool $3 million? Is it $4 million? And whether it's used specifically for the purposes of tourism and economic. I know it is, but I'm just putting my council hat on. I'd like that to stand out. Speaker 7: So that would be something that we take on notice in the finance report, so much as, let's say, in the rates review report, which is about the categories of rating cards that we adopt. So I can take it on notice
00:50:00 and you can add that to the finance report. Councillor Jurisevic: Could I suggest a way of doing that, Trent, maybe to categorise how many properties are transitory accommodation as a category that would be contributing as a result of being transitory accommodation? How many are commercial and are contributing as a result of being commercial property? Would that be sufficient? That way you would at least identify how many properties are contributing because of their usage to that additional rate category or within those rating categories. Speaker 7: So what we'll do is we'll incorporate that into the next month's finance report and then obviously we'll see it updated again when we have the January rate addition. Councillor Jurisevic: I think that'll identify how many properties are in the transitory and commercial space at that point. That might be a way of categorising. Speaker 9: Thank you. Anything further? Yes, I've got a couple more questions. Page 18. It says, between January 2021 and July 2021 the net increase in rateable properties was 53. Can I just get some context around that? Does that mean there's been 53 new properties
00:51:00 or what's actually meant by 53 new rateable properties? Speaker 4: Basically we have a very low rate. So when one property is subdivided it's strapped so it can be one property is cancelled two new units are created and three new units A duplex going into a business? Yes, so the net change and if you went from one property to a duplex that's a net change of one property. There's, we can, and it doesn't happen as often but you can also get two properties amalgamated into one. Again, very low numbers here. The majority of, except for the odd new strata complex and the odd minor subdivision, the majority of growth and certainly since the levy's issue we've had quite a few is the misstated of the property's development so basically one lot there can be cancelled and, you know, 15, 20 new units can be created and that's it. So we get, we get updates fortnightly and we get new registered plans
00:52:00 basically whenever there are issues like department resourcing department resourcing. So as soon as we get that plan or an evaluation we cancel the old property and create how many new properties are on the system. Councillor Jurisevic: Given that there's not a large number of properties in there, Kelly, how difficult would it be to turn around and say that it's been, you know, one single property to duplex, you know, one rateable property duplexes, we've had five of those, Speaker 4: maybe, Councillor Jurisevic: maybe when, you know, in conjunction with 53 rateable, new rateable properties how that 53 is made up. Speaker 4: Yeah, and you'll already find that when I come to this report next time it's going to be more than 53 because I know I've done a couple of stages in the past and, you know. Well, Councillor Jurisevic: there are some substantial developments on the agenda. Speaker 4: But yeah, unless there's a really big subdivision or a really big, huge strata complex that's set up, then the numbers
00:53:00 are going to be quite low. Councillor Jurisevic: And that would be the way I've seen that. I mean, if we had 124 units come on board in one hit, we'd go 124 and we know that's Park Ridge or whatever development it may have been. Speaker 9: Extracted Industries Quarries, rateable valuation, 350,000, revenue collected, 34,151. Has that rate decreased? I understood, no. And why is the rateable value of the quarry only 350,000? Speaker 4: The rateable value is set by the Department of Natural Resources and the Department of Environmental Resources who have changed their name again before they were opened. So that's basically issued by them. We have no control over the valuation of natural resources in the land and that's going to be an issue going forward in the next budget because the real revenue basis will be here. And when we come to the next budget we'll be planning for 100,000 valuation or 100,000 will be very different.
00:54:00 But, as Trent and Michael had discussion for the owner district and the community of the quarry they find that they don't have any more to rely on. Councillor Jurisevic: And that revenue is the six monthly revenue not that. So that's two lots of that. So over the period of the year that property would have doubled that. Speaker 4: So Michael did a lot of work behind the scenes because basically the Pacific can only have to be able to demonstrate for such. This is the cost that the operations of the quarry is having on council revenue so they require to contribute. So yeah, so that is a big part of the quarry supply and things that are in that sector. That's why the quarry is the one category where it's paid within the due date. Good point. Speaker 7: Just to supplement that,
00:55:00 the key word improvement we're using on that. Councillor Jurisevic: It doesn't matter if it sells for five or $10 million. Speaker 7: Correctly. It's what it's land . And those valuations are from two years ago. So it's been two years since we've had updates from the department. So it's been very interesting. Two years in the property and land valuation market . So yes, watch this space when we come out of the back . Speaker 9: Home hosted, residential home hosted and strata unit home hosted transitory accommodation. When will council have an opportunity to review this? Is that at the end of the two in a few months or 12 months? Speaker 7: At the end Speaker 9: of 12 months. Speaker 7: So obviously on the actual
00:56:00 changes made to the act more than once per financial year. So it can be done twice per financial year. At this point in time, the proposal is that we will review all our rates and levies and in conjunction with fees and charges as part of the 22-23 budget process, which we will commence in the coming month or two. So through that process, how we target and manage that through the rate and the dollar rates charge that we have as well as giving a review of all the rating categories both residential, commercial, industrial because obviously as you can imagine residential has had significantly over the last year and maybe less so what we'll find is commercial and industrial. So we need to make sure the funding mix and the appropriate funding sources don't move too much
00:57:00 in that process and through that we'll obviously include any discussion on our own page . Councillor Jurisevic: The other side of that you've alluded to the fact that we've got a number of an amount of feedback from rate partners with regards to the changes in rate size. They're saying that's all what the nature of the complaints were and that and there's some sort of information there some data there to be able to give to councillors when it comes to a rate review as to the feedback that we got from. Speaker 4: Yes, certainly based on the biggest area of our concerns we can go back to you and maybe have research to say how we can better refine the definitions . Yes, but also understand Councillor Jurisevic: where the complaints came from. Speaker 4: Yes, where the complaints came from and some options in the . The majority . On page Speaker 9: 21 difference in properties. So I'm noticing
00:58:00 residential home hosted transitory accommodation is 20 less properties listed for home hosted. Is that how I'm reading it right? Yes. And for residential transitory accommodation 27 more 27 less properties available for short term accommodation. Am I reading that right again? Strata units 5 less properties available for short term accommodation. Strata units transitory accommodation 87 less properties. So we're reducing stock in short term Speaker 4: The category change has happened for two reasons. One is due to the sale and the new owner no longer offers the property for short stay accommodation or home hosted accommodation so what happens is if we get a sale on a property that's in one of those categories we usually end up contacting the owner just to confirm if it's going to be their principal place of residence, if it's going to be their principal place of residence or if it's going to be long term or what options they will know which category to classify them in.
00:59:00 The majority of the 87 were people that put in a differential objection form so basically once you issue a rates notice the rate payer has 30 days to get to their category and also we got many many more than the numbers there we got several hundred more differential objection forms but these are the numbers only for the ones that we allow when we allow the category change and the only basis on which a rate payer can object to their category is that their property should be rejected. There was some yes that said well given the price differential we're going to opt in out of the short term we're going to go into long term but the majority of the people in this issue yeah they've been up sort of hand in hand there.
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01:00:00 Speaker 7: That has been people saying I'm moving into it I'm moving up here from Sydney or Melbourne or Westbourne moving into their unit that they had short term and then they said well we're moving here. Speaker 4: Yeah people that or they're just you know some people just said they were going to suck up there. Speaker 9: Well I would like to feed this information or data to our economic department because I think that you know to me I see concerns when I see 27 residential transitory accommodations less I think of 20 small small businesses that have just been shut down I'd love to understand or have a deep dive in these numbers and understand what is the impact of reduced stock to the tourism industry and who's been impacted by it. Closures of short-term accommodation or understand is it going back to permanent I don't know how we can do that but.
01:01:00 Speaker 4: The only way I can do that is I can split the numbers down into the change that was triggered by a sale and the change that was triggered by a differential general labour function. Speaker 9: That would be great just I'd love some more information thank you. Speaker 4: Those are the only two ways that that has really happened. Yeah they are advising us that they're no longer offering it for short-term so we'll use the category. Councillor Jurisevic: I'd love to know how many of those are due to COVID and people moving out of Sydney and Melbourne and moving into their second residence as their permanent home in the short term until lockdown is taken out of New South Wales and Victoria and that will transition back to those once they're free to move again. Speaker 9: And I'd like to understand whether it's just the cost the added transitory rate whether that's affected or impacted their decision to take the property. Speaker 4: Remember this is for the six month period over so we did get quite a few people that advise certainly in the home posted area that advise us that with all the COVID restrictions still in place for this current rating period they weren't going to offer it now that might change come January.
01:02:00 Speaker 7: I'd suggest what we'll see coming out of the January road would be quite interesting what we'll have then through rating periods of friends to actually analogue. What we'll see coming out of the January road would be quite interesting what we'll have then through rating periods of friends to actually analogue. One will be about the movement in that rating category. The second thing we'll have to be able to look at is we've talked about the number of complaints and issues to the K market queries that we had to address. So we'll be able to see the trends in terms of has the perception in the market settled? Has some of the outlying issues around clarification of whether that property was actually transitory or whether it was short-stayed in terms of ownership. And then finally letting out for that allowable holiday season and the 60 day period. The 60 days and maybe they are in the category but it wasn't until such time as the rate increased that it triggered a further review that I should know.
01:03:00 Well, I'm going to clarify my position there because there's a point of impact I don't. So there will be a bit of travel work that we can do that will be really informative coming into the budget liberation since February, March. Speaker 4: So your suggestions, we hold fire until we get those genuine results, and then we look at that. Speaker 7: I think you'd get some good, because if you see the same again, then we've got some serious... Councillor Jurisevic: The trend over the next year or two is to, once COVID's over, we're going to have an assessment report at the moment. Speaker 4: It would be good to have information, but it might be too long. Speaker 7: Yeah, we can obviously put it together now, but I think it would be really... We're already in those numbers. We're not too far away from a January rate issue that we'll be able to double that data in and see if it's an indicative of this type of trend. Speaker 4: And thank you, Kelly, to your team, too, for a lot of changes. Councillor Jurisevic: Yeah, a lot of work and a lot of change over this rating period.
01:04:00 It'll be interesting to see how those trends, get some ideas of what those trends are, a little bit more information. We've requested a bit more depth into the data. But that's there. And I think we'll have a better understanding of the impacts, of any impacts that have been created. Any further questions, Councillor? No, I'm good. Can I have a mover? Councillor Lorentson, secondly, Councillor Stewart. All in favour? Thank you. Speaker 4: Thank you, Chair. Thanks, Chair. Councillor Jurisevic: And thanks, Chair. Thanks, Chair. Thank you. Nice step up, by the way. Item 5, Capital Programme Delivery Status for the 30th September 2021. Craig joins us again. Do you want to give us a bit of a rundown, Craig, on where you're sitting? Sure. Speaker 5: So this report provides a status update on the Capital Works Programme as of the 30th September. Total proposed expenditure for the year 21, 22 and 53.6.
01:05:00 And in terms of the total proposed expenditure for the year 21, 22 and 53.6. Inclusive of that was 5.8 million in carriage boards. Directly under the control of Infrastructure Delivery of 47.5. And in other projects such as fleet and ICT, it's 6.1 million. As of the 30th September, we were sitting at 9.4, which is 22 million in commitments. And I think further down the report... Councillor Jurisevic: 9.4%. Yeah. Speaker 5: Not 5.4 million. No. No, that's right. It's important to note that much of the first quarter has taken up with planning and preparation of tenders, and a lot of the tenders have come in now, and they're going through that process. Councillor Jurisevic: But having said that, we've got a number of significant projects such as Beckmans Road, Pritigian Hub, sorry, Pritigian Community House, and those that are coming to fruition within this financial year as well. Speaker 5: Multi-year projects? Yeah. Yes, that's correct. Officers have 33 million, which Jo has mentioned, of projects in various stages, pre-tender, tender variations.
01:06:00 Road Realtor Program has expended 1 million out of 5.5, and it's on track for completion on the 30th of June. The Council has secured 25 million in grant revenue, and Council has contributed 17 million in non-capital, which is 11 million. To date, Council has completed three projects in the first quarter, and we're currently focused on design. We've got 15 to 20 projects in design, which is a total of a value of 15.9 million, and there are currently 25 multi-year projects in various stages of completion. We're in a hot market, I suppose that's how we're describing, and we've reduced availability of labour, equipment, materials are going up. It's quite challenging, and we're getting combinations of all three at the same time. Councillor Jurisevic: Having said that, you've still got a number of projects that are coming in within the budget, or the expected budget to date.
01:07:00 Speaker 5: Yes, we've been fortunate in the larger projects like the Hinterland Playground and the Lucas Street. We've probably got in just in time, and we missed some of those increases. Backman doesn't have a lot of steel in it, or precast concrete. Councillor Jurisevic: That's what I mean. They're not being impacted as much, but they're coming in at the heart. Speaker 4: I guess my big take out from that, Craig, is there are currently 25 multi-year projects in various stages of completion. Councillor Jurisevic: Yes, there's a good table. That's a lot. Well, 75% of projects was grant funding as well. Yes. An amount of external funding coming in to complete all of this. Speaker 5: There's an excellent table just there. You've got the Hinterland Playground, the Lucas Street, Grinnell Bridge, Rook Street, Cr Cran Paperlands, Tootin Blaponda, Mobile Library, Subhran Street, which is completed, Maple Street-Race Crossing, the Landfill Project, Plot and Bypass, State Park, which is completed, Mr Trails, which is underway, Cooy Valley Street, Southproud, Nortibool, Mr Trails, and
01:08:00 yeah, there's a. Councillor Jurisevic: Yes, Subhran Street is completed already. That got done, Billy. I'm amazed at the time frame, has that got completed already? Speaker 5: Stormwater is still underway, or maybe completed now, I think, Stormwater in Ireland. Speaker 4: So there's a few one percenters, when you say total project complete, so there's a few one percenters. Are they on track, and are they where they should be? Speaker 5: So it's interesting, if we look at the hinterland playground, and the expenditure is 50% but the total project is 88%. So a lot of work goes in the front to get them to tender. And once they're in tender, for us, they're 50% complete. But financially, they're zero, or you know, they're reloaded. So those one percents are more the planning projects. So flash options analysis by stations, foreshore, or a sports complex. So that's that 15 point million worth of design that people are currently working on.
01:09:00 Yeah. Getting ready for next calendar year. Councillor Jurisevic: And that really is all in-house work, not contractors and all the rest of it. Speaker 9: The Sunshine Beach State Park Shave Sale came under budget by $10,000. Craig, what happens to that $10,000? Speaker 5: So there'll be still staff costs during the handover process. And then when it's handed over, it becomes final. It becomes the financial complete. And any remaining funds go back into the general, right? Speaker 7: That was one of the projects we were funded through, we worked on things they do not recover funding now. So it just means that we won't claim the last portion of that handover. What we spent the $100,000 for funding, it just means that probably the save it, the saving it, the strict return of that,
01:10:00 Councillor Jurisevic: I haven't said that when we go over, we go Captain Hand to try. Speaker 8: It depends on the grant. Councillor Jurisevic: Yeah, it depends on the grant. Speaker 8: The grants as well, the funding bodies, some of them we're able to shift it into another way. The LRCI stuff, you can actually move it within with a bit of flexibility, but not... They're reasonably tight, but if you get in early or you give them the right justification, you can shift that around a bit. Speaker 5: Yeah, it's very rare that every project comes to the exact dollar amount that was budgeted for. Councillor Jurisevic: There's always overs and unders with that, with all projects. Speaker 9: All right. Anne. Risks identified on page 31 include increased costs associated with
01:11:00 and reduced availability of equipment, materials, and the list goes on. How as a council are we addressing these risks? Are all the projects that we're outsourcing, do we outsource them on fixed contract prices, or is it a rise and fall? I'm just trying to understand how we're going to introduce agreements so that we know that this is the cost and we're not going to go over. Speaker 5: Yeah. So, it depends on the contract. Some contracts, we can't actually put all that risk on the contractor because they can't control that, and they're not going to sign a contract on something they can't control. So, it depends. Wherever that risk sits, somebody's paying, and whether it's council paying or contractor paying, it still gets paid. Did I explain that okay? Speaker 8: Yeah. It comes in contingency as well. So, in this current market, we're more concerned about our contingencies and how much,
01:12:00 and then looking at where we've got some flexibility in the scope of works. So, as things... So, we just add a bit of fat to those amounts. Yeah, we've got to be very careful, and we are because we're becoming more accustomed to the quick rises in the costs that we just can't foresee, so we just have to allow. Speaker 4: Yeah. One of them was about 24% contingency on all the recent projects, and I can't remember which ones, and Capital Works. What do we normally allow? Like, I guess, what do we normally use? Speaker 8: It depends on where you are in the design. So, if you've got a really strong design, you go to the market, and then what we give them and what they're going to produce, we know exactly, and we can lock them in. And some things you go with a bit of a loose design, so you tend to work with them, and that's where you have a bigger contingency. Councillor Jurisevic: And something like the waste contract, it goes over seven years or something, designed with more rise and fall.
01:13:00 With market forces impacting on it, written into the contract. Speaker 8: There's different types of contracts, like we, in Victoria, when I was down there, we did a lot of D&C, design and construction. You basically put the risk back onto the development, onto the construction, and that worked really well as well. And then something, in other words, it's just not appropriate. So, you've got to mix and match, and that's what these guys tell me. Speaker 9: On page 28, Clay, infrastructure was addressing staffing shortages. How are we going? Speaker 5: Yeah, so I've just closed on four positions last Friday, and I'm closing on one position this Friday. And through our process, we've been up to some of those positions previously, and are being done successfully. But this time, we're sort of reaching out to more wider networks, and probably contacting our own networks. And I think that it's going to be very successful. So, we've tried to extend out further, and I think it will be acceptable.
01:14:00 We're in that process of shortlisting, and then we'll go through an interview process. And it might take a period to get those people on board, and then they'll obviously get it done. But it's good to hear. Speaker 9: Yeah, it's great. How long is an induction program just out of curiosity? So, you've got these new recruits. How long before they've actually got their head around the train? I think it's a day. Sorry? A day? Four days in? How's it going? Speaker 8: Here's your computer. Speaker 9: Off you go. Speaker 5: I think the key thing is how much time they actually have to allow for some of their positions. So, some of the consultants, it can be up to a month, and some of the higher positions, it can be several months. And the level of experience as well, and background, and ... Speaker 8: Yeah. Speaker 5: And then, obviously, they're probably getting productive after about two to three months. Yeah. Speaker 9: That's good. And given the overwhelming amount of works that you guys have on, what is morale like?
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01:15:00 Speaker 5: Well, we've got a great leader, and ... Yeah. Yeah. Yeah. We're a team. We work together. We support each other. Right. Yeah. Yeah. Speaker 8: I think the morale's really good. I think the team that Craig's got under him are just good operators. The team's pretty good when you go downstairs. Absolutely. They're really good. Speaker 4: And you're getting things done really so well. Yeah. Councillor Jurisevic: And yeah, I think you're making ... I think you handle the challenges really, really well. I think you've taken a lot of it on board, and managed your crew very, very well. Yeah. It's very much appreciated up here, with all of the things we've discussed over the last couple of years, and some of the staffing issues that you've had. So I think you're doing a great job now. Speaker 8: I guess the take out from this, just to sum it up, is with this report, and I've sort of mentioned it in previous times, but there's two ... There's the timing of the finances,
01:16:00 and there's the timing of the construction, and they're different. Like Craig said, we could have something that's 1% in terms of finance, but 50% in terms of our work. The project can be complete, but all the invoices haven't come in yet. Exactly. Yeah. All of that sort of stuff. But the fact that it's finished just doesn't always mean that it's ... You've got to look at both. You've got to say what we've spent, and also where we're at in terms of our actual construction schedule. Yeah. So that's what this report now is going to try to give you, both of those. So you understand we're up financially, and also we're in terms of the budget. Councillor Jurisevic: Good to see it's progressing as well as we are. Thank you. Any further questions, councillors? Well, I'll move this one, seeing as I haven't got my name on the board yet. Secondly, Councillor Stewart, all in favour? We always have it. Thanks, Craig. Thanks, Craig. We'll move on to item six, the Operational Plan Progress Report, which should be the last item on the agenda today. Again, prepared by our outgoing CEO.
01:17:00 Thank you. Thank you. Thank you. Councillor Jurisevic: Can we throw this one up there? Speaker 2: Look, if you'd like, I'd just like to do a bit of a brief introduction. So Brett did prepare this report before he left, and he's also included the KPIs that he's previously reported, so that's been included. But you'll obviously see a difference in the reporting. So we've gone for a different format in our reporting, and there is more detail on that, and I'm sure you will have seen that if you've gone through the various themes. So the way that it's reported is for each of the themes under the corporate plan, it's reflected here in the operational plan. And then we've gone through and identified the key focus areas of the current corporate plan,
01:18:00 and then the actual initiatives that we're actually delivering on this year to achieve those objectives or those key focus areas. And so the responsible areas and offices are assigned, and then the update. So within the status column. So it looks a little bit different to what you've received in the past. It was a much shorter document previously, but this provides you with more detail. So that's probably just an introduction to the look and the feel, but the actual content in that third part of the report came through there. And then the updates that come from each of the responsibilities. So that's why a number of directors are here today, in case you have any questions on any of the update content. Councillor Jurisevic: So any questions over here? Speaker 9: Yeah, I've got a few. First, I want to just note that I'm really enjoying reading the theme,
01:19:00 just reinforcing our mission, who we are. And I would love to see that on all the reporting, whether we're talking economic plan, our corporate plan goals, our economy is diverse and resilient. So we understand our purpose. I would love to see those things reiterated every week. My first question is, should we be concerned that we haven't embarked on our corporate plan? And maybe a question to you. Absolutely. I'm glad we're two years into our term. And I'm sitting here dying to get into our corporate plan. Should we be concerned that we're waiting for the new CEO? Speaker 8: So the plan, as I understand it, has been that we've delayed creating a new corporate plan to accommodate the new CEO. As an exec, we've discussed this, and we've actually put in a meeting time for the four councillors
01:20:00 in the next couple of weeks, I think. And I've spoken to the mayor about this. With the intention of saying, well, to wait now until the new CEO is on board, is going to be a six to 12 month exercise. It's time to get a corporate plan done. They need to get here, get their feet under the desk and get going. Absolutely. And then, so our position is that we spend some time reviewing the existing plan, and go back over it and make sure that it's relevant. And then, so that we're not just sort of sitting on it and it sits on the shelf. We bring it out, make sure it's relevant. If there's anything, because there's things in here that we've actually addressed and finished in the corporate plan, there may be some new direction. And this will help you in terms of making the councillors and in terms of making decisions against reports that come. But it will also help us in terms of how we direct our reports and how we direct our offices and our operations in line with the corporate plan.
01:21:00 Because the corporate plan is sort of sitting there in limbo in some respects. It's there, we're using it, but we're not prepared to really attack it. So that's our position. So we still say we'd get a new one when the new CEO comes on. But what we just want to do is have this one readdressed and make sure it's relevant and the relevant pieces and we're all refreshed on it. We've got new people like myself who haven't really had a session on it. And as you say, it's two years it's been sitting there. So time to have a look at it, check that it's relevant and then at least we've got them there for the next six or 12 months, whatever time it takes to get the new one on place. Speaker 2: It's really timely as well because we will be moving forward looking at developing a new operational plan and a budget process kicking off from after Christmas. So that will help, that will help to involve that. It will help bring it all together. Yeah. Fantastic. Right. Speaker 9: So if you're comfortable with that, that's it. That's it. That's it.
01:22:00 Thanks. Discussed. And I think this new council also needs to hone the plan. We'll need to be leading or steering the ship at that pace. I think we need to stay safe. Speaker 4: Yeah. We haven't had much of a meeting lately. Speaker 8: Stop putting a fingerprint or at least a footprint in there somewhere. So that's the meeting that's coming up. Thank you. Councillor Jurisevic: I have a question for the Director of Community Services. Pre-feasibility study on the Noosa Regional Gallery. I think I read it somewhere else. Awaiting appointment of a new manager. Libraries and Galleries Manager. How long since we've had a permanent Libraries and Galleries Manager? Speaker 4: So we have a trepidating action in that role. And the purpose of that was to get to the first group to go. So sitting within the whole group plan was to review our approach to how we deliver up to top group support. And then we had the pre-feasibility study to do with the Galleries Supposedly role.
01:23:00 The outcomes of those would determine what type of manager we needed in that group. So when we went through and did that pre-feasibility study, we recorded day one of the pre-feasibility gallery. We identified that there was an initial pattern found and appetite to move on to the next stage. So that and what we really looked at was we saw that the current gallery is no longer fit for purpose. And we can see that change is required. It's now a matter of what sort of challenge it is. So that piece of work and the work that we really identified that within the way that we deliver up compulsive shows that there's, with me moving into the directed role, there's a gap there that we need to fill. So we've done that. And it's identified that the manager, the permanent manager going forward, really needs
01:24:00 to have an up compulsive background. A strong one. And particularly one in the development of park infrastructure. So that's quite a special area. Now we deliberately left that because there was no point in bringing somebody with that skill set on if in fact we weren't going down that path. So we brought them on with an expectation for that skill set and then they would be here and not using it. Now that we've determined that, we've developed that position description ready to go out to the public. Councillor Jurisevic: Any idea when we have an expectation that will? Speaker 4: So I had a conversation with the external agency that's doing that last week. So I'm imagining it'll be in a couple of weeks. And then we'll get back to that information. And that will go out to look at that in the next month.
01:25:00 Councillor Jurisevic: So sometime early in the new year, perhaps? Speaker 4: I don't know. We would go out to the site of treatment. Yeah. We would go out to the site of treatment. Yeah. Councillor Jurisevic: So hopefully. Speaker 4: In the meantime, you know, between trades, you know, I would say that we would handle that. Councillor Jurisevic: So somewhere in the first quarter, have that position advertised and perhaps somebody looking like... Speaker 4: I hope so. Councillor Jurisevic: Hopefully getting on board with that. Speaker 4: And, you know, in the nature of that type of position, it's likely to attract people from the interstate. So the... Councillor Jurisevic: So many Victorians moving forward. Oh, a few Victorians. Amazing. Speaker 4: It may well be that there's a, you know, there's a swimming pool in Canterbury, but there's been a lot of infrastructure work being out in cultural space in Victoria and New South Wales, so there's a lot of people there with the type of experience that we've experienced before.
01:26:00 Councillor Jurisevic: Excellent. Good to hear. Anything else, councillors? All happy? Speaker 9: Can anyone give me an update with what's happening with the Noosa Headsman Beach Scent Program? It keeps getting delayed and delayed and delayed. Can I ask for some, maybe some information just to set you up with the councillors? Speaker 8: Sure. So we're currently, we're currently getting, still getting the permits in place because they're government, they're government-directed permits, so we're in the process of getting those. We can only do the work on the scent in the period of July through July. We can only do the work on the scent in November. Because of the grass and the hatchery or the fisheries, the fish hatchery in that area. So that's, that's the position. So we're basically getting the permits, we're getting our coastal engineer in place, so we're replacing that person. And we had somebody and they called out, so now we're back into the market again for that.
01:27:00 But we do, yeah, we have to get the, the plans and the, the permits organised and then the workers will be, you know, it's July next year. Councillor Jurisevic: It's an indication of how difficult and how challenging it is to get permits for any work in the land. Speaker 8: Absolutely. So that's, that's the position we're in. We're pretty confident, we're very confident that the, the, the dog beach, as we call it, is safe for now in terms of we have to be a perfect storm or storms. So that's, that's our understanding. That's the, that's the position or that's the advice that we've been given. Speaker 9: What's interesting when you walk around that, that cockpit is that the geobags, I think, those geobags and rocks work, everything else has it. Yes. Um.
01:28:00 They've kept their form and they look good. Um, so that's, that's just an observation. Exactly, exactly. Okay, we might have missed it and I'm just looking at it going, it's the, it's a great barrier whether we like it or not, it's, it's actually proven to be effective. Councillor Jurisevic: Yeah, so that's, that's what we're doing but we can't do it until it was in, was engineered and had the right type of people looking at it when, when it was implemented, so hopefully they're, you know, it isn't perfect but it has, it has, you know, done the job it was in, it's designed to. But it's certainly, it's certainly something that's on every list that I've got. Speaker 8: Yeah. There's a lot of jobs to do and work to be. Speaker 9: It's always, I'm just concerned that, you know, I know at high tide, um, riverside, it's under water, um, so, you know, I, that raises concerns for me that, it's something we can't just let go. Speaker 8: Yeah, that's your advice. The other thing I will say is that there is a, a fund that's been released last week, last Monday, I think it was, last Monday week, um, and we had, uh, Honourable Shane Stone here who is in control of that, that fund, he came and looked at that and looked at the main beach as well.
01:29:00 Yeah. Um, he's got about $400 million that he's looking to spend on disaster mitigation and, uh, we showed you this one and that's our, that's our number one and he, he was very, um, favourable of that one, so hopefully, um, so James Elliott's putting that together. That's terrific. Um, at the moment, so if we get that, that $1.2 million, I think, is the number that we're talking, um, if we get that, then we can, we can, we've got the money, we've got the permits and we can . That's good news. Yeah. Speaker 4: Yeah, but a couple of questions and one more before I worry, just in the, um, these could have been asked while I was outside the room, just the, we had a workshop about the communications and community engagement strategy. Yeah. I mean, a workshop in October. Where are we at with that one? Speaker 2: Okay, so, um, the second workshop is actually planned for after Christmas.
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01:30:00 Um, um, we want to also engage with the leadership team as well and internally within council, so the second workshop is planned for like, um, the, um, I can't recall the exact date, but it's after Christmas with the councillors. I was a little bit worried that we were putting too much space between it, but when you look at everyone's calendars and we do want to engage with the, with the leadership team, um, we, we feel that that's important. So, it will be just in the new year for that second one and then from there, we'll go, we'll have the strategy developed from there. Okay. And you? I'm sorry. I was just going to also say that if we are going then to look at the review of the corporate plan, it's a nice alignment as well because the engagement, um, goes with that, so. Speaker 4: Yep. Speaker 2: And the, oh, thank you, um, and I'm just looking at behind the schedule instead of one. Speaker 4: Yeah. And the workforce planning. Yeah. Um, and with people and culture. Um. Yeah. Just, where are we with that one? Because I know the employee surveys are coming back and stuff.
01:31:00 Speaker 2: Yeah. So, the workforce planning, um, it is behind schedule, um, but what is happening is it's being implemented, um, within different areas with, you know, sort of a, those are fragmented way. For example, the restructure that's being done, the infrastructure at the moment, one of our advisors is working closely with Craig, who is just here, and Larry in looking at planning what is the, you know, what needs to be delivered, what are the resources that are required, what are the positions, the design and that. So, it's being done, but it's being done in a fragmented way. So, it's not just an overarching workforce plan for the whole council, um, it's the individual advisors working with the relevant departments. We are a bit behind in it. We've had incredible turnover of staff and we've got temporary staff at the moment. And as you know, we're recruiting for the new Christmas culture advisor, um, manager. Yeah. But it is a priority going forward, um, but it is happening in a kind of a fragmented way at the moment. Thanks. Speaker 9: Could I just point out the annual Christmas convoy? Super excited.
01:32:00 Just got ahead of you. Oh, no, no. I just wanted to ask, um, so last year, I, I don't know whether it was, um, an omission Speaker 4: or not, but we reached out to a range of organizations, um, and they were all offered the opportunity to, um, look at whether or not they've got capacity to. Um, yeah. So, but I'll put it in the chat as well, to make sure that they do not get off due yet. Um. I know that this year they've been looking to certain patients who've only been for the last year and looked at some, um, other opportunities to come in. Um, so we're looking to be able to, um, stop at one or two or, you know.
01:33:00 Speaker 2: And maybe this year, in code restrictions, we can maybe try out some lollies. Speaker 4: Oh, yeah. They would be wonderful. Maybe, maybe not throw. We're in the lollies. Maybe not throw. We're in the lollies. We're in the lollies. We're in the lollies. We're in the lollies. So certainly with the food issue not up to use for us, we'd have to look and see what we're able to do to fix that. Councillor Jurisevic: Yeah, certainly COVID restrictions issue are a bit different to last year, so there might be some changes that might be up there. Speaker 4: Yeah, so obviously right at the moment what we're doing is understanding the new restrictions and a range of things that could come out, and so now that's my priority. Councillor Jurisevic: Thank you, thank you, thank you, thank you Mr Chair.