Agenda of Economic Development & Communications Committee Meeting

Agenda (Open Portion)

Economic Development & Communications Committee Meeting

Page 4

30/3/2017

Economic Development & Communications Committee Meeting (Open Portion) held Thursday, 30 March 2017 at 5.00 pm in the Lady Osborne Room, Town Hall.

COMMITTEE MEMBERS

Deputy Lord Mayor Christie (Chairman)

Zucco

Ruzicka

Thomas

Denison

ALDERMEN

Lord Mayor Hickey

Briscoe

Sexton

Burnet

Cocker

Reynolds

Harvey

Apologies:

Leave of Absence:

1. Co-Option of a Committee Member in the event of a vacancy

2. Confirmation of Minutes

The minutes of the Open Portion of the Economic Development & Communications Committee meeting held on Thursday, 23 February 2017, are submitted for confirming as an accurate record.

3. Consideration of Supplementary Items

Ref: Part 2, Regulation 8(6) of the Local Government (Meeting Procedures) Regulations 2015.

Recommendation

That the Committee resolve to deal with any supplementary items not appearing on the agenda, as reported by the General Manager.

4. Indications of Pecuniary and Conflicts of Interest

Ref: Part 2, Regulation 8(7) of the Local Government (Meeting Procedures) Regulations 2015.

Aldermen are requested to indicate where they may have any pecuniary or conflict of interest in respect to any matter appearing on the agenda, or any supplementary item to the agenda, which the committee has resolved to deal with.

5. Transfer of Agenda Items

Regulation 15 of the Local Government (Meeting Procedures) Regulations 2015.

A committee may close a part of a meeting to the public where a matter to be discussed falls within 15(2) of the above regulations.

In the event that the committee transfer an item to the closed portion, the reasons for doing so should be stated.

Are there any items which should be transferred from this agenda to the closed portion of the agenda, or from the closed to the open portion of the agenda?

Item No. 6.1

Agenda (Open Portion)

Economic Development & Communications Committee Meeting

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30/3/2017

REPORT TITLE: 2017-18 Fees and Charges - Tasmanian Travel and Information Centre

REPORT PROVIDED BY: Manager City Marketing

Director Community Development

1. Report Purpose and Community Benefit

1.1. The purpose of this report is to present the proposed fees and charges for the Tasmanian Travel and Information Centre for the 2017-18 financial year.

2. Report Summary

2.1. This report presents the fees and charges for advertising with the Tasmanian Travel and Information Centre (TTIC) and feeds into the 2017-18 financial year budget. It includes proposed new charges that relate to the refurbished Elizabeth Mall Information Booth.

3. Recommendation

That the schedule of fees and charges for the Tasmanian Travel and Information Centre marked as Attachment A to the report, be implemented for the 2017-18 financial year.

4. Background

4.1. The TTIC generates revenue by selling prime location advertising at the 20 Davey Street address and satellite operations at the Macquarie Wharf 2 cruise terminal and the Salamanca Market Information Point.

4.1.1. The revitalised Elizabeth Mall Information Booth, due to be completed in the first quarter of the new financial year, will provide opportunities for advertising revenue.

4.2. “Accredited” refers to a business that is accredited through the Australian Tourism Accreditation Program administered by the Tourism Industry Council of Tasmania.

4.3. Several fee increases and decreases for 2017-18 are proposed, which include:

4.3.1. A proposed increase of the DL sized accredited brochure display fee from $210 to $230 per annum.

4.3.2. A proposed increase of the A4 sized accredited brochure display fee from $385 to $425 per annum.

4.3.3. A proposed increase of the non-accredited DL size brochure display fee from $275 to $340, bringing this fee in line with the accredited fee to encourage tourism operators to become accredited. Accreditation reduces the need for the TTIC to check insurances, therefore reducing costs to the centre.

4.3.4. Proposed increases in the fees for the cruise terminal brochure displays and advertising in the cruise arrivals guide to reflect the increase in cruise ship visits to Hobart from 48 per annum in 2016-17 to 64 per annum in 2017-18.

4.4. There are several new proposed fees for 2017-18, which include:

4.4.1. Proposed new fees of $230 for a DL brochure and $425 for an A4/A5 brochure for businesses such as food, drink or retail that cannot, or do not need to become tourism accredited.

4.4.2. A proposed new fee of $150 for a carousel banner on the TTIC website. This is a new feature on the website.

4.4.3. A proposed new fee $250 to $350 per quarter (depending on the season) for advertising on the screen saver on the self-service tablets in the TTIC.

4.4.4. A proposed new fee of $50 to $100 per quarter (depending on the season) to advertise on the footer of itineraries and booking confirmations sent after a booking has been made. The footer will include a hyperlink to the advertisers’ website.

4.4.5. Proposed new fees for new opportunities for advertising in the revitalised Elizabeth Mall Information Booth.

5. Proposal and Implementation

5.1. It is proposed that the attached schedule of fees and charges for the TTIC be implemented for the 2017-18 financial year.

6. Strategic Planning and Policy Considerations

6.1. The change of fees and charges aligns with:

The Capital City Strategic Plan 2015-2025, Goal 1 - Economic Development, Vibrancy and Culture, “City growth vibrancy and culture comes when everyone participates in city life”.

Strategic Objective 1.4 - An enriched visitor experience.

“1.4.1 - Ensure Council owned assets reflect visitor requirements.

1.4.2 - Engage and continue to work with the tourism sector.”

7. Financial Implications

7.1. Funding Source and Impact on Current Year Operating Result

7.1.1. Fees and charges for the TTIC are accounted for in the 2017-18 Community Development Division.

7.1.2. A 4.59% increase is proposed for existing advertising revenue charges for 2017-18, totalling an additional $9,563.27.

7.1.3. A further 8.05% increase in advertising revenue ($16,750.02) reflects new income opportunities involving the refurbished mall booth and those presented by the new booking system (Bookeasy) installed in December 2016.

7.1.4. When these new income streams are combined with the proposed increase to existing advertising revenue charges, there is an overall 12.64% increase in advertising revenue ($26,313.29) compared with the 2016-17 advertising revenue budget.

7.2. Impact on Future Years’ Financial Result

7.2.1. The impact on future years’ financial results would be subject to the Council’s annual review process of fees and charges.

8. Legal, Risk and Legislative Considerations

8.1. Not applicable.

9. Delegation

9.1. This matter is delegated to the Council.

As signatory to this report, I certify that, pursuant to Section 55(1) of the Local Government Act 1993, I hold no interest, as referred to in Section 49 of the Local Government Act 1993, in matters contained in this report.

Iris Goetzki

Manager City Marketing

Philip Holliday

Director Community Development

Date: 22 March 2017

File Reference: F17/25108; 17/41

Attachment a: Tasmanian Travel and Information Centre Fees and Charges 2017-18 ⇩

Item No. 6.2

Agenda (Open Portion)

Economic Development & Communications Committee Meeting

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30/3/2017

REPORT TITLE: Economic Development Strategy 2017 - 2021

REPORT PROVIDED BY: Economic Development Project Officer

Group Manager Executive & Economic Development

1. Report Purpose and Community Benefit

1.1. The purpose of this report is to introduce the Draft Economic Development Strategy 2017–21.

1.2. This strategy will guide the Economic Development Unit’s contribution to improving the performance of the local economy over the next four years.

1.3. Benefits to the community include increased business satisfaction, increased economic participation and increased engagement of businesses with the City of Hobart.

2. Report Summary

2.1. Council on 13 July 2015 resolved:

That:

The Council agree to a mid-term review of the current Economic Development Strategy, following the completion of a ‘gaps and opportunities’ report.

2.2. The ‘gaps and opportunities’ report was completed in March 2016 by AEC Group (a company specialising in evidence-based analysis).

2.3. This gaps and opportunities report, along with analysis conducted by the Economic Development Unit was used as the basis for the Draft Economic Development Strategy 2017–2021 (Attachment A).

3. Recommendation

That:

1. The Council endorse the Draft Economic Development Strategy 2017 – 21.

4. Background

4.1. Council resolved the need for a mid-term review of the existing 2013-18 economic development strategy (Attachment B) because it became apparent that changes to the economic landscape of Hobart reduced the relevance of a number of the strategy’s actions.

4.2. An example of the changing economic landscape is the demand for office space. By 2006, office vacancy rates in the city dropped to less than 2 per cent as employment rose in office-based sectors. For this reason, the previous two economic development strategies included a number of actions relating to office space, including identifying issues constraining the creation of new office developments.

In July 2015, total office vacancy was recorded at 8.1 per cent in the six months to July 2016 which suggests an increased role for property agents in letting available space or property owners in making their existing office space more attractive to the market. For this reason, the Draft Economic Development Strategy 2017–21 has a lesser focus on the demand and supply of office space.

4.3. The key themes of the existing 2013-18 economic development strategy are:

- Understand the economic drivers for a local or regional economy

- Understand the weaknesses, vulnerabilities and opportunities within communities

- Seek to broaden the economic base and minimise impacts

- Establish strategic alliances and relationships with existing or potential businesses or markets both domestic and international

- Create networks within communities to build relevance, engagement and participation

4.4. Following the completion of the ‘gaps and opportunities report’ by AEC Group in March 2016, the draft economic development strategy was developed.

4.5. The content of the strategy is purposely brief and succinct as it is intended that the document could appeal to and be understood by as wide an audience as possible.

4.5.1. The strategy is supported by a draft background paper that provides additional detail relating to key aspects of the strategy. (Attachment C).

4.6. A key purpose of the strategy is to set out the role of the Economic Development Unit in contributing to improvements in the performance of the local economy.

4.6.1. The strategy also summarises work being completed by other units within the City of Hobart that contribute to economic development outcomes.

4.7. The strategy articulates what the City of Hobart is aiming to achieve in the area of economic development, both as a leader and supporter. These are:

- A better understanding of the economy of Hobart

- More people

- More investment

- Increased business satisfaction

- Increased income for all

4.8. Four themes were formulated by considering sources such as the aims listed above, existing City of Hobart strategies, AEC Group analysis, discussions with stakeholders, Australian Bureau of Statistics census data and projections and the City’s biennial community consultation survey. The four themes that emerged are:

1) Focus on partnership

2) Increase our knowledge and capability

3) Build on our strengths

4) Enable our future

4.9. To ensure the work of the Economic Development Unit remains current, yearly action plans will be formulated in conjunction with the themes. Progress against the action plans will be reported to the Council annually along with a draft action plan for the following year for Council approval.

4.9.1. The first year action plan is included in the Draft Economic Development Strategy 2017–21

4.9.2. The background paper includes draft plans for 2018, 2019 and 2020, in order to ensure integrated thinking over the duration of this strategy.

5. Proposal and Implementation

5.1. Should the Council endorse the Draft Economic Development Strategy 2017–21 it will become the guiding document for the work of the Economic Development Unit with immediate effect.

5.2. On an annual basis, the Economic Development Unit will report progress against the current action plan and present the new draft action plan to the Council.

6. Strategic Planning and Policy Considerations

6.1. The development of an economic development strategy is in line with the following action (1.1.5) listed in the Capital City Strategic Plan 2015-2025:

Strategic Objective 1.1 – Partnerships with Government, the education sector and business create city growth.

1.1.5 – Implement the City of Hobart’s Economic Development Strategy.

6.2. The four key themes of the Draft Economic Development Strategy 2017–21 can be traced back to the Capital City Strategic Plan 2015-2025 and thus to the city’s overarching vision, Hobart 2025: A Strategic Framework. The background paper illustrates this strategic fit through an illustrative diagram.

7. Financial Implications

7.1. Funding Source and Impact on Current Year Operating Result

7.1.1. Endorsement of the Draft Economic Development Strategy 2017–21 will not have an impact on the current year operating result. Actions listed in the new strategy can be delivered in line with the current budget.

7.2. Impact on Future Years’ Financial Result

7.2.1. Development of future years’ budgets will be done in conjunction with the formulation of the action plan for that year.

7.3. Asset Related Implications

7.3.1. None

8. Legal, Risk and Legislative Considerations

8.1. This document is not legally binding.

9. Environmental Considerations

9.1. The impacts of climate change upon the economy of Hobart and Tasmania are touched upon in the background paper. Although the City of Hobart is not the leading agency in investigating and addressing these issues, it is clear that they will require a whole of government and whole of community response to lessen their instances and impacts.

9.1.1. The development of yearly action plans allows the Economic Development Unit flexibility to devote resources to challenges / opportunities that become prevalent. By its very nature, the impacts of climate change can be hard to predict and so the format of the new Draft Economic Development Strategy 2017–21 allows for partnership responses to such matters.

10. Social and Customer Considerations

10.1. One of the four major themes of the Draft Economic Development Strategy 2017–21 is a focus on partnership. A key element of this is to improve the way the City of Hobart engages with local businesses. The intention of this is to present the business community more opportunities to participate as community members.

11. Marketing and Media

11.1. This Draft Economic Development Strategy 2017–21 has been created with the City of Hobart branding and will be available on the City of Hobart website.

12. Community and Stakeholder Engagement

12.1. Stakeholder engagement was conducted by the AEC Group in the formulation of gaps and opportunities that feed into the strategy. Key stakeholders that were consulted are:

Hobart International Airport

Macquarie Point Development Corporation

Department of State Growth

Destination Southern Tasmania

The Property Council

Hobart Chamber of Commerce

Antarctic Tasmania

Tasmanian Polar Network

Sultan Holdings

Raadas Property Pty. Ltd.

Knight Frank

University of Tasmania

13. Delegation

13.1. This matter is one for Council

Lucy Knott

Economic Development Project Officer

Tim Short

Group Manager Executive & Economic Development

Date: 23 March 2017

File Reference: F17/28691

Attachment a: Draft Economic Development Strategy 2017-21 ⇩

Attachment b: Economic Development Strategy 2013-18 ⇩

Attachment c: Economic Development Strategy 2017-21 Background Report ⇩

Item No. 6.2

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ATTACHMENT a

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ATTACHMENT c

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8. Questions Without Notice

Section 29 of the Local Government (Meeting Procedures) Regulations 2015.

File Ref: 13-1-10

An Alderman may ask a question without notice of the Chairman, another Alderman, the General Manager or the General Manager’s representative, in line with the following procedures:

1. The Chairman will refuse to accept a question without notice if it does not relate to the Terms of Reference of the Council committee at which it is asked.

2. In putting a question without notice, an Alderman must not:

(i) offer an argument or opinion; or

(ii) draw any inferences or make any imputations – except so far as may be necessary to explain the question.

3. The Chairman must not permit any debate of a question without notice or its answer.

4. The Chairman, Aldermen, General Manager or General Manager’s representative who is asked a question may decline to answer the question, if in the opinion of the respondent it is considered inappropriate due to its being unclear, insulting or improper.

5. The Chairman may require a question to be put in writing.

6. Where a question without notice is asked and answered at a meeting, both the question and the response will be recorded in the minutes of that meeting.

7. Where a response is not able to be provided at the meeting, the question will be taken on notice and

(i) the minutes of the meeting at which the question is asked will record the question and the fact that it has been taken on notice.

(ii) a written response will be provided to all Aldermen, at the appropriate time.

(iii) upon the answer to the question being circulated to Aldermen, both the question and the answer will be listed on the agenda for the next available ordinary meeting of the committee at which it was asked, where it will be listed for noting purposes only.

about people	We value people – our community, our customers and colleagues.
professional	We take pride in our work.
enterprising	We look for ways to create value.
responsive	We’re accessible and focused on service.
inclusive	We respect diversity in people and ideas.
making a difference	We recognise that everything we do shapes Hobart’s future.