City
of hobart
AGENDA
Finance and Governance Committee Meeting
Open Portion
Tuesday, 17 September 2019
at 4:30 pm
Lady Osborne Room, Town Hall
City
of hobart
AGENDA
Finance and Governance Committee Meeting
Open Portion
Tuesday, 17 September 2019
at 4:30 pm
Lady Osborne Room, Town Hall
THE MISSION
Working together to make Hobart a better place for the community.
THE VALUES
The Council is:
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People |
We value people – our community, our customers and colleagues. |
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Teamwork |
We collaborate both within the organisation and with external stakeholders drawing on skills and expertise for the benefit of our community. |
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Focus and Direction |
We have clear goals and plans to achieve sustainable social, environmental and economic outcomes for the Hobart community. |
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Creativity and Innovation |
We embrace new approaches and continuously improve to achieve better outcomes for our community. |
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Accountability |
We work to high ethical and professional standards and are accountable for delivering outcomes for our community. |
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Agenda (Open Portion) Finance and Governance Committee Meeting |
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17/9/2019 |
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Business listed on the agenda is to be conducted in the order in which it is set out, unless the committee by simple majority determines otherwise.
APOLOGIES AND LEAVE OF ABSENCE
1. Co-Option of a Committee Member in the event of a vacancy
3. Consideration of Supplementary Items
4. Indications of Pecuniary and Conflicts of Interest
6.1 Local Government Legislative Framework Review
6.2 Council Policy Manual Review 2019
6.3 2018-19 Annual Plan - Final Report
6.4 Annual Review of Loan and Investment Portfolios - 30 June 2019
6.5 Southern Tasmania Council Authority Update
7. Motions of which Notice has been Given
7.1 Condell Place Car Park - Redevelopment
8. Committee Action Status Report
8.1 Committee Actions - Status Report
9. Responses to Questions Without Notice
11. Closed Portion Of The Meeting
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Agenda (Open Portion) Finance and Governance Committee Meeting |
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17/9/2019 |
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Finance and Governance Committee Meeting (Open Portion) held Tuesday, 17 September 2019 at 4:30 pm in the Lady Osborne Room, Town Hall.
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COMMITTEE MEMBERS Zucco (Chairman) Deputy Lord Mayor Burnet Sexton Thomas Dutta
NON-MEMBERS Lord Mayor Reynolds Briscoe Denison Harvey Behrakis Ewin Sherlock |
Apologies:
Leave of Absence:
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The minutes of the Open Portion of the Finance and Governance Committee meeting held on Tuesday, 13 August 2019, are submitted for confirming as an accurate record.
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Ref: Part 2, Regulation 8(6) of the Local Government (Meeting Procedures) Regulations 2015.
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That the Committee resolve to deal with any supplementary items not appearing on the agenda, as reported by the General Manager.
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Ref: Part 2, Regulation 8(7) of the Local Government (Meeting Procedures) Regulations 2015.
Members of the committee 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.
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?
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Agenda (Open Portion) Finance and Governance Committee Meeting |
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6.1 Local Government Legislative Framework Review
Memorandum of the General Manager of 11 September 2019 and attachments.
Delegation: Council
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Item No. 6.1 |
Agenda (Open Portion) Finance and Governance Committee Meeting |
Page 7 |
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17/9/2019 |
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Memorandum: Finance and Governance Committee
Local Government Legislative Framework Review
Purpose
The purpose of this report is for the Council to consider a response to the Reform Directions Paper (“the Paper”) released by the Government as part of Phase Two of the review of Tasmania’s Local Government Legislative Framework.
Background
· The Paper was released by the Government on 3 July 2019 and circulated to elected members via the Hub that day.
· The Paper outlines the proposed reforms to Tasmania’s local government legislative framework.
· A copy of the Paper is included as Attachment A to this report.
The reform options outlined in the Paper have been considered by officers and a proposed position on each option in the Paper has been identified in the table which forms Attachment B to this report.
· The proposed position has been formed based on previous positions of the Council, the Council’s submission to the earlier stages of this review and the view of officers of the Council in the absence of a formal position by the Council.
For ease of reference, previous submissions on related matters have been included in a single story within the General Communications folder on the Hub.
The Tasmanian Government, in initiating this local government legislative reform agenda, has stated that:
The intended outcome of this wholesale Local Government Legislative Review (the Review) is a contemporary, flexible and best-practice legislative framework that will support greater innovation, flexibility and productivity in the sector, to improve the overall efficiency and effectiveness of the services that councils provide to the Tasmanian community. It will enhance accountability and transparency across the sector and increase democratic and community engagement, participation and confidence in local government. In achieving these aims, it will also minimise the red tape and administrative burden on councils, businesses and the broader community.
The City of Hobart would not argue that these outcomes are desirable but in participating in this review the City needs to ensure that these broad objectives are achieved without restricting the autonomy of local areas in determining their own future or by creating a system of controls and limitations that remove the independence of councils to operate in a manner appropriate to the time and the environment in which they exist.
In responding to this review the Council is mindful that a “one size fits all” Local Government Act will require careful tailoring to satisfy these concerns. However, while the improvements to the electoral provisions and community engagement principles are generally supported a number of proposed reforms seek to create a compliance culture and what appears to be “executive overreach” into the operations and autonomy of Councils.
If the stated objective is to minimise the red tape and administrative burden on councils a number of the proposals outlined in the Paper will run counter to that intent.
· A modernised legislative framework should include less prescription and greater flexibility as opposed to increased controls and compliance.
In this vein the response to the Paper is framed around discussing the general reform directions and suggested Council position.
· Where reforms are supported, that support comes with a backdrop that any agreement or otherwise will be contingent on close examination of the detail behind the proposals as the review progresses into the later stages.
· Additionally it will be important to monitor the development of any regulations pursuant to any new legislation.
It is suggested that the table in Attachment B be worked through on an ‘exception basis’, however there are some specific reform options that warrant drawing the attention of elected members. These are either where officers have not formed a proposed position on the reform option or where the officers’ view ought to be tested by the elected members. These are as follows:
5. Reform eligibility for the General Manager’s Roll.
7. Simplify the election process for the positions of mayor and deputy mayor.
13. Introduce a candidate nomination fee.
16. Remove the title of ‘Alderman’.
19. Remove requirements for public meetings and elector polls.
29. Establish an independent rates oversight mechanism.
48. Introduce the option to create Regional Councils.
51. Voluntary amalgamation.
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That: 1. The Council adopt the positions in respect of each Reform Direction identified in the fourth column of table in Attachment B to this report and form a position in respect to those that do not yet have a position. 2. The General Manager be authorised to provide a submission to the Local Government Legislation Review conveying the Council’s position contained in Attachment B to this report.
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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.
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N D Heath General Manager |
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Date: 11 September 2019
File Reference: F19/121549; 15/153-201
Attachment a: Local
Government Legislative Review - Reform Directions Paper
⇩ 
Attachment
b: Reform
Options Summary Paper ⇩
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Item No. 6.1 |
Agenda (Open Portion) Finance and Governance Committee Meeting - 17/9/2019 |
Page 10 ATTACHMENT a |
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Agenda (Open Portion) Finance and Governance Committee Meeting - 17/9/2019 |
Page 62 ATTACHMENT b |
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Agenda (Open Portion) Finance and Governance Committee Meeting |
Page 105 |
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6.2 Council Policy Manual Review 2019
Report of the Deputy General Manager of 12 September 2019 and attachment.
Delegation: Council
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Item No. 6.2 |
Agenda (Open Portion) Finance and Governance Committee Meeting |
Page 106 |
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17/9/2019 |
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REPORT TITLE: Council Policy Manual Review 2019
REPORT PROVIDED BY: Deputy General Manager
1. Report Purpose and Community Benefit
1.1. The purpose of this report is to present to the Council the findings from the 2019 review of the City’s Policy Manual.
2. Report Summary
2.1. To ensure good governance, the City’s Policy Manual has been reviewed for relevance, accuracy and currency.
2.2. The Policy Manual contains 85 policies. All of which have been reviewed by relevant officers across all five Council Divisions.
2.3. Attached is a summary of recommendations in respect to that review (Attachment A).
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That: 1. Council endorse the schedule of Council Policies, as shown in Attachment A, for presentation to the Finance and Governance Committee at its meeting of 17 September 2019. 2. A review of the City’s Policy Manual be undertaken every two years with the next review to be scheduled for September 2021. |
4. Background
4.1. The City’s Policy Manual has recently been reviewed for relevance, accuracy and currency reviewed by each of the five owner Divisions.
4.2. 85 policies are listed in the City’s Policy Manual. All policies are presented to Council, irrespective of whether changes are proposed, as a good governance practice. A summary of recommendations is provided at attachment A.
4.3. Historically, the City has conducted an annual review of all its policies, however a full review has not been undertaken since 2016. As a result, a higher number of policies require amendment.
4.3.1. 61 policies are recommended for amendment. There are no significant changes proposed, the majority are to reflect the recent organisation restructure, improve grammar, consistency, clarity or updates to strategic or legislative references.
4.3.2. 18 polices have been reviewed and don’t require any amendments.
4.3.3. There are four recommendations to rescind a policy:
· Code for Tenders and Contracts – this is no longer required as a Code is now required by legislation and was adopted by Council in June 2019.
· Sale of Plant, Vehicles and Equipment – this has been combined with the policy titled ‘Disposal of Surplus Goods and Equipment’.
· Hired Use of Parks and Reserve – Charging of Entry Fees by Hirer – Proposals for such events are considered by the Director under existing delegation so was deemed to no longer be required.
· Commercial Vending – Elizabeth Mall – combined with the policy tilted ‘Elizabeth Mall – Commercial Events Featuring Advertising’.
4.3.4. There are two new policies:
· Removal of City of Hobart Trees
· Council Tree Compensation
4.3.4.1. Both policies has been developed to support the City of Hobart Street Tree Strategy which was adopted in in 2017.
4.3.4.2. In February 2019, in line with the Strategy, Council resolved to implement a compensation fee when a public tree is approved for removal that is associated with a private development. The Council Tree Compensation policy documents that policy decision.
4.3.5. The policy Meetings: Procedures and Guidelines has been amended to specifically respond to a Notice of Motion adopted by the Council on 17 June 2019 requesting that the policy be reviewed as it relates to Notice of Motions. The resultant amendment is based on the Council’s desire to simplify the process for Notice of Motions but also advice from the Director Local Government, which was circulated to elected members via the Hub on 12 June 2019. The amended policy forms Appendix 27 in Attachment A.
4.3.6. The policy Elected Members’ Development and Support has been amended in response to the Council resolution of 9 September 2019 in respect to elected member use of Social Medial Guidelines. The amended policy forms Appendix 10 in Attachment A.
5. Proposal and Implementation
5.1. It is proposed that Council endorse the schedule of Council Policies shown in attachment A, for presentation to the Finance and Governance Committee at its meeting of 17 September 2019.
5.2. It is proposed that reviews of the Policy Manual be scheduled to occur every two years with the next review to be undertaken in September 2021.
6. Strategic Planning and Policy Considerations
6.1. The review of the City’s Policy Manual is aligned with Goal 5 of City’s Capital City Strategic Plan 2015-2025, specifically objective 5.1;
6.1.1. The organisation is relevant to the community and provides good governance and transparent decision-making.
7. Delegation
7.1. 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.
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Heather Salisbury Deputy General Manager |
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Date: 12 September 2019
File Reference: F19/121485
Attachment a: Recommendation
Summary and Apenndix ⇩ 
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Item No. 6.2 |
Agenda (Open Portion) Finance and Governance Committee Meeting - 17/9/2019 |
Page 109 ATTACHMENT a |
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Item No. 6.2 |
Agenda (Open Portion) Finance and Governance Committee Meeting - 17/9/2019 |
Page 261 ATTACHMENT a |
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Item No. 6.2 |
Agenda (Open Portion) Finance and Governance Committee Meeting - 17/9/2019 |
Page 265 ATTACHMENT a |
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Item No. 6.3 |
Agenda (Open Portion) Finance and Governance Committee Meeting |
Page 501 |
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17/9/2019 |
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6.3 2018-19 Annual Plan - Final Report
Report of the Manager Economic Development, Engagement and Strategy and the Director Community Life of 6 September 2019 and attachments.
Delegation: Council
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Item No. 6.3 |
Agenda (Open Portion) Finance and Governance Committee Meeting |
Page 502 |
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17/9/2019 |
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REPORT TITLE: 2018-19 Annual Plan - Final Report
REPORT PROVIDED BY: Manager Economic Development, Engagement and Strategy
Director Community Life
1. Report Purpose and Community Benefit
1.1. The purpose of this is to present the 2018-19 Annual Plan final report for the period ended 30 June 2018 (refer Attachment A)
1.1.1. Performance on each of the major actions and initiatives in the plan will be included in the City of Hobart 2018-19 Annual Report.
1.2. The Annual Plan Final Report sets out major actions and initiatives for the fourth year of the current Capital City Strategic Plan 2015–25.
2. Report Summary
2.1. The Annual Plan is required pursuant to S71 of the Local Government Act 1993.
2.2. Three reports are prepared throughout the financial year providing an account on progress against each of the major actions and initiatives in the Annual Plan. The reporting periods for the 2018-19 Annual Plan are as follows:
Progress Report – period ending 31 October 2018
Progress Report – period ending 28 February 2019
Final Report (Annual Report) – period ending 30 June 2019
2.3. At the conclusion of the 2018-19 year of the 128 initiatives listed in the 2018-19 Annual Plan, 125 had commenced with 85 (66.4 per cent) major actions and initiatives completed, 40 (31.3 per cent) underway and 3 (2.3 per cent) yet to commence.
2.3.1. Of the initiatives listed as underway 26 (67 per cent) are multi-year actions or projects for example the New Town Local Retail precinct upgrade, and 13 (33 per cent) are nearing completion, or have been substantially progressed during the year, for example the strategic plan review or the master plan for the Battery Point slipyards site.
2.3.2. The three initiatives that have not commenced relate to the implementation of public health guidelines for the control of legionella, recreational water quality and beauty, body art and body modification. The guidelines have not been finalised by the state government.
2.4. During 2018-19 the City continued to progress a number of its major medium-term projects which include the capital works program Transforming Hobart, the implementation of new business systems (Project Phoenix), the review of the strategic plan, development of the Connected Hobart Framework and leading discussions in relation to a Capital City Act and a City Deal for Hobart.
2.5. In addition to the major actions and initiatives in the annual plan, there were substantial actions undertaken in the governance area during 2018-19 including the local government elections and organising and hosting two public meetings and an elector poll.
2.6. It is proposed that the Council endorse the Annual Plan Final report for the period ended 30 June 2019.
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That the Council endorse the Annual Plan Final Report for the period ending 30 June 2019, marked as attachment A to this report. |
4. Background
4.1. The Annual Plan is required pursuant to S71 of the Local Government Act 1993 that describes the actions to be undertaken to achieve the objectives of the Strategic Plan.
4.2. The Strategic Plan is a requirement pursuant to S66 of the Local Government Act 1993 and the Local Government (Miscellaneous Amendments) Act 2013. The Council is required to develop a strategic plan every ten years and review at least every four years.
4.3. The Council at its meeting on 9 November 2015 endorsed the ten year strategic plan titled Capital City Strategic Plan 2015-25.
4.3.1. A review of the strategic plan has been undertaken and is nearing completion.
4.4. The Council at its meeting on 18 June 2018 adopted the City of Hobart Annual Plan for the 2018-19 year which sets out how the Strategic Objectives of the ten year strategic plan will be met.
4.5. Three reports are prepared throughout the financial year providing an account on progress against each of the major actions and initiatives in the Annual Plan. The reporting periods for the 2018-19 Annual Plan are as follows:
Progress Report – period ending 31 October 2018
Progress Report – period ending 28 February 2019
Final Report (Annual Report) – period ending 30 June 2019
4.6. Accordingly, this report is the final report and it details the status of all major actions and initiatives undertaken during 2018-19. This report will inform the 2018-19 Annual Report.
Progress
4.7. At the conclusion of the 2018-19 year, of the 128 initiatives listed in the 2018-19 Annual Plan, 125 had commenced with 85 (66.4 per cent) major actions and initiatives completed, 40 (31.3 per cent) underway and 3 (2.3 per cent) yet to commence.
4.7.1. Of the initiatives listed as underway 26 (67 per cent) are multi-year actions or projects for example the New Town Local Retail precinct upgrade, and 13 (33 per cent) are nearing completion, or have been substantially progressed during the year, for example the strategic plan review or the master plan for the Battery Point slipyards site.
4.7.2. The three initiatives that have not commenced relate to to the implementation of public health guidelines for the control of legionella, recreational water quality and beauty, body art and body modification. The guidelines have not been finalised by the state government.
Overview of progress of implementation of major actions and initiative by goal.
Overview
of progress of implementation of major actions
and initiatives.
Overview of major actions and initiatives underway
Major actions and initiatives
4.8. Through the major actions and initiatives within the Annual Plan the City of Hobart continued to progress its major medium-term projects during 2018-19.
4.9. Transforming Hobart (the City’s most ambitious capital works plan to date), the implementation of new business systems (Project Phoenix), the review of the strategic plan, development of the Connected Hobart Framework and Action Plan and the signing of City Deal for Hobart.
4.9.1. Transforming Hobart projects undertaken in 2018-19 include:
· completion and opening of the Bridge of Remembrance
· progress toward the completion of the all abilities shared access bridge at the Brooker Highway
· the integrated parking system, to replace on street parking meters in the city and to introduce new technology including in ground sensors and a pay by phone mobile app
· completion of the Lenah Valley retail precinct program and the commencement of construction at the New Town retail precinct
· the upgrade of Kemp Street (including a commercial waste and recycling receiving facility);
· renewal works at the Doone Kennedy Hobart Aquatic Centre
· track works on kunanyi / Mount Wellington and
· public toilet upgrades and new facilities.
4.9.2. In addition to the Transforming Hobart projects the City’s asset renewal program is a substantial undertaking with enhanced project management systems that will increase the city’s capacity to deliver projects.
4.9.3. The implementation of new business systems Project Phoenix continues as the City focuses on putting the customer at the centre of everything it does. The programs implemented in 2018-19 are:
· Payroll
· Bookings
· Hazard ID
· Animal Management
· Permits and Licences
· Health Manager
· Navison (accounts receivable and Property and Rating)
4.9.4. The Connected Hobart Framework and Action Plan has been progressed this year through extensive community engagement and public forums.
4.9.5. The review of the Capital City Strategic Plan has been undertaken during this year to ensure that the community vision is reflected. The review involved extensive engagement with elected members and staff between February and May 2019.
Details of major achievements from the Annual Plan that have been completed or substantially undertaken during the 2018-19 year are provided in Attachment B.
5. Strategic Planning and Policy Considerations
5.1. The preparation of the report provides an account of the major actions and initiatives identified for the 2018-19 financial year as set out in the Annual Plan.
5.2. The major actions and initiatives progress the City of Hobart in achieving the goals and objectives of the ten year Capital City Strategic Plan 2015-25.
6. Financial Implications
6.1. Funding Source and Impact on Current Year Operating Result
6.1.1. The Annual Plan is a companion document to the annual budget estimates. All major actions and initiatives identified within the Plan have budget allocations.
7. Legal, Risk and Legislative Considerations
7.1. The City of Hobart’s Strategic Risk Register addresses the strategic risks associated with the implementation of the Capital City Strategic Plan 2015-25.
7.2. The successful implementation of the Annual Plan contributes to mitigating these risks.
7.3. The Annual Plan is required pursuant to S71 of the Local Government Act 1993 and sets out how the strategic objectives of the ten year strategic plan will be met during 2018-19. This report provides detail on the progress of the implementation of the major actions and initiatives in 2018-19.
8. Social and Customer Considerations
8.1. The preparation of the Annual Plan progress report along with the Annual Report is an important activity in communicating to the community the many achievements of the Council as well as fulfilling a number of statutory requirements.
9. Community and Stakeholder Engagement
9.1. Directors, Executive Officers and responsible officers were consulted in the preparation of this report.
10. Delegation
10.1. 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.
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Luke Doyle Manager Economic Development, Engagement and Strategy |
Tim Short Director Community Life |
Date: 6 September 2019
File Reference: F19/102440
Attachment a: 2018-19
Annual Plan Final Progress Report - period ending 30 June 2019 ⇩ 
Attachment
b: 2018-19
Annual Plan major achievments summary - period ending 30 June 2019 ⇩ 
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Item No. 6.3 |
Agenda (Open Portion) Finance and Governance Committee Meeting - 17/9/2019 |
Page 509 ATTACHMENT a |
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Agenda (Open Portion) Finance and Governance Committee Meeting - 17/9/2019 |
Page 554 ATTACHMENT b |
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Agenda (Open Portion) Finance and Governance Committee Meeting |
Page 557 |
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17/9/2019 |
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6.4 Annual Review of Loan and Investment Portfolios - 30 June 2019
Report of the Manager Finance and the Deputry General Manager of 12 September 2019.
Delegation: Committee
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Item No. 6.4 |
Agenda (Open Portion) Finance and Governance Committee Meeting |
Page 558 |
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17/9/2019 |
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REPORT TITLE: Annual Review of Loan and Investment Portfolios - 30 June 2019
REPORT PROVIDED BY: Manager Finance
Deputy General Manager
1. Report Purpose and Community Benefit
1.1. The purpose of this report is to provide details of the Council’s current loan and investment portfolios, and to discuss early repayment options.
2. Report Summary
2.1. At its meeting held on 21 September 2013, the Finance and Corporate Services Committee requested a report be provided reviewing the Council’s current loan and investment portfolios, noting the interest rate differential between the two portfolios, with such a review to occur annually.
2.2. Loan Portfolio
2.2.1. As at 30
June 2019, the Councils loan portfolio comprised eight loans with a total balance
of $38.141 million and a weighted average interest rate of 4.16% per annum.
Details are as follows:
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Lender |
Original Loan Amount ($,000) |
Drawdown Date |
Term (years) |
Maturity Date |
Interest Rate (fixed) |
Balance ($,000) |
Early Repayment Cost |
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C'wealth Bank |
4,800 |
30/06/2006 |
30 |
30/06/2036 |
6.41% |
3,717 |
1,579 |
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Tascorp |
1,750 |
30/06/2010 |
10 |
30/06/2020 |
6.48% |
229 |
7 |
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Tascorp |
1,850 |
30/06/2011 |
10 |
30/06/2021 |
6.24% |
466 |
26 |
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Tascorp |
5,000 |
29/06/2012 |
10 |
29/06/2022 |
4.89% |
1,761 |
84 |
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Tascorp |
2,500 |
28/06/2013 |
10 |
30/06/2023 |
5.13% |
1,154 |
77 |
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Tascorp |
2,375 |
30/06/2014 |
10 |
30/06/2024 |
4.56% |
1,321 |
87 |
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National |
10,000 |
29/06/2018 |
15 |
30/02/2033 |
4.02% |
9,493 |
1,000 |
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Tascorp |
20,000 |
18/01/2019 |
15 |
18/01/2034 |
3.59% |
20,000 |
1,939 |
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38,141 |
4,799 |
2.2.2. The loan portfolio currently includes loans taken out between 2006 and 2019, during which time interest rates have reduced. As a result, these loans are costing more than the current market rate of interest.
2.2.3. Each loan is subject to an early repayment fee which would be payable in addition to the outstanding principal and any accrued interest. The early repayment fees make it unattractive to refinance the loans at a lower interest rate.
2.3. Investment Portfolio
2.3.1. As at 30 June 2019, Council’s investment portfolio comprised of seven term deposits totalling $8.3 million. The weighted average interest rate of the term deposits was 2.08% per annum.
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That the Finance and Governance Committee receive and note the information contained in the report titled “Annual Review of Loan and Investment Portfolios – June 2019”.
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4. Delegation
4.1. This matter is delegated to the Committee.
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.
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Michael Greatbatch Manager Finance |
Heather Salisbury Deputy General Manager |
Date: 12 September 2019
File Reference: F19/120810
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Item No. 6.5 |
Agenda (Open Portion) Finance and Governance Committee Meeting |
Page 560 |
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17/9/2019 |
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6.5 Southern Tasmania Council Authority Update
Memorandum of the General Manager of 9 September 2019 and attachment.
Delegation: Council
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Item No. 6.5 |
Agenda (Open Portion) Finance and Governance Committee Meeting |
Page 561 |
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17/9/2019 |
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Memorandum: Finance and Governance Committee
Southern Tasmania Council Authority Update
I attach a copy of the draft minutes from the STCA Board meeting held at Tasman Council on 12 August, 2019.
Elected Members will note that Mayor Bec Enders from Huon Valley Council was elected as Chair and Deputy Lord Mayor Helen Burnet was elected as Deputy Chair.
Elected Members will also note, that the STCA Board intends to conduct a Workshop to develop a list of significant projects for the region, and to invite Clarence and Glenorchy City Councils and Kingborough Council to the Workshop.
From Hobart’s perspective, the items listed in the Draft Implementation Plan for the City Deal will be included.
The Board is also considering the possibility of developing a Regional Strategy for the South, in conjunction with RDA Tasmania. The development of this Strategy will open the door to the potential for more Australian Government funding, through programs such as the Building Better Regions Fund (round 4).
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That: 1. That the update on the activities on the Southern Tasmania Council Authority be noted.
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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.
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N D Heath General Manager |
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Date: 9 September 2019
File Reference: F19/120777; 18/17
Attachment a: STCA
- Draft Minutes - 12 August 2019 ⇩ 
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Item No. 6.5 |
Agenda (Open Portion) Finance and Governance Committee Meeting - 17/9/2019 |
Page 563 ATTACHMENT a |
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Agenda (Open Portion) Finance and Governance Committee Meeting |
Page 567 |
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17/9/2019 |
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7.1 Condell Place Car Park - Redevelopment
Alderman Zucco
Motion
“That the Council immediately pursue expressions of interest for the redevelopment of the Condell carpark in North Hobart as per the most recent report to council.”
Rationale:
“The Finance and Governance Committee considered a report at its meeting held on 17 July 2018 proposing a formal expression of interest process be undertaken for the development of the Condell Place Car Park site with the provision that submissions must include a provision for expansion of the number of parking spaces in the car park.
The report outlined that the provision of additional parking will be looked upon favourable by business owners and patrons of the North Hobart are with the North Hobart Traders Association commenting that they believed the only way to provide an adequate parking supply is be developing existing land/property.
Whilst some measures have been implemented to improve parking availability in the area, it was disappointing that when the Council considered this report it resolved to seek another report consolidating information in relation to the Condell Place site rather than taking action.
North Hobart is one of Hobart’s premier dining locations playing host to a significant number of patrons on a daily basis – the required infrastructure needs to be in place to cater for this demand.”
The General Manager reports:
“In line with the Council’s policy in relation to Notices of Motion, I advise that the matter is considered to be within the jurisdiction of the Hobart City Council as it relates to Council property.”
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Agenda (Open Portion) Finance and Governance Committee Meeting |
Page 569 |
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17/9/2019 |
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A report indicating the status of current decisions is attached for the information of Elected Members.
REcommendation
That the information be received and noted.
Delegation: Committee
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Item No. 8.1 |
Agenda (Open Portion) Finance and Governance Committee Meeting - 17/9/2019 |
Page 570 ATTACHMENT a |
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Agenda (Open Portion) Finance and Governance Committee Meeting |
Page 582 |
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17/9/2019 |
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Regulation 29(3) Local Government
(Meeting Procedures) Regulations 2015.
File Ref: 13-1-10
The General Manager reports:-
“In accordance with the procedures approved in respect to Questions Without Notice, the following responses to questions taken on notice are provided to the Committee for information.
The Committee is reminded that in accordance with Regulation 29(3) of the Local Government (Meeting Procedures) Regulations 2015, the Chairman is not to allow discussion or debate on either the question or the response.”
9.1 Refinancing of Loans
File Ref: F19/98430
Memorandum of the Manager Finance and the Deputy General Manager of 11 September 2019.
9.2 Sewage Spill
File Ref: F19/113270; 13-1-10
Memorandum of the General Manager of 11 September 2019 and attachment.
Delegation: Committee
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That the information be received and noted.
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Item No. 9.1 |
Agenda (Open Portion) Finance and Governance Committee Meeting |
Page 583 |
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17/9/2019 |
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Memorandum: Lord Mayor
Deputy Lord Mayor
Elected Members
Response to Question Without Notice
Refinancing of Loans
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Meeting: Finance and Governance Committee
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Meeting date: 16 July 2019
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Raised by: Alderman Sexton |
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Question:
Given the changing landscape which
includes: a) Reducing interest rates and b) The 2019 Banking Code of Practice
which states: Australians, along with businesses large and small, entrust their
financial security and wellbeing to one or more of the banks who are signatory
to this Code. In signing this important document, these banks made a commitment
to you, their customers, to ethical behaviour, to fair and responsible lending
practices and to the protection of your privacy.
Has the Hobart City Council written to our bankers/lenders to enquire about refinancing options, to better manage out debt and reduce overall interest cost?
If so, can Council be provided with the response to inform whether there are any benefits to refinancing our debt to reduce our interest cost and/or provide greater capacity for borrowings to help accelerate out capital works program to benefit our ratepayers as well as the economy?
If not, can the General Manager write to our lenders and enquire of the lenders about any benefits to refinancing Council loans?
Response:
In the past, Council has written to its bankers / lenders to enquire about refinancing options to better manage Council’s debt and reduce overall interest costs. More recently, Council has contacted Tascorp, with whom Council has its largest loans outstanding. Based on information received, officers’ view is that there is no benefit to Council refinancing its debt at this time.
All of Council’s loans are fixed rate in nature and therefore both the interest rate and the loan term are fixed.
Fixed rate loans provide certainty in terms of Council knowing what it’s payments will be, and are beneficial when interest rates increase, however when interest rate fall the benefits of that lower interest rate are lost.
All loans are also subject to an early repayment fee.
The amount of the fee is calculated as the difference between what the financial institution would have earned if the loan had continued on as is for the full term, and what the institution could earn from re-investing or re-lending the amount prepaid at a fixed interest rate for the remainder of Council’s loan term.
As a result an early repayment fee would be charged in addition to the outstanding principal and any accrued interest, making it financially disadvantageous to refinance loans at a lower interest rate.
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.
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Michael Greatbatch Manager Finance |
Heather Salisbury Deputy General Manager |
Date: 11 September 2019
File Reference: F19/98430
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Item No. 9.2 |
Agenda (Open Portion) Finance and Governance Committee Meeting |
Page 585 |
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17/9/2019 |
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Memorandum: Lord Mayor
Deputy Lord Mayor
Elected Members
Response to Question Without Notice
Sewage Spill
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Meeting: Finance and Governance Committee
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Meeting date: 13 August 2019
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Raised by: Deputy Lord Mayor Burnet |
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Question:
What pumps are located in the river that are vulnerable and how much rainfall will cause their failure?
Response:
The attached letter from the Chairman of TasWater, Stephen Gumley to the Lord Mayor addresses the issues raised in the question, relating to the recent sewage spill into the Derwent River.
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.
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N D Heath General Manager |
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Date: 11 September 2019
File Reference: F19/113270; 13-1-10
Attachment a: Letter
from Stephen Gumley Chairman TasWater to the Lord Mayor
⇩ 
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Item No. 9.2 |
Agenda (Open Portion) Finance and Governance Committee Meeting - 17/9/2019 |
Page 587 ATTACHMENT a |
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Agenda (Open Portion) Finance and Governance Committee Meeting |
Page 589 |
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17/9/2019 |
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Section 29 of the Local Government (Meeting Procedures) Regulations 2015.
File Ref: 13-1-10
An Elected Member may ask a question without notice of the Chairman, another Elected Member, 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 Elected Member 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, Elected Members, 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 Elected Members, at the appropriate time.
(iii) upon the answer to the question being circulated to Elected Members, 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.
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Agenda (Open Portion) Finance and Governance Committee Meeting |
Page 590 |
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17/9/2019 |
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That the Committee resolve by majority that the meeting be closed to the public pursuant to regulation 15(1) of the Local Government (Meeting Procedures) Regulations 2015 because the items included on the closed agenda contain the following matters:
· proposals for the council to acquire land or an interest in land or for the disposal of land · information of a personal and confidential nature or information provided to the council on the condition it is kept confidential · contracts, and tenders, for the supply of goods and services and their terms, conditions, approval and renewal
The following items are listed for discussion:-
Item No. 1 Minutes of the last meeting of the Closed Portion of the Council Meeting Item No. 2 Consideration of supplementary items to the agenda Item No. 3 Indications of pecuniary and conflicts of interest Item No. 4 Reports Item No. 4.1 55 Elizabeth Street LG(MP)R 15(2)(f) Item No. 4.2 Sale of Land for Unpaid Rates: 5/646 Sandy Bay Road - Update LG(MP)R 15(2)(f) and (g) Item No. 4.3 Council Rates - Methods of Payment LG(MP)R 15(2)(d) Item No. 5 Committee Action Status Report Item No. 5.1 Committee Actions - Status Report LG(MP)R 15(2)(a), (c)(i), (f), (i), (j) and e(i) Item No. 6 Questions Without Notice
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