HCC Coat of Arms.jpg
City of hobart

 

 

 

 

AGENDA

Finance and Governance Committee Meeting

 

Open Portion

 

Tuesday, 22 February 2022

 

at 4.30 pm

via Zoom


 

 

 

 

THE MISSION

Working together to make Hobart a better place for the community. 

THE VALUES

The Council is:

 

People

We care about people – our community, our customers and colleagues.

Teamwork

We collaborate both within the organisation and with external stakeholders drawing on skills and expertise for the benefit of our community. 

Focus and Direction

We have clear goals and plans to achieve sustainable social, environmental and economic outcomes for the Hobart community. 

Creativity and Innovation

We embrace new approaches and continuously improve to achieve better outcomes for our community. 

Accountability

We are transparent, work to high ethical and professional standards and are accountable for delivering outcomes for our community. 

 

 


 

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 3

 

22/2/2022

 

 

ORDER OF BUSINESS

 

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  4

2.        Confirmation of Minutes. 4

3.        Consideration of Supplementary Items. 4

4.        Indications of Pecuniary and Conflicts of Interest. 5

5.        Transfer of Agenda Items. 5

6.        Reports. 6

6.1     COVID-19 Business Support Package Financial Update. 6

6.2     Delegation - Use of Common Seal 19

6.3     Lease of Semaphore Cottage, Princes Park, Battery Point 23

7.        Committee Action Status Report. 46

7.1     Committee Actions - Status Report 46

8.        Responses to Questions Without Notice. 53

8.1     Discussing Council Decisions. 54

9.        Questions Without Notice. 56

10.     Closed Portion Of The Meeting.. 57

 


 

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 5

 

22/2/2022

 

 

Finance and Governance Committee Meeting (Open Portion) held Tuesday, 22 February 2022 at 4.30 pm via Zoom.

 

This meeting of the Finance and Governance Committee is held in accordance with a Notice issued by the Premier on 3 April 2020 under section 18 of the COVID-19 Disease Emergency (Miscellaneous Provisions) Act 2020.

 

The title Chief Executive Officer is a term of reference for the General Manager as appointed by Council pursuant s.61 of the Local Government Act 1993 (Tas).

 

COMMITTEE MEMBERS

Alderman M Zucco (Chairman)

Deputy Lord Mayor Councillor H Burnet

Alderman Dr P T Sexton

Alderman D C Thomas

Councillor W Coats

 

NON-MEMBERS

Lord Mayor Councillor A M Reynolds

Alderman J R Briscoe

Councillor W Harvey

Alderman S Behrakis

Councillor M Dutta

Councillor J Fox

Councillor Dr Z Sherlock

Apologies:

 

 

Leave of Absence: Nil

 

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 Finance and Governance Committee meeting held on Tuesday, 7 December 2021, 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 Chief Executive Officer.

 

 

4.       Indications of Pecuniary and Conflicts of Interest

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.

 

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)

Finance and Governance Committee Meeting

Page 6

 

22/2/2022

 

 

6.       Reports

 

6.1    COVID-19 Business Support Package Financial Update

          File Ref: F22/12075

Report of the Senior Advisor Economic Development and Manager Economic Development Engagement and Strategy of 8 February 2022.

Delegation:     Council


Item No. 6.1

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 8

 

22/2/2022

 

 

REPORT TITLE:                  COVID-19 Business Support Package Financial Update

REPORT PROVIDED BY:  Senior Advisor Economic Development

Manager Economic Development Engagement and Strategy

 

1.         Report Purpose and Community Benefit

1.1.     The purpose of this report is to detail funding required to deliver the package of COVID-19 Economic Support endorsed by the Council on 20 January 2022.

1.2.     The benefit to the community is transparency around the way in which a proportion of their rates are being used to support businesses that are struggling as a result of the pandemic.

2.         Report Summary

2.1.     The Council at a special meeting on 20 January 2022 endorsed a package of COVID-19 economic support including an extension of the waiving of fees for Outdoor Dining, Food Licenses, Occupation Licenses, the delivery of an outdoor dining program and parking incentives.

2.2.     A report was taken to the Economic Development and Communications Committee on 3 February 2022 highlighting Council’s progress in the development and delivery of the support package.

2.3.     The final element of the Council resolution on 20 January called for a report to be taken to the Finance and Governance Committee detailing ‘…any additional funding requirements…’ beyond what had already been allocated in the 2021/22 budget.

2.4.     This report details the funding required to deliver the package of support endorsed by the Council.

2.5.     It is estimated that officers can deliver the business support package through the reallocation existing funds in the 2021/22 budget.

3.         Recommendation

That:

1.      This report be received and noted.

2.      The Passport to Hobart Campaign be endorsed as an addition to the other business support initiatives.

3.      The $100,000 redirected from the major events sponsorship budget be utilised to deliver these business support initiatives.


 

4.         Background

4.1.     The World Health Organisation declared COVID-19 as a global pandemic on 11 March 2020, by which time the businesses of Hobart were already being impacted.

4.2.     On 19 March 2020, the Tasmanian Government declared a state of emergency for Tasmania that saw some of the most restrictive border restrictions in the world implemented. Without international and inter-state visitation, many businesses struggled with lower than usual patron numbers.

4.3.     Borders were opened to fully vaccinated travellers on 15 December 2021 which as anticipated resulted in the upsurge of COVID-19 cases in the state. 

4.3.1.     As a result, some businesses saw lower than expected trade over the Christmas period with local patrons staying away from crowded areas. Other businesses had to close their doors due to staff shortages with their personnel contracting or coming into close contact with the virus. 

4.4.     As the daily case numbers of COVID-19 have begun to fall, these businesses have re-opened. The number of active cases in the state on 2 February is 3,876, down from a peak of 8,764 active cases on 12 January.

4.5.     Regardless of whether COVID-19 numbers continue to decline or whether the state experiences a spike in numbers prompted by a return to school and work, the City is hearing from its business community that they continue to be adversely affected.

4.6.     At a special Council meeting held on 20 January 2022 a report was presented setting out a business support and engagement package, the Council resolved as follows:

That:

1.   The Council note the progress to date in implementing the City of Hobart’s COVID-19 Economic Support Package.

2.   The Council delegate the Chief Executive Officer to:

i.      Prepare an Outdoor Dining Program across the City in consultation with local traders, including a ‘pop up’ night time economy program that facilitates restaurateurs to provide dinner service during summer on footpaths, road reserves and local parks in accordance with appropriate safety standards.

ii.     Work with the arts and events industry to facilitate access to Federal, State and Local Government funding to support those events that have been / will be impacted by COVID - 19 as a result of the most recent wave of infections across the State

iii.    Scale up a ‘Check In and Chat’ service to enable vulnerable and isolated members of the community to register to receive a regular call from a Council Officer to ‘check in and chat’.

iv.    Continue to offer parking incentives and CBD retail promotions to encourage retail spend in the CBD and Salamanca Market.

v.     Extend the waiving of fees for Outdoor Dining, Food Licenses, Occupation Licenses (for authorised trading purposes by the CEO).

vi.    Continue to undertake a comprehensive Hello Hobart Marketing campaign to profile local businesses and services across the city.

vii.   Review Council’s Grants Programs to ensure it’s directed to those most affected areas in our arts / events and business community and provide a subsequent report to Council.

viii.  Seek funding support from other levels of government to ensure Hobart receives appropriate levels of support for these and other related COVID-19 related economic interventions as has been the case in other capital cities across the country.

3.   The Council note that the delegated actions referred to in clause 2, will be funded from within current allocations of the 2021/22 budget and that any additional funding requirements will be the subject of a further report to the Finance and Governance Committee.

4.7.     An update was taken to the Economic Development and Communications Committee on 3 February 2022 on how Council have progressed with the activities listed above.

4.8.     This report is a response to item 3 above, specifically detailing instances where additional funding is required to deliver elements of the COVID-19 support package. Each item of support from the above resolution will be considered in turn from a budgetary perspective.

Outdoor Dining Program

4.9.     Council officers have developed draft guidelines for a quick response ‘Outdoor Dining Support Program’.

4.10.   This seeks to assist the city’s hospitality traders create new safe outdoor spaces in which people can stay connected, see friends and family, while supporting their wider local business community, including ‘bricks and mortar’ retailers.

4.11.   This program would be in addition to the City’s fee waiver available for business to expand their outdoor trading space, and would provide in-kind support in the form of:

4.11.1.  City of Hobart owned public spaces (park, footpath or on-road spaces) at no cost.

4.11.2.  Bench and table sets for outdoor dining.

4.11.3.  Bean bags (where appropriate).

4.11.4.  The equipment necessary to create up to six on-street expanded dining areas.

4.11.5.  Simple outdoor furniture (folding tables and chairs) for use in these areas, if this need was identified, given traders would normally have their own furniture.

4.11.6.  Traffic engineering and other advice to support the placement and location of these expanded outdoor dining spaces.

4.11.7.  The installation and removal of these on-street expanded dining areas. A cost will need to be attributed to the delivery and removal of assets. This is a variable cost related to the amount of applications and will be transferred internally.

4.12.   From the list above, the following equipment would need to be purchased and has not been included in existing budgets for the 2021/22 financial year.

·    Equipment to create on street expanded dining areas

·    Simple outdoor furniture (this would only be purchased if required after liaison with traders)

4.13.   It is anticipated that the cost of delivery of the on-street dining component of this program would be in the order of $39,972, made up of the following purchases, fabrication and operational costs for up to six on-street dining installations:

 

 

 

 

 

4.14.   Savings would be made wherever possible, by using existing equipment.

4.15.   This cost does not including any parking income foregone.

4.16.   The design and configuration of the expanded dining areas would be achieved using existing staff resources in the City Place Making team.

4.17.   However, additional support will be required to run a successful ongoing and optimally time responsive program, given the logistics involved principally to project manage equipment delivery and infrastructure installation.

4.18.   Officers are currently fully determining these operational requirements in collaboration with the City Activation, Events and Grants team.

4.19.   Consultation with the Senior Advisor Activations, Events and Grants has established that the loaning of Council owned bench and table sets and beanbags would also be coordinated using existing staff resources and thus can be achieved within existing budgets. Potential damage to these assets will be the responsibility of the business loaning the equipment.

Work with Arts and Events Industry to help access funding

4.20.   Working with the arts and events industry to facilitate access to Federal, State and Local Government funding to support events that have been / will be impacted by COVID-19 as a result of the most recent infections in the State would require cross-Council resourcing coordinated by the COVID-19 Taskforce. It is likely that existing staff resources from Creative Hobart, Grants, Community Participation and Events would be required to coordinate this item. Additional budget would not be required.

Scale up ‘Check In and Chat’

4.21.   Check in and Chat will initially be delivered utilising existing resources within the Community Programs Unit.  If there is considerable demand for this service, additional staff from other areas of the organisation may be repurposed to support this initiative.

Parking Incentives

4.22.   Free parking at the Cenotaph has been provided from 18 December 2021 to 4 February 2022. Further provision of this would not require additional funding although it must be noted that it is estimated that Council revenue dropped by circa $72,000 during times when free parking was provided from 18 December 2021 to 4 February 2022. It is estimated that the Regatta Ground Free Parking initiative accounted for 12% of the total downturn in parking revenue over this period.

Passport to Hobart campaign

4.23.   Council officers are planning for the relaunch of the City’s Passport to Hobart campaign which was originally held in 2021. This campaign will once again encourage people to dine at participating cafes and restaurants to earn voucher discounts. This campaign will likely be held in March.

4.24.   The campaign costs have been adjusted from the previous year based on the outcomes of last year’s performance.

4.24.1.  In 2021 a total budget of $90,000 was allocated to the campaign. This figure included costs for marketing and promotion, printed collateral for the stores to display, the Stamp Me Loyalty App and the reward vouchers that the public could redeem through the program.

4.24.2.  $70,000 was allocated for the reward vouchers, which allowed for 3500 of the $10 vouchers and a further 1750 of the $20 reward vouchers.

4.24.3.  However, not all of the vouchers were redeemed and the total cost of the campaign, once all of the vouchers were processed was less than the original budget and delivered at a final cost of $61,047.

4.25.   This year the campaign will aim to encourage more participation from the public by making the rewards easier to achieve and more frequent.

4.26.   The campaign this year will allow for participation by 75 businesses at an estimated cost of $74,350, delivering $55,000 in vouchers to the general public to use in participating businesses.

4.27.   It is difficult to predict how the campaign will travel in a COVID-19 environment. As such it’s likely that if the campaign is run again in the same format as the previous year it will again not expend all of the vouchers.

4.27.1.  The success of the campaign may be impacted by community uncertainty in dining out and a natural unwillingness to be around crowds.

4.27.2.  However it is also likely that restaurants and cafes with outdoor dining may see good uptake from the campaign.

4.28.   To ensure the campaigns success and deliver results for the business community, the campaign reward frequency will be adjusted.

4.28.1.  People will be able to earn 3 loyalty stamps to earn a $20 reward to spend at a participating business. This will incentivise participation, deliver more value to participating venues and keep the reward program top of mind.

4.28.2.  In the previous campaign people had to earn 5 stamps before earning a reward voucher and it was identified that many people lost interest in the campaign as it went along.

4.29.   As it is anticipated that now that the vouchers will be easier to earn, some consideration and flexibility will need to be built into the budget to support the campaign, if it is travelling well, and if it looks likely that the vouchers will be expended prior to the end of the campaign period.

4.30.   If the vouchers are expended early then it is advisable that additional vouchers are made available so as not to disappoint the general public.

4.31.   So as to ensure we provide for flexibility to support the campaign in a timely manner, it is requested that any additional funding requests for the Passport to Hobart campaign be delegated to the CEO.

4.32.   The itemised costs of the campaign are as follows:

Campaign costs

Costs

Promotion including Mercury advert, radio and social media promotion

$7,300

Printed collateral including window decals and posters

$3,400

Graphic design and website pages on Hello Hobart

$4,000

Loyalty app subscription for the campaign

$4,950

Incentives

 

2500 x $10 vouchers upon sign up

$25,000

3000 x $20 vouchers upon receiving the 3 qualifying stamps

$30,000

TOTAL PRIZE VALUE

$55,000

TOTAL PROPOSED CAMPAIGN COST

$74,650

 

Extended waiving of fees for Outdoor Dining, Food Licences and Occupational Licences

4.32.1.  Application fees for businesses wishing to amend existing outdoor dining permits or apply for a new permit have been waived from 1st January 2022 until 31st March 2022.

4.32.2.  Site fees have been waived from 1st January 2022 until 31st March 2022 for existing operators, and for those businesses who want to establish an outdoor occupation area for the first time, or want to expand their current area.

4.32.3.  The City of Hobart will communicate with all current permit holders directly in regard to these changes.

4.32.4.  Permits require outdoor dining facilities to ensure pedestrians can continue to move easily along footpaths and do not impede safe and convenient access.

4.32.5.  The revenue forgone to Council from the waiver for outdoor dining fees from January to March 2022 is a total of $65,241.71.

Continue Hello Hobart Marketing Campaign

4.33.   The Hello Hobart Marketing Campaign focusses on the sharing of individual stories of businesses within the Hobart LGA. An interview and photoshoot takes place with either an internal member of the Communications team or a UTAS contractor depending on workflow.

4.33.1.  Officers have budgeted $7,000 of existing budget to produce an additional 50 posts and social media content boosting by the end of the 2021/22 financial year.

4.34.   Officers continue to explore a shopfront activation campaign based on the success of the City of Melbourne initiative to utilise vacant shopfronts to display vibrant design and key messages. Design collateral is in production, however securing vacant premises is proving to be challenging. 

Based on an estimate of 20 shopfronts including design and installation officers have budgeted $40,000. This is however not a sunk cost and can be scaled up or down depending on the amount of premises officers can secure. The collateral currently in design can also be used through other digital assets to support the broader Hello Hobart Marketing campaign.

4.35.   The City is in the process of developing a business directory on the Hello Hobart website. The directory will allow customers to search for businesses that offer a variety of service options in response to COVID-19 including online ordering, phone ordering, takeaway, delivery, or outdoor dining options. The design of this directory is expected to be completed by 11 February 2022 with the inputting of store information to begin after this time.

4.35.1.  The estimated budget to design and install the Directory on the Hello Hobart Website is $1,500.  Additional administrative support to upload information submitted by businesses to the Directory is budgeted at $3,100 from existing cost centres.

Review Council’s Grants Programs

4.36.   The Council’s grant programs are constantly reviewed and adapted based on feedback from grant recipients and stakeholders. In the case of the business grants, feedback is sought via the Hobart Economic Recovery Business Consultative Group and Business Tasmania.

4.36.1.  Business Tasmania has delivered $80M+ in business grants since the start of the pandemic. Through these grants, they capture feedback from recipients which is used by the City of Hobart in the development of grants and initiatives.

4.37.   The review of the Council’s grants programs can be achieved using existing allocated budget.

Seek Funding from Other Levels of Government

4.38.   Initial discussions have been had with the Director of Small Business (Tasmanian Government). There are opportunities to collaborate on the staging of business workshops but funding requests for other projects would require discussion at CEO level. This can be done using existing allocated budget.

5.         Proposal and Implementation

5.1.     Endorsement of Passport to Hobart Campaign and reallocation of funding.

5.1.1.     It is proposed to endorse the Passport to Hobart Campaign, utilising existing Economic Development cost centres and reallocate an additional $100,000 from the Sponsorship and Events budget to facilitate additional business support initiatives.

5.1.2.     Approximately $60,000 is required to support Hello Hobart initiatives beyond existing budget allocated.

5.1.3.     Approximately $40,000 will be required for the fabrication and operational costs of the Outdoor Dining Program. Officers continue to work on the technical detail of the program and it is expected that additional internal resources will need to be seconded to assist with administering the program.

6.         Strategic Planning and Policy Considerations

6.1.     The City’s COVID-19 economic response and recovery work aims to work across the whole of the community vision and strategic plan by encouraging initiatives that support a range of areas of city life.

6.2.     It aligns primarily with the following outcome in the Capital City Strategic Plan 2019-29:

4.5    Hobart’s economy is strong, diverse and resilient.

6.3.     The City’s COVID-19 economic response and recovery work specifically advances the following strategies in the Capital City Strategic Plan 2019-29:

2.4.6      Deliver and support initiatives, activities and programs that build community resilience, wellbeing and safety.

4.5.1      Understand and respond to the strategic context of the Hobart economy at regional, state, national and international levels.

7.         Financial Implications

7.1.     Funding Source and Impact on Current Year Operating Result

7.1.1.     An increase to 2021-22 budget is not required.  A reallocation of $100,000 from the Sponsorships and Event budget at the discretion of the CEO is to deliver the business support initiatives excluding the potential requirement of repurposed staff to administer the programs.

8.         Social and Customer Considerations

8.1.     It is apparent that members of the community are wary of certain environments where the spread of COVID-19 may be a higher risk. Such environments include crowded and indoor spaces. The City’s work to extend outdoor dining possibilities strives to address this community concern, thus enabling greater social interactions and support of the local economy.

9.         Marketing and Media

9.1.     A number of the initiatives highlighted in this report present the Council with the opportunity to communicate opportunities and outcomes for local business.

9.2.     Officers work closely with the Communications Unit to ensure that information on business support will be shared with widely within the community.

10.      Community and Stakeholder Engagement

10.1.   This report has been written in consultation with:

·    Executive Manager City Place Making

·    Senior Advisor Activations, Events and Grants

10.2.   The City of Hobart maintains regular communications with the business community through:

·    The Hobart Economic Recovery Business Consultative Group

·    The Business Concierge service

·    Through a close working relationship with Business Tasmania, a Tasmanian Government entity that exists to support the state’s businesses.

11.      Delegation

11.1.   This matter is one for 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.

 

Lucy Knott

Senior Advisor Economic Development

Luke Doyle

Manager Economic Development Engagement and Strategy

 

Date:                            8 February 2022

File Reference:          F22/12075

 

 

 


Item No. 6.2

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 19

 

22/2/2022

 

 

6.2    Delegation - Use of Common Seal

          File Ref: F22/9942

Memorandum of the Manager Legal and Governance of 4 February 2022 and attachment.

Delegation:     Council


Item No. 6.2

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 21

 

22/2/2022

 

 

 

 

Memorandum: Finance and Governance Committee

 

Delegation - Use of Common Seal

 

The purpose of this report is to review the delegation for the use of the Common Seal following the organisational restructure.

 

Section 19 of the Local Government Act 1993 states that each council is to have a common seal and that this is be used as authorised by Council and be attested by those persons authorised by Council.

 

Currently this delegation, which was approved in 2019, reads as follows:

 

 

Pursuant to Section 19(5) of the Local Government Act 1993 the common seal of the Council is to be attested by any two of the following Council officers, or such persons who may be acting in those positions:

 

General Manager

Deputy General Manager;

Director City Planning;

Director City Amenity;

Director City Innovation;

Director Community Life;

Manager Surveying Services;

Manager Legal and Governance.

 

 

As a result of the Organisational Transformation Project it is necessary to update the delegation to reflect the changes in position titles.  As such it is proposed that the common seal be attested by members of the Executive Leadership Team or the Manager Legal and Governance.

 

Attachment A to this report is a copy of the proposed delegation.

 

REcommendation

That the Council endorse the delegation in respect to the affixation of the Common Seal in accordance with the instrument of delegation marked as Attachment A to this report.

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.

 

Paul Jackson

Manager Legal and Governance

 

 

Date:                            4 February 2022

File Reference:          F22/9942

 

 

Attachment a:             DELEGATION - Common Seal   


Item No. 6.2

Agenda (Open Portion)

Finance and Governance Committee Meeting - 22/2/2022

Page 22

ATTACHMENT a

 

PDF Creator


Item No. 6.3

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 23

 

22/2/2022

 

 

6.3    Lease of Semaphore Cottage, Princes Park, Battery Point

          File Ref: F22/15378; 15/153-587

Report of the Manager Legal and Governance of 17 February 2022 and attachment.

Delegation:     Council


Item No. 6.3

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 28

 

22/2/2022

 

 

REPORT TITLE:                  Lease of Semaphore Cottage, Princes Park, Battery Point

REPORT PROVIDED BY:  Manager Legal and Governance

 

1.         Report Purpose and Community Benefit

1.1.     The purpose of this report is to consider a proposal from the Collection of Medical Artefacts (Tasmania) (COMA) to lease the Semaphore Cottage located in Princes Park, Battery Point.

1.2.     COMA is an established museum that shares stories of Tasmanian health, medicine and science history.  COMA has previously been located at Jane Franklin Hall, but was requested to vacate at the end of 2020 with 12 months’ notice.  COMA has been able to obtain storage in the Corby’s Building at 168-170 Macquarie Street and through discussions with officers has identified that the Semaphore Cottage in Princes Park as being suitable for the ‘visitor-focused’ component of its work. COMA approached Council officers seeking to find a new location for its museum and the Semaphore Cottage at Princes Park was identified as potentially meeting COMA’s requirements. 

1.3.     It is considered that the proposal represents a good use of this Council property and aligns with the Council’s Policy: Leases to Non-profit Organisations.  It also represents a good opportunity to have this space tenanted and open to the public – which it currently is not.

2.         Recommendation

That:

1.      The Council grant a lease of the Semaphore Cottage, Princes Park, Battery Point, to the Collection of Medical Artefacts (Tasmania) for a period of 5 years at a nominal rent in accordance with the Council’s Policy: Leases to Non-Profit Organisations.

2.      The benefit provided by Council be reported in the Council’s Annual Report in accordance with the Council’s Policy: Leases to Non-Profit Organisations.

3.      The Chief Executive Officer be delegated the authority to negotiate and agree to the final lease terms.

 


 

3.         Background

3.1.     The Council owns the property known as the Semaphore Cottage in Princes Park, Battery Point.  It is the former signal station cottage and was constructed in approximately 1880. 

3.2.     The Cottage has been tenanted from time-to-time, with the most recent tenant being an artist.  The property is currently vacant.

3.3.     Council was approached by COMA seeking a home for the visitor facing component of its museum operations as it was able to source an alternative location for storage of its collection.

3.4.     It is considered that this represents a good use of this property from the Council’s perspective.  It is currently vacant and having a use that encourages public access to the property is a positive.

3.5.     While it is open to Council to call for expressions of interest for the use of this property, recognising the unique nature of the property and the suitability of this use for it, it is considered that proceeding with the direct approach is a sensible outcome.

3.6.     The attached proposal (Attachment A) outlines COMA’s intent with respect to the property. The Council’s Leases to Non-Profit Organisations policy sets out a number of criteria against which lease proposals seeking reduced rental are to be assessed. The table below provides commentary regarding the proposal against the criteria in that policy:

Criteria

Comments

Use, or proposed use of the property

The proposed leased area will be used as a medical museum that is accessible to the public.

Alignment with the Council Strategic Plan and other relevant Council strategic documents

Aligns strongly with Pillars 2 and 3 of the Capital City Strategic Plan 2019-29.

Level of community benefit – proposed or provided

COMA’s mission is to collect, document and collate Tasmania’s medical heritage, providing an accessible insight into healthcare practices of the past to inform the present and future.

 

The aim of the collection is to provide education on health topics that are relevant, innovative and engaging through public programs and displays.

 

COMA is aiming to further develop their museum to help families, students and the community to explore questions about human health, Tasmanian society and science.

Value of land and buildings

The property has been appraised as having a market rental of $7,245.00 per annum (excluding GST)

Potential for alternative use

The space is currently unoccupied

Viability and capability of the organisation

COMA was established in 2017 and has leased the Jane Franklin Hall in South Hobart since this time. It is also a registered charity with deductible gift recipient endorsement. 

Capacity to pay, after all income and expenditure is taken into account

COMA has limited funding and little capacity to pay rent.

Capacity to invest in and maintain the asset, or degree of capital investment undertaken

COMA will have internal maintenance obligations imposed as part of the lease as well as undertaking improvements to the property to make it fit for purpose.

Type of facility

Caretakers Cottage

Capacity to invest in the community, or level of community investment provided, through disbursement of surplus funds to local community groups, organisations or activities

Not applicable.

Length of tenure sought

Five (5) year term.

For lease renewals only, the level of compliance with existing lease terms and conditions

Not applicable.

3.7.     In accordance with the desire for improved due diligence relating to leasing to not for profit organisations, and in line with external accounting advice, additional information relating to the operations of COMA has been obtained and assessed. This information is included as part of Attachment A and includes:

(a)     evidence of ACNC registration;

(b)     a list of all past and present committee members;

(c)     confirmation that there are no related parties, transactions and arrangements in place;

(d)     confirmation that there are no conflicts of interest within the governance of the organisation (including the provision of services); and

(e)     a written undertaking from the committee members of the organisation warranting they are a not-for-profit organisation, they comply with the policy, the completeness of the information provided and the accuracy of that information.

3.8.     Based on the consideration of the proposal as against the requirements of the Policy it is considered appropriate to grant a lease of the property to COMA.

4.         Proposal and Implementation

4.1.     It is proposed that the Council grant a lease of the Semaphore Cottage, Princes Park, Battery Point, to the Collection of Medical Artefacts (Tasmania) for a period of 5 years at a nominal rent in accordance with the Council’s Policy: Leases to Non-Profit Organisations.

4.2.     It is also proposed that the benefit provided by Council be reported in the Council’s Annual Report in accordance with the Council’s Policy: Leases to Non-Profit Organisations.

4.3.     Should Council endorse the approach, a draft lease will be prepared and finalised with COMA.  Any alterations or ‘fit-out’ required by COMA will be undertaken at its expense and in accordance with any requirements from Council officers.  COMA will also be responsible for obtaining any statutory approvals that may be required.

5.         Strategic Planning and Policy Considerations

5.1.     Strategy 3.4.1 of the Capital City Strategic Plan is to support the activation of City-owned spaces for creative, cultural and commercial initiatives.  Given the current proposal is to have a publically accessible museum space within a Council building not currently being utilised, it is considered that there is strong alignment with this strategy.

5.2.     Strategy 7.2.1 is to promote contemporary heritage conservation practices and support adaptive reuse of heritage assets.  As this building was constructed in approximately 1880 it is clearly a heritage asset.  This proposal seeks to use this asset to provide a way to engage with the public around the history of Tasmanian health, medicine and science, which strongly aligns with this strategy.

6.         Financial Implications

6.1.     Funding Source and Impact on Current Year Operating Result

6.1.1.     The property is currently vacant, so while no income will be generated from the proposal, there is no cost for Council in approving this request.

6.2.     Impact on Future Years’ Financial Result

6.2.1.     There is no impact on future year’s financial result.

6.3.     Asset Related Implications

6.3.1.     This proposal will seek the utilisation and activation of a currently underutilised Council asset.  This is a positive outcome.

7.         Legal, Risk and Legislative Considerations

7.1.     Should Council agree to the proposal, a contemporary lease will be

8.         Delegation

8.1.     This matter requires the consideration of 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.

 

Paul Jackson

Manager Legal and Governance

 

 

Date:                            17 February 2022

File Reference:          F22/15378; 15/153-587

 

 

Attachment a:             COMA Letter of Representation   


Item No. 6.3

Agenda (Open Portion)

Finance and Governance Committee Meeting - 22/2/2022

Page 45

ATTACHMENT a

 

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Item No. 7.1

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 46

 

22/2/2022

 

 

7.       Committee Action Status Report

 

7.1      Committee Actions - Status Report

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

 

 

Attachment a:             Feb 2022 Finance and Governance Committee Status Report    


Item No. 7.1

Agenda (Open Portion)

Finance and Governance Committee Meeting - 22/2/2022

Page 52

ATTACHMENT a

 

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Item No. 8.1

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 53

 

22/2/2022

 

 

8.       Responses to Questions Without Notice

Regulation 29(3) Local Government (Meeting Procedures) Regulations 2015.
File Ref: 13-1-10

 

The Chief Executive Officer 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.”

 

8.1    Discussing Council Decisions

          File Ref: F21/130729

Memorandum of the Chief Executive Officer of 9 February 2022.

 

 

That the information be received and noted.

 

 

Delegation:      Committee

 


Item No. 8.1

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 55

 

22/2/2022

 

 

 

 

memorandum:      Lord Mayor
Deputy lord Mayor
Elected members

 

Discussing Council Decisions

 

Meeting: Finance and Governance Committee

 

Meeting date: 7 December 2021

 

Raised by: Councillor Coats

 

Question:    

 

 

Can the Director advise that when the Lord Mayor is giving a media interview on Council decisions, to what extent can the Lord Mayor reflect or insinuate whether or not they are errors, when their role is to appear on behalf of the Council?

 

Response:

 

 

Under Section 27(1)(e) of the Local Government Act 1993, the Lord Mayor has a function to act as the spokesperson of the Council.  In addition, under section 27(1A) of the Act, the Lord Mayor or Deputy Lord Mayor is to represent accurately the policies and decisions of the Council in performing the functions of Lord Mayor or Deputy Lord Mayor.

 

An Elected Member, including the Lord Mayor of the day, can express a personal opinion as long as it is clear that the comment is a personal opinion and not the position of 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.

 

Kelly Grigsby

Chief Executive Officer

 

 

Date:                            9 February 2022

File Reference:          F21/130729

 

 

 


 

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 56

 

22/2/2022

 

 

9.       Questions Without Notice

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 Chief Executive Officer or the Chief Executive Officer’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, Chief Executive Officer or Chief Executive Officer’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.

 


 

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 57

 

22/2/2022

 

 

10.     Closed Portion Of The Meeting

 

 

 

RECOMMENDATION

 

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:  

 

·         Renewal of a contract including details of the terms and conditions of renewal

·         Commercial information of a confidential nature

·         Closed Questions Without Notice

 

The following items are listed for discussion:-

 

Item No. 1          Minutes of the last meeting of the Closed Portion of the Committee 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       Risk and Audit Panel - Appointment of Independent Member

LG(MP)R 15(2)(d)

Item No. 4.2       Risk and Audit Panel - Amended Terms of Reference and 2022 Work Plan

LG(MP)R 15(2)(a) and  (c)(iii)

Item No. 5          Committee Action Status Report

Item No. 5.1       Committee Actions - Status Report

LG(MP)R 15(2)(b), (c)(i), (f) and  (g)

Item No. 6          Responses to Questions Without Notice

Item No. 6.1       Council Vaccine Policy

LG(MP)R 15(2)(a)

Item No. 7          Questions Without Notice