Agenda of Finance and Governance Committee Meeting

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 4

23/8/2022

Finance and Governance Committee Meeting (Open Portion) held Tuesday, 23 August 2022 at 4:30 pm in the Council Chamber, Town Hall.

This meeting of the Finance and Governance Committee is held in accordance with a Notice issued by the Premier on 31 March 2022 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, 26 July 2022, 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 9

23/8/2022

REPORT TITLE: 2021-22 Annual Plan - Final Report
Period Ended 30 June 2022

REPORT PROVIDED BY: Senior Advisor - Strategic Planning

Head of Intergovernmental Relations and Partnerships

1. Report Purpose and Community Benefit

1.1. The purpose of this report is to present the 2021-22 Annual Plan final report for the period ended 30 June 2022 (refer Attachment A).

1.1.1. Performance on each of the major actions and initiatives will be included in the City of Hobart 2021-22 Annual Report.

2. Report Summary

2.1. The Annual Plan sets out the major actions and initiatives for the
2021-22 financial year and is aligned with the City’s strategic plan.

2.2. The 2021-22 Annual Plan has 107 major actions and initiatives listed. Ninety three per cent of the actions have been completed or are underway (sixty eight per cent completed, twenty five per cent ongoing) and seven per cent have not commenced or are on hold.

2.2.1. Of the 36 actions and initiatives listed as being underway eleven are multi-year programs or projects and seven are nearing completion or have been significantly progressed.

2.3. By comparison the 2020-21 Annual Plan had 99 major actions and initiatives listed. Ninety five per cent of the actions were completed or underway at year end and five per cent had not been started or where on hold.

2.4. The actions and initiatives on hold or not commenced are:

Major action and initiative	Comment
Progress the first stage of the Midtown Retail Precinct (Elizabeth Street Block 1) in collaboration with key stakeholders, including design development and construction.	This action has been carried forward to the 2022-23 Annual Plan. Since securing funding to construct block one of the Midtown Precinct (between Melville to Brisbane Streets), the City has been developing a Central Hobart Precincts Structure Plan (CHPSP). As a master plan for Elizabeth Street will likely be a key recommendation out of the CHPSP, work on Midtown has been paused. This pause does impact on the first stage, and work on finalising the design for Block 1 will take place in 2023 to be ready for construction in 2024.
Commence preparation of the Hobart Parking Policy and the Hobart Centres Kerbside Allocation Review.	To be developed in conjunction with the Central Hobart Precinct Structure Plan.
In collaboration with all levels of government develop trials, guidelines and installation advice for new and emerging road and traffic devices and markings to support pedestrians and bicycles.	Due to staffing and resourcing issues in 2021-22 this action was not undertaken.
Implement the Primary Walking and Cycling Network Plans, to improve user experience and ensure public safety.
Develop the Hobart Transport System Performance Monitoring Report for the purposes of ongoing and longitudinal reporting.
Implement the Strategic Measurement Framework to measure progress against the strategic plan and vision.	This project is now superseded by the new Integrated Planning and Reporting Framework. The review of the Strategic Plan which is scheduled to commence in October 2022 will also develop KPI’s to measure progress. A State of the City report is currently being developed which will provide information on Hobart, the Council’s performance and factors that may impact future planning.
Develop and implement a corporate communications strategy based on best practice principles and methods to guide and strengthen public communications.	Development of the strategy has been carried forward to the 2022-23 Annual Plan.

3. Recommendation

That the Council endorse the Annual Plan final report for the year ending 30 June 2022, marked as attachment A to this report.

4. Strategic Planning and Policy Considerations

4.1. The preparation of the report provides an account of the major actions and initiatives identified for the 2021-22 financial year as set out in the Annual Plan.

4.2. The Annual Plan final report provides commentary on the progress of the major actions and initiatives in the 2021-22 Annual Plan and aligns with various strategies in the Capital City Strategic Plan 2019-29 including best practice, transparency and accountability to the community.

Pillar 8: Governance and civic involvement

Outcome 8.1: Hobart is a city of best practice, ethical governance and transparent decision-making.

8.1.2 Practice and communicate good city governance and decision-making.

8.1.3 Ensure systematic and useful measurement of community outcomes and the City’s performance.

5. Delegation

5.1. 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.

Paula Gudgeon

Senior Advisor - Strategic Planning

Kat Panjari

Head of Intergovernmental Relations and Partnerships

Date: 9 August 2022

File Reference: F22/78888

Attachment a: Annual Plan 2021-22 Final Report ⇩

Item No. 6.2

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 49

23/8/2022

REPORT TITLE: Revised City of Hobart Code for Tenders and Contracts

REPORT PROVIDED BY: Acting Director City Enablers

1. Report Purpose and Community Benefit

1.1. The purpose of this report is to seek Council’s approval of a revised City of Hobart Code for Tenders and Contracts.

1.2. The community benefit is consistent with strategic 8.5.4 in the City of Hobart Capital City Strategic Plan 2019-29, being to deliver best value for money through strategic procurement decision-making.

2. Report Summary

2.1. Under the Local Government Act 1993 (Tas) (LG Act), Council is required to adopt a Code for tenders and contracts (Code), review it every 4 years and make it available to the public. The Code is to include specific matters as set out in the Local Government General Regulations 2015 (Tas) (the Regulations).

2.2. The City has had a Code since March 2012 and before that a Code of Public Tendering. It is regularly reviewed.

2.3. The Code has been recently reviewed and updated to include a proposal to increase the City’s first procurement threshold level where a minimum of one written quotation should be sought from $5,000 to $10,000.

2.4. When the Local Government (General) Regulations were revised in 2015 to include an increase to the tendering threshold from $100,000 to $250,000, at its meeting on 24 August 2015 the Council approved its procurement thresholds, being $10,000, $50,000 and $250,000, including the tendering threshold. In 2019 Council resolved to lower its first procurement threshold from $10,000 to $5,000 consistent with the then City of Launceston’s procurement thresholds.

2.5. A review has found that the appropriate level of the City’s first procurement threshold is $10,000 and Council’s support of the increase is sought. It is noted that the City of Launceston’s first procurement threshold was increased to $10,000 in 2019.

2.6. The increase to $10,000 is considered appropriate to reflect rising costs, the desire to simplify and reduce the quantum of quotation and tendering requirements for both councils and suppliers wishing to do business with councils and reduce red tape.

2.7. The cost to both Council, in terms of seeking quotations, and suppliers to respond to quotation requests can be considerable. It is therefore not desirable to have quotation thresholds set at too low a level.

2.8. It is considered that the impact of increasing the threshold to $10,000 would have no negative impact on the City from a value for money perspective and would have considerable benefit.

2.9. Officers will continue to seek more than the minimum number of quotations at any level where it is deemed appropriate to do so.

2.10. A revised version of the Code is presented to Council for approval.

3. Recommendation

That:

1. The Report ‘Revised City of Hobart Code for Tenders and Contracts’ be received and noted.

2. Council adopt the revised City of Hobart Code for Tenders and Contracts marked as Attachment A to this report.

3. The Chief Executive Officer be authorised to finalise the City of Hobart Code for Tenders and Contracts and arrange for it to be made available to the public in paper format from the Council’s Customer Service Centre and in electronic format from Council’s website.

4. Background

4.1. Section 333B of the LG Act requires Council to adopt a Code for tenders and contracts, review it every 4 years and make it available to the public.

4.2. The Code must include specific matters, set out in Regulation 28 of the Local Government (General) Regulations 2015 (Tas) – refer Attachment A.

4.3. The purpose of the Code is to provide a framework for best practice procurement. The Code sets out how the City will meet its legislative obligations in respect to procurement, tendering and contracting. The Code includes a statement of ethics which underlines best practices to be applied by the City’s officers who organise or participate in procurement and service providers when they offer and are engaged to provide the City with goods, services or works.

4.4. The City has had a Code since March 2012 and before that a Code of Public Tendering.

4.5. The Code is regularly reviewed to ensure it remains reflective of best practice procurement, ensuring risks are managed to an appropriate level to achieve the City’s procurement activities and achieve best value for money for the City.

4.6. The Code has been recently reviewed and updated to reflect a proposal for the appropriate level for the City’s first procurement threshold level where a minimum of one written quotation should be sought.

4.7. The revised Code is presented to the Council for approval – refer Attachment B.

5. Procurement Thresholds

5.1. As outlined in the Code, the City currently has four procurement thresholds at which a certain minimum number of written quotations shall be sought, being (GST exclusive):

5.1.1. Less than $5,000 – 1 written quote shall be sought.

5.1.2. $5,000 to $49,999 – 2 written quotes shall be sought.

5.1.3. $50,000 to $249,999 – 3 written quotes shall be sought.

5.1.4. $250,000 and over – Public Tender. Section 333A of the LG Act requires a council to invite tenders for any contracts it intends to enter into for the supply of goods and services at or above the prescribed amount. The prescribed amount under the Regulations is $250,000 (excluding GST).

5.2. The background to the City’s procurement thresholds is as follows:

5.2.1. When the Local Government (General) Regulations were revised in 2015 to include an increase to the tendering threshold from $100,000 to $250,000 the Council, at its meeting on 24 August 2015, approved its procurement thresholds, being $10,000, $50,000 and $250,000, including the tendering threshold.

5.2.2. In 2019 Council lowered its first procurement threshold from $10,000 to $5,000 consistent with the then City of Launceston’s procurement thresholds.

5.3. It should be noted that these are minimum thresholds and officers frequently obtain more than the minimum number of quotations to ensure that open competition is achieved in the market when goods, services or works are required. Equally a tender process is undertaken for amounts below the tendering threshold if it is determined appropriate to do so and to ensure that best value is obtained for the goods, services or works.

5.4. In February 2022 the City commenced a review of its quotation thresholds. The review comprised:

5.4.1. An online supplier survey.

5.4.2. Feedback from Council officers.

5.4.3. A desktop review of procurement thresholds in other councils.

5.4.4. An analysis of purchasing activities in the City’s financial system.

5.5. In February 2022, City Procurement and the City Projects Office issued an online survey to current and past contractors / suppliers with a particular focus on capital works, projects and consultancy services. It has become clear over recent months that contractors are becoming harder to engage with some requests for quotations for construction and some consultancy services attracting one or no responses and contractor / consultancy costs are increasing.

5.6. 136 responses were received from businesses across 36 different industries. A common and key theme from the survey was that the first procurement threshold of $5,000 was too low and the effort to submit quotations at this level is too onerous. Due to the low procurement threshold officers are required to seek multiple quotations for small purchases and suppliers are finding these too frequent and too costly and onerous to respond to.

5.7. In the survey respondents were asked for suggestions as to improvements. Respondents recommended Council increase the $value of the first procurement threshold to simplify and reduce the quantum of quotation and tendering requirements for both councils and suppliers wishing to do business with councils and reduce red tape.

5.8. Feedback from council officers supported the response from suppliers. That seeking quotes for low value purchases was costly and it was difficult to obtain written quotations from suppliers.

5.9. The desktop review has found considerable variation in procurement threshold amounts between States and Territories depending upon the tendering legislative requirements. However, many had a first procurement threshold of at least $10,000. The City of Launceston’s first procurement threshold is $10,000.

5.10. Statistics show that less than 3% of annual invoices paid by Council have a value between $5,000 and $10,000 and most of these are for payment of utilities, statutory or compliance fees. With costs increasing due to CPI most consultancy services would have a value greater than $10,000 for a short term engagement. It is therefore considered that the impact of increasing the threshold to $10,000 would have no negative impact on the City from a value for money perspective and would have considerable benefit.

5.11. The cost to both Council, in terms of seeking quotations, and suppliers to respond to quotation requests can be considerable. It is therefore not desirable to have quotation thresholds set at too low a level.

6. Proposal and Implementation

6.1. It is proposed that the Council adopt the attached City of Hobart Code for Tenders and Contracts, as amended, and make copies available to the public in a paper format from the Customer Service Centre and in electronic format prominently from the Council’s website as required under section 333(B)(4) of the LG Act, which states that:

6.2. The general manager is to make a copy of the council's code and any amendments to the code available –

(a) for public inspection at the public office during ordinary office hours; and

(b) for purchase at a reasonable charge; and

(c) on its internet site free of charge.

6.3. The revised Code will also be made available from the City’s e-tendering portal TenderLink.

6.4. The amended Code includes an increase to the first procurement threshold to $10,000. The increase is supported by the outcomes of a review undertaken, which found that the appropriate level of the City’s first procurement threshold is $10,000. Council’s support of the increase is sought. It is noted that the City of Launceston’s first procurement threshold is $10,000 and it is common amongst councils of a similar size for the first threshold to be $10,000 or above.

6.5. The increase to $10,000 is considered appropriate to reflect rising costs, the desire to simplify and reduce the quantum of quotation and tendering requirements for both councils and suppliers wishing to do business with councils and reduce red tape.

6.6. The cost to both Council, in terms of seeking quotations, and suppliers to respond to quotation requests can be considerable. It is therefore not desirable to have quotation thresholds set at too low a level.

6.7. Officers will continue to seek more than the minimum number of quotations at any level where it is deemed appropriate to do so.

6.8. If the Council decides to amend the limits of the procurement thresholds, Council’s policies, procedures, work instructions, training and induction materials will be updated and all Council Officers will be made aware of the changes.

7. Strategic Planning and Policy Considerations

7.1. This report proposes amendments to the City of Hobart Code for Tenders and Contracts.

7.2. The proposal is consistent with the City of Hobart Capital City Strategic Plan 2019-2029, specifically:

7.2.1. Strategy 8.5.4 Delivery best value for money through strategic procurement decision-making.

8. Financial Implications

8.1. Funding Source and Impact on Current Year Operating Result

8.1.1. There are no financial implications arising from this report.

8.2. Impact on Future Years’ Financial Result

8.2.1. Not applicable.

8.3. Asset Related Implications

8.3.1. Not applicable.

9. Legal, Risk and Legislative Considerations

9.1. These are considered elsewhere in this report.

10. Delegation

10.1. This matter is delegated to Council.

Lara MacDonell

Acting Director City Enablers

Date: 8 August 2022

File Reference: F22/78746

Attachment a: Regulation 28 - Code for Tenders and Contracts ⇩

Attachment b: Revised City of Hobart Code for Tenders and Contracts - August 2022 ⇩

Item No. 6.3

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 95

23/8/2022

REPORT TITLE: Procurement - Quotation Exemption Report

REPORT PROVIDED BY: Acting Director City Enablers

1. Report Purpose and Community Benefit

1.1. The purpose of this report is to provide a listing of exemptions from the requirement to seek three written quotations granted for the period 1 April to 30 June 2022 for the information of Elected Members as requested by the Finance and Governance Committee.

1.2. The community benefit is providing transparency and delivering best value for money through strategic procurement decision-making.

2. Report Summary

2.1. At its meeting on 19 March 2018, the Council resolved that a report of exemptions granted from the requirement to seek three written quotes be presented to the Finance and Governance Committee quarterly as at 31 March, 30 June, 30 September and 31 December each year.

2.2. A report is attached for the period 1 April to 30 June 2022.

2.3. It is proposed that the Committee note the exemption from the requirement to seek three written quotes granted for the period 1 April to 30 June 2022.

3. Recommendation

That:

1. The Finance and Governance Committee receive and note the report titled ‘Procurement – Quotation Exemption Report’.

2. The Committee note the exemption granted from the requirement to seek three written quotations for the period 1 April to 30 June 2022.

4. Background

4.1. At its meeting on 19 March 2018, the Council resolved inter alia that:

4.1.1. A report of exemptions granted from the requirement to seek 3 written quotes be presented to the Finance and Governance Committee as at 31 March, 30 June, 30 September and 31 December each year.

4.2. A report outlining the quotation exemption from the requirement to seek three written quotes granted during the period 1 April to 30 June 2022 is attached – refer Attachment A.

4.3. As outlined in the City’s Code for Tenders and Contracts (the Code) where a Council Contract does not exist the City will seek a minimum of three written quotes for procurements between $50,000 and $249,999.

4.4. There may be occasions where, for a number of reasons, quotation(s) cannot be obtained / sought from the market or where doing so would have no additional benefit to the City or the market.

4.5. Therefore, exemptions from the requirement to seek written quotes can be sought from the Divisional Director but only if an acceptable reason exists as outlined in the Code, as follows:

(a) where, in response to a prior notice, invitation to participate or invitation to tender:

- no tenders were submitted; or

- no tenders were submitted that conform to the essential requirements in the tender documentation;

(b) where the goods, services or works can be supplied only by a particular supplier and no reasonable alternative or substitute goods, services or works exist for the following reasons:

- the requirement is for works of art;

- the protection of patents, copyrights or other exclusive rights or proprietary information; or

- due to an absence of market competition for technical reasons.

(c) for additional deliveries of goods, services or works by the original supplier that are intended either as replacement parts, extensions or continuing services for existing equipment, software or installations, where a change of supplier would result in the purchase of goods, services or works that do not meet requirements of interchangeability with existing goods, services or works;

(d) for goods purchased on a commodity market;

(e) where there is an emergency and insufficient time to seek quotes for goods, services or works required in that emergency;

(f) for purchases made under exceptionally advantageous conditions that only arise in the very short term, such as from unusual disposals, liquidation, bankruptcy or receivership and not for routine purchases from regular suppliers; or

(g) for a joint purchase of goods or services purchased with funds contributed by multiple entities, where Council is one of those entities and does not have express control of the purchasing decision.

4.6. For the period 1 April to 30 June 2022 there were three exemptions granted, where expenditure was between $50,000 and $249,999 and therefore three written quotations were required to be sought in line with the Code.

4.7. Three exemptions were granted on the grounds that the goods or services could only be supplied by one particular supplier. One of the exemptions was also granted on the grounds that the services were additional services by the original supplier intended as extensions or continuing services where a change of supplier would result in a negative impact for the City.

5. Proposal and Implementation

5.1. It is proposed that the Committee note the exemption granted from the requirement to seek three written quotes for the period 1 April to 30 June 2022.

5.2. As outlined in the Code, quotation exemptions for a value under $50,000, that is where 1 or 2 written quotations are required to be sought but an exemption from that requirement has been granted by the relevant Divisional Director, have been reported to the Chief Executive Officer.

5.3. All approvals for the exemptions from the requirement to Tender are sought and reported through the formal Committee / Council approval processes.

6. Strategic Planning and Policy Considerations

6.1. The City’s Code for Tenders and Contracts is referenced in this report as it provides a framework for best practice procurement and sets out how the City will meet its legislative obligations in respect to procurement, tendering and contracting.

6.2. This report is consistent with strategy 8.5.4 in the City of Hobart Capital City Strategic Plan 2019-29, being to deliver best value for money through strategic procurement decision-making.

7. Financial Implications

7.1. Funding Source and Impact on Current Year Operating Result

7.1.1. All expenditure noted in the attached listing of quotation exemptions granted was funded from the 2021-22 budget estimates.

8. Legal, Risk and Legislative Considerations

8.1. Regulation 28 of the Local Government (General) Regulations 2015 states that the Council’s Code for Tenders and Contracts must (j) establish and maintain procedures for reporting by the general manager to the council in relation to the purchase of goods or services in circumstances where a public tender or quotation process is not used.

9. Delegation

9.1. This report is provided to the Finance and Governance Committee for information.

Lara MacDonell

Acting Director City Enablers

Date: 7 August 2022

File Reference: F22/78737; 18/311

Attachment a: Report - Quotation Exemptions Granted (3 Quotes) 1 April to 30 June 2022 ⇩

Item No. 6.4

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 102

23/8/2022

REPORT TITLE: Grants and Benefits Listing as at 30 June 2022

REPORT PROVIDED BY: Acting Director City Enablers

1. Report Purpose and Community Benefit

1.1. The purpose of this report is to provide a listing of the grants and benefits provided by the Council for the period 1 July 2021 to 30 June 2022.

2. Report Summary

2.1. A report outlining all grants and benefits provided by Council Committees and Council for the period 1 July 2021 to 30 June 2022 is attached.

2.2. It is proposed that the Committee note the listing of grants and benefits provided for the period 1 July 2021 to 30 June 2022, and that these are required, pursuant to Section 77 of the Local Government Act 1993 (“LG Act”), to be included in the annual report of Council.

3. Recommendation

That the Finance and Governance Committee receive and note the information contained in the report titled ‘Grants and Benefits Listing as at 30 June 2022’.

4. Background

4.1. A report outlining the grants and benefits provided for the period 1 July 2021 to 30 June 2022 is provided at Attachment A.

4.2. Pursuant to Section 77 of the LG Act, the details of any grant made or benefit provided will be included in the annual report of the Council.

4.3. The listing of grants and benefits marked as Attachment A, has been prepared in accordance with the Council policy titled Grants and Benefits Disclosure.

5. Proposal and Implementation

5.1. It is proposed that the Committee note the grants and benefits listing as at 30 June 2022.

5.2. It is also proposed that the Committee note that the grants and benefits listed are required to be included in the Annual Report of the Council and will be listed on the City of Hobart’s website.

6. Strategic Planning and Policy Considerations

6.1. Grants and benefits are provided to organisations which undertake activities and programs that strongly align with the City’s Community Vision, the City of Hobart Capital City Strategic Plan 2019-2029 as well as other relevant City of Hobart strategies.

6.2. The linkage between the City’s grants and benefits provided and the City of Hobart Capital City Strategic Plan 2019-2029 is referenced in Attachment A.

7. Financial Implications

7.1. Funding Source and Impact on Current Year Operating Result

7.1.1. All grants and benefits provided as at 30 June 2022 were funded from the 2021-22 budget estimates.

8. Legal, Risk and Legislative Considerations

8.1. The Council provides grants and benefits within the requirements of Section 77 of the LG Act as follows:

8.1.1. Grants and benefits

(1) A council may make a grant or provide a pecuniary benefit or a non-pecuniary benefit that is not a legal entitlement to any person, other than a councillor, for any purpose it considers appropriate.

(1A) A benefit provided under subsection (1) may include:

(a) in-kind assistance; and

(b) fully or partially reduced fees, rates or charges; and

(c) remission of rates or charges under Part 9 (rates and charges)

(2) The details of any grant made or benefit provided are to be included in the annual report of the council.

8.2. Section 72 of the LG Act requires Council to produce an Annual Report with Section 77 of the LG Act providing an additional requirement where individual particulars of each grant or benefit given by the Council must be recorded in the Annual Report.

8.3. Section 207 of the LG Act provides for the remitting of all or part of any fee or charge paid or payable.

8.4. Section 129 of the LG Act provides for the remitting of rates.

9. Delegation

9.1. This report is provided to the Finance and Governance Committee for information.

Lara MacDonell

Acting Director City Enablers

Date: 8 August 2022

File Reference: F22/78739; 25-2-1

Attachment a: Grants and Benefits Listing as at 30 June 2022 ⇩

Item No. 6.5

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 111

23/8/2022

REPORT TITLE: Customer Service Complaints and Compliments Report

REPORT PROVIDED BY: Principal Advisor - Customer Relations

Director City Futures

1. Report Purpose and Community Benefit

1.1. The purpose of this report is to provide the annual report in relation to complaints and compliments for 2021/2022 received by the City of Hobart.

2. Report Summary

2.1. Section 339F (5) of the Local Government Act 1993 requires the General Manager to provide the Council with a report at least once a year on the number and nature of complaints received against the Customer Service Charter.

2.2. During 2021/22, the City received 43 complaints and 123 compliments.

2.3. This report provides an overview of the type of complaints and compliments and a comparison to the 2019/20 year.

3. Recommendation

That in accordance with Section 339F (5) of the Local Government Act 1993 the Council note this report provided in respect of the complaints and compliments received during the 2020-21 financial year.

4. Background

4.1. Section 339F (5) of the Local Government Act 1993 requires the General Manager to provide the Council with a report at least once a year on the number and nature of complaints received against the Customer Service Charter.

4.1.1. During 2020/21, the City received 43 complaints and 123 compliments.

4.1.2. Of the 43 formal complaints received 13 were unsubstantiated. Either they were not a Council staff member or there was contradictory evidence, such as video footage.

4.1.3. Comparatively, the number of complaints recorded for the previous financial year 2020/2021 was 77 for complaints and 125 for compliments.

4.1.4. Complaints are categorised in terms of:

· Unreasonable delay in response or inaction;

· Employee behaviour; and

· General Council process or handling of a service.

4.2. The complaints are categorised against the old divisional structure which was in place July 2021.

4.3. The complaints process involves investigation by the respective manager or technical delegate with feedback or a resolution provided to the complainant.

4.4. Complaints against the Charter are received via the Customer Relations unit who oversee the complaints to ensure they are reviewed and the complainant receives a response and appropriate action.

4.5. Of the relevant complaints received during 2021/22, 47% were in relation to employee behaviour and 37% were around Council process and 17% for unreasonable delay or lack or response.

4.6. By way of comparison the types of complaints received for 2020/21 were 62% for employee behaviour 28% for Council process, and 9% for unreasonable delay.

4.7. The employee behaviour complaints are significantly higher this year than last. The previous City Innovation Division had the highest number of employee behaviour complaints, followed by the City Amenity Division. This is not surprising as these divisions have a high customer facing presence.

4.8. Parking which were part of the City Innovation Division, has been a contentious subject this year and the community appear to have a heightened dissatisfaction with parking operations. In the last year there were complaints about the price rise (council process) difficulty getting out of ‘blocked’ cap parks and the subsequent employee attitude when customers complained.

4.9. City Amenity employee behaviour complaints are focused on field workers. Poor driving behaviours or Council staff is an area regularly reported by customers.

These complaints are reported to management who take appropriate and considered action. One of the steps taken has been awareness raising with staff around customer scrutiny and the need to ensure behaviour and presentation are always of a high standard.

4.10. Of the process complaints, City Innovation received the highest number of complaints. These revolved predominantly around our pricing and the costs involved in when a car park ticket is lost.

4.11. Of the 30 relevant complaints 70% were closed in 10 days the remaining 30% took longer. There are no open complaints from 2020/21.

4.12. The number of compliments recorded for the 2021/22 period was 123.

4.13. Approximately 60% of the compliments related to the actions of the City Amenity Unit, with the next highest division being community life at 20%.

4.14. The Capital City Strategic Plan 2015-2025 commits the organisation to “Deliver best practice customer service across the organisation”.

5. Delegation

5.1. This matter is delegated to the Council.

Anna Holland

Principal Advisor - Customer Relations

Katy Cooper

Director City Futures

Date: 9 August 2022

File Reference: F22/76978

Attachment a: Complaints and Compliments Comparison ⇩

Item No. 6.6

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 115

23/8/2022

Memorandum: Finance and Governance Committee

Annual Elected Member Representation on External Bodies

In accordance with the Council’s policy titled External Bodies – Representations and Reporting on Activities, annual reports are provided by both elected members and officers who have been nominated to represent the Council on external bodies, with respect to the activities undertaken during the year in review.

The policy states that:

1. Where the Council has representatives on an outside body, it appoints a proxy to represent the Council on such bodies which have indicated that a proxy would be accepted in the absence of the duly appointed representative.

2. Reports from representative on outside bodies be made once each year and an item for this purpose be listed annually on the Finance and Governance Committee agenda.

(i) The annual reporting, where possible, should include the number of meetings held by the body and the number of meetings which have been attended by the Council representative.

For the purposes of this report the reporting period is for the period commencing 1 January 2021 to 30 June 2022.

Elected Members have been invited to provide verbal reports at the Finance and Governance Committee meeting.

REcommendation

That the information contained in the verbal reports provided by Elected Members, be received and noted.

Kelly Grigsby

Chief Executive Officer

Date: 18 August 2022

File Reference: F22/77209

Agenda (Open Portion)

Finance and Governance Committee Meeting

Page 136

23/8/2022

9. 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:

· Confirm the minutes of the Closed portion of the meeting

· Questions without notice in the Closed portion

· Request to waive requirement to Tender

· Contract extension

· Outstanding rates

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 Request to Waive Requirement to Tender - Australia Post PostBillPay Services

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

Item No. 4.2 Contract Extension - Provision of GIS Product and Services

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

Item No. 4.3 Outstanding Rates as at 30 June 2022

LG(MP)R 15(2)(g) and (j)

Item No. 5 Responses to Questions Without Notice

Item No. 5.1 Enforcement Action - Blue Truck

LG(MP)R 15(2)(i)

Item No. 6 Committee Action Status Report

Item No. 6.1 Committee Actions - Status Report - CLOSED

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

Item No. 7 Questions Without Notice

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.