Agenda of Council Meeting - Monday, 30 June 2025

Item No. 10

Agenda (Open Portion)

Council Meeting

Page 18

30/6/2025

REPORT TITLE: 2025-26 Annual Plan and Budget Estimates

REPORT PROVIDED BY: Director Corporate Services

Chief Financial Officer

Manager Rates, Procurement and Risk

1. Report Summary and Key Issue

1.1. The purpose of this report is to present the City of Hobart’s 2025‑26 Budget Estimates; 2025-26 Annual Plan; and 2025-26 Rates Resolution for formal adoption.

1.2. The Long-Term Financial Management Plan 2023-2033, which was formally adopted at the Council meeting on 19 June 2023, and the Interim Strategic Asset Management Plan 2024-2034, which was formally adopted at the Council meeting on 24 June 2024, have been included for information.

1.3. The 2025-26 Budget Estimates is consistent with the previously adopted Long‑Term Financial Management Plan 2023-2033, with one amendment being a lower increase in rates and charges revenue by half a per cent to 3.5 per cent.

1.4. The City has been able to achieve a lower increase than initially forecast, through the review of the depreciation expenses and due to the forecast end of year result for 2024-25.

1.5. The 2025-26 Annual Plan details the major actions and initiatives the City will undertake during the coming year and have been funded as part of the 2025-26 Budget Estimates.

1.6. Following a 12-month review of the City’s rating practices, which included community consultation, the City adopted a Rating and Valuation Strategy 2024-28 to guide the City’s rating practices for the next four years, taking effect from 1 July 2024. 2025-26 is the second year of using the adopted strategy for levying rates and charges.

1.7. From 1 July 2024 Council changed the property valuation base it uses for the purpose of rating from Assessed Annual Value to the Capital Value of a property. To smooth the transition to Capital Value rating in 2024-25, Council introduced a maximum percentage increase cap of 10% on the General Rate for properties with a commercial and industrial land use. For 2025-26 the level of the maximum increase cap for commercial and industrial properties will be reduced to 5%.

1.8. A differential rating system will continue for 2025-26 to ensure the equitable distribution of the rates burden amongst property owners.

1.9. The differential rating system will also include the differential general rate for properties used for short stay visitor accommodation and vacant – residential land introduced in 2023-24 to ensure housing stock is retained, to ensure owners of residential land used for the commercial purpose of short stay visitor accommodation contribute to the provision of Council services and facilities associated with that commercial use and to stimulate residential development.

1.10. The changes to the maximum percentage increase cap have been reflected in an amended version of the City of Hobart Rates and Charges Policy attached to this report for formal adoption.

1.11. The City’s Risk and Audit Panel met on 4 June 2025 and a summary of the Panel’s advice to Council in respect of the budget estimates is included in this report.

1.12. It is proposed that the 2025-26 Budget Estimates; 2025-26 Annual Plan; and the City’s 2025-26 Rates Resolution be formally adopted by Council.

2. Recommendations

That:

1. In accordance with section 82(2) of the Local Government Act 1993, the revenues, expenses and capital works program detailed in the 2025-26 Budget Estimates (Attachment A) be adopted.

2. The 2025-26 Annual Plan (Attachment B) be adopted.

3. The City of Hobart Rates Resolution 2025-26 (Attachment C), be adopted as follows:

(i) Pursuant to s.90 of the Local Government Act 1993, a General Rate of 0.2951 cents in the dollar of Capital Value be made.

(ii) Pursuant to s.107 of the Local Government Act 1993, Council declares by absolute majority that the General Rate is varied according to the use or predominant use of land, as follows:

a) for land used for commercial purposes, vary the General Rate to 0.5659 cents in the dollar of Capital Value.

b) for land used for industrial purposes, vary the General Rate to 0.5659 cents in the dollar of Capital Value.

c) for land used for primary production purposes, vary the General Rate to 0.2264 cents in the dollar of Capital Value.

d) for land used for public enterprise purposes, vary the General Rate to 0.3806 cents in the dollar of Capital Value.

e) for land used for residential purposes, vary the General Rate to 0.2264 cents in the dollar of Capital Value.

f) For land used for residential short stay visitor accommodation purposes, vary the General Rate to 0.4528 cents in the dollar of Capital Value.

g) for land used for sporting or recreation facilities purposes, vary the General Rate to 0.3045 cents in the dollar of Capital Value.

h) for non-use of the land, vary the General Rate to 0.2851 cents in the dollar of Capital Value.

i) For non-use residential land, vary the General Rate to 0.5702 cents in the dollar of Capital Value.

(iii) Pursuant to s.88A(1)(a) and (b) of the Local Government Act 1993 the Council by absolute majority sets and declares that the maximum percentage increase cap on the General Rate for land used or predominately used for commercial and industrial purposes (as previously made and varied in 4.i and 4.ii above) is 5 per cent above the amount payable in respect of that rateable land in the 2024-25 financial year.

(iv) Pursuant to s.88A(2)(b) of the Local Government Act 1993 the Council by absolute majority fixes the condition that to qualify for the maximum percentage increase cap (as previously made and varied above) the rateable land must not be subject to a supplementary valuation issued by the Valuer-General during the period from 1 July 2025 to 30 June 2026.

(v) Pursuant to s.93 of the Local Government Act 1993, a Stormwater Removal Service Rate of 0.0237 cents in the dollar of Capital Value be made.

(vi) Pursuant to s.107 of the Local Government Act 1993, Council declares by absolute majority that the Stormwater Removal Service Rate is varied according to the use or predominant use of land, as follows:

a) for land used for commercial purposes, vary the Stormwater Removal Service Rate to 0.0392 cents in the dollar of Capital Value.

b) for land used for industrial purposes, vary the Stormwater Removal Service Rate to 0.0359 cents in the dollar of Capital Value.

c) for land used for primary production purposes, vary the Stormwater Removal Service rate to 0.0207 cents in the dollar of Capital Value.

d) for land used for public enterprise purposes, vary the Stormwater Removal Service Rate to 0.0209 cents in the dollar of Capital Value.

e) for land used for residential purposes, vary the Stormwater Removal Service Rate to 0.0196 cents in the dollar of Capital Value.

f) for land used for sporting or recreation facilities purposes, vary the Stormwater Removal Service Rate to 0.0126 cents in the dollar of Capital Value.

g) for non-use of the land, vary the Stormwater Removal Service Rate to 0.0210 cents in the dollar of Capital Value.

(vii) Pursuant to s.93A of the Local Government Act 1993 and the provisions of the Fire Service Act 1979 (as amended), the Council makes the following service rates for land within the municipal area:

a) A permanent brigade district fire rate of 0.0542 cents in the dollar of Capital Value subject to a minimum amount of $50 in respect of all rateable land within the permanent brigade rating district.

b) A Fern Tree volunteer brigade district fire rate of 0.0135 cents in the dollar of Capital Value subject to a minimum amount of $50 in respect of all rateable land within the Fern Tree volunteer brigade rating district.

c) A general land fire rate of 0.0121 cents in the dollar of Capital Value subject to a minimum amount of $50 in respect of all rateable land within the municipal area which is not within the permanent brigade rating district or the Fern Tree volunteer brigade rating district.

(viii) Pursuant to s.107 of the Local Government Act 1993, Council declares by absolute majority that the permanent brigade district fire rate is varied within the permanent brigade rating district according to the use or predominant use of land, as follows:

a) for land used for commercial purposes, vary the permanent brigade district fire rate to 0.0857 cents in the dollar of Capital Value.

b) for land used for industrial purposes, vary the permanent brigade district fire rate to 0.0775 cents in the dollar of Capital Value.

c) for land used for primary production purposes, vary the permanent brigade district fire rate to 0.0445 cents in the dollar of Capital Value.

d) for land used for public enterprise purposes, vary the permanent brigade district fire rate to 0.0884 cents in the dollar of Capital Value.

e) for land used for residential purposes, vary the permanent brigade district fire rate to 0.0425 cents in the dollar of Capital Value.

f) for land used for sporting or recreation facilities purposes, vary the permanent brigade district fire rate to 0.0244 cents in the dollar of Capital Value.

g) for non-use of the land, vary the permanent brigade district fire rate to 0.0435 cents in the dollar of Capital Value.

(ix) Pursuant to s.94 of the Local Government Act 1993, a Waste Management Service Charge be made and varied according to the use or predominant use of land as follows:

a) A Service charge of $300 to apply to residential properties; and

b) A Service charge of $600 to apply to non-residential properties.

(x) Pursuant to s.94 of the Local Government Act 1993, a Waste Management Service Charge of $85 be made for kerbside food organics garden organics waste collection for all rateable land within the municipal area to which Council supplies or makes available a food organics garden organics waste collection service fortnightly utilising a food organics garden organics waste collection bin.

(xi) Pursuant to s.94 of the Local Government Act 1993, a Waste Management Service Charge for food organics garden organics collection be made in the sum of $176.00 for all rateable land within the municipal area to which Council supplies or makes available a food organics garden organics waste collection service weekly utilising a food organics garden organics collection bin.

(xii) Pursuant to s.94 of the Local Government Act 1993, a service charge be made for waste management services to offset a levy payable by the Council to the State Government under the Waste and Resource Recovery Act 2022 (a Waste Management Levy Offset Service Charge) and varied according to the use or predominant use of land as follows:

a) A Service charge of $24 to apply to residential properties; and

b) A Service charge of $48 to apply to non-residential properties.

(xiii) Pursuant to s94 of the LGA, a service charge be made of $117 for an initial service charge for waste, or recycling, residential or non-residential and $191 to upgrade from a 120Lt to 240Lt mobile garbage bin residential.

4. The penalty on unpaid rates be 3 per cent of the amount.

5. The interest rate on unpaid rates be 10.3 per cent per annum, charged monthly.

6. The following delegation be approved:

(i) Pursuant to section 22 of the Local Government Act 1993, the Council delegate to the Chief Executive Officer, being the General Manager as appointed by Council pursuant to section 61 of the Local Government Act 1993 the power to expend monies on the Council’s behalf identified as Delegation Classification 1 items in the Council’s Annual Plan 2025-26; and, the Council authorise the Chief Executive Officer to delegate, pursuant Section 64 of the Local Government Act 1993, to such employees of the Council as he considers appropriate, the power to expend monies on the Council’s behalf identified as Delegation Classification 1 items in the Council’s Annual Plan.

7. The Council adopt the amended City of Hobart Rates and Charges Policy (Attachment D).

8. The Chief Executive Officer be authorised to make minor administrative amendments to finalise the City of Hobart Rates and Charges Policy and arrange for it to be made available to the public in a paper format from the Council’s Customer Service Centre and in an electronic format from Council’s website.

9. The Council note the observations of the Risk and Audit Panel as detailed in this report.

3. Discussion and Background

3.1. This report presents the City’s 2025-26 Budget Estimates.

3.2. The key documents included in this report include:

3.2.1. The City of Hobart 2025-26 Budget Estimates. This document contains discussion of all elements comprising the Estimates and is required pursuant to section 82 of the Local Government Act 1993 (LGA).

3.2.2. The 2025-26 Annual Plan, which is required pursuant to section 71 of the LGA. The Annual Plan is required to set out how the objectives of the Council’s Strategic Plan are to be met, including a summary of the Estimates adopted, and is to be formally adopted by the Council.

3.3. The 2025-26 Budget process has included community consultation and workshops with Elected Members.

3.4. The community consultation period enabled the community to provide input into what is important for the City to consider as part of the 2025‑26 Budget.

3.5. The workshops with Elected Members provided opportunity for discussion and feedback on issues considered important for the community.

3.6. The workshops held with Elected Members included:

3.6.1. Elected Member Strategic Planning Day – July 2024;

3.6.2. Workshop – December 2024;

3.6.3. Hobart Workshop – March 2025;

3.6.4. Elected Member Strategic Planning Day – April 2025;

3.6.5. Hobart Workshop – May 2025; and

3.6.6. Hobart Workshop – June 2025

3.7. Elected Members were given the opportunity to provide feedback on the organisational priorities from 11 April 2025 until 7 May 2025.

3.8. Feedback received was responded to as either an explanation, or adjustments were made to the draft 2025‑26 Annual Plan and Budget.

3.9. Following a 12-month review of the City’s rating practices, which included community consultation, at its meeting on 29 April 2024 Council adopted the City of Hobart Rating and Valuation Strategy 2024‑28 to guide the City’s rating practices for the next four years. 2025-26 is the second year of using the adopted strategy for levying rates and charges.

3.10. As part of the review, Council approved a change to the City’s property valuation base for the purpose of rating from Assessed Annual Value (AAV) to Capital Value, which commenced on 1 July 2024. To smooth the transition to Capital Value rating, Council introduced a maximum percentage increase cap of 10% on the General Rate for properties with a commercial and industrial land use. For 2025-26 the level of the maximum increase cap for commercial and industrial properties will be reduced to 5%.

3.11. The change to the maximum percentage increase cap has been reflected in an amended version of the City of Hobart Rates and Charges Policy attached to this report for formal adoption – refer Attachment D.

3.12. A differential rating system will continue for 2025-26 to ensure the equitable distribution of the rates burden amongst property owners. This will include a differential General Rate, Stormwater Removal Service Rate and Fire Service Rate for the permanent brigade rating district.

3.13. The differential rating system will also include the differential general rate for properties used for short stay visitor accommodation and vacant – residential land introduced by Council in 2023-24 to ensure housing stock is retained, to ensure owners of residential land used for the commercial purpose of short stay visitor accommodation contribute to the provision of Council services and facilities associated with that commercial use and to stimulate residential development.

Risk and Audit Panel Observations:

3.14. The Risk and Audit Panel (RAP) met on 4 June 2025 to review the documents.

3.15. In reviewing the City of Hobart’s 2025-26 draft Budget Estimates, Annual Plan, Long‑Term Financial Management Plan, Interim Strategic Management Plan, Rates Resolution and associated documents, the Risk and Audit Panel in accordance with section 4.6.1 Long Term Financial Sustainability and section 4.6.2 Asset Management of its Terms of Reference:

3.15.1. Notes the proposed 2025-26 Budget Estimates as being generally consistent with achieving the objectives of the City’s Long Term Financial Management Plan (LTFMP), while noting that key elements of the LTFMP are subject to review.

3.15.2. Notes the proposed review of the Interim Strategic Asset Management Plan 2024-2034 and potential material changes that may be required as a result of that review.

3.15.3. Notes the proposed 2025-26 Annual Plan.

3.15.4. Observes that it is critical that Council invests in systems and resources necessary to support robust asset management and financial management into the future.

3.15.5. Notes the proposed operating surplus for 2025-26 of 0.5 per cent is below Council’s target of 2 per cent in the City’s LTFMP. The Panel reiterates that consistent surpluses are necessary to achieve long term financial sustainability.

3.16. It is proposed that:

3.16.1. The 2025-26 Budget Estimates; 2025-26 Annual Plan; and 2025-26 Rates Resolution be formally adopted by Council.

3.16.2. The attached City of Hobart Rates and Charges Policy, as amended, be adopted and copies made available to the public in a paper format from the Customer Service Centre and in an electronic format prominently from the Council’s website.

3.16.3. The Council note the observations of the Risk and Audit Panel as detailed in section 3 of this report.

Estimates Overview

3.17. Key aspects of the 2025-26 Budget include:

3.17.1. An operating budget of $183.9 million for the delivery of services to the community;

3.17.2. A capital works program of $36.7 million that will focus on renewing existing assets and grant funded projects.

3.17.3. The 2025-26 Budget is consistent with the Long‑Term Financial Management Plan 2023-2033.

Operating Result

3.18. The 2025-26 Budget forecasts a $1 million, or 0.5 per cent operating surplus.

3.19. Some key factors of the 2025-26 Budget include:

3.19.1. Estimates forecast total rates income of $120 million, an increase of $4.4 million from the 2024-25 Budget Estimates.

3.19.2. Parking fees and charges for car parks and on-street parking totalling $23.5 million are forecast.

3.19.3. A forecast increase in labour costs of $2.5 million, as a result of the new Hobart City Council Enterprise Agreement 2024.

3.19.4. An increase of $4.6 million in Materials and Services expenses due to an investment in information technology, building expenses as well as cost increase impacts.

3.19.5. A decrease in depreciation expense of $3.8 million from the 2024-25 Budget Estimate of $37 million to $33.2 million in 2025-26.

Cash Flows

3.20. The City’s cash balance, including investments, is forecast to be approximately $81 million at 30 June 2025.

3.21. It is anticipated that a similar cash balance will be reported at 30 June 2026.

Financing

3.22. Debt is a key element in a council’s long-term financial management plan, as it helps with the acquisition of planned infrastructure and the renewal of existing infrastructure and supports intergenerational rating equity.

3.23. The City will generally borrow for infrastructure when it is appropriate, with the repayments being met and managed within the resources of the City.

3.24. Debt is an effective financial tool that can be utilised by the City when required.

3.25. The City has a modest level of debt, forecast to be $36 million including accrued interest at 30 June 2025, for an annual budget of $183.9 million which is sustainably serviced from operational expenditure.

3.26. The City is not entering into any new debt arrangements in 2025-26.

3.27. Existing debt principal repayments of $3.3 million are currently forecast to be made during 2025‑26.

Capital Expenditure - New Assets/Upgrades and Asset Renewal

3.28. The Estimates include the proposed 2025-26 capital works program for Council consideration.

3.29. The 2025-26 Budget Estimates provides funding for a capital works program totalling $36.7 million.

3.29.1. This includes projects in receipt of grant funding totalling $15.5 million.

3.30. The 2025-26 Budget Estimates provide capital works funding from the Council’s own funds of $21.2 million, comprising:

3.30.1. Asset renewal of $13.3 million;

3.30.2. New assets of $2.5 million;

3.30.3. Asset upgrades of $1.9 million; and

3.30.4. Plant and equipment funding of $3.5 million.

3.31. In addition, the budget includes $15.5 million of grant funded capital works, comprising:

3.31.1. Asset renewals of $1.9 million;

3.31.2. New assets of $13.3 million; and

3.31.3. Asset upgrades of $330,000.

3.32. Further details on the individual projects in the capital works program are included in the 2025-26 Budget Estimates.

Long-Term Financial Management Plan (LTFMP)

3.33. The 2025-26 Estimates have been prepared in accordance with the LTFMP (Attachment E).

3.34. A slightly lower rate increase has been managed in the 2025‑26 Estimates as a result of the depreciation review undertaken in 2024‑25.

3.35. The LTFMP has been prepared on the basis of a number of assumptions regarding the economic and financial environment into the future.

2025-26 Annual Plan

3.36. An Annual Plan is required pursuant to Section 71 of the LGA (Attachment B). The Plan sets out the strategic directions, major actions and initiatives that will guide the priorities of the organisation over the coming year.

3.37. The 2025-26 Annual Plan continues to deliver on the strategies and commitments in the Capital City Strategic Plan and the City’s Community Vision.

3.38. The effectiveness of the strategic priorities, major actions and initiatives in the City’s 2025-26 Annual Plan will be monitored through progress reports to the Hobart Workshop and through the City of Hobart Annual Report.

3.39. The major initiatives and actions identified in the 2025-26 Annual Plan have been funded in the 2025-26 Budget.

Rating and Valuation Strategy and Rates Resolution

3.40. The 2025-26 rates will be raised guided by the City’s Rating and Valuation Strategy 2024-28, using Capital Value as the valuation base following Council’s decision to move away from Assessed Annual Value from 1 July 2024.

3.41. A differential rating system will continue for 2025-26 to ensure the equitable distribution of the rates burden amongst property owners.. This will include a differential General Rate, Stormwater Removal Service Rate and Fire Service Rate for the permanent brigade rating district.

3.42. Increases on the General Rate will be limited for commercial and industrial properties using a 5 per cent maximum percentage increase cap, reduced from 10 per cent in 2024-25, to continue to help manage any significant rate increases in the move to Capital Value for land used or predominately used for commercial and industrial purposes.

3.43. Given the proposed change to the maximum percentage increase cap, the City of Hobart Rates and Charges Policy has been amended to reflect these changes – refer attachment D.

3.44. The differential rating system will also include the differential general rate for properties used for short stay visitor accommodation and vacant – residential land introduced in 2023-24.

3.45. The objective is to ensure housing stock is retained and to ensure owners of residential land used for the commercial purpose of short stay visitor accommodation contribute to the provision of the City’s services and facilities that are associated with that commercial use e.g. economic development, tourism, communications and marketing.

3.46. For properties identified with a land use of vacant – residential, a differential rating strategy will encourage development of vacant land for housing and other purposes. This will encourage the development of all properties to their full potential thereby stimulating economic growth and development in all areas of the municipal area. This will also assist to discourage the holding of land and ensure vacant landowners contribute an equitable share of the rate burden compared to other types of landowners.

3.47. A $4.4 million or 3.5 per cent increase in rates revenue is required for 2025-26 to fund Council operations.

3.48. The fire levy will increase by $613,681 (4.06 per cent) to $15.7 million in 2025-26. Pursuant to the Fire Service Act 1979, local government acts as a collection agent for this State Government levy, which is paid directly to the State Fire Commission. Council earns a 4 per cent collection fee, which is included in revenue.

3.49. From 1 July 2022, the State Government introduced a state-wide landfill levy pursuant to the Waste and Resource Recovery Act 2022 on waste disposed to landfill both as a disincentive to landfilling and as a mechanism to fund strategic investment into Tasmania’s waste and resource recovery sectors and circular economy. The Council is required to pay the levy to the State Government under the Act. The levy equates to $20 per tonne of waste disposed to the City’s landfill in the first two years, then $45 per tonne after two years and $66 per tonne after a further two years. For 2025-26 the amount to be collected from rates is $616,579, with the service charge remaining unchanged at $24 for residential properties and $48 for non-residential properties.

3.50. The waste management service charge will increase by $10 or 3.45 per cent for residential properties and $20 for non-residential properties for 2025-26, which includes $10 and $20 respectively to provide funding for rehabilitation costs at the McRobies Gully landfill site following completion of land filling, introduced in 2011-12.

3.51. A $3 increase in the fortnightly Food Organics Garden Organics Collection Service Charge for residential properties is proposed. Weekly collection is available for businesses at a cost of $176 per annum.

3.52. The amount required to fund stormwater removal services has increased by 5.6 per cent from 2024-25 reflecting costs increases.

3.53. Pursuant to section 128 of the LGA, penalty of 3 per cent and an interest rate of 10.3 per cent is proposed on unpaid rates.

3.54. This is consistent with Council’s Rating and Valuation Strategy 2024-28 and Council’s decision at its meeting on 19 February 2024, where Council resolved inter alia that the Council continues to charge 3 per cent penalty and the prescribed interest rate on unpaid rates.

3.55. In accordance with section 128(1)(a) of the LGA, the City can impose a penalty up to 10 per cent. The Council has chosen to set the penalty at 3 per cent of the instalment amount as that level, in addition to revenue received from interest charges, as that recovers Council’s costs of rates debt management.

3.56. 15 of the 29 Tasmanian councils charge the prescribed interest rate, the same as City of Hobart. This includes the larger councils and our southern neighbours – Brighton, Derwent Valley, Glenorchy, Huon Valley and Kingborough. 21 of the 29 councils charge an interest rate above 6 per cent.

3.57. 15 councils charge penalty. Four councils charge the maximum of 10 per cent. City of Hobart is amongst those councils with the lowest penalty amount of 3 per cent. City of Launceston also charged 3% penalty.

4. Legal, Risk and Legislative Considerations

4.1. Section 82 of the LGA requires the Chief Executive Officer to prepare Estimates of the Council’s revenue and expenditure for each financial year, and details what the Estimates must contain.

4.2. The Estimates must be adopted by the Council before 31 August 2025 by absolute majority.

4.3. The Rating Resolution requires approval by absolute majority of the Council. If sufficient revenue is not raised by rates, the Council will be unable to deliver the level of services required by the community and the infrastructure required of a growing capital city.

4.4. Council’s Rates and Charges Policy is required to be updated to reflect the change to Council’s current rating strategy. This is a requirement pursuant to section 86B(4)(c) of the LGA, which states that:

A council must review its rates and charges policy at the same time, or before, making under section 107 a variation of a rate or charge in respect of a financial year, if such a variation of that rate or charge was not made in respect of the previous financial year.

4.5. A differential rating strategy is proposed pursuant to section 107 of the LGA, which states that:

(1) A council, by absolute majority, may declare that the general rate, a service rate or a service charge varies within the municipal area or within different parts of the municipal area according to any or all, or a combination of any or all, of the following factors:

(a) the use or predominant use of the land;

(b) the non-use of the land;

(c) the locality of the land;

(d) any planning zone;

(e) any other prescribed factor.

4.6. Section 108 of the LGA states that:

If a council varies a rate, the general manager must notify the ratepayer in a rates notice –

(a) of the rate as varied; and

(b) of the factor on which the variation of the rate was calculated; and

(c) of the date on which the variation takes effect.

4.7. Section 109 of the LG Act permits a ratepayer to object to a variation in a rate based on a particular use of land.

4.8. The only ground for an objection is that the use of the ratepayer’s land is not the use of land on which the variation is based. Section 109 states the following:

(3) An objection is to –

(a) be made in writing within 21 days after receipt of a notice under section 108 notifying the variation; and

(b) state the use of the ratepayer's land; and

(c) be accompanied by evidence of the use of the land; and

(d) be lodged with the general manager.

(4) A council is to make a decision in respect of an objection within 60 days after the objection is lodged.

(5) The council may decide that the variation in the rate –

(a) applies to the ratepayer based on the use of the ratepayer's land; or

(b) does not apply because of the use of the ratepayer's land.

(6) A ratepayer may apply to the Magistrates Court (Administrative Appeals Division) for a review of –

(a) a council's decision under subsection (5) ; or

(b) a council's failure to make a decision under subsection (5) ; or

(c) a council's failure to make a decision within the period specified in subsection (4) .

(7) If the council does not make a decision in respect of an objection within 60 days after the objection is lodged, the council is taken to have made a decision in respect of that objection on the last day of that period.

5. Strategic Planning and Policy Considerations

5.1. Pillar 8 – Governance and Civic Involvement of the City of Hobart Capital City Strategic Plan 2023 is applicable in considering this report, particularly outcome 8.2.

Monitor and maintain financial sustainability into the future through responsible management of annual budgets, assets and long-term financial planning.

Align service delivery expectations with available funding so that the sustainable management of all required supporting assets is achieved.

Increase the efficiency and effectiveness of service delivery across the organisation and improve services, project management and asset planning.

Maintain a rating system that supports fairness, capacity to pay and effectiveness.

6. Financial Viability

6.1. Financial Considerations:

	2024-25	2025-26	2026-27	2027-28
	$’000	$’000	$’000	$’000

Revenue
Existing Revenue
Additional Revenue
Total Revenue

Expenditure
Operating
Capital
Total Expenditure

Net Cost

FTE Impact

	2024-25	2025-26	2026-27	2027-28

Change in FTE

6.1.1. The financial information is included in the 2025-26 Budget Estimates documents.

6.1.2. The 2025-26 Budget Estimates is consistent with the Long‑Term Financial Management Plan 2023-2033 and will ensure the ongoing financially sustainability of the City.

6.2. City Economy Strategy:

6.2.1. This proposal aligns to the following strategic priorities listed in the City of Hobart City Economy Strategy 2023 – 2028:

6.2.1.1. Strategic Priority 1: Plan for our collective social, economic and environmental prosperity.

6.2.1.2. Strategic Priority 3: Position Hobart as an enviable place to visit, live and do business.

6.3. Economic Impact:

6.3.1. NA

6.4. Consultants

6.4.1. NA

7. Climate and Sustainability Considerations

7.1. The City will consider climate and sustainability issues as part of business as usual activities moving forward.

7.2. In 2025-26 this will commence with the rolling replacement of all existing Council light vehicles with electric models.

7.3. In 2025-26, the City will also commence the detailed planning for the future of the McRobies Waste Management Centre once it closes to landfill in 2030.

8. Community and Business Engagement and Collaboration

8.1. During 2025-26, the City undertook community engagement to inform the 2025-26 Budget development process.

8.2. The community were provided with an opportunity to identify the key areas the Council should invest towards during the development of the 2025-26 Budget.

8.3. A summary of the engagement process included:

8.3.1. 3,443 Your Say e-newsletter recipients

8.3.2. 272 visits to the Your Say page

8.3.3. 83 survey responses

8.3.4. 2 neighbourhood pop-ups

8.3.5. 31 votes on the dotmocracy wall

8.3.6. 5 detailed submissions

8.4. The overall feedback highlights a strong focus on:

8.4.1. Keeping our City Moving

8.4.2. Fostering an Active Lifestyle;

8.4.3. Keeping Our City Clean;

8.4.4. Supporting Our Community; and

8.4.5. Protecting Our Community.

9. Innovation and Continuous Improvement

9.1. Developing the Annual Plan and Budget Estimates is an annual process that is always considering innovation and continual improvements.

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.

Michael Reynolds

Director Corporate Services

Michelle Wickham

Chief Financial Officer

Lara MacDonell

Manager Rates, Procurement and Risk

Date: 25 June 2025

File Reference: F25/35908

Attachment a: 2025-26 Budget Estimates (Supporting information)

Attachment b: 2025-26 Annual Plan (Supporting information)

Attachment c: Rates Resolution 2025-26 (Supporting information)

Attachment d: Amended City of Hobart Rates and Charges Policy
(Supporting information)

Attachment e: Long Term Financial Management Plan 2023-2033
(Supporting information)

Attachment f: Interim Strategic Asset Management Plan 2024-2034 (Supporting information)

Item No. 11

Agenda (Open Portion)

Council Meeting

Page 1

30/6/2025

REPORT TITLE: Draft Waste Management Strategy

REPORT PROVIDED BY: Manager City Resilience

Director Infrastructure and Assets

1. Report Summary and Key Issue

1.1. The purpose of this report is to seek the Council’s endorsement of the Draft Waste Management Strategy (the Strategy) following the community engagement period. Community feedback has been incorporated into the draft, with no significant changes.

1.2. This report summaries the six-week community engagement period, including the six recommendations outlined in Draft Waste Management Strategy Community Engagement Summary Report highlighting community interest in the future of McRobies Gully Waste Management Centre and the landfill closure.

2. Recommendation

That the Council endorse the Waste Management Strategy (marked as Attachment A) as the framework to guide the delivery of responsible waste services, honouring our commitment to zero waste to landfill and closure of Hobart’s landfill.

3. Discussion and Background

3.1. The City of Hobart has developed a new Waste Management Strategy, updating the previous plan from 2015.

3.2. At its meeting of 9 December 2024, the Council endorsed the release of the Strategy for the purposes of community engagement.

3.3. To ensure the Strategy reflected community needs and priorities, the City of Hobart invited community members and stakeholders to participate in a diverse range of engagement opportunities including pop-ups and face-to-face interviews, Your Say online survey and written submissions, consultation with Hobart Community Association (CHCA), the Access Advisory Committee (AAC) and a workshop with Culturally and Linguistically Diverse (CALD) grounds at the Migrant Resource Centre.

3.4. The Community Engagement Team collated feedback from this process, which was then considered and incorporated into the Waste Management Strategy.

4. Strategic Planning and Policy Considerations

4.1. The Waste Management Strategy aligns with Pillar 6 – Natural Environment:

Outcome 6.2 - Education, participation, leadership and partnerships all contribute to Hobart’s strong environmental performance and healthy ecosystems.

Outcome 6.3 - Hobart is a city supported by ecologically sustainable waste and water systems.

Outcome 6.4 - Hobart is a leader on climate change moving toward a zero emissions and climate-resilient city.

4.2. The Waste Management Strategy aligns with Climate Ready Hobart 2040 Strategy, specifically Goal 1. Zero emissions Hobart, Priority 3, Zero emissions waste:

3.1 Design out waste diverting 85% of waste from landfill.

3.2 Divert organic waste including 85% f residential from general waste by 2030.

3.3 Improve methane capture aiming for 100%, or as close as possible, from landfill by 2035.

5. Financial Viability

5.1. Financial Considerations:

	2025-26	2026-27	2027-28	2028-29
	$’000	$’000	$’000	$’000

Revenue
Existing Revenue
Additional Revenue
Total Revenue	N/A	N/A	N/A	N/A

Expenditure
Operating
Capital
Total Expenditure	N/A	N/A	N/A	N/A

Net Cost	N/A	N/A	N/A	N/A

FTE Impact

	2025-26	2026-27	2027-28	2028-29

Change in FTE	N/A	N/A	N/A	N/A

Detail the change in the level of full-time equivalents within the group should the requested level of additional funding be required.

5.1.1. Following the endorsement of the Waste Management Strategy, City Officers will commence design and development of an implementation plan to deliver the actions outlined within the Strategy.

5.1.2. Part of this process will identify costs for currently unfunded actions within the Strategy and funding options.

5.1.3. The implementation process will also identify additional FTE resources

5.1.4. The current waste operational revenue ($13M) is not expected to fully fund future operational and capital requirements to deliver all actions under the new waste strategy. This particularly applies to improved material recovery, diversion of residual waste from McRobies to alternate landfill/s, and changes to infrastructure at McRobies. It is expected that this shortfall will be funded from a combination of future CAPEX, external funding, and receipt of clean fill at the McRobies Waste Management Centre to 2030.

5.2. City Economy Strategy:

5.2.1. This proposal aligns to the following strategic priorities listed in the City of Hobart City Economy Strategy 2023 – 2028:

Priority 1.7 - Partner on projects that support local businesses to transform to a zero emissions economy and to implement locally relevant UN 2030 sustainability goals

Priority 1. 8 - Advocate for infrastructure which is strategically important to the city and the region including cultural, transport and community infrastructure.

5.3. Consultants:

5.3.1. Consultants will be engaged to assist with key areas of the strategy. This includes, but is not limited to, landfill options analysis, repurposing of the McRobies Waste Management Centre, and material recovery planning and initiatives.

6. Climate and Sustainability Considerations

6.1. The Waste Management Strategy directly references the Climate Ready Hobart 2040 Strategy and the Climate Futures Lead was consulted during the process. Section 4.2 of this report outlines this in further detail.

7. Community and Business Engagement and Collaboration

7.1. The six-week community engagement period for the Waste Management Strategy was designed to ensure a diverse group of the community were informed and able to provide feedback, various engagement tools and channels were use including pop-ups, surveys, face-to-face interviews and tailored consultation with young people at YouthARC, culturally and linguistically diverse through the migrant Resource Centre, consultation with the Council of Hobart Community Associations (CHCA) and the Access Advisory Committee (AAC).

7.2. The Southern Regional Waste Authority, TasWaste South was consulted along with Southern Waste Solutions and businesses with high usage of McRobies Gully Waste Management Centre.

7.3. Engagements results in 126 survey responses, 20 written submissions, 40 poll responses, 380 downloads of the strategy.

7.4. This process informed six key current and future actions:

7.4.1. Minor updates to the Draft Waste Management Strategy based on feedback received.

7.4.2. Provide Community Feedback on the Final Waste Management Strategy: Keep the community informed about progress and actions taken.

7.4.3. Engage with the Community on the McRobies Gully Development Plan: Communicate the development process clearly and involve the community as much as possible.

7.4.4. Enhance Accessibility and implement actions to make waste disposal more accessible for everyone.

7.4.5. Provide More Information: Offer regular, easy-to-understand information on various waste related topics, including material disposal, waste management processes, and the impacts of waste reduction.

7.4.6. Listen to the Community and Stakeholders: Continuously engage with the community and stakeholders to tailor programming and services.

8. Innovation and Continuous Improvement

8.1. The Waste Management Strategy and associated actions are informed by the waste hierarchy and the principles of transitioning to a circular economy.

8.1.1. Avoidance and reduction of waste are prioritised to achieve zero waste to landfill by 2030 as based on the below industry pyramid.

8.1.2. The transition from a linear to circular economy underpins the strategy.

Christopher Kuchinke

Manager City Resilience

David Reeve

Director Infrastructure and Assets

Date: 23 June 2025

File Reference: F25/43353

Attachment a: Draft Waste Management Strategy (Supporting information)

Attachment b: Draft Waste Management Strategy - Engagement Report (Supporting information)

Item No. 12

Agenda (Open Portion)

Council Meeting

Page 1

30/6/2025

REPORT TITLE: Biodiversity Action Plan 2025-2030

REPORT PROVIDED BY: Manager Open Space

Director Infrastructure and Assets

1. Report Summary and Key Issue

1.1. The purpose of this report is to seek the Council’s endorsement of the revised Biodiversity Action Plan (BAP) following its first five-year review cycle (2019-2024). The revised BAP builds upon the achievements of the inaugural plan while addressing emerging challenges and refining the City's approach to biodiversity management through updated threats assessment, research findings, and new management objectives and actions for the next five years.

2. Recommendation

That:

1. The review of the Biodiversity Action Plan 2019-2024 be noted.

2. The Biodiversity Action Plan 2025-2030 (marked attachment A), be endorsed as the City's strategic framework for biodiversity management of the City’s bushland reserves.

3. The Council authorises the development of a revised external-facing document, "Protecting our Wild Heart: An Action Plan for Hobart's Bushlands," to communicate the City's biodiversity commitments to the community.

3. Discussion and Background

3.1. The Biodiversity Action Plan (BAP) was established as a strategic document to guide the management of Hobart's bushland reserves, ensuring alignment with biodiversity principles. The City of Hobart's inaugural BAP (2019-2024) introduced a strategic, asset management approach, prioritising natural areas with the highest biodiversity value.

3.2. A comprehensive review of the BAP has now been completed, following the five-year review cycle established when the plan was adopted in 2019. The review process has included:

3.2.1. Assessment of achievements and implementation challenges from the 2019-2024 period.

3.2.2. Identification of emerging biodiversity threats and management issues.

3.2.3. Consultation with internal stakeholders and subject matter experts.

3.2.4. Revision of management objectives and actions for the next five-year period.

3.3. The original BAP provided a comprehensive framework for biodiversity management; however, the review identified that it has not been utilised to its full potential due to its complexity. The revised BAP strikes a balance between comprehensiveness and functionality, ensuring the document is both actionable and accessible for the next five years.

3.4. Key improvements in the revised BAP include:

3.4.1. Streamlined management objectives with clearer action pathways.

3.4.2. Updated threat assessment based on current research and changing environmental conditions.

3.4.3. Enhanced monitoring and evaluation framework to track implementation progress.

3.4.4. Integration with other City strategies and plans to ensure a coordinated approach.

3.4.5. Greater emphasis on community engagement and partnerships.

3.5. Following the Council endorsement of the revised internal BAP document, work will commence on updating the external-facing document and developing a community engagement campaign to enhance public awareness of the City's biodiversity program.

4. Legal, Risk and Legislative Considerations

4.1. The BAP assists the City in meeting its various land management obligations under:

4.1.1. Local Government Act 1993

4.1.2. Biosecurity Act 2019

4.1.3. Cat Management Act 2009

4.1.4. Dog Control Act 2000

4.1.5. Threatened Species Protection Act 1995

4.1.6. Environment Protection and Biodiversity Conservation Act 1999

4.1.7. Land Use Planning and Approvals Act 1993

4.2. The BAP helps mitigate risks associated with:

4.2.1. Loss of biodiversity values in City-managed reserves.

4.2.2. Climate change impacts on natural ecosystems.

4.2.3. Community expectations regarding environmental management.

4.2.4. Compliance with state and federal environmental legislation.

5. Strategic Planning and Policy Considerations

5.1. The revised BAP aligns with and supports the following strategic documents:

5.1.1. Capital City Strategic Plan 2023

5.1.2. 2040 Climate Ready Hobart Strategy

5.1.3. Open Space Strategy (in development)

5.1.4. Bushfire Management Strategy 2022

5.2. The BAP specifically contributes to strategic objectives related to environmental stewardship, climate resilience, community wellbeing, and sustainable city management.

6. Financial and Economic Considerations

6.1. Financial Considerations:

	2024-25	2025-26	2026-27	2027-28
	$’000	$’000	$’000	$’000

Revenue
Existing Revenue
Additional Revenue
Total Revenue

Expenditure
Operating	As defined below in 6.1.1	As defined below in 6.1.1	As defined below in 6.1.1	As defined below in 6.1.1
The action “Explore development of assigning a monetary value for natural values and biodiversity assets in the same way we value infrastructure assets” is estimated to cost ~$50,000 for delivery. This has been identified as our largest additional expenditure ‘Project’ action.			~50k
Capital
Total Expenditure	As defined below in 6.1.1	As defined below in 6.1.1	As defined below in 6.1.1	As defined below in 6.1.1

Net Cost

FTE Impact

	2024-25	2025-26	2026-27	2027-28

Change in FTE	No change identified	No change identified	No change identified	No change identified

Detail the change in the level of full-time equivalents within the group should the requested level of additional funding be required.

6.1.1. The implementation of the revised BAP will largely be accommodated within existing operational budgets for the Fire and Biodiversity Program. Some specific actions may require additional funding through future annual budget processes, external grants or partnership opportunities, as outlined below.

6.1.1.1. Actions are categorised within the BAP into three distinct delivery modes:

i. Program – delivery of action is within the current Fire and Biodiversity’s operational budget, i.e. BAU with no direct budgetary impacts.

ii. Collaboration – delivery of action is dependent on partnerships and collaboration with others, no direct budgetary impacts.

iii. Project – delivery of action may be dependent on additional funding through future annual budget processes, external grants or partnership opportunities. These identified actions, and those that are combined “Collaboration; Project” delivery, will be fully scoped within the first year. It should also be noted, that in many cases, the action itself is to explore this concept further for future work.

One ‘project’ action has been captured in the table above, as it has been identified as likely to be our largest expenditure requiring costs and expertise outside of collaboration or BAU.

6.2. City Economy Strategy:

6.2.1. This proposal aligns to the following strategic priorities listed in the City of Hobart City Economy Strategy 2023–2028:

Priority 4.1 - Partner with the Hobart community to become one of the nation's greenest cities, including initiatives to contribute towards our goal of achieving 40% tree canopy cover across the city by 2046.

Priority 4.2 - Partner with State and Federal Government to explore the future potential of Hobart’s natural environment, including kunanyi/Mt Wellington access and dispersal and leveraging our natural surroundings for iconic events and experiences.

Priority 4.4 - Partner with stakeholders on projects to pilot new technologies.

6.3. Economic Impact:

6.3.1. The protection and enhancement of Hobart's natural assets through the BAP contributes to the local economy by:

6.3.1.1. Supporting nature-based tourism.

6.3.1.2. Enhancing the city's liveability and attractiveness for residents and businesses.

6.3.1.3. Providing ecosystem services (e.g., clean water, air purification, pollination).

6.3.1.4. Creating opportunities for specialised jobs in environmental management.

6.3.1.5. Supporting recreational activities that contribute to physical and mental wellbeing.

6.4. Consultants

6.4.1. No external consultants were engaged in the review of the BAP. The review was conducted internally by City officers with expertise in biodiversity management, conservation planning, and natural area management.

7. Climate and Sustainability Considerations

7.1. The revised BAP directly addresses climate change and sustainability considerations through:

7.1.1. Integration of climate adaptation strategies for biodiversity management.

7.1.2. Focus on ecosystem resilience in the face of changing environmental conditions.

7.1.3. Protection of carbon stores in natural vegetation.

7.1.4. Enhancement of natural carbon sequestration through vegetation management.

7.1.5. Maintenance of habitat connectivity to allow species migration in response to climate change.

7.1.6. Protection of water quality in natural waterways.

7.1.7. The BAP is a key tool in the City's broader approach to environmental sustainability and climate resilience.

8. Community and Business Engagement and Collaboration

8.1. The internal review of the BAP has been conducted primarily within the City’s operations. Following the Councils endorsement of the revised BAP, a comprehensive community engagement strategy will be implemented, including:

8.1.1. Updates to the external-facing document "Protecting our Wild Heart: An Action Plan for Hobart's Bushlands".

8.1.2. Dedicated webpage with information about the BAP and biodiversity program.

8.1.3. Social media campaign highlighting biodiversity values and conservation actions.

8.1.4. Community information sessions and guided walks in bushland reserves.

8.1.5. Engagement with conservation groups, Landcare groups, and other stakeholders.

8.1.6. Partnerships with educational institutions for research and monitoring projects.

8.2. There are opportunities for collaboration with neighbouring Councils on regional biodiversity initiatives, particularly regarding connected habitat corridors, weed management, and fire management across municipal boundaries. The City will continue to engage with the Greater Hobart Councils on shared biodiversity management challenges and opportunities.

9. Implementation and Communications Plan

9.1. Upon the Councils endorsement, implementation of the revised BAP will proceed as follows:

9.1.1. June 2025: Finalisation of the internal BAP 2025-2030 document.

9.1.2. July 2025 - January 2026: Development of the revised external-facing “Protecting Our Wild Heart” document, incorporating targeted community engagement.

9.1.3. August 2025 onwards: Progressive implementation of priority actions identified in the endorsed BAP.

9.1.4. Annually: Internal reporting on implementation progress.

9.2. Communications will include:

9.2.1. Targeted media releases.

9.2.2. Dedicated information on the City's website.

9.2.3. Features in the City's public facing newsletter.

9.2.4. Targeted communications with key stakeholders including conservation groups, Landcare groups, and other environmental organisations.

9.2.5. Regular updates on implementation progress through the City's communication channels.

Sean Black

Manager Open Space

David Reeve

Director Infrastructure and Assets

Date: 18 June 2025

File Reference: F25/21047

Attachment a: Biodiversity Action Plan 2025-2030 (Supporting information)

Item No. 13

Agenda (Open Portion)

Council Meeting

Page 1

30/6/2025

REPORT TITLE: City of Hobart Christmas Pageant - Myer Sponsorship

REPORT PROVIDED BY: Manager Creative City

Acting Director Community and Economic Development

1. Report Summary and Key Issue

1.1. This report proposes that Council consider entering a sponsorship arrangement between Myer Pty Ltd (Myer) and the City of Hobart (the City) for the City of Hobart Christmas Pageant 2025-27 and associated award presentations.

1.2. The proposed three (3) year sponsorship arrangement will give the City the opportunity to continue Myer and Hobart’s long history with this event, and to work with Myer to maximise the benefit for the City’s community and businesses.

1.3. Under the proposed terms of the Sponsorship Agreement (the Agreement), Myer will provide to Council support in the form of the prescribed Sponsorship Fee in return for the Sponsorship Rights in 2025, 2026, and 2027.

1.4. Under the proposed terms of the Agreement, Myer will be designated the exclusive Naming Rights Sponsor of the City of Hobart Christmas Pageant, with the event known and referenced as the Myer City of Hobart Christmas Pageant.

1.5. A total of investment of $116,500 over three (3) years in the form of cash, gift cards for Pageant float winners, and Santa float one off refurbishment.

1.6. Both Myer and the City acknowledge that at the date of this agreement the City is undertaking a service review, which includes a review of the Pageant. The City agrees that it will consult with, and involve, Myer in relation to the review (where applicable).

1.7. The proposed date for the 2025 Pageant is Saturday 15 November.

1.7.1. This date will tie in with the Sunday 9 November launch of the Myer Christmas Windows in Melbourne, and avoid Targa Tasmania 2025 which this year is being held in Hobart from Sunday 16 November to Friday 21 November.

2. Recommendation

That:

1. The Council endorse a three (3) year sponsorship agreement with Myer Pty Ltd for the City of Hobart Christmas Pageant for 2025, 2026, and 2027, with sponsorship obligations of:

(i) $99,000 total cash (excluding GST) sponsorship and exclusive naming rights of the Myer City of Hobart Christmas Pageant over three (3) years.

(ii) Provision of one (1) $2,500 gift card per annum (Total $7,500 over three years) to go to each year’s Pageant float winner.

(iii) One-off investment of $10,000 to refurbish the Santa Float.

2. The Council delegate authority to the Chief Executive Officer to finalise a sponsorship agreement and any licence requirements with Myer Pty Ltd for the Myer City of Hobart Christmas Pageant for the duration of the term, including the details of the sponsorship events and activities, obligations, and rights.

3. Discussion and Background

3.1. Each year the City of Hobart runs the Christmas in the City program which includes Christmas decorations, activations, the City of Hobart Christmas Pageant (the Pageant) and awards presentation, and grants.

3.2. The Pageant is a key event of the festive season in Hobart. It is the largest single parade event in Tasmania, involving anywhere up to sixty-five (65) community organisations and attracting an audience of around 30,000 people.

3.3. The delivery of the Pageant historically has marked the start of the Christmas shopping period in Hobart and brought benefits to the retailers of Hobart.

3.4. The Pageant route commences at the corner of Argyle and Liverpool Streets and travels anti-clockwise past Myer Hobart store and concludes at the corner of Collins and Argyle Streets.

3.4.1. The 41st Myer City of Hobart Christmas Pageant was held on 23 November 2024 from 10.30 am – 12 midday, with an audience of over 35,000 people, over 2,500 participants and forty-nine (49) community floats.

3.4.2. The Myer sponsorship supports this event as a way to activate the CBD business district and launch the Christmas shopping period as one of the significant activities occurring at this time therefore contributing to the overall uplift during the Christmas period.

3.4.3. Myer indicated at the conclusion of the 2024 event that they would like to continue sponsoring the Pageant, with opportunity to review this arrangement, and/or seek other arrangements.

3.4.4. A comprehensive benefits and rights review was conducted between both parties early 2025, with the view to developing a more robust and ongoing arrangement by committing to a three (3) year agreement, as opposed to an annual arrangement.

4. Legal, Risk and Legislative Considerations

4.1. Both Myer and the City acknowledge that, at the date of this agreement the City is undertaking a service review, which includes a review of the Pageant. The City agrees that it will consult with, and involve, Myer in relation to the service review (where applicable).

4.1.1. If following the review, the City intends to hold the Pageant or similar events with sponsorship or similar rights, in 2025, 2026, and 2027 (in any form), under the proposed Agreement, Myer would receive the first offer of sponsorship rights, with the terms to be agreed between the City and Myer.

4.2. Should the Council approve the recommendations of this report, formal Sponsorship Agreements will be entered into between Myer Pty Ltd and Hobart City Council.

4.3. The City’s Legal & Governance, Creative City, and Procurement officers will be consulted with in the preparation of the sponsorship agreement.

4.3.1. Relevant officers from other Council areas will also be consulted as required.

4.4. Events within the City of Hobart are required to comply with:

4.4.1. City of Hobart Public Spaces By-law No.4 of 2018

4.4.2. City of Hobart Single-use Plastic By-law 2020

4.4.3. City of Hobart Waste Management By-law No.3 of 2018

5. Strategic Planning and Policy Considerations

5.1. This proposal supports the Hobart: A Community Vision for our Island Capital, namely in its community vision, strategic plan and community inclusion and equity framework.

Pillar 1: Sense of Place

Hobart keeps a strong sense of place and identity, even as the City changes.

Pillar 3: Creativity and culture

Support and deliver events, festivals and markets.

Support the activation of City-owned spaces for creative, cultural and commercial initiatives.

5.2 This proposal also aligns with the City of Hobart Capital City Strategic Plan 2019-29, namely:

Pillar 4: City Economies

Attract investment that supports businesses and communities to flourish in ways consistent with the community vision.

Develop and maintain relationships with key institutions and stakeholders in the Hobart economy.

6. Financial Viability

6.1. Funding Source and Impact on Current Year Operating Result.

6.1.1. Should Council approve the recommendations of this report, the sponsorship will be provided across three (3) years, reflected each year as revenue in the City’s operational budget.

Sponsorship agreement and financial viability is subject to a service review which will influence operational planning and forecasts, with a suggested 10% reduction of operational costs per year over three (3) financial years associated with the proposed sponsorship.

	2025-26	2026-27	2027-28	2028-29
	$’	$’	$’	$’

Revenue	30,000	33,000	36,000
Existing Revenue
Additional Revenue	12,500	2,500	2,500
Total Revenue	42,500	35,500	38,500

Expenditure
Operating	185,000	166,500	149,850
Capital
Total Expenditure	185,000	166,500	149,850

Net Cost	142,500	131,500	111,850

FTE Impact

	2025-26	2026-27	2027-28	2028-29

Change in FTE	N/A	N/A	N/A

Detail the change in the level of full-time equivalents within the group should the requested level of additional funding be required.

6.2. City Economy Strategy:

6.2.1. This proposal aligns to the following strategic priorities listed in the City of Hobart City Economy Strategy 2023 – 2028:

1. Plan for our collective social, economic and environmental prosperity

1.5 Partner and deliver programs that are inclusive, foster well-being and enhance quality aspects of city life, including short-term tactical interventions to improve public amenity

6.3. Economic Impact:

6.3.1. The proposed sponsorship represents a significant cash contribution toward the running of the Pageant.

6.3.1.1. This financial support allows for a more expansive and inclusive event for the community that launches the Christmas shopping period, supporting CBD businesses during the festive season.

7. Climate and Sustainability Considerations

7.1. Events or activities that the City delivers are required to align with the objectives of the City of Hobart Waste Management Strategy 2015-30

7.2. Sustainability will be considered with the sponsorship agreement, with both parties required to comply with the City of Hobart Single-use Plastic By-Law 2020.

7.2.1. In particular, participants and contractors must outline their commitment to sustainable events, certified compostable food packaging and reducing waste to landfill.

8. Community and Business Engagement and Collaboration

8.1. A Media and Communications Strategy, and Community Engagement strategy will be developed in consultation with Myer.

8.2. The creative direction of the Pageant will be in collaboration between City and Myer and use best endeavours to ensure that Myer’s Christmas Campaign (as advised by Myer) is integrated into the Pageant branding.

8.3. Business engagement with CBD retailers will take place as part event development, with promotional opportunities offered as part of Christmas in the City, and the Hello Hobart program.

9. Innovation and Continuous Improvement

9.1. The delivery and review of the 2024 Myer Hobart Christmas Pageant, sponsorship agreement and initial service review has paved the way for planning of future iterations of the Pageant in how to maximise its value to the city and residents in the future.

9.2. The structure of the City’s Events and Activation Team has been modified with the conclusion of the contract Pageant Producer position to a Senior Events Officer. This position is based in Hobart and will work with local suppliers, organisations and businesses to improve the Pageant delivery and outcomes.

9.3. Work has also been undertaken to enhance the environmental sustainability and accessibility of the Pageant.

Justyne Wilson

Manager Creative City

Kimbra Parker

Acting Director Community and Economic Development

Date: 23 June 2025

File Reference: F25/42923; 18/256

Item No. 14

Agenda (Open Portion)

Council Meeting

Page 1

30/6/2025

REPORT TITLE: Proposal for a Town Hall Open Day

REPORT PROVIDED BY: Manager Creative City

Director Community and Economic Development

1. Report Summary and Key Issue

1.1. The purpose of this report is to seek the Council’s endorsement to host a Town Hall Open Day in October 2025, aimed at promoting civic involvement, increasing community awareness of Council, its operations and strengthening community links through an informative public event.

2. Recommendation

That:

1. A Town Hall Open Day be staged on Sunday 19 October 2025.

2. A budget allocation of $15,000 be provided for in the City Venues budget for the 2025-26 financial year.

3. The Chief Executive Officer be authorised to finalise the event management and communications plan.

4. A post-event report be provided to the Council following the 2025 event.

3. 3. Discussion and Background

3.1. Town Halls have long served as important civic landmarks. Opening the doors of the Town Hall to the public offers a unique opportunity to celebrate its historical and architectural significance, while also fostering transparency and civic involvement.

3.2. The Hobart Town Hall stands as a symbol of the city’s rich heritage and democratic tradition. Hosting an Open Day would afford residents and visitors the opportunity to connect with this heritage in a meaningful and accessible way.

3.3. Open day events for public organisations have shown to be successful in encouraging community participation and revitalising interest in local history and governance. Capital cities such as Adelaide and Sydney, along with many smaller cities and Government Houses, including Hobart’s own, regularly host such events.

3.4. The City of Hobart has previously held successful Open Days, including a large-scale event in 2016 to celebrate the Town Hall’s sesquicentenary, and a “Hidden Histories” Open Day for children during Children’s Week in 2021.

3.5. The popularity of these events was demonstrated by strong community engagement with an estimated 5,000 people attending the 2016 Town Hall sesquicentenary celebration and around 750 attendees participating in the much scaled-down children’s 2019 event. These figures reflect the community’s enthusiasm for opportunities to connect with the City’s heritage and civic spaces.

3.6. Building on the success of these past initiatives, it is proposed that an Open Day be held on Sunday 19 October 2025.

3.7. This initiative aims to reintroduce the community to the historic Town Hall and its role in the life of the city, drawing inspiration from the 2016 and 2021 events.

3.8. Like previous occasions, the Open Day will be a family-friendly event, designed to attract a broad audience and provide insight into the history of the building, the Hobart City Council, and the City of Hobart.

3.9. It would also complement other community-facing initiatives such as the Children’s Mayor Program and Open House Hobart, which have successfully drawn diverse audiences into Council spaces.

3.10. The event will feature a variety of engaging activities suitable for all ages, and may include:

3.10.1. Guided tours of the Hobart Town Hall to be conducted by interested Elected Members and Council officers;

3.10.2. Performances by community groups, bands and choirs;

3.10.3. Talks by Council Officers; storytelling sessions and short film presentations in the library; and

3.10.4. A treasure/discovery hunt for children, highlighting the Town Hall’s building features and displays.

3.11. Should the Council endorse this proposal, a comprehensive event and delivery plan will be developed, along with a communications plan. This will involve coordination with relevant Council teams and engagement with community groups to ensure the successful planning, promotion, and delivery of the Town Hall Open Day.

3.12. To assess the impact and community engagement of the event, a report will be prepared for Council’s consideration following the event. This report will evaluate attendance, participant feedback, and event delivery.

3.13. The findings could then inform whether to establish the Open Day as an annual activity, ensuring that future planning is guided by evidence and aligned with community interest.

3.14. In progressing the Town Hall Open Day proposal, officers will need to ensure legal and compliance obligations are addressed so the event is delivered responsibly and in accordance with council policies and relevant legislation.

3.15. This would include such things as adhering to privacy laws when collecting personal information; ensuring public liability coverage and risk mitigation measures are in place; meeting accessibility requirements and complying with procurement protocols for engaging vendors.

4. Strategic Planning and Policy Considerations

4.1. This proposal strongly aligns with several of the eight strategic pillars in the Capital City Strategic Plan 2023:

4.1.1. Pillar 1: Sense of Place – The event celebrates the heritage and civic identity of the Town Hall, reinforcing Hobart’s unique character and fostering pride in place.

4.1.2. Pillar 2: Community Inclusion, Participation and Belonging – By opening the Town Hall to the public, the event promotes civic engagement and accessibility, encouraging residents to connect with their local government.

4.1.3. Pillar 3: Creativity and Culture – The Open Day offers opportunities to showcase Hobart’s cultural assets, including guided tours, exhibitions, and performances.

4.1.4. Pillar 8: Governance and Civic Involvement – The initiative supports transparent and participatory governance by explaining Council operations and encouraging dialogue between elected members and the community.

4.2. This proposal also reflects the aspirations articulated in Hobart: A community vision for our island capital which calls for a city that values inclusion, transparency and shared purpose. The Open Day will:

4.2.1. Create a welcoming space for residents to engage with its civic leaders.

4.2.2. Demonstrate the Council’s commitment to openness and accountability.

5. Financial Viability

5.1. Financial Considerations:

	2025-26	2026-27	2027-28	2028-29
	$’000	$’000	$’000	$’000

Revenue
Existing Revenue
Additional Revenue
Total Revenue

Expenditure
Operating	15
Capital
Total Expenditure	15

Net Cost

FTE Impact

	2025-26	2026-27	2027-28	2028-29

Change in FTE

Detail the change in the level of full-time equivalents within the group should the requested level of additional funding be required.

5.1.1. Should the Council endorse this proposal, an allocation of $15,000 to the City Venues budget would be required to support the planning, promotion and delivery of the Town Hall Open Day in 2025.

5.1.2. This level of funding would ensure the event is professionally staged, well-attended and reflective of the civic and historical significance of the venue.

6. Climate and Sustainability Considerations

6.1. The Town Hall Open Day presents an opportunity to model and promote environmentally responsible event practices in line with the City of Hobart’s climate commitments.

6.2. This could include such things as minimising the event’s carbon footprint through digital communications, encouraging active and public transport options for attendees, and reducing single-use materials.

7. Community and Business Engagement and Collaboration

7.1. The Town Hall Open Day proposal presents a significant opportunity to engage meaningfully with the Hobart community.

7.2. The Open Day is designed to showcase the workings of the Hobart City Council by inviting the public into the heart of civic decision-making. By opening Council Chambers, the Ballroom, and other civic spaces, the event fosters transparency and encourages residents to engage directly with Elected Members and Council staff.

Justyne Wilson

Manager Creative City

Ben Artup

Director Community and Economic Development

Date: 19 June 2025

File Reference: F25/38553; 16/119

Item No. 15

Agenda (Open Portion)

Council Meeting

Page 61

30/6/2025

REPORT TITLE: Response to Petition - Traffic Issues Wynyard Street South Hobart

REPORT PROVIDED BY: Manager City Transport

Director Strategic and Regulatory Services

1. Report Summary and Key Issue

1.1. This report has been written to assist the Council in considering a response to a petition titled ‘Traffic Issues at Wynyard Street South Hobart’, calling for road safety improvements for drivers turning from Wynard Street into Macquarie Street by implementing parking changes.

1.2. The petition, signed by 29 petitioners, was presented at the Council meeting on 26 May 2025.

1.3. The City Transport Traffic Engineer has met on site with the lead petitioners, David Robertson and Bruce Wilkinson, to hear their concerns and to review the location.

1.4. A sight distance assessment was undertaken in conjunction with a review of the Traffic Impact Assessment relating to the multiple dwelling development at 8 Wynyard Street (DA-16-415214) which outlined no concern.

1.5. Observation and investigation during the assessment revealed that the main issue was vehicles exceeding the one-hour parking restriction and parking on the yellow line fronting 403 Macquarie Street.

1.6. The Parking Investigations Team has agreed to increase patrols in the area. The situation will be monitored and reassessed in two months to determine if these measures adequately address the petitioners' concerns.

2. Recommendation

That:

1. The Council notes the technical findings undertaken by Council officers and the conclusion to provide further enforcement in parking zones and the yellow line on Macquarie Street, south of the junction.

2. Officers will conduct a review in two months’ time.

3. The lead petitioners be advised of the outcomes of this report.

3. Discussion and Background

3.1. This section outlines the background information and the decision-making process concerning the intersection of Macquarie Street and Wynyard Street in South Hobart.

3.2. The main concerns raised in the petition is the safety of motorists turning right onto Macquarie Street from Wynyard Street. A City Transport Traffic Engineer has undertaken a technical assessment of the intersection including a site inspection, a review of sight distance and crash statistics for the past 20 years.

3.3. In Australia, there are mandatory standards and requirements under the Austroads Guidelines (a recognised publication used by Traffic Engineers) for sight distance at intersections that have to be met.

3.4. The Austroads Guidelines recommends that the approach sight distance (ASD), stopping sight distance (SSD) and minimum gap sight distance (MGSD) must be available at all locations through the intersection. A summary of each are provided below:

3.4.1. Approach Sight Distance (ASD) is the minimum sight distance that must be available on the approaches to all intersections. Its purpose is to ensure that drivers are aware of the presence of an intersection and have the ability to react and stop.

3.4.2. ASD ensures that drivers have a clear view of the intersection itself, allowing them to anticipate and react to the intersection's layout and any potential hazards within it. ASD focuses on a driver's awareness and clear visual understanding of the intersection itself, enabling them to comprehend its presence and layout.

3.4.3. Stopping Sight Distance (SSD) is the minimum distance required for a driver to detect an object or another road user and bring their vehicle to a complete stop before colliding with that hazard.

3.4.4. SSD is also considered on intersection approaches, particularly where lateral sight obstructions or other potential vehicle hazards (e.g. large trucks) may exist.

3.4.5. Minimum Gap Sight Distance (MGSD) is the distance that corresponds to the acceptable gap that drivers are prepared to accept when undertaking turning manoeuvres at intersections.

3.5. The measured available sight distance towards the south of the junction for drivers at the Wynyard Street approach is 85 metres. This value has been compared against the relevant Australian Standards and Austroads guidelines to determine its adequacy. The sight distance to the left of the junction was not measured because of the extreme low number of vehicles that execute the right turn.

3.6. It is essential to highlight that the Austroads Guidelines outlines that a temporary blockage, such as a parked vehicle, is not considered when analysing the ASD. The concerns highlighted in the petition are related to limited sight distance from the junction due to obstruction of vehicles parked in the 1 hour zone on Macquarie Street (to the south of the junction). The parked vehicles are considered as temporary obstructions and have been considered when measuring sight distances.

3.7. For a 50 km/h speed zone, the minimum SSD specified in the Australian Standards is 45m, the ASD and SSD recommended in the Austroads guidelines are 55 metres, taking into account a 2 second reaction time. The recommended MGSD is 69m. The measured sight distance of 85m exceeds both all the sight distances requirements above and considered acceptable for the junction.

3.8. A revision of the recorded history of crashes reported to the Tasmania Police for the period from the year 2000 to present (this is the period to which we have access to data) has shown that six crashes have been reported at the intersection.

3.9. There were no crashes reported at the junction since the completion of the new complex on 8 Wynyard Street. None of the recorded crashes were classified as cross-traffic incidents, the type that could be attribute to a sight distance issue and the last registered incident occurred in 2008. The crash data review indicates no major road safety concerns at the intersection.

3.10. The Traffic Impact Assessment from 2016 relating to the multiple dwelling development at 8 Wynyard Street (DA-16-415214) outlined no concern with sight distance at the junction of Wynyard Street and Macquarie Street.

3.11. Site observations and discussion with the petitioner highlighted that the main concern is the vehicles overstaying the 1-hour parking zone on Macquarie Street and parking on the yellow line adjacent to the junction. As such, City officers will arrange for further targeted enforcement of the 1-hour parking zone and review the issue in the next 2 months.

4. Legal, Risk and Legislative Considerations

4.1. No Legal, Risk and Legislative Considerations are foreseen.

5. Strategic Planning and Policy Considerations

5.1. Pillar five of the ‘Capital City Strategic Plan 2023’ focuses on Movement and connectivity. The following strategies, contained in Outcome 5.1 “An accessible and connected city environment helps maintain Hobart’s pace of life”.

5.1.1 - Improve connectivity throughout Hobart’s inner city and suburbs.

5.1.4 - Collaborate with stakeholders and business on the efficient, sustainable and innovative movement of people, information and goods.

5.1.6 - Investigate transport and technology possibilities that meet the needs of daily life, are accessible, and reinforce values of sustainability and connection.

5.1.8 – Consider children and family needs in city mobility planning.

6. Financial Viability

6.1. There is no foreseen impact on the current or future years operating result.

7. Community and Business Engagement and Collaboration

7.1. The lead petitioners were consulted regarding the analysis.

7.2. The manager of Bear With Me was consulted regarding the proposed changes and was informed that no alterations were planned for the 30-minute parking spot in front of the business.

8. Innovation and Continuous Improvement

8.1. This issue clearly highlights the need for City Transport and Parking Investigations Team to continue to collaborate on similar matters, ensuring a more integrated and effective approach to addressing parking challenges.

Daniel Verdouw

Manager City Transport

Neil Noye

Director Strategic and Regulatory Services

Date: 23 June 2025

File Reference: F25/44703

Item No. 16

Agenda (Open Portion)

Council Meeting

Page 66

30/6/2025

REPORT TITLE: Local Government Association of Tasmania General Meeting - Proposed Motion

REPORT PROVIDED BY: Chief Executive Officer

1. Report Summary and Key Issue

1.1. The purpose of this report is to seek the Council’s endorsement to lodge a motion to the Local Government Association of Tasmania’s (LGAT) General Meeting on 25 July 2025.

1.2. In providing motions to the LGAT, the Council has the opportunity to influence government policy in the areas of particular interest and benefit to the City of Hobart.

1.3. It is proposed that a motion be provided to the LGAT General Meeting to be held on 25 July 2025 asking them to lobby the Tasmanian Government to commit to:

(a) reinstate the Tasmanian Government’s Better Active Transport Grant program; and

(b) increase the ongoing annual funding of the Better Active Transport Grant program to not less than 1% of the annual roads budget.

1.4. This will allow councils to plan and deliver projects with certainty.

2. Recommendation

That:

1. The Council provide the following motion to the Local Government Association of Tasmania General Meeting to be held on 25 July 2025:

The Local Government Association of Tasmania to lobby the Tasmanian Government to commit to:

(a) reinstate the Tasmanian Government’s Better Active Transport Grant program; and

(b) increase the ongoing annual funding of the Better Active Transport Grant program to not less than 1% of the annual roads budget.

3. Discussion and Background

3.1. Prior to every LGAT General Meeting, councils are invited to submit motions on matters connected with the objectives of the Association or of common concern to members for inclusion on the agenda of its meetings.

3.2. A request has been received from Councillor Posselt, on behalf of Cycling South, which he chairs for the Council to consider a motion to submit for the Local Government Association of Tasmania’s General Meeting on 25 July 2025, seeking to increase State Government funding for active transport infrastructure and initiatives across the State.

3.3. The proposed motion is seeking to lobby the Tasmanian Government to commit to:

3.3.1. reinstate the Tasmanian Government’s Better Active Transport Grant program; and

3.3.2. increase the ongoing annual funding of the Better Active Transport Grant program to not less than 1% of the annual roads budget.

3.4. Recently the State Government advised that there are no plans for further rounds of the Tasmanian Better Active Transport Grant program, which was a multi-year initiative designed to enhance walking, cycling, and other forms of active mobility across the state.

3.5. The Better Active Transport program was split into two grant streams:

3.5.1. State-wide program: Open to all Tasmanian municipal councils.

3.5.2. Greater Hobart program: Focused on projects within the Hobart metropolitan area.

3.6. The programs aim was to improve active transport (walking, wheeling, riding) safety and infrastructure, support councils in designing and delivering active transport solutions, increase accessibility, safety, and ease of use for active transport users and ultimately encourage healthier, more sustainable travel habits. This program ceases as at 30 June 2025.

3.7. According to the Tasmanian Government, since 2015, they have committed $17.5 million to active transport infrastructure (https://www.transport.tas.gov.au/active-transport/projects_and_programs).

3.8. Interestingly, the Tasmanian Government has committed approximately $1.6 billion over the forward estimates (2025–2029) for roads and bridges (https://www.premier.tas.gov.au/budget-2025/budget-releases/building-better-roads-and-bridges-across-tasmania-now,-and-for-the-future).

3.9. One percent of $1.6 billion is $16 million or $4 million per year. This modest amount ongoing would-be enough certainty for Councils across Hobart and Tasmania as a whole to commit to planning, designing and constructing this important infrastructure.

3.10. It is proposed that a similar, collegiate approach to the funding application process be undertaken to the program by region. For example, the Greater Hobart program sought to fund projects by list of priority across Greater Hobart in order to deliver on the Greater Hobart Cycling Plan. This was endorsed by the Greater Hobart Councils and the Tasmanian Government.

3.11. The Better Active Transport Grant Program provides an important funding opportunity for local governments to partner with the State Government to develop and construct upgraded, new or extended active transport infrastructure at priority locations and its de-funding is considered to be a significant loss for the State.

4. Strategic Planning and Policy Considerations

4.1. Outcome 5.1.2 of the Capital City Strategic Plan 2023 seeks to ‘Review transport networks, with the Tasmanian Government, to ensure their integrated planning and operation’; and

4.2. Outcome 5.1.3 seeks to ‘Partner with Greater Hobart Councils and state and federal government to explore regional initiatives to improve transport networks’.

5. Financial Viability

5.1. Financial Considerations:

	2025-26	2026-27	2027-28	2028-29
	$’000	$’000	$’000	$’000

Revenue
Existing Revenue
Additional Revenue
Total Revenue	Nil

Expenditure
Operating
Capital
Total Expenditure	Nil

Net Cost

FTE Impact

	2025-26	2026-27	2027-28	2028-29

Change in FTE	Nil

Detail the change in the level of full-time equivalents within the group should the requested level of additional funding be required.

5.1.1. There are no financial implication arising from this report.

5.2. City Economy Strategy:

5.2.1. Not applicable.

5.3. Consultants

5.3.1. No consultants have been used in the preparation of this report.

6. Innovation and Continuous Improvement

6.1. This motion seeks to support the ongoing improvement of active transport infrastructure and initiatives across the State.

Michael Stretton

Chief Executive Officer

Date: 20 June 2025

File Reference: F25/45970

Item No. 17

Agenda (Open Portion)

Council Meeting

Page 74

30/6/2025

REPORT TITLE: Elected Member Legal Costs

REPORT PROVIDED BY: Manager Legal and Corporate Governance

Director Corporate Services

1. Report Summary and Key Issue

1.1. This report represents the conclusion of a sector-wide process to understand the implications of the ‘McCullagh’ decision and what those implications have on Council’s existing reimbursement policy for elected members.

1.2. Following the ‘McCullagh’ decision handed down by the Supreme Court of Tasmania the state’s local government sector has been working through a process to understand the rationale of the Court’s decision and the associated implications for Councils.

1.3. The implications of the decision impact on both the provision of ‘in-kind’ and financial support a council may give to an elected member or officer, when they are acting in a personal capacity, in addition to the Code of Conduct framework, reimbursement for legal advice, or coverage under the relevant insurance policy.

1.4. McCullagh is expressly clear, in the context of the tort of defamation, and the Defamation Act 2005 (Tas) that elected members, and staff, have no legal basis to expect public funds to be used for the purpose of initiating a defamation action. It also makes clear that councils are not ‘litigation funders’ and that doing so is unlawful.

1.5. The reasoning for the Court adopting this position is that defamation is at its core a personal tort where the aggrieved party (as an individual) can be awarded compensation/damages, or the defendant can be ordered to make a personal apology.

1.6. The McCullagh decision can be viewed as covering the field for personal/private matters that may be actionable under tort, or a related statute. However, the case doesn’t ‘cover the field’ on all matters and should be viewed as confined to a determination on the facts of the case, but highly persuasive when considering similar matters. Torts have their origins as civil claims an individual can bring against another individual, or in some cases a corporation. Examples include trespass, nuisance and negligence.

1.7. McCullagh can also be viewed as authority for the proposition that public funds, and resources, cannot be used to support a councillor, or employee, to defend a complaint or legal matter that is at its heart of a personal nature. Even if that matter has its ‘genesis’ on account of the individual’s role with the council. It is this part of the Court’s ruling that has required the most careful consideration.

1.8. As with all legal precedents there are exceptions to the general rules. One such example, under the right set of circumstances, could be where a mayor or elected member has been delegated to act as ‘spokesman,’ within the definition of section 27 of the Local Government Act 1993. Under this scenario a councillor has been authorised under the Act to carry out a specific statutory function, namely, to publicly communicate the agreed position of the council.

1.9. It follows that the councillor is not acting in an individual capacity as they are fulfilling a specific statutory function under a relevant delegation from Council.

1.10. It is noted that councils owe both staff and councillors a legal duty, on a series of matters, when they are carrying out their roles and functions. Under this narrow set of circumstance, it may be open to council to provide support under the relevant policy framework, but decisions would be on a case-by-case basis and informed by legal advice.

1.11. To better understand these issues the Local Government Association of Tasmania (LGAT) engaged Mr Michael O’Farrell SC to provide advice on ‘McCullagh’ in relation to elected member legal expenses, associated insurance coverage and the Code of Conduct process.

1.12. The O’Farrell advice also provided guidance on the interplay between the McCullagh reasoning and what role the Council had (if any) in either reimbursing councillors or expending public money on the provision of legal advice relating to a Code of Conduct complaint.

1.13. LGAT’s view was also sought on the advice and associated recommendations of this report, they were supportive of the City’s view.

1.14. The external advice provided by Mr O’Farrell SC demonstrates that elements of Council’s existing ‘Elected Member Development and Support Policy’ require amendment.

1.15. A revised draft Policy is provided for Council’s consideration. The necessary changes (and associated reasoning) are summarised as follows:

Key Policy Changes

1.15.1. a council is not lawfully permitted to make a policy to provide for the reimbursement of legal expenses incurred by councillors defending code of conduct complaints (including complaints commenced by fellow councillors). Those costs are to be borne by the councillor;

1.15.2. the Council must bear the liability and cost involved in a legal action where an Elected Member who exercises a power or performs a function under the Local Government Act 1993 or another Act (or purports to do so) in good faith; and

1.15.3. the Council cannot provide for the payment of legal fees for advice, or proceedings where an Elected Member may personally take against another person (ie defamation).

1.15.4. The Council, by its own motion, has no power to either approve expenditure, or reimbursement on those matters, which are contrary the McCullagh decision and O’Farrell advice.

1.15.5. Council cannot rely upon any policy, procedure or own motion as a way of circumventing the requirements of the Local Government Act 1993, or McCullagh in situations where a position (or decision) of the Council is in tension with the Act or the finding of the Supreme Court.

1.15.6. These matters are not unusual in the sense that the Council’s policy suite is entirely subordinate to both the Act and common law. Should a situation arise where a policy sought to either amended or invoked in a matter inconsistent with the Law, the Council decision (if made) would be most likely unlawful. It would be open to the CEO, or their delegate (acting on legal advice) to refuse to approve or action or incur the associated expense.

Examples

In response to feedback from the Hobart Workshop the below is a non-exhaustive list of examples of how such matters are treated at law, which in turn informs the Policy amendments.

· Policy is a ‘shield’ not a ‘sword’ in the sense that it can only be invoked to seek reimbursement to defend certain matters – this has always been the case. It cannot be used to support the making of a complaint or commencing litigation.

· A councillor undertaking (in good faith) a specific individual statutory function or acting under delegation to undertake a statutory function (in good faith) can still seek to invoke the policy – this has always been the case.

· A councillor, acting in good faith, who undertakes a collective statutory function, i.e participating in a vote of the council, or the associated debate, can seek to invoke the policy – this has always been the case.

· Councillors individually, or collectively, may not be able to rely upon the policy if it can be demonstrated that they have not acted in good faith, as required under section 341 of the Local Government Act.

· Councillors cannot seek reimbursement, or secure external advice, for any Code of Conduct matter – previously councillors could invoke the policy to seek support to defend a Code complaint from the public. The previous policy position was highly unusual for the sector with recent advice being that extending financial support was unlawful.

· Councillors cannot rely upon the policy to support defending a claim brought against them as an individual, simply because matter has its ‘genesis’ on account of their role with the Council. This applies to matters under either tort or criminal law jurisdictions.

2. Recommendation

That:

1. Council note and receive this report and the legal advice within; and

2. Council resolves to approve the proposed amendments (marked as Attachment A) to Section Q of the Elected Members’ Development and Support Policy.

3. Discussion and Background

3.1. There is now a uniform legal view as to the implications of the Court’s decision and the associated sections of the Act, which by default has determined that parts of the existing Section Q of Council’s the Elected Members’ Development and Support Policy are invalid.

3.2. Given the above matters, Council is required to amend the relevant provisions of the Policy. The revised section Q is attached to this report as Attachment A.

3.4. The existing ‘Section Q’ of the policy appears to have been in place since 2016. Officers have been unable to locate any legal advice from that time, which advocated the offering of financial support for Code of Conduct matters.

3.5. It’s noted there have been some operational changes to how reasonable expenses and reimbursement are determined through seeking advice from our insurer. The policy was reviewed in 2022 and again in 2023 for a range of unrelated matters.

4. Legal, Risk and Legislative Considerations

· The proposed amendments to the Elected Member Development and Support Policy are administrative in nature. As detailed in the report, Elements of the existing Section Q, particularly as it pertains to Code of Conduct expenses are ultra vires.

4.1. Council has never had a lawful justification to reimburse, or otherwise support a councillor in the context of the Code of Conduct framework, nor in relation to expenses related to personal matters that are unconnected to, or tenuously linked to the statutory roles and functions they are required to undertake.

4.2. The previous policy settings were implemented in good faith on an understanding of the law prior to the McCullagh decision, with Elected Members and officers rightfully acting in reliance of the Policy.

4.3. Such circumstances, while unusual, potentially fall within section 341 of the Local Government Act where a councillor is immune from personal liability if they have acted in good faith.

4.4. Council must comply with the provisions of the Local Government Act, and rulings of the Supreme Court of Tasmania.

4.5. The proposed amendments are the product of legal advice, which should be taken as advice within the definition of section 65 of the Local Government Act.

5. Strategic Planning and Policy Considerations

5.1. Council is required to have a robust policy suite reflective of the relevant legislative provisions for the local government sector. Amending the defective components of the Policy will ensure this remains the case.

6. Financial and Economic Considerations

6.1. Financial Considerations:

There is no cost implication associated with the updating of the Policy.

There will be no impact on FTE costs or the need for additional resourcing.

	2024-25	2025-26	2026-27	2027-28
	$’000	$’000	$’000	$’000

Revenue
Existing Revenue
Additional Revenue
Total Revenue	0	0	0	0

Expenditure
Operating
Capital
Total Expenditure	0	0	0	0

Net Cost	0	0	0	0

FTE Impact

	2024-25	2025-26	2026-27	2027-28

Change in FTE	na	na	na	na

Detail the change in the level of full-time equivalents within the group should the requested level of additional funding be required.

6.2. City Economy Strategy:

6.2.1. The City Economy Strategy does not apply to the proposed Policy changes.

6.3. Economic Impact:

6.3.1. There is no broader Economic Impact associated with the proposed Policy changes.

6.4. Consultants

6.4.1. The advice from Mr Michael O’Farrell SC was procured via the Local Government Association of Tasmania.

7. Climate and Sustainability Considerations

7.1. Climate and sustainability considerations are not applicable to the proposed Policy changes.

8. Community and Business Engagement and Collaboration

8.1. Community and business engagement and collaboration are not applicable to the proposed Policy changes.

9. Implementation and Communications Plan

9.1. If agreed, the proposed amendments to the Policy will be updated on Council’s website.

Wes Young

Manager Legal and Corporate Governance

Michael Reynolds

Director Corporate Services

Date: 19 June 2025

File Reference: F25/45748

Attachment a: Proposed Section Q - Elected Members Development and Support Policy (Supporting information)

Item No. 18

Agenda (Open Portion)

Council Meeting

Page 82

30/6/2025

REPORT TITLE: Proposed Planning Application Fee Waiver - SHE Wellness Centre

REPORT PROVIDED BY: Deputy Director Strategic and Regulatory Services

Director Strategic and Regulatory Services

Chief Executive Officer

1. Report Summary and Key Issue

1.1. A request has been made for the Council to remit fees for a planning application for the development of a cancer wellness centre at
31-35 Campbell Street. The fees would be $45,356.

1.2. The Council does not currently have a policy on the remittance of fees for planning applications.

2. Recommendation

That:

1. Pursuant to section 207 of the Local Government Act 1993, the Council remits all fees for an application for planning approval for a cancer wellness centre at 31-35 Campbell Street, Hobart.

2. A policy be developed on the circumstances in which the Council would remit fees for planning applications.

3. Discussion and Background

3.1. The applicant for planning approval has requested the remittance of fees for this application.

3.2. The fees would be as follows, for the current financial year:

3.2.1. $44,881 – application fee; plus

3.2.2. $475 – advertising fee.

3.3. The application fee remittance would simply mean less revenue for the Council. The advertising fee remittance would mean that the Council would have a minor disbursement that was not reimbursed by the applicant.

3.4. The proposal was made on the following basis:

The SHE Gynaecological Cancer Group plans to redevelop the Theatre Royal Hotel in Hobart into a Wellness Centre for all cancers. SHE has obtained a long-term lease from the University of Tasmania (UTAS) to refurbish the building. Both entities, along with the Crown and Peter MacCallum Cancer Centre, have signed a Memorandum of Understanding (MoU) to collaborate on education, research, information exchange, and potential service extension to advance cancer prevention and treatment in Tasmania.

In accordance with the MoU, UTAS strongly endorses the redevelopment of the Theatre Royal Hotel building by the SHE Gynaecological Cancer Group into a Wellness Centre. UTAS and the Department of Health acknowledge the significant community benefits this project will offer to Tasmanians. The proposed redevelopment includes transforming the building into four levels: a wellness centre and communal spaces on the ground floor, an allied health level with supporting consultant services on the second floor, and accommodation for individuals undergoing treatment or visiting patients in hospital on the third and fourth floors.

The SHE Group has long envisioned establishing a world-class Wellness Centre within the hospital precinct of Hobart, inspired by the advocacy and efforts of Jo Harris. Regrettably, Jo Harris passed away in 2023 following a diagnosis of stage 4 Ovarian Cancer. The experiences and cancer journey of the Harris family underscored significant gaps in the Tasmanian healthcare system regarding holistic, integrated psychosocial care, particularly in education, health system navigation, and accommodation. The overarching goal for the Centre is to enhance the cancer experience and quality of care for Tasmanian cancer patients and their families through a complementary and independently operated model of care.

SHE has secured a $10 million funding grant from the State Government to assist in the building refurbishment project. The estimated cost to renovate the building is around $21 million, with additional funding expected from philanthropic sources. SHE is a not-for-profit organisation with limited funding and is collaborating with the community and suppliers to utilise goodwill in supporting and delivering this community project.

SHE plans to submit a Development Application (DA) to the City of Hobart in June 2025 for the proposed refurbishment of the building into a Wellness Centre. Under Section 207 – Remission of fees and charges of the Local Government Act 1993, SHE requests Council consider waiving the fee associated with the DA estimated to be in the order of $45,000 which is based on the estimated total project cost. This would greatly assist SHE in delivering this community project.

3.5. Given this is development would be carried out by a not-for-profit organisation and paid for in part by donations from the community, the proposal is supported.

4. Legal, Risk and Legislative Considerations

4.1. There are no legal or risk considerations with this proposal.

4.2. The Council is able to remit fees pursuant to section 207 of the Local Government Act 1993, which states:

A council may remit all or part of any fee or charge paid or payable under this Division.

5. Strategic Planning and Policy Considerations

5.1. The Council does not usually waive or remit planning application fees. There is currently no policy supporting the decision to do so. It is recommended that a policy is developed.

6. Financial Viability

6.1. Financial Considerations: the budget for the 2024/25 financial year for the Development Appraisal Group is as follows:

	2024-25	2025-26	2027-28	2028-29
	$’000	$’000	$’000	$’000
Revenue
Existing Revenue
Additional Revenue	($45)
Total Revenue

Expenditure
Operating
Capital
Total Expenditure

Net Cost	($45)	n/a	n/a	n/a

FTE Impact

	2025-26	2026-27	2027-28	2028-29

Change in FTE	n/a	n/a	n/a	n/a

6.1.1. If the fees are remitted, this will be a one-time loss of revenue for the 2024/2025 financial year. Beyond the loss of fees, there would be no other impacts.

6.1.2. As at the end of May 2025, the fees received by the Development Appraisal Group were $1,593,186 which is $434,666 in excess of the year to date budget and in excess of the overall yearly budget for fees of $1,263,840.

6.2. City Economy Strategy:

6.2.1. This proposal aligns to the following strategic priorities listed in the City of Hobart City Economy Strategy 2023 – 2028, which identifies health care as one of the top three industries by productivity.

6.3. Economic Impact:

6.3.1. The focus on this development is on provide health benefits for the community, rather than economic. Having said that, it is anticipated there will be economic impacts by developing an underutilised site.

6.4. Consultants

6.4.1. No consultants are required.

7. Community and Business Engagement and Collaboration

7.1. Given that the Council as planning authority would need to consider this planning application, it is not appropriate for there to be engagement or collaboration outside the statutory planning processes.

8. Innovation and Continuous Improvement

8.1. This development will bring innovative approaches to cancer wellbeing.

Karen Abey

Deputy Director Strategic and Regulatory Services

Neil Noye

Director Strategic and Regulatory Services

Michael Stretton

Chief Executive Officer

Date: 23 June 2025

File Reference: F25/46413; 16/119

Meeting date: 28 April 2025
Raised by: Mala Crew
Response Author: Ben Artup, Director Community and Economic Development
Topic: Suspended Networking Harmony Meetings

Meeting date: 28 April 2025
Raised by: Susan Puckett
Response Author: Neil Noye, Director Strategic and Regulatory Services
Topic: South Hobart Oval