Minutes of Finance and Governance Committee Meeting

Minutes (Open Portion)

Finance and Governance Committee Meeting

Page 3

13/06/2018

Finance and Governance Committee Meeting (Open Portion) held on Wednesday, 13 June 2018 at 5.00 pm in the Lady Osborne Room, Town Hall.

COMMITTEE MEMBERS

Ruzicka (Joint Chairman – Governance Items)

Thomas (Joint Chairman – Finance Items)

Lord Mayor Christie

Deputy Lord Mayor Sexton

Zucco

Cocker

Reynolds

PRESENT: Alderman E R Ruzicka (Joint Chairman – Governance Items), Alderman D C Thomas (Joint Chairman – Finance Items), the Lord Mayor Alderman R G Christie, Aldermen P S Cocker, A M Reynolds, J R Briscoe, H C Burnet and W F Harvey.

APOLOGIES: Nil.

LEAVE OF ABSENCE:

Deputy Lord Mayor P T Sexton.

ALDERMEN

Briscoe

Burnet

Denison

Harvey

Alderman Thomas was present for items 1 to 6.6 and retired from the meeting at 6.22 pm.

Alderman Reynolds arrived at 5.12 pm during the discussion of item 6.1 and was present until item 9, retiring from the meeting at 6.29 pm.

Aldermen Briscoe was co-opted to the Committee for items 2 to 6.6 and retired from the meeting at 6.22 pm.

Alderman Burnet was co-opted to the Committee for items 2 to 10.

Alderman Harvey was present for items 1 to 9 and retired from the meeting at 6.29 pm.

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

COCKER

That Aldermen Briscoe be co-opted to the Committee for items 2 to 6.6 and Alderman Burnet be co-opted to the Committee for items 2 to 10 and the Closed portion of the meeting.

MOTION CARRIED

VOTING RECORD

AYES	NOES
Ruzicka
Thomas
Lord Mayor Christie
Cocker

2. Confirmation of Minutes

LORD MAYOR

The minutes of the Open Portion of the Finance and Governance Committee meeting held on Tuesday, 15 May 2018 and the Special Finance and Governance Committee meeting held on Monday, 21 May 2018, be confirmed as an accurate record.

MOTION CARRIED

VOTING RECORD

AYES	NOES
Ruzicka
Thomas
Lord Mayor Christie
Cocker
Briscoe
Burnet

The minutes were signed.

3. Consideration of Supplementary Items

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

Recommendation

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

No supplementary items were received.

4. Indications of Pecuniary and Conflicts of Interest

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

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

No interest was indicated.

5. Transfer of Agenda Items

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

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

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

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

No items were transferred.

6. Reports

Finance ITEMS

6.1 Budget Estimates 2018-19

File Ref: F17/58061

LORD MAYOR

That the recommendation contained in the report of the Director Financial Services of 6 June 2018, be adopted.

AMENDMENT

BURNET

“The Council approve an increase of $80,000 in the Community Development Planning and Coordination budget allocation in the 2018-19 draft Annual Plan as detailed below:

· Creative Hobart Medium Grants - $30,000

· Small Community Grants - $10,000

· Event Grants - $40,000

and the budgeted surplus for 2018/19 be reduced to reflect the increase.”

AMENDMENT CARRIED

VOTING RECORD

AYES	NOES
Ruzicka
Thomas
Lord Mayor Christie
Cocker
Briscoe
Burnet

AMENDMENT

BURNET

“The total budget for The Taste of Tasmania (including Kids in the Park and New Year’s Eve) be increased by $400,000 to $1.6 million.”

AMENDMENT LOST

VOTING RECORD

AYES	NOES
Lord Mayor Christie	Ruzicka
Burnet	Thomas
	Cocker
	Briscoe

SUBSTANTIVE MOTION CARRIED

VOTING RECORD

AYES	NOES
Thomas	Ruzicka
Lord Mayor Christie	Cocker
Briscoe
Burnet

COMMITTEE RESOLUTION:

That:

A. 1. The expenses, revenues, capital expenditure, and plant and equipment expenditure detailed in the document ‘City of Hobart, Budget Estimates, for the 2018-19 Financial Year’, marked as Attachment A to item 6.1 of the Open Finance and Governance Committee agenda of 13 June 2018, be approved.

2. New borrowings of up to $20M be approved for infrastructure.

3. The Council delegate to the General Manager the power to enter into loan agreements to source the above borrowings on the most favourable terms.

4. The General Rate be 8.16 cents in the dollar of assessed annual value (AAV).

5. The following Service Rates be made:

(i) A Stormwater Removal Service Rate of 0.47 cents in the dollar of AAV; and

(ii) A Fire Service Rate of 1.35 cents in the dollar of AAV.

6. A Waste Management Service Charge be made and varied according to the use or predominant use of land as follows:

(i) A Service charge of $250 to apply to residential properties;

(ii) A Service charge of $500 to apply to non-residential properties;

7. A Waste Management Service Charge of $50 be made for kerbside green waste collection for all rateable land within the municipal area to which Council supplies or makes available a green waste collection service utilising a green waste collection bin.

8. A Landfill Rehabilitation Service Charge be made and varied according to the use or predominant use of land as follows:

(i) A Service charge of $10 to apply to residential properties;

(ii) A Service charge of $20 to apply to non-residential properties.

9. The rates be subject to the following remissions:

(i) A remission of 1.0 cents in the dollar on the AAV of any land or building which is within the Fern Tree Volunteer Brigade Rating District, as defined by the State Fire Commission.

(ii) A remission of 1.05 cents in the dollar on the AAV of any land or building which is within areas other than Permanent Brigade Rating Districts or the Fern Tree Volunteer Brigade Rating District as defined by the State Fire Commission.

10. Unspent 2017-18 capital funding be carried-forward into 2018-19, with any necessary adjustments to be made in the September 2018 quarter financial report to Council.

11. The interest rate on unpaid rates be 8.81% per annum, charged monthly.

12. The 2018-19 Annual Plan marked as Attachment B to item 6.1 of the Open Finance and Governance Committee agenda of 13 June 2018, be adopted .

13. The Long Term Financial Management plan 2019-39 marked as Attachment C to item 6.1 of the Open Finance and Governance Committee agenda of 13 June 2018, be adopted.

14. The following delegations be approved:

(i) Pursuant to Section 22 of the Local Government Act 1993, the Council delegate to the General Manager the power to expend monies on Council’s behalf identified as Delegation Classification 1 items in the Council’s Annual Plan; and, the Council authorise the General Manager 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 Council’s behalf which are identified as Delegation Classification 1 items in the Council’s Annual Plan.

(ii) Pursuant to Section 22 of the Local Government Act 1993, the Council delegate to all Council Committees the power to expend monies on Council’s behalf which are identified as Delegation Classification 2 items in the Council’s Annual Plan.

B. The Council approve an increase of $80,000 in the Community Development Planning and Coordination budget allocation in the 2018-19 draft Annual Plan as detailed below:

· Creative Hobart Medium Grants - $30,000

· Small Community Grants - $10,000

· Event Grants - $40,000

and the budgeted surplus for 2018/19 be reduced to reflect the increase.

C. The proposed draft budget for 2018/19 for The Taste of Tasmania (including Kids in the Park and New Year’s Eve) not be increased by $400,000 to $1.6 million.

Delegation: Council

6.2 Tax for Vacant or Unused Residential Housing Accommodation

File Ref: F18/60964

REYNOLDS

That the recommendation contained in the report of the Group Manager Rates and Procurement and the Director Financial Services of 6 June 2018, be adopted.

MOTION CARRIED

VOTING RECORD

AYES	NOES
Ruzicka
Thomas
Lord Mayor Christie
Cocker
Reynolds
Briscoe
Burnet

COMMITTEE RESOLUTION:

That: 1. The Council write to the Local Government Association of Tasmania to raise the issue more broadly within the sector.

2. The Council write to the State Government requesting consideration be given of a vacant residential land tax similar to the Victorian model.

Delegation: Council

6.3 99 Norla Street, Tranmere - City's Droughty Pt Radio Transmitter Site - Request for Licence

File Ref: F18/47454; S10-053-01/02

COCKER

That the recommendation contained in the report of the Manager Fleet & Support Services and the Director Parks and City Amenity of 5 June 2018, be adopted.

MOTION CARRIED

VOTING RECORD

AYES	NOES
Ruzicka
Thomas
Lord Mayor Christie
Cocker
Reynolds
Briscoe
Burnet

COMMITTEE RESOLUTION:

That: 1. The General Manager be authorised to negotiate and issue a commercial licence agreement with Jettech Networks Pty Ltd in respect to its request to utilise and co-locate communication infrastructure on the City’s Droughty Point radio transmitter site, located 99 Norla St, Tranmere.

2. The term of the initial agreement be from 1 July 2018 to 30 June 2021, at an estimated annual commercial rate $5,200 per annum (exc GST).

3. Given the operational nature and purpose of the site, the General Manager be delegated authority to negotiate similar agreements for the site into the future.

Delegation: Council

6.4 3 Morrison Street - Lease to Mawson's Huts Foundation

File Ref: F18/65309; 5669950

REYNOLDS

That the recommendation contained in the report of the Manager Legal and Governance and the Deputy General Manager of 6 June 2018, be adopted.

BURNET

Future lease arrangements be subject to a general community expression of interest process to ascertain if there are any other community organisations with an interest in the property.

MOTION CARRIED

VOTING RECORD

AYES	NOES
Ruzicka	Cocker
Thomas
Lord Mayor Christie
Reynolds
Briscoe
Burnet

COMMITTEE RESOLUTION:

Future lease arrangements be subject to a general community expression of interest process to ascertain if there are any other community organisations with an interest in the property.

Delegation: Committee

6.5 Outstanding Long Term Parking Permit Debts as at 31 May 2018

File Ref: F18/64783

BURNET

That the recommendation contained in the report of the Manager Finance and the Director Financial Services of 5 June 2018, be adopted.

MOTION CARRIED

VOTING RECORD

AYES	NOES
Ruzicka
Thomas
Lord Mayor Christie
Cocker
Reynolds
Briscoe
Burnet

COMMITTEE RESOLUTION:

That the information contained in the memorandum of the Manager Finance and the Director Financial Services of 4 June 2018 titled “Outstanding Long Term Parking Permit Debts as at 31 May 2018” be received and noted.

Delegation: Committee

Governance ITEMS

6.6 Aldermanic Professional Development

File Ref: F18/62628

BRISCOE

That the recommendation contained in the report of the General Manager of 7 June 2018, be adopted as amended by the deletion of Clause 3.

MOTION CARRIED

VOTING RECORD

AYES	NOES
Thomas	Ruzicka
Lord Mayor Christie
Cocker
Reynolds
Briscoe
Burnet

COMMITTEE RESOLUTION:

That the Council defer a review of its professional development policy until after a new Council has been sworn in.

Delegation: Council

6.7 Board of Inquiry Report into Councillor Allowances

File Ref: F18/65441

COCKER

That the recommendation contained in the report of the General Manager of 7 June 2018, be adopted as amended to reflect in the negative.

MOTION CARRIED

VOTING RECORD

AYES	NOES
Ruzicka
Lord Mayor Christie
Cocker
Reynolds
Burnet

COMMITTEE RESOLUTION:

That the Council not make any submissions on the decision of the Tasmanian Industrial Commission in relation to Councillor Allowances.

Delegation: Council

6.8 Tasmanian Museum and Art Gallery - Community Stakeholders Committee

File Ref: F18/61450

BURNET

That the recommendation contained in the report of the General Manager of 5 June 2018, be adopted.

MOTION CARRIED

VOTING RECORD

AYES	NOES
Ruzicka
Lord Mayor Christie
Cocker
Reynolds
Burnet

COMMITTEE RESOLUTION:

That the Council approve the General Manager’s participation on the Tasmanian Museum and Art Gallery’s high level advisory committee of community stakeholders.

Delegation: Council

6.9 2018 Local Government Association of Tasmania Annual Conference

File Ref: F18/53897

BURNET

That: 1. The Council approve Aldermen Ruzicka, Burnet and Harvey’s attendance and invite further Aldermanic nominations for the 2018 Local Government Association of Tasmanian Annual Conference, to be held in Hobart from 25 to 27 July 2018.

2. The estimated cost of $895 per person be attributed to the Conference Attendance allocation within the Aldermanic Allowances and Expenses function of the 2017-18 Annual Plan, in accordance with s82 of the Local Government Act 1993, with a corresponding off-set from the Study Assistance line item in the People and Capability function for any expenditure in excess of the existing budget.

MOTION CARRIED

VOTING RECORD

AYES	NOES
Ruzicka
Lord Mayor Christie
Cocker
Reynolds
Burnet

COMMITTEE RESOLUTION:

Delegation: Council

7. Committee Action Status Report

7.1 Committee Actions - Status Report

File Ref: F18/66356

REYNOLDS

That the information be received and noted.

MOTION CARRIED

VOTING RECORD

AYES	NOES
Ruzicka
Lord Mayor Christie
Cocker
Reynolds
Burnet

Delegation: Committee

8. Responses to Questions without Notice

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

8.1 Macquarie Street / Davey Street Road Transfer

File Ref: F18/49215; 13-1-10

REYNOLDS

That the information be received and noted.

MOTION CARRIED

VOTING RECORD

AYES	NOES
Ruzicka
Lord Mayor Christie
Cocker
Reynolds
Burnet

Delegation: Committee

9. Questions without Notice

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

File Ref: 13-1-10

No questions were asked at the meeting.

10. Closed Portion of the Meeting

BURNET

That the Committee resolve by majority that the meeting be closed to the public pursuant to regulation 15(1) of the Local Government (Meeting Procedures) Regulations 2015 because the items included on the closed agenda contain the following matters:

· the sale of land compensation

· the sale of land for unpaid rates

· information of a personal and confidential nature

The following items are listed for discussion:-

Item No. 1 Minutes of the last meeting of the Closed Portion of the Council Meeting

Item No. 2 Consideration of supplementary items to the agenda

Item No. 3 Indications of pecuniary and conflicts of interest

Item No. 4 Reports

Item No. 4.1 Wapping Parcel 4 - Sale to UTAS

LG(MP)R 15(2)(f)

Item No. 4.2 Sale of Land for Unpaid Rates - Update

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

Item No. 4.3 Outstanding Sundry Debts as at 31 May 2018

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

Item No. 5 Committee Action Status Report

Item No. 5.1 Committee Actions - Status Report

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

Item No. 6 Questions Without Notice

MOTION CARRIED

VOTING RECORD

AYES	NOES
Ruzicka
Lord Mayor Christie
Cocker
Burnet

There being no further business the open portion of the meeting closed at 6:30 pm.

TAKEN AS READ AND SIGNED AS A CORRECT RECORD THIS
17^th DAY OF JULY 2018.

CHAIRMAN