Minutes of Council - 9 October 2019

Finance Committee 13 19 September 2019

ADOPTION BY EXCEPTION resolution

12.2 Finance Committee - 19/09/2019 - FINANCIAL ACTIVITY STATEMENTS - PERIOD ENDING 31 AUGUST 2019

STRATEGIC GOAL STRATEGIC OBJECTIVE	6. LEADERSHIP Visionary, collaborative, accountable 6.1 Governance systems, process and practices are responsible, ethical and transparent.
SUBJECT INDEX	Budget Planning and Reporting
BUSINESS UNIT	Finance and Corporate Services
REPORTING OFFICER	Finance Coordinator - Jeffrey Corker
AUTHORISING OFFICER	Director Finance and Corporate Services - Tony Nottle
NATURE OF DECISION	Executive: substantial direction setting, including adopting strategies, plans and policies (excluding local planning policies), tenders, setting and amending budgets, funding, donations and sponsorships, reviewing committee recommendations
VOTING REQUIREMENT	Absolute Majority
ATTACHMENTS	Attachment a Statement of Financial Activity - Period Ended 31 August 2019 ⇩ Attachment b Investment Report - Period Ended 31 August 2019 ⇩

This item was considered by the Finance Committee at its meeting on 19 September 2019, the recommendations from which have been included in this report.

COUNCIL DECISION AND COMMITTEE RECOMMENDATION

C1910/195 Moved Councillor J McCallum, seconded Councillor C Tarbotton

That the Council receives the statutory financial activity statement reports for the period ending 31 August 2019, pursuant to Regulation 34(4) of the Local Government (Financial Management) Regulations.

CARRIED 8/0

En Bloc

EXECUTIVE SUMMARY

Pursuant to Section 6.4 of the Local Government Act 1995 (the Act) and Regulation 34(4) of the Local Government (Financial Management) Regulations 1996 (the Regulations), a local government is to prepare, on a monthly basis, a statement of financial activity that reports on the City’s financial performance in relation to its adopted / amended budget.

This report has been compiled to fulfil the statutory reporting requirements of the Act and associated Regulations, whilst also providing the Council with an overview of the City’s financial performance on a year to date basis for the period ending 31 August 2019.

BACKGROUND

The Regulations detail the form and manner in which financial activity statements are to be presented to the Council on a monthly basis; and are to include the following:

· Annual budget estimates

· Budget estimates to the end of the month in which the statement relates

· Actual amounts of revenue and expenditure to the end of the month in which the statement relates

· Material variances between budget estimates and actual revenue/expenditure (including an explanation of any material variances)

· The net current assets at the end of the month to which the statement relates (including an explanation of the composition of the net current position)

Additionally, and pursuant to Regulation 34(5) of the Regulations, a local government is required to adopt a material variance reporting threshold in each financial year. At its meeting of 31 July 2019, the Council adopted (C1907/131) the following material variance reporting threshold for the 2019/20 financial year:

“That pursuant to Regulation 34(5) of the Local Government (Financial Management) Regulations, the Council adopts a material variance reporting threshold with respect to financial activity statement reporting for the 2019/20 financial year as follows:

· Variances equal to or greater than 10% of the year to date budget amount as detailed in the Income Statement by Nature and Type/Statement of Financial Activity report, however variances due to timing differences and/or seasonal adjustments are to be reported on a quarterly basis; and

· Reporting of variances only applies for amounts greater than $25,000.”

OFFICER COMMENT

In order to fulfil statutory reporting requirements and to provide the Council with a synopsis of the City’s overall financial performance on a full year basis, the following financial reports are attached hereto:

Statement of Financial Activity

This report provides details of the City’s operating revenues and expenditures on a year to date basis, by nature and type (i.e. description). The report has been further extrapolated to include details of non-cash adjustments and capital revenues and expenditures, to identify the City’s net current position; which reconciles with that reflected in the associated Net Current Position report.

Net Current Position

This report provides details of the composition of the net current asset position on a full year basis, and reconciles with the net current position as per the Statement of Financial Activity.

Capital Acquisition Report

This report provides full year budget performance (by line item) in respect of the following capital expenditure activities:

· Land and Buildings

· Plant and Equipment

· Furniture and Equipment

· Infrastructure

Reserve Movements Report

This report provides summary details of transfers to and from reserve funds, and associated interest earnings on reserve funds, on a full year basis.

Additional reports and/or charts are also provided as required to further supplement the information comprised within the statutory financial reports.

Comments On Financial Activity To 31 August 2019

The Statement of Financial Activity for the period ending 31 August 2019 shows an overall Net Current Position of $50.8M as opposed to a budget of $44.0M. The following summarises the major variances in accordance with Council’s adopted material variance reporting threshold that collectively make up the above difference:

Description	2019/20 Actual	2019/20 Amended Budget YTD	2019/20 Amended Budget	2019/20 YTD Bud Variance	2019/20 YTD Bud Variance
	$	$	$	%	$
Revenue from Ordinary Activities
Operating Grants, Subsidies and Contributions	974,745	595,095	4.926,958	63.80%	379,650
Interest Earnings	286,217	194,635	1,955,000	47.05%	91,582

Expenses from Ordinary Activities
Materials & Contracts	(1,791,287)	(2,803,898)	(18,226,504)	36.11%	1,012,611
Allocations	210,435	351,593	2,161,452	40.15%	(141,158)

Non-Operating Grants, Subsidies and Contributions	426,828	1,248,688	32,042,712	(65.82%)	(821,860)

Capital Revenue & (Expenditure)
Land & Buildings	(189,306)	(2,695,869)	(18,097,358)	92.98%	2,506,563
Plant & Equipment	(0)	(455,166)	(4,493,000)	100.00%	455,166
Furniture & Equipment	(5,264)	(173,360)	(1,129,169)	96.96%	168,096
Infrastructure	(1,496,613)	(3,990,775)	(36,851,773)	62.50%	2,494,162
Proceeds from Sale of Assets	171,877	136,500	3,476,580	25.92%	35,377
Repayment Capital Leases	(185,869)	0	(759,300)	0	(185,869)
Transfer to Restricted Assets	(36,049)	(10,018)	(60,100)	(259.84%)	(26,031)

Revenue from Ordinary Activities

Year to date actual income from ordinary activities is $603K more than expected when compared to year to date amended budget with the following items meeting the material variance reporting threshold being:

1. Operating Grants, Subsidies and Contributions are $380K (net) better than amended budget. This variance is mainly due to the following:

a. Grants Commission (10152) – local roads grant -$6.7K, special grants for bridges -$46K. This variance relates to lower than anticipated grants funding from the grants commission;

b. Reimbursements (10200) – Insurance recoveries and contributions credit (1^st instalment) $41.7K;

c. Protective burning and firebreaks reserve (10931) $165.7K. This variance relates to receiving 50% grant awarded to the City under the mitigation activity fund (emergency services levy) and will be subject to a Council report requesting that the 2019/20 budget be amended to reflect this additional income;

d. Bushfire risk management planning (10942) DFES $144K. This variance relates to the payment of grant in full for the bushfire risk planning coordinator position within the City of Busselton. This represents a timing difference between budget allocations and actual funds received;

Non-Operating Grants, Subsidies and Contributions

Non-Operating Grants, Subsidies and Contributions are less than budget by $822K with the main items impacting on the above result being the timing of the receipt of funding which is also offset with less than anticipated capital expenditure at this time.

Cost Code	Cost Code Description	Variance YTD
Finance and Corporate Services
10239	Contributions - Community Facilities	(139,017)
R0288	Contributions - Capital Activities	52,000
Engineering and Works Services
T0086	Yoongarillup Road Capital Grants (Roads to Recovery)	(246,350)
S0051	Causeway Road/ Rosemary Drive Roundabout Capital Grant (Main Roads)	(133,334)
T0019	Wonnerup South Road Capital Grants (Roads to Recovery)	(104,090)
S0070	Peel & Queen Street Roundabout Service Relocation Capital Grant (Main Roads)	(83,334)
C3168	Busselton Foreshore Jetty Precinct Capital Grants - Other	(51,370)
T0085	Yoongarillup Road Capital Grants (Roads to Recovery)	(35,000)
S0064	Peel Terrace Capital Grant Department of Main Roads	(33,334)
C1512	Port Geographe Boat Ramp Renewal Works Capital Grants - Other (State)	(27,500)

Capital Expenditure

As at 31 August 2019, there is a variance of 56.08% or $5.772M in total capital expenditure with YTD actual at $4.5M against YTD budget of $10.3M.

Buildings on the whole are $2.5M below YTD budget with the main variance attributable to the Airport Terminal Stage 2 yet to commence as this is pending funding approvals. Plant and equipment is $455K below budget, however at this early stage this is merely a budget timing difference. Busselton foreshore is $237K below budget, townscape works $112K, beach restoration works $70K, parks and gardens works $70K, sanitation infrastructure works $543k, airport development works (excluding terminal identified above) $305K, Main Roads road construction works $366K, Roads to Recovery road works $385k, black spot works $65k, and Council road initiatives road works $367K.

These items of under expenditure also assists in explaining the above current YTD shortfall in Non-Operating Grants.

The attachments to this report include detailed listings of all capital expenditure (project) items, to assist in reviewing specific variances.

Proceeds from Sale of Assets

There is a variance for the proceeds from sale of assets of $35K. This is attributable to funds being received for plant sold that crossed financial years, hence a permanent timing difference. The funds received will be transferred to the plant reserve as per normal practice, hence will not have an effect on the City’s net current position.

Repayment of Capital Leases

There is a variance for the repayments of capital leases as compared to year to date budget of -$186k. This variance is a timing issue as this is the first year that the City has brought to account leases as a capital repayment in accordance with the requirements of AASB 16. Under AASB 16 there is no longer a distinction between finance and operating leases. Lessees are now required to bring to account a right-to-use asset and lease liability onto their statement of financial position for all leases. Effectively this means the vast majority of operating leases as defined by the current AASB 117 Leases which currently did not previously impact the statement of financial position are now required to be capitalised on the statement of financial position.

Transfer to Restricted Assets

There is a variance for transfer to restricted assets of -$26K more than amended budget. The reason for this is as follows:

· Transfer to deposits and bonds of -$15K as opposed to a budget of $0. These funds do not have a budget allocation as they are not able to be reliably measured;

· Transfer additional grant, works and other funds to restricted assets of -$11K to be utilised in 2019/20 for the purpose it was received;

Investment Report

Pursuant to the Council’s Investment Policy, a report is to be provided to the Council on a monthly basis, detailing the investment portfolio in terms of performance and counterparty percentage exposure of total portfolio. The report is also to provide details of investment income earned against budget, whilst confirming compliance of the portfolio with legislative and policy limits.

As at 31 August 2019 the value of the City’s invested funds totalled $70.47M, up from $63.97M as at 31 July 2019. The increase is due to the deposit of funds in the 11am account as rates income flows in.

During the month of July six term deposits held with four different institutions totalling $17.5M matured. All were renewed for a further 176 days at 1.82% (on average).

The balance of the 11am account (an intermediary account which offers immediate access to the funds compared to the term deposits and a higher rate of return compared to the cheque account) increased by $6.5M as funds flow in during the annual rating period. This will be converted to Term Deposits during September to increase investment return.

The balance of the Airport Development ANZ and WATC cash accounts remained steady. The Airport Development term deposit held at the WATC was rolled for a further 32 days at 1.05%.

The RBA left official rates steady during August after two recent 0.25% reductions. Rates being offered on term deposit renewals are now noticeably lower. Further official drops are possible in coming months.

Chief Executive Officer – Corporate Credit Card

Details of monthly (July to August) transactions made on the Chief Executive Officer’s corporate credit card are provided below to ensure there is appropriate oversight and awareness of credit card transactions made.

Date	Amount	Payee	Description
07-Aug-19	$185.00	Nesuto Mounts Bay Perth	Accommodation for WA LG Week 2019 AGM
07-Aug-19	$185.00	Nesuto Mounts Bay Perth	Accommodation for WA LG Week 2019 AGM
07-Aug-19	$20.00	Metro Bar Bistro Perth	WALGA AGM LG Week Lunch
12-Aug-19	$20.07	Gull Settlers Roadhouse	WALGA AGM Fuel
13-Aug-19	$6,839.63	PDQCOM Salt Lake City	PDQ Deploy Enterprise Licenses – City IT Software Licenses
16-Aug-19	$227.50	The Firestation	Thank you Function BEACH Grant Application Staff Acknowledgement
22-Aug-19	$124.23	Airport Security Parking	IPWEA Awards Airport Parking
22-Aug-19	$1,027.00	Brolga Theatre	* Registration CEO Conference
24-Aug-19	$2,391.38	Qantas	* Flights to LGCOG Conference
26-Aug-19	$425.00	Macq 01 Hotel	* IPWEA Gala Awards Accommodation

Council 33 9 October 2019

15.1. Community and Commercial Services Report

15.1 ADOPTION OF RECONCILIATION ACTION PLAN 2019-2020

STRATEGIC GOAL STRATEGIC OBJECTIVE	1. COMMUNITY: Welcoming, friendly, healthy 1.4 Community services and programs that support people of all ages and backgrounds.
SUBJECT INDEX	CMTY016: Community Programs
BUSINESS UNIT	Community Services
REPORTING OFFICER	Cultural Development Officer - Jacquie Happ
AUTHORISING OFFICER	Director, Community and Commercial Services - Naomi Searle
NATURE OF DECISION	Executive: substantial direction setting, including adopting strategies, plans and policies (excluding local planning policies), tenders, setting and amending budgets, funding, donations and sponsorships, reviewing committee recommendations
VOTING REQUIREMENT	Simple Majority
ATTACHMENTS	Attachment a Draft Reconciliation Action Plan 2019-2020 ⇩ Attachment b Reconciliation Action Plan Draft Marked Up 2019 ⇩ Attachment c RAP Feedback Table Sept 2019 ⇩

COUNCIL DECISION AND OFFICER RECOMMENDATION

C1910/196 Moved Councillor J McCallum, seconded Councillor C Tarbotton

That the Council:

a) adopts the City of Busselton Reconciliation Action Plan 2019-2020; and

b) requests the CEO to seek Reconciliation Australia’s endorsement of the City’s Reconciliation Action Plan 2019-2020

CARRIED 8/0

En Bloc

EXECUTIVE SUMMARY

Reconciliation Action Plans (RAP) provide a framework within which organisations can identify goals and actions to improve the way in which they will work together, and build relationships and respect with the Aboriginal community. Following targeted consultation, the City’s draft RAP was released for broader community feedback in September 2019.

This report seeks Council adoption of the City of Busselton Reconciliation Action Plan 2019-2020 and requests the Chief Executive Officer to seek Reconciliation Australia’s endorsement.

BACKGROUND

In November 2015 the City of Busselton Social Plan 2015-2025 was endorsed by Council (C1511/341), and included the development of a RAP as a high priority.

RAP’s are commonly developed and used by organisations, including local governments, to assist in building their knowledge, relationships and respect for Aboriginal people and their culture as the traditional custodians of the land.

Over the past ten years, the City has liaised with the Aboriginal community in various ways with mixed success. Over time the development of the relationship has been approached cautiously, but with a willingness to continue to move forward. This has included a number of actions being implemented, including:

o Councillors, senior management and various staff participation in cultural awareness training;

o Stakeholder engagement with the Undalup Association and South West Boodjarah Working Party;

o Flying the Aboriginal flag daily at the City Administration building;

o Inclusion of Acknowledgement to Country as part of Standing Orders of Council Meetings;

o Welcome to Country or Acknowledgement of Country at all City events;

o Partnerships in projects with Aboriginal community members:

§ Merenj Boodja Bush Food Garden at ArtGeo Cultural Complex;

§ NAIDOC and Reconciliation Week activities with the Undalup Association in 2018;

§ Walgin Garden landscaping;

§ SPACE 3 with international artist Michelle Eistrupp; and

§ Settlement Art Project consultation for the Aboriginal sculpture.

o Installation of the Aboriginal sculpture as part of the Settlement Art Project;

o Aboriginal school based traineeships and sharing information about position vacancies at the City to Aboriginal people and organisations;

o Continuing Aboriginal heritage consultations with traditional custodians at sites of significance; and

o Support for the Undalup Association with a lease agreement at High Street Hall and regular meetings around various reserve and park projects.

As a key component of the City’s draft RAP, in September 2018, a workshop was conducted with Councillors, City officers and Aboriginal community members to develop a RAP vision statement. The selected vision statement was “The City of Busselton acknowledges the Traditional Custodians, recognises our past and seeks to trust and grow together.”

Throughout 2019, the draft RAP was developed, using this vision statement as a guide. Using the draft as a basis, during May 2019 to August 2019 the City sought feedback from the Aboriginal community following this it was distributed for public comment

The draft RAP is now presented to Council for adoption (see attachment A).

OFFICER COMMENT

A RAP is proposed by Reconciliation Australia as a useful framework by which governments, agencies, institutions and corporations, can implement goals and actions aimed at building relationships and respect for Aboriginal community, culture and history.

RAP’s are progressed through four levels: Reflect, Innovate, Stretch and Elevate. Each level builds on previous actions and is achieved at the pace appropriate to the organisation. The City of Busselton RAP is at the Reflect entry level and identifies actions to be undertaken in 2019-2020. These have been identified through consultation with Aboriginal stakeholders and community members over a number of years. As many of the actions are already underway, the RAP will be reviewed at the end of 2020 with a view to updating or transitioning to the next level: Innovate.

Development of the City’s RAP commenced in 2016 with input from the Aboriginal community on their ideas and aspirations and internal reflection and discussion on actions to be considered. In early 2019, the draft RAP was completed, and was informally presented to Council on 8 May 2019. Subsequent to this, extensive targeted consultation was undertaken, with feedback considered and the RAP updated where appropriate. Following this, the City sought broader public feedback. The consultation undertaken has resulted in broad, strong support for the draft RAP.

Statutory Environment

The officer recommendation supports the general function of a local government under the Local Government Act 1995 to provide for the good government of persons in its district.

Relevant Plans and Policies

Strategic Community Plan Review 2019

Key Goal Area 1. Community, Welcoming, friendly, healthy

Objective 1.1 of the Strategic Community Plan 2017 (review 2019) is to develop “A friendly, safe and inclusive community with a string community spirit”. Additionally the plan contains objectives around supporting the provision of a range of cultural experiences and services and programs that support people of all backgrounds. Accordingly the RAP will guide the City’s actions in building relationships and respect with the Aboriginal community and progressing opportunities.

Social Plan 2015-2025

Action: Engage with community to develop a Reconciliation Action Plan.

Priority: 1

Timeframe: Short

While there is no statutory obligation for a local government to send their RAP for endorsement to Reconciliation Australia, this process provides recognition of the document and accountability for reporting on its implementation as the City progresses through the four (4) levels of reconciliation action planning.

Financial Implications

Many of the actions in the City’s draft RAP will be funded from existing resources. External funding may be sought for projects identified in the implementation plan that are not resourced by the City.

Stakeholder Consultation

Consultation has included targeted consultation with the Busselton Aboriginal community and Aboriginal organisations, as well as the broader community through the City’s ‘Your Say’ platform.

Table 1 below summarises the consultation:

Target Group	Method	Period	Comment
Aboriginal community	· Copies distributed (400) · Drop In Days (2 days held) (7) · Email Responses (5) · Face to face meetings (4)	May to August 2019	36 responses from community involved. Strong support for RAP, no specific comments
Undalup Association	Mail out and a number of fact to face meetings	May to August 2019	Provided specific feedback which was considered and adjustment made where appropriate in the RAP
South West Boodjarah Working Party	Presentation	3 July 2019	General support
General community	Your Say (3) Direct email responses (8)	16 August – 13^th September	122 engagements, 32 downloaded the RAP; 3 made submissions.

Council		68		9 October 2019
15.1	Attachment C		RAP Feedback Table Sept 2019

Date		No.	Comments
22/05/19	Email Response	1	Looks good Jacquie and very achievable. Well done!
23/05/19	Email Response	1	to be reviewed still
10/06/19	Visit	1	Cover to be differentiated; timeline is confusing until discussed; move some of 1.6 around as it is important; infographic highlights small Aboriginal community, is it necessary?; move our business to behind the next section so its not up front as in page 3 (lower importance of); Aboriginal images
10/06/19	Visit	1	Timeline to be considered as a bit confusing - completed by date not starting date - be specific eg. Dec 2019; recommended Advisory Group - see File Note
14/06/19	Visit	1	Foster Mum of Aboriginal children; doesn't agree with handouts; doesn’t agree with Aboriginal specific jobs; need more Aboriginal culture and language in education - mentioned that not the job of the City, and that the interpretation will help tell the stories
19/06/19	Drop In Day	2	Explain in Reflect section how the dates work; 3.3 don't need to put shared history as it diminishes Aboriginal art 3.3d could have shared history; suggest developing a process for commissioning artworks; b add Aboriginal to artworks and interpretation.
19/06/19	Drop In Day	2	Hadn't read it much at that point. Have more events during NAIDOC Week; kids making own damper; storytelling; dancing
19/06/19	Drop In Day	1	suggestions for NAIDOC Week; observations of 'things' happening; Indigenous Officer; volunteering work; include artwork in the document
20/06/19	Visit	1	RAP feedback hadn't been received though it was posted a while ago; be more specific about timelines; find employment mentors;
21/06/19	Visit	6	Robust conversation: recommendations re: Cultural awareness training; language; past history; and feedback on the writing of the goals and actions of the draft and miscellaneous recommendations
3/07/19	Visit	13	Short presentation; questions centred around employment, money/funding and Respect
10/07/19			Message left (2nd time). No response has been returned, but it looks like the phone is disconnected
10/07/19			Message left (2nd time). No response has been returned
16/07/19	Email Response	1	Email response: Lots of hard work, well done. Suggestion: employ Aboriginal staff and have a creative project for everyone to participate in; Senior Ranger has worked with Aboriginal people could be a great mentor.
17/07/19	Drop In Day	1	Drop in day: have art workshops in Busselton; there are a significant number of them in Bunbury. Grants are available. Have a welcome to Country that pops up on City computers when they open; Take advantage of installing artwork on the City's public buildings - it is disappointing that Aboriginal artwork is not included anywhere at this time. I do believe however, that the City is working towards these oversites and communicating with the Aboriginal community with discussion and consultation
17/07/19	Drop In Day	1	Drop in Day: have interpretation in artwork and stories, maybe historical films; Can the Aboriginal flag be flown at the Busselton Foreshore? They do it at the High schools and other public areas. Have the NAIDOC Week ball again; and a breakfast. More art workshops with Aboriginal artists.
17/07/19	Drop In Day	1	Drop in Day: Recommend researching Making Schools Country Program. It ran at some schools she worked at. It is about making Aboriginal people feel welcomed to a place (specifically for schools as it was a school program.) Everyone is accountable for the agreed actions: Flying the Aboriginal flag; having Aboriginal artwork around the buildings - by local Aboriginal artists; Workshops for Aboriginal parents outside school. Who is accountable? Principal; Aboriginal staff, students and families; and non-Aboriginal staff, students and families.
25/07/19	Email Response	1	I am sorry I have just been so busy I was impressed with the insight of the RAP at the SWB Woking Party Meeting
21/08/19	Email Response	1	how lovely to hear from you and apologies for taking so long to reply. Things have been super hectic and, in fact, I’ve still not had the opportunity to read the draft RAP in detail though I have had a quick skim. Depending on what feedback you get from the community consideration, please feel free to get back in touch if you’d like my views on how some of their requested changes could fit. I do hope everything else is also going well. Warmest wishes,
16 /08/19	Email to Art Database	1	Not officially a resident Jacquie but I can not support any reconciliation action enough in this country in my opinion. Bravo, looks like you are taking great steps down there. Every council should adopt an approach like this.
16/08/19	Email to Art Database	1	I thought I would drop you a line and give my personal feelings on the subject of "reconciliation", which I find a complete anathema. We are all Australians, we are all West Australians and we are all residents and/or ratepayers of the City of Busselton. The aspect that there is a need to reconcile with some section, some part, some group, is a slippery slope as I believe it will increase division and not heal. Where do you stop with this so called reconciliation, lets do it next with say Muslims, Catholics or say Chinese, Germans etc etc. You cant formally force anyone to reconcile with their neighbour, it is up to the individuals, you cant change history by indulging in "feel good" "politics". I treat all people equal, irrespective of race, height, weight etc, teach the kids in the schools that and the place will be fine. Just my feelings on the subject and as a ratepayer, I see this as a waste of money and time.
16/08/19	Email to Art Database	1	Thanks Jacqui for a copy of the document. Just one observation and comment in relation to all the specified actions within the plan. I would replace the word Aboriginal with Wadandi Bibbulmun when the action relates to heritage and culture.
16/08/19	Email to Art Database	1	Good to see progress. Thank you to all parties that have participated.
17/08/19	Email to Art Database	1	The Plan has high ideals. It is thoughtful and thorough. One of the critical elements in the Draft Plan is in 4.2 on page 12. If required/desired, I'd be happy to help the City's Working Party develop annual targets and measurable outcomes to ensure the plan is implemented. For the ideals espoused in the plan to be achieved, the 'so what' question needs answering!
17/08/19	Email to Art Database	1	Thank you for this timely email regarding the COB’s Draft RAP. Coincidentally, I am currently analysing this document and putting together a Reconciliation Proposal for my final Master’s Unit - Indigenous Policy and Practice. I phoned yesterday as I’d love to chat about a few things! Particularly in relation to the proposed Gathering Place Djiljit Mia in Dunsborough. My feedback on the document is in two parts, Firstly, in my opinion, the only glaring anomaly is in Governance 4.1 (b) Where the Terms of reference for the proposed Aboriginal Reference Group are the responsibility of “Community Services” and “Governance Services” - I believe that this should be created collaboratively with a strong Aboriginal voice. The group needs to have ownership of the Terms and be involved in visioning, purpose statement and processes rather than have them imposed. It is imperative that this reference group has an authentic voice. I know it says develop a ‘Draft’ and that the ‘Who’ needs to be in Council but I think the “Draft a Terms of Reference for the ARG” needs to change to “Develop Terms of Reference WITH the ARG". Secondly, I am really pleased to see other Actions in the plan that support what I intend to propose. Particularly, 2.5 (b), 3.3 (b) and 3.5. I am wondering how the RAP will play out and whether the processes to work with the COB to achieve these actions have been developed?? If so, what are they and if not when/will they be developed. Community partnerships are key, and achieving the Actions in the plan in a timely manner, with ease and COB Support and funding would be great!! Thank you for the opportunity to give feedback.
18/08/19	Email to Art Database	1	In the first half instance I would like to sincerely thank you and all other participants in this very comprehensive draft of RAP. It is very obvious that reconciliation has in fact started with the drawing up of the document. At first read it feels very complex and overwhelming however on subsequent readings the line of thought becomes clear and concise. As a resident of this region I applaud the very obvious efforts that have gone into this document. I do not have any relevant input at this time having only just received it but I certainly wish us all a successful and timely outcome to better us all. As a member of a local association I would ask that maybe a short talk and overview to local associations may be useful further down this path including some positive actions that relevant association could take. In our instance (Busselton Historical Society) as we are planning to re interpret the Butter Factory and museum may be some input would assist us.
21/08/19	Email to Art Database	1	Wow Jacquie, how wonderful the City has put this plan together. I did read through it all while in Bali but haven’t had time to re visit since arriving home yesterday. Have a 100 emails to get through today. However, there was one item I wasn’t too keen on with the language being added to signage. This could cause major chaos with the different dialect of the first people.
13/09/19	Your Say	78	78 people went to the site; 3 made submissions; 32 downloaded the document;
	Your Say		The RAP appears to be a well constructed document and it is a credit to those who have worked to put ti together. I would like to see some aboriginal explanations at most of our important tourist/site seeing spots. I am sure this is included already in the plan.
	Your Say		It is just great to have the City trying to build relationships with the Aboriginal community and it would be really great to have more artwork around that shows Aboriginal history. Can we have some names in the local Wadandi language?
	Your Say		The draft RAP is excellent. I particularly like the physical proposals for art and cultural to be installed and main-streamed. Dual naming for significant natural areas should be a feature, particularly if in time we can transition to the traditional name. Cultural awareness of existing traditional names needs to be better communicated and articulated (and embraced and celebrated). The City can incorporate through its parks and foreshore areas endemic plants and 'bush tucker'. This could be specifically named (via plaques) and could provide the opportunity for aboriginal tourism to provide cultural / bush tucker walks in key tourist destinations. The City should also pursue a south west indigenous cultural center, to form a focus to celebrate indigenous art, culture and history. There is nothing in Western Australia that is dedicated to this, and Busselton as a state focus for tourists should use this positional opportunity to work with the Land and Sea Council and advocate for a center to be based in the SW
Total		122

Council 71 9 October 2019

16. Finance and Corporate Services Report

16.1 PROPOSED COUNCIL MEETING DATES 2020

STRATEGIC GOAL STRATEGIC OBJECTIVE	6. LEADERSHIP Visionary, collaborative, accountable 6.1 Governance systems, process and practices are responsible, ethical and transparent.
SUBJECT INDEX	Council Meetings
BUSINESS UNIT	Governance Services
REPORTING OFFICER	Governance Coordinator - Emma Heys
AUTHORISING OFFICER	Director Finance and Corporate Services - Tony Nottle
NATURE OF DECISION	Executive: substantial direction setting, including adopting strategies, plans and policies (excluding local planning policies), tenders, setting and amending budgets, funding, donations and sponsorships, reviewing committee recommendations
VOTING REQUIREMENT	Simple Majority
ATTACHMENTS	Attachment a Proposed Ordinary Council Meeting Schedule for the 2020 calendar year⇩

COUNCIL DECISION AND OFFICER RECOMMENDATION

C1910/197 Moved Councillor J McCallum, seconded Councillor C Tarbotton

That the Council adopts the Ordinary Council Meeting schedule for the 2020 calendar year as per Attachment A.

CARRIED 8/0

En Bloc

EXECUTIVE SUMMARY

In accordance with Regulation 12 of the Local Government (Administration) Regulations 1996 (the Regulations) at least once per year the local government is required to give local public notice of the dates on which and the time and place at which Ordinary Council Meetings (OCM’s) are to be held for the following 12 months.

This report presents for adoption, the proposed Ordinary Council Meeting schedule for the 2020 calendar year (Attachment A).

BACKGROUND

OCM’s are currently held on the second and fourth Wednesday of each month with Community Access Sessions being held on the first and third Wednesday of each month.

Agenda Briefing Sessions are held each Wednesday immediately preceding a Community Access Session or Ordinary Council Meeting.

OFFICER COMMENT

It is proposed that the OCM’s be held on the second and fourth Wednesday of each month, with the exception of the OCM’s to be held on the fifth Wednesday of January to align with the return of Council from end of year recess (2019/2020); and the fifth Wednesday in July to align with the proposed mid-year recess and Western Australian school holidays.

Both April and September also have fifth Wednesdays. It is proposed that neither an Ordinary Council Meeting nor Community Access Sessions are scheduled for these weeks.

Although final dates are still to be confirmed, it is proposed that the OCM in the fourth week of August 2020 be scheduled for Tuesday to allow the City to host the Cinefest Oz Festival, including the opening night which typically falls on a Wednesday.

For Council’s information, the Western Australian school holidays have been scheduled for:

10 April 2020 – 27 April 2020

4 July 2020 – 19 July 2020

26 September 2020 – 11 October 2020

18 December 2020 – 31 January 2021

The Western Australian Public Holidays for 2020 are:

Wednesday, 1 January – New Year’s Day

Monday, 27 January – Australia Day

Monday 2 March – Labour Day

Friday, 10 April – Good Friday

Monday, 13 April – Easter Monday

Monday, 27 April – Anzac Day

Monday, 1 June – WA Day

Monday, 28 September – Queen’s Birthday

Friday, 25 December – Christmas Day

Monday, 28 December – Boxing Day

Although it does not directly affect the proposed schedule, for Council’s information, Local Government Week is expected to occur the 5–8 August 2020.

Statutory Environment

Provided that the Council meets at least once every three months in accordance with Section 5.3 of the Local Government Act, each Council is able to set its own meeting cycle, dates, times and procedures.

Regulation 12 of the Regulations requires Council at least once per year to given local public notices of the dates on which and the time and place at which ordinary council meetings are to be held for the following 12 months.

Relevant Plans and Policies

There are no relevant plans or policies to consider in relation to this matter.

Financial Implications

There are no financial implications associated with the officer recommendation.

Stakeholder Consultation

No external stakeholder consultation was required or undertaken in relation to this matter

Risk Assessment

An assessment of the potential implications of implementing the officer recommendation has been undertaken using the City’s risk management framework, with risks assessed taking into account any controls already in place. No risks of a medium or greater level have been identified.

Options

As an alternative to the proposed recommendation the Council could choose to amend the proposed OCM schedule for the 2020 calendar year.

CONCLUSION

It is considered appropriate to continue to hold OCM’s on the second and fourth Wednesday of each month, with Community Access Sessions being held on the first and third Wednesday of each month. Agenda Briefing Sessions will continue to be held each Wednesday immediately before a Community Access Session or an OCM.

TIMELINE FOR IMPLEMENTATION OF OFFICER RECOMMENDATION

The Ordinary Council Meeting schedule for the 2020 calendar year will be publically advertised prior to the end of 2019.

Council 83 9 October 2019

17. Chief Executive Officers Report

17.1 COUNCILLORS' INFORMATION BULLETIN

STRATEGIC GOAL STRATEGIC OBJECTIVE	6. LEADERSHIP Visionary, collaborative, accountable 6.1 Governance systems, process and practices are responsible, ethical and transparent.
SUBJECT INDEX	Governance Services
BUSINESS UNIT	Executive Services
REPORTING OFFICER	Reporting Officers - Various
AUTHORISING OFFICER	Chief Executive Officer - Mike Archer
NATURE OF DECISION	Noting: the item does not require a decision of Council and is simply for information purposes and noting
VOTING REQUIREMENT	Simple Majority
ATTACHMENTS	Nil

COUNCIL DECISION AND OFFICER RECOMMENDATION

C1910/198 Moved Councillor J McCallum, seconded Councillor C Tarbotton

That the items from the Councillors’ Information Bulletin be noted:

· 17.1.1 State Administrative Tribunal Reviews

· 17.1.2 Recent Correspondence

CARRIED 8/0

En Bloc

EXECUTIVE SUMMARY

This report provides an overview of a range of information that is considered appropriate to be formally presented to the Council for its receipt and noting. The information is provided in order to ensure that each Councillor, and the Council, is being kept fully informed, while also acknowledging that these are matters that will also be of interest to the community.

Any matter that is raised in this report as a result of incoming correspondence is to be dealt with as normal business correspondence, but is presented in this bulletin for the information of the Council and the community.

INFORMATION BULLETIN

17.1.1 State Administrative Tribunal Reviews

Nil to report at time of agenda publication.

17.1.2 Recent Correspondence

19 September 2019 – Australian Citizenship Ceremonies Code

Hon David Coleman MP Minister for Immigration, Citizenship, Migrant Services and Multicultural Affairs has announced the publication of a new version of the Australian Citizenship Ceremonies Code which is now in effect. Key changes are outlined below:

· Local government councils must ensure ceremonies are conducted in accordance with the Australian Citizenship Ceremonies Code. This includes a requirement to hold a citizenship ceremony on Australia Day (January 26). Councils that conferred citizenship on less than 20 people in the previous year are exempt from this requirement.

· Federal Members of Parliament, if attending a citizenship ceremony, should read the Minister’s message; and

· Individual councils are to establish a Dress Code for ceremonies, to reflect the significance of the occasion, and provide a copy of their Dress Code to the Department of Home Affairs.

ITEMS TO BE DEALT WITH BY SEPARATE RESOLUTION (WITHOUT DEBATE)

12.1 Finance Committee - 19/09/2019 - SELF SUPPORTING LOAN BUSSELTON TENNIS CLUB

STRATEGIC GOAL STRATEGIC OBJECTIVE	1. COMMUNITY: Welcoming, friendly, healthy 1.3 A community with access to a range of cultural and art, social and recreational facilities and experiences.
SUBJECT INDEX	Self-Supporting Loan
BUSINESS UNIT	Community Development
REPORTING OFFICER	Club Development Officer - Pam Glossop
AUTHORISING OFFICER	Director, Community and Commercial Services - Naomi Searle
NATURE OF DECISION	Executive: substantial direction setting, including adopting strategies, plans and policies (excluding local planning policies), tenders, setting and amending budgets, funding, donations and sponsorships, reviewing committee recommendations
VOTING REQUIREMENT	Simple Majority
ATTACHMENTS	Attachment a Letter from Club requesting Self Supporting Loan ⇩

This item was considered by the Finance Committee at its meeting on 19 September 2019, the recommendations from which have been included in this report.

DISCLOSURE OF INTEREST
Date	9 October 2019
Meeting	Council
Name/Position	Cr John McCallum, Deputy Mayor
Item No./Subject	12.1 Self Supporting Loan Busselton Tennis Club
Type of Interest	Impartiality Interest
Nature of Interest	I declare an Impartiality Interest in relation to Agenda Item 12.1 as I am a member of the Busselton Tennis Club. As a consequence, there may be a perception that my impartiality on the matter may be affected. I declare that I will consider the item on its merits and vote or act accordingly.

OFFICER RECOMMENDATION

That the Council:

1. Subject to the assessment of the Busselton Tennis Club’s Financial Statements, approve for the purposes of completing the outfit at the Busselton Tennis Centre a self-supporting loan to the Club for the amount of $50,000 for a term of up to 7 years.

2. Authorises the CEO to enter into a Loan Repayment Agreement with the Busselton Tennis Club Inc. where:

a) The Club acknowledges it is responsible for reimbursement to the City of Busselton of full costs associated with the loan,

b) The Loan repayment calculations are on the basis of the prevailing Western Australian Treasury Corporation lending rate including Government Guarantee Fee at the time of actual funding of the loan.

3. Authorises the CEO to enter into a Deed of Amendment providing that default in respect of the Loan Repayment Agreement could result in termination of the Lease.

COUNCIL DECISION AND COMMITTEE RECOMMENDATION AND AMENDED OFFICER RECOMMENDATION

C1910/199 Moved Councillor R Reekie, seconded Councillor C Tarbotton

That the Council:

1. Subject to the assessment of the Busselton Tennis Club’s Financial Statements, approve for the purposes of completing the fit out at the Busselton Tennis Centre a self-supporting loan to the Club for the amount of $50,000 for a term of up to 7 years.

2. Authorises the CEO to enter into a Loan Repayment Agreement with the Busselton Tennis Club Inc. where:

a) The Club acknowledges it is responsible for reimbursement to the City of Busselton of full costs associated with the loan,

3. Authorises the CEO to enter into a Deed of Amendment providing that default in respect of the Loan Repayment Agreement could result in termination of the Lease.

CARRIED 8/0

Reason: Correction of the word ‘outfit’ to ‘fit out’ in the officer recommendation.

EXECUTIVE SUMMARY

The Busselton Tennis Club Inc. (the Club) has applied to the City of Busselton for a self-supporting loan for $50,000 for a term of 7 years, as part of the Club’s contribution toward the fit out of the new Busselton Tennis Centre (the Centre).

BACKGROUND

The Club is due to relocate to the Centre in October with early access being granted on 1 September 2019 to allow the Club to undertake works that the Club is responsible for and which are outside the City’s scope of works. The Club has a current self-supporting loan for when the club rooms were built 22 years ago with the final payment due in December 2019.

The proposed new loan will be used to finish off the Centre by installing solar panels, a display cabinet, cupboards and shelving, furniture, a tipper trailer for the green waste from the courts and some other minor items. This will complement the facilities developed through the partnership between the City of Busselton and the Busselton Tennis Club to complete the new Centre for active occupation in the next few weeks.

The Club has undertaken to position itself as a first class facility through the preparation of a business plan, review of their governance structure, revamped membership and sponsorship packages, and the appointment of a professional coaching service and Centre Manager. Two Tennis West development officers servicing the whole South West Region will be based at the Centre and the Club will host the Australian Seniors Tennis Tournament in January 2020.

OFFICER COMMENT

City officers have been working closely with the Club over a long period of time to carefully plan for the future. The Club has a business plan which clearly articulates its strategies to grow the sport and this plan forms a part of the Club’s board meetings as part of the governance review that has been undertaken.

The Club has been granted early access to the Centre to allow it to complete works not covered under the current scope and is contributing $50,000 from its own funds to pay for IT services, electrics and cool room.

The Club has funds in reserves but considers it prudent to retain these as an emergency reserve.

Statutory Environment

The City’s adopted 2019/20 budget has been compiled in accordance with Section 6.2 of the Local Government Act 1995 and Part 3 of the Local Government (Financial Management) Regulations 1996.

Relevant Plans and Policies

‘Council Policy 048 – Loans’ is applicable in offering the Club a self-supporting loan.

Financial Implications

The 2019/2020 adopted budget includes provision for funding of self-supporting loans to the community to a maximum of $150,000. Accordingly, assuming this cap has not been met at the time the loan is to be drawn (if approved), then a budget amendment would not be required.

The loan would be granted on the basis of the prevailing Western Australian Treasury Corporation (WATC) lending rate including Government Guarantee Fee at the time of actual funding of the loan. The WATC have advised that the current borrowing rate for 5 years is 2.13% and 10 years is 2.40% (both inclusive of a 0.7% Government Guarantee Fee). This rate is subject to change up to and including the day the loan is drawn down.

All interest and principal repayments would be formally agreed to prior to release of any funding.

The Club has provided its financial statements for 2018/19 and up-to-date statements from 1 April 2019 to 19 August 2019. Whilst the cash contribution will leave little in their reserves, the Club is confident that it can meet its financial obligations. The Club has been paying off another self-supporting loan of $930 per month which will be paid out in December 2019.

Stakeholder Consultation

The City officers have been consulting with the Club throughout this process.

Risk Assessment

Options

Council may decide to not approve the request from the Club, in which case the Club may:

1. Fund only what it can afford from its own reserves; or

2. Not proceed with the fit out.

CONCLUSION

It is considered a reasonable request for the club to take out a self-supporting loan to complete the fit out of the Centre to ensure it is in a sound position to operate at capacity for the next few decades. The Club has demonstrated it has the capacity to cover the cost of the loan repayments as it has a history of paying down its loans.

TIMELINE FOR IMPLEMENTATION OF OFFICER RECOMMENDATION

Should the request be approved, action will be taken immediately to implement the recommendations of the Council.

Council 92 9 October 2019

12.3 Finance Committee - 19/09/2019 - BUDGET AMENDMENT REQUEST / REVIEW

STRATEGIC GOAL STRATEGIC OBJECTIVE	6. LEADERSHIP Visionary, collaborative, accountable 6.1 Governance systems, process and practices are responsible, ethical and transparent.
SUBJECT INDEX	Budget Planning and Reporting
BUSINESS UNIT	Finance and Corporate Services
REPORTING OFFICER	Finance Coordinator - Jeffrey Corker
AUTHORISING OFFICER	Director Finance and Corporate Services - Tony Nottle
NATURE OF DECISION	Executive: substantial direction setting, including adopting strategies, plans and policies (excluding local planning policies), tenders, setting and amending budgets, funding, donations and sponsorships, reviewing committee recommendations
VOTING REQUIREMENT	Absolute Majority
ATTACHMENTS	Nil

This item was considered by the Finance Committee at its meeting on 19 September 2019, the recommendations from which have been included in this report.

COMMITTEE RECOMMENDATION AND AMENDED OFFICER RECOMMENDATION

That the Council endorse the requested budget amendment outlined in Tables 1 to 3 below resulting in no change to an amended budget surplus position of $0, inclusive of the amendments to Table 2, being the minus sign for the Net Total Figure:

Table 1:

*Cost Code*	*Description*	*Current Budget*	*Change*	*Resulting Proposed Amended Budget*
Expenditure
541.W0245.3280.0000	Wilson Ave Reseal – Contractors	$0	Increase by $68,522	-$68,522
Income
541.W0245.1215.0000	Wilson Ave Reseal – Reimbursement Other (Water Corporation)	$0	Increase by $8,000	+$8,000
Road Asset Renewal Reserve (Reserve Number 223)	Reserve Draw Down	$4,161,474	Increase by $57,000	+$4,218,474
Restricted assets (Wilson Ave)	Contribution to Works	$0	Increase by $3,522	+$3,522
Net Total		$4,161,474	$0	$4,161,474

Table 2:

*Cost Code*	*Description*	*Current Budget*	*Change*	*Resulting Proposed Amended Budget*
Expenditure
339-10616-7743-0000	Winderlup Villas - Capital Expenses	-$8,500	Decrease by $8,500	$0
339-10616-3301-0000	Winderlup Villas - Non-Capital Expenses	$0	Increase by $8,500	-$8,500
339-10617-7743-0000	Harris Road - Capital Expenses	-$7,600	Decrease by $7,600	$0
339-10617-3301-0000	Harris Rd - Non-Capital Expenses	$0	Increase by $7,600	-$,7,600
Net Total		-$16,100		-$16,100

Table 3:

*Cost Code*	*Description*	*Current Budget*	*Change*	*Resulting Proposed Amended Budget*
Expenditure
420-10820-3260-9650	Strategic Planning – Consultancy	-$195,183	Increase by $56,345	-$251,528
Income
Climate Adaption Reserve (Reserve Number 102)	Reserve Drawdown	+$1,259,792	Increase by $56,345	+$1,316,137
Net Total		+$1,064,609	$0	+$1,064,609

LAPSED FOR WANT OF A MOVER

COUNCIL DECISION AND AMENDED OFFICER RECOMMENDATION

C1910/200 Moved Councillor P Carter, seconded Councillor J McCallum

That the Council endorse the requested budget amendment outlined in Tables 1 to 3 below resulting in no change to an amended budget surplus position of $0:

Table 1:

*Cost Code*	*Description*	*Current Budget*	*Change*	*Resulting Proposed Amended Budget*
Expenditure
541.W0245.3280.0000	Wilson Ave Reseal – Contractors	$0	Increase by $68,522	-$68,522
Income
541.W0245.1215.0000	Wilson Ave Reseal – Reimbursement Other (Water Corporation)	$0	Increase by $8,000	+$8,000
Road Asset Renewal Reserve (Reserve Number 223)	Reserve Draw Down	$4,161,474	Increase by $57,000	+$4,218,474
Restricted assets (Wilson Ave)	Contribution to Works	$0	Increase by $3,522	+$3,522
Net Total		$4,161,474	$0	$4,161,474

Table 2:

*Cost Code*	*Description*	*Current Budget*	*Change*	*Resulting Proposed Amended Budget*
Expenditure
339-10616-7743-0000	Winderlup Villas - Capital Expenses	-$8,500	Decrease by $8,500	$0
339-10616-3301-0000	Winderlup Villas - Non-Capital Expenses	$0	Increase by $8,500	-$8,500
339-10617-7743-0000	Harris Road - Capital Expenses	-$7,600	Decrease by $7,600	$0
339-10617-3301-0000	Harris Rd - Non-Capital Expenses	$0	Increase by $7,600	-$,7,600
Net Total		-$16,100		-$16,100

Table 3:

*Cost Code*	*Description*	*Current Budget*	*Change*	*Resulting Proposed Amended Budget*
Expenditure
420-10820-3260-9650	Strategic Planning – Consultancy	-$195,183	Increase by $56,345	-$251,528
Income
Climate Adaption Reserve (Reserve Number 102)	Reserve Drawdown	+$1,259,792	Increase by $56,345	+$1,316,137
Net Total		+$1,064,609	$0	+$1,064,609

CARRIED 8/0

Reason: The Finance Committee moved a recommendation to adjust table 2 which was missing a negative symbol against the current budget net total figure. This has since been noted as an administrative error and as such an amended officer recommendation reflecting the original officer’s recommendation, but inclusive of the negative sign, was put.

EXECUTIVE SUMMARY

This report seeks recommendation of the Finance Committee to Council for the approval of budget amendments as detailed in this report. Adoption of the Officers Recommendation will result in no change to the City’s current amended budgeted surplus position of $0.

BACKGROUND

Council adopted its 2019/2020 municipal budget on Wednesday 31 July 2019 with a balanced budget position.

Since this time Council has been advised of certain expense changes that have impacted the original budget and Council is now being asked to consider budget amendments for the following key areas/projects:

1. Wilson Avenue, Quindalup – Road Renewal

2. Aged Housing – Capital / Non-Capital Purchases

3. Coastal Adaptation Strategy – Finalisation Costs

OFFICER COMMENT

The officer recommends the following requested budget amendment to the Finance Committee for consideration and recommendation to Council.

Please note that within tables, expenses are denoted as –ve’s and income as +ve’s.

1. Wilson Avenue, Quindalup – Road Renewal

This budget amendment seeks to add a road renewal capital project totalling $68,522 onto the 2019/2020 budget.

The Water Corporation has recently completed infill sewer works in the Quindalup area which has resulted in a requirement for reinstatement works to Wilson Avenue. These reinstatement works are to cost the Water Corporation an estimated $8,000. The City’s Road Asset officers have advised that this road has a current condition rating of 8; past the desirable intervention level.

To this end, the reinstatement via patching of only the small sections of this road impacted by the infill works makes little economic nor sound asset management sense; this road is already a high priority to be renewed. Based on this advice it is recommended that the full 55-metre length of the road be brought forward and renewed. The renewal will be completed in two stages. Stage one will entail the prima-sealing of the impacted sections followed by a spray seal to the full length once the weather warms up suitably for sealing.

The funding recommendation made is that:

a) $57,000 of the funding be drawn down from the Roads Asset Renewal Reserve (Reserve number 223) that has an existing budgeted closing balance of $440,682 on 30 June 2020.

b) $8,000 will represent a negotiated contribution from the Water Corporation.

c) $3,522 will come from Contribution to Works for Wilson Avenue.

Planned Expenditure Item

Officers propose that the 2019/2020 adopted budget be amended to reflect the following funding changes, shown in Table 1.

Table 1:

*Cost Code*	*Description*	*Current Budget*	*Change*	*Resulting Proposed Amended Budget*
Expenditure
541.W0245.3280.0000	Wilson Ave Reseal – Contractors	$0	Increase by $68,522	-$68,522
Income
541.W0245.1215.0000	Wilson Ave Reseal – Reimbursement Other (Water Corporation)	$0	Increase by $8,000	+$8,000
Road Asset Renewal Reserve (Reserve Number 223)	Reserve Draw Down	$4,161,474	Increase by $57,000	+$4,218,474
Restricted assets (Wilson Ave)	Contribution to Works	$0	Increase by $3,522	+$3,522
Net Total		$4,161,474	$0	$4,161,474

2. Aged Housing – Capital / Non-Capital Purchases

This budget amendment seeks to alter/correct the accounting classification of asset purchases contained within the 2019/2020 budget with regard to Aged Housing at Winderlup Villas and the Harris Road units.

During 2018/19 changes to the Accounting Standards required an alteration to the capitalisation threshold to a $5,000 limit. That is, assets purchased with a value of less than $5,000 should no longer be treated as a capital item, but should instead be expensed. The 2019/20 adopted budget for asset purchases for the items for Winderlup Villas and Harris Road did not reflect this change.

As the treatment of expenses within the City’s accounting system is linked to the account number utilised it is proposed to transfer the existing budget from the incorrect capital account (7743) to non-capital (3301). There is nil effect on the budget surplus, the change is solely for accounting purposes only.

The funding recommendation made is that;

a) The $8,500 budget in account 339-10616-7743-0000 be transferred to account 339-10616-3301-0000.

b) The $7,600 budget in account 339-10617-7743-0000 be transferred to account 339-10617-3301-0000.

Planned Expenditure Item

Officers propose that the 2019/2020 adopted budget be amended to reflect the following funding changes, shown in Table 2.

Table 2:

*Cost Code*	*Description*	*Current Budget*	*Change*	*Resulting Proposed Amended Budget*
Expenditure
339-10616-7743-0000	Winderlup Villas - Capital Expenses	-$8,500	Decrease by $8,500	$0
339-10616-3301-0000	Winderlup Villas - Non-Capital Expenses	$0	Increase by $8,500	-$8,500
339-10617-7743-0000	Harris Road - Capital Expenses	-$7,600	Decrease by $7,600	$0
339-10617-3301-0000	Harris Rd - Non-Capital Expenses	$0	Increase by $7,600	-$,7,600
Net Total		-$16,100	$0	-$16,100

3. Coastal Adaption Strategy – Finalisation Costs

The Coastal Adaptation Strategy has been underway since the 2017/18 FY. Delays with the project have resulted in the budgeted spend for earlier years not occurring. Subsequently budgeted grant income has not being received and transfers from reserves have not occurred to the same degree. The final expenditure figures for 2019/20 were not available at the time of the budget compilation so could not be incorporated into the adopted budget. As final expenditure figures are now identified, a budget amendment is requested so that the project can be completed within the 2019/20 financial year.

The funding recommendation made is that:

a) $56,345 of the funding be drawn down from the Climate Adaption Reserve (Reserve number 102) that has an existing budgeted closing balance of $2,187,179 on 30 June 2020.

b) $56,345 be added to the Strategic Planning Consultancy Budget.

Planned Expenditure Item

Officers propose that the 2019/2020 adopted budget be amended to reflect the following funding changes, shown in Table 3.

Table 3:

*Cost Code*	*Description*	*Current Budget*	*Change*	*Resulting Proposed Amended Budget*
Expenditure
420-10820-3260-9650	Strategic Planning – Consultancy	-$195,183	Increase by $56,345	-$251,528
Income
Climate Adaption Reserve (Reserve Number 102)	Reserve Drawdown	+$1,259,792	Increase by $56,345	+$1,316,137
Net Total		+$1,064,609	$0	+$1,064,609

Statutory Environment

Section 6.8 of the Local Government Act 1995 refers to expenditure from the municipal fund that is not included in the annual budget. In the context of this report, where no budget allocation exists, expenditure is not to be incurred until such time as it is authorised in advance, by an absolute majority decision of the Council.

Relevant Plans and Policies

There are multiple plans and policies that support the proposed budget amendments.

Financial Implications

The Financial Implications of this recommendation are contained within the report.

Stakeholder Consultation

No external stakeholder consultation was required or undertaken in relation to this matter

Risk Assessment

There is a risk to the City, as there is with all projects undertaken that the final cost could exceed budget. If this looks to be the case Council will be notified so a suitable offset / project scope back can be identified.

Options

The Council could decide not to go ahead with any or all of the proposed budget amendment requests.

CONCLUSION

Council’s approval is sought to amend the budget as per the details contained in this report. Upon approval the proposed works will be planned, organised and completed.

TIMELINE FOR IMPLEMENTATION OF OFFICER RECOMMENDATION

Should the Officer Recommendation be endorsed, the associated budget amendment will be processed within a month of being approved.

Cost Code	Cost Code Description / GL Activity	Variance YTD $
Finance and Corporate Services
10000	Members of Council	(35,663)
Community and Commercial Services
10600	Busselton Jetty Tourist Park	87,951
11151	Airport Operations	28,271
Planning and Development Services
10820	Strategic Planning	40,001
10830	Environmental Management Administration	27,179
10850	Implement Management Plans Other	32,246
Engineering and Works Services
11106	Street Lighting Installations	(26,764)
Various	Busselton Jetty Maintenance	78,401
12620	Rural-Tree Pruning	26,684
Various	Building Maintenance	30,184
Various	Other Infrastructure Maintenance	42,079
Various	Waste services	163,673
Various	Reserve Maintenance	191,163

Council		28		9 October 2019
12.2	Attachment a		Statement of Financial Activity - Period Ended 31 August 2019

Council		77		9 October 2019
16.1	Attachment a		Proposed Ordinary Council Meeting Schedule for the 2020 calendar year

Council		85		9 October 2019
12.1	Attachment a		Letter from Club requesting Self Supporting Loan