Item No.	Item Title	Page No.
1	Policy Amendment - Public Interest Disclosure	13
2	Review of Policies - Finance and Corporate Services Department	65
3	Assessment on Ipswich City Council's Progress Towards Implementing the Annual Operational Plan 2018-2019	87
4	Review of Delegation to CEO relating to Council companies	121
5	New Lease from Ipswich City Council for tenure over Riverview Community Centre to Ipswich YUPI Program Inc.	127
6	Proposed New Trustee Lease Over Reserve for Recreation Purposes Australian Crawl (Goodna) Pty Ltd 19a Toongarra Road Leichhardt	149
7	Customer Service Status Report - March 2019	235
8	Tender consideration plan Pathway software licensing, maintenance and support	242
9	Proposed 2019-2020 Fees and Charges	251
10	Month End Performance March 2019	626
11	**overdue rates and charges january to march 2019 quarter	676
12	**Budget Amendment - March 2019	680
13	**Amendment to the Participation Agreement	715
14	**Request for Rate Concession and/or Exemption for Vedanta Centre of Sydney	745

Governance Committee NO. 58

14 May 2019

AGENDA

1. Policy Amendment - Public Interest Disclosure

With reference to a report concerning Council’s requirement to amend its existing Public Interest Disclosure Policy in accordance with three (3) new standards as adopted by the Queensland Ombudsman. These new standards came into effect on 1 March 2019.

Recommendation

That the policy titled Public Interest Disclosure Policy, be amended as detailed in Attachment 2 to the report by the Acting Business Improvement Advisor (Policy) dated 16 April 2019.

2. Review of Policies - Finance and Corporate Services Department

With reference to a report concerning the review of two (2) existing policies being the Gifts Policy and the Entertainment and Hospitality Policy. It has been identified, as part of Ipswich City Council’s Transformational Project 9 – Policies, Procedures and Local Laws, that Council has a number of policies which would more appropriately sit together in a single Policy. This review has been undertaken to ensure that Council is positioned to uphold the principles of the Local Government Act 2009 in particular transparent and effective processes and decision making in the public interest.

Recommendation

A. That the policy titled ‘Gifts Policy’, as detailed in Attachment 1 to the report by the Acting Business Improvement Advisor (Policy) dated 15 April 2019, as per Item 2 of the Policy and Administration Advisory Committee No. 2018(02) of 13 March 2018 and adopted at the Council Ordinary Meeting of 27 March 2018, be repealed.

B. That the policy titled ‘Entertainment and Hospitality Policy’, as detailed in Attachment 2 to the report by the Acting Business Improvement Advisor (Policy) dated 15 April 2019, as per Item 12, Recommendation C of the Policy and Administration Board No. 2013(14) of 19 November 2013 – City Management and Finance Committee No. 2013(12) of 26 November 2013 and adopted at the Council Ordinary Meeting of 3 December 2013, be repealed.

C. That the policy titled ‘Gifts, Benefits and Hospitality Policy’, as detailed in Attachment 3 to the report by the Acting Business Improvement Advisor (Policy) dated 15 April 2019, be adopted.

3. Assessment on Ipswich City Council's Progress Towards Implementing the Annual Operational Plan 2018-2019

With reference to a report concerning an assessment of Ipswich City Council’s third quarter progress towards implementing the 2018-2019 Operational Plan.

Recommendation

That the report be received and the contents noted.

4. Review of Delegation to CEO relating to Council companies

With reference to a report concerning a review and the proposed repeal of two delegations to the Chief Executive Officer and one delegation to the Mayor and Chairperson of a former standing committee.

Recommendation

That the Interim Administrator of Ipswich City Council resolve:

A. That the delegation titled Ipswich City Enterprises Pty Ltd, as detailed in Attachment 1 to the report by the Project Officer dated 14 February 2019, be repealed.

B. That the delegation titled Ipswich Motorsport Precinct, as detailed in Attachment 2 to the report by the Project Officer dated 14 February 2019, be repealed.

C. That the delegation titled Approve the Corporate Partner for the Ipswich Art Gallery Corporate/Community Volunteering Program, as detailed in Attachment 3 to the report by the Project Officer dated 14 February 2019, be repealed.

5. New Lease from Ipswich City Council for tenure over Riverview Community Centre to Ipswich YUPI Program Inc.

With reference to a report concerning a new Lease that has been awarded to Ipswich YUPI Program Inc. by Ipswich City Council for the tenure of Riverview Community Centre located at 138 Old Ipswich Road, Riverview on Lot 3 on SP139403, after its successful application to the Riverview Community Centre Partnership Opportunity expression of interest (REOI 13257).

Recommendation

That the Interim Administrator of Ipswich City Council resolve:

A. That Council (Interim Administrator of Ipswich City Council) resolve pursuant to section 236(2) of the Local Government Regulation 2012 (the Regulation) that the exceptions under sections 236(1)(b)(ii) of the Regulation apply to the disposal of the leasehold interest located at 138 Old Ipswich Road, Riverview on Lot 3 on SP139403 (“the land”), by way of a leasehold arrangement between Council and Ipswich YUPI Program Inc. for a consideration sum of $1.00 pa ex GST, if demanded.

B. That Council (Interim Administrator of Ipswich City Council) enter into a lease with Ipswich YUPI Program Inc. (“the tenant”) for a period of three (3) years with an option period of an additional three (3) years.

C. That the Chief Executive Officer be authorised to negotiate and finalise the terms of the Lease to be executed by Council and to do any other acts necessary to implement Council’s decision in accordance with section 13(3) of the Local Government Act 2009.

6. Proposed New Trustee Lease Over Reserve for Recreation Purposes Australian Crawl (Goodna) Pty Ltd 19a Toongarra Road Leichhardt

With reference to a report by the Senior Property Officer concerning the proposed Trustee Lease between Ipswich City Council as Trustee and Australian Crawl (Goodna) Pty Ltd for the whole of the land described as Lot 39 on Crown Plan 902321.

Recommendation

A. That Council terminate the Swimming Pool Maintenance Agreement with Australian Crawl (Goodna) Pty Ltd located at 19a Toongarra Road Leichhardt QLD described as Lot 39 on Crown Plan 902321.

B. That Council as Trustee of the Reserve located at 19a Toongarra Road Leichhardt QLD, enter into a Trustee Lease with Australian Crawl (Goodna) Pty Ltd (pursuant to section 236 (1)(c) (iii) and (2) of the Local Government Regulation 2012 (QLD)

C. That the Chief Executive Officer be authorised to negotiate and finalise the terms of the Trustee Lease to be executed by Council and to do any other acts necessary to implement Council’s decision in accordance with section 13(3) of the Local Government Act 2009.

7. Customer Service Status Report - March 2019

With reference to a report concerning customer service related activities for the period 1 March to
31 March 2019.

Recommendation

That the report be received and the contents noted.

8. Tender consideration plan Pathway software licensing, maintenance and support

With reference to a report concerning the Tender Consideration Plan for Pathway Software Licensing, Maintenance and Support Agreement.

Recommendation

That the Interim Administrator of Ipswich City Council resolve:

A. That Council (Interim Administrator of Ipswich City Council) resolve to prepare a Quote or Tender Consideration Plan for Pathway Licensing, Maintenance and Support in accordance with section 230(1)(a) of the Local Government Regulation 2012.

B. That Council (Interim Administrator of Ipswich City Council) resolve to adopt the Quote or Tender Consideration Plan for Pathway Licensing, Maintenance and Support as outlined in the report by the Interim Information and Communications Management and Support Manager dated 23 April 2019 in accordance with section 230(1)(b) of the Local Government Regulation 2012.

C. That Council (Interim Administrator of Ipswich City Council) resolve to enter into a contract with Infor Global Solutions (ANZ) Pty Ltd for Pathway Licensing, Maintenance and Support on the terms described in the report by the Interim Information and Communications Management and Support Manager dated 23 April 2019.

D. That the Chief Executive Officer be authorised to negotiate and finalise the terms of the contract to be executed by Council and to do any other acts necessary to implement Council’s decision in accordance with section 13(3) of the Local Government Act 2009.

9. Proposed 2019-2020 Fees and Charges

With reference to a report concerning the annual review of Council’s fees and charges and the recommended pricing to be applied for the financial year commencing 1 July 2019.

Recommendation

That the Interim Administrator of Ipswich City Council resolve:

A. That the proposed 2019-2020 Fees and Charges, as detailed in Attachment 1 to the report by the Treasury Accounting Manager, excluding pages 60 to 83, be adopted with an effective date of 1 July 2019.

B. That the amendments to Fees and Charges for 2019-2020, as detailed in Attachment 2 to the report by the Treasury Accounting Manager, be received and noted.

10. Month End Performance March 2019

With reference to a report concerning Council performance for the period ending 31 March 2019, submitted in accordance with Section 204 of the Local Government Regulation 2012.

Recommendation

That the report be received and the contents noted.

11. **overdue rates and charges january to march 2019 quarter

With reference to a report by the Recoveries Manager dated 5 April 2019 concerning rate arrears and rate collection statistics for the period January-March 2019.

Recommendation

That the report be received and the contents noted.

12. **Budget Amendment - March 2019

With reference to a report by the Finance Manager dated 3 May 2019 concerning amendment of the 2018‑2019 budget, submitted in accordance with Section 170(3) of the Local Government Regulation 2012.

Recommendation

That the proposed amended 2018‑2019 Budget and Long Term Financial Forecast, as detailed in Attachments 1, 2 and 3 to the report by the Finance Manager dated 3 May 2019, be adopted.

13. **Amendment to the Participation Agreement

With reference to a report by the Strategic Client Office Manager dated 24 April 2019 concerning the proposed amendment of the Participation Agreement between Queensland Urban Utilities and its five participating local governments.

This report also considers the proposed Board Remuneration Policy and amendments to the existing Participation Return Policy.

Recommendation

That the Interim Administrator of Ipswich City Council resolve:

A. That Council (Interim Administrator of Ipswich City Council) approve the amendments to the Participation Agreement between the Central SEQ Distributor-Retailer Authority (trading as Queensland Urban Utilities) and Ipswich City Council as a Participant to the Participation Agreement.

B. That Council approve the Board Remuneration Policy.

C. That Council approve the amended Participation Return Policy.

D. That the Chief Executive Officer be authorised to sign a Variation Agreement that formalises the approved amendments to the Participation Agreement and to do any other acts necessary to implement Council’s decision in accordance with section 13(3) of the Local Government Act 2009.

14. **Request for Rate Concession and/or Exemption for Vedanta Centre of Sydney

With reference to a report concerning, firstly, a request by Vedanta Centre of Sydney (Vedanta), the owner of Lot 706 SP 179281 in Springfield Lakes (Property), for a rate concession for the period between 23 October 2014 and 14 May 2015.

Secondly, on 14 May 2015, the Property was reconfigured into two (2) smaller lots. Vedanta has also requested that as from 14 May 2015 that:

· Council determine that both of the reconfigured lots being Lot 1 SP 275460 (Lot 1) and Lot 2 SP 275460 (Lot 2) each be decided to be exempt from rates; or

· if the request for exemption is unsuccessful, that Council then grant Vedanta a rates concession for both Lot 1 and Lot 2.

Recommendation

That the Interim Administrator of Ipswich City Council resolve:

A. That the following recommendations 25 (A-C) made by the City Management Finance and Community Engagement Committee No. 2018 (01) on 23 January 2018 and adopted at the Council Ordinary Meeting of 30 January 2018, be repealed.

A. That the property, Lot 706 SP 179281 PAR Stapylton, be considered ineligible for both a rates exemption and a rates concession for the period 23 October 2014 to 14 May 2015 resulting in rates of $70,307.20 continuing to be due and payable.

B. That exemption of rates be applied to the property described in assessment 178541, Lot 1, from 14 May 2015 resulting in a refund of rates of $24,949.00 currently due and payable for the period from 14 May 2015 to 31 December 2017.

C. That exemption of rates not be applied to the property described in assessment 178542, Lot 2, from 14 May 2015 continuing to be due and payable.

B. That the property described in assessment 168204, Lot 706 SP 179281, not be exempt from rates, for the period 23 October 2014 to 14 May 2015.

C. That the property described in assessment 168204, Lot 706 SP 179281, not be granted a concession for rates, for the period 23 October 2014 to 14 May 2015.

D. That the property described in assessment 178541, Lot 1 SP 275460, not be exempt from rates, for the period 14 May 2015 to 5 June 2015.

E. That the property described in assessment 178541, Lot 1 SP 275460, be exempt from rates from 5 June 2019.

F. That the property described in assessment 178542, Lot 2 SP 275460, not be exempt from rates, from 14 May 2015.

G. That the property described in assessment 178542, Lot 2 SP 275460, not be granted a concession for rates, from 14 May 2015.

** Item includes confidential papers

and any other items as considered necessary.

Governance Committee

Meeting Agenda

14 May

2019

Doc ID No: A5434823

15 April 2019

COMMITTEE: GOVERNANCE COMMITTEE

AUTHOR: Acting Business Improvement Advisor (Policy)

SUBJECT: Review of Policies - Finance and Corporate Services Department

Introduction

This is a report concerning the review of two (2) existing policies being the Gifts Policy and the Entertainment and Hospitality Policy. It has been identified, as part of Ipswich City Council’s Transformational Project 9 – Policies, Procedures and Local Laws, that Council has a number of policies which would more appropriately sit together in a single Policy. This review has been undertaken to ensure that Council is positioned to uphold the principles of the Local Government Act 2009 in particular transparent and effective processes and decision making in the public interest.

RELATED PARTIES

There are no related parties associated with this report.

Advance Ipswich Theme Linkage

Listening, leading and financial management

Purpose of Report/Background

As part of Ipswich City Council’s Transformational Project 9 – Policies, Procedures and Local Laws – it has been identified that a number of existing policies have similar reporting requirements and as such would more appropriately sit as one policy to ensure consistency of approach.

The Gifts Policy and the Entertainment and Hospitality Policy are two such policies. When reviewing these documents a number of gaps were detected, specifically:

· No clear guidelines around the acceptance and ownership of official gifts which are being presented to Councillors or Council employees.

· No clear guidelines around the acceptance, use and accountability of large quantities of free tickets to Council sponsored events.

· No clear guiding principles which explain why Councillors and Council employees need to keep public accountability in the forefront of all interactions in their roles as representatives of Council.

The new Gifts, Benefits and Hospitality Policy has been drafted to address these gaps and to provide a set of clear and concise instructions to ensure that Council is positioned to meet its obligations of transparency and good governance to the Ipswich community.

RESOURCE IMPLICATIONS

There are no resource implications associated with this report.

RISK MANAGEMENT IMPLICATIONS

There is a considerable risk of Council failing to meet its responsibilities under the Local Government Act 2009, the Local Government Regulation 2012 and the Public Sector Ethics Act 1994 if it does not implement a policy which sets clear and specific instructions around the acceptance of gifts, benefits and hospitality by Councillors and Council employees as well as what constitutes reasonable and appropriate expenditure on entertainment and hospitality.

The new Gifts, Benefits and Hospitality Policy has been created to address the shortfalls which were identified between the two (2) existing policies.

Legal/Policy Basis

This report and its recommendations are consistent with the following legislative provisions:

Local Government Act 2009

Local Government Regulation 2012

Public Sector Ethics Act 1994

COMMUNITY and OTHER CONSULTATION

The draft Gifts, Benefits and Hospitality Policy has been socialised at Executive Leadership Team meetings, has been sent for review and feedback to the Executive Leadership Team members, members of the Interim Management Committee and the Chief Audit Executive. Feedback was collated and where appropriate the draft document was amended to capture the feedback provided.

Conclusion

Councillors and Council employees hold positions of public trust and must carry out their duties impartially and with integrity. To provide clarity and direction with regard to the acceptance of gifts, benefits and hospitality and the provision of hospitality, a new policy has been drafted titled Gifts, Benefits and Hospitality Policy. This Policy encapsulates a set of standards required to be met by Councillors and Council employees to ensure that Council is meeting its obligations under all relevant legislation.

The Public Sector Ethics Act 1994 identifies the following four ethics principles as fundamental to good public administration:

· Integrity and impartiality;

· Promoting the public good;

· Commitment to the system of government; and

· Accountability and transparency.

By reviewing existing policies, identifying gaps and re-drafting guidelines to address these gaps, Council can confidently demonstrate its commitment to good governance and transparency.

Attachments and Confidential Background Papers

1.	Gifts Policy - Current ⇩
2.	Entertainment and Hospitality Policy - Current ⇩
3.	Gifts, Benefits and Hospitality Policy - Draft ⇩

RECOMMENDATION

C. That the policy titled ‘Gifts, Benefits and Hospitality Policy’, as detailed in Attachment 3 to the report by the Acting Business Improvement Advisor (Policy) dated 15 April 2019, be adopted.

Carol Dellit

Acting Business Improvement Advisor (Policy)

I concur with the recommendations contained in this report.

Angela Harms

Acting Corporate Governance Manager

I concur with the recommendations contained in this report.

Andrew Knight

Chief Operating Officer (Finance and Corporate Services)

“Together, we proudly enhance the quality of life for our community”

Governance Committee

Meeting Agenda

14 May

2019

Doc ID No: A5491297

ITEM: 3

SUBJECT: Assessment on Ipswich City Council's Progress Towards Implementing the Annual Operational Plan 2018-2019

AUTHOR: Business Improvement Advisor (Policy)

DATE: 2 May 2019

Executive Summary

This is a report concerning an assessment of Ipswich City Council’s third quarter progress towards implementing the 2018-2019 Operational Plan.

Recommendation/s

That the report be received and the contents noted.

RELATED PARTIES

There are no related party matters associated with this report.

Advance Ipswich Theme Linkage

Strengthening our local economy and building prosperity

Managing growth and delivering key infrastructure

Caring for the community

Caring for the environment

Listening, leading and financial management

Purpose of Report/Background

The 2018-2019 Operational Plan (the Plan) was formally adopted by Council on 26 June 2018. Section 174 of the Local Government Regulation 2012 states the Chief Executive Officer must present a written assessment of progress towards implementing the Plan at quarterly intervals to the local government.

An assessment of each department’s third quarter progress, being 1 January 2019 – 31 March 2019, has been prepared and are contained in Attachments 1-7. Attachment 8 is a report on the Financial and Key Performance Indicators to support the assessments.

Financial/RESOURCE IMPLICATIONS

There are no resourcing or budget implications.

RISK MANAGEMENT IMPLICATIONS

There are no risk management implications.

Legal/Policy Basis

This report and its recommendations are consistent with the following legislative provisions:

Local Government Regulation 2012

COMMUNITY and OTHER CONSULTATION

The content of this report required each Council department to provide comment on their third quarter progress towards achieving the objectives of Council’s Annual Operational Plan.

Conclusion

Each department has provided comments on their progress during the third quarter of the 2018-2019 financial year (refer Attachments 1-7). The tables below provide an “at a glance” snapshot of the current positioning of each deliverable against target. To clarify the progress statements used in the table, please be advised:

STATUS	MEANING	COLOUR CODE ON SPREADSHEET
On Track	The project has commenced and is meeting milestones and budget	Green
Scheduled	Scheduled to commence later in the financial year	Yellow
Delayed Schedule	The date of commencement has passed and the project has not commenced	Amber
At Risk	The project has commenced but is not meeting milestones or budget	Red
Complete	The project has been completed	Blue

DEPARTMENT	ON TRACK	SCHEDULED	DELAYED SCHEDULE	AT RISK	COMPLETE	TOTAL DELIVERABLES
Arts, Social Development & Community Engagement	31	3	11	1	10	56
Economic Development & Marketing	34	4	1	6	-	45
Finance & Corporate Services	26	3	2	4	-	35
Health, Security & Regulatory Services	10	-	-	-	-	10
Infrastructure Services	5	-	-	-	2	7
Planning & Development	25	-	-	-	-	25
Works, Parks & Recreation	28	-	1	-	-	29
TOTALS	159	10	15	11	12	207

The table above indicates that of the total amount of deliverables set for the 2018-2019 financial year, Council’s current position in achieving its goals as at the 3^rd quarter is:

On Track	The project has commenced and is meeting milestones and budget	76.81%
Scheduled	Scheduled to commence later in the financial year	4.83%
Delayed Schedule	The date of commencement has past and the project has not commenced	7.25%
At Risk	The project has commenced but is not meeting milestones or budget	5.31%
Complete	The project has been completed	5.80%

An internal review of the current plan has identified a level of inconsistency with some deliverables remaining generic in nature with no associated target or timeline. Departments are in broad terms attempting to:

· Where possible/if appropriate, reduce the number of deliverables against outcomes and increase the focus on key departmental initiatives;

· Review the format of deliverables;

· Ensure wording is understandable to external stakeholders;

· Increase level of measurability - transition from qualitative to more measureable KPI based deliverables to assess departmental performance;

· Identify opportunities to link or utilise transformational project goals as deliverables; and

· Remove superfluous or completed Corporate Plan outcomes and consider the inclusion of relevant operational based deliverables.

The preparation of the 2019-2020 Operational Plan has commenced and Departments are currently conducting a final review of their proposed deliverables to improve both the meaningfulness and measurability of individual deliverables.

Attachments and Confidential Background Papers

1.	ASDCE Op Plan Update for Jan-Mar 2019 ⇩
2.	EDM Op Plan Update for Jan-Mar 2019 ⇩
3.	FCS Op Plan Update for Jan-Mar 2019 ⇩
4.	HSRS Op Plan Update for Jan-Mar 2019 ⇩
5.	IS Op Plan Update for Jan-Mar 2019 ⇩
6.	PD Op Plan Update for Jan-Mar 2019 ⇩
7.	WPR Op Plan Update for Jan-Mar 2019 ⇩
8.	Financial and Corporate Key Performance Indicators - March 2019 ⇩

Carol Dellit

Business Improvement Advisor (Policy)

I concur with the recommendations contained in this report.

Angela Harms

Acting Corporate Governance Manager

I concur with the recommendations contained in this report.

Andrew Knight

Chief Operating Officer (Finance and Corporate Services)

I concur with the recommendations contained in this report.

David Farmer

Chief Executive Officer

“Together, we proudly enhance the quality of life for our community”

Governance Committee

Meeting Agenda

14 May

2019

Doc ID No: A5478079

ITEM: 5

SUBJECT: New Lease from Ipswich City Council for tenure over Riverview Community Centre to Ipswich YUPI Program Inc.

AUTHOR: Senior Property Officer

DATE: 18 April 2019

Executive Summary

This is a report concerning a new Lease that has been awarded to Ipswich YUPI Program Inc. by Ipswich City Council for the tenure of Riverview Community Centre located at 138 Old Ipswich Road, Riverview on Lot 3 on SP139403, after its successful application to the Riverview Community Centre Partnership Opportunity expression of interest (REOI 13257).

RECOMMENDATION

That the Interim Administrator of Ipswich City Council resolve:

RELATED PARTIES

The current Lessee is the Riverview Neighbourhood House Association Inc. and its Lease Agreement is due to expire on 30June 2019.

In accordance with the terms of the Lease, the Lessee is required to vacate the Premises on or before 30 June 2019. Council has extended this to 30 July 2019 to allow the Lessee sufficient time to meet the terms of its ‘make good’ requirements.

Advance Ipswich Theme Linkage

Listening, leading and financial management

Purpose of Report/Background

The Riverview Community Centre located at 138 Old Ipswich Road, Riverview, described as Lot 3 on SP139403 occupies 6,551 square meters (Attachment 1). The property is improved with an onsite community use building. The purpose of the land is for ‘Community, Recreational and Neighbourhood Centre’.

In accordance with Council’s Community Centre Operating Model Policy (Attachment 2), on 2 March 2019, Ipswich City Council (‘Council’) opened a Request for Expression of Interest (REOI) for the tenure and management of the Riverview Community Centre (‘the Centre’). The intention of the REOI was to establish a partnership with a community organisation whose services aligned with the strategic intent of Council to facilitate the provision of quality social and community outcomes.

Applications to the REOI closed on 2 April 2019 and attracted a total of three (3) expressions of interest. Each response was evaluated by a Panel of Council representatives and the successful respondent was identified as Ipswich YUPI Program Inc. (Attachment 3).

The Ipswich YUPI Program Inc. partnership model includes the following community services:

- Parenting and early childhood support

- Student and youth support

- Community welcoming and Integration

- Physical health and wellbeing through sports and other activities

- Jobseekers services and vocational training

- Positive mental health support

- Adult and community education

- Disability support services

- Senior citizens and aged care community support

- Community technology hub

- Other community needs

The Arts, Social Development and Community Engagement Department offered the following tenure terms to the successful applicant:

NEW LEASE TERMS:
Term:	Three (3) years
Option:	1 x 3 Years
Commencement Date:	1 August 2019
Expiry Date:	31 July 2022
Rent:	$1 per annum (excluding GST), if demanded
Use of Land:	Community, Recreational and Neighbourhood Centre

Financial/RESOURCE IMPLICATIONS

Council will continue its responsibility for structural repairs and other repairs to the building included in the maintenance schedule of the Lease, as well as the lawn mowing of the grounds.

RISK MANAGEMENT IMPLICATIONS

Known risks associated with management of the community centre will be addressed through the terms of the Lease.

Legal/Policy Basis

This report and its recommendations are consistent with the following legislative provisions:

Land Act 1994

Local Government Act 2009

Local Government Regulation 2012

COMMUNITY and OTHER CONSULTATION

Council approached organisations through a Request for Expression of Interest process to establish a partnership that will facilitate the provision of quality social and community outcomes through the tenure and management of the Riverview Community Centre.

To encourage applicants from the local industry and market, Council advertised the REOI in both the Queensland Times and Courier Mail newspapers and online at LGTenderbox.

The contents of this report do not require any community consultation.

Conclusion

In accordance with Council’s Community Centre Operating Model Policy (adopted on 27 February 2018), it is recommended that a Lease be entered into with Ipswich YUPI Program Inc. as the successful applicant in the Riverview Community Centre REOI partnership opportunity.

Attachments and Confidential Background Papers

1.	Survey Plan of Lot 3 on SP139403 ⇩
2.	Community Centre Operating Model Policy ⇩
3.	REOI Executed Evaluation Report ⇩

Brett McGrath

Senior Property Officer

I concur with the recommendations contained in this report.

Caroline McMahon

Chief Operating Officer (Arts, Social Development and Community Engagement)

I concur with the recommendations contained in this report.

Andrew Knight

Chief Operating Officer (Finance and Corporate Services)

“Together, we proudly enhance the quality of life for our community”

Governance Committee

Meeting Agenda

14 May

2019

Doc ID No: A5471055

16 April 2019

COMMITTEE: GOVERNANCE COMMITTEE

AUTHOR: Senior Property Officer

SUBJECT: Proposed New Trustee Lease Over Reserve for Recreation Purposes Australian Crawl (Goodna) Pty Ltd 19a Toongarra Road Leichhardt

Introduction

This is a report by the Senior Property Officer concerning the proposed Trustee Lease between Ipswich City Council as Trustee and Australian Crawl (Goodna) Pty Ltd for the whole of the land described as Lot 39 on Crown Plan 902321.

RELATED PARTIES

The parties related to this matter include;

· Works, Parks and Recreation Department (Internal)

· Legal Services (Internal)

· Justin Lemberg - Australian Crawl (Goodna) Pty Ltd (External)

· Bradley Monin – Senior Land Officer – Department Natural Resources, Mines and Energy (External)

Advance Ipswich Theme Linkage

Caring for the community

Purpose of Report/Background

The Georgie Conway Leichhardt Swim Centre is a public pool located at 19a Toongarra Road, Leichhardt and described as Lot 39 on Crown Plan 902321, which is a State Reserve for Recreation Purposes (trust land). The property is improved with a 25 metre in ground pool, wading pool, change rooms and an entrance/office building and caretaker residence and the facility is operated for public use. Australian Crawl were successful in the tender process coordinated by Works, Park and Recreation for the management rights and lease of the swim centre. On 1 April 2018, Council (as Trustee) and Australian Crawl (Goodna) Pty Ltd (ACG) entered into a Swimming Pool Maintenance Agreement for a ten (10) year term until 31 March 2028.

Following an internal review it has been noted that the Swimming Pool Maintenance Agreement is the incorrect agreement for tenure over State Reserve under section 57 of the Land Act 1994. The legislation requires that Council as Trustee, only enter into a Trustee Permit for short term agreements (less than 3 years) or a Trustee Lease for longer term agreements for tenure over State Reserve. It is recommended that Council terminate the existing Swimming Pool Maintenance Agreement and enter into a Trustee Lease to ensure that Council complies with its obligations as a Trustee under the Land Act 1994.

To remedy this, it is proposed that Council enter into a new Trustee Lease with ACG for a nine (9) year term until 31 March 2028 over the whole of the trust land and under the same terms and conditions of the existing agreement. The Trustee Lease will replace the existing Swimming Pool Maintenance Agreement, there will be no increase to the length of the term and no change to the rent charged. Property Services have consulted with ACG regarding the requirements for the new Trustee Lease and ACG understand the reasons for and agree to the termination of the existing agreement and entering into the Trustee Lease.

As part of the successful tender submission, ACG proposed to construct a new pool within the swim centre subject to development approval. ACG has submitted a development application with Council to build the new swimming pool and they have been issued with an Action Notice requiring land owner consent for the improvements before final approval is provided. The State is the owner of the land and will only provide land owner consent to the development application provided that the applicant has a legal interest in the property. The Swimming Pool Maintenance Agreement is the incorrect tenure for the property and once the new Trustee Lease is executed and registered on the reserve title, ACG will have a legal interest in the property and can then apply for land owner consent.

The caretaker’s residence located on the property can be occupied by the manager or an employee of the swim centre under the Land Act 1994. Under the Act it cannot be leased on an individual tenancy agreement and can only be used in association with the operation of the swimming pool complex. The caretaker’s residence has been previously leased on an individual tenancy for approximately seven years and the tenant has now vacated the premises. ACG have expressed an interest to Council to now use the caretaker’s residence for an employee to occupy and oversee the facility. Works, Parks and Recreation have agreed to allow the ACG to occupy the caretaker’s residence and this will be included in the new Trustee Lease agreement.

The Trustee Lease document must satisfy all requirements of the Land Act 1994 and the State’s Operation Policy - Secondary Use of Trust Land under the Land Act and the Mandatory Standard Terms Document 711932933, the Trustee Lease can then be registered in the Titles Registry.

RESOURCE IMPLICATIONS

Council will continue its responsibility for structural repairs and other repairs to the building, as per the maintenance schedule of the proposed trustee lease.

RISK MANAGEMENT IMPLICATIONS

The major risk is that Council is not complying with their obligation as Trustee of the Reserve under the Land Act 1994. This includes providing the correct legal instrument for offering tenure over the Reserve. If Council terminates the existing Swimming Pool Maintenance Agreement and enters into a new Trustee Lease, it will remove the risk to Council.

LEGAL/POLICY BASIS

This report and its recommendations are consistent with the following legislative provisions:

Land Act 1994

Land Regulations 2009

Local Government Regulation 2012

Local Government Act 2009

COMMUNITY and OTHER CONSULTATION

The content of this report does not require any community consultation. ACG were the successful applicant in a public tender process to secure the occupancy of the facility.

Conclusion

It is recommended that Council enter into a Trustee Lease with Australian Crawl (Goodna) Pty Ltd over the whole of the land described as Lot 39 on Crown Plan 902321.

The Trustee Lease will reflect the obligations of Council as Trustee under the Land Act 1994 and will be consistent with the State’s Operational Policy – Secondary use of Trust Land and the Mandatory Standard Terms Document 711932933.

Attachments and Confidential Background Papers

1.	Map for 19a Toongarra Road Leichhardt ⇩
2.	Georgie Conway Leichhardt Community Swim Centre - Swimming Pool Management Agreement ⇩
3.	Mandatory Standard Terms document for Trustee Lease ⇩
4.	Development Application Action Notice ⇩
5.	Draft Development Application Plans ⇩

Recommendation

A. That Council terminate the Swimming Pool Maintenance Agreement with Australian Crawl (Goodna) Pty Ltd located at 19a Toongarra Road Leichhardt QLD described as Lot 39 on Crown Plan 902321.

Brett McGrath

Senior Property Officer

I concur with the recommendations contained in this report.

Andrew Knight

Chief Operating Officer (Finance and Corporate Services)

“Together, we proudly enhance the quality of life for our community”

Governance Committee

Meeting Agenda

14 May

2019

Doc ID No: A5479151

ITEM: 7

SUBJECT: Customer Service Status Report - March 2019

AUTHOR: Strategic Client Office Manager

DATE: 23 April 2019

Executive Summary

This is a report concerning customer service related activities for the period 1 March to
31 March 2019.

Recommendation/s

That the report be received and the contents noted.

RELATED PARTIES

Peak Services provides contact centre management and advisory services to council to assist in the delivery of customer services. Peak Services is wholly owned by the Local Government Association of Queensland.

Advance Ipswich Theme Linkage

Listening, leading and financial management

Purpose of Report/Background

Customer service functions within council span a broad scope of activities, usually accompanied by reasonably high volumes of associated transactional processes. Council tracks and measures these transactions to ensure the associated processes continue to be delivered in an efficient and consistent manner. The purpose of this report is to provide an overview of these results with this particular report having a focus on the management of customer enquiries by telephone.

BUSINESS HOURS – CALL MANAGEMENT

Weekdays (between 8:00am and 4:30pm), customer calls are managed by council’s customer contact centre. Call volumes fluctuate monthly being by items such as rate notice issue dates, reminders and renewals, animal registrations, weather events, seasonal changes, public holidays, news and events. March 2019 call volumes were broadly in line with the similar periods in previous years, with an overall slightly decreasing volume trend. This trend is a result of multiple factors best summarised as call avoidance, channel shift and self-serve. This is achieved by increasing the number of requests being resolved without the need for further calls, improved process to remove low value reasons to call as well as
self-serve e-channels which allow a customer to help themselves at a time and via a channel convenient to them.

Grade of Service

Grade of service is a customer service industry measure defined as the percentage of calls answered within a specified time. Council has several related targets in place with a consistent record of meeting or exceeding these targets.

Out of Hours - Call MANAGEMENT

Weekdays (before 8:00am and after 4:30pm) and weekends (24 hours a day), public holidays and shut down periods (e.g. Christmas – New Year period), customers are supported by council’s ‘out of hours’ service provider (Peak Services). The goal of the after-hours arrangement is to provide a seamless service, with a grade of service that reasonably reflects that available during business hours.

As with business hours calls, various issues can influence the volumes received from month to month with weather events being a significant driver out of hours as well as the number of full weekends and public holidays that fall within each month. The grade of service for calls being answered out of hours is 70% within 30 seconds, with the target achieved on an ongoing basis.

Customer Satisfaction

An after-call survey was introduced in March 2019 during business hours to understand customer perceptions on the level of service provided by council’s customer contact centre. Customers are requested to rate the service received against three (3) questions:

1. How would you rate the knowledge of the officer you spoke to?

2. How would you rate the service you received?

3. Was the call centre officer able to satisfy your reason for calling?

The March 2019 survey results reflected high levels of satisfaction with council’s customer contact centre (overall rating identified 98% of respondents rating the service as good or excellent). The survey also allows the caller to provide a subjective comment about the level of service received with a majority of respondents commenting on the both efficiency and quality of the service provided.

Measure	Service Description	Target 1 %	Target 2 %	March Qtr. 2019 Result %
First point of contact resolution	% of customer enquiries resolved at the first point of contact, regardless of channel (phone, counter, email, internet, etc.)	75	80	82
Processing time for customer requests	% of requests completed within corporate standard timeframes (time to process a customer request from receipt of a CES CRM service request)	80	95	100
Processing - incoming mail	% of relevant daily incoming mail scanned, registered and tasked within the first business day of receipt	80	98	99
Processing - incoming emails	% of incoming emails registered and tasked, responded to, or identified as junk by midnight of the first business day of receipt	80	98	100

Target not met

Target 1 met

Target 2 met

Financial/RESOURCE IMPLICATIONS

There are no financial or resource implications.

RISK MANAGEMENT IMPLICATIONS

There are no risk management implications associated with this report.

Legal/Policy Basis

This report and its recommendations are consistent with the following legislative provisions:

Local Government Act 2009

Local Government Regulation 2012

COMMUNITY and OTHER CONSULTATION

The contents of this report did not require any community consultation.

Conclusion

The Strategic Client Office continues to deliver a range of customer services at consistent standard of service and the majority of stretch targets are being achieved during the month.

Greg Thomas

Strategic Client Office Manager

I concur with the recommendations contained in this report.

Andrew Knight

Chief Operating Officer (Finance and Corporate Services)

“Together, we proudly enhance the quality of life for our community”

Governance Committee

Meeting Agenda

14 May

2019

Doc ID No: A5466685

15 April 2019

COMMITTEE: GOVERNANCE COMMITTEE

AUTHOR: Interim Information and Communications Management and Support Manager

SUBJECT: Tender consideration plan Pathway software licensing, maintenance and support

Introduction

This is a report concerning the Tender Consideration Plan for Pathway Software Licensing, Maintenance and Support Agreement.

RELATED PARTIES

Infor Global Solutions (ANZ) Pty Ltd (ABN 23 003 538 314)

Advance Ipswich Theme Linkage

Listening, leading and financial management

Purpose of Report/Background

Over time, Ipswich City Council (Council, ICC) has made significant investment into Information and Communications Technology (ICT) platforms and solutions to enable successful business operations, supporting all aspects of services from strategic planning through to daily operations.

In 2001, Council provisioned Pathway, a core business solution to underpin a significant range of land and citizen administration functions and is well leveraged by multiple functions and Branches across Council. This solution is still currently widely utilised by Local Government to perform these critical administrative functions.

Ongoing provision of this platform aligns with Council’s ICT goals to leverage, extend and maintain in-place systems and tools to maximise ICT investment into current technologies, as well as to provide fit for purpose applications and platforms to enable the business to efficiently and effectively provide services to the Ipswich (and wider) community.

In recent months, following broad consultation with executives, managers and staff, in consultation with the Interim Administrator and Interim Management Committee, Council has undertaken a significant Business Transformation Program, with a number of Transformational Projects (TP’s) addressing key themes to improve Council’s strategy and operations through the provision of services to the City of Ipswich. TP#17 ICT Strategy is intended to provide an overarching strategic direction for ICT at Council, including a roadmap for critical ICT systems.

As a result of progress to date, TP#17 has surfaced questions on ICC’s future leverage of existing solutions, including Pathway. Until the recommendations and outcomes of TP#17 are resolved, no clear decision or long term commitment can be made on the remaining lifecycle of the existing solutions. Additionally, no fundamental changes can be implemented to the current solutions until the new ICT Strategy is resolved.

In light of this, to continue leveraging the existing licensing, maintenance and support agreement with Pathway, Council need to extend the term of the current agreement. To achieve this, the attached memo details the Tender Consideration Plan for the Pathway software and has been prepared in accordance with section 230(1) (b) of the Local Government Regulation 2012.

RESOURCE IMPLICATIONS

There are no resourcing or budgeting implications. The operational costs associated with adoption of this recommendation is $351,000 for the period up to 30/06/2020. Additional annual extensions will incur a 6% increase, year on year and is an existing item within the ICT operational budget.

The outcomes and recommendations of TP#17 will determine the ongoing requirement for the existing licensing, maintenance and support agreement.

RISK MANAGEMENT IMPLICATIONS

A risk analysis has been undertaken in relation to this report, with potential risks assessed identified between Moderate and Low. Refer Attachment 1, for identified risks and associated mitigation strategies.

Legal/Policy Basis

This report and its recommendations are consistent with the following legislative provisions:

Local Government Regulation 2012, Section 230(1) (a) and (b).

COMMUNITY and OTHER CONSULTATION

The contents of this report did not require any community consultation.

Conclusion

Business Transformation Project, TP#17 ICT Strategy is surfacing questions on Council’s future leverage of existing core platforms including Oracle and Pathway. Until this strategy position is resolved, no clear or long term commitment to existing core platforms can be made. In light of this uncertainty and to enable Council to continue to leverage Pathway, the current land and citizen administration core business solution, it is recommended that Council renew the current arrangement with Infor Global Solutions (ANZ) Pty Ltd on an annually renewable basis.

Attachments and Confidential Background Papers

1.	08-09-213 Pathway Software Licensing, Maintenance and Support Tender Consideration Plan ⇩

RECOMMENDATION

That the Interim Administrator of Ipswich City Council resolve:

Tony Welsh

Interim Information and Communications Management and Support Manager

I concur with the recommendations contained in this report.

Andrew Knight

Chief Operating Officer (Finance and Corporate Services)

“Together, we proudly enhance the quality of life for our community”

Governance Committee

Meeting Agenda

14 May

2019

Item 8 / Attachment 1.

23 April 2019

MEMORANDUM

TO: CHIEF OPERATING OFFICER (FINANCE AND CORPORATE SERVICES)

FROM: INTERIM INFORMATION AND COMMUNICATIONS TECHNOLOGY (ICT) MANAGER

RE: QUOTE OR TENDER CONSIDERATION PLAN: Pathway SOFTWARE AGREEMENT

A. The renewal of the licensing, maintenance and support agreement for Pathway software presents a procurement situation where it is not feasible to obtain three (3) independent written quotes or to call for tenders for the renewal, as required under the Ipswich City Council Procurement Framework.

B. For such situations, the Local Government Regulation 2012 Section 230 allows a local government to enter into medium and large contractual agreements, without first inviting written quotes or tenders, through the preparation and adoption of a Tender Consideration Plan.

C. This Tender Consideration Plan provides the information required to comply with the regulation and to justify the use of the plan as an effective and appropriate alternative to seeking quotes or to calling for open tenders, in particular for circumstances where the incumbent supplier and service is required to be renewed.

E. BACKGROUND

F. Licensing, maintenance and support agreements for ICT assets and solutions, particularly software, often present the following:

· Software solutions are often commissioned for a number of years following initial investment and implementation. The lifecycle of a core business solution is often excess of five (5) or even ten (10) years. To ensure investment is maximised, ongoing maintenance and support are required to ensure the functionality, security and stability of the software is maintained throughout the lifecycle.

· Software solutions enable Council staff to provide services to the community and, as such, solutions are embedded into daily operations. To replace a core business solution, there is a high level of organisational change involved, in addition to technical changes. An ICT sourcing and implementation project can often incur significantly more cost and introduce more organisational risk than that of a suitable maintenance arrangement.

· Software solutions that underpin many other solutions can easily become redundant and unsupported if not part of a strategic partnership with the relevant industry.

· It is often difficult to provide a realistic alternative or comparative provider and therefore clear choice against multiple solutions.

· Generally partnering with a long standing and well established industry specialist vendor, the risks to having a redundant solution is decreased.

· Often the proposition is not driven by price but rather by the identifiable quality of the solution and vendor, its fit within the organisation and industry with known support characteristics and a well-defined product road map.

G. Where an existing solution is considered fit for purpose, Council should continue to leverage, extend, renew and maintain the in-place software solutions to maximise the ICT investment. This presents a decreased risk posture and ensures the continued support and stability of an existing service without compromising the ability to meet future demands and requirements through the provision of software solutions.

I. PATHWAY SOFTWARE

J. Pathway is a core business solution that underpins a significant range of land and citizen administration functions and is well leveraged by multiple functions and Branches across Council.

K. Key functions and considerations of the Suite of software include:

· Customer Service and People Management

o Central name/Address register

o Customer request management

o Bookings management

o Registers

· Property Management

o Property administration (land and property information)

o Animal registration

· Revenue Management

o Rates accounting

o Valuations and mass appraisals

o Accounts receivable

o Income/receipting

o Refunds

o General ledger interface

· Regulatory Management

o Applications

o Licensing

o Compliance and enforcement

o Inspections

M. In conjunction with the current operating platforms and solutions, the development of the Business Transformation Program, Transformation Project #17 ICT Strategy (TP#17) is surfacing questions on ICC’s future leverage of existing core platforms including Oracle and Pathway. Until this strategy position is resolved (anticipated end of July 2019) no clear or long term commitment to Pathway can be made. In light of this uncertainty it is recommended that ICC renews the current arrangement with Infor on a 12 month renewable basis.

This Tender Consideration Plan presents the procurement objectives and recommendations to provide continued maintenance and support for Pathways, and seeks approval to continue an existing agreement under the current agreement conditions.

1. The objectives of the plan

N. Scope

O. This plan has been prepared to support the procurement considerations and requirements to extend the agreement for licensing, maintenance and support of Pathway, in order to continue to leverage existing software.

P. Plan objective

Q. This quote or tender consideration plan is intended to fulfil the following objectives:

1. Continue to deliver core ICT services and systems to enable Council operations and customer needs and support decision making/ planning

2. Document Council’s decision not to seek quotes or tender for the provision of software maintenance and support to the current Pathway solution

3. Establish/ renew an agreed maintenance and support arrangement

R. While this plan provides an exemption for Council Officers sourcing tenders for the maintenance and support of Pathway, all other areas of the process will proceed in accordance with the Ipswich City Council Procurement Framework.

2. How the objectives will be achieved

T. Council’s objective is to continue to deliver core business ICT services and systems for its operations and to demonstrate that value for money has been achieved in providing the solution.

U. The business objectives for Council in delivering core services and systems is dependent on the outcome of TP#17 ICT Strategy. Until this TP is complete and the outcomes and actions undertaken as a result of the recommendations of the ICT Strategy, in order to continue provision of essential and critical services to the City of Ipswich, Council will be required to maintain provision of existing core software solutions, including Pathway.

3. How the objectives will be measured

W. Indicators for measuring the delivery of outcomes and success of use of this tender consideration plan include:

1. The provision of ongoing maintenance and support to ICC’s core operational software, ensuring reduced risk of security exposure and interruption to daily business operations.

4. Any alternative ways of achieving the objectives and why the alternative ways were not adopted

Y. In the current circumstance there are no known efficient or effective methods of achieving the objectives, outside of this contracting plan. The following options were investigated:

1. Alternative methods of engagement via Local or State Government Agreements under Section 234 or 230(f) of the Local Government Regulation 2012 were not selected as there were no suitable arrangements available for leverage for this solution.

2. Request for Tender was not selected as seeking tenders at this time is not considered in the best interest of Council due to:

a. outcomes of TP#17 are likely to have a broader impact on all ongoing core systems and solutions to support Council operations, now and into the future;

b. at this time, the current Pathway solution is fit for purpose; and

c. undertaking a Tender process for a replacement solution will take considerable time and effort in planning through to implementation and operations, which represents a high risk to Council’s current operations and service delivery. Based on the recommendations of TP#17, where it is determined that Council will improve value and risk through a new solution or delivery method, appropriate planning and resources will be required to achieve successful outcomes

5. The proposed terms of the contract for the goods or services

AA. Two (2) potential options are considered in establishing the proposed terms for the agreement:

1. Renewal of the current term where-by Council renew the licensing, maintenance and support agreement annually, incurring a 6% year on year increase.

2. Three (3) year locked commitment for licensing, maintenance and support remitted on an annual basis, incurring a 3% year on year increase for the period 1/07/2019 to 30/06/2022.

BB. Costs associated with the options above are as follows, noting the comparison of costs over three (3) years to account for Option 2 above:

CC. Period	DD. Option 1	EE. Option 2
FF. 1/07/2019 – 30/06/2020	GG. $ 351,271.32	HH. $ 351,271.32
II. 1/07/2020 – 30/06/2021	JJ. $ 372,348.60	KK. $ 361,809.46
LL. 1/07/2021 – 30/06/2022	MM. $ 394,688.46	NN. $ 372,663.74
OO. Total	PP. $ 1,118,308.38	QQ. $ 1,085,744.52

RR. Note: all costs exclusive of GST.

SS. It is proposed that Option 1 provides the least risk option to Council as this Option provides flexibility to renew annually pending the recommendations and outcomes of TP#17 ICT Strategy. Option 2, while providing comparative savings of $32k over a three (3) year period, does not commit Council to an extended agreement term.

TT.

6. A risk analysis of the market from which the goods or services are to be obtained

The following general risks and mitigation strategies have been identified in relation to continuation of the annual maintenance and support agreement for Pathways.

Financial Risk		Risk Level
Likelihood	Possible	Moderate
Consequence	Major
Comment	Ongoing support is required for the life of the solution. Solution replacement has a significant financial and organisational impact that requires careful planning and execution.
Mitigation	Resolution of the Tender Consideration Plan with due consideration to the current position of Council in relation to in-flight Business Transformation Program and significant operational risks of non-renewal of maintenance and support agreement.

Legal/ Governance Risk		Risk Level
Likelihood	Possible	Moderate
Consequence	Moderate
Comment	The existing agreement has been in place since 2001, with an annual spend exceeding $200k.
Mitigation	Resolution of the Tender Consideration Plan with due consideration to the current position of Council in relation to in-flight Business Transformation Program and significant operational risks of non-renewal of maintenance and support agreement.

Political/ Reputation Risk		Risk Level
Likelihood	Unlikely	Low
Consequence	Moderate
Comment	Potential reputational risk exists in the instance of system outage as a result of un-maintained software or reduced access to vendor technical support.
Mitigation	Renewal of maintenance and support agreement

Environmental/ Public Health Risk		Risk Level
Likelihood	N/A	N/A
Consequence	N/A
Comment	There is no Environmental or Public Health Risk.
Mitigation

Workplace Health & Safety Risk		Risk Level
Likelihood	N/A	NA
Consequence	N/A
Comment	There is no WH&S Risk.
Mitigation

Service Delivery/ Business Continuity Risk		Risk Level
Likelihood	Unlikely	Moderate
Consequence	Major
Comment	There is a potential delivery/ business continuity risk in relation to this software if licensing and support are not maintained.
Mitigation	Renewal of maintenance and support agreement

Cyber Security, Security & Confidentiality Risk		Risk Level
Likelihood	Unlikely	Low
Consequence	Minimal
Comment	There is no perceived Cyber Security, Security or Confidentiality Risk.
Mitigation

Governance Committee

Meeting Agenda

14 May

2019

Doc ID No: A5473365

17 April 2019

COMMITTEE: Finance Manager

AUTHOR: Treasury Acounting Manager

SUBJECT: Proposed 2019-2020 Fees and Charges

Introduction

This is a report concerning the annual review of Council’s fees and charges and the recommended pricing to be applied for the financial year commencing 1 July 2019.

RELATED PARTIES

The Fees and Charges apply to all Council Functions, with the exclusion of Controlled Entities.

Advance Ipswich Theme Linkage

Listening, leading and financial management

Purpose of Report/Background

A review of all fees and charges is undertaken annually as part of the budget development process. The annual review is coordinated by the Finance Branch, with the Council Departments that administer the respective services providing recommendations for consideration by Council regarding any proposed changes.

The proposed Fees and Charges for 2019‑2020 are listed in Attachment 1. A comparison of the current Fees and Charges for 2018‑2019 and the proposed Fees and Charges for 2019‑2020, including details of new or deleted fees and charges, are listed in Attachment 2.

In reviewing fees and charges, the Departments consider increases in the underlying costs of service delivery, consistency of the fees with Council policy and objectives, financial impact analysis and benchmarking of charges. Departments are also requested to conduct consultation with internal and external stakeholders, where appropriate.

Local Governments are permitted under section 97 of the Local Government Act 2009 (the LGA) to set cost-recovery fees for services such as:

• licences, permits, registration or approvals;

• change of ownership of land;

• giving of information kept under a Local Government Act;

• seizing property or animals under a Local Government Act; and

• performance of certain responsibilities under the Building Act or the Plumbing and Drainage Act.

The LGA requires that the cost-recovery fees for such services be no more than the cost to the local government of taking the action for which the fee is charged.

In addition to cost-recovery fees, there are a small number of fees which are set by, or based on a pricing approach set by regulation. Such fees will typically relate to Planning and Development matters, or regulated services such as Right to Information fees.

Council also offers a range of “commercial” fees and charges for other services that are provided by Council, encompassing the provision of goods and services such as venue hire, plant sales from the nursery, and selected waste services.

The proposed register is intended to capture all fees and charges, with the exception of property rates, penalties and levies.

The fees and charges administered by the Health, Security and Regulatory Services Department (HSRS) and Extractive Industry Permit fees were subject to a detailed review and tabled for consideration at the April meeting of the City Management, Finance and Community Engagement Committee, and subsequently adopted at the Council meeting of 16 April 2018. Earlier consideration of these fees is required to enable invoices for annually permitted services to be issued with sufficient advance notice to allow customers to make payment by 1 July of the coming financial year. This report does not seek to amend any of these fees and charges and they are included in the attachments only for completeness.

Following their adoption, the Fees and Charges for 2019-2020 may be subsequently amended at any time by a resolution of Council.

PROPOSED FEES AND CHARGES 2019-2020:

Departments have reviewed the suite of services and associated prices, and proposed adjustments to fees and charges where considered appropriate. Where applicable, a standardised increase of 3% has been applied to Council fees, reflecting the escalation in underlying costs in service delivery.

Planning and Development Department

The applicable Fees and Charges across the Planning and Development Department have been subject to benchmarking reviews, and adjusted in line with market rates and underlying delivery costs.

Building Certification

For consistency the Building classes has been amended to read as Class 1A and Class 1B; and Class 2 to 9.

Class 1A and Class 1B building certification floor area assessment fees are required to be priced in line with market prices in compliance with the competitive code of conduct. The benchmarking exercises undertaken have indicated an apparent shift in market rates, and as such these fees have been subject to increases in line with competitor pricing. (Attachment 2 – page 23)

The same applies to Class 2 to 9 Buildings and as a result, assessment fees for Fitting Out a Shop have been amended. (Attachment 2 – page 28)

For Class 2 to 9 Buildings New Building Work building floor area between 151m2 and 300m2 has been consolidated with floor area up to 300m2, therefore increasing the fee from $980 and $1,200 to a flat rate of $1,200. (Attachment 2 – page 29)

Building

Building fees in general have been subject to small increases for 2019‑2020, reflecting modest underlying cost increases and industry benchmarks.

The major change to the Building fees is the consolidation of the Amenity and Aesthetics fees. (Attachment 2 – page 39) The individual fees previously itemised Shipping Containers, Class 10 buildings exceeding more than one storey and Steel ‘kit’ garages are proposed to be discontinued, and replaced with a re-categorised fee “Referral Agency applications for Schedule 9 Division 2 of the Planning Regulation 2017” which encompasses all of these services.

Plumbing and Drainage Fees

Where applicable, plumbing and drainage service fees have been subject to a small annual escalation in line with increases to Council’s cost of delivery (Attachment 2 – pages 37 to 44). Benchmarking of Plumbing fees has been conducted where there are comparative fees.

From 1 July 2019, the Plumbing and Drainage Act 2018 will come into force, allowing for ‘fast track’ plumbing applications to be introduced. The fees have been amended to include this assessment option. Additionally, a Compliance Permit to the Extension of Time will also be introduced as part of the new Act. (Attachment 2 – page 44)

Greywater Facilities Application fees are proposed to be discontinued, as the charges are infrequent and are generally captured as part of or associated with on-site systems. As such, these fees have now been absorbed under section 3.7.

Development Planning Application Fees

Development Planning fees were heavily benchmarked against other South-East Queensland Councils. As a whole, Development Planning fees were found to be consistent with other Councils.

Type 1 to 3 Material Change of Use development types have been further itemised to include Major Utility, Car-Park multi storey and Recreation/Entertainment (Outdoor). (Attachment 2 – page 47)

Fees for the Demolition/Removal/Relocation of a Heritage Place has been differentiated between Code Assessment and Impact Assessment, reflecting the effort and cost in delivering the respective services. (Attachment 2 – page 47)

New fees are proposed for reconfiguring lots to allow for Boundary Realignment and Access Easements to differentiate these services from the creation of multiple lots. (Attachment 2 – page 58)

The Fees related to a Request for Council approval in respect of land in a Community Titles Scheme are proposed to increase above the standard rate from $820 to $1,200, reflecting the review of the costs of delivery and comparable benchmarks. (Attachment 2 – page 47) The services encompassed by the ‘Community Titles Scheme’ fees includes amalgamating lots, conversion of lots into common property, lease of part of the lot of any improvements of a lot, transfer or lease part of the common property and extinguishment of a community titles scheme.

Planning and Development Property Search and Certificate fees have been consolidated with the removal of urgent (business day based) services. This change will reflect standard practice in other Local Governments, where a flat fee is charged, irrespective of the urgency of the request. (Attachment 2 – page 67 to 69)

The fee for Planning Scheme Property Information Reports (Attachment 2 – page 72) is proposed to be discontinued. Council has sought to offer this form of service to the public by alternative means free of charge, for example by a written request, pre-lodgement meeting or through the phone enquiry service. As such, there has been a limited number of fees charged in the past few years.

In undertaking benchmarking reviews, it was identified that a number of SEQ Council’s currently provide a service to their customer’s involving a peer review of pre-assessment of technical/ specialist reports (e.g. economic impact assessment, flood/ hydraulic/ stormwater study, traffic study, acoustic study or geotechnical study) prior to the lodgement of a development application. (Attachment 2 – pages 71-72) The Department proposes to commence this service with the expectation that it will result in higher quality applications, requiring less effort and processing time to assess.

The related fees are designed as a two-tier service for either a simple or complex report.

Where an applicant chooses to utilise this service, any future application is to be credited the fee paid for the technical/ specialist report from the development application once lodged.

Engineering and Environment Fees

Engineering and Environment fees have been escalated by the standard 3% council increase whilst taking into account benchmarking where possible.

For the 2019-2020, the Clearing of Vegetation not associated with a Material Change of Use has been moved up to section 4 as these fees relate to development rather than engineering. (Attachment 2 – page 58)

Engineering officers have conducted post-assessment reviews for Technical and Specialist reports, however fees have not historically been charged for this service. The 2019-2020 fees propose the introduction of charges for Simple and Complex reports. (Attachment 2 – page 97) These fees will also be consistent with the Pre-Assessment fees charged by Development Planning above.

Due to a recent change to Implementation Guideline 18 Estate Signage, External Estate Directional Signage are no longer applicable. (Attachment 2 – page 99)

Developer Contributions

Developer contribution fees have been subject to a small annual escalation in line with increases to Council’s cost of delivery. (Attachment 2 – pages 105 to 106)

Footpath and Kerb and Channel contributions have been escalated above the standard Council inflation, to be more in line with Council’s cost of delivery. (Attachment 2 – page 105)

Health, Security and Regulatory Services Department

Fees and charges relating to the Health, Security and Regulatory Services Department were previously adopted at the Council meeting of 16 April 2019 and are included in Attachments 1 and 2 only for completeness (Attachment 2 – pages 107 to 178).

Works, Parks and Recreation Department

Parks, Sporting Grounds and Facilities Hire

Existing hire fees and charges in place for the commercial use of parks, facilities such as the Briggs Road Function Room, and the use of sporting grounds and clubhouses have been increased by a small percentage in line with increases in Councils operating costs (Attachment 2 – pages 179 to 182).

A set of new annual fees are proposed for hire of facilities (including Hire of Briggs Road Function Room and Rosewood Showgrounds Cultural Centre) to make allowance for patrons who wish to use the facilities on more than four occasions per year.

Bonds for facility usage have been reviewed and are considered to be set at an appropriate level. As such, no escalations to bonds are proposed for 2019-20. Similarly, key deposits are proposed to remain unchanged at $45.

Camping Fees

Camping fees have not been increased, remaining at $12.00 for an unpowered site, and $15.00 for a powered site (Rosewood showgrounds only) for a further year. This pricing has been set in order for the Ipswich camping grounds to remain competitive within the region and to be classified as “RV Friendly” by the Caravan and Camping Association (Attachment 2 – page 182).

Field Lighting

Field lighting charges have been reviewed and streamlined with the removal of seasonal differentiation in charges. (Attachment 2 – pages 184 to 185).

Sale of Plants (nursery operations)

The charges for the wholesale and retail sale of plants have been subject to CPI escalation, in line with nursery standard pricing. (Attachment 2 – pages 188 to 189).

Regulated Parking

On-street parking meter charges were increased from 1 July 2018 by $0.20 per hour. This was the first increase in four years, bringing the standard hourly rates up to the cost outlined in Table 1:

Table 1: Regulated Parking Meter Charges 2018-2019

Time restriction	Fee (incl. GST)
½ Hour	$ 0.70
1 Hour	$ 1.40
2 Hour	$ 2.80
3 Hour	$ 4.20
4 Hour	$ 5.60
9 Hour	$ 7.00

It is proposed that regulated parking charges, including meter fees and closure of parking spaces, remain at the existing level for the 2019-20 financial year. (Attachment 2 – pages 189 to 190).

Recoverable Works

The list of services under recoverable works has been reviewed and streamlined, with the removal of a number of separately identified services related to driveway crossings, where such services are either no longer provided or available under another charge. (Attachment 2 – pages 191 to 192).

Waste Collection Services - Domestic

Charges for the disposal of tyres are proposed to increase by fifty cents per tyre, or one dollar per tyre where this is a truck tyre or includes the rim (Attachment 2 – page 194).

The general waste fee (gate fee) for domestic users at the Riverview Recycling and Refuse Centre and the Rosewood Recycling and Refuse Centre have not been increased and are proposed to remain at $12.00 (Attachment 2 – pages 194 to 196).

The fee for an extra domestic wheelie bin service is proposed to increase from $16 to $17 per year, in line with waste processing cost increases. (Attachment 2 – page 199).

Annual Green Waste Services available to residential tenants (rental properties) utilising 360 litre and 240 litre bins are proposed to remain at the flat fee of $75.00 per annum, consistent with the utility charges for owner-occupied properties (Attachment 2 – page 200). However, the six month prepaid option is to be discontinued as it has been found to be uneconomic where used on a seasonal basis during the summer season only. In place of the six month fee, the twelve month service will now be made transferable between addresses to accommodate shorter residential lease durations.

Extractive Industry Permits

Fees relating to Extractive Industry Permits were previously adopted at the Council meeting of 16 April 2019 and are included in Attachments A and B only for completeness (Attachment 2 – page 200).

Arts, Social Development and Community Engagement Department

Demographic / Mapping Services

The fee for demographic and related mapping services is proposed to be discontinued, as this is not a service provided by Council anymore. (Attachment 2 – page 201) There has been no demand for the service in recent years due to the availability of private sector specialists.

Home Assist

The user contribution for Home Assist services is proposed to increase slightly from $60.00 per hour to $60.50 per hour. (Attachment 2 – page 201)

The Home Assist rate has not been increased for several years. This increase helps to make our rate more consistent within the industry, but is only a small change, in recognition of the fact that many of our clients have limited financial resources.

Venue Hire and Associated Services

Venue Hire and Charges for the W. G. Hayden Humanities Building are not proposed to increase for 2019-20. Use of this facility is restricted to not for profit community organisations. (Attachment 2 – page 201 to 202)

The venue hire and service fees for the Ipswich Civic Centre and North Ipswich Reserve Corporate Centre have been subject to a review and where possible have been simplified and consolidated into standardised packages. For example, hire of individual items of stage and meeting equipment is proposed to be discontinued, and replaced with technical packages consisting of typically required mixes of equipment at a flat fee. The new product offerings and packages have been designed to accommodate client requirements with a simplified charging structure. The proposed new fee structure was noted by Council at its meeting of 19 March 2019, however the fees have not yet been approved. The proposed fees (as outlined in Attachment 2 – page 203 to 218) have been set in line with industry benchmarks, ensuring these remain competitively priced within the market.

Discounts for eligible Community Groups are applied consistently on a percentage basis across the now standardised fee structure.

Art Gallery

The Community Gallery hire fee is proposed to remain unchanged at $110.00 per week. (Attachment 2 – page 218 to 219). This fee has not been increased for a number of years so as to support community usage. Other art gallery products and services, such as exhibition entry fees, event tickets and merchandise, are set on a case by case basis by the gallery.

Library Services

The range of library services were reviewed in detail in 2016-17, with the objective of increasing community patronage. This strategy has proved effective and with no material increases in underlying costs at this time, it is proposed that the structure and rates for 2019-2020 be maintained in their current form. (Attachment 2 – pages 219 to 230) Fees are applied consistently applied across all Ipswich Libraries, including the Springfield Central Library.

Economic Development and Marketing

Tourism

Tourism fees related to the Ipswich Tourism Operators Network (ITON) and Ipswich Visitors Information Centre are proposed to remain unchanged to encourage industry engagement and participation. (Attachment 2 – page 231 to 232)

Marketing

Marketing services, such as supporting international delegations and the use of street banners for advertising, are not proposed to increase. Revenue from these services is limited, with ad-hoc demand (Attachment 2 – page 232).

Event Services

A small number of new fees have been proposed in relation to the Event Services offered or facilitated by Council.

Council organises and manages a number of seasonal and occasional events, with tickets sold to the public. Examples of events recently held include the Heritage Guided Tours, Animal Encounters at the Nature Centre and Nerima Gardens and Japanese Tea Ceremony Tours. Ticket pricing is determined on a market basis. Due to the potential variety and new event offerings, it is appropriate for the register to reflect that ticket and service prices to be determined on a by-event basis rather than fixed pricing. (Attachment 2 – page 233).

Event commissions, for events and services which Council has coordinated but are delivered by a third party, are set on the basis of a percentage of ticket sales. (Attachment 2 – page 234). The commission structure applied by Economic Development and Marketing Department reflects with industry rates.

General provisions for other visitor services, such as retail merchandise and café sales, printing and photocopying and other visitor services, have been included in the register on the basis of retail and existing pricing respectively (subject to availability). (Attachment 2 – page 233).

Fire Station 101

Fire Station 101, Council’s co-working space and technology incubator, offers a range of services include membership plans for technology start-ups, venue hire, mentoring and event facilitation. Fire Station 101 was transferred from Council’s controlled entity, Ipswich City Enterprises Pty Ltd, in August 2018. At this time, it is proposed that the range of member services and pricing be maintained at current rates. (Attachment 2 – page 234 to 237).

Infrastructure Services Department

The Infrastructure Services Department had listed within previous registers a range of fees relating to the provisions of Maps, Data and Plans. (Attachment 2 – page 248 to 249). The fees for mapping services were generally set at cost recovery level.

In 2017, Council introduced the Open Data Policy, under which Council has focussed on providing to the public to easily access a wide range of high quality electronic mapping services online free of charge. As a result, the demand for paid hardcopy prints and customised mapping services has effectively ceased.

As such, it is proposed that the register instead reflect the availability of online services free of charge. To accommodate potential demand for ad-hoc supported services (custom mapping and print services) where this is required by a member of the public, it is proposed that Council retain the option to provide services on a by quote basis, where the cost quoted is reflective of cost recovery.

Responsibility for coordination and provision of such services now rests with the Information Services section of Finance and Corporate Services.

As such, all existing fees under the Infrastructure Services Department heading are proposed to be discontinued, and two new fees included under Finance and Corporate Services. (Attachment 2 – page 245).

Finance and Corporate Services Department

Corporate Services

The fees which relate to Corporate Services primarily relate to the provision of corporate documentation, and print and copy charges. Council’s corporate documents, for example the Annual Report and Budget publication, are provided at no charge in hard or electronic copy.

A new item in the register is proposed to clearly convey that electronic copies of Council Meeting minutes are now available from Council’s website free of charge. (Attachment 2 – page 241).

Where print and copy services (facilitated by, or provided by Council staff) are requested by a customer in place of or in addition to electronic copies, a nominal charge is applied reflecting the cost of service provision. These costs are consistent across Council and have not increased sufficiently in the past twelve months to warrant escalation. (Attachment 2 – page 243 to 244).

Right to Information and Information Privacy

The Right to Information fees are set under regulation by the Queensland Department of Justice and Attorney-General on an annual basis. The charges to apply for the forthcoming financial year have yet to be advised by the State. As a result, the draft report reflects the current financial year charges, with an acknowledgement that these charges will be updated upon release of the regulatory charge closer to 1 July 2019. (Attachment 2 – page 243).

Financial Services

The fees for most financial services, including rates property searches and records inspections are not proposed to be increased for 2019-20. The change of ownership fee for the establishment of rates accounts is proposed to be reduced from $95 to $60. (Attachment 2 – page 240). This fee is based on cost recovery, with the price adjustment reflective of streamlined processing and systems efficiencies achieved over time.

Duplicate rates notices for the current year are to continue to be available at no charge in order to encourage timely payment of rates. Copies of rates notices from a prior year are to remain at $8 per statement. (Attachment 2 – page 240).

The Marketing Fees for Inserts into rate notices and Council Publications is proposed to change from a fixed rate per thousand, to by quote pricing. This service is infrequently requested, and a more flexible pricing structure will allow for Council to better accommodate customised and scaled services if needed. (Attachment 2 – page 244).

The American Express Credit Card transaction surcharge (Attachment 2 – page 241) was revised in March 2019, and will be reviewed on an ongoing basis as required.

GIS mapping products

Consistent with the approach proposed for streamlining the GIS mapping products previously under Infrastructure Services, the existing range of Finance and Corporate Services Department GIS services are to be consolidated into two charges, referencing the availability of free online self-service products, and a provision for customised services by quote where requested. (Attachment 2 – page 244 to 249).

RESOURCE IMPLICATIONS

Fees and Charges for 2019-2020, excluding developer contributions and recoverable works, are estimated to provide approximately $32.56 million in revenue.

The increase against the current financial year budget ($29.75 million) is reflective of relatively steady demand for services, the inclusion of a small number of new commercial services, and moderate price increases moving toward cost recovery where applicable.

RISK MANAGEMENT IMPLICATIONS

Under the provisions of the Local Government Act 2009 s98, Local Governments are required to maintain a register of fees and charges available for inspection by the public. As a part of the annual review, which is undertaken to compliment ad-hoc reviews, adjustments and rolling reviews of fees, a risk register is reviewed and updated by Departments.

In reviewing individual fees, Departments give consideration to the associated service delivery, pricing and other legislative requirements and risks associated with each.

Should the proposed fees to commence 1 July 2019 not be adopted, the majority of existing fees will continue to be applied without change, as no expiry date is specified.

Legal/Policy Basis

This report and its recommendations are consistent with the following legislative provisions:

Local Government Act 2009, and

Other legislation and regulatory provisions as outlined in the Register of Fees and Charges

COMMUNITY and OTHER CONSULTATION

Fees and Charges are reviewed and recommended by the respective managing departments. Where applicable, Departments will undertake internal and external stakeholder consultation on the scope, design and pricing of services.

Conclusion

With the annual review of all Council fees and charges now completed proposed services and pricing outlined in the attached draft register, this is submitted for Council approval, adoption and public release.

Attachments and Confidential Background Papers

1.	2019-2020 Register of Fees and Charges ⇩
2.	Fees and Charges Comparison Report 2018-2019 and draft 2019-2020 ⇩

Recommendation

That the Interim Administrator of Ipswich City Council resolve:

B. That the amendments to Fees and Charges for 2019-2020, as detailed in Attachment 2 to the report by the Treasury Accounting Manager, be received and noted.

Paul Mollenhauer

Treasury Acounting Manager

I concur with the recommendations contained in this report.

Jeffrey Keech

Finance Manager

I concur with the recommendations contained in this report.

Andrew Knight

Chief Operating Officer (Finance and Corporate Services)

“Together, we proudly enhance the quality of life for our community”

Governance Committee

Meeting Agenda

14 May

2019

Item 9 / Attachment 1.

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Governance Committee

Meeting Agenda

14 May

2019

Item 9 / Attachment 2.

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Governance Committee

Meeting Agenda

14 May

2019

Doc ID No: A5450694

5 April 2019

COMMITTEE: GOVERNANCE COMMITTEE

AUTHOR: Recoveries Manager

SUBJECT: overdue rates and charges january to march 2019 quarter

Introduction

This is a report by the Recoveries Manager dated 5 April 2019 concerning rate arrears and rate collection statistics for the period January-March 2019.

RELATED PARTIES

There are no related party issues concerning this report.

Purpose of Report/Background

Overdue Rates & Charges:

Following the completion of the January-March 2019 rating period, the balance of overdue rates and charges was $5,908,518 or 2.59% of the total rates. This represents an increase in outstanding balances of $218,496 or 0.07% from the previous quarter.

	Yearly Levies	Arrears $ End of quarter	Arrears%	Total Assessments	Assessments in Arrears End of quarter	% in Arrears
June 2015	$175,942,886	$2,764,243	1.57	72,515	4,949	6.82
June 2016	$189,635,715	$3,034,312	1.60	75,207	5,090	6.77
June 2017	$205,419,598	$3,680,474	1.79	78,689	6,067	7.71
June 2018	$218,794,862	$4,929,782	2.25	82,232	6,089	7.40
Sept 2018	$222,098,438	$4,853,110	2.19	82,961	6,333	7.63
Dec 2018	$225,808,112	$5,690,022	2.52	83,416	6,802	8.15
Mar 2019	$228,341,889	$5,908,518	2.59	84,033	6,294	7.49

The current rates arrears exceeding target are impacted by two trends:

1. Four properties have substantial arrears and are in dispute with Council or the properties have been acquired by the Commonwealth as part of court action not related to Council. The rates arrears associated with these four properties represented 0.22% of the total yearly levies three years ago, however these four accounts now account for 40% of the total rate arrears (or 0.98% of the total yearly levies).

2. Since mid-2017 due in the most part to the four subject properties transitioning from a regularly paid to an unpaid status, the percentage of accounts in arrears has deteriorated. If the four properties were removed from the rate arrears calculation, Council’s performance for the quarter would be 1.61% (leading practice for local government recoveries).

Background to four properties with substantial arrears:

· Two of the properties have recently had ownership transferred to the Commonwealth under Proceeds of Crime legislation and were sold at auction on 15 March 2019 with 90 day settlement terms. As part of settlement, it is anticipated that outstanding rates will be paid in full before the end of June 2019.

· The two other properties are the subject of a dispute between Council and the owners regarding the rates categories levied. Progress in resolving these disputes is expected to be made over the next 12 months.

Reminder Letters:

Quarter	Reminder Letters Issued	$ Arrears	Second Letter Issued	$ Arrears
April - June 2015	8,634	$5,117,628	3,888	$2,320,978
April - June 2016	9,776	$5,767,789	4,247	$2,375,731
April-June 2017	11,102	$6,214,851	4,950	$3,023,858
April-June 2018	10,264	$6,566,455	5,561	$4,505,858
July-September 2018	12,022	$7,703,705	5,008	$3,568,896
October-December 2018	11,559	$7,492,422	4,919	$3,293,516
January-March 2019	11,184	$7,633,245	4,882	$3,451,631

Legal Actions undertaken to recover Rates:

The following actions were commenced, or finalised on behalf of Council during the January-March quarter 2019:

Action	Number	Value
New Claims Filed	35	$117,577
Filed Claims Paid in full prior to Judgement	7	$26,999
Defences Lodged	0	0
Defences Resolved	0	0
Defences under Legal Services Control	4	$45,383
Judgments Granted	13	$33,928
Sale of Land Resolutions	0	0
Rates paid prior to Auction during the quarter	3	$27,394
Properties Auctioned	0	0
Properties Sold at Auction	0	0
Properties purchased by Council at Auction	0	0

Legal/Policy Basis

This report and its recommendations are consistent with the following legislative provisions:

Local Government Regulation 2012

Conclusion

The target arrears percentage rate of 2.00% was exceeded by 0.59%, due largely to the impact of four properties with substantial rates arrears mentioned above.

Planned Actions

· Continue to apply collection strategies to non-owner occupied properties i.e. companies, trusts, vacant land, investment properties.

· Continue to apply collection strategies to habitual defaulters.

· Continued close maintenance of payment plans and escalation of breaches.

· Continued drive to liaise with banks and finance providers for payments in full.

Attachments and Confidential Background Papers

	CONFIDENTIAL
1.	Rates Arrears with balances exceeding $20k

Recommendation

That the report be received and the contents noted.

Glen Wilson

Recoveries Manager

I concur with the recommendations contained in this report.

Greg Thomas

Strategic Client Office Manager

I concur with the recommendations contained in this report.

Andrew Knight

Chief Operating Officer (Finance and Corporate Services)

“Together, we proudly enhance the quality of life for our community”

Governance Committee

Meeting Agenda

14 May

2019

Doc ID No: A5499442

ITEM: 12

SUBJECT: Budget Amendment - March 2019

AUTHOR: Finance Manager

DATE: 3 May 2019

Executive Summary

This is a report by the Finance Manager dated 3 May 2019 concerning amendment of the 2018‑2019 budget, submitted in accordance with Section 170(3) of the Local Government Regulation 2012.

Recommendation/s

That the proposed amended 2018‑2019 Budget and Long Term Financial Forecast, as detailed in Attachments 1, 2 and 3 to the report by the Finance Manager dated 3 May 2019, be adopted.

RELATED PARTIES

There are no related party matters associated with this report.

Advance Ipswich Theme Linkage

Strengthening our local economy and building prosperity

Purpose of Report/Background

Council’s forecast 2018-2019 Net Result (Surplus), which includes capital revenue (donated assets and capital grants), is $118 million, an increase of $3.4 million compared to Council’s most recent adopted budget. The revised budgeted operating surplus excluding capital revenue is $18.5 million including approximately $8 million in dividends and distributions from council’s controlled entities as part of their winding up. The detail of the requested amendments from the departments is set out in Attachment 4.

Operating Revenue

Operating revenue has been forecast to increase by approximately $3.7 million due to the additional revenue expected to be received as outlined below:

• Dividend revenue forecast to be received from QUU of $2.5 million

· Interest revenue of $500,000 due to cash balances exceeding forecast due to delays in the delivery of the capital program

· Government grants and subsidies $254,000 relating to Advancing Regional Innovation Program (ARIP).

• Cash contributions increase $388,000 relating to funding from the wind-up of Ipswich Events Corporation.

• Overall net increase in other revenue $15,000 due to $115,000 Defence Summit funding with matching corresponding expense and offset by movement of $100,000 to government grants and subsidies relating to ARIP funding, previously incorrect budget category.

Operating Expenses

Operating expenses has been forecast to decrease by a net amount of approximately $785,000 including:

• Materials and services increase $115,000 for Defence Summit (offset by other revenue increase above)

• Reduction in Community donations $900,000 due to requests for funding being below budget allocations and on-going process reforms.

Capital Expenditure

Based on the requested amendments, the overall capital budget has decreased by a net $13.3 million, primarily as a result of interruptions to the delivery of the capital program due to delays in design, service relocations and contractual delays. As a result of these delays expenditure on a number of projects is forecast to be deferred to 2019‑2020. A request for additional funding for a Strategic Transport project has been requested as the forecast cost to complete the project exceeds the original approved estimate. Details of the requested amendments are detailed in Attachment 4.

Cashflow

The overall cash impact of the proposed budget amendment is an increase to the forecast end of year cash position by $17.6 million. While a revised forecast of the CBD redevelopment was included in the previous budget amendment, the planned borrowings for 2018‑2019 continue to remain unchanged at this stage, pending discussions with the State Government on Council’s 2018‑2019 borrowing approval. The resulting higher cash balance will carried forward into 2019‑2020 and 2020‑2021 as funding to complete the CBD redevelopment.

Financial/RESOURCE IMPLICATIONS

There are no employee resource implications as a result of this report. The financial implications of the budget amendment are outlined in this report and its associated attachments.

RISK MANAGEMENT IMPLICATIONS

Management will continue to monitor Council’s financial performance through its reporting processes including its monthly performance report. The Infrastructure Services Department are continuing to review in detail and monitor the delivery of its capital program including forecast expenditure to the end of the financial year.

Legal/Policy Basis

This report and its recommendations are consistent with the following legislative provisions:

Local Government Regulation 2012

COMMUNITY and OTHER CONSULTATION

The contents of this report did not require any community consultation.

Conclusion

A budget review was undertaken to identify any proposed budget amendments, primarily due to delays in the delivery of the capital program, affecting the year to date results and to estimate their likely full year impact. The requested variations from the previous adopted budget are set out in this report and the attachments. As required by Section 169 of the Local Government Regulation 2012, the proposed amended Budget documents including the Long Term Financial Forecast, Council’s Revenue Policy and Revenue statement are attached (Attachments 1, 2 and 3) . There are no changes to the Revenue Policy and Revenue Statement compared to the documents adopted in Council’s annual 2018-2019 Budget.

Attachments and Confidential Background Papers

1	Amended 2018-2019 Budget and Long Term Financial Forecast ⇩
2	2018-2019 Revenue Policy ⇩
3	2018-2019 Revenue Statement ⇩

	CONFIDENTIAL
4	2018-2019 Detailed Requested Budget Amendments

Jeffrey Keech

Finance Manager

I concur with the recommendations contained in this report.

Andrew Knight

Chief Operating Officer (Finance and Corporate Services)

“Together, we proudly enhance the quality of life for our community”

Governance Committee

Meeting Agenda

14 May

2019

Doc ID No: A5482445

ITEM: 13

SUBJECT: Amendment to the Participation Agreement

AUTHOR: Strategic Client Office Manager

DATE: 24 April 2019

Executive Summary

This is a report by the Strategic Client Office Manager dated 24 April 2019 concerning the proposed amendment of the Participation Agreement between Queensland Urban Utilities and its five participating local governments.

This report also considers the proposed Board Remuneration Policy and amendments to the existing Participation Return Policy.

Recommendations

That the Interim Administrator of Ipswich City Council resolve:

B. That Council approve the Board Remuneration Policy.

C. That Council approve the amended Participation Return Policy.

RELATED PARTIES

The Central SEQ Distributor-Retailer Authority trading as Queensland Urban Utilities (QUU)

Participating Local Governments

· Brisbane City Council

· Ipswich City Council

· Lockyer Valley Regional Council

· Scenic Rim Regional Council

· Somerset Regional Council

Advance Ipswich Theme Linkage

Listening, leading and financial management

Purpose of Report/Background

The Central SEQ Distributor-Retailer Authority (trading as QUU) was established on 1 July 2010 as a statutory body to be a distributor-retailer under the provision of the South East Queensland Water (Distribution and Retail Restructuring) Act 2009 and as a service provider under the Water Supply (Safety and Reliability) Act 2008. In accordance with the South-East Queensland Water (Distribution and Retail Restructuring) Act 2009, QUU entered into a Participation Agreement (“the Agreement”) with its five participating local governments (the Participants) at formation in 2010. The purpose of this report is to provide an overview of proposed amendments to the Agreement together with the Board Remuneration and Participation Return policies referenced in the amended Agreement.

The Agreement outlines the responsibilities and obligations of QUU and its Participants and includes, but is not limited to, the rights of each Participant, decision making and dispute resolution, the Board’s role, composition, appointment, remuneration and powers, corporate planning, reporting and profit distribution.

Review of Participation Agreement

In the first quarter of 2019, QUU undertook a detailed review of the Agreement in consultation with the Participants which identified a number of potential amendments including:

• Matters previously consulted on or agreed with by Participants but not yet reflected in the Agreement (e.g. the Board Appointment Protocol and changes to strategic planning and reporting);

• References to a proposed Board Remuneration Policy and an updated Participation Return Policy;

• Aspects of the Agreement that are no longer relevant;

• Clauses requiring updating as a consequence of legislative changes made since QUU’s formation; and

• Clarification and simplification of the drafting of a number of clauses.

Section 28 (3) of the South-East Queensland Water (Distribution and Retail Restructuring) Act 2009 allows for a Participation Agreement to be amended subject to agreement of all participants and the passing of a resolution to that effect by each Participant. Details on specific changes proposed to the Agreement are outlined in the confidential background paper.

Board Remuneration Policy

The amended Agreement references how independent Board members will be remunerated through the proposed Board Remuneration Policy. The policy requires approval of a Special Majority of Participants. Under the existing Agreement, remuneration levels were set at the document’s commencement on 1 July 2010 with subsequent increases for Board members and the Chairperson linked to CPI. The goal of the proposed policy is the establishment of remuneration levels that will assist QUU in attracting and retaining the services of suitable, appropriately qualified Board members. Details of the proposed policy are outlined in the confidential background paper.

Amended Participation Return Policy

The Agreement details the participation rights (upon which dividends are calculated) for each of the Participants. The original Participation Return Policy (approved by Participants/adopted by the QUU Board in March 2018) is used by the QUU Board to determine the returns to be paid by QUU to Participants in accordance with the Agreement.

Minor amendments are proposed to the existing policy to ensure consistency of language and to clarify the drafting of a number of clauses. The amended policy has been also been incorporated into a supplementary document rather than the existing letter format. Details of the proposed amendments to the policy are outlined in the confidential background paper.

Financial/RESOURCE IMPLICATIONS

There are no financial or resource implications associated with this report.

RISK MANAGEMENT IMPLICATIONS

There are no risk management implications associated with this report.

Legal/Policy Basis

This report and its recommendations are consistent with the following legislative provisions:

South-East Queensland Water (Distribution and Retail Restructuring) Act 2009 (Qld)

COMMUNITY and OTHER CONSULTATION

The contents of this report did not require any community consultation.

Conclusion

The proposed amendments to the Participation Agreement and the Participation Return Policy are considered minor in nature and will improve the relevance and currency of the existing document.

The proposed Board Remuneration Policy will deliver a clear process for remuneration of directorships and assist QUU in both attracting and retaining high-quality Board members.

A Variation Agreement to formalise the amendment of the Participation Agreement will be circulated for signing by the Participants following confirmation of their approval.

Attachments and Confidential Background Papers

1.	Amended Participation Agreement ⇩

	CONFIDENTIAL
2.	Confidential Background Paper
2.1	Board Appointment Protocol
2.2	Participation Return Policy
2.3	Board Remuneration Policy

Greg Thomas

Strategic Client Office Manager

I concur with the recommendations contained in this report.

Andrew Knight

Chief Operating Officer (Finance and Corporate Services)

“Together, we proudly enhance the quality of life for our community”

Governance Committee

Meeting Agenda

14 May

2019

Doc ID No: A5488757

ITEM: 14

SUBJECT: Request for Rate Concession and/or Exemption for Vedanta Centre of Sydney

AUTHOR: Treasury Acounting Manager

DATE: 30 April 2019

Executive Summary

This is a report concerning, firstly, a request by Vedanta Centre of Sydney (Vedanta), the owner of Lot 706 SP 179281 in Springfield Lakes (Property), for a rate concession for the period between 23 October 2014 and 14 May 2015.