Description: Maranoa Logo Process

Late Items

BUSINESS PAPER

 

General Meeting

 

Wednesday 12 September 2012

 

Roma Administration Centre

 

NOTICE OF MEETING

 

Date: 14 September 2012

 

 

Mayor:††††††††††††††††††††††††††††††††††††††††††††††††††† Councillor R S Loughnan

†††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††

Deputy Mayor:††††††††††††††††††††††††††††††††††††††† Councillor W S Wason

Councillors:†††††††††††††††††††††††††††††††††††††††††††† Councillor J L Chambers

††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††† Councillor R J Denton

††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††† Councillor P J Flynn

††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††† Councillor W M Newman

††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††† Councillor C J OíNeil

††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††† Councillor M L Price

††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††† Councillor D J Schefe

 

Chief Executive Officer:††††††††††††††††††††††††††† Ms Julie Reitano

 

Senior Management:††††††††††††††††††††††††††††††† Mr Tony Klein (Director Community Services)

††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††† Mr Matthew McGoldrick (Director Corporate Services)

††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††† Mr Barry Omundson (Director Infrastructure)

††††††††††††††††††††††††††††††††††††††††††††††††††††††††††††† Mr Rob Hayward (Director Planning & Environment)

 

Officers:††††††††††††††††††††††††††††††††††††††††††††††††† Ms Jane Frith (Corporate Communications Officer)

 

Please find attached agenda for the General Meeting to be held at the Roma Administration Centre on September 12, 2012 at 9.00am.

Julie Reitano

Chief Executive Officer

 


Maranoa Regional Council

††††

General Meeting - †12 September 2012

TABLE OF CONTENTS

Item†††††† Subject

No

††

L††††††††††† Late Items

L.1††††††† Write-Off/ Write-On Action arising out Council's stocktake of Stores Inventory

Prepared by:††††† Alan Marchant, Finance Manager

Attachment 1:†††† Write-Offs 2011-12 Council Approval

Attachment 2:†††† Write Offs 2011-12 2a Council Approval

Attachment 3:†††† Write offs 2011-12 2b Council Approval

Attachment 4:†††† Write Off 2011-12 2c Council Approval

Attachment 5:†††† Write Off 2011-12 2d Council Approval

Attachment 6:†††† Write Offs 2011-12 2e Council Approval

Attachment 7:†††† Write Offs 2011-12 2f Council Approval

Attachment 8:†††† Write Offs 2011-12 3a Council Approval

Attachment 9:†††† Write-Offs 2011-12 3b Council Approval

L.2††††††† Dance West03 request for reduction of fees

Prepared by:††††† Kym Witt, Acting Customer Service Coordinator

Attachment :†††††† Dance West03 - Cultural Centre Booking Enquiry

L.3††††††† Unaudited Financial Statements for the year ended 30th June 2012

Prepared by:††††† Alan Marchant, Finance Manager

L††††††††††† Confidential Items

L.1††††††† Proposed changes to Organisational Structure & potential appointments to new positions

††††††††††††† Classification:†††††††† Closed Access

Local Government (Operations) Regulation 2010 Section 72(a) the appointment, dismissal or discipline of employees.

 


Maranoa Regional Council

††††

General Meeting - †12 September 2012

Officer Report

Meeting: General† 12 September 2012

Date: 14 August 2012

Item Number: L.1

File Number: D12/24284

 

Subject Heading:†††††††††††††††††††† Write-Off/ Write-On Action arising out Council's stocktake of Stores Inventory

Classification:††††††††††††††††††††††††††††††††† Open Access††

Name of Applicant:††††††††††††††††††††††††

Location:††††††††††††††††††††††††††††††††††††††††††

Author & Officerís Title:†††††††††††††††† Alan Marchant, Finance Manager

 

 

Executive Summary:†

 

This report recommends to Council the formal write-off and write-on of quantities and values arising out of Councilís stocktake of its Stores inventory items as at the 30th June 2012.

 

 

Officerís Recommendation:†

 

That Council approve the write-off and write-on of the quantities and values of those store inventory items identified as requiring adjustment, after the completion of the stocktake undertaken in June, 2012.

 

 

Body of Report:

Council undertook a comprehensive stocktake of its total inventory stockholdings during June to validate physical stock held against recorded quantities and values in Councilís accounting records.

An outside quantity surveying company Bennett and Bennett were engaged to undertake the stocktake of Councilís gravel and other products at Councilís main quarry and at nominated gravel pits through-out the Maranoa Regional Council area.

Council staff undertook the stocktake of inventory held at Roma Depot , Mitchell Depot† , Surat Depot , Yuleba Depot and Injune Depot as well as Councilís water store in Roma.

The detailed results of each of these physical stocktakes as well as their reconciliation with Councilís accounting record and disclosed differences is attached for Councilís information.

As per Attachment 1,† it is apparent that the main discrepancies appear in those items that are road construction/maintenance material items. The† current system is reliant on staff providing the appropriate information to stores personnel to account for movements/utilisation† of such items. More effective controls are required to ensure that the utilisation of these items are better managed and accounted for in Councilís operations.

During the stocktake of gravel stocks held in nominated pits through-out the Shire it was noted that many pits and associated stocks were not recorded in Councilís stores system and consequently do not have a value in Councilís accounting records.

As part of the initiative to implement a better process to manage gravel stocks across the Shire these additional gravel pits will be brought to account during 2012-13. Effectively the associated† gravel stocks ( quantities and values) in these additional pits will be written-on to Councilís store inventory. These costs† have already been borne by Council in past financial years as construction/ maintenance project costs .

Attachments 2 (a) Ė 2(f) summarise the results of the stocktakes undertaken for those soil/gravel locations and associated stocks† that are currently recorded in Councilís accounting records. Again movements have occurred without the appropriate information being provided to stores personnel resulting in the discrepancies specified.

Attachments 3 (a) Ė 3 (b) summarise the stocktake results arising out of Councilís annual stocktake of the material stocks at Councilís quarry operations . The initial stocktake results were particularly alarming and invoked a considerable lengthy investigation , including† a further stocktake and review of all† production and sales since the initial annual stocktake. The further stocktake and reconciliation with Councilís accounting records† did not reveal any major discrepancies and all associated paperwork confirmed all movements in production and sales during this period of time.

Further investigation of† Councilís accounting inventory records has revealed that previous write-off action within the inventory system has not been undertaken for the past two financial years culminating in there appearing to be substantial deficits in Council physical stocks. This deficit has been further exacerbated by adjustments† required in Councilís inventory system that were either not undertaken or incorrectly processed†† over the past three financial years. During the investigation there were other variables in Councilís operational processes that were noted that could have or potentially have contributed to the current position. More regular stocktakes are seen as an imperative step to reduce or capture irregularities.

It is evident that Councilís initiative to implement better management and accounting practices to control gravel material is essential in order to resolve the anomalies that have occurred† to date. From a corporate perspective Councilís recent initiative to review its management of gravel stocks for State Government licensing requirements should also encompass addressing all operational processes and associated accounting practices to promote better commercial outcomes , more effective management reporting and† improved† accounting recording .

 

Consultation (internal/external):

Bennett and Bennett Quantity Surveyors

Gemma Lines / Lynda Allen Ė Stores Coordinating Officers

David Grace Ė Quarry Operations Manager

 

Risk Assessment (Legal, Financial, Political etc.):

Council is required to comply with the Australian Accounting Standards as well as the legislative provisions as prescribed under the Qld Local Government Act 2009 ( as amended)† and the Qld Local Government ( Finance, Plans and Reporting) Regulations 2010 in its accounting records of Councilís conducted business. As well Council is subject to audit of its financial transactions during the financial year.

Policy Implications:

Nil. Councilís current policies are consistent with the relevant state legislation and Australian Accounting principles.

Financial Resource Implications:

Council has made provision in its 2012-13† budget† to undertake and implement a gravel management system which it is envisaged will substantially address the operational and accounting deficiencies currently inherent in Councilís operating systems and practices.

The write-offs of inventory in respect† to general store items in accounting terms generally translates into maintenance and construction projects costs in 2011-12 not accurately portraying all costs and the expenditure being reflected at a corporate level as a write-off cost. Similiarly this is also the case in respect to write-offs of gravel stocks pertaining to nominated pits through-out the Shire, from a financial perspective . In both instances Council potentially could be incurring costs that are claimable from external clients.

Write-offs for quarry materials within industry benchmark commercial tolerance margins will impact† upon Councilís bottom line for this commercial operation and should be factored into Councilís costs for such operations. Regular stocktakes should assist† Council to effectively manage this financial risk in an appropriate manner throughout the financial year. It is perceived that these† additional stocktakes could effectively be undertaken by internal staff with quantity surveying skills without the need to outsource this work. However it is still considered prudent to engage the services of an independent quantity surveyor once a year as part of Councilís annual stocktake for end of financial year purposes.††

 

 

Link to Corporate Plan:

Corporate Plan 2009-2013 ó 8.2.1(a) To instil confidence to Council and other stakeholders in their decision making by developing and implementing financial procedures, processes and methodologies in an environment that promotes integrity and accountability.

Supporting Documentation:

1View

Write-Offs 2011-12 Council Approval

D12/27670

2View

Write Offs 2011-12 2a Council Approval

D12/28044

3View

Write offs 2011-12 2b Council Approval

D12/28031

4View

Write Off 2011-12 2c Council Approval

D12/28032

5View

Write Off 2011-12 2d Council Approval

D12/28033

6View

Write Offs 2011-12 2e Council Approval

D12/28034

7View

Write Offs 2011-12 2f Council Approval

D12/28035

8View

Write Offs 2011-12 3a Council Approval

D12/28036

9View

Write-Offs 2011-12 3b Council Approval

D12/28029

Report authorised by:

Matthew McGoldrick, Director Corporate Services


Attachment 1

Write-Offs 2011-12 Council Approval

 


Attachment 2

Write Offs 2011-12 2a Council Approval

 





Attachment 3

Write offs 2011-12 2b Council Approval

 


Attachment 4

Write Off 2011-12 2c Council Approval

 


Attachment 5

Write Off 2011-12 2d Council Approval

 


Attachment 6

Write Offs 2011-12 2e Council Approval

 


Attachment 7

Write Offs 2011-12 2f Council Approval

 


Attachment 8

Write Offs 2011-12 3a Council Approval

 



Attachment 9

Write-Offs 2011-12 3b Council Approval

 


Maranoa Regional Council

††††

General Meeting - †12 September 2012

Officer Report

Meeting: General† 12 September 2012

Date: 7 September 2012

Item Number: L.2

File Number: D12/27604

 

Subject Heading:†††††††††††††††††††† Dance West03 request for reduction of fees

Classification:††††††††††††††††††††††††††††††††† Open Access††

Name of Applicant:†††††††††††††††††††††††† Dance West03

Location:†††††††††††††††††††††††††††††††††††††††††† Roma Bungil Cultrual Centre Auditorium

Author & Officerís Title:†††††††††††††††† Kym Witt, Acting Customer Service Coordinator

 

 

Executive Summary:†

That the business Dance West03 is requesting a reduction of fees associated with the hire of the Roma Bungil Cultural Centre Auditorium on 9 and 10 November 2012 for their concert.

 

 

 

Officerís Recommendation:†

That Council deny the request from Dance West03 for the waiver and reduction of associated fees for the cost of hiring the Auditorium on the night of their performance on 9 & 10 November as they are a Business and Profit organisation.† Arrangements will be made so that Dance West03 can use the Ernest Brock Room for the Performances only. Sufficient notification from council should have allowed for this business to make alternative arrangements for rehearsals times.

 

 

Body of Report:

Jodie Noon of Dance West03 tentatively booked the Roma Bungil Cultural Centreís Auditorium and Ernest Brook Room in January 2012 for the following dates and times:

Saturday

28/10/2012

All Day

Rehearsal

Friday

02/11/2012

3:30 p.m. to 8:30 p.m.

Rehearsal

Saturday

03/11/2012

8:00 a.m. to 5:30 p.m.

Rehearsal

Sunday

04/11/2012

8:00 a.m. to 9:00 p.m.

Rehearsal

Tuesday

06/11/2012

4:00 p.m. to 9:00 p.m.

Rehearsal

Thursday

08/11/2012

4:00 p.m. to 9:00 p.m.

Rehearsal

Friday

09/11/2012

8:00 a.m. to 11:00 p.m.

Performance

Saturday

10/11/2012

8:00 a.m. to 11:00 p.m.

Performance

 

 

In December 2011 Barbara Slater of Maranoa Music tentatively booked the Roma Bungil Cultural Centre Auditorium for the 2 & 3 November 2012.

 

Jodie Noon submitted the Roma Bungil Cultural Centre Hire Agreement form on 24 May 2012 and then confirmed the tentative booking made in January 2012 on 29 May by paying the booking fee of $105.00.

 

Due to councilís decision to convert the Ernest Brock room to temporary office space, Customer Service Officer, Celia Speck contacted Jodie Noon of Dance West03 on15 August 2012, to advise the Ernest Brock room would not be available for use by the public from 1September 2012.††† During this conversation Jodie was also informed that 2 & 3 November 2012 were not available due to an error in reading the bookings diary for the Roma Bungil Cultural Centre.†

 

A diary is being used for any bookings for the Roma Bungil Cultural Centre as the Meeting Planner bookings program is no longer operational due to not being compatible with councils IT operational systems.

 

The issue with the double booking on the 2 and 3 November 2012 has been resolved.† Dance West03 will be using the Auditorium for all requested dates.†

 

To prevent future occurrences of double bookings Councilís IT department have been working on a new bookings program for all regional bookings that will be compatible with our current operational systems and all Customer Service Officers have been notified there are to be no further tentative bookings, all bookings entered into the register must be accompanied with the Hire Agreement Form and the booking fee as stated in the Terms and Conditions of Hire.

 

Consultation (internal/external):

Matthew McGoldrick, Director Corporate Services

Dale Waldron, Manager Information Services

Celia Speck, Customer Service Officer

 

Risk Assessment (Legal, Financial, Political etc.):

Nil

Policy Implications:

Nil

Financial Resource Implications:

As stated in councilís current fees and charges the full cost per day for the hire of the Auditorium for a concert night is $291.00 and the use of stage lighting is an additional $278.25. The total cost per night for each concert is $569.25.

 

Link to Corporate Plan:

Corporate Plan 2009-2013 ó 8.2.5(a) To present to the community a service that is provided in a courteous, informative and efficient manner which respects the customers' needs and requests and achieves the high standards expected by Council.

Supporting Documentation:

1View

Dance West03 - Cultural Centre Booking Enquiry

D12/27603

Report authorised by:

Matthew McGoldrick, Director Corporate Services


Attachment 1

Dance West03 - Cultural Centre Booking Enquiry

 


Maranoa Regional Council

††††

General Meeting - †12 September 2012

Officer Report

Meeting: General† 12 September 2012

Date: 10 September 2012

Item Number: L.3

File Number: D12/27762

 

Subject Heading:†††††††††††††††††††† Unaudited Financial Statements for the year ended 30th June 2012

Classification:††††††††††††††††††††††††††††††††† Open Access††

Name of Applicant:†††††††††††††††††††††††† Maranoa Regional Council

Location:††††††††††††††††††††††††††††††††††††††††††

Author & Officerís Title:†††††††††††††††† Alan Marchant, Finance Manager

 

 

Executive Summary:†

 

To provide Council with Maranoa Regional Councilís Unaudited Annual Financial Statements for the financial year ended 30th June 2012 that will be submitted to the Queensland Audit Office.

 

Officerís Recommendation:

 

That Council endorse the submission of Maranoa Regional Councilís Unaudited Financial Statements for the year ended 30th June 2012 for† presentation to the Queensland Audit Office .

 

 

Body of Report:

A copy of Councilís draft Annual Financial Statements compiled for the financial year ending 30th June is provided to Councillors and is tabled in accordance with the Queensland Local Government (Finance, Plans and Reporting ) Regulation 2010† Section 161 1(a) and (b).

These statements will be presented to Councilís Internal Committee for endorsement and compliance with Section 1612(a) and (b).

Councilís Annual Financial Statements for the year ended 30th June 2012 reflect an operating deficit that will impact upon Councilís capacity to deliver planned projects in 2012-13. This financial operating result has primarily arisen out of major expenditure being undertaken on roadworks infrastructure under the banner of flood damage restoration works which Council is unable to seek reimbursement .

Councilís overall financial position has also been impacted upon by the extent of additional monies required for the Roma Airport project.

Councilís current reserves for future capital acquisitions or project works are modest and will require careful future financial planning to ensure that Council is able to build more adequate reserves.

No revaluations of Councilís major asset categories were undertaken in 2011-12 as Council undertook revaluations in all asset groups in the previous financial year. No material change in these valuations occurred during 2011-12.

Council have been previously advised that the Queensland Audit Office will qualify Maranoa Regional Councilís Annual Financial Statements for 2011-12. This qualification is only related to Councilís inability to measure the impairment to its† road infrastructure assets, initially damaged by† the 2010 and 2011 flood events but† further compounded by the 2012 flood event.

 

Consultation (internal/external):

Queensland Audit Office

WHK Group ĖAppointed Agents ( Qld Audit Office)

 

Risk Assessment (Legal, Financial, Political etc.):

 

Council is required to comply with the legislative provisions as prescribed under the Qld Local Government Act 2009( as amended) and the Qld Local Government ( Finance, Plans and Reporting ) Regulations 2010 . Specifically Sectionís 102 and 161.

Policy Implications:

Nil. Councilís current policies are consistent with relevant State legislation provisions.

 

Financial Resource Implications:

 

Provision has been made in Councilís budget to provide for the fees as determined by the Qld Audit Office for the conduct of Councilís annual external audit. No additional fees are envisaged for work associated with Councilís audit.

 

 

 

Link to Corporate Plan:

Corporate Plan 2009-2013 ó 8.2.1(a) To instil confidence to Council and other stakeholders in their decision making by developing and implementing financial procedures, processes and methodologies in an environment that promotes integrity and accountability.

Supporting Documentation:

Nil

Report authorised by:

Matthew McGoldrick, Director Corporate Services