Maranoa Logo Process

 

Minutes of the Special Budget Meeting of Maranoa Regional Council held at Roma Administration Centre on 31 July 2013 commencing at 9.00am

 

ATTENDANCE

 

Mayor Cr. R S Loughnan chaired the meeting with, Deputy Mayor Cr. W S Wason, Cr. J L Chambers, Cr. R J Denton, Cr. P J Flynn, Cr. W M Newman, Cr. C J O’Neil, Cr. M L Price,  Cr. D J Schefe, Chief Executive Officer – Julie Reitano, Acting Director – Infrastructure Services – Michael Parker, Director – Development, Facilities & Environmental Services – Rob Hayward, Specialist – Strategic Finance – Claire Alexander, Specialist – Governance & Organisational Development – Noela Ward, Coordinator – Communications Officer – Jane Frith, and Lauren Owen Minutes Officer in attendance.

 

GUESTS

 

There were no guests in attendance at the meeting.

 

WELCOME

 

The Mayor welcomed all present and declared the meeting open at 9.04am.

 

APOLOGIES   

 

There were no apologies for the meeting.

 

After the welcome, the Chief Executive Officer left the Chambers at 9.04am, returning at 9.07am.

 

Business

 

Item Number:                                   3.1

File Number: D13/30987

Subject Heading:                          Presentation of Draft Budget 2013/14 and Draft Forward Estimates 2014/15 to 2022/23

Location:                                          N/a

Applicant:                                         N/a

Author and Officer’s Title:                Robert Loughnan, Mayor

Executive Summary: 

In accordance with 107A of the Local Government Act 2009, it was formally requested that Council consider the budget material that was presented to Councillors on 17 July 2013.   

 

By way of background, and as previously advised, the preliminary draft inclusions for the 2013/14 budget were collated by management and staff using the budget parameters as presented to and discussed with Councillors in March 2013.  The Executive Management Team reviewed the draft budget submissions and then presented the information to a series of workshops with Councillors and myself.

 

Councillors reviewed both operational and capital budget submissions for 2013/14, the proposed fees and charges and policies as required by legislation, e.g. Revenue Policy.

 

Sections 169 to 171of the Local Government Regulation 2012 prescribe the requirements for the adoption of Council’s budget. The information that was presented complies with the disclosure requirements for the adoption of Council’s budget.

 

            1.Statement of Income & Expenditure

            2. Statement of Financial Position

            3. Statement of Changes in Equity

            4. Cash Flow Statement

            5. Measures of Financial Sustainability

            6. Schedule of Capital Works and Funding Sources

            7. Change in Rates and Utility Charges

 

The 2013/14 Budget totals $255.8M (excluding carryover projects).  Some key highlights are:

 

·         Capital projects of $58.1M including construction of Stage 1 of the levee bank

·         Major recoverable works such as flood restoration, Main Roads and Santos and Origin  potential contract maintenance works totalling $135M

·         Funded 2013/14 one off projects worth $1.27M

·         Road maintenance works  of $8.0M

·         Salaries and wages including on costs

 

Discussion:

The Mayor provided an overview of the draft budget presented and thanked the Chief Executive Officer, senior staff and Councillors for their work in developing the budget document. 

 

Resolution No. SMB/07.2013/01

Moved Cr Loughnan                                                     Seconded Cr Chambers  

 

The budget and accompanying material be received and Council consider each section individually.

 

CARRIED                                                                                                                      9/0

 

Responsible Officer

Mayor

 

 

Item Number:                                   3.2

File Number: D13/32495

Subject Heading:                          RE-Adoption of Revenue Policy

Location:                                          N/a

Applicant:                                         N/a

Author and Officer’s Title:                Robert Loughnan, Mayor

Executive Summary: 

Council considered the matter of the Revenue Policy at its meeting on 26 June 2013.

 

In accordance with s 169 (2) (c) of the Local Government Regulation 2012, the budget must include the Revenue Policy.  The policy is now submitted for Council’s re-adoption.

 

Resolution No. SMB/07.2013/02

Moved Cr Schefe                                                          Seconded Cr Flynn  

That the Revenue Policy for 2013/14 be re-adopted.

 

CARRIED                                                                                                                      9/0

 

Responsible Officer

Mayor

 


 

Item Number:                                   3.3

File Number: D13/32526

Subject Heading:                          Fees & Charges 2013/14

Location:                                          N/a

Applicant:                                         N/a

Author and Officer’s Title:                Robert Loughnan, Mayor

Executive Summary: 

Council initially considered the schedule of Fees & Charges at its meeting of 26 June 2013. Since that time, some additional proposed amendments have been identified.  The full schedule was presented to Council for re-adoption in full.

 

Resolution No. SMB/07.2013/03

Moved Cr Price                                                             Seconded Cr Chambers  

That Council:

 

1.         Adopt the fees in Schedule L of the Budget material presented.

 

2.         Resolve that, in relation to those cost-recovery fees to which Section 97 of the Local Government Act 2009 applies:

 

(i)         the applicant is the person liable to pay these fees; and

 

(ii)        the fee must be paid at or before the time the application is lodged; and

 

3.         Delegate to the Chief Executive Officer the power to amend commercial charges to which section 262 (3) (c) of the Local Government Act 2009 applies.

 

4.         Approve the omission of fees and charges from the Schedule for quarry materials and services.

 

CARRIED                                                                                                                      9/0

 

Responsible Officer

Mayor

 

 

Item Number:                                   3.4

File Number: D13/31330

Subject Heading:                          Revenue Statement 2013/14

Location:                                          N/a

Applicant:                                         N/a

Author and Officer’s Title:                Robert Loughnan, Mayor

Executive Summary: 

Section 169 (2) (b) of Local Government Regulation 2012 requires Council to include a Revenue Statement in the Annual Budget. The Revenue Statement is an explanatory statement, detailing the revenue measures adopted in the annual budget.

 

Section 172 of the Local Government Regulation 2012 details what must be contained in the Revenue Statement and Section 193(2) states that the guidelines for preparing the Revenue Statement may be included in the Revenue Policy.

 

Key inclusions in the attached Revenue Statement are:

 

•     Residential and service charges has been increased by 4% with the exception of the minimum general rates which is up from $470 to $500.  Various percentages have been applied to non-residential properties.

•     An increase of 4% on special charges.

•     Continuation of the standard pensioner concessions and other concessions.

•     Continuation of the early payment discount of 10% applicable on general rates only.

 

Department of Natural Resources and Mines (DERM) issued new annual valuations in February 2013 to Maranoa region, with an effective date of 1 July 2013. The overall increase in valuation was 2.49% for the region, which has been incorporated into the differential general rate categories and the valuation based special rates.

 

Discussion:

Council viewed the marked up copy of the draft statement and proposed amended statement incorporating all feedback and discussions during the two week period.  The Chief Executive Officer stepped through the key amendments for full Council consideration.

 

Resolution No. SMB/07.2013/04

Moved Cr Wason                                                          Seconded Cr O'Neil  

 

That Council:

 

1.         Receive and note the report titled “Revenue Statement 2013/14” (labelled as Attachment 1 in the budget documents presented on 17 July 2013).

2.         Pursuant to Section 81 of the Local Government Regulation 2012 determine that for the purpose of levying differential general rates for the 2013/14 financial year the different categories of rateable land and a description of those categories is included in Attachment 1 of the Revenue Statement “Supplementary Information”.

3.          Adopt the Revenue Statement 2013/14 (Attached) ("the Revenue Statement") in accordance with Section 169 (2) (b) of the Local Government Regulation 2012 and also adopt pursuant to Section 94 of the Local Government Regulation 2012 the overall plans for the special rates and charges for the following and appearing in the Revenue Statement, namely:

 

·         Wild Dog Management & State Government Precept

 

·         Rural Fire Brigade

 

4.          Levies differential general rates, special rates and charges for those properties identified in the Overall Plan relevant to their area and utility charges for the 2013/14 financial year pursuant to Section 94 of the Local Government Act 2009 at the rates included within the Revenue Statement.

 

5.          Determine, pursuant to Section 118 of the Local Government Regulation 2012, those rates and charges must be paid within 30 calendar days after the notice has been issued.

 

6.          Determine to allow a discount for the payment of rates and charges pursuant to Section  130 of the Local Government Regulation 2012 in accordance with the Revenue Statement;  and

7.          Determine to allow payment of certain rates or charges by arrangements and concessions to certain classes of ratepayer pursuant to Section 129 and Section 119 of the Local Government Regulation 2012 in accordance with the Revenue Statement.

 

CARRIED                                                                                                                      9/0

 

Responsible Officer

Mayor

 

 

 

Item Number:                                   3.5

File Number: D13/32632

Subject Heading:                          Pensioner Rates Concession Policy

Location:                                          N/a

Applicant:                                         N/a

Author and Officer’s Title:                Robert Loughnan, Mayor

Executive Summary: 

Tabling a new policy for Council’s consideration, to enable rate concessions to be granted to eligible pensioners. The policy, which draws on the same criteria as the State Government, will also provide clarity for officers who administer the pensioner subsidy program.

 

Discussion:

The Chief Executive Officer advised that, as requested by Cr. Denton, a section had been included in relation to pro-rata calculations.    Council viewed the marked up copy of the draft policy and proposed amended policy incorporating all feedback.

 

Resolution No. SMB/07.2013/05

Moved Cr Newman                                                       Seconded Cr Denton  

That Council adopt the Pensioner Rates Concession Policy as amended.

 

CARRIED                                                                                                                      9/0

 

Responsible Officer

Mayor

 

 

Item Number:                                   3.6

File Number: D13/32534

Subject Heading:                          Debt (Borrowing) Policy 2013/14

Location:                                          N/a

Applicant:                                         N/a

Author and Officer’s Title:                Robert Loughnan, Mayor

Executive Summary: 

It is a requirement of the Local Government Regulation 2012 (Section 192) that a local government must prepare and adopt a debt policy for a financial year.  The section defines what should be included in the policy – i.e.:

 

(a) the new borrowings planned for the current financial year and the next 9 financial years; and

 

(b) the period over which the local government plans to repay existing and new borrowings.

 

Resolution No. SMB/07.2013/06

Moved Cr Schefe                                                          Seconded Cr Newman  

That the Debt Policy incorporated in Schedule J of the Budget material presented be adopted.

 

CARRIED                                                                                                                      9/0

 

Responsible Officer

Mayor

 

 

Item Number:                                   3.7

File Number: D13/32602

Subject Heading:                          Adoption of Budget 2013/14 & Forward Estimates to 2022/23

Location:                                          N/a

Applicant:                                         N/a

Author and Officer’s Title:                Robert Loughnan, Mayor

Executive Summary:  

In accordance with Section 107A of the Local Government Act 2009, it was formally requested that Council adopt the budget material that was presented to Councillors on 17 July 2013, and any amendments that Council resolves to make.

 

Sections 169 to 171of the Local Government Regulation 2012 prescribe the requirements for the adoption of Council’s budget. The information that was presented complies with the disclosure requirements for the adoption of Council’s budget.

 

            1. Statement of Income & Expenditure (Schedule A)

            2. Statement of Financial Position (Schedule B)

            3. Statement of Changes in Equity (Schedule C)

            4. Cash Flow Statement (Schedule D)

            5. Measures of Financial Sustainability (Schedule E)

            6. Schedule of Capital Works and Funding Sources (Schedule H)

            7. Change in Rates and Utility Charges (Schedule G)

 

In addition to the legislative requirements for budget, a financial summary of each of Council’s funds/business units was provided in Schedule F.

 

National Competition Policy reform provisions contained in the Local Government Act 2009 (the Act) require Council’s nominated ‘business activities’ to apply the competitive neutrality principle to their operations.  Council this year will apply the Code of Competitive Conduct to its building certification and roads activity, as required by Section 47 of the Act and Section 39 of the Regulation 2012.  It is also intended that Council will conduct a full assessment of its business activities in 2013/14 to determine whether these activities are significant business activities and therefore Council should apply the requirements of the Local Government Act 2009 and the Local Government Regulation 2012.

 

Resolution No. SMB/07.2013/07

Moved Cr Chambers                                                     Seconded Cr Flynn  

 

That Council:

 

1.   Receive and note the change in rates and utility charges for 2013/14 (Schedule G).

 

2.   Receive and note the 2013/14 capital works program and funding sources (Schedule H).

 

3.   Receive and note the budget spreadsheets 2013/14 (including one-off expenditure, and projected carry-over projects) (Schedule M).

 

4.   Receive and note the measures of financial sustainability (Schedule E).

 

5.   Receive and note the financial summaries for Council’s funds/business units (Schedule F).

 

6.   Receive and note the budgeted financial statements and the long term financial forecast (Schedules A-D).

 

7.   Adopt the document titled “2013/14 Budget and Forward Estimates to 2022/23” incorporating all schedules.

 

8.   Apply the code of competitive conduct to the Business Certification Unit and Roads activity for 2013/14.

 

9.   Conduct a full assessment of its business activities in 2013/14 to determine whether these activities are significant business activities and therefore Council should apply the requirements of the Local Government Act 2009 and the Local Government Regulation 2012.

 

CARRIED                                                                                                                      9/0

 

Responsible Officer

Mayor

 

 

Item Number:                                   3.8

File Number: D13/32554

Subject Heading:                          Draft Operational Plan 2013/14

Location:                                          N/a

Applicant:                                         N/a

Author and Officer’s Title:                Julie Reitano, Chief Executive Officer

Executive Summary: 

Under Section 104 of the Local Government Act 2009, Council’s financial management systems must incorporate an annual operational plan.  Under Section 174 of the Local Government Regulation 2012, a local government may adopt the annual operational plan for a financial year at the same time the local government adopts its budget for the financial year.

 

The Local Government may, by resolution, amend its annual operational plan at any time before the end of the financial year.

 

Discussion:

The Chief Executive Officer provided an overview of the new look Operational Plan, and tabled the schedule of Proposed Changes incorporating all feedback.   The Chief Executive Officer advised that whilst the Operational Plan is required for statutory purposes, there is a commitment to also use the expanded document as the organisation’s Work Program – a ‘living’ document to be the focus for work teams on a daily basis.    The plan will orientate the organisation towards outcomes and performance i.e. delivery of Council’s priorities.  It will build accountability for results and provide a framework for performance management.

 

Council congratulated all staff involved in creating the document.

 

Resolution No. SMB/07.2013/08

Moved Cr Price                                                             Seconded Cr Denton  

That Council:

 

1.   Receive and note the information included in the report.

 

2.   Adopt the draft Operational Plan for 2013/14, incorporating the tabled amendments.

 

CARRIED                                                                                                                      9/0

 

Responsible Officer

Chief Executive Officer

 

 

 CLOSURE

 

There being no further business, the Mayor thanked Council for their attendance and declared the meeting closed at 9.38am.

                                 

 

These Minutes are to be confirmed at the next General Meeting of Council to be held on  14 August 2013 at Roma Administration Centre.

 

 

 

 

...............……….................                                          ..................................

Mayor                                                                           Date