Resourcing Strategy 2022-2023

River

Who are our people?

What are our priorities?

How will we measure the success of our people plan?

Digital Resource Management Plan

What is the Digital Resource Management Plan?

Key themes of Council’s Digital Resource Management Plan

How will we get there?

Where are we now?

What are our priorities?

Implementation, Monitoring and Review

Digital Resource Management Action Plan

Asset Management Plan

What is the Asset Management Plan?

What have we learnt?

Where are we now?

Where do we want to be?

Desired levels of service

Implementation, Monitoring and Review

How will we get there?

Asset Management Improvement Plan

Forecasting and Assumption Statement

Acknowledgement of Country

Our vision, mission and values

Georges River Council acknowledges the Bidjigal people of the Eora Nation, who are the traditional inhabitants and custodians of all land, water and sky in the Georges River area. We pay our respects to their Elders past, present and emerging.

Council recognises that the Georges River, with its rich resources, natural setting and connections to Country, is a place where people traditionally gathered, and Council is committed to upholding this.

Georges River Council acknowledges that our future will always be informed by our past. We are committed to respecting Aboriginal and Torres Strait Islanders as Australia's First Nations People. We have adopted the practice of acknowledging the Traditional Custodians of Country at events, ceremonies, meetings and functions. The Georges River First Nations Advisory Group provides a link between Georges River Council and the local Aboriginal and Torres Strait Islander community, respecting their right to self-determination and community

Our Vision

A progressive, environmentally and culturally rich community enjoying a unique lifestyle.

Our Mission

A leading, people-focused organisation delivery outstanding results for our community and city.

Our Values

United - We will work collaboratively as one team with common purpose and respect.

Professional - We will act with integrity and seek opportunities to learn and grow.

Honest - We will be open and truthful with each other and our community.

Accountable - We will own our decisions and actions as we strive for excellence.

Introduction

The Resourcing Strategy forecasts Council’s ability to deliver assets and services to the community over the next 10 years in line with the adopted Community Strategic Plan 2022-2032 (The Plan).

Background – Legislative Framework

Like all Councils, Georges River Council operates under the Local Government Act 1993 (the Act). The Act requires us to produce a suite of documents as part of an Integrated Planning and Reporting Framework.

The Framework brings together Council's various plans, giving both Council and the community a clear understanding of how each of the plans interact. This process maximises Council efforts to plan for the future strategically and holistically.

This Resourcing Strategy has been developed alongside our revised Community Strategic Plan (The Plan), which is based on community engagement during 2021.

The Community Strategic Plan 2022-2032 contains the community’s priorities and aspirations as well as the strategies for achieving these goals.

Our Delivery Program sets out the proposed actions to achieve the goals and strategies in the Community Strategic Plan. The Delivery Program runs for four years to align with the local government election cycle. We are now commencing the first year of our Delivery Program.

We have also prepared a one-year Operational Plan to show the specific actions and budgets that we propose for 2022/23, consistent with the Delivery Program.

Contains the Workforce Management Plan, Digital Resource Management Plan, Asset Management Plan and Long Term Financial Plan

Resourcing Strategy

Workforce Management Plan

The Workforce Management Plan identifies the people requirements, including skills and employment practices, needed to implement our Delivery Program which is informed by the Community Strategic Plan. The Plan integrates principles of human resource management, workforce planning and capability building. It outlines how we will develop and maintain a high-calibre employee base that meets current and future organisational and community needs.

Digital Resource Management Plan

The Digital Resource Management Plan outlines Council’s commitment to utilising the best digital framework possible to enable responsive and timely services and information. It aligns with Council’s corporate planning and reporting framework. Its four year lifespan will ensure that our commitment to digital efficiency and evolution continues throughout the life of the current Resourcing Strategy.

Asset Management Plan

The Asset Management Plan sets out the broad framework for undertaking structured and coordinated management of Council’s infrastructure assets. It outlines key principles that underpin our approach to providing the assets that are essential to our community. The Plan highlights the long term funding challenges Council must address to meet the commitments outlined in the Community Strategic Plan and deliver the level of service desired by the community over the next 10 years.

Long Term Financial Plan

The Finance Strategy and Long Term Financial Plan (LTFP) are key components of Georges River Council (GRC) Resourcing Strategy.

The Resourcing Strategy details the overall plan on how Council will resource its planned activities over the next decade through the use of its money, people and assets, to meet the community’s needs and desires.

The LTFP of Council presents a financial projection of the longer term outlook of its operations. The LTFP takes into account known and projected events over the next 10 years and compiles the best estimates of its operating results and financial position.

These projections form a roadmap of the operations and give Council an opportunity to:

• Assess different courses of corrective action and quantify the potential outcomes

• Ensure sustainability through positive net results

• Structure the operations, based on affordability and financial sustainability.

Workforce Management Plan

What is the Workforce Management Plan?

This Workforce Management Plan, ‘Our People Plan’ is an important part of Council’s Resourcing Strategy, implemented alongside the:

• Digital Resource Management Plan

• Asset Management Plan, and

• Long Term Financial Plan.

Our People Plan outlines our commitment to leading people practices, ensuring that we have the capacity and capability to deliver positive outcomes, based on current and future organisational and community needs.

This Plan identifies objectives and strategies that focus on employee experience, engagement, and excellence. It aims to cultivate a workforce that is inspired, inclusive and involved to steer towards Georges River Council as an employer of choice.

This Plan builds on the solid foundation achieved through the life of the previous workforce management planning cycle, where we successfully focussed on:

Capability mobility

Continuous learning

Flexible resource allocation

Information management

Iterative business improvement processes

Talent management

Open physical and virtual environment

Partnerships and networking

Performance centric

Technology, systems, and tools

While we recognise there is more work to do to build on these focus areas, the fundamentals are in place to support continued progress.

Our People Plan 2022-2026 will consolidate our efforts to align with the below key strategic themes, which have been established through consultation with our people, people leaders, unions, local government and industry bodies; analysis of our current workforce demographic; and an understanding of challenges and future requirements to support our goal to be an employer of choice.

Purpose

Embedding our values and working towards a common, greater goal so our people feel inspired and are aligned to deliver on our commitments to our community.

Connection

Enhancing relationships across the organisation and with the community so our people feel understood and are positive contributors in all aspects of their lives.

Inclusion

Fostering inclusion so our people feel a sense of belonging and are actively embracing our diversity in their thinking and decision making.

Support

Providing mechanisms that support a safe, healthy, happy, and more productive and engaged workforce, so our people feel cared for and are resilient in times of change.

Growth

Developing a culture of learning and excellence so our people feel valued and are continually improving the way we work to sustain a high performing workforce and have opportunity to progress their careers at Georges River Council.

Actions to support these themes are outlined in subsequent sections. Council’s People and Culture team will actively support and work to implement the actions.

Our People Plan will evolve as the community and the organisation reviews and evaluates its needs. At a minimum, it will be reviewed annually alongside our Operational Plan to ensure its objectives reflect the changing workforce, community and Council priorities.

Who are our people?

Georges River Council is an organisation made up of a committed, talented, and diverse workforce. Our vision, mission and values underpin all that we do to successfully achieve our Community Strategic Plan (CSP) and implement our Delivery and Operational Plans.

Georges River Council

Our organisational structure

Our people are committed to delivering quality outcomes for our community which is championed and driven by leaders in six permanent directorates and one temporary directorate:

General Manager

Office of the General Manager

Executive Manager Office of the GM

Head of City Strategy and Marketing Coordinator Communications and Engagement

Chief Audit Executive

Community and Culture Directorate

Environment and Planning Directorate

Assets and Infrastructure Directorate

Director Business and Corporate Services

Business and Corporate Services Directorate Director Community and Culture Manager City Life Manager Cultural Engagement and Library Services Manager Community and Early Learning Centres

Chief People Officer Chief Information Officer Chief Financial Officer

Director Environment and Planning

Director Assets and Infrastructure Manager Development and Building Manager Strategic Planning Manager Environment, Health and Regulatory Services

Head of Corporate Governance and Risk

Head of Strategic Property

Executive Manager City Operational Services Manager Premium Facilities Manager Strategic Placemaking Manager City Technical Services

Legal Services Director Legal Services General Counsel Senior Solicitor

Office of the General Manager

Our Office of the General Manager manages Council and Committee meetings. They are responsible for organising briefings and workshops offered to our Councillors, communicating and engaging with our community, and ensuring our compulsory reporting requirements are met.

• Executive Services

• Communications and Engagement

Community and Culture

Our Community and Culture directorate works in partnership with the community to ensure it is social and culturally connected. Our teams provide diverse and vibrant programs, services and facilities that bring together communities, deliver cultural and creative engagement opportunities and support the informational needs of our community.

• Community and Early Learning Services

• Cultural Engagement and Library Services

• City Life – Customer Experience Operations

Business and Corporate Services

Our Business and Corporate Services directorate is responsible for delivering quality organisational support services that meet current and emerging needs of internal and external customers to enable effective forward planning and to deliver Council’s strategic initiatives.

• Information Management Technology

• Finance

• People and Culture

• Governance and Risk Management

• Commercial Property

Environment and Planning

Our Environment and Planning directorate oversee and administers policies, systems, practices, and deliverables relating to the built environment and landscapes within the Georges River area and the Council.

• Environmental Health and Regulatory Services

• Development Assessment and Building Certification

• Strategic Planning

Assets and Infrastructure

Our Assets and Infrastructure directorate is responsible for leading, planning, delivering, and maintaining assets, facilities, and infrastructure in Georges River Council.

• City Operational Services

• City Technical Services

• Premium Facilities

• Strategic Placemaking

Office of the General Counsel

Our Office of the General Counsel is responsible for the management of Council’s legal function. This includes running matters in the Land & Environment Court, Local Court and other tribunals and jurisdictions. The team also provides training and advice to Council business units on a variety of legal matters.

City Strategy and Innovation

Our City Strategy and Innovation directorate’s focus is to position the Georges River area and the Council as a strong and influential entity in both the Sydney metropolitan region and in New South Wales through branding, extending networks, partnerships and transformation projects across the community.

Our Workforce Demographics

Data available as at 31 March 2022

We continuously seek, capture, and analyse key demographic traits of our workforce, with the understanding that this data is important in reviewing and evolving Our People Plan.

Consisting of permanent, temporary and casual staff, our head count workforce is 663 staff with a current FTE of 537.62

Our workforce is a mix of local and non-local employees with 33% of staff living within our Local Government Area.

Approximately 25% of our staff hold management or leadership roles and 75% are in operational positions.

51% females and 49% males are almost equally represented in Council’s workforce; however, 64% females account for the largest percentage of employees in management positions

We face the challenges of an ageing workforce (24% of employees are 55 or over). 65% of our workforce were born between 1961 and 1984, with 25% born between 1985 and 2002, indicating a wide spread of represented age groups.

Category

Establishment

Employees by status

Subcategory

Count Percentage %

Current FTE (excluding casuals) 537.62

Head Count (excluding casuals) 585

Permanent 544 93.0%

Temporary 41 7.0%

Casual Staff 78

Male Workforce 276 47.0% Female Workforce 309 53.0%

Gender

Age

Distance travelled to work

**based on Staff Engagement Survey 2021 data (406 responses)

Turnover

Length of service

Males in Management 7 35.0% Females in Management 13 65.0%

19-29 78 13.3% 30-39 123 21.0% 40-49 146 25.0% 50-59 165 28.2% 60-69 69 11.8% 70 + 4 0.7%

Less than 5km distance 87 21.4% 6km to 10km distance 99 24.4% 11km to 15km distance 65 16.0% 16km to 20km distance 41 10.0% 21km + distance 70 17.2% Did not specify 44 10.8%

Annualised Turnover 18.9%

Less than 5 years 315 53.8% 5 to 9 years 93 15.9% 10 to 14 years 66 11.3% 15 to 19 years 53 9.1% 20 + years 58 9.9%

% of staff with a disability

% Aboriginal or Torres Strait Islander 1

Diversity and inclusion

% Language other than English at home 28 3.4%

% Culturally diverse 40 6.8%

Our Challenges

Focus on Financial Sustainability

Council’s long term financial plan had a forecasted budget deficit of $12 million. The adopted budget deficit for 2021/22 was $4.5 million. This reduction was achieved via a Special Rate Variation (SRV), budget saving strategies and the deferral of projects. The application for a SRV to IPART in 2021 required Council to identify $4 million worth of savings and productivity efficiencies every year from 2022 to 2024.The employee costs strategy adopted by Council is a significant contributor in achieving these savings.

The employee costs strategy included:

• Absorbing the mandated annual Local Government (State) Award increase.

• Recruitment holding period of 16-week salary savings prior to appointment.

• Maintaining a vacancy rate of 7% across all areas of Council.

• Christmas shut-down period.

• Reduction of staff benefits such as the all-staff conference and learning and development program.

These cost saving measures will continue to impact our people given the limitations it imposes on people strategies and initiatives.

Skills Shortages and Attracting and Retaining Top Talent

We have five generations in our workforce, each with unique traits that define them and influence their attitudes and expectations regarding their work. Varying attitudes and expectations directly impact attraction and retention strategies that we must develop to build an agile and resilient long-term workforce.

25% of our people are 55 years or older, meaning a high number of staff will consider retirement in the next 10 years. While older workers may retire, younger employees may not have the acquired skills and experience necessary for promotion to senior and managerial roles, which indicates a need for ongoing succession planning.

Results from the most recent staff survey also indicated that 21% of staff could not see a future at

Georges River Council beyond two years, placing corporate knowledge, organisational capability, and operational efficiency further at risk.

In general, the overall market for attracting professionals is increasingly competitive as councils seek to source employees in markets where salaries are not comparable, employee benefits are difficult to match and experience in local government is niche. Existing areas of skills shortages and tight labour supply in jobs such as engineering, planning, compliance, early childhood, trades, and IT are likely to become even more constricted.

Lasting Impacts of COVID-19

The onset of the COVID-19 pandemic tested the responsiveness and agility of organisations around the world, uprooting traditional ways of working and accelerating digital service adoption.

Flexible work practices became the norm and as organisations face a return to physical work locations, people are seeking to maintain and explore more flexible arrangements. The rate of technological change has presented new skill development areas and expectations on the efficacy and reliance on digital infrastructure is becoming increasingly demanding both from employees and customers.

The experience of isolation from the workplace has also challenged organisational culture and connection. It is becoming more important for people strategies to embed wellbeing practices in day-today and long-term planning to ensure the health and safety of our people.

Whilst the concept of the great resignation did not permeate local government, what is becoming increasingly important for employees and job seekers, is the alignment of personal values and a sense of purpose from their work. This adds to the need for a clearly defined and unique Employee Value Proposition (EVP).

What are our priorities?

Achievements from the last four years

Our previous Workforce Management Plan focussed on ten strategy areas that each had priority actions over the four-year period. These deliverables have addressed critical challenge areas such as addressing an ageing workforce through flexible work practices, creating a contemporary workplace following amalgamation, attracting, and retaining a diverse workforce, capability mobility and investing in skills.

The following outlines some of our key achievements that have been realised in each of the ten strategy areas of the 2017-2021 Workforce Management Plan:

1. Capability mobility

Implemented temporary, planned mobility of employees across business areas to build capability and develop a more experienced and engaged workforce able to respond to the challenges of a changing industrial landscape, the shifting needs of our community, and Council’s directions.

2.

Continuous learning

Developed frameworks to support a dynamic workforce with the required tools and capabilities required to respond to rapid change.

3. Flexible resource allocation

Established flexible mechanisms to mobilise resources in times of change to enable fast real time responses and maintain business continuity.

4.

Information management

Streamlined information management to ensure we collect the information we require, store it safely and intuitively, and share and analyse data to drive business decisions.

5.

Iterative business improvement processes

Engaged in continuous reviews of our systems, processes and procedures to realise opportunities for improvement.

6.

Talent management

Actively sought to attract, recruit, hire, and retain the most talented and superior employees, to contribute to our diverse workforce and further their careers in local government.

7. Open physical and virtual environment

Created a fit-for-purpose environment that influences a positive workplace culture and supports work/life balance.

8. Partnerships and networking

Encouraged internal and external stakeholder relationships to share knowledge and utilise skills to supplement expertise and accomplish mutual goals.

9. Performance centric

Continually motivated our workforce through improved feedback mechanisms, role clarity and rewards and recognition programs.

10.

Technology, systems, and tools

Identified opportunities to invest in new technologies or to upgrade, streamline and perfect our systems and tools.

Priorities for the next four years

As a relatively new Council, we have made significant strides in establishing our workforce strategies. For 2022-26, we continue to aspire to building a workforce that is inspired, diverse and engaged focusing on five priority pillars.

Implementation, Monitoring and Review

Implementing the People Plan

Georges River Council recognises that we are only as good as our people and when their experience at work is good, they are more likely to feel engaged and productive, resulting in positive outcomes for our customers and the community. Workshops with our people, including people leaders and staff, have highlighted the following people experience focus areas, strategies, and actions over the next four years to ensure we deliver on our Community Strategic Plan; we offer our people interesting, challenging and rewarding work and opportunities to make a real difference to our community; and to support our goal to be the best at what we do and be an employer of choice.

YEAR 1 2022/23 YEAR 2 2023/24 YEAR 3 2024/25 YEAR 4 2025/26

Optimising Performance to empower our people to perform at their best and deliver on outcomes.

Cultural Shift to connect our people and realign our purpose and values to work together towards a common goal.

Leadership Development to inspire and lead our people through change and transformation.

Safe and Healthy Workplace for our people, from a holistic outlook for total wellbeing. Driving a healthier, happier, and more engaged and productive workforce.

Highly Capable People to continuously improve the way we work and sustain a culture of learning that provides opportunities to develop and progress in their careers at Council.

Talent Acquisition and Retention to drive greater diversity and ensure we have the right people in the right roles with the right capabilities.

Diverse and Inclusive Workplace that supports and develops great people from diverse backgrounds, ensuring our people feel valued and are showing up to work as their best self.

Active Collaboration to leverage expertise across key projects, expand talent mobility, facilitate knowledge exchange, and strengthen coaching/ mentoring.

Talent Management and Succession Planning to embed a framework and mechanisms to manage talent and career development.

Digital Empowerment to ensuring our people have the right technology to do their jobs and are skilled in the effective use of these tools.

Reimagining Flexibility to establish working arrangements that truly promote flexibility across our diverse workforce.

A Great Employee Experience to ensure our people are engaged throughout the entire employee lifecycle and promote Council as a great place to work.

Brand Reputation and our Employee Value Proposition (EVP) to promote what it means to be part of Council and enhance organisational pride and loyalty.

New Future Fit Workforce Strategy to engage with our people and community to determine priorities for the next four years.

Employer of Choice to recognise our Council as a great place to work.

How will we measure the success of our people plan?

Annual Staff Engagement Survey

Our annual staff engagement survey, exChange Ideas, provides three key performance indicators of which we can measure the success of Our People Plan and gain insights into employee attitudes and perceptions.

Engagement, Progress and Wellbeing scores are determined based on responses to several questions focused on the following drivers:

• Purpose – the clarity which exists about your organisational identity. Are staff aware of senior management strategy and vision? Are staff committed to the values and mission of the organisation?

• Production – the extent to which staff feel they have the infrastructure and resources they need to do their jobs. How well are staff able to maintain peace by managing stress, achieving work-life balance, and working flexibly.

• Participation – relates to staff feeling about how they are managed, the extent to which they receive development opportunities, satisfaction with organisational communication – vertically and horizontally, and many traditional ‘HR’ practices.

• People – staff relationships with their immediate co-workers. Do they work well in a team? Are they motivated? Are they skilled and talented?

The results of the survey will be direct measures of how Council is performing in our five areas of priority.

Workforce Metrics and Benchmarking Surveys

Monthly and quarterly metrics reporting allows for continuous measures of how Our People Plan is succeeding in managing areas such as workforce turnover, workplace injuries, absenteeism, excess leave liability, performance management and recruitment activity which all significantly impact employee experience, engagement, and excellence. Metrics also provide a picture of the diversity of our workforce and allows us to continually plan for the future and drive decisions based on data to continue to deliver quality services for our community.

Further, participation in benchmarking surveys allows us to compare our performance against industry to ensure Georges River Council is a high performing Council and an employer of choice.

Participation and Feedback in Programs

Active participation of our people in programs aligned with our priorities for the next four years will provide indication of the reach or Our People Plan and the feedback gathered from these programs will further improve and provide valuable insights into shifts of experience, engagement, and excellence.

Workforce Movements

Adopted talent acquisition, succession and transition to retirement strategies will enhance the attraction of quality people to fulfil the needs of our organisation now and into the future; facilitate the professional development of our people; and support our people who are preparing for life after work.

Career pathways, movements and sustained tenure of our people will be positive markers of employee perceptions of Georges River Council as a place to work and grow.

Digital Resource Management Plan

What is the Digital Resource Management Plan?

A focus on our digital resources

This Digital Resource Management Plan demonstrates the Council’s commitment to using the best digital framework to enable responsive and timely services and information. It is one of four components of Council’s Resourcing Strategy, 2022/2023. The Resourcing Strategy articulates how the Council’s finances, workforce, infrastructure, and technology will support the implementation of our Delivery Program 2022-2026. The Delivery Program works towards meeting the aspirations and expectations expressed in the Community Strategic Plan 2022-2032 for the Georges River Local Government Area (LGA).

Council’s digital infrastructure is a critical enabler that supports the whole of our operations. It facilitates the delivery of all services to our community and customers. Internally, it also ensures our workforce, governance, Councillor, and corporate support functions run smoothly. We have identified that our digital assets and resources are a key area to consider strategically for both our current operations and when planning for the future.

This Digital Resource Management Plan defines our current digital starting point, aims and the roadmap by which Council will leverage information and digital technology to transform the nature of services to our community and customers to deliver on Community Strategic Plan outcomes and targets. Our digital assets and resources are integrated into all parts of Council and throughout our Local Government Area. It is important to identify these components and ensure that systems are performing to produce maximum benefit for our community and organisation.

Its implementation will support digital transformation and innovation for both the organisation and the community we serve. We aim to be a leading Council, demonstrating best practice for digital asset resource delivery and management. This Strategy has been built with considerations for the future including:

• Expectations and usage

• Governance

• Rapid change and obsolescence

• Funding and staffing

• Asset management

• Location flexibility

• Environmental and market influences.

Key themes of Council’s Digital Resource Management Plan

Our Aim

To strengthen Council’s reputation and maintain community confidence by delivering secure, efficient and customer-centric services.

For our community, this means greater flexibility and certainty in dealing with Council.

Our new CSP - The Plan 2022 – 2032 and Delivery Program 2022 – 2026 are currently on public exhibition. Our current Digital Resource Management Plan is being reviewed to enable the priorities outlined in these plans. Three key strategic objectives have been derived from our community and corporate priorities. These will form the basis for the 2022-2026 Digital Resource Management Plan.

Our 2022 – 2026 New Strategic Objectives

Three strategic objectives underpin this new Digital Resource Management Plan framework which will drive our digital priorities and new subsequent actions.

1. Guard our Information – Governance to enable Trust

Commit to delivering outcomes and take actions that will build a digital framework and system that is sustainable and resilient.

We will:

• Continue to adapt information security governance to meet the challenges of an everchanging threat landscape

• Support business sustainability and resilience

• Proactively manage risks

• Commit to responsible procurement and asset management.

• Cultivate strategic partnerships with core vendors.

2. Empower Digital Government – Improving the ways we serve and interact

Deliver digital and automated services enabling a mobile and flexible Council.

We will:

• Provide digital first user centric services through digital transformation

• Provide technology to support a flexible workforce and make services available anywhere, anytime on any device to staff so they can better service our community and customers

• Enable process automation and artificial intelligence to improve operational efficiencies

• Drive a data driven, transparent organisation.

3. Sculpting Change - Exploring and adapting to new technologies

Through collaboration support innovation across our corporate and customer services. We will also create a move to improve culture through continuous review and improvement of our processes and digital assets, systems, and resources to deliver increased productivity, efficiency, effectiveness, and customer satisfaction.

We will:

• Drive a digitally skilled and capable workforce

• Support a culture of continuous improvement

• Enable innovation across Council functions and services.

Current state

Technology framework responsive to legislative framework

One Council protected and resilient technology network, connected across location

Receptive Cloud offering and enterprise hybrid Cloud architecture framework

Availability of services anywhere on any device to staff

Established continuous improvements focus across Council functions and services

Strategic partnerships with core vendors

A data driven, transparent and accountable organisation enabled by digital technology

Future 2026

Technology framework aligned to legislative framework

One Council protected and resilient technology network connected with the world

Embedded Enterprise Hybrid Cloud architecture framework

Availability of services anywhere on any device to staff and customers

Enable continuous improvements focus and innovation across Council functions and services

Strategic partnerships with core vendors and effective Service & Vendor Management framework

Insight to enable effective decision making through digital technology

Emerging global trends in technology

Council, in planning ahead for our future, has investigated what is promoting advancement, and adaptation in the government sector across Australia, as well as global trends and emerging technologies. Remaining informed of these emerging and evolving global trends will assist in strategic planning and manage the expectations of these future influences, although they do not affect us immediately or directly. Gartner, a leading worldwide information communication technology research agency, publishes findings annually about emerging global technology trends and influences. This research is intended to assist and guide high level strategic thinking by organisations and assist in planning for the future. The top 12 Gartner strategic technology trends are split into three sections: Technology that accelerate growth, technology that sculpts the pathway for change regarding digitisation and technology that works to engineer trust in secure integration and processing across networked environments.

Accelerating Growth

1. Generative Artificial Intelligence

The artificial intelligence (AI) scene has evolved from AI managing and solving problems to creating entirely new content. Using media such as text, images and audio, a generative artificial intelligence program can produce new media based on the references it was fed. It can assist with a range of things, including the protection of identity with generated avatars and voices that seem human, to creating high resolution pictures from low resolution references.

2. Autonomic Systems

Autonomic systems promote self-management, learning and awareness enabling hardware or software systems to adapt their processes to better support their ever-changing requirements and conditions, enhancing overall performance. The adapting nature of these systems will allow organisations to respond and conform to rising needs, overtaking where conventional automation fails. Gartner predicts that by 2025 autonomic systems will be present in broad areas of robotics, smart vehicles, drones, and smart spaces, maturing from simple tasks and singular devices to complex networks such as collaborations between numerous

smart devices. As an example, a drone surveyed one of Council’s parks and determined it was ready for mowing. In an autonomic system, the drone dispatches an autonomous mower or tracker to mow the grass. The council will investigate and explore the possibilities of autonomic systems across the organisation, keeping in mind the concerns around increased unemployment due to automation.

3. Total Experience

Total experience, or TX, is a strategy that combines the digital and nondigital practices of user experience, citizen/constituent experience, employee experience and multi-experience to create an increased comprehensive service experience that strives to increase citizen and employee confidence and satisfaction with government services. At Georges River Council, we always aim to make services that are between the public and council effortless for both parties for the sake of efficiency and simplicity. An example of this is in the creation of our mobile app, we called on different age groups and people with different disabilities to test our complaint section. We took on the feedback accordingly to work towards the making of a that can easily be accessed and understood by any user. Council is constantly working to use modern technologies and streamline processes further for our staff to receive and complete requests. Total experience is an approach Council will continue to utilise when working on services involving the public.

4. Distributed Enterprise

Due to recent events regarding the ongoing COVID-19 pandemic, there is a focus on remote and hybrid staff having the ability to provide service to remote and in person customers using digital capabilities. This sort of flexibility will help us prepare and expand our reach and accessibility.

Sculpting Change

5. AI Engineering

Artificial intelligence engineering focuses on developing tools, systems, and processes to assist the application of artificial intelligence in realworld contexts. As AI becomes more prominent in technology, the speed at which they need to be applied to our Council applications is ever increasing. Filling critical roles, developing training, and preparing a digitally skilled workforce that are ready to support any new AI systems will be integral to the future of our work alongside emerging artificial intelligence technologies.

6. Hyper-automation

Hyper-automation is a systematic strategy to quickly identify, evaluate and automate as many processes as possible. Cutting the action time of requests will help in leading us to improve citizen engagement, communication, and services. Gartner predicts that by 2024, 75% of governments will have at least three organisation wide hyper-automation initiatives, launching or in use. In Council, AI bots could be developed to take on the main work for very manual processes. An example in the registration of digital records, a bot could be developed to automate this registration process and remove manual handling, increasing response times from our other departments and allowing staff to attend to more complex tasks and enquiries.

7. Decision Intelligence

Council needs the ability to make decisions in unpredictable environments with unaccounted challenges. Decision intelligence promotes faster, adaptive decision-making by understanding how decisions are made and how their outcomes are evaluated and enhanced by feedback. This will allow an automated decision-making process, using AI, a data driven technology, and advanced analytics at each stage of activity. In Council, we can use this to decrease response time in our services, for example having AI approve development applications if they fit criteria, or have AI find the reasons it does not.

8. Composable Applications

Composable applications are easily adapted to enhance resource utilisation to meet a variety of everchanging demands, decreasing cost and decreasing response time. Applying a plug and play process, pooling resources to dismantle, exchange and re-build components allowing flexibility in controlling all elements. Council acknowledges the importance of resilience in an evolving unpredictable world and aims to establish systems that will allow us to keep pace.

Engineering Trust

9. Cloud Native Platforms

Cloud-Native is an approach to creating and running programs that takes advantage of features offered by cloud: a digital data center available to multiple users over a network. With cloud native technology's essence of agility and speed, cloud native platforms create an IT foundation supporting efficiency and resilience through secure data processing and integration.

10. Privacy-Enhancing Computation Techniques

Allowing the secure collection, sharing and processing of personal data, privacy enhancing computation techniques work to eliminate the compromising of privacy and confidentiality while the data is being used. Council holds the security of our data as a main priority, and we aim to guard our information with the most effective methods. Identifying where and what kinds of information needs to be accessed and assessing where information needs to be shared internally or externally, processed or analysed we can map out the intended flow of information and how to keep it secure.

11. Cybersecurity Mesh

Cybersecurity mesh is a shared, flexible, scalable, and reliable approach to cyber control, suited to keep pace with the changing demands of today. Cybersecurity mesh architecture implements a common, combined structure of security, allowing individual solutions protecting specific access points to collaborate and create various levels of access, which provides a major difficulty to threats trying to exploit an entire network. For example, if a hacker were trying to access personal information of residents, they would need to pass multiple levels of security to access the multiple facets of the information they want. A home address, development plans and complaints would be separated, yet under the same profile. By increasing the complexity of our security, Council can ensure the confidentiality of our data.

12. Data Fabric

Data fabric is the approach of handling data using network-based models, rather than end to end connections. Consisting of combined architecture and technologies, data fabric is a single environment that simplifies the management of data, connecting multiple locations, types, sources, and methods of access. A simplified process allows innovation and the combining of steps of tasks, allowing quicker processing and completion of work, rather than the alternative of processes spanning multiple locations, and creating duplicate data.

How will we get there?

Our guiding principles

We have developed clear principles to guide the way that our digital resources are implemented and managed. These principles underpin and frame our decision making on digital projects.

Customer Centric

We will have a customer-centric framework delivering system availability, capacity and quality of service.

Financially responsible

We will source and assess technology and software delivering excellent returns on investment and business sustainability and look for opportunities to leverage for profitability.

Sustainable, resilient, and compliant

We will be committed to good governance by driving a sustainable, resilient, and compliant organisation.

Business Intelligence

We will develop and commit to utilise business reporting that facilities open, transparent, and accountable decision making.

Move to Improve

We will support and deliver a continuous improvement and innovative culture.

Council will present the new Digital Resource Management Action Plan (2023 to 2026) to enable the delivery our new CSP - The Plan 2022 – 2032 and Delivery Program 2022 – 2026, in 2023. The above outlined strategic objectives, emerging trends, and guiding principles will be critical in its development.

Where are we now?

We are in our final year of the Digital Resource Management Plan 2019 to 2022. Below is an overview of this Plan and our performance to date against our commitments in this Plan.

Organisational context

The existing Digital Resource Management Plan was built upon the foundations of the ICT Strategic Plan 2016-2018. It sets Council’s strategic digital technology objectives and will drive our new future state of technology.

This Plan was developed in consultation with staff from across Council through a series of workshops. These workshops gathered insights into staff needs across two categories: business and systems improvements and tools of the trade. The results indicated our staff considers the following to be important in undertaking their jobs and improving the way they work.

• Devices for a flexible and mobile workforce

• Mobile applications

• Improved website functionality

• Connectivity and easy access to Wi-Fi

• More accessible hardware, for example larger printers at childcare centres

• Communication tools

• System support

• Digital literacy and system training

• Ease of access to information across all systems.

This feedback has informed our Strategic Objectives, Priorities, and subsequent Action Plan.

The following 2019 to 2022 Digital Resource Management Plan on a page clearly outlines our objectives and promises. A snapshot of performance and how we are progressing through the last year of this plan are shared through our Snapshot of Current Situation.

Our Digital Resource Management Plan on a page – 2019 to 2022

Enable committed governance

Keeping our information safe

Empower digital government Improving ways we interact

State of digital technology 2019

Established technology governance framework

One Council protected technology network, connected across location

Established Hybrid Cloud Enterprise Architecture function

Mobility and productivity challenges

Established continuous improvement focus across Council functions and services

Established vendor management

Established performance reporting to help drive accountability

Undertake continuous improvement and innovation Exploring and adapting to new technologies

Embed business analytics Creating meaningful performance data

State of digital technology 2022

Robust technology governance framework

One Council protected and resilient technology network connected with the world

Strong and resilient Hybrid Cloud Enterprise Architecture function

Customers and staff access services and information anywhere, anytime from any device

Technology enables innovation across all Council functions and services

A strong, strategic service and vendor management framework

Technology facilitates a data driven, transparent and accountable organisation

Our current and future state promise - 2019 to 2022

It is important that Council continues to deliver efficient technology to our staff to ensure that appropriate and timely services are provided to the community. This includes mobile and flexible digital services as well as troubleshooting and training. We are continually undertaking projects that aim to improve both internal Council and community processes.

With technology continuously expanding, society now significantly relies on personal devices such as smart phones, laptops, and tablets to carry out tasks and access information. Council believes we should be supporting this shift in the norm with a focus on delivering reliable, efficient, and adaptable technology. This means ensuring that Council services are mobile, not only for the community but for Council staff, so that they enjoy a flexible working environment and work-life balance. We want to make sure that our actions deliver a relevant and viable digital infrastructure framework which will pave the way for future digital advancements, benefiting our community, customers, and staff.

Figure 2: Digital technology initial state of technology 2019 and future state promise 2022

State of digital technology 2019

Established technology governance framework

One Council protected technology network, connected across location

Established Hybrid Cloud Enterprise Architecture function

Mobility and productivity challenges

Established continuous improvement focus across Council functions and services

Established vendor management

Established performance reporting to help drive accountability

State of digital technology 2022

Robust technology governance framework

One Council protected and resilient technology network connected with the world

Strong and resilient Hybrid Cloud Enterprise Architecture function

Customers and staff access services and information anywhere, anytime from any device

Technology enables innovation across all Council functions and services

A strong, strategic service and vendor management framework

Technology facilitates a data driven, transparent and accountable organisation

What are our priorities?

Our priorities for 2022/23

Strategic Objective Priority

1. Enable Committed Governance

1.1 Continuously adapt Council’s information security framework against an ever-changing legislative compliance and threat landscape 1.2 Deliver sustainable, resilient systems and technical infrastructure to support our city 1.3 Leverage cost optimisation and enable proactive procurement of all Council digital assets

2. Empower Digital Government

2.1 Improve citizen engagement, communication, and services 2.2 Continue to expand mobile technology and digital workplace program 2.3 Continue to invest and enhance Artificial Intelligence and automated solutions 2.4 Support interoperability with State and Federal Digital Government initiatives

3. Undertake Continuous Improvement and Innovation

3.1 Grow a digitally skilled and capable workforce 3.2 Continue to cultivate key strategic and collaborative partnerships 3.3 Enable Council’s priority strategies 3.4 Continue iterative improvements in business process, staff, and operational efficiencies through the Move to Improve Program

4. Embed Business Analytics

4.1 Embed business reporting that facilitates an open, transparent, and accountable organisation 4.2 Establish an open data exchange for our community 4.3 Ensure governance framework exists to maintain data integrity for Council data.

Challenges and Risks

Recognising the challenges that impact Council’s ability to deliver and maintain digital assets and resources is important when planning for the future, this gives us an opportunity to build a robust Plan. The priorities and actions developed under each Strategic Objective in our Action Plan aim to mitigate these challenges and risks.

1. Resources

In order to deliver the desired outcomes, adequate resources need to be assigned. With competing priorities and expectations, people, budget, and time resourcing is the biggest challenge in the digital environment. While Council is aiming to increase the use of autonomous things, the systems and infrastructure still need human resources to build, support and maintain them.

2. Security

With the increase of online services and cloud computing, maintaining privacy and security is a high priority to ensure the digital safety of Council, its customers, and our community. The increase in cyber threats and changing legislation requires Council to remain vigilant to ensure electronic safety through compliance.

3. Change

In improving and innovating digital assets and resources Council needs to ensure that good change management is employed so that we can focus on digital literacy of staff, customers, and the community. We need to make sure that as the complexity of systems and technology increase, it is responsive to both our organisation and community.

4. Reputation

An increase in the use of social media and the online distribution of unreliable information creates reputational challenges for Council. Providing correct and real time information that can be disseminated widely is becoming increasingly important and challenging. Our users may create filter bubbles for social media, website content and other digital services in which case they will only follow or search for the content they choose and may miss the whole picture.

5. e-Inclusion

One of the challenges in an increasingly digital world is creating e-inclusion. It is important to ensure that users who do not have the same access to these digital services or required devices are not disadvantaged. Council also recognises that not everyone will have the same interest or access and that innovation does not mean leaving these people behind, but rather finding inclusive solutions and creating a balance between people and a system focus.

6. Capacity Gaps

Council recognises that capacity gaps within the organisation are another barrier towards our digital evolution that needs to be mitigated. Council’s workforce needs to be digitally literate and have access to the systems and tools that they need. We have staff of varying capability levels and need to ensure we support and upskill our teams to embrace modern technologies and devices that will benefit their ability to work smarter, not harder.

Critical to our success is that we attract the right skillset to ensure digital assets and resources can be delivered, supported, and maintained in-house rather than relying on third parties or external consultants. This also impacts resourcing in terms of people, budgets, and time. Mixed digital literacy creates capacity gaps in levels of training required in the introduction of new systems and tools.

7. Autonomous Things and Decision Making

Although the future of autonomous things is exciting, there are still numerous challenges and risks that need to be considered including societal acceptance. While many people will be happy to move to automated information and services, many may still trust human interaction and to be able to speak to a person who they feel will understand their needs. At this time, artificial intelligence does not yet have the same capability for decision-making and therefore cannot take into consideration unique circumstances and situations.

8. Sustainability and Resilience

Despite technological advances in e-government, the digital world still carries challenges and risks to the sustainability and resilience of an organisation and community. Increased use of technology has social, economic, and environmental effects that need to be considered as we progress on our digital journey.

Implementation, Monitoring and Review

2021 Results

We have developed a comprehensive Action Plan to ensure we meet our strategic objectives for effective digital resource management. This Plan will help us to make sure the actions are undertaken at the right time to build on our digital capability and respond to organisational and community requirements. Council’s Chief Information Officer (CIO) is responsible for the implementation, monitoring and review of this Plan. Each action will be implemented by the CIO in collaboration with relevant teams across the organisation.

We have reviewed this Plan and our success in meeting our strategic objectives in 2021 against the following targets.

Strategic Objective

2022 Target Results

Enable Committed Governance

100% compliance with regulatory requirements 100% 99.5 % availability of digital infrastructure performance. (Including CCTV and public Wi-Fi network) 99.97% 80% digital assets replaced in line with Digital Resource Asset Plan 85%

Empower Digital Government

100% of agreed key services digitally transformed 100% 90% of staff services available on any device, anytime 100% 90% of agreed automation and artificial intelligence initiatives implemented 95% 80% compliance with State and Federal interoperability requirements 80%

Undertake Continuous Improvement and Innovation

100% of new staff trained in the use of digital resources. 80% 100% of digital resource courses available for refresher training 50% 80% of budgeted priority strategy projects enabled (Georges Rivre 2050, Innovation and Smart Cities) 100% 80% of Move to Improve endorsed initiatives implemented 83% 80% of budgeted Digital Resource Management Plan implemented 93%

90% of real time data analytics dashboards for operational plan KPIs established to support accountability 80%

Embed Business Analytics

100% compliance to Government Open Data Exchange Standards 100% 90% compliance with Data Integrity measure 90%

Digital Resource Management Action Plan

2022 Progress Update

This Action Plan was informed by extensive organisational engagement and has strong synergies with the Community Strategic Plan (CSP) 2018-2028, specifically the goal relates to the CSP. This Action Plan focuses on the priorities and actions linked to each Strategic Objective and articulates timeframes for completion. This year 2022 is the final year of this plan. A detailed action plan enabling our new CSP will be formalised by November 2022.

Completed – 19, In Progress – 12 and Not Commenced - 2

Digital Resource Management

Enable Committed Governance

Continuously adapt Council's information security governance against an everchanging legislative compliance and threat landscape

Comply with changes in legislation and government policy 2022/23 In Progress

Educate staff, customers, and community to increase awareness of cyber security

2019 Completed

Implement Annual Audit agreed recommendations 2022/23 In Progress

Conduct a review of Council's enterprise systems and architecture 2022/23 In Progress

Digital Resource Management

Enable Committed Governance

Deliver sustainable, resilient systems and technical infrastructure to support our city

Review and communicate Council's Digital Resource portfolio and software catalogue

2021 Completed

Establish Technical Infrastructure resilience 2022/23 In Progress

Digital Resource Management

Enable Committed Governance

Leverage cost optimisation and enable proactive sourcing of all Council assets

Forward procurement plans for digital resources 2021 Completed

Establish and implement Council's Digital Communication Strategy 2022/23 In Progress

Continuous Review and improvement to Council's website presence ensuring relevance, performance, and responsiveness.

2022/23 In Progress

No Goal Objective Priority Action

Timeline Progress 11

Digital Resource Management

Empower Digital Government

Establish digital workplace to enable work anywhere, anytime on any device 2021 Completed 12

Continue to expand mobile technology and digital workplace program

Establish a common digital signage framework to enable effective citizen engagement

2020 Completed 13

Enable Customer Request Management 2020 Completed 14

Demonstrate a culture of continuous improvement and effective governance

Enable Digital transformation for key services 2022/23 In Progress 15

Empower Digital Government

Improve citizen engagement and services

Establish Electronic Lodgement 2021 Completed 16

Enable interoperability of State and Federal digital government initiatives 2022/23 In Progress 17

Automate invoice processing and payment 2022/23 Not Commenced 18

Demonstrate a culture of continuous improvement and effective governance

Automate incoming receipting of customer documents 2022/23 In Progress 19

Empower Digital Government

Continue to invest and enhance Artificial Intelligence and automated solutions

Enable digital signatures 2020 Completed 20 Automate Data Integrity 2021 Completed 21 Streamline Application Management processing 2022/23 In Progress 22

Develop digital skills literacy program 2021 Completed 23

Demonstrate a culture of continuous improvement and effective governance

Undertake continuous Improvement and Innovation

Review eLearning platform 2022/23 Not Commenced 24

Grow a digitally skilled and capable workforce

Develop effective, diverse, and accessible digital resource training program 2021 Completed 25

Digital Resource Management

Undertake continuous Improvement and Innovation

Continue to cultivate key strategic partnerships

Establish roadmaps for key digital resources 2021 Completed

No Goal Objective Priority Action

Timeline Progress

26

Demonstrate a culture of continuous improvement and effective governance

Undertake continuous Improvement and Innovation

Enable Council’s strategic and priority plans (e.g., Georges River 2050, Innovation and Smart cities strategies)

Review Digital Resource Management Plan to ensure that it supports the Innovation Strategy and aligns with Georges River 2050 Leading for Change

2021 Completed 27

Review Digital Resource Management Plan to ensure that it supports Council’s priority strategies and plans e.g., Cultural, Innovation and Smart City Strategies

2021 Completed

28

Digital Resource Management

Undertake continuous Improvement and Innovation

Continue iterative improvements in business process, staff, and operational efficiencies through the Move to Improve Program

Facilitate Move to Improve Program with all management groups 2022 In Progress 28

Demonstrate a culture of continuous improvement and effective governance

Embed Business Analytics

Embed business reporting that facilitates an open, transparent, and accountable organisation

Establish operational real time reporting dashboards to support efficient services to our community

2020 Completed 30

Facilitate data sources to enable City dashboard for our community and customers

2021 Completed 31

Digital Resource Management

Embed Business Analytics

Ensure governance framework exists to maintain data integrity for Council data

Establish data integrity to ensure our community has up to date information 2021 Completed 32

Demonstrate a culture of continuous improvement and effective governance

Formalise a City Data Policy 2021 Completed 33

Embed Business Analytics

Enable an open data exchange for our community

Establish an open data exchange for our community 2022/23 In Progress

Asset Management Plan

What is the Asset Management Plan?

The Asset Management Plan (AMP) forms part of the Resourcing Strategy and highlights key elements of the Strategic Asset Management Framework (The Framework). The AMP provides an overview of the structures, management processes and principles applied to ensure of sustainable delivery of Council’s infrastructure assets. It outlines key principles that underpin our approach to providing the assets that are essential to our community.

Asset Planning and Reporting

Council is committed to meeting the requirements of the NSW Integrated Planning and Reporting (IP&R) Framework. This document has been prepared in accordance with the IP&R guidelines. This is the second review of the Asset Management Strategy and Plan for Georges River Council and forms an integrated component of Council’s overall Resourcing Strategy.

Strategic Asset Management Framework

A Council’s Asset Management Framework consists of several components including an Asset Management Policy, Asset Management Strategy and Asset Management Plans for individual asset classes. The Asset Management Policy and Strategy are provided in the Resourcing Strategy along with relevant sections of the Asset Management Plans. This allows the document to be presented in a way that facilitates understanding and engagement with the community. Georges River Council is currently working to refine our Framework to align to our goals of increasing financial sustainability.

The Framework works to deliver on Section 8B of the Local Government Act 1993, to ensure sound financial management. In terms of Asset Management Georges River Council is committed to ensuring that the community of today receive quality infrastructure and there are sufficient funds directed to maintaining these assets for future generations.

Asset Management Policy

Council’s Asset Management Policy guides the strategic management of Council’s assets. The Policy defines the Council’s vision and service delivery objectives for asset management in accordance with legislative requirements, community needs and affordability. The Asset Management Policy applies a corporate approach to asset management within all operational areas of Council. The infrastructure asset categories covered under the policy are considered critical to the council’s operations and include:

The Asset Management Policy adopted by Council in 2016 was superseded by the Asset Accounting Policy 2020. The general principles of the Asset Accounting Policy are as follows:

• Existing assets are managed efficiently;

• decisions regarding the acquisition of new assets and the sale, disposal and maintenance of current assets are undertaken transparently; and

• accounting records and financial statements are prepared and maintained in accordance with the applicable accounting standards and legislative reporting requirements.

Asset Management Strategy

Georges River Council’s Asset Management Strategy has been developed in the context of the following key questions:

• What have we learnt? Our key learnings over the last term of Council.

• Where are we now? Our current asset management situation and current asset management practices.

• Where do we want to be? The desired future state and strategic outcomes.

• How will we get there? Strategies, actions and performance measures to bridge the gap between current and desired positions.

What have we learnt?

Strategic Asset Management is critical to ensuring the long-term sustainability of Councils service delivery through our asset inventory. Over the last 12 months there has been a focus on understanding the maturity levels of our asset management practices. Key focus areas over this term of Council will include:

• A focus on strategic asset management

• An accurate, up to date asset inventory, contained within the GIS

• Consistent naming conventions

• Ownership and responsibility for asset data

• Communication of asset data across the organisation

• Implementation of a robust fit for purpose Project Management Framework

•

Where

Georges

Asset class values as a total percentage of replacement costs

Roads - Condition rating in practice

Roads are Council’s largest asset to manage, both in asset quantity and asset value. An important measure of road assets is the Pavement Condition Index (PCI).

The PCI is a rating of 1 to 5 using a standardised system for Pavement Management. In the past two years Council has undertaken significant work to improve the pavement management process including predictive modelling of long-term changes in PCI based on a variety of funding scenarios.

Figure 1: Graph identifying asset class values as a total percentage of replacement costs

Asset Condition by Asset Class

Asset Conditions refer to the physical state of an infrastructure asset.

Figure 3 provides the PCI profile for all road assets in 2016 and 2018. It shows the proportion of roads at each PCI level. As demonstrated, a large proportion of the assets are at the higher end of the PCI profile noting overall good condition. The average PCI for the road network in 2016 was 1.69 and 1.46 in 2018, this out performs Council’s target PCI of 2.8 out of 5.

Figure 2: Asset condition by asset class as at 2020/21

Figure 3: PCI profile for all road assets in 2016 and 2018

While overall PCI remains favorable, there is data showing cracking which is a sign of deterioration. Additional pavement base testing is identified as a key action in the upcoming asset management program to validate the concerns relating to pavement distress parameters.

In the past 4 years, Council has undertaken approximately 415,868 m² of resheeting works across the local government area.

Based on the current and projected network status, Council should consider annual spending of $5.5M to maintain the network within a PCI range of 2.5 to 2.8 over the next 10 years.

Without additional road renewal funding each year the predictive modelling suggests that the network average pavement condition will fall below the community desired service level of 2.8 in approximately 7 years.

Working towards Zero Net Emissions Targets

Council is working to increase opportunities to use recycled materials in construction using recycled materials such as Recycled Crushed Glass (RCG) and Reclaimed Asphalt Pavement (RAP)for use in asphalt. This promotes innovation and greater efficiency, enables our transition to a circular economy and leverages better environmental and economic outcomes. In 2022/ 23 Council will trial RCG on our roads with the aim of rolling out more broadly in 2023/24 after a thorough assessment is completed.

Council will look to increase sustainable materials into other asset classes in the coming years.

Risk Management Plans

Council recognises that risk exists in all aspects of its operations. It takes seriously the impact of risk on business continuity and service delivery and is committed to an approach that embraces a strong risk management culture and fulfils Council’s duty to provide a safe environment.

Council has adopted an Enterprise Risk Management Strategy and corporate risk register, which is used to identify and manage significant risks. The framework is founded on principles from the Australian and New Zealand ISO Standard on Risk Management (AS/NZ ISO 31000:2009). It guides the monitoring and reporting of risk profiles and the required actions to reduce the level of risk presented to Council and the community.

Linked to the corporate risk register are asset specific risk management plans that have been incorporated into the asset management plans. These assist in the identification and management of significant risks for each asset class. They provide detailed evaluation of the significant risks, risk treatments and risk monitoring activities.

Figure 4: Predictive modelling of long term changes in PCI based on a variety of funding scenarios.

Where do we want to be?

The Plan 2022 – 2032

The Plan 2022 - 2032 is our second community strategic plan. This revised community strategic plan progresses and extends the previous community strategic plan, bringing on board new and previous community feedback and aspirations and taking account of the challenges that now confront not just Georges River Council, but also NSW, Australia and indeed, the world.

The Plan identifies the following six pillars that underpin our work for the community:

1. Our community

2. Our green environment

3. Our economy

4. Our built environment

5. Our place in Sydney

6. Our governance

The community engagement undertaken to deliver The Plan found that the key priorities of our community for the future of the Georges River Local Government Area include planting trees and greening our area, including greening our town centres.

Our community appreciate and want more and upgraded open space and parks and want safe cycling and walkability. Residents want to protect the Georges River area heritage and history. They want to activate our town centres and provide jobs for local people and want to continue to enjoy local festivals and events and have access to community support.

There is a shift to stay local, due to the COVID-19 pandemic, and our community anticipates that this shift will be on-going. They want to continue to use local parks and shop locally and work from home at least part time. It signals a possible renaissance for our local centres and continued high use of our parks and open space.

There is strong support for the provision of library services in the western part of the local government area, and people of all ages, including children, support and want to continue to enjoy local library services. Residents want good governance and financial efficiency from Council.

The Asset Management Strategy has been prepared in line with the six pillars outlined in the Plan. Council’s asset portfolio plays both a direct and an indirect role in achieving the strategic objectives of Council and supporting the service delivery needs of the community.

Community

Our green environment

Our economy

There are a range of transport options and increase walkability and cycling to connect people, goods and businesses.

Everyone has access to quality parks and open space and active and passive recreation facilities

Council-led development and assets provide quality, long term benefits to everyone.

Our place in Sydney 5.1 Leadership focuses on innovation and improving the customer experience.

The three spheres of government work together to improve services and facilities in our area.

Georges River is known for being environmentally and culturally rich and enhances its metropolitan position as a destination for people and business.

Our governance

6.1 Our community’s voice is considered in planning the area’s future.

Our decisions are based on evidence which consider financial impacts, the environment and impacts on future generations.

Our community knows why and how decisions are made 

The workforce is inspiring, diverse and engaged.

Figure 5: The Plan pillars and goals and alignment to service delivery outcomes for 2022-2032

Desired levels of service

Service levels refer to both technical levels of service and community levels of service. Community levels of service are reflective of the communities’ expectations of the asset and the service it provides. Council’s community service levels have been developed through an extensive community consultation process to gauge expectations of the infrastructure assets that Council provides.

A project conducted in 2016/17 involved a representative telephone survey of 400 residents to explore the importance of, and satisfaction with, existing assets as well as priorities for the construction of new assets. A deliberative community forum was also held with ratepayers to explore the acceptable condition levels for the asset categories and where funds should be spent in the future.

The survey demonstrated that ratepayers felt that all services provided by Council’s infrastructure assets are important and they were generally satisfied with the with the current condition and service provided.

Overall, results show very high levels of satisfaction. The areas of higher dissatisfaction have been investigated to target the service level improvements that would best improve the level of satisfaction, details of these improvements are outlined below.

Figure 6: Community satisfaction with assets scale of 0-10 where 10 = extremely satisfied and 0 = extremely dissatisfied

The deliberative community forum included 102 ratepayers based on quotas set on age, gender, location and language spoken at home to reflect community make-up. The forum focused on footpaths, local roads, stormwater drainage, kerb and gutters, community buildings, and parks and reserves. The community was presented with photographs representing each of the five condition levels for each asset type and feedback was sought as to what they felt was an acceptable standard.

For each of the asset classes the community agreed that a condition rating between 2 and 3 was the acceptable standard.

Asset category The Community Wants (Community LOS) How we Deliver this (Technical LOS)

Sealed Roads

Sound smooth road surface to travel safely on

Kerb and Gutter

Footpaths

Parking & Bus Shelters

Stormwater Drainage Assets

Buildings Assets

Water doesn’t pond in driveways for more than 2 days after a storm

Safe, sound, non-slippery pathways provided to enable safe travel throughout the network

Provide an efficient parking and bus shelter areas that are aesthetically pleasing

Level of flood protection provided to properties and roads;

Serviceable and accessible throughout the year with safety and comfort

Table 4: Results of community service levels engagement 2016/17

Sealed roads will be resealed or rehabilitated when roughness counts exceed 120 or more

Average Acceptable Condition Rating (in a scale 1-5)

2.9

K&G rehabilitated or renewed at or prior to condition 3 2.5

No more than 30% of all identified trip hazards have a step greater than 25mm.

Annual condition assessments to ensure these assets are maintained at condition 3 or above

Annual condition assessments to ensure these assets are contained at condition 3 and adopt a robust Floodplain Risk Management plan

2.7

2.7

2.5

Compliance with building & fire 4,263,000

Community feedback is an essential part of determining asset maintenance and renewal funding allocations. Deterioration models are used to determine the optimal amount of funding required for each asset class to maintain the assets at the average condition level determined by the community.

Focus Areas

Following the survey, to increase levels of community satisfaction, Council reviewed service levels on the Streetscape and Public Amenity cleansing programs.

Case study: Streetscape Deep Cleansing Program

Following community feedback Councils public place deep cleansing program has undertaken a partial review. Following the review of this service a new schedule has been implemented determined by each centres requirements for deep cleansing in commercial centres and amenities. This program is in addition to existing routine cleansing carried out by Council and covers:

• 2 Strategic Centres being Kogarah and Hurstville

• 8 Town Centres

• 14 Local shopping strips

• 57 Public Amenity Buildings

Case

study:

Public Amenity Cleaning

Council officers identified a performance gap within the current service provided in public amenity cleaning in overall hygiene, cleanliness and safety practices. The review saw changes in routes, introduction of new products, a support manual and training. Our public amenities now receive a rating of 94% up from 24%.

Case Study: New Footpath Program 2022/23

After two years of undertaking footpath renewals only, in 2022/23 Council will recommence the construction of new footpaths.

The locations have been selected through a placebased analysis to:

• improve links to public transport, educational institutions, commercial centres, recreational facilities and health facilities;

• strengthen existing pedestrian links creating a connected network, and

• meet the expectations of the residents.

Council receives numerous requests for new footpaths each year. To provide further information, the following specific criteria are used to assess the priority of new footpath requests.

• Proximity to pedestrian generating land uses;

• Availability of footpath on one side of the street;

• Availability of pedestrian crossing facilities;

• Pedestrian volume during peak periods;

• Traffic volume on road segment;

• Footpath network linkage, and

• Condition of the existing grass verge.

Implementation, Monitoring and Review

Monitoring Asset Management Performance

Council will monitor asset performance through the following indicators:

Indicator Purpose

1

Infrastructure Renewals Ratio

2 Infrastructure Backlog Ratio

To assess the rate at which these assets are being renewed relative to the rate at which they are depreciating.

This ratio shows what proportion the backlog is against the total value of a Council’s infrastructure.

Benchmark 2021 2020 2019 2018

Min 100% 55% 83.30% 104.04% 76.62%

Max 2.00% 1.63% 1.54% 1.58% 2.14%

3 Asset Maintenance Ratio

Compares actual v’s required annual asset maintenance. A ratio above1.0 indicates Council is investing enough funds to stop the infrastructure backlog .

Min 100% 100.19% 101.33% 105.35% 114.60%

Table 5 shows the industry benchmarks for asset performance and Council’s results for the past 4 years

The ratios provide an indication as to whether present allocated budgets are funding the appropriate share of the consumption of the assets each year.

Note* Infrastructure Renewal Ratio: The low infrastructure renewal ratio for 2021 is due to a material prior year error relating to found assets, disposed assets and duplicated in Open Space and Building Assets identified by the auditors and corrected in the FY21 Annual Financial Statements. Actions to mitigate this error have been included in the Improvement Plan on page 17. It is noted that the actual dollar amount of renewals increased in FY21 however, due to the prior period errors and the impairment losses, the ratio dropped significantly. If you exclude past period errors the ratio improved on FY20.

Council is currently performing above the industry benchmark for maintenance. This table shows a high level of planned maintenance which can offset of the lower renewal rates in the short-term, however Council acknowledges a need to focus on renewals over the next 5-10 years.

Based on asset information which will be refined over the next 12 months it is predicted that there will need to be increased budget allocated to the renewal of Open Space and Stormwater Asset Classes.

Operations and Maintenance Expenditure

Open Space 11,428,000 12,119,000 10,660,000 9,128,000 Buildings 4,008,000 5,744,000 7,326,000 7,100,000 Roads 4,076,000 4,105,000 3,144,000 3,061,000

Footpaths 2,208,000 2,892,000 5,228,000 3,347,000

Street Lighting 2,155,000 2,448,000 2,422,000 2,039,965

Stormwater Drainage 1,476,000 1,451,000 1,988,000 1,871,000

Annual Total 25,351,000 28,759,000 30,768,000 26,546,965

Table 6: The annual operating and maintenance costs of Council’s assets for the past 4 years.

Table 6 provides an overview of the previous year’s annual operating and maintenance costs per asset class. These are fixed costs required to operate and maintain these asset classes.

Life cycle management and expenditure forecasts

Council has a responsibility to plan and maintain assets to ensure long term sustainability. The long -term priority presented in this strategy reflects Council’s objective to manage its current inventory of assets at the identified levels of service while optimising life cycle costs.

Life cycle management involves consideration of all management options over the life of an asset from creation to disposal. This includes operational and maintenance activities, restoration and renewal activities, enhancement and finally decommissioning and disposal.

The following table presents a summary of the ten-year expenditure forecast for Council’s infrastructure assets based on current operational and maintenance expenditure:

Financial Indicator

10yr Financial Projection 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31

Operations($M) 14,163 14,489 14,822 15,163 15,512 15,869 16,234 16,607 16,989 17,379

Maintenance($M) 15,854 16,219 16,592 16,973 17,364 17,763 18,172 18,589 18,989 19,433

Total($M) 30,017 30,708 31,414 32,136 32,876 33,632 34,406 35,196 35,978 36,812

Table 7: Ten-year expenditure forecast for Council’s infrastructure assets

Funding allocated towards the rolling works program will be determined each year when the annual budget is formulated and adopted. The size of Council’s annual budget allocations for its capital works and, importantly, how these budgets are apportioned to the various assets, will have major implications for Council’s future financial liability.

Infrastructure sustainability

Council’s forecasted maintenance budget is in line with required maintenance expenditure for the next 10 years achieving an asset maintenance ratio above 100%. However, without additional funding allocation towards asset renewal expenditure, projections indicate that Council will fall below the asset performance indicators for Infrastructure Renewals Ratio and Infrastructure Backlog Ratio.

As of 30 June 2021, Council’s infrastructure backlog was reported at $15.76 million. Council’s infrastructure backlog is projected to grow at approximately $2.38 million per year over next 10 years.

Recent Council spending on asset renewal has been significantly improved by the high value of additional capital grants Council has been successful in receiving in the past five years. Whilst these projects will have many positive benefits for our community it is important to differentiate between expenditure that has effectively renewed an existing asset and those which have created new assets. The creation of new assets with grant funding only adds to the challenge of funding Council’s operating, maintenance, and renewal responsibilities.

Table 8 displays the challenges council will face in the coming years if there is not increased renewal expenditure. It is important to prioritise the renewal of assets ‘replacements of existing assets as opposed to the acquisition of new assets.

Financial Year 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31

Projected Infrastructure Backlog($M)

20,186 22,573 24,979 27,403 29,845 32,305 34,781 37,274 37,574 37,994

Projected Renewal Ratio (%) 57.13% 57.8% 57.13% 57.13% 57.13% 58.48% 57.13% 58.83% 59.42% 60.12%

Table 8 is a prediction based on the 20/21 FY data showing renewal ratio of 55%

Council’s infrastructure assets have very long useful lives. This means that they deteriorate at an extremely slow rate. As a result, it can take many years of underfunding asset renewal to become apparent to Council and the community. This can lead to complacency in decision making. A failure to set aside appropriate funding for assets today has a compounding effect (backlog) and will lead to the deferral of significant costs to future operating and capital budgets. The funding strategy, scenarios and challenges are detailed in the Long Term Financial Plan

How will we get there?

Improvement Plan

To meet the challenges outlined above and ensure that Council’s services and infrastructure are provided in a financially sustainable manner, Council must continue to improve our asset management practices. This includes ensuring resources and operational capabilities are identified and responsibility for asset management is allocated.

Georges River Council undertook an Asset Management Maturity Assessment to gain an improved understanding of the current asset management capability in order to improve the overall performance of the Council and it operations. The maturity assessment is based on the International Infrastructure Management Manual (IIMM).

As such this assessment provides Council with the opportunity to understand how its asset management practices, systems and processes compare with industry standards and other councils and also to measure their improvement in various areas of asset management capability.

This is the first Asset Management Maturity Assessment for the amalgamated Georges River Council.

Council’s maturity assessment for the core competencies is summarised in figure 7. The Maturity Score Spider Graph shows the Current maturity for each maturity element as assessed by the organisation in blue below compared to the ‘core’ competencies (Level 3) required under the Australian National Assessment Framework (NAF) which are shown by the red line. It is expected that Council’s asset management maturity will change to core levels in all areas and develop towards advanced levels in the next three years. Specific actions to be undertaken to improve or enhance council’s asset management capability, including resource requirements and timeframes are provided below.

Strategic Actions – Improvement Plan

The Improvement Plan outlined is a culmination of previous years improvements plans consisting of high-level strategic actions and specific operational actions to improve asset management practices. These actions, described in table 9, are closely aligned with the Community Strategic Plan and Delivery Program.

Figure 7: Asset Management Maturity Assessment

A progress report has been included as has additional actions identified as part of the 20/21 Annual Financial Statement and as direct results of operational changes.

An Asset Management Steering Committee was established in early 2022 to guide the overall strategic direction for asset management, to ensure operations and management of Councils assets are executed in alignment with Councils strategic direction, specifically:

Develop and establish corporate policies, strategies and guidelines regarding asset management; Review and monitor the preparation and implementation of Asset Management Plans; Review existing asset management practices, procedures and systems;

• Review and monitor the 10-year, 4-year and Annual Capital Program;

• Review and evaluate specific business cases as they relate to new assets;

• Review the distribution of grant funding allocations to ensure alignment of critical priorities and equity across all directorates;

• Monitor the implementation of recommendations from the Asset Management Assessment –Morrison Low report and;

• Advocate on behalf of Council to NSW Government in regard to asset management matters.

It is important to note that with an increased focus on asset management it is likely more areas for improvement will be highlighted in the coming years

Asset Management Improvement Plan

Action Progress Responsibility Priority Timeframe

1

Demonstrate a culture of continuous improvement and effective governance throughout Council services. Implement an Innovation Strategy to provide a strategic approach to improvements to customer service, service delivery and performance improvement.

The Georges River Council Innovation Strategy was adopted in 2020. The Strategy continues to be delivered as is an increased focus on place-based infrastructure planning.

ET High Ongoing

2

Continue to develop transparent and responsible asset management processes that align with best practice. Convey consistency across the Asset Management Strategy, Asset Management Plan, Long Term Financial Plan, Asset Systems, data collection, condition reporting and service levels.

A realignment of the Assets and Infrastructure Directorate to include the Strategic Placemaking business unit has created a focused strategic approach to Council’s asset management practices.The Georges River Asset Management Steering Committee has also been established to drive strategic asset management.

MSPM, CFO High Ongoing

3

Deliver a robust Strategic Asset Management Framework including an Asset Management Policy, Strategy and Asset Management Plans for each asset class

Council’s Strategic Assessment framework is now under review as a result of the 2020/21 Asset Management Maturity Assessment. The realignment of the Assets and Infrastructure directorate have created a strategic arm to undertake long-term planning for community assets. The Georges River Asset Management Steering Committee has also been established to drive strategic asset management.

4

Advocate to ensure the sustainability, transparency and intergenerational equity of community infrastructure

Councillors and Council officers will continue to advocate for consistent asset management practices. Most recently a motion to the LGNSW Conference advocating for a consistent framework for establishing useful lives of assets.

AMSC High 22/23

5

Develop an end-to-end asset accounting processes from planning, operating to renewal phases.

The Asset Accounting Policy was adopted in 2020 to drive accurate asset management practices across Council.Councils Strategic Assessment framework is now under review as a result of the 20/21 Asset Management Maturity Assessment.The Georges River Asset Management Steering Committee has also been established to drive strategic asset management.

Councillors ET High Ongoing

CFO AA High 22/23

6

Build capacity by reviewing and documenting roles, resources and responsibilities for asset management. This includes establishing a good understanding of asset and financial data planning and management.

A realignment of the Assets and Infrastructure Directorate to include the Strategic Placemaking business unit has created a focused strategic approach to Council’s asset management practices. Asset Specialists in 22/23 will focus on creating an accurate asset inventory located within Councils GIS.

CFO MSPM High 22/23

7

Establish clear expectations and a consistent approach to calculating depreciation and backlog. Apply this approach across all asset classes to obtain the most accurate backlog. Assess the backlog against Council’s infrastructure priorities, financial budgets and Long-Term Financial Planning.

11 Update asset management plans for all asset classes

Operational practices have been reviewed and new processes have been implemented to accurately account for asset planning and capitalisation.

A new dedicated team will deliver updated asset management plans for the four asset classes with a 10-year outlook RoadsOpen SpaceBuildingsStormwater

AA AS High 22/23

MSPM AS High 22/23

15

Establish a new Project Management framework.

The Project Management framework is currently being developed and will be rolled out in 2022.

MSPM MCTS High 22/23 14

Review processes for making capital investment decisions. To be driven by Council’s strategic long term planning documents, Long Term Financial Plan and Community Strategic Plan. Explicitly detail the impact on the future operations and maintenance budgets, “whole of life” costs and risk management assessments

The newly established Georges River Asset Management Steering Committee will make recommendations to the Executive regarding capital investment decisions. This will include the approval of asset management plans and 10-year capital works program.

AMSC High 22/23 9

Deliver Works, Assets and Mobility program to support preventative maintenance decisions and longterm planning

In progress. A focus for 2022/23 is Street Tree Planting and Preventative Maintenance

CIO MCOS MSPM Medium 22 – 24 10

Deliver a corporate Asset Management System containing all asset inventory data, financial information, maintenance and scheduling

CIO, MSPM, AA Medium 22 – 24 12

Incorporate pavement base deflection testing into pavement management to allow more detailed approach to deterioration modelling and treatment selection.

Scoping is currently in progress.

In 2022 a comprehensive Roads Condition assessment is being undertaken to plan for the next 3 years of road re-sheeting

AS Medium 22/23 13

Prioritise and plan asset maintenance renewal works to meet agreed service levels based on site inspections, infrastructure priorities and community importance

A new dedicated team will deliver updated asset management plans for the four asset classes with a 10-year outlook RoadsOpen SpaceBuildings Stormwater

AS COS Medium 22/23 16

Establish a framework for community groups to request works to Council assets to align with the annual budget process.

Key

ET - Executive Team

Working group established

AMSC - Asset Management Steering Committee

MSPM - Manager Strategic Placemaking

CFO - Chief Financial Officer

AA - Asset Accountants

MSPM, MCTS Medium 22/23

AS - Asset Specialist

MCTS - Manager City Technical Services

CIO - Chief Information Officer

COS - Executive Manager City Operational Services

Long Term Financial Plan

Executive Summary

The Long Term Financial Plan (LTFP) forms part of the Resourcing Strategy and is an essential for informing decision-making during the preparation and finalisation of the Community Strategic Plan and the development of the Delivery Program.

As per the relevant legislation, financial decision making is to give due consideration to promoting the financial sustainability of the council through:

• the progressive elimination of operating deficits

• the establishment of a clear revenue path for all rates linked to specific expenditure proposals

• ensuring that any proposed increase in services and/or assets is within the financial means of the council including a proposed special rate variation

• ensuring the adequate funding of infrastructure maintenance and renewal

• the use of borrowing is appropriate and financially responsible, and

• the fair and equitable distribution of the rate burden across all rate payers.

This LTFP has been developed based on the 2022/23 Budget Strategy and the Independent Pricing and Regulatory Tribunal (IPART) approval for a special rate variation that was announced in May 2021.

Despite resource caps within council, a challenging external environment and an increase in service expectations Council remains committed to its financial sustainability. A requirement of our approved special rate variation from IPART is to substantially maintain the service standards whilst identifying $12 million in cost containment and efficiencies over the next three years.

The 2022/23 Budget will be the first year Council is forecast to achieve a surplus and difficult prioritisation of valued services, projects and programs will be essential reaching financial sustainability and compliance with Council legislative obligations.

Financial Governance and Principles

In preparing the Long Term Financial Plan (LTFP) and guiding financial decisions are the Integrated Planning and Reporting documents, the Local Government Act 1993 and financial principles. The Local Government Act 1993

The Local Government Act 1993 (the Act) outlines the principles of sound financial management in which Council is governed by. Section 8B of the Act states that:

• Council spending should be responsible and sustainable, aligning general revenue and expenses.

• Councils should invest in responsible and sustainable infrastructure for the benefit of the local community.

• Councils should have effective financial and asset management, including sound policies and processes for the following:

» performance management and reporting, » asset maintenance and enhancement, » funding decisions, » risk management practices

• Councils should have regard to achieving intergenerational equity, including ensuring the following:

» policy decisions are made after considering their financial effects on future generations, » the current generation funds the cost of its services.

Principles

In addition to the legislated principles of sound financial management, Council’s actions and strategies are balanced on the following principles: Sustainability, Affordability, Accountability and Growth.

Sustainability

Ensure the long term sustainability of Georges River Council – this involves putting in place measures to strengthen its operating income base (without depending on one-off receipts of grants or contributions), managing its expenditure to optimum levels, and maintain positive Net Operating Results.

Affordability

Operate within affordability by structuring expenditure within the boundaries of income received and/or level of subsidy. Plan and execute programs and projects after taking into account the affordability of the long term ongoing impact on future revenue and expenditure and its priority in the context of strategic priorities.

Accountability

Continue to be accountable to ratepayers for optimum management of income generated and expenditure incurred. Ensure the budget strategy is transparent and aligned with the obligations of financial sustainability.

Growth

Approach all activities from the perspective of constantly improving the quality of services, identifying efficiencies, cost containment and productivity, to benefit the current and future community.

Sustainability and Affordability Challenges

Georges River Council takes great pride in its role of providing and maintaining high quality local services for our community. If Council is to continue to deliver the current level of services and facilities, we need to effectively plan for the future.

In 2018, it was identified there was declining profitability and a dramatic decline in cash forecast over the 10 year period. This was due to two fundamental problems:

1. Council does not generate sufficient operating income to fund operating expenditure for its current service portfolio and program of works

2. Each year, increases in operating income are less than the increases in operating expenditure.

Over the past four years after extensive engagement with the Community, Council received approval from the Independent Pricing and Regulatory Tribunal to increase rates over five years (known as a Special Rate Variation) in conjunction with a $12 million savings target.

This revised LTFP outlines the impact of the approved Special Rate Variation (SRV) and the projected financial results based on budget saving strategies implemented annually.

The next 10 years presents the requirement for Council to generate sufficient funds to carry out $422 million worth of infrastructure outlined in the adopted Contributions Plan and also establish a financially sustainable base to enable funding of projects outlined in strategic documents, that currently have limited or no funding options. The value of these works is over $400 million.

Productivity and Cost Containment Strategies

The Council has adopted consistent operating deficits since 2012. With an average adopted deficit of $8.1 million, prior to the amalgamation.

Following the amalgamation, Council has adopted, and almost halved, the average deficit of $5 million, this is a significant improvement based on two years of COVID-19 related financial impacts.

2020/21 financial results outlined the operating performance ratio improved by 4%, bringing council closer to a budgeted surplus target in 2023/24.

Further, Total cash and investments increased by $15 million, which was a positive result attributed to the strict 2020/21 budget strategy adopted.

Unrestricted cash was a positive $7 million, comparative to nil in 2019/20.

These results have reinforced the success of council’s strict budget management strategies adopted over the past four years and the outcome of extensive community consultation.

The next three years will require Council to identify $12 million in operational savings to complete the IPART approval for the Special Rate Variation and overcome the financial sustainability issues identified in 2018.

To achieve these savings, Council can adopt a very broad range of strategies, initiatives or activities to improve the efficiency of its operations and the productivity of its workforce, and to contain costs and increase revenue. Approaches to include:

• Review of assets in order to rationalise and divest property

• Review of and refinancing loan borrowings

• Reviewing community venue management to increase the utilisation of venues and associated revenues

• Reviewing charges to ensure greater costrecovery for Council provided services

• Pursuing opportunities for commercialisation and business improvement

• Introducing environmental and energy efficiency initiatives

• Adopting more efficient information and communications technology for a range of activities such as communications, document processing, financial transactions, outdoor staff operations, e-recruitment

• Redesigning and/or removing non-statutory administrative reporting or people/performance/ project management to achieve efficiencies

• Comprehensive strategic-level review of council operations including service priorities, levels of service, labour and capital inputs

• Targeted reviews of discrete areas of council operations encompassing all aspects of processes, reporting, procedures, procurement, scheduling and equipment use

• Reviewing service delivery standards

• Organisational restructures to achieve better workforce efficiency and reduced salary expenditure

• Reviewing procurement strategies, such as shared purchasing through joint organisations of councils

• Improved management of workers compensation insurance claims and safety audits

• Seeking private contract works for road maintenance and other services

• Contracting to provide services to other councils or the private sector

• Adopting waste management strategies to reduce landfill waste and associated costs

• Focus on works projects that are funded from externally restricted reserves

• Continue to benchmark activities and align operations where necessary, to yield optimum results

• Provide financial hardship support to those adversely impacted

• Mitigate the impact of external factors on Council’s financial sustainability.

Local Infrastructure Contribution Projects

The New South Wales (NSW) local infrastructure contributions (LIC) system helps provide new and growing communities with appropriate infrastructure. The NSW LIC system is regulated by the Environmental Planning and Assessment Act 1979 (the Act) and the Environmental Planning and Assessment Regulation 2000. Section 7.11 allows councils to levy contributions towards the cost of providing local infrastructure. Contributions plans set out the local infrastructure required to meet the demand from new development, and the contributions a council can levy on developers to fund the necessary land and works.

Voluntary planning agreements (VPAs) is another form of revenue generated for local infrastructure from developments. They are arrangements between developers and either councils or the State Government for infrastructure contributions collected for purposes not covered by a contributions plan. Section 7.4 of the Act allows councils and developers to voluntarily agree to a contribution arrangement.

The purpose of the Council’s LIC plans and VPAs is to:

• Provide the framework for the efficient and equitable determination, collection and management of contributions towards the provision of local infrastructure in the Georges River LGA; and

• Ensure Council’s management of local infrastructure contributions complies with relevant legislation and practice notes; and

• Establish the relationship between expected development and proposed local infrastructure to demonstrate that section 7.11 contributions under this plan are reasonable; and

• Ensure that developers make a reasonable contribution to the provision of local infrastructure required for development anticipated to occur up to 2036; and

• Ensure that the existing community is not unreasonably burdened by the provision of local infrastructure required, either partly or fully, as a result of development in the area; and

• To allow the opportunity for local infrastructure, or the dedication of land at no cost to Council, to be provided by developers or land owners in lieu of paying a monetary contribution when it accords with Council objectives or outcomes.

Development timeframes are such that there is often several years between when LICs are collected and the infrastructure is delivered.

The below table highlights the current balance at year end and forecast closing balance based on budget allocation and anticipated income.

Georges River Council Infrastructure Contribution Reserve Balances

New Georges River Council Section 7.11 Contributions Plan (Anticipated expenditure depending approval)

2019/2020

Actual Closing Balance

2020/2021 Actual Closing Balance

2021/22 Forecast Closing Balance

2022/2023 Forecast Closing Balance

$'000 $'000 $'000 $'000

0 0 419 991

Georges River Council Section 94A Plan 4,355 3,394 4,249 2,564

Former Kogarah Section 7.11 Contributions Plans – Commenced 12 March 2013 36,093 40,730 41,385 45,014

Former Hurstville Section 7.11 Contributions Plans – commenced 14 March 2013 17,037 12,758 13,667 12,523

Former Hurstville Section 7.11 Contributions Plans – Repealed 14 March 2013 7,056 5,832 5,857 5,236

Section 7.13 - Court Ordered Development Consent Contributions 94 374 376 379 Voluntary Planning Agreements 10,419 10,630 12,325 10,036

Totals $75,054 $73,718 $78,278 $76,743

The new Georges River Council Contribution Plan includes $422 million worth of works, of this approximately 45% ($192 million) is to be funded by Council and the remainder is developer contributions.

State and Federal grants are also potentially available for many of the projects within the works schedules and can be used to assist with Council’s contribution.

Further, several key projects in the contributions plans have potential to be delivered as a joint venture, particularly in the Civic Centre Precinct. These projects represent approximately $50 million of funding required to fund the existing population’s share.

Council also has funds that will be received as part of various planning agreements which may be used towards funding the projects with low apportionment to the future population, particularly for public domain and traffic works within the Hurstville City Centre.

The table on the next page highlights the Value of works contained in s7.11 and s7.12 works schedules, with apportionment by Infrastructure types:

Value of works contained in s7.11 and s7.12 works schedules, with apportionment Infrastructure types

Section 7.11

Open Space

Works

Total project costs LIC Apportioned costs

Council Contribution

$173,990,852 $143,873,354 $30,117,498

Open Space Upgrades $82,920,936 $58,614,542 $24,306,394

Open Space Acquisition $91,069,916 $85,258,812 $5,811,104

Community and Recreational Facilities $96,399,508 $44,727,899 $51,671,609

Recreation facilities (indoor and outdoor courts) $14,998,500 $14,998,500 $0

Libraries (capital works) $52,378,610 $9,428,150 $42,950,460

Libraries (resources) $1,693,757 $1,693,757 $0

Community Centres $21,773,641 $13,499,657 $8,273,984

Childcare facilities $5,555,000 $5,107,835 $447,165

Public Domain $88,206,305 $13,230,946 $74,975,359

Transport $41,899,118 $6,284,867 $35,614,251

Roads and intersections $26,816,875 $4,022,531 $22,794,344

Pedestrian, active transport and traffic calming $15,082,243 $2,262,336 $12,819,907

Sub-Total $400,495,783 $208,117,066 $192,378,717

Admin (1.5% of total costs) $3,121,756 $3,121,756 $0

Section 7.12 Works

Open Space $2,600,000 $2,600,000 $0 Community Facilities $4,100,000 $4,100,000 $0

Public Domain $2,400,000 $2,400,000 $0 Transport $9,700,000 $9,700,000 $0

Sub-Total $18,800,000 $18,800,000 $0

Total costs $422,417,539 $230,038,822 $192,378,717

Open Space acquisitions and upgrades contribute to 42% of the total works schedule. The amount of open space currently provided in the Georges River LGA is 2.34 hectares per 1000 people, short of the benchmark of 2.7ha per 1000 people. There is also a shortfall of active open space provision of 7.6ha for the existing population. With additional population growth, the existing rates of provision will drop, and the shortfalls will increase unless more open space can be provided. Ward

To maintain the current rate of 2.34ha per 1000 people for the incoming population, Council would need to provide an additional 57.6ha (at an estimated cost of $1,440,000,000) of open space by 2036. The NSW government cap on contributions to a maximum of $20,000 per dwelling means that this amount of land acquisition is unaffordable under section 7.11 contributions.

Forecasting and Assumption Statement

Financial Planning Assumptions

In preparing the budget, consideration was given to a range of economic and political factors that affect our finances. This impacts our capability to maintain existing levels of service and long term financial sustainability.

Georges River Council is expected to have significant worker and resident population growth over the next 15-years. A large proportion of this growth is forecast to occur in the strategic centres of Hurstville and Kogarah. This growth creates a new demand for either new facilities or embellishment of existing facilities.

Area

Total (residents) 162,794 170,524 177,933 185,346 22,552 13.9%

Total (workers) 52,784 56,452 59,530 63,292 10,508 19.9%

The Independent Pricing and Regulatory Tribunal (IPART) recently announced the introduction of the rate peg with a population growth factor included. It is noted that this will not account for past growth and a special rate variation is required to cover costs associated with population growth. Further, the Local Government cost index calculator does not account for drops in income, increased service expectations/expansion or the approved mandatory Award increase.

Changes to service expectations or level of service would require a further special rate variation in future years.

Revenue Forecasts Rating

Rates are the most stable and largest source of operating revenue that fund services. Council will assess the following in the long term management strategy of rates:

• application and impact of special rate variations

• application of the new rate peg and population growth factor

• restrictions of the current rate peg local government cost calculator

• increased revenues from other sources

• changes to service portfolio and level of service

• the projected impact of the rate cap

• any need to increase the reliance on rating due to a reduction of revenues from other sources such as a decline in grants and subsidies.

Fees and Charges

A number of the services we provide are offered on a user pays basis. In preparing the Long Term Financial Plan, possible future income from fees and charges, including opportunities to reduce reliance on other forms of income, has been considered. A major limitation of fees and charges growth is the statutory fees and charges that do not cover the cost of service. It has not been assumed that COVID-19 will continue impacting fee based services into the life of the plan.

Grants and Subsidies

The assumption is to plan for continued efforts in applying for and receiving grants based on historical trends. This is a volatile income source and should these grants and subsidies be reduced, our ability to provide the same level of service will be impacted.

Contributions

As part of the NSW Governments review of the infrastructure contributions system, the

Government introduced the Environmental Planning and Assessment Amendment (Infrastructure Contributions) Bill 2021 (Bill).

The amendments proposed in these reforms would have a significant impact on the Georges River Council contributions plan, with approximately $60m worth of projects apportioned to development in the works schedules of this plan for facilities that may be excluded. Should the Bill be passed, and a new contributions Plan be required.

Operating Expenditure Forecasts

Employee Benefits and On Costs

The current Local Government State Award prescribes the mandatory annual increase for award based staff. Other assumptions relating to employee costs in the Long Term Financial Plan include:

• Assumed annual award increase of 2% where it is unknown

• Increase in superannuation as per the 12% target by 2025/26

• No change in existing employee resourcing levels

• A 6% vacancy in establishment permanent positions in each financial year.

• Annual productivity initiatives such as Christmas close down, no grant days, vacancy rates, recruitment holds and moderate training program until 2025/26 of between 3% and 6% per annum

Note: Award increase post 30 June 2023, have not been confirmed/approved. Consultation on the Award increases is anticipated to start February/March 2023.

Borrowings

2022/23 will result in Council being debt free with the final payment of the 10 year Jubilee Community Centre loan. There are no anticipated borrowings over the ten year period based on Council being required to demonstrate an actual trend of positive operating results.

Materials & Contracts

Materials and contracts including Domestic Waste Management costs and other expenses which represent the principal costs used to deliver services to the community are forecast to increase in line with the CPI. While the rate of growth projected is uneven it is forecast to average 2.3% per annum.

Depreciation and Amortisation

The depreciation methodology can be found in the Notes to the General Purpose Financial Statements. The depreciation expense assumed in the Long Term Financial Plan has been calculated in accordance with this methodology.

Other Expenses

Other Expenses primarily relate to Utility Costs, Property Maintenance, Insurances, Statutory Charges (including Election Costs, Emergency Services Levy). These are forecast to generally increase in line with CPI, though an assumption of environmental sustainability measures being implemented will have financial benefits of 0.2% per annum.

Capital Works Program Forecasts

Historical trends highlight grant and developer contribution funds has been the main contributor to new and renewal of assets. This is a volatile funding source, and the Georges River Council Contributions Plan highlights a shortfall in funding future infrastructure needs.

Council achieving operating surpluses and regenerating internal asset management cash reserve will be a key requirement to fund renewal items in the future, close the infrastructure funding gap and assist in co contributing to grant funded projects.

The plan has assumed an annual program of $35-40 million per year with the continued assumed funding of over 30% from external restricted funding sources.

Model Sensitivity

In planning for the current and future forecasts, we have made assumptions on factors outside of our control such as inflation, wage increases, cash rate and rate/other income capping.

Although the assumptions are are our current informed estimate based on a range of reliable sources, long term financial plans are inherently uncertain. These models are based on assumptions which represent the most likely outcome, given the prevailing economic and operating environment. Within each model there is a table that outlines the assumptions applied. A 1% increase in the Inflation rate can adversely affect the Result (net of Capital Grants). Similarly, an additional 1% increase in wage costs can adversely affect the net result.

Key Performance Indicators

Financial health check performance indicators including the unrestricted current ratio, operating result, debt service ratio and capital renewal ratio are monitored/reported on quarterly and annually. The statement of performance measures is in accordance with Local Government Code of Accounting Practice and Financial Reporting.

The Operating Performance, Unrestricted Current and Cash Coverage ratios Highlight the essential ingredients for sustainable financial operations.

The Operating Performance Ratio Measures the extent of Council’ Revenue (net of Capital Grants) coverage of Expenditure. This needs to be a positive figure and ideally, growing.

The Unrestricted Current Ratio Measures Council’s liquidity. The benchmark based on successful organisations is set at 1.5 to 2.0. An increasing ratio over time shows improving liquidity and an environment where there is sufficient coverage of Current Liabilities from Current Assets.

The Cash Coverage Ratio Measures Council’s cash coverage of expenditure. This shows the number of months that Council will be able to operate unhindered, in the event that Council is unable to generate any additional cash through its operations. The greater the number of months shown, the more comfortable is the operating environment.

Financial Models Overview

Current Situation – Based on the Adopted 2022/23 Budget

On 27 June 2022, Council resolved to reintroduce and adopt a number of budget changes, resulting in a reduction of the target surplus from $1.9 million to $1.2 million. The following items were reduced or deferred in the 2022/2023 budget;

• Community Grants Program - budget reduced by $45,000 to $436,00

• Meet Your Ward Councillor Days - format be revised and budget of $32,000 deferred

• Staff Leadership Program - budget reduced by $20,000 to $80,000

• Cashless Payments Customer Experience Centres - budget of $50,000 deferred.

• River Run Staff Conference - budget of $200,000 deferred.

• Analysis of risk along ethane pipeline - budget of $35,000 deferred

• No change to the Councillor Salary for the 2022/23 Financial Year. The following items were included in the 2022/2023 budget;

• Increase council’s contribution to the Georges River Council Combined Committee (GRCCC) - $20,000

• Councillor superannuation contributions from 1 July 2022 of 10.5% - $50,000

• 3 Staff Grant Days - $600,000

• Significant Tree Register - $40,000 ($20,000 to be funded by Resilience Fund grant)

• Councillor Discretionary Ward Fund - $45,000

• Population Data Analysis and Forecast Report - $70,000

• Playing field lighting upgrades - $90,000

• Finalise the Mortdale Local Centre Master Plan - $60,000

• Masterplan Traffic Studies - $100,000

Model 1 – Based on Draft 2022/23 Budget with savings/reduction strategies applied

The Adopted IPART approved model (Model 3) highlighted a surplus of $1.9 million in 2022/23. In order to achieve the $1.9 million surplus target, a cost reduction strategy has been applied to both employee costs ($3.5 million) and materials and contracts ($4.5 million). This strategy aims to reduce expenditure by $8 million. The projected employee cost on the current establishment was in excess of $5.3 million above the IPART approved LTFP target and materials and contracts and other expenses was $2 million in excess of the target. Projected income based on current council policies was trending $900,000 below the target. This resulted in a $ 8 million gap.

Model 2 – Forecast Result without budget reduction/savings strategies applied

Outlines the position of Council based on current income and expenditure trends/obligations and the approved Special Rate Variation. It highlights that without cost reduction strategies Council will not be in a sustainable position and achieve operating surplus in the short and long term projections.

Model 3 – New Rates 2021 Proposal – IPART Approved Model

Outlines the IPART approved Long Term Financial Plan (LTFP) Model which outlines a multi-year permanent Special Rate Variation of 5.8% each year for 5 years from 2022/23 plus projected Expenditure Savings of $12m over 3 years from 2022/23. The combined effect of these 2 measures is projected to resolve the unprofitable financial position of council and instill sustainable positive financial outcomes over the 10 years of the LTFP.

Model 4 – Forecast without application of the Budget Strategy and SRV based on historical trend

Highlighted the deteriorating financial results of Georges River Council without the corrective action of a Special Rate Variation and ongoing savings of $12 million over 3 years. This model highlights that if left unaddressed, Council would inevitably lead to council being unable to fulfil its mandated obligations.

In addition, Council’s income was to be adversely affected by the termination of a current Special Rate Variation (from the former Hurstville City Council) with effect from 1 July 2021. This will reduce income by $2.3 million.

1,815,294 0

(16,883) 0

(17,662) 0

(17,851) 0

(18,046) 0

(16,199) 0 Accruals & Provisions

(18,134) 0

(18,639) 0

(15,644) Total Current Liabilities

0

0

0

0

(16,360) 0

(596) (596) (596) (596) (596) (596) (596) (596) (596) (596) 0

(16,077) Non Current Liabilities Borrowings

0

0

0

0

0

0

0

0

0

0 Provisions Total NonCurrent Liabilities

(15,443) (16,026) (16,444) (17,005) (17,700) (18,040) (18,581) (19,386) (19,713) (20,304) 0

(34,678) (34,756) (35,086) (35,452) (35,958) (35,519) (35,376) (35,626) (36,386) (37,260) 0

0

(36,386)

1,756,937

(35,626)

(35,376)

(35,519)

(35,958)

0 Total Liabilities

(35,452)

(34,678)

1,714,356

1,691,401

1,669,248

(1,565,536) (1,587,689) (1,610,644) (1,631,935) (1,653,225) (1,674,322)

1,647,415

(34,756) (35,086) 1,735,647

(1,543,703)

1,624,516

1,602,595

(37,260) Net Assets

(1,520,804)

(1,498,883)

1,582,828

(1,479,116)

1,778,034 EQUITY Retained Earnings

(103,712) (103,712) (103,712) (103,712) (103,712) (103,712) (103,712) (103,712) (103,712) (103,712)

(1,602,595) (1,624,516) (1,647,415) (1,669,248) (1,691,401) (1,714,356) (1,735,647) (1,756,937) (1,778,034)

(1,582,828)

Revaluation Reserve

Total Equity

69

(79,620)

(77,814)

(74,817)

(49,386)

(48,925)

(47,811)

(46,722)

(45,048)

(44,577)

(27,351)

(26,496)

(25,421)

(24,994)

(24,965)

(24,439)

(42,904)

(81,753) Materials and Contracts

(42,420)

(40,354)

(23,239)

(50,522) Other Expenses

0

(22,932)

(21,612)

0

0

0

0

0

0

(28,113) Borrowing Costs

0

0

0

0

0

0

0

0

(5)

0 Bonds, Deposits and Retention amounts Refunded

0

0

0

0

0

0

0

0

0

0 Fair Value adjustment on Investment Property

4,104

0

0

3,960

3,744

33,182

3,556

32,992

3,417

32,795

3,194

33,008

0 Net Cash from Operating Activities

2,985

2,843 70 Georges River Council // Resourcing Strategy 2022/23

32,059

16,372 16,784 17,203 17,631 18,054 18,470 18,894 19,328 19,772 20,228

32,289 Contributions Capital

30,147

28,431

31,778 Grants

32,188 Cash Flows from Investing Activities Receipts Investment and Interest Revenue Received Sale

and

of Investment Securities

1,625 Proceeds

from Sale of Assets 1,271 1,030 1,030 1,030 1,030 1,030 1,030 1,030 1,030 1,030 Payments Purchase of Investment

2,571 Securities Capital

Works and Purchase of Fixed Assets (40,670) (41,500) (41,500) (41,729) (41,750) (41,980) (42,000) (42,000) (42,000) (42,000) Net Cash from Investing Activities (21,402) (21,115) (20,424) (20,083) (19,472) (19,063) (18,520) (17,898) (17,238) (16,638) Cash Flows from Financing Activities Receipts New Borrowings Payments Repayment of Borrowings (125) 0 0 0 0 0 0 0 0 0 Net Cash from Financing Activities (125) 0 0 0 0 0 0 0 0 0 Net Increase / (Decrease) in Cash and Cash Equivalents 6,904 9,032 11,635 12,925 13,323 13,929 14,662 13,880 15,051 15,550 Cash and Cash Equivalents Beginning of the Year 144,782 151,686 160,718 172,353 185,278 198,601 212,530 227,192 241,072 256,123 Cash and Cash EquivalentsEnd of the Year 151,686 160,718 172,353 185,278 198,601 212,530 227,192 241,072 256,123 271,673

16,244

15,879

15,522

15,172

212,834

208,283

203,857

199,477

195,192

190,939

(81,003)

(78,638)

(77,341)

(74,110)

(71,946)

(70,595)

(67,806)

(49,342)

(48,232)

(47,146)

(46,086)

(45,050)

(44,038)

(43,007)

(27,480)

(26,890)

(25,715)

(24,502)

(23,951)

(23,912)

(23,963)

176,468

16,618 Total

(63,900)

168,902

(22,164)

(22,254)

Operating Revenue

217,389 Operating

Expenditure

Costs

E mployee

and

(40,940) 72 Georges River Council // Resourcing Strategy 2022/23

43,731 49,464 53,643 56,163 56,647 58,530 59,159 58,081 59,074 59,564

Materials

Other Expenses

Total Operating Expenditure (125,171) (127,004) (129,836) (134,776) (138,545) (140,947) (144,698) (150,202) (153,760) (157,825)

Contracts Surplus/(Deficit) prior to Depreciation & Financing Costs

(25,692) (27,546) (29,038) (30,543) (32,061) (32,000) (32,587) (33,560) (34,128) (35,021) Financing costs (Interest Expenses) (5) 0 0 0 0 0 0 0 0 Net Operating Result for periodSurplus/(Deficit) 18,034 21,918 24,605 25,620 24,586 26,530 26,572 24,521 24,946 24,543 Prior year adjustments Net gai ns/(losses) from Disposal of Assets 241 0 0 0 0 0 0 0 0 0 Other adjustments / Revaluation A djustment on amalgamation Net Surplus/(Deficit) 18,275 21,918 24,605 25,620 24,586 26,530 26,572 24,521 24,946 24,543 Result Net of Capital Grants –Surplus/(Deficit) 1,903 5,133 7,401 7,988 6,531 8,059 7,676 5,191 5,171 4,313

(45,064) 0

(47,972) 0

(27,327) 3,877

(26,584) 3,657

(25,735) 3,487

(24,679) 3,229

(24,267) 2,987

(24,256) 2,811

(23,747) 2,531

(5) 0 0 0 0 0 0 0 0 0 4,128

(22,564) 1,625

(22,500) Cash Flows from Investing Activities Receipts Investment and Interest Revenue Received

(23,393) 25,941

Other Expenses Net Cash from Operating Activities

74 Georges River Council // Resourcing Strategy 2022/23

19,775

19,330

18,471

0 0 0 0 0 0 0 0 18,055

0 0 0 0 0 0 0 0 16,785

32,440 34,937 35,975 35,823 36,108 36,374 35,044 35,746 39,737 18,896

17,632

17,204

4,302 Grants and Contributions Capital

16,372

600

600

600

600

600

600

600

600

20,230 Sale of Investment Securities Proceeds from Sale of Assets

841

(42,000)

(42,000)

(42,000)

(41,980)

(41,750)

(41,729)

(41,500)

(41,500)

600 Payments Purchase of Investment Securities Capital Works and Purchase of Fixed Assets

(40,670)

(17,497)

(18,193)

(18,847)

(19,422)

(19,866)

(20,510)

(20,885)

(21,584)

(42,000) Net Cash from Investing Activities

10,856 14,052 15,465 15,957 16,686 17,527 16,851 18,249 22,869

(21,832)

158,319 172,371 187,836 203,793 220,479 238,006 254,857 273,106

(16,868) Cash Flows from Financing Activities Receipts New Borrowings Payments Repayment of Borrowings

147,463

(125)

158,319 172,371 187,836 203,793 220,479 238,006 254,857 273,106 295,975

3,984

0 Net Cash from Financing Activities Net Increase / (Decrease) in Cash and Cash Equivalents

143,479

Cash and Cash Equivalents Beginning of the Year

147,463

Cash and Cash EquivalentsEnd of the Year

216,210

(54,945)

(27,480)

(167,605)

16,244

211,796

15,879

207,378

15,522

203,075

15,172

198,827

14,831

194,669

190,540

183,203

176,312

16,618 Total Operating Revenue

168,902

(82,694)

(81,279)

(77,935)

(75,658)

(74,200)

(71,306)

(68,953)

(67,174)

(65,701)

Operating Expenditure E mployee Costs

(53,710)

(52,503)

(51,323)

(50,168)

(49,039)

(47,890)

(46,725)

(45,587)

(85,180) Materials and Contracts

(26,890)

(25,715)

(24,502)

(23,951)

(23,912)

(23,963)

(22,308)

(22,164)

(163,294)

(159,497)

(153,760)

(149,777)

(147,151)

(143,159)

(137,986)

(134,925)

(45,197)

(22,254)

(133,152)

Other Expenses

Total Operating Expenditure

48,502

47,881

49,315

49,050

47,518

47,381

45,217

41,387

35,750

Surplus/(Deficit) prior to Depreciation & Financing Costs

(34,128)

(33,560)

(32,587)

(32,000)

(32,061)

(30,543)

(29,038)

48,605 Depreciation

13,584

0

(27,546)

(25,692)

14,374

0

14,321

0

13,584

0

16,728

0

17,050

0

15,457

0

(35,021) Financing costs (Interest Expenses)

16,838

0

16,179

13,841

(5)

0 Net Operating Result for periodSurplus/(Deficit)

(6,646)

10,053

0

14,374

14,321

0

16,728

0

17,050

0

15,457

0

16,838

0

16,179

0

13,841

241

Prior year adjustments Net gai ns/(losses) from Disposal of Assets

0 Other adjustments / Revaluation A djustment on amalgamation Net Surplus/(Deficit)

(5,009)

(2,168)

(1,421)

(2,598)

(794)

(1,025)

(2,944)

10,294

(6,078)

(5,401) 76 Georges River Council // Resourcing Strategy 2022/23

0 0 0 0 0 0 0 0 0 0

(36,182) (35,654) (36,024) (36,376) (36,919) (36,465) (36,305) (36,536) (37,323)

1,667,257 1,681,578 1,695,952 1,709,536

1,633,479

1,514,310 1,529,767 1,546,817 1,563,545 1,577,866 1,592,240 1,605,824

103,712 103,712

(38,224) 1,571,164

0 0 0 0 0 0 0 0 0 0 77

1,585,005 1,601,184 1,618,022 1,633,479 1,650,529 1,667,257 1,681,578 1,695,952 1,709,536

(24,679) 2,986

(24,267) 2,889

(24,256) 2,837

(23,747) 2,712

(22,564) 2,601

(22,500) 2,554

(23,393) 2,409

Other Expenses 1,625

78 Georges River Council // Resourcing Strategy 2022/23

19,775

(5) 0 0 0 0 0 0 0 0 0 17,204

3,103 600

18,896

0 0 0 0 0 0 0 0 18,471

0 0 0 0 0 0 0 0 0 19,330

(27,327) 16,785

(26,584) 16,372

(25,735) 3,139 Grants and Contributions Capital

18,055

17,632

600

600

600

600

600

600

600

24,432 26,833 27,571 27,260 27,251 27,282 25,718 26,303 30,001 20,230 Sale of Investment Securities Proceeds from Sale of Assets

841

(42,000)

(42,000)

(42,000)

(41,980)

(41,750)

(41,729)

(41,500)

(41,500)

600 Payments Purchase of Investment Securities Capital Works and Purchase of Fixed Assets

(40,670)

(18,522)

(19,084)

(19,615)

(20,072)

(20,383)

(20,896)

(21,142)

(21,706)

(42,000) Net Cash from Investing Activities

(21,832)

(18,031) Cash Flows from Financing Activities Receipts New Borrowings Payments Repayment of Borrowings

0

0

0

0

0

0

0

(125)

0

0 Net Cash from Financing Activities

2,726 5,691 6,675 6,877 7,179 7,667 6,634 7,781 11,970

(125)

(2,381)

0 Net Increase / (Decrease) in Cash and Cash Equivalents

143,479 141,098 143,824 149,515 156,190 163,067 170,246 177,913 184,547 192,328

141,098 143,824 149,515 156,190 163,067 170,246 177,913 184,547 192,328 204,298

Year

the

Cash and Cash Equivalents Beginning of

Cash and Cash EquivalentsEnd of the Year

(72,265)

(70,139)

(68,827)

(66,077)

(63,877)

(62,250)

(60,423)

(6 0,495)

(59,500)

(58,730)

(56,508)

(48,259)

(47,176)

(46,070)

(44,952)

(43,855)

(43,508)

(4 4,390)

(41,928)

(39,591)

(42,454)

(24,081)

(24,039)

(24,088)

(22,429)

(22,282)

(22,100)

(2 3,635)

(23,109)

(21,935)

(21,606)

(49,368) Other Expenses

(24,634) Total Operating Expenditure

(142,479 )

(140,042 )

(136,235 )

(131,258 )

(128,387 )

(126,031 )

(128,5 20 )

(124,537 )

(120,256 )

(120,568 )

57,092

56,529

54,714

54,297

51,837

47,715

43,495

35,694

37,210

25,765

(32,587)

(32,000)

(32,061)

(30,543)

(29,038)

(27,546)

(25,692)

(24,894)

(24,014)

(20,631)

Materials

(146,267 ) Surplus/(Deficit) prior

to Depreciation & Financing Costs

Depreciation 80 Georges River Council // Resourcing Strategy 2022/23

Financing costs (Interest Expenses) (74) (71) (55) (25 ) (2) 0 0 0 0 0 Net Operating Result for periodSurplus/(Deficit) 32,483 5,063 13,141 10,775 17,801 20,169 22,799 23,754 22,653 24,529 24,505 Prior year adjustments Net gains/(losses) from Disposal of Assets 551 1,061 5,000 2,975 Other adjustments / Revaluation 80,618 Adjustment on amalgamation Net Surplus/(Deficit) 113,652 6,124 18,141 13,750 17,801 20,169 22,799 23,754 22,653 24,529 24,505 Result Net of Capital Grants –Surplus/(Deficit) (3,270) (7,944) (3,225) (4,466) 1,908 3,875 6,097 6,636 5,124 6,597 6,161

1,613,331

1,588,826

1,564,297

1,541,644

1,517,890

1,495,091

1,474,922

1,457,121

103,712 103,712 103,712 103,712 103,712 103,712 103,712 103,712 103,712 103,712 103,712

1,522,818 1,528,942 1,547,083 1,560,833 1,578,634 1,598,803 1,621,602 1,645,356 1,668,009 1,692,538 1,717,043

(17,087)

(596)

(596)

(596)

(596)

(596)

(596)

(596)

(596)

(596)

(500) (500) (500) (125) 0 0 0 0 0 0 0

(596)

(596) Total Current Liabilities

(15,626)

(16,053)

(15,486)

(16,090)

(14,717)

(16,710) 0 Provisions Total NonCurrent Liabilities

(17,280) 0 Total Liabilities

(16,283) NonCurrent Liabilities Borrowings

(36,368) 1,596,093

(18,883) 1,528,942

(36,026) 1,592,662

(35,923) 1,589,031

(17,984) Net Assets

(37,057) 1,583,823

(36,210) 1,575,944

(37,504) 1,557,137

(39,281) 1,547,083

(36,566) 1,443,371

1,492,381

1,488,950

(36,747) 1,425,230

(1,125) (625) (125) 0 0 0 0 0 0 0 1,453,425

(1,125) (625) (125) 0 0 0 0 0 0 0 1,463,765

(40,406) (38,129) (36,335) (37,057) (35,923) (36,026) (36,368) (36,706) (37,221) (36,747) (36,566) 1,472,232

(37,221) 1,419,106

(36,706) 1,598,032 EQUITY Retained Earnings

1,485,319

1,480,111

103,712

103,712

103,712

103,712

103,712

1,596,093

1,592,662

1,589,031

1,583,823

1,575,944

1,494,320 1,567,477

103,712

103,712

103,712

103,712

1,567,477 Revaluation Reserve

103,712

1,557,137

1,547,083

1,528,942

103,712 Total Equity

1,598,032 85

1,522,818

0

0

0

0

0

(74,000)

(72,230)

(69,512)

(67,343)

(65,378)

(63,798)

(61,112)

(60,104)

(57,357)

0 Payments Employee Benefits and On Costs

(76,030) Materials and Contracts Fair

(57,877)

(50,977) 2,168

(49,814) 2,351

(48,027) 2,508

(47,523) 2,361

(45,739) 2,622

(45,221) 4,282

(42,059) 9,529

(43,511) 6,143

(40,095) Operating Activities

Other Expenses (19,448) (24,141) (23,259) (23,782) (24,662) (24,582) (24,917) (26,159) (26,728) (26,797) (27,268) Borrowing Costs (74) (71) (55) (22) (2) 0 0 0 0 0 0 Bonds, Deposits and Retention amounts Refunded 0 0 0 0 0 0 0 0 0 0 2,045

(42,504) Cash Flows from Investing Activities Receipts Investment and Interest Revenue Received

(42,989) Net Cash

25,274

24,705

24,126

23,540

22,966

22,402

5,987 (636) 16,489 13,463 13,576 12,222 9,513 8,758 8,395 8,056 21,366

from 36,304

Value adjustment on Investment Property 140 0 0 0 0 0 0 0 0 0 Grants and Contributions Capital

21,851

14,068

0

0

0

0

0

0

0

5,000

25,856 Sale of Investment Securities Proceeds from Sale of Assets

1,948 1,854 1.711 3,443

1,763

(41,980)

(41,750)

(41,729)

(41,500)

(41,500)

(41,500)

(41,386)

(40,529)

(48,972)

0 Payments Purchase of Investment Securities Capital Works and Purchase of Fixed Assets

(70,245)

(14,852)

(15,097)

(15,558)

(15,792)

(16,183)

(16,590)

(17,174)

(11,541)

(28,859 )

(42,000) Net Cash from Investing Activities

(24,355)

(500)

0

0

(500)

0

(500)

(14,433) Cash Flows from Financing Activities Receipts New Borrowings Payments Repayment of Borrowings

0

(500)

0

(6,457)

(6,339)

(6,045)

(3,570)

(2,607)

(125)

(500)

(500)

(500)

(125) Net Cash from Financing Activities

(500)

(3,252)

(1,185)

(12,677)

(23,372)

0 Net Increase / (Decrease) in Cash and Cash Equivalents

(15,326)

107,663

114,002

120,047

123,617

126,224

129,476

130,661

143,338

166,710

(6,377) Cash and Cash Equivalents Beginning of the Year

101,206

107,663

114,002

120,047

123,617

126,224

129,476

130,661

143,338

182,036

166,710

101,206 Cash and Cash EquivalentsEnd of the Year

94,829 86 Georges River Council // Resourcing Strategy 2022/23

Resourcing Strategy

2022-2023 georgesriver.nsw.gov.au