Asset Management Plan – Livestock Marketing Centre
Livestock Marketing Centre This Supporting Section should be read in conjunction with Council’s Asset Management Plan, the Asset Management Policy (which sets out Council's philosophy of asset management) and Council’s Asset Management Strategy (which provides Council with a clear direction and goal for managing the community's $1.185 billion (as at June 2010) worth of assets).
1
Current Asset Base
The following map provides details of the Livestock Marketing Centre.
Challenges of the Livestock Marketing Centre The expansion of the Livestock Marketing Centre complex is limited by the size of land Council owns. There is a need to expand the complex and this expansion will exhaust all available land. The Centre is designed and approved to provide access for B double trucks. The changes to land zones and local regulations mean that there is a potential for the Centre to be accessed by road trains and vehicles operating at higher mass limits.
Wagga Wagga City Council // Asset Management Plan // Livestock Marketing Centre // Page 2
Livestock Marketing Centre Size of the Livestock Marketing Centre The following table details the assets at the Livestock Marketing Centre: Asset
Quantity
Dirt cattle yards
1,151 m2
Scanning sheds
8
Cattle Crush
8
Water troughs Bull Crush
253 1
Loading ramp with winch - sheep
18
Loading ramp with winch - cattle
6
Sheep dump
10
Cattle dump
8
Cattle fences Bull yard fences
17,388m 620m
Sheep yard fences
23,314m
Rural fences
11,254m
Concrete cattle yard floor
23,446m2
Concrete sheep yard floor
54,827m2
Truck wash concrete area
1,574m2
Truck wash fitouts
1
Sale house
1
Recycled water pumps
3
Compressors in main building
3
Roof of main building
1,399m2
Roof of other buildings and sheds
7,191m2
Double flood lights Sealed surfaces Catwalks
38 47,797m2 499m
Overhead water pipes
6,162m
Levee bank
3,085m
Paddocks
100,125m2
Trucking holding yards
1,250m2
Pound paddock
7,000m2
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Livestock Marketing Centre 2
Condition Assessment
Condition Ratings Reference Sheet The condition of each asset type at the Livestock Marketing Centre is audited against a rating scale which ranges from excellent to very poor. This scale is used as the basis of all assessments at the Livestock Marketing Centre by Council’s Surveillance Team. The Condition Rating Reference Sheets for the following asset categories are used to rate each type of asset at the Livestock Marketing Centre:
Buildings Carparks Footpaths Kerb and Gutter Sealed Roads Sewer and Stormwater
For details see appropriate Sections of this Asset Management Plan. The following asset types will also be audited and rated against the Code Of Practice.
delivery yards fences stock yards and rural fencing internal water system – wash down bays, storage ponds, pipes ramps (including 23 winches) sale yard area and weighing system
Risk and Condition Rating Indicators Council also uses Risk and Condition Rating Indicators to determine a prioritised works schedule for the maintenance, renewal and replacement of large asset categories. These indicators are used in addition to the Condition Ratings Reference Sheet to enable further analysis of the worst sections of the asset class. Risk and Condition Rating Indicators have not been developed for the Livestock Marketing Centre in this Asset Management Plan. However, as Council moves towards strategic asset management indicators may be developed for large assets classes at the Centre, for example fencing.
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Livestock Marketing Centre Intervention Levels To guide Council’s response to customer requests a set of reactive triggers has been developed for each asset category. These triggers are called intervention levels and include expected response times. The intervention levels and response times for maintenance for the following asset types are used for each asset type at the Livestock Marketing Centre:
Buildings Carparks Footpaths Kerb and Gutter Sealed Roads Sewer and Stormwater
However the response times at the Livestock Marketing Centre are as short as possible as they are governed by the need to ensure animal welfare and provide a selling facility which is in a satisfactory condition to ensure sales are conducted twice a week. The response times to intervention levels are generally shorter at the Livestock Marketing Centre than are recommended in the relevant Asset Management Plan Sections.
Inspection Regime The condition and risk of the Livestock Marketing Centre assets will be assessed simultaneously as part of the Condition Inspection Regime. This inspection will audit the condition of each asset type against the appropriate Condition Rating Reference Sheet and also assess the risk based on location and usage. Each asset will be inspected in accordance with the inspection regime for the asset type as detailed in the relevant sections of the Asset Management Plan. The inspections will be in the form of a GPS audit routine for all assets at the Livestock Marketing Centre. Ad hoc inspections will be conducted in response to customer requests, on a needs basis and where the asset degrades due to un-foreseen or unusual circumstances, like a storm event. These inspections are done onsite by trained Surveillance Officers and the results are captured in Council’s electronic mapping system (ArcGIS). In addition, Livestock Marketing Centre staff inspect the facility after each sale to ensure the Livestock Marketing Centre is fit for purpose. These inspections are conducted twice per week.
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Livestock Marketing Centre 3
Life Cycle Management
Life cycle management details how Council plans to manage and operate the asset category at the agreed level of service while minimising life cycle costs throughout the useful life of the asset. For most local government assets there are four key phases to the life cycle, namely: acquisition, operation and maintenance, renewal, and disposal.
Costs occur in each phase of the asset life cycle. It is important to attribute these life cycle costs to each phase to allow for effective decision making about how the asset will be managed. The life cycle costs of assets include:
initial capital investment operation and maintenance refurbishment and renewal administration, overheads and taxes depreciation capital use rate charges or rate of return and disposal of the asset at the end of its useful life
The initial capital or investment cost of a new asset is a significant cost and often dominates the decision as to whether to acquire the asset or expand the infrastructure network. However, it is important to include all the costs associated with each phase of the asset life cycle, including ongoing operation and maintenance, future renewal and disposal.
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Livestock Marketing Centre Target Maintenance Events The Livestock Marketing Centre is a commercial entity and operates on a cost recovery basis. The maintenance of the facility is not financed by Council’s General Purpose Reserve, but from the income of the Centre, the Livestock Marketing Centre Reserve. For this reason, maintenance events of the Centre are not included in this Asset Management Plan. This information will be considered in future revisions of the Plan as Council moves towards strategic asset management. However the target maintenance events for the following asset categories are used as a guide for each type of asset at the Livestock Marketing Centre:
Buildings Carparks Footpaths Kerb and Gutter Sealed Roads Sewer and Stormwater
Renewal A detailed work plan for the renewal of the Livestock Marketing Centre is developed annually to support this Asset Management Plan. This renewal program is prioritised based on condition and risk.
Disposal Currently, Council includes the cost to dispose of an asset in the unit rate of that asset type. As Council moves towards strategic asset management this cost will be captured separately. The Asset Management Plan will be updated to reflect this change as it occurs across the asset types. When the Livestock Marketing Centre disposes of an asset, an income often results. The income varies depending on the asset type and the market for the asset at the time.
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Level of Service
The Asset Management Plan for 2011 has been developed based on data collation, research outcomes and the results of Council’s internal stakeholder engagement process. The next stage of the process is to ask the community to identify which asset condition is satisfactory to them. This will begin with an extensive community consultation process. The consultation will be in the form of a community survey which will be conducted online, at community gatherings, through focus groups and stakeholder meetings. The survey will use new technology, be based on images and a simple selection process. The outcomes of the consultation will form the foundation for true community engagement to occur in relation to the management of infrastructure across the Wagga Wagga LGA, in particular the development of agreed levels of service, supported by Council and the community. As Council gathers data from the community about the level of service for each asset category the outcomes will be integrated into the Asset Management Plan. Until the outcomes of the community engagement are known Council will provide costings to achieve an average condition for each asset category and use this as the satisfactory level of service.
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Financial Considerations
Current Liability Council’s current liability of each asset type is the expenditure required to ensure the condition of entire network of infrastructure is average or above. The current liability of the Livestock Marketing Centre is estimated to be nil, based on the condition audit performed by Council’s Surveillance Team in 2010. This means that all the components of the Livestock Marketing Centre have a condition rating of average or above (as at 2010).
Projected Annual Maintenance Costs The Livestock Marketing Centre is not financed by Council’s General Purpose Reserve, but from the income of the facility, the Livestock Marketing Centre Reserve. For this reason, projected maintenance costs of the Centre are not included in this Asset Management Plan. This information will be developed and included in future revisions of this Plan. However, the projected annual maintenance costs for the following asset categories are used as a guide for each type of asset at the Livestock Marketing Centre:
Buildings Carparks Footpaths Kerb and Gutter Sealed Roads Sewer and Stormwater
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Livestock Marketing Centre Required Increase to Annual Maintenance Budget per Additional Unit As the asset base increases it is important to ensure that the annual maintenance budget also increases. As the Livestock Marketing Centre is not financed by Council’s General Purpose Reserve, the required increase to the annual maintenance budget for additional assets is not included in this Asset Management Plan. This information will be developed and included in future revisions of this Plan. However the required increase to the annual maintenance budget per additional unit for the following asset categories is used as a guide for each type of asset at the Livestock Marketing Centre:
Buildings Carparks Footpaths Kerb and Gutter Sealed Roads Sewer and Stormwater
Wagga Wagga City Council // Asset Management Plan // Livestock Marketing Centre // Page 10
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Assumptions
There are some generic assumptions made in the management of assets in Wagga Wagga City Council, these are found in the Asset Management Plan. In addition, the following assumptions have been made in relation to the Livestock Marketing Centre: 
The Livestock Marketing Centre operates on a cost recovery basis. For this reason targeted maintenance events and their associated costs were researched as part of this Asset Management Plan. These details will be included as this Plan is reviewed.
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