WDRC Annual Report 2010-2011

Page 1

Annual Report 1 July 2010 to 30 June 2011


Table of Contents Mayor’s Foreword

3

CEO’s Report

4

Distribution

5

Feedback

5

Local Communities - Local Service

5

About Our Region

6

Vision

6

Guiding Principles

7

Positioning Statement

7

Your Councillors

8

Executive Team

9

Council Meetings

10

Councillors Expenses Reimbursement Policy

11

Councillor Conduct Complaints

12

Administration Action Complaints

13

Internal Audit

14

Registers

15

Summary of Strategic Activities Registers

16

SA 1 People and Communities

17

SA 2 Growth and Opportunity

23

SA 3 Planning for Liveability

26

SA 4 Our Environment

32

SA 5 Utility Services

34

SA 6 Infrastructure

39

SA 7 Empowering Our Team

45

SA 8 Business Systems and Technology

49

Appendices

57

1. Councillor Expenses Reimbursement Policy 2. Debt Policy 3. Audited Financial Statements For Period 1 July 2010 to 30 June 2011

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 2


Mayor’s Foreword

The 2010/11 Financial Year has been a period of progress by Western Downs Regional Council in managing growth and change, while providing our community with reliable, economical services and essential infrastructure.

recycling wastewater treatment plant reinforcing our commitment

Planning for future growth has been our focus this year with “...delivering quality the setting of a future vision for essential services to the region through the Western Downs 2050 Community Plan. all communities during This Plan will guide Western a period of increased Downs Regional Council in its demand for services.” strategic planning efforts to meet the challenges of the region’s booming resource sector and increasing population growth. It outlines strategies to address skilled workforce shortages, identifies infrastructure required to support growth, and predicts demand for community services and housing into the future.

Downs Planning Scheme. This plan will replace the six former town

I am immensely proud of the positive work we have been continuing to do in delivering quality essential services to all communities during a period of increased demand for services. A notable success has been the implementation of Council’s new regional garbage and recycling collection service to all towns across the entire region. Council again has invested significant funds into delivering a number of essential community projects such as the establishment of a Youth Community Network Centre; redevelopment of a local PCYC, various community facility upgrades, and the construction of a new community centre and indoor aquatic centre in the coming year. The management and future planning of water and town planning issues continue to be long-term priorities. Council has done excellent work in substantial projects in the utilities area with the completion of a reverse osmosis desalination plant and the commissioning of a new

to securing long-term water supplies for our towns. Furthermore, we commenced work on developing a regional planning scheme to steer planning decisions and form the basis of the Western planning schemes in place across the region and lead to more efficient and sustainable land use and development. In doing so, Council is mindful of the challenge of striking a sustainable balance between agriculture, energy development and lifestyle. With floods occurring in late December and early January, we’ve spent much of the second half of the year restoring roads, community infrastructure and providing support to those affected by this natural disaster. Amid the devastation, the one thing that shone through everywhere you turned was the generosity of spirit on display in all of our communities. Some of the challenges ahead are the implementation of the State Government’s new waste levy and the Federal Government’s carbon and resource taxes. As Mayor, I am proud to work with a dedicated group of Councillors who share a common passion for the local communities of the Western Downs region, and united in their commitment to achieve the long-term vision set out in the Western Downs 2050 Community Plan. I sincerely thank my colleagues for their hard work throughout the year, the community for its valuable input and the Chief Executive Officer and his dedicated staff for their outstanding achievements. So much more needs to be done and Western Downs Councillors and I are driven to succeed in delivering quality services and infrastructure to meet the growing needs of the Western Downs community. Cr Ray Brown Mayor Western Downs Regional Council

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 3


Ceo’s Report

It is a privilege to present a report on the achievements and progress made by Western Downs Regional Council over the past year. The 2010/11 Financial Year has brought with it some exciting milestones and unexpected challenges. I am immensely proud of the work Council has undertaken this year to manage adversity and growth. We have made strong progress

“...Council has played a major role in shaping the future direction of the region developing a 40-year Community Plan.”

in restructuring our workforce, implementing an internal program aimed at achieving a more effective and performance-driven organisation. It is anticipated the transition to the streamlined structure will happen next financial year. This will see a

positive transformation to the way we conduct Council business and improve the way we deliver services to our community. In another exciting change, plans are in the pipeline to move into our new corporate office ‘Western Downs on Drayton’ in Dalby’s CBD during the coming year, providing a local one-stop-shop for Council services. This year Council has played a major role in shaping the future direction of the region developing a 40-year Community Plan. This Plan will guide our internal corporate and operational planning processes with the aim of ensuring future development meets community needs. Council achieved a significant goal this year to have all nine library branches operating under a unified name and recognisable brand with the launch of the Service’s new corporate identity as Western Downs Libraries. This vibrant new identity will play an important role in promoting Council’s Library Service and expanding its services to the regional community. Since the floods, Council formalised a Disaster Management Plan to coordinate and manage resources to ensure the public’s safety before, during and after a disaster, launched a free eNews email subscription

service and commenced testing and development of our new eNews SMS emergency alert service. In a milestone decision heralding a new era for the Western Downs Saleyards Industry, Council decided to retain ownership and operation of the Dalby Saleyards endorsing an $11 million redevelopment over the next three years. During the year our Environment and Health section rolled out new State Animal Management Laws throughout the Council area. Significant progress has also been made in the area of waste with the introduction of a new regional waste collection and recycling service; expansion of the greenwaste recycling program; plans have been set for the development of new Waste and Recycling Centres at Dalby, Miles and Chinchilla; and construction commenced on the Kaimkillenbun Waste and Recycling Centre. To make it easier for residents to contact their council, we streamlined our Customer Services transitioning to a regional Customer Contact Centre and launched a 1300 COUNCIL number for all telephone enquiries. A massive project was commenced to overhaul 141 existing local laws to make them more relevant and consistent to residents across the region. These must be repealed by the December 31, 2011 deadline and will be replaced with a suite of seven local laws supported by 22 subordinate local laws. I am proud to lead a great team of Council staff who are dedicated to meeting the needs of our community and continually work hard to do things better every year. In the coming year, I look forward to working with elected Councillors and our highly skilled Council staff in continuing to deliver responsive, affordable and quality services to residents and vital infrastructure to the Western Downs community. Phil Berting Chief Executive Officer

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 4


DIstribution Distribution Western Downs Regional Council’s Annual Report is available in hard copy or electronic format. Printed copies of the report may be obtained for a fee by writing to the Chief Executive Officer, Western Downs Regional Council, PO Box 551, Dalby Qld 4405, or by telephoning Council on 1300 COUNCIL during normal business hours. Alternatively, you can visit Council’s website at www.wdrc.qld.gov.au to download a copy for free. Copies are also distributed to the Department of Local Government and the Queensland State Library.

Feedback In the interest of continuous improvement Council welcomes your feedback. Please forward your commentary in writing to the Chief Executive Officer, Western Downs Regional Council, PO Box 551, Dalby Qld 4405 or email Council at info@wdrc.qld.gov.au.

Local Communities - Local Service To contact the Western Downs Regional Council telephone 1300 COUNCIL (1300 268 624) to be connected to your nearest Customer Service Centre, or visit in person at your local Customer Service Centre:

Chinchilla

80-86 Heeney Street

Dalby

‘Western Downs on Drayton,’ 30 Marble Street

Jandowae

22 George Street

Miles

29 Dawson Street

Tara

19 Fry Street

Wandoan

6 Henderson Road

Address all correspondence to: The Chief Executive Officer Western Downs Regional Council PO Box 551 DALBY QLD 4405 Email: info@wdrc.qld.gov.au

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 5


About OUR our REGION Region ABOUT

DULACCA DRILLHAM

BRIGALOW WARRA

CONDAMINE

JIMBOUR KOGAN

BELL KAIMKILLENBUN

VISION VISION

GLENMORGAN MEANDARRA

Ourvision visionexpresses expresseswhat whatCouncil Council Our aspirestotoachieve achievefor forthe theWestern Western aspires

MOONIE

DownsRegional RegionalCouncil: Council: Downs

proudregion regionunited unitedbyby AAproud opportunityand andlifestyle lifestyle opportunity

Western Downs Regional Council is benefitting from the emerging The Energy Capital of Queensland,™ Western Downs is recognised resources industry of the Surat Basin, currently dominated by Coal for its long term supply of “energy” Seam Gas production in the lead up to LNG export.

contributor to GRP. Western Downs Regional LGA contributed The region’s economy continues to grow, showing that industry approximately 0.8% of the Gross State product for Queensland in is taking advantage of the opportunities. Gross Regional Product 2008/09.

Western is a region at the cutting edge of environmental, and fossilDowns fuel resources. economic and social change, a rural economy punching above its weight. People are being largest attracted to thecontracts, region forthe theWestern mix of The source of Australia’s export employment opportunity, clean environment and country lifestyle. Downs region hosts globally significant resources and will realise The region’s population continues to defy history, increasing to over $140 billion in capital investment. 31,897 in June 2010, a 1.3 % increase on 2009.

Unemployment also defied thegrowth State and National (1.6%) and Australia’s (3.3%) for the same averages. period. The regions unemployment rate was 3.3% in June 2010, still well below Queensland (5.4%)its and Australia growth (5.2%). ofInthe thepast samethree period of time, Mining continued impressive years, the labour force has continued to grow at approximately 5% per contributing more than $300 million to the regional economy while annum, a result expected given the investment throughGRP. the Agriculture continues to be a major contributoractivity to the region’s region.

to the Australian economy, in terms of food security and renewable

Established regional centres offer young, semi and fully skilled

The region’s economy also continues to grow, despite the negative workers, enhanced future employment prospects and lifestyle global environment. Gross Regional Product was 1.875 billion up benefits. The creation of double over 12,500 jobs inofthe next five years will 17.4% in 2008/09; almost the growth Queensland. Mining contribute to significant population growth as the region benefits led this extraordinary growth, increasing its GRP by over 400% prospers from unprecedented economic toand overtake Agriculture, Fishing & Forestry asopportunity. the largest regional

(GRP) increased 4.1% in 2009/10, continuing to exceed Queensland’s

The regions unemployment rate was 4.4% in September 2011,

Dwelling approvals for the Western Downs increased by over 170% lower than Queensland (5.5%) and Australia (5.1%). The in the year ending December 2009. The majority of activity was for unemployment trending reflecting an increase separate housesrate andiscame in thelower, second half of the year, building in the labour force through 2011 towards record approvals for 2009/10 financial year.

Annual Report 1 JULY 2010 TO 30 JUNE 2011 ANNUAL REPORT 1 JULY 2009 TO 30 JUNE 2010

PA G E 6 PA G E 6


Guiding Principles As Councillors and staff of Western Downs Regional Council we are committed to the following principles as a guide to our actions as representatives of our region: • Invest in our people • Think regionally - deliver locally • Facilitate growth - manage impact • Excellence in affordable service delivery • Consistent and informed decisions As a team we will work together to achieve: • Quality outcomes for our communities • An inclusive team culture • Pride in our organisation • Continuous improvement

positioning statement ‘Our Communities : Our Future’ is the positioning statement for Western Downs Regional Council. The aim of the statement is to define the business of Council. It’s an important message that says who we are and who we serve. Community and progress are the key themes which define Council’s direction and lie at the heart of our communications.

‘Our Future’ indicates Council’s outlook approach to business while ‘Our Communities’ indicates a willingness to engage all communities in the journey. Images of people from the region add further strength to the statement and support Council’s goal to encourage a greater connection between communities that share a common future.

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 7


Your Councillors

Mayor: Cr Ray Brown Portfolio: Governance

Deputy Mayor: Cr Mick Cosgrove Portfolio: Finance and Information Communication Technology

Cr Charlene Hall Portfolio: Community Services

Cr Ray Jamieson Portfolio: Planning

Cr George Moore Portfolio: Environment and Health

Cr Bill McCutcheon Portfolio: Utilities - Water, Wastewater and Gas

Cr Andrew Smith Portfolio: Economic Development and Tourism

Cr Ian Staines Portfolio: Works and Plant

Cr Carolyn Tillman Portfolio: Community and Cultural Development

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 8


Executive Team

Phil Berting Chief Executive Officer

Ed Hoffmann Director Community Services

Graham Cook Director Engineering Services

Lee Vohland Director Finance and Information and Communication Technology

Stephen Hegedus Director Organisational Services

Ian O’Donnell Director Planning and Environment

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 9


Council Meetings Western Downs Regional Council convene Ordinary Meetings of Council on the first and third Wednesdays of each month. Special Meetings were held when necessary to consider specific items such as budget and statutory processes. Ordinary and Special Meetings comprise of all members of Council. The first Ordinary Meeting of the month was usually held at the Corporate Office in Dalby, with the second Meeting held at one of Council’s regional Customer Service Centres on a rotational basis. In total throughout the year 23 Ordinary Meetings and three Special Meetings were held. All Meetings are open to the public unless it is otherwise resolved by Council that a Meeting be closed under Section 72 of the Local Government (Operations) Regulation 2010. From time to time, the Council has a need to discuss confidential matters such as contracts, staff, industrial and legal proceedings and resolves to close its meetings for such discussions. However, any decisions about such confidential matters are made in an open meeting. Public notice of days and times of Meetings is given each month and copies of the agenda for each meeting are available for public inspection two days prior to each scheduled meeting at Council’s Corporate Office and Customer Service Centres. A copy of each agenda index was also placed on Council’s website. All Council Meeting Minutes are available on Council’s website along with statistical, local law and policy information. Councillors are also involved in numerous advisory committees set up for special purposes such as major projects. Summary of Meeting Attendance during 1 July 2010 to 30 June 2011: Councillor

Ordinary Meetings

Special Meetings

Apologies

R. Brown

23

3

0

M. Cosgrove

23

3

0

C. Hall

19

3

4

R. Jamieson

23

3

0

W. McCutcheon

20

3

3

G. Moore

23

3

0

A. Smith

20

3

3

I. Staines

22

3

1

C. Tillman

22

3

1

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 1 0


Councillor ExpenseS Reimbursement policy The Western Downs Regional Council Councillor Expenses Reimbursement Policy is attached as an appendix to this Report. Expenditure from Councillor Discretionary Funds Councillors do not have any formal legislated discretionary funds. Councillors Overseas Travel During this reporting period no Councillors travelled overseas for Council business.

Councillors Remuneration, Superannuation, Expenses Incurred and Facilities Provided Councillor R. Brown

Remuneration

Superannuation Council 12%

Expenses Incurred

Facilities Provided (Motor Vehicle)

$127,444.98

$15,293.40

$46,366

$20,352

M. Cosgrove

$84,545.11

$10,145.41

$7,030

$20,352

C. Hall

$74,150.05

$8,898.01

$4,880

$20,352

R. Jamieson

$74,150.05

$8,898.01

$6,941

$20,352

W. McCutcheon

$74,150.05

$8,898.01

$13,528

$20,352

G. Moore

$74,150.05

$8,898.01

$7,969

$20,352

A. Smith

$74,150.05

$8,898.01

$6,529

$20,352

I. Staines

$74,150.05

$8,898.01

$11,100

$20,352

C. Tillman

$74,150.05

$8,898.01

$4,678

$20,352

$731.040.44

$87,724.85

$109,019

$183,168

TOTAL

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 1 1


Councillor Conduct Complaints The annual report for each financial year must contain the particulars of each of the below: The total number of orders and recommendations made under section 180(2) or (4) of the Act

0

The total number of orders made under section 181 of the Act

0

The name of each Councillor in relation for who an order or recommendation was made under section 180 of the Act or an order was made under 181 of the Act

0

A description of the misconduct or inappropriate conduct engaged in by each of the Councillors

n/a

A summary of the order or recommendation made for each Councillor

n/a

The number of complaints about the conduct or performance of Councillors assessed as frivolous or vexatious under section 177(4) of the Act

0

Complaints referred to the department’s chief executive under section 177(5)(a) of the Act

0

Complaints referred to the Mayor under section 177(5)(b) of the Act

0

Complaints referred to the department’s chief executive under section 177(6) of the Act

1

Complaints assessed by the Chief Executive Officer as being about official misconduct

0

Complaints heard by a conduct review panel

0

Complaints heard by the tribunal

0

Complaints dealt with by the Chief Executive Officer under section 177(8) of the Act

0

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 1 2


Administrative Action Complaints As part of Council’s commitment to dealing fairly with administrative action complaints, a new Complaints Management Policy and Process in April 2011 was introduced to deal with all of its administrative complaints. During the development of the policy and process Council liaised and sought advice from the Queensland Ombudsman. Once the policy and process was adopted by Council, all Directors, Managers and frontline staff were trained by the Queensland Ombudsman in the Complaints Management Process. Council’s complaints register provides details of the complaints, statistics, trends and recommendations that have been made as a result of the complaint/s. Council’s complaints working group meets quarterly to discuss the complaints process and any recommendations to be implemented and provided to Executive. The Executive team is provided with quarterly reports on Council’s complaints statistics and performance.

As Council is only in the first year of its new complaint process it is difficult to compare how it is performing against previous years. The number of administrative action complaints made to Council

35

The number of administrative action complaints resolved by Council under the complaints management process

24

The number of administrative action complaints not resolved by the local government under the complaints management process

9

The number of administrative action complaints not resolved that were made in a previous financial year

4

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 1 3


Internal Audit • Attendance at Audit Committee meeting • Safety Audit construction inspection (Dalby and Tara) • Research internal control, code of conducts, ethics

and fraud • Research Asset Management Planning standard practices • Review Council’s Corporate Plan, mission statement

and strategies • Review Financial Accountability Act 2009 • Review Statutory Bodies Financial Arrangement Act 1982 • Review Crime and Misconduct Act 2001 • Review Disaster Management Act 2003 • Review of Public Sector Ethics Act 1994 • Review of Judicial Review Act 1991 • Review Anti-Discrimination Act 1991 • Review LGAQ website and contents • Review DIP website and contents • Review Queensland Audit Office website and contents • LG Asset Advance meeting re asset management plans • Internal audit of “Compliance with Laws and Regulations”

commenced and completed • Internal audit of “Internal Control” commenced and

completed, draft report issued • Internal Control Policy prepared and submitted in

draft format • Internal audit of “Community Assistance Programs”

commenced and in process A total of three Audit Committee Meetings were held throughout 2010/11.

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 1 4


Registers The following registers are kept by Council for the inspection by members of the public (except where indicated by*):• Roads and Map Register (s74 of LGA 2009) • Land Records (s87 of LG (FPR) Reg • Register of Cost Recovery Fees and Commercial Charges (s98 of LGA 2009) • Register of Interests for Councillors (s105 of LG Operations Reg) • Delegations Register (s260 of LGA 2009) • Local Laws Register (not compliant - awaiting enactment of new regional Local Laws) (s16 of LG Operations Reg) • Record of Written Complaints About Councillor Conduct or Performance (s177 of LGA 2009) • Cemetery Register • Register of Pre-Qualified Suppliers (s87 LG (FPR) Reg) • Business Activities Register (s175 BE and BA Reg) • * Register of Interest for Chief Executive Officer and Senior Contract Employees (s105 of LG Operations Reg) • * Register of Interests for Related Persons (s105 of LG Operations Reg) • * Asset Register

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 1 5


Summary of Strategic Activities

To address priority issues identified during the corporate planning process, the Western Downs Regional Council team is committed to delivering services and initiatives within each of the following strategic activity areas: SA 1 People and Communities SA 2 Growth and Opportunity SA 3 Planning for Liveability SA 4 Our Environment SA 5 Utility Services SA 6 Infrastructure SA 7 Empowering Our Team SA 8 Business Systems and Technology

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 1 6


SA 1 People and Communities ambition Create an enriched and vibrant social fabric through regular interaction with our people and communities

SA 1 People and Communities incorporates the strategic functions of Community Facilities, Cultural Development, Community Development and Community Services. During the year, Council formally adopted the Western Downs 2050 Community Plan and the detailed strategies for Sport and Recreation, Community Facilities and Services, Health and Well Being based on population projections across the region. The Western Downs Community Plan was developed through extensive consultation and reflects the community’s long-term vision for the balanced growth of our region over the next 40 years. The plan identifies several key stakeholders responsible for developing strategic plans to address the guiding strategies in the Community Plan including federal, state and local government agencies. The plan is also used by business and industry sectors in their forward planning. In developing the Western Downs 2050 Community Plan, Council was guided in the provision of services and infrastructure through the year achieving the following capital projects: • Constructed a grandstand at the Tara Swimming Pool

• Purchased the Ergon Building in Marble Street Dalby and accepted tender to undertake and commence the refurbishment • Received Regional Local Community Infrastructure Project (RLCIP) funding of $538,000 to upgrade swimming pools at Miles, Tara and Wandoan with tender accepted and work to be undertaken through winter months • Sourced Sport and Recreation subsidy of $160,000 funding for the upgrade of Jandowae Pool with tender accepted • Finalised construction of Dalby MYCNC building project and organised the occupancy of the centre • Completed redevelopment of the bar area ($100,000 private contribution) at the Tara Showgrounds and undertook maintenance of grandstand • Constructed a block retaining wall along the banks of Myall Creek adjacent to the Marble Street Arts Centre to protect buildings

• Developed design and accepted tender on Dalby $4.6 Million 25 metre indoor heated pool adjacent to existing heritage listed 50 metre pool

• Refurbished interior of older section at the Tarcoola Retirement Village, Tara and constructed outdoor area

• Developed design and accepted tender on the Bell $1.2 Million Community Centre Project

• Designed amenities building and commenced construction at Wandoan O’Sullivan Park Football Oval and Waterloo Plains

• Completed the construction of an outdoor area at Moonie Community Sports Club Facility

• Provided various upgrades of equipment and maintenance to Customer Service Centres, halls and sporting amenities to ensure an improved service to the public

• Completed the construction of the Dalby $6.7 Million PCYC Indoor Sports Centre Upgrade • Finalised Stage II Dogwood Crossing at Miles construction

• Funded and tendered the construction of a skate park at Wandoan

• Refurbishment of Meandarra Home and Community Care Building, funded by Department of Communities ($49,500)

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 1 7


SA1 PEOPLE AND COMMUNITIES CONT’D 2010/11

ACHIEVEMENTS

Swimming Pools and Aquatic Centres Throughout the region there are eight swimming pools in operation under various management arrangements and throughout the year two lease agreements were extended and two new lease agreements negotiated. Swimming Pools are relatively expensive to operate for Council; however there were 81,475 patrons at an average cost of $22.60/visit.

Swimming pool/aquatic centre patronage

15,169 Tara

2010/11 achievements

2,712 Meandarra 1,630 Moonie 4,595 Jandowae 1,454 Wandoan

Community Facilities

8,987 Miles

Provide safe, well serviced facilities for people to live, grow and connect within

17,925 Dalby

Civic Centres Council operates a number of civic centres across the region and two at Dalby and Chinchilla where cinemas are operated. Management contracts for the Chinchilla and Dalby centres were renegotiated for a three year period, confirming Council’s commitment to provide a high level of regional services. Across the region there were 622 indicated events conducted within these facilities at an average cost of $757.33. Western Downs Regional Council Civic Centres - Total number of funcions

188 Chinchilla 99 Jandowae 199 Tara 147 Miles 77 Dalby 101 Wandoan

29,003 Chinchilla

Regional Showgrounds Across the region there are eight showgrounds that come under the Council’s Regional Showgrounds Advisory Committee. The Council has agreed to provide a $20,000 per annum contribution to capital improvements at each showground. The governing body for each Showgrounds facility makes recommendations through the Regional Showgrounds Advisory Committee to Council on suitable projects.

Cultural Development Encourage and develop participative and culturally connected communities Regional Arts Development Fund The Regional Arts Development Fund (RADF) Program is administered by the regional RADF Committee (Chaired by Cr Tillman) with the assistance of local RADF Committees (Wandoan, Tara, Chinchilla, Miles, Dalby/Wambo). This tiered management system is unique in Queensland. The RADF program was well supported with 34 approved applications totalling $98,947 from three funding rounds and Out of Rounds assessment.

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 1 8


SA1 PEOPLE AND COMMUNITIES CONT’D 2010/11

ACHIEVEMENTS

Art Galleries The three Regional Art Galleries display work from local artists, larger travelling exhibitions and in some cases National and State touring exhibitions. Visitor numbers through the galleries have been exceptionally high totalling 44,395 this year. Western Downs Libraries This has been a year of consolidation for the library service with more libraries refurbished and collections boutiqued (profiled to match local borrower demand). • Loans for boutiqued branches remain steady on last year’s figures with an overall increase margin of 1.22%, however all experienced high growth. Meandarra (up 40.98%), Moonie (up 27.82%) and Wandoan (up 19.60%). These figures are expected to begin to level out in the 2011/12 year after the explosive growth percentages that occurred with the refurbishment and boutiquing of branches. Libraries issued 318,088 items for the year • Reservations and Inter-Library Loans (loans that come from other library’s around Australia), are continuing to trend downwards with reservations down 2.77% and inter-library loans down 4.54%. This trend should continue as regional customers have their borrowing needs met by Council’s own collections. There were 9,531 internal reservations for Council’s stock and 863 requests to other libraries • During the year there has been a net membership increase of 10.54% giving a total of 21,240 members • Visitor numbers were down across the region by 9.11%, total visitors for the year were 230,587 clearly demonstrating the popularity of library facilities

• Public Access Internet Hours were down across the region by 4.44%, due to service problems in the Chinchilla Library and full capacity thresholds existing in Chinchilla and Dalby. However there has been an increase in the number of regional users (up 6.42%) showing that this service is being used more in the small branches since the refurbishments with IT infrastructure updates resulting in increased use of the service. Libraries provided 23,391 hours of internet access to 30,571 users for the year • Stock turnover is steadily increasing up 1.9% on last year (it seems a small number but as an average, it is meeting the long-term target), there has been significant growth in the stock turnover in small boutiqued branches with Bell up 16.31%, Meandarra up 34.34%, Miles up 11.54%, Moonie up 19.13% and Wandoan up 23.68% on the previous year’s figures. Regional stock turnover figure is now 2.13% Annual total library items issued

Annual Report 1 JULY 2010 TO 30 JUNE 2011

62,998 Chinchilla 123,873 Dalby 22,894 Jandowae 20,036 Meandarra 19,973 Miles 9,735 Moonie 28,670 Tara 19,906 Wandoan 10,003 Bell

PA G E 1 9


SA1 PEOPLE AND COMMUNITIES CONT’D 2010/11

ACHIEVEMENTS

Program Delivery The Library Service has delivered well in all area’s identified in the Corporate and Operational Plan for the delivery of Community Support programs with a total of 979 programs hosted. In total these programs were attended by 7,877 people, providing 1,660 hours of public program delivery. Community Development • Literacy based programs: 149 programs with 2,468 attendees and 696 hours of programming delivered • Learning based programs: 173 programs with 2,702 attendees and 668 hours of programming delivered • Lifestyle based programs: 607 programs with 1,684 attendees and 242 hours of programming delivered Cultural Development • Culturally based programs: 50 programs with 1,023 attendees and 54 hours of programming delivered Library Achievements • The regional Customer Satisfaction Survey registered 936 completed responses which is an outstanding result compared to the 500 responses received in the previous year’s survey. This data has been used to align library programming, and collection profiling to ensure responsiveness to community demand and the delivery of customer focused services • The refurbishment and boutiquing process continues to be implemented according to plan and is producing quality results for communities • The new library web portal was established; it reflects a contemporary and dynamic library service and provides many ways for customers to engage with libraries and each other

Community Development Improve community health and wellbeing through group and individual participation in social and recreational activities National Youth Week - WDRC Regional Tour Celebrations The RockOn Community Music Tour 2011 was a series of live music concerts and creative music writing workshops that were conducted and performed within the communities of Jandowae, Tara, Miles, Wandoan, Chinchilla and Dalby involving over 500 young people. Youth Shoots: the good, the bad, the ideal This Photographic Competition was opened to the young people of the Regional Council area aged from 13 to 17 years. The competition was a creative way for young people to express their feelings as to what they liked or disliked about their particular town and what they would like to see changed. Over 160 photos were submitted by 68 young people across the three categories. In conjunction with the captured image, the young person was required to detail a short blurb about what the image represented. The Presentation Night was well attended with 120 people present. Western Downs Regional Council was one of the partners in the project.

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 2 0


SA1 PEOPLE AND COMMUNITIES CONT’D 2010/11

ACHIEVEMENTS

ANZAC Day Council representatives attended the Western Downs Regional Council hosted 17 ANZAC services and ceremonies on 25 April 2011, held across the region in remembrance of those men and women who fought and died to make Australia and our region what it is today. Funding Programs Financial assistance is available to individuals and not-for-profit organisations through a number of funding programs that are implemented throughout the year including Minor Grants, In Kind Assistance, Community Loan Program and Sporting Assistance Program. • The Minor Grants Program has been well supported with 49 successful applications in the two funding rounds with projects totalling $114,162 approved Flood Vouchers Following the dramatic natural disaster events of December 2010 and January 2011 there were many generous contributions to the Western Downs Flood appeal and $250,000.00 external contributions were distributed through a unique flood voucher system across the region to residents of flood affected properties.

Community Services Provide safe and well serviced communities Aged Care Within the communities of Tara and Miles, Council operates two Nursing Home Services with 32 bed and 19 bed facilities that have an occupancy rate of 98% through the year. In Jandowae, Tara, Meandarra, Chinchilla and Miles, Council provided Home and Community Care Services that achieved 98% of approved hours utilised supporting the aged. Aged Services have become financially secure services under the negotiated management contract. Community Housing Throughout communities across the Western Downs, Council provides housing to the aged, disabled and youth achieving a 95% occupancy rate, while providing housing to staff in certain centres. QGAP Services Council provides State Government services in Jandowae, Tara and Moonie, which is subsidised by Council to the value of $14,000. Australian Citizenship Ceremonies Council was pleased to officiate in four Australian Citizenship ceremonies from 1 July 2010 to 30 June 2011, at which 18 residents became Australian Citizens.

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 2 1


SA1 PEOPLE AND COMMUNITIES CONT’D 2010/11

ACHIEVEMENTS

Australia day award recipients The Council again participated in a range of Australia Day functions across the region at which the following awards were bestowed:Regional Australia Day Awards • Citizen of the Year Award - Hilda Buckley • Young Citizen of the Year Award - Jessica Ryan • Sports Achievement Award - Matthew Berwick • Community Event/Project of the Year Award - One Long Table - Chinchilla • Senior Cultural Award - Priscilla Mundell Local Awards Western Downs Regional Council Local Citizen of the Year Award • Dalby - Jim and Shirley Buckley • Chinchilla - Aileen Sommerfeld • Tara - Gerry Murray • Wandoan - Paul Erbacher • Dalby District - Beverly Taylor Western Downs Regional Council Local Young Citizen of the Year Award • Chinchilla - Alexandra Gath • Miles - Johnathon Neilsen • Tara - Stuart McKelvie • Dalby District - Lydia Burton Western Downs Regional Council Local Junior Cultural Award • Dalby - Becky Nott • Dalby District - Lydia Burton

Western Downs Regional Council Local Junior Sports Achievement Award • Chinchilla - Patrice Bender • Miles - Mackensie Patch • Tara - Stuart Bougoure • Wandoan - Ben Oakman • Dalby District - Lawry Flynn Western Downs Regional Council Local Senior Sports Achievement Award • Dalby - Michael Peeck • Chinchilla - Charmaine Nixon Western Downs Regional Council Sports Administrator/Coach/Official Award • Dalby - Timothy Lincoln • Chinchilla - Christine Bartlett • Miles - Tim Kuhl • Tara - Roslyn Bougoure • Wandoan - Sam Rathbone Western Downs Regional Council Local Community Project/Event of the Year Award • Dalby - Delicious and Delightful • Miles - Beef Bells and Bottle Tree Festival • Tara - Moonie Yabby Races • Wandoan - Wandoan Polocrosse Club Inc • Dalby District - Jandowae Timbertown Festival

Western Downs Regional Council Local Senior Cultural Award • Dalby - Robert White • Wandoan - Simon Pendergast • Dalby District - Ruth Humphrys Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 2 2


SA 2 Growth and Opportunity ambition Realise opportunities and build capacity for the sustainable growth of our prosperous region

SA 2 Growth and Opportunity incorporates the strategic functions of Tourism and Promotion, and Business and Industry.

Tourism and Promotion Encourage the development of tourism and promotion of the Region •

S ignificant progress was made on the Western Downs Tourism Brand and the launch was a milestone for Council in August. The brand features a simple but strong statement, ‘Our Western Downs’, which encapsulates the pride we feel about our home and the pleasure we experience in sharing it with others. The graphic component of the brand is an abstract representation of our region, with each of our principal towns and surrounding communities depicted by a colour of significance e.g. the watermelon colour assigned to Chinchilla and District is representative of the unique Melon Festival Developed a Strategic Marketing Plan for the implementation of Servicescape to Visitor Information Centres across the Western Downs Regional Council area Events

2010/11 achievements Visitor Information Centres Visitors to the region have been exceptionally high with over 56,406 recorded through the Visitor Information Centres, compared to 56,042 last year.

Business and Industry Encourage and facilitate growth through development of business and industry

Major Developments • Council submitted detailed responses to Major Project Terms Continue to support local and regional events including: of Reference, Environmental Impact Statements and Social • Chinchilla Melon Fest Impact Management Plans. Council thoroughly researched and • Opera at Jimbour documented submissions, representing the interests of Western • Moonie Yabby Races Downs communities to project proponents and higher levels • Wandoan Bucking for Cancer Rodeo of Government, encouraging an outcome in the best interests • Jandowae Timbertown Festival of the region • Delightful and Delicious - Dalby • In conjunction with Council, 12 Position Statements were • One Long Table - Chinchilla developed, being:• Beef Bells and Bottle Tree Festival - Miles • Sunday Trading • Christmas Celebrations Events across the region • Strategic Cropping Land • Immigration Detention Centre 12,745 Dalby • Coal Seam Gas Water 395 Jandowae • Land Access 15,881 Miles • Population 10,785 Moonie • Surat Basin Futures 15,369 Chinchilla • Affordable Housing 1,231 Meandarra • Murray Darling Basin Guide • Windfarms • Council Divisions • Condamine-Balonne Catchment Management Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 2 3


SA2 Growth AND opportunity CONT’D 2010/11

ACHIEVEMENTS

• Documented 38 Major Project Fact Sheets. One of the highlights of the Advance Western Downs website, these Fact Sheets identify status, cost, expected employment, picture/map of project and details about the project in easy to read single page format. New Fact Sheets are developed as projects are announced and • existing Fact Sheets are updated bi-annually • Updated Energy Resource Sector Project Status to Council through monthly Unit Activity Report • Hosted Major Projects Business Investment Tour attracting 45 potential investors from outside the region, with up to six companies relocating or considering relocating to the region • Planned, developed and manned large promotional stand at Surat Basin Energy and Mining Expo. The large stand promoted regional investment opportunities, Chamber of Commerce districts and • the Advance Western Downs website. Council developed new promotional materials specifically for the event which are able to be re-used at future events of the same nature • Economic Development • •

Surveyed 1,438 businesses in Western Downs region between February and April 2011, in the most comprehensive survey of business completed in the region. The survey measured the impacts of flooding on business (92% of respondents were impacted by floods) and data was utilised to update and add to the business database developed by Council from the 2009 Business Capability Study. The Flood Impact Study and Report was presented, with support from Department of Employment Economic Development and Innovation, Department of Employment and Workplace Relations and Regional Development Australia, to the Australian Prime Minister and Queensland Premier, facilitating Government investment and attention on the Western Downs region Hosted Workforce Planning Workshops in Dalby and Chinchilla (December 2010) introducing the necessity for small to medium enterprises to effectively plan for skilling requirements and impacts of staff poaching as workforce participation rates

• •

increase and skilled labour available in the region diminishes. These workshops provided practical solutions which businesses could immediately implement and incorporate in Business Excellence Award submissions Hosted inaugural Business Leadership Conference (April 2011) for over 140 representatives of regional businesses under the banner of Advance Western Downs, with expert presentations in five key areas of business development, being:• Leadership • Workplace Health and Safety • Processes and Systems • Customer Service • Finance and Tax Hosted inaugural Western Downs Regional Business Excellence Awards Presentation (May 2011) which saw over 50 awards presented to approximately 35 businesses in attendance Completed 2011-15 Economic Development Plan. The Plan identified five themes, being:• Leadership • Business Growth • Business Investment • Workforce • Strategic Infrastructure Completed a Business Investment Prospectus, highlighting the attractiveness of business investment in the Western Downs, heart of the globally significant Surat Basin and location of some of the world’s most productive cropping lands Established business specific website under banner of Advance Western Downs, being www.advancewesterndowns.com.au. This website attracts over 5,000 unique visits every month Established weekly Business News Monitor, three original stories uploaded to Advance Western Downs website with an introduction and local business profile emailed to database. In 2010/11, the Business News Monitor delivered 132 stories relevant to regional business and profiled 43 businesses

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 2 4


SA2 Growth AND opportunity CONT’D 2010/11

ACHIEVEMENTS

• •

Developed 2011 Economic Profiles. The Economic Profiles have been uploaded to the Advance Western Downs website Promoted Advanced Western Downs Business Opportunities. 10 business opportunities generated from the Advance Western Downs program in 2010/11. Positive comments about the process conducted have been received from proponents, suppliers and State Government (Department of Employment Economic Development and Innovation) Facilitated Western Downs Economic Development Task Group and sub groups of IT, Education and Training Task Group and Business Growth Task Group. Western Downs Economic Development Task Group continues to be the major two-way communication tool between Chambers of Commerce and Council, strengthening the activity of both entities

Saleyards The Western Downs Regional Council Advisory Committee successfully managed the Dalby Saleyards with a throughput of 187,000 head of cattle, slightly down on previous years due to severe weather conditions in early 2011, maintaining the position of number two in Australia for the throughput and the largest single day selling centre. The saleyards business remains one of Council’s key services to rural enterprises. Throughout the year, Council undertook an expression of interest process to determine the future of the Dalby Saleyards with regards to ownership and operation at the existing site and a Greenfield site which resulted in Council considering private ownership and future development options and expansion as follows:• Design/construct, expand and rehabilitate portions of existing saleyards • Design/construct new facilities on the existing saleyard site • Sell the saleyards business and design/construct and operate new facilities within Council area After developing this process, Council decided to continue to own and operate the Dalby Saleyards as a service to rural enterprise and approved the redevelopment of the existing facility by a three stage process:• Stage 1 2011/12 - $700,000 worth of WH&S issues upgrade • Stage 2 2012/13 and 2013/14 - $5 million construction of new receival and drafting facilities with roof over and soft floor • Stage 3 2014/15 - $5.2 million construction of new selling pens with roof over and soft floor

The redevelopment consultation process resulted in improved relationships with the Dalby Saleyards stakeholders and agents with more of an industry focus.

A review of the Western Downs Regional Council Saleyards Advisory Committee resulted in the addition of one extra agent representative to two. Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 2 5


SA 3 Planning for Liveability ambition Build an effective planning solution that enhances the liveability and lifestyle of our regional communities whilst promoting sustainable development

SA 3 Planning for Liveability incorporates the strategic functions of Strategic Planning, Planning Services and Building Services.

Strategic Planning Review development policy and planning instruments in response to regional planning requirements The Planning Scheme review process to combine all six of the current Planning Schemes into a single Western Downs Planning Scheme is progressing. Major achievements to date include:• Completion of background planning studies • Review existing planning schemes • Prepare draft vision and strategic framework Targets include:• First State interests checks • Public consultation • Complete and implement Draft Planning Scheme

2010/11 achievements Preparation of Priority Infrastructure Plans associated with the current Planning Schemes and applicable to all major towns in the region has commenced.

Planning Services Effectively resource and manage planning, development assessment and compliance A total of 182 development applications were received. This shows continued strong development growth throughout the region.

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 2 6


SA3 Planning For Liveability CONT’D 2010/11

ACHIEVEMENTS

Applications Received

Applications Approved

Reconfiguring a Lot

Reconfiguring a Lot

# of DAs

# of New Lots

Residential

10

368

Rural Residential

6

Industrial

#. of DAs

#. of new lots

Residential

12

400

73

Rural Residential

5

71

2

2

Industrial

1

2

Commercial

3

1

Commercial

3

4

Other

11

14

Other

10

13

Material Change of Use

Material Change of Use

# of DAs

# of DUs

GFA

Residential

36

962 (701 bed camp)

8,986.3

Commercial

11

156

Industrial

24

Other

31

# of DAs

# of DUs

GFA

Residential

28

192

5,919

5,868.2

Commercial

7

26

1,632.7

-

88,506.8

Industrial

16

-

47,244.5

512

6,175.85

Other

28

2

12,905.8

Operational Works #. of DAs 48

Operational Works Value of Works

#. of DAs

$24,419,656

45

Value of Works $17,232,361

# of DAs is: Number of Development Applications

# of DAs is: Number of Development Applications

# of DUs is: Number of Dwelling Units

# of DUs is: Number of Dwelling Units

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 2 7


SA3 Planning For Liveability CONT’D 2010/11

ACHIEVEMENTS

Building Services Effectively resource and manage building, plumbing and drainage assessment, and inspection services The following lists detail approvals issued for the Chinchilla, Dalby, Miles and Tara Customer Service Areas.

Chinchilla Building Type

Number of Approvals YTD

Value of Approvals YTD

Council

Private

Residential (New)

61

68

$12,986,362

$15,523,607

Residential (Alteration/Addition)

-

1

-

18,480

Serviced Accommodation

2

1

108,620

3,832,840

Domestic Outbuildings

41

16

825,314

179,962

Commercial (New)

6

1

532,000

7,158,460

Commercial (Alteration/Addition)

1

-

7,000

-

Industry (New)

4

5

496,400

764,510

Industry (Alteration/Addition)

-

-

-

-

Public Buildings (New)

2

1

434,264

653,853

Public Buildings (Alteration/Addition)

-

-

-

-

Swimming Pools

3

4

93,727

3,103,146

Miscellaneous

-

-

-

-

120

97

$15,483,688

$31,234,858

TOTAL

Council

Number of Dwelling Units

Private

YTD 129

129

YTD Building Compliance Searches

16

Building Record Searches

41

Special Reports

25

Building and Plumbing Inspections

616

TOTAL

698

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 2 8


SA3 Planning For Liveability CONT’D 2010/11

ACHIEVEMENTS

Dalby Building Type

Number of Approvals YTD

Value of Approvals YTD

Council

Private

Residential (New)

12

70

$3,592,466

$18,763,842

Residential (Alteration/Addition)

31

29

922,804

1,129,738

Serviced Accommodation

-

-

-

-

Domestic Outbuildings

89

40

1,428,539

688,393

Commercial (New)

-

2

-

352,000

Commercial (Alteration/Addition)

9

9

4,091,941

1,293,083

Industry (New)

2

2

480,000

5,241,357

Industry (Alteration/Addition)

1

-

42,400

-

Public Buildings (New)

-

1

-

2,300,000

Public Buildings (Alteration/Addition)

4

-

5,862,498

-

Swimming Pools

5

7

96,490

233,416

Miscellaneous

5

1

88,986

200,000

158

161

$16,606,124

$30,201,829

TOTAL

Council

Number of Dwelling Units

Private

YTD 82

82

YTD Building Compliance Searches

39

Building Record Searches

43

Special Reports

59

Building and Plumbing Inspections

853

TOTAL

994

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 2 9


SA3 Planning For Liveability CONT’D 2010/11

ACHIEVEMENTS

Miles Building Type

Number of Approvals YTD

Council

Private

Residential (New)

6

Residential (Alteration/Addition)

Value of Approvals YTD

Number of Dwelling Units

Council

Private

YTD

20

$1,670,561

$5,251,769

2

1

$143,100

$9,000

Serviced Accommodation

-

1

-

$4,985,000

Domestic Outbuildings

10

1

$135,493

$20,000

Commercial (New)

2

-

$481,000

-

Commercial (Alteration/Addition)

-

-

-

-

Industry (New)

3

1

$72,000

$239,054

Industry (Alteration/Addition)

-

-

-

-

Public Buildings (New)

-

-

-

-

Public Buildings (Alteration/Addition)

2

-

$75,780

-

Swimming Pools

2

-

$10,000

-

Miscellaneous

-

2

-

$220,000

TOTAL

27

26

$2,587,934

$10,724,823

32

48

80

YTD Building Applications Received

62

New Dwelling Units (Council Approved)

13

New Dwelling Units (Privately Approved)

18

Building Searches

4

Building Record Searches

21

Special Reports

5

Plumbing Applications Received

39

Plumbing Approvals Issued

31

Building and Plumbing Inspections

278

TOTAL

471

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 3 0


SA3 Planning For Liveability CONT’D 2010/11

ACHIEVEMENTS

Tara Building Type

Number of Approvals YTD

Value of Approvals YTD

Council

Number of Dwelling Units

Council

Private

Private

YTD

Residential (New)

7

2

$264,156

$555,192

Residential (Alteration/Addition)

8

-

$73,977

-

Serviced Accommodation

-

-

-

-

Domestic Outbuildings

7

2

$114,533

$31,000

Commercial (New)

-

-

-

-

Commercial (Alteration/Addition)

4

1

$54,350

$75,000

Industry (New)

-

-

-

-

Industry (Alteration/Addition)

-

-

-

-

Public Buildings (New)

1

-

$78,500

-

Public Buildings (Alteration/Addition)

1

1

$6,050

$30,000

Swimming Pools

-

-

-

-

Miscellaneous

-

-

-

-

TOTAL

28

6

$591,566

$691,192

9

9

YTD Building Compliance Searches

6

Building Record Searches

6

Special Reports

4

Building and Plumbing Inspections

231

Post Building Amnesty Inspections

78

TOTAL

325

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 3 1


SA 4 Our EnviroNment ambition Provide a healthy environment for our people today and the generations of tomorrow

SA 4 Our Environment incorporates the strategic functions of Environmental Health, Rural Services and Waste Management.

Environmental Health Improving environmental health for the benefit of our regional communities and environment Council’s focus on core environmental health responsibilities continued during the financial year, with involvement in food hygiene monitoring, environmental protection, dangerous goods safety management, environmental nuisances and public health matters. Council takes both an enforcement and promotional approach to better environmental health practices and regularly prepares newsletters, offers instructional courses as well as routine inspections to communicate environmental health messages with stakeholders. Council’s commitment to environmental health delivery continued especially during the significant flood events of December 2010 and January 2011. The environmental health response included the management of public health risks and the provision of public health advice to residents, the establishment of evacuation centre protocols, provision of hygiene advice to affected food businesses, the control of the substantial mosquito populations that emerged shortly after the flood waters receded and the cleanup of rubbish from some urban creek systems. A positive legacy of the floods was the resultant development of a mosquito management program, which will assist Council in minimising the transmission of vector borne diseases during normal seasons.

2010/11 achievements Statistics • Dogs registered: 5,340 (4,266 - previous year) • Dogs impounded: 534 (501 - previous year) • Cats registered: 916 (Note: Cats not previously registered) • Cats impounded: 171 (111 - previous year) • Participants in food hygiene course: 43 • Food Premises Inspections undertaken: 215 (148 - previous year) • Food safety programs accredited: 11 • Environmentally Relevant Activities inspections:107 (68 - previous year) • Flammable and combustible inspections: 57 (48 - previous year) • Customer requests (28 March to 30 June 2011): 459

The Animal Management (Cat and Dog) Act was introduced in the Western Downs Regional Council area on 1 July 2010. For the first time, this new act required that all dogs and cats kept within the Council area are required to be registered, and also created additional requirements for animal keepers. The Environmental health section undertook an extremely successful public information campaign, and Council assisted the community with an enforcement moratorium to provide residents with sufficient time to comply with all of the new requirements.

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 3 2


SA4 OUR ENviRONMENT CONT’D 2010/11

ACHIEVEMENTS

Rural Services/Natural Resource Management Create a natural environment that is valued and sustainable by managing the region’s natural character, heritage and values This year saw the continuing on ground fight against the emerging animal and plant pests and work also continued on a region wide pest management plan. The group also maintained stock routes under Council’s control and offered rural services such as Drummuster. Projects for the construction of washdown bays commenced, with the project in Wandoan commenced but completion was delayed due to flooding. Council assisted a number of natural resource management (NRM) groups with the delivery of on ground environmental projects in sensitive areas such as creeks and reserves and this included work with the Bunya Mountains Murri Ranger program for the on ground projects in Russell Park, Bunya Mountains. Many sections of Council’s wild dog check fences were damaged and as much as 5.3 km of fencing completely destroyed during the summer flood events. Furthermore, many stock route facilities operated by Council were either damaged or destroyed by flood waters. Repairs to the priority sections of the check fences have generally been completed and applications for funding have been made for repairs to the stock route facilities. Statistics • Wild Dog scalp bounties paid: 998 (885 - previous year) • Wild dog baiting participants: 314 (approximate) • Wild dogs trapped: 53 (77 - previous year) • Drummuster drums collected: 51,958 (94,622 - previous year)

Waste Management Meet the current and growing needs of our region through a coordinated and considered approach to services and environmental infrastructure Council’s Waste Management section continued to rollout its Waste Infrastructure Strategy, “Towards a Waste Wise Western Downs”. The flooding has resulted in the delivery of some of the projects identified in the strategy to be delayed, especially the Kaimkillenbun and Dalby Waste and Recycling Centres which are now expected to be completed in late 2011 and early to mid 2012 respectively. The major project during the period was the successful rollout of the new, region wide garbage and recycling collection contract. The new initiative provided separate garbage and recycling collection services at all major population centres and many rural residential communities and offers this service for the same price no matter the location. Since its introduction, the community has responded very well to this service with the roadside recycling rates substantially increasing over time.

Other worthy projects have included the expansion of the greenwaste recycling program, continuation of a concrete recycling scheme in Dalby and the introduction of a waste education program that was incorporated into the garbage and recycling contract. The waste management section was heavily impacted by the widespread flooding in late 2010 and early 2011. Many garbage and recycling collection services were unable to be conducted due to the extensive road closures which affected collection routes for up to four weeks. Furthermore, due to the substantial amount of property destroyed by floodwaters, there was a record increase in waste volumes created. Council offered a free kerbside collection service for flood affected properties; this waste was collected both by volunteers, including local service groups and locally operating resource companies, as well as by contractors. It was estimated that approximately six months worth of waste was presented to Council landfills during the weeks following the flood events. These flood wastes are estimated to have consumed as much as 10% of the capacity of Council’s two main landfills. Improvement works are continuing to be made at many Council facilities, especially the Dalby Landfill which is now subject to a greatly improved maintenance program. Statistics • Properties Serviced: 11,216 • Roadside Recycling • To 1 July 2010 to 30 September 2010 - estimated 133 tonnes • From 1 October 2010 to 30 June 2011 - 1,216 tonnes (529 tonnes previous full year) • Recycling contamination rate: 12.42%

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 3 3


SA 5 Utility Services ambition Manage our water, sewerage and gas networks to achieve reliability, safety and cost effectiveness for our customers

SA 5 Utility Services incorporates the strategic functions of Water, Wastewater and Gas. The 2010/11 year has brought major challenges to the Utilities Group. The biggest impact was from major flooding throughout the region. In particular, record flood levels along the Condamine river caused complete shut downs and major damage to both the Dalby and Condamine water treatment plants. Restoration works were major and required several months to complete. Continued development of the Coal Mining and CSG Industry, and the new developments associated with the Liquefied Natural Gas industry have had a major impact on the water and wastewater services to many Western Downs communities. Planning of augmentation works has been a major focus during the year.

Water Manage water and recycled water treatment, networks, revenue and assets to achieve safe, reliable and cost effective water supplies • •

T he second stage reverse osmosis desalination plant has been completed at the Dalby Water Treatment Plant A number of projects have been completed for the Miles Water supply, including the connection of the bore supply into the system, upgrading of filtration and high lift pumping processes, trunk

2010/11 achievements mains interconnections, and reroofing of the treatment plant building and water storage reservoir • The 50 Ml off stream storage for the town of Warra has been completed • The automatic read meter replacement program has continued, with the new meters being installed in Tara, Meandarra, Bell Jimbour, Warra and Kogan • Asset replacement works included mains replacements in Dalby, Chinchilla, Warra, and Tara • Planning to cater for the rapidly developing communities of Dalby, Chinchilla, Miles and Wandoan was undertaken with the Water Network Analyses Reports completed, providing augmentation information for planning horizons out to year 2030

Town water consumption 2010/2011 annual 1350000 1200000

Consumption (KL)

1050000 900000 750000 600000 450000 300000 150000 0

Dalby

Chinchilla Tara

Summer consumption (Oct to Mar)

Jandowae

Miles Wandoan

Winter consumption (Apr to Sept)

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 3 4


SA5 UTILITY Services CONT’D 2010/11

ACHIEVEMENTS Town litres / connection / day (2010/2011) annual average 1000 900

Consumption (L/Conn/Day)

800 700 600 500 400 300 200 100 0

Dalby

Chinchilla Tara

Jandowae

Miles Wandoan

Village water consumption (2010/2011) annual

Consumption (KL)

30000 25000 20000 15000 10000 5000 0

Bell Summer consumption (Oct to Mar)

Warra

Condamine

Winter consumption (Apr to Sept)

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 3 5


SA5 UTILITY Services CONT’D 2010/11

ACHIEVEMENTS Village litres / connection / day (2010/2011) annual average 800 Consumption (L/Conn/Day)

700 600 500 400 300 200 100 0

Bell

Warra

Condamine

Hamlet water consumption (2010/2011) annual 12000 Consumption (KL)

10000 8000 6000 4000 2000 0

Jimbour

Kaimkillenbun Brigalow Dulacca

Kogan

Moonie The Gums

Glenmorgan Flinton Westmar

Moonie The Gums

Glenmorgan Flinton Westmar

Hamlet litres / connection / day (2010/2011) annual average Consumption (L/Conn/Day)

1200 1000 800 600 400 200 0

Jimbour

Kaimkillenbun Brigalow Dulacca

Kogan

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 3 6


SA5 UTILITY Services CONT’D 2010/11

ACHIEVEMENTS Wastewater

Manage wastewater treatment, collection and pumping, revenue and assets to achieve reliable and environmentally sensitive wastewater systems • •

Major asset replacement works were undertaken with sewer main relining projects completed in Dalby, Tara and Meandarra. Manhole relines and sewer main patching was undertaken in other centres Planning to cater for the rapidly developing communities of Dalby, Chinchilla, Miles and Wandoan was undertaken with the Sewer Network Analyses Reports completed providing augmentation information for planning horizons out to year 2030

Treated sewerage (2010/2011)

Treated sewerage (ML)

250 200 150 100 50 0

Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun

Total Treated Sewage Chinchilla

558.69 ML

Dalby

913.60 ML

Miles

145.63 ML

Tara

95.3 ML

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 3 7


SA5 UTILITY Services CONT’D 2010/11

ACHIEVEMENTS Gas Manage gas networks, revenue and assets to achieve safe, cost effective gas distribution systems • •

Construction of the new Dalby Gas Gate Station has been completed District regulator upgrades have been completed

Gas consumption 600000

Consumption (m3)

500000 400000 300000 200000 100000 0

Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun

2008/2009

2009/2010

2010/2011

Total Consumption 2008/2009

3253829 m3

2009/2010

3248851 m3

2010/2011

3517748 m3

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 3 8


SA 6 infrastructure ambition Build and maintain civil infrastructure to create safe and liveable communities within our region

SA 6 Infrastructure incorporates the strategic functions of Civil Works, Aerodromes, Asset Management, Cemetery Operations, Stormwater Networks, District Depots and Workshops, Commercial Works, Fleet and Plant and Quarry Operations. The Works function of Engineering Services has continued to work effectively delivering regional infrastructure services through locally based district workforces. Every district was severely impacted by flooding from September 2010 to January 2011. As this section of Council’s operations constructs and maintains the majority of Council infrastructure, it was impacted severely by the number of declared disaster events. While a focus remains on achieving regional consistency of systems and delivery, a key priority this year was to get Council’s infrastructure operating again after the flooding. Internal resources were boosted by a large contingent of contract staff and equipment to provide a timely response to emergent works following the disaster which was of a scale never before seen. While the flooding event provided extra challenges for Council, the main objective of the Works function remains the same – to ensure that a comprehensive and structured approach is taken towards planning and the development of infrastructure.

Civil Works Plan, design, construct and maintain regional civil infrastructure to service the regional community

2010/11 achievements It should also be noted that an increasing road network, mainly as a result of new subdivisions, added to normal maintenance requirements. Currently Council owns one of the largest road networks of any Council in Queensland, totalling 7,504 km, of which 2,024 km is sealed and 5,480 km is unsealed. Adding to the abovementioned number is an additional 1,777 km of Federal and State roads under Council’s care and control, taking the total length of Council controlled roads to 9,281 km. Works continued a long-term planning and budgeting process with a 10-Year Works Program for each of the five districts once again developed. This program provides for all capital, major maintenance, Main Roads works and maintenance requirements for all community infrastructure for the next 10 years. The compilation of the 10-year program involves identifying and prioritising Council’s infrastructure needs according to a clear and transparent methodology which is consistent with Council policies, strategies and the Corporate Plan.

Acknowledging the impact of significant flood events across the Western Downs Region in the 2010/11 financial year, Council delivered a substantial amount of civil works throughout the region as summarised below: Dalby/Wambo

Tara/Chinchilla Miles/Wandoan

Capital Works

$3,526,724

$5,020,960

$2,300,662

Maintenance

$12,246,436

$9,250,369

$7,671,391

Drainage

$19,210

$205,120

$0

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 3 9


SA6 INFRASTRucture CONT’D 2010/11

ACHIEVEMENTS

Parks and Gardens Maintain regional Parks and Gardens assets to service the needs of the Western Downs Communities The Parks and Gardens function is resourced through the Works Section of Council and this year resources were aligned closer to other Works functions to provide a better delivery service to the community in this area. The strategy remains to enhance the existing parks and gardens throughout the region. Flooding and high rainfall caused a large drain on resources in this section but parks and gardens throughout the region have responded well after many years of drought.

Aerodromes Maintain and enhance aerodromes relevant to CASA and community requirements Aerodromes are the responsibility of Council’s local workforce for operations and maintenance. Procedures and policies are developed through the Director of Engineering Services. Council has developed a Western Downs Regional Council Airport Strategy which identifies the Chinchilla Aerodrome to be designated as the Regional Airport. Council continues to work with the resource sector on proposals to upgrade a number of Aerodromes throughout the region. All aerodromes have continued to be maintained and a longer term view of infrastructure at each strip has been taken. This has resulted in an increased effort in maintaining the assets at these important facilities in order to provide improved services to users.

key assets of Council has commenced and will be adopted by Council prior to the timeframe of 30 September 2011 set by the State Government. The asset management team has been reviewing the asset inventory register, which has involved a desktop audit of the road, water and sewer networks. A field audit of the road network was conducted that included the collection of GPS data of the entire Council road and footpath network, collecting details such as the length, width and construction standard of roads, bridges and floodways. Work is continuing on the collection of inventory data for Council’s building assets. The asset management team has now combined and standardised the asset inventory registers from the nine former entities (including Boards). In addition, Aerial Surveys of 18 town and key Council project areas was completed and available for use by the whole organisation.

Cemeteries Maintain cemetery operations to a level acceptable to the community The cemeteries function continued to be delivered locally throughout the region. The extension of the Dalby Cemetery was undertaken in the 2010/11 financial year to provide for future expansion. Council is currently developing an online database system for cemetery records. When completed, information will be available to the public, via Council’s website, of burial location and other information.

Asset Management Develop a whole of organisation approach to implement best practice asset management Substantial changes to the Local Government Act have highlighted the importance of asset management in local government. Council has continued with the development of a whole of organisation approach to Asset Management with associated financial modelling and service level standards. The development of Core Asset Management Plans for Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 4 0


SA6 INFRASTRucture CONT’D 2010/11

ACHIEVEMENTS Stormwater Networks Plan and design regional stormwater area network infrastructure Council’s aim is to provide stormwater infrastructure and strategies that ensure adequate protection and/or to minimise the effect of overland flow or flooding. Planning for studies into several stormwater catchments occurred in Dalby and Chinchilla. Council has continued with major works in Chinchilla and work is expected to commence in 2011/12.

Commercial Works Actively pursue commercial works opportunities within our region Commercial works include external works for private developers under contractual arrangements and provide Council’s workforce the opportunity to compete and measure themselves against private industry. This in turn ensures an effective workforce that delivers local projects cost effectively. A substantial part of commercial works includes the completion of work by Council on behalf of the Department of Transport and Main Roads (DTMR). An alliance is in place with TMR under a contractual agreement to deliver the Road Maintenance Performance Contract (RMPC) on an annual basis. Council also undertook a number of major road reconstruction projects as the Principal Contractor on behalf of DTMR. This is a very important part of Council’s program delivery as it not only provides safer main roads within the region but maintains the ability of Council to provide employment in the region. Below are the financial figures for commercial works across the region for the 2010/11 financial year:Value of Completed

$1,704,493

Value of Works for DTMR Income

$5,092,232

Value of Flood Damage Works for DTMR

$12,423,350

Fleet To manage an efficient fleet and plant to support Council operations The period between 1 July 2010 and 30 June 2011 has seen Council continue its Plant and Vehicle Replacement Program. During this period, Council replaced its 2010/11 budgeted plant and fleet to a replacement value of approximately $6.1 million. Council has an adopted Plant and Vehicle Replacement Policy which was applied across the region during the 2010/11 financial year using an industry standard approach designed to reflect true costs. This will allow Council to maintain a

sustainable modern fleet into the future and provides a consistent regional approach to fleet and vehicle replacement.

Quarry Operations To provide quality quarry products at competitive prices A strong performance has been recorded by the Western Downs Regional Council’s Jimbour Quarry operations for the 2010/11 financial year. Product sales totalled almost $3.8 million, with the majority going directly to Council works and projects throughout the region as well as supplying a wide range of customers and businesses. Crushing operations during the year produced 119,000 tonnes of road base material and 104,000 tonnes of aggregates and associated materials. During 2010/11 Council replaced one of the existing gyratory crushers with a vertical shaft impact crusher. This was installed to enhance the quality of the end product. In order to better utilise the significant material resources in gravel pits throughout the region, Council also purchased a track mounted jaw crusher commissioned into operation toward the end of the 2010/11 financial year. Through close consultation with, and a mutual understanding of the many and varied sections and departments necessary to sustain a successful operation, the Western Downs Regional Council’s Jimbour Quarry remains committed to the safe production and supply of quality materials to its valued clients.

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 4 1


SA6 INFRASTRucture CONT’D 2010/11

ACHIEVEMENTS Significant Projects A large number of important projects have been completed during the past 12 months, refer to the tables below: Chinchilla Road Projects

Road Name

Work Description

Vanrenan’s Road

Resheet and seal

Chinchilla Tara Road

Shoulder sealing

Nudley School Road

Concrete slab through Floodway

Chinchilla Street

New footpath at Visitor Information Centre

Various Bitumen Roads

Bitumen Reseal Program 2010/11

Various Gravel Roads

Gravel Resheeting Program 2010/11

Flood Damage Emergency repairs on Council and TMR networks

Dalby Road Projects

Road Name

Work Description

Hedge Road

Reconstruction

Springvale Road

Reconstruction

Branch Creek Road

Reconstruction

Pirrinuan-Apunyal Road

Rehabilitation

Black Street Road

Construction

Hustons Place Road

Construction

Bidstrups Road

Rehabilitation

Branch Creek Road

Footpath

Edward Street

Footpath

Myall Creek Pathway

Extension

Nicholson Street

Rehabilitation

Various Gravel Roads

Gravel Resheeting Program 2010/11

significant projects Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 4 2


SA6 INFRASTRucture CONT’D 2010/11

ACHIEVEMENTS Miles Road Projects

significant projects

Road Name

Work Description

Dulacca South Road

Widen and Seal

Daisy Street

Pine Street to Dawson Street, Bitumen Reseal

Eleanor Street

Condamine Street to Lee Street, Bitumen Reseal

Edith Street

Centenary Avenue to Racecourse Road, Bitumen Reseal

Pollard Street

Bitumen Reseal

McAuliffe Street

Bitumen Reseal

Bishop Drive

Bitumen Reseal

Lawton Place

Bitumen Reseal

Dawson Street

Mary Street to McNulty Street, Bitumen Reseal

Wallen Street

Marian Street to Daisy Street, Bitumen Reseal

Colamba Street

Murilla Street to Hookswood Road, Bitumen Reseal

Murilla Street

Morgan Street to Dawson Street, Bitumen Reseal

Slessar Lane

Bitumen Reseal

McNulty Street

Creek to Bourne Street, Bitumen Reseal

Hawkins Street

Bitumen Reseal

Bourne Street

Bitumen Reseal

Lynagh Street

Mary Street to McNulty Street, Bitumen Reseal

Short Street

Taralgon Avenue to Glynn Avenue, Bitumen Reseal

Killarney Street

Taralgon Avenue to Glynn Avenue, Bitumen Reseal

Anzac Street

Taralgon Avenue to Glynn Avenue, Bitumen Reseal

Temple Street

Taralgon Avenue to Glynn Avenue, Bitumen Reseal

Bell Street

Taralgon Avenue to Glynn Avenue, Bitumen Reseal

Jardine Street

Drillham South Road to Drillham

School Road

Bitumen Reseal

Luckies Lane

Gravel Resheet

Drillham South Road

Gravel Resheet

Coates Road

Gravel Resheet

Matthews Road

Gravel Resheet

Corbetts Road

Gravel Resheet

Eys Road

Gravel Resheet

Freemans Road

Gravel Resheet

Willets Road

Gravel Resheet

Sherwood Road

Gravel Resheet

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 4 3


SA6 INFRASTRucture CONT’D 2010/11

ACHIEVEMENTS Tara Road Projects

Road Name

Work Description

Leichhardt Highway

Widen and Overlay

Goranba Lane

Resheet and seal

Cambridge Crossing Road

Resheet and seal

Bennetts School Road

Resheet and seal

Smallacombe Street

Intersection improvements

Sara Street Meandarra

Replace footpath

Various Bitumen Roads Bitumen Reseal Program 2010/11 Various Gravel Roads Gravel Resheeting Program 2010/11 Flood Damage Emergency repairs on Council and TMR networks

Wandoan Road Projects

Road Name

Work Description

Roche Creek Road

Widen and Seal

Nathan Road

Widen and Seal

Bungaban Road

Bitumen Reseal

Ryals Road

Bitumen Reseal

Cecils Road

Bitumen Reseal

Grosmont

Bitumen Reseal

Royds Street

Bitumen Reseal

O’Sullivan Park Car Park

Bitumen Reseal

Giligulgul Road

Gravel Resheet

Miscellaneous Projects

Miscellaneous Project Name

Work Description

Dalby Region Dalby Cemetery Charles Drew Bridge Thomas Jack Park Lake Broadwater Russell Park Subdivision Construction Chinchilla Region Chinchilla CBD Chinchilla Weir Gaske Lane Tara Region Meandarra CBD Miles Region Murilla Street

Extension Banner Poles BBQ Replacement Softfall Installation Carpark Overlay Various Subdivisions constructed throughout region Heeney Street Street Beautification (RLCIP) Improvements to Picnic Facilities Stormwater Drainage, Planning for Stormwater Drainage, Construction Street Beautification Colamba Street to Condamine Street - Footpath Upgrade Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 4 4


SA 7 Empowering our Team ambition Provide organisational support and leadership to build a strong and effective regional Council

SA 7 Empowering Our Team incorporates the strategic functions of Strategic Management, Governance, Strategic Marketing and Communication, Information Management, Human Resources Management, Safety, Disaster Management and the regional Customer Contact Centre.

2010/11 achievements

Strategic Management To provide effective strategic planning and leadership to establish a clear focus, shared across our regional organisation • • •

Four quarterly reviews of 2009-2013 Corporate Plan and 2010/11 Operational Plan conducted Eight Monthly Executive Team Meetings held regionally Four Quarterly Management Team Meetings held regionally

Governance To implement best practice governance to achieve an effective and accountable Organisation • Three Right to Information Applications were processed • One Information Privacy Application processed • Establishment of policy and applicable framework for the proper establishment, operation and administration of Council advisory committees • Regional Policy Development Process standard work practice plus support framework developed and implemented Council-wide to consolidate and regionalise Council level and operational policies • 295 Policies of Former Council’s rescinded • 206 former Home and Community Care (HACC) Service policies reviewed and consolidated to 30 Regional Policies, administered by Western Downs Community Care Services (WDCCS). • 44 Regional policies adopted/approved where applicable Community Engagement Policy adopted in compliance with Local Government (Finance Plans and Reporting) Regulation 2010 • Community Engagement Guidelines, Toolkit and Register developed to support Community Engagement policy and are currently being trialled Council-wide. (Sunshine Coast Regional Council and Cairns Regional Council are to be acknowledged for their generous support with this project).

L ocal Law Making Process adopted by Council consistent with the requirements of Section 29(1) of the Local Government Act (2009) - resolution to repeal and to make a new Local Law Making Process adopted by Council • Local Law Review commenced consistent with the Local Government Reform provisions and Chapter 3, part 1, division 2 of the Local Government Act (2009) - Council has proposed to make a suite of seven Local Laws supported by 22 Subordinate Local Laws to replace the existing 157 Local and Subordinate Local Laws pertaining to the former councils which now comprise Western Downs Regional Council • First State Interest Check on proposed Local Laws undertaken consistent with Section 29A (2)(a) of the Local Government Act (2009) • Community Consultation undertaken on draft local laws and subordinate local laws. Concurrent Public Interest Testing on identified anti-competitive provisions contained in draft laws undertaken • Council requested and received written approval from

the Chief Executive (Department Main Roads and Transport) to make proposed laws over State Controlled Roads per Section 66(5)(b) of the Transport Operations (Road Use Management) Act 1995 Council-wide review commenced in line with the Attorney General’s (Queensland) Report to Parliament No. 11 for 2010 (Implementation and enforcement of local laws A Performance Management Systems audit)

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 4 5


SA7 Empowering our team CONT’D 2010/11

ACHIEVEMENTS

Strategic Marketing Deliver marketing, communication and PR strategies that enhance Council’s professional corporate image • • • • • • • • • • • • •

Assisted in development of Council’s new Community Engagement Policy with associated Guidelines and Toolkit Held seven Community Connect Flood Debrief sessions across the region to gain the community’s insight into the 2010/11 Summer flood events Implemented the 2010/11 Budget Communication and Community Engagement Strategy which included hosting eight Community Connect Forums across the region Increased the quantity of media releases and alerts distributed by 52.69% from last financial year Achieved total advertising space value of $5,861,864 in broadcast media Achieved total advertising space value of $ 799,299 in print media Continued to enhance Council’s website using new content management system offering a suite of features to improve overall functionality and customer services Attracted 61,244 visitors to Council’s website Continued to develop and enhance Council’s staff intranet - COLIN (Council Online Information Network). COLIN is a one-stop communication and information hub for all Western Downs Regional Council staff to access Council related information and to provide a high level of internal and external customer service delivery COLIN received 8,562 internal visits during the year 12 editions of the Monthly Council Update published in various newspapers, regional magazines and local community newsletter publications Published six editions of the Local Council Update for Miles and ten editions for Tara Published one edition of Council’s Community Update Newsletter distributed to registered voters regionally

Information Management and Customer Service Management Effective and timely management of all forms of correspondence generated and received by Council in order to deliver excellent customer service Information Management Achievements • • • • • • •

Continual streamlining of daily mail and records management procedures Development of new automatic workflows complete with end points to improve reporting capabilities Operational Dataworks Training delivered to all new staff Refresher Dataworks Training delivered to functional areas Continual cleansing of Name and Address Register Creation of regional property files Developed Dataworks User Guide Web Browser and help cards

Information Management Statistics • • •

Total incoming documents recorded during 2010/11 - 29,700 (an increase of 1,249 documents from previous year) Total outgoing documents recorded during 2010/11 - 22,316 (a decrease of 539 documents from previous year) Total forms recorded during 2010/11 - 12,471

Customer Service Management Achievements • • • • • • • • •

Organisational Customer Service Strategy adopted Established a new regional Customer Contact Team Marketed a 1300 COUNCIL line with the issue of a fridge magnet New telephone system installed in conjunction with IT Department Developed a regional Customer Services Training Plan Developed a new regional Customer Request Management System complete with new forms and automatic workflows with end points to improve reporting capabilities Internal Services Directory developed Creation of a new Customer Service Intranet Page Service Level Agreements developed with each Directorate

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 4 6


SA7 Empowering our team CONT’D 2010/11

ACHIEVEMENTS

• • •

Established an internal Customer Contact Centre Review Committee Implemented Contact Centre after hours call service Complaints Management Policy adopted and implemented

Customer Service Management Statistics for three months (Contact centre commenced 31st March 2011) • • • •

Total number of phone calls received in the inbound queue - 14,260 Total number of phone calls answered from the inbound queue - 13,115 Total number of customer requests - 1,490 Total number of customer complaints - 35

Human Resource Management Attract, retain and develop an effective team whilst promoting a positive and proactive culture • •

estern Downs Regional Council Code of Conduct was developed W along with executive consultation and published. Western Downs Regional Council Employee Handbook was developed and published. This was delivered to whole of staff in conjunction with the Code of Conduct A structured Performance Management procedure has been implemented. Performance Appraisals are completed annually for all employees with position descriptions being reviewed in line with their appraisal Corporate Inductions are held every 4th Wednesday of the month presenting regularly updated information collated from each directorate along with a folder of documents for reference. Training Schedule was developed at the commencement of the 2011 calendar year and made available to whole of staff through Council’s appropriate communication channels Data is collated and reviewed to reflect information returned on Exit Interviews from employees that have resigned. This constructive feedback provides Council with the ability to use this information to meet their commitment to be an Employer of Choice

uman Resources continue to review HR Management internal H systems and continue to develop polices

Equal Employment Opportunity The Human Resources team are continuing the process of developing an Equal Employment Opportunity Policy. Preceding the implementation of this Policy, all Council staff will have the opportunity to take part in an EEO survey.

Safety Implement and maintain safe workplaces for our people through continual development of Council’s WHS System to best practice standards • • • • • • • • •

Conducted annual internal audit of Workplace Health and Safety Management System Delivered regional Workplace Health and Safety Training Program including hosting specific Training Days on high risk topics Delivered Manual Handling Training (by external Registered Training Organisation) to Outside Workforce Coordinated the delivery of Bi-monthly Workplace Health and Safety Toolbox Talks by Supervisors A Safety Rectification Action Register has been developed and implemented A Regional Emergency Evacuation System ‘Concept Fire Evacuation Program’ has been implemented and inside and outside staff received their mandatory fire training through this program Policies adopted: Sun Safety, Prescription Safety Glasses Employee Subsidy, Medical Assessment, Staff Immunisation, Drug and Alcohol and Personal Protective Equipment Policy All Workplace inspections occurred at timelines required by Workplace Health and Safety Legislation All committees met at timelines required by Workplace Health and Safety Legislation

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 4 7


SA7 Empowering our team CONT’D 2010/11

ACHIEVEMENTS

Disaster Management To establish and maintain disaster planning and response systems to reduce the likelihood and consequence of disasters on the community • • • • • • •

• •

Disaster Management Plan adopted Conducted Local Disaster Management Group meetings Local Disaster Management Group participated in Exercise Orko Conducted regional disaster management exercises and meetings Debriefs held after major event (2010/11 Floods) Disaster Management Training provided to Community Services Managers Successful Emergency Management Queensland subsidised projects actioned: Wandoan shed, Condamine State Emergency Services kitchen, Miles bitumen seal, computer equipment, new vehicle Chinchilla and Miles and Audio visual equipment Natural Disaster Resilience Program funding regional Disaster Management Risk Assessment. Maintained regular communication and support for district State Emergency Services Groups

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 4 8


SA 8 Business Systems and technology ambition Implement and manage effective business systems and accountable financial practices to serve the needs of Council and the community

SA 8 Business Systems and Technology incorporates the strategic functions of Financial Planning and Performance, Rating and Utilities Revenue, Asset Management Coordination, Financial Services and Technology Support

Community Financial Report A community financial report contains a summary and analysis of a Local Government’s financial performance and position for the financial year Sources of revenue – where our money comes from Total revenue of $122,196,929 was recognised during the period 1 July 2010 to 30 June 2011 and consists of operating revenue (including rates and charges) of $107,105,777 and capital revenue (including grants, subsidies and contributions) of $15,091,152. The breakup of revenue is depicted in the graph below:-

30% Rates and levies 20% Sales of major services 3% Fees and charges 1% Rental and levies 2% Interest received including investments 41% Grants and subsidies 2% Other income

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 4 9


SA8 BUSINESS Systems and Technology CONT’D 2010/11

ACHIEVEMENTS

Operating expenditure – where our money is spent Total expenditure of $150,229,612 was recognised during the period 1 July 2010 to 30 June 2011 and consists of operating expenditure (including employee costs) of $144,133,960 and capital expenditure of $6,095,652. The breakup of expenditure is depicted in the graph below:-

Capital Works Program Capital works of more than $36,202,000 were undertaken during the period 1 July 2010 to June 2011. Significant projects include: • Regional Road and Bridge network renewal and improvements ($10,692,918) • PCYC Dalby Redevelopment ($5.08 million) • Gas Station ($1.09 million) • Reverse Osmosis Plant ($1.4 million) • Anzac Museum (Meandarra) ($1.3 million) • Dogwood Crossing ($1.2 million) • Waste Transfer Station ($607 thousand)

26% Employee costs 37% Materials and services 32% Depreciation 1% Finance costs 5% Other costs The net result for 2010-2011 is an operating deficit of $37,028,183. Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 5 0


SA8 BUSINESS Systems and Technology CONT’D 2010/11

ACHIEVEMENTS

Ratios: Measurements of Financial Sustainability The Local Government (Finance, Plans and Reporting) Regulation 2010 now mandates a series of financial sustainability indicators that local governments will calculate and disclose to the community on a regular basis. These measures are to be used to evaluate the financial sustainability of all local governments in Queensland. Council’s performance as at 30 June 2011 against the key financial sustainability ratios and targets are as follows:

Ratio

Explanation

Target

2011

Target Met

Working Capital

Council’s ability to meet its short term financial obligations

> 1.1

4.6

ü

Operating Surplus Ratio

Indicates the extent in which Council can cover its operational expenses from total revenue raised

> 10%

-34.6%

û

Net Financial Liabilities Ratio

Council’s ability to service its net liabilities from its operating revenues

< 60%

-16.2%

ü

Interest Coverage Ratio

Council’s capacity to cover its debt servicing costs

< 5%

-1.0%

ü

Asset Consumption Ratio

Shows the remaining average proportion of Council’s infrastructure assets relative to their as new value in current dollars

> 80%

80.4%

ü

Asset Sustainability Ratio

Reflects the extent to which infrastructure assets managed by Council are being replaced as they reach the end of their useful lives

> 90%

95.4%

ü

Summary The financial result for Council for the year ended 30 June 2011 was considered weak due to the significant operating deficit. Ongoing identification of expenditure savings, achievement of efficiency targets and additional revenue sources will be necessary to ensure that this position is improved into the future. To this extent, Council will conduct a review of its General Rating Strategy in 2011/2012 and is continuing to refine processes associated with the management of its extensive asset base through the development of comprehensive Asset Management Plans. Efficiency gains are also expected through the implementation of organisational reforms during next financial year.

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 5 1


SA8 BUSINESS Systems and Technology CONT’D 2010/11

ACHIEVEMENTS

10 Year Financial Forecast – Measures of Sustainability

Target

2010 -11

2010 -12

2010 -13

2010 -14

2010 -15

2010 -16

2010 -17

2010 -18

2010 -19

2010 -20

Council’s ability to meet its short term financial obligations

> 1.1

4.6

2.9

3.5

3.8

3.2

2.4

3.3

3.8

4.1

4.1

Indicates the extent in which Council can Operating cover its operational Surplus Ratio expenses from total revenue raised

> 10%

-34.6%

-15.2%

-6.8%

-12.7%

-17.5%

-17.2%

-16.3%

-15.8%

-13.7%

-12.4%

Ratio

Explanation

Working Capital

Net Financial Liabilities Ratio

Council’s ability to service its net liabilities from its operating revenues

< 60%

-16.2%

2.6%

0.2%

-1.6%

3.1%

6.4%

1.2%

-4.1%

-9.2%

-10.9%

Interest Coverage Ratio

Council’s capacity to cover its debt servicing costs

< 5%

-1.0%

0.0%

0.4%

0.5%

0.6%

0.8%

0.7%

0.3%

0.0%

-0.2%

Asset Consumption Ratio

Shows the remaining average proportion of Council’s infrastructure assets relative to their as new value in current dollars

> 80%

80.4%

81.1%

81.2%

80.5%

78.2%

75.9%

73.5%

71.0%

68.9%

67.2%

Reflects the extent to which infrastructure Asset assets managed by Sustainability Council are being Ratio replaced as they reach the end of their useful lives

> 90%

95.4%

119.1% 115.0% 113.7%

59.6%

57.5%

55.7%

54.8%

55.0%

63.7%

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 5 2


SA8 BUSINESS Systems and Technology CONT’D 2010/11

ACHIEVEMENTS

Debt position Western Downs Regional Council’s outstanding debt as at 30 June 2011 was $22,393,082. The graph below shows the combined borrowings for the last three years. Outstanding debt balance 25,000,000 20,000,000 15,000,000 10,000,000 5,000,000 0

2008/2009 2009/2010 2010/2011

Basic Statistics

Period to 30 June, 2010

Rates Number of Rateable Assessments

18,047

Average rates and charges per residential property

$703

Level of rate arrears (millions)

$3.11

Snapshot of the region’s assets The table below illustrates Western Downs Regional Council’s assets as at 30 June, 2011.

Assets

Total Asset Value

Depreciation / Amortisation for 2010/11 year

Written down value as at June 30, 2011

Land

$47,215,104

$0

$47,215,104

Site Improvements

$11,469,425

$577,300

$9,405,808

$173,361,414

$6,025,114

$145,764,383

Plant and equipment

$54,431,751

$5,706,533

$35,228,330

Furniture and fittings

$656,062

$135,939

$403,841

$1,078,246,961

$27,850,350

$876,385,141

$117,082,471

$4,256,525

$92,273,073

Sewerage

$79,878,544

$6,661,644

$58,023,892

Stormwater

$51,277,336

$585,026

$34,770,414

Gas

$10,443,965

$222,917

$7,193,198

$270,817

$0

$206,750

$1,792,828

$154,670

$734,226

$1,626,126,678

$48,176,018

$1,307,604,160

Buildings

Road and bridge network Water

Heritage and cultural assets Intangibles Total

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 5 3


SA8 BUSINESS Systems and Technology CONT’D 2010/11

ACHIEVEMENTS

Financial Planning and Performance To plan and monitor the Council’s financial performance • • • •

Developed and adopted a 10-year financial plan Coordinated the development, adoption and review of Council’s budget Implemented a new investment policy and associated procedure Coordinated a review of Council’s fees and charges

Council’s Debt Policy for the 2010/11 financial year is attached as an appendix to this report. National Competition Policy

Chapters 3 and 11 of the Local Government Act 2009 deals with the “Code of Competitive Conduct” (CCC) and “Complaints about Competitive Neutrality” respectively. Under Section 768, Council is required to identify in its Annual Report activities to which the code of competitive conduct is applied. Application of Competitive Neutrality to Other Business Activities Other business activities undertaken by local government which are not type one, two or three activities are defined as services provided which are of a policy, regulatory, planning, community or social nature for which funding is provided predominantly from the Council Budget. Council on 11 August 2010 resolved to adopt the Code of Competitive Conduct in accordance with Section 47 of the Local Government Act 2009 and to apply the Code of Competitive Conduct for the 2010/11 financial year to the Council businesses of:• • • • • • •

Waste Management Natural Gas Commercial Works Water Sewerage Jimbour Quarry Dalby Regional Saleyards

2010/11 achievements Consultancy From 1 July 2010 to 30 June 2011, Council expended a total of $2,310,580 in consultancy services. Overseas Travel During this reporting period no Council employees travelled overseas on business. Entertainment and Hospitality Services Entertainment or hospitality services expenses during 2010/11 totalled $112,710. Advertising Advertising expenses during 2010/11 totalled $211,481.

Summary of Complaints and Decisions Council did not receive any references of investigation notices from the Queensland Competition Authority issued under Section 137 of the Local Government (Beneficial Enterprises and Business Activities) Regulation, 2010.

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 5 4


SA8 BUSINESS Systems and Technology CONT’D 2010/11

ACHIEVEMENTS

Rating and Utilities Revenue To implement Council’s Revenue Policy in relation to rates and utility charges • • •

Issued rates notices, water consumption and gas notices Council allowed $373,589 in Council Pensioner Concessions for the 2010/11 year Implemented a further review of general rating categories in response to the required move towards rating parity

Asset Management Coordination To coordinate the financial management of Council’s assets •

Undertook indexation of Council’s assets which included the following classes: • Land • Site Improvements • Buildings • Gas Infrastructure • Water Infrastructure • Sewerage Infrastructure • Stormwater Infrastructure

Undertook a desktop revaluation of the following asset class: • Road and Bridge Network

Financial Services To provide financial service to support Council’s operations • • •

Reviewed Procurement Policy Maintain day-to-day financial service functions (accounts payable and payroll) within service standards Established inventory (gravel and quarry) financial procedures

Remuneration Packages 1 senior contract employee with a total remuneration package of: $195,096 5 senior contract employees with a total remuneration package of: $151,192

The hopper sides/wings will be wider than the width of the bucket by an estimated margin to allow for any spillage from the sides of the bucket

Number of Invitations to Change Tenders Council did not invite any expressions of interest prior to inviting tenders. Invitations were offered to suppliers for tender 6.6/9/10 for a Track Crusher to change their tenders during the reporting period. After investigations to the operation of all offered machines, initial operational procedure of side loading the hopper with a wheel loader was deemed to be operationally unacceptable. An invitation to all companies was issued for the design of the hopper width to allow:• Loading of the hopper with uncrushed material from the rear only • Hopper will be loaded by a wheel loader which has a bucket width of no less than 3,270mm

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 5 5


SA8 BUSINESS Systems and Technology CONT’D 2010/11

ACHIEVEMENTS

Reserves Land that is a reserve Under the Land Act 1994 - 780 hectares Area of the reserve controlled by Council including Land leased by it to someone else - 11,645 hectares

Technology Support To provide technical support to Council’s operations Achievements: • Policy Completed - Data Storage • Standard Work Practice Completed - Data Security • Successful implementation of Helpdesk Software System • Successfully completed a review of Council’s two-way radio network • Completed the implementation of Voice over Internet Protocol telephony solution over Council’s network (providing free internal phone calls and large cost savings in other calls) • Completed the integration of DataWorks into Council’s intranet and website • Completed an upgrade to the 12D Design software • Completed Stage Two of the Library Radio Frequency Identification project • Completed an upgrade of the Soil Lab software • Completed an extension of the Internet Protocol Wide Area Network to the Irvingdale Road Depot • Completed an extension of the Internet Protocol Wide Area Network to the Dalby Library • Completed an upgrade of the QuarryMan software • Completed an upgrade of the mid-band repeater system for the two-way radio network

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 5 6


APPENDICES • • •

Councillor Expenses Reimbursement Policy Debt Policy Audited Financial Statements for Period 1 July 2010 to 30 June 2011

APPENDICES

Annual Report 1 JULY 2010 TO 30 JUNE 2011

PA G E 5 7


Customer Service 1300 728 500 www.wdrc.qld.gov.au info@wdrc.qld.gov.au

Council Policy Council Policy POLICY TITLE:

COUNCILLOR EXPENSES REIMBURSEMENT POLICY COUNCIL POLICY

RESPONSIBLE DIVISION: POLICY TITLE: RESPONSIBLE SECTION:

Corporate Services COUNCILLOR EXPENSES REIMBURSEMENT POLICY OVERNANCE G COUNCIL POLICY

LINK TO CORPORATE PLAN: RESPONSIBLE DIVISION:

SA 7 - EMPOWERING Corporate Services OUR TEAM

RESPONSIBLE RESPONSIBLE OFFICER: SECTION:

Chief Executive Officer GOVERNANCE

AUTHORISED BY: LINK TO CORPORATE PLAN:

Ordinary Meeting of O Council - 3 June 2008 SA 7 - EMPOWERING UR TEAM

ISSUE DATE: OFFICER: RESPONSIBLE

3Chief JuneExecutive 2008 Officer

AMENDMENT AUTHORISED DATE/S: BY:

15 October 2008 of Council - 3 June 2008 Ordinary Meeting 1 April 2009 14 December 3 June 2008 2011

ISSUE DATE: DATE REVIEWDATE/S: DUE: AMENDMENT

-

-

May 2013 2008 15 October 1 April 2009 14 December 2011

DATE REVIEW DUE: May 2013 POLICY OBJECTIVES/PURPOSE: The purpose of this policy is to provide for the proper control of the reimbursement of reasonable expenses incurred, or to be incurred by Councillors in discharging their duties and responsibilities. POLICY OBJECTIVES/PURPOSE: The policy covers:purpose of this policy is to provide for the proper control of the reimbursement of reasonable expenses The the reimbursement to Councillors of legitimate expenses incurred; and incurred, or to be incurred by Councillors in discharging their duties and responsibilities.  the facilities to be provided to Councillors. The policy covers: the reimbursement to Councillors of legitimate expenses incurred; and ORGANISATIONAL SCOPE:  the facilities to be provided to Councillors. This policy applies to all Councillors of Western Downs Regional Council. ORGANISATIONAL SCOPE:for Councillor remuneration. Councillor remuneration is determined annually by This policy does not provide the Local Government Remuneration Tribunal. This policy applies to all Councillors of Western Downs Regional Council. POLICY: This policy does not provide for Councillor remuneration. Councillor remuneration is determined annually by the Local Government Remuneration Tribunal. STATEMENT OF PRINCIPLES This policy ensures that Council’s reimbursement of expenses incurred by Councillors and facilities provided POLICY: to Councillors is consistent with the local government principles and financial sustainability criteria as defined in the Local Government Act 2009. STATEMENT OF PRINCIPLES should not financially disadvantaged when carrying out by their roles andand should be fairly and Councillors This policy ensures thatbeCouncil’s reimbursement of expenses incurred Councillors facilities provided reasonably compensated in accordance statutory requirements community expectations. is consistent with the localwith government principles andand financial sustainability criteria as defined to Councillors in the Local Government Act 2009. Councillors should not be financially disadvantaged when carrying out their roles and should be fairly and reasonably compensated in accordance with statutory requirements and community expectations.


Customer Service 1300 728 500 www.wdrc.qld.gov.au info@wdrc.qld.gov.au

Councillors should not receive a private benefit through their role as a Councillor and as such this policy provides for actual reimbursement of legitimate expenses and full disclosure through appropriate accountability requirements.


Customer Service 1300 728 500 www.wdrc.qld.gov.au info@wdrc.qld.gov.au

In addition, the principles that underpin this policy are:a.

Public Interest

The use of public monies in the public interest by responsible budgeting and accounting. b.

Fair and Reasonable

Fair and reasonable allocation of Council resources in the form of allowances, facilities and other benefits, to enable all Councillors to conduct the duties of their office. c.

Transparent

Transparent decision-making by the public disclosure of policy and resolutions. d.

Accountability

Accountability for expenditure and use of facilities through full justification and acquittal. PAYMENT OF EXPENSES Expenses will be paid to Councillors in accordance with the relevant administrative processes as approved by the Chief Executive Officer and the limits as outlined in this policy. Wherever possible most expenses will be booked and paid for by Council in advance. Councillors making a claim for legitimate expenses incurred for Council business must submit the appropriate form detailing the relevant expense within one (1) month of the expense being incurred or invoiced. Expense Categories Council Business

Details Council will reimburse expenses incurred in undertaking Council business which includes:e. attendance at Council meetings, committee meetings, Councillor Information Sessions and approved workshops, strategic briefings and deputations; f. attendance at pre-arranged meetings with the Chief Executive Officer and/or General Managers; g. attendance at seminars and conferences where Councillors are required to either deliver a paper and/or attend as a delegate of Council as per resolution, h. attendance at public meetings and other community events such as presentation dinners and meetings with community groups where a formal invitation has been received inviting the Councillor in their official capacity to perform official duties or as an official Council representative as per resolution or with the prior approval of the Mayor; i. attendance at civic functions and ceremonies on behalf of the Mayor as delegated by the Mayor. Section 12(4)(i) of the Local Government Act 2009 states that the Mayor has the extra responsibility of representing the local government at ceremonial or civic functions. Section 12(5) of the Local Government Act 2009 states that a Councillor who is not the Mayor may perform the Mayor’s extra responsibilities only if the Mayor delegates the responsibility to the Councillor.


Customer Service 1300 728 500 www.wdrc.qld.gov.au info@wdrc.qld.gov.au

Professional Development

Professional Development and Study Assistance Where a Councillor identifies the need to attend training or undertake study to improve skills relevant to their role as a Councillor the Councillor may request Council's approval to attend. Each Councillor is allocated a maximum of $5,000 per term towards professional development costs.

Travel Costs

Council will reimburse travel expenses deemed necessary to achieve the business of Council where:  a Councillor is an official representative of Council; and  the activity / event and travel have been endorsed by resolution of Council. Councillors are required to travel the most direct route, using the most economical and efficient mode of transport. Any fines incurred while travelling in Council owned vehicles or privately owned vehicles when attending to Council business, will be the responsibility of the Councillor incurring the fine. All Councillor travel approved by Council resolution will be booked and paid for by Council. Any travel transfer expenses associated with Councillors travelling for Council approved business will be reimbursed. Councillor's private vehicle usage will be reimbursed at the Australian Taxation Office cents per kilometre rate if the:  travel has been endorsed by Council resolution; and  claim for mileage is substantiated with log book details; and  total travel claim does not exceed the cost of the same travel using economy flights plus the cost of taxi transfers. Council will reimburse parking costs incurred by Councillors while attending to official Council business.

Accommodation

All Councillor accommodation for Council business will be booked and paid for by Council where possible. Council will pay for the most economical deal available where possible. The minimum standards for Councillor accommodation will be three star rating. Where particular accommodation is recommended by conference organisers, Council will take advantage of the package deal that is the most economical and convenient to the event. Councillor's travelling (within the Western Downs Regional Council area) to attend official Council business will be eligible to claim accommodation in accordance with the following criteria:  

where duration of meetings exceed six (6) hours and the travel time to the Councillor's principle place of residence is in excess of one (1) hour ; or where Councillors are required to attend official Council business over consecutive days; or where Councillors are required to attend official Council business which extends past 6.30 p.m.


Customer Service 1300 728 500 www.wdrc.qld.gov.au info@wdrc.qld.gov.au

Meals

Council will reimburse costs of meals for a Councillor when:  the Councillor incurs the cost personally; and  the meal was not provided within the registration costs of the approved activity/event; and  a copy of a tax invoice is provided. Council reimbursement for meal expenses shall be interpreted as reasonable expenses incurred for the purchase of breakfast, lunch, dinner where these are not provided at the event and must be within the Australian Taxation Office Guidelines for Reasonable Allowances set for each income tax year.

Incidental Allowance

Council will pay an incidental daily allowance of $20 per day to Councillors when they are required to stay away from home overnight for official Council business.

Hospitality and Entertainment Expenses

The Mayor and Councillors may have occasion to incur hospitality expenses while conducting official Council business. Hospitality expenses incurred will typically take the form of meals and beverages. The maximum amount of hospitality expenses that may be reimbursed is $4000 / annum for the Mayor and $500 / annum for Councillors. A copy of a tax invoice is required for reimbursement. Hospitality and entertainment expenses shall be in accordance with Council’s Entertainment and Hospitality Expenditure Policy.

PROVISION OF FACILITIES All facilities provided to Councillors remain the property of Council and must be returned to Council when a Councillor's term expires. Councillors will be provided facilities as detailed in the table below and have been based on the principle that no private benefit is to be gained from the facilities provided. Facilities Categories Administrative Tools

Details Council will provide Councillors the following home office equipment in lieu of a permanent individual office to enable Councillors to carry out their role effectively:  Laptop  Printer  Fax  Stationery A meeting room will be provided at each Customer Service Centre for Councillors, Chief Executive Officer and General Managers to utilise when working in the area. Meeting rooms will be required to be booked in advance with the relevant Community Services Manager.


Customer Service 1300 728 500 www.wdrc.qld.gov.au info@wdrc.qld.gov.au

Internet Access

Councillors will be required to have Internet access to receive Council meeting agendas and communicate via email. Councillors may choose one of the following options in relation to internet access:  Option 1 - Council connected Internet Internet access provided by a service in Council's name and paid for by Council.  Option 2 - Councillor connected Internet Internet access provided by a service in the Councillor's name and paid for fully by Council.

Mobile Telephone

Council will provide a mobile telephone to Councillors for official Council business. Councillors may choose one of the following options in relation to the provision of a mobile telephone:  Option 1 - Council connected Mobile Phone Council provides the mobile phone and pays for all associated costs. Any personal calls made must be reimbursed to Council.  Option 2 - Councillor personal phone Councillor utilises a personally owned mobile phone and pays all associated costs. Council will reimburse 50% of the costs incurred.

Home Telephone

Council will reimburse home telephone line rental, up to a maximum of $44.00 per month. Council will reimburse calls made in relation to official Council business.

Maintenance costs of Council owned equipment

Council will be responsible for the ongoing maintenance and reasonable wear and tear costs of Council owned equipment that is supplied to Councillors for official business use.

Corporate Uniform

Council will provide Councillors with the following corporate equipment:  Name badge  Necessary safety equipment for use on official business e.g. safety helmet/boots  Corporate Jacket  Corporate shirts  Corporate trouser/ lower garment  Corporate tie/scarf  Corporate Polo Shirt  Business Cards

Vehicles

Due to the vast area which Western Downs Regional Council covers (38,039sq kms) and to encourage Councillors to participate in all Council activities/events held throughout the region, Council has deemed it necessary to provide a vehicle to Councillors for official Council business. Council authorises the private use of Council vehicles if a Councillor has entered into a lease back contract with Council, which defines the terms of the lease agreement. The Chief Executive Officer is responsible for ensuring the relevant documentation has been completed. The Mayor will be provided with an appropriate sedan or 4WD luxury vehicle. Councillors will be provided with an appropriate sedan or 4WD base model vehicle. The set leaseback fee will be deducted automatically from the fortnightly Councillor remuneration payments. The leaseback fee will be set by Council resolution and will be reviewed annually.


Customer Service 1300 728 500 www.wdrc.qld.gov.au info@wdrc.qld.gov.au

Fuel Costs

All fuel used in a Council owned vehicle on official Council business will be provided or paid for by Council as per lease agreement.

Insurance Cover

Council will insure Councillors in the event of injury sustained while discharging their duties. Council will pay the excess for injury claims made by a Councillor resulting from conducting official Council business.

REPORTING The Local Government (Operations) Regulation 2010 legislates that Council must maintain a policy providing for payment of reasonable expenses incurred, or to be incurred, by Councillors for discharging their duties and responsibilities as Councillors and provision of facilities to the Councillors for that purpose. The Local Government (Finance, Plans and Reporting) Regulation 2010 legislates that Council must in its Annual Report detail the expenses incurred by, and the facilities provided to each Councillor during the year under the local government’s expenses reimbursement policy and include a copy of the local government’s expenses reimbursement policy. RELATED LEGISLATION: Local Government Act 2009 Local Government (Operations) Regulation 2010 Local Government (Finance, Plans and Reporting) Regulation 2010 RELATED DOCUMENTS (LOCAL LAWS, POLICIES, DELEGATIONS ETC): Entertainment and Hospitality Expenditure Policy Councillor Vehicle Lease Agreement – Private Use of Vehicle ATTACHMENTS: Nil DEFINITIONS: Entertainment and hospitality’ – as defined in section 139 of the Local Government (Finance, Plans and Reporting) Regulation 2010:“(1) The local government may spend money on entertainment or hospitality only— (a) if the entertainment or hospitality is in the public interest; and (b) in a way that is consistent with the local government’s entertainment and hospitality policy. (2) Entertainment or hospitality includes, for example— (a) entertaining members of the public in order to promote a local government project; and (b) providing food or beverages— (i) to a person who is visiting the local government in an official capacity; or (ii) for a conference, course, meeting, seminar, workshop or another forum that is held by the local government for its councillors, local government employees or other persons; and (c) paying for a councillor or local government employee to attend a function as part of the councillor’s or employee’s official duties or obligations as a councillor or local government employee.”


Customer Service 1300 728 500 www.wdrc.qld.gov.au info@wdrc.qld.gov.au

REVIEW TRIGGER: List of factors which require the policy to be reviewed eg: Periodic review – annually in line with budget or post-election  Change in legislation affecting this policy  Change in community priorities or circumstances relating to this policy


Customer Service 1300 728 500 www.wdrc.qld.gov.au info@wdrc.qld.gov.au

Council Policy

Council Policy POLICY TITLE:

DEBT POLICY

POLICY NO:

FICT C/2.1.1

DIRECTORATE: POLICY TITLE:

Finance and ICT COUNCILLOR EXPENSES REIMBURSEMENT POLICY

LINK TO CORPORATE PLAN:

SA 8 - BUSINESS SYSTEMS AND TECHNOLOGY

RESPONSIBLE DIVISION: RESPONSIBLE OFFICER:

Corporate Chief ExecutiveServices Officer

RESPONSIBLE AUTHORISED BY:SECTION:

GOVERNANCE Special Meeting of Council – 8 July 2011

LINK TO CORPORATE PLAN: ISSUE DATE:

SA2011 7 - EMPOWERING OUR TEAM 8 July

AMENDMENT DATE/S: RESPONSIBLE OFFICER:

8 July 2011 Chief Executive Officer

DATE REVIEW DUE: AUTHORISED BY:

JuneOrdinary 2012 Meeting of Council - 3 June 2008

COUNCIL POLICY

ISSUE DATE:

3 June 2008

AMENDMENT DATE/S:

15 October 2008 1 April 2009 14 December 2011

POLICY OBJECTIVES/PURPOSE:

-

The purpose of this policy is to ensure the sound management of Council’s existing and future debt.

DATE REVIEW DUE: ORGANISATIONAL SCOPE:

May 2013

Section 133 of the Local Government (Finance, Plans and Reporting) Regulation 2010 states that a local government must develop a policy about its Debts. Furthermore, Council’s borrowing activities are governed by the Statutory Bodies Financial Arrangements Act 1982 and Section 104 of the Local Government Act 2009.

POLICY OBJECTIVES/PURPOSE:

POLICY:

The purpose of this policy is to provide for the proper control of the reimbursement of reasonable expenses incurred, or to be incurred by Councillors in discharging their duties and responsibilities.

This borrowing policy applies for the 2011/2012 financial year and the next nine financial years. This policy will be prepared annually and amended as and when required to meet the prevailing circumstances of Council.

The policy covers: the reimbursement to Councillors of legitimate expenses incurred; and Borrowing Purposes  the facilities to be provided to Councillors. Borrowing will only be used to finance capital works that will provide services now and into the future. No borrowings will be used to finance recurrent expenditure and the operational activities of the Council.

When seeking funding for capital works, Council will, wherever possible, use its existing cash reserves. The use of any ORGANISATIONAL SCOPE: existing cash reserves will be subject to maintaining all relevant financial ratios and measures within adopted targets. A debt service ratio of 5% fortoinfrastructure will of be Western maintained withinRegional Council's Council. budgets. This policy applies all Councillors Downs Repayments and Repayment This policy does not provideAbility for Councillor remuneration. Councillor remuneration is determined annually by Borrowings will be undertaken for capital works only where the interest and debt principal repayments can be serviced and the Local Government Remuneration Tribunal. relevant financial ratios and measures are maintained within approved targets. Council will discharge debts in the shortest possible time subject to overall budgetary constraints.

POLICY:

New loans will be taken up only if the subsequent increase in debt servicing payments allows the total debt-servicing ratio to STATEMENT OF PRINCIPLES remain within corporate targets.

This Term policy ensures that Council’s reimbursement of expenses incurred by Councillors and facilities provided Debt The debt term shall not exceedwith the finite life ofgovernment the related asset. is consistent the local principles and financial sustainability criteria as defined to Councillors in the Local Government Act 2009.

Councillors should not be financially disadvantaged when carrying out their roles and should be fairly and reasonably compensated in accordance with statutory requirements and community expectations.


Service 1300 * The debt term associated with the Dalby Depot redevelopmentCustomer will be decreased on728 the500 sale of the Depot on Irvingdale Rd, Dalby and the sale of the industrial land developed in associationwww.wdrc.qld.gov.au with this redevelopment. * The debt term associated with the Dalby Depot redevelopment will be decreased on the sale of the Depot on Irvingdale Rd, info@wdrc.qld.gov.au andterm the sale of the industrial land developed association with this redevelopment. ** Dalby The debt associated with the Residential Land in Development will be decreased as the proceeds from the land sale are realized. ** The debt term associated with the Residential Land Development will be decreased as the proceeds from the land sale are realized. Sources Borrowing Council shall raise all external borrowing at the most competitive rates available and from sources as defined by legislation. Borrowing Sources Council shall raise all external borrowing at the most competitive rates available and from sources as defined by legislation. Proposed Borrowings Based on Council’s most recent review of its capital funding requirements, the following borrowings are identified as being Proposed Borrowings required for the current financial year and the next nine financial years. Based on Council’s most recent review of its capital funding requirements, the following borrowings are identified as being required for the current financial year and the next nine financial years. SCHEDULE OF BORROWINGS Year 2011/2012 Year

SCHEDULE OF BORROWINGS Purpose

Amount

Dalby Police Construction Purposeof Amount Citizens Youth extensions and 11110.802.200.0001 $345,000 2011/2012 Club Dalby Police renovations Construction of Citizens Youth Establishment extensions and 11110.802.200.0001 $345,000 2011/2012 Bell Community of Club renovationscentre in 11110.0802.200.0030 Centre community $1,300,000 2011/2012 Bell CommunitytheEstablishment of town of Bell CentreCultural Relocation communityof centre $1,300,000 2011/2012 Dalby Dalby in 11110.0802.200.0030 the town of Bell Centre Library to 107 Drayton 11110.802.200.0039 $1,600,000 2011/2012 Dalby Cultural Street, Relocation Dalby of Dalby Centre Library to 107 11110.802.200.0039 $1,600,000 2011/2012 Dalby Depot Construction of Drayton new 12422.804.200.0012 $127,000 Street, Dalby workshop 2011/2012 Dalby Dalby Depot Construction of on new 2011/2012 Depot Reconfigure Lot 11 12422.804.200.0012 $127,000 workshop D9140 Healy Street 12422.804.200.0029 $200,000 2011/2012 Dalby Depot Reconfigure Lot 11 on Dalby for Industrial Land D9140 Healy Street 12422.804.200.0029 $200,000 Dalby Patrick for Industrial 2011/2012 Bridge Replace Street 13160.803.200.0001 $400,000 Land Dalby Replacement Bridge, 2011/2012 Tara Bridge Water Investigate Replace Patrick Street 2011/2012 design and 13160.803.200.0001 $400,000 Replacement construct Bridge, Dalby Plant an RO plant 14135.0802.200.0005 $360,000 the Taradesign water 2011/2012 Augmentation Tara WaterforInvestigate and supply Plant construct an RO plant 14135.0802.200.0005 $360,000 2011/2012 Dalby Water Planning Augmentation for the Tara and water Plant construction of RO supply 14135.0802.200.0016 $350,000 concentration 2011/2012 Augmentation Dalby Waterplant Planning and stage Plant construction of RO 14135.0802.200.0016 $350,000 2011/2012 Land Land Augmentation Residential plant concentration Development – Development (Lot 5 on stage 16110.0802.200.0002 $400,000 RPResidential 125663 – 15 2011/2012 Jandowae Land Land Development – Allotments) Development (Lot 5 on 16110.0802.200.0002 $400,000 2011/2012 Land Industrial Jandowae RP 125663 Land – 15 Development – Development – Allotments) 16110.0802.200.0009 $2,000,000 Carmichael 7 2011/2012 Chinchilla Land Industrial Street –Land Development – Allotments Development – 2011/2012 Land Residential Land– 7 16110.0802.200.0009 $2,000,000 Chinchilla Carmichael Street Development – Development – 16110.0802.200.0012 $330,000 Allotments Purchase from DERM 2011/2012 Wandoan Land Residential Land 2011/2012 Dalby 1 of OH & S – 16110.0802.200.0012 Development – Stage Development $330,000 $700,000 Saleyards Upgrades Wandoan Purchase from DERM 16115.0801.200.0006 2011/2012 Redevelopment Dalby Stage 1 of OH & S 2011/2012 Vehicle Construction Saleyards $700,000 Upgrades of vehicle 16115.0801.200.0006 Washdown Redevelopment washdown facility at 42211.802.200.0009 $450,000 – Chinchilla to service 2011/2012 Facility Vehicle Construction of vehicle Chinchilla thewashdown energy and rural at Washdown facility 42211.802.200.0009 $450,000 Facility – industries Chinchilla to service of house facility 2011/2012 Waste Transfer Front Chinchilla the energy and rural Station – with weighbridge for industries 43311.0802.200.0014 $830,000 2011/2012 Chinchilla Waste Transfer DERM house levy facility Front ofwaste Station – audit with weighbridge for 43311.0802.200.0014 $830,000 Chinchilla DERM waste levy audit

Term (Years) Term (Years) 20

20 20

20

20 15*

20

15* 15* 20 20

15* 20 20

20

20 10**

10** 10**

10** 10**

10** 20 20 10

10 15

15


Term Year Purpose Amount Term (Years) Year Purpose Amount (Years) 2011/2012 Waste Transfer Front of house facility 43311.0802.200.0016 $300,000 15 2011/2012 Waste Transfer Station – Miles Front of house facility 43311.0802.200.0016 $300,000 15 Station – Miles Total 2011/2012 $9,692,000 Total 2011/2012 $9,692,000 2012/2013 Tara Water Investigate design and 2012/2013 Tara Water Investigate design and Plant construct an RO plant Plant construct an RO plant 14135.0802.200.0005 $360,000 20 $360,000 20 Augmentation for the Tara water14135.0802.200.0005 Augmentation for the Tara water supply supply 2012/2013 Dalby Water Planning 2012/2013 Dalby Water Planning andand Plant construction of Plant construction of RORO 14135.0802.200.0016 $150,000 20 20 $150,000 Augmentation plant concentration concentration14135.0802.200.0016 Augmentation plant stage stage 2012/2013 Land Residential Land 2012/2013 Land Residential Land Development – Development (Lot 5 on Development – Development (Lot 5 on 16110.0802.200.0002 $400,000 $400,000 10** 10** Jandowae 125663– –15 1516110.0802.200.0002 Jandowae RPRP 125663 Allotments) Allotments) 2012/2013 Vehicle Construction of vehicle 2012/2013 Vehicle Construction of vehicle Washdown washdownfacility facility Washdown washdown at at 42211.802.200.0002 $880,000 $880,000 10 10 Facility – Dalby Dalby Dalby service Facility – Dalby to to service the the42211.802.200.0002 energy andand rural rural energy industries industries 2012/2013 Transfer of of house facility 2012/2013 Waste Waste TransferFront house facility Front Station – –with for for Station withweighbridge weighbridge 43311.0802.200.0014 43311.0802.200.0014$1,670,000 $1,670,000 15 15 Chinchilla DERM Chinchilla DERM waste waste levylevy audit audit Total 2012/2013 Total 2012/2013 $3,460,000 $3,460,000 2013/2014 Chinchilla Construct a 2013/2014 Chinchilla Construct a Sporting multipurpose Sporting multipurposesporting sporting42211.802.200.0002 42211.802.200.0002 $3,000,000 $3,000,000 20 20 Facility facility in Chinchilla Facility facility in Chinchilla Total 2013/2014 $3,000,000 Total 2013/2014 $3,000,000 Total 2014/2015 $0 $0 Total 2014/2015 Total 2015/2016 $0 $0 Total 2015/2016 Total 2016/2017 $0 $0 Total 2016/2017 Total 2017/2018 $0 Total 2017/2018 $0 Total 2018/2019 $0 Total 2018/2019 $0 Total 2019/2020 $0 Total 2019/2020 $0 Council will review the requirements for debt throughout the 2010/11 financial year to ensure that loans are drawn down at the Council will reviewtime. the requirements for debt throughout the 2010/11 financial year to ensure that loans are drawn down at the most advantageous most advantageous time. RELATED DOCUMENTS (LOCAL LAWS, POLICIES, DELEGATIONS ETC): RELATED DOCUMENTS (LOCAL LAWS, POLICIES, DELEGATIONS ETC): Authority in respect of this policy is delegated to the Chief Executive Officer. Authority in respect of this policy is delegated to the Chief Executive Officer. ATTACHMENTS: ATTACHMENTS: Nil Nil DEFINITIONS: DEFINITIONS: Nil Nil REVIEW TRIGGER: REVIEW TRIGGER:  Periodic review - annual in line with budget  Change in legislation affecting thiswith policy Periodic review - annual in line budget  Change in legislation affecting this policy


Customer Service 1300 728 500 www.wdrc.qld.gov.au info@wdrc.qld.gov.au

Financial Statements For period 1 July 2010 to 30 June 2011


WESTERN DOWNS REGIONAL COUNCIL Financial Report For the year ended 30 June 2011

Table of Contents Note

Page No Statement of Comprehensive Income

3

Statement of Financial Position

4

Statement of Changes in Equity

5

Statement of Cash Flows

6

Notes to the Financial Statements

7

1

Summary of Significant Accounting Policies

7

2

Analysis of results by function

18

3

Revenue analysis

20

4

Grants, subsidies, contributions and donations

20

5

Gain / (loss) on the disposal of inventory land developed for resale

21

6

Capital income

21

7

Gain / (loss) on the disposal of property, plant and equipment assets

21

8

Employee benefits

21

9

Materials and services

22

10

Finance costs

22

11

Depreciation and amortisation

22

12

Capital expenses

23

13

Loss on write-off of capital assets:

23

14

Loss on impairments

24

15

Cash assets and cash equivalents

24

16

Trade and other receivables

24

17

Inventories

25

18

Land purchased for development and sale

25

19

Property, plant and equipment

26

20

Intangible assets

29

21

Trade and other payables

30

22

Provisions

30

23

Borrowings

31

24

Council capital

31

25

Asset revaluation surplus

32

26

Retained surplus

33

27

General reserves

33

28

Commitments for expenditure

35

29

Events after balance date

35

30

Contingent liabilities

35

31

Superannuation

35

32

Trust funds

36

33

Reconciliation of net result attributable to Council to net cash flow from operating activities

36


WESTERN DOWNS REGIONAL COUNCIL Financial Report For the year ended 30 June 2011

Table of Contents - continued Note 34 35

Page No Financial Instruments

38

National competition policy comprising:

41

Management Certificate

43

Independent Audit Report

44


WESTERN DOWNS REGIONAL COUNCIL Statement of Comprehensive Income For the year ended 30 June 2011 Note

2011

2010

$

$

Income Revenue Recurrent revenue Rates and levies

3 (a)

36,701,662

35,728,342

Sales revenue

3 (b)

24,524,368

15,143,700

4,155,650

4,537,450

Fees and charges Rental and levies

3 ( c)

1,628,946

3,174,595

Interest received

3 (d)

2,009,749

1,655,142

Other recurrent income

3 (e)

120,084

126,101

248,274

218,769

4 (i)

35,883,406

18,843,438

5

1,833,638

946,018

107,105,777

80,373,555

14,785,759

10,984,576

14,785,759

10,984,576

121,891,536

91,358,131

Reimbursement of expenditure Grants, subsidies, contributions and donations Proceeds from sales of land developed for resale Total recurrent revenue Capital revenue Grants, subsidies, contributions and donations

4 (ii)

Total revenue Capital income Total income

6

305,393

298,891

2

122,196,929

91,657,022

8

(38,660,353)

(33,422,843)

Expenses Recurrent expenses Employee benefits Materials and services

9

(55,421,147)

(28,841,132)

Current cost of developed land sold

5

(936,181)

(1,998,035)

Finance costs

10

(940,261)

(556,812)

Depreciation and amortisation

11

(48,176,018)

(37,510,150)

(144,133,960)

(102,328,972)

12

(6,095,652)

(1,516,181)

2

(150,229,612)

(103,845,153)

(28,032,683)

(12,188,131)

131,947,353

(1,080,628)

131,947,353

(1,080,628)

103,914,670

(13,268,759)

Total recurrent expenses Capital expenses Total expenses Net result (deficiency) attributable to Council Other comprehensive income Increase / (decrease) in asset revaluation surplus Total other comprehensive income

Total comprehensive income for the period

The above statement should be read in conjunction with the accompanying notes and Summary of Significant Accounting Policies.

Page 3


WESTERN DOWNS REGIONAL COUNCIL Statement of Financial Position As at 30 June 2011 Note

2011

2010

$

$

Current Assets Cash assets and cash equivalents Trade and other receivables Inventories

15

30,570,025

34,652,651

16 (a)

21,005,981

14,508,655

10,912,245

14,787,089

62,488,251

63,948,395

17

Non-current Assets Trade and other receivables

16 (b)

250,469

515,787

Property, plant and equipment

19 (a)

1,326,335,683

1,204,013,407

Intangible assets

20

TOTAL ASSETS

734,226

1,631,112

1,327,320,378

1,206,160,306

1,389,808,629

1,270,108,701

11,557,748

8,752,519

Current Liabilities Trade and other payables

21

Provisions

22

877,317

328,243

Borrowings

23

1,014,780

1,417,386

13,449,845

10,498,148

1,838,007

1,845,804

Non-current Liabilities Trade and other payables

21

Provisions

22

8,419,292

4,980,021

Borrowings

23

21,378,302

11,976,215

31,635,601

18,802,040

45,085,446

29,300,188

1,344,723,183

1,240,808,513

TOTAL LIABILITIES NET COMMUNITY ASSETS Community Equity Capital

24(ii)(a)

555,180,507

580,989,601

Asset revaluation surplus

25

761,445,357

629,498,004

Retained surplus (deficiency)

26

731,215

91,174

General reserves

27

27,366,104

30,229,734

1,344,723,183

1,240,808,513

TOTAL COMMUNITY EQUITY

The above statement should be read in conjunction with the accompanying notes and Summary of Significant Accounting Policies.

Page 4


-

(3,497,576)

-

1,344,723,183

1,240,808,513

-

731,215

(6,882,149)

9,721,668

(5,315,634)

(11,288,183)

35,554,873

-

91,174

(14,322,856)

3,334,445

(6,672,725)

(10,984,576)

31,485,942

-

(350,589)

30,619,241

Page 5

-

-

-

-

-

-

-

-

27,366,104

6,882,149

(9,721,668)

5,315,634

11,288,183

(9,745,779)

5,402,526

(15,148,305)

The above statement should be read in conjunction with the accompanying notes and Summary of Significant Accounting Policies.

Balance at end of period

surplus -

-

-

Net transfers to (from) retained

Transfers from general reserves

-

-

-

-

-

Capital revenue of cash

-

-

General revenue funds available

and Council reserves:

Transfers between retained surplus

from Council activities in the period

Change in capital capacity arising

Capital Cash Funds set aside in period

capital assets

Reserve funds expended on

1,594,970

31,667,220

1,516,181

(298,891)

(12,188,131)

-

(12,188,131)

30,229,734

-

30,229,734

14,322,856

(3,334,445)

6,672,725

10,984,576

(25,006,903)

344,635

(25,351,538)

-

-

-

-

-

-

-

-

40,913,781

761,445,357

-

-

-

-

-

-

-

-

-

-

-

131,947,353

(101,343)

132,048,696

-

629,498,004

-

629,498,004

$

2011

629,498,004

-

-

-

-

-

-

-

-

-

-

-

(1,080,628)

(1,080,628)

-

-

630,578,632

-

630,578,632

$

2010

-

(31,667,220)

3,497,576

(6,095,652)

305,393

-

-

-

580,989,601

-

555,180,507

-

-

-

-

(25,809,094)

(5,402,526)

15,148,305

$

2010

580,989,601

-

-

-

-

(6,479,039)

(344,635)

25,351,538

-

350,589

-

(30,619,241)

-

(1,516,181)

298,891

-

-

-

587,468,640

-

587,468,640

Note 24

580,989,601

$

2011

-

-

-

6,095,652

(305,393)

(28,032,683)

-

(28,032,683)

1,298,766 (4,883,782)

40,913,781

$

2010

(1,594,970)

-

-

Capital revenue of physical assets

Unfunded depreciation

-

-

(13,268,759)

(1,080,628)

-

(12,188,131)

91,174

30,229,734

$

Note 27

Capital

transferred to general revenue

-

1,298,766 1,254,077,272

(6,182,548)

$

2011

Note 25

2010

Note 26

91,174

$

2011

Asset revaluation surplus

General reserves

(deficit)

Retained surplus

Capital revenue for asset funding

-

Capital expenses

103,914,670

(101,343)

132,048,696

(28,032,683)

1,240,808,513

1,252,778,506

$

$ 1,240,808,513

2010

Total

2011

Capital income

from Council activities:

Transfers of capital amounts arising

Total comprehensive income for period

Property, plant & equipment

Impairments:

Property, plant & equipment

Revaluations:

Other comprehensive income for the period

Net result / (deficiency) attributable to Council

Restated opening balances

Corrections of prior period error

Balance at beginning of period

Statement of Changes in Equity For the year ended 30 June 2011

WESTERN DOWNS REGIONAL COUNCIL


WESTERN DOWNS REGIONAL COUNCIL Statement of Cash Flows For the year ended 30 June 2011 Note

2011

2010

$

$

Cash flows from operating activities : Receipts General rates and utility charges

36,925,565

36,019,310

Sales revenue

13,462,188

15,143,700

Rental and levies, fees and charges

10,217,995

2,284,617

Grants, subsidies and contributions

35,883,406

18,843,438

Interest received

2,009,749

1,655,142

Proceeds from sales of land developed for resale

1,833,638

946,018

Other income

398,213

115,110

GST received

8,422,448

6,408,646

Payments to suppliers

(52,312,485)

(31,397,279)

Payment to employees

(38,355,302)

(31,501,202)

(844,822)

(262,860)

Payments

Interest expense Costs incurred on inventory land held for sale GST paid Net cash inflow (outflow) from operating activities

33

(37,083)

(2,832,069)

(8,577,593)

(6,683,263)

9,025,917

8,739,309

Cash flows from investing activities: Commonwealth Government grants

4,629,414

980,864

State Government subsidies & grants

5,276,179

7,511,330

Capital contributions Payments for property, plant and equipment Payments for intangible assets Proceeds from sale of property plant and equipment

7

Net movement in loans to controlled entities & associates Net movement in loans to community organisations Net cash inflow (outflow) from investing activities

1,382,590

2,492,382

(34,591,258)

(41,518,085)

(242,743)

(1,669,533)

1,174,913

1,302,857

265,277

(650,986)

(2,396)

(63,279)

(22,108,024)

(31,614,450)

Cash flows from financing activities: Proceeds from borrowings

23

9,669,955

9,853,000

Repayment of borrowings

23

(670,474)

(216,640)

8,999,481

9,636,360

Net increase (decrease) in cash held

(4,082,626)

(13,238,781)

Cash at beginning of reporting period Cash at end of reporting period

34,652,651 30,570,025

47,891,432

Net cash inflow (outflow) from financing activities

15

34,652,651

The above statement should be read in conjunction with the accompanying notes and Summary of Significant Accounting Policies.

Page 6


WESTERN DOWNS REGIONAL COUNCIL Notes to and forming part of the Financial Statements For the year ended 30 June 2011 1

Summary of Significant Accounting Policies

1. 1

Basis of Preparation These general purpose financial statements for the period 1 July 2010 to 30 June 2011 have been prepared in accordance with the Australian Accounting Standards, Australian Accounting Interpretations and other pronouncements issued by the Australian Accounting Standards Board. They also comply with the requirements of the Local Government Act 2009 and the Local Government (Finance, Plans and Reporting) Regulation 2010 . These financial statements have been prepared under the historical cost convention except for the revaluation of certain non-current assets.

1. 2

Statement of Compliance These general purpose financial statements comply with all accounting standards and interpretations issued by the Australian Accounting Standards Board (AASB) that are relevant to Council's operations and effective for the current reporting period. Because the Council is a not-for-profit entity and the Australian Accounting Standards include requirements for not-for-profit entities which are inconsistent with International Financial Reporting Standards (IFRS), to the extent these inconsistencies are applied, these financial statements do not comply with IFRS. The main impacts are the offsetting of revaluation and impairment gains and losses within a class of assets, and the timing of the recognition of nonreciprocal grant revenue.

1. 3

Constitution The Western Downs Regional Council is constituted under the Queensland Local Government Act 2009 and is domiciled in Australia.

1. 4

Date of Authorisation The financial report was authorised for issue on the date it was submitted to the Auditor's for certification. This is the date the management certificate is signed.

1. 5

Currency The Council uses the Australian dollar as its functional currency and its presentation currency.

1. 6

Adoption of new and revised Accounting Standards In the current year, Council adopted all of the new and revised Standards and Interpretations issued by the Australian Accounting Standards Board (AASB) that are relevant to its operations and effective for the current reporting period. The adoption of the new and revised Standards and Interpretations has not resulted in any material changes to Council's accounting policies. At the date of authorisation of the financial statements, the Standards and Interpretations listed below were in issue but not yet effective. AASB 9 Financial Instruments (December 2009) AASB 124 Related Party Disclosures (December 2009) AASB 1053 Application of Tiers of Australian Accounting Standards 2009-11 Amendments to Australian Accounting Standards arising from AASB 9 (December 2009) 2009-12 Amendments to Australian Accounting Standards in relation to AASB 8 Operating Segments (December 2009) 2009-14 Amendments to Australian Interpretation – Prepayments of a Minimum Funding Requirement (Interpretation 14) (December 2009) AASB 2010-2 Amendments to Australian Accounting Standards arising from Reduced Disclosure Requirements AASB 2010-4 Further Amendments to Australian Accounting Standards arising from the Annual Improvements Project AASB 2010-5 Amendments to Australian Accounting Standards AASB 2010-6 Amendments to Australian Accounting Standards – Disclosures on Transfers of Financial Assets

Page 7

Effective for annual report periods beginning on are after: 1 January 2013 1 January 2011 1 July 2013 1 January 2013 1 January 2011 1 January 2011 1 July 2013 1 January 2011 1 January 2011 1 July 2011


WESTERN DOWNS REGIONAL COUNCIL Notes to and forming part of the Financial Statements For the year ended 30 June 2011 AASB 2010-7 Amendments to Australian Accounting Standards arising from AASB 9 (December 2010) AASB 2010-8 Amendments to Australian Accounting Standards – Deferred Tax: Recovery of Underlying Assets AASB 2010-9 Amendments to Australian Accounting Standards – Severe Hyperinflation and Removal of Fixed Dates for First-time Adopters AASB 2010-10 Further Amendments to Australian Accounting Standards – Removal of Fixed Dates for First-time Adopter

1 January 2013 1 January 2012 1 July 2011 1 January 2013

Management have yet to assess the impact that AASB 9 Financial Instruments and 200911 Amendments to Australian Accounting Standards is likely to have on the financial statements of Council as it is anticipated that further amendments will occur. Council does not expect to implement the amendments prior to the adoption date of 1 January 2013. The reported results and position of the Council will not change on adoption of the other pronouncements as they do not result in any changes to the Council’s existing accounting policies. Adoption will, however, result in changes to information currently disclosed in the financial statements. The Council does not intend to adopt any of these pronouncements before their effective dates. 1. 7

Critical accounting judgements and key sources of estimation uncertainty In the application of Council's accounting policies, management is required to make judgements, estimates and assumptions about carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and ongoing assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised and in future periods as relevant. Judgements, estimates and assumptions that have a potential significant effect are outlined in the following financial statement notes: Valuation and depreciation of property, plant and equipment - note 1.15(c) and note 19 (b) Impairment of property, plant and equipment - note 1.17, note 14 and note 19 (a) Provisions - note 1.22 and note 22 Contingencies - note 30 The Council has made no judgements or assessments which may cause a material adjustment to the carrying amount of assets and liabilities within the next reporting period.

1. 8

1. 8

Revenue Rates, levies, rental income, grants and other revenue are recognised as revenue on receipt of funds or earlier upon unconditional entitlement to the funds. (a)

Rates and levies Where rate monies are received prior to the commencement of the rating/levying period, the amount is recognised as revenue in the period in which they are received, otherwise rates are recognised at the commencement of rating period.

Page 8


WESTERN DOWNS REGIONAL COUNCIL Notes to and forming part of the Financial Statements For the year ended 30 June 2011 1. 8

(b)

Sales revenue Revenue from the sale of natural gas and quarry items is recognised upon transfer of ownership to the customer. Revenue is measured at the fair value of the consideration received or receivable Revenue for saleyard services and contract work is recognised in the accounting peirod in which the services are rendered.

1. 8

(c)

Grants and subsidies Grants, subsidies and contributions that are non-reciprocal in nature are recognised as revenue in the year in which Council obtains control over them. An equivalent amount is transferred from retained earnings to the relevant reserve until the funds are expended. Unspent non-reciprocal capital grant funds are placed in the unspent capital grants reserve. Where grants are received that are reciprocal in nature, revenue is recognised over the term of the funding arrangements. Council does not currently have any reciprocal grants.

1. 8

(d)

Non-Cash Contributions Non-cash contributions with a value in excess of the asset recognition thresholds, are recognised as revenue and as noncurrent assets. Non-cash contributions below the thresholds are recorded as revenue and expenses. Physical assets contributed to Council by developers in the form of road works, stormwater, water and wastewater infrastructure and park equipment are recognised as revenue when the development becomes "on maintenance" (i.e. the Council obtains control of the assets and becomes liable for any ongoing maintenance) and there is sufficient data in the form of drawings and plans to determine the approximate specifications and values of such assets. All non-cash contributions are recognised at the fair value of the contribution received on the date of acquisition.

1. 8

(e)

Cash Contributions Council receives cash contributions from property developers to construct assets such as roads and footpaths and to connect new property developments to water and sewerage networks in the local government area. Where agreements between Council and the developers relating to these contributions are determined to fall within the scope of AASB Interpretation 18 Transfers of Assets from Customers these contributions are recognised as revenue when the related service obligations are fulfilled. Developers may also make cash contributions towards the cost of constructing existing and proposed water supply and sewerage headworks in accordance with Council's planning scheme policies. (Headworks include pumping stations, treatment works, mains, sewers and water pollution control works). Cash contributions in relation to water supply and sewerage headworks are not within the scope of AASB Interpretation 18 becase there is no performance obligation associated with these contributions. Consequently, these cash contributions are recognised as income when received. AASB Intrepretation 18 has been applied prospectively from 1 July 2009. All cash contributions were recognised as revenue on receipt prior to 1 July 2009.

1. 8

(f)

Rental income Rental revenue from property is recognised as income on a periodic straight line basis over the lease term.

1. 8

(g)

Interest Interest received from term deposits is accrued over the term of the investment.

Page 9


WESTERN DOWNS REGIONAL COUNCIL Notes to and forming part of the Financial Statements For the year ended 30 June 2011 1. 9

Financial assets and liabilities Council recognises a financial asset or a financial liability in its Statement of Financial Position when, and only when, Council becomes a party to the contractual provisions of the instrument. Western Downs Regional Council has categorised and measured the financial assets and financial liabilities held at balance date as follows: Financial assets Cash and cash equivalents (note 1.10) Receivables - measured at amortised cost less any impairment (note 1.11) Financial liabilities Payables - measured at amortised cost (note 1.19) Borrowings - measured at amortised cost (note 1.21) Financial assets and financial liabilities are presented separately from each other and offsetting has not been applied. The fair value of financial instruments is determined as follows: The fair value of cash and cash equivalents and non-interest bearing monetary financial assets and financial liabilities approximate their carrying amounts and are not disclosed separately. The fair value of borrowings, as disclosed in note 23 to the accounts, is determined by reference to published price quotations in an active market and/or by reference to pricing models and valuation techniques. It reflects the value of the debt if the Council repaid it in full at balance date. As it is the intention of the Council to hold its borrowings for their full term, no adjustment provision is made in these accounts. The fair value of trade receivables approximates the amortised cost less any impairment. The fair value of payables approximates the amortised cost. Western Downs Regional Council does not recognise financial assets or financial liabilities at fair value in the Statement of Financial Position. All other disclosures relating to the measurement and financial risk management of financial instruments are included in note 34.

1. 10

Cash and Cash Equivalents Cash and cash equivalents includes cash on hand, all cash and cheques receipted but not banked at the year end, deposits held at call with financial institutions, other short-term, highly liquid investments with original maturities of three months or less that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value, and bank overdrafts.

1. 11

Receivables Trade receivables are recognised at the amounts due at the time of sale or service delivery i.e. the agreed purchase price / contract price. Settlement of these amounts is required within 30 days from invoice date. The collectability of receivables is assessed periodically and if there is objective evidence that Council will not be able to collect all amounts due, the carrying amount is reduced for impairment. The loss is recognised in finance costs. The amount of the impairment is the difference between the asset’s carrying amount and the present value of the estimated cash flows discounted at the effective interest rate. All known bad debts were written-off at 30 June 2011. If an amount is recovered in a subsequent period it is recognised as revenue. Council can enact the power under the Local Government (Finance and Reporting) Regulations 2010 to sell an owner's property to recover outstanding rate debts, due to this authority Council does not impair any rate receivables.

Page 10


WESTERN DOWNS REGIONAL COUNCIL Notes to and forming part of the Financial Statements For the year ended 30 June 2011 Loans and advances are recognised in the same way as other receivables. Terms are usually a maximum of five years with interest charged at negotiated rates. Security is not normally obtained. 1. 12

Inventories Stores and raw materials held for resale are valued at the lower of cost and net realisable value and include, where applicable, direct material, direct labour and an appropriate portion of variable and fixed overheads. Costs are assigned on the basis of weighted average cost. Inventories held for distribution (internal consumption) are: - goods to be supplied at no, or nominal charge, and - goods to be used for the provision of services at no, or nominal charge. Inventory for distribution is valued at cost, adjusted when applicable for any loss of service protential.

1. 13

Land Held for Resale Land acquired with the intention of reselling it (with or without further development) is classified as inventory. As inventory, this land is valued at the lower of cost or net realisable value. Inventory land is treated as a current asset except where it is anticipated that a material portion of land value will not be sold within 12 months. Land held beyond 12 months is reported as non-current inventory. Profit arising upon sale of land is recognised in the Statement of Comprehensive Income on the signing of a valid unconditional contract of sale.

1. 14

Investments Term deposits in excess of three months are reported as investments, with deposits of less than three months being reported as cash equivalents. At 30 June 2011, Council did not have any term deposits in excess of three months.

1. 15

Property, Plant and Equipment Each class of property, plant and equipment is stated at cost or fair value less, where applicable, any accumulated depreciation and accumulated impairment loss. Items of plant and equipment with a total value of less than $10,000 (2010: $5,000), and infrastructure assets and buildings with a total value of less than $10,000 are treated as an expense in the year of acquisition. All other items of property, plant and equipment are capitalised. The classes of property plant and equipment recognised by the Council are reported in note 19 (a). (a) Acquisition of assets Acquisitions of assets are initially recorded at cost. Cost is determined as the fair value of the assets given as consideration plus costs incidental to the acquisition, including freight in, architect's fees and engineering design fees and all other establishment costs. Property, plant and equipment received in the form of physical contributions, are recognised as assets and revenues at fair value by Council valuation where that value exceeds the recognition thresholds for the respective asset class. Fair value means the amount for which an asset could be exchanged, or a liability settled, between knowledgeable, willing parties in an arm's length transaction.

Page 11


WESTERN DOWNS REGIONAL COUNCIL Notes to and forming part of the Financial Statements For the year ended 30 June 2011 (b) Capital and operating expenditure Wage and materials expenditure incurred for the acquisition or construction of assets are treated as capital expenditure. (c) Valuation Land and site improvements, buildings and all infrastructure assets are measured on the revaluation basis, at fair value, in accordance with AASB116 Property, Plant and Equipment and the Local Government (Finance, Plans & Reporting) Regulation 2010. Other plant and equipment, furniture and fittings, heritage assets and work in progress are measured at cost.

Council ensures at each reporting date that the carrying amount of each asset class held at valuation does not materially differ from its' fair value by performing:- a comprehensive revaluation where Council assesses that there has been a material change in the fair value of assets; or - an interim valuation using suitable indicies, where there has been a material variation in the index. It is Council's policy to perform a comprehensive revaluation at least once every five years. Any revaluation increment arising on the revaluation of an asset is credited to the appropriate class of the asset revaluation surplus, except to the extent it reverses a revaluation decrement for the class previously recognised as an expense. A decrease in the carrying amount on revaluation is charged as an expense to the extent it exceeds the balance, if any, in the revaluation surplus to that asset class. On revaluation, accumulated depreciation is restated proportionately with the change in the carrying amount of the asset and any change in the estimate of remaining useful life. Separately identified components of assets are measured on the same basis as the assets to which they relate. Details of valuers and methods of valuations are disclosed in Note 19 (b). (d) Depreciation Land is not depreciated as it has an unlimited useful life. For all other assets classes Council depreciates each assets' carrying amount, net of its residual value, over its useful life. Assets are depreciated from the date of acquisition or, in respect of internally constructed assets, from the time an asset is completed and commissioned ready for use. Where assets have separately identifiable components that are subject to regular replacement, these components are assigned useful lives distinct from the asset to which they relate. Any expenditure that increases the originally assessed capacity or service potential of an asset is capitalised and the new depreciable amount is depreciated over the remaining useful life of the asset to the Council. The estimated useful lives and residual values of property, plant and equipment are reviewed annually. Details of the range of useful lives for each class of asset are shown in note 19 (a). There has been a change in the methodology used to estimate depreciation expense for 2010/2011 compared to 2009/2010. This is disclosed in Note 11 of the financial statements.

Page 12


WESTERN DOWNS REGIONAL COUNCIL Notes to and forming part of the Financial Statements For the year ended 30 June 2011 (e) Land under roads Land under roads acquired before 30 June 2008 is recognised as a non-current asset where the Council holds title or a financial lease over the asset. The Western Downs Regional Council currently does not have any such land holdings. Land under the road network within the Council area that has been dedicated and opened for public use under the Land Act 1994 or the Land Title Act 1994 is not controlled by Council but is controlled by the state pursuant to the relevant legislation. Therefore this land is not recognised in these financial statements. (f)

1. 16

Capital Work in Progress The cost of property, plant and equipment being constructed by the Council includes the cost of purchased services, materials, direct labour and an appropriate proportion of labour overheads. Intangible Assets Only intangible assets which have a cost exceeding $10,000 (2010: $5,000) are recognised as intangible assets. Expenditure on internally generated intangible assets is recognised from the date of the approval by the Council of a capital expenditure authorisation for the acquisition or development of the asset. Expenditure on internally generated assets, up to the decision to generate the asset in a particular form, is research expenditure and is not capitalised. It has been determined that there is not an active market for any of the Council's intangible assets. Therefore, the assets are recognised and carried at cost less accumulated amortisation and accumulated impairment losses.

1. 17

Impairment of Non Current Assets Each non-current physical and intangible asset and group of assets is assessed for indicators of impairment annually. If an indicator of possible impairment exists, the Council determines the asset's recoverable amount. Any amount by which the asset's carrying amount exceeds the recoverable amount is recorded as an impairment loss. The recoverable amount of an asset is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised immediately in the Statement of Comprehensive Income, unless the asset is carried at a revalued amount. When the asset is measured at a revalued amount, the impairment loss is offset against the asset revaluation surplus of the relevant class to the extent available. Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised as income unless the asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation surplus increase.

1. 18

Operating Leases Payments made under operating leases are expensed in equal instalments over the accounting periods covered by the lease term, except where an alternative basis is more representative of the pattern of benefits to be derived from the leased property.

1. 19

Payables Trade creditors are recognised upon receipt of the goods or services ordered and are measured at the agreed purchase/contract price net of applicable discounts other than contingent discounts. Amounts owing are unsecured and are generally settled on 30 day terms.

Page 13


WESTERN DOWNS REGIONAL COUNCIL Notes to and forming part of the Financial Statements For the year ended 30 June 2011 1. 20

Liabilities - Employee Benefits Liabilities are recognised for employee benefits such as wages and salaries, annual leave and long service leave in respect of services provided by the employees up to the reporting date. Liabilities for employee benefits are assessed at each reporting date. Where it is expected that the leave will be paid in the next twelve months the liability is treated as a current liability. Otherwise the liability is treated as non-current. (a) Salaries and wages A liability for salaries and wages is recognised and measured as the amount unpaid at the reporting date at current pay rates in respect of employees' services up to that date. This liability represents an accrued expense and is included in note 21 as a payable. (b) Annual leave A liability for annual leave is recognised. The current portion (based on the expected payment date) is calculated on current wage and salary levels and includes related employee on-costs. The non current portion is calculated on projected future wage and salary levels and related employee on-costs, discounted to present values. This liability represents an accrued expense and is reported in note 21 as a payable. (c) Sick leave Sick leave taken in the future will be met by future entitlements and hence no recognition of accrued sick leave entitlements have been made in these financial statements. No entitlement vests with the employee on termination. (d) Superannuation The superannuation expense for the reporting period is the amount of the contribution the local government makes to the superannuation plan which provides benefits to its employees. Details of those arrangements are set out in note 31. (e) Long service leave A liability for long service leave is measured as the present value of the estimated future cash outflows to be made in respect of services provided by employees up to the reporting date. The value of the liability is calculated using current pay rates and projected future increases in those rates and includes related employee on-costs. The estimates are adjusted for the probability of the employee remaining in the Council's employment or other associated employment which would result in the Council being required to meet the liability. Adjustments are then made to allow for the proportion of the benefit earned to date, and the result is discounted to present value. The interest rates attaching to Commonwealth Government guaranteed securities at the reporting date are used to discount the estimated future cash outflows to their present value. This liability is reported in note 22 as a provision.

1. 21

Borrowings Borrowings are initially recognised at fair value plus any directly attributable transaction costs. Subsequent to initial recognition these liabilities are measured at amortised cost. Borrowing costs, which includes interest and administration fees, are expensed in the period in which they arise. Costs that are not settled in the period in which they arise are included in payables. All borrowing costs are expensed in the period in which they are incurred. No borrowing costs are capitalised on qualifying assets. Borrowings are classified as non current liabilities except for the principle amount that is due and payable, under the contractual terms of the loan agreement, 12 months after the end of the reporting period. This amount is classified as a current amount. Further details are provided in note 23.

Page 14


WESTERN DOWNS REGIONAL COUNCIL Notes to and forming part of the Financial Statements For the year ended 30 June 2011 1. 22

Restoration Provision A provision is made for the cost of restoration of assets and other future restoration costs where it is probable the Council will be liable, or required, to incur such a cost on the cessation of use of the facility. Further details can be found in note 22. The provision is measured at the expected cost of the work required discounted to current day values using an appropriate rate. The current Queensland Treasury Corporation (QTC) lending rate is considered an appropriate rate. (a) Restoration on land not controlled by Council Where the restoration site is on State capital reserves which the Council does not control, the cost of the provisions for restoration of these sites has to be treated as an expense in the year the provision is first recognised. Changes in the provision due to either time, discount rate or expected future cost are treated as an expense or income in the reporting in which they arise. (b) Restoration on land controlled by Council Where the restoration site is on Council controlled land, the cost of the restoration provision is added to the cost of the land as an improvement and amortised over the expected useful life. Changes in the provision not arising from the passing of time are added to or deducted from the asset revaluation surplus for land. If there is no available revaluation surplus, increases in the provision are treated as an expense and recovered out of future decreases if any. Changes to the provision resulting from the passing of time (the unwinding of the discount) are treated as a finance cost.

1. 23

Council Capital Value The Council's capital value represents the net carrying value of the capital assets less the amount of capital debt at the reporting date and includes the initial value of operating assets and liabilities recognised at its inception. At the reporting date the Council had unspent QTC loan funds. This unspent cash is a restricted capital asset and is reported in note 24(ii)(b) . The maintenance of the Council's capital capacity is fundamental to its long term sustainability to continue to deliver essential services to the community, it has therefore been separately identified and the change in value is reported in the Statement of Changes in Equity and note 24.

1. 24

Asset Revaluation Surplus The asset revaluation surplus comprises adjustments relating to changes in value of property, plant and equipment that do not result from the use of those assets. Net incremental changes in the carrying value of classes of non-current assets since their initial recognition are accumulated in the asset revaluation surplus. Increases and decreases on revaluation are offset within a class of assets. Where a class of assets is decreased on revaluation, that decrease is offset first against the amount remaining in the asset revaluation surplus in respect of that class. Any excess is treated as an expense. When an asset is disposed of, the amount in this surplus account in respect of that asset is retained in the surplus.

1. 25 (a) Constrained Grants, Subsidies and Contributions Reserve All grants, subsidies and contributions of monetary revenue received during the reported period for the purpose of funding specific capital expenditure are recognised as revenue in the the year of receipt. At the end of each reporting period grant funds that have not been expended during the period are transferred from retained surplus to a constrained works reserve. As the expenditure is incurred on specific capital assets in the following reporting periods the equivalent funds are transferred to the capital account. The balance of the reserve at 30 June each year represents funds to be expended in future period in the manner specified by the contributor.

Page 15


WESTERN DOWNS REGIONAL COUNCIL Notes to and forming part of the Financial Statements For the year ended 30 June 2011 (b) Grants, Subsidies and Contributions Reimbursed Reserve This reserve is credited with all grants, subsidies and contributions of monetary revenue received during the reported period which the Council has identified as being a reimbursement of capital funds expended in a prior period. (c) Water Reserve This reserve was created and holds funds to contribute to the future renewal of Council water infrastructure. (d) Sewerage Reserve This reserve was created and holds funds to contribute to the future renewal of Council waste water infrastructure. (e) Waste Reserve This reserve was created to contribute to the future funding for refuse disposal. (f)

Plant Replacement Reserve This reserve was created and hold funds to be contributed to the future replacement of the Council's plant.

(g) Roads Special Charges Reserve This reserve holds unexpended funds raised from the Huston's Road and Macalister-Wilkie Creek Road Special as defined in Council's 2010/2011 Revenue Statement. (h) Roads Network Reserve This reserve was created and hold funds to be contributed to the future replacement of the Council's road network. (i)

Gas Infrastructure Reserve This reserve was created to contribute to the future renewal of Council's gas infrastructure.

(j)

Asset Replacement Reserve This reserve was created to contribute to the future renewal of Council's assets.

(k) Unspent Loans Reserve This reserve was created and holds unspent loan funds. (l)

Saleyards Reserve This reserve was created to contribute to the future renewal of Council's saleyard assets.

1. 26

Retained Surplus This represents the amount of Council net funds not set aside in reserves to meet identified future needs.

1. 27

National Competition Policy The Council has reviewed its activities and has identified 7 activities that are business activities. Details of these activities can be found in note 35.

1. 28

Rounding and Comparatives Amounts included in the financial statements have been rounded to the nearest $1 or, where that amount is $0.50 or less, to zero. Comparative information has been restated where necessary to be consistent with disclosures in the current reporting period.

Page 16


WESTERN DOWNS REGIONAL COUNCIL Notes to and forming part of the Financial Statements For the year ended 30 June 2011 1. 29

Trust Funds Held for Outside Parties Funds held in the trust account on behalf of outside parties include those funds from the sale of land for arrears in rates recovery, deposits for the contracted sale of land, security deposits lodged to guarantee performance and unclaimed monies (e.g. wages) paid into the trust account by the Council. The Council performs only a custodian role in respect of these monies and because the monies cannot be used for Council purposes, they are not considered revenue nor brought to account in the financial statements. For details see note 32.

1. 30

Taxation Income of local authorities and public authorities is exempt from Commonwealth taxation except for Fringe Benefits Tax and Goods and Services Tax (‘GST’). The net amount of GST recoverable from the ATO or payable to the ATO is shown as an asset or liability respectively. The Council pays payroll tax to the Queensland State Government on certain activities.

Page 17


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011 2 Analysis of results by function (a) Revenue, expenses and assets have been attributed to the following functions : Functions

Income Grants

Other

Total

Total

income

expenses

Net

Total Assets

result for period

2011

2011

2011

2011

2011

2011

$

$

$

$

$

$

People & Communities SA1

4,714,311

2,360,533

7,074,844

13,750,578

(6,675,734)

124,849,027

Growth & Opportunity SA2

-

2,278,458

2,278,458

3,474,333

(1,195,875)

11,056,834

175,000

1,727,423

1,902,423

4,355,204

(2,452,781)

439,815

20,750,761

4,324,296

25,075,057

73,257,128

(48,182,071)

986,925,312

Planning for Liveability & Our Enviroment SA3&4 Infrastructure SA6 Empowering our Team SA7

150,187

150,187

6,473,678

(6,323,491)

1,704,925

17,588,262

25,523,530

43,111,792

5,800,369

37,311,423

67,651,935

Commercial Works

658,501

18,842,174

19,500,675

19,500,675

-

-

Waste Management

555,050

2,389,608

2,944,658

3,367,251

(422,593)

4,167,430

Water Infrastructure

1,417,030

9,052,730

10,469,760

10,178,769

290,991

107,031,217

Sewerage Infrastructure

-

4,535,874

4,535,874

4,544,699

(8,825)

60,832,213

Natural Gas

-

2,352,336

2,352,336

1,524,330

828,006

9,163,573

Dalby Regional Saleyards

-

1,768,836

1,768,836

1,170,917

597,919

7,709,234

1,032,029 76,338,014

1,032,029 122,196,929

2,831,681 150,229,612

(1,799,652) (28,032,683)

8,277,115 1,389,808,629

Business Systems & Technology SA8

Jimbour Quarry Total

-

45,858,915

Prior Year Functions

Income Grants

Other

Total

Total

income

expenses -

Net

Total Assets

result for period

2010

2010

2010

2010

2010

2010

$

$

$

$

$

$

People & Communities SA1

2,757,203

3,680,707

6,437,910

15,106,597

(8,668,687)

97,558,410

Growth & Opportunity SA2

182,638

1,082,095

1,264,733

3,514,458

(2,249,725)

17,856,866

357,922

2,621,397

2,979,319

4,689,054

(1,709,735)

1,020,542

9,573,995

1,346,394

10,920,389

59,947,150

(49,026,761)

893,124,966

Planning for Liveability & Our Enviroment SA3&4 Infrastructure SA6 Empowering our Team SA7 Business Systems & Technology SA8

262,726

86,088

348,814

7,386,145

(7,037,331)

25,814,654

11,704,806

25,649,596

37,354,402

(972,890)

38,327,292

52,183,165

Commercial Works

-

9,688,226

9,688,226

676,406

9,011,820

Waste Management

-

1,843,022

1,843,022

2,280,974

(437,952)

1,354,245

-

Water Infrastructure

2,431,533

9,529,833

11,961,366

5,219,887

6,741,479

100,061,070

Sewerage Infrastructure

-

3,890,245

3,890,245

2,704,664

1,185,581

57,875,597

Natural Gas

-

2,101,926

2,101,926

1,484,313

617,613

7,444,942

Dalby Regional Saleyards

-

1,639,584

1,639,584

1,576,353

63,231

6,967,485

1,227,086 64,386,199

1,227,086 91,657,022

232,042 103,845,153

995,044 (12,188,131)

8,846,760 1,270,108,701

Jimbour Quarry Total

27,270,823

Page 18


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011 2

(b) Components of Council functions The activities relating to the Council's components reported on in Note 2 (a) are as follows : People & Communities SA1 To create an enriched and vibrant social fabric throught regular interaction with our people and communities. Growth & Opportunity SA2 Realise opportunities and build capacity for the sustainable growth of our prosperous region. Planning for Liveability & Our Enviroment SA3&4 Build an effective planning solution that enhances the livability and lifestyle of our regional communities whilst promoting sustainable development. Provide a healthy environment for our people today and the generations of tomorrow. Infrastructure SA6 Build and maintain civil infrastructure to create safe and liveable communities within our region. Empowering our Team SA7 Provide organisational support and leadership to build a strong and effective regional Council. Business Systems & Technology SA8 Implement and manage effective business systems and accountable financial practices to serve the needs of Council and the community. Commercial Works Actively pursue and undertake commercial works as an alternative revenue stream for Council. Waste Management To provide and maintain an environmentally sensitive waste service for the regional Council. Water Infrastructure Manage the water networks to achieve reliability, safety and cost effectiveness for our customers. Sewerage Infrastructure Manage the sewerage networks to achieve reliability, safety and cost effectiveness for our customers. Natural Gas Manage the gas network to achieve reliability, safety and cost effectiveness for our customers. Dalby Regional Saleyards Manage the operations of the Dalby Regional Saleyards to achieve safety and cost effectiveness for our customers. Jimbour Quarry Operate the Jimbour Quarry as a commerical operation as an alternative revenue stream.

Page 19


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011

Note 3 Revenue analysis (a) Rates and levies General rates Separate rates Rural fire levy Water Water consumption, rental and sundries Sewerage Waste management Rates and utility charge revenue Less: Discounts Less: Pensioner remissions Net rates and utility charges

2011

2010

$

$

1.8(a)

(b) Sales Revenue Sale of Natural Gas Quarry Sales Saleyard Services Contract and recoverable works - Roads Contract and recoverable works - Other

(c) Rental and levies Aged Care Community housing rental income Community facilities Commercial leases

(d) Interest received Investments Other sources Over due rates and utility charges

(e) Other recurrent income Other revenue

4 Grants, subsidies, contributions and donations (i) Recurrent - grants, subsidies, contributions and donations are analysed as follows: General purpose grants

25,886,660 270,329 110,248 2,602,345 5,770,922 3,624,581 2,245,515 40,510,600 (3,435,349) (373,589) 36,701,662

27,084,875 264,436 2,950,852 4,143,348 3,221,410 1,843,022 39,507,943 (3,403,155) (376,446) 35,728,342

2,199,677 1,145,414 1,768,836 18,842,174 568,267 24,524,368

1,934,901 1,357,851 1,639,584 9,688,226 523,138 15,143,700

984,196 339,992 142,535 162 223 162,223 1,628,946

2,532,064 301,690 172,986 167 855 167,855 3,174,595

1,433,424 361,902 214,423 2,009,749

1,196,842 269,977 188,323 1,655,142

120,084 120,084

126,101 126,101

16,535,664 13,064,508 6,278,234 5,000 35,883,406

15,718,729 2,999,161 60,739 64,809 18,843,438

1.8(c)

NDRRA grants State Government subsidies & grants Other local government subsidy Donations Developer Contributions Total recurrent revenue

Page 20


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011

Note (ii) Capital - grants, subsidies, and contributions are analysed as follows: (a) Monetary revenue designated for capital funding purposes: Commonwealth Government grants State Government subsidies & grants Other local government contributions Contributions

(b) Non-monetary revenue received is analysed as follows: Infrastructure from Government sources at fair value Developer assets contributed by developers at fair value

2011

2010

$

$

4,629,414 5,276,179 1,382,590 11,288,183 1.8(d) 74,916 3,422,660 3,497,576

Total capital revenue

14,785,759

(iii) Conditions over contributions Grants and contributions which are recognised as revenues during the reporting period and which were obtained on the condition that they be expended in a manner specified by the contributor but had not been expended at the reporting date. Contributions for infrastructure 5 Gain / (loss) on the disposal of inventory land developed for resale Proceeds from sales of land developed for resale Current cost of developed land sold

18

6 Capital income Gain on the sale of property, plant and equipment assets

7

7 Gain / (loss) on the disposal of property, plant and equipment assets (a) Proceeds from the sale of plant and equipment Less: Book value of plant and equipment sold (b) Proceeds from the sale of land and buildings Less: Book value of land and buildings sold

Total gain / (loss) on the disposal of property, plant and equipment assets 8 Employee benefits Total staff wages and salaries Councillors' remuneration Annual, sick and long service leave entitlements Superannuation

6

31

Other employee related expenses Less : Capitalised employee expenses

Page 21

980,864 7,484,875 26,455 2,492,382 10,984,576

10,984,576

395,385 395,385

11,833,638 833 638 (936,181) 897,457

946 018 946,018 (1,998,035) (1,052,017)

305,393 305,393

298,891 298,891

1,170,913 (796,604) 374,309

1,284,221 (971,568) 312,653

4,000 (72,916) (68,916)

18,636 (32,398) (13,762)

305,393

298,891

29,159,213 739,182 6,446,974 3,919,221 40,264,590 1,509,533 41,774,123 (3,113,770) 38,660,353

27,235,362 669,576 5,658,660 3,688,205 37,251,803 2,237,719 39,489,522 (6,066,679) 33,422,843


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011

Note

2011

2010

$

$

Councillor remuneration represents salary, and other allowances paid in respect of carrying out their duties. Total Council employees at 30 June 2011: Elected members Federal award staff State award staff

2011

Total full time equivalent employees 9 Materials and services Audit fees Advertising Consultancy Services Donations & Grants Paid Insurance Telecommunications Purchase of Gas Legal Fees Rates & Utilities Diesel & Fuel Services Repairs & maintenance - roads & bridges - materials Repairs & maintenance - roads & bridges - services Rentals - operating leases Other material and services

10 Finance costs Finance costs charged by the Queensland Treasury Corporation Bank charges Impairment of receivables

11 Depreciation and amortisation (a) Depreciation of non-current assets Site improvements Buildings Plant and equipment Furniture and fittings Road and bridge network Water Sewerage Stormwater Gas infrastructure Heritage assets

2010 9 291 356

9 247 344

648

600

308,843 211,481 2,310,580 547,124 1,031,012 726,156 811,369 386,969 2,790,009 3,605,865 10,154,747 14,189,445 11,487,740 123,245 6,736,562 55 421 147 55,421,147

104,855 241,589 1,865,818 638,539 1,035,422 464,557 772,598 372,731 1,952,650 3,177,723 7,287,475 4,904,531 760,998 119,224 5,142,422 28 841 132 28,841,132

844,822 86,885 8,554 940,261

262,860 94,047 199,905 556,812

577,300 6,025,114 5,706,533 135,939 27,850,350 4,256,525 2,661,644 585,026 222,917 48,021,348

174,227 1,616,192 6,905,216 84,170 25,839,893 1,127,587 857,944 657,148 110,454 518 37,373,349 -

1.15(d)

Council has adopted the following methodology for estimating depreciation:-

2009/2010 Council adopted the Advanced SLAM depreciation method to calculate depreciation for all depreciable asset classes 2010/2011 Depreciation on Road and Bridge network assets acquired prior to 1 July 2010 was based on an Advanced SLAM depreciation method, which is a Consumption Based Depreciation approach. They key assumption used in this methodology are outlined below. Page 22


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011

Note

2011

2010

$

$

The asset lifecycle is divided into a number of distinct phases identified as periods of transition between various consumption ratings. Consumption (depreciation) of the asset is calculated having regard to the time of transition for each phase and the relative reduction in asset value. Key inputs to determine the valuation are the pattern of consumption, useful life, residual value and consumption rating. The methodology is based on APV's default values which take into account the typical lifecycle and renewal treatments utilised by local governments. The defaults are amended by APV to take into account the information provided by Council. In 2010/2011 Council undertook a condition based assessments of the Road and Bridges network and this data was provided to the valuer's for their use in the asset revaluation process. Roads acquired after 1 July 2010 have been depreciated using a straight-line depreciation method. Depreciation on all other asset classes was based on a straight-line depreciation method. Heritage assets are not depreciated. In 2010/2011, Council changed the method for calculating depreciation to the straight line method for asset classes, Buildings, Water, Sewerage, Stormwater and Gas Infrastructure. This was due to a re-appraisal of residual values, useful life, remaining useful life and current rate of depreciation. The change in the method of depreciation resulted in an increase in total depreciation expense for 2010/2011 of approximately $9M. Council is of the view that for 2010/2011, the straight line method of depreciation reflects the best estimate of the pattern of consumption of economic benefit under localised conditions. As Council plans to undertake a comprehensive revaluation for all asset classes, Council will review the appropriateness of the depreciation method to be adopted in 2011/2012 to ensure that the method adopted best reflects the expected pattern of consumption of the assets assets'ss future economic benefits. benefits (b) Amortisation of intangible assets Computer software Other intangible asset Total amortisation of intangible assets

153,068 1,602 154,670

111,374 25,427 136,801

48,176,018

37,510,150

13

4,766,668

1,516,181

22

1,328,984 6,095,652

1,516,181

170,604 771,487 415,098 51,568 2,629,267 608,074 119,303 1,267 4,766,668

6,169 104,347 132,413 124,035 269,404 140,742 357,183 3,505 50 378,333 1,516,181

Total depreciation and amortisation

12 Capital expenses Loss on write-off of capital assets Increase in the rehabilitation provision, due to recognition of new sites requiring future expenditure Total capital expenses 13 Loss on write-off of capital assets: Site improvements Buildings Plant and equipment Furniture and fittings Road and bridge network Water Sewerage Stormwater Computer software Other intangible asset

Page 23


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011

14 Loss on impairments Loss on impairment of property, plant and equipment Total impairment losses Less impairment losses offset against the asset revaluation surplus Impairment losses treated as an expense

2011

2010

Note

$

$

19 (a)

101,343 101,343 (101,343) -

1,080,628 1,080,628 (1,080,628) -

Council performed a condition assessment of the road network assets following the flood events in January 2011. Roads assessed to be extensively damaged have been disposed through the profit and loss (Refer note 13). The Council's condition assessment of the road network was a factor in determining the revaluation adjustment to the carrying amount of the road network asset class at 30 June 2011. Refer note 19 for details. The loss on impairments for 2010 related to the fair value of our road infrastructure assets decreasing due to flooding which caused road usage to become restricted until repairs could be made.

15 Cash assets and cash equivalents Cash in operating bank account Cash in other banks and on hand Term deposits held at fixed interest rates Deposits and investments held with QTC at variable interest rate Balance per statement of cash flows Externally imposed expenditure restrictions at the reporting date relate to the following cash assets: Unspent Government grants and subsidies Unspent developer contributions Unspent loan monies Total unspent restricted cash for capital projects

1.10 2,368,296 5,651 28,196,078 30,570,025

2,315,290 4,899 3,000,000 29,332,462 34,652,651

27 (i) 27 (i)

3,002,317 -

1,230,247 104,788

24 (ii)

5,747,161 8,749,478

344,635 1,679,670

3,108,127 16,765,201 429,762 (233,834) 20,069,256 603,359 56,140 277,226 21,005,981

3,332,030 10,165,748 274,617 29,855 (254,608) 13,547,642 630,084 73,397 257,532 14,508,655

141,986 108,483 250,469

122,333 393,454 515,787

Cash and deposits at call are held in the Commonwealth Bank and the National Australia Bank in business cheque accounts and Queensland Treasury Corporation in cash management accounts. All cash assets are held with the financial institution which have a current Standard and Poor's short term rating of A-1+. 16 Trade and other receivables (a) Current Rateable revenue and utility charges Fees and charges GST recoverable Other debtors Less: Impairment for doubtful debts

1.11

Prepayments Loans and advances to community organisations Loan to Dalby Bio-Refinery (b) Non-current Loans and advances to community organisations Loan to Dalby Bio-Refinery

Page 24


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011

Note

2011

2010

$

$

Interest is charged on outstanding rates at a rate of 11% per annum. Loans to controlled entities and associates are charged at an interest rate of the base rate plus 3%. No interest is charged on other debtors. There is no concentration credit risk for rates and utility charges, fees and other debtors receivable.

All loans and advances relate to loans made to various community bodies. These loans arise from time to time and are subject to negotiated interest rates. The credit risk on these loans is considered low. Movement in accumulated impairment losses (trade and other receivables) is as follows: Opening balance Impairment adjustment in period Closing balance 17 Inventories Current Inventories for internal use: Quarry and road materials Stores and materials

254,608 (20,774) 233,834

74,704 179,904 254,608

4,701,468 2,862,943 7,564,411

4,674,472 3,093,267 7,767,739

3,347,834 10,912,245 10 912 245

7,019,350 14,787,089 14 787 089

7,019,350 (2,772,418) 37,083

5,583,416 601,900 2,832,069 -

(936,181) 3,347,834

(1,998,035) 7,019,350

1.12

Valued at cost, adjusted when applicable for any loss of service potential. Land purchased for development and sale 18

18 Land purchased for development and sale Opening balance Internal transfer from site improvements Land acquired in period Development costs

1.13

Less: Cost of developed land sold Closing balance at period end

Land purchased for development and sale is valued at the lower of cost and net realisable value.

Page 25


-

-

-

-

-

-

Depreciation on disposals

Depreciation on write-offs

Revaluation adjustment to the ARSR*

Impairment adjustment to the ARSR*

Internal transfers to other asset classes

Transfer to investment properties

Range of estimated useful life in years

Net value at 30 June 2011

and impairment balance

Closing accumulated depreciation

577,300

-

Depreciation provided in period

9,405,808

5 - 70

47,215,104

Not depreciated

2,063,617

-

-

164,926

-

106,058

(40,921)

-

-

1,256,254

-

-

Opening balance

Minor Correction to opening balance

Accumulated depreciation and impairment

11,469,425

47,215,104

Closing gross value

700,647

2,772,416 2,186,248

463,683

2,085,374

Recognition/changes of future rehabilitation costs

Internal transfers between asset classes

Revaluation adjustment to the ARSR*

-

-

-

Disposals

Write-offs

(211,525)

-

-

Transfers to Intangibles

386,418

-

62,693

-

Internal transfers from work in progress

Contributed assets at valuation

-

-

-

-

7,943,954

Additions at cost

42,294,621

$

2011

$

Valuation

2011

Site improvements

Valuation

Land

Minor correction to opening balance

Opening gross value

Asset Values

Basis of measurement

19 (a) Property, plant and equipment

Notes to the Financial Statements For the year ended 30 June 2011

WESTERN DOWNS REGIONAL COUNCIL

5 - 150

145,764,383

27,597,031

-

15,677

-

1,620,597

(149,259)

(32,294)

6,025,114

-

20,117,196

173,361,414

-

303,607

9,868,665

(920,746)

(105,210)

-

11,047,093

-

-

-

153,168,005

$

2011

Valuation

Buildings

1 - 50

35,228,330

19,203,421

-

(25,098)

-

-

(181,351)

(1,119,746)

5,706,533

-

14,823,083

54,431,751

-

922,443

-

(596,449)

(1,916,350)

-

8,890,135

74,917

-

-

47,057,055

$

2011

Cost

Plant and equipment

5 - 20

$

2011

Cost

Page 26

403,841

252,221

-

4,592

-

-

(11,750)

-

135,939

-

123,440

656,062

-

11,625

-

(63,318)

-

-

133,280

-

-

-

574,475

Furniture and fittings

-

5,650,561

109,061,756

(3,201,901)

-

-

16,300,216

2,545,370

-

-

947,890,959

10 - 200

876,385,141

201,861,820

-

1,383,412

101,343

(1,400,387)

(572,634)

-

27,850,350

-

174,499,736

1,078,246,961

$

2011

Valuation

Road and bridge network

3 - 100

92,273,073

24,809,398

-

(88,562)

-

1,066,580

(188,368)

-

4,256,525

-

19,763,223

117,082,471

-

(279,159)

5,737,809

(796,442)

-

-

7,668,317

279,840

-

-

104,472,106

$

2011

Valuation

Water

5 - 80

58,023,892

21,854,652

-

(64,886)

-

1,731,425

(28,835)

-

2,661,644

-

17,555,304

79,878,544

-

(571,500)

5,901,895

(148,138)

-

-

1,243,169

569,761

-

-

72,883,357

$

2011

Valuation

Sewerage

50 - 80

34,770,414

16,506,922

-

(1,431,395)

-

785,831

-

-

585,026

5,257

16,562,203

51,277,336

-

(5,952,904)

2,441,040

-

-

-

64,000

-

-

5,257

54,719,943

$

2011

Valuation

Stormwater

5 - 80

7,193,198

3,250,767

-

-

-

184,002

-

-

222,917

-

2,843,848

10,443,965

-

-

582,580

860

5 - 100

206,750

64,067

-

63,207

-

-

-

-

-

-

270,817

-

220,247

-

-

-

-

-

-

-

-

50,570

-

$

2011

Cost

Heritage assets

-

15,689

27,688

-

-

9,818,008

$

2011

Valuation

Gas infrastructure

19,465,749

19,465,749

-

-

-

-

-

(242,743)

(45,811,010)

-

34,834,001

-

30,685,501

$

2011

Cost

Works in progress

1,326,335,683

317,463,916

-

21,873

101,343

4,094,106

(1,173,118)

(1,152,040)

48,021,348

5,257

267,545,147

1,643,799,599

2,186,248

3,777,983

136,142,802

(5,938,519)

(2,021,560)

(242,743)

-

3,497,576

34,834,001

5,257

1,471,558,554

$

2011

Total


(1,811,986)

(363) -

* ARSR denotes - Asset Revaluation Surplus Resserve

Range of estimated useful life in years

Net value at 30 June 2010

6,687,700 20

42,294,621

Not depreciated

1,256,254

-

Internal transfers

-

-

Depreciation on write-offs Impairment adjustment to the ARSR*

-

and impairment balance

-

Depreciation on disposals

174,227

2,894,376

-

-

7,943,954

(601,900)

(10,632,329)

Closing accumulated depreciation

-

Opening balance

Depreciation provided in period

Accumulated depreciation and impairment

42,294,621

-

Internal transfers to Land Held for Resale

Closing gross value

(158,158)

Internal transfers between asset classes

-

-

(6,532)

(32,398)

Disposals

Write-offs

-

17,997,895 1,186,820

-

42,331,084

$

2010

$

Valuation

2010

Site improvements

Valuation

Land

154,093

Internal transfers from work in progress

Additions at cost

Opening gross value

Asset Values

Basis of measurement

19 (a) Property, plant and equipment - prior year

Notes to the Financial Statements For the year ended 30 June 2011

WESTERN DOWNS REGIONAL COUNCIL

30 - 100

133,050,809

20,117,196

-

1,711,554

(16,465) -

-

1,616,192

16,805,915

153,168,005

-

10,004,861

(120,812)

-

10,067,109

-

133,216,847

$

2010

Valuation

Buildings

3 - 20

32,233,972

Page 27

451,035

123,440

14,823,083

-

(95,450) -

-

84,170

134,720

574,475

-

-

(219,485)

-

80,317

-

713,643

-

7 - 10

$

2010

Cost

Furniture and fittings

-

17,415

(360,193) -

(1,254,760)

6,905,216

9,515,405

47,057,055

-

61,444

(492,606)

(2,226,328)

9,082,380

-

40,632,165

$

2010

Cost

Plant and equipment

773,391,223

174,499,736

-

97,016

(79,598) 1,080,628

-

25,839,893

147,561,797

947,890,959

-

684,543

(349,002)

-

20,733,550

-

926,821,868

10 - 100

$

2010

Valuation

Road and bridge network

299

20 - 80

84,708,883

19,763,223

-

(46,864) -

-

1,127,587

18,682,201

104,472,106

-

81,316

(187,606)

-

3,378,974

-

101,199,422

$

2010

Valuation

Water

12 - 100

55,328,053

17,555,304

-

(14,298)

(50,476) -

-

857,944

16,762,134

72,883,357

-

(41,677)

(407,659)

-

271,177

-

73,061,516

$

2010

Valuation

Sewerage

10 - 50

38,157,740

16,562,203

-

-

(910) -

-

657,148

15,905,965

54,719,943

-

-

(4,415)

-

340,728

-

54,383,630

$

2010

Valuation

Stormwater

11 - 50

6,974,160

2,843,848

-

-

-

-

110,454

2,733,394

9,818,008

-

-

-

-

11,640

-

9,806,368

$

2010

Valuation

Gas infrastructure

860 49,710

-

-

-

-

518

342

50,570

-

-

-

-

21,974

-

28,596

7 - 100

$

2010

Cost

Heritage assets

30,685,501

30,685,501

-

-

-

-

(45,328,762)

41,518,085

34,496,178

$

2010

Cost

Works in progress

1,204,013,407

267,545,147

-

(650,319) 1,080,628

(1,254,760)

37,373,349

230,996,249

1,471,558,554

(601,900)

-

(1,788,117)

(2,258,726)

41,518,085

1,434,689,212

$

2010

Total


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011

Note

2011

2010

$

$

19 (b) Property, plant and equipment valuations were determined by reference to the following: Assets held at valuation Revaluation adjustments to the carrying amount of assets as 30 June 2011 performed as follows:Road and Bridge Network Valuation of roads network, being the current fair value, was provided by John Deal, B.Eng, Plant & Machinery valuer and Janaka Weerasinghe, B.Eng, Plant & Machinery valuer of Australia Pacific Valuers Pty Ltd at 30 June, 2009. Due to the large amount of damage to road infrastructure from the extensive flood events in January 2011- road assets have been written off as identified in reference to Bulletin 16/11 Accounting for infrastructure damaged by natural disasters published by the Department of Local Government and Planning. Refer Note 13. - a desktop revaluation was carried out by Australian Pacific Valuations Pty Ltd as at 30 June, 2011. The desktop revaluation adjusted the results of the comprehensive revaluation performed as at 30 June 2009, by - applying indices to recognise changes in the market values for the period 1 July 2009 through to 30 June 2011. - adjusting for changes in the assets condition due to flood and other events. - taking into account any major expenditure, disposals and additions. A desktop revaluation is not a comprehensive revaluation and has the limitation that Australian Pacific Valuers Pty Ltd (APV) have based their valuation on Council's asset condition assessments, APV have not carried out any independent structural or operational survey of the infrastructure nor have they assessed the structural integrity or operational efficiency of the Road & Bridge network assets. The indices applied were derived from reference to costing guides issued by the Australian Institute of Quantity Surveyors, Rawlinson's (Australian Construction Handbook), Construction data from the Australian Bureau of Statistics & APV's own internal market research and these costings are applied to reflect the movement in market value since the comprehensive revaluation. The following key assumptions were made in performing the valuations (a) The previous year's asset condition ratings have been retained with the assumption that Council has maintained the asset and all components are delivering the same level of service as assessed in the comprehensive revaluation. (b) Allowance has been made for the movement in the asset gross replacement cost. (c) Remaining useful life not be altered if the condition assessment of the asset has not been altered. The desktop valuation resulted in a significant revaluation increment to the Road and Bridge Network asset class. Council assesses that this increment is due primarily to the availability of more accurate information as to asset dimensions, such as road length and width Council considers that the carrying values of the Road and Bridge asset class at 30 June 2010 and 30 June 2011 do not materially differ from their fair value. Land, Site Improvements, Buildings, Water, Sewerage, Stormwater, Gas Infrastructure A comprehensive revaluation was performed by Alfio Pomticello, B.Bus(r.p.val admin) registered valuer 1816 and by Lochlan Black, B.Bus(r.e & dev) registered valuer 2913 of Australian Pacific Valuers Pty Ltd as at 30 June, 2009. Indicies provided by Australian Pacific Valuers Pty Ltd have been applied to these asset class as at 30 June 2011 to adjust for movements in the fair value of assets subsequent to the date of the comprehensive revaluation. The indices were applied to each assets' gross and accumulated deprecation amount to ensure that the assets' carrying amount following revaluation equalled its revalued amount. The indices were based on quantitative indices and significant assumptions as per the following:

Page 28


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011

Note

2011

2010

$

$

The Indexation Percentages for the Land Valuations have been derived by market research into the movement in value of land sales within each of the Council regions. The direct comparison approach to valuation was determined to be the most appropriate method and has been adopted in this case. Market research has been conducted for each of the property zonings and uses within the Council area as outlined below and for the wider rural region of the Council area. Sales of vacant land within designated size and location parameters have been graphed to assess the movement within that market segment. Graphs have been created to assess each type of property that was able to have sufficient data associated with it. In assessing the movement in market value of land there has been a lack of sales data to determine any movement in industrial or commercial land values and as such APV have adopted a zero percent indexation figure. The Indexation Percentages for the buildings, other structures, water infrastructure, sewerage infrastructure and gas mains valuations have been derived from reference to costing guides issued by the Australian Institute of Quantity Surveyors, Rawlinson's (Australian Construction Handbook), Construction Data from the Australian Bureau of Statistics and APV's own internal market research and costings. Councils' assessment of extent fair value was determined directly to market observable data gained through market research of Council's activities during the last two financial years to ascertain market movement. Assets held at cost Council records the following assets at cost - plant and equipment, furniture and fittings, heritage assets, work in progress. Assets held at cost are measured at original cost less accumulated depreciation. Heritage Assets are recorded at cost and have not been revalued and are not depreciated. 20 Intangible assets Net carrying value at period end: (a) Computer software (b) Other intangible asset

1.16

(a) Computer software Opening gross carrying value Transfer (to) from other assets categories Acquired at cost Value of asset write off in the period as a result in change of the recognition thresholds Accumulated amortisation Opening balance Transfer (to) from other non-current asset category Amortisation in the period Amortisation written off in period as a result in change of the recognition thresholds

Net carrying value at the period end

727,818 6,408 734,226

1,623,102 8,010 1,631,112

1,782,039 (1,005,565) 242,743 (17,275) 1,001,942

362,981 1,419,263 (205) 1,782,039

158,937 (21,873) 153,068 (16,008) 274,124

47,718 111,374 (155) 158,937

727,818

1,623,102

The computer software has a useful life of 2 to 10 years. Straight line amortisation has been used with no residual value. (b) Other intangible asset Opening gross carrying value Acquired at cost Value of asset write off in the period as a result in change of the recognition thresholds Accumulated amortisation Opening balance Amortisation in the period Amortisation written off in period as a result in change of the recognition thresholds Net carrying value at the period end

Page 29

10,789 10,789

169,709 250,270 (409,190) 10,789

2,779 1,602 4,381 6,408

8,209 25,427 (30,857) 2,779 8,010


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011

Note

2011

2010

$

$

The other intangible asset has a finite life of 10 years. Straight line amortisation has been used with no residual value. 21 Trade and other payables Current Accruals Creditors Annual leave Other Entitlement

1.20

1.20(b)

Non Current Annual leave

1.20(b)

608,350 7,814,091 2,755,523 379,784 11,557,748

1,526,638 4,532,869 2,307,273 385,739 8,752,519

1,838,007 1,838,007

1,845,804 1,845,804

Employee benefit liabilities are calculated at current pay levels and adjusted for inflation and likely future changes in salary level. The non-current portion of annual leave and long service leave is then discounted to the present value. Further details on employee entitlements are reported in Note 1.20. 22 Provisions Current Long service leave Non-Current Long service leave Property restoration: (i) Refuse sites (ii) Quarry sites (iii) Desalination Ponds

1.20(e)

877,317 877,317

328,243 328,243

1.20(e)

4,904,060

4,980,021

1.22 1.22 1.22

422,590 906,394 2,186,248 8,419,292

4,980,021

This is the first year in which the restoration provisions have been raised. Council has not provided for restoration of twenty refuse sites. Council will raise provisions for these remaining Refuse sites as additional information is received. Details as to the long service leave liability are reported in note 1.20(e) Details of movements in provisions: Long service leave Opening balance Amount provided for in the period Amount paid in the period Balance at the end of period (i) Refuse sites Increase in provision - new site Balance at the end of period Current portion Non-current portion

(ii) Quarry sites Increase in provision - new site Balance at the end of period

Page 30

5,308,264 940,681 (467,568) 5,781,377

3,732,293 1,876,936 (300,965) 5,308,264

422,590 422,590

-

422,590 422,590

-

906,394 906,394

-


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011

Note Current portion Non-current portion

(iii) Desalination Ponds Increase in provision - new site Balance at the end of period

Current portion Non-current portion

23 Borrowings (a) Bank overdraft The Council does not have a bank overdraft facility. (b)

2011

2010

$

$ 906,394 906,394

-

2,186,248 2,186,248

-

2,186,248 2,186,248

-

1.21

Unsecured borrowings Unsecured borrowings are provided by the Queensland Treasury Corporation. All borrowings are in $A denominated amounts and carried at amortised cost, interest being expensed as it accrues. No interest has been capitalised during the current or comparative reporting period. Expected final repayment dates vary from 4 September 2010 to15 June 2030.

There have been no defaults or breaches of the loan agreement during the period. Principal and interest repayments are made quarterly in arrears. Details of borrowings at balance date are: Current Queensland Treasury Corporation Non Current Queensland Treasury Corporation Details of movements in borrowings: Queensland Treasury Corporation Opening balance Loans raised Principal repayments Book value at period end Classified as : Current Non-current

1,014,780

1,417,386

21,378,302

11,976,215

13,393,601 9,669,955 (670,474) 22,393,082

3,757,241 9,853,000 (216,640) 13,393,601

1,014,780 21,378,302 22,393,082

1,417,386 11,976,215 13,393,601

The QTC loan market value at the reporting date was $22,657,104. This represents the value of the debt if Council repaid it at that date. As it is the intention of Council to hold the debt for its term, no provision is required to be made in these accounts. Borrowings are all in Australian Dollars and are underwritten by the Queensland State Government. 24 Council capital (i) Calculation of capital value and retained surplus: Cash and cash equivalents Less restricted cash: Reserves (excluding the asset revaluation) Capital sustainability reserve Unspent loan capital fund reserve Working capital cash (including employee entitlements)

1.23

Page 31

30,570,025

34,652,651

(21,618,943) (5,747,161) (2,472,706)

(20,116,992) (9,768,107) (344,635) (4,331,743)


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011

Note 26 24 (ii)

Retained surplus (deficit) available for distribution Total Council capital value Total capital and retained surplus at end of period (ii)(a) Movement in Council capital account Balance at beginning of period Adjustments from (to) retained surplus: Transfer of capital income in the period Transfer of capital expenses in the period Transfer of non monetary capital revenue from retained earnings Transfer of revenue expended on capital assets Transfer of unspent capital revenue Transfer of unfunded depreciation Total transfers (to) from retained surplus Transfer (to) from unspent loan cash Transfer (to) from reserves: Asset Replacement Reserve Constrained Grants And Subsidy Reserve Waste Reserve Plant Replacement Reserve Roads Network Reserve Total transfers (to) from reserves

(ii)(b) 27

Total Council capital The amount by which the Council has increased (decreased) its capital capacity to deliver future services to the community before inflation adjustments 25 (i) Asset revaluation surplus Movements in the asset revaluation surplus were as follows: Balance at beginning of period Net adjustment to non-current assets charged to the surplus: Adjustments to the fair value through revaluations: Land Site improvements Buildings Road and bridge network Water Sewerage Stormwater Gas infrastructure Revaluations movements charged to the surplus Adjustments to the fair value through the impairment provisions: Road and bridge network Impairment movements charged to the surplus Balance at end of the year

2011

2010

$

$

731,215 555,180,507 555,911,722

91,174 580,989,601 581,080,775

580,989,601

587,468,640

305,393 (6,095,652) 3,497,576 (1,594,970) (31,667,220) (35,554,873) (5,402,526)

298,891 (1,516,181) 350,589 (30,619,241) (31,485,942) -

9,768,107 996,261 2,374,396 2,009,541 15,148,305

25,006,903 25,006,903

555,180,507

580,989,601

(25,809,094)

(6,479,039)

629,498,004

630,578,632

1.24

19 2,085,374 357,625 8,248,068 110,462,143 4,671,229 4,170,470 1,655,209 398,578 132,048,696

(ii) Asset revaluation surplus analysis The closing balance of the asset revaluation surplus is comprised of the following asset categories: Land Site improvements Buildings Road and bridge network Water Sewerage Stormwater Gas infrastructure

Page 32

-

(101,343) (101,343) 761,445,357

(1,080,628) (1,080,628) 629,498,004

29,171,224 4,487,968 66,209,782 525,800,558 52,545,547 40,303,406 40,957,432 1,969,440 761,445,357

27,085,850 4,130,343 57,961,714 415,439,758 47,874,318 36,132,936 39,302,223 1,570,862 629,498,004


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011

Note 26 Retained surplus/(deficiency) Movement in retained surplus Retained surplus (deficit) at the beginning of period Prior period error correction to opening retained deficit

2011

2010

$

$

1.26

Net result / (deficiency) attributable to Council

Transfers (to) from capital account: Transfer of capital income Transfer of capital expenses Non monetary capital revenue General revenue used for capital funding purposes Unspent capital revenue transferred from capital Adjustment for unfunded depreciation Net capital account transfers Transfer from (to) the constrained grants and subsidy reserve Retained surplus (deficiency) available for transfer to reserves Transfers (to) from reserves for future capital funding: Water reserve Sewerage reserve Roads Special charges reserve Gas Infrastructure reserve Saleyards reserve Transfers (to) from reserves for future recurrent funding purposes: Community support reserve

27 General reserves (a) Summary of capital reserves held for funding future projects: (i) Constrained Grants, Subsidies and Contributions Reserve (ii) Grants, Subsidies and Contributions Reimbursed Reserve (iii) Water Reserve (iv) Sewerage Reserve (v) Waste Reserve (vi) Plant Replacement Reserve (vii) Roads Special Charges Reserve (viii) Roads Network Reserve (ix) Gas Infrastructure Reserve (x) Asset Replacement Reserve (xi) Unspent Loans Reserve (xii) Saleyards Reserve (b) Summary of reserves held for funding future recurrent expenditure: (xiii) Community Support Reserve

Movements in capital reserves are analysed as follows: (i) Constrained Grants, Subsidies and Contributions Reserve Balance at the beginning of period Transfer from retained earnings grants, subsidies and contributions received in the period which restricted to specific capital projects Transfers to the capital account funds expended in the period Transfer to retained earnings Balance at period end

Page 33

91,174

(6,182,548) 1,298,766

(28,032,683) (27,941,509)

(12,188,131) (17,071,912)

(305,393) 6,095,652 (3,497,576) 1,594,970 31,667,220 35,554,873 (1,667,282)

(298,891) 1,516,181 (350,589) 30,619,241 31,485,942 (8,068,163)

5,946,082

6,345,867

(2,530,820) (1,694,610) (110,934) (193,152) (685,351)

(4,300,633) (1,383,306) (109,070) (745,913) -

731,215

284,229 91,174

3,002,317 10,522,540 5,397,736 653,252 418,682 939,065 5,747,161 685,351

1,335,035 7,991,720 3,703,126 1,649,513 2,374,396 307,748 2,009,541 745,913 9,768,107 344,635 -

27,366,104

30,229,734

1,335,035

5,001,392

8,870,193 (7,202,911) 3,002,317

8,068,163 (11,734,520) 1,335,035

1.25


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011

Note

2011

2010

$

$

(ii) Grants, Subsidies and Contributions Reimbursed Reserve Transfer from retained earnings grants, subsidies and contributions received in the period which are a reimbursement or are uncommitted at time of receipt Transfer to retained earnings Balance at period end

2,417,990 (2,417,990) -

2,916,413 (2,916,413) -

(iii) Water Reserve Balance at the beginning of period Transfer from retained earnings for future expenditure Balance at period end

7,991,720 2,530,820 10,522,540

3,691,087 4,300,633 7,991,720

(iv) Sewerage Reserve Balance at the beginning of period Transfer from retained earnings for future expenditure Balance at period end

3,703,126 1,694,610 5,397,736

2,319,820 1,383,306 3,703,126

(v) Waste Reserve Balance at the beginning of period Transfer to the capital account funds expended in the period Balance at period end

1,649,513 (996,261) 653,252

1,649,513 1,649,513

(vi) Plant Replacement Reserve Balance at the beginning of period Transfer to the capital account funds expended in the period Balance at period end

2,374,396 (2,374,396) -

2,374,396 2,374,396

307,748 211,701 (100,767) 418,682

198,678 242,873 (133,803) 307,748

2,009,541 (2,009,541) -

2,009,541 2,009,541

(ix) Gas Infrastructure Reserve Balance at the beginning of period Transfer from retained earnings for future expenditure Balance at period end

745,913 193,152 939,065

745,913 745,913

(x) Asset Replacement Reserve Balance at the beginning of period Transfer from retained earnings for future expenditure Balance at period end

9,768,108 (9,768,108) -

23,385,125 (13,617,018) 9,768,107

(xi) Unspent Loans Reserve Balance at the beginning of period Transfer from retained earnings for future expenditure Balance at period end

344,635 5,402,526 5,747,161

344,635 344,635

(xii) Saleyards Reserve Transfer from retained earnings for future expenditure Balance at period end

685,351 685,351

(vii) Roads Special Charges Reserve Balance at the beginning of period Transfer from retained earnings for future expenditure Transfer to retained earnings Balance at period end (viii) Roads Network Reserve Balance at the beginning of period Transfer to the capital account funds expended in the period Balance at period end

Page 34

-


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011

Note (xiii) Community Support Reserve Balance at the beginning of period Transfer to retained earnings Balance at period end

2011

2010

$

$ -

28 Commitments for expenditure Contractual Commitments Contractual commitments at balance date but not recognised in the financial statements are as follows: To 1 Year From 1 Year to 5 Years Greater then 5 Years -

284,229 (284,229) -

2,145,218 7,754,651 2,544,000 12,443,869

1,927,405 8,947,444 5,220,000 16,094,849

895,891

895,891

29 Events after balance date There were no material financial adjusting events after balance date. 30 Contingent liabilities Details and estimates of maximum amounts of contingent liabilities are as follows: Local Government Workcare The Western Downs Regional Council is a member of the Queensland local government workers compensation self-insurance scheme, Local Government Workcare. Under this scheme the Council has provided a bank guarantee to cover bad debts which may remain should the self insurance licence be cancelled and there is insufficient funds available to cover outstanding liabilities. Only the Queensland Government's Workers Compensation Authority may call on any part of the guarantee should the above circumstances arise. The Council's maximum exposure to the bank guarantee is: Local Government Mutual The Council is a member of the local government mutual liability self-insurance pool, LGM Queensland. In the event of the pool being wound up or it is unable to meet its debts as they fall due, the trust deed and rules provide that any accumulated deficit will be met by the individual pool members in the same proportion as their contribution is to the total pool contributions in respect to any year that a deficit arises. As at 30 June 2011 the financial statements reported an accumulated surplus and it is not anticipated any liability will arise. 31 Superannuation The Western Downs Regional Council contributes to the Local Government Superannuation Scheme (Qld) (the scheme). The scheme is a Multi-employer Plan as defined in the Australian Accounting Standard AASB119 Employee Benefits . The Queensland Local Government Superannuation Board, the trustee of the scheme, advised that the local government superannuation scheme was a complying superannuation scheme for the purpose of the Commonwealth Superannuation Industry (Supervision) legislation. The scheme has two elements referred to as the Defined Benefits Fund (DBF) and the Accumulation Benefits Fund (ABF). The ABF is a defined contribution scheme as defined in AASB 119. Council has no liability to or interest in the ABF other than the payment of the statutory contributions as required by the Local Government Act 2009 . The DBF is a defined benefit plan as defined in AASB119. The Council is not able to account for the DBF as a defined benefit plan in accordance with AASB119 because the scheme is unable to account to the Council for its proportionate share of the defined benefit obligation, plan assets and costs.

Page 35


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011

Note

2011

2010

$

$

3,919,221

3,688,205

2,845,611 121,688 7,431 2,974,730

2,757,782 4,023 2,761,805

Any amount by which either fund is over or under funded would only affect future benefits and contributions to the DBF, and is not an asset or liability of the Council. Accordingly there is no recognition in the financial statements of any over or under funding of the scheme. The audited general purpose financial report of the scheme as at 30 June 2010 (the most recent available) which was not subject to any audit qualification, indicates that the assets of the scheme are sufficient to meet the vested benefits. The most recent actuarial assessment of the scheme was undertaken as at 1 July 2009. The actuary indicated that “the DBF is in a very modest financial position with regard to the net asset coverage of vested liabilities. Investment returns will be volatile under the required investment strategy, particularly over short periods. The DBF therefore needs sufficient reserves to be able to withstand a reasonable range of such influences. Because the DBF is now running down and cash flows are negative, the VBI (vested benefit index) should not be allowed whenever possible to retreat below 100%. Once below 100%, benefits drawn reduce the available assets for remaining members and hence the nest asset coverage of vested benefits declines further. In order to withstand a one in ten ‘low return’ outcome, the DBF would need reserves of the order of 8% to 10% having regard to the investment strategy adopted. Given the current position of the DBF, such reserve can essentially only eventuate from either excess investment returns over salary increases or additional employer contributions. Council has been advised by the trustee of the scheme, following advice from the scheme’s actuary, that additional contributions may be imposed in the future at a level necessary to protect the entitlements of DBF members. Under the Local Government Act 2009 the trustee of the scheme has the power to levy additional contributions on Councils which have employees in the DBF when the actuary advises such additional contributions are payable - normally when the assets of the DBF are insufficient to meet members' benefits. The next actuarial investigation will be made as at 1 July 2012. The amount of superannuation contributions paid by Western Downs Regional Council to the scheme in this period for the benefit of employees was: 32 Trust funds Trust funds held for outside parties: Security deposits Western Downs Disaster Relief Fund Unclaimed monies

1.29

The Western Downs Regional Council performs only a custodial role in respect of these monies, and because the monies cannot be used for Council purposes, they are not brought to account in these financial statements. These funds are subject to a annual audit by the Auditor General of Queensland. 33 Reconciliation of net result / (deficiency) attributable to Council to net cash flow from operating activities Net result / (deficiency) attributable to Council Non-cash operating items: Depreciation and amortisation Current cost of developed land sold

11 18

Page 36

(28,032,683)

(12,188,131)

48,176,018 936,181 49,112,199

37,510,150 1,998,035 39,508,185


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011

Note Investing and development activities: Capital grants, subsidies and contributions Capital income Capital expenses Payment for land for sale and development costs in the period

4 6 12

Changes in operating assets and liabilities : (Increase) decrease in receivables (Increase) decrease in inventories (excluding land) Increase (decrease) in payables Increase (decrease) in provisions

Net cash inflow from operating activities

Page 37

2011

2010

$

$

(14,785,759) (305,393) 6,095,652 (37,083) (9,032,583)

(10,984,576) (298,891) 1,516,181 (2,832,069) (12,599,355)

(6,494,889) 203,328 2,797,432 473,113

(5,783,208) (2,160,255) 386,101 1,575,971

(3,021,016)

(5,981,391)

(9,025,917)

8,739,309


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011 34 Financial Instruments Western Downs Regional Council's activities expose it to a variety of financial risks including interest rate risk, credit risk, and liquidity risk. Exposure to financial risks is managed in accordance with Council approved policies on financial risk management. These policies focus on managing the volatility of financial markets and seek to minimise potential adverse effects on the financial performance of the Council. The Council minimises its exposure to financial risk in the following ways: - Investments in financial assets are only made where those assets are with a bank or other financial institution in Australia. The Council does not invest in derivatives or other high risk investments. - When the Council borrows, it borrows from the Queensland Treasury Corporation unless another financial institution can offer a more beneficial rate, taking into account any risk. Borrowing by the Council is constrained by the provisions of theStatutory Bodies Financial Arrangements Act 1982. Western Downs Regional Council measures risk exposure using a variety of methods as follows: Risk exposure

Measurement method

Interest rate risk

Sensitivity analysis

Liquidity risk

Maturity analysis

Credit risk

Ageing analysis

(i) Credit Risk Credit risk exposure refers to the situation where the Council may incur financial loss as a result of another party to a financial instrument failing to discharge their obligations. In the case of rate receivables, the Council has the power to sell the property to recover any defaulted amounts. In effect this power protects the Council against credit risk in the case of these debts. In other cases, the Council assesses the credit risk before providing goods or services and applies normal business credit protection procedures to minimise the risk. The Council is exposed to credit risk through its investments with the Queensland Treasury Corporation (QTC) and deposits held with banks or other financial institutions (if applicable). The QTC Cash Fund is an asset management portfolio that invests with a wide variety of high credit rating counterparties. Deposits are capital guaranteed. Other investments are held with highly rated/regulated banks/financial institutions and whilst not capital guaranteed, the likelihood of a credit failure is remote. By the nature of the Councils operations, there is a geographical concentration of risk in the Council's area. Because the area is largely agricultural, mining and tourism, there is also a concentration in the agricultural, mining and tourism sector. The maximum exposure to credit risk at balance date in relation to each class of recognized financial asset is the gross carrying amount of those assets inclusive of any impairment. No collateral is held as security relating to the financial assets held by the Council.

Page 38


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011 34 Financial Instruments - continued The following table represents the Council's maximum exposure to credit risk: Note Cash and cash equivalents - Bank

15

2011 $ 2,373,947

Cash and cash equivalents - QTC

15

28,196,078

Financial Assets

2010 $ 2,320,189 29,332,462

Investments with approved deposit taking institutions

15

Receivables - rates Receivables - other

-

3,000,000

16 16

3,108,127 17,930,673

3,332,030 11,062,328

30

895,891 52,504,716

895,891 49,942,900

Other credit exposure Guarantee Total Past due or impaired No financial assets have had their terms renegotiated so as to prevent them from being past due or impaired, and are stated at the carrying amounts as indicated. The following table represents an analysis of the age of the Council's financial assets that are either fully performing, past due or impaired: Fully

Past due

Less

Performing

Less than 30 days

31 to 60 days

61 to 90 days

Over 90 days

Impaired

$

$

$

$

$

$

Receivables: 2011 2010

18,354,733

813,257

259,288

1,459,647

(233,834)

21,038,800

650,986

7,799,799

667,922

91,854

5,438,405

(254,608)

14,394,358

Liquidity risk refers to the situation where the Council may encounter difficulty in meeting obligations associated with financial liabilities that are settled by delivering cash or another financial asset. The Council is exposed to liquidity risk through its trading in the normal course of business and borrowings from the Queensland Treasury Corporation for capital works. The following table sets out the liquidity risk of financial liabilities held by the Council in a format as it might be provided to management. The amounts disclosed in the maturity analysis represent the contractual undiscounted cash flows at balance date (excluding employee entitlements as defined by AASB132 Financial Instruments para 4(b)): 0 to 1 year

1 to 5 years

Over 5 years

$

$

$

Trade and other payables

8,422,441

-

Loans QTC

1,014,780 9,437,221

4,262,076 4,262,076

2010 Trade and other payables Loans QTC

$

385,709

(ii) Liquidity risk

2011

Total

$ -

17,116,226 17,116,226

0 to 1 year

1 to 5 years

Over 5 years

$

$

$

6,059,507 1,417,386 7,476,893

5,225,643 5,225,643

Page 39

Total

6,750,572 6,750,572

8,422,441 22,393,082 30,815,523 Total $ 6,059,507 13,393,601 19,453,108


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011 34 Financial Instruments - continued The outflows in the above table are not expected to occur significantly earlier and are not expected to be for significantly different amounts than indicated in the table. (iii) Interest rate risk The Council is exposed to interest rate risk through its borrowings from the Queensland Treasury Corporation and investments held with financial institutions. The risk in borrowing is effectively managed by borrowing from financial institutions which provide access to a mix of floating and fixed funding sources such that the desired interest rate risk exposure can be constructed. Interest rate risk in other areas is minimal. The Council does not undertake any hedging of interest rate risk. Interest Rate Sensitivity Analysis The following interest rate sensitivity analysis is based on a report similar to that which would be provided to management, depicting the outcome to profit and loss should there be a 1% increase in market interest rates. The calculations assume that the rate would be held constant over the next financial year, with the change occurring at the beginning of that year. It is assumed that interest rates on overdue rates would not change. If the rates decreased by 1% the impact would be equal in amount in the reverse direction. Net carrying amount Financial assets and liabilities that are held at variable interest rates total: Financial assets Financial liabilities Net total

Profit/(loss)

Equity

2011

2010

2011

2010

2011

2010

$

$

$

$

$

$

28,196,078 22,393,082

29,332,462 13,393,601

281,961 (223,931)

293,325 (133,936)

281,961 (223,931)

293,325 (133,936)

5,802,996

15,938,861

58,030

159,389

58,030

159,389

(iv) Fair Value Western Downs Regional Council does not recognise financial assets or liabilities at fair value in its Statement of Financial Position.

Page 40


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011 35 National Competition Policy (a) Activities to which the code of competitive conduct is applied A "business activity" of a local government is divided into two categories : (a) Roads business activity: (i)

the construction or maintenance of State controlled roads for which the local government submits an offer to carry out work in response to a tender invitation, other than through a sole supplier arrangement.

(ii)

submission of a competitive tender for construction or road maintenance on the local government's roads which the local government has put out to tender, or called for by another local government.

(b) Other business activity, referred to as type three activities, means the following: (i)

trading in goods and services to clients in competition with the private sector, or

(ii)

the submission of a competitive tender in the local government's own tendering process in competition with others for the provision of goods and services to its self. Excluded activities are (a) library services, and (b) an activity or part thereof prescribed by legislation.

Local government may elect to apply a Code of Competitive Conduct (CCC) to their identified business activities. This requires the application of full cost pricing, identifying the cost of community service obligations (CSO) and eliminating the advantages and disadvantages of public ownership within that activity. The application of the CCC to the roads business activity is compulsory. The CSO value is determined by Council, and represents an activities cost(s) which would not be incurred if the activities primary objective was to make a profit. The Council provides funding from general revenue to the business activity to cover the cost of providing non-commercial community services or costs deemed to be CSO's by the Council. Notwithstanding CSO's, the Council is committed to operating these activities as business activities in accordance with the CCC. Commercial Works Waste Management Water Sewerage Natural Gas Dalby Regional Saleyards Jimbour Quarry The following table summarises the financial results for these, including competitive neutrality adjustments if applicable. Full information is available for inspection at the Council offices.

Page 41


WESTERN DOWNS REGIONAL COUNCIL Notes to the Financial Statements For the year ended 30 June 2011 35 National Competition Policy - continued (b) Financial performance of activities subject to competition reforms: Commercial Works

Waste Management

2011

2010 $

2011 $

2010 $ 48,189

703,804

314,806

9,689,730

2,944,659

1,843,022

9,765,956

8,040,079

809,645

534,330

$ Revenue for services provided to the Council Revenue for services provided to external clients * Community service obligations Less : Expenditure Surplus (deficiency)

19,500,675 31,182

Water 2011 $

2010 $

19,531,857

9,689,730

3,754,304

2,425,541

10,469,760

8,354,885

19,531,857 -

4,876,955 4,812,775

3,754,304 -

2,425,541 -

10,141,728 328,032

6,025,825 2,329,060

Sewerage

Natural Gas

Dalby Regional Saleyards

2011

2010

2011

2010

2011

2010

$

$

$

$

$

$

Revenue for services provided to the Council

-

158,603

2,905

2,438

-

-

Revenue for services provided to external clients

4,535,875

3,589,934

2,349,431

2,099,488

1,768,836

1,639,584

* Community service obligations

178,586 4,714,461

3,748,537

2,352,336

2,101,926

1,768,836

1,639,584

Less : Expenditure Surplus (deficiency)

4,714,461 -

2,823,290 925,247

1,524,330 828,006

1,503,818 598,108

1,170,917 597,919

1,352,880 286,704

Jimbour Quarry

Revenue for services provided to the Council Revenue for services provided to external clients * Community service obligations Less : Expenditure Surplus (deficiency)

2011

2010

$

$ -

-

1,145,414

1,357,851

-

-

1,145,414

1,357,851

1,925,287 (779,873)

996,094 361,757

(c) CSO's were paid during the reporting period to the following activities. Activities

CSO description

Actual

Commercial Works

To transfer general revenue for the shortfall in revenue.

Waste Management

To transfer general revenue for the servicing of waste depots.

809,645

Sewerage

To transfer general revenue for the provision of sewerage.

178,586

Page 42

31,182





Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.