WODONGA COUNCIL ANNUAL REPORT 2018-2019
Wodonga Council presents to our community Annual Report 2018-2019. Wodonga Council is committed to being transparent and accountable in its reporting to the community. To this end, the Annual Report 2018-2019 is a primary means of advising the community about the council’s performance, achievements and challenges during the financial year.
Acknowledgements This Annual Report was prepared to meet the operational and financial reporting requirements within the Local Government Act 1989 and the Local Government (Finance and Reporting) Regulations 2004. For further information contact Wodonga Council on (02) 6022 9300 or visit wodonga.vic.gov.au Wodonga Council acknowledges the traditional owners of this land on which we stand and pay our respects to their Elders past, present and future, for they hold the memories, the tradition and the culture of all Aboriginal and Torres Strait Islander People.
Cover image: High Street, Wodonga Photo credit: Michael Whelan
2
Year in review
CONTENTS
Your council
Year in review Mayor’s message
4
Councillors 19
CEO’s message
5
Executive team
20
Financial summary
6
Organisational structure
21
10
Staff profile
22
Major capital works
11
Involving the community in decisions
26
Major changes
12
Community satisfaction survey snapshot
29
Economic factors
12
Description of operations
Our performance Best value principles
13
Our city
Council plan
31
Governance 65
Municipal information
15
Community profile
17
Performance statement
70
Report of operations
82
Annual financial report
93
Wodonga Council Annual Report 2018 - 2019
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VISION Wodonga is a progressive, well-planned, growing city that is affordable, offers an abundance of opportunities and led by strong, empathetic stewardship
MISSION We will strengthen our community in everything we do.
VALUES Our people have agreed to demonstrate the core values of trust, respect, integrity and learning. By demonstrating these values and behaviours, we build strong relationships with each other and with our community.
TRUST Talk straight – say what you mean and mean what you say; Create transparency – do not withhold information unnecessarily or inappropriately; Right wrongs; Practice accountability – take responsibility for results without excuses; and Extend trust – show a willingness to trust others, even when it involves a measure of risk.
RESPECT Treat other people with courtesy, politeness and kindness, no matter what their position or opinion; and Listen first – seek to understand others before trying to diagnose, influence or prescribe.
INTEGRITY Tell the truth in an appropriate and helpful manner that does not compromise the organisation’s objectives and values; Keep confidences; Do what you say you will do to the best of your ability; Be open about mistakes; and Speak of those that are absent only in a positive way.
LEARNING Work together and learn from each other; Continuously improve and innovate; Be open to change; and There is a high degree of responsibility for results - delivery without excuses.
Wodonga Council Annual Report 2018 - 2019
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YEAR IN REVIEW
The space will be a key site for the city’s newest arts and culture festival – Upstream – which was launched by the two councils in June. We look forward to hosting this four-day festival across Albury-Wodonga in March 2020, which will draw regional and national visitors to the Border and offer an immersive experience of sculpture, music, art and installations for the whole family. Our region continues to draw strong visitation with the economic impact of tourism for AlburyWodonga remaining steady at $812 million.
MAYOR’S MESSAGE It is with great pleasure that I present Wodonga Council’s Annual Report 2018-2019. This has been a milestone year as we entered the last stage of reconstruction works for High St. When the road reopened in June, we saw the completion of the four-year project that has transformed our main street into an accessible and pedestrian-friendly area that is welcoming, friendly and a fantastic space to shop, enjoy and linger. Not to mention our parent and baby bronze echidna have been joined by a pair of matching wombats. We’ve also continued to see significant investment in our city including the approval of the planning permit for a multimillion dollar entertainment complex at Junction Place including a cinema, amusement centre and eateries as well as a hotel and several housing developments. It was a pleasure to join with members of the Richardson family in March to officially open the new Richardson Park, next to Junction Square and the Goods Shed precinct in Junction Place. This new green space includes a decorative water tank and stand, reminiscent of the tanks used to fill the steam trains at the former railway site, an interactive sculpture by Xavier Pinard consisting of a horse and climbing bars like a set of cow’s horns symbolising a herd of cattle, a reference to the Wodonga saleyards which was situated in the area.
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Year in review
An almost $60 million economic boost came from major events on the Border with more than 250,000 people attending council-facilitated and supported events including the Australian Country Junior Basketball Cup, Red Hot Summer Tour, Australian Polocrosse Classic, Albury and Wodonga Gold Cups, the Australian Deaf Games, the Border Caravan and Camping Expo as well as the muchloved annual Chryslers on the Murray. Regular sporting events continue to choose Albury-Wodonga as the location for their premier events which is a tribute to our facilities and council event teams. The Two Cities One Community initiative has continued to make significant strides with AlburyWodonga earmarked for the first cross-border Regional Deal, which includes $3.2 million in funding for important strategic planning to help the region reach its potential over the next decade through growing the economy, creating jobs and reducing economic barriers between the states. We have also begun several joint projects including consulting on our Smart Communities Framework and a Regional Natural Environment Strategy. We look forward to continue to work with other levels of government and our community partners in realising the collective visions for our city as we enter the final year of our four-year term. On behalf of my fellow councillors, I would like to thank our community for your support in 20182019 and for everything you do to make our city great.
Cr Anna Speedie Wodonga Mayor
Each year we ask our community for their feedback on a range of community services through the state-wide community satisfaction survey. From a peak in 2018 of 67, the council recorded an overall performance score of 59 this year, compared to 58 for regional centres and 60 for the state-wide average. The top performing areas were the appearance of public areas, customer service, emergency and disaster management; and art centres and libraries. We do note and accept the overall decline in performance ratings this past year, however, the council still performs relatively in line with, or higher than, the regional centres group average on all service areas evaluated. We attribute some of the decline in community satisfaction to what has been a fairly disruptive year following the Victorian Ombudsman’s report into the waste management levy, High St roadworks and the movement of our customer service centre.
CEO’S MESSAGE It is my great privilege to present the 2018-2019 Annual Report for Wodonga Council. After only joining the organisation in April 2019, I can’t really take any personal credit for our progress over this reporting period and I want to acknowledge my predecessor Patience Harrington for her leadership. I am immensely proud of our entire council team and their achievements with the ongoing transformation of our wonderful vibrant city. My main message is that I think we are a strong organisation, full of talented and committed staff with a good culture. Of course we are not perfect, and we can make mistakes, but we always operate with good intentions. As the new CEO, I am keen to build on these strong foundations, challenge the status quo, benchmark our operational performance with commercial best practice and drive a positive culture around innovation and continuous improvement. My intent is to be 100 per cent open and honest with our community at all times, as we continue to drive transformation, growth and liveability. Wodonga remains one of Victoria’s fastest-growing regional cities and has enjoyed a sustained rate of population growth, as well as ongoing residential, commercial and industrial development.
With these matters now firmly behind us, we will be seeking to improve our performance, enhance our engagement opportunities and be more responsive to community feedback. The recent introduction of new “informal” community forums and our online engagement and communication channels are just two areas where we hope to gain strong community support going forwards. Creating opportunities for engagement with all members of our community, being open and honest, admitting our mistakes and listening to feedback on areas of concern is something we see as critical to our future success. Our major capital projects for 2018-2019 included the High St south reconstruction, Richardson Park, upgrades to the athletics pavilion, sealing of the High Country Rail Trail and major road upgrades including Spring Gully Rd and McIntosh Rd. Finally, I would like to take this opportunity to acknowledge the community, our councillors and all the staff for continuing their service to our city and community and upholding our mission “to strengthen our community in all that we do”.
Mark Dixon Chief Executive Officer
Wodonga Council Annual Report 2018 - 2019
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FINANCIAL SUMMARY
Wodonga Council has a Strategic Resource Plan that sets the financial direction of the council. One of the key objectives of this plan is to ensure that the council remains financially sustainable. While this report focuses on the 2018-2019 result, it is important to see this result in the context of the future financial strategic objectives of the council, which are:
SHORT TERM • Ongoing operational reviews to continue generating operating surpluses • Retain proceeds from any land sales to avoid further borrowings for future major priority capital projects • Continued focus on securing grant funding, particularly for capital works • Continue to divest property and assets no longer required
LONG TERM • New borrowings, where necessary, only being undertaken to complete identified major priority projects • Where appropriate, fees and charges are set at a level to achieve full cost recovery • Capital works expenditure is prioritised, firstly investing in the critical renewal of assets to maintain minimum service levels then on wider renewal, upgrade, expansion and new development.
WODONGA COUNCIL’S 2018-2019 FINANCIAL RESULTS AT A GLANCE • Operating expenditure - $59.5 million • Capital works program delivered - $16.9 million • Rates and charges - $46.1 million (55.9% of total operating revenue) • Operating surplus - $23.0 million (up from a surplus of $10.4 million in 2017-2018 due to $12.0m nonmonetary contributions in 2018 2019) • Net funds available - $28.8 million • Working capital – 3.36 current assets to 1.0 current liability • Decrease in borrowings – from $22.2 million in 2017-2018 to $20.5 million in 2018-2019.
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Year in review
RATIO OF CAPITAL EXPENDITURE TO DEPRECIATION
RATIO OF CAPITAL EXPENDITURE TO DEPRECIATION
250%
209% 168% 164%
150%
114%
A = actual
120%
B = budget
-20 B 19
-19 A 18
-18 A 17
-17 A 16
-16 A 15
-15 A 14
-14 A 13
-13 A 12
-12 A 11
A 10
-11
50%
WORKING CAPITAL RATIO 5.00 4.67 4.50
4.00
3.36
3.50 3.00 3.00 2.69
2.66 2.50
2.49
2.10 2.00
A = actual B = budget
1.75
1.50
1.55%
1.55
Wodonga Council Annual Report 2018 - 2019
-20 B 19
-19 A 18
-18 A 17
-17 A 16
-16 A 15
A 14 -15
-14 A 13
-13 A 12
A 11
-12
1.00 -11
The marked decrease from the 2010-2011 year onwards relates to land at LOGIC for sale, no longer being classified as a current asset.
209%
97%
Current assets to current liabilities
This ratio is projected to reduce in 2019-2020 as funds are expended on capital development.
200%
100%
WORKING CAPITAL This graph demonstrates that the council has the ability to discharge its shortterm obligations as the value of current assets is in excess of the value of current liabilities.
210%
207%
A 10
This ratio dropped in 20152016 and 2016-2017 due to lower capital expenditure in comparison to previous years, of $10.3 million and $11.2 million respectively. The level of expenditure increased in 2017-2018 and 2018-19 to $16.4 million and $16.9 million respectively with the major CBD road construction works at High, South and Hovell Streets. It is forecast to remain strong in 2019-2020 with the commencement of the reconstruction of the Wodonga Gallery Library project.
258%
Capital spend as a % of depreciation
This is a measure of whether council spending on infrastructure is at a greater rate than the infrastructure is depreciating. Ratios higher than 100 per cent indicate that the council is.
300%
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NET FUNDS AVAILABLE
NET FUNDS AVAILABLE
40,000
Net funds available are the council’s working capital (current assets less current liabilities) less restricted cash-backed reserves.
Also, as with the working capital ratio, the marked decrease from the 20102011 year onwards relates to land at LOGIC for sale, no longer being classified as a current asset.
Capital spend as a % of depreciation
Net funds available have increased in 2018-2019 due to prepaid grant funds received for the 2018 2019 year, land currently under offer being reclassified as current assets held for resale and a cash surplus for the year ended 30 June 2019.
A = actual
35,283 35,000
B = budget
30,000
28,803
25,000
20,000
18,769 15,877
14,739
15,000
9,795
10,000 7,778 5,140
5,000
3,173
3,749
Wodonga Council has a total debt liability of $20.5 million at the end of 2018-2019 which is a decrease of $1.7 million from 2017-2018. During the 2018 2019 year council did not borrow any new funds.
-20 B 19
-19 A 18
-18 A 17
-17 A 16
-16 A 15
-15 A 14
-14 A 13
-13 A 12
33,000 A = actual
30,991 31,000
B = budget
29,733
29,256
29,000 27,426 27,000
$’000’s
The council has adopted a strategy of retaining proceeds from any future land sales to reduce the need for further borrowings, which may impact on the projected level of debt.
-12
LOAN LIABILITY
DEBT LEVELS
The council’s 2019-2020 budget also does not include any additional new borrowings.
A 11
A 10
-11
0
25,576 26,356
25,000
23,875 22,221
23,000
20,463
21,000
18,516
19,000
17,000
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Year in review
-20 B 19
-19 A 18
-18 A 17
-17 A 16
-16 A 15
-15 A 14
-14 A 13
-13 A 12
-12 A 11
A 10
-11
15,000
DEBT SERVICING RATIO The debt servicing ratio identifies the capacity of the council to service its outstanding debt. This ratio expresses the amount of interest paid as a percentage of the council’s total revenue. Due to $12 million of non-monetary contributions being received in the 2018-2019 year, council’s higher total revenue has resulted in a lower than expected ratio.
DEBT SERVICING RATIO 4.0%
3.4%
3.0%
3.1% A = actual
3.0%
B = budget
2.9%
2.8%
2.6%
2.25% 2.1% 2.0%
2.3%
2.0%
1.5%
1.6%
-20 B 19
-19 A 18
-18 A 17
-17 A 16
-16 A 15
-15 A 14
-14 A 13
-13 A 12
-12 A 11
-11
1.0% A 10
Interest paid as a % of total revenue
3.5%
Wodonga Council Annual Report 2018 - 2019
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DESCRIPTION OF OPERATIONS
Wodonga Council delivers a broad range of services ranging from family and children’s services, traffic regulation, parks and gardens, youth facilities, waste management and community building; to business development, planning for appropriate development and ensuring accountability of the council’s budget. These services and community infrastructure support the wellbeing and prosperity of our community. The council’s vision, strategic objectives and strategies to further improve services and facilities are described in the Council Plan 2017–2021 and the Budget 2018-2019 and are reported on in this document. The delivery of services, facilities, support and advocacy to achieve the key strategic objectives is measured by a set of service performance indicators and measures. The council also has a range of responsibilities under Victorian and Australian legislation.
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Year in review
MAJOR CAPITAL WORKS
HIGH ST SOUTH RECONSTRUCTION
ATHLETICS PAVILION
This final stage of works on High St from Lawrence St to Banovic Lane included the levelling out of the road, improved drainage and new street lights and landscaping similar to the northern end of High St.
Upgrade changeroom and toilet facility at the Wodonga Athletics track.
There are three pedestrian crossings at Sesame Lane, the post office and Woodland Grove.
The $160,000 upgrade project was developed by Wodonga Council in partnership with the Victorian Government.
RICHARDSON PARK The city’s newest green space includes a decorative water tank and stand, reminiscent of the tanks used to fill the steam trains at the former railway site and has been designed in conjunction with Development Victoria.
HIGH COUNTRY RAIL TRAIL Works were undertaken on the High Country Rail Trail which runs through the city on the old rail line.
An interactive sculpture by Xavier Pinard, whose works feature across the region, consisting of a horse and climbing bars like a set of cow’s horns symbolising a herd of cattle. A reference to the Wodonga saleyards which was situated in the area, the pieces of the work titled Droving will offer various climbing, tunnelling and cubby spaces for imaginary play and will complement the water play which will move through the site.
CITY OFFICES Works began on the council’s main offices in Hovell St. The refurbishment includes a new lift to make the building more accessible and safer for staff and visitors. The lift will meet accessibility standards for the community to access the public areas of the building, including customer service, new public toilets and Council Chamber.
Work is complete on the Wodonga Athletics Centre Pavilion upgrade that involved a redevelopment of the changerooms and toilet facility.
Works included sealing the path from Osburn St to Whytes Rd, eight kilometres in length, drainage works, road crossings, safety, signage, bike/hand rails, line marking and kerb extensions. The project also included the provision of car parking along the trail and landscaping works as well as major rest areas including seating, tables and shelter.
SPRING GULLY ROAD This section of road was upgraded from its gravel surface. It crosses over a range connecting the Indigo Creek Valley and the Huon Creek Valley. The road was in need of alignment improvements and sealing to meet the needs of local cattle and sheep producers , small businesses, cyclists and motorists who drive along this section of road.
Wodonga Council Annual Report 2018 - 2019
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MAJOR CHANGES A new Chief Executive Officer, Mark Dixon, was appointed in March 2019 following the resignation of Patience Harrington in November 2018. Economic Development and Tourism moved to the Planning and Infrastructure directorate from January to the end of the financial year.
ECONOMIC FACTORS In 2018-2019 the average rate increase was capped at 2.5 per cent in line with the Victorian Government’s rate cap. Government grants as a proportion of total council revenue (excluding non-monetary contributions) decreased from 22.0 per cent in 2017–2018 to an estimated 21.4 per cent in 2018-2019. After being stable at 1.5 per cent throughout the year, the Reserve Bank of Australia’s official cash rate reduced by 25 basis points in June 2019 to 1.25 per cent. The weighted average investment rate earned by the council for the year reduced slightly from 2.76 per cent at June 2018 to 2.69 per cent to June 2019. Despite this slight reduction, a higher level of cash and investment holdings over the year resulted in a higher level of interest income earned during 2018-2019 compared with the previous year.
12
Year in review
BEST VALUE PRINCIPLES The Local Government Act 1989 identifies six Best Value Principles that all councils in Victoria are required to comply with, which are summarised as follows. 1. All services provided by a council must meet quality and cost standards 2. All services provided by a council must be responsive to the needs of its community 3. Each service provided by a council must be accessible to those members of the community for whom the service is intended 4. A council must achieve continuous improvement in the provision of services for its community 5. A council must develop a program of regular consultation with its community in relation to the services it provides 6. A council must report regularly to its community on its achievements in relation to the best practice principles
The council undertakes a number of processes to support the best value principles. To achieve best value, continuous improvement and to ensure the council remains responsive to community needs, Wodonga Council has embedded a five-year rolling service review for all services and introduced a comprehensive service planning process in the 2018-2019 year. Community services including Wodonga Library, The Cube Wodonga, preschools, community centres, Bonegilla Migrant Experience and Arts Space Wodonga conduct annual surveys and ongoing consultation with the community on the services they provide. Throughout the development of all of council’s plans and strategies, consultation is conducted with the community and key stakeholders on a cyclical basis. Consultation is conducted as part of the budget process on an annual basis. In the 2019-2020 year additional community consultation events have been introduced and will occur four to five times a year. There are several reports prepared throughout the year by the council that monitor the council’s performance standards against a variety of strategic indicators, including the annual budget, quarterly performance reports, Council Plan progress and the Local Government Performance Reporting framework which is available on the Know Your Council website.
Wodonga Council Annual Report 2018 - 2019
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OUR CITY
14
Our city
COUNCIL OFFICES
Wodonga is strategically placed between Melbourne and Sydney on the Hume Highway in North East Victoria.
wodonga.vic.gov.au info@wodonga.vic.gov.au Phone: (02) 6022 9300 Fax: (02) 6022 9322
The city’s residential base is more than 38,000 and the total area of Wodonga is 433.7 square kilometres; with 13 localities. Wodonga includes the main urban centre of the city, as well as the rural localities of Bandiana, Baranduda, Barnawartha North, Bonegilla, Castle Creek, Ebden, Gateway Island, Huon Creek, Killara, Leneva and Staghorn Flat.
CITY OFFICES
POSTAL ADDRESS
104 Hovell St, Wodonga
PO Box 923, Wodonga VIC 3689
WODONGA
Wodonga Council Annual Report 2018 - 2019
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WODONGA COMMUNITY PROFILE
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Our city
COMMUNITY PROFILE RESIDENTS
DENSITY
MEDIAN AGE
41,429
.95 persons
30
ABS ERP 2018
per hectare
HOUSEHOLD INCOME
$1,268 median per week
HOME OWNERSHIP
25.6%
Fully own
32.5%
Mortgage
61.5% 6.2%
Renting
Social housing
0.06%
Not stated
HOUSEHOLDS COUPLES WITH CHILDREN
COUPLES WITHOUT CHILDREN
ONE-PARENT FAMILIES
GROUP HOUSEHOLD
LONE PERSON
OTHER
27.6%
25.8%
12.4%
2.9%
24.6%
6.5%
PEOPLE WHO SPEAK A LANGUAGE OTHER THAN ENGLISH AT HOME
PEOPLE WHO HELP AS A VOLUNTEER
PEOPLE NEED ASSISTANCE DUE TO A DISABILITY
4.9%
21.8%
5.2%
HOMES HAVE INTEREST ACCESS
HOMES DO NOT HAVE A MOTOR VEHICLE
81.4%
6.9%
Wodonga Council Annual Report 2018 - 2019
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YOUR COUNCIL
18
Your council
COUNCILLORS
Wodonga Council has seven councillors who were elected to office in October, 2016. After the resignation of Cr Tim Quilty in December 2018, Cr Brian Mitchell was elected in January, 2019. The councillors work in a style that reflects a board of directors structure. Cr Anna Speedie aspeedie@wodonga.vic.gov.au or 0417 138 938 First elected: 2005 (Mayor from 2015 to 2019) Cr Kat Bennett kbennett@wodonga.vic.gov.au or 0466 731 179 First elected: 2016 Cr Libby Hall lhall@wodonga.vic.gov.au or 0466 731 180 First elected: 2016 Cr Danny Lowe dlowe@wodonga.vic.gov.au or 0466 731 181 First elected: 2016 Cr Ron Mildren rmildren@wodonga.vic.gov.au or 0466 731 182 First elected: 2016 Cr Brian Mitchell bmitchell@wodonga.vic.gov.au or 0466 731 183 First elected: 2019 Cr John Watson jwatson@wodonga.vic.gov.au or 0428 325 377 First elected: 2012 (Previously served from 1997 to 2004)
Wodonga Council Annual Report 2018 - 2019
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EXECUTIVE TEAM
MARK DIXON
NARELLE KLEIN
M.Sc, B.Sc
B Bus (Acc), CA
PhD, BEd (ECE), BTeach (ECE), Dip CS.
Mark joined Wodonga Council in 2019 after a tenure as the Chief Executive Officer and Managing Director of Wodonga Institute of TAFE.
Narelle commenced at Wodonga Council in 2015 after a career spanning 20 years in the big four chartered accountancy firms and 10 years in corporate finance for the Australian Government.
Debra joined Wodonga Council in 1996, bringing with her extensive experience in the planning, management and delivery of community service and development programs.
In addition, she has held positions as a not-for-profit board member and audit and risk committee chair in a small rural health service and as an external member on the Audit Committee for a local government.
Her experience encompasses community planning and policy development, facility development as well as the management of service delivery.
He has spent more than 30 years in both the British and Australian Armies with active service in Iraq and Afghanistan and worked throughout Europe and the US. He was also a Commanding Officer at Bandiana’s Army Logistic Training Centre. Mark is a graduate of the Royal Military Academy Sandhurst and also holds Bachelor and Master of Science degrees from the UK’s Cranfield University. He has completed the Cranlana Institute’s executive leadership program and the Australian Institute of Company Directors (AICD) course.
20
Your council
Over her career, she has developed a reputation for establishing continual improvement practices and transparent governance and reporting processes. She also has a keen interest in environmental sustainability.
DEBRA MUDRA
Debra is responsible for a range of council services and functions that support the community, enhance well being and provide opportunities to participate in the life of the city.
LEON SCHULTZ BE (Civil) Leon was previously manager engineering and parks. He relocated to Australia from his home country of South Africa in September, 2007. He was initially employed as manager technical services with the Rural City of Wangaratta before taking up his previous role with Wodonga Council in March, 2010. Leon has a degree in civil engineering and more than 28 years’ experience in local government.
ORGANISATIONAL STRUCTURE
MARK DIXON
NARELLE KLEIN
DEBRA MUDRA
LEON SCHULTZ
CHIEF EXECUTIVE OFFICER
DIRECTOR BUSINESS SERVICES
DIRECTOR COMMUNITY DEVELOPMENT
DIRECTOR PLANNING AND INFRASTRUCTURE
BUSINESS SERVICES
COMMUNITY DEVELOPMENT
PLANNING AND INFRASTRUCTURE
Environment and Community Protection
Communications and Marketing
Infrastructure and Projects
Community Planning and Wellbeing including Youth Services
Strategic Planning
Corporate Governance including Customer Focus and Community Centres Finance
Early Years and Family Services
Information Services
Sport and Recreation Cultural Services including Library People and Workplace
Statutory Planning Building Services Parks and Gardens Road and Roadside Maintenance Natural Resource Management Economic Development, Tourism and Property Investment Attraction
Wodonga Council Annual Report 2018 - 2019
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64
66
71
STAFF PROFILE STAFF NUMBERS OF FULL TIME, PART TIME AND CASUAL BY DIRECTORATE AND GENDER
Key Female
Business Services
CEO
COUNCIL STAFF EMPLOYMENT CLASSIFICATION
22
Your council
Community Development
Executive Services
3 1 Casual
Part-time
Full-time
Full-time
Casual
Part-time
Full-time
Full-time
Casual
Part-time
Full-time
1
2
3
5
7 6
9
13
13
19
26
29
33
36
37
Male
Planning and Infrastructure
Employment classification
Number of staff
Band 1
13
Band 2
4
Band 3
112
Band 4
82
Band 5
62
Band 6
34
Band 7
29
Band 8
8
ASA’s
19
Preschool staff
30
MCH nurses
17
Immunisation nurses
13
SEO
16
SO
3
CEO
1
TOTAL
443
OVERVIEW OF SENIOR POSITIONS BY GENDER Level
Female
Male
Directors and CEO
2
2
Management
6
8
Team Leader
14
10
COUNCIL STAFF PROFILE
Casual
Business Services
Female
Male
37
13
Casual total 50
Part-time Female
Male
26
13
Part-time total 39
Full-time
71
31
102
66
3
69
Executive Services Planning and Infrastructure
Male
19
29
48
138
1
1
1
5
41
212
2
2
73
90
36 2
1
3
4
7
6
13
Grand total
Female
CEO Community Development
Full-time total
64
9
443
* Please note: Not every casual is linked to a business unit for reporting purposes.
Wodonga Council Annual Report 2018 - 2019
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STAFF PROFILE
EQUAL EMPLOYMENT OPPORTUNITY PROGRAM Wodonga Council is committed to providing a working environment free of all forms of discrimination and inappropriate workplace behaviours including harassment, sexual harassment, workplace bullying, occupational violence and victimisation. Council’s Equal Opportunity and Workplace Behaviours Directive continues to guide the council’s actions and decision making processes to provide equality of opportunity for all employees. Council has also adopted the Gender Equity Strategy and Directive to further improve and promote equality for both women and men in the workplace Specific actions that make up Council’s EEO Program include: • Establishment of the Gender Equity Team • Review Council’s policies and procedures with a gender equity lens • Promote opportunities for women and men • Ensure procurement includes gender equity components • Gender equity KPI’s established for senior managers • Equal Opportunity is outlined in the Staff Code of Conduct, which all staff read and sign off on annually • EEO training provided to all new employees and refresher training provided to all employees every 2 years • Employee Support Officers in place • Employee Assistance Program in place • Family Violence Leave included in the Enterprise Agreement • Flexible work provisions available to all staff, dependent on operational requirements • Merit based recruitment process
24
Your council
LEARNING AND DEVELOPMENT
HEALTHY AND SUPPORTED WORKPLACE
Wodonga Council highly values the development of staff, placing great emphasis on experiential learning. We provide an extensive array of opportunities to employees including conferences, workshops, webinars, online learning, onsite learning, acting in higher (or other) roles and tertiary based education.
Wodonga Council values all employees and continually strives to achieve a healthy and supported workplace.
Council has a suite of mandatory induction learning for all new staff members. This suite is provided to all staff members as a refresher every two years. This includes conflict of interest, fraud and corruption awareness, mandatory reporting, OHS and OHS risk management, protected disclosures, privacy and data protection as well as workplace bulling and occupational violence. L&D aligns with our Council plan, especially with Strategy 22 – ‘Foster a positive culture of skilled employees which allows for the continuous improvement of our service delivery to ensure the best outcome for our community in an open, transparent, ethical and fair manner’.
Council continues to offer the employee assistance program, EAP, which has been in place at Council for over 10 years. The program provides confidential counselling and support services to staff (and their families when appropriate) to resolve personal and or / work related problems. Council has a designated ‘Return to Work’ role that supports those employees injured at work, as well as those who have personal injuries, through the ‘return to work’ process. This includes liaising with medical professionals, developing RTW plans and suggesting other opportunities to enhance RTW outcomes. Council provides the opportunity for staff to volunteer time to an activity that benefits the Wodonga community as well as being involved in activities such as ‘meals on wheels’ and tree planting.
OCCUPATIONAL HEALTH AND SAFETY Council’s aim is to maintain a safe workplace that protects all employees, councillors, contractors, visitors and the public from harm. Over the last 12 months, council has maintained an Occupational Health and Safety Management System that focuses on leadership, an active OHS culture and a systematic approach. In November 2017, council joined the Municipal Association of Victoria WorkCare Self-insured Workers Compensation Scheme. Through this scheme it is anticipated that council will further improve its workplace safety processes and effectively manage operational risk.
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INVOLVING THE COMMUNITY IN DECISION-MAKING Some of our major engagement projects from throughout the year
GATEWAY ISLAND MASTER PLAN
WODONGA HOUSING STRATEGY
The council began a review of the Gateway Island Master Plan in 2017-2018. The second stage of consultation was undertaken in July and August 2018, presenting to the community a draft master plan for the island, segmenting the area into six precincts and six themes.
The Wodonga Housing Strategy represents an integrated approach to housing and affordable housing to address the needs of the whole community, which mirrors the State Government’s approach in its housing strategy Homes for Victorians to increase affordability, access and choice for Victorians.
Action: Throughout July and August the draft
master plan and associated documents were on display to the community. The project team was available at drop-in sessions to provide information and discuss feedback and people were able to provide feedback online and via Social PinPoint interactive mapping tool.
Action: During September and October, the council
Outcome: Input and feedback was incorporated
Outcome: The strategy was adopted at the
into the final master plan which was adopted by the council in December, 2018.
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Your council
exhibited the draft strategy to the community for six weeks. A series of engagement events were held, including drop-in sessions, engagement sessions with target groups including a developer forum.
December 2018 council meeting.
SMART COMMUNITIES
RATING STRATEGY
The Smart Communities Project is a Two Cities One Community initiative across Albury and Wodonga. The councils jointly went to the community to ask how people felt about the smart services that have been identified in the Smart Community Framework, and the level of digital readiness across our region.
A rating strategy is the process by which council systematically considers the factors of importance that inform its decisions about the rating system. The rating system determines how Council will raise money from properties within the municipality.
Action: The councils ran a survey over several
strategy in 2015 with the rating strategy being adopted unchanged, with the next review to be undertaken in the lead up to the 2019-2020 Budget preparation. A rating strategy reference group was appointed in September, 2018, performing an advisory function by providing input and feedback on thecurrent strategy. A report from the group was tabled at the January council meeting and the draft rating strategy put out for public exhibition.
months asking the community about the 18 services identified in the framework and what they thought were the priority areas.
Outcome: The information gathered will be considered in developing our new Smart Community Strategy. The Strategy will inform, focus and guide our smart initiatives and help us to understand how we support a well-connected community that is sustainable and future ready.
Action: The council last reviewed its rating
Outcome: The draft rating strategy was adopted in April 2019.
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WASTE MANAGEMENT STRATEGY
DRAFT REGIONAL NATURAL ENVIRONMENT STRATEGY
The Waste Management Strategy details the council’s vision for sustainable waste management throughout the municipality. It sets out clear objectives, targets and actions in line with the overall vision for this strategy. The strategy identifies gaps between the current and desired position and details the best way of moving forward.
Under the Two Cities One Community initiative, AlburyCity and Wodonga Council are working together to create a plan that recognises and protects the local environment and the things the community values most about it. The plan will influence how each council manages land – like parks and reserves - and how each council uses policy and planning controls to protect the environment and how we work with the community to address the issues they care about.
Action: Information gained from the community in
previous surveys and comments made to council helped influence and shape the vision, direction and implementation plan of this strategy. The draft was on exhibition throughout February with people able to make submissions online or in writing with feedback on the draft.
Outcome: The draft strategy was adopted in May,
2019.
Action: The councils went to the community during
May and June 2019 to gather information and feedback to inform the draft strategy. A series of discussion papers covering key issues were shared and people asked to provide feedback via online submissions, surveys, interactive mapping tool and drop-in sessions and two workshops.
Outcome: The information gathered will be used to
inform the draft strategy which will be put out for exhibition.
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Your council
COMMUNITY SATISFACTION SURVEY SNAPSHOT
Wodonga Council has remained on par with the regional cities and statewide averages in the annual statewide community satisfaction survey. From a peak in 2018 of 67, the council recorded an overall performance score of 59, compared to 58 for regional centres and 60 for the statewide average. The top performing areas were the appearance of public areas, customer service, emergency and disaster management; and, art centres and libraries. The Local Government Victoria survey, conducted by an independent company, involved 400 Wodonga residents and was done in February and March 2019. The survey provides core performance measures that meet the council’s statutory annual reporting requirements. Sixty-three of the 79 councils in Victoria took part in this year’s statewide survey.
SUMMARY OF CORE MEASURES PERFORMANCE MEASURES
WODONGA WODONGA 2019 2018
REGIONAL CENTRES 2019
STATEWIDE 2019
HIGHEST SCORE
LOWEST SCORE
Overall Performance
59
67
58
60
Aged 18 to 34
Aged 50 to 64
Community Consultation
53
58
54
56
Aged 18 to 34
Aged 50 to 64
Advocacy
54
60
54
54
Women aged 65+
Aged 50 to 64
Making Community Decisions
51
57
52
55
Aged 65+
Aged 50 to 64
Sealed Local Roads
64
65
57
56
Aged 65+
Aged 18 to 34
Customer Service
76
80
72
71
Baranduda
NA
Overall Council Direction
52
60
52
53
Aged 18 to 34
Baranduda
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OUR PERFORMANCE
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Our performance
STRUCTURE OF THE COUNCIL PLAN The Council Plan outlines key strategies that the council proposes to deliver over the next four years. It is used to plan for council’s services, major projects and budget allocations. The council will measure its progress towards achieving targets and report back to the community on an annual basis.
Key Focus Areas
Healthy, safe and resilient community
connected and ENGAGED community
Sustainable and forward-looking
Thriving and vibrant city
Strong, responsible and sound organisation
Strategic Objective Improve the health and social outcomes for all people in Wodonga to create a healthy, safe, equitable and inclusive community.
Create a city that is wellconnected, informed and engaged, which supports people to meet, participate and move safely and easily to access services and opportunities.
Protect, enhance and manage our unique natural and built environments, planning for growth, demonstrating leadership and stewardship now and into the future.
Advance our position as a leading regional city, fostering opportunities for development and jobs, and building a destination that offers a variety of experiences, recognising our rich and diverse history and culture.
Provide strong leadership and governance, demonstrating excellence in the way we do business by being innovative, responsive and transparent. We will be accountable and steward the organisation with the highest regard.
Strategy Areas • Families, children and young people • Mental health • Being active • Healthy and safe food • Community safety • Emergency management
• Communications and engagement
• Managing assets
• Integrated and well-connected transport network
• Land use planning
• Inclusion, participation and access
• Community planning • Open spaces • Environmental management • Sustainable practices
• Arts and culture • History and heritage • Prospering tourism sector • Business and investment • Education, training and employment
• Good governance and customer experience • Financial management • Lobbying and advocacy
• Vibrant city centre
Annual plans will detail the actions to be undertaken for the strategy areas each year Progress is tracked by strategic indicators
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Our performance
Completed
In progress
Not started
STATUS
Ensure young people are consulted and considered in matters that directly impact them.
Continue to recognise the efforts of young people through youth awards including Red Carpet youth awards, the Young Achiever Scheme and the annual Young Citizen of the Year award.
Deliver high quality services that support, educate and improve the health and wellbeing of children and their families subject to federal and state government policies and funding arrangements.
1.1
1.2
1.3
Strategy 1: Families, children and young people
ACTION
Child care - Monthly utilisation hours June 2019 = 96.22 per cent : Additional childcare subsidy (ACCS) places - 50%
Preschool enrolments - 383 children = 15 hour program: 61 children = Early start kinder (ESK) and AEL 17 children
Access to Early Learning, 17 children (Target 16 children)
Maternal and child health (MCH) service 2018/19 576 births. Enhanced MCH including integrated family services (IFS) EMCH 49 clients 0-12 months and 34 clients 12M - 2 years Total 83 cases; IFS 1818.55 hours target 1640 hours Supported playgroups, 5 playgroups enrolments Ave 10 per group (target 10 per group) home coaching 6 (6 targets per term)
The early years team provide a range of services both universal and targeted for the children aged 0-6 years and their families:
Red Carpet Youth Awards was a success in 2018. The committee of young people are now planning and organising the event for 2019, including reviewed categories and sponsorship, interviews and selection of recipients, keynote speaker, and catering. In addition, the Young Achiever Scheme awards continue to be awarded at Council meetings.
In addition, a draft project plan for a Youth Engagement Program (YEP) has been developed. The program establishes project-base learning groups of young people from ages 9-24 and provides an opportunity to voice ideas, develop skills and have professional support to operationalise their ideas.
Consultation undertaken with young people from schools (Primary, Middle Years and Senior college as well as St. Augustine’s) to inform priorities for the Wodonga Youth Strategy. The strategy identifies key opportunities and methods for engaging young people.
COMMENT
STRATEGIC OBJECTIVE: IMPROVE THE HEALTH AND SOCIAL OUTCOMES FOR ALL PEOPLE IN WODONGA TO CREATE A HEALTHY, SAFE, EQUITABLE AND INCLUSIVE COMMUNITY
HEALTHY, SAFE AND RESILIENT COMMUNITY
How to read the Action Plan report: Each Council Plan action for year two is listed and reported against with a short comment and a status.
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1.5
1.4
ACTION
Build partnerships across the youth sector and strategically plan and advocate for required infrastructure, services and funding.
Participate in relevant networks at the local, state and regional level that support all our children and families and particularly the vulnerable.
STATUS
The Youth Development team co-chair the Albury Wodonga Youth network. Consulting with the sector to create new partnerships for implementation of Youth strategy objectives and actions.
• UMFC Foster care accreditation panel (10) May 2019
• AEL Governance meeting (3) June 2019
• Access to Early Learning (AEL) Implementation meeting (4) 21 May 2019
• High risk infant panel DHHS Monthly Vulnerable families committee meeting AWH (5) 5 June 2019
• Getting Ahead working group (12) 18 June 2019
• Ovens and Murray Koorie Team meeting (4) 8 May 2019
• Operations 20 May 2019 (4), and Vulnerable children’s network (4)
• Ovens and Murray child and family services alliance - Executive 30 May 2019 (4)
• Out of home care working group DET (4) 20 June 2019
• Compact Area Implementation Group DET ( ) 5 June 2019
• Primary Care and Population Health AWH (3) 3 June 2019
• Child Youth Area partnership Compact Stakeholders group (1) 11/04/19
• Northeast Victoria LGA Early Years group (1) 31 May 2019
• Victoria MCH coordinators group (5) 28 June 2019
• Early Years Strategy Compact meeting (3) June 18 2019
• Early childhood education stakeholders reform (1) 9 May 2019
Meetings attended this year by various team members are listed below and last attendance date:
The following meetings have been strategically selected to make key contacts and networking opportunities. This lends itself to the early years team receiving the latest information, the ability to inform policy and advance notice of funding opportunities.
COMMENT
34
Our performance
Advocate to other levels of government for local mental health priorities.
Promote and participate in community wide youth antibullying and mental wellbeing campaigns.
2.2
2.3
Provide accessible options and connections to promote and encourage the community to participate in walking and cycling across the city.
Plan and deliver appropriate, well-planned and sustainable infrastructure and improvements to sporting and recreation precincts across the city.
3.1
3.2
Strategy 3: Being active
Meet regularly with partner organisations to understand local needs and define the council’s position in relation to mental health priorities.
2.1
Strategy 2: Mental health
ACTION
STATUS
Several well planned, sustainable infrastructure sport and recreation projects have been completed in 2018/19. Belvoir Park solar lighting project; Wodonga Parks and reserves solar lighting Baranduda Cricket net/multiuse facility upgrade; Wodonga Athletics change room and public toilet upgrade; Willow Park sports field lighting upgrade; The Wodonga Netball court redevelopment and lighting upgrade.
Completed an update and promotion of pathway brochure and Walk Wodonga Brochure. Recently completed path upgrades and several walk/cycling crossing points across throughout our path networks . The Wodonga CBD to Bonegilla Rail Trail project including a surface upgrade, wayfinding signage and improved pedestrian and cycle safety elements has been completed.
Collaborating with AWYN and Headspace.
Met with VicHealth about youth mental health as well as the Office of Youth Affairs. Mental health is a key concern for our young people. Funding available in future through Vic Health.
Mental Health as a key priority for community, in particular evident for young people through consultation with sector and youth. Continue to meet with Gateway/Headspace to share knowledge and initiatives. Participation in the Getting Ahead working group providing promotion, prevention and early intervention in perinatal mental health along with co-facilitation of therapeutic groups by maternal and child health nurses in collaboration with Albury Wodonga Health Staff.
COMMENT
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Engage and work with AlburyCity and other neighbouring councils and state sporting associations to increase regional sport and recreation planning.
Explore the options for the development of another competition oval to service the city’s current sporting demands.
3.4
3.5
4.1
Work in partnership with key agencies and the wider community to increase breastfeeding rates in Wodonga.
Strategy 4: Healthy and safe food
Participate in key campaigns to promote physical activity including Walk to School month, Ride to Work Day, Active April and Wodonga Children’s Fair.
3.3
ACTION
STATUS
Participate with local organisations by attending Breastfeeding working group AWH Monthly last attended 28 June 2019. Current breastfeeding rates are: Exclusive 2 week 61%, 3 months 36%, and 6 months 4%. Any breastfeeding 2weeks 76%, 3 months 50%, and 6 months 37%. The last available statewide data on Breastfeeding was in 2015 due to the changeover to a new data system. The current local data shown above demonstrates a downward trend in all areas from the 2015 data.
*The investigation is now on hold due to the possible Federal funding announcement for Baranduda Fields
A stakeholder group has been formed to discuss the development of another competition oval. Meetings have commenced; representatives from recreation, planning and projects have held initial discussions. Furtheroptions are now being discussed and explored. Council officers will be seeking Sport and Recreation Victoria planning funding to conducting and environmental scan of our recreational facilities; including current demand, limitations and opportunities.
Albury City Council has also been a key stakeholder in the Regional Cricket facility project.
• Investigate a consolidated Sports andrecreation Strategy
• Develop cycling strategy
Albury City and Wodonga Council is currently working on the following SCIC actions to be implemented in 2019/20
Community Engagement. 33 FREE physical activity sessions on community Active April Calendar.
Staff Engagement. 40 council staff members registered and joined Active April staff team. Those 40 staff logged 918.5 hours combined activity in April. Top 5 activities were: Walking, Cycling, Running, Gardening and Golf. 62.5% of those 40 staff achieved Avg 30 minutes per day (15hrs total) 70 staff completed Health Body Scans Approximately 100 staff had 5 min at desk massage.
Successfully supported the delivery of the Walk to School program in October 2018. Seven schools participated and 2,221 students walked a total amount 24,0044 times to school throughout October. Hosted our national Ride to Work day event and community breakfast in October 2018, with 35 participants attending. Conducted and participated in Active April activities for staff and the community.
COMMENT
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Our performance
Support initiatives that aim to increase access to affordable and healthy food for all people in Wodonga.
4.2
Participate in preventative programs and awareness campaigns to build community capacity in responding to family violence including elder abuse and promoting gender equity.
Implement the alcohol culture research project to reduce alcohol-related harm among identified sub-populations.
5.1
5.2
Strategy 5: Community safety
Support key settings and stakeholders to increase access to healthy food options by creating a supportive built and social environment.
4.2
ACTION
STATUS
Woolworths, Visy Board and Council depot involved in workplace program to reduce alcohol consumption. Documentary launched on 29 Nov 2018. Final outcome and evaluation report completed. ‘Who’s it gonna hurt?’ won the Alcohol and Drug Foundations 2019 ‘National alcohol and other drugs excellence and innovation ‘Education’ award’.
Council is working with schools to develop a youth Reflect Respect campaign which will be focused on youth key issues relating to respect and equality. To add to this, Maternal and child health (MCH) nurses offer early identification and intervention through routine family violence screening and the provision of specifically funded family violence consultations. As a designated ISE (Information Sharing Entity) MCH nurses collaborate with local family violence specialist services and have/will complete training in MERTIL (My Early relational Trauma Informed Learning), MARAM (multi agency risk assessment and management framework) and Family Violence and Child Information Sharing Schemes.
Council implemented 16 days of activism against gender based violence - Wodonga Council participated in the 16 days of activism campaign through a calendar of events, hosting an event with Albury City Council and showcasing local stories on gender equity through social media. Council was successful in obtaining a $100K grant through the Free from Violence funding program, with a focus on workplaces. In doing this Council has engaged with over 20 local workplaces and secured 4 to participate in the Balance for Better: Business program that will guide their organisation towards gender equality.
Supported sustainable living fair that aims to increase access to healthy foods through clean food production. Also support the Farmers markets and local efforts for a market hall.
• Supporting efforts for a market hall.
• Support the Farmers markets
• Advocacy for FoodShare
• Council early years preschools have achieved Healthy Eating benchmark for the Achievement program
Council representative works with the Local Food Network to support healthy eating initiatives. Other activities include -
COMMENT
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Assist our sporting clubs and community organisations address key health and social issues through dedicated programs and campaigns.
5.7
Plan and install improved lighting along pathways and in public spaces.
5.5
Increase awareness of local laws and legislative requirements to reduce noncompliance and increase a feeling of safety and security.
Maintain a healthy community through promotion and delivery of environmental health services including immunisation.
5.4
5.6
Work with key stakeholders to align local efforts, strengthen the service system and raise community awareness of the risks of alcohol and other drugs.
5.3
ACTION
STATUS
Council has worked with clubs, community groups and local organizations to support efforts to increase safety, inclusion and equity. The ‘Fair Game’ resource has been developed for sporting clubs, which is a campaign that seeks to help the clubs through addressing policy, physical environments and raising social awareness.
Articles are provided for each edition of Citylife.
Works are complete.
5 sessions provided per month. Good attendances to date. Very busy with influenza vaccinations this year, with a 40% in attendees.
The Wodonga Local Drug Action Team developed a strategic plan to address alcoholand other drug misuse across Wodonga to reduce AOD related harm. This included the delivery of ‘deck’d’ a youth focus campaign to raise awareness and reduce community stigma, as well as received funding for a peer-to-peer support program for a local school. LDAT reviewing MoU and sustainability of local work for 2020 and beyond.
COMMENT
38
Our performance
Ensure available information on emergency preparation and assistance is relevant and upto-date.
Participate in key campaigns to promote awareness and safety.
Continue to progressively update bushfire management plans for environmental land, to be incorporated into the Municipal Fire Management Plan.
6.1
6.2
6.3
Strategy 6: Emergency management
ACTION
STATUS
GHD have recently completed 3 Environmental lands high priority bushfire management plans for Baranduda East, Baranduda West, and Mahers Hill.
Currently 7 high priority bushfire management plans have been completed, out of the 9 high priority clusters of reserves identified by the ‘Wodonga Environmental Lands Bushfire Management Strategy’. It is envisaged that the last 2 high priority plans will be completed within the 2019/2020 financial year (budget dependent).
General information on a range of health and safety issues are included in Citylife including pool fencing, asbestos, fire prevention etc.
COMMENT
STRATEGIC INDICATORS OUTCOMES • A more resilient community • Opportunities and services for all families and young people • An informed and safe community • Increased opportunities for people to be active
20172018
20182019
95.1% during day
95.1% during day
55.7% after dark
55.7% after dark
68
65
Percentage of community at increased lifetime risk of alcoholrelated harm
71%
71%
Percentage of community who do not meet dietary guidelines for either fruit or vegetable consumption
56.8% for fruit 97.1% for vegetables
56.8% for fruit 97.1% for vegetables
Percentage of community who do not meet physical activity guidelines
52.3%
52.3%
Percentage of required food safety assessments undertaken
87.04%
100.98%
74
75
Percentage of infant community who do not meet dietary guidelines for breastfeeding
88.3%
61.4%*
Percentage of students who feel connected to school
71.3%
71.3%
Number of family violence incidents per 100,000 population
1793.5
1793.5
Percentage of family violence incidents where children and young people are involved as other parties
Approx. 40%
Approx. 40%
• Health and safe food choices for all
Percentage of the community who feel safe on streets alone
Satisfaction with the enforcement of local laws
Satisfaction with emergency management performance
Some indicators are only measured every two or four years * There has been a significant change in the way this data is reported and collected following the introduction of CDIS
Wodonga Council Annual Report 2018 - 2019
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40
Our performance
Inform the community about the council’s events and activities through a broad range of communications channels.
Continue to run consultation activities to ensure the community has a say on issues that affect or are of importance to them.
Develop a key positional statement to promote Wodonga as a key destination to live, work and invest.
7.2
7.3
7.4
8.1
Implement cycling and pathway improvements promoting linkages to the central business area.
COMMENT
Statement finalised and collateral files delivered for imminent roll out.
Activities throughout the year includes draft Gateway Island masterplan, rating strategy reference group, environmental health services, place names committee, housing strategy, smart communities framework, waste management strategy, rating strategy, informing the regional natural environmental strategy, Birallee Park and Kelly Park master plans, the draft budget and adjusted council plan and the draft youth strategy.
Activities include Senior Celebrations, Children’s Fair and FOMM, Garage Sale Trail, rates notice information, community bus tours, Australia Day, Anzac Day works updates including High St and Richardson Park, and various community centres and library activities. The new art and culture festival Upstream was also announced.
The new council website is due to go live in July 2019 after a six-month build and development process. It is accessible, has a key focus on simple navigation and is mobile focused while being engaging and providing key information. The Cube Wodonga website has also been redeveloped during this process and went live at the start of July 2019.
These works are under construction and progressing well. Completion is anticipated with the next month or two.
The “Pedestrian cyclepath linkages to CBD (Rail Trail)” project has been designed, tendered and will be awarded at the November or December 2018 council meeting. Works are anticipated to commence in January 2019. Completion is anticipated by 30 June 2019.
Strategy 8: Integrated and well-connected transport network
Redevelop the council website for an improved experience that is easily navigated, accessible, mobile responsive and user focused.
7.1
STATUS
Strategy 7: Communications and engagement
ACTION
CREATE A CITY THAT IS WELL-CONNECTED, INFORMED AND ENGAGED, WHICH SUPPORTS PEOPLE TO MEET, PARTICIPATE AND MOVE SAFELY AND EASILY TO ACCESS SERVICES AND OPPORTUNITIES.
CONNECTED AND ENGAGED COMMUNITY
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Investigate and present options for improving child travel safety to schools and other key destination points from neighbourhoods across the city.
8.3
STATUS
Deliver a range of events and public programs in diverse locations and facilities that allow the community to engage, connect and express themselves.
Offer and promote a range of volunteering opportunities.
9.1
9.2
Strategy 9: Inclusion, participation and access
Install key pedestrian crossings and infrastructure at identified locations to improve safety and connections.
8.2
ACTION
Volunteer value: January-May 2019 a total of 1663.75 hrs across 10 business units was recorded. These business units include our FReeZA and Red Carpet Committees, ANZAC DAY, Australia Day, Cube Ushers, BME, Parks and Gardens, as well as our Library Volunteers. Based on May 2017 to May 2018 Australian Bureau of Statistics (ABS) figures, volunteers are now worth $41.72 per hour. These hours equate to $69,411.65 of volunteer value provided within Wodonga Council and to our community.
The offer and promotion of a range of volunteering opportunities is done on a regular basis through our Volunteer co-ordinator and via council website and quarterly newsletter. The 2019 Volunteer Awards Fair held on May 25th showcased 20 volunteer involving community groups, and approx. 320 attendees visited the event. The return of the ‘Volunteer of the Year Awards’ saw 3 Individual and 5 Team nominations with a diverse collection of industries showcased. Active volunteers: 320 (as of end of June 2019).
In 2018/19 the four venues; Bonegilla Migrant Experience, Arts Space Wodonga, The Wodonga Library and The Cube Wodonga; hosted a total of 1,517 events with 91,233 participants and over 311,867 visitors across all of the sites.
In 2018/19 the council delivered over 45 events and activities for the Wodonga community; ranging from major events to more localised events in neighborhoods and parks across the city, including celebrations such as Australia Day and Naidoc Week. The events and activities attracted approximately 34,145 people.
Council staff attended an VicHealth/ Active Travel seminar in May 2019 with learnings to be included in future recreational planning and programs. Active Travel to and from schools will be a key focus area of the combined transport and cycle strategy will be conducting with AlburyCity.
Recreation officers will conducted active travel surveying with local schools involved in the Walk to School program. This information and feedback has been collated and provided to serval council departments for consideration in planning, management, project and budget allocation consideration.
Melrose Drive crossings at Lawrence Street and Brockley Street are completed. Work has commenced on the signals for Felltimber Creek Road and the zebra crossing for Thomas Mitchell Drive at Southside Terrace. Power connections at Felltimber Creek Road and Thomas Mitchell Drive have been problematic, although staff continue to work with the power providers.
COMMENT
42
Our performance
Support local organisations through the provision of a community grants program to assist groups to meet identified community needs.
Support the inclusion and participation in community life for vulnerable population groups.
Facilitate and encourage collaborative relationships and partnerships with the Aboriginal and Torres Strait Islander community to address issues impacting their quality of life and create greater cultural connection.
9.3
9.4
9.5
ACTION
STATUS
MOU established between key Aboriginal organisations. Staff involved in working groups and networks relating to Aboriginal health, education and well being outcomes. Relationship with WAN progressing with quarterly meetings with Mayor CEO and senior staff. Aboriginal Traditional Owners and Elders involved in Gateway Island master plan. Reconciliation Action Plan progressing well with some actions being reviewed. An Aboriginal Development Officer has been appointed and will continue this work. Working with our Aboriginal community is a key pillar in council’s Regional deal with AlburyCity.
• Enrollment in Early start kindergarten for eligible children
• Supported playgroups with in-home coaching to eligible families
• Provision of the Access to early Learning program to enable engagement of vulnerable three year old children in 15 hours of preschool along with in-home education support
• Provision of intensive EMCH service through the integrated family services program via the Ovens and Murray Child and Family Services (OMCFS) alliance
• Provision of Enhanced Maternal and Child Health (EMCH) service which offers sustained home visiting to vulnerable families.
• Participation in Koorie network team meetings and the Koorie champions network as well as MCH outreach to Mungabareena Playgroup
• Support Uniting Care to work with emergency relief providers
• Promoting activities from Hume Region Homelessness Network’s Homelessness Week
• International Day for People with Disabilities planned and implemented
• Access advisory group meetings facilitated regularly
Council has delivered the following;
July 2018 and February 2019 grants round completed with the distribution of $62,500 for Community Impact grants to community groups to build stronger communities, address environmental issues, run a community event, or deliver a cultural program. In addition, $26,500 was distributed through the Community Partnership program to seed local initiatives that develop young people, support local community groups, or local food initiatives. Finally, $15,300 was awarded through sponsorship and donations.
COMMENT
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Continue to work with the ethnic community to increase connection and inclusion and support opportunities for all people to be involved in community life.
Encourage and support Wodonga businesses to be more accessible and more inclusive of people with disability.
Continue strategic planning work to deliver council’s priorities and actions from the Age-Friendly City strategy.
Work with agencies and service providers to promote a range of quality and accessible services and programs to older people.
Engage with the NDIS local co-ordination service on initiatives that increase the inclusion of people with a disability in community life.
Work with community agencies and committees towards the creation of a sustainable built and natural environment that enhances and supports accessibility and mobility.
9.6
9.7
9.8
9.9
9.10
9.11
ACTION
STATUS
CBA Plan, CBA Design Guide and CBA public domain master plan’s actions to improve accessibility are in progress as part of the Stronger Regions Fund project to date to reconstruct High Street to be more accessibility friendly. Improve accessibility is one of the main features in the Leneva Baranduda Precinct Structure Plan, which is adopted by council (Sep 2018) and approved by Minister for Planning (April 2019). Reconstruction of the last section of High Street is completed which implements the objective of CBA Plan and CBA Public Domain Master Plan to enhance accessibility. (July 2019)
Council will continue to sit on steering committee for Capability Albury Wodonga with a focus on supporting implementation of the NDIS. Council keeps abreast of local data and is in regular contact with La Trobe Health and Merri Health who provide the service for individual plans. Council is also working with the sector to identify emerging gaps and issues as well as identify potential opportunities to apply for ILC funding.
• Currently putting together 2-year project plan to implement Senior’s Participation Program in Wodonga.
• Regularly utilise councils communications channels to promote services and events for older people.
• Continue to meet regularly with Westmont and the senior citizens centre.
Regular meetings with Westmont Aged care services, DHHS and Wodonga Senior Citizens. This resulted in working on a local initiative with DHHS for consultation to improve lived experience of older residents at Boronia Place. Appropriate housing for our ageing population was also identified in the Wodonga Housing strategy.
• Have formed a business accessibility working group to work with local businesses to implement Access at a Glance.
• ‘Access at a Glance’ training completed and in conversation with Albury’s Access Advisory Group about project implementation.
Continue to work with AWECC and DHHS to support and advocate for our CALD communities. Reviewing AWECC community profile to identify opportunities to improve outcomes. Early years Multicultural worker employed to support preschool enrolment within the CALD community and initiation of a multicultural playgroup at Southern Rise Childrens centre.
COMMENT
STRATEGIC INDICATORS OUTCOMES • An informed and engaged community • Well-connected roads, footpaths and transport networks • Inclusion and participation opportunities for all
20172018
20182019
Community satisfaction with community consultation and engagement
58
53
Community satisfaction with the maintenance of sealed roads
65
64
Community satisfaction with local streets and footpaths
65
64
Satisfaction with how council informs the community
63
56
11.32%
10.79%
4.19
4.60
71
72
21.8%
21.8%
48%
48%
• Accessible services for all community
Active library members in municipality
Number of times a library resource is borrowed
Community satisfaction with community and cultural activities
Percentage of community who help as volunteers
Percentage of people who believe multiculturalism makes life better
Some indicators are only measured every two or four years
44
Our performance
Wodonga Council Annual Report 2018 - 2019
45
Deliver a strategic program to renew, upgrade and build community assets that is informed by data analysis and good service planning to meet the current and future needs of the community.
Enhance green streetscapes, road reserves and public places that are clean, attractive and improve public safety and community wellbeing.
Deliver a well-planned program of playground renewals, upgrades and new infrastructure across the city.
Facilitate future land development and subdivisions to meet the needs of tourism, retail and small lot industrial precincts and ensuring ample land availability.
10.1
10.2
10.3
10.4
Strategy 10: Managing assets
ACTION
STATUS
public consultation in August 2019.
West Wodonga Framework Plan is being updated that will reflect the needs for smaller industrial lots in the precinct, targeting for
Industrial Land Strategy approved by council (July 2018)
• Design development for Belvoir in progress.
• Planning and procurement for playground renewal in progress, contracted and to be installed; and
• Design development and consultation for Daintree complete, tender in progress;
• Gordon Craig renewal complete;
• Playground tree renewal complete;
• High priority replacement works complete;
• Jack Maher and Arthur Dunstan playgrounds complete;
Bandiana link round about landscapingincluding the addition of a concrete apron 75% completed and will be fully finsihed in 19\20 financial year.
Street tree planting is completed. All landscape projects are completed, along with further upgrades to the central irrigation system.
Works are progressing on improvements to the Asset Management system, with data now imported into the system. Renewals modelling for the preparation of the 2019-2020 capital budget has been completed. Infrastructure asset valuations and condition assessments are currently in progress and will be incorporated into the 2019 financial results.
COMMENT
PROTECT, ENHANCE AND MANAGE OUR UNIQUE NATURAL AND BUILT ENVIRONMENTS, PLANNING FOR GROWTH, DEMONSTRATING LEADERSHIP AND STEWARDSHIP NOW AND INTO THE FUTURE..
SUSTAINABLE AND FORWARD LOOKING
46
Our performance
Implement actions from Wodonga Industrial Land Strategy.
Implement actions from Wodonga Activity Centre Retail Hierarchy Strategy.
Implement actions from Wodonga Central Business Area Car Parking Plan.
11.2
11.3
11.4
12.1
Participate in the emergency relief providers network and support community organisations working directly with people at risk of homelessness to reduce housing stress.
Strategy 12: Community Planning
Implement actions from the Gateway Island Master Plan.
11.1
Strategy 11: Land use planning
ACTION
STATUS
Council regularly attends the Albury Wodonga Emergency Relief Providers Network, has supported the AWERPN forum to better streamline the services for greater sustainability, and supported Uniting Care in the Winter Blanket Appeal.
C98, being the amendment to the Wodonga Planning Scheme is currently with the Minister for Planning for approval. Once approved, the actions and controls set out within the documents may be implemented.
The CBA Car Parking plan has recently been adopted. No actions have yet been started.
Planning scheme amendment to implement the strategy will commence subsequent to approval of the strategy.
Draft final report completed (Sep 2018). Additional work done based on council’s feedback. To seek council endorsement for public exhibition at April 2019 meeting. Seeking council adoption of the hierarchy strategy in July 2019.
In the process of forming the implementation working group to undertake the actions. West Wodonga Framework Plan is being updated that will reflect the needs for smaller industrial lots in the precinct (targeting for public consultation in August 2019)
The actions set out within the masterplan are short, medium and long term actions and will be implemented over many years and as budgets are allocated. In the shorter term, some progress has been made with the proposed Destination Holiday Park - a joint venture, at this time, with Albury City Council.
The Gateway Island Master Plan was adopted by the Council at the December 2018 meeting. The Priority Setting Table has been completed and will inform the projects for the coming years, including the 2019/2020 capital investment program.
The Gateway Island Mater Plan is scheduled to be adopted at either the November or December 2018 council meetings. The adoption of the GIMP Priority Setting will enable priority actions to be commenced.
COMMENT
Wodonga Council Annual Report 2018 - 2019
47
Implement the actions of the Wodonga Housing Strategy to support diverse and affordable housing choices for all of the community.
Implement priority projects from the Two Cities One Community Action Plan.
Identify and define the library’s position as a community hub within the planning for the cultural precinct.
Work with relevant agencies to develop strategies to deal with potential incidents of violence and abuse during heatwaves and emergency events.
12.3
12.4
12.5
12.6
13.1
Ensure appropriate levels of usable and suitable open space that is fit for purpose is allocated in new developments that will contribute to the liveability of the city.
Strategy 13: Open spaces
Work with Albury Wodonga Health to develop a strategy that responds to future growth and to changing social and health needs to maximise positive outcomes for Wodonga.
12.2
ACTION
STATUS
First public engagement proposed in August 2019.
First Draft Strategy received and comments provided to consultant (June 2019)
Open space strategy underway. Draft Background report completed (Mar 2019)
Open space strategy tender process completed (Sep 2018)
Liaised stakeholders and embedded response in the Emergency Management Plan.
Gallery Library feasibility study complete, state funding secured, tender for architectural planning services awarded, architectual concept planning complete and design development in progress. Alternate CBA site for library during the upgrade secured for late 2019 relocation. Working with key gallery library stakeholders on interim and long term operating models.
Progress report on 2C1C submitted to the ordinary council meetings 6 monthly. Progress report for 18/19 actions to be presented at July 15 Council meeting. Priority action plan has been updated for 19/20 as well as the budget.
Strategy adopted. Working group established for the Affordable Housing chapter. Implementation underway. Secured funding to develop a local model for voluntary inclusion of AH in development sites in Wodonga.
Meetings attended this year (3) and last date of attendance 3 June 2019
Working with Albury Wodonga health by attending Primary care and population health network meetings and the Antenatal smoking working group.
COMMENT
48
Our performance
Prepare an Open Space strategy for the municipality.
Review the Belvoir Park Master Plan and identify priority projects.
13.3
13.4
14.1
Develop a significant tree register for the municipality.
Strategy 14: Environmental management
Design and maintain our public open space that is fit for purpose to positively impact on our community’s health and wellbeing.
13.2
ACTION
STATUS
Discussion have started with Spencer Rich in developing the tree register - have made contact with a consultant to look at undertaking the works. Have spoken with consultant who has determined that currently we only have remanent red gums that would meet the criteria of a significant tree. These are already recored in a data base. (Roam)
Actions within the current master plan are being implemented as they are funded through the capital program. A complete review will be undertaken in 2020.
Open space strategy underway. Draft Background report completed (Mar 2019) First Draft Strategy received and comments provided to consultant (June 2019) First public engagement proposed in August 2019.
Tender process completed (Sep 2018), inception meeting tentatively in Oct 2018.
Several landscape projects are underway including Willow park irrigation, Auskick oval and Latrobe oval drainage upgrades, sound mound revegetation, bandiana link roundabout landscaping along with further upgrades to the central irrigation system.
Ongoing renewal program. See corresponding child project.
COMMENT
Wodonga Council Annual Report 2018 - 2019
49
Collaborate with partners and stakeholders and the community in the planning for urban waterways.
Promote public use and responsible management of the natural environment.
Increase participation of commercial waste streams into the 3-bin system to reduce waste volumes and increase recycling.
Further investigate ways for the council to reduce its carbon footprint through energy efficient programs.
15.1
15.2
Strategy 15: Sustainable practices
14.3
14.2
ACTION
STATUS
An energy audit of all council buildings has been conducted and a priority listing developed. Over a number of years, when budgets permit, investing in upgrades will produce savings over the long term. Electric vehicles are also being investigated. We are part of a collaborative power purchase scheme that will source and provide renewable energy for local governments to meet carbon reduction targets.
80 commercial properties out of 1200 have opted to participate in the domestic kerbside collection service which gives them the use of an organics bin. The region now has a waste and recycling service provider that offers a commercial organics service, which is being included in household organics processing system.
Draft plan completed and has been presented to Exec
Bush Kinder Program run at Belgrade Avenue Preschool. Grant funding obtained to expand the program to another two preschools. Council continues to work with community groups to promote use of and responsible management of our natural environment. Council officers are planning a letter drop around new estates to promote and generate understanding of our WREN reserves and environmental awareness in general. The natural resource team continues to work with the communications and marketing team to promote environmental responsibility and raise awareness of current environmental issues, e.g. currently working on some communications around illegal firewood collection, and promotion of the work being done along the creeklines to remove woody weeds (Willows).
• Friends of WREN’s Baranduda
• Friends of Whenby Grange
• Friends of Federation Hill
Council in partnership with WULN has held stalls at the Wodonga farmers market and volunteer fair to promote natural environement. We also held a stand alone session at the SAC. Since July 2018 WULN, with support from council has established 3 new ‘Friends of’ groups, all working on council’s environmental lands
COMMENT
50
Our performance
Investigate and determine the viability of waste to energy technologies to attract such industries to Wodonga.
Increase public place recycling options.
Continue to participate in programs that embed waste management practices that increase rates of recycling, reuse and waste reduction.
Develop a business case for a Wodonga community solar farm.
Implement actions from Environmentally Sustainable Design for Subdivision in Regional Victoria.
Investigate sustainable options for future proofing the city and its key assets.
15.3
15.4
15.5
15.6
15.7
15.8
ACTION
STATUS
Waste options are well covered. Recycling needs are being addressed after the recent introduction of the China bans. The recent energy audit of council buildings provides a way forward to implement energy savings and work being undertaken with North East Water, shall address some water resourcing issues. The development of a solar farm at Logic will provide a source of locally produced renewable energy but will not be commissioned until at least 2020. An alternate is the use of a waste to energy plant, which staff will pursue. All irrigations systems are being converted to electronic signalling for automated operation.
ESD for subdivisions in Regional Victoria (proof of concept and cost benefit analysis) is a background document and appendix to the draft Wodonga Housing Strategy and informs the Sustainability Chapter of the draft strategy. Communications materials informed by the ESD for subdivisions in Regional Victoria have been developed including best practice ESD subdivision case studies and an information sheet for sustainability. A webinar for information sharing on the project will be held in late 2018. Preparation of educational materials for buyers and builders are in the preliminary stages.
Heavily involved in the development of programs with the Halve Waste team to ensure a consistent waste message is portrayed across both cities.
Public placed recycling bins are constantly being installed with every new estate that is developed or upgrade to a Wodonga open space/park etc. No infrastructure grants have been made available this financial year from the State Government pertaining to the purchase of recycling bins.
The manager attended a workshop hosted by Ballarat Council. There are options available. A number of companies with an interest in Waste to Energy have approached council staff. We are working with all units, planning, investment attraction, sustainability etc to determine site suitability. This is very much driven by private enterprise.
COMMENT
STRATEGIC INDICATORS OUTCOMES • Plan for a liveable and prosperous city • Protect and nurture the environment through environmentally friendly practices • Increase pathways into housing for all our people
20172018
20182019
Community satisfaction with the council’s environmental sustainability performance
67
66
Community satisfaction with waste management performance
74
65
71.43%
70.06%
Community satisfaction with the appearance of public areas
78
78
Community satisfaction with planning for population growth in the area
72
66
35.2%
35.2%
• Assets are appropriately maintained and fit for purpose
Kerbside collection waste diverted from landfill
Percentage of people experiencing mortgage and rental stress
Some indicators are only measured every two or four years
Wodonga Council Annual Report 2018 - 2019
51
52
Our performance
Investigate the repositioning and rebranding of Arts Space Wodonga.
Activate the city through culture venue programs, events and space activation that encourage community access and participation.
16.1
16.2
Strategy 16: Arts and culture
ACTION
STATUS
The Bonegilla Migrant Experience attracted over 15,500 visitors to the site during 2018/19. Majority of visitors to BME, over 75%, were from outside the region. 2018/19 saw the introduction of the Bicycle Baker to BME, installation of a new BME welcome sculpture at the Rail Trail head and the sale of 165 plaques for inclusion on The Arc memorial wall.
- Partnered with Murray Art Museum Albury and the Albury Library Museum to deliver the Year 12 Art Show, showcasing young artists from across the region.
- Hosted over 149 events; and
• Serviced 28,394 visitors;
In 2018/19 Arts Space Wodonga:
• An increase in self-check out usage.
• An increase in e-resource loans; and
• A fluctuation in tree loans between 161,000 and 179,00;
In the last five years Wodonga Library has experienced:
The Cube has experienced growth over the last 5 years, with events increasing from 417 in 17/18 to 591 to in 18/19. The Cube Membership has also seen strong growth increasing from 42 in 16/17 to over 280 in 18/19.
In 2018/19 the four venues; Bonegilla Migrant Experience, Arts Space Wodonga, The Wodonga Library and The Cube Wodonga; hosted a total of 1,517 events with 91,233 participants and over 331,867 visitors across all of the sites.
This branding will align with the new gallery library development coming on line, to commence scoping in 19/20.
COMMENT
ADVANCE OUR POSITION AS A LEADING REGIONAL CITY, FOSTERING OPPORTUNITIES FOR DEVELOPMENT AND JOBS, AND BUILDING A DESTINATION THAT OFFERS A VARIETY OF EXPERIENCES, RECOGNISING OUR RICH AND DIVERSE HISTORY AND CULTURE
THRIVING AND VIBRANT CITY
Wodonga Council Annual Report 2018 - 2019
53
Explore ways of building the capacity and sustainability of local arts, cultural and community groups.
Develop a new business plan which includes sponsorship and fundraising for Bonegilla Migrant Experience to improve the sustainability of the site.
Implement the actions of the Wodonga Aboriginal Reconciliation Action Plan.
17.1
17.2
Strategy 17: History and heritage
16.3
ACTION
STATUS
Reconciliation Action Plan progressing well. Some actions are being reviewed and out for consultation. Document is being updated following data collation and community feedback. An Aboriginal Development Officer has been appointed and will continue this work. Working with our Aboriginal community is a key pillar in council’s Regional deal with AlburyCity.
Service planning complete, service review complete, Cultural Services strategic plan in draft.
- how to write an artist statement.
- how to pitch your ideas, and
- how to work with council,
- grant writing,
• Professional development programs, including:
• Community Impact Grants and Partnership Program; and
• Provision of advice and advocacy;
• Mentoring partnerships facilitated through commissioned projects;
Arts, cultural and community groups were supported through:
COMMENT
54
Our performance
Explore options for the establishment of a dedicated museum space in the city.
Implement stage 2 of the Bonegilla Migrant Experience master plan subject to funding arrangements.
17.4
17.5
Support and grow a major event initiative that profiles the regional food industry.
Work with tourism stakeholders to position their services and products in key markets, with a focus on the food industry.
18.1
18.2
Strategy 18: Prospering tourism sector
Develop and implement opportunities to celebrate and preserve the council’s culture and heritage assets - indigenous, cultural and environmental.
17.3
ACTION
STATUS
The Murray Farm to Plate Strategy sessions, led by MRT, are now complete. There were a number of local businesses who were interested in being on the local committee. Council will continue to support local tourism businesses, interested in food and agriculture, to attract visitation to the city.
Council supports Wodonga Tafe via an MOU to deliver the North East Food & Wine Festival at Junction Square. The festival attracted over 9,000 people with 25% visitation from outside the Albury Wodonga region.
Funding towards the Bonegilla Migrant Experience master plan has been secured through the Building Better Regions Fund; an agreement is in place, approvals are being sought and works have commenced.
Council has entered into a new MOU with the Wodonga Historical Society; improvements have been made to their present location to support tenure; WHS are presently auditing their collection; and future exhibition opportunities are being explored as part of the community exhibition space in the new Gallery Library.
• Heritage interpretation panels are in development across the CBA. Research for cultural heritage content has been undertaken, sites identified, two interpretive panels for Richardson Park have been installed, and development of further panels is subject to future funding.
• Council received funding from the Stronger Communities Fund to deliver an Aboriginal art mural on the wall of Café Grove at O’Neil’s Lane.
• Capital upgrades and interpretative works are presently in development at Bonegilla Migrant Experience, with the support of the Building Better Regions Fund.
• The Bonegilla Migrant Experience hosted the ‘Bonegilla Reunion’ in November 2018; an annual back to Bonegilla Migrant Camp gathering. Activities included: tours, film screenings, author and genealogy talks, dinner, displays, exhibitions, food and music. Approximately 600 people attended.
• Council has entered into a new MOU with Wodonga Historical Society for three years, providing support towards the delivery of strategic priorities.
COMMENT
Wodonga Council Annual Report 2018 - 2019
55
Continue to attract new and diverse industry to Logic Wodonga.
Seek investment in councilowned development sites including the former Stanley St pool site (CBD West).
19.1
19.2
Strategy 19: Business and investment
Host or support a range of community, cultural and sporting events that showcase the city and celebrate diversity and achievement.
Plan, review and upgrade track and trail networks including rail trail and linkages to neighbouring councils to enhance tourism opportunities and cycle tourism initiatives.
18.4
18.5
Strengthen visitor attraction and experience by promoting Wodonga as a destination of choice by visitors.
18.3
ACTION
STATUS
An Expression of Interest (EOI) process was completed in 2018 and the preferred proponent was unable to meet councils development timelines. Council is now negotiating with a number of developers for best use of the site and is exploring options to enhance site marketing.
Significant interest in land development at Logic since the announcement of the Inland Rail route. In addition, council has engaged an external consultant to develop a business case and strategy for an inland port at Logic. This document will support Logic’s next stage of development and provide strategic direction. The outcome of this report may provide future opportunities for private investment at Logic.
The Community Impact Grants program supported eight events and cultural activities in 2018/19.
The Event Attraction Contribution Program supported 10 events in 2018/19 with an estimated total direct and indirect effect of $15.2 million to the Albury Wodonga economy. In comparison to the 2017/18 year, the economic return from major events was $20 million to the Albury Wodonga economy. This reduction is due to Albury Wodonga not hosting major events like the Deaf Games and Midnight Oil concert.
Rail trail completed.
An investment prospectus will be developed over the next six to 12 months to attract tourism investment into Wodonga. Council is continually canvassing prospects for industrial land and Wodonga’s central business area. Wodonga Council is working closely with real estate agents to promote the exciting development and business opportunities.
A number of industry resources have recently been developed to support tourism business including but not limited to a Working with Visit AlburyWodonga toolkit and a corporate login section for the new Visit AlburyWodonga website.
The joint Destination AlburyWodonga Management Plan 2019-2023 incorporates approximately 125 actions to be completed by 2023.
COMMENT
56
Our performance
Continue to develop required infrastructure at Logic Wodonga to support new investments.
19.4
STATUS
Work in partnership with community organisations to improve opportunities for people with disabilities, Aboriginal people, youth and culturally and linguistically diverse communities to participate in education, employment and training.
Review how the existing transport network can be improved to support equitable access to education, employment and training.
Work with the education sector to identify gaps and opportunities to strengthen pathways into the local employment sector for our community.
20.1
20.2
20.3
Strategy 20: Education, training and employment
Continue to work with the Wodonga Chamber of Commerce to actively investigate opportunities for business growth and promotion.
19.3
ACTION
Council is collaborating with Wodonga Senior and Middle Years College, Wodonga Tafe, La Trobe University and industry to identify skill gaps and entrepreneurial learning within our community. A proposed Innovation Hub will encourage entrepreneurial thinking.
Planning scheme amendment C98 to implement the CBA car parking plan is approved by council, and is awaiting Minister for Planning’s approval (Mar 2019) Minister approved C98 in July 2019.
CBA Car Parking Plan (adopted May 2018) include actions to improve equitable access. Implementation working group to be established in Nov 2018.
• Participation in Koorie network team meetings and the Koorie champions network as well as MCH outreach to Mungabareena Playgroup
• Developing a Aboriginal Employment strategy
• Workplace Diversity Project currently underway for City of Wodonga
• In partnership with NELLAN (lead) and NDCO scoping project to increase pathways into education, training and employment for vulnerable population groups.
There were no infrastructure required in 2018-19. Discussions have commenced with the gas distributor in relation to the provision of a gas gate.
Council continues to work collaboratively with Business Wodonga on business development and support initiatives. This includes learning and development opportunities, networking events and business promotion.
COMMENT
Wodonga Council Annual Report 2018 - 2019
57
Develop a model for a innovation hub or incubator space for the city.
20.5
Complete the reconstruction of South, Bond and High streets as part of the City Heart project.
Encourage support of local business through shop local campaigns and promotion of the City Heart website and app.
Enhance the city’s laneways to promote activation and vibrancy that contribute to the amenity and public realm of the city heart.
Support and develop a range of social, space activation and event programs across the CBA.
21.1
21.2
21.3
21.4
Strategy 21: Vibrant city centre
Continue to implement the council’s Procurement Policy as a lever for improving employment opportunities for people with a disability.
20.4
ACTION
STATUS
Council supported three professional development workshops in conjunction with Murray Arts. Public Art installations included a range of murals in laneways and sculptural pieces in the High Street development.
The space activation program delivered six events across the year while the Little Gifts program delivered a range of artworks and installations.
Council’s calendar of events 2018/19: The Arts & Events team delivered over 45 events and activities for the Wodonga community. These events and activities attracted approximately 34,145 people.
Bennetts Lane (connecting Acacia Car Park and High Street) is completed with artwork and new lighting installed providing interest and security to community using the access walkway. Designs for Sesame Lane works have been completed and landlords final approval is being sought before going out to tender for project works.
A communications plan was rolled out during the works period with regular updates, media interviews, social media activities and a TV advertising campaign as well as updates to the app.
Works are completed.
Wodonga Council has successfully applied for $300,000 in funding from the Victorian Government for the development of the Wodonga Business Innovation Hub Feasibility Study. Council has gone out to tender for the Business Innovation Hub Feasibility study and aims to award this tender at the July, 2019 Council meeting.
Next review of the policy is underway and will be presented to council in the fourth quarter of 2018-2019. Social outcomes through council procurement continues to be monitored and reported.
COMMENT
58
Our performance
Ensure businesses and community are well-informed and updated during major works in the CBA.
Continue to attract new and diverse retail businesses to our city centre.
Review and update the CBA Revitalisation Plan.
21.5
21.6
21.7
ACTION
STATUS
Initial discussions commenced with exec team for the scope of the CBA Plan review. Actions are being reviewed by the working group (Mar 2019).Comments from working group collected, analysis underway (July 2019)
Wodonga Council is regularly cold calling retail businesses to consider Wodonga’s central business area. Understanding the major brands already represented in Wodonga Plaza and Albury, Council is specifically targeting retail to compliment the High Street redevelopment. New businesses in the city centre include but are not limited to: Junction Café, Blind Freddy’s, Butcher on Rise, Sushi Frenzy and At Sushi. New businesses at Wodonga Plaza include Best and Less, Cotton On, Ally Fashion, Rivers and associated food outlets.
• A display at the library and team training with library staff on timing of works. This included common questions and answers for library staff when the community engage with them on the subject.
• Tours for tikes and community tours.
• Public notices in The Border Mail every weekend.
• Major projects website updates.
• Regular social media videos and a Facebook group.
• A full time staff member offering ongoing communication and support to businesses affected by roadwork’s.
• Discussions with major commercial real-estate agents for the purpose of any questions they may field from tenants on the subject.
• EDM.
• Information sessions.
Communication included:
Council has informed and updated CBA businesses and the community regarding major road works in the city centre, which were completed in June 2019. This included face to face discussions with traders from the effected zone along with a range of online communications and support. A communication and stakeholder engagement plan was developed which guided communication throughout the project.
COMMENT
STRATEGIC INDICATORS OUTCOMES • Celebrate our unique culture and heritage • Foster a thriving visitation and tourism sector • A strong economy • A vibrant City Heart
20172018
20182019
Community satisfaction with arts centres and library
77
73
Community satisfaction with business and community development and tourism
64
61
People who completed a higher education qualification
25.8%
25.8%
Proportion of young people aged 19 years who have attained Year 12 or equivalent
90.1%
90.1%
Economic benefit of tourism for Albury-Wodonga
$814m
$812m
Number of domestic day trip visitors - all purposes
791,000
1.065m
1,587,000
1.462m
-2.95%
-9.9%
4.1%
4.43%
• Cultural and event participation
Number of domestic overnight visitor trips - all purposes
Growth rate of Wodonga’s labour force
Wodonga’s unemployment rate
Some indicators are only measured every two or four years
Wodonga Council Annual Report 2018 - 2019
59
60
Ensure outcomes of council meetings are readily accessible to members of the community.
Continue to explore and use existing and emerging technologies to maximise accessibility, reach, impact and responsiveness.
Implement Wodonga Council’s Gender Equity Strategy to promote and embed an organisational culture that embraces gender equality.
Continue to implement the council’s social inclusion and human rights policies.
Continue to undertake a program of service review to assess the appropriateness, effectiveness and efficiency of services while ensuring equity and access.
22.1
22.2
Our performance
22.3
22.4
22.5
STATUS
Strategy 22: Good governance and customer experience
ACTION
Several service reviews are currently underway or being finalized, in line with the five year schedule of planned reviews. Outcomes being reviewed and implemented. Service planning is nearing completion which will provide a framework and data for future service reviews.
Council continues to adhere to and apply council’s social inclusion and human rights policy.
Gender equity team is responsible for the stewardship of the strategy across the organisation. A range of activities including data collection, gender pay equity audits, training and awareness raising has been undertaken across the organisation. There are 85% of all actions have now been completed. At a more strategic level there are strong correlations between the gender equity strategy and the violence against women work that is being funded by the State government. The council has received funding for 1 year to advance gender equity work in workplace. The strategy is currently being reviewed and updated.
Continual review of telecommunication costs, upgrade to main office internet, introducing more mobile inspections, online planning applications, further IPS Asset Management data capture and mobile offerings, new corporate data searching, data sharing controlled via document management and new digital signage.
Minutes are uploaded on the web, and placed in the library. Meetings are live streamed and video recorded for later viewing through council’s YouTube page. Media releases are issued for items of public interest. Question time questions and answers are provided on council web page.
COMMENT
PROVIDE STRONG LEADERSHIP AND GOVERNANCE, DEMONSTRATING EXCELLENCE IN THE WAY WE DO BUSINESS BY BEING INNOVATIVE, RESPONSIVE AND TRANSPARENT. WE WILL BE ACCOUNTABLE AND STEWARD THE ORGANISATION WITH THE HIGHEST REGARD
STRONG, RESPONSIBLE AND SOUND ORGANISATION P
Wodonga Council Annual Report 2018 - 2019
61
24.1
Continue to lobby state and federal governments for funding towards projects of regional significance such as the Baranduda Fields sporting precinct.
Strategy 24: Lobbying and advocacy
Review and enhance our financial management and reporting system to ensure relevant and timely financial advice.
Maintain accountable and transparent financial practices.
23.2
23.3
Provide council services and projects with a strong financial planning framework.
23.1
Strategy 23: Financial management
ACTION
STATUS
The masterplan for Baranduda Fields has now been updated which has placed the council in a strong position where it now has a $10 million commitment as part of the federal election. Council has $10 m in it’s forward budget. Work continues now on securing additional funding at a State level. The first stage that will be constructed is currently being reviewed based on learnings from other councils with similar projects. The council, in partnership with AlburyCity, has been successful in securing $3.2 m for a Federal government funded Regional deal. This funding will be critical to undertake the planning for transformational projects, policy reform and initiatives.
Electronic purchase order system has been planned to be implemented in the 20202021 financial year.
An Enterprise Budgeting model implementation is in progress with the software package configured, user testing to be undertaken in July/ August 2019 and the new program rolled out to relevant staff in October/November 2019.
Implementing latest upgrade to Finance1 general ledger system. Once completed, a number of other system enhancements will be implemented, including improved budget preparation software and the ability to processes purchase card approvals on line.
A Rating Strategy Reference Group was established and included 7 community members and 2 Councillors. The group reviewed Council’s rating strategy and prepared a report of recommendations to Council, which was subsequently adopted (15 April 2019) as the updated strategy. The 2019-2020 budget has been prepared, reviewed and endorsed by Council (24 June 2019).
Financial statement preparation for the 2017-2018 year has been completed and audited. Audit recommendations are being actioned. Monthly and quarterly reporting is on track, with a June 2019 quarterly report being presented to council for the first time.
2019-2020 budget setting process is well advanced, with councillor workshops completed. The 2019-2020 budget has been prepared, reviewed and endorsed by Council (24 June 2019).
Working with business unit and project managers to ensure accurate financial planning and reporting.
COMMENT
62
Our performance
Meet with regional and neighbouring councils on a regular basis to discuss shared goals and outcomes.
Continue participation in Regional Cities Victoria and Regional Capitals Australia to keep both State and Federal governments’ focus on regional cities.
Lobby state and federal governments on a case by case basis on services cost-shifting to local government.
Continue to lobby for appropriate levels of grant funding from other tiers of government to deliver priority projects, infrastructure and service needs to the community.
Lobby state and federal governments on a case by case basis on services cost-shifting to local government.
Lobby and advocate for better transport options for the community through improvements to faster and more regular train and bus services.
Advocate and co-ordinate with state and federal governments to identify future infrastructure and facilities that will need to be planned to meet the growth of Wodonga and the region.
24.2
24.3
24.4
24.5
24.6
24.7
24.8
ACTION
STATUS
The Mayor and CEO have advocated for gasgate at Logic and Baranduda Fields. Work undertaken with Albury Wodonga Health on future hospital sites. Outcomes reported to councillor briefings.
The Mayor and CEO are working closely with both major parties at a Federal and State level to secure better outcomes for rail and bus transport. Also forms part of the 2C1C advocacy. Outcomes reported to councillor briefings.
Recent announcements from the Federal Government on extra ARTC funding and inland rail.
Successful grant funding announcement - State Government - with the $4m grant to the library and art gallery project. Other lobbying continues for a variety of projects / initiatives. Outcomes reported to councillor briefings.
Mayor and CEO involved in regular meetings with State and Federal Government ministers, opposition representatives, and department heads to lobby on behalf of Wodonga. Outcomes reported to councillor briefings.
Mayor and CEO participate in fortnightly RCV teleconference and also attend annual meetings in Melbourne and other meetings as required. Outcomes reported to councillor briefings.
Regular meetings held with Albury Council, and also meetings of the Alliance of Councils and Shires of the Upper Murray. Outcomes reported to councillor briefings.
COMMENT
STRATEGIC INDICATORS OUTCOMES • An ethically responsible organisation • Strong and responsible corporate and financial management • Lobby and advocate for community needs • Strive for organisational excellence
20172018
20172018
Councillor attendance at council meetings
97.14%
93.75%
2.65%
9.21%
Community satisfaction with customer service
80
76
Community satisfaction with decisions made in the interest of the community
57
51
Community satisfaction with lobbying on behalf of the community
60
54
Council decisions made at meetings closed to the public
Some indicators are only measured every two or four years
Wodonga Council Annual Report 2018 - 2019
63
64
Our performance
GOVERNANCE
MEETINGS OF THE COUNCIL Council conducts public meetings every month, usually on the third Monday, commencing at 6pm.
The Wodonga Council is constituted under the Local Government Act 1989 to provide leadership for the good governance of the municipal district and the local community. The council has a number of roles including:
Council meetings also provide the opportunity for community members to submit a written question to the council.
• taking into account the diverse needs of the local community in decision-making; • providing leadership by establishing strategic objectives and monitoring achievements;
For the 2018-2019 year the council held 12 ordinary council meetings and four special council meetings.
• ensuring that resources are managed in a responsible and accountable manner; • advocating the interests of the local community to other communities and governments; • acting as a responsible partner in government by taking into account the needs of other communities; and, • fostering community cohesion and encouraging active participation in civic life. The council is committed to effective and sustainable forms of democratic and corporate governance as the key to ensuring that council and its administration meet the community’s priorities. The community has many opportunities to provide input into council’s decision making processes including community consultation. The council’s formal decision-making processes are conducted through council meetings. The council delegates the majority of its decisionmaking to council staff. These delegations are exercised in accordance with adopted council policies and guidelines.
Members of the community are welcome to attend these meetings and observe from the gallery. The meetings are also live-streamed on the council’s YouTube channel. The video recording of the meeting is also available for subsequent viewing.
The following table provides a summary of councillor attendance at council meetings and special council meetings for the 2018–2019 financial year. Councillor
Ordinary meeting
Special meeting
Kat Bennett
12 of 12
4 of 4
16
Libby Hall
11 of 12
3 of 4
14
Danny Lowe
11 of 12
2 of 4
13
Ron Mildren
12 of 12
4 of 4
16
Brian Mitchell
6 of 6
3 of 3
9
Tim Quilty
6 of 6
1 of 1
7
Anna Speedie
11 of 12
3 of 4
14
John Watson
12 of 12
4 of 4
16
Wodonga Council Annual Report 2018 - 2019
Total
65
NB: A councillor should be counted as having attended an ordinary or special council meeting where a councillor is late to a meeting, is on an approved leave of absence or a vacancy has been created due to resignations, death, failure to take the oath of office or going out of office under section 28(3) of the Act.
SPECIAL COMMITTEES The Local Government Act 1989 allows councils to establish one or more special committees consisting of: • Councillors • Council staff • Other persons
LOCAL LAW At its ordinary meeting of 13 May 2019 the Council made a new local law, the Meeting Procedure Local Law, no.1 of 2019. The purpose and general purport of the Local Law is to: a) regulate and control the procedures governing the conduct of meetings of the Council and of Special committees appointed by the Council; b) regulate and control the election of the Mayor, the Deputy Mayor (if one is appointed by Council), and the chairpersons of any Special committees;
• Any combination of the above.
c) regulate and control the use of the Council’s seal;
In 2018-2019 there were no special committees operated by the council.
d) promote and encourage community participation in the local government system;
The council adopted a revised Councillor Code of Conduct at a special meeting of the council held on Monday, February 20, 2017. The Code is designed to:
e) provide a mechanism through its formal meeting procedure to ensure effective and efficient Council decisions are made in a manner which acknowledges the role of local government within the Australian system of Government;
• sets out the standards of conduct expected of Wodonga councillors;
f) provide for the administration of the Council’s powers and functions; and
• endeavours to foster good working relations between councillors to enable councillors to work constructively together in the best interests of the Wodonga community; and
g) provide generally for the peace, order and good government of the municipal district.
• mandates councillor conduct designed to build public confidence in the integrity of the council.
Councillors are elected by the residents and ratepayers to act in the best interests of the community. This is a position of trust that requires councillors to act in the public interest.
CODE OF CONDUCT
In addition to setting out the Councillor Conduct Principles, the code also outlines: • other conduct definitions under the Act, such as those relating to misuse of position, improper direction, breach of confidentiality and conflict of interest • roles and relationships • dispute resolution procedures.
66
Our performance
CONFLICT OF INTEREST
When a council delegates its powers to a council officer or a committee, the committee or officer also needs to act in the public interest. A conflict of interest occurs when a personal or private interest might compromise the ability to act in the public interest. A conflict of interest exists even if no improper act results from it. The council has a comprehensive procedure in place to accommodate the disclosure of a conflict of
interest. Declaration of a conflict of interest is a standard agenda item for all Council meetings and assemblies of councillors. While the procedures vary depending on the particular role and circumstances, in general they involve disclosing the relevant interests in a specific way and then stepping aside from the relevant decision-making process or from the exercise of the public duty. During 2018–2019, 38 conflicts of interest were declared at council meetings and 59 were declared at assemblies of councillors.
The following table contains a summary of the allowances paid to each councillor during the year. Councillor
Further, Councillors are required to submit a Register of Interests Return to Council’s Governance Unit that lists certain points relating to both themselves and immediate family in which they are required to declare any interests. These returns are submitted twice yearly.
COUNCILLOR ALLOWANCES
Allowance $
Kat Bennett
27,943.92
Libby Hall
27,943.92
Danny Lowe
27,943.92
Ron Mildren
27,943.92
Brian Mitchell
12,587.81
Tim Quilty
12,434.55
Anna Speedie
86,462.95
John Watson
27,943.92
NB: these amounts include an amount equivalent to the superannuation levy.
In accordance with Section 74 of the Local Government Act 1989, councillors are entitled to receive an allowance while performing their duty as a councillor. The mayor is also entitled to receive a higher allowance.
COUNCILLOR EXPENSES
The State Government sets the upper and lower limits for all allowances paid to councillors and mayors. Councils are divided into three categories based on the income and population of each council. Wodonga Council is classified as a category two council. For the period July 1, 2018 to November 30, 2018 the councillor allowance was set at $27,621.38 per annum and the mayoral allowance was $85,465.85 per annum. The Minister for Local Government approved an annual adjustment of 2 per cent to take effect from December 1, 2018. The annual allowances were adjusted for the period December 1, 2018 to June 30, 2019 was $28,174.35 for the councillor allowance and $87,175.14 for the mayoral allowance.
In accordance with Section 75 of the Act, council is required to reimburse a councillor for expenses incurred whilst performing his or her duties as a councillor. Council is also required to adopt and maintain a policy in relation to the reimbursement of expenses for councillors. The policy provides guidance for the payment of reimbursements of expenses and the provision of resources, facilities and other support to the mayor and councillors to enable them to discharge their duties. Council also publishes in its Annual Report the details of the expenses, including reimbursement of expenses for each councillor and member of a council committee paid by the council. The details of the expenses including reimbursement of expenses for each councillor and member of a council committee paid by the council for the 2018-2019 year are set out in the following table.
Wodonga Council Annual Report 2018 - 2019
67
DETAILS OF COUNCILLOR EXPENSES Councillor
TA
MR
CM
CC
IC
CT
Total
551
266
216
0
3663
491
5187
Libby Hall
0
112
143
0
3663
200
4118
Danny Lowe
0
64
0
0
3663
280
4007
Ron Mildren
0
23
0
0
3663
200
3886
584
151
211
0
1831
634
3411
0
0
0
0
1831
200
2031
Anna Speedie
4351
982
1197
0
3663
1058
11251
John Watson
0
84
0
0
3663
290
4037
5486
1682
1767
0
25,640
3353
37928
Kat Bennett
Brian Mitchell Tim Quilty
Legend: TA-Travel and accommodation; MR-meals and refreshments; CM-Car Mileage; CC-Child Care; IC-Information and Communication expenses; CT-Conferences and Training expenses. Note: No expenses were paid by council, including reimbursements, to members of council committees during the year.
AUDIT COMMITTEE As part of the council’s governance obligations to its community, council has constituted an Audit Committee to facilitate: • the enhancement of the credibility and objectivity of internal and external financial reporting; • effective management of financial and other risks and the protection of council assets; • compliance with laws and regulations as well as use of best practice guidelines; • the effectiveness of the internal audit function; and, • the provision of an effective means of communication between the external auditor, internal audit, management and the council. The Audit Committee consists of one councillor and three external independent members. Cr Tim Quilty was the councillor representative from July to December 2018, and Cr Brian Mitchell was the councillor representative from January to June 2019. External independent members are appointed for a three year term, with the chair elected from among the external independent members. The external independent members in 2018-2019 were Anthony Hernan, Belinda Olejniczak, and Brian Rochford. The Internal Auditor and the Director Business Services attend all Audit Committee meetings. Other management representatives attend as required to present reports. The Audit Committee meets at least quarterly. Recommendations from each Audit Committee meeting are subsequently reported to, and considered by the council.
68
Our performance
STATUTORY INFORMATION
FREEDOM OF INFORMATION
The following information is provided in accordance with legislative and other requirements applying to council.
Access to documents may be obtained through written request to the Freedom of Information Officer, as detailed in section 17 of the Freedom of Information Act 1982 and in summary as follows:
DOCUMENTS AVAILABLE FOR PUBLIC INSPECTION
• it should be in writing
In accordance with Regulation 12 of the Local Government (General) Regulations 2015 the following is a list of the prescribed documents that are available for inspection or copies of the documents can be obtained for the purposes of section 222 of the Local Government Act 1989 at 104 Hovell St., Wodonga: a. details of overseas or interstate travel (with the exception of interstate travel by land for less than three days) undertaken in an official capacity by councillors or any member of council staff in the previous 12 months
• it should identify as clearly as possible which document is being requested • it should be accompanied by the appropriate application fee (the fee may be waived in certain circumstances). Requests for documents in the possession of council should be addressed to the Freedom of Information Officer. Access charges may also apply once documents have been processed and a decision on access is made (e.g. photocopying and search and retrieval charges).
b. the agendas for, and minutes of, ordinary and special meetings held in the previous 12 months which are kept under section 93 of the Act, other than those agendas and minutes relating to a part of a meeting which was closed to members of the public under section 89 of the Act and are confidential information within the meaning of section 77(2) of the Act; c. the minutes of meetings of special committees established under section 86 of the Act and held in the previous 12 months, other than those minutes relating to a part of a meeting which was closed to members of the public under section 89 of the Act and are confidential information within the meaning of section 77(2) of the Act;
Further information regarding FOI can be found at ovic.foi.vic.gov.au and on the Wodonga Council website.
PROTECTED DISCLOSURE PROCEDURES The Protected Disclosure Act 2012 aims to ensure openness and accountability in government by encouraging people to disclose improper conduct within the public sector and provide protection for people who make disclosures. Procedures on how to make a disclosure are publicly available council’s website. During the 2018-2019 year no disclosures were notified to council officers appointed to receive disclosures, or to IBAC.
d. a register of delegations kept under sections 87(1) and 98(4) of the Act, including the date on which the last review took place under sections 86(6) and 98(6), respectively, of the Act; e. a document containing details of all leases involving land which were entered into by the Council as lessor, including the lessee and the terms and the value of the lease; f. a register maintained under section 224(1A) of the Act of authorised officers appointed under that section; g. a list of donations and grants made by the Council in the previous 12 months, including the names of persons who, or bodies which, have received a donation or grant and the amount of each donation or grant
Wodonga Council Annual Report 2018 - 2019
69
PERFORMANCE STATEMENT
FOR THE YEAR ENDED JUNE 30, 2019
DESCRIPTION OF MUNICIPALITY Wodonga Council (the council) is strategically placed on the Hume Highway between Melbourne and Sydney. The North East Victorian municipality includes 13 localities and covers an area of 433.7 square kilometres. The main industries include manufacturing, health care and social assistance, public administration and safety, retail and trade, education and training. The council has a population of 40,564 and is the fastest growing centre in the North East.
70
Our performance
Wodonga Council Annual Report 2018 - 2019
71
77.12
Population density per length of road [Municipal population / Kilometres of local roads]
“adjusted underlying revenue” means total income other than — (a) non-recurrent grants used to fund capital expenditure; and (b) non-monetary asset contributions; and (c) contributions to fund capital expenditure from sources other than those referred to in paragraphs (a) and (b) “infrastructure” means non-current property, plant and equipment excluding land
DEFINITIONS
4.00
$196.71
4.00
$341.92
$1,256.77
78.55
$8,503.94
$1,476.11
2017
4.00
$263.76
$1,269.01
81.18
$8,570.58
$1,411.03
2018
4.00
“own-source revenue” means adjusted underlying revenue other than revenue that is not under the control of council (including government grants) “relative socio-economic disadvantage”, in relation
No material variations
No material variations
No material variations
No material variations
Revaluation in 2018-19 and material increase in Land Under Roads.
No material variations
Material Variations
to a municipality, means the relative socio-economic disadvantage, expressed as a decile for the relevant financial year, of the area in which the municipality is located according to the Index of Relative Socio-Economic Disadvantage (Catalogue Number 2033.0.55.001) of SEIFA “SEIFA” means the Socio-Economic Indexes for Areas published from time to time by the Australian Bureau of Statistics on its Internet website “unrestricted cash” means all cash and cash equivalents other than restricted cash.
$256.9
$1,304.50
79.18
$9,200.05
$1,436.39
2019
“local road” means a sealed or unsealed road for which the council is the responsible road authority under the Road Management Act 2004 “population” means the resident population estimated by council
Disadvantage Relative Socio-Economic Disadvantage [Index of Relative Socio-Economic Disadvantage by decile]
Recurrent grants Recurrent grants per head of municipal population [Recurrent grants / Municipal population]
$1,237.95
$8,595.40
Infrastructure per head of municipal population [Value of infrastructure / Municipal population]
Own-source revenue Own-source revenue per head of municipal population [Own-source revenue / Municipal population]
$1,491.30
2016
RESULTS
FOR THE YEAR ENDED JUNE 30, 2019
Population Expenses per head of municipal population [Total expenses / Municipal population]
Indicator/Measure
SUSTAINABLE CAPACITY INDICATORS
72
Our performance 53.00
N/A
Governance Satisfaction Satisfaction with council decisions [Community satisfaction rating out of 100 with how council has performed in making decisions in the interest of the community]
Home and Community Care (HACC) Participation Participation in HACC service [Number of people that received a HACC service / Municipal target population for HACC services] x100
1.00
Animal Management Health and safety Animal management prosecutions [Number of successful animal management prosecutions]
72.12%
9.38
Aquatic Facilities Utilisation Utilisation of aquatic facilities [Number of visits to aquatic facilities / Municipal population]
Food Safety Health and safety Critical and major non-compliance outcome notifications [Number of critical non-compliance outcome notifications and major non-compliance notifications about a food premises followed up / Number of critical non-compliance outcome notifications and major non-compliance notifications about a food premises] x100
2016
RESULTS
Reporting ceased 1 July 2016
55.00
85.71%
0.00
8.92
2017
FOR THE YEAR ENDED JUNE 30, 2019
Service/Indicator/Measure
SERVICE PERFORMANCE INDICATORS
Reporting ceased 1 July 2016
57.00
71.64%
0.00
8.67
2018
Reporting Ceased 1 July 2016
51.00
98.81%
2.0
8.43
2019
Reporting on HACC ceased on 1 July 2016, due to the introduction of the Commonwealth Government’s NDIS and CHSP programs.
No material variations
Staff have been more diligent in following up major and critical non compliances in 2018/19.
Specific incidents in 2018/19.
No material variations
Material Variations
Wodonga Council Annual Report 2018 - 2019
73
73.85%
66.00
Roads Satisfaction Satisfaction with sealed local roads [Community satisfaction rating out of 100 with how council has performed on the condition of sealed local roads]
81.72%
Maternal and Child Health (MCH) Participation Participation in the MCH service [Number of children who attend the MCH service at least once (in the year) / Number of children enrolled in the MCH service] x100
Participation Participation in the MCH service by Aboriginal children [Number of Aboriginal children who attend the MCH service at least once (in the year) / Number of Aboriginal children enrolled in the MCH service] x100
12.13%
N/A
Participation Participation in HACC service by CALD people [Number of CALD people who receive a HACC service / Municipal target population in relation to CALD people for HACC services] x100
Libraries Participation Active library members [Number of active library members / Municipal population] x100
2016
Service/Indicator/Measure
RESULTS
65.00
74.46%
68.86%
11.75%
Reporting ceased 1 July 2016
2017
65.00
71.91%
73.39%
11.32%
Reporting ceased 1 July 2016
2018
64.00
76.04%
72.54%
10.79%
Reporting Ceased 1 July 2016
2019
No material variations
No material variations
No material variations
No material variations
Reporting on HACC ceased on 1 July 2016, due to the introduction of the Commonwealth Government’s NDIS and CHSP programs.
Material Variations
74
Our performance 71.49%
Waste Collection Waste diversion - Kerbside collection waste diverted from landfill [Weight of recyclables and green organics collected from kerbside bins / Weight of garbage, recyclables and green organics collected from kerbside bins] x100 72.19%
0.00%
2017
71.43%
0.00%
2018
No material variations
No appeals regarding council planning decisions heard at VCAT for the last few years, four in 2018/19.
Material Variations
or (4) of the Food Act 1984, or advice given to council by an authorised officer under that Act, of a deficiency that does not pose an immediate serious threat to public health but may do so if no remedial action is taken
70.06%
100.00%
2019
“Aboriginal person” has the same meaning as in the Aboriginal Heritage Act 2006
“critical non-compliance outcome notification” means a notification received by council under section 19N(3) or (4) of the Food Act 1984 , or advice given to council by an authorized officer under that Act, of a deficiency “active library member” means a member of a library that poses an immediate serious threat to public health “MCH” means the Maternal and Child Health Service who has borrowed a book from the library provided by a council to support the health and “food premises” has the same meaning as in the Food development of children within the municipality from “annual report” means an annual report prepared by a Act 1984 birth until school age council under sections 131, 132 and 133 of the Act “HACC program” means the Home and Community Care “population” means the resident population estimated “CALD” means culturally and linguistically diverse. program established under the Agreement entered into by council “class 1 food premises” means food premises, within the for the purpose of the Home and Community Care Act “target population” has the same meaning as in the meaning of the Food Act 1984, that have been declared 1985 of the Commonwealth Agreement entered into for the purposes of the Home as class 1 food premises under section 19C of that Act “HACC service” means home help, personal care or and Community Care Act 1985 of the Commonwealth community respite provided under the HACC program “class 2 food premises” means food premises, within the “WorkSafe reportable aquatic facility safety incident” meaning of the Food Act 1984 , that have been declared “local road” means a sealed or unsealed road for which means an incident relating to a council aquatic as class 2 food premises under section 19C of that Act the council is the responsible road authority under the facility that is required to be notified to the Victorian Road Management Act 2004 “Community Care Common Standards “means the WorkCover Authority under Part 5 of the Occupational Community Care Common Standards for the delivery Health and Safety Act 2004. “major non-compliance outcome notification” means a of HACC services, published from time to time by the notification received by a council under section 19N(3)
“Aboriginal child” means a child who is an Aboriginal person Commonwealth
0.00%
Statutory Planning Decision making Council planning decisions upheld at VCAT [Number of VCAT decisions that did not set aside council’s decision in relation to a planning application / Number of VCAT decisions in relation to planning applications] x100
DEFINITIONS
2016
Service/Indicator/Measure
RESULTS
Wodonga Council Annual Report 2018 - 2019
75
210.27%
137.78%
Liquidity Working capital Current assets compared to current liabilities [Current assets / Current liabilities] x100
Unrestricted cash Unrestricted cash compared to current liabilities [Unrestricted cash / Current liabilities] x100
$3,135.55
Expenditure level Expenses per property assessment [Total expenses / Number of property assessments]
10.34%
$2,037.17
Efficiency Revenue level Average residential rate per residential property assessment [Residential rate revenue / Number of residential property assessments]
Workforce turnover Resignations and terminations compared to average staff [Number of permanent staff resignations and terminations / Average number of permanent staff for the financial year] x100
2016
Dimension/Indicator/Measure
RESULTS
DIMENSION PERFORMANCE INDICATORS
205.80%
268.96%
12.69%
$3,182.25
$2,072.25
2017
209.50%
299.70%
16.21%
$3,061.62
$2,095.58
2018
2020
2021
2022
2023
228.73%
335.57%
14.96%
86.4%
149.0%
12.84%
44.1%
113.4%
12.84%
33.2%
106.3%
12.84%
25.6%
105.7%
12.84%
$3,025.47 $3,083.11 $3,243.15 $3,094.59 $3,172.84
$1,903.38 $1,958.74 $1,966.46 $1,972.18 $1,972.19
2019
FOR THE YEAR ENDED JUNE 30, 2019
Unrestricted cash is expected to reduce over time as the long term capital budget is expended.
No material variations
No material variations
No material variations
No material variations
Material Variations
76
Our performance
2016
57.02%
62.22%
8.64%
58.91%
-2.61%
Dimension/Indicator/Measure
Obligations Asset renewal Asset renewal compared to depreciation [Asset renewal expense / Asset depreciation] x100
Loans and borrowings Loans and borrowings compared to rates [Interest bearing loans and borrowings / Rate revenue] x100
Loans and borrowings repayments compared to rates [Interest and principal repayments on interest bearing loans and borrowings / Rate revenue] x100
Indebtedness Non-current liabilities compared to own source revenue [Non-current liabilities / Own source revenue] x100
Operating position Adjusted underlying result Adjusted underlying surplus (or deficit) [Adjusted underlying surplus (deficit)/ Adjusted underlying revenue] x100
RESULTS
9.09%
51.87%
7.42%
55.36%
34.09%
2017
10.26%
45.42%
6.81%
49.44%
35.58%
2018
10.27%
39.30%
6.68%
44.44%
45.08%
2019
(1.0)%
36.9%
6.8%
40.7%
58.1%
2020
1.7%
31.2%
6.7%
35.2%
60.4%
2021
5.2%
27.2%
6.5%
29.8%
62.6%
2022
3.7%
24.3%
6.3%
24.5%
65.3%
2023
No material variations
No new borrowings, loan balance reduces in line with repayments.
No new borrowings, loan balance reduces in line with repayments.
No new borrowings, loan balance reduces in line with repayments.
No material variations
Material Variations
Wodonga Council Annual Report 2018 - 2019
77
73.91%
0.75%
Stability Rates concentration Rates compared to adjusted underlying revenue [Rate revenue / Adjusted underlying revenue] x100
Rates effort Rates compared to property values [Rate revenue / Capital improved value of rateable properties in the municipality] x100
“asset renewal expenditure” means expenditure on an existing asset or on replacing an existing asset that returns the service capability of the asset to its original capability
“adjusted underlying surplus (or deficit)” means adjusted underlying revenue less total expenditure
(c) contributions to fund capital expenditure from sources other than those referred to in paragraphs (a) and (b)
(b) non-monetary asset contributions; and
(a) non-recurrent grants used to fund capital expenditure; and
“adjusted underlying revenue” means total income other than—
DEFINITIONS
2016
Dimension/Indicator/Measure
RESULTS
0.70%
71.3%
2021
0.73%
73.3%
2022
0.75%
73.7%
2023
No material variations
No material variations
Material Variations
“population “means the resident population estimated
“own-source revenue” means adjusted underlying revenue other than revenue that is not under the control of council (including government grants
“non-recurrent grant” means a grant obtained on the condition that it be expended in a specified manner and is not expected to be received again during the period covered by a council’s Strategic Resource Plan
“non-current liabilities” means all liabilities other than current liabilities
“non-current assets” means all assets other than current assets
“unrestricted cash” means all cash and cash equivalents other than restricted cash.
“restricted cash” means cash and cash equivalents, within the meaning of the AAS, that are not available for use other than for a purpose for which it is restricted, and includes cash to be used to fund capital works expenditure from the previous financial year
“residential rates” means revenue from general rates, municipal charges, service rates and service charges levied on residential properties
“recurrent grant “means a grant other than a nonrecurrent grant
“rate revenue” means revenue from general rates, municipal charges, service rates and service charges
0.68%
75.8%
2020
“current liabilities” has the same meaning as in the AAS
0.68%
69.43%
2019
by council
0.75%
70.47%
2018
“current assets” has the same meaning as in the AAS
0.77%
67.67%
2017
OTHER INFORMATION
BASIS OF PREPARATION
The council is required to prepare and include a performance statement within its annual report. The performance statement includes the results of the prescribed sustainable capacity, service performance and financial performance indicators and measures together with a description of the municipal district and an explanation of material variations in the results. This statement has been prepared to meet the requirements of the Local Government Act 1989 and Local Government (Planning and Reporting) Regulations 2014. Where applicable the results in the performance statement have been prepared on accounting bases consistent with those reported in the Financial Statements. The other results are based on information drawn from the council information systems or from third parties (e.g. Australian Bureau of Statistics).
78
Our performance
The performance statement presents the actual results for the current year and for the prescribed financial performance indicators and measures, the results forecast by the council’s strategic resource plan. The Local Government (Planning and Reporting) Regulations 2014 requires explanation of any material variations in the results contained in the performance statement. The council has adopted materiality thresholds relevant to each indicator and measure and explanations have not been provided for variations below the materiality thresholds unless the variance is considered to be material because of its nature. The forecast figures included in the performance statement are those adopted by the council in its strategic resource plan on 24 June 2019 and which forms part of the council plan. The strategic resource plan includes estimates based on key assumptions about the future that were relevant at the time of adoption and aimed at achieving sustainability over the long term. Detailed information on the actual financial results is contained in the General Purpose Financial Statements. The strategic resource plan can be obtained by contacting the council.
CERTIFICATION OF THE PERFORMANCE STATEMENT
Wodonga Council Annual Report 2018 - 2019
79
Independent Auditor’s Report To the Councillors of Wodonga City Council Opinion
I have audited the accompanying performance statement of Wodonga City Council (the council) which comprises the: • • • • • •
description of municipality for the year ended 30 June 2019 sustainable capacity indicators for the year ended 30 June 2019 service performance indicators for the year ended 30 June 2019 financial performance indicators for the year ended 30 June 2019 other information for the year ended 30 June 2019 (basis of preparation) certification of the performance statement.
In my opinion, the performance statement presents fairly, in all material respects, the performance of the council for the year ended 30 June 2019, in accordance with the performance reporting requirements of Part 6 of the Local Government Act 1989. Basis for Opinion
I have conducted my audit in accordance with the Audit Act 1994 which incorporates the Australian Standards on Assurance Engagements. I further describe my responsibilities under that Act and those standards in the Auditor’s Responsibilities for the Audit of the Performance Statement section of my report. My independence is established by the Constitution Act 1975. My staff and I are independent of the council in accordance with the ethical requirements of the Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (the Code) that are relevant to my audit of the performance statement in Victoria. My staff and I have also fulfilled our other ethical responsibilities in accordance with the Code. I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my opinion.
80
Councillors' responsibilities for the performance statement
The Councillors of the council are responsible for the preparation and fair presentation of the performance statement in accordance with the performance reporting requirements of the Local Government Act 1989, and for such internal control as the Councillors determine is necessary to enable the preparation and fair presentation of the statement of performance that is free from material misstatement, whether due to fraud or error.
Auditor’s responsibilities for the audit of the performance statement
As required by the Audit Act 1994, my responsibility is to express an opinion on the performance statement based on the audit. My objectives for the audit are to obtain reasonable assurance about whether the performance statement as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes my opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Australian Standards on Assurance
Our performance
Engagements will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the decisions of users taken on the basis of this performance statement. As part of an audit in accordance with the Australian Standards on Assurance Engagements, I exercise professional judgement and maintain professional scepticism throughout the audit. I also: •
•
•
identify and assess the risks of material misstatement of the performance statement, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for my opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the council’s internal control evaluate the overall presentation, structure and content of the performance statement, including the disclosures, and whether the performance statement represents the underlying events and results in a manner that achieves fair presentation.
I communicate with the Councillors regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that I identify during my audit.
MELBOURNE 23 September 2019
Jonathan Kyvelidis as delegate for the Auditor-General of Victoria
Wodonga Council Annual Report 2018 - 2019
81
82
Our performance 3.00
$2.19
$5.08
9.38
Health and Safety Reportable safety incidents at aquatic facilities [Number of WorkSafe reportable aquatic facility safety incidents]
Service cost Cost of indoor aquatic facilities [Direct cost of indoor aquatic facilities less income received / Number of visits to indoor aquatic facilities]
Service Cost Cost of outdoor aquatic facilities [Direct cost of outdoor aquatic facilities less income received / Number of visits to outdoor aquatic facilities]
Utilisation Utilisation of aquatic facilities [Number of visits to aquatic facilities / Municipal population]
6.00
2016
RESULTS
FOR THE YEAR ENDED JUNE 30, 2019
Service standard Health inspections of aquatic facilities [Number of authorised officer inspections of Council aquatic facilities / Number of Council aquatic facilities]
AQUATIC FACILITIES
Service performance indicators
REPORT OF OPERATIONS
8.92
$5.09
$2.17
1.00
2.50
2017
8.67
$5.82
$2.80
0.00
5.00
2018
8.43
$7.41
$2.05
1.00
2.50
2019
No material variations
Shorter season following 1 month delay in opening WAVES in spring 2018 due to retiling. In addition, recommissioning the pool following the retiling and an increase in utilities costs has also contributed to the higher cost per visit.
Pools are managed by Aligned Leisure, cost to council is fixed at contract guarantee rate, split in indoor / outdoor in contract tender document.
No material variations
Health inspections are required when the pool opens for the year, plus for any reportable incidents, with a retest to ensure incident is resolved. Lower number shows low incidents for the year.
Material Variations
Wodonga Council Annual Report 2018 - 2019
83
Service standard Food safety assessments [Number of registered class 1 food premises and class 2 food premises that receive an annual food safety assessment in accordance with the Food Act 1984 / Number of registered class 1 food premises and class 2 food premises that require an annual food safety assessment in accordance with the Food Act 1984] x100
Timeliness Time taken to action food complaints [Number of days between receipt and first response action for all food complaints / Number of food complaints]
FOOD SAFETY
97.38%
2.23
1.00
$38.58
Service cost Cost of animal management service [Direct cost of the animal management service / Number of registered animals]
Health and safety Animal management prosecutions [Number of successful animal management prosecutions]
64.27%
1.87
2016
Service standard Animals reclaimed [Number of animals reclaimed / Number of animals collected] x100
Timeliness Time taken to action animal management requests [Number of days between receipt and first response action for all animal management requests / Number of animal management requests]
ANIMAL MANAGEMENT
Service performance indicators
RESULTS
91.17%
1.85
0.00
$44.90
53.09%
1.23
2017
87.04%
2.22
0.00
$44.53
42.07%
1.35
2018
100.98%
1.45
2.00
$52.55
59.60%
1.26
2019
This reporting period included temporary class 2 sporting venues which were not captured in the previous year. Two premises had a change of owner during the year so had additional inspection with the new owner.
Full team capacity has allowed customer complaints to be addressed promptly.
Council prosecuted two serious animal management issues in 2018-2019.
There has been a significant drop in pet registrations in the 2018/19 year compared to the 2017/18 year.
Following increased awareness programs, the number of pets impounded decreased and the number of pets reclaimed increased in the 2018/19 year.
No material variations
Material Variations
84
Our performance 56.00
91.43%
Consultation and engagement Satisfaction with community consultation and engagement Community satisfaction rating out of 100 with how Council has performed on community consultation and engagement
Attendance Councillor attendance at council meetings [The sum of the number of Councillors who attended each ordinary and special Council meeting / (Number of ordinary and special Council meetings) Ă— (Number of Councillors elected at the last Council general election)] x100
Transparency Council decisions made at meetings closed to the public [Number of Council resolutions made at ordinary or special meetings of Council, or at meetings of a special committee consisting only of Councillors, closed to the public / Number of Council resolutions made at ordinary or special meetings of Council or at meetings of a special committee consisting only of Councillors ] x100 3.23%
72.12%
Health and safety Critical and major non-compliance outcome notifications [Number of critical non-compliance outcome notifications and major non-compliance notifications about a food premises followed up / Number of critical non-compliance outcome notifications and major noncompliance notifications about a food premises] x100
GOVERNANCE
$517.68
2016
Service cost Cost of food safety service [Direct cost of the food safety service / Number of food premises registered or notified in accordance with the Food Act 1984]
Service performance indicators
RESULTS
98.10%
57.00
6.28%
85.71%
$400.77
2017
97.14%
58.00
2.65%
71.64%
$402.81
2018
93.75%
53.00
9.21%
100.00%
$482.18
2019
Councillor leave of absence due to state elections.
No material variations
Increase in confidential items can be attributed to recruitment and appointment of a new CEO as well as a number of commercial in confidence matters pertaining to development and investment in the city, in accordance with the requirements of section 89(2) of the Local Government Act 1989.
Full team capacity in 2019 allowed all major and critical non compliances to be followed up.
Increase in sampling costs and in the number of samples tested due to more food complaints requiring testing to confirm contamination.
Material Variations
Wodonga Council Annual Report 2018 - 2019
85
54.69%
$4.24
12.13%
Resource standard Standard of library collection [Number of library collection items purchased in the last 5 years / Number of library collection items] x100
Service cost Cost of library service [Direct cost of the library service / Number of visits]
Participation Active library members [Number of active library members / Municipal population] x100
Utilisation Library collection usage [Number of library collection item loans / Number of library collection items] 4.41
53.00
Satisfaction Satisfaction with council decisions [Community satisfaction rating out of 100 with how council has performed in making decisions in the interest of the community]
LIBRARY
$45,277.29
2016
Service cost Cost of governance [Direct cost of the governance service / Number of Councillors elected at the last Council general election]
Service performance indicators
RESULTS
11.75%
$4.73
55.48%
4.30
55.00
$42,875.29
2017
11.32%
$4.86
65.74%
4.19
57.00
$43,734.43
2018
10.79%
$5.28
75.41%
4.60
51.00
$53,231.14
2019
The library offers a growing collection of electronic or digital items that are becoming increasingly popular but are not counted in the “active� library measure.
No material variations
A significant weeding of the collection of items older than 6 years was undertaken in preparation for the new library construction project.
No material variations
No material variations
Extra costs associated with the recruitment of the new CEO.
Material Variations
86
Our performance 81.72%
73.85%
Participation Participation in the MCH service [Number of children who attend the MCH service at least once (in the year) / Number of children enrolled in the MCH service] x100
Participation Participation in the MCH service by Aboriginal children [Number of Aboriginal children who attend the MCH service at least once (in the year) / Number of Aboriginal children enrolled in the MCH service] x100
Condition Sealed local roads below the intervention level [Number of kilometres of sealed local roads below the renewal intervention level set by Council / Kilometres of sealed local roads] x100
Satisfaction of use Sealed local road requests [Number of sealed local road requests / Kilometres of sealed local roads ] x100
99.30%
17.79
$88.38
Service cost Cost of the MCH service [Cost of the MCH service / Hours worked by MCH nurses]
ROADS
100.00%
105.92%
2016
Service standard Infant enrolments in the MCH service [Number of infants enrolled in the MCH service (from birth notifications received) / Number of birth notifications received] x100
Satisfaction Participation in first MCH home visit [Number of first MCH home visits / Number of birth notifications received] x100
MATERNAL AND CHILD HEALTH (MCH)
Service performance indicators
RESULTS
99.30%
43.51
74.46%
68.86%
$84.50
100.00%
100.38%
2017
97.44%
33.33
71.91%
73.39%
$84.00
101.09%
99.27%
2018
97.67%
34.93
76.04%
72.54%
$78.76
101.59%
98.41%
2019
No material variations
No material variations
Increased due to specific service improvement plan targets.
No material variations
Increased funding, increased service hours delivered and adjusted programs for 2018/19.
No material variations
Changes to an automatic electronic system has meant there’s some timing mismatch when babies are born around year end.
Material Variations
Wodonga Council Annual Report 2018 - 2019
87
$9.37
66.00
Service Cost Cost of sealed local road resealing [Direct cost of sealed local road resealing / Square metres of sealed local roads resealed]
Satisfaction Satisfaction with sealed local roads [Community satisfaction rating out of 100 with how council has performed on the condition of sealed local roads]
90.79%
$3,836.83
Service standard Planning applications decided within required time frames [(Number of planning application decisions made within 60 days) + (Number of VicSmart planning application decisions made with 10 days) / Number of planning application decisions made] x100
Service cost Cost of statutory planning service [Direct cost of the statutory planning service / Number of planning applications received]
Timeliness Time taken to decide planning applications [The median number of days between receipt of a planning application and a decision on the application] 30.00
$83.24
Service cost Cost of sealed local road reconstruction [Direct cost of sealed local road reconstruction / Square metres of sealed local roads reconstructed]
STATUTORY PLANNING
2016
Service performance indicators
RESULTS
$1,586.17
71.09%
33.00
65.00
$11.73
$120.83
2017
$2,587.91
81.22%
38.00
65.00
$5.83
$84.63
2018
$3,942.24
87.20%
45.00
64.00
$6.70
$38.50
2019
Increased costs result from the legal and consultant costs associated with four VCAT cases in 2018/19.
No material variations
Shortage in statutory planning staff members and an increase in planning applications, however, still well within statutory time frame.
No material variations
No material variations
2019 road renewal program consisted entirely of rural roads and therefore did not include costs associated with kerb/ driveways/footpaths and the high costs of hot-mix over spray seal.
Material Variations
88
Our performance $57.73
$28.05
71.49%
Service cost Cost of kerbside recyclables collection service [Direct cost of the kerbside recyclables bin collection service / Number of kerbside recyclables collection bins]
Waste diversion Kerbside collection waste diverted from landfill [Weight of recyclables and green organics collected from kerbside bins / Weight of garbage, recyclables and green organics collected from kerbside bins] x100
3.45
Service cost Cost of kerbside garbage bin collection service [Direct cost of the kerbside garbage bin collection service / Number of kerbside garbage collection bins]
Service standard Kerbside collection bins missed [Number of kerbside garbage and recycling collection bins missed / Number of scheduled kerbside garbage and recycling collection bin lifts] x10,000
Satisfaction Kerbside bin collection requests [Number of kerbside garbage and recycling bin collection requests / Number of kerbside bin collection households] x1000 30.88
0.00%
Decision making Council planning decisions upheld at VCAT [Number of VCAT decisions that did not set aside council’s decision in relation to a planning application / Number of VCAT decisions in relation to planning applications] x100
WASTE COLLECTION
2016
Service performance indicators
RESULTS
72.19%
$26.19
$56.26
2.32
87.27
0.00%
2017
71.43%
$28.98
$57.97
5.70
143.19
0.00%
2018
70.06%
$41.12
$62.10
4.72
130.09
100.00%
2019
No material variations
A recycling processing fee was increased after negotiation with the contractor due to China Sword bans.
Increase in cost of collection and disposal.
This was a focus for the contractor after last year’s results.
Function of new subdivision developments and the commencement of including public requests made direct to the contractor in 2018 for the first time.
No VCAT cases for the last few years, four in 2018/19.
Material Variations
GOVERNANCE AND MANAGEMENT ITEMS
ASSESSMENT
COMMUNITY ENGAGEMENT POLICY
Policy Date of operation of current policy: June 26, 2014
(Policy outlining council’s commitment to engaging with the community on matters of public interest)
COMMUNITY ENGAGEMENT GUIDELINES (Guidelines to assist staff to determine when and how to engage with the community)
STRATEGIC RESOURCE PLAN (Plan under section 126 of the Act outlining the financial and nonfinancial resources required for at least the next 4 financial years)
Guidelines Date of operation of current guidelines: October 1, 2015
Adopted in accordance with section 126 of the Act Date of adoption: June 24, 2019
ANNUAL BUDGET (Plan under section 130 of the Act setting out the services to be provided and initiatives to be undertaken over the next 12 months and the funding and other resources required)
ASSET MANAGEMENT PLANS (Plans that set out the asset maintenance and renewal needs for key infrastructure asset classes for at least the next 10 years)
RATING STRATEGY (Strategy setting out the rating structure of Council to levy rates and charges
RISK POLICY (Policy outlining Council’s commitment and approach to minimising the risks to Council’s operations)
FRAUD POLICY (Policy outlining council’s commitment and approach to minimising the risk of fraud)
MUNICIPAL EMERGENCY MANAGEMENT PLAN (Plan under section 20 of the Emergency Management Act 1986 for emergency prevention, response and recovery)
Adopted in accordance with section 130 of the Act Date of adoption: June 24, 2019 Plans Date of operation of current plans: Road Asset Plan - October 20, 2014 Footpath Asset Plan - November 17, 2014 Bridge and Major Culvert Asset Management Plan – September 19, 2016 Stormwater Drainage Asset Management Plan – December 11, 2017 Strategy Date of operation of current strategy: April 15, 2019
Policy Date of operation of current policy: August 8, 2017
Policy Date of operation of current policy: September 21, 2015
Prepared and maintained in accordance with section 20 of the Emergency Management Act 1986 Date of preparation: June 25, 2018
Wodonga Council Annual Report 2018 - 2019
89
GOVERNANCE AND MANAGEMENT ITEMS
ASSESSMENT
PROCUREMENT POLICY (Policy under section 186A of the Local Government Act 1989 outlining the matters, practices and procedures that will apply to all purchases of goods, services and works)
BUSINESS CONTINUITY PLAN (Plan setting out the actions that will be undertaken to ensure that key services continue to operate in the event of a disaster)
DISASTER RECOVERY PLAN (Plan setting out the actions that will be undertaken to recover and restore business capability in the event of a disaster)
RISK MANAGEMENT FRAMEWORK (Framework outlining council’s approach to managing risks to the Council’s operations)
Prepared and approved in accordance with s. 186A of the Local Government Act 1989 Date of approval: June 24, 2019
Plan Date of operation of current plan: February 20, 2017
Plan Date of operation of current plan: February 20, 2017 Framework Date of operation of current framework: June 22, 2015
AUDIT COMMITTEE (Advisory committee of council under section 139 of the Act whose role is to oversee the integrity of a council’s financial reporting, processes to manage risks to the council’s operations and for compliance with applicable legal, ethical, and regulatory requirements)
Established in accordance with section 139 of the Act Date of establishment: February 1, 2004
INTERNAL AUDIT (Independent accounting professionals engaged by the council to provide analyses and recommendations aimed at improving council’s governance, risk and management controls)
PERFORMANCE REPORTING FRAMEWORK (A set of indicators measuring financial and nonfinancial performance, including the performance indicators referred to in section 131 of the Act)
COUNCIL PLAN REPORTING (Report reviewing the performance of the council against the Council Plan, including the results in relation to the strategic indicators, for the first six months of the financial year)
FINANCIAL REPORTING (Quarterly statements to council under section 138 of the Actcomparing budgeted revenue and expenditure with actual revenue and expenditure)
90
Our performance
Engaged Date of engagement of current provider: May 29, 2017
Framework Date of operation of current framework: July 1, 2014
Reports Date report presented: November 19, 2018, March 18, 2019, and May 13, 2019 Statements presented to council in accordance with section 138(1) of the Act Date statements presented: September 17, 2018, October 15, 2018, November 19, 2018, December 10, 2018, January 21, 2019, February 18, 2019, March 18, 2019, April 15, 2019, May 13, 2019, June 24, 2019
GOVERNANCE AND MANAGEMENT ITEMS
ASSESSMENT
RISK REPORTING
Reports Date reports presented: September 12, 2018, November 29, 2018, April 4, 2019 and May 30, 2019
(Six-monthly reports of strategic risks to council’s operations, their likelihood and consequences of occurring and risk minimisation strategies)
PERFORMANCE REPORTING (Six-monthly reports of indicators measuring the results against financial and non-financial performance, including performance indicators referred to in section 131 of the Act)
ANNUAL REPORT (Annual report under sections 131, 132 and 133 of the Act to the community containing a report of operations and audited financial and performance statements)
COUNCILLOR CODE OF CONDUCT (Code under section 76C of the Act setting out the conduct principles and the dispute resolution processes to be followed by councillors)
DELEGATIONS (A document setting out the powers, duties and functions of council and the Chief Executive Officer that have been delegated to members of staff)
MEETING PROCEDURES (A local law governing the conduct of meetings of council and special committees)
Reports Date reports presented: September 17, 2018.
Considered at a meeting of council in accordance with section 134 of the Act Date statements presented: October 15, 2018
Reviewed in accordance with section 76C of the Act Date reviewed: February 20, 2017
Reviewed in accordance with section 98(6) of the Act Date of review: May 13, 2019 Meeting procedures local law made in accordance with section 91(1) of the Act Date local law made: May 24, 2019
Wodonga Council Annual Report 2018 - 2019
91
92
Our performance
ANNUAL FINANCIAL REPORT 2018-2019
Wodonga Council Annual Financial Reort 2018 - 2019
93
FINANCIAL REPORT CONTENTS
Comprehensive income statement
98
Balance sheet 99 Statement of changes in equity 100 Statement of cash flows 101 Statement of capital works 102
Notes to financial statements Overview 103
94
Note 1 - Performance against budget
104
Note 2 - Analysis of Council results by program
107
Note 3 - Funding for the delivery of our services
109
Note 4 - The cost of delivering services
112
Note 5 - Our financial position
114
Note 6 - Assets we manage
120
Note 7 - People and relationships
128
Note 8 - Managing uncertainties
130
Note 9 - Other matters
134
Our performance
CERTIFICATION OF THE FINANCIAL STATEMENTS
In my opinion, the accompanying financial statements have been prepared in accordance with the Local Government Act 1989, the Local Government (Planning and Reporting) Regulations 2014, Australian Accounting Standards and other mandatory professional reporting requirements.
Wodonga Council Annual Financial Reort 2018 - 2019
95
Independent Auditor’s Report To the Councillors of Wodonga City Council Opinion
I have audited the financial report of Wodonga City Council (the council) which comprises the: • • • • • • •
balance sheet as at 30 June 2019 comprehensive income statement for the year then ended statement of changes in equity for the year then ended statement of cash flows for the year then ended statement of capital works for the year then ended notes to the financial statements, including significant accounting policies certification of the financial statements.
In my opinion the financial report presents fairly, in all material respects, the financial position of the council as at 30 June 2019 and its financial performance and cash flows for the year then ended in accordance with the financial reporting requirements of Part 6 of the Local Government Act 1989 and applicable Australian Accounting Standards. Basis for Opinion
I have conducted my audit in accordance with the Audit Act 1994 which incorporates the Australian Auditing Standards. I further describe my responsibilities under that Act and those standards in the Auditor’s Responsibilities for the Audit of the Financial Report section of my report. My independence is established by the Constitution Act 1975. My staff and I are independent of the council in accordance with the ethical requirements of the Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (the Code) that are relevant to my audit of the financial report in Victoria. My staff and I have also fulfilled our other ethical responsibilities in accordance with the Code. I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my opinion.
Councillors’ responsibilities for the financial report
The Councillors of the council are responsible for the preparation and fair presentation of the financial report in accordance with Australian Accounting Standards and the Local Government Act 1989, and for such internal control as the Councillors determine is necessary to enable the preparation and fair presentation of a financial report that is free from material misstatement, whether due to fraud or error. In preparing the financial report, the Councillors are responsible for assessing the council’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless it is inappropriate to do so.
96
Our performance
Auditor’s responsibilities for the audit of the financial report
As required by the Audit Act 1994, my responsibility is to express an opinion on the financial report based on the audit. My objectives for the audit are to obtain reasonable assurance about whether the financial report as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes my opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this financial report. As part of an audit in accordance with the Australian Auditing Standards, I exercise professional judgement and maintain professional scepticism throughout the audit. I also: •
•
• •
•
identify and assess the risks of material misstatement of the financial report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for my opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the council’s internal control evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Councillors conclude on the appropriateness of the Councillors’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the council’s ability to continue as a going concern. If I conclude that a material uncertainty exists, I am required to draw attention in my auditor’s report to the related disclosures in the financial report or, if such disclosures are inadequate, to modify my opinion. My conclusions are based on the audit evidence obtained up to the date of my auditor’s report. However, future events or conditions may cause the council to cease to continue as a going concern. evaluate the overall presentation, structure and content of the financial report, including the disclosures, and whether the financial report represents the underlying transactions and events in a manner that achieves fair presentation.
I communicate with the Councillors regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that I identify during my audit.
MELBOURNE 23 September 2019
Jonathan Kyvelidis as delegate for the Auditor-General of Victoria
Wodonga Council Annual Financial Reort 2018 - 2019
2 97
Wodonga City Council 2018/2019 Financial Report
Comprehensive Income Statement For the Year Ended 30 June 2019 Note
2019 $'000
2018 $'000
Income Rates and charges Statutory fees and fines User fees Grants - operating Grants - capital Contributions - monetary Contributions - non monetary Other income Total income
3.1 3.2 3.3 3.4 3.4 3.5 3.5 3.7
46,135 490 5,375 10,719 4,314 1,492 11,979 2,044 82,548
45,034 651 5,242 10,181 4,695 1,259 550 67,611
Expenses Employee costs Materials and services Depreciation and amortisation Bad and doubtful debts Borrowing costs Net gain (or loss) on disposal of property, infrastructure, plant and equipment Other expenses Total expenses
4.1 4.2 4.3 4.4 4.5 3.6 4.6
24,207 19,535 10,366 1,334 2,276 1,790 59,508
23,612 21,589 9,721 1,409 8 898 57,237
23,040
10,374
14,874
6,376
37,914
16,750
Surplus/(deficit) for the year Other comprehensive income Items that will not be reclassified to surplus or deficit in future periods Net asset revaluation increment/(decrement) Total comprehensive result
6.2
The above comprehensive income statement should be read in conjunction with the accompanying notes.
98
Our performance
Wodonga City Council 2018/2019 Financial Report
Balance Sheet As at 30 June 2019 Note
2019
2018
$'000
$'000
5.1 5.1 5.1 5.2 6.1 5.2
21,227 2,774 13,000 23 4,900 1,108 43,033
18,624 2,166 10,500 28 1,875 803 33,996
6.2
627,165 627,165 670,198
598,952 598,952 632,948
5.3 5.3 5.5 5.4
4,399 1,387 5,091 1,947 12,824
3,430 1,114 4,949 1,853 11,347
5.5 5.4
2,722 18,516 21,238 34,062
3,011 20,368 23,379 34,726
Net assets
636,136
598,222
Equity Accumulated surplus Reserves Total equity
411,589 224,547 636,136
388,549 209,673 598,222
Assets Current assets Cash and cash equivalents Trade and other receivables Other financial assets Inventories Non-current assets classified as held for sale Other assets Total current assets Non-current assets Property, infrastructure, plant and equipment Total non-current assets Total assets Liabilities Current liabilities Trade and other payables Trust funds and deposits Provisions Interest-bearing liabilities Total current liabilities Non-current liabilities Provisions Interest-bearing liabilities Total non-current liabilities Total liabilities
9.1
The above balance sheet should be read in conjunction with the accompanying notes.
Wodonga Council Annual Financial Reort 2018 - 2019
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Wodonga City Council 2018/2019 Financial Report
Statement of Changes in Equity For the Year Ended 30 June 2019 Note 2019 Balance at beginning of the financial year Surplus/(deficit) for the year Net asset revaluation increment Balance at end of the financial year
9.1
2018 Balance at beginning of the financial year Recognition of found assets - Buildings Change of methodology - Land Under Roads Recognition of assets contributed to council - Infrastructure Recognition of assets contributed by council - Infrastructure Surplus/(deficit) for the year Net asset revaluation increment Balance at end of the financial year
9.4 9.4 9.4 9.4 9.1
Total $'000
Accumulated Surplus $'000
Revaluation Reserve $'000
598,222 23,040 14,874 636,136
388,549 23,040 411,589
209,673 14,874 224,547
Total $'000
Accumulated Surplus $'000
Revaluation Reserve $'000
532,511 511 39,302 27,253 (18,105) 10,374 6,376 598,222
329,214 511 39,302 27,253 (18,105) 10,374 388,549
203,297 6,376 209,673
The above statement of changes in equity should be read in conjunction with the accompanying notes.
100
Our performance
Wodonga City Council 2018/2019 Financial Report
Statement of Cash Flows For the Year Ended 30 June 2019 2019 Inflows/ (Outflows) $'000
2018 Inflows/ (Outflows) $'000
45,863 490 5,734 10,781 4,457 1,567 671 606 (23,900) (20,152) (340) (902) 24,875
44,779 650 5,436 10,521 4,851 1,322 602 (479) (23,606) (22,765) 497 (989) 20,819
(16,964) 269 (2,500) (19,195)
(16,352) 119 (6,500) (22,733)
Finance costs Repayment of borrowings Net cash (used in) financing activities
(1,337) (1,740) (3,077)
(1,409) (1,654) (3,063)
Net increase (decrease) in cash and cash equivalents Cash and cash equivalents at the beginning of the financial year
2,603 18,624
(4,977) 23,601
Cash and cash equivalents at the end of the financial year
21,227
18,624
Note
Cash flows from operating activities Rates and charges Statutory fees and fines User fees Grants - operating Grants - capital Contributions - monetary Interest received Trust funds and deposits taken Employee costs Materials and services Trust funds and deposits repaid Other payments Net cash provided by operating activities
9.2
Payments for property, infrastructure, plant and equipment Proceeds from sale of property, infrastructure, plant and equipment Proceeds from sale / (purchase of) investments Payments of loans and advances Net cash (used in) investing activities
6.2
Cash flows from financing activities
Financing arrangements Restrictions on cash assets
5.6 5.1
The above statement of cash flows should be read in conjunction with the accompanying notes.
Wodonga Council Annual Financial Reort 2018 - 2019 The above statement of cash flows should be read in conjunction with the accompanying notes. Page 7
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Wodonga City Council 2018/2019 Financial Report
Statement of Capital Works For the Year Ended 30 June 2019 Note
2019 $'000
2018 $'000
Property Land
-
-
Total land
-
-
Buildings
1,591
3,198
Building improvements
405
-
Total buildings
1,996
3,198
Total property
1,996
3,198
Plant and equipment Plant, machinery and equipment Fixtures, fittings and furniture Computers and telecommunications Library books Total plant and equipment
669 445 101 1,215
384 97 599 97 1,177
Infrastructure Roads Bridges Footpaths and Cycleways Drainage Recreational, leisure and community facilities Parks, open space and streetscapes Off street car parks Other infrastructure Total infrastructure
8,072 52 1,618 103 1,432 2,062 265 149 13,753
6,038 193 1,646 467 3,634 11,978
Total capital works expenditure
16,964
16,352
Represented by: New asset expenditure Asset renewal expenditure Asset expansion expenditure Asset upgrade expenditure Total capital works expenditure
4,288 4,673 8,003 16,964
2,452 3,459 67 10,373 16,352
The above statement of capital works should be read in conjunction with the accompanying notes.
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Our performance
Notes to the Financial Report For the Year Ended 30 June 2019
Wodonga City Council 2018/2019 Financial Report
OVERVIEW Introduction The Wodonga City Council was established by an Order of the Governor in Council on December 16, 2003 and is a body corporate. The Council's main office is located at 104 Hovell Street, Wodonga. Statement of compliance These financial statements are a general purpose financial report that consists of a Comprehensive Income Statement, Balance Sheet, Statement of Changes in Equity, Statement of Cash Flows, Statement of Capital Works and Notes accompanying these financial statements. The general purpose financial report complies with the Australian Accounting Standards (AAS), other authoritative pronouncements of the Australian Accounting Standards Board, the Local Government Act 1989, and the Local Government (Planning and Reporting) Regulations 2014. Significant accounting policies (a) Basis of accounting The accrual basis of accounting has been used in the preparation of these financial statements, whereby assets, liabilities, equity, income and expenses are recognised in the reporting period to which they relate, regardless of when cash is received or paid. Judgements, estimates and assumptions are required to be made about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and associated judgements are based on professional judgement derived from historical experience and various other factors that are believed to be reasonable under the circumstances. Actual results may differ from these estimates. Revisions to accounting estimates are recognised in the period in which the estimate is revised and also in future periods that are affected by the revision. Judgements and assumptions made by management in the application of AAS's that have significant effects on the financial statements and estimates relate to: - the fair value of property, infrastructure, plant and equipment (refer to Note 6.2) - the determination of depreciation for buildings, infrastructure, plant and equipment (refer to Note 6.2) - the determination of employee provisions (refer to Note 5.5) - the determination of landfill provisions (refer to Note 5.5) - other areas requiring judgement. Unless otherwise stated, all accounting policies are consistent with those applied in the prior year. Where appropriate, comparative figures have been amended to accord with current presentation, and disclosure has been made of any material changes to comparatives.
Wodonga Council Annual Financial Reort 2018 - 2019
103
Notes to the Financial Report For the Year Ended 30 June 2019
Wodonga City Council 2018/2019 Financial Report
Note 1 Performance against budget
The performance against budget notes compare Council’s financial plan, expressed through its annual budget, with actual performance. The Local Government (Planning and Reporting) Regulations 2014 requires explanation of any material variances. Council has adopted a materiality threshold of the lower of 10 percent or $1 million where further explanation is warranted. Explanations have not been provided for variations below the materiality threshold unless the variance is considered to be material because of its nature. The budget figures detailed below are those adopted by Council on 25 June 2018. The budget was based on assumptions that were relevant at the time of adoption of the budget. Council sets guidelines and parameters for income and expense targets in this budget in order to meet Council’s planning and financial performance targets for both the short and long-term. The budget did not reflect any changes to equity resulting from asset revaluations, as their impacts were not considered predictable. These notes are prepared to meet the requirements of the Local Government Act 1989 and the Local Government (Planning and Reporting) Regulations 2014 . 1.1 Income and expenditure
Income Rates and charges Statutory fees and fines User fees Grants - operating Grants - capital Contributions - monetary Contributions - non monetary Other income Total income
104
Budget 2019 $'000
Actual 2019 $'000
Variance 2019 $'000
Variance
45,982 1,467 4,208 6,743 7,754 225 1,090 67,589
46,135 490 5,375 10,719 4,314 1,492 11,979 2,044 82,548
153 (976) 1,167 3,976 (3,440) 1,267 11,979 954 15,080
0% -67% 28% 59% -44% 563% 100% 88% 22%
%
Expenses Employee costs Materials and services Depreciation and amortisation Borrowing costs Net gain/(loss) on disposal of property, infrastructure, plant and equipment Other expenses Total expenses
25,211 19,829 9,395 1,459
24,207 19,535 10,366 1,334
1,004 293 (971) 125
4% 1% -10% 9%
120 1,176 57,070
2,276 1,790 59,508
2,156 (614) 1,994
1797% -52% 3%
Surplus/(deficit) for the year
10,518
23,040
17,074
162%
Our performance Page 10
Ref
1 2 3 4 5 6 8
9 10
7 11
Wodonga City Council 2018/2019 Financial Report
(i) Explanation of material variations
Item
Variance Ref
Notes to the Financial Report For the Year Ended 30 June 2019
Explanation
1
Statutory fees and fines
Statutory fees and user fee budget dissections are different to financial statement dissections, offsets below with user fees $0.2m overall underlying variance to budget. Building fees are subject to fluctuation based on developments.
2
User fees
As above actual variance to budget is only $0.2m due to building fees which are subject to fluctuation based on building developments.
3
Grants - operating
Grants are only included in the budget if they have been confirmed. Therefore it is common that grants confirmed after the budget has been adopted will result in actual grant revenue exceeding budget. 50% of the 2019/20 Financial Assistance Grant in was paid in June 2019. Higher operating grants for Preschools, unbudgeted grants received for Sustainability, new project funding received for Funded Community Projects.
4
Grants - capital
$1.5m National Stronger Regions Funding capital grants for Richardson Park and $2.5m for High St works were deferred to 2019/20 as a result of delays in competition / payment of works. Additional capital grants were received after adoption of the budget.
5
Contributions - monetary
Contributions are only included in the budget if they have been confirmed. Therefore it is common that contributions received after the budget has been adopted will result in actual contributions exceeding budget. Contributions are dependent upon land development projects and are therefore subject to fluctuation. There is also some offset in Other Income below.
6
Contributions - non monetary
Developer contributed infrastructure assets have been brought to account. These are not budgeted for as at the time of preparing the budget these items can not be confirmed.
7
Only known disposals of assets are included in the budget, usually trade in amounts receivable from plant renewals. Net gain/(loss) on disposal of It is common for sales prices to not be confirmed until disposal date, or for unplanned disposals and write downs to property, infrastructure, plant occur, therefore resulting in a fluctuation to budget. Asset disposals in 2018/19 predominantly write off of building and equipment assets capital additions as a result of revaluation.
8
Other income
Actuals are interest and asset impairment write back on revaluation, budget includes some contributions which are offset at note 5 above. Interest variance is favourable to budget due to interest on investments, as cash was higher than budget in 2018/19. Impairment movements are not budgeted for.
9
Employee costs
Salary and wages costs were below budget due to unfilled staff vacancies during the year of $0.55 million, superannuation is $0.16 million down compared to budget due to lower salaries, WorkCover was $0.2m lower than budget due to lower claims than budgeted.
10
Depreciation and amortisation
Assets capitalised at end of 2017/18 higher than expected in the budget setting process.
11
Other expenses
Predominantly contributions through Community Impact Grants, due to timing of applications and community programs.
Page 11
Wodonga Council Annual Financial Reort 2018 - 2019
105
Notes to the Financial Report For the Year Ended 30 June 2019
Wodonga City Council 2018/2019 Financial Report Note 1
Performance against budget (cont'd)
1.2 Capital works
Budget 2019 $'000
Actual 2019 $'000
Variance 2019 $'000
Variance
Property Buildings Building improvements Total Buildings Total Property
1,688 444 2,132 2,132
1,591 405 1,996 1,996
(97) (39) (135) (135)
-6% -9% -6% -6%
Plant and Equipment Plant, machinery and equipment Computers and telecommunications Total Plant and Equipment
610 573 1,183
770 445 1,215
160 (127) 32
26% -22% 3%
Infrastructure Roads Bridges Footpaths and cycleways Drainage Recreational, leisure and community facilities Parks, open space and streetscapes Off street car parks Other infrastructure Total Infrastructure
8,015 79 2,171 134 1,910 3,145 300 5,315 21,069
8,072 52 1,618 103 1,432 2,062 265 149 13,753
56 (27) (552) (31) (478) (1,083) (35) (5,166) (7,316)
1% -34% -25% -23% -25% -34% -12% -97% -35%
Total Capital Works Expenditure
24,383
16,964
(7,419)
-30%
Represented by: New asset expenditure Asset renewal expenditure Asset expansion expenditure Asset upgrade expenditure Total Capital Works Expenditure
9,797 6,094 900 7,593 24,383
4,288 4,673 8,003 16,964
(5,508) (1,421) (900) 410 (7,420)
-56% -23% -100% 5% -30%
%
Ref
1 2
3 4 5 6 7 8 9
(i) Explanation of material variations Variance Ref 1 2 3 4 5 6 7 8 9
Item Plant, machinery and equipment Computers and telecommunications Bridges Footpaths and cycleways Drainage Recreational, leisure and community facilities Parks, open space and streetscapes Carparks Other infrastructure
Explanation Library book acquisitions are included in actuals but were not in capital budget due to minor amounts involved. Predominantly delay in Junction Square public Wi-Fi, will be carried forward to 2019/20 financial year. Delay in design work for Lawrence St bridge, will be carried forward to 2019/20. Delay in Felltimber pedestrian crossing, reallocation of footpath renewals funding to roads renewals. Drainage projects to be carried forward to 2019/20 financial year. Timing of playgrounds projects, currently out for tender or in progress, will be completed in 2019/20. Bonegilla development and Wodonga Sports and Leisure Centre energy efficiency works ongoing, will be completed in 2019/20. Timing of projects, including Birralee Park masterplan and Richardson Park final payments, will be completed in 2019/20. Athletics Centre carpark works completed under budget. Predominantly the LOGIC Gasgate, project rescoped and deferred to 2019/20. Page 12
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Our performance
Wodonga City Council 2018/2019 Financial Report
Note 2.1
Notes to the Financial Report For the Year Ended 30 June 2019 Analysis of Council results by program Council delivers its functions and activities through the following programs.
2.1 (a)
Community Development Community Development works collectively and collaboratively across the organisation and out into the community to provide opportunities that are premised on the principles of equity, access and social justice that are responsive to community need and aspirations that provides optimal quality of life outcomes for all. Business Services Business Services seeks to provide quality financial and general management leadership to council and the community and to help people in our organisation achieve their goals, and make their world easier; and, support an economically vibrant, sustainable, healthy and safe community. Planning and Infrastructure Planning and infrastructure provides timely statutory and strategic responses to city planning, planning and implementing infrastructure and public amenity projects and maintaining the city’s built and natural assets in association with other units within the organisation for the benefit of the community.
Page 13 Wodonga Council Annual Financial Reort 2018 - 2019
107
Notes to the Financial Report For the Year Ended 30 June 2019
Wodonga City Council 2018/2019 Financial Report
Note 2.1 Analysis of Council results by program 2.1 (b) Summary of revenues, expenses, assets and capital expenses by program
2019 Community Development Business Services
$'000 8,283 47,315
$'000 10,813 18,168
Grants included in income $'000 $'000 (2,530) 5,925 29,147 4,750
Planning and Infrastructure
26,950 82,548
30,527 59,508
(3,576) 23,040
Income
Income 2018 Community Development Business Services Planning and Infrastructure
108
Our performance
$'000 7,011 43,570 17,030 67,611
Expenses
Expenses $'000 10,674 15,871 30,692 57,237
Surplus /(Deficit)
Surplus /(Deficit) $'000 (3,663) 27,699 (13,662) 10,374
4,359 15,034 Grants included in income $'000 4,682 4,668 5,526 14,876
Total assets $'000 37,746 92,238 540,214 670,198 Total assets $'000 34,819 86,668 511,461 632,948
Notes to the Financial Report For the Year Ended 30 June 2019
Wodonga City Council 2018/2019 Financial Report
Note 3 Funding for the delivery of our services 3.1 Rates and charges
2019 $'000
2018 $'000
Council uses Capital Improved Value as the basis of valuation of all properties within the municipal district. The Capital Improved Value of a property is the value of land and all improvements. The valuation base used to calculate general rates for 2018/19 was $6,288 million (2017/18 was $5,782 million). General rates Waste management charge Service rates and charges Supplementary rates and rate adjustments Interest on rates and charges Total rates and charges
37,498 7,801 37 713 86 46,135
36,048 8,466 36 397 87 45,034
The date of the latest general revaluation of land for rating purposes within the municipal district was 1 January 2018, and the valuation was first applied in the rating year commencing 1 July 2018. Annual rates and charges are recognised as revenues when Council issues annual rates notices. Supplementary rates are recognised when a valuation and reassessment is completed and a supplementary rates notice issued. 3.2 Statutory fees and fines Infringements and costs Court recoveries Town planning fees Land Information Certificates Permits Total statutory fees and fines
126 34 11 35 284 490
145 149 9 41 307 651
Statutory fees and fines (including parking fees and fines) are recognised as revenue when the service has been provided, the payment is received, or when the penalty has been applied, whichever first occurs. 3.3 User fees Infrastructure fees Child care/children's program fees The Cube Building Maintenance Tourism, culture and events Community centres Contract works Waste fees Transfer station Health Property management Recreation Civic service fees Gateway village fees Building and town planning service fees Library Rates cost recoveries Other fees and charges Total user fees
189 1,269 219 173 213 96 153 555 345 86 93 578 105 1,025 27 222 27 5,375
383 859 272 178 203 91 165 11 553 355 148 112 536 124 882 27 120 223 5,242
User fees are recognised as revenue when the service has been provided or Council has otherwise earned the income. Page 15
Wodonga Council Annual Financial Reort 2018 - 2019
109
Notes to the Financial Report For the Year Ended 30 June 2019
Wodonga City Council 2018/2019 Financial Report
3.4 Funding from other levels of government Grants were received in respect of the following : Summary of grants Commonwealth funded grants State funded grants Total grants received (a) Operating Grants Recurrent - Commonwealth Government Financial Assistance Grant Victoria Grants Commission - local roads funding Children's Services Senior Citizens Centre Recurrent - State Government Regional Partnerships - The Cube Libraries School Crossing Supervisors Emergency Management Environmental Health Maternal and Child Health Children's Services Youth Services Community Centres Healthy Communities Environmental Lands Parks and Gardens Inclusive and Safer Communities Recreation Sustainability Events Program Total recurrent operating grants Non-recurrent - State Government Economic Development The Cube Libraries Arts Development Strategic Planning Waste Management Other Total non-recurrent operating grants Total operating grants
Page 16
110
Our performance
2019 $'000
2018 $'000
6,948 8,085 15,033
6,200 8,677 14,877
4,320 765 9
4,437 888 11 -
80 304 281 84 70 585 3,275 150 160 233 40 31 50 15 120 5 10,577
80 293 50 82 87 701 2,694 121 136 136 10 16 48 10 35 9,835
65 13 30 34 142 10,719
50 7 18 100 66 105 346 10,181
Notes to the Financial Report For the Year Ended 30 June 2019
Wodonga City Council 2018/2019 Financial Report
3.4 Funding from other levels of government (cont) (b) Capital Grants Recurrent - Commonwealth Government Roads to recovery Total recurrent capital grants
2019 $'000
2018 $'000
66 66
863 863
136 12 1,639 1,787
3,000 3,000
Non-recurrent - State Government Recreational, leisure and community Sustainability Parks, open spaces and streetscapes Roads Footpaths and cyclepaths Drainage Non-recurrent - State Government Total non-recurrent capital grants Total capital grants
807 30 756 868 2,461 4,248 4,314
273 152 177 205 25 3,832 3,832 4,695
(c) Unspent grants received on condition that they be spent in a specific manner Balance at start of year Received during the financial year and remained unspent at balance date Received in prior years and spent during the financial year Balance at year end
2,179 1,775 (2,179) 1,775
1,227 2,179 (1,227) 2,179
Non-recurrent - Commonwealth Government Pedestrian Cyclepath Linkage to CBD Other small capital projects National Stronger Regions Fund - CBD Non-recurrent - Commonwealth Government
Grant income is recognised when Council obtains control of the contribution. Control is normally obtained upon receipt (or acquittal) or upon earlier notification that a grant has been secured. 3.5 Contributions Monetary Non-monetary Total contributions
1,492 11,979 13,471
Contributions of non monetary assets were received in relation to the following asset classes. Land Infrastructure Total non-monetary contributions
3,750 8,229 11,979
1,259 1,259
-
Monetary and non monetary contributions are recognised as revenue when Council obtains control over the contributed asset. 3.6 Net (loss) on disposal of property, infrastructure, plant and equipment Proceeds of sale Written down value of assets disposed Total net (loss) on disposal of property, infrastructure, plant and equipment
130 (2,406) (2,276)
119 (127) (8)
The gain or loss on sale of an asset is determined when control of the asset has passed to the buyer.
Wodonga Council Annual Financial Reort 2018 - 2019
111
Wodonga City Council 2018/2019 Financial Report
Notes to the Financial Report For the Year Ended 30 June 2019
3.7 Other income
2019 $'000 736 1,308 2,044
Interest Impairment loss recovered Total other income
2018 $'000 550 550
Interest is recognised as it is earned. Impairment loss is due to write back of land assets previously incurred impairment loss that went to profit and loss in a prior year. Note 4 The cost of delivering services 4.1 Employee costs Wages and salaries WorkCover Casual staff Superannuation Fringe benefits tax Redundancy Other Total employee costs
19,834 605 1,094 1,879 128 122 545 24,207
19,279 680 1,061 1,849 131 19 593 23,612
80 80 -
92 92 -
928 866 1,794 82
946 802 1,748 84
3,987 47 723 1,226 98 53 397 764 4,684 796 1,706 901 268 429 1,794 1,153 509 19,535
3,630 719 1,195 115 248 433 532 6,892 850 1,558 1,089 280 369 1,921 1,091 667 21,589
(b) Superannuation Council made contributions to the following funds: Defined benefit fund Employer contributions to Local Authorities Superannuation Fund (Vision Super) Employer contributions payable at reporting date.
Accumulation funds Employer contributions to Local Authorities Superannuation Fund (Vision Super) Employer contributions - other funds Employer contributions payable at reporting date. Refer to Note 9.3 for further information relating to Council's superannuation obligations. 4.2 Materials and services Contract payments - waste management Contract payments - sustainability Contract payments - information management Contract payments - recreation Contract payments - civic services Contract payments - finance Contract payments - building and property Contract payments - other Building maintenance General maintenance Utilities Office administration Information technology Insurance Consultants Lease payments Other Total materials and services
112
Our performance
Page 18
Wodonga City Council 2018/2019 Financial Report
Notes to the Financial Report For the Year Ended 30 June 2019
4.3 Depreciation and amortisation
2019 $'000 Property 1,737 Plant and equipment 988 Infrastructure 7,641 Total depreciation and amortisation 10,366 Refer to note 6.2 for a more detailed breakdown of depreciation and amortisation charges and accounting policy.
4.4 Bad and doubtful debts Other debtors Total bad and doubtful debts Movement in provisions for doubtful debts Balance at the beginning of the year New provisions recognised during the year Amounts already provided for and written off as uncollectible Balance at end of year
2018 $'000 1,670 846 7,205 9,721
-
-
9 9
9 9
Provision for doubtful debt is recognised based on an expected credit loss model. This model considers both historic and forward looking information in determining the level of impairment. 4.5 Borrowing costs Interest - borrowings Total borrowing costs
1,334 1,334
1,409 1,409
Borrowing costs are recognised as an expense in the period in which they are incurred, except where they are capitalised as part of a qualifying asset constructed by Council. 4.6 Other expenses Auditors' remuneration - VAGO - audit of the financial statements, performance statement and grant acquittals Auditors' remuneration - Internal Councillors' allowances Economic development contributions Environmental contributions Community contributions Memberships Impairment loss on buildings Impairment loss on land held for sale Other Total other expenses
62 51 251 80 41 179 231 515 375 6 1,790
Wodonga Council Annual Financial Reort 2018 - 2019
59 39 229 80 56 222 213 898
113
Wodonga City Council 2018/2019 Financial Report
Note 5 Our financial position 5.1 Financial assets (a) Cash and cash equivalents Cash on hand Cash at bank At call funds Term deposits Total cash and cash equivalents
Notes to the Financial Report For the Year Ended 30 June 2019
(b) Other financial assets Term deposits - current Total other financial assets Total financial assets
2019 $'000
2018 $'000
3 1,968 5,756 13,500 21,227
6 688 6,930 11,000 18,624
13,000 13,000 34,227
10,500 10,500 29,124
Councils cash and cash equivalents are subject to external restrictions that limit amounts available for discretionary use. These include: - Wodonga Retained Environmental Network (WREN) (Note 5.5) - Trust funds and deposits (Note 5.3) Total restricted funds Total unrestricted cash and cash equivalents
1,733 1,387 3,120 18,107
Intended allocations Although not externally restricted the following amounts have been allocated for specific future purposes by Council: - Unexpended grant funds for specific future purposes (Note 3.4(c)) 1,775 - Cash held to fund carried forward capital works 4,559 - Provision for defined benefits superannuation fund shortfall / call 1,800 Total funds subject to intended allocations 8,134
2,068 1,113 3,181 15,443
2,179 5,314 1,700 9,192
Cash and cash equivalents include cash on hand, deposits at call, and other highly liquid investments with original maturities of 90 days or less, net of outstanding bank overdrafts. Other financial assets are valued at fair value at balance date. Term deposits are measured at amortised cost. Any unrealised gains and losses on holdings at balance date are recognised as either a revenue or expense.
114
Our performance
Wodonga City Council 2018/2019 Financial Report
Notes to the Financial Report For the Year Ended 30 June 2019
(c) Trade and other receivables Current Statutory receivables Rates debtors Non statutory receivables Other debtors Provision for doubtful debts - other debtors Net GST receivable Total trade and other receivables
2019 $'000
2018 $'000
951
673
1,229 (9) 603 2,774
1,053 (9) 449 2,166
Short term receivables are carried at invoice amount. A provision for doubtful debts is recognised when there is objective evidence that an impairment has occurred. (d) Ageing of receivables The ageing of the Council's trade and other receivables (excluding statutory receivables) that are not impaired was: Current (not yet due) 869 Past due by up to 30 days 207 Past due between 31 and 180 days 148 Past due between 181 and 365 days 2 Past due by more than 1 year 3 Total trade and other receivables 1,229
Wodonga Council Annual Financial Reort 2018 - 2019 Page 21
808 130 29 83 3 1,053
115
Notes to the Financial Report For the Year Ended 30 June 2019
odonga City Council
18/2019 Financial Report
5.2 Non-financial assets (a) Inventories Inventories held for sale Total inventories
2019 $'000
2018 $'000
23 23
28 28
Inventories held for distribution are measured at cost adjusted when applicable for any loss of service potential. All other inventories, including land held for sale, are measured at the lower of cost and net realisable value. Where Inventories are acquired for no cost or nominal consideration, they are measured at current replacement cost at the date of acquisition. (b) Other assets Prepayments Accrued income Total other assets
928 180 1,108
689 114 803
3,243 98 713 279 66 4,399
2,258 183 839 81 69 3,430
1,354 33 1,387
1,089 25 1,114
(c) Intangible assets Council does not have any intangible assets.
5.3 Payables (a) Trade and other payables Trade payables Net GST payable Employee costs Income received in advance Accrued interest Total trade and other payables
(b) Trust funds and deposits Refundable deposits Fire Service levy Total trust funds and deposits
Amounts received as deposits and retention amounts controlled by Council are recognised as trust funds until they are returned, transferred in accordance with the purpose of the receipt, or forfeited. Trust funds that are forfeited, resulting in council gaining control of the funds, are to be recognised as revenue at the time of forfeit. Purpose and nature of items Refundable deposits - Deposits are taken by Council as a form of surety in a number of circumstances, including in relation to building works, tender deposits, contract deposits and the use of civic facilities. Fire Service levy - Council is the collection agent for fire services levy on behalf of the State Government. Council remits amounts received on a quarterly basis. Amounts disclosed here will be remitted to the state government in line with that process.
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Our performance
Notes to the Financial Report For the Year Ended 30 June 2019
odonga City Council
18/2019 Financial Report
5.4 Interest-bearing liabilities Current Borrowings - secured (1) Credit card facility - unsecured
Non-current Borrowings - secured (1) Total
2019 $'000
2018 $'000
1,852 95 1,947
1,758 95 1,853
18,516 18,516 20,463
20,368 20,368 22,221
1,947 7,425 11,091 20,463
1,853 7,617 12,751 22,221
(1) Borrowings are secured by a charge over general rates. (a) The maturity profile for Council's borrowings is: Not later than one year Later than one year and not later than five years Later than five years
Borrowings are initially measured at fair value, being the cost of the interest bearing liabilities, net of transaction costs. The measurement basis subsequent to initial recognition depends on whether the Council has categorised its interest-bearing liabilities as either financial liabilities designated at fair value through the profit and loss, or financial liabilities at amortised cost. Any difference between the initial recognised amount and the redemption value is recognised in net result over the period of the borrowing using the effective interest method. The classification depends on the nature and purpose of the interest bearing liabilities. The Council determines the classification of its interest bearing liabilities at initial recognition. 5.5 Provisions
Employee
2019 Balance at beginning of the financial year Additional provisions Amounts used Change in the discounted amount arising because of time and the effect of any change in the discount rate Balance at the end of the financial year
2018 Balance at beginning of the financial year Additional provisions Amounts used Change in the discounted amount arising because of time and the effect of any change in the discount rate Balance at the end of the financial year
WREN
$ '000
Landfill restoration $ '000
$ '000
$ '000
5,044 1,912 (1,645)
1,324 (100)
1,592 (348)
7,960 1,912 (2,093)
5,311
37 1,261
1,244
37 7,816
4,971 232 (159)
1,375 (51)
1,958 (366)
8,304 232 (576)
5,044
1,324
1,592
7,960
Wodonga Council Annual Financial Reort 2018 - 2019
Total
117
Notes to the Financial Report For the Year Ended 30 June 2019
a City Council
9 Financial Report
(a) Employee provisions Current provisions expected to be wholly settled within 12 Time in Lieu Annual leave Long service leave Current provisions expected to be wholly settled after 12 months Annual leave Long service leave Total current employee provisions Non-current Long service leave Total non-current employee provisions Aggregate carrying amount of employee provisions: Current Non-current Total aggregate carrying amount of employee provisions
2019 $'000
2018 $'000
79 1,231 540 1,850
37 1,244 533 1,814
176 2,638 2,814 4,664
228 2,430 2,658 4,472
644 644
572 572
4,664 644 5,308
4,472 572 5,044
The calculation of employee costs and benefits includes all relevant on-costs and are calculated as follows at reporting date. Wages and salaries and annual leave Liabilities for wages and salaries, including non-monetary benefits, annual leave and accumulated sick leave expected to be wholly settled within 12 months of the reporting date are recognised in the provision for employee benefits in respect of employee services up to the reporting date, classified as current liabilities and measured at their nominal values. Liabilities that are not expected to be wholly settled within 12 months of the reporting date are recognised in the provision for employee benefits as current liabilities, measured at the present value of the amounts expected to be paid when the liabilities are settled using the remuneration rate expected to apply at the time of settlement. Long service leave Liability for long service leave (LSL) is recognised in the provision for employee benefits. LSL is measured at present value. Unconditional LSL is disclosed as a current liability. Conditional LSL that has been accrued, where an employee is yet to reach a qualifying term of employment, is disclosed as a non - current liability.
(b) Landfill restoration Current Non-current
100 1,161 1,261
111 1,213 1,324
Council is obligated to restore the closed Beechworth Road and Sheathers Road landfill sites to a particular standard. The forecast life of the site is based on current estimates of remaining capacity and the forecast rate of infill. The provision for landfill restoration has been calculated based on the present value of the expected cost of works to be undertaken. The expected cost of works has been estimated based on current understanding of work required to reinstate the site to a suitable standard. Accordingly, the estimation of the provision required is dependent on the accuracy of the forecast timing of the work, work required and related costs.
118
Our performance
Notes to the Financial Report For the Year Ended 30 June 2019
Wodonga City Council 2018/2019 Financial Report
(c) Wodonga Retained Environmental Network (WREN)
2019 $'000 327 917 1,244
Current Non-current
2018 $'000 366 1,226 1,592
Under agreement the council is obliged to protect and enhance in perpetuity the biological values of the Wodonga retained environmental network area, including the protection and enhancement of native plants and animals with particular emphasis on threatened species and their habitats. 5.6 Financing arrangements The Council has the following funding arrangements in place as at 30 June 2019. Bank overdraft Credit card facilities Other facilities Total facilities
200 386 20,368 20,954
200 320 22,126 22,646
Used facilities Unused facilities
20,463 491
22,221 425
5.7 Commitments The Council has entered into the following commitments. Commitments are not recognised in the Balance Sheet. Commitments are disclosed at their nominal value and presented inclusive of the GST payable.
2019 Operating Recycling / garbage collection Open space management Energy procurement Leasing Insurance Other contracted amounts Cleaning contracts for council buildings Total
Operating Recycling / garbage collection Open space management Energy procurement Leasing Insurance Other contracted amounts Cleaning contracts for council buildings Total
Later than 2 years and not later than 5 years
Later than 5 years
Total
$'000
$'000
$'000
$'000
2,610 3,036 3,405 1,125 300 1,962 619 13,057
2,485 1,919 3,405 1,099 1,043 619 10,570
7,322 2,238 1,238 865 2,035 13,698
2,400 197 2,597
14,817 7,193 6,810 3,659 300 3,870 3,273 39,922
75 1,567 186 96 1,924
150 150
-
-
75 1,717 186 96 2,074
Not later than 1 year $'000
Capital Buildings Open spaces Roads Drainage Other Total
2018
Later than 1 year and not later than 2 years
Later than 1 year and not later than 2 years
Later than 2 years and not later than 5 years
Later than 5 years
Total
$'000
$'000
$'000
$'000
2,474 4,649 1,339 877 445 1,441 604 11,829
2,474 4,040 1,339 773 634 594 9,854
7,228 5,748 1,339 1,419 520 1,902 18,156
4,800 394 677 5,871
16,976 14,831 4,017 3,069 445 2,595 3,777 45,710
459 1,391 2,572 120 772 5,314
-
-
-
459 1,391 2,572 120 772 5,314
Not later than 1 year $'000
Capital Buildings Open spaces Roads Drainage Other Total Page 25
Wodonga Council Annual Financial Reort 2018 - 2019
119
Wodonga City Council 2018/2019 Financial Report
5.7 Commitments (cont'd)
Notes to the Financial Report For the Year Ended 30 June 2019
Operating lease commitments At the reporting date, the Council had the following obligations under non-cancellable operating leases for the lease of equipment and land and buildings for use within Council's activities (these obligations are not recognised as liabilities):
Not later than one year Later than one year and not later than five years Later than five years
2019 $'000 1,029 2,080 361 3,470
2018 $'000 954 1,825 178 2,957
Lease payments for operating leases are required by the accounting standard to be recognised on a straight line basis, rather than expensed in the years in which they are incurred.
Note 6 Assets we manage 6.1 Non-current assets classified as held for sale Non-current assets classified as held for sale (including disposal groups) are measured at the lower of its carrying amount and fair value less costs of disposal, and are not subject to depreciation. Non-current assets, disposal groups and related liabilities and assets are treated as current and classified as held for sale if their carrying amount will be recovered through a sale transaction rather than through continuing use. This condition is regarded as met only when the sale is highly probable and the asset's sale (or disposal group sale) is expected to be completed within 12 months from the date of classification. As at 30 June 2019, Council held the following assets that met the conditions to be reported as held for sale : Site Former Wodonga Saleyards Site Lot 1* Surplus land parcels within the Wodonga municipality**
2019
2018
$'000 1,500 3,400 4,900
$'000 1,875 1,875
* This was disclosed in the 2017-2018 financial statements, but the sale was a 2 year delayed settlement, finalising in April 2020. Contracts were exchanged in July 2018 for Lot 1, with the value written down to the contract price, which is in line with the most recent valuation obtained for the purpose of sale. ** Sales are highly probable in 2019-2020
120
Our performance
328
Property Plant and equipment Infrastructure Total
Summary of Work in Progress
(515)
Adjustment to opening accumulated depreciation for found assets Property, plant and equipment revaluation movement
Additions $'000 1,743 153 559 2,455
Opening WIP $'000 178 52 641 871
15,995
1,308
14,874
564 1,058 12,887 2,455 16,964
Note 4.6 Building impairment loss
290,530 4,177 303,374 871 598,952
$'000
$'000
Note 3.7 Land impairment loss recovered
* Reconciliation to net revaluation increment Revaluation increment per Note 9.1
Property Plant and equipment Infrastructure Work in progress
Additions
Page 27
(224) (224)
Write-off $'000
3,750 8,229 11,979
$'000
(159) (19) (150) (328)
Transfers $'000
13,095 2,900 15,995
$'000
1,762 186 826 2,774
Closing WIP $'000
(1,737) (987) (7,641) (10,365)
$'000
Contributions Revaluation* Depreciation
Notes to the Financial Report For the Year Ended 30 June 2019
At Fair Value 30 June 2018
6.2 Property, infrastructure, plant and equipment Summary of property, infrastructure, plant and equipment
Wodonga City Council 2018/2019 Financial Report
Wodonga Council Annual Financial Reort 2018 - 2019
121
(2,693) (30) (2,723)
$'000
Disposal
(3,400) (13) (224) (3,637)
$'000
Reclassification
159 19 150 (328) -
$'000
Transfers
300,268 4,224 319,899 2,774 627,165
$'000
At Fair Value 30 June 2019
Our performance
1
-
(3,408) -
3,750 11,121 (609) 14,262 204,379 204,379
$'000 45,045 45,045
$'000 190,117 190,117
2
41,637 41,637
(3,400)
(8)
Land - non specialised
Land Specialised 1
89,899 (35,647) 54,252
246,016 246,016
Page 28
(1,737) (1,290) (3,027)
564 3,272 (2,084) 159 1,911
-
3,750 11,113 (609) (3,400) 10,854
Total Land & Buildings Land 1 Improvements Specialised $'000 $'000 235,162 87,988 (32,620) 235,162 55,368
Notes to the Financial Report For the Year Ended 30 June 2019
Restatement of opening balances, refer note 9.4 Transfer to Land Held for Sale movement in the year, refer Note 6.1
At fair value 30 June 2019 Accumulated depreciation at 30 June 2019
Movements in accumulated depreciation Depreciation and amortisation Accumulated depreciation of disposals Revaluation Transfers
Impairment losses recognised in operating result
Movements in fair value Additions Contributions Revaluation Disposal Write-off Transfers Transfer to Land Held for Sale 2
At fair value 1 July 2018 Accumulated depreciation at 1 July 2018
(a) Property
nga City Council 2019 Financial Report
122
1,762 1,762
-
(1,737) (1,290) (3,027) 89,899 (35,647) 54,252
1,743 (159) 1,584
$'000 178 178
Work In Progress
564 3,272 (2,084) 159 1,911
$'000 87,988 (32,620) 55,368
Total Buildings
337,677 (35,647) 302,030
(1,737) (1,290) (3,027)
2,307 3,750 14,385 (2,084) (609) (3,400) 14,349
$'000 323,328 (32,620) 290,708
Total Property
At fair value 30 June 2019 Accumulated depreciation at 30 June 2019
Movements in accumulated depreciation Depreciation and amortisation Accumulated depreciation of disposals Transfers
Movements in fair value Additions Contributions Revaluation Disposal Write-off Transfers Impairment losses recognised in operating result
At fair value 1 July 2018 Accumulated depreciation at 1 July 2018
(b) Plant and Equipment
onga City Council /2019 Financial Report
Wodonga Council Annual Financial Reort 2018 - 2019
123
(80) 13 (67)
(359) 197 (162) 921 (474) 447
39 (13) 26
616 (237) 19 398
4,755 (2,156) 2,599
$'000 895 (407) 488
Page 29
2,226 (1,349) 877
(446) (446)
302 302
$'000 1,924 (903) 1,021
619 (318) 301
(102) 117 15
101 (120) (19)
$'000 638 (333) 305
Fixtures Computers and Library books fittings and telecomms furniture
$'000 4,357 (1,994) 2,363
Plant machinery and equipment
Notes to the Financial Report For the Year Ended 30 June 2019
186 186
8,521 (4,297) 4,224
153 (19) 134
1,058 (357) (13) 19 707 (987) 327 (660)
$'000 52 52
Work In Progress
$'000 7,814 (3,637) 4,177
Plant and equipment
8,707 (4,297) 4,410
(987) 327 (660)
1,211 (357) (13) 841
$'000 7,866 (3,637) 4,229
Total Plant and Equipment
Our performance
1
Restatement of opening balance, refer note 9.4
At fair value 30 June 2019 Accumulated depreciation at 30 June 2019
Movements in accumulated depreciation Depreciation and amortisation Accumulated depreciation of disposals Revaluation Transfers
Movements in fair value Additions Contributions Revaluation Disposal Write-off Transfers Impairment losses recognised in operating result
At fair value 1 July 2018 Accumulated depreciation at 1 July 2018
(c) Infrastructure
onga City Council /2019 Financial Report
124
52 454 506 (196) 24 (172)
8,039 5,869 (8,134) 4 5,778 (4,544) 19,511 14,967 20,796 (7,213) 13,583
$'000 20,290 (7,041) 13,249
$'000 267,430 (91,658) 175,772
273,208 (76,691) 196,517
Bridges
Roads 1
Page 30
47,905 (19,801) 28,104
(866) 1,410 544
1,603 699 (10,365) (8,063)
$'000 55,968 (20,345) 35,623
Footpaths and cycleways 1
103,002 (32,317) 70,685
(999) (999)
1,661 1,661
17,215 (6,203) 11,012
(1,036) (1,036)
3,194 146 3,340
Parks open spaces and streetscapes $'000 $'000 101,341 13,875 (31,318) (5,167) 70,023 8,708
Drainage 1
Notes to the Financial Report For the Year Ended 30 June 2019
826 826
-
559 (224) (150) 185
$'000 641 641
Work In Progress
462,952 (142,225) 320,727
(7,641) 20,945 13,304
13,447 8,229 (18,045) (224) 3,407
$'000 459,545 (155,529) 304,016
Total Infrastructure
Notes to the Financial Report For the Year Ended 30 June 2019
Wodonga City Council
2018/2019 Financial Report
Acquisition The purchase method of accounting is used for all acquisitions of assets, being the fair value of assets provided as consideration at the date of acquisition plus any incidental costs attributable to the acquisition. Fair value is the price that would be received to sell an asset (or paid to transfer a liability) in an orderly transaction between market participants at the measurement date. Where assets are constructed by Council, cost includes all materials used in construction, direct labour, borrowing costs incurred during construction, and an appropriate share of directly attributable variable and fixed overheads. In accordance with Council's policy, the threshold limits have applied when recognising assets within an applicable asset class and unless otherwise stated are consistent with the prior year. Depreciation Period
Asset recognition thresholds and depreciation periods
Threshold Limit $'000
Property land Buildings buildings Plant and Equipment plant, machinery and equipment fixtures, fittings and furniture computers and telecommunications library books Infrastructure road pavements and seals road formation and earthworks road kerb, channel and minor culverts bridges deck bridges substructure bridges other - major culverts footpaths and cycleways drainage recreational, leisure and community facilities parks, open space and streetscapes off street car parks
-
10
35-80 years
10
5-10 years 5-10 years 3 years 3-8 years
4 4 4 1
15-80 years 80 years 50-100 years 50-100 years 50-100 years 60 years 100 years 25-70 years 25 years 15-80 years
10 10 10 10 10 10 6 6 10 10 10
Land under roads Council recognises land under roads it controls at fair value. Depreciation and amortisation Buildings, land improvements, plant and equipment, infrastructure, and other assets having limited useful lives are systematically depreciated over their useful lives to the Council in a manner which reflects consumption of the service potential embodied in those assets. Estimates of remaining useful lives and residual values are made on a regular basis with major asset classes reassessed annually. Depreciation rates and methods are reviewed annually. Where assets have separate identifiable components that are subject to regular replacement, these components are assigned distinct useful lives and residual values and a separate depreciation rate is determined for each component. Road earthworks are not depreciated on the basis that they are assessed as not having a limited useful life. Straight line depreciation is charged based on the residual useful life as determined each year. Depreciation periods used are listed above and are consistent with the prior year unless otherwise stated. Finance leases Council has not entered into any finance lease arrangements. Repairs and maintenance Where the repair relates to the replacement of a component of an asset and the cost exceeds the capitalisation threshold the cost is capitalised and depreciated. The carrying value of the replaced asset is expensed. Leasehold improvements Council does not have any leasehold improvements. Page 31
Wodonga Council Annual Financial Reort 2018 - 2019
125
City Council Financial Report
Valuation of land and buildings
Notes to the Financial Report For the Year Ended 30 June 2019
Valuation of land (excluding land under roads) and buildings were undertaken by a qualified independent valuer, Marcus Hann (API). The valuation of land and buildings is at fair value, being market value based on highest and best use permitted by relevant land planning provisions. Where land use is restricted through existing planning provisions the valuation is reduced to reflect this limitation. This adjustment is an unobservable input in the valuation. The adjustment has no impact on the comprehensive income statement. Industrial land at fair value as at 30 June 2019 consists of 77.87 hectares of developed serviced land and 373.67 hectares of unserviced land at the Council's LOGIC development. A valuation of the LOGIC development was undertaken by a qualified independent valuer, Marcus Hann (API), Certified Property Valuer. The valuation of land is at fair value as at 30 June 2019, being market based on highest and best use permitted by relevant land planning provisions. Any significant movements in the unobservable inputs for land and land under roads will have a significant impact on the fair value of these assets. The date of the current valuation is detailed in the following table. Details of the Council’s land and buildings and information about the fair value hierarchy as at 30 June 2019 are as follows: Level 1 $'000 -
Land Specialised land Land under roads Buildings Total
-
Page 32
126
Our performance
Level 2 $'000 41,637 41,637
Level 3 $'000 73,271 131,108 54,252 258,631
Date of Valuation 6/19 6/19 6/19 6/19
Notes to the Financial Report For the Year Ended 30 June 2019
a City Council
9 Financial Report
Valuation of infrastructure Valuation of infrastructure assets has been determined in accordance with a valuation undertaken by Tim Clarke, Council's Team Leader Strategic Assets.
The date of the current valuation is detailed in the following table. The valuation is at fair value based on replacement cost less accumulated depreciation as at the date of valuation. Details of the Council’s infrastructure and information about the fair value hierarchy as at 30 June 2019 are as follows:
Roads Bridges Footpaths and cycleways Drainage Parks, open space and streetscapes Total
Level 1
Level 2
Level 3
$'000
$'000
$'000
-
-
Date of Valuation
196,517 13,583 28,104 70,685 11,012 319,901
6/19 6/19 6/19 6/16 6/19
Description of significant unobservable inputs into level 3 valuations Specialised land and land under roads is valued using a market based direct comparison technique. Significant unobservable inputs include the extent and impact of restriction of use and the market cost of land per square metre. The extent and impact of restrictions on use varies and results in a reduction to surrounding land values between 85% and 95%. The market value of land varies significantly depending on the location of the land and the current market conditions. Currently land values range between $1 and $183 per square metre. Specialised buildings are valued using a depreciated replacement cost technique. Significant unobservable inputs include the current replacement cost and remaining useful lives of buildings. Current replacement cost is calculated on a square metre basis and ranges from $40 to $5,052 per square metre. The remaining useful lives of buildings are determined on the basis of the current condition of buildings and vary from 5 years to 72 years. Replacement cost is sensitive to changes in market conditions, with any increase or decrease in cost flowing through to the valuation. Useful lives of buildings are sensitive to changes in expectations or requirements that could either shorten or extend the useful lives of buildings. Infrastructure assets are valued based on the depreciated replacement cost. Significant unobservable inputs include the current replacement cost and remaining useful lives of infrastructure. The remaining useful lives of infrastructure assets are determined on the basis of the current condition of the asset and vary from 11 years to 100 years. Replacement cost is sensitive to changes in market conditions, with any increase or decrease in cost flowing through to the valuation. Useful lives of infrastructure are sensitive to changes in use, expectations or requirements that could either shorten or extend the useful lives of infrastructure assets.
Reconciliation of specialised land Land under roads Parks and reserves Total specialised land
2019 $'000 131,108 73,271 204,379
2018 $'000 89,594 67,693 157,287
Wodonga Council Annual Financial Reort 2018 - 2019
127
Notes to the Financial Report For the Year Ended 30 June 2019
Wodonga City Council 2018/2019 Financial Report
Note 7 People and relationships 7.1 Council and key management remuneration (a) Related Parties Entity status Wodonga City Council is a single entity. (b) Key Management Personnel Details of persons holding the position of Councillor or other members of key management personnel at any time during the year are: Councillors
Staff
Councillor Anna Speedie (Mayor) Councillor Kat Bennett Councillor Libby Hall Councillor Danny Lowe Councillor Ron Mildren Councillor Brian Mitchell (from 14 January 2019) Councillor Tim Quilty (until 12 December 2018) Councillor John Watson Chief Executive Officer Director Business Services Director Planning & Infrastructure Director Community Development
Total Number of Councillors Chief Executive Officer and other Key Management Personnel Total Key Management Personnel (c) Remuneration of Key Management Personnel Total remuneration of key management personnel was as follows: Short-term benefits Post employment benefits Long-term benefits Termination benefits Total
2019 No. 8
2018 No. 7
5 13
5 12
2019 $'000
2018 $'000
1,077 77 16 175 1,345
1,159 83 23 1,265
The numbers of key management personnel whose total remuneration from Council and any related entities, fall within the following bands:
128
2019 No.
2018 No.
$10,000 - $19,999 $20,000 - $29,999 $50,000 - $59,000 $60,000 - $69,999 $70,000 - $79,999 $80,000 - $89,999 $160,000 - $169,999
2 5 1 1 -
6 1 1 1
$190,000 - $199,999 $210,000 - $219,999 $220,000 - $229,999 $230,000 - $239,999 $320,000 - $329,999 $330,000 - $339,999 $360,000 - $369,999
1 1 1 1 13
1 1 1 12
Our performance
Notes to the Financial Report For the Year Ended 30 June 2019
Wodonga City Council 2018/2019 Financial Report
(d) Senior Officer Remuneration A Senior Officer is an officer of Council, other than Key Management Personnel, who: a) has management responsibilities and reports directly to the Chief Executive; or b) whose total annual remuneration exceeds $148,000 The number of Senior Officers are shown below in their relevant income bands: 2019 No. 3 1 1 5
2018 No. 1 2 2 2 7
2019 $'000
2018 $'000
811
1,131
During the period Council entered into the following transactions with related parties. - Contributions made to entities controlled by key management personnel
-
4
- Contributions made by key management personnel1
1
-
63
128
-
20
Income Range: $148,000 - $149,999 $150,000 - $159,999 $160,000 - $169,999 $170,000 - $179,999
Total remuneration for the reporting year for Senior Officers included above, amounted to 7.2 Related party disclosure (a) Transactions with related parties
- Employee expenses for close family members of key management personnel 2 Notes: 1
2
On resigning from Wodonga City Council, a payment of $550 was made to Council by former Key Management Personnel Patience Harrington. The payment was to purchase an iPhone and mini iPad that were Council assets. This represented an accurate market value of these assets.
Any close family members of key management personnel are employed through an arm's length process. They are paid in accordance with the award for the job they perform. The Council employs 462 staff of which one was a close family member of key management personnel during part of the year.
(b) Outstanding balances with related parties The following balances are outstanding at the end of the reporting period in relation to transactions with related parties : Employee expenses for close family members of key management personnel (c) Loans to/from related parties Wodonga City Council does not make loans to or receive loans from related parties. No guarantees have been provided. (d) Commitments to/from related parties Wodonga City Council has no outstanding commitments to/from other related parties.
Wodonga Council Annual Financial Reort 2018 - 2019
129
Notes to the Financial Report For the Year Ended 30 June 2019
donga City Council 8/2019 Financial Report Note 8 Managing uncertainties 8.1 Contingent assets and liabilities (a) Contingent assets
Developer contributions to be received in respect of estates currently under development remain unquantifiable at balance date. (b) Contingent liabilities Superannuation Council has obligations under a defined benefit superannuation scheme that may result in the need to make additional contributions to the scheme, matters relating to this potential obligation are outlined in Note 9.3. As a result of the volatility in financial markets the likelihood of making such contributions in future periods exists. Future superannuation contributions In addition to the disclosed contributions, Wodonga City Council has not been required to pay any unfunded liability payments to Vision Super (2017/18 Nil). There were no contributions outstanding and no loans issued from or to the above schemes as at 30 June 2019. The expected contributions to be paid to the Defined Benefit category of Vision Super for the year ending 30 June 2020 are $128,056. Livestock exchange rehabilitation In 2008 Council sold the Livestock Exchange business. The new operator has established a new livestock exchange at a new location. Council is now required to rehabilitate part of the old livestock exchange site within the next two years as a condition of the sale of the majority of the site. The future cost of this cannot be reliably estimated, but will be funded through the sale proceeds of the site. Any further costs of rehabilitation are transferred from the Council to the purchaser. Contingent assets and contingent liabilities are not recognised in the Balance Sheet, but are disclosed and if quantifiable, are measured at nominal value. Contingent assets and liabilities are presented inclusive of GST receivable or payable, respectively. Insurance claims There are no major insurance claims that could have a material impact on future operations. Legal matters There are no major legal matters that could have a material impact on future operations. Liability Mutual Insurance Council is a participant of the MAV Liability Mutual Insurance (LMI) Scheme. The LMI scheme provides public liability and professional indemnity insurance cover. The LMI scheme states that each participant will remain liable to make further contributions to the scheme in respect of any insurance year in which it was a participant to the extent of its participant’s share of any shortfall in the provision set aside in respect of that insurance year, and such liability will continue whether or not the participant remains a participant in future insurance years.
(c) Guarantees for loans to other entities Wodonga City Council does not have any guarantees for loans to other entities.
Page 36
130
Our performance
a City Council Notes to the Financial Report 19 Financial Report For the Year Ended 30 June 2019 8.2 Change in accounting standards The following new AAS's have been issued that are not mandatory for the 30 June 2019 reporting period. Council has assessed these pending standards and has identified the following potential impacts will flow from the application of these standards in future reporting periods. Revenue from contracts with customers (AASB 15) (applies 2019/20 for LG sector) The standard shifts the focus from the transaction-level to a contract-based approach. Recognition is determined based on what the customer expects to be entitled to (rights and obligations), while measurement encompasses estimation by the entity of the amount expected to be entitled for performing under the contract. The full impact of this standard is not known however it is most likely to impact where contracts extend over time, where there are rights and obligations that may vary the timing or amount of the consideration, or where there are multiple performance elements. This has the potential to impact on the recognition of certain grant income. Amendments to Australian Accounting Standards – Deferral of AASB 15 for Not-for-Profit Entities (AASB 2016-7) (applies 2019/20) This Standard deferred the mandatory effective date of AASB 15 for not-for-profit entities from 1 January 2018 to 1 January 2019.
Leases (AASB 16) (applies 2019/20) The classification of leases as either finance leases or operating leases is eliminated for lessees. Leases will be recognised in the Balance Sheet by capitalising the present value of the minimum lease payments and showing a ‘right-of-use’ asset, while future lease payments will be recognised as a financial liability. The nature of the expense recognised in the profit or loss will change. Rather than being shown as rent, or as leasing costs, it will be recognised as depreciation on the ‘right-of-use’ asset, and an interest charge on the lease liability. The interest charge will be calculated using the effective interest method, which will result in a gradual reduction of interest expense over the lease term. Council has elected to adopt the modified retrospective approach to the transition to the new lease standard. This will mean that only existing operating leases for non low value assets, with remaining terms greater than 12 months, will be recognised on transition (1 July 2019). Based on our current lease commitments and an assumption of a continuation of the current leasing arrangements Council expects that the transition to the new standard will see the initial recognition of $3,019,664 in lease related assets and an equivalent liability. Income of Not-for-Profit Entities (AASB 1058 ) (applies 2019/20) This standard is expected to apply to certain transactions currently accounted for under AASB 1004 Contributions and establishes revenue recognition principles for transactions where the consideration to acquire an asset is significantly less than fair value to enable a not-for-profit entity to further its objectives.
8.3 Financial instruments (a) Objectives and policies The Council's principal financial instruments comprise cash assets, term deposits, receivables (excluding statutory receivables), payables (excluding statutory payables) and bank borrowings. Details of the significant accounting policies and methods adopted, including the criteria for recognition, the basis of measurement and the basis on which income and expenses are recognised, in respect of each class of financial asset, financial liability and equity instrument is disclosed in the Notes of the financial statements. Risk management is carried out by senior management under policies approved by the Council. These policies include identification and analysis of the risk exposure to Council and appropriate procedures, controls and risk minimisation. (b) Market risk Market risk is the risk that the fair value or future cash flows of Council's financial instruments will fluctuate because of changes in market prices. The Council's exposure to market risk is primarily through interest rate risk with only insignificant exposure to other price risks and no exposure to foreign currency risk.
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Wodonga Council Annual Financial Reort 2018 - 2019
131
Notes to the Financial Report For the Year Ended 30 June 2019
ty Council nancial Report
Interest rate risk Interest rate risk refers to the risk that the value of a financial instrument or cash flows associated with the instrument will fluctuate due to changes in market interest rates. Council's interest rate liability risk arises primarily from long term loans and borrowings at fixed rates which exposes council to fair value interest rate risk. Cash flow interest rate risk is the risk that the future cash flows of a financial instrument will fluctuate because of changes in market interest rates. Council has minimal exposure to cash flow interest rate risk through its cash and deposits that are at floating rates. Investment of surplus funds is made with approved financial institutions under the Local Government Act 1989 . Council manages interest rate risk by adopting an investment policy that ensures: - diversification of investment product; - monitoring of return on investment; - preference to environmentally and socially responsible investments; and - benchmarking of returns and comparison with budget. There has been no significant change in the Council's exposure, or its objectives, policies and processes for managing interest rate risk or the methods used to measure this risk from the previous reporting period. Interest rate movements have not been sufficiently significant during the year to have an impact on the Council's year end result. (c) Credit risk Credit risk is the risk that a contracting entity will not complete its obligations under a financial instrument and cause Council to make a financial loss. Council have exposure to credit risk on some financial assets included in the balance sheet. Particularly significant areas of credit risk exist in relation to outstanding fees and fines as well as loans and receivables from sporting clubs and associations. To help manage this risk: - Council have a policy for establishing credit limits for the entities Council deal with; - Council may require collateral where appropriate; and - Council only invest surplus funds with financial institutions which have a recognised credit rating specified in Council's investment policy. The only exception is specified in Council's investment policy, which provides for up to $2m in total being invested in Hume Bank Limited, or WAW Credit Union Co-operative Limited. Receivables consist of a large number of customers, spread across the ratepayer, business and government sectors. Credit risk associated with the Council's financial assets is minimal because the main debtor is secured by a charge over the rateable property. There are no material financial assets which are individually determined to be impaired. Council may also be subject to credit risk for transactions which are not included in the balance sheet, such as when Council provide a guarantee for another party. Details of our contingent liabilities are disclosed in Note 8.1(b). The maximum exposure to credit risk at the reporting date to recognised financial assets is the carrying amount, net of any provisions for impairment of those assets, as disclosed in the balance sheet and notes to the financial statements. Council does not hold any collateral.
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Notes to the Financial Report For the Year Ended 30 June 2019
Wodonga City Council 2018/2019 Financial Report (d) Liquidity risk
Liquidity risk includes the risk that, as a result of council's operational liquidity requirements it will not have sufficient funds to settle a transaction when required or will be forced to sell a financial asset at below value or may be unable to settle or recover a financial asset. To help reduce these risks Council: - have a liquidity policy which targets a minimum and average level of cash and cash equivalents to be maintained; - have readily accessible standby facilities and other funding arrangements in place; - have a liquidity portfolio structure that requires surplus funds to be invested within various bands of liquid instruments; - monitor budget to actual performance on a regular basis; and - set limits on borrowings relating to the percentage of loans to rate revenue and percentage of loan principal repayments to rate revenue. The Council's maximum exposure to liquidity risk is the carrying amounts of financial liabilities as disclosed on the face of the balance sheet and the amounts related to financial guarantees disclosed in Note 8.1(c), and is deemed insignificant based on prior periods' data and current assessment of risk. There has been no significant change in Council's exposure, or its objectives, policies and processes for managing liquidity risk or the methods used to measure this risk from the previous reporting period. With the exception of borrowings, all financial liabilities are expected to be settled within normal terms of trade. Details of the maturity profile for borrowings are disclosed at Note 5.4. Unless otherwise stated, the carrying amounts of financial instruments reflect their fair value. (e) Sensitivity disclosure analysis Taking into account past performance, future expectations, economic forecasts, and management's knowledge and experience of the financial markets, Council believes the following movements are 'reasonably possible' over the next 12 months: - A parallel shift of + 2% and -1% in market interest rates (AUD) from year-end rates of 1.5%. These movements will not have a material impact on the valuation of Council's financial assets and liabilities, nor will they have a material impact on the results of Council's operations. 8.4 Fair value measurement Fair Value Hierarchy Council's financial assets and liabilities are not valued in accordance with the fair value hierarchy, Council's financial assets and liabilities are measured at amortised cost. Council measures certain assets and liabilities at fair value where required or permitted by Australian Accounting Standards. AASB 13 Fair value measurement , aims to improve consistency and reduce complexity by providing a definition of fair value and a single source of fair value measurement and disclosure requirements for use across Australian Accounting Standards. AASB 13 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value under AASB 13 is an exit price regardless of whether that price is directly observable or estimated using another valuation technique. All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorised within a fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole: Level 1 — Quoted (unadjusted) market prices in active markets for identical assets or liabilities Level 2 — Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable; and Level 3 — Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable. For the purpose of fair value disclosures, Council has determined classes of assets and liabilities on the basis of the nature, characteristics and risks of the asset or liability and the level of the fair value hierarchy as explained above. In addition, Council determines whether transfers have occurred between levels in the hierarchy by re-assessing categorisation (based on the lowest level input that is significant to the fair value measurement as a whole) at the end of each reporting period. Revaluation Subsequent to the initial recognition of assets, non-current physical assets, other than plant and equipment, are measured at their fair value, being the price that would be received to sell an asset (or paid to transfer a liability) in an orderly transaction between market participants at the measurement date. At balance date, the Council reviewed the carrying value of the individual classes of assets measured at fair value to ensure that each asset materially approximated its fair value. Where the carrying value materially differed from the fair value at balance date, the class of asset was revalued. Fair value valuations are determined in accordance with a valuation hierarchy. Changes to the valuation hierarchy will only occur if an external change in the restrictions or limitations of use of an asset result in changes to the permissible or practical highest and best use of the asset. In addition, Council undertakes a formal revaluation of land, buildings, and infrastructure assets on a regular basis ranging from 2 to 5 years. The valuation is performed either by experienced council officers or independent experts. Where the assets are revalued, the revaluation increments are credited directly to the asset revaluation reserve except to the extent that an increment reverses a prior year decrement for that class of asset that had been recognised as an expense in which case the increment is recognised as revenue up to the amount of the expense. Revaluation decrements are recognised as an expense except where prior increments are included in the asset revaluation reserve for that class of asset in which case the decrement is taken to the reserve to the extent of the remaining increments. Within the same class of assets, revaluation increments and decrements within the year are offset.
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Notes to the Financial Report For the Year Ended 30 June 2019
Wodonga City Council 2018/2019 Financial Report
Impairment of assets At each reporting date, the Council reviews the carrying value of its assets to determine whether there is any indication that these assets have been impaired. If such an indication exists, the recoverable amount of the asset, being the higher of the asset's fair value less costs of disposal and value in use, is compared to the assets carrying value. Any excess of the assets carrying value over its recoverable amount is expensed to the comprehensive income statement, unless the asset is carried at the revalued amount in which case, the impairment loss is recognised directly against the revaluation surplus in respect of the same class of asset to the extent that the impairment loss does not exceed the amount in the revaluation surplus for that same class of asset. 8.5 Events occurring after balance date No matters have occurred after balance date that require disclosure in the financial report. Note 9 Other matters
9.1 Reserves Asset revaluation reserves
Balance at beginning of reporting period $'000
Increment (decrement) $'000
Balance at end of reporting period $'000
2019 Property Land Industrial lands Land under roads Buildings
Plant and Equipment Infrastructure Roads Footpaths Cycleways Kerb and channel Drainage Bridges and major culverts Parks, open spaces and streetscapes Total asset revaluation reserves 2018 Property Land Industrial lands Land under roads Buildings
Plant and Equipment Infrastructure Roads Footpaths Cycleways Kerb and channel Drainage Bridges and major culverts Parks, open spaces and streetscapes Total asset revaluation reserves
24,961 14,819 7,215 14,312 61,307 314
3,916 692 5,196 2,174 11,978 -
9,625 (1,354) (7,602) 1,750 477 2,897 14,874
70,223 9,416 0 20,179 38,085 10,582 2,463 150,948 224,547
25,084 14,819 716 14,312 54,931
(123) 6,499 6,376
24,961 14,819 7,215 14,312 61,307
314
-
314
60,598 10,770 7,602 18,429 38,085
-
60,598 10,770 7,602 18,429 38,085
10,105 2,463 148,052 203,297
6,376
10,105 2,463 148,052 209,673
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60,598 10,770 7,602 18,429 38,085 10,105 2,463 148,052 209,673
The asset revaluation reserve is used to record the increased (net) value of Council's assets over time.
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28,877 15,511 12,411 16,486 73,285
Notes to the Financial Report For the Year Ended 30 June 2019
Wodonga City Council 2018/2019 Financial Report
2019 $'000
2018 $'000
Surplus/(deficit) for the year Depreciation/amortisation Profit/(loss) on disposal of property, infrastructure, plant and equipment Finance costs Contributions - Non-monetary assets Other
23,040 10,366 2,276 1,337 (11,979) (420)
10,374 9,721 (8) 1,409 -
Change in assets and liabilities: (Increase)/decrease in trade and other receivables (Increase)/decrease in prepayments (Increase)/decrease in accrued income (Increase)/decrease in inventories Increase/(decrease) in trade and other payables Increase/(decrease) in provisions Net cash provided by/(used in) operating activities
(609) (239) (66) 5 1,038 126 24,874
(7) (109) (53) 1 (161) (348) 20,819
9.2 Reconciliation of cash flows from operating activities to surplus
9.3 Superannuation Wodonga City Council makes the majority of its employer superannuation contributions in respect of its employees to the Local Authorities Superannuation Fund (the Fund). This Fund has two categories of membership, accumulation and defined benefit, each of which is funded differently. Accumulation The Fund's accumulation categories receive both employer and employee contributions on a progressive basis. Employer contributions are normally based on a fixed percentage of employee earnings (for the year ended 30 June 2019, this was 9.5% as required under Superannuation Guarantee legislation). Defined Benefit Council does not use defined benefit accounting for its defined benefit obligations under the Fund's Defined Benefit category. This is because the Fund's Defined Benefit category is a pooled multi-employer sponsored plan. Council makes employer contributions to the Defined Benefit category of the Fund at rates determined by the Trustee on the advice of the Fund Actuary. For the year ended 30 June 2019, this rate was 9.5% of members' salaries (9.5% in 2017/2018). As at 30 June 2018, an interim actuarial investigation was held as the Fund provides lifetime pensions in the Defined Benefit Category. The vested benefit index (VBI) of the Defined Benefit category of which Council is a contributing employer was 106.0%. To determine the VBI, the Fund Actuary used the following long-term assumptions: Net investment returns 6.0% pa Salary information 3.5% pa Price inflation (CPI) 2.0% pa. Vision Super has advised that the estimated VBI at June 2019 was 107.1%. The VBI is to be used as the primary funding indicator. Because the VBI was above 100%, the 30 June 2018 interim actuarial investigation determined the Defined Benefit category was in a satisfactory financial position and that no change was necessary to the Defined Benefit category’s funding arrangements from prior years. Defined benefit 2018 interim actuarial investigation surplus amounts The Fund’s actuarial investigations identified the following in the defined benefit category of which Council is a contributing employer: 2018 $m 131.9 218.3 249.1
A VBI surplus A total service liability surplus A discounted accrued benefits surplus
2017 $m 69.8 193.5 228.8
The VBI surplus means that the market value of the fund’s assets supporting the defined benefit obligations exceed the vested benefits that the defined benefit members would have been entitled to if they had all exited on 30 June 2017. Council was notified of the 30 June 2018 VBI during August 2018. An interim actuarial investigation will be conducted for the Fund’s position as at 30 June 2019. It is anticipated that this actuarial investigation will be completed by October 2019.
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Wodonga Council Annual Financial Reort 2018 - 2019
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Notes to the Financial Report For the Year Ended 30 June 2019
Council ancial Report 9.4 Adjustments directly to equity
A review of the building register found building assets that had not previously been recorded in the building fixed assets register. These building assets have been brought to account as an adjustment to Wodonga City Council's accumulated surplus in the 2017-18 year. The methodology used to calculate Land under roads has been improved to more accurately reflect road widths and urban / rural splits. This change has been brought to account as an adjustment to Wodonga City Council's accumulated surplus in the 2017-18 year. Contributed infrastructure assets have not been brought on to the fixed asset register in the year they were contributed since the last revaluation in 2015-16. Infrastructure assets contributed by council are road assets handed over to VicRoads. 2019 $'000
Found Assets Found Building assets are valued at fair value Change in Methodology Land Under Roads change in calculation methodology, assets are valued at fair value Assets contributed to council Contributed road assets are valued at fair value Contributed kerb and channel assets are valued at fair value Contributed footpath and cyclepath assets are valued at fair value Contributed drainage assets are valued at fair value Contributed Land Under Roads assets are valued at fair value Assets contributed by council to VicRoads Contributed road assets are valued at fair value Contributed kerb and channel assets are valued at fair value Contributed Land Under Roads assets are valued at fair value
2018 $'000
-
511
-
39,302
-
10,847
-
2,631
-
6,950
-
1,451
-
5,374
-
(5,233)
-
(1,027)
-
(11,845)
-
48,961
The effect of Wodonga City Council recognising found building assets, changes in Land under road calculation methodology and contributed infrastructure assets in the 2017-18 year is an increase to council's accumulated surplus of $48.961 million and an increase to property, infrastructure, plant and equipment of $48.961 million.
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Office: 104 Hovell St, Wodonga, VIC 3690 Post: PO Box 923, Wodonga, VIC 3689 Phone: (02) 6022 9300 Fax: (02) 6022 9322 Email: info@wodonga.vic.gov.au wodonga.vic.gov.au