Agenda of General Purpose Committee

NAMBUCCA SHIRE COUNCIL

General Purpose Committee - 15 April 2009

AGENDA Page

1 APOLOGIES

2 PRAYER

3 DISCLOSURE OF INTEREST

4 CONFIRMATION OF MINUTES — General Purpose Committee - 18 March 2009

5 DELEGATIONS—Motion to hear Delegations

6 ASKING OF QUESTIONS WITH NOTICE

7 QUESTIONS FOR CLOSED MEETING WHERE DUE NOTICE HAS BEEN RECEIVED

8 General Manager Report

8.1 Pioneer Community Centre

8.2 Grants Hall

9 Director Environment and Planning Report

9.1 Report for Exhibition of DCP 3 Residential Development

10 Director Engineering Services Report

10.1 Mornington Peninsula Shire - Long-Term Road Maintenance Contracts

10.2 Coffs Coast Waste Services - Performance

10.3 O'Grady Lane

10.4 Drainage Problem at Farringdon Village

10.5 Road Hierarchy Plan and Grading Schedule

TIME	DESCRIPTION	WHERE OS/CC	PAGE NO	ITEM NO
08.45	Road Hierarchy Plan	CC	98	10.5
9.30-10.00	Morning Tea	Comm Rm
11.00	Inspection of Pioneer Community Centre at 11.00am and Grants Hall at 11.30am and discussion with user groups	OS	2 22	8.1 8.2
12.15	Coffs Coast Waste - Performance	CC	84	10.2
12.30	Lunch	Comm Rm
1.00 - 2.00	Draft DCP 3 Residential Development	CC	25	9.1
2.00	Mornington Peninsula Presentation	CC	30	10.1
2.30	O'Grady's Lane - Request for works in 2009/10 Budget	CC	93	10.3

General Purpose Committee

15 April 2009

General Manager's Report

ITEM 8.1 SF871 150409 Pioneer Community Centre

AUTHOR/ENQUIRIES: Michael Coulter, General Manager

Summary:

Council has resolved to conduct an inspection of the Pioneer Community Centre.

The building report and fire safety upgrade report indicates that for the existing building uses to continue Council will need to immediately spend $72,000 with a further $68,000 in 2009/2010 with additional financial expenditure in subsequent years. Most of the “up front” expenditure concerns fire safety, the provision of a disabled access and a disabled toilet. Council has no funding allocated to this expenditure.

The Committee of Management seeks to retain the building and has requested that it be provided with a period of at least 2 and a half months from receipt of the building report and fire safety upgrade report to present a plan to Council.

It is recommended that the matter be the subject of a further report to Council in 3 months time.

Recommendation:

1 That Council note the inspection of the Pioneer Community Centre

2 That future of the Pioneer Community Centre be subject to a further report to Council in 3 months time following receipt of any proposal by the Committee of Management to retain the building and the outcome of the tender for the sale of the building.

OPTIONS:

Council has options as to whether to retain the Pioneer Community Centre or not. If Council doesn’t sell the building it should be aware there are no reserves or funds set aside for any capital works. Council does not have the financial resources to maintain its existing stock of halls and buildings, many of which are old and will require significant funding in the immediate future. Whilst some grant funding may be obtained over time this will fall a long way short of the funds required.

DISCUSSION:

1 At Council’s meeting on 18 December 2008 it was resolved that:

“1 Council advertise the Pioneer Community Centre for sale by tender.

2 Tenders be invited for the property either in an unencumbered state and/or with the tenderer agreeing to offer standard commercial 5 x 5 year leases to Aunt Emily’s Craft Centre and Radio Nambucca at $14 per week and $25 per week respectively plus CPI over the first 5 year term.

3 Council’s preference be for a tender which makes provision for leases for Aunt Emily’s Craft Centre and Radio Nambucca at the rental payments nominated in recommendation no. 2.

4 That the occupants of the building be notified of Council’s action.

5 That nothing be done until after April 2009 having considered submissions from user groups and that Council make a decision at that time.

Note: Cr Flack requested that her vote be recorded as against this resolution because Council has not met with the Committees of Management.

That Council at the April General Purpose Committee meeting meet with user groups and inspect the Pioneer Community Centre and Grants Hall.

That a member of staff work with the Committee of Management for the Pioneer Community Centre regarding the preparation of a Plan of Management for maintenance of the Centre.”

2 A copy of the report to Council’s meeting on 18 December 2008 is attached.

3 Following that meeting the Management Committee advised Council of its intention to present a plan to Council to bring the Centre up to Council’s requirements within 4 years. They sought a period of at least two and a half months to consider the list of work which needs to be undertaken. The General Manager agreed to this by return correspondence. A copy of the correspondence is attached.

4 A building assessment report and a fire safety upgrade report have now been completed and are circularised documents.

5 Given the time taken to complete these reports and the community consultation which is still required the building is still to be advertised for sale by tender. It is proposed that this process now proceed during the period being provided to the Committee of Management to prepare their plan for retention of the building.

6 The building report and fire safety upgrade report indicates that for the existing building uses to continue Council will need to immediately spend $72,000 with a further $68,000 in 2009/2010 with additional financial expenditure in subsequent years. Most of the “up front” expenditure concerns fire safety, the provision of a disabled access and a disabled toilet. Council has no funding allocated to this expenditure.

7 Radio Nambucca has now also advised Council of their position in relation to the possible sale of the Pioneer Community Centre and their letter is attached. Mr Ron Hawkins from Radio Nambucca will be available to meet with the General Purpose Committee at the inspection on 15 April.

CONSULTATION:

The Committee of Management has been notified of the inspection and has been provided with a copy of this report and its attachments.

SUSTAINABILITY ASSESSMENT:

Environment

There are no implications for the environment.

Social

1 The social implications have been previously reported on.

2 Some believe the Pioneer Community Centre is an important venue for community groups and meetings in Bowraville. Also that Radio Nambucca must maintain a presence in Bowraville because it is more accessible than Tewinga.

3 However it should also be acknowledged that Bowraville is relatively well serviced with community halls and facilities including the Bowraville Theatre, Grants Hall, the Recreation Club, the Ex-Services Club as well as Church halls. There are also surrounding rural halls at South Arm, Missabotti, Talarm and Tewinga. A new hall has recently been constructed at the Bowraville Central School.

4 The lower level of the building which is occupied by Radio Nambucca is cramped and has poor amenity to the extent that it’s difficult to accept it being a satisfactory and permanent home for this important community service.

Economic

There are no economic implications.

Risk

There will be risks if Council does not act on the recommendations in the fire safety upgrade report within a reasonable period of time.

FINANCIAL IMPLICATIONS:

Direct and indirect impact on current and future budgets

1 Given the recommendations of the building assessment report and the fire upgrade report, there are significant financial implications for the retention or otherwise of the Pioneer Community Centre. There is total expenditure of $140,000 required within the next 14 months.

2 Council's valuation of the property dated 26 March 2008 nominates the following values:

a Market value of the unencumbered fee simple is $183,000

b Market value with Aunt Emily's as a tenant paying $14 per week is $167,000

c Market value with Radio Nambucca as a tenant paying $25 per week is $172,000

3 If the valuation were to be realised in a sale price, the opportunity cost of retaining the building over the next 14 months would be approximately $300,000.

Source of fund and any variance to working funds

There is no allocated funding for the required upgrading works.

Attachments:

1View	30889/2008 - Report on Sale of Pioneer Community Centre
2View	2392/2009 - Extension of time for Pioneer Community Centre to present future plan
3View	2540/2009 - Response to request for time extension
4View	8822/2009 Advice of Radio Nambucca position in relation to proposed sale of Pioneer Community Centre
5	Circularised Documents

General Purpose Committee - 15 April 2009

Pioneer Community Centre

Attachment 1

30889/2008 - Report on Sale of Pioneer Community Centre

OPTIONS:

Council can elect to sell the building with or without tenancies in place or not sell the building. If Council doesn’t sell the building it should be aware there are no reserves or funds set aside for any capital works which the building may require. Council does not have the financial resources to maintain its existing stock of halls and buildings, many of which are old and will require significant funding in the immediate future. Whilst some grant funding may be obtained over time this will fall a long way short of the funds required.

DISCUSSION:

A report which was considered by Council at its meeting on 21 February 2008 is attached. This report has followed other reports to Council in relation to halls, the most significant being to Council’s meeting on 21 June 2007. A report to a special works inspection of all halls on 11 June 2003 resolved in part to advise all Committees of possible hall closures.

The report which was submitted to Council’s meeting on 21 June 2007 was prepared by the former Director Corporate Services and provided a comprehensive review of all community halls and buildings. In relation to the Pioneer Community Centre it recommended that Council consult with the Committee of Management regarding a timetable for the sale of the premises and the future of 2NVR and Aunt Emily’s Craft Shop. Council resolved to defer closures of any halls for 12 months to allow the Committees of Management to consider their long term financial sustainability. There were also other resolutions but none specific to the Pioneer Community Centre.

The essence of all of these reports is that maintaining the status quo of halls is not sustainable in terms of responsible asset management. Also in some instances the dedicated volunteer groups who comprise the Committees of Management may not be sustainable as advancing age and a dwindling supply of new recruits makes it difficult to spread the workload.

Local government has historically focussed on the creation of assets with little regard for their life cycle costs and has not considered the need to review the acceptability and requirement of existing assets. The Allen report identified a $10 billion “black hole” in infrastructure spending in local government as a consequence of this.

Some of the questions Council should consider in reviewing its assets are:

 Is the asset meeting a need?

 Is the asset required in its present form?

 What is the cost of maintaining the asset?

 What is the community benefit?

 What is the impact if the asset is withdrawn?

 Why is the asset unviable?

 What else can be achieved if the asset is disposed of or withdrawn?

As a consequence of the report to Council’s meeting on 21 February 2008 it was resolved as follows:

1 “That Council seek a valuation of the Pioneer Community Centre and negotiate with the Committees of Management for the Pioneer Community Centre and Tewinga Community Centre as well as Radio Nambucca with a view to relocating Radio Nambucca to the Tewinga Community Centre and selling the Pioneer Community Centre with a long term lease in place for Aunt Emily’s.

2 That a further report be submitted to Council on the outcome of the valuation and negotiations.

3 That Council get indicative costs associated with the possible relocation of Radio Nambucca.”

On 12 March 2008 the then Secretary of the Committee of Management for the Pioneer Community Centre advised that the Committee met on 8 March 2008 along with representatives of the Bowra Country Markets and Aunt Emily’s Craft Centre and agreed that in any negotiations about the sale of the Pioneer Community Centre preference should be given to potential purchasers who would maintain the present uses of the building, particularly the Craft shop and the Markets.

A valuation for the Pioneer Community Centre was completed by North Coast Valuation Services Pty Ltd on 26 March 2008 and so as to allow meaningful negotiations was circulated to the Committee of Management and also to Radio Nambucca on 29 April 2008. The letter also advised of Council’s resolution on 21 February and suggested there be a joint meeting of the management committees for both the building and Radio Nambucca with Council staff. The letter also sought advice as to the indicative costs of the relocation of Radio Nambucca to the Tewinga Community Centre.

A copy of the valuation is attached.

There has been no formal response to Council’s letter of 29 April 2008 from either the management committee of the Pioneer Community Centre or Radio Nambucca.

There was a substantial change to the Committee of Management for the Pioneer Community Centre at its Annual General Meeting on 14 August 2008. The minutes report that;

”the new Committee will talk to permanent tenants re change of their contributions. Rents as set are: (including GST): Aunt Emily’s Craft Centre $66/month, Radio Nambucca $88/month. Also talk to Radio Nambucca about moving …”.

The Radio Nambucca newsletter for Spring 2008 contained the following article.

“Possible Move From Bowraville”

The Nambucca Shire Council has been considering selling the Community Centre in Bowraville. This is the building from which Radio Nambucca operates. If the sale does happen the radio may have to move. To look into the possibilities a sub committee was formed at the last AGM. Their report prepared by Richard Laxton costed a move to Tewinga Community Centre.

At the meeting where the report was tabled it was decided to investigate helping the committee running the community centre to prevent the sale, look into the provision of a strata title over the area in the building developed by Radio Nambucca and request some estimates of the moving of the technical equipment from Bowra to Tewinga. After his information is compiled we will present it all to members asking their opinions.”

It is understood that Radio Nambucca conducted their Annual General Meeting on 18 October and that the composition of the Committee also changed. It is not known whether the new Committee supports the views expressed in the Station’s Spring 2008 newsletter. Council has not been provided with a copy of the report costing a move to the Tewinga Community Centre.

Council has endeavoured to undertake a consultative process in relation to the future of the Pioneer Community Centre but there has been no effective progress in the past 8 months. In these circumstances it is recommended that Council proceed to sell the building by a tender process.

A previous expression of interest in the purchase of the building has been reconfirmed and is in a closed (confidential) attachment.

As it is proposed to sell the building by a tender process it is not necessary to set a reserve price as the tenders will come to Council for determination. However assuming Radio Nambucca and Aunt Emily’s wish to remain in the building, Council should prefer any tender which sees them retained as tenants on a standard commercial 5 x 5 year lease at the rates nominated in the valuation report.

CONSULTATION:

There has been consultation with the Pioneer Community Centre Committee of Management and with Radio Nambucca.

SUSTAINABILITY ASSESSMENT:

Environment

There are no implications for the environment.

Social

It has been argued by some that the Pioneer Community Centre is an important venue for community groups and meetings in Bowraville. Also that Radio Nambucca must maintain a presence in Bowraville because it is more accessible than Tewinga.

However it should also be acknowledged that Bowraville is relatively well serviced with community halls and facilities including the Bowraville Theatre, Grants Hall, the Recreation Club, the Ex-Services Club as well as Church halls. There are also surrounding rural halls being South Arm, Missabotti, Talarm and Tewinga.

The lower level of the building which is occupied by Radio Nambucca is cramped and has poor amenity to the extent that it’s difficult to accept it being a satisfactory and permanent home for this important community service.

Economic

There are no economic implications.

Risk

There are no risks at this stage. Council can accept or reject any tender for the purchase of the building.

FINANCIAL IMPLICATIONS:

Direct and indirect impact on current and future budgets

Council’s budget will benefit from the sale of the building as well as the opportunity cost of any capital improvements which the building may require in the future.

Source of fund and any variance to working funds

The sale of the building would improve Council’s working funds.

Attachments:

1View	2279/2008 - Funding of Halls
2View	10497/2008 - Inspection and Valuation Report

General Purpose Committee - 15 April 2009

Pioneer Community Centre

Attachment 3

2540/2009 - Response to request for time extension

Enquiries to: Michael Coulter

Phone No: 02 6568 0200

Our Ref: SF301

Your Ref:

03 February 2009

Mr Eddie Orrego

Management Committee Bowraville Pioneer Community Centre

C/O BTBFC PO Box 104

BOWRAVILLE NSW 2449

Dear Eddie

EXTENSION OF TIME TO ALLOW FOR THE PREPARATION OF A PLAN FOR THE BOWRAVILLE PIONEER community CENTRE

Reference is made to your of letter 30 January 2009 which follows on from a conversation I had with Paul Cole and Ken McKelvie in Council’s Foyer.

Whilst Council does have significant issues in financing the maintenance of its assets, they are not so pressing as to require any ‘short cuts’ in community consultation.

Council staff are proceeding to seek expressions of interest in the sale of the building and to also obtain a report on the condition of the building and any capital expenditure which maybe required in the short – medium term.

When we have obtained the Building Inspection Report, it will be forwarded to you so that you have two and a half months to consider its recommendations and prepare your plan.

Yours faithfully

MICHAEL COULTER

GENERAL MANAGER

MC:lrh

cc: Councillors

Property Officer

General Purpose Committee

15 April 2009

General Manager's Report

ITEM 8.2 SF365 150409 Grants Hall

AUTHOR/ENQUIRIES: Michael Coulter, General Manager

Summary:

At Council’s meeting on 18 December 2008 it was resolved that the General Purpose Committee meet with user groups and inspect the Pioneer Community Centre and Grants Hall.

Recommendation:

That the information concerning Grants Hall be received.

OPTIONS:

Council resolved to inspect Grants Hall and meet with the user groups. The report is for information.

DISCUSSION:

1 At Council’s meeting on 18 December 2008 it was resolved that the General Purpose Committee meet with user groups and inspect the Pioneer Community Centre and Grants Hall.

2 It will be recalled that Council received a grant of $43,600 to repair the ceiling and reseal the floor in the main hall area. However prior to undertaking the work, a detailed inspection of the roof indicated that it needed to be replaced.

3 The roof has now been replaced at a cost to Council of $38,757.

4 The circularised building report prepared by Council’s Technical Officer – Assets indicates that further expenditure is required on replacing the kitchen, providing fire protection, and resealing the remainder of the floor. Additional expenditure is recommended in 2009/2010 and 2010/2011 respectively to provide mainly for painting and numerous sundry items.

5 The General Manager attended the Hall Committee’s Annual General Meeting on 24 February 2009. The Bowraville Central School was a frequent user of the hall but with the completion of the new hall at the School its level of usage will diminish.

CONSULTATION:

There has been consultation with Council’s Technical Officer – Assets. The Committee of Management has been notified of the inspection.

SUSTAINABILITY ASSESSMENT:

Environment

There are no implications for the environment.

Social

There are no social implications.

Economic

There are no economic implications.

Risk

There are no risk implications.

FINANCIAL IMPLICATIONS:

Direct and indirect impact on current and future budgets

Future budget impacts are shown on the circularised spreadsheet.

Source of fund and any variance to working funds

At this stage there is no impact on working funds.

Attachments:

1View

Circularised document.

General Purpose Committee

15 April 2009

Director Environment & Planning's Report

ITEM 9.1 SF1150 150409 Report for Exhibition of DCP 3 Residential Development

AUTHOR/ENQUIRIES: Grant Nelson, Strategic Planner

Summary:

The purpose of this report is to reintroduce Council to DCP 3 - Residential Development, which was previously circulated in late 2008 for comment. The Draft DCP 3 has subsequently been amended and is now presented for Council endorsement to exhibit the draft DCP.

Recommendation:

1 That Council exhibit draft DCP 3 – Residential Development and exhibit the Draft DCP in accordance with Clause 18 of the Environmental Planning and Assessment Regulation 2000.

2 That following the exhibition period and consideration of any submissions received, a further report be presented to Council.

OPTIONS:

Council could choose to defer the exhibition of draft DCP 3 – Residential Development.

DISCUSSION:

Background

Council staff have been working on DCP 3 for residential development since the adoption of the Place Based Studies and Residential Development Control Plan No 3 Review (SutherlandKoshy July 2007). The process has been ongoing in between other projects and has been hindered by a number of factors primarily including:

 Planning Reforms including the LEP 2008 and Housing Code;

 Controls for High Density areas (20m);

 Other strategic planning projects which have consumed resources; and

 The recent introduction of SEPP (Exempt and Complying Development Codes).

A draft DCP has been prepared and was circulated two weeks ago for Councillors’ information. The DCP has been prepared to be consistent with the Placed Based Studies, current best practice planning guides and related legislation.

The following items discuss matters related to the preparation of the DCP.

Purpose of changes - Mixed use Development

LEP amendment no. 46 to allow shop top housing in commercial zoned land commenced in November 2002, and was gazetted on 11 May 2007. This amendment provided opportunities for the redevelopment of the CBD area of Nambucca Heads and the other town centres not affected by the 1:100 year flood level.

At present Council has no controls in place to ensure that well designed and functional mixed use developments occur in the commercial areas. To provide these controls it was necessary to review and up date our existing DCP. SutherlandKoshy were engaged to complete this task and the development of mixed use controls was a major component of the DCP review process.

Controls for mixed use development have been included within Part B in the new DCP

Purpose of changes - Place Based Review

The other major component of the SutherlandKoshy DCP Review was to undertake community consultation to determine visions and future desired character for the Nambucca Shire localities.

Part A of the new DCP incorporates the results of consultation and provides the overall visions for residential development in each of the 5 towns in the Shire - Nambucca Heads, Macksville, Valla Beach, Scotts Head and Bowraville. Specifically the new DCP contains a vision, desired character, general objectives, and recommended building styles for each settlement.

Urban Design Strategies (Ruker and Associates)

The SutherlandKoshy DCP Review and Place based studies determined that Nambucca Heads could potentially accommodate some higher density development in the form of 20m height limit on Wellington Drive and Liston Street.

Specialist advice was sought to examine the controls required to provided quality design outcomes in these areas should the 20m height be endorsed. Advice was also sought for a key development precinct in part of Bowra Street.

Ruker and Associates Urban Design prepared ‘The Urban Design Strategies for Nambucca Heads’, The adopted sections of this study are proposed to be incorporated into Part C of the new DCP, to guide development in the investigated precincts.

Given the similarities between the areas investigated by Ruker and Associates and other areas within the shire, controls from this study have been incorporated into part B of the new DCP where appropriate.

Planning Reforms and Transitional Provisions

As Council has been progressing the development of the new DCP, so has the State Government been progressing the release of actions under the planning reforms including the Standard Instrument LEP and the Housing Code for Exempt and Comply Development. Both these projects have significant implications for the Development of the new DCP.

Standard Instrument LEP

Council has prepared a first draft of the standard instrument LEP, and the DCP is required to be consistent with and compliment the new LEP. To do this the proposed heights, the existing density, and zones within the new LEP are required to be coordinated with the dwelling types and controls in the new DCP. The new LEP will include height maps and floor space ratio maps to ensure these controls function effectively and are relative to existing zone provisions.

The new DCP has also been developed to provide a streamlined transition from the Nambucca LEP 1995 to the new LEP. This has required the inclusion of transitional provisions which address definitions, zones, and specific clauses. By doing this the DCP will be effective under the provisions of the Nambucca LEP 1995 and will only need minor modifications when the new Nambucca LEP is gazetted.

It is noted that all DCP’s will have to adhere to the one DCP per site Policy of the State Government upon gazettal of the new comprehensive LEP.

Housing Code

Whilst drafting the new DCP the state government released the SEPP and NSW Housing Code for Exempt and Complying development. The purpose of the Code was to provide a Statewide standard for exempt development and complying development for detached housing. The provisions of the Code were examined in detail and where necessary incorporated into the drafting process for the new DCP.

Despite this, Council along with many other organisations, raised concerns with certain aspects of the Code, however it was adopted on 12 December 2008, and became effective (with a 12 month transitional period). From the review of the adopted code it has the following major implications for the new DCP, new LEP and complying development in the Shire.

- The code provides an 8.5m height limit for complying development in residential zones, which means applicants can construct dwellings to 8.5m in residential zones despite any LEP provision which adopts a 5m or 8m height. Except for Matthew Street, Scotts Head, Council’s new DCP and LEP height maps have been amended to reflect this. Council has applied for a local exclusion to Matthew Street and have also resolved to investigate place based urban design strategy for this area.

- Village zones have been excluded from new complying development. For example, a new dwelling in Bowraville must be submitted as a development application, alterations and additions can still be Complying in these areas (to 8.5m).

- No complying development can occur within Bushfire Prone Land and 31% of residential zoned allotments are bushfire prone.

- Complying development can not occur on flood affected lots.

- Setbacks for complying development are to be 4.5m from the front boundary (currently 6m for Nambucca Shire except for infill), our new DCP will need to reflect these provisions.

CONSULTATION:

Councillors were provided with a copy of the draft DCP in December. Comments from Councillors have been reviewed and incorporated into the draft DCP where appropriate.

Director Environment and Planning

Manager Planning

Manager Building

Senior Planner

SUSTAINABILITY ASSESSMENT:

Environment

The draft DCP aims at ensuring development:

 occurs in accordance with the principles of ecologically sustainable development;

 provides a visually attractive environment;

 achieves sustainable urban forms; and

 considers the existing and future desired character of a locality and its environment.

Social

The draft DCP aims at ensuring development:

 creates a variety of housing types;

 higher density development occurs in areas with good access to shops and services;

 reinforces the existing and/or future desired character of a locality;

 addresses the impact on adjoining properties; and

 encourages adaptable housing.

Economic

It is unlikely the draft DCP will not have any detrimental economic impacts on Council or the community. Amendments to height limits through the DCP 3 Review will provided for and encourage re development within the Urban areas.

Risk

As the draft is proposed to be exhibited as a draft, there is no risk, related the report.

It is noted here that the draft DCP 3 will need to be incorporated into a shire wide DCP prior to the gazettal of the comprehensive LEP. This will allow a short trial period of the DCP 3 which can be amended appropriately at this time, reducing the risk of any anomalies in the document.

FINANCIAL IMPLICATIONS:

Direct and indirect impact on current and future budgets

Considerable staff resources have been spent working on this draft document.

Source of fund and any variance to working funds

Nil. Council to be advised of any future fund variations.

Attachments:

1View

CIRCULARISED DOCUMENT - Draft DCP 3 - Residential Development

General Purpose Committee

15 April 2009

Director of Engineering Services Report

ITEM 10.1 SF444 150409 Mornington Peninsula Shire - Long-Term Road Maintenance Contracts

AUTHOR/ENQUIRIES: Bruce Redman, Director Engineering Services

Summary:

Council sought a report on the experience of the Mornington Peninsula Shires (VIC) approach to road network management.

The amalgamations of Councils in Victoria also saw new legislation such as the Road Management Act (2004) which has driven changes relating to policies, objectives, resources, decision making processes and standards. This is not the case in NSW.

In a number of cases this has lead to contracts with external companies to provide infrastructure maintenance. Mornington Peninsula Council has a 15 year contract for road maintenance with Downer EDI Works. I note that it has just been announced that Transfield has now won on separate contract for the next 5 years covering roadsides, drains, parks, gardens, open space and maintenance for a total value of $48 million.

Recommendation:

That Council note the report on Mornington Peninsula Council.

OPTIONS:

1 Note the report

2 Seek information on other authorities experiences

DISCUSSION:

1 The following comments are based on a conference paper by Peter Clewer, Asset Manager (Roads) for Mornington Peninsula Shire.

2 The Mornington Peninsula Shire in Victoria has amalgamated routine road maintenance activities and traditional annual reseal/rehabilitation capital works activities into the one long-term integrated road network management contract. The 'Safer Local Roads' (SLR) is a 15 year outcome based Road Network Management for Local Government, the scale of which has not been previously undertaken in Australia.

3 The aim of the 'Safer Local Roads' contract is to fully integrate all road network management services into one service provision to obtain greater value of money, improve services, obtain a greater certainty in service delivery, and implement a sustainable accelerated program of capital works deliveries.

4 Various specific performance measures exist to enable contract performance to be assessed, and this paper details the development of methodologies, processes and calculations for measurement of one of the key indicators, being road pavement performance for sealed roads. These were infrastructure asset management.

5 The Mornington Peninsula Shire until recently ran a fairly traditional model of local road network management. This was achieved by internally determining and supervising their annual reseal/rehabilitation works program which was undertaken by external contractors annually.

6 Whilst being relatively successful in terms of reducing existing rates of deterioration of the sealed network condition over a period of time, the Shire decided to expand their outlook to seek an alternative innovative method of achieving greater efficiencies and value for money for their community from their road network management services.

7 A 15 year contract for total road network management was entered into with Downer EDI Works.

8 The resultant 'Safer Local Roads' (SLR) contact is an outcome based on contract relying upon several performance indicators used to measure contract performance.

9 One of the challenges confronted was to determine a process to enable the Shire to monitor sealed pavement performance throughout the contract term and to develop a repeatable methodology of condition measurement so that regular reviews of sealed network pavement performance could be undertaken to ensure desired outcomes were being achieved.

10 The Shire provided Downer EDI Works access to all historical Council records of road condition data and pavement and road surface performance data during the tender period.

11 The existing Shire local road network hierarchy was reviewed and updated to accurately reflect a functional road hierarchy concept, and service levels (inspection frequencies, intervention levels, and response times) were reviewed and adopted according to each new individual hierarchy.

12 It was determined that the SLR contractual requirement regarding sealed network pavement performance was for the existing pavement condition as at the commencement of the contract to be maintained for each pre-defined road hierarchy classification for the 15 year term of the contract. In short, the network was to be handed back to the Shire at the end of the contract period in the same condition as when the contract commenced.

13 It was determined that a Pavement Condition Index (PCI) was to be calculated and used a measurement pavement performance.

14 The PCI was to be determined based upon the measurement of several existing road pavement defect types, aggregated together and appropriately weighted to produce one overall condition index figure for each defined road hierarchy.

15 A full network condition assessment and pavement performance review based upon identical processes and calculation methodologies will be undertaken on every third year of the contract, and again in the final year of the contract.

16 In conclusion, an innovative approach towards total integrated road network management within the Mornington Peninsula Shire has provided the opportunity for considerable gains to be made on the behalf of the community, in terms of more cost effective service delivery, and a sustainably delivered accelerated capital works program.

17 As you can imagine the consequences of adopting this contract based approach would impact on local employment and may not be cost effective without a number of companies establishing a presence in the Mid North Coast Region.

CONSULTATION:

Reference material from Mornington Peninsula Council and Downer EDI Works.

SUSTAINABILITY ASSESSMENT:

Environment

No change as a result of this report.

Social

No change as result of this report.

Economic

No change.

Risk

No change.

FINANCIAL IMPLICATIONS:

Direct and indirect impact on current and future budgets

No cost impact as a result of this report.

Source of fund and any variance to working funds

No funds sought.

Attachments:

1View	8014/2009 - News Release from Local Government Focus
2View	8016/2009 - Program of Workshop - Local Government Infrastrucutre 2006
3View	8019/2009 - Conference Paper - Peter Clewer
4View	8020/2009 - Downer EDI Works Website
5View	8022/2009 - Road Management Plan
6View	8825/2009 - Sustainable Local Roads
7View	8826/2009 - Safer Local Roads
8View	8827/2009 - Safer Local Roads - Comments on the Partnership and Outcomes that should be achieved
9View	8829/2009 - Safer Local Roads Contract - Briefing

General Purpose Committee

15 April 2009

Director of Engineering Services Report

ITEM 10.2 SF674 150409 Coffs Coast Waste Services - Performance

AUTHOR/ENQUIRIES: Bruce Redman, Director Engineering Services

Summary:

Council requested a review by the three Councils on the performance of Coffs Coast Waste Services.

This report was presented to the Contract Management Committee and it was felt that the existing information and assessments provided sufficient information for each Council to make a judgement.

This information includes an annual performance assessment by the staff of the three participating Councils that for 2008 scored the Contractor 9.59/10.

Recommendation:

That Council note the report outlining the good performance of the Coffs Coast Waste Contractor and operators in general.

OPTIONS:

1 Note the report

2 Seek a presentation by the Contractor Supervisor at a future meeting of the General Purpose Committee

DISCUSSION:

1 Council sought a review by the three Councils of the Coast Waste Service.

2 There are two readily available sources to gauge the performance of the operations:

a The Annual Performance Review

b Summary of the Hotline Calls (monthly)

2.1 Annual Performance Review

2.1.1 Under Clause 32, Part 5, General Conditions of the Coffs Coast Waste Services there is performance criteria. The results of the review is used to determine if an bonus payment is payable.

2.1.2 A copy of the scoring system is attached. It applies a score to the degree of performance achieved against nominated criteria. The scores are shown on the minutes of the meeting held on the 17 November 2008. Overall Handybin Waste Services scored an average of 9.59/10. This is a high level of compliance in all areas of the performance criteria namely:

a. Quality of Service

b. Compliance with the Contract Specifications and Conditions

c. Customer Service Approval by the Contractors

d. Customer perception of the Contractor Service

e. Level of Hygiene and Safety

2.1.3 This assessment has resulted in a high level of compliance with the Contract Conditions.

2.2 Call Centre Data

2.2.1 Each month the Contractor provides a summary of the enquires handled through the hotline phone number.

2.2.2 Attached is an example for December 2008. For all months items 4, 7 and 10 are the major area of enquiry. Typically these are 700 to 1,200 calls per month.

2.2.3 There are some 250,000 bin pickups each month for the three Councils and 1,000 phone calls.

2.2.4 Calendar stickers have been provided this year that allow residents to highlight the bulky bin collections dates. This should reduce the calls related to this enquiry (Item 4).

2.2.5 The level of telephone enquires is acceptable against the number of bin pickups with many calls of a enquiry nature (dates for bulky goods collections) rather than complaints.

CONSULTATION:

1 Coffs Harbour City Council

2 Coffs Coast Waste Contracts Committee

SUSTAINABILITY ASSESSMENT:

Environment

The three Councils allowance provides a high level of waste re-use with a minimal level of waste to landfill.

Social

The Community Survey sought to determine the social aspects of waste collection.

Economic

Collection charges are controlled by a 10 year contract. Processing charges are controlled by a 20 year contract.

Risk

No identifiable new risk.

FINANCIAL IMPLICATIONS:

Direct and indirect impact on current and future budgets

No costs associated with this report.

Source of fund and any variance to working funds

No funding sought.

Attachments:

1View	8164/2009 - 2008 Performance Review
2View	8163/2009 - 2008 December Summary of Telephone Calls

General Purpose Committee

15 April 2009

Director of Engineering Services Report

ITEM 10.3 RF477 150409 O'Grady Lane

AUTHOR/ENQUIRIES: Bruce Redman, Director Engineering Services

Summary:

Mrs L O’Grady has requested the upgrade of O’Grady’s Lane due to its poor condition and poor drainage.

The estimated cost to construct a concrete driveway with drainage is estimated at $60,000 for a 90 metre section.

Recommendation:

That Council consider the construction of O’Grady Lane along with all other capital projects in the 2009/2010 Draft Budget.

OPTIONS:

1 Consider with draft budget 2009/2010

2 No further action

3 Regular maintenance to gravel standard

DISCUSSION:

1 Mrs L O’Grady has requested through the Mayor an upgrade of O’Grady’s Lane in the 2009/2010 budget.

2 The Lane on the western side of the Council’s Administration Centre is deteriorating with use especially from the truck used for the waste collection and the lack of drainage.

3 The history of the use of the Lane relates firstly back to the construction of the Council Administration Centre. I understand that Council at the time, 1987, agreed to block access onto Station Street with timber bollards.

4 These remained in place until Council approved the construction of a garage onto the Lane some 6 years ago. The requirement to upgrade the Lane as part of the development consent was removed by the Council of the day.

5 The Lane is a public road and thoroughfare although rarely used because the Council carpark is a far better access option.

6 The Lane would best be upgraded as a concrete driveway style with stormwater drainage back to the existing collection pit.

CONSULTATION:

1 Adjacent residents

2 Mayor

SUSTAINABILITY ASSESSMENT:

Environment

Water ponds in the Laneway during rainfall and remains for a period of time.

Social

The Lane is accessible by nearly all the properties in the blocks and receives occasional use.

Economic

The low use does not warrant major expenditure however Council did approve a garage access to the Lane.

Risk

The Lane will require regular maintenance to be useable.

Use of Council’s carpark, by adjoining landowners, as a through access creates a safety hazard.

FINANCIAL IMPLICATIONS:

Direct and indirect impact on current and future budgets

1 The regularly used section is from Station Street to Council’s carpark, some 90 metres.

2 The estimate of cost for a concrete drive 3.0 metres wide is:

Earthworks $ 3,000

Concrete 90 x 3.0 x $150 $41,000

Stormwater 80 x $100 $ 8,000

Pits 2 x $1,200 $ 2,400

Contingency $ 5,600

$60,000

3 This would need to be included in the 2009/2010 budget if construction was considered warranted.

Source of fund and any variance to working funds

Specific allocation in the budget.

Attachments:

1View

8225/2009 - Map - O'Grady Lane

General Purpose Committee

15 April 2009

Director of Engineering Services Report

ITEM 10.4 SF593 150409 Drainage Problem at Farringdon Village

AUTHOR/ENQUIRIES: Noel Chapman, Manager Civil Works

Summary:

A major stormwater pipe passes through Farringdon Village. This pipe carries water from Marshall Way to the swamp land at the rear of the village.

The pipe has separated at a number of joints and requires repair. An adjoining building is being adversely affected.

Recommendation:

That Council allocate up to $10,000 for repairs to the main stormwater pipe through Farringdon Village.

OPTIONS:

1 Allocate additional funds.

2 Not allocate funds.

DISCUSSION:

Council has previously undertaken similar work on other sections of this pipeline. Farringdon Village Management have removed a verandah structure previously over this section of pipe and now consider it is Council’s responsibility to repair the pipe to avoid any further property damage.

CONSULTATION:

Farringdon Village Management Committee.

SUSTAINABILITY ASSESSMENT:

Environment

There are no issues as a result of this report.

Social

Possible property damage if repairs not undertaken.

Economic

Possible cost to repair private property.

Risk

Damage to private property.

Further damage to pipe network.

FINANCIAL IMPLICATIONS:

Direct and indirect impact on current and future budgets

No funds in current budget. Additional funds required.

Source of fund and any variance to working funds

Cost to be taken from working funds.

Attachments:

There are no attachments for this report.

General Purpose Committee

15 April 2009

Director of Engineering Services Report

ITEM 10.5 SF444 150409 Road Hierarchy Plan and Grading Schedule

AUTHOR/ENQUIRIES: Noel Chapman, Manager Civil Works

Summary:

Council adopted an Interim Road Hierarchy on 17 April 2003. Council has also requested the development of a Grading Programme of Works.

In view of the fact that the hierarchy plan incorporates levels of service for road maintenance activities and the plan is due for review the grading programme has been incorporated within the revised plan.

Recommendation:

That the revised Road Hierarchy Plan, incorporating a Grading Programme be adopted.

OPTIONS:

1 Adopt the Plan as presented

2 Modify the Plan

DISCUSSION:

1 The Road Hierarchy Plan sets out design and maintenance levels of service for Council’s Road network. The Plan also identifies the class of each section of road, associated inspection standards, funding requirements and a theoretical grading programme.

2 As stated in the Plan the actual grading works undertaken may vary significantly depending on weather conditions and extra ordinary road usage by log trucks etc.

3 The Senior Overseer is concerned that he will be in constant breach of the Plan when he responds to the varying climatic conditions.

CONSULTATION:

Director Engineering Services

Senior Overseer

SUSTAINABILITY ASSESSMENT:

Environment

No change as a result of this report.

Social

Varying levels of service will impact on road users with an increase or decrease in social wellbeing.

Economic

Lower levels of service can result in higher vehicle operating cost and affect primary production profits.

Risk

Lower levels of service can lead to a greater risk of motor vehicle accidents and also a deterioration of a major infrastructure asset.

FINANCIAL IMPLICATIONS:

Direct and indirect impact on current and future budgets

Implementation of the plan will affect the funding requirements of future budgets.

Source of fund and any variance to working funds

Funding will be required for both Capital and Maintenance works. There is no direct funding requirement as a result of the report however adoption will indicate a future requirement.

Attachments:

1View

Circularised Document - Road Hierarchy Plan Interim - April 2009 Revision