Agenda of Extraordinary Council Meeting

Extraordinary Council Meeting 23 June 2020

2 General Reports

2.1 Adoption of Operational Plan 2020/2021 and draft Budget 2020/2021 (Year 3 of the Current Delivery Program)

TRIM REFERENCE: 2020/953

AUTHOR: David Waddell, Chief Executive Officer

EXECUTIVE Summary

At the Council Meeting held on 12 May 2020 the following was resolved:

RESOLVED - 20/129 Cr J Hamling/Cr S Nugent

That Council resolves:

1 To place the draft Operational Plan 2020/2021 and draft Budget 2020/2021 (including draft Statement of Revenue Policy 2020/2021 and draft Fees and Charges 2020/2021) and updated draft resourcing strategies Long Term Financial Plan 2020/2021 to 2029/2030 and Workforce Management Plan 2020/2021 to 2023/2024 on public exhibition for a minimum of 28 days.

The draft Delivery/Operational Plan, Long Term Financial Plan and Workforce Management Plan were placed on public exhibition from 13 May 2020 to 10 June 2020.

The 2020/21 budget online community consultation was hosted on the YourSay Orange site. (Reports attached) The budget site was promoted through a number of media releases through both traditional media and Council’s own social channels.

Arising from the exhibition period, Council has received 16 formal written submissions. A copy of each written submission has been provided as an attachment to this report.

The Delivery/Operational Plan delivers:

1. An estimated 158 new additional full time roles with contractors through the capital projects program

2. An operating deficit of $2.1 million for the general fund (noting that $1.8 million of the deficit relates to the negative impact of CoVid 19 on revenue streams)

3. $58.7 million in capital expenditure in the general fund

4. $3.0 million deficit in the overall cost to Council

5. Operating surpluses in water ($0.015 million) and sewer funds ($0.8 million) inclusive of capital works totalling $14.1 million and $6.2 million respectively in the 2020-21 financial year. Surpluses in these funds are accumulated to meet future capital costs as the city grows, modelled over a 30 year plan.

Council is again undertaking an ambitious program and has secured funding or seeking external funding to enable it to deliver projects for the Orange community. The $79 million in capital projects in 2020/2021 will provide continuation of employment to existing private contractor staff, stabilising their employment and giving them confidence to continue spending in the economy and in turn, keep others employed. The capital projects will also create an estimated 158 new additional staff with these contractors. The spending from the new and existing employees has a flow-on effect, creating additional employment, or consolidating marginal employment, in the sectors that Council cannot directly support in any substantial way (retail and services). These new and consolidated positions in the retail and service sectors provide additional stimulation to other parts of the economy. A key long term effect of the capital projects is that the industry develops additional capacity to manage larger contracts, leading to local companies having the ability to win contracts that might otherwise have been won by larger industry players from out of the region.

Key projects include:

FutureCity CBD upscale and renewal - $15M (part of a 2 year $30M project). Council has committed $5M per year to this project	Orange Regional Conservatorium - $20M over 2 years. Council has committed $5M to this project	Showground amenities - $750K. Council has committed $250K to this project
$4.4M in Airport upgrades and improvements	Playground upgrades at Council child care centres - $200K	Mount Canobolas Mountain Bike Trails - $500K committed for phase 1 of the project
Sporting Precinct development - $25M all from NSW Government	Glenroi Oval master plan implementation - $125K per year for two years	Renewable projects - $500K per year for 3 years
Gallery extension – $1M committed by Council out of a total $5M	Clergate Rd – NDR to Canobolas Wooltop (Stage 2) $2.8M	Forest Rd – Cadia Rd to Boundary $800K per year for four years
Lone Pine and Wakeford St road construction - $1.4M	Ophir Rd widening and barrier installation - $510K	Phoenix Mine Rd widening - $335K
Spring Creek Dam to Icely Rd WTP - $4.5M ($5M emergency water project 50% funded by NSW Government)	Blackman’s Swamp stormwater harvesting Stage 2 - $5M (emergency water project 50% funded by NSW Government)	Gosling Creek dam upgrade - $900K
Icely Rd Water Treatment Plant - $1.1M	Southern Feeder Rd works – An additional $1.5M committed	Sewerage Treatment Plant inlet works upgrade - $3M
Spring Hill Lucknow sewer strategy - $800K	Conversion of CWD Photos – $25K per annum	Replacement Depot Building - $800K committed of total $1.4M cost
All day car park located on Old Williams Shed site - $200K	Double Storey Carpark - $4.5M	Aquatic Centre Expansion - $3M
Industrial Land Projects – $2.5M	Lake Canobolas Enhancements - $1M	Wade Park and Grandstands - $1.2M
Orange Civic Theatre - $6M	Advancing Shiralee Community Infrastructure - $1.5M	Footpaths – $900K year 1, $750K year 2 and $600K year 3.
Sir Jack Brabham Park – $250K refurbishment of amenities blocks	New and refurbished Playgrounds – $900K over 4 years

Other smaller value projects include:

· An additional leash free area

· Appropriate signage and garden at Orange entrances

· Acknowledgement of Iconic Australian Locals

· Ploughman's Wetland - Elevated Boardwalk

· Somerset Park - Bridge at Northern End

· Columbarium Wall at the Cemetery

· Gallery - Movable walls

· Villages development

Grant Funding

A number of projects in the Capital Works program are partially reliant on State and Federal government grant funding, so the actual built value will depend on the level of support provided by the State and Federal government to the Orange community.

Should State or Federal funding not be secured and Council wishes for the project to proceed, the project would be required to be modified, or additional funding sourced by Council through either increased loans, utilisation of reserves or deferral to future years.

In 2020-21 projects that are listed and have an unsecured grant component include:

· CBD Refurbishment: Full project is estimated at $30M with $20M to be secured. This project is able to be staged to reflect funding received / available

· Orange Regional Conservatorium: $20M project with $5M to be secured. This project is able to be staged however it requires funding to proceed.

· Forest Road works: $4.8M project over 6 years. $800K to be secured. This project is able to be staged

· Showground Amenities and Kitchen: $750K project with $500K to be secured. This project is able to be staged with the ability to construct components separately.

COVID-19

Given the COVID-19 situation is fluid, it is expected that variations through both additional funding and additional expenditure will be required to the Budget after adoption. The Council is able, through its quarterly variation process, to accommodate changes to the Budget moving forward, and it is expected that this will be used again to bring forward projects or make adjustments for COVID-19 impacts that are unable to be incorporated into the Annual Budget at 1 July 2020.

Council has included a $1.8M loss of revenue provision in the 2020/2021 Delivery Plan for the first quarter. This covers activities including:

	$
Child Care Centres	280,000
OCT Closure	325,000
Airport / Airlines reduction	260,000
Parking Fines	250,000
Pool Closure	137,000
Caravan Park Closure	104,000
Museum Closure	45,500
VIC Closure	36,000
Function Centre Closure	27,000
Ophir Carpark Closure	21,450

Those priorities and ideas which haven’t been able to be afforded at this stage will be further reviewed as Council continues to look at opportunities going forward at quarterly reviews and subsequent plans as they provide a valuable ledger of community wishes.

Key points to note

1 Orange is a prosperous and growing City with a changing demographic as young families realise that Orange is a place to stay and grow with all of the opportunities offered by larger metropolitan centres with the added benefit of a country lifestyle. As Orange grows it is time to look ahead and build the social infrastructure that the City and its next generations will need in 2030 and beyond.

2 The delivery of this program is partially reliant on State and Federal government grant funding, so the actual value will depend on the level of support provided by the State and Federal government to the Orange community. Funding for the projects also comes from Council’s own funds and reserves, land/property sales and loans. The use of additional loans will result in Council’s debt ratio continuing to meet the NSW Government benchmark.

3 It is considered that Council should be ambitious in pursuing a large project and service agenda, making the most of leverage funding opportunities to lift outcomes for the community and stimulate the local economy. While not all projects are assured of other funding, they are included to drive greater value for leverage funding provided by Council. Given the number and spread of projects reliant on co-funding and Council’s contribution to the projects, along with some current exposure to partial grant funding, it is necessary to consider a probability/contingent approach to such projects.

4. While it would be ideal to procure all co-funded projects, it may not happen, and while seeking such funding, Council revenue is reserved for the projects that may or may not occur. The Plan proposes loans towards a major co-funded project and coverage of some of the exposure to partial funding through loan capacity and or reserves. Additionally, should a project not eventuate which relies upon co-funding then it releases Council’s component of the project.

5. Council has decided to reintroduce a bulk waste collection service after 85 per cent of those who completed the YourSay survey in support of the proposal. The service will be a Council wide bulky waste pick up once a year and levied against all ratepayers regardless of whether it is utilised or not. The price of the service is $11.35 exc. GST and includes three passes - the first for any refrigerated bulky waste that requires degassing and can be recycled; the second for scrap steel that can be recycled; and the third for general bulky waste.

This has resulted in an operating deficit in the General Fund and a moderate level of surplus in the utility funds to contribute towards meeting future needs. The summary result of the various funds including items within this report is:

Operating Result (by Fund)
	2020/2021 Proposed	2021/2022 Proposed	2022/2023 Proposed	2023/2024 Proposed
General Fund	2,134,374	(470,519)	(724,320)	(963,794)
Water Fund	(15,011)	(160,326)	(136,229)	(263,101)
Sewer Fund	(792,371)	(1,292,139)	(1,362,790)	(1,404,538)

Total (All Funds)	1,326,992	(1,922,984)	(2,223,339)	(2,631,433)

Overall Result (by Fund)
	2020/2021 Proposed	2021/2022 Proposed	2022/2023 Proposed	2023/2024 Proposed
General Fund	3,143,251	(1,428,276)	645,259	235
Water Fund	(125,567)	(1,904,912)	1,249,907	(1,369,144)
Sewer Fund	(558)	(2,733,881)	(422,047)	(2,511,148)

Total (All Funds)	3,017,126	(6,067,069)	1,473,119	(3,880,057)
Note: Positive amounts equal a deficit result

This report seeks Council’s adoption of the suite of Integrated Planning and Reporting (IP&R) documents, being:

· 2018/19 - 2020/21 Delivery/Operational Plan

· Resourcing Strategy incorporating the Long-Term Financial Plan, Workforce Management Plan, Asset Management Policy and Strategy.

Link To Delivery/OPerational Plan

The recommendation in this report relates to the Delivery/Operational Plan strategy “1.3 Our City - Ensure a robust framework that supports the community’s and Council’s current and evolving activities, services and functions”.

Financial Implications

The proposed Delivery/Operational Plan identifies the operational and subsequent budgetary impacts arising in the delivery of the proposed levels of service.

Policy and Governance Implications

The Local Government Act 1993 requires Council to exhibit the documents for a minimum of 28 days. The documents were exhibited for 28 days from 13 May 2020.

The draft suite of documents has not been reproduced with this report, however following Council’s adoption of the documents, they will be updated and a full copy supplied to all Councillors and made available on Council’s website.

Recommendation

That Council resolves:

1 In accordance with Sections 534, 535, 537 and 538 of the Local Government Act 1993, to adopt the following structure for rating purposes for the period 1 July 2020 to 30 June 2021, and make the ad valorem rate in the dollar and base amount as detailed in the table below, noting that land value to be used is based on the valuation date of 1 July 2019 and supplementary information provided since that date, for the rateable land in the Orange Local Government Area, as follows:

Ordinary Rates	No. of assessments	Value of assessments $M	Ad Valorem Amount	Base Amount	Base Amount % of Total	Estimated Yield $
Residential	16,225	2,423	0.005056	714.20	48.61%	23,838,230
Residential – Rural Residential	509	244	0.002632	714.20	36.18%	1,004,906
Residential – Clifton Grove	230	77	0.003742	714.20	36.27%	452,922
Residential – Ammerdown	43	18.1	0.004016	714.20	29.65%	103,593
Residential – Village	190	24	0.003385	423.89	49.74%	161,926
Farmland	373	334	0.001366	714.20	36.88%	722,400
Business	1,293	606	0.012151	714.20	11.14%	8,289,402
Business – Village	19	2	0.003652	390.00	49.51%	14,968
Special Rates
Orange Central Business Area	327	175	0.004065	N/A	N/A	713,186
					TOTAL	$35,301,533

2 To adopt the Schedule of Fees and Charges as listed in the exhibited draft Delivery/Operational Plan for the period 1 July 2020 to 30 June 2021, provided that such changes may be varied by any alteration to the Local Government Act 1993 or Local Government (General) Regulation as directed by the NSW Government and subject to Council having the right to vary fees charged during the year subject to the required exhibition processes being observed. The fees and charges for the Companion Animals Act are yet to be published and circulated by the NSW Government. These fees and charges will be amended and adopted as soon as they are received from the NSW Government.

3 That the following expenditure for the period 1 July 2020 to 30 June 2021 be voted in accordance with the requirements of Clause 211 (2) of the Local Government (General) Regulation 2005:

2020/21	General Fund	Water Supply	Sewer Operations	All Funds
Operational Expenditure	$77,430,103	$21,936,975	$10,919,696	$110,286,774
Capital Expenditure	$58,729,492	$14,087,863	$6,240,110	$79,057,465
Loan Repayments	$4,825,469	$285,469	$155,908	$5,266,846
TOTAL	$140,985,064	$36,310,307	$17,315,714	$194,611,085

4 To adopt the:

a 2018/19 – 2021/22 Delivery/Operational Plan

b Resourcing Strategy incorporating the Long-Term Financial Plan, Workforce Management Plan, Asset Management Policy and Strategy

5 That the Councillor allowance be set at $21,888 and the Mayoral Allowance be set at $54,072 for 2020/21, being 10% below the maximum allowable allowance for Regional Centre councils as determined by the Local Government Remuneration Tribunal on 10 June 2020.

further considerations

The recommendation of this report has been assessed against Council’s other key risk categories and the following comments are provided:

Service Delivery

The Delivery/Operational Plan identifies levels of service for the range of Council’s operations. These levels of service are also identified as part of the Asset Management Strategy and Plans.

The Delivery/Operational Plan identifies key projects and services Council will deliver over the term of the Plan, and quarterly performance indicators will provide a measure of Council’s performance in achieving these objectives.

Image and Reputation

The Delivery/Operational Plan is a pledge to the community to deliver an agreed level service, initiatives and projects over the next four years.

Stakeholders

The Delivery/Operational Plan identifies key agencies and other groups that are stakeholders in key Council activities. The Plan identifies the range of government agencies that provide advocacy, funding and partnerships to Council.

SUPPORTING INFORMATION

Delivery/Operational Plan

The Delivery Plan must cover a four year period and is designed to illustrate the tasks that will deliver the objectives and strategies as depicted in the Community Strategic Plan.

The Operational Plan has to show the current year of the four years depicted in the Delivery Plan. Given the duplication of information, Orange City Council, like a number of other councils, has determined to combine the Delivery and Operational Plans into one document.

The combined Delivery/Operational Plan presents the first four years of the 10 year Long Term Financial Plan that is a required element in the Resourcing Strategy within the Integrated Planning and Reporting framework as required under the Local Government Act 1993 (NSW).

Many of the actions and performance measures in the existing Delivery/Operational Plan have been carried forward in the 2018/19 - 2021/22 Delivery/Operational Plan.

Assumptions used in preparing the Delivery/Operational Plan are as follows:

· Rating increase as set by NSW Government – 2.6% in 2020/21, 2.5% thereafter

· NSW Local Government Award salary increases – 2.5% in all years

· Consumer Price index increment –2.5% in all years

· Water charges – increase by 2.5% in all years

· Sewer charges – increase by 2.5% in all years

· Superannuation – increase as per required – 9.5% in all years (future increases when confirmed will be factored into the forward budget years)

· Continuation in budgeting of the Financial Assistance Grant

Donations

The proposed donations allocations are based on the current donations policy. The major change in the program at this time will be to add the general donations and emergent funding pools together and offer quarterly funding rounds to make the system easier for community members to access. At present applicants must submit an application in February for an event that may be held in June the following year. This tends to disadvantage smaller groups. This does not require a change to the existing policy. All donation areas over the four years in the Delivery/Operational Plan are shown below.

Category	2020/21	2021/22	2022/23	2023/24
General Donations	60,000	60,000	60,000	60,000
Sports Facility grants	50,000	50,000	50,000	50,000
Sports Participation program	13,900	13,900	13,900	13,900
Donation to Orange Harness Racing	20,000	20,000	20,000	20,000
Emergent funding requests	20,000	20,000	20,000	20,000
Uniting Church Spire	27,000	0	0	0

Issues raised by Councillors at briefing sessions and follow up requests from matters raised at briefing sessions

Councillors were consulted through briefings during the exhibition period where a number of initiatives not included in the exhibited papers were considered. Some initiatives were brought forward by Councillors whilst others were in response to submissions received during the exhibition period.

The draft Delivery/Operational Plan discussions by Councillors at these briefings and in subsequent requests has resulted in the changes detailed in the tables below and have been included in the 2020/21 Delivery/Operational Plan since the draft went on exhibition.

These items are subject to Council direction. Should they not proceed or proceed in a different form the adjustments will be processed in future quarterly reviews.

General Fund Operating Result

	Opening general fund deficit operating result		$2,102,374

ADD	Reduction in traffic maintenance program	($75,000)
			$2,027,374

LESS	Mobility map updates	$5,000
	Uniting Church spire lighting	$27,000
	Roads Labourer	$75,000
	Closing general fund deficit operating result		$2,102,374

General Fund Overall Cost to Council

	Opening general fund overall cost to council deficit		$2,941,251

ADD	Parks and gardens building capital works allocation	($75,000)
			$2,866,251

LESS	Net movement in operating result	$32,000
	Botanic gardens bluestone retaining wall	$80,000
	Painting traffic learning area at Moulder Park	$30,000
	Villages development	$60,000
	Elephant Park building capital works	$75,000
	Closing general fund overall cost to council deficit		$3,143,251

There have been no changes made to the Delivery/Operational Plan for the water fund or sewer fund.

Councillor Allowance

The Local Government Remuneration Tribunal recently reclassified Orange City Council from a Regional Rural Council to a Regional Centre. A consequence was that the maximum allowance for Councillors increased from $20,280 to $24,320 and the maximum Mayoral allowance increased from $44,250 to $60,080. This reflects the role of a Regional Centre Councillor. It is recommended that the Councillor allowance be set at $21,888 and the Mayoral Allowance be set at $54,072 for 2020/21, being 10% below the maximum allowable allowance for Regional Centre councils as determined by on 10 June 2020.

Public Exhibition

The draft Delivery/Operational Plan, Long Term Financial Plan and Workforce Management Plan were placed on public exhibition from 13 May 2020 to 10 June 2020. The 2020/21 budget online community consultation was hosted on the YourSay Orange site. The budget site was promoted through a number of media releases to traditional media and through Council’s own social channels.

865 people visited the site during the consultation period, reading articles about aspects of the budget, completing surveys or leaving a comment. The site also contained a link about how to make a formal submission. As well as reading shorter articles, people could download the budget documents. 39 people downloaded the draft Fees & Charges document and 31 people downloaded the Delivery/Operational Plan.

There were two surveys - 32 people completed a survey about general responses to the budget. 104 people completed a separate specific survey on responses to the reintroduction of the bulky waste collection. For accuracy, completing a survey or leaving a comment required a registration. 98 people who took these steps were new registrations, meaning it was the first time they had completed a survey or left a comment on the YourSay site.

Bulky Waste survey summary

· 69% of respondents had previously used the former bulky waste collection every year. 31% had used it some years or not at all.

· 84% of respondents supported the reintroduction of the bulky waste collections.

· 54% of respondents supported continuing with the current user pays collections, as well as the new across-the-board collection

General Budget survey

· 66% supported CBD upgrade spending

· 54% supported the first stage of the sporting precinct

· 68% believed the level of spending on the airport upgrade was ‘about right’

· 84% believed increased spending on footpaths was worthwhile

· 80% believed increased spending on parks and playgrounds should be a priority

· 80% believed the level of spending on expanding the stormwater harvesting scheme was ‘about right’

· 41% believed the 2.6% rate peg increase in rates was ‘too much’. 55% believed the increase was ‘about right’

· 60% believed the CPI increase in Council fees & charges was ‘about right’

Several people took up the option of leaving a text comment. The text of each online comment can be seen in the attached YourSay report. A summary of the main themes of the submissions and Council’s response follows:

Submission topic	Council Response
Thanks for work around the Skate Park. Please do more	Will be considered as part of playground refurbishments and upgrades
Please improve the quality of Pinnacle Road	Will be considered as part of roads program in future years but is not planned in 20/21.
Please work to improve the number of closed shops in Summer St. Consider rate relief for businesses	Part of considerations of the OC Future City Project and the COVID Rebound group
Council should gradually buy Summer St real retail estate and make these sites available at lower rent	Part of considerations of the OC Future City Project and the COVID Rebound group
Support for increased council spending in Spring Hill. Thanks for councillor and staff support at community meetings	Capital budget has been increased from $20,000 per year to $40,000 per year for the next two years, and maintained at $20,000 thereafter.
Please improve footpaths in Spring Hill, and give priority to more heritage displays and sporting facilities in Spring Hill	Capital budget has been increased from $20,000 per year to $40,000 per year for the next two years, and maintained at $20,000 thereafter.
Please re-introduce Bulk Waste collections, but do not increase charges	Council has decided to reintroduce a bulk waste collection service, with 85 per cent of those who completed the YourSay survey in support of the proposal. The service will be a Council wide bulky waste pick up once a year and levied against all ratepayers regardless of whether it is utilised or not. The price of the service is $11.35 exc. GST
Orange needs more affordable housing, not a gallery extension. Spend more on footpaths. Enough spent already on airport	Affordable housing is part of considerations of the Orange Local Housing Strategy. The footpath budget has been significantly increased to $900,000 in 20/21, $750,000 in 21/22 and $600,000 in 22/23. Projects relating to the airport are largely grant funded and for that reason will proceed as planned.
Please re-surface the car park at the Hockey Centre	Maintenance patching will be completed and full refurbishment will be considered as part of the rehabilitation and resealing program
Please build more footpaths in the Suma Heights (Sophie Drive) housing estate	The footpath budget has been significantly increased to $900,000 in 20/21, $750,000 in 21/22 and $600,000 in 22/23.
On behalf of Orange Hockey Association and its 1,000 members, please re-surface and line mark the Hockey Centre car park in Moad Street. Please don’t simply patch potholes	Maintenance patching will be completed and full refurbishment will be considered as part of the rehabilitation and resealing program
Please re-surface the Orange Hockey Centre car park	Maintenance patching will be completed and full refurbishment will be considered as part of the rehabilitation and resealing program
Hockey brings a lot of visitors to Orange. Please re-surface the Hockey Centre car park. It is embarrassing	Maintenance patching will be completed and full refurbishment will be considered as part of the rehabilitation and resealing program

There was general support for council initiatives and projects in the draft Delivery/Operational Plan. The full survey results can be found in the attachments to this report.

SUBMISSIONS

Arising from the exhibition period, Council has received 16 formal written submissions. A copy of each written submission has been provided as an attachment to this report.

Submissions Summary

Submission 1
Received from	Orange Farmers' Market Inc
Request The applicant is seeking financial assistance to cover the balance due of $6,402 on Farmers' Market Bags.
Staff Comment Community financial assistance is under section 356 of the Local Government Act 1993 in Council's strategic policy ST056 Donations and Grants. This request can be considered under the Small Donations Program (Round 2 of 2020/2021). The applicant needs to be put this request in by completing the donation application form for the Small Donations Program - the same procedure that all other applicants under that Program follow.
Recommendation	The applicant be asked to complete a donation application form under Council's Small Donations Program.

Submission 2
Received from	Lifeline Central West
Request The applicant is seeking ongoing $15,000 financial assistance for the purchase of a building in Orange for Lifeline's expansion of its essential services.
Staff Comment Requests for community financial assistance come under section 356 of the Local Government Act. Council’s policy covering community financial assistance is ST029 Donations and Grants. The subject requests falls within “Providing a Community Service” under the Small Donations Programs. Donations are capped at $2,000. This Program has a budget of $80,000. In 2019/2020, 55 applications were received under this Program; without the $2,000 capping, most of these applicants would miss out. Due to COVID-19 and at the end of May 2020, $15,079.89 was unspent in the Small Donations Program budget. In receipt of a letter from Lifeline Central West outlining the impact of COVID-19 on its operations (huge increase of people accessing service and increased percentage identified as mental-health issues), Council at its meeting of 2 June 2020 resolved its intention to donate the remaining budget to Lifeline Central West. Lifeline Central West has already submitted a donation application form for consideration in Round 1 of 2020/2021. Applications received for Round 1 will be considered by Council at its meeting on 7 July 2020.
Recommendation	Applicant’s request is currently on public exhibition and will be dependent on submissions received

Submission 3
Received from	Rod Maxey
Request Construction of a gravel walkway to link wetland areas (Cargo Road to Escort Way).
Staff Comment Note that the area identified is not classified as public open space, it is road reserve. The distance from the Escort Way to the new unnamed road constructed off Cargo Road is approximately 800 metres and the terrain is undulating with approximately 14 metres in elevation change. The topography of the site will require a pathway to be constructed directly up the slope ie perpendicular to the contours. Loose surface pathways such as granitic sand or crushed limestone have a high predisposition to erosion where overland flow concentrates and scours down slope and where the pathway is perpendicular to the slope. The maintenance requirements to repair erosion damage and reinstate a loose surface pathway on a regular basis are onerous. Note that there is a proposal within the Orange City Council Active Travel Plan for a connection between Forbes Road to Cargo Road along Ploughmans Lane using a shared pathway. This pathway would be constructed in concrete. A temporary form of a pathway – being granitic sand is a reasonable choice for this northern end of the leash free dog exercise area when compared to the construction of a concrete pathway; however it has limitations and maintenance issues. Installation of a granitic sand pathway could be undertaken from Forbes Road to the new cul-de-sac off Cargo Road servicing the rear of 241 Ploughmans Lane. A probable estimate of costs is in the order of $10,000 to $15,000 depending on the need to install drainage pipes and headwalls and it is estimated that a further $1,000 per year for maintenance works to reinstate and maintain the surface of the pathway following rain events is required.
Recommendation	Part of considerations of the Orange City Council Active Travel Plan for future years but is not included in 20/21 budget

Submission 4
Received from	John Da Rin
Request IP&R format and measurements, COVID-19, property sales, water and sewer, fees and charges, reserves
Staff Comment Dot Points 1 to 4 (IP&R format and measurements) Council is currently evaluating its complete property portfolio in order to prioritise which assets should be sold, and which should be held. The budget already contains provision for several sales in order to help fund the ambitious spending program. Council has been conservative in only taking into account COVID impacts on revenue in the 20/21 budget. The effects of the crisis will be analysed and taken into account in upcoming quarterly reviews once the full impact is known. Council welcomes the recommendations on IP&R format and measurements and will certainly consider these when the new Community Strategic Plan and Delivery Program are created after the next Council election in September 2021. Water and sewerage charge increases are required to ensure the financial sustainability of Council’s water and sewerage services and provide for future infrastructure requirements. All fees and charges are annually reviewed and must take into consideration issues including but not limited to the cost of the service or operation, CPI, laws and regulations and benchmarking with others that provide a similar service. Council maintains reserves for various purposes, one of which is an asset renewal reserve. These reserves allow Council the flexibility it needs to fund ongoing capital needs and play an important funding role in the delivery/operational plan.
Recommendation	Noted

Submission 5
Received from	Spring Hill Consultative Committee
Request Annual funding increase for Spring Hill
Staff Comment The current year budget is $25,000, with no ongoing budget provision. The exhibited draft budget proposed an ongoing $20,000 per year for all three villages.
Recommendation	Increase by $20,000 per year for the next two years for all 3 villages to a total of $40,000 each in 2020/21 and 2021/22, with $20,000 each thereafter.

Submission 6
Received from	Warren Kelly and Lyn Kelly
Request Against the rate increase for bulky waste collection
Staff Comment Council has decided to reintroduce a bulk waste collection service, with 85 per cent of those who completed the YourSay survey in support of the proposal. The service will be a Council wide bulky waste pick up once a year and levied against all ratepayers regardless of whether it is utilised or not. The price of the service is $11.35 exc. GST and includes three passes - the first for any refrigerated bulky waste that requires degassing and can be recycled; the second for scrap steel that can be recycled; and the third for general bulky waste.
Recommendation	Bulk waste collection service is included in 20/21 at a cost to ratepayers of $11.35 (exc. GST) each

Submission 7

Received from

Rotary Club of Orange

Request Increased financial assistance for the Banjo Paterson Australia Poetry Festival 2021.

Staff Comment

The Banjo Paterson Australian Poetry Festival Committee (BPAPFC) made a presentation to the Cultural Heritage Committee on 2 March 2020 in conjunction with a written report by the Community Museum and Heritage Manager.

3.1 BANJO PATERSON AUSTRALIAN POETRY FESTIVAL COMMITTEE PRESENTATION TO CULTURAL HERTIAGE COMMUNITY COMMITTEE ON CONTINUED FUNDING AND SUPPORT

TRIM REFERENCE 2020/268

RESOLVED Cr R Kidd/Cr S Nugent

That the report by Community Museum and Heritage Manager be acknowledged.

As a result of this meeting, the CEO approved the Events Officer to attend meetings of BPAPFC in an advisory capacity. This advisory role does not fall within the Event Sponsorship program and therefore is not considered part of any application.

The letter of request for consideration in the budget planning process is based on advice to the committee from staff that the request was unable to be fully funded under the Event Sponsorship program as the total value would exceed the maximum level of sponsorship in the applicable category. The Event Sponsorship Strategic Policy (ST144) caps the maximum amount of funding for combined cash and in-kind funding at $10,000 for the Event Development category. The total of the request is difficult to quantify as staff are unable to estimate the level of in-kind support through venue hire, accommodation, printing and banners based on the information provided. A formal Event Sponsorship Application has not been received to date.

Staff comment (continued)

Council might consider waiving some conditions of the policy and approving the event under the Quick Response category. The maximum funding under this category is $20,000. A waiver could be considered on the basis that the event will include a national championship for Bush Poetry. As there are many potential variables with the listed in-kind support it is recommended that if Council approves an amount that the approval be a fixed dollar amount and that the committee can then prioritise which amounts they use as cash or in-kind. This support would still be subject to meeting all other Event Sponsorship requirements.

Support for the event through the Orange Visitor Information Centre and Council’s communications team (excluding design and printing) is considered a normal operational activity and not included in the Event Sponsorship process.

Recommendation

The applicant be asked to complete an application form under Council's Event Sponsorship Strategic Policy.

Submission 8
Received from	Orange Hockey Inc
Request Resurfacing line marking at Glenroi Oval Car Park.
Maintenance patching will be completed and full refurbishment will be considered as part of the rehabilitation and resealing program
Recommendation	Maintenance patching to be completed in 20/21 with full rehabilitation to be considered for future years

Submission 9
Received from	Put Orange First
Request IP&R Process, Business Support, Bringing Major Players Together, Economic Stimulus, Deferral of CBD Upgrade, Bricks and Mortar Retail, Rates Increase and Bulky Waste Levy.
Staff Comment The Orange City Council structure does include a Business Development Unit providing tourism, event and business establishment support. The Orange 360 agreement also includes more than $400,000 in funding that has economic benefits for the broader community. More broadly supporting economic activity is a focus for both Councillors and the Executive. The Orange First submission seeks “to bring the major players in the advancement of Orange together”. Council’s Economic Development Community Committee does have Orange First members as does the COVID Rebound Group initiated by Council. The Future City CBD upgrade is part of the budget - $10 million (part of a 2 year $30 million project). It includes options of what the CBD might look like in the future and what transition might take place such as a shift to a night time economy and residential uses. The Orange First submission also questioned rate increases. While rates increases are rarely popular they are a factor of level of services and changes in the former will have an impact on the latter. The correct draft is on exhibition. The current Delivery Program began after the Council election in 2017 (delayed by amalgamations) and was originally created for a three-year period, being: 2018/2019 Year 1 Operational Plan 2019/2020 Year 2 Operational Plan 2020/2021 Year 3 Operational Plan This was only for a three-year period (not the usual four-year period), as the intention was to align all Council’s back up after amalgamation with the 2020 elections. As COVID-19 has delayed Council elections until 2021, the current delivery program is being extended for another year: 2021/2022 Year 4 Operational Plan In creating the current draft and after reading an article by the author of this submission in the Orange City Life about Council incorrectly rolling its Delivery Program forward (which did happen in 2019/2020 - Year 2 Operational Plan), the draft was corrected to show the Programs in the Delivery Plan from its original starting year structure (2018/2019) and to go forward for its now four-year period with changes only showing in each year’s Operational Plan - this was to stop our Delivery Programs being a “moveable” feast. Resourcing strategies (Long-term Financial Plan, Workforce Management Plan and Asset Management Plan will be subject to annual review and potential rolling forward as they are the resources that affect Council’s delivery of its objectives).
Staff comment (continued) After receiving feedback, Council attached a ratings map to the draft documents that were placed on public exhibition. This goes beyond the mandatory element of s405(4) which only compels Council to have the map available for inspection at its office during the public exhibition period.
Recommendation	Noted

Submission 10
Received from	ECCO (Environmentally Concerned Citizens of Orange Ltd)
Request Renewable Energy Projects
Staff Comment $500,000 has been allocated within the draft budget every year for the next 3 years toward energy efficiency and renewable energy projects. Additionally, solar designs have been developed for 26 Council sites that would produce 1,923 Kilowatts per annum. These sites could potentially provide up to 34% of the electricity needs for those sites and potentially provide savings of up to an estimated 2,468,502 Kwh’s of electricity, reducing 2,024 tonnes of carbon emissions annually. Designs for LED lighting replacements at 17 council sites have also been prepared, which could potentially further reduce equivalent CO2 emissions by 740 tonnes annually. These projects are the subject of a major grant application that is currently before the Department of Planning Industry and Environment.
Recommendation	Budget includes $500,000 per year for next three years for renewable energy projects

Submission 11
Received from	ECCO (Environmentally Concerned Citizens of Orange Ltd)
Request Maintenance replating additional trees and shrubs.
Staff Comment Due to the drought, prolonged and higher than normal temperatures Orange has lost a significant level of vegetative cover; many street trees which suffered during the Millennium drought, never recovering, have been dealt a further blow with this current drought. The recent summer has seen the demise of many street trees along with patches of vegetation across the urban landscape in parks and reserves. Apart from the significant number of street tree deaths or street trees health and vigour being greatly affected by the recent climatic conditions and requiring removal, the death of vegetation along the embankments of the Northern Distributor Road and trees and shrubs within parks and open spaces has been notable. Council acted and removed vegetation on the Northern Distributor Road embankments to reduce the fire risk of this dead shrubbery; the drought has also resulted in Council having to engaged the services of contractors to assist with tree removals in parks, reserves and from the streetscape as the number of trees dying or under significant stress has stretched our resources. The drought has also affected the level of turf coverage and staff have noted and acted quickly to control the proliferation of turf weed species, particularly Cape Weed, that have colonised bare earth and reduced the effectiveness or ability of beneficial turf species to prosper. The replacement, maintenance and establishment of lost vegetation coverage across the urban landscape in a systematic, methodical and manageable way is programmed. Ensuring the most optimum investment of funds and resources with planting new trees with which Council has the capacity to establish (water, fertilise and nurture), with the unknown but predicted drier than normal conditions forecast for the coming summer is planned.
Recommendation	Part of ongoing tree replacement, maintenance and establishment program

Submission 12
Received from	ECCO (Environmentally Concerned Citizens of Orange Ltd)
Request Reallocate funding from Mt Canobolas Mountain Bike Trail.
Staff Comment The budget included for the Mountain Bike Trail is for environmental planning and design in order to gain State and Federal approval
Recommendation	$500,000 included in 20/21 budget

Submission 13
Received from	Orange Rail Action Group
Request Roundabout - Peisley Street and Moulder Street
Staff Comment Construction of a roundabout at this location is supported and is currently scheduled for construction in 2022/23 (subject to grant funding).
Recommendation	Noted

Submission 14
Received from	Central West Master Builders' Association
Request Fees and Charges - 25% increase in Road Opening Permit section.
Staff Comment All fees and charges are annually reviewed and must take into consideration issues including but not limited to the cost of the service or operation. After Council reviewed this fee, it was found not be covering the cost of the service.
Recommendation	No change, fee is set to an appropriate level that covers the cost of the service

Submission 15
Received from	Cyril Smith
Request Reallocate funding from Mt Canobolas Mountain Bike Trail.
Staff Comment The budget included for the Mountain Bike Trail is for environmental planning and design in order to gain State and Federal approval
Recommendation	$500,000 included in 20/21 budget

Submission 16
Received from	Cyril Smith
Request Water and Sewerage Charges, Internal Loans - Water Fund and Sewer Fund.
Staff Comment Water and sewerage charge increases are required to ensure the financial sustainability of Council’s water and sewerage services and provide for future infrastructure requirements. Council regularly reviews its reserves position against future requirements for water and sewer and maintains a 30 year financial model to ensure financial sustainability.
Recommendation	Noted

Attachments

1 Submission 01 (Orange Farmers Market) - purchase of bags for markets, D20/34639 ⇩

2 Submission 02 (Lifeline Central West) - annual financial assistance of $15,000, D20/34640 ⇩

3 Submission 03 (Rod Maxey) - gravel walkway to link wetland areas, D20/34642 ⇩

4 Submission 04 (John Da Rin) - IP&R, commercial rents and fees and charges, D20/34643 ⇩

5 Submission 05 (Spring Hill Consultative Committee) - increased funding for Spring Hill, D20/34645 ⇩

6 Submission 06 (Warren Kelly and Lyn Kelly) - rate increase - proposed bulky waste collection, D20/34646 ⇩

7 Submission 07 (Rotary Club of Orange) - Banjo Paterson Australian Poetry Festival 2021, D20/34647 ⇩

8 Submission 08 (Orange Hockey Inc) - resurfacing linemarking at Glenroi Oval Car Park, D20/34648 ⇩

9 Submission 09 (Put Orange First) - IP&R, business support, rates increase - bulk waste levy (1), D20/34649 ⇩

10 Submission 10 (ECCO) - reallocate funding from Mt Canobolas Mountain Bike Trail, D20/34651 ⇩

11 Submission 11 (ECCO) - renewable energy projects, D20/34652 ⇩

12 Submission 12 (ECCO) - maintenance replanting additional trees and shrubs, D20/34653 ⇩

13 Submission 13 (Orange Rail Action Group) - roundabout - Peisley Street and Moulder Street, D20/34654 ⇩

14 Submission 14 (Central West Master Builders Association) - Fees and Charges - 25% increase in Road Opening Permit section, D20/34655 ⇩

15 Submission 15 (Cyril Smith) - reallocate funding from Mt Canobolas Mountain Bike Trail, D20/34656 ⇩

16 Submission 16 (Cyril Smith) - internal loans - Water Fund and Sewer Fund, D20/34657 ⇩

17 YourSay Detailed Report, D20/35511 ⇩

18 YourSay Summary Report, D20/35512 ⇩