ORANGE CITY COUNCIL
Finance Policy Committee
Agenda
1 May 2018
Notice is hereby given, in accordance with the provisions of the Local Government Act 1993 that a Finance Policy Committee meeting of ORANGE CITY COUNCIL will be held in the Council Chamber, Civic Centre, Byng Street, Orange on Tuesday, 1 May 2018.
Garry Styles
General Manager
For apologies please contact Michelle Catlin on 6393 8246.
Finance Policy Committee 1 May 2018
2.1 Requests for Financial Assistance
2.2 Extension of Interest Free Loan - Orange Theatre Company
Finance Policy Committee 1 May 2018
The provisions of Chapter 14 of the Local Government Act, 1993 (the Act) regulate the way in which Councillors and designated staff of Council conduct themselves to ensure that there is no conflict between their private interests and their public role.
The Act prescribes that where a member of Council (or a Committee of Council) has a direct or indirect financial (pecuniary) interest in a matter to be considered at a meeting of the Council (or Committee), that interest must be disclosed as soon as practicable after the start of the meeting and the reasons given for declaring such interest.
As members are aware, the provisions of the Local Government Act restrict any member who has declared a pecuniary interest in any matter from participating in the discussion or voting on that matter, and requires that member to vacate the Chamber.
Council’s Code of Conduct provides that if members have a non-pecuniary conflict of interest, the nature of the conflict must be disclosed. The Code of Conduct also provides for a number of ways in which a member may manage non pecuniary conflicts of interest.
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Recommendation It is recommended that Committee Members now disclose any conflicts of interest in matters under consideration by the Finance Policy Committee at this meeting. |
RECORD NUMBER: 2018/461
AUTHOR: Jason Cooke, Manager Financial Services
EXECUTIVE Summary
Council can only assist other organisations financially (in cash or in kind) in accordance with section 356 of the Local Government Act 1993.
Council has in place a policy for donations to be made under section 356 of the Act and annually advertises for applications under this policy. Additional applications are received during the year. This report provides the most recently received requests.
Link To Delivery/OPerational Plan
The recommendation in this report relates to the Delivery/Operational Plan strategy “3.3 Our City – Recognise that members of the community will take different leadership pathways, the Council will support this growth and development through appropriate activities, initiatives and assistance”.
Financial Implications
The overall donations/sponsorship budget for 2017/18 is as follows:
|
Program |
Adopted Budget |
Actual/ |
Remaining |
|
General Donations |
$61,500.00 |
* $60,000.00 |
* $1,500.00 |
|
Major Promotions |
$51,072.00 |
$51,072.00 |
$0.00 |
|
Orange Harness Racing |
$20,000.00 |
$20,000.00 |
$0.00 |
|
Racing Orange |
$100,000.00 |
$100,000.00 |
$0.00 |
|
Waratah’s Sporting Club contribution |
$94,188.00 |
$94,188.00 |
$0.00 |
|
Sports participants grants |
$13,900.00 |
$4,650.00 |
$9,250.00 |
|
Sports capital improvements grants |
$50,000.00 |
$50,000.00 |
$0.00 |
|
TOTAL |
$390,660.00 |
$379,910.00 |
$10,750.00 |
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Funded from other budget areas (outside donations budget area) |
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$14,153.00 |
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*The remaining balance of the reserve for school prize giving, $1,800.00, was put back in the general donations remaining balance as no more school prize giving will be in this financial year.
Process for applications of the remaining budget allocation
A Council resolution is required to allocate funds to any external entity, including as a donation. Applications are considered against the criteria outlined in the donations policies. There is an application form that should be submitted to commence the process of making a donation to another entity. The form contains details to inform Council that the donation aligns with the intentions the Council has established in the Community Strategic Plan.
Policy and Governance Implications
Nil
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1 That the donation request from Sharon Cross for book publication of "Orange Rugby League History" be declined. 2 That the donation request from Eva Reith-Snare for attendance at the Under-18 Hockey Championships as a member of the NSW Under-18 Women's Field Hockey Team be declined. |
further considerations
Consideration has been given to the recommendation’s impact on Council’s service delivery; image and reputation; political; environmental; health and safety; employees; stakeholders and project management; and no further implications or risks have been identified.
SUPPORTING INFORMATION
|
1 |
Applicant |
Sharon Cross |
|
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Not for Profit |
No |
|
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Book Publication - "Orange Rugby League History" The 500-page book will be the Orange rugby-league history from 1912 and will include all the clubs and people involved and the Sydney and International teams that have played in Orange. |
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Donation Request $500 to $1000 |
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Policy Category General - Miscellaneous. Maximum amount with weighting for a first-time applicant that is a profit entity is $100.00. |
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Policy Status Not eligible. The policy does not support applications for profit individuals. |
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2 |
Applicant |
Eva Reith-Snare |
|
|
Not for Profit |
Yes |
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NSW Under-18 Women's Field Hockey Team Attending the 2018 Under-18 Australian Hockey Championships in March 2018. |
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Donation Request $250.00 - selected individual representative in a state representative team. |
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Policy Status Not eligible. A donation has already been given to Eva Reith-Snare in this financial year for State representative for hockey (NSW All Schools Girls' Under-16 Hockey Team). This donation was resolved on 7 December 2017 (Resolution 17/550). |
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1 Application form - Sharon Cross - Book Publication - "Orange Rugby League History", IC18/3558⇩
2 Application form - Eva Reith-Snare - NSW Under-18 Women's Field Hockey State Team - Under-18 Australian Hockey Championships - 13 to 21 March 2018, IC18/4566⇩
Finance Policy Committee 1 May 2018
2.1 Requests for Financial Assistance
Attachment 1 Application form - Sharon Cross - Book Publication - "Orange Rugby League History"
2.1 Requests for Financial Assistance
Attachment 2 Application form - Eva Reith-Snare - NSW Under-18 Women's Field Hockey State Team - Under-18 Australian Hockey Championships - 13 to 21 March 2018
TRIM REFERENCE: 2018/1010
AUTHOR: Michelle Catlin, Manager Administration and Governance
EXECUTIVE Summary
The Orange Theatre Company are seeking a two year extension to a loan agreement currently held between Orange City Council and the Orange Theatre Company that was adopted by Council in November 2015. This loan was to assist in construction costs of a new shed for the storage of costumes and props, and the manufacture of scenery and props. This shed has been constructed on Council land in Margaret Street adjacent to the Works Depot.
It is recommended that Council support the request from the Orange Theatre Company.
Link To Delivery/OPerational Plan
The recommendation in this report relates to the Delivery/Operational Plan strategy “3.3 Our City – Recognise that members of the community will take different leadership pathways, the Council will support this growth and development through appropriate activities, initiatives and assistance”.
Financial Implications
Council agreed to an interest free loan with the Orange Theatre Company in 2015, totalling $60,000 to be repaid over four years at $15,000 per year. The Company has paid two payments with a balance of $30,000. The request is to extend the payment period by two years, so Council would receive $7,500 per year for the next four years.
Policy and Governance Implications
Should Council agree to the extension, an amendment to the Loan Agreement would be required.
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1 That the Loan Agreement with the Orange Theatre Company be amended to provide an extension of two years to the interest free loan to the Orange Theatre Company, with annual payments being set at $7,500 per annum from 30 October 2018 until 30 October 2021. 2 That permission be granted for the use of the Council Seal on any relevant document. |
further considerations
Consideration has been given to the recommendation’s impact on Council’s service delivery; image and reputation; political; environmental; health and safety; employees; stakeholders and project management; and no further implications or risks have been identified.
SUPPORTING INFORMATION
At its meeting held on 17 November 2015, Council resolved:
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RESOLVED - 15/544 Cr S Munro/Cr C Gryllis 1 That Council provide an interest free loan of $60,000 to the Orange Theatre Company, to be repaid in equal repayments over four years. 2 That permission be granted for the use of the Council Seal on any relevant document.
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The Orange Theatre Company have successfully met two payments, and have a balance of $30,000 remaining.
Staff recently met with the newly elected President and Treasurer of the Company, who expressed some concern in relation to the ability of the Company to make the $15,000 payment during a time when they are seeking to invest in activities to improve the financial position of Company.
The attached correspondence from the President identifies that the Orange Theatre Company has found it difficult to reach break-even and the request is made to allow the Company to focus on profit-generating activities.
Given the significant contribution the Orange Theatre Company makes to the City, it is recommended that Council agree to the extension.
1 Request from Orange Theatre Company - Extend term of interest free loan, IC18/6752⇩
