HNCMA Annual Report 2011-12

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 1 Contents

Highlights at a glance...... 1 On ground performance – landscape reports...... 27 Who we are...... 2 Warragamba ...... 27 Blue Mountains Western...... 35 Key Performance Results ...... 6 Hawkesbury tLower Nepean ...... 42

Chair’s Foreword...... 8 State and catchment targets ...... 50 Biodiversity ...... 51 General Manager’s message...... 9 Native Vegetation ...... 51 Looking Ahead to 2012/13...... 10 Fauna ...... 52 Threatened Species ...... 52 Strategic Way Forward ...... 11 Invasive Species ...... 53

Catchment highlights...... 12 River Health ...... 54 Riverine Ecosystems ...... 54 Marine...... 55 Wetlands ...... 56 Estuaries and Coastal Lake Ecosystems ...... 56

Soil & Land ...... 57 Soil Condition ...... 57 Land Capability ...... 58

Community & Partnerships ...... 59 Natural Resource Management Decisions ...... 59 Community Capacity Building ...... 59

Our People...... 61 HNCMA Corporate Governance...... 68 Sustainability Report...... 91

Annual Financial Reporting ...... 93 Report Appendices ...... 134 Acronyms...... 139 2011-12 Quick find index...... 140

2 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Highlights at a Glance

The Hawkesbury-Nepean Catchment Management Authority (HNCMA) continued to deliver practical environmental improvements well above expectations during 2011/12. % $ 100 34.4 million 20 out of 20 non-financial targets in the The HNCMA delivered a record $34.4 million (including Business Plan exceeded. partner contributions) in on ground improvements during the year. This was a 21.45% increase in planned expenditure on the previous year.

work, health and safety act compliant 10 year plan During 2011/12 the HNCMA ensured it was fully compliant In 2011/12 the HNCMA commenced the review and with the new Work, Health and Safety Act. foundational planning of the upgraded CAP.

Practical improvements in the catchment

tonnes CO2-e 69.89 1,912 hectares of native vegetation improved Since 2008/09 the HNCMA has reduced its carbon footprint by 69.89 t CO -e which is a 24% decrease 3,002 hectares 2 of weeds controlled in native habitat in carbon emissions.

12,998 hectares undergoing activity to protect threatened species and ecological communities

319 new volunteers working on landcare and bushcare projects

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 1 Vic and son Rex Boardman, multi-generation landholders on their property at Cawdor, with recent plantings along a gully to prevent erosion in the background. Who we are

Your Hawkesbury-Nepean Catchment Management Authority

The Hawkesbury-Nepean Catchment Management Authority (HNCMA) works to protect the natural values of the Hawkesbury-Nepean and ensure it continues to be a healthy and productive catchment. We achieve this through strategic planning, partnerships and funding for natural resource management projects on public and private land to address priority issues. The HNCMA is a small agency with 52.8 full time employees working across two million hectares of urban and rural land with a complex array of catchment issues. We are supported by considerable investment from the NSW and Australian governments to manage the region’s natural resources. The HNCMA has regulatory functions in relation to the Native Vegetation Act 2003 (see page 16).

2 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Our Clients • Being Responsive, innovative and inclusive • Being Outcomes and customer focused. The HNCMA works in close partnership with state agencies, local government, landcare and bushcare, Aboriginal groups, Accountability – we are committed to: landholders, primary producers, environment and industry • Leading in Best Practice Natural Resource Management groups, the catchment community, local businesses and the • Healthy and safe working places corporate sector. • Sound Corporate Governance • Transparency in all aspects of our operations • Engagement with our stakeholders as a key Natural Resource Management legislative responsibility. in the Catchment The HNCMA is one of several state and local government Our Functions agencies working to improve the catchment, but is the only regional body focused on the health of natural resources in The specific functions of the HNCMA, as defined by Section 15 the whole Hawkesbury-Nepean catchment. of the Catchment Management Authorities Act 2003, are to: 1. Develop Catchment Action Plans and ensure their State agencies, including the NSW Department of Primary delivery through annual implementation programs Industries (Agriculture NSW, NSW Office of Water, Lands, Sydney Catchment Authority), Sydney Water, Environment 2. Provide loans, grants, subsidies or other financial Protection Authority, Office of the Environment and Heritage, assistance for catchment activities Department of Planning and Infrastructure and Livestock 3. Enter contracts or do any work for the purpose of Health and Pest Authorities, have responsibilities defined by catchment activities state legislation. Many of these organisations also protect 4. Assist landholders to achieve the objectives of the natural resources using regulatory mechanisms. Catchment Action Plan 5. Provide educational and training courses and materials Where We Have Been in connection with NRM 6. Exercise any function relating to natural resource The HNCMA was established in 2004 as one of 13 catchment management as prescribed by the regulations. management authorities in New South Wales. Since that time we have grown our annual investment in on-ground catchment improvements by nearly 300% as we have consolidated our Our Offices position as major natural resource managers in the region. CMAs report directly to the NSW Government through the The HNCMA has four offices at Goulburn (head office), Penrith, Minister for Primary Industries. Moss Vale and Lithgow to provide service to local clients (see back cover for specific locations and contact details).

Our Vision The Legislation We Operate Under A healthy and productive catchment • Catchment Management Authorities Act 2003 • Public Finance and Audit Act 1983 Our Mission • Public Finance and Audit Regulation 2000 along with We work with our catchment community to other related government policy and directions from the Minister for Primary Industries deliver positive natural resource outcomes • Native Vegetation Act 2003 • Water Management Act 2000 Our Values • Soil Conservation Act 1938 • Natural Resources Commission Act 2003 Service – we are committed to: • Annual Reports (Statutory Bodies) Act 1984 • Being a High Performing Workplace committed to • Annual Reports (Statutory Bodies) Regulation 2000 quality assurance • Work Health and Safety Act 2011 • Our role as a regional organisation meeting • Government Information (Public Access) Act 2009. community needs

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 3 Who we are

OUR CATCHMENT The Hawkesbury-Nepean is a truly critical catchment in terms of the nation’s economic, social and environmental wellbeing. The catchment:

Covers 22,000 square kilometres Provides the majority of the drinking water for over (2.2 million hectares) from south of Goulburn 4 million people to the Putty Valley in the north, from Lithgow living in Sydney, the Illawarra, the Blue Mountains, in the west to Palm Beach on the coast the Southern Highlands, Lithgow Valley and the Central Coast (70% of New South Wales population)

Feeds a river system which flows PUTTY 470 kilometres from near Lake Bathurst to Broken Bay GLEN DAVIS Blue Includes major rivers such as the ST ALBANS Hawkesbury, Nepean, Wollondilly, Mountains Hawkesbury Mulwaree, Tarlo, Wingecarribee, Nattai, & Western GOSFORD Nepean, Coxs, Kowmung, Grose, Lower LITHGOW Capertee, Colo and Macdonald CMA Office Nepean WINDSOR BEROWRA “A catchment KATOOMBA JENOLAN CAVES of national significance” SYDNEY

CMA Office Generates over $60 million annually CAMDEN in tourism and recreation from more than 10 million visitors to the catchment each year

TARALGA Supports 22 species of frogs, WOLLONGONG 17 species of snakes, MOSSVALE 42 species of lizards, 1 species of turtle, CMA Office 2 species of monotremes, Warragamba 30 species of marsupials, GOULBURN 21 species of bats,

6 species of native rodents, CMA Office 0 10 20 30 40 50 the dingo and over 450 species of birds Kilometres TARAGO

The HNCMA is one of 13 catchment management authorities established in NSW

1. Kowmung River Valley, Kanangra Boyd and Blue Mountains National Parks 2. View of urbanising western Sydney from Hawkesbury Lookout, Hawkesbury Heights. 1. 3. Property Manager Charlie Bell spraying blackberries at Goulburn

4 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Supports a regional population of 1 million people which is expected to grow to 1.3 million by 2019

Boasts the Greater Blue Mountains World Heritage Area that includes 13% of the world’s Eucalypt species and almost 2. 10% of Australia’s vascular plant species Supplies 80% of the sand and gravel used in Sydney’s construction industry worth an estimated $100 million a year

Supports over $6 million Home to 16.1% a year in commercial seafood industries of New South Wales’ Aboriginal population (including the state’s second largest estuarine trawl industry for prawns and squid)

Protects 195 threatened species (22% of all New South Wales’ threatened species) Protects 50% of the catchment in over as well as 1 million hectares 34 endangered of National Parks and reserves ecological communities

Is enjoyed by 43,000 recreational fishers Provides 13.6% of NSW’s electricity using water from the Coxs River in the Mt Piper and Lower Portland power stations

Supplies water used to produce 70% of NSW’s goods and services

Generates over $1 billion each year in agriculture and horticulture (12% of all NSW’s agriculture production)

Is home to 1,050,021 people 3. (24.5% of NSW’s population)

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 5 HNCMA’s Huw Evans and landholder Janet Fox in Turpentine Ironbark forest on Janet’s property ‘Remony Farm’, Kurrajong. Janet won the HNCMA’s Individual Landcarer Award in 2011 and is a member of the Hawkesbury Rainforest Network. The farm and creek adjoin the Blue Mountains World Heritage National Park. Key Performance Results 777 HECtares of riparian land enhanced, protected and rehabilitated

6 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 MEETING NON-FINANCIAL TARGETS IN THE HNCMA’S BUSINESS PLAN

% of target Target Action Target 2011/12 Result achieved Achieved

Biodiversity Native habitat conserved and rehabilitated 151 hectares 1,912 hectares 1,266% 4 Landholders involved in cross-property 20 landholders 26 landholders 130% 4 conservation agreements Landholders involved in landscape-scale 10 landholders 14 landholders 140% 4 conservation agreements Recovery of threatened species, populations 4,400 hectares 12,998 hectares 295% 4 and ecological communities Weeds controlled in priority native habitat 2500 hectares 3002 hectares 120% 4

Water Riparian land enhanced, protected and rehabilitated 450 hectares 777 hectares 172% 4 Stream Habitat established 15 kilometres 36 kilometres 240% 4 Wetlands protected, enhanced and rehabilitated 40 hectares 60 hectares 150% 4 Coastal and estuary improvement in condition 21 Groups 21 Groups 100% 4 by groups supported by the HNCMA

Soil and Land Land protected and treated for soil erosion 500 hectares 527 Hectares 105% 4 Land managed according to capability 1200 hectares 4,359 hectares 363% 4

Community Community groups resourced to take on local projects 21 groups 21 groups 100% 4 Community groups assisted 80 groups 84 groups 105% 4 New Volunteers 100 volunteers 319 volunteers 319% 4 Partnership projects with Aboriginal community 2 projects 10 projects 500% 4 Support Aboriginal Advisory Committee meetings 3 meetings 3 meetings 100% 4

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 7 Chair’s Foreword

I am pleased to present the Hawkesbury-Nepean We will also work with our local communities, engaging them Catchment Management Authority’s (HNCMA) and supporting our local champions to achieve more annual report for 2011/12. on-ground action, and improve knowledge and skills. We also This year, the HNCMA delivered total on ground effort of $34.34 plan to improve customer satisfaction and to further enhance million including partner contributions, across the region’s three the HNCMA’s value in the community. landscapes to increase native vegetation cover, improve rivers, This also includes working with the catchment’s large wetlands, degraded lands, and manage agricultural lands to indigenous community and supporting them to achieve their improve the catchment’s natural resources (see pages 27-49). priorities in working on country and in using their knowledge Across the region it has been inspiring to see the commitment to improve outcomes for the catchment. in our communities for protecting and improving the quality of Within the HNCMA we will continue to pursue a bottom up life and environment in our unique catchment. management approach, encouraging management to take Since my appointment as Chair of the HNCMA in December responsibility for the operation of the organisation with the 2011 I have had the opportunity to participate in the Community board focusing its role in reviewing the organisation’s progress Reference Groups meetings across our broad and varied and direction. physical, social and economic landscape, hearing feedback Through sourcing future ongoing investments we will also from our communities on where they think the priorities are. secure the organisation’s overall business continuity and These Community Reference Groups are one part of the workforce security. upgrade of the Catchment Action Plan (CAP) to be finalised The HNCMA will continue to provide reporting to community by the end of 2012, and we will continue to ensure that the and government in a meaningful way that expresses the effort direction of the organisation is of value to community and of many people and organisations in making the Hawkesbury- government by ensuring the CAP is focussing on identifying Nepean a resilient environment. these values and aligning the outcomes and investment for the catchment to them. I thank Dr Richard Sheldrake and staff of the Department of Primary Industries, Mark I Paterson AO of the Department of To achieve these outcomes, the HNCMA has identified one of Trade and Investment, Regional Infrastructure and Services for its key strategies for 2012/13 and beyond as being pro-active in their support. diversifying the investment base of the organisation, recognising that a resilient organisation should be able to utilise a variety I also thank the Hon Katrina Hodgkinson, Minister for of funding streams to take advantage of current funding Primary Industries and Minister for Small Business and opportunities. In the immediate future this will require a focus on her Parliamentary Secretary Mr Troy Grant MP for their the development of partnerships with industry and business. commitment and support to Natural Resource Management. We will be looking to secure opportunities for funding which Also my thanks to our HNCMA Board, management team blend NRM and commercial outcomes, securing corporate and staff for their hard work throughout the year and to John investment and working in collaboration with all levels of Verhoeven for his work as Acting Chairperson. government, the corporate sector, industry, and Landcare to Robert Seldon increase research and innovation for the future. Chairperson

8 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 General Manager’s Message

The 2011/12 HNCMA Annual Report profiles the water receiving the highest portion of investment due to continued progress we have made towards achieving continuation of the Smart Farms program a partnership with targets set in the HNCMA’s Strategic Plan 2009/12. Department of Primary Industries. This report highlights our 2011/12 Business Plan performance Whilst delivering a 135% increase in project expenditure from in addressing key goals expressed in the NSW Government’s the previous year we were able to meet these organisational strategic business plan NSW 2021, our Catchment Action challenges and deliver our projects with a slight reduction in Plan priorities and the Department of Primary Industries staff numbers. Corporate Plan Key Result Areas (see page 80 for details of the links between plans). We achieved our organisational carbon footprint reduction targets by offsetting 267.8 tonnes CO -e. In further consolidation towards a landscape-based service 2 delivery approach, we have established three Landscape Ahead in 2012/13 the HNCMA will prioritise our efforts to Community Reference Groups to both assist in our new complete and table our whole of government Catchment Catchment Action Plan development but also to provide Action Plan (CAP) by the 1st February 2013 for the Minister’s an ongoing feedback loop into an adaptive and continuous consideration. We will also facilitate regional community input improvement approach to locally-based service delivery. This into the regulatory review of the Native Vegetation Act and by has improved our customer focus as well as spatial relevance December 2012 complete compliance requirements under of performance and outcomes this past year. the Work Health and Safety Act 2012. Once again delivery of quality onground works programs with our partners across We have consolidated and strengthened our partnerships with our three landscapes will be a priority. An independent our service provider agencies, the Department of Trade and benchmarking audit will be undertaken in June 2013 under the Investment and Service First to provide organisational support (National NRM Performance Excellence project) Quality and for human resources, finance and corporate governance Assurance process. areas. A specific governance priority this year has been the development of new policy frameworks and procedures to We will also focus our attention on “iconic” implementation ensure compliance with a new Work Health and Safety Act programs for our three Landscapes. They include the 2011 (see page 66). Hawkesbury Lower Nepean “River Health Improvement” program, the Blue Mountains “Living on the Edge” program For another year our investment program’s financial and non- and the “Warragamba Bio Regional Corridor” program. financial targets exceeded those planned (see page 7). We have achieved our largest annual investment performance and I would like to thank Bob Seldon, our new Chair, John on ground project delivery which was $34.34 million (including Verhoeven whilst Acting Chair and our Board for their strategic partner contributions). Both our income ($19.97 million) and direction during the year. I also want to acknowledge and our expenditure ($20 million) were achieved with a small thank our dedicated HNCMA staff for their extraordinary efforts overspend of $29,000 under Treasury threshold requirements. in delivering a record level of investment during the year. Our level of expenditure across the three biophysical State-wide Bernie Bugden theme areas (Land and Soil, Biodiversity and Water) ranged General Manager between $1.634million and $9.853 million (see page 50) with

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 9 Looking Ahead – Major activities for 2012/13

Primary school students and HNCMA’s Vanessa Keyzer demonstrating landcare in action at Macarthur Anglican School, Cobbitty.

For the year ahead the HNCMA has identified the following • Work with the Department of Primary Industries to major activities: improve or regional service delivery of Natural Resource • Deliver an upgraded Hawkesbury-Nepean CAP Management and sustainable agriculture programs to to the Minister and the Natural Resources our catchment stakeholders Commissioner by 1 February 2013 that is supported • Establish a renewed Aboriginal Advisory Committee by all major stakeholders and develop a new Strategic Plan for Aboriginal • Apply an adaptive management approach to involvement in NRM in the Hawkesbury-Nepean implementing and reporting on a whole of • Establish a renewed Local Government Advisory government CAP Group and develop a new program for Strategic Local • Deliver the Cumberland Plain initiative including Government Partnerships partnerships with the Aboriginal Community • In the year ahead the HNCMA will continue to work • Implement a $12.87 million CAP Investment Program with the relevant agencies - the Office of Environment predicted to deliver a total on ground effort with our & Heritage and the Livestock Health & Pest Authorities partners of $20 million - to achieve effective pest animal management to protect key biodiversity assets in and around the Blue • Develop a structured Program Evaluation framework Mountains World Heritage Area and undertake evaluation of major programs before the end on the current Caring for our Country cycles in • Implement the legislative requirements of the Work June 2013 Health Safety Act 2011.

10 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Strategic Way Forward

In 2012/13 our key strategic priority will be the finalisation Our other major strategic priority in 2012/13 will be our annual of the catchment’s draft Catchment Action Plan (CAP) for implementation of our 1/7/2012 to 30/6/2015 Strategic Plan. presentation to the Minister by the 1st February 2013. The The “interim” Strategic Plan is a road map to sustainable review of our Whole of Government CAP will be guided by the improvement in the catchment until 2015. It addresses the long Natural Resource Council’s assessment criteria and will be term direction of the HNCMA by laying out what we are going underpinned by the use of resilience thinking. to do and how we are going to do it. The interim Strategic Plan (which is available at hn.cma.nsw.gov.au) was approved by Critical to the formulation of the revised CAP will be our the HNCMA Board on the 27th April 2012 to provide business continued catchment stakeholder collaboration partnerships continuity whilst the new Natural Resource Management with our broad community as well as specific partnerships regional delivery agreements are being considered by the with our: NSW Government. • Three landscape based Community Reference Groups (Warragamba, Blue Mountains Western Some of the other key strategic priorities identified for 2012/13 and Hawkesbury Lower Nepean) in the interim Strategic Plan and resulting 2012/13 Business Plan include:- • Whole of Government Agency CAP steering committee • Securing future investments to ensure the delivery of • Hawkesbury-Nepean Local Government planned CAP outcomes and business continuity Advisory Group • Working collegiately with Agency partners to deliver • Hawkesbury-Nepean Aboriginal Reference best, efficient NRM services to the people of our region Group and with some 525 other key targeted catchment stakeholders. • Focusing on outcomes to achieve customer satisfaction, innovation and continued progress • Maintaining high standards of business management and corporate governance excellence • Alignment of strategic intent and direction with other key strategies including the NSW 2021 State Government plan as well as the Department of Primary Industries Corporate plan 2012-15.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 11 HNCMA project officer Rebecca Mooy and landholder Mark Greaves with recovered forest, Dural Downes Way, Dural. Catchment Highlights

An upgraded Catchment Action Plan

“putting people in the landscape”

12 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Catchment Action Plans (CAPs) are strategic regional plans The approach to the upgrade of the CAP has been for improving the health, productivity and resilience of our underpinned by the concept of “Resilience”. This is the landscapes. The CAP identifies what is valued about the capacity of a system to undergo change while retaining its catchment and these landscapes and explains the priority basic form and structure. Applying this concept fosters an strategies to ensure their long term sustainable management. approach which understands systems and the factors driving change in the systems and the points at which the systems The first HNCAP was approved by the then Minister in 2008. might move to a new, possibly less desirable, state. This The current upgrade is the first major review. It will set the understanding helps to identify the actions needed to keep pace for investment and change in the catchment for the next a system in the desired state or move it towards the desired 10 years. state. It also helps identify priorities and the amount The upgraded draft HNCAP is required to be submitted to the of investment required to bring about the change required. Minister for Primary Industries and Small Business and the Regular Staff and Board workshops have been part of the Natural Resources Council by 1 February 2013. preparation of the CAP. Fostering a common understanding of In 2011/12 the HNCMA commenced the review of the CAP. resilience and using this to confirm, and further develop, state This review has been guided by the Assessment criteria and transition models for landscapes and natural systems has developed by the NRC which specifies that the: been an important component of the CAP upgrade.

1. plan was developed using a structured, collaborative Coastal CMAs Collaboration: HNCMA worked with the and adaptive process other four NSW coastal CMAs in a series of collaborative 2. plan uses best available information to develop targets workshops on the key NRM themes of community, water, and actions for building resilient landscapes soil, biodiversity and marine/ coasts with agencies and key 3. plan is for collaborative action and investment between partners. This collaboration helped agencies to make effective, government, community and industry partners. efficient and consistent collaborations across the coast. The workshops implemented a resilience thinking approach to The HNCMA’s approach to the CAP upgrade has focussed NRM along the coast and produced a series of theme based on making the document one that reflects the needs of the state and transition models for adaption in each CMA. whole community including whole of government and the HNCMA itself. The CAP will be a plan that can set the Community Reference Groups have been established for direction for action now, while being capable of responding each of the three landscapes. These groups include invited to future changes. and nominated representatives of community, peak groups, industry, state agencies and local government. They have considered the key values of their landscapes, things that are Major achievements driving changes to help build state and transition models for for CAP upgrade: each landscape. • Three Landscape based Community Reference Whole of Government CAP Steering Committee has Groups established been established comprising key state agencies and local • CAP Whole of Government Steering government representatives. The group advises on each Committee established phase of the CAP process and is playing an important role in communicating within organisations to ensure that the CAP is • Community values established through on-line survey endorsed by agencies and any problems are identified early. • Staff and board workshops to ensure understanding of CAP processes and resilience thinking by whole Collaboration with the community to identify the key of HNCMA social ecological systems, a stand alone web-site to ask people to tell us about “My Favourite Place” was launched • Evidence system developed in October 2011. This electronic media tool was chosen to • Spatial layers developed with a common spatial data provide a platform for a wider range of people to participate in base developed with agencies identifying what places the community values and why. • Capacity to use spatial prioritisation process developed.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 13 CASE STUDY ‘Putting people in the Landscape’ Understanding Socio-Ecological Systems of the Hawkesbury-Nepean

The Challenge • Working closely with three In this round of meetings the CRGs landscape based, multi stakeholder also looked closely at their landscapes HNCMA is required to provide an Community Reference Groups in terms of commonalities in landuse, upgraded Catchment Action Plan to (CRGs) to better understand the livelihoods and shared lifestyles the Minister for Primary Industries social-ecological systems of the defining boundaries of SESs within by 1st February 2013, which will set Hawkesbury Nepean landscapes. In total nine draft systems strategic directions for natural resource were identified. management in the Hawkesbury • Commissioning IRIS research to Nepean for the next 10 years. undertake a comprehensive survey to establish broad community The challenge for the CMA is to understanding and definition of their ensure that the CAP and its targets local systems, including key values and actions satisfy these criteria. and critical factors. Part of the challenge in building resilient landscapes, requires that we understand how the landscapes across Key achievements the catchment are operating and what achieved by the is influencing them. Community reference groups The project Round of meetings late 2011 FOCUS: Identifying Socio-Ecological HNCMA used a systems based Systems (SESs) as they have been and approach to assist with this. People as they are now. In late 2011 HNCMA depend on the resources and services held its first round of meetings with provided by the natural environment each of the CRGs: Warragamba CRG, and in turn natural systems are Blue Mountains Western CRG and influenced by human activities. Hawkesbury Lower Nepean CRG. At Identification of landscapes as dynamic these meetings the groups identified systems with interacting social and key values held by the community ecological functions provides a basis for across their landscapes and threats and approaching the challenge. drivers which affect how the systems Map of the Hawkesbury-Nepean catchment showing the nine socio-ecological Specifically the project involved: function. Community experience systems identified. provided key insights into historical • A collaborative project with the events, patterns and responses within NSW Coastal CMAs to undertake the systems and an understanding of resilience analysis based on the Round of meetings mid 2012 limits of the system from both a social key themes to develop broad FOCUS: Refining representative and ecological perspective. understanding and system models system models, identifying draft relating to coastal areas Round of meetings targets for SESs. At these meetings the • Consultation with the communities early 2012 CRGs interrogated and refined draft FOCUS: Systems as they could be? of the Hawkesbury-Nepean on key models of the key SESs. This involved SES boundaries? The CRGs undertook assets across the catchment in a identifying for each SES’s key assets scenario planning, identifying potential project ‘My Favourite Place’ and production values and the critical future trajectories. These meetings factors which affect system function. • Working with HNCMA staff and provided further insight into what partners to refine the models and would be the preferred system states potential targets and what factors are important for maintaining sustainable outcomes in the future. It is an important component of CAP planning that we understand that system states change and that we manage for change.

14 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 CASE STUDY Whole of Government CAP Steering Committee

Partners The upgraded CAP will be a plan for Partners collaborative action and investment Our partners in this project have been Members of the Whole of Government between government, community the Community Reference Groups, Steering Committee include and industry partners. It will need to including representatives of local representatives of: industries, Landcare, local government be supported by a range of partners • NSW DPI (Agriculture NSW) and environment groups, broader who are committed to the CAP and • Office of Environment and Heritage community through the website ‘My involved in its implementation and the • NSW DPI (NSW Office of Water) Favourite Place’, HNCMA and key reporting required. • Sydney Catchment Authority (SCA) agency staff. The HN Whole of Government CAP • Hornsby Council Steering Committee was established to: • Penrith Council Looking to 2012-13 • ensure the CAP aligns with the • Camden Council relevant policies of agencies and • Blue Mountains Council 1: SES Targets aspirations of the community HNCMA will continue to involve • verify that the CAP was developed Whole of Government and community Looking to 2012/13 in further refining the SES models using a structured, collaborative and and developing focussed targets adaptable planning process In early 2013 the CAP will be submitted which support delivery of key system • ensure that the CAP uses the best to key agencies for endorsement. functions. available information to develop The operation of the Hawkesbury- Nepean Whole of Government Steering These targets will form a basis for targets and actions for building Committee will assist in making sure the collaborative action between resilient landscapes that the Hawkesbury-Nepean CAP government, community and industry • take on responsibility for whole-of- is endorsed by key agency and local partners contained in the Catchment government issues associated with government partners. Action Plan. the CAP upgrade The ongoing use of a systems approach • address any issue that has major It is anticipated that the Whole of where people and their landscapes are implications for CAP upgrade. Government Steering Committee considered together in management of will continue to play a key role in the our natural resources will provide more implementation of the HNCAP and in robust outcomes. Key Achievements its monitoring and reporting. This is a critical part of the strategy to make the The Steering Committee met four times 2: Catchment wide priorities: HNCAP a Whole of Government and in the first half of 2012. HNCMA is also working with State Community plan. Government agencies and Local The group has: Government on developing principles • Confirmed key elements of the CAP management of water, vegetation and upgrade process including the use soils resources at the catchment scale of social ecological systems as a which will also form a key part of the basis for landscape analysis and the Catchment Action Plan. use of MCAS-S • Advised on communication requirements and oversaw the preparation of a communication package for key partners and community • Confirmed state and transition models and considered their relationship to agencies polices • Assisted in ensuring that the CAP upgrade aligns with key state policies • Provided advice on management of the CAP upgrade project.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 15 Catchment Highlights

Native Vegetation THE PROJECT Management in the HNCMA co-ordination and delivery of the Native Vegetation Hawkesbury-Nepean Catchment Act 2003 as determining authority: • The HNCMA provides advice to a range of clients on THE CHALLENGE the management and clearing of native vegetation. Some native vegetation clearing does not require The HNCMA is the determining authority for the clearing approval under the Act (for example, excluded lands, of native vegetation within the catchment under the Native exclusions under other legislation, regrowth and Vegetation Act 2003. Routine Agricultural Management Activities or RAMAs) The HNCMA is committed to working with catchment • To determine whether clearing can occur using stakeholders in delivering the objectives of this act. exclusions or whether a Property Vegetation Plan The Objects of the Act are: (PVP) assessment is required involves HNCMA native i. to provide for, encourage and promote the vegetation officers liaising with the landholder. Generally management of native vegetation on a regional basis clearing can only occur if it is a well represented in the social, economic and environmental interests vegetation type in low to moderate condition, in a of the State, and landscape that is not over-cleared and the landholder can provide a sufficient off-set of a similar vegetation ii. to prevent broadscale clearing unless it improves or type. maintains environmental outcomes, and iii. to protect native vegetation of high conservation value Development of Biodiversity Strategies, Strategic Biodiversity having regard to its contribution to such matters as Planning, Natural Resource Management and review of water quality, biodiversity, or the prevention of salinity Development Proposals: or land degradation, and • Where possible, the HNCMA works with proponents iv. to improve the condition of existing native vegetation, to avoid the need for native vegetation clearing by particularly where it has high conservation value, and better planning of developments especially on land not covered by the Act. To support better environmental v. to encourage the revegetation of land, outcomes, the HNCMA comment on strategic and rehabilitation of land, with appropriate Development Applications and Local Environment native vegetation, Plans to local government and the Department of in accordance with the principles of ecologically Planning and Infrastructure. sustainable development. • Advice and guidance is also provided to landholders, Clearing can only be approved if it will result in improving or developers and consultants who are planning work maintaining the environment. that may impact on biodiversity and native vegetation in the catchment. The HNCMA is committed to working with catchment stakeholders in delivering the Objectives of the Act. Funding incentives to deliver outcomes: • The HNMCA also carries out a program of strategic funding for protecting and enhancing native vegetation across the catchment, with emphasis on endangered ecological communities such as Box Gum Woodlands.

16 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 • Six reports of possible illegal clearing or compliance issues were received from the community. These were referred to the Office of Environment and Heritage (OEH) compliance branch. There were another 10 instances where OEH and council sought advice from HNCMA on possible illegal clearing investigations • A public consultation meeting was held in Goulburn as part of the review process for the Native Vegetation Regulation 2005. Twenty six stakeholders attended this meeting plus staff from the HNCMA and the Office of Environment and Heritage • Improved administrative efficiency by reducing red tape John Reynolds and Gillian Young conducting a vegetation and improved service delivery to the Landholders survey in Tablelands Basalt Forest near Taralga. • Implementation of landscape based programs targeted at strategic biodiversity protection and enhancement including; Southern Highlands Biolinks, Cumberland KEY RESULTS IN 2011/2012 Plain Initiative, managing World Heritage Areas, Landscape Scale Conservation and two increasing • 1,912 ha of Native Vegetation protected or restored. Native Habitat Programs. • 118 enquiries about clearing native vegetation were received from landholders or their consultants TOTAL INVESTMENT • 41 property visits were conducted by staff The HNCMA invested $3.16 Million in native vegetation • One Property Vegetation Planning (PVP) agreement management and biodiversity incentives in the catchment was completed and another is currently awaiting sign- unit during the financial year. off by the landowner • 10 letters of advice to landholders about issues such PARTNERS INVOLVED as Routine Agricultural Management Activities (RAMAs) and regrowth as defined under the Native Vegetation HNCMA, Landholders, Consultants, Local Government, Act 2003 Government agencies including the Office of Environment • 24 letters responding to environmental review matters and Heritage, NSW Planning & Infrastructure and the were provided to Local Councils and other agencies. Australian Government Comments were provided on a number of matters including Major Projects, Development Applications, LOOKING AHEAD 2012-13 draft Local Environment Plans, Development Control Key areas the HNCMA’s Native Vegetation Unit will be Plans and Plans of Management and the clearing involved in are: of native trees that pose an imminent risk of serious personal injury or damage to property on land where • Continuing to implement the Native Vegetation Act the Act applies 2003 while participating in the review of the Native Vegetation Regulation 2005 and Environmental Outcomes Assessment Methodology (EOAM). • Working with organisations such as the Office of Environment and Heritage in integrating Biodiversity Strategies with investment in biodiversity.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 17 CASE STUDY Southern Highlands & Tablelands Biolinks Project

The project The Southern Highlands & Tablelands Biolinks Project aims to establish a major regional bushland corridor management program between Morton National Park and the Blue Mountains World Heritage Area. HNCMA and Greening Australia are the key partners in this project which is funded by the Australian Government’s Caring For Our Country initiative. The Southern Highlands and the area north of Goulburn are priority ‘hotspots’ on the eastern coast of NSW for improving connectivity along the Great Eastern Ranges.

Key achievements This project: Native vegetation corridor plantings on Roslyn Estate, near Goulburn. • Prepared four conservation covenants for private landholders providing long term biodiversity protection • Engaged six landholders in Management Agreements protecting a range of local vegetation in riparian corridors and remnant woodlands Further workshops will be held and more landholders engaged in on-ground projects protecting significant • Facilitated six workshops involving 123 landholders and bushland areas and increasing the ‘strength’ of this very catchment community members, improving their capacity important regional biodiversity corridor. to manage their natural resources.

LOOKING FORWARD TO 2012/13 Investment and partners • Caring For our Country - $500,000 over 2010/11-2012/13 The review of the Native Vegetation Regulations 2005 and Environmental Outcomes Assessment Methodology (EOAM) • HNCMA - $120,000 in 2011/12 by the NSW government will be finalised during 2012/13. • Office of Environment & Heritage $220,000 HNCMA will host a second public consultation meeting in (2010/11-2012/13) Goulburn during July to inform the public of the proposed • Greening Australia $66,600 (2010/11-2012/13). changes. The proposed changes will seek to reduce red tape, provide better service delivery through targeted extension and less ambiguity in the legislative procedures for landowners. Looking to 2012/13 Staff will be involved in trialling the new assessment tools The final year of the project will focus on the western and will require further training prior to their release when the section of the corridor – from Taralga and Marulan through new Regulation is gazetted. Incorporated into the new EOAM to Goulburn. are a number of improved data sets especially in the areas of threatened species and salinity. “We think the Great Eastern Ranges is a most The HNCMA will continue to implement strategic biodiversity important initiative and the Southern Highlands protection and enhancement programs including programs Biolinks project has been terrific. We have attended under the Australian Government’s Clean Energy Future most of the workshops and site visits and they Biodiversity Fund, Cumberland Plain Initiative, Caring for Our have been varied, relevant and informative and Country and Catchment Action NSW funding, to implement have been most encouraging and reinforcing for all of us interested in conservation. We have greatly native habitat rehabilitation, strategic weed control and appreciated the level of expertise of the speakers, revegetation projects in the landscape. the opportunity to see various sites and also to meet other people of like mind. There is a great information exchange.” - Jane & Martin Lemann, Landholder, Glenquarry.

18 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 CASE STUDY Increasing capacity and investment through the HNCMA marketing program

THE CHALLENGE KEY ACHIEVEMENTS The HNCMA is facing increasing demands for its services Application of the Marketing Plan in 2011/12 has which cannot always be met by available resources. • Produced the Investment Prospectus and Project The complexity of the catchment also creates issues Portfolio to invite additional corporate support for where additional skills and services may be needed to HNCMA programs respond appropriately. • Initiated discussions with a range of corporations and businesses to identify areas of potential collaboration APPLYING THE MARKETING PROGRAM • Secured an additional $8.1 million in institutional investment for the HNCMA to apply to its future work Through the application of a marketing strategy and marketing plan, the HNCMA is becoming more • Supported catchment stakeholders in accessing an sophisticated in increasing the human and financial capital additional $4.1 million to invest in the Hawkesbury- it can apply to NRM and in maximising the environmental Nepean catchment. outcomes from investment. A variety of media is used to support the marketing plan. LOOKING TO 2012/13 These include a range of electronic and print products to Icon projects will be established in each of the three communicate the achievements of the CMA and to engage landscapes within the Hawkesbury-Nepean catchment. the most appropriate catchment stakeholders in the work of These will be multifaceted projects which will allow the the CMA. HNCMA to: A key goal is to increase the total investment applied to • Leverage additional investment from community and environmental management within the Hawkesbury-Nepean institutional stakeholders catchment. Accessing additional institutional investment from • Develop new partnerships and attract new participants to sources such as the competitive funding programs of NSW NRM in the region and Commonwealth governments, NGOs and philanthropic • Create opportunities for corporate collaboration by trusts is one key area of work. Staff from the HNCMA also identifying areas of common interest provide technical support and advice to other catchment • Produce new products such as educational resources stakeholders in applying to external funding bodies to refine to build capacity across all sectors to participate in the their applications and improve their chances of success. management of the catchment. Attracting investment from the corporate sector is a challenging but potentially rewarding task. An investment prospectus and project portfolio supports this process. By adopting a more commercial focus, it is anticipated that access to private sector funds and specialised services will extend the reach of CMA programs, particularly in areas that are not current priorities for recurrent funding.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 19 CASE STUDY Developing Corporate Partnerships

The project A new corporate partnership established in 2011/12 was the HNCMA involvement in the Peats Ridge Music and Arts Festival. This high profile event has won numerous awards for environmental sustainability including an Australian Event Award for “Most Sustainable Event in Australia” and the NSW Government’s Green Globe Award for being the “Leader in Environmental Sustainability across All Industry in NSW”. The festival attracts over 8000 participants over four days. The HNCMA had specific goals for the partnership • Team with a corporation with a strong environmental mission in a mutually beneficial relationship • Highlight the role and achievements of the HNCMA Participants in the Peats Ridge Sustainable Music and Arts Festival • Promote environmental awareness and involvement to were assisted by HNCMA staff to plant native vegetation along the banks young adults, generally regarded as the most difficult of Popran Creek. audience to engage • Deliver on-ground outcomes at the festival site, which had previously received funding through the HNCMA Investment and Partners River Health Program. • Peats Ridge Sustainable Arts and Music Festival (In-kind support through access to the festival website, provision Key achievements of a pavilion on site, access passes for CMA and

• HNCMA and Greening Australia ran a Landcare event Greening Australia staff) on Popran Creek, which runs through the festival site • HNCMA (Staff time and plants for landcare event) in Glenworth Valley. Festival patrons planted over 600 • Greening Australia (Staff time, tools and provision of native plants on the banks of the creek to improve vehicles to support Landcare event). riparian condition • The organisers included content on their website to promote the HNCMA’s role in the event Looking to 2012/13 • A marketing pavilion was provided at the event to allow With more lead time, the intent is to develop more pre-event HNCMA staff to promote opportunities for volunteering publicity and to plan a bigger Landcare event during the on environmental projects in the region. Over 170 festival festival. It is hoped that over a number of years, the riparian patrons signed on to a database to receive regular condition of Popran Creek will be progressively improved to updates on environmental events develop a corridor from the estuary to the near intact riparian vegetation above the valley. • The HNCMA contribution was featured in a video highlighting the sustainability focus of the festival and The HNCMA will continue to focus on engagement of won the competition for best ecological stall at the event. young adults by promoting opportunities for participation in environmental projects across the catchment and will also use the festival to promote the wider roles of the CMA.

20 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Landcare Support Landcare Support package funding The NSW Landcare Support Business Plan provided $12,000 The Context to each Catchment Management Authority for Landcare group support. The HNCMA disseminated these funds to groups The HNCMA provides support to over 130 landcare groups via a $500 small grants program. Twenty-six groups were and around 3000 volunteers across the catchment. supported with purchases of tools, reference books, banners The HNCMA supports groups through providing public liability and specialised equipment such as GPS units. and volunteers insurance, hosting training events, staff support Other funding and funding. HNCMA staff regularly support community groups to apply for external funding. Around 20 groups were helped to apply for Key results funding through the NSW Environmental Trust, the Australian Regional Landcare Facilitator Government’s Community Action Grants program, and funding The Caring for our Country funded Regional Landcare through Landcare Australia Limited. Five groups received Facilitator (RLF) Program successfully undertook 12 Environmental Trust Grants, six groups received Community workshops which attracted 395 participants. Highlights Action Grants and two groups received funding from Landcare included three “Passion Mashing” workshops to help groups Australia Limited grants. find innovative ways to attract new members to their Landcare groups, and four “Carbon Farming Initiative” events informing Insurance landholders of the opportunities available through this scheme. The HNCMA covers the cost of public liability and volunteers Other activities the production of a number of new brochures insurance for 79 groups across the catchment. including one on “Private Land Conservation Options in the Hawkesbury Nepean” , “Landcare Adventure Conservation” and a series on the “Fauna of Western Sydney”. The RLF program also developed a high school Landcare project in partnership with Greening Australia that included the production of a “Landcare in Your School” teacher’s resource. Greening Australia has gone on to secure funding to start five new high school Landcare projects in the catchment.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 21 CASE STUDY Landcare Forum – Parkes

Every two years a state Landcare forum is held in NSW. The most recent forum was held in Parkes from 5-7th September 2011. The Forum aims to demonstrate new ideas and innovation in Landcare, allow opportunities for networking and celebrate significant Landcare contributions through the NSW Landcare Awards. The HNCMA supported 12 community members and three HCNMA staff to attend the Forum in Parkes. Winners from the Hawkesbury Nepean Regional Landcare Awards (hosted by the HNCMA in May 2011) were also nominated for the state awards which were held at the Forum. Graham Johnson accepted a highly commended award in the Coastcare category on behalf of the MacMasters Beach Student landcare group clearing African boxthorn, at the Surf Lifesaving Club Coastal Foreshore Cleanup Program. University of Western Sydney’s Hawkesbury campus, Richmond. Graham works tirelessly with young people in the catchment to remove rubbish from the Hawkesbury estuary.

The Challenges Attracting new members is always a key issue for groups. The three “Passion Mashing” workshops aimed to develop skills in landcare group members to attract new interest. Supporting groups to access funding has also been a priority to build long term resilience and the HNCMA and will aim to continue to increase the capacity of groups to access funding in the future.

Total Investment Total HNCMA investment for Landcare in 2011/2012 was $288,400 including staff hours, workshop funding, NSW Landcare Support Funding and insurance. This was supplemented by $2.62m cash and in-kind contributions by the Landcare community. Additional support occurred through other HNCMA’s incentive funding programs.

Looking Ahead The HNCMA will continue its support of Landcare by covering insurance for groups, running training events, providing staff support, and once again hosting the Regional Landcare Forum and Awards in 2013. The HNCMA will work with Catchment Community to formulate a Hawkesbury-Nepean Landcare Support Strategy MacMasters Beach SLS volunteers and boys from Rowland Hassall School, as an outcome of the NSW Landcare Business Plan. cleaning rubbish from Twin Beaches, lower Hawkesbury River. MacMasters Beach SLS Club were Highly Commended in the Coastcare Award category at the 2011 NSW Landcare Awards.

22 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 CASE STUDY Improved Business Systems

1. improving our evidence-based practice The HNCMA has a long term goal of strengthening the evidence underlying its catchment planning and the implementation of natural resource projects by the CMA and its project partners. To support this evidence-based practice, the HNCMA has adopted new systems for evidence collation and retrieval and undertaken a number of activities to build organisational capacity in use of best available information. The HNCMA installed the software, Zotero, which collects and organises all the CMA’s evidence sources, whether hard copy or electronic, in a single web-based location. The evidence is classified into folders that represent the main natural resource management tasks undertaken by the HNCMA (see table below). The folder system ensures a focus on collecting evidence that is relevant to the catchment and to NRM projects undertaken by the HNCMA and its partners.

Zotero allows all data to be captured and categorised by relevance to the main natural resource management tasks undertaken by the HNCMA.

Table of evidence classification to levels in Program Logics

Natural Resource Management Task Evidence Classification Folder

Identifying assets e.g. Rivers, Biodiversity and Assets folder: Sub-assets classified into sub-folders their locations, values and significance e.g. wetlands

Identifying threatening processes and their Threatening Processes folder: Specific threatening processes and their impacts on natural resource assets impact are classified into sub-folders e.g. dams and weirs impact on fish passage

Choosing actions (biophysical interventions) Biophysical interventions folder: Specific actions and the desired result that are effective and appropriate for are classified into sub-folders achieving the desired result e.g. fencing to protect native vegetation

Choosing actions that are able to be Adoptability of biophysical interventions: Specific actions are classified effectively adopted by landholders and land into sub-folders managers e.g. adoption of native vegetation conservation Selecting mechanisms that encourage Delivery mechanisms folder: Specific mechanisms are classified in adoption of desired management actions sub-folders e.g. Property based incentives

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 23 CASE STUDY Improved Business Systems - continued

All staff received training in the use of the software and all 2. HNCMA Spatial Analysis the HNCMA’s evidence sources can be accessed from individual work stations. Staff can also add evidence items of relevance to the CMA’s work so knowledge is shared The context across the organisation and the collection of evidence is The HNCMA is committed to trialling and acquiring new kept up-to-date. Approximately 750 evidence items were spatial products and decision support tools with the goal catalogued in the first 12 months. of improving our spatial understanding of natural resource The HNCMA has conducted workshops to build staff issues in the catchment and our ability to effectively manage capacity to identify evidence that supports decision-making them. This will allow us to better prioritise future investment and to identify gaps where evidence is weak or out-of-date. both at a strategic and project level. The HNCMA is also improving its evidence by: Two key projects in this area in 2011/12 were: • • Targeted monitoring by surveying a proportion of Trialling the use of the Multi Criteria Analysis Shell- project partners to test the effectiveness of workshops Spatial (MCAS-S) to assist with spatial prioritisation for and training activities in changing landholder the CAP Upgrade. MCAS-S is a freely downloadable management practices decision support tool developed by the Australian Bureau of Agricultural and Resource Economics and Sciences • Commissioned research to examining the impact of (ABARES). It allows users to create models by combining revegetation activities on fire risk and weighting different spatial layers. Analysis will be • A systematic review of research literature on the undertaken and models developed across the three effectiveness of financial incentives has been themes of soils, vegetation and water commissioned due to the importance and widespread • Expanding the current River Styles spatial layer for the use of this delivery mechanism by the CMA. catchment and updating the original layer that was created in 1999. This layer provides a finer scale of Looking forward coverage of waterways which is essential to improving our ability to identify priorities for waterways. This was a A key focus of the organisation’s increased capacity in key data gap for the HNCMA. This information will allow evidence-based practice in 2012/13 is building a strong the HNCMA to fill a critical data gap and build on the evidence base for the updates Catchment Action Plan and pioneering work in the Hawkesbury-Nepean River Health for developing new or revising existing programs in 2013. Strategy (2006).

Key results The River Styles desktop analysis has increased the total length of stream assessed in the catchment from approximately 3,600 kilometres to approximately 8,400 kilometres. Field analysis was also undertaken at a coarse scale to improve confidence levels in clustered areas where confidence levels were low due to the quality of the aerial imagery upon which the desktop analysis was based. The updated River Styles data was subsequently used by the NSW Office of Water (NoW) as a key variable in calculating the River Condition Index (RCI). The NoW has provided the HNCMA with this spatial layer which will form a key component of the water theme spatial prioritisation in the CAP upgrade.

24 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Staff from the HNCMA have been working closely with staff from other agencies (in particular the Office of Environment and Heritage) to identify the key spatial layers required to create the thematic models in MCAS-S and to start to develop the models. The models prepared for the soils theme have been developed as a pilot project for potential use by other CMAs.

The challenges A key challenge in developing the MCAS-S models has been identifying the relevant datasets required to create the models. With most of these layers now acquired, the challenge now is working out how to combine them in a way that the models produce meaningful and relevant outputs that are also able to be effectively communicated to a wide variety of stakeholders. A key challenge for the River Styles assessment relates to overcoming the uncertainty of parts of the analysis due to the quality of the imagery used. Though some field analysis was undertaken, it was not detailed enough to overcome all the uncertainties. Screen shot of MCAS-S showing spatial analysis and soil productivity in the HNCMA is used to assist in prioritising future investment and the Total Investment development of the new CAP. • MCAS-S approx. $30,000 • River Styles approx. $60,000

Looking ahead • There is scope in the future to undertake more detailed River Styles assessments and also to further improve the capacity of HNCMA staff to be able to both critically evaluate the current River Styles assessment and also undertake internal River Styles assessments • The use of MCAS-S within the HNCMA is in its infancy. There is ample scope to further develop the use of this software both at a strategic and also a specific project level • It is envisaged that the MCAS-S tool will be used to assist the HNCMA and agencies in formulating CAP investment and management priorities.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 25 CASE STUDY Aboriginal Cultural Values Protection

The project Identifying and protecting sites of Aboriginal cultural value is an extremely important component of the HNCMA’s natural resource management activities. Since 2008, the HNCMA has consistently led the way in promoting Aboriginal cultural awareness and implementing project management strategies to ensure protection of cultural sites.

Key achievements In 2010 the Department of Environment, Climate Change and Water released the Code of Practice for the Protection of Aboriginal Objects in New South Wales. The HNCMA’s procedures were already consistent with this code of practice reflecting the work of the HNCMA’s Catchment John Lennis, Aboriginal Project Officer, demonstrating stone tools to Dick, farm hand at Arthursleigh farm, Marulan. Officer A( boriginal Communities) and close liaison with OEH (formerly Department of Environment, Climate Change and Water).

Other achievements include: • 62 confirmed sites containing Aboriginal values to • Integration and ongoing review of Aboriginal Cultural which management conditions were applied, ensuring Values Management to the Land Management Database appropriate management of these sites (LMDB) - ensuring spatial capture and attribution of • Sydney Catchment Authority (SCA) fire management management conditions relating to Aboriginal sites. A list program developed in conjunction with HNCMA of practical management conditions which apply to work Aboriginal Cultural Values procedures. A total of sites containing Aboriginal values has been incorporated 1736 sites were recognised throughout the SCA area into the statewide Land Management Database of operations • Adoption of management conditions and attribution • Participated in workshops on the new State Aboriginal standards developed and applied by HNCMA by partner Heritage Legislation reform. CMAs and other government bodies • 530 searches through the Aboriginal Heritage Information Management System (AHIMS) against HNCMA projects Partners • OEH – Cultural Heritage Division • Catchment Management Authorities • Sydney Catchment Authority • Regional Aboriginal Land Forum • Local Aboriginal Land Councils

Looking to 2012/13 The HNCMA is continually working to improve awareness of Aboriginal cultural values throughout the catchment. A key part of this process is the recent review and standardisation of Aboriginal site management conditions, and submission of reporting standards which are being adopted throughout the state. The HNCMA will continue to improve its processes to identify and protect Aboriginal cultural values. Officers from Hornsby Shire Council Surveying Archaeological sites on Bar Island, lower Hawkesbury River.

26 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Landholder Jo-Anne Rooker with soil protection works on her property along Junction Creek. The project will protect a significant wetland called Long Swamp which is up to 100 metres wide in places. Onground Performance Warragamba Landscape The Landscape at a Glance The Warragamba landscape takes in the Southern Report Highlands and area around Goulburn. It includes the headwaters of the Hawkesbury-Nepean near Lake Bathurst and features the Mulwaree, Wollondilly and Wingecarribee River systems. It is home to productive grazing and horticultural lands and its rivers provide major water resources for Sydney. An increasing number of new residents are drawn to the rural lifestyle of the region, and further rural residential is taking place to cater for this demand. The landscape also provides the majority of drinking water for people in Sydney.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 27 Onground Performance Warragamba

Key highlights for the year New directions taken 2011/12 2011/12 was a productive year for the Warragamba The Warragamba landscape contains the largest amount Landscape with the delivery of a large number of successful of broad acre agriculture when compared to the remainder on ground projects. The incentive funding has been delivered of the catchment. It is for this reason that the Warragamba on time and within budget and has exceeded the targets team has begun to investigate the carbon farming required by our investors. A total onground investment of opportunities for the catchment, given the release of the $3.206m was achieved in the landscape. Australian Government’s Clean Energy Future Program which includes the Carbon Farming Initiative (CFI). Research is being The landscape was successful in two applications to the conducted into the opportunities that this new market may Australian Government’s Caring for our Country (CFoC) provide to the landscapes landholders. Research has also program. One project will allow for an integrated approach been initiated into the catchment’s soil resources to look at to land management to improve groundcover while the other carbon storage potential in different areas based on climate, project is focussed on landholder training in the area of soil soil type and land use. biological health. Landscape staff developed a partnership with the Office A number of projects developed by Warragamba staff have of Environment and Heritage (OEH) National Parks division received very good feedback from our catchment community. to allow conservation covenants to landholders under the Overall 70 new landholder, Local government and community Biolinks Project. This has allowed Landholders who are group partnership projects were funded delivering: interested in this approach to be engaged and long term • 374 hectares of endangered native vegetation environmental benefits to be realised. under rehabilitation • 16 capacity building events through Biolinks and Challenges during the Year Weed Management Workshops The ‘La Nina’ weather event has meant that for some • 70 hectares of riparian lands managed along 20 kilometres of rivers and creeks projects the completion was delayed. This was the case in the Catchment Protection Scheme (CPS) project where • 10,000 hectares of land with pest animal control implementation of erosion control works and access to (deer, goats, foxes, pigs and wild dogs) properties by machinery was impeded. The wet period has • 2000 hectares of land with improved land management also meant that Warragamba staff have been busy with and grazing activities enquiries from landholders who have experienced problems • 460 hectares of land protected through treatment with flooding events which have damaged infrastructure on of gully, stream bed and stream bank erosion. local farms. Despite this constraint financial and non financial targets have been met.

28 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 29 Onground Performance Warragamba

Partnership and collaboration The Warragamba landscape continued to identify and develop projects with local councils and other key NRM stakeholders in our region. During 2011/12, key partnerships in the landscape included:

Partner Activity 2011/12

Wollondilly Shire Council Continued partnership on various on ground NRM projects.

Wingecarribee Council Continued partnership on various on ground NRM projects.

Warragamba staff have continued to engage with our local landcare groups to promote Landcare groups NRM, facilitate workshops and maintain relationships over the past financial year.

Goulburn Mulwaree Council Continued partnership on various on ground NRM projects.

Engaged to design a soil carbon matrix for the Hawkesbury-Nepean Catchment to examine soil carbon potential. Australian National University (ANU) Engaged to assist in the design of an evaluation program to evaluate the outcomes of the soil microscopes project.

Partnership to deliver the conservation covenant component of the Biolinks project for landholders and manage Weeds of National Significance (WONs) at strategic locations Office of Environment and Heritage throughout the Warragamba landscape. Assistance with the development of our Catchment Action Plan, especially in the area of soils.

Partnership with the Biolinks project to deliver some capacity building events Greening Australia for with landholders.

Sydney Catchment Authority A key project partner on many of our improving land management and riparian projects.

A key project partner who delivers training courses which are linked to the HNCMA’s Department of Primary Industries land management incentive programs.

Livestock Health and Pest Authority Partnership to deliver pest animal control. (LHPA)

Wetland Care Australia Ongoing project partnership in Warragamba landscapes wetlands projects.

Established in 2011/12 the group plays a key role in providing strategic advice from Warragamba Landscape community to inform HNCMA CAP development and natural resource priorities, Community Reference Group activities and investment in the Warragamba Landscape.

30 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Soil protection works and flumes at Junction Creek, near Marulan, to protect the landscape from erosion and protect water quality of the Tarlo River.

Financial Looking forward to 2012/13 Total Warragamba Landscape $3,206,310 2012/13 will see soil microscope groups established in Moss Vale, Goulburn and Braidwood in partnership with the Biodiversity $902,725 Southern Rivers CMA. Participants will learn how to identify Water $364,015 soil biology and how their management could enhance and improve this aspect of their soil. Land $1,596,425 Through a partnership with ANU work will be undertaken in the Community $345,145 landscape to compare funding directed through educational programs versus paying for on ground incentives and whether one approach is better than the other when it comes to achieving change in our natural resources. The Warragamba landscape will be reviewing our overall approach to project monitoring, ensuring that our monitoring techniques are capturing the outcomes which we need our programs and projects to deliver. Funding to the amount of $110,000 provided by the Caring for Country Program will be delivered to the landscape via a new Land Management Project which focuses on improving ground cover through strategic fencing and the use of targeted compost application to rehabilitate degraded land. In 2012/13 the Warragamba Landscape expects to deliver Revegetated gully on Arthursleigh farm, Marulan. over $2 million in funding.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 31 CASE STUDY The small things that make a big difference in sustainable soil management program

The program monitor and improve options for soil biological health within a dynamic, The HNCMA in conjunction with the group-learning environment. Southern Rivers CMA has initiated an innovative program to work with landholders in the two catchments to Key achievements learn about the largely unknown world beneath our feet. Most of our knowledge The small things that make a about soils relate to aspects such as big difference in sustainable soil their texture, structure, nutrient levels management program has been very and pH. These factors are critical to popular so far with landholders: what types of crops or pastures we • An expert steering committee can grow or whether it’s a good idea to including members from both CMA’s The program is being run by HNCMA’s Catchment build infrastructure on them. However was formed to guide the program Officer Alice Taylor. for the soil biota that live in the soil, over the next 12 months and Southern Rivers Catchments these chemical and physical properties • Hawkesbury-Nepean CMA through changed land practices that determine the food, shelter, water and Catchment Officer Alice Taylor has help foster soil biology air that is critical to their ability to survive organised an outstanding first six and flourish. months of group meetings for the • More than 75 landholders over the two catchments will be exposed to In an effort to improve our knowledge participants in the program, including groundbreaking experts and new about soil biology and how this a number of expert speakers on soil knowledge in the area of soil health interacts with our agricultural biology and soil health and biology management, the Hawkesbury-Nepean • The recent information evenings • and Southern Rivers CMA’s are for the program held in July were a New practices and knowledge gained supporting the formation and activities great success, attracting more than by landholders will be applied on the of three soil microscope landholder 80 landholders over three nights. ground and changes in soil health groups across three locations: and soil carbon will be measured Goulburn, Braidwood and Moss Vale. • Both CMAs are looking forward Investment and partners to the information sharing and The groups will be provided with The total value of this program is: improvement in resources that this resources such as microscopes and $263,020 jointly funded by the Australian project can achieve. Information will be supported by a CMA Catchment and NSW Governments. Other gathered throughout the next 12 Officer. The groups will meet once per contributions to the program include: months from landholders and month and will be able to seek input experts will be used from experts and organisations. The • Hawkesbury-Nepean CMA- Staff to inform the future practices of the group meetings will provide participants time and resources Hawkesbury-Nepean CMA. with practical experience to look into and • Southern Rivers CMA – Staff time analyse soil health and soil microbiology. and resources Landholder Ian Proctor, who will be involved in the program said: “Soil Participants will use microscopes and • Braidwood Central School – biology is an area I am really interested other quantitative methods to evaluate, Resources in because it is a relatively new and • Landholder participants – Funding unknown field and I am looking forward and time to learning alongside the experts”. • Moss Vale High School - Resources Alice Taylor, Catchment Officer with the • Trinity Catholic College Goulburn - Hawkesbury-Nepean CMA responsible Resources. for the program said: “We don’t know exactly where the new learning will Looking to 2012/13 take us by the end of the year, but that is part of the excitement around this • This program will contribute to the Microscope picture taken by Alice Taylor of a soil program. I think the groups will really nematode, a soil organism which participants will improvement in soil health over 1500 enjoy looking at some of their creepy learn about. hectares in the Hawkesbury-Nepean crawlies under the microscope.

32 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 CASE STUDY Stabilising active gully erosion and improving grazing practices at ‘Malton Park’

The Project • Installation of a farm dam for stock watering of newly ‘Malton Park’ is a 170 hectare cattle sub-divided paddocks crazing property located in the Southern Tablelands area of the Hawkesbury • Shaping, mulching and seeding of Nepean Catchment. The property is several eroded and scalded areas located in the upper Wollondilly sub- • Erecting 3,300 metres of fencing catchment and plays an important role in to exclude domestic grazing stock the quality of drinking water for Sydney. from eroded gully and riparian areas and sub-divide two large paddocks ‘Malton Park’ has a long history of to improve grazing management Merino grazing prior to the current and soil health Malton Park taken from Monitoring Point 2 before owner, David Long, deciding to make works to stabilise gullies and erosion had commenced. the switch to a cattle grazing enterprise. • Planting 2,500 locally occurring Previous land clearing and heavy native plants to slow water runoff, set stocking with Merino sheep had reduce soil loss due to wind erosion, contributed to a decline in ground cover increase biodiversity values and at the site resulting in increased rainfall assist with shelter for grazing stock. run-off and the initiation of several large active gully heads through the property. Investment and partners David approached to HNCMA to obtain advice on how these gullies could The total value of this project was: be stabilised while at the same time $120,445 with 77% of the total cost seeking a way to sub-divide his relatively coming from the Catchment Protection large paddocks into smaller areas to Scheme and the remaining 23% Malton Park taken from Monitoring Point 2 after assist with grazing management. coming in the form of cash and in-kind stabilising gully erosion works had been completed. contributions from the landholder, The HNCMA developed a project under • On-going monitoring of the erosion David Long. the ‘Catchment Protection Scheme’ control works at pre-determined to stabilise several active gully heads Contributors to the Catchment monitoring points already in place and erect fencing to exclude stock Protection Scheme include: • Continuing fencing and re- from eroded gully areas. The fencing of • Catchment Action NSW vegetation of a major drainage line eroded gullies allowed two paddocks to Government- Funding beneath the work site to connect to be sub-divided into four and captured a • Sydney Catchment Authority the Wollondilly River small remnant of Yellow Box – Blakely’s • Fencing and protecting several Red Gum grassland. All fenced areas • Department of Primary Industries additional remnants of Yellow Box – were planted with locally occurring (Crown Lands Division) Blakely’s Red Gum Woodland native plants in an effort to further slow • The HNCMA. • Additional paddock sub-divisions for water runoff, reduce soil loss due to wind improved grazing management erosion, increase biodiversity values and Looking to 2012/13 assist with shelter for grazing stock. • A joint project with a neighbouring The HNCMA are in discussion with Mr property to undertake staged removal Long with respect to formulating several of Willow and Blackberry along the Key achievements potential new projects including: Wollondilly River to be followed by • Installation of two new and repair fencing to control stock and re- of three existing gully control vegetation with local native plants. structures to control runoff above “I am so happy with the works implemented by the HNCMA. The water now active gully heads held in the treated area is attracting water birds to the property and the • Construction of four concrete flumes fencing of the drainage line has given me a greater ability to control my to “safely” re-enter overflow from stock and pastures. I can see the value in protecting areas of existing native the gully control structures back into vegetation and I am excited about the habitat that the re-vegetation program should provide for animals and the shelter they shall provide for my stock.” the gully system - David Long, Manager, ‘Malton Park’.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 33 CASE STUDY Improved Grazing and Biodiversity at ‘Blythburn’

The Project “Blythburn” is a 283 hectare property, located adjacent to Taralga Road approximately 15 kilometres north of Goulburn. The property is quite diverse ranging from fertile basalt soils at around 800 metres in the north and then changes to sedimentary geology and dropping to around 700 metres along the Tarlo River on the southern property boundary. The property therefore has considerable variability in soils and topography, with a diverse range of vegetation communities, including threatened Yellow Box Grassy Woodland. When the current owners purchased the property in 2009, there were extensive weed issues and both internal and boundary fences were in very poor condition or non-existent. The new owners are new to farming and have employed a full time manager as well as completing a PROGRAZE course and participating in a range of other capacity building activities. The HNCMA partnership with “Blythburn” involves a whole of property, integrated project to protect biodiversity assets and to improve grazing management and groundcover. The project also provides great linkages and extends the benefits of projects and environmental work on neighbouring properties and reserves.

Key achievements

• Four kilometres of fencing to protecting 73 hectares of remnant vegetation, including 14 hectares of riparian land along the Tarlo River. Property Plan at ‘Blythburn’ near Goulburn showing paddock subdivisions • Three kilometres of fencing to improve grazing and fencing to protect sensitive areas from stock and areas where new management across the remaining 210 hectares by vegetation is being established. fencing to land class, to create paddock-subdivisions or to exclude stock from sensitive areas. • An extensive willow and blackberry control program Looking to 2012/13 across 10 hectares and the planting of 1000 trees to The HNCMA will be working with the manager to establish remove threats and improve biodiversity outcomes in monitoring points to evaluate ground cover, tree establishment protected areas. and weed control outcomes. The HNCMA will also be providing ongoing monitoring to ensure quality outcomes from Investment and partners weed control activities by contractors and the landholder.

• HNCMA $63,000 • Landholder $60,200 The project involves partnering with: “Managing and mustering stock has been an ongoing • The Australian Government Caring for Country challenge, the project will give us much greater control Program (CFOC) over where stock go and what they eat. We were also • Sydney Catchment Authority keen to work in with our neighbours and the local • Catchment Action NSW Government landcare group who have been doing heaps of great work along the river.” • HNCMA - Keith Smith, Manager, “Blythburn” • Private Landholder

34 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Capertee Valley landholder and conservation covernant holder April Mills with HNCMA Catchment Officer Peter Evans. Behind them are thriving 1994 and 2001 revegetation plantings for the endangered Regent Honeyeater. Onground Performance

The Landscape at a glance Blue Over 50% of this landscape is protected in reserves including significant areas of the Greater Blue Mountains World Heritage Area. The Coxs and Mountains Kowmung Rivers flow into Sydney’s water supply at Lake Burragorang. It is also home to the magnificent Western sandstone valleys of the Capertee and Wolgan whose rivers flow into the Colo and then the Hawkesbury Landscape River below Windsor. The region is well-known for its resource generation Report such as power, coal, forestry, agriculture and water. It also features a mix of productive agriculture, hobby farms, lifestyle blocks and national parks in the region. It is home to major tourist destinations in the Blue Mountains and Jenolan Caves and includes the historic towns of Lithgow and Katoomba.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 35 Onground Performance Blue Mountains Western

Key Highlights for the Year New Directions Taken 2011/12 Continuity of funding streams over the 2010/11 and 2011/12 • Developing a direct seeding project with Greening financial years enabled the landscape’s programs to continue, Australia to re-establish woodland vegetation allowing delivery of larger landscape scale multi-year projects • Developing a new significant partnership with Lithgow with partners. City Council to undertake woody weed control and revegetation on vale of Clwydd Creek in Lithgow The HNCMA delivered $2.284million of investment within the landscape, which was supported by an additional $0.732 • Implementing a landscape-scale project to control million of partner in-kind and cash contributions. This was severe hillside and gully erosion on 55 hectares of achieved by partnering with predominantly private landholders land on three adjoining properties in the headwaters in 63 projects, and with public land managers and other of Bourbon Creek organisations in 29 projects. This will result in: • Funding trials of new pest control techniques, with • 64 kilometres of rivers and creeks undergoing release of a rust for the weed Tutsan, and purchase restoration work and trial of the “HogHopper” bait delivery system for feral pigs • 567 hectares of native vegetation improved • Catalysing and supporting formation of a new • 1,977 hectares of strategic weed control landholder community group in the Coxs Valley. • 121,500 hectares of pest animal control • Funding research into the impact of revegetating rural • 5.5 kilometres of stream bed stabilised with land with native vegetation on the frequency and engineering works severity of bushfires • 54.7 hectares of land treated for soil erosion by structural works • 400 hectares treated with organic mulch for land The Challenges rehabilitation or improvement of ground cover Continuing good rainfall across the landscape led to further • 230 hectares treated for soil acidification flood events, resulting in some stream bed and bank damage to both natural and rehabilitated river reaches. It has also led HNCMA staff conducted the following community engagement to the proliferation of serious environmental weeds such as events and knowledge and extension projects: blackberry, St John’s Wort and Tree of Heaven. • Three meetings of the Capertee Valley Catchment Group, with a total of 95 landholders attending Special emphasis has been placed on collaboration with landscape partners to deliver the CFOC Increasing • Two meetings of the Coxs Valley landholders group, Native Habitat and Increasing Landscape Scale with a total of 45 landholders attending Conservation programs. • Compost Field Day at Glen Alice, with 25 landholders attending • Pest Animal Control field day in association with Tablelands LHPA and Blue Mountains Council, with 20 landholders attending • Promoting the HNCMA’s programs for landholders at the annual Rydal Field Day • Providing funds for community group projects to produce a booklet on Orchids at Hassans Walls near Lithgow, and a bird watching guide brochure in the Capertee Valley • Providing funds for bushfire modelling research by the University of Wollongong to study the local and landscape scale impacts of revegetation projects • On-going development of the “Living on the Edge” website, to be completed in 2012/13

36 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 37 Onground Performance Blue Mountains Western

Partnership and Collaboration

Partner Activity 2011/12

Greening Australia, Direct seeding trial Lithgow community Nursery Upper Macquarie County Council, Tree of Heaven eradication program OEH (NPWS), Centennial Coal Cumberland LHPA, Tablelands LHPA Pest animal control program Blue Mountains City Council Weed control to protect the WHA Protecting shale based TEC vegetation communities Lithgow City Council Riparian weed control in Lithgow’s urban streams University of Wollongong Research modelling on the effect of revegetation on bushfire risk

Financial Looking Forward to 2012/13 Total Blue Mountains Western Landscape $2,283,870 • Landscape project investment for 2012/13 will be approx $1.259 million Biodiversity $1,377,200 • Continue a landscape emphasis on controlling Tree of Water $263,360 Heaven, with the aim of eradication Land $376,930 • Work with Blue Mountains City Council to increase community engagement in weed control in drainage Community $266,360 lines flowing into the World Heritage Area • Establish direct seeding sites in the Coxs and Capertee Valley to demonstrate and promote this as a cost- effective revegetation technique • Planning and engagement of partners for delivery of Biodiversity Program funding of $42.5 million over five years.

38 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 CASE STUDY Erosion and sediment control in the Bourbon Creek sub-catchment

The Project The headwaters of Bourbon Creek are noted for dispersible soils with extreme sodicity, resulting in limited penetration of rainfall and consequent severe rill, sheet and gully erosion. A disproportionate amount of hillside and gully erosion in the Capertee Valley occurs within this area, contributing large amounts of sediment as well as turbidity to Bourbon Creek and the Capertee River. The goal of this project has been to control erosion and revegetate severely degraded land on multiple adjoining properties within the headwaters of Bourbon Creek, to reduce the amount of sediment entering Bourbon Creek, the Capertee River and the Blue Mountains World Heritage Area.

Soil engineering works including concrete flumes, HNCMA Catchment Officer Shane Laverty taking levels to finalise the location sediment traps, rock ramps and diversion banks have been of a rock ramp structure and the project design. constructed to stabilise gullies and capture sediment. Areas of bare degraded land have been mulched, seeded and fenced out from stock to prevent further erosion across 3 neighbouring properties in the head waters of Bourbon creek. Investment and partners

• HNCMA Investment of $267,830 Key achievements • Landholder Cash investment of $31,293 • HNCMA and three landholders were involved • Controlling a landscape scale erosion and sedimentation issue by working across multiple adjoining properties. in the project. • In excess of 5.5 kilometres of stream bank has been stabilised as a result of the project Looking to 2012/13 • 54.66 hectares has been treated for soil erosion Ensuring that ground cover establishes in critical areas of the • 7.6 hectares has been mulched and seeded to create project site is crucial to the ongoing success of the project. ground cover and stabilise works areas One of the participating landholders has expressed interest • 9.14 hectares of sensitive area has been fenced to in undertaking a second stage of works, while an additional exclude stock landholder has also expressed interest in having erosion control work done on their property. These works would • Potentially more than 40,920 tonnes of sediment has further reduce the erosion and sedimentation issues within been prevented from entering the system. the headwaters of Bourbon Creek.

“The erosion has been getting worse since I brought the property, The works that have been done are exactly what was needed, I couldn’t have done it without the CMA’s help.” - Tony Nohra – Landholder

“We knew that there was a huge problem, but didn’t know how to go about fixing it. We are amazed with how the works have turned out we have learnt so much from the CMA staff as a result of the project.” - Margaret Hart – Landholder

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 39 CASE STUDY Tree of Heaven eradication in the Blue Mountains Western Landscape

The project Tree of Heaven (Ailanthus altissima) is a Class 4 noxious weed in the Upper Macquarie County Council area, and is a serious environmental and agricultural weed. It grows to a large, long lived deciduous tree, and spreads by wind- borne seed and suckering from roots, forming large dense thickets that effectively displace native vegetation. Tree of Heaven commonly invades remnant woodland vegetation in the Capertee and Coxs Valleys, including the Threatened Ecological Community – “White Box-Yellow Box-Blakley’s Red Gum Grassy Woodland and derived native grassland” - and has also been identified invading diatremes and waterways in the Greater Blue Mountains World Heritage Area. While favourable seasons over the last two years have seen a rapid spread, it is considered that the current (l to r) Hugh Paterson from the Good Bush People, Dave Noble from NPWS distribution and density of Tree Heaven in the Blue Mountains and Laurie Waddell discussing options for Tree of Heaven Control in Mugii Murum-ban State Conservation Area. Western landscape offers an opportunity to eradicate the plant, including from areas recognised as significant for woodland vegetation, and the TEC Box Gum Grassy Woodland in particular. Investment and partners Funding has allowed for coordinated and increased levels • $169,138 HNCMA funding across 14 individual of Tree of Heaven control to be undertaken on public and control projects private land in the Blue Mountains Western landscape. • $151,198 In-kind contribution made by This includes partnering with the Office of Environment and project partners. Heritage (NPWS) to implement control programs in Capertee The project involves partnering with: National Park, Mugii Murum-ban State Conservation Area, and national parks in the Coxs Valley area. Complimenting • Blue Mountains City Council control on public land, a partnership with Upper Macquarie • OEH-NPWS County Council has led to control programs on multiple • Department of Primary Industries private properties in the Capertee and Coxs Valleys, including • Centennial Coal Centennial Coal Mines at Airly and Charbon. Blue Mountains City Council has also received funding to control Tree of • Upper Macquarie County Council Heaven on public and private land. The project aim is to • Private Landholders. achieve landscape scale control and ultimately eradication of this significant emerging threat to biodiversity. Looking to 2012/13 In the coming year we will be continuing to identify areas of Key achievements Tree of Heaven infestation in remote and inaccessible areas • Delivering landscape scale weed control aimed for control. The HNCMA will also provide investment funding at eradicating a problem environmental and for control on new sites, and follow-up treatment on previous agricultural weed control sites to ensure complete control. • Working with private and corporate landholders, public land managers, local government and a weeds control authority to achieve integrated and coordinated control “Tree of Heaven has been around for a long time. across all land tenures The focus that the HNCMA has put on the weed is an awakening. They have raised the profile of the weed • 88 hectares of Tree of Heaven infestation controlled to and the associated treatment methods.” date, including 31 hectares within areas of the threatened Box Gum Grassy Woodland vegetation community. - Laurie Waddell, Upper Macquarie County Council.

40 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 CASE STUDY Pest animal control to protect the Blue Mountains World Heritage Area

The project Valley and restrict pig movement into the adjacent World Heritage Area, and This project encompasses series controlling the range expansion and of control programs to mitigate the population increase of feral goats, threats caused by vertebrate pest feral pigs and wild dogs in the Bargo animals to the Blue Mountains to Morton National Park Regional World Heritage Area. These programs Biodiversity Corridor. reduce the impact on key biodiversity assets of a range of pest animals in strategic locations in the Hawkesbury- Key achievements Nepean catchment. • Pest animal control measures have Control programs undertaken with been carried out over a total area of partner organisations include: HNCMA staff working with NPWS and LHPA 121,500 hectares to control pests. controlling foxes, feral cats and other • Ensuring the continued survival predators to enable the continued and expansion of colonies of survival of colonies of endangered the endangered Brush-Tailed Brush Tailed Rock Wallabies in the Rock Wallaby in the Greater Blue Jenolan Caves, Wolgan and Capertee • Reducing the risk of damage Mountains World Heritage Area by areas, controlling feral pigs to reduce from feral deer to a large riparian funding ongoing predator control damage on private land in the Megalong revegetation project on private land • Trialling new techniques with the at Cobbitty potential for more effective control, • Promoting increased integration such as sniffer dogs for feral cats of pest animal control among and “Hog Hoppers” for dispensing public land managers and control baits to feral pigs authorities. • Maintaining the benefit of ongoing pest animal control works over the past five years in the Bargo Investment and partners to Morton National Park Regional • HNCMA ($159,000) Biodiversity Corridor by preventing an increase in pest populations due • Office of Environment & Heritage to recent favourable seasons (NPWS) ($68,300) • Livestock Health & Pest Authority –

Brush-tailed rock wallabies are again being seen in Cumberland the Grand Arch at Jenolan Caves after an absence & Tablelands ($23,600) of 45 years. • Landholders ($12,000) • Sydney Catchment Authority ($10,000) “Landholders have a better understanding of feral pigs, how to control them and where to go for advice and assistance. Increasing the number of traps and other resources available to landholders has also helped engage Looking to 2012/13 landholders and the wider community and has tapped into landholder interest in pest animal control. This will also help to ensure that landholders In the year ahead the HNCMA will can carry out control work when they need it most.” continue to work with the relevant - Alistair Gordon-Smith, Ranger, Tablelands Livestock Health & Pest agencies - the Office of Environment Authority & Heritage and the Livestock Health & Pest Authorities - to achieve effective “The only reason that this population of Brush Tailed Rock Wallabies pest animal management to protect key is recovering so well is because we have managed each year to secure biodiversity assets in and around the external funds to keep up an intensified predator control program at the Blue Mountains World Heritage Area. Jenolan Caves Reserve.” - Deborah Ashworth, Office of Environment & Heritage

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 41 Bush regeneration team working on creek at Fagan Park, Dural. Fagan Park contains the largest remnant (around 7ha) of Sydney Turpentine-Ironbark Forest in Hornsby Shire. Sydney Turpentine-Ironbark Forest is of national conservation significance and is listed as a critically Endangered Ecological Community under the Environment Protection and biodiversity Conservation Act (1999) and an Endangered Ecological Community under the Threatened Species Conservation Act (1995). Onground Performance

Hawkesbury The Landscape at a Glance This region reflects the diversity of the Hawkesbury- Nepean Catchment with its variety of landscapes Lower and land use. Many areas were settled early in European history, Nepean establishing both farming land and important towns. Today, it is the fastest growing region of the Landscape Hawkesbury-Nepean catchment as it provides homes for Sydney’s expanding population. Report It includes the western portion of the Cumberland Plain (which is home to 13 endangered ecological vegetation communities) and takes in South Creek as it traverses eight local government areas of western Sydney. The landscape also contains large tracts of reserved land.

42 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 The Hawkesbury estuary is a major economic and recreational New Directions Taken 2011/12 resource for Sydney, supporting NSW’s second largest The finalisation of the Smart Farms Project which had commercial estuarine trawl industry and is home to a major dominated the landscape’s time and effort for the last 24 oyster industry. months allowed the team to re-engage with landholders and The Colo River alone provides 50% of the freshwater flows project partners in our more traditional areas of biodiversity vital to the health of the Hawkesbury estuary. and river restoration in 2011/12. Strategic projects to protect the unique environmental and Key Highlights for the Year social values of the World Heritage Area were developed including projects to support ongoing efforts to manage 2011/12 was a productive and challenging year for the lantana in the Colo and Grose River sub-catchments and Hawkesbury Lower Nepean, seeing the finalisation of the planning for a long term catchment based approach to successful two-year partnership with NSW Department of manage Tree of Heaven in the MacDonald Valley. Additional Primary Industries to deliver the Smart Farms Project along Australian Government funding for the Cumberland Plain with the initiation of new partnerships and programs in Initiative received late in the financial year enabled a new focus response to additional funding opportunities. and significant investment in the management of African Olive Overall 60 new landholder, Local Council and community in the southern areas of the landscape to reduce the threat group partnership projects were funded delivering: this weed poses to key remnants of endangered Cumberland Plain Woodland communities. • 480 hectares of endangered native vegetation under rehabilitation Renewed efforts of landscape staff to actively provide input • 414 hectares of riparian lands managed along and support to the activities of community organisations, key 41 kilometres of rivers and creeks partners and Local Councils has contributed to significant non-CMA investment in the Landscape, ensuring a whole • 94 hectares of land managed to reduce key threats of community approach to improving the catchments of the to the Greater Blue Mountains World Heritage Area Hawkesbury Lower Nepean. • 47 hectares of land treated to manage Weeds of National Significance such as Bitou Bush, Black Willow and Lantana. The Challenges In addition, 91 coastal community groups were engaged in The involvement of landscape staff in the Catchment Action coastal conservation activities with over 200 awareness raising Plan development process towards the end of the year meant and training events held attracting over 3,500 participants. that project implementation commitments had to be wrapped This is an indication of the value and success of incorporating up earlier than usual. Traditional project delivery deadlines community activities with on ground work in programs to were bought forward by three months which created a improve the health of our peri-urban catchments. challenge for staff to deliver outcomes in this timeframe. Staff The total onground investment was $10,369 million for adapted to this by focusing on the development of a smaller the landscape. number of larger scale projects, with established partners, to reduce administration load yet still achieve our targets.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 43 Onground Performance Hawkesbury Lower Nepean

44 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Partnership and Collaboration The Hawkesbury Lower Nepean Landscape continued to identify and develop projects with local councils, other established partners and landowners with strategically located properties or those retaining high conservation value bushland in line with local project and community engagement plans. During 2011/12, key partnerships in the Landscape included:

Partner Activity 2011/12

Rehabilitation of strategic river reaches including Stonequarry Creek and Bargo River Wollondilly Shire Council through partnership projects involving Endeavour Coal, Werri Berri Landcare and Douglas Park Landcare Ongoing partnerships involving local schools, community volunteers and private landowners to manage significant remnants of endangered ecological communities, Hornsby Shire Council with particular focus on the upper reaches of the Berowra Creek catchment, Bar Island and One Tree Wetland. Support to ongoing community efforts to manage weed infestations in the Mulgoa Valley Landcare Group Mulgoa creek catchment. Ongoing industry partnership to remove three derelict oyster leases from the Broken Bay Oyster Association Hawkesbury estuary near Bar Point and Milsons Island. Restoring Cumberland Plain Woodland and derived grasslands including a trial of new The Hills Shire Council weed management techniques. The University of Western Sydney HNCMA staff have managed the construction of five rock ramps incorporating fish and Brownlow Hill Pty Ltd ladders to stop stream bed and bank erosion along Mount Hunter rivulet Partnership supporting ongoing community initiatives to eradicate Black Willow Hawkesbury River County Council from the catchment. Deerubbin Local Aboriginal Partnership to protect the biodiversity and recreational values of “The Triangle” through Land Council access management, track rehabilitation and bush regeneration. Ongoing partnership projects incorporating community awareness-raising and Community Environment Network Inc educational activities in Hawkesbury estuary, including the successful “For the Love of the River” campaign and Waterwatch. Community-led partnership to manage Tree of Heaven infestations in the Upper Macdonald Valley Association Macdonald River catchment, buffering impacts to the surrounding World Heritage Area. Ongoing partnership to manage key ecosystem weeds threatening the significant University of Western Sydney wetlands and bushland communities on the Hawkesbury Campus Ongoing support for the McCarrs Creek Foreshore Restoration Project involving the Pittwater Environment Foundation installation of nestboxes at Bothams Beach and bush regeneration targeting Asparagus Fern and Lantana. Ongoing partnership to deliver a range of projects to protect the unique values of the Office of Environment and Heritage World Heritage area and manage Weeds Of National Significance (WONS) at iconic locations in the Hawkesbury estuary.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 45 Onground Performance Hawkesbury Lower Nepean

Partner Activity 2011/12

Partnership to assist with the management of significant bushland remnants at the Department of Primary Industries and Elizabeth Macarthur Agricultural Institute through control of African Olive infestations and Barragal Landcare grazing management. Restoration of the Bilgola Creek Catchment and coastal vegetation communities Pittwater Council involving revegetation, bush regeneration and three community events. Partnership to restore the Careel Creek riparian corridor through bush regeneration, Pittwater Natural Heritage Association volunteer effort and community events including Asparagus Fern Out Days, a Careel Creek Planting event and wetland walk. A range of projects involving bushland restoration across several high conservation Hawkesbury City Council value Council reserves

Financial The HNCMA invested $10,369 million with an additional Looking forward to 2012/13 $4.481million from partner contributions, resulting in a total of 2012/13 will see the Hawkesbury Lower Nepean Landscape $14.85million of improvements across the Hawkesbury Lower team embark on an exciting new initiative with the launch of Nepean landscape which was broken down across the four the Hawkesbury River Health Improvement program. program areas as follows: $2.53 million over the next five years has been secured under Total Hawkesbury Lower Neapean Landscape the Australian Government’s Clean Energy Future Biodiversity $10,369,305 Fund to implement native habitat rehabilitation, strategic weed control and revegetation projects in the landscape. Biodiversity $913,970 This security of funding enables the development of well Water $9,064,555 planned projects that can be implemented over multiple years according to best management practices. Land $166,385 The “Workers on Water” Environmental Trust grant will Community $224,395 continue to provide unique opportunities for volunteers to work in some of the most iconic locations in the Hawkesbury estuary and will build on a successful pilot run by the HNCMA in 2012. In 2012/13 the Hawkesbury-Lower Nepean Landscape expects to deliver over $1.4 million in funding.

John Macarthur-Stanham, direct descendant of Australia’s first agriculturalist and founder of the nation’s wool industry John Macarthur, at the original site of the Macarthur farm, Camden Park.

46 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 CASE STUDY Restoring a river reach and paving the way for fish passage

The Challenge Key Achievements In what has been the HNCMA’s largest The project will over time: on-ground project to date, this river • prevent 13,000 kilograms Nitrogen reach scale project involved the and 3800 kilograms Phosphorus a construction of five rock ramp stream year attached to sediments leaving bed erosion control structures along the stream, resulting in improved a 3.5 kilometre length of Mt Hunter downstream water quality Rivulet, west of Camden. • raise the level of the bed of the The project presented a technical stream and therefore raise the level and logistical challenge requiring an of the watertable in the adjoining extensive and detailed background paddocks improving production and survey and design along with expert reducing the need for irrigation The project is the HNCMA’s largest on-ground project to date, and is part of NutrientSmart supervision of the construction. • rehabilitate 3.5 kilometres riparian Farms, a joint initiative between HNCMA and The incorporation of design specifics habitat and establish over 3,000 the Department of Primary Industries to assist to allow the passage of fish through landholders prevent nitrogen and phosphorous local provenance native plants from running off into waterways, causing pollution the structures presented an and leading to outbreaks of aquatic weeds • reconnect 3.5 kilometres of instream additional challenge. and algae. NutrientSmart Farms is part of the habitat and improve fish passage. Hawkesbury-Nepean River Recovery Program, which is funded by the Australian Government through its Water for the Future initiative. The Project Investments and Partners The project aimed to prevent further Looking to 2012-2013 • HNCMA in-kind erosion of the creek and to assist creek The HNCMA will be working with the recovery by capturing sediment and • Australian Government Nutrient Smart Farms Project Livestock Health and Pest Authority building up the creek bed. The works to implement a pest animal control • NSW Government NRM Program have reduced the volume of sediment program at the site to protect the newly and nutrients eroded and transported • Two private landholders in-kind. established plantings from pests. downstream into the Nepean River where they contribute to water quality An extensive Monitoring Program will and sedimentation problems. also be carried out to document the effect of the works on channel and The in-stream structures incorporate floodplain recovery. Channel cross fish ladders to assist the movement sections surveyed pre-works will be re- of native fish such as Australian Bass, surveyed to determine how the channel Gudgeons and Galaxids through responds and how much sediment it the river reach. The project has also accumulates. The local water table involved extensive revegetation to height will also be monitored using improve the riparian vegetation corridor water levels in existing bores. along the creek. The landowners are looking forward This project complemented a significant to rehabilitating the remaining irrigation efficiency project implemented riparian vegetation along the creek to on the adjacent Sydney University complement the in-stream works. property in 2010/11 through the Water Smart Farms Project. This successful project increased productivity and reduced costs through more “The project has changed the creek efficient use of water, resulting in 83 from a turbulent torrent to a series of ponds which will have a positive megalitres being returned to the state effect on stopping the erosion of environmental water holder and the the creek and on the hydrology of project becoming a demonstration site As well as restoring the river bed and preventing further erosion, this project incorporates fish the flood plain” for the regions dairy farms. ladders to assist the movement of native fish. - Edgar Downes, Private landowner

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 47 CASE STUDY Caring For Our Coast

The Challenge • Increase the number of volunteers joining community groups improving The Hawkesbury estuary and the the local environment, and assist in coastline of Sydney’s Northern retaining the core volunteer base to beaches are admired for their promote long-term stewardship of the spectacular beauty and diverse natural coast and estuary; and environments. The estuary is a critical environmental, social and economic • Contribute to the restoration and resource supporting a productive protection of the iconic natural commercial and recreational fishery environment of the Hawkesbury- and a significant tourism industry, all Nepean Estuary and Coast. of which depend on a healthy local environment, yet these valuable areas The Project Volunteer Janet Kershaw from Friends of face a range of pressures. Bungan Beach. With funding and support from A wide variety of activities contributed to the HNCMA, the work of Friends of Bungan in This project focused on increasing restoring the natural heritage area in collaboration the outcomes and included: community engagement and with Pittwater Council, has contributed to the improvement and sustainability of the untamed • Weed removal and planting at strategic participation in coastal conservation coast on Sydney’s northern beaches. and management with an aim to: sites within bushland remnants • • Provide easily accessible Field days, workshops and opportunities to improve community environmental education tours investment and partners knowledge and skills, with free • Production and distribution of • $ 616,000 Australian Government information and training opportunities educational materials “Caring for Our Country” for local groups and individuals; • Estuary rubbish clean-ups and • $ 300,000 In-kind support from derelict oyster lease removals the HNCMA • Water quality and community • $ 1,180,430 In-kind contributions environmental monitoring. from volunteers and project partners. Partners involved: Key achievements • Community groups particularly Since 2009 the project has: Landcare and Bushcare groups, • Funded 36 projects engaging 145 • Not for profit organisations coastal community groups • Local councils • Brought 4500 individuals together • Schools and Education Centres over 300 events • Industry groups • Produced and circulated 500 different written products including • State Government agencies. signs, brochures, event flyers, Hornsby Shire bushcare volunteers cleaning up Bar Island on the lower Hawkesbury River. newsletters and media releases to Looking to 2012/13 broaden community participation in environmental volunteering. The HNCMA will be coordinating an exciting new initiative in the estuary “Thanks again for an interesting and worthwhile day. I feel inspired! ...let me in 2012/2013 called “Workers on know when you want to take the next step and I’ll be there.” Water” with funding from the NSW - Participant in the Plant Identification, Ecology and Aboriginal Cultural Environmental Trust. The project will Heritage Day at Yellomundee Regional Park Sept 2011 build on a successful pilot run in 2012 and will provide an opportunity for “We had a lovely morning and I am very keen to get our school involved community volunteers to travel by boat with something similar. It would be a great education program for the kids.” to iconic and seldom visited sites in the - Hornsby Bushcare volunteer about the Hawkesbury Estuary to undertake bush Floating Landcare activity to Bar Island in Jan 2012 regeneration and other activities.

48 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 CASE STUDY Strategic control of Black Willow in the Hawkesbury Lower Nepean

The Project Building on years of effort initiated by community action in the late 1990’s to control and eradicate Black Willow in the Hawkesbury River catchment, this project aimed to coordinate and consolidate ongoing efforts. Black Willow is an invasive woody weed capable of transforming river systems and displacing local native plant communities. Originally planted for bank stabilisation purposes, it is now listed as a Weed of National Significance. In the Hawkesbury it is commonly found Hawkesbury River County Council trainees treating willows at the Governor Phillip infesting waterways and wetlands, boat ramp at South Creek. where it creates dense monocultures, causes river channel change and the seasonal shedding of leaves impacts on water quality. Key Achievements Investment and partners To ensure a coordinated approach Volunteers and HRCC staff have Project Partners include: the project identified and mapped undertaken strategic Black Willow • Hawkesbury River County Council key infestations of Black Willow along control, targeting seeding female plants, • Willow Warriors the main river channel from Penrith and monitoring along 60 kilometres to Wisemans Ferry, and associated of Hawkesbury River from Penrith to • HNCMA tributaries and wetlands. The cross Wisemans Ferry. • Private and public landholders tenure approach involved planning and • HNCMA contribution for 11/12 - consultation with input from community HRCC and Willow Warriors have $27,370 organisations, NGO’s and government coordinated the various stakeholders agencies as well as the engagement with an interest in willow control across and education of many private the region and have been effective in Looking to 2012/13 landowners. The HNCMA contracted making contact with the hundreds of On ground work in the next 12 months the Hawkesbury River County Council landholders to notify them of the work will expand to focus on controlling (HRCC) to coordinate the Project. and provide landholder training and education materials to help with longer remaining male plants and work term monitoring and maintenance. on the smaller isolated infestations along tributaries and wetlands in the catchment, partly due the difficulty of working on the main river after recent flooding. Ongoing willow control and monitoring by volunteers is integral to “Working with the HNCMA and HRCC has enabled us to develop a more achieving and maintaining long term strategic approach to this environmental problem. Provided we can get outcomes for the river. adequate follow up, it is not unrealistic to expect that we can keep this part of the river free of Black Willows in the future.” - Jeff Cottrell, Willow Warriors

“HRCC staff have used motor boats and canoes to search and target weed over 40km of river bank and tributaries. The HNCMA Black Willows project has allowed us to extend the great work of the Willow Warrior paddlers, by aiming for eradication of all mature breeding trees in the river.” - Chris Dewhurst, Hawkesbury River County Council

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 49 Dominic Della Libera, Kerry Cooke and children Alia, Coco, Ziggy, Gianluca, planting seedlings from their indigenous plant nursery on their property ‘Ngamperi’ in Capertee Valley. The family propagates and grows the indigenous plant stock used in all HNCMA projects in the area. State and Catchment Targets

Targeted and Prioritised There are 13 Statewide targets which sit within four broad themes of water, land, biodiversity and community. The HNCMA has its own set of localised targets developed within its 10-year Catchment Action Plan (CAP) and progress on these is reported on annually. Further information on the HNCMA meeting it’s non-financial targets can be found on page 7.

50 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 STATE TARGET − NATIVE VEGETATION By 2015 there is an increase in native vegetation extent and an improvement in native vegetation condition.

Why the work is important Challenges in 2011/12 Restoring and protecting native vegetation is critical to The Biolinks project in the Southern Highlands continued underpin a bio-diverse catchment and provide habitat for and provided valuable outcomes in trialling new methods of fauna. Additional environmental outcomes from protecting community engagement and capacity building. native vegetation include improved water quality, erosion protection, carbon sequestration and corridor links. Looking forward to 2012/13 In the year ahead, the HNCMA will continue to identify Progress update landholders that have significant remnant vegetation on The HNCMA made substantial contributions to the state target their properties which can be conserved and improved cost and exceeded all of its annual targets for native vegetation. effectively. Additional resources through the Biodiversity Fund During the year, the HNCMA conserved 1912 hectares of will allow the HNCMA to engage additional stakeholders and native vegetation. expand existing programs to protect native vegetation.

Catchment Targets Revegetation to replace clearing By 2016, 2300 hectares of native vegetation has been established through revegetation to replace native vegetation cleared in each landscape.

1,217 2016 Target: 2,300

0 500 1,000 1,500 2,000 2,500 Hectares

Conservation of native vegetation By 2016, 2300 hectares of native vegetation has been conserved through landholder action.

2016 Target: 2,300 14,147*

0 3,000 6,000 9,000 12,000 15,000 Hectares *10-year target of 2300 hectares was achieved by 2008/09, but work will continue. Remnant buffers By 2016, the condition of native vegetation has been improved by active/passive regeneration of buffers of at least 20 metres around high priority, existing remnants resulting in an increase of 360 hectares under active/passive regeneration.

194 2016 Target: 360

0 50 100 150 200 250 300 350 400 Hectares

07/08 Results 08/09 Results 09/10 Results 10/11 Results 11/12 Results 2016 Target

0 0 50,000 50,000 100,000 100,000 150,000 150,000 200,000 200,000

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 51 State and Catchment Targets

STATE TARGET − FAUNA By 2015 there is an increase in the number of sustainable populations of a range of native fauna species.

Why the work is important 2011/12 Outcome Native vegetation and its maintenance is the key to supporting With urban development, degradation and loss of habitat, increased biodiversity under this target and the HNCMA competition from pest animals and clearing of native conserved and protected over 1912 hectares of native vegetation and impacts of climate change, the general native vegetation during the year. The draft NSW Biodiversity fauna populations of the catchment (not just threatened Strategy was released in late 2010 and the HNCMA and the species) are under huge pressure and require active Hawkesbury-Nepean data will be included in the review of the management of their habitat to support their sustainability. Catchment Action Plan.

Progress update Challenges in 2011/12 The HNCMA, in co-operation with the Office of Environment There is currently no adequate or detailed data available and Heritage, continued to develop its knowledge of on sustainable populations in the Hawkesbury-Nepean populations of native flora and fauna in the catchment. catchment. To address this target, the HNCMA works mainly Effective partnerships have been maintained with the Office of on connecting good quality vegetation remnants to provide Environment and Heritage and the Livestock Health and Pest habitat for fauna populations and to ensure their sustainability Authorities to manage pest animal impacts on native fauna, over the longer term. particularly threatened species.

Looking forward to 2012/13 Catchment Target - Icon Species The HNCMA will use the review of the Catchment Action Plan By 2016 key species and populations of fauna and flora that to prioritise vegetation assets and review actions for habitat are locally important will be identified through sub catchment management across the catchment. action plans.

STATE TARGET − THREATENED SPECIES By 2015 there is an increase in the recovery of threatened species, populations and ecological communities.

Why the work is important Catchment Target - Threatened species There are over 288 threatened species in the catchment (28% By 2016, the conservation of threatened species, endangered of NSW’s total) and they face a range of pressures which populations Endangered Ecological Communities outside challenge their local (and wider home range) existence. To national parks and reserved lands and protected marine maintain their survival, it is critical to have active management vegetation is supported through implementation actions in of the threats to these species and to improve native Priority Action Statements (PAS) recovery plans. vegetation condition and extent. 2011/12 Outcome Progress update The HNCMA funded actions to implement Priority Action The HNCMA has projects to mitigate the threatening Statements for threatened species such as the Rock Wallaby, processes to listed ecological communities in each of the Regent Honeyeater and communities such as Blue Mountains catchment landscapes. Upland Swamps, Cumberland Plain Woodland and Grassy Box Woodland at key locations across the catchment.

52 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Challenges in 2011/12 Looking forward to 2012/13 A key challenge to conserving threatened species continues The HNCMA is looking forward to the review of the Catchment to be the impact of pest animals and plants across the Action Plan to boost threat management actions for key catchment. These issues have been addressed during the threatened populations such as regent honeyeater and year by a number of HNCMA partnership projects during the brush-tail rock wallaby. year with land managers such as National Parks and Wildlife Service and local councils and authorities such as Livestock Health and Pest Authorities and County Councils.

STATE TARGET − INVASIVE SPECIES By 2015 there is a reduction in the impact of invasive species.

Why the work is important governments, the Department of Primary Industries, the Office of Environment and Heritage and the Livestock Health and While many pest plants and animals cannot be eradicated Pest Authorities to maintain strategic, integrated programs to in the catchment, their management and control is critical manage the impacts of invasive species. where it threatens important environmental assets, or in areas where the invasive species are new and there is potential to bring the problem under control in the medium term. With Catchment Target - successful secondary control of pests and weeds, noticeable Maintenance of weed control improvement in habitats is expected in four to six years. By 2016, 50% of areas treated for invasive plant control (under projects supported by HNCMA) since 2006/7 report Progress update sustained success. Very substantial progress was made in meeting all annual 2011/12 Outcome targets for the control of invasive species. The HNCMA provided funding for follow up weed control at key sites across the catchment during 2010/11 to ensure that Challenges in 2011/12 weeds can be eradicated in the area over a five-year period. The challenge during the year continued to be engaging Catchment Target - Reducing landholders to carry out effective secondary weed control and conditions that favour invasive species maintenance after initial funding. A major ongoing challenge for the HNCMA is to establish an agreed and effective monitoring By 2016, management actions to reduce the conditions that and recording process for pest and weed control so that favour invasive species have been implemented. works are accurately recorded. 2011/12 Outcome Over 60% of HNCMA projects undertook weed control Looking forward to 2012/13 or bush regeneration, and revegetation works across the In the year ahead, many of the major weed control projects catchment to improve the resilience of native vegetation. funded previously will be in their second stage of follow up works including strategically managing key weeds in critical areas of the catchment such gorse, lantana, sycamores, serrated tussock, willows, boneseed, pine trees and to create a buffer area for weeds around the 5000-kilometre fringe of the Blue Mountains World Heritage Area. Continuity is important for pest species control and existing programs will continue to be supported to protect key biodiversity assets. The HNCMA will continue to work in partnership with County Council, local

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 53 State and Catchment Targets

Catchment Targets Weed Control By 2016, there has been a 5% reduction in coverage of target weeds identified in the Hawkesbury-Nepean Weed Strategy (DPI 2006) through primary weed control measures and effective processes to eradicate new weed outbreaks and emerging weed threats.

12,667

0 3,000 6,000 9,000 12,000 15,000 Hectares

Pest Animals By 2016, populations of invasive pest animal species identified as Key Threatening Processes under State threatened species legislation are included in Threat Abatement Plans (TAPs) and managed according to those plans.

180,404

0 50,000 100,000 150,000 200,000 Hectares

07/08 Results 08/09 Results 09/10 Results 10/11 Results 11/12 Results

0 0 50,000 50,000 100,000 100,000 150,000 150,000 200,000 200,000

STATE TARGET − RIVERINE ECOSYSTEMS By 2015 there is an improvement in the condition of riverine ecosystems.

Why the work is important Challenges in 2011/12 Protecting and re-establishing riverbank vegetation To achieve the highest return on investment the CMA devoted improves both terrestrial and aquatic biodiversity. Additional greater effort to targeting the highest priority areas as environmental outcomes from improving riverbank vegetation identified in the Hawkesbury-Nepean River Health Strategy. include improved water quality, erosion protection, carbon This required the CMA to develop a range of engagement sequestration and corridor links. processes to ensure adequate landholder uptake in key reaches. The unseasonably wet conditions resulting from La Progress update Nina impacted the implementation timetable for some riverine rehabilitation works such as instream erosion controls. HNCMA projects contributed to an improvement in the health of waterways across the region. Implementation of the Nutrient Looking forward to 2012/13 Smart Farms project by the HNCMA in partnership with NSW Department of Primary Industries and projects for improved Application of the Riverstyles assessment across all named land management practices across the catchment resulted in watercourses across the catchment will increase confidence in significant reduction of nitrogen and phosphorus runoff from setting priorities for river management at all catchment scales. rural lands into the Hawkesbury-Nepean river system. This will form the future of riverine management through the review of the Hawkesbury-Nepean CAP.

54 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Catchment Targets Riparian Conservation By 2016, there is an increase in the length of river and streambanks identified as being in the riparian land management category of focus on conservation being managed primarily for conservation so that 23% or 150 kilometres of reaches in this category are being managed with a focus on conservation (RHS).

2016 Target: 150 913*

0 200 400 600 800 1,000 Kilometres

*10-year target of 150 kilometres was achieved by 2011/12, but work will continue.

Riparian Vegetation Regeneration By 2016, there is an increase in the length of river and streambanks undergoing assisted regeneration in reaches identified as being in the management category of focus on assisted regeneration so that 18% or 260 kilometres of riverbank in this category has improved riparian vegetation and streambank condition.

2016 Target: 150 479*

0 100 200 300 400 500 Kilometres

*10-year target of 2300 hectares was achieved by 2010/11, but work will continue. Riparian Revegetation By 2016, 600,000 plants established through revegetation on stream/river banks and restoration of 20% or 140 kilometres of reaches that have an identified management focus on revegetation.

210,212 2016 Target: 600,000

0 100,000 200,000 300,000 400,000 500,000 600,000 Plants

07/08 Results 08/09 Results 09/10 Results 10/11 Results 11/12 Results 2016 Target

0 0 50,000 50,000 100,000 100,000 150,000 150,000 200,000 200,000

STATE TARGET − GROUNDWATER also be valuable to implement future projects to protect and restore groundwater dependent ecosystems. By 2015 there is an improvement in the ability of groundwater systems to support groundwater dependent ecosystems and designated beneficial uses. STATE TARGET – MARINE WATERS The HNCMA has received funding through the Australian By 2015 there is no decline in the condition of marine Government “Office of Water Science” to undertake a project waters and ecosystems. to collect baseline information to identify environmental assets within the catchment, in particular water resources (surface Note: The HNCMA has a very small area of coastline and and groundwater) and water-dependent ecological assets; marine waters in its catchment. It includes fifteen kilometres potential risks to these assets from current and anticipated of coast north of Turimetta Headland and the marine area to coal seam gas and coal mining development and knowledge three nautical miles. The HNCMA does not have a dedicated gaps in relation to the hazards and risks to regional water program for marine waters, but works closely with the two resources associated with coal seam gas and coal mining. In neighbouring CMAs (Sydney Metro and Hunters-Central addition to providing baseline information for future phases of Rivers) to ensure their marine and coastal programs contribute the bioregional assessments, the outcome of this project will to these outcomes in the HNCMA’s marine waters.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 55 State and Catchment Targets

STATE TARGET − WETLANDS By 2015 there is an improvement in the condition of important wetlands, and the extent of those wetlands is maintained.

Why the work is important Challenges in 2011/12 Often referred to as ‘the kidneys of the landscape’, wetlands Many wetlands of significance are under private or multiple play a critical role in maintaining river and biodiversity health ownerships and effective landholder engagement continues to well beyond their individual locations. Additional environmental be a priority for management. outcomes from protecting and improving wetlands include better water quality, erosion protection, carbon sequestration Looking forward to 2012/13 and corridor links. Rehabilitation projects in the high-priority Blue Mountains Upland Swamps, Pitt Town Lagoon and Paddys Swamp will Progress update continue in the year ahead. The ecological health of regional wetlands was improved during the year. Two wetland systems (saltmarsh and peat based swamps on sandstone) were assessed for vulnerability to climate change to assist planning for future management.

Catchment Targets Important Wetlands By 2016, there is an increase in the area of important wetlands with recovery potential that are protected and/or appropriately managed through arrangements that prevent damaging access or disturbance.

524

0 100 200 300 400 500 600 Hectares

07/08 Results 08/09 Results 09/10 Results 10/11 Results 11/12 Results

0 0 50,000 50,000 100,000 100,000 150,000 150,000 200,000 200,000

STATE TARGET − ESTUARIES AND COASTAL LAKE ECOSYSTEMS By 2015 there is an improvement in the condition of estuaries and lake ecosystems.

Why the work is important Progress Update Estuaries are fundamental to catchment health with many The HNCMA and its partners’ projects have engaged a aquatic species relying on them for breeding and habitat. broad community base to assist in coastal and estuarine Estuaries are threatened by intense human use, but also management by offering diverse projects that include on- benefit from many of the water quality improvement measures ground management, education, field days and tours and taking place throughout the catchment. environmental monitoring.

56 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Challenges in 2011/12 Looking forward to 2012/13 With such a large estuary, spreading from Richmond to The HNCMA will continue to support the groups in our region Broken Bay, the challenge continues to be investing effectively developed through the Engaging Coastal Communities in priority areas and to build community self-reliance and project, which was delivered along the entire NSW coast. capacity so that outcomes continue to flow from the The CMA will be coordinating a new initiative called “Workers community engagement phase of the program. on Water” where community volunteers will assist in the management of sites in the estuary that can only be accessed by boat. The HNCMA will continue strategic liaison through the Coastal CMA Cluster to identify areas of common interest and potential collaboration.

STATE TARGET − SOIL CONDITION By 2015 there is an improvement in soil condition.

Why the work is important Challenges in 2011/12 Soil health underpins productive agricultural landscapes and There was a focus on developing landholder skills through the many environmental services in the landscape. Key threats delivery of soil biology workshops and the establishment of such as erosion, acid soils and salinity need to be managed landholder groups engaged in learning about soil management and good groundcover maintained. In addition, reducing through the soil food web model. erosion can substantially lower sediment loads in local waterways. Looking forward to 2012/13 The HNCMA will continue to invest in soil condition Progress Up date improvements in the year ahead through a range of its projects Substantial investment was made to improve the management including the Catchment Protection Scheme, landholder of soil condition and erosion through education, the education projects, Improving Land Management Practices rehabilitation of wetlands and riparian vegetation, and and Soil Condition Improvement Program. protection of gullies and streams. In addition, new methods of soil treatment were developed for use in the challenging drier Catchment Target - Acid Sulphate Soils catchments and to address uncertain climatic conditions. By 2016, there is no increase in the area affected by acid sulphate soils.

Catchment Targets Soil Erosion By 2016, 20 000 hectares of the catchment will be protected from soil erosion as a result of repairing the catchment by soil conservation works such as fencing, gully control structures, revegetation and other treatment.

9,232 2016 Target: 20,000

0 5,000 10,000 15,000 20,000 Hectares

07/08 Results 08/09 Results 09/10 Results 10/11 Results 11/12 Results 2016 Target

0 0 50,000 50,000 100,000 100,000 150,000 150,000 200,000 200,000

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 57 State and Catchment Targets

Dryland Salinity By 2016, 200 hectares of saline discharge sites have been treated and/or fenced.

53 2016 Target: 200

0 50 100 150 200 Hectares

07/08 Results 08/09 Results 09/10 Results 10/11 Results 11/12 Results 2016 Target

0 0 50,000 50,000 100,000 100,000 150,000 150,000 200,000 200,000

STATE TARGET − LAND CAPABILITY By 2015 there is an increase in the area of land that is managed within its capability.

Why the work is important Challenges in 2011/12 Land that is not managed within its capability suffers from A key factor in managing land within capability is effective various forms of erosion, a decline in soil structure and organic engagement with landholders to improve their knowledge carbon, and problems with salinity and soil acidification. Better and capacity. The HNCMA collaborated with key partners to land management knowledge and practices ensures that produce a Farm Dams Handbook and this is being utilised for landholders can better manage their properties according to additional landholder training programs in managing their lands. rural land capability. Looking forward to 2012/13 Progress Up date Ongoing support for and involvement in capacity building Targets were exceeded for managing land according to activities will remain vitally important in delivering this target. capability farm management support programs, implemented Increased opportunities to engage with landholders should in co-operation with our partners and landholders. ensure that relevant incentive programs are accessed by landholders to improve their land management.

Management according to land Capability By 2016, an additional 20 000 hectares of targeted areas of agricultural land throughout the catchment is managed according to its rural land capability.

2016 Target: 20,000

18,946

0 5,000 10,000 15,000 20,000 Hectares

07/08 Results 08/09 Results 09/10 Results 10/11 Results 11/12 Results 2016 Target

0 0 50,000 50,000 100,000 100,000 150,000 150,000 200,000 200,000

58 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 STATE TARGET − NATURAL RESOURCE MANAGEMENT DECISIONS Natural resource decisions contribute to improving or maintaining economic sustainability and social well being.

Why the work is important through the promotion of “Adventure Conservation” projects which link exciting outdoor activity with environmental Improving the community’s understanding of the catchment actions. A school landcare education project was launched and its assets, providing opportunities for input into natural in partnership with Greening Australia. Community Reference resource management decisions and supporting community Groups were established in each of the three landscapes environmental restoration efforts are major factors improving in the Hawkesbury-Nepean catchment to help identify the health of a catchment. local issues and priorities and to assist in the review of the Catchment Action Plan. Progress Up date The HNCMA has formed strong partnerships with its Challenges in 2011/12 communities which have led to improved knowledge of issues The diversity of the one million residents in the catchment affecting the sustainability of the catchment. provides an ongoing challenge for engagement, in particularly the addressing cultural diversity and the range of communities Catchment target - Social connectivity across urban and rural landscapes. To overcome these By 2016, people are encouraged and supported in challenges the HNCMA has engagement strategies which are understanding their rights and responsibilities in relation to targeted to specific community segments which try to address their place in the catchment. the issues that are most relevant.

2011/12 Outcomes The HNCMA continued to support more than 130 Landcare Looking forward to 2012/13 groups across the catchment. Eight catchment landcarers The review of the Catchment Action Plan will incorporate were sponsored to attend the NSW Landcare Awards, published community information and the input of the including the Hawkesbury-Nepean finalists in the Young Landscape Community Reference Groups to further refine the Landcarer Category and the Coastcare category. The CMA’s understanding of the catchment community and the engagement of younger people was given a stronger focus community’s relationship to the catchment environment.

STATE TARGET − COMMUNITY CAPACITY BUILDING There is an increase in the capacity of natural resource managers to contribute to regionally relevant natural resource management.

Why the work is important Catchment target - Education and training Raising skills and awareness is a critical part of empowering landholders and other catchment community members in Appropriate education and training opportunities are doing their bit to actively manage natural resource issues in fostered, brokered and developed to support achievement the catchment. of the targets.

Progress Up date Project targets were met during the year to boost training and capacity building during the year.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 59 State and Catchment Targets

2011/12 Outcomes 2011/12 Outcome During the year 1350 community members were involved Seven Indigenous projects were funded through the in catchment workshops and field days to improve natural Aboriginal Small Grants Program during the year. In addition, resource management skills and awareness. A series of the Aboriginal Community Support staff of the HNCMA workshops was organised for Bushcare and landcare assisted the catchment Aboriginal community to access volunteers to provide skills in attracting new members. significant additional funding from NSW and Australian Workshops in sustainable horse property management government grant programs. and in carbon farming initiatives were effective in attracting landholders not previously engaged by the CMA. Challenges in 2011/12 An ongoing challenge for the HNCMA is to identify the skills Catchment target required for community involvement in natural resource - Indigenous land management management in a catchment with such rapidly changing By 2016, aspects of the landscape related to NRM that demographics as the Hawkesbury-Nepean. The HNCMA’s have Indigenous cultural significance will be identified in Aboriginal Advisory Group is able to assist in identifying these accordance with cultural protocol. As culturally significant strategic priorities. sites, places, landscapes and species significant to Aboriginal people are identified, and they will be protected, enhanced Looking forward to 2012/13 and rehabilitated. The HNCMA will be offering a new project to the Aboriginal community in the Hawkesbury-Nepean catchment called “Pathways”. This has a community engagement phase to identify culturally significant lands and this will be followed up with financial and physical assistance for the management of these locations.

60 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 HNCMA project officer Rebecca Mooy with volunteers undertaking bush regeneration and removing weeds including Asparagus Fern at Botham’s Beach, Church Point. Our People Productive and Safe Workplace Environment

The Hawkesbury-Nepean Catchment Management Authority aims to provide a productive and safe workplace environment for staff, management and board members that ensures their health and well-being in high regard. The HNCMA is actively working to create a culture of strong teams, supportive management, respect in the workplace, inclusiveness and acknowledgement of the achievements of staff. The end of 2010/11 saw the commissioning of an OHS Audit. This audit was completed early in the 2011/12 year. Risks identified by the audit all carried risk levels of medium or low. Management will continue to work to reduce these risks with the aim to mitigate risk to all staff and increase productivity and well being.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 61 Our People

Workplace Productivity Ensuring a flexible and Health and Well-being and productive workplace Maintaining and improving customer service with balancing The HNCMA continued in 2011/12 to support staff in: competing work-life demands, managing stress levels and • Flexible working arrangements for parental or other organizational change, and improving workplace performance responsibilities within Department of Premiers and have been a significant focus for the HNCMA Management in Cabinet guidelines 2011/12 and specific activities have included: • Performance workplanning including staff training and • Addressing staff well being and performance through development plans. Performance Planning • Relocating the HNCMA’s Lithgow office to new premises to comply with State Government guidelines for energy efficiency, Work, Health & Safety and State Property Authorities accommodation requirements. • Implementing the new Work Health and Safety Act 2011 harmonisation requirements. The HNCMA has sought legal and policy advice to clarify HNCMA’s responsibilities under the new Act. The HNCMA is developing new policy, process and procedures to ensure compliance with legislation. This will be an ongoing process until December 2012, the due date for full compliance. Management are consulting with staff on WHS harmonisation including the establishment of WHS Committee (Health, Safety Committee) and Health, Safety Reps (HSR).

62 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 HNCMA ORGANIsational structure

HNCMA Board

General Manager Bernie Bugden

Program Manager (Implementation) Business Manager Program Manager Duties undertaken by General Manager neville pavan (Program Development) From 1 July 2011 to 24 January 2012 From 1 July 2011 to 24 January 2012 Kerry brew neville pavan sharon elliott 24 January 2012 to 30 June 2012 24 January 2012 to 30 June 2012

Strategy and Plan Warragamba landscape (17.2) Business and Investment (3.8) Development (1) Blue Mountains Western (7) Board and Committee Collaboration, Partnerships Support (1) and Landcare (4.6) Hawkesbury Lower Nepean (6.8)

Monitoring and Evaluation (1) Native Vegetation (3.6)

Communication and Media (1)

Geographic Information Systems (1)

Team Support (1.8)

Note: Actual Staff numbers as of 30 June 2012– 52.8 FTE

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 63 Our People

Personnel Policies Equal Employment Opportunity and Practices The HNCMA views Equal Employment Opportunity (EEO) as an All HNCMA staff are employed by the Department of integral component of our business and organisational culture. Trade and Industry (DTIRIS) under industrial awards and The objectives of this policy direct both the manner by which conditions that are appropriate to other similarly graded NSW the HNCMA recruits it board members and staff and also to the Government employees. Staff are directed in their daily duties manner in which we work with our community and partners. by the HNCMA General Manager but are subject to the same The HNCMA has an Aboriginal Advisory Committee that policy and award conditions as other DTIRIS staff. provides advice to the Board and Management Team on HNCMA managers and staff are directed by departmental Indigenous community issues and priorities. The HNCMA has policy such as the DTIRIS Code of Conduct and have award also established a scholarship at the University of Western entitlements in line with the Department of Premier and Sydney for an Aboriginal student to gain a degree in natural Cabinet’s Personnel Handbook. resource management. The HNCMA’s role in managing staff is supported by DTIRIS’s The HNCMA recognises the leadership that its managers human resources branch while the administration of payroll, make to EEO in their areas of responsibility and the important leave and other entitlements are carried out by Service First. example that this provides to both the staff and our community. The HNCMA will continue to build on its EEO achievements Tenure and staff numbers and introduce new measures and initiatives to further improve our performance.

June 2010 June 2011 June 2012

M F M F M F Permanent 12 8 11 12 11 9.4 Temporary 16 19 20 19 17.6 14.8

Totals 28 27 31 31 28.6 24.2

64 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 EEO Statistics DTIRIS is the legal employer of all HNCMA staff under the Public Sector Employment Legislation Amendment Act 2006, while staff are directed by the HNCMA General Manager in their daily operations and accountabilities. All staff salaries and entitlements are paid through the Service First’s SAP payroll system and are included in DTIRIS staff database. Details of the total HNCMA staff at 30 June 2012 are shown in the table below.

Salary 2009/10 2010/11 2011/12

Total Aboriginal Total Aboriginal Total Aboriginal M F NESB* M F NESB* M F NESB* Staff Staff Staff Staff Staff Staff Salary less Clerk 5 5 4 4 3 3 Grade 2/3 Salary Equivalent 9 9 1 9 9 8 8 to Clerk 2/3 Salary Equivalent 14 6 8 1 1 16 9 7 1 15 10 6 to Clerk 4/5 Salary Equivalent 17 9 8 1 1 24 11 13 1 1 20 9 11 1 1 to Clerk 7/8 Salary Equivalent 5 5 5 5 6 5 1 to Clerk 9/10 Salary Equivalent 3 2 1 3 2 1 1 2 1 1 to Clerk 11/12 Salary Equivalent 1 1 1 1 1 1 to Senior Officer 1

Totals 54 28 26 3 2 62 32 30 2 2 56 29 27 1 1

*NESB = Non-English Speaking Background

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 65 Our People

Multicultural policies Work, Health & Safety and services program (Occupational Health and Safety) The HNCMA’s Multicultural Policies and Services Program The former Occupational Health and Safety Act was (MPS) initiatives are aimed at ensuring that all people, superseded and replaced by the Work, Health and Safety Act regardless of linguistic, racial, cultural or religious background, 2011 (WHS). The HNCMA has 12 months from 1st January have full access to appropriate services. 2012 in which to implement this policy in full. Early in 2012/13 Management will consult with staff as to the number of Work A statutory responsibility for the HNCMA is to promote Groups there will be within the organisation and if there will be community participation in natural resource management a Health and Safety Representative (HSR) and/or Committee. across the catchment. To achieve this, the HNCMA developed the Hawkesbury-Nepean Catchment Action Plan which Catchment Management Authorities have collectively involved community consultation with the non-English established a CMA WHS advisory group to coordinate speaking community and Aboriginal community groups. WHS Act conformance. The HNCMAs General Manager is represented on this group. WHS continues to be a high priority Key results in this area in 2011/12 included: for the HNCMA Board and Management. The HNCMA follows • Engaging with a Community Reference Group in each a six-step process for implementing good Health & Safety: of the three landscapes and recruitment of community 1. Policies – interpreting and identifying those relevant members to work with the HNCMA on the review of to the organisation the Catchment Action Plan. Each group includes an Aboriginal community member. 2. Procedures – developing locally relevant ones for the organisation • The HNCMA’s Aboriginal Advisory Committee held four meetings around the catchment this year, preceded 3. Accountability – ensuring all staff know their role by meetings with the local Aboriginal community. The and responsibilities committee’s key role is to provide recommendations 4. Training – ensuring all staff can carry out to the Board on new project opportunities with the their responsibilities Aboriginal community (see page 84 for more information). 5. Monitoring – recording and understanding what • During the year the HNCMA and the Aboriginal is being done Advisory Committee continued to provide funding for 6. Review – reviewing what is working and a scholarship at the University of Western Sydney for identifying gaps. an Aboriginal student to complete a natural resource management degree. Loss and injury frequency rates During the year, the HNCMA’s “loss and injury frequency rates” were kept to a minimum with only one workers compensation injury and two minor motor vehicle incidents requiring repair via an insurance claim.

66 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Communicating and training staff Disability Action Plan All HNCMA staff will receive refresher Work, Health and The HNCMA is continuing to upgrade premises to provide Safety training under transitional arrangements to the new disabled access to offices with the relocation of Lithgow (to WHS Act 2011. All new staff receive WHS training as part of be completed early in 2012/13) being the end of this plan. their induction as a new employee and then WHS training is Once these changes have been completed the HNCMA will be provided for specific work-related risks on an ongoing basis. positioned to employ staff members who require some work In 2011/12 were provided with training in: related adjustments. • First aid for all staff • 4WD training for staff in the field Senior Executive Service Officers • Trailer Towing training for all field staff The HNCMA has no Senior Executive Service officers. • OHS consultation training for new OHS Committee members The General Manager’s position is graded as a Senior Officer Grade 1. The maximum value of the salary for this position at The HNCMA’s intranet hosts a section on WHS and includes 30 June 2012 was $150,926. The position is currently filled by all the latest news and meeting minutes for staff. In addition, Bernie Bugden who was permanently appointed to this position the HNCMA provided regular updates on WHS procedures in December 2009 following a competitive recruitment process. during the year.

Looking ahead to 2012/13 With the new Work Health and Safety Act 2011 to be fully implemented by December 2012, HNCMA Management must understand and begin using this new Act in its entirety. The major steps to be taken at this stage are: • Staff consultation of Work Groups, HSRs and Health, Safety Committee • Nomination and Election process if required • Ensure HSRs and Committee members are fully trained as per the Act’s requirements • Ensure staff WHS responsibilities and accountabilities are included in their annual work plan • Continue to encourage the utilisation of the Lone worker policy • Conduct a risk assessment of the potential work- related stress factors for HNCMA. • Development of a CMA wide Health and Safety operational plan to identify hazards, risk and controls in line with Department of Trade & Investment Work Health and Safety system.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 67 HNCMA’s Bill Dixon at Blackfellows Hand Rock near Cullen Bullen, NSW. Corporate Governance

68 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Our Board

Robert Seldon Chair Areas of Expertise: Strategic Planning, food and agribusiness, mergers and acquisitions, community engagement, financial and business management. Robert Seldon was appointed as the Hawkesbury-Nepean Catchment Management Authority’s Chairman in December 2011. Robert Seldon has over 40 years experience in merchant banking, including 15 years as Chief Executive of a major US banking subsidiary in Australia. He has had substantial exposure to both food and agribusiness activities, with an active participation in the provision of advice on mergers and acquisitions within that sector. Bob has held numerous company directorships including the Southern Farmers Group, SAFCOL, Consolidated Milk and Sunburst Regency Foods. He was formerly Chair of the Australian Horticultural Corporation and a Director of the Australian Fisheries Management Authority. He is currently Chair of Windsor Farm Foods Group Ltd and Seldon & Associates Pty Ltd, financial consultants.

John Verhoeven Areas of Expertise: Water; capacity building; community education; state and local government administration; environmental, social and economic analysis; strategic planning. John Verhoeven was re-appointed as a board member to the HNCMA in December 2011 until 30 November 2014. John has over 38 years experience in water and natural resource management with major regional, state, national and international achievements. He has held senior executive positions across NSW government agencies delivering NRM programs and reforms, and served on many NRM boards and committees since the mid-1990s. John is a Senior Associate with Evans & Peck and their Sustainability Leader. John holds a Master of Engineering Science and a Bachelor of Engineering (Hons 1). He is a Chartered Professional Engineer, a member of engineering, public administration and company director professional organisations, and of WIRES.

John Lowe Areas of Expertise: Strategic planning, community engagement, project management. John was appointed as a board member of the HNCMA in January 2012. He operates a sheep and cattle grazing property in the Central Tablelands of NSW. He has an Advanced Diploma of Farm Management from the Orange Agricultural College, University of Sydney and qualifications in Business Management and Accounting. John has extensive experience dealing with natural resource management issues including membership of the Coxs River Catchment Management Committee, Coxs River Water Management Committee and the Sydney Catchment Authority Northern Region Consultative Committee. He has been active in facilitating community engagement and action in dealing with local and regional issues.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 69 Corporate Governance Our Board

Dr Kirsten Davies Areas of expertise: Ethno- ecology, community consultation and engagement; behavioural change, sustainability planning. Dr Davies holds a Masters Degree (USyd) and PhD (USyd) in sustainable management. She has worked in corporate, government, education and research sectors over the past 20 years and is the recipient of Churchill (2002) and Endeavour (2009) research fellowships. Kirsten has written and presented papers at national and international sustainability conferences. She is the architect of Intergenerational Democracy, an age based method of community engagement and capacity building. Recently her work has focused on human rights and sustainability as she assists communities across the Asia Pacific Region address the impacts of climate change.

Bob Wilson Area of expertise: Water management; financial and business management; State and Local Government administration; corporate governance. Bob has worked extensively in the Hawkesbury-Nepean catchment. He has been the chair for a number of government and non-government boards dealing with NRM, financial management and information management since 1985. Bob has previously held a number of chief executive positions in government NRM and information management agencies. Bob holds a Bachelor of Arts (Honours 1) degree from the University of Sydney, is a Certified Practicing Accountant, a senior member of the Australian Computer Society, a member of the Australian Water Association and the Institute of Public Administration.

Kim Yeadon Areas of expertise: State Government; environmental, economic and social analysis. The Hon. Kim Yeadon was a Labor Member of the NSW Legislative Assembly from 1990 to 2007 representing the Western Sydney electorate of Granville. Kim also served as a Minister in the NSW Labor Government from 1995 to 2003 holding a number of portfolios including Minister for Western Sydney, Information Technology, Energy, Forestry and Land and Water Conservation. He also chaired the Parliamentary Standing Committee on the Independent Commission Against Corruption from 2003 to 2007. Kim is a foundation member of the Katoomba Group, an international working group comprised of leading exponents from the forest and energy industries, research institutions, the financial world and environmental NGOs, all dedicated to facilitating strategic partnerships to launch ecosystem services and environmental products in the international marketplace. Kim currently works as a consultant on issues of the environment, climate change, energy and government. He is also currently Deputy Chancellor of the University of Western Sydney and has a property near Goulburn which he has managed for the past 15 years. Prior to entering Parliament Kim worked as a research officer and industrial advocate with the Federated Miscellaneous Workers’ Union of Australia. He has a Bachelor of Arts from the University of Sydney with majors in Government and History.

70 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Management Team

Bernie Bugden General Manager The General Manager was responsible for the ongoing operational management of the HNCMA in accordance with government policy and the strategy, policies and programs approved by the Board by: • Underpinned the long term viability of the of the HNCMA by leading the development and implementation of HNCMA’s business plan, Catchment Action Plan and annual Investment Program valued at $ 20M • Managed the HNCMA’s operations, resources and assets to ensure it achieves its legislative, policy, corporate governance and risk management responsibilities • Provided strong leadership, direction and effective management of HNCMA’s 52.8 Full time Employees to build and maintain; staff morale, capacity, effectiveness and a culture focused on regional service delivery. • Actively promoted the HNCMA, managing customer and stakeholder relationships and building partnerships. • Provided executive support to the HNCMA Board through sound and expert advice, effective briefings on financial and operational performance and compliance with corporate requirements. • Ensured the integrity of the HNCMA’s financial position by developing, reviewing and monitoring budgets and carefully managing expenditure; by developing and maintaining sound internal controls and ensuring that the HNCMA fully complied with its financial and corporate reporting obligations. • Acted as an advocate for the HNCMA and its staff by providing advice and information to other agencies and key stakeholders and liaised with a broad range of external organisations on all facets of our operations and functions • Ensured sound governance and a safe and ethical workplace by ensuring that all HNCMA policies and practices comply with anti-discrimination and work health/safety legislation and promoted equal employment opportunity within the workplace in accordance with NSW Government and NSW Trade & Investment Human Resources policy

LOOKING AHEAD TO 2012/13

• Instil and manage organisational cultural change towards a more commercial approach to business including a focus on outcomes rather than process • Secure future investments to ensure delivery of planned CAP outcomes, workforce security and overall business continuity • Ensure timely CAP development to meet Minister’s, NRC and board requirements whilst ensuring extensive engagement and endorsement by catchment stakeholders including Landcare, Local Government and key investors. CAP needs to deliver on commercial outcomes. • Ensure that all aspects of operational management are consistent with state, departmental and organisational regulation, policy and procedures and are also consistent with the NSW CMAs Governance Manual and Minister’s directives. • Ensure that the Investment Program is delivered to meet financial and non-financial targets and in a timely manner that reflects sound commercial and HR management

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 71 Corporate Governance Management Team

Kerry Brew Program Manager (Program Development) In 2012/13 we will submit our upgraded Catchment Action Plan (CAP) to the Minister and start the process of implementing, reporting and adaptively managing this new plan. The Program Development team has responsibility for the planning, engagement and monitoring activities of the organisation. Highlights of the past year, in addition to facilitating the upgrade of the Hawkesbury- Nepean CAP, have included: • Implementing the Marketing Strategy and preparing successful funding bids which have attracted $12.2 million in funding for the catchment • Preparing the first overview report on project monitoring • Initiating the Pathways project which has been a project that the HNCMA has been seeking to obtain funding for over a number of years • Convening the first three rounds of meetings for the landscape based Community Reference Groups (CRGs) to guide their significant contribution to the process of upgrading the CAP. These groups are a reflection of the HNCMA’s emphasis on delivering programs and projects on a landscape basis in partnership with local communities • Facilitating the transition to a staff-based Strategic Planning Group • Supporting Landcare including provision of training in a variety of areas including Carbon farming • Implementing the Landcare Business Plan to deliver small grants funding to Landcare groups • Upgrading staff skills in GIS to support improved spatial analysis • Growing the HNCMA video library showcasing the range of NRM projects and activities that are making real positive improvements to the catchment • Implementing a systematic evidence tool to capture and facilitate retrieval and use of the best available evidence for use in planning for and implementing projects The Program Development Team has also continued to participate in external committees including the Environmental Flows River Health Outcome Group Technical Working Group, Blue Mountains World Heritage Institute and Regional Weeds Committees. The team has drafted submissions relating to a wide range of policies.

Looking Ahead to 2012/13 The major focus of the team will be in preparing the draft CAP for submission to the Minister in March 2013. This process will involve staff from across the organisation in a very focussed effort in the second half of 2012. The involvement of a wide range of staff is a key strategy in ensuring that the new CAP is a product that is understood and used by the whole organisation in a consistent way. The finalisation of the CAP upgrade will bring together the foundational work undertaken in 2011/12 including: the creation of the CRGs, improved spatial prioritisation skill; strong use of evidence; and understanding of the concepts underpinning resilience thinking. The proactive implementation of the Marketing Strategy to diversify our investment streams will also be a major focus. Our major partnerships program will be renewed this year with new members of Local Government Advisory Group (LGAG) and Aboriginal Advisory Committee (AAC) and major Forums for Aboriginal NRM and Landcare.

72 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Neville Pavan Program Manager (Program Implementation) The responsibility for this position was shared during the year by the General Manager, and Neville Pavan following recruitment as the Program Manager in April 2012. The Implementation Group consists of three Landscape Units (Warragamba, Blue Mountains Western and Hawkesbury Lower Nepean) and has the responsibility for delivering the HNCMA’s investment programs and project managing both internal and externally delivered projects. This year the Group was responsible for: • Delivering $17.314 million on ground projects with 222 partnership projects – higher than the previous record year of 2010-11. • Continuing the delivery of investment through the successful Landscape Model. • Implementing the Native Vegetation Act 2003 and participating in the review of the Native Vegetation Regulation 2005 and Environmental Outcomes Assessment Methodology (EOAM), through the HNCMA’s / Native Vegetation Unit

LOOKING AHEAD TO 2012/13 The Implementation Group will have three main focus areas in the coming year through implementing on ground projects which will be supported by an annual investment programs valued at $10.65m, involvement in CAP development and working on new Native Vegetation Regulation initiatives. The investment includes a new project over the next five years under the Australian Government’s Clean Energy Future Biodiversity Fund to implement native habitat rehabilitation, strategic weed control and revegetation projects in two landscapes where iconic World Heritage Area Enhancement and Hawkesbury River Health Improvement projects are ongoing, Australian Government Caring for Our Country Contestable funding to restore groundcover on degraded soils and NSW Government funding, including an ongoing partnership with the Sydney Catchment Authority in the Drinking Water Catchment and Environmental Trust grants in some cases providing unique opportunities for volunteers working in the estuary. The Program Implementation Group will be involved in CAP development through discrete Theme Teams of Soil and Land, Native Vegetation and Water, integrating Biodiversity throughout the four Themes which includes Community.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 73 Corporate Governance Management Team

Sharon Elliott Business Manager Responsibility for this position was shared during the 2011/12 financial year, with Neville Pavan (now Program Manager) and Sharon Elliott who acted in the position from January until permanently appointed in April 2012. The Business Unit has responsibility for coordinating and managing the financial accountabilities of the organisation and ensuring accurate, timely advice is provided to the management team, finance committee, Board and NSW Treasury. The unit also has responsibility for corporate governance functions, complying with Treasury targets, legislation, directives and accounting standards as well as providing Board and other committee support. In the past year the team was responsible for: • Supporting the Board, the Finance, Audit and Corporate Governance Committee, the Finance And Risk Management Committee, Staff Executive meetings, the Staff Management Team Meetings and management’s representative on OHS committee • Coordinating the purchase and use of iPads for meeting papers, agendas, diaries and email, providing a more efficient process for staff and committee members • Implementing the new Work, Health and Safety Act (2011), which superseded the Occupational Health and Safety Act, with changes to be fully implemented by 31 December 2012 • Instigating a gap analysis of HNCMA’s policies, protocols and guidelines under the Corporate Governance Manual • Securing suitable, upgraded premises to relocate the Lithgow team into, including disabled access and increased efficiencies, facilitating SPA (State Property Authority) compliance • Reducing approximately 10 % in greenhouse gas emissions sourced from HNCMA fleet use through an ongoing commitment to more efficient use of vehicles, teleconferencing and car pooling enabling a reduction in fleet size by five vehicles • Complying with Government Information (Public Access) Act 2009 through fortnightly reporting to the Information & Privacy Unit of NSW Trade & Investment and maintaining the Publication Guide on the HNCMA website according to Section 20 of the Act. HNCMA received no requests for information under this Act for the financial year.

Looking Ahead to 2012/13 The foremost focus of the Business Unit in 2012/13 year will be continuing to: • Provide support to our four offices and staff, involving fleet and accommodation management, occupational health and safety, human resource and personnel management • Fully implementing the WHS Act (2011) and its legislation to ensure full compliance • Maintaining tight budgetary controls of project and recurrent funding ensuring full expenditure across programs whilst maintaining liquidity. • Oversee implementation of the Seven Year Audit Plan • Monitor public access to agency information for compliance with the Government Information (Public Access) Act 2009.

74 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Board Report All Board members are required to carrying out functions as defined by their Ministerial letter of appointment, the The Board of the HNCMA have tenures of up to three years. Catchment Management Authorities Act 2003 and by the The current Minister for Primary Industry and Minister for Catchment Management Authority Corporate Governance and Small Business, Katrina Hodgkinson MP, appoints Chair and Financial Manuals. All directors are required to be eligible for members when tenures expire. The appointment dates and membership of the Australian Institute of Company Directors. tenures of individual Board members are staggered to ensure that corporate knowledge and experience is retained. The Board members have an independent role in meetings and are required by the Act, and Board standing practice, Recruitment for two Board members and a Chair took place to formally disclose any actual or perceived conflicts of towards the end of the 2011 calendar year. Mr Robert Seldon interest for recording in the Board minutes and/ or to register was appointed as Chair on 31 December 2011, Mr John Lowe any pecuniary interest in the HNCMA’s Pecuniary Interests was appointed as Board Member on 30 November 2011 and Register prior to the commencement of each HNCMA meeting Mr John Verhoeven was reappointed to the Board also on 1 including Board meeting. These issues are addressed by the December 2012. All positions were appointed for a three year DTIRIS Code of Conduct Schedule 1 for members of advisory term. Appointments are made following consideration of the committees/boards, contractors and consultants policy. individual qualifications against the criteria listed in section 8 (4) of the Catchment Management Authorities Act (2003). During 2011/12 the Board held 6 ordinary meetings. These meetings were held at the HNCMA’s Goulburn and Penrith offices. Annual Name Position Tenure Details Stipend Board Attendance Robert 31 December 2011 Chair $50,000 Seldon to 31 December 2014 Possible Actual Name John Acting 1 July 2011 Attendance Attendance $7,750 Verhoeven Chair to 24 October 2011 Robert Seldon 3 3 John Board 30 November 2011 $20,000 Verhoeven Member to 30 November 2014 Kim Yeadon 6 6 Acting 25 October 2011 Bob Wilson 6 6 Bob Wilson $4,958 Chair to 30 December 2011 John Verhoeven 5 5 Board 24 April 2011 Kirsten Davies 6 5 Bob Wilson $20,000 Member to 24 April 2013 John Lowe 2 2 Kirsten Board 24 April 2010 $20,000 Kathy Ridge 2 2 Davies Member to 24 April 2013 Board 30 November 2011 John Lowe $20,000 Member to 30 November 2014 Hon Kim Board 24 April 2010 $20,000 Yeadon Member to 24 April 2013 Board 25 April 2010 Kathy Ridge $6,302 Member to 24 October 2011

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 75 Corporate Governance

Board Subcommittees Finance, Audit and Risk The HNCMA has established a number of subcommittees to Management Committee Report support the Board’s strategic overseeing and monitoring of 2011/12 was a year of board membership change for the operational activities. Hawkesbury-Nepean Catchment Management Authority Each of the governance committees has two (voting) Board (HNCMA). With the tenure of two of our Board Members, John members and is supported by an appropriate senior staffer Verhoeven (Acting Chair), and Kathy Ridge (FACG member), who develops business papers and reports and maintains being completed at the end of October 2011, HNCMA was left committee records. with 3 Board Members of which Bob Wilson was Acting Chair. The advisory and consultative subcommittees have In December 2011 Mr Robert Seldon was appointed as Chair community membership and HNCMA board members of HNCMA, and John Verhoeven reappointed and John Lowe participating. These committees provide community advice appointed as Board Members. on regional natural resource management issues and to The first Board meeting in 2012 endorsed the changing of coordinate the development of regional Aboriginal community the name of the finance committee from Finance, Audit and and local government natural resource management projects. Corporate Governance (FACG) to Finance, Audit and Risk The HNCMA has the following subcommittees: Management (FARM) in line with its strategic focus. The role of the committee was to remain the same; to monitor Governance Committees the organisation’s financial and corporate governance • Finance Audit and Risk Management (FARM) performance and statutory compliance, to actively monitor (see page 76) risk and minimise where possible, and work to ensure the long • Part Year - Strategic Planning Committee (SPC) term financial viability of the HNCMA. dissolved in February 2012. (see page 79) HIGHLIGHTS 2011/12 Advisory and Consultation Committees • Local Government Advisory Group (LGAG) The past year has seen HNCMA deliver a record budget (see page 85) of $20m. This was achieved in a year of above average rainfall, making on ground work difficult at times, but • Aboriginal Advisory Committee (AAC) (see page 84) improved seasonal conditions should assist in achieving • In 2011/12, the Board commenced the operation of excellent long term outcomes. During this record year, the three new landscape community reference committees HNCMA continued to show strong financial performances, that are led by Board members and comprise commissioned reviews and audits and complied with NSW membership of key stakeholder groups in each of Treasury targets and corporate governance functions. the landscapes (see page 89). The Board use these reference committees to strengthen its community Key committee highlights included: consultation processes as part of the Catchment • Achieving within 0.2% of Net Cost of Services (NCOS) Action Plan review as well as advising on planning of target of $60,000 deficit, our result was $29,000 deficit new investment and projects. • At the time of the name change of the committee Operational subcommittees to FARM, the Board also endorsed the FARM Operational aspects of the HNCMA are coordinated by various committee to meet bi-monthly. Going forward the staff committees that report through the General Manager to meeting dates will be strategically aligned with the Board. These committees are: HNCMAs legislative requirements. • • HNCMA Management Team (see pages 71-74) Directed a review of the Corporate Governance Manual with HNCMA policies and protocols to determine gaps. • Occupational Health and Safety Committee (see page Work began on drafting policies and protocols to gain 87) (To become Health, Safety Committee in 2012/13) endorsement by the FARM and adoption by the Board – this will continue into 2012/13 • Undertaking a Business Asset Audit as per the HNCMA 7 year Audit plan, and implementing recommendations

76 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 • Maintaining the Risk register, updating when mitigating The FARM continued to oversee Board endorsed measures cause risk to decrease and/or as new risks recommendations to implement a new strategic and business are identified. Reporting by exception to the Board. planning process to address future funding challenges. These • Maintaining the Audit register, updating with processes assisted with the HNCMA’s success in being awarded recommendations when audits are completed and CfOC Contestable and NSW Environment Trust funding, updating as recommendations/actions are finalised supplementing the operational budget. The FARM worked with the HNCMA Management Team to oversight the liquidity position • An agreement was negotiated with ServiceFirst and and ensure a smooth transition to new programs. CMAs for IT costs to be charged to CMAs – HNCMA has paid these financial obligations The FARM initiated a review of the Corporate Governance • Reviewing statutory compliance obligations during the Manual in line with HNCMA policy and protocols by RSM year, to the best of the FARMs knowledge, the HNCMA Bird Cameron to assess the effectiveness of governance fully complied activities. The Committee also monitored the implementation of recommendations from past audits on behalf of the Board. • Working with the State Audit Office to finalise All of these audits and reviews provide important information the HNCMA’s 2011/12 annual accounts and the that allow the FARM to provide recommendations to Board completion and submission of the HNCMA’s Annual and Management on new procedures to increase our overall Report to the Minister effectiveness and legislative compliance. • Achieving a Silver Award in the Australasian Annual Reporting Awards for the 2010/11 HNCMA Annual CORPORATE GOVERNANCE report. This is the second time HNCMA has been the AND STATUTORY COMPLIANCE recipient of the Silver Award. The Board of the HNCMA continue to maintain corporate THE YEAR IN REVIEW governance as a major priority. The review of the Corporate Governance Manual has enabled clear identification of gaps In 2011/12, the HNCMA delivered strong budget and program which are a priority for Management, to ensure the relevance performance outcomes that complied with the NSW Treasury’s of HNCMA policies to current operations and compliance with budget projections. While 2010/11 was a record expenditure year government legislation, policy and ethical business practices. – 2011/12 has surpassed this again by more than 20% This work will continue in 2012/13. ($3.5 million). The 13 CMAs achieved an average expenditure of $11.2 million – HNCMAs expenditure exceeded this average The record breaking on ground investment program occupied by nearly $9 million, with a total expenditure of $20 million. staff’s time during the year, with the upgraded CAP providing The funding arrangements of NSW Catchment Action and The an additional source of wok. Despite this, HNCMA were Australian Government’s Caring for our Country (CfOC) initiatives able to keep all but two staff members under the 40 days were supplemented by funding from the National Water Initiative, recreation leave target. One of these was a result of a long significantly adding to the HNCMA budget and its operational term Workers Compensation case. The excess accumulated capacity to deliver environmental outcomes. Over $8 million was leave has since been rectified. received and expended on the National Water Initiative in the Management of debtors has been a focus of both the 2011/12 year. The HNCMA also recruited increased funds from committee and management. Legal assistance was sought to the private sector for investment in the catchment during the year, recover some long outstanding debts. This was successful for The HNCMA delivered this record expenditure with having all but one of our debts which was unfortunately written off. the lowest staff numbers in recent years. A number of events There are no other long term debtors on our books. caused the decrease in staffing numbers. Staff retirements led to opportunities for existing staff to seek promotions, which in turn has left those positions vacant, in addition difficulties occurred with external recruitment processes which were beyond the control of the HNCMA.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 77 Corporate Governance

FRAUD AND CORRUPTION CONTROL Details of meeting attendance by FARM members and staff are listed below. Additional staff including Program Managers and The HNCMA established a Fraud and Corruption Control Catchment Coordinators attended meetings on a needs basis policy in May 2007 to promote best practice in ethical staff conduct and administration procedures and to support internal and external audit processes. The policy defines internal Possible Actual Name Position accountabilities to promote ethical and lawful conduct and Attendance Attendance investigating and reporting alleged breaches. The Catchment Bob Management Authorities Corporate Governance Manual further 9 8 Chair supports Board and Management in promoting best practice. Wilson The recommendations from the Business Practice and John 6 6 FARM member Asset Use Review continued to be implemented in 2011/12. Verhoeven Additionally, management responses were provided to the Kathy auditors in reply to recommendations made in the 2010/11 4 3 FARM member audit. These recommendations were also implemented Ridge in 2011/12. Bob 3 1 FARM member Seldon THE COMMITTEE Bernie 9 6 General Manager In 2011/12, the FARM held 9 meetings, monthly meetings Bugden to March changing to bi-monthly for the last quarter of the financial year. The FARM reports to the Board provide Business Neville recommendations to assist adaptive management of financial, 9 9 Manager / Pavan corporate governance, risk and statutory compliance issues. Program Manager

The position of FARM Convenor continued with Board Member, Staff member / Sharon Bob Wilson, and the full membership as shown below: 9 9 Business Elliott Manager Position Member Kerry Program Manager 1 1 FARM Chair Bob Wilson Brew (Dev) Kim FARM Member (part year) John Verhoeven 1 1 Board Member Yeadon FARM Member (part year) Kathy Ridge Catchment Bill Dixon 2 2 FARM Member (part year) Bob Seldon Coordinator

Staff

General Manager Bernie Bugden

Business Manager (part year) Neville Pavan

Business Manager (part year) Sharon Elliott

78 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 LOOKING AHEAD 2012/13 Strategic Planning The HNCMA’s budget is currently lower than the 2011/12 year. Subcommittee Report This is an advantage in the 12/13 financial year as the HNCMA will be initially concentrating on delivering a quality Catchment ROLE Action Plan (CAP). The FARM will work closely with the The role of both the SPC and SPG was to apply strategic General Manager to ensure HNCMA’s budget will be achieved planning principles to provide advice to the Board on the whilst maintaining liquidity. HNCMA’s strategic natural resource management priority Priorities of the FARM in the new financial year will include: issues. This includes providing advice on new and emerging • Overseeing the financial management to ensure budget issues and risks to the environmental and effective project targets are achieved and cash flow is maintained delivery. Strategic Planning focuses on development and review of effectiveness of the organisation’s Planning • Continue with reviewing gaps identified by RSM Bird Framework which is summarised below. The review and Cameron’s review of the Corporate Governance update of key organisational strategies including for MERI, Manual and create/adjust new policies and protocols Collaboration and Community Engagement is another key role for Board adoption where needed for strategic planning. • Implementation of HR Audit followed by the Governance Structures and Arrangements Audit later In 2011/12 the responsibility for provision of strategic planning in the Financial year as per the 7 year Audit Plan advice to the Board transitioned from the Strategic Planning Committee (SPC), chaired by a Board Director, to the Strategic • Ensure full adoption of the new WHS Act 2011 and its Planning Group (SPG) which is a staff committee chaired by legislation by the required time – 31st December 2012 the Program Manager – Development. The SPG had its first • Continue the implementation of electronic devices meeting in May 2012. (eg iPads) for senior staff and encourage the use of electronic meeting papers to improve efficiency • Continue to downsize fleet numbers where possible and encourage use of telecommunications instead of travel where possible (eg webex conferences instead of face to face) to minimise our carbon footprint and maximise our effectiveness Monitoring of public access to agency information for compliance of the Government Information (Public Access) Act 2009, including redevelopment of the HNCMA’s website.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 79 Corporate Governance

HNCMA Planning Framework

Planning Inputs NSW 2021 legislation Minister’s directives governance and planning standards strategic intent corporate direction.

Corporate Plan Strategic Plan

Business Plan other investment program components

Agency Results and annual results total asset Service Plans investment and management program services plan plan Third Party Investment

Audit and Whole of government cap Review Cycle

80 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 The SPC and SPG have achieved the strategic actions for 2011/12.

2011/12 Strategic Action Achieved Outcome

Identify and obtain the resources needed for catchment 4 21.45% growth in HNCMA budget improvements. This includes growth of 60% over the 2008/09 baseline by June 2012 Better understand the risks to catchment condition and 4 Catchment risks regularly reviewed; use of resilience investment, and develop new tools through the CAP review approach to CAP; developing skill in using MCAS— and upgrade to better prioritise actions dollars to improve spatial prioritisation; improved understanding of catchment through a Whole of Government approach. Respond to the challenge of preparing our catchment for 4 Use of a resilience approach focusing on community the predicted impacts of climate change by implementing adaptive capacity through use of SES. CAP the HNCMA Climate Change Mitigation and Adaptation includes climate change as one of the 4 concepts Plan, and include climate change impacts in the CAP underpinning the environmental services provided by review and upgrade. the catchment i.e. Resilience, productivity, biodiversity and being climate change ready. Implement effectively and efficiently the CAP review and 4 CAP review process on track to have final draft to upgrade by December 2012. CMA by December 2012 and submission to Minister and NRC by 1 February 2013. Foster greater ownership and understanding of the 4 CRGs with wide representation are active and catchment through the operation of the Landscape CRGs, developing a shared vision of the catchment and it relationship building, networking and broadening our social ecological system. Electronic media as well proactive communication, including to youth and culturally as group and hard copy surveys used to capture and linguistically diverse (CALD) groups particularly, using community values. cost effective electronic methods. Continue to strengthen our existing partnerships 4 Partnerships strengthened through 60 joint projects: with Local Government, State agencies industry 21 state and 39 local government. and other stakeholders. Agency and local government involvement in both CRGs and CAP Whole of Government strengthens involvement in CAP and its implementation. Ensure the fulfilment of investor obligations by maintaining 4 Project monitoring through LMDB and CIMS confirms and improving project outputs and quality. investor obligations achieved for all projects. Investors confirm through on-ground inspection success of these investments. Ensure our business management planning supports the 4 2009/10 MERI month report confirms quality achievement of NRM outcomes, including a major review of projects and provides recommendations for of our Strategic Plan improvement. Strategic Plan was reviewed early in 2012.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 81 Corporate Governance

MEETINGS AND COMMITTEE COMPOSITION LOOKING AHEAD 2011/12 The SPC held three meetings in 2011. The SPG held two The SPG will coordinate the finalisation of the CAP upgrade. It meetings in 2012. will apply the Board’s direction to apply bottom up management and take responsibility for the operation of the organisation. The Details of the meeting attendance by SPC members and staff SPG will continue to monitor changes to issues and risks for the are listed below. catchment and the organisation and review key elements of the business planning process developing its role in reviewing the Strategic Planning Attendance organisations progress and direction. Strategic actions that the SPG will foster in 2012/13 are: Possible Actual Comments • Focus our business on demonstrating outcomes attendance attendance • Develop a CAP which meets Minister’s, NRC and Directors board requirements whilst ensuring extensive engagement and endorsement by catchment John 2 2 SPC Chairperson stakeholders including State Agencies, Local Verhoeven Government and key investors Kim SPC Chairperson • Using opportunities from development of an upgraded 3 3 Yeadon and member CAP to: Kirsty ŠŠ focus on the development of partnerships with NA 1 Board Member Davies industry and business to diversify the investment base of the organisation Bob NA 2 Board Member Wilson ŠŠ Meaningfully engage with Landcare, local government and other key stakeholders Kathy NA 1 Board Member ŠŠ Effectively monitor & report Ridge ŠŠ Achieve customer satisfaction and innovation with a Staff focus on outcomes. Bernie HNCMA ŠŠ Ensure that the work of the HNCMA is of value to 5 4 Bugden General Manager community and government. SPG Chairperson, Kerry HNCMA Program 5 5 Brew Manager- Program Development Neville HNCMA Program 2 2 Pavan Manager HNCMA Diana 5 5 Catchment Shanks Officer

82 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 HIGHLIGHTS AND THE YEAR IN REVIEW 2011/12 E-water The SPC considered issues associated with involvement of CAP Upgrade CMAs in management of E Water across NSW, in particular in The upgrade of the current CAP has been a focus of work relationship to the complex institutional arrangements which for strategic planning in 2011/12. The SPC monitored exist in the Hawkesbury- Nepean catchment. The Committee the progress of the CAP upgrade through the adaptive provided an analysis of current arrangements and provided management process associated with implementing the recommendations for potential future roles for the HNCMA in E workplan and timeframe. All staff and Board members Water management and co-ordination. were engaged in understanding the concepts behind applying resilience thinking to social ecological systems and participating in workshops to apply this thinking to Coal Seam gas landscapes. This was identified as a key emerging issue. The HNCMA Position Paper on mining was reviewed and updated to The SPC focussed on the development of the CAP incorporate this issue. Communications Strategy and activities to obtain community values and feedback for the CAP. Issue Filter • Initiation of the Whole of Government Systematic use of a filter to record and analyse issues and to Steering Committee track the application of the management actions identified. • Including development of a ToR and structure. Non-financial Reporting HNCMA Adaptive management Quarterly non-financial reporting to track achievement of CAP SPC (former) and SPG integrate the Natural Resources and contracted targets has been improved to support use by Commission Standard for Quality NRM with HNCMA business, the Implementation Teams and to streamline regular reporting continually reviewing HNCMA organisational strategies and to investors and the Board. incorporating improvements, These include the: • Monitoring, Evaluation and Reporting Improvement Strategy • Collaboration and Community Engagement Strategy • Communication Strategy • Risk Management Strategy • Knowledge Strategy

SRLUPs The SPC considered the implications of the new Strategic Regional Land Use Plans (SRLUPs) for the HNCMA. There are two draft plans relevant to the CMA: Upper Hunter and the Southern Highlands. The potential overlap between the development of these plans and the CAP was noted as was the potential implications for staff resources.

MER Month report A random sample of projects was monitored in 2009/10. The analysis of this work and recommendations to improve project monitoring were considered.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 83 Corporate Governance

Aboriginal Advisory Subcommittee

ROLE The Aboriginal Advisory Committee (AAC) provides advice to the HNCMA on NRM programs and investment in partnership with Aboriginal stakeholders. The operation of the Committee supports exchange of information with, and the development of networks between, the Aboriginal community and the HNCMA. Progress of “Looking Ahead” Actions for 2011/12 The actions identified by the AAC for 2011/12 have been achieved.

2010/11 Strategic Action Achieved Outcome

12 projects were successful in this round and included: A second year of Aboriginal Small Grants Program Establishment, supervision and training of the which will again seek to invest $100,000 in cultural 4 activities and NRM works by Aboriginal people and Garguree Swampcare group. Workshop on Aboriginal groups with in the catchment. cultural connections to swamps Cultural exchange workshops with the Moyengully group from the Southern Highlands The third Aboriginal Regional NRM Forum being held later Process calling for nominations for new AAC in 2012 to report back and identify new priorities for the 4 completed. Appointment of new AAC and 2012-2015. The Forum will provide guidance to the New organisation of Forum underway. AAC members who will be nominated in 2012. Pathways to Customary Ground Project being This project has been funded. Consultants have been implemented subject to successful Caring for our 4 engaged to assist in consultation and documentation Country bid. of pathways with community. Production of media specifically designed to encourage Hawkesbury-Nepean Indigenous environmental Aboriginal communities to become more involved in land 4 stories DVD produced and distributed including care and NRM issues through HNCMA web-site.

Membership The current members serving a 3 year term (which finished on 30 June 2012) on the Aboriginal Advisory Committee are: • Desmond Dyer – Darug Tribal Organisation • Sharyn Halls – Gundungurra Aboriginal Heritage Association Inc • Merle Williams – Gundungurra Aboriginal Heritage Association Inc • Fran Bodkin - Dharawal Traditional Knowledge holders and Descendents Circle • Deborah Swan – Darkinjung language custodians – resigned in October 2011.

84 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 LOOKING AHEAD 2012/13 Local Government Advisory Activities that will support the partnership between the AAC and Group Subcommittee Report the Aboriginal community and the CMA in 2012/13 include: • Appoint a new AAC for the next three year term until Role June 2015. Primary objective of the Hawkesbury-Nepean Local • Hold the third Regional Aboriginal NRM Forum in Government Advisory Group (LGAG) is to promote coordinated October 2012. This Forum will once again develop regional local government participation in natural resource strategic priorities for the Aboriginal community and management (NRM) and to provide advice to the Board on NRM to provide guidance to the AAC and HNCMA for policy issues related to local government participation. LGAG the next three years. membership comes from the catchment’s 23 local government • Deliver the “Pathways to Customary Ground” project councils. LGAG executive comprises three local government which will work with community to identify the culturally councillors, one each from the three Hawkesbury-Nepean significant pathways and common grounds. The landscapes, and two HNCMA Directors, General Manager and management and maintenance of these areas of the Program Manager – Program Development. agreed cultural significance will form part of the priority setting for the CMA. Highlights and the • Deliver $130,000 in funding for on-ground action to year in review – 2011/12 support the priorities identified in the Pathways to The LGAG regularly provides advice to the HNCMA Customary Ground project. Board. In 2011/12 this advice focused on concerns related • Deliver $50,000 in small grants for projects identified as to Coal Seam Gas exploration. The LGAG also provided NRM priorities by the Community at the 2012 Forum. advice on potential refinements to LGAG meeting and • Support participation in the 2012 NSW Women’s Forum. consultation arrangements. • Continue to support the AAC University of Western In 2011/12 there were 39 projects funded by the Sydney Aboriginal Scholarship Trust fund and ensure HNCMA in partnership with Local Government agencies that it is allocated. This scholarship was allocated valued at $689,248. for the first time in 2011/12 to Casey Borthwick who LGAG Annual Forum 2012 is now commencing a PhD on a subject related to The key session of the Forum was on the HNCMA’s current marsupial diseases. process to upgrade the Hawkesbury-Nepean Catchment • Complete a short video on the restoration being Action Plan (CAP). Presentations on issues of strategic undertaken at “The Gully” in Katoomba in partnership importance to the catchment were also included in the Forum’s with Gandangara Aboriginal Heritage Association and agenda: coal seam gas extraction in the catchment, the draft Blue Mountains County Council. Southern Highlands Strategic Regional Landuse Plan and the Linking Landscapes Project under the Green Corridor program. The LGAG discussed the progress of the current review of the CAP and the role of local government as a key partner in its development, implementation and reporting. The LGAG formed the view that the Hawkesbury-Nepean CAP upgrade process provides an important link between local and state planning for natural resource management and should be supported by the catchment’s Councils.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 85 Corporate Governance

Creative ways to reach your community Membership and observers Presentation by Western Sydney Regional Organisation of • The Hills Shire Council Councils (WSROC) shared their innovative means to reach the community through the Water in The Landscape (WiTL) • Blacktown City Council program. WiTL is a community awareness program run by • Blue Mountains City Council WSROC and funded by the NSW Environmental Trust. The • Camden Council program uses cultural projects to reach wider sections of the • Campbelltown City Council community. WiTL’s objectives are to improve the community’s understanding of a range of issues facing water supplies and • Cessnock City Council management, to promote the contribution of “water in the • Fairfield City Council landscape” to quality of life and to encourage innovative • Gosford City Council local responses. • Goulburn Mulwaree Council Carbon Farming and local government • Hawkesbury City Council A Greening Australia representative presented to the LGAG on • Hornsby Shire Council the bills passed in Parliament on 23 August 2011 on Carbon Farming Initiative (CFI) and relevant legislation and regulations. • Ku-ring-gai Council Presentation outlined the list of eligible and ineligible activities • Lithgow City Council under the CFI highlighting the methodologies, advantages and • Liverpool City Council some of the disadvantages. • Penrith City Council Estuarine health - an indicator of catchment health • Pittwater Council Presentation by Dr Alicia Loveless from Hydronumerics • Upper Lachlan Shire Council consultancy outlined the effects of climate change on estuarine habitats in the Lower Hawkesbury-Nepean Estuary and the • Warringah Council work done on Reservoir Management System. Highlights of the • Wingecarribee Shire Council presentation included use of three dimensional hydrodynamic • Wollondilly Shire Council model of the lower estuary to understand dynamic processes • Wollongong City Council and impacts of environmental change, and using Decision Support System to interrogate historical data, perform • Hawkesbury County Council modelling and calibrate the model to capture the algal bloom • Local Government and Shires Association and to understand the cause of the bloom. • The Office of the Hawkesbury Nepean • Western Sydney Regional Organisation of Councils Meetings and committee composition The LGAG Executive was chaired by Cr David James Looking ahead 2012/13 (Pittwater Council) representing the Lower Hawkesbury The objectives of the LGAG Annual Activity Plan for 2012/13 Nepean landscape of the catchment, with Deputy Chairs are to: Cr Nina Dillon (Goulburn-Mulwaree Council) and Cr Howard McCallum (Blue Mountains City Council) representing the • Continue HNCMA partnership with Local Government Warragamba and Blue Mountains Western landscapes. The in the effective management of natural resources within HNCMA Chair, General Manager and Program Manager the catchment Program Development are also part of the Executive. The • Renew LGAG membership after the council elections in LGAG executive met four times in 2011/12. September 2012 The term of the current LGAG and LGAG Executive expires in • Ensure Local Government has an active role in August 2012 and will be renewed after the local government finalisation, implementation and reporting of the elections in September 2012. Catchment Action Plan • Continue support for developing integrated models Four meetings of LGAG, including the Annual Forum, were for reporting held in 2011/12, with an average of 25 attending each. • Identify and pursue joint funding partnerships between the HNCMA and local government.

86 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 The HNCMA’s Executive and In 2011/12 the HNCMA has maintained the strength of the Staff Governance Committees OHS Committee by recruiting new members The HNCMA adaptively managed its accountabilities by: HNCMA Management Committee • Ensuring that staff members are updated on the Membership provisions and availability of resources with respect Chair: Bernie Bugden (General Manager), Kerry Brew to OH&S (Program Manager – Program Development), Neville Pavan • Updating the OH&S section on the intranet for all staff (Part year Program Manager, Program Implementation/part to access year Business Manager), Sharon Elliott (part year Business • Preparing an OH&S calendar of events for all staff Manager) to access Role • Emphasising remote/lone worker policy The Management Committee superseded the former • Relocating Lithgow Office to new building to provide Executive in March 2012; it coordinates HNCMA operations, safe work place provides advice to the Board on the operational aspects of the HNCMA’s activities and coordinate the implementation Loss and injury of the Business Plan. Through the General Manager and During the year, the HNCMA’s “loss and injury frequency rates” Business Manager this committee also provides linkages were minimal with reporting of only minor incidents. to the bi-monthly NSW CMA General Manager’s Forum How Risk is mitigated and the quarterly CMA Business Manager’s Forum. These On a day-to-day basis HNCMA staff and management carry forums provide the HNCMA with opportunities to support out the following practices to mitigate risk. the development of shared program and business support • Risk register - updated and maintained for risk systems with its shared corporate support with Service First, including recording all reports and resolutions achieved the Office of Environment and Heritage, Department of Primary Industries and other NSW CMAs. • Safe work method statements – to guide projects in best practice procedure in the field and in HNCMA Highlights and Year in Review offices • Coordinated the delivery of the HNCMA’s largest • Personal Protection Equipment (PPE) – worn and used annual investment program of $20M. by all project officers in the field • Managed a transition to greater accountability of the • First Aid Officers have been appointed in each HNCMA management teams in terms of strategic and business workplace planning • 4 WD training provided to all field staff • Lead cultural change both internally and externally in terms of a Whole of Government CAP processes and Looking Ahead to 2012-13 foundational planning HNCMA is currently in transition to the new Work Health and Safety Act 2011 and will be implemented this year. The preferred option by staff members is to elect Health and Occupational Health and Safety Safety Representative (HSR) and Deputy HSR considering (OHS) Committee the HNCMA as one work group. In addition to HSR and Convenor: Koshy Varghese (Penrith). Deputy HSR, the previous OHS Committee will be rolled over to Health and Safety Committee. This was facilitated and Membership supported by the Management. Daniel Anderson (Moss Vale), Robert Leslie (Lithgow), Andrew Doran (Goulburn) and Neville Pavan (part year) (Management), Sharon Elliot (Goulburn) part year (Management). The Hawkesbury-Nepean Catchment Management Authority (HNCMA) OHS Committee enjoyed a productive year as it continued to address new and existing health and safety issues in the HNCMA workplace. Health and safety continue to be high priority for the HNCMA Board and Executive.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 87 Corporate Governance

Representation on Significant Committees The HNCMA participates on various regional committees that provide advice to government and regionally support the HNCMA’s participation in whole of government processes. Details of these committees are detailed below:

HNCMA Name of Committee/Board/Body Function Representative

HNCMA representation on External Committees, Boards and Statutory Bodies that help integrate the outcomes and activities of the NSW and Australian Governments and their agencies on which the HNCMA is represented. Provision of nationally coordinated NRM advice to the Bob Seldon and National Regional NRM Community Forum NRM Ministerial Council John Verhoeven Provision on advice to government on the development National Region NRM CEO s of Caring For Our Country administrative and reporting Bernie Bugden processes. Advisory Board of To promote whole of government participation for Bernie Bugden Office of Hawkesbury-Nepean implementing the Hawkesbury River Recovery Program Greater Western Sydney Regional Coordinate agency participation in 2021 Regional Action Bernie Bugden Managers Network Plan 1. Progress real property asset issues from creation of OE State Property Authority Bernie Bugden H and Office of Water. Natural Resources Asset management and representing 2. Coordinate improved cross portfolios asset planning and Cluster Planning Committee sharing NSW CMAs Develop coordinated WHS policy and procedures across Work Health and Safety Advisory Group Bernie Bugden the NSW CMAs and DPI

Committees with external membership established to advise the Minister and/or Department to support policy development and whole of government operational coordination. Planning and policy coordination of CMA activities and Bob Seldon and CMA Chairs Council advice provision to government John Verhoeven Implementation of coordinated CMA NRM projects and CMA General Managers Forum Bernie Bugden business activities CMA Chairs Council/ General Manager Provision of advice to the Minister on Water Manager Bernie Bugden Water Working Group Natural Resources Technical Working Group for Metropolitan Strategy Coordinate agency participation Kerry Brew (Department of Planning) Provision of advice to the Minister of statewide strategic State Interagency Water Panel direction on water sharing planning to ensure policy and Bernie Bugden strategic requirements of the agencies are met

Committees and working groups with the host agency and/or corporate service provider To coordinate the delivery of Service Level Agreement Sharon Elliott and CMA Business Manager’s Forum services by DPI and Service First Neville Pavan

88 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Community Reference Membership Group Subcommittee The members of the CRGs are drawn from a range of partners including local government, Aboriginal community, key agency ROLE and industry partners and interested community members who self nominated. The three Community Reference Groups (CRGs) were convened for the first time in 2011/12, each representing one of the three landscapes in the HNCMA: Warragamba, Blue Mountains Western Blue Mountains Western and Hawkesbury Lower Nepean. The three CRGs provide: Member Nomination category • a reference mechanism for informing the board and executive regarding stakeholder issues, values, Sharon Riley Aboriginal feedback and review. Donna Upton self nominated • a conduit to build community capacity • a consultation mechanism for input into a future review Cr Howard McCullum Local government -LGAG of the Hawkesbury-Nepean CAP to satisfy NRC and Tara Cameron self nominated the Board Linda Thomas peak community group • input into the review of investment and other prioritisation Shaun Ellwood Key agency partner: OEH Progress in 2011/12 Sue Graves self nominated The CRGs each had two meetings in 2011/12. Warragamba Fiona Bartier Industry: Centennial Coal CRG was the only group to have a third meeting. The Paul Vale Landcare remaining meetings of the third round were held early in 2012/13. These meetings were designed to allow the CRGs John Lowe HNCMA - Director to directly inform the development of that part of the CAP John Verhoeven CRG Chair / HNCMA - Director which is focussed on putting people into the landscape. These meetings talked about what had happened, what could happen and what a desired future might be in each landscape. Hawkesbury Lower Nepean The first meeting encourage an exchange of information Member Nomination category between members and the HNCMA . This included briefing on the progress to date with the CAP upgrade and provision of Jan Gye self nominated briefing material on each landscape. Each CRG participated in a discussion designed to identify the landscape as it is Graham Rand self nominated now and identify the drivers and threats that had resulted in Cr David James Local government -LGAG significant changes over the past 50, 20 and 10 years. Shane Barter Key Agency Partner: OHN The second meeting developed scenarios for the future, Robin Woods landcare building on understanding of the key drivers and threats developed by each group in the first meeting. This work Mary Howard Industry: Commercial Fishing provided a direct input into the identification of social ecological Brad Staggs self nominated systems and state and transition models for these systems. Rob Lester Aboriginal The third round of meetings aims to consider the key outcome for each social-ecological system in the Hawkesbury-Nepean and Bob Seldon HNCMA - Chair how to express a meaningful target to report back to community. Kirsty Davies CRG Chair HNCMA - Director

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 89 Corporate Governance

Warragamba

Member Nomination category

Jo-Anne Rooker self nominated Lyndal Breen self nominated Karen Guymer self nominated Shane Gristwood Aboriginal Cr Nina Dillon Local government -LGAG Ken Wheelwright peak community group Steve Burgin Industry: Arthursleigh Alan Benson key agency partner: SCA Bob Wilson CRG Chair HNCMA - Director Kim Yeadon HNCMA - Director

NB: John Klem, former Chair of HNCMA, participated in the Warragamba CRG for the first and second meetings the category of HNCMA Director. This position was subsequently filled by a HNCMA Director when Board appointments were completed.

LOOKING AHEAD 2012/13 In 2012/13 the CRGs will: • Continue to provide advice and feedback on the upgrade of the CAP. In particular the CRGs will assist in indentifying key outcomes for each social ecological systems and identifying how to achieve the outcomes their communities value • Provide advice to the HCNMA on significant and emerging issues for their landscapes and potential partnerships and projects • Begin to work more closely with Landscape Implementation teams in identifying priorities and projects and reporting back to communities in ways that are meaningful to their communities

90 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Revegetated old dam amongst Box Gum woodland at “The Retreat” near Goulburn. HNCMA Sustainability

The HNCMA continued to monitor and review its operations during 2011/12 to minimise its environmental impacts and reduce its greenhouse gas emissions.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 91 HNCMA Sustainability

Carbon footprint Carbon Offsetting During the year, the HNCMA’s total carbon footprint was The HNCMA is continuing its practice of purchasing carbon offsets. Each year carbon offsets are purchased for the 267.8 tonnes CO2-e. This was a decrease on the 2010/11 previous reporting period. In 2011/12, the organisation offset carbon footprint by 22.2 tonnes CO2-e, or approximately 7%. Five key sources of greenhouse gas emissions make up its 2010/11 carbon footprint (greenhouse gas emissions) of

the HNCMA’s carbon footprint: fuel consumption, electricity 290 tonnes CO2-e through voluntary purchase and surrender consumption, business travel, paper use and waste to landfill. of 290 Greenhouse Friendly Accredited Carbon Offsets which The methods used to calculate the HNCMA’s greenhouse are permanent, independently verified carbon offsets that gas emissions have remained consistent with those used for represent emissions reductions or sequestration. The offset the 2010/11 year allowing a meaningful comparison of the provider is registered through the Australian Government’s HNCMA’s carbon footprint over time. Greenhouse Friendly initiative and the carbon offsets acquittal has been registered with the Department of Climate Change Total carbon footprint 267.8 tonnes CO -e 2 and Energy Efficiency. Energy 164.7 t CO -e 2 Details of the offset purchase and surrender can be viewed on

Fleet 91.8 t CO2-e the Australian Farm Abatement Registry website at http://www.australiancarbontraders.com/afar.html Business Travel 6.9 t CO2-e

Paper 2 t CO2-e The offsets for the 2010/11 carbon footprint were purchased from Carbon Pool Pty Ltd for the Minding the Carbon Store, Waste 2.4 t CO2-e an Australian avoided deforestation project. 0 50,000 100,000 150,000 200,000 The HNCMA achieved a reduction of approximately 10 % in Throughout 2011/12, the HNCMA continued to reduce greenhouse gas emissions sourced from its fleet. This has its GHG emissions where this was not detrimental to the been achieved with an ongoing commitment to more efficient effective functioning of the organisation and performance of use of vehicles, use of teleconferencing and car pooling its functions. The 2011/12 carbon footprint of 267.8 tonnes which has allowed a reduction in fleet size. Greenhouse gas CO2-e will be offset during 2012/13. emissions sourced from energy use were also reduced by approximately 8 %. Greenhouse gas emissions sourced from The full Sustainability report can be found at business travel have increased largely due to the additional www.hn.cma.nsw.gov.au. travel undertaken for professional development of staff and for Executive and Board members to attend key state and national level meetings.

Trend over the past four years – fleet, energy and business travel

2008/09 2009/10 2010/11 2011/12

Fleet 132 t CO2-e 112 t CO2-e 102.1 t CO2-e 91.8 t CO2-e

Energy 205 t CO2-e 172 t CO2-e 180.2 t CO2-e 164.7 t CO2-e

Business Travel 0.68 t CO2-e 2.12 t CO2-e 3.93 t CO2-e 6.87 t CO2-e

Total 337.69 t CO2-e 286 t CO2-e 286.23 t CO2-e 266.37 t CO2-e

92 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Peter Evans from the HNCMA with Prickly Pear weeds in Box Gum woodland on the edge of the Blue Mountains World Heritage Area. The HNCMA is working with landholders and other authorities to control its spread. Financial Reporting

Achieving Budgetary Goals The HNCMA had a Net Cost of Services (NCOS) target in 2011/12 set by NSW Treasury of a $60,000 deficit. The NCOS is the surplus or deficit (profit or loss) achieved in a financial year. The HNCMA was within $31,000 of it’s target achieving a deficit of $29,000 – 0.2% within expenditure targets. The HNCMA liased with ServiceFirst to estimate end of year reconciliations to enable better budgetary control. ServiceFirst continued to undertake reconciliations quarterly to provide more accurate figures throughout the year which assisted with financial forecasts.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 93 Financial Reporting

Expenditure, Revenue HNCMA Budget and Total Investment The HNCMA had a Net Cost of Services (NCOS) target to be achieved in 2011/12 of $60k deficit. It was published in 2004-12 HNCMA Revenue, Expenditure the State Budget Papers as a $196k deficit which was revised & Total Onground Effort by the HNCMA during the year. The HNCMA was within $31k of its target achieving a Deficit of $29k – within 0.2% The graph below shows the increase in revenue and expenditure of expenditure targets. the HNCMA has achieved since its inception. 2011/12 saw the highest expenditure the HNCMA has achieved at $20 million. The graph below demonstrates the effectiveness of the HNCMA’s continually improving financial reporting which is The graph also shows the dollar value of the total on ground enabling the HNCMA to achieve their NCOS targets. This effort achieved by HNCMA (includes partner contributions). graph only shows information from 2008/09 as this was when NCOS was introduced.

11 12 Net Cost of Service (NCOS) Actuals vs Budget

10 11 11 12

09 10 10 11

08 09 09 10

07 08 08 09

06 -200 -150 -100 -50 0 50 100 150 200 250 300 07 Thousand ($)

NCOS Budget Actual Budget 05 06

04 05

03 04 Revenue Expenditure

0 5 10 15 20 25 30 35 Total On Ground Effort

94 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Effective Solvency Liquidity HNCMA monitors solvency ratios in order to maintain equity HNCMA management present an estimated wind up costs within the business by ensuring assets are greater than liabilities. report at each of the monthly Finance Audit and Risk Management Committee meetings to monitor HNCMA liquidity. Our current ratio at 30 June 2012 shows there was $1.20 in current assets to meet every $1.00 of current liabilities. This The estimated wind up costs of the HNCMA were more than level is ideal as it indicates HNCMA is achieving maximum revenue at bank at 30th June 2012. This was partially due to expenditure (outputs) whilst maintaining solvency. This level temporary staff contracts continuing until 2013. should be maintained over coming years due to stable, low, The Board was alerted to this situation with the decision NCOS targets. HNCMA will continue to monitor this ratio. being made to continue business as normal. This was due to anticipated revenue to be received in July 2012 and 11 12 previous advice provided by the former DECCW that liquidity was the former DECCW’s responsibility to maintain and not 10 11 a HNCMA responsibility.

09 This graph only shows information from 2007/08, when the 10 report was introduced. 08 09 0.0 0.5 1.0 1.5 2.0 Dollars ($) 11 12

10 11

09 10

08 09

-2 -1 0 1 2 3 4 5 6 Millions ($)

Bank Balance Wind Up Cost Liquidity

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 95 Financial Reporting

Bank Balance Expenditure The bank balance at 30 June was higher than anticipated In 2011/12 the HNCMA continued to deliver its projects in due to: program areas within 3 landscapes; Hawkesbury Lower • Creditors Nepean, Blue Mountains Western and Warragamba. • Accruals Within these landscapes projects are delivered within the • Accumulated Interest from 2004 – 2006 (interest was 4 main program areas: not required to be spent in these years) • River Health • Provisions • Biodiversity • Soil & Land 11 12 • Community

10 The funds were expended in the following amounts as per 11 State Wide Target. 09 10 1 08 09 2 0 1 2 3 4 Millions ($) 3 Revenue 4 HNCMA receives revenue from both the State and Commonwealth Government’s as well as other sources 5 such as Catchment Protection Scheme including Sydney Catchment Authority and other government departments 6 eg Dept of Lands. Money received from the Commonwealth is baseline funding and Contestables. Also, HNCMA has 7 received significant funding through the National Water Initiative – Smart Farms Australia. 8 The graph below outlines the revenue received by the HNCMA over the past years and for the year ahead. The 9 Smart Farms Australia revenue is included in the graph as other funding as it is Category 3 funding. HNCMA receives 10 this revenue through Department of Primary Industry, but it originates from the Commonwealth. 11

11 12 12

10 13 11

09 0 2 4 6 8 10 10 Investment [Millions ($)] 08 09 The large amounts of expenditure in State Target 5 (river 0 5 10 15 20 heath) reflect external investor preferences. Millions ($)

Core Commonwealth Funding Core NSW NRM Funding Other Funding

96 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 80/15/5 Rule The Multiplier Effect Of the funding received the HNCMA follows the 80/15/5 For every dollar of government operational revenue received, rule, that is a minimum of 80% of funds spent On Ground, a the HNCMA achieves a multitude of outcomes on ground with maximum of 15% spent on Coordination and a maximum of a much higher value. This is called the Multiplier effect. 5% on monitoring and evaluation. The following table shows The graph below shows the ratio for every government the achievements of these targets over recent years. operational dollar received to the value of dollars on ground from 2004/5 to present.

11 12 11 12

10 10 11 11

09 10

09 10 08 09

0 2 4 6 8 10 Million ($) 08 09 Government Revenue On Ground Value 0 20 40 60 80 100 Percentage (%)

On Ground (Target > 80%) Coordination (Target < 15%) Monitoring (Target < 5%)

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 97 Financial Reporting

Long-Term Revenue Risk management and Expenditure Trends and insurance arrangements The following graph below shows the increase in revenue In 2011/12 the HNCMA continued to take an active approach and expenditure the HNCMA has achieved since its inception to risk management. For a detailed report on actions in terms in 2004. The 2011/12 year saw the highest expenditure the of indentifying and managing Occupational Health and Safety HNCMA has achieved at $20 million. (OH&S) related risk see page 87 including details of the OH&S audit carried out during the year. In terms of broad organisational risk, during the year the 11 HNCMA Board and Executive: 12 • Managed a “compliance register” to identify all the legislation, policies and procedures the HNCMA needs to meet and to monitor how the organisation is travelling against each • Monitored and updated a “risk register’ for key 10 organisational risk and actions taken to mitigate 11 the risks • Used ongoing series of audits to identify risk and the effectiveness of management responses to that risk, and gaps between policy and organisational risks • Implemented a seven-year audit plan (beyond the 09 usual requirement of a three-year audit plan in NSW 10 Government) to ensure that staff resourcing is available to effectively be involved and respond to audit recommendations in regard to risk management. • Continued ongoing strategic and business planning, project development processes which identified and 08 addressed organisational risk. 09 The HNCMA’s insurance cover is provided by the NSW Treasury Managed Fund, which is administered by NSW Treasury’s Self Insurance Corporation (SICorp). These 0 5 10 15 20 25 30 35 arrangements provide cover for all insurance exposures faced Millions ($) by the general government sector including the HNCMA.

Revenue The HNCMA’s workers compensation cover is provided by QBE Insurance with other exposures covered by the Treasury Expenditure Managed Fund (TMF). A condition of this insurance coverage Total On Ground Effort is that the HNCMA manage risk exposure through a program of active risk management. Information on insurance claims for 2011/12 (below) has been provided by the HNCMA’s corporate service providers, the Department of Primary Industries and DTIRIS (see Appendices for the Risk Management and Internal Audit Attestation). HNCMA reports there was two minor off road motor vehicle claims and one new Workers Compensation claim.

98 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 HNCMA Insurance Claims

2008/09 2009/10 2010/11 2011/12

Insurance Class Number Value Number Value Number Value Number Value Motor vehicles 6 $37,975 3 $32,636 1 $724 2 $2,869 Property Public liability Miscellaneous Workers Compensation 3 $29,068 5 $13,442 1 $23,170 1 $5,639

Total 9 $67,043 8 $46,058 2 $23,894 3 $8,508

Investment Performance The investment functions of the HNCMA are defined under the Details of these accountabilities are further defined in the Public Authorities (Financial Arrangements) Act 1987. Letters of Comfort provided by both of these agencies that accompany the HNCMA’s 2011/12 annual accounts. These The Act specifies investment powers of the HNCMA as being funds and related transactions are managed in accord with the limited to: “Catchment Management Authorities Finance Policy Manual” a. deposits with a bank or the Treasury Corporation and (May 2009). deposits with or with drawable shares in a building society or credit union (not including certificates of The NSW Treasury, which undertook a previous review of how deposit or other transferable securities) the HNCMA managed its investments in accordance with the Act, assessed the HNCMA “…as having very low inherent risk”. b. investments in an Hour-Glass investment facility The Treasury PFFA committee deemed that future reviews of of the Treasury Corporation (being a facility under the HNCMA investment functions could be undertaken by the which the Treasury Corporation accepts funds on NSW Audit Office as part of its annual audit program. behalf of Government and public or other authorities for investment by fund managers approved by the Treasury Corporation) such additional investments Credit card use as are prescribed The Chairman and General Manager have been issued c. In accordance with these statutory provisions the with corporate credit cards for travel and accommodation HNCMA holds all its funds in either its Westpac trading expenses related to their formal duties and other limited account or in its Treasury Corporation account, to purchases associated with their functions. The HNCMA’s ensure funds are available to pay accounts as and credit card usage reflects the HNCMA’s financial management when they fall due from the trading account, but also policy as detailed in the CMA Finance Policy Manual. The maximising interest opportunities within these accounts. HNCMA’s credit card management complies with the The HNCMA managed its funds through the Service First requirements of Treasury and the Auditor General’s guidelines (Department of Primary Industries) SAP financial system and including the requirements of the revised Treasurer’s Directions in accord with NSW Treasury policy as coordinated by the TD 205.01 - 205.08 and are based on the NSW Treasury Department of Primary Industries. Details of these shared Review of Credit Card Use Best Practice Guide (TPP 99-2). financial accountabilities are defined by the Service Partnership Agreement for the provision of shared corporate services to the Catchment Management Authority between the DPI and DTIRIS.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 99 Financial Reporting

Legal changes A review of the Native Vegetation Regulations 2005 will be undertaken by the New South Wales government during The HNCMA’s partnership with the Department of Primary 2011/12. The HNCMA is looking forward to contributing to Industries to deliver the major Water Smart Farms Program this review and improving the legislation for managing native provides financial support to participating landholders to vegetation in NSW. develop improved irrigation efficiencies and reducing nutrients entering waterways. Some commitments for these projects were realigned with the 2010/11 and 2011/12 budgets Consultants Engaged resulting in a more even budget across the years. The HNCMA commissioned no consultancies during 2011/12. The NSW Government also introduced affirmative action requiring all NSW Government agencies to have 2.6% of the staff structure filled by Aboriginal employees by 2015. Funds to Although this mandatory target is still three years away, the Non-Government Organisations HNCMA Aboriginal staff currently fill 1.6% of staff positions at the HNCMA but will increase to 3.2% early in 2012/13 with Grant finalisation of recruitment action (one staff member leaving in Organisation $ 2011/12 and replaced with another in 2012/13). During the year, the HNCMA continued to implement the Birdlife Australia Ltd 25,036 Government Information (Public Access) Act 2009. The Bligh Park Community Services Inc 13,636 HNCMA updated its website to make more information 14,276 available to the community in line with this new legislation. Community Environment Network A HNCMA Business Ethics Statement has now been 8,583 produced and included on the website. During the year Dairy Industry Development Company 8,000 ahead, the HNCMA will review its website and administrative 13,255 arrangements to provide greater access to its information and Deerubbin Local Aboriginal Land Council 22,727 open access documents. 6,546 The HNCMA was also the lead NSW catchment management Dragonfly Environmental Pty Ltd 2,727 authorities in the development of revegetation policy under 2,727 clause 28 of the Native Vegetation Regulations 2005. This policy was finalised in 2011 and allows for the minor clearing Macdonald Valley Association 12,520 of native vegetation and the planting of native species so there Pittwater Natural Heritage Association 18,182 is long-term environmental benefits. A copy is available on the HNCMA website. Land Disposals Legal changes ahead The HNCMA owns no land, and as such has not disposed of The 2011/12 review of the Hawkesbury-Nepean Catchment any land during 2011/12 Action Plan (CAP) will provide a framework for collaborative opportunities with NSW agencies and the community. Under the new arrangements endorsed by the NSW government, the CAPs in NSW will become the key coordinating document for whole-of-government action in catchment management. This will be a major change to the significance of what was previously a HNCMA action plan. Ongoing collaboration with the Sydney Catchment Authority (SCA) is further supported in 2011/12 by the collocation of SCA staff from Goulburn to shared accommodation within the Goulburn Government Offices.

100 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Payment of Accounts

Quarterly Schedule of Accounts Payable – Aged Analysis at the end of each quarter

Current <30 days 30 – 60 days 61-90 days 90+ days Quarter (within due) overdue overdue overdue overdue $ $ $ $ $

All suppliers September Quarter 6,151 0 0 0 3,828 December Quarter 23,349 0 0 0 2,382 March Quarter 0 0 0 0 770 June Quarter 1,537,813 0 0 0 0

The HNCMA is responsible for data entry of Purchase Orders and Invoices, while Service First is responsible for the actual payment of these creditors. ThHNCMA has set a target of 90% of clients to be paid on time and the following table reports on what was achieved during the year.

Total Accounts Paid on Time Total Amount Paid Quarter Target % Actual % Due $ $

September Quarter 90 99.65 10,176,488 10,175,055 December Quarter 90 100 921,661 921,661 March Quarter 90 99.75 1,095,357 1,095,597 June Quarter 90 99.86 5,809,295 5,796,095

Notes: Percentage of accounts paid on time is based on SAP Payment Analysis Report, which compares vendor payment terms, invoice document date and payment document date to determine if payment was made on time, and if not, how many days it was late. The dollar value is the actual dollar value of the documents in each column (i.e. paid on time, not paid on time), so the percentage is based on documents, not dollar value.

Penalty Interest Paid There was no penalty interest paid during financial year 2011/12.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 101 Financial Reporting

HNCMA State Wide Target Report 2011-12

Prev Exp 2011 -2012

SAP HNCMA Total Expenditure INCLUDES RECURRENT Exp Plan Current SAP 2010/11 fy actual YtD and depreciation as per IP Exp Plan Expenditure by State-Wide Target $ mill % $ mill % $ mill % $ mill % By 2015 there is an increase in native vegetation extent 1 1.949 11.6 1.860 8.1 2.083 10.5 2.161 8.3 and an improvement in native vegetation condition. By 2015 there is an increase in the number of sustainable 2 0.736 4.5 0.353 3.2 0.688 3.5 0.717 3.0 populations of a range of native fauna species. By 2015 there is an increase in the recovery of threatened 3 0.709 4.3 0.689 3.2 0.694 3.5 0.718 2.5 species, populations and ecological communities. By 2015 there is a reduction in the impact of 4 1.039 6.3 0.772 4.2 0.805 4.1 0.846 3.3 invasive species. By 2015 there is an improvement in the condition of 5 6.813 41.4 2.888 62.5 1.363 6.9 1.082 6.5 riverine ecosystems. 5a Smart Farms 0.000 0.0 0.126 0.0 8.330 42 8.332 47.8 By 2015 there is an improvement in the ability of 6 groundwater systems to support groundwater 0.000 0.0 0.000 0.0 0.090 0.5 0.347 0.5 dependent ecosystems and designated beneficial uses. By 2015 there is an improvement in the condition 8 of important wetlands, and the extent of those wetlands 0.719 4.4 0.444 2.1 0.500 2.5 0.518 1.9 is maintained. By 2015 there is an improvement in the condition of 9 0.467 2.8 0.356 1.9 0.359 1.8 0.389 1.3 estuaries and coastal lake ecosystems. 10 By 2015 there is an improvement in soil condition. 1.671 10.1 0.402 6.2 1.214 6.1 1.236 6.1 By 2015 there is an increase of the area of land that is 11 0.977 5.9 0.880 3.4 0.931 4.7 0.961 4.5 managed within its capability. Natural resource decisions contribute to improving or 12 0.845 5.1 1.064 3.2 1.704 8.6 1.737 9.6 maintaining economic sustainability and social well-being. There is an increase in the capacity of Nat Res managers 13 0.547 3.3 0.652 1.9 1.053 5.3 0.956 4.6 to contribute to regionally relevant NR management.

HNCMA Total Expenditure 16.47 10.486 19.813 20.000

by State-Wide Themes Biodiversity 4.433 26.9 3.674 34.0 4.269 21.5 4.442 22.2 Water 7.999 48.6 3.814 35.1 10.642 53.7 10.668 53.3 Land 2.648 16.1 1.282 11.8 2.146 10.8 2.197 11.0 Community 1.392 8.5 1.716 15.8 2.756 13.9 2.693 13.5

102 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Financial Statements

For the financial year ended 30 June 2012

Financial Statement Contents

Statement by Board Members 104

Independent Auditor’s Report 105-106

Statement of comprehensive income 107

Statement of financial position 108

Statement of changes in equity 109

Statement of cash flows 110

Notes to and forming part of the financial statements 111-133

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 103 Financial Statements

STATEMENT BY BOARD MEMBERS Certificate under Section 41 C (1B) and (1C) of the Public Finance and Audit Act 1983

Pursuant to the Public Finance and Audit Act, 1983, we declare that in our opinion: a. The accompanying financial statements exhibit a true and fair view of the financial position of the Hawkesbury-Nepean Catchment Management Authority as at 30 June 2012, and transactions for the year ended. b. The financial statements have been prepared in accordance with:

• The applicable Australian Accounting Standards, which include Australian Accounting Interpretations and other mandatory professional reporting requirements; and

• The requirements of the Public Finance and Audit Act 1983, the Public Finance and Audit Regulation 2010 and the Treasurer’s Directions.

• The Financial reporting directions published in the Financial Reporting Code for NSW Government Sector Entities or issued by the Treasurer c. There are no circumstances which would render any particulars included in the financial statements to be misleading or inaccurate.

For and on behalf of the Board

R. Seldon R. Wilson BA(Hons) FCPA MACS Chairman Chairman of Finance, Audit & Risk Management Committee & Board Member

Dated: 28 September 2012

104 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Independent Auditor’s Report Hawkesbury-Nepean Catchment Management Authority

To Members of the New South Wales Parliament I have audited the accompanying financial statements of the Hawkesbury-Nepean Catchment Management Authority (the Authority), which comprises the statement of financial position as at 30 June 2012, the statement of comprehensive income, statement of changes in equity and statement of cash flows for the year then ended, notes comprising a summary of significant accounting policies and other explanatory information.

Opinion In my opinion, the financial statements: • give a true and fair view of the financial position of the Authority as at 30 June 2012, and of its financial performance for the year then ended in accordance with Australian Accounting Standards • are in accordance with section 41B of the Public Finance and Audit Act 1983 (the PF&A Act) and the Public Finance and Audit Regulation 2010. My opinion should be read in conjunction with the rest of this report.

The Board’s Responsibility for the Financial Statements The members of the Board are responsible for the preparation of the financial statements that give a true and fair view in accordance with Australian Accounting Standards and the PF&A Act, and for such internal control as the members of the Board determine is necessary to enable the preparation of the financial statements that are free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility My responsibility is to express an opinion on the financial statements based on my audit. I conducted my audit in accordance with Australian Auditing Standards. Those standards require that I comply with relevant ethical requirements relating to audit engagements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal controls relevant to the Authority’s preparation of the financial statements that five a true and fair view in order to design audit procedures appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Authority’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by the members of the Board, as well as evaluating the overall presentation of the financial statements.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 105 Financial Statements

I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my audit opinion. My opinion does not provide assurance: • about the future viability of the Authority • that it has carried out its activities effectively, efficiently and economically • about the effectiveness of its internal control • about the security and controls over the electronic publication of the audited financial statements on any website where they may be presented • about any other information which may have been hyperlinked to/from the financial statements • about the assumptions used in formulating the budget figures disclosed in the financial statements.

Independence In conducting my audit, I have complied with the independence requirements of the Australian Auditing Standards and other relevant ethical pronouncements. The PF&A Act further promotes independence by: • providing that only Parliament, and not the execute government, can remove an Auditor-General • mandating the Auditor-General as auditor of public sector agencies, but precluding the provision of non-audit services, thus ensuring the Auditor-General and the Audit Office of New South Wales are not compromised in their role by the possibility of losing clients or income.

Peter Barnes Director, Financial Audit Services 12 October 2012 SYDNEY

106 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Start of audited financial statements

Statement of comprehensive income for the year ended 30 June 2012

Actual 2012 Budget 2012 Actual 2011 NOTES $’000 $’000 $’000

Revenue Grants and Contributions 3 19,356 8,380 15,832 Investment Income 4 222 75 204 Other income 5 393 8,196 393

Total revenue 19,971 16,651 16,429

Expenses excluding losses Employee related expenses 6 17 5 21 Personnel services expenses 6 5,254 - 5,063 Other operating expenses 6 2,468 11,717 3,913 Depreciation and amortisation 6 45 64 44 Grants & subsidies 6 12,216 5,061 7,416

Total expenses excluding losses 20,000 16,847 16,457

Gain / (loss) on disposal 7 - - (11)

NET RESULT (29) (196) (39)

Other comprehensive income - - -

TOTAL COMPREHENSIVE INCOME (29) (196) (39)

The above statement of comprehensive income is to be read in conjunction with the attached notes.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 107 Financial Statements

Statement of financial position as at 30 June 2012

Actual 2012 Budget 2012 Actual 2011 NOTES $’000 $’000 $’000

ASSETS Current Assets Cash and cash equivalents 8, 14 2,811 3,523 3,932 Receivables 9 937 95 445

Total current assets 3,748 3,618 4,377

Non-current assets Property, plant and equipment Leasehold improvements 10 20 37 37 Plant and equipment 10 76 37 79 Total property, plant and equipment 96 74 116

Total non-current assets 96 74 116

Total assets 3,844 3,692 4,493

LIABILITIES Current liabilities Payables 11 2,434 2,695 3,039 Provisions 12 658 454 675

Total current liabilities 3,092 3,149 3,714

Non-current liabilities Provisions 12 108 105 106

Total non-current liabilities 108 105 106

Total liabilities 3,200 3,254 3,820

Net assets 644 438 673

EQUITY Accumulated Funds 644 438 673

Total equity 644 438 673

The above statement of financial position is to be read in conjunction with the attached notes.

108 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Statement of changes in equity for the year ended 30 June 2012

Accumulated Total Funds $’000 $’000

Balance as at 1 July 2011 Net Result for the year 673 673

Other comprehensive income for the year (29) (29)

Balance as at 30 June 2012 644 644

Balance as at 1 July 2010 712 712 Net Result for the year (39) (39)

Other comprehensive income for the year - -

Balance as at 30 June 2011 673 673

The above statement of changes in equity is to be read in conjunction with the attached notes.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 109 Financial Statements

Statement of cash flows for the year ended 30 June 2012

Actual 2012 Budget 2012 Actual 2011 NOTES $’000 $’000 $’000

Cash flows from operating activities Payments Employee related (17) (5) (21) Personnel services expenses (4,865) - (4,555) Grants and subsidies (12,216) (5,061) (7,416) Other (4,831) (12,086) (6,638)

Total payments (21,929) (17,152) (18,630)

Receipts Interest 222 75 204 Grants and contributions 17,951 - 15,200 Other 2,660 16,691 3,724

Total receipts 20,833 16,766 19,128

Net cash flows from operating activities 14 (1,096) (386) 498

Cash flows from investing activities Purchase of plant and equipment & intangibles (25) (23) (55)

Net cash flows from investing activities (25) (23) (55)

Net increase in cash and cash equivalents (1,121) (409) 443

Opening cash and cash equivalents 3,932 3,932 3,489

Closing cash and cash equivalents 8 2,811 3,523 3,932

The above statement of cash flows is to be read in conjunction with the attached notes.

110 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Notes to and forming part of the financial statements for the year ended 30 June 2012

Note 1 - Reporting entity The Hawkesbury-Nepean Catchment Management Authority (the Authority) was established pursuant to the Catchment Management Authorities Act 2003. The objects of the Act are: a. to establish Authorities for the purpose of devolving operational, investment and decision-making natural resource functions to catchment levels; b. to provide for proper natural resource planning at a catchment level; c. to ensure that decisions about natural resources take into account appropriate catchment issues; d. to require decisions taken at a catchment level to take into account State-wide standards and to involve the Natural Resources Commission in catchment planning where appropriate; e. to involve communities in each catchment in decision making and to make best use of catchment knowledge and expertise; f. to ensure the proper management of natural resources in the social, economic and environmental interests of the State; g. to apply sound scientific knowledge to achieve a fully functioning and productive landscape; and h. to provide a framework for financial assistance and incentives to landholders in connection with natural resource management. The Authority is a Statutory Body and a separate reporting entity. There are no other entities under its control. The reporting entity is consolidated as part of the NSW Total State Sector Accounts. The Authority is a not-for-profit entity (as profit is not its principal objective) and it has no cash- generating units. These financial statements have been authorised for issue by the Board of the Authority on 28 September 2012.

NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The following significant policies have been adopted in the preparation and presentation of the financial statements:

(a) Basis of preparation The Authority’s financial statements are general purpose financial statements which have been prepared in accordance with:

• The applicable Australian Accounting Standards, which include Australian Accounting Interpretations and other mandatory professional reporting requirements;

• The requirements of the Public Finance and Audit Act 1983, Public Finance and Audit Regulation 2010, and the Treasurers Directions.

• The Financial reporting directions published in the Financial Reporting Code for NSW Government Sector Entities or issued by the Treasurer Property, plant and equipment, assets (or disposal groups) held for sale and financial assets at ‘fair value through profit or loss’ and available for sale are measured at fair value. Other financial statement items are prepared in accordance with the historical cost convention. All amounts are rounded to the nearest one thousand dollars and are expressed in Australian currency.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 111 Financial Statements

Notes to and forming part of the financial statements for the year ended 30 June 2012

(b) statement of compliance The financial statements and notes comply with the Australian Accounting Standards, which include Australian Accounting Interpretations.

(c) significant accounting judgements, estimates and assumptions (i) Significant accounting judgement In the preparation of the financial statements, management is required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgements. Actual results may vary from these estimates. Key judgements are disclosed as part of accounting policies notes. (ii) Significant accounting estimates and assumptions The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. Judgements made by management in the application of the Australian Accounting Standards that have significant effects on the financial statements and estimates, with a significant risk of material adjustments in the next year are disclosed, where applicable, in the relevant notes to the financial statements.

(d) revenue recognition Revenue is measured at the fair value of the consideration or contribution received or receivable. Additional comments regarding the accounting policies for the recognition of revenue are discussed below: (i) Contributions from Government and other bodies are generally recognised as income when the authority obtains control or the right to receive the contributions. Control over contributions is normally obtained upon the receipt of cash. (ii) Sale of Goods: Revenue from the sale of goods is recognised as revenue when the authority transfers the significant risks and rewards of ownership of the assets. (iii) Rendering of Services: Revenue is recognised when the service is provided or by reference to the stage of completion (based on labour hours incurred to date). (iv) Investment Income: Interest revenue is recognised using the effective interest method as set out in AASB 139 Financial Instruments: Recognition and Measurement.

112 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Notes to and forming part of the financial statements for the year ended 30 June 2012

(e) insurance The Authority’s activities are insured through the NSW Treasury Managed Fund scheme of self insurance for Government agencies. The premium expense is determined by the Liability Fund Manager based on past experience and the insurance coverage is reviewed periodically to ensure that it is adequate.

(f) accounting for the Goods and Services Tax (GST) Revenues, expenses and assets are recognised net of the amount of GST, except:

• The amount of GST incurred by the Authority as a purchaser that is not recoverable from the Australian Taxation Office is recognised as part of the cost of acquisition of an asset or as part of an item of expense, and

• Receivables and payables are stated with the amount of GST included. The net amount of GST recoverable from or payable to the Australian Taxation Office is included as part of receivables or payables respectively. Cash flows are included in the statement of cash flows on a gross basis. However, the GST components of cash flows arising from investing and financing activities which is recoverable from, or payable to, the Australian Taxation Office are classified as operating cash flows.

(g) acquisition of assets The cost method of accounting is used for the initial recording of all acquisitions of assets controlled by the Authority. Cost is the amount of cash or cash equivalents paid or the fair value of the other consideration given to acquire the asset at the time of its acquisition or construction or, where applicable, the amount attributed to the asset when initially recognised in accordance with the specific requirements of other Australian Accounting Standards. Assets acquired at no cost, or for nominal consideration during the year, are initially recognised as assets and revenues at their fair value at the date of acquisition. Fair value is the amount for which an asset could be exchanged between knowledgeable, willing parties in an arm’s length transaction. Where payment for an asset is deferred beyond normal credit terms, its cost is the cash price equivalent, i.e. deferred payment amount is effectively discounted at an asset-specific rate.

(h) capitalisation thresholds Property, plant and equipment and intangible assets costing $5,000 and above individually (or forming part of a network costing more than $5,000) are capitalised. All amounts below $5,000 are expensed to profit and loss as incurred.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 113 Financial Statements

Notes to and forming part of the financial statements for the year ended 30 June 2012

(i) revaluation of plant and equipment Physical non-current assets are valued in accordance with the “Valuation of Physical Non-Current Assets at Fair Value” Policy and Guidelines Paper (TPP 07-01). This policy adopts fair value in accordance with AASB 116 Property, Plant and Equipment and AASB 140 Investment Property. Property, plant and equipment is measured on an existing use basis, where there are no feasible alternative uses in the existing natural, legal, financial and socio-political environment. However, in the limited circumstances where there are feasible alternative uses, assets are valued at their higher and best use. Fair value of property, plant and equipment is determined based on the best available market evidence, including current market selling price for the same or similar assets. Where there is no available market evidence, the asset’s fair value is measured at its market buying price, the best indicator of which is depreciated replacement cost. The Authority revalues each class of property, plant and equipment at least every five years or with sufficient regularity to ensure that the carrying amount of each asset in the class does not differ materially from its fair value at reporting date. Non-specialised assets with short useful lives are measured at depreciated historical cost, as a surrogate for fair value. When revaluing non-current assets by reference to current prices for assets newer than those being revalued (adjusted to reflect the present condition of the assets), the gross amount and the related accumulated depreciation are separately restated. For other assets, any balances of accumulated depreciation at the revaluation date in respect of those assets are credited to the asset accounts to which they relate. The net assets accounts are then increased or decreased by the revaluation increments or decrements. Revaluation increments are credited directly to the asset revaluation reserve, except that, to the extent that an increment reverses a revaluation decrement in respect of that class of asset previously recognised as an expense in the net result, the increment is recognised immediately as revenue in the net result. Revaluation decrements are recognised immediately as expenses in the net result, except that, to the extent that a credit balance exists in the asset revaluation reserve in respect of the same class of asset, they are debited directly to the asset revaluation reserve. As a not-for-profit entity, revaluation increments and decrements are offset against one another within a class of non-current assets but not otherwise. Where an asset that has previously been revalued is disposed of, any balance remaining in the asset revaluation reserve in respect of that asset is transferred to accumulated funds.

(j) impairment of property, plant and equipment As a not-for-profit entity with no cash-generating units, the Authority is effectively exempt for AASB 136 Impairment of assets and impairment testing. This is because AASB 136 modifies the recoverable amount test to the higher of fair value less costs to sell and depreciated replacement cost. This means that, for an asset already measured at fair value, impairment can only arise if selling costs are material. Selling costs are regarded as immaterial.

114 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Notes to and forming part of the financial statements for the year ended 30 June 2012

(k) depreciation and amortisation of property, plant and equipment Depreciation is provided for on a straight line basis for all depreciable assets, as detailed below, so as to write off the depreciable amount of each asset as it is consumed over its useful life to the Authority. All material separately identifiable components of assets are depreciated over their shorter useful lives. Estimates of remaining useful lives are made on a regular basis for all assets, with annual reassessments for major items. Land is not a depreciable asset. The following depreciation and amortisation rates were applied in 2011/12 and 2010/11:

2011/12 2010/11 Leasehold Improvement Life of lease Life of lease

Plant and equipment: Motor Vehicles 20% 20% Furniture and fittings 10% 10% Plant and equipment 14.29% - 20% 14.29% - 20%

(l) major inspection costs When each major inspection is performed, the labour cost of performing inspections for faults is recognised in the carrying amount of an asset as a replacement of a part, if the recognition criteria are satisfied.

(m) restoration costs The estimated cost of dismantling and removing an asset and restoring the site is included in the cost of an asset, to the extent it is recognised as a liability.

(n) maintenance The day-to-day servicing or maintenance costs are charged as expenses as incurred, except where they relate to the replacement of a part or component of an asset, in which case the costs are capitalised and depreciated.

(o) investments Investments are initially recognised at fair value plus, in the case of investments not at fair value through profit or loss, transactions costs. The Authority determines the classification of its financial assets after initial recognition and, when allowed and appropriate, re-evaluates this at each financial year end. • Fair value through profit or loss - The Hour Glass Investment Facilities are designated at fair value through profit or loss using the second leg of the fair value option i.e. these financial assets are managed and their performance is evaluated on a fair value basis. In accordance with the Authority’s risk management strategy, information about these assets is provided internally on that basis to the Authority’s key management personnel. Designation at fair value through profit or loss is consistent with the Authority’s risk management policy. The movement in the fair value of the Hour Glass Investment facilities incorporates distributions received as well as unrealised movements in fair value and is reported in the line item ‘investment revenue’.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 115 Financial Statements

Notes to and forming part of the financial statements for the year ended 30 June 2012

(p) impairment of financial assets All financial assets, except those measured at fair value through profit and loss, are subject to an annual review for impairment. An allowance for impairment is established when there is objective evidence that the Authority will not be able to collect all amounts due. For financial assets carried at amortised cost, the amount of the allowance is the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted at the effective interest rate. The amount of the impairment loss is recognised in the net result for the year. Any reversal of impairment losses are reversed through net result for the year, where there is objective evidence, except reversals of impairment losses on an investment in an equity instrument classified as “available for sale” must be made through the reserve. Reversals of impairment losses of financial assets carried at amortised cost cannot result in a carrying amount that exceeds what the carrying amount would have been had there not been an impairment loss.

(q) derecognition of financial assets and financial liabilities A financial asset is derecognised when the contractual rights to the cash flows from the financial assets expire; or if the Authority transfers the financial asset:

• Where substantially all the risks and rewards have been transferred or;

• Where the Authority has not transferred substantially all the risks and rewards, but has not retained control. Where the Authority has neither transferred nor retained substantially all the risks and rewards of ownership or transferred control, the asset is recognised to the extent of the Authority’s continuing involvement in the asset, and an associated liability for amounts it may have to pay.

(r) other assets Other assets are recognised on a cost basis.

(s) receivables Receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. These financial assets are recognised initially at fair value, usually based on the transaction cost or face value. Subsequent measurement is at amortised cost using the effective interest method, less an allowance for any impairment of receivables. Any changes are accounted for in the statement of comprehensive income when impaired, derecognised or through the amortisation process. Short term receivables with no stated interest rate are measured at the original invoice amount where the effect of discounting is immaterial.

116 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Notes to and forming part of the financial statements for the year ended 30 June 2012

(t) liabilities (i) Payables These amounts represent liabilities for goods and services provided to the Authority and other amounts. Payables are recognised initially at fair value, usually based on the transaction cost or face value. Subsequent measurement is at amortised cost using the effective interest method. Short-term payables with no stated interest rate are measured at the original invoice amount where the effect of discounting is immaterial. (ii) Personnel Services a. Personnel services The Authority does not employ staff but utilises the personnel services of the Department of Trade and Investment, Regional Infrastructure and Services (DTIRIS) The costs of personnel services in respect of wages and salaries, superannuation, annual leave, long service leave, and for sick leave are recognised when it is probable that settlement will be required and they are capable of being measured reliably. Provisions made in respect of benefits that fall due within 12 months are measured at their nominal values using the remuneration rate expected to apply at the time of settlement. Provisions made in respect of employee benefits which do not fall due within 12 months are measured at the present value of the estimated future cash outflows to be made by the Authority in respect of services provided by employees up to reporting date. The outstanding amounts of payroll tax, workers compensation insurance premium and fringe benefits tax, which are consequential to employment are recognised as liabilities and expenses when the benefits to which they relate have been recognised. Unused non-vesting sick leave does not give rise to a liability as it is not considered probable that sick leave taken in the future will be greater than the benefits accrued in the future. b. Defined contribution plans Contribution to a defined contribution funds, such as Basic Benefit and First State Super, are expensed when incurred. It is calculated as a percentage of the employees’ salary. In 2011/12 and 2010/11, 9% was contributed. c. Long service leave and defined benefits superannuation The Authority has no liability for long service leave and defined benefit superannuation. Personnel services are acquired from the Department of Trade and Investment, Regional Infrastructure and Services and the liability of these items has been assumed by the Crown Entity. d. Provision for restoration of leased premises A provision has been made for the present value at anticipated costs for future restoration of leased premises. Changes to the estimated future costs are recognised in the Statement of financial position.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 117 Financial Statements

Notes to and forming part of the financial statements for the year ended 30 June 2012

(u) assistance provided by other organisations at no cost to the CMA The maintenance of the Authority’s accounting records and provision of corporate services (excluding IT services) were provided by ServiceFirst a unit of the Department of Finance and Services and the Department of Trade and Investment, Regional Infrastructure and Services, under the provisions of the Corporate Services, Service Level Agreement. Some agreed services were provided by “ServiceFirst” on a cost recovery basis. The Office of Environment and Heritage a unit of the Department of Premier and Cabinet, provide services on native vegetation and environmental issues. The Department of Finance and Services, Department of Trade and Investment, Regional Infrastructure and Services and Department of Premier and Cabinet have advised that they are unable to reliably estimate the fair value of these services to individual Authorities. In addition, other organisations including community groups provide in kind assistance at no cost to the CMA.

(v) Budgeted Amounts The budgeted amounts are drawn from the original budgeted financial statements presented to Parliament in respect of the reporting period, as adjusted for section 24 of the PFAA where there has been a transfer of functions between departments. Other amendments made to the budget are not reflected in the budgeted amounts. Refer to Note 13.

(w) comparative information Except where an Australian Accounting Standard permits or requires otherwise, comparative information is disclosed in respect of the previous period for all amounts reported in the financial statements.

(x) new Australian accounting standards issued but not effective In the current year the Authority has adopted all of the new and revised Standards and Interpretations issued by the AASB that are relevant to the operations and effective for the current reporting period. Details of the impact of the adoption of these new accounting standards are set out in the individual accounting policies notes in the financial statements. Certain new accounting standards and interpretations have been published that are not mandatory for 30 June 2012 reporting period. In accordance with the NSW Treasury mandate (TC 12/04), the Authority did not early adopt any of these accounting standards and interpretations that are not yet effective. The Authorities assessment of the impact of these new standards and interpretations is that they will not materially affect any of the amounts recognised in the financial statements or significantly impact the disclosures in relation to the Authority. It is considered that the impact of these new standards and interpretations in future years will have no material impact on the financial statements of the Authority.

118 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Notes to and forming part of the financial statements for the year ended 30 June 2012

NOTE 3 - GRANTS AND CONTRIBUTIONS

2012 2011 $’000 $’000

Contributions received from: Joint State / Commonwealth contributions (i) 5,071 4,963 Operating grant funding (i) 3,139 3,110 Other contributions (ii) Smart Farms Australia 8,321 5,965 Commonwealth CFOC contestable 895 632 Sydney Catchment Authority 570 558 Other 1,360 604

19,356 15,832

(i) Contributions were received from the Department of Trade and Investment, Regional Infrastructure and Services, towards achieving pre-negotiated natural resources management outcomes. (ii) Other contributions were received from third parties for specific agreed works towards achieving natural resource management outcomes.

NOTE 4 – INVESTMENT INCOME

2012 2011 $’000 $’000

Interest – CMA operating bank account 100 75 Interest – TCorp Investment account 122 129

222 204

NOTE 5 – OTHER INCOME

2012 2011 $’000 $’000

Other 2 13 The following liabilities and / or expenses have been assumed by the Crown Entity or other government entities. Liability assumed by the crown - Long Service leave 276 178 - Superannuation 108 192 - Payroll Tax 7 10

393 393

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 119 Financial Statements

Notes to and forming part of the financial statements for the year ended 30 June 2012

NOTE 6 – EXPENSES excluding losses

2012 2011 $’000 $’000

Employee related expenses Contractors and other short term staff 17 21

17 21

Personnel services expenses

Salaries and wages (including recreation leave) 4,174 4,106

Staff on-costs 1,080 957

5,254 5,063

Other operating expenses Auditors remuneration (i) 17 18 Board member’s remuneration (ii) 132 133 Board member’s and committees costs 23 37 Fees for services (iii) 651 1,347 Insurance 9 36 Operating lease expenses – minimum lease payments 428 480 Accommodation and related expenses 131 122 Stores, materials and minor equipment (iii) 688 1,251 Plant / vehicle expenses (iii) 150 162 Travel 83 80 Advertising 113 164 Other 43 83

2,468 3,913 Depreciation and amortisation 45 44

Grants and subsidies Caring for Our Country 1,421 1,488 NSW Catchment Action 1,233 652 Smart Farms Australia 7,903 4,598 Other 1,659 678

12,216 7,416

Total 20,000 16,457

120 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Notes to and forming part of the financial statements for the year ended 30 June 2012

(I) Audit fee to The Audit Office of New South Wales for audit of financial statement. The auditors received no other benefits. (ii) Board members received no other benefits. (iii) Include expenses relating to on-ground activities.

NOTE 7 – GAIN / (LOSS) ON DISPOSAL

2012 2011 $’000 $’000

Gain / (Loss) on disposal of property, plant & equipment Written down value of assets disposed - 11

Net loss on asset disposed - (11)

NOTE 8 - Current Assets – Cash and cash equivalents

2012 2011 Current assets – Cash and cash equivalents $’000 $’000

Cash at bank and on hand 2,375 1,869 NSW Treasury Corporation – Hour Glass cash facility 436 2,063

2,811 3,932

Also refer to Note 14 – Notes to the Cash Flow Statement and Note 17 - Financial Instruments.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 121 Financial Statements

Notes to and forming part of the financial statements for the year ended 30 June 2012

NOTE 9 - Current assets - Receivables

2012 2011 $’000 $’000

Accounts receivable 708 211 Less: Allowance for impairment (1) (24) 707 187 Goods & services tax recoverable 209 185 Accrued income 3 55 Other amounts receivable 18 18

937 445

Allowance for Impairment: Opening balance (24) (20) Decrease / (increase) in allowance 23 (4)

Closing balance (1) (24)

Debts written off during the period amounted to $10,650 (2011 - $nil) Details regarding credit risk, liquidity risk and market risk, including financial assets that are either past due or impaired, are disclosed in Note 17.

NOTE 10 - Non-current assets – plant and equipment

Leasehold Plant & Total Improvements Equipment $’000 $’000 $’000

At 1 July 2011 Gross carrying amount 87 205 292 Accumulated depreciation and amortisation (50) (126) (176)

Net carrying amount 37 79 116

At 30 June 2012 Gross carrying amount 87 229 316 Accumulated depreciation and amortisation (67) (153) (220)

Net carrying amount 20 76 96

122 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Notes to and forming part of the financial statements for the year ended 30 June 2012

Reconciliation A reconciliation of the carrying amount of each class of property, plant and equipment at the beginning and end of the current reporting year is set out below.

Leasehold Plant & Total Improvements Equipment $’000 Year ended 30 June 2012 $’000 $’000

Net carrying amount at start of year 37 79 116

Additions - 25 25

Depreciation and amortisation expense (17) (28) (45)

Net carrying amount at end of year 20 76 96

NOTE 11 - Current liabilities - Payables

2012 2011 $’000 $’000

Accrued personnel services 89 76 Creditors 1,536 340 Accruals 253 161 Other 556 2,462

2,434 3,039

Details regarding credit risk, liquidity risk and market risk, including the maturity analysis of the above payables, are disclosed in Note 17.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 123 Financial Statements

Notes to and forming part of the financial statements for the year ended 30 June 2012

NOTE 12 – Current / non-current liabilities – Provisions

2012 2011 Personnel services and related on-costs $’000 $’000

Personnel services provision 399 472 On-costs 269 211

Aggregate personnel services and related on-costs 668 683 Restoration of lease premises 98 98 Total provisions 766 781 Provisions – current 658 675 Provisions – non current 108 106

766 781

All current provisions are expected to be payable within the next 12 months.

Movement in provisions (other than employee benefits)

2012 2011 Provision for leased premises $’000 $’000

Carrying amount at beginning of the financial year 98 61 Additional provisions recognised - 37

Carrying amount at end of financial year 98 98

NOTE 13 – Budget review The Catchment Management Authority’s Income and Expenditure budgets are allocated by NSW Treasury on a source of funds and category basis. The actual figures in these Financial Statements are on a total funds basis. Therefore a reliable comparison between budget and actual figures should only be made in total.

124 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Notes to and forming part of the financial statements for the year ended 30 June 2012

In this table below the Actual and Budget figures have been realigned on a more consistent basis. The Statement of Comprehensive Income for the year ended 30 June 2012 would then look as follows. Actual figures are aligned with the Treasury Budget and variances explained:

Actual Budget Variance Explanation $’000 $’000 $’000

REVENUE Grants & contributions (Treasury allocated funds) Recurrent operating 3,139 3,139 0 NSW Catchment Action 2,144 2,144 0 Commonwealth Caring for our Country 2,917 2,917 0 Long service leave & superannuation 391 180 211 Change in Treasury LSL calculation rates Investment Income Interest on bank and NSW TCorp 222 75 147 Other revenues Additional funding obtained by the Other revenues and contributions 11,158 8,196 2,962 Authority from external sources other than Treasury.

TOTAL REVENUE 19,971 16,651 3,320

EXPENSES Employee related expenses Contractors & short term staff 0 5 (5) Other Operating expenses

Personnel services 3,343 2,616 727 Increase in expenditure as a result of the Other operating 11,551 9,101 2,450 additional funding received Depreciation 45 64 (19) Grants & Subsidies (Treasury investment funding) Personnel services 1,910 2,585 (675) Other operating 3,151 2,476 675

TOTAL EXPENSES 20,000 16,847 3,153

NET RESULT (29) (196) 167

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 125 Financial Statements

Notes to and forming part of the financial statements for the year ended 30 June 2012

The budget process is finalised prior to the beginning of each financial year. Events can arise after finalisation that necessitates variations to the planned activities of the Authority for that year. This in turn may cause variations to the financial activities. Main reasons for variations are outlined below Net Result The Authority generated an additional $3.0m of natural resource investment funding from various external sources. This increase in funding allowed the Authority to increase its expenditure. This result was better than budget. Assets and liabilities Net asset variance is in Receivables, which includes accrued contracts with the Commonwealth for Biodiversity and Bio funds. These funds were not received before year end, resulting in a lower cash at bank than the budgeted amount. Cash flows Increase in both expenditure and revenue above budget is due to increase funding obtained by the Authority.

NOTE 14 - NOTES TO THE CASH FLOW STATEMENT Cash For the purpose of the Statement of Cash Flows, cash includes cash on hand, in banks and investments in NSW Treasury Corporation Hour Glass facilities. Cash at the end of the financial year as shown in the Statement of Cash Flows is reconciled to the Statement of Financial Position in Note 8.

2012 2011 $’000 $’000

Cash and cash equivalents – Note 7 2,811 3,932

Closing cash and cash equivalents (per Statement of cash flows) 2,811 3,932

Reconciliation of cash flows from operating activities to net result

2012 2011 $’000 $’000

Net cash used on operating activities (1,096) 498

Loss on Disposal - (11) Depreciation and amortisation (45) (44) (Decrease) / Increase in receivables 491 8 Decrease / (Increase) in payables 606 (381) (Increase) / Decrease in provisions 15 (109)

Net result (29) (39)

126 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Notes to and forming part of the financial statements for the year ended 30 June 2012

The Authority operates on a multi year investment strategy, consequently the net result for any one financial year should not be viewed in isolation.

NOTE 15 - Commitments for expenditure

2012 2011 (a) Operating lease commitments $’000 $’000

Aggregate operating lease commitments for office accommodation, motor vehicles and computer equipment. Contracted but not provided for at balance date, payable: Not later than one year 459 469 Later than one year and not later than 5 years 424 431

Total (including GST) 883 900

The commitments above include GST of $78,722, (2011: $81,764) expected to be recoverable from the Australian Taxation Office. Operating lease commitments include contracted amounts for various offices and motor vehicles under operating lease contracts. Office leases vary from 1 to 10 years with, in some cases, options to extend. These leases have various escalation clauses. On renewal, the terms of the leases are renegotiated

2012 2011 (b) Natural resources investment projects commitments $’000 $’000

Aggregate commitments under contract for projects to deliver agreed natural resource outcomes. Contracted but not provided for at balance date, payable: Not later than one year 18 235

Total (including GST) 18 235

The commitments above include GST of $1,638, (2011: $19,108), expected to be recoverable from the Australian Taxation Office.

(c) Finance lease commitments The Authority did not have any finance lease commitments at balance date (2011: $Nil).

NOTE 16 - contingent liabilities / AsSETS There are no known contingent assets or liabilities at balance date.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 127 Financial Statements

Notes to and forming part of the financial statements for the year ended 30 June 2012

NOTE 17 - FINANCIAL INSTRUMENTS The Authority’s principal financial instruments are outlined below. These financial instruments arise directly from the Authority’s operations or are required to finance the Authority’s operations. The Authority does not enter into or trade financial instruments, including derivative financial instruments, for speculative purposes. The Authority’s main risks arising from financial instruments are outlined below, together with the Authority’s objectives, policies and processes for measuring and managing risk. Further quantitative and qualitative disclosures are included throughout this financial statement. The Authority’s Board has overall responsibility for the establishment and oversight of risk management and reviews and agrees policies for managing each of these risks. Risk management policies are established to identify and analyse the risks faced by the Authority, to set risk limits and controls and to monitor risks. Compliance with policies is reviewed by the Authority’s Board on a continuous basis. a. Financial instrument categories

Financial Assets Note Category Carrying Amount Carrying Amount

2012 2011 Class: $’000 $’000

Cash and cash equivalents 8 N/A 2,811 3,932 Receivables1 9 Loans and receivables (at amortised cost) 728 260

Financial Liabilities

Class:

Financial liabilities measured at Payables2 11 2,434 3,039 amortised cost

Notes: 1 Excludes statutory receivables and prepayments (i.e. not within scope of AASB 7). 2 Excludes statutory payables and unearned revenue (i.e. not within scope of AASB 7). b. Credit risk Credit risk arises when there is the possibility of the Authority’s debtors defaulting on their contractual obligations, resulting in a financial loss to the Authority. The maximum exposure to credit risk is generally represented by the carrying amount of the financial assets (net of any allowance for impairment). Credit risk arises from the financial assets of the Authority, including cash, receivables and Authority deposits. No collateral is held by the Authority. The Authority has not granted any financial guarantees. Credit risk associated with the Authority’s financial assets, other than receivables, is managed through the selection of counterparties and establishment of minimum credit rating standards. Authority’s deposits held with NSW TCorp are guaranteed by the State.

128 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Notes to and forming part of the financial statements for the year ended 30 June 2012

(i) Cash and cash equivalents Cash comprises cash on hand, in banks and investment with the NSW Treasury Corporation Hour Glass facilities. The NSW TCorp Hour Glass cash facility is discussed in para (d) below. (ii) Receivables - trade debtors All trade debtors are recognised as amounts receivable at balance date. Collectability of trade debtors is reviewed on an ongoing basis. Procedures as established in the Treasurer’s Directions are followed to recover outstanding amounts, including letters of demand. Debts which are known to be uncollectible are written off. An allowance for impairment is raised when there is objective evidence that the entity will not be able to collect all amounts due. This evidence includes past experience, and current and expected changes in economic conditions and debtor credit ratings. No interest is earned on trade debtors. Sales are made on 30 day terms. The Authority is not materially exposed to concentrations of credit risk to a single trade debtor or group of debtors. Based on past experience, debtors that are not past due 2012: $707,550; (2011: $175,780) and not less than 1 month past due (2012: $Nil; 2011: $19,000) are not considered impaired and together these represent 99% (2011: 92%) of the total trade debtors. Most of the Authority’s debtors have a good credit rating. The only financial assets that are past due or impaired are ‘sales of goods and services’ in the ‘receivables’ category of the statement of financial position.

Past due but Considered Total not impaired impaired $’000 $’000 $’000

2012 < 3 months overdue - - - 3 months – 6 months overdue - - - > 6 months overdue 1 - 1

2011 < 3 months overdue 19 19 - 3 months – 6 months overdue - - - > 6 months overdue 16 0 16

1. Each column in the table reports ‘gross receivables’; 2. The ageing analysis excludes statutory receivables, as these are not within the scope of AASB7 and excludes receivables that are not past due and not impaired. Therefore, the ‘total’ will not reconcile to the receivables total recognised in the statement of financial position. (iii) Other financial assets The Authority has placed funds on deposit with NSW TCorp, which has been rated “AAA” by Standard and Poor’s. These deposits are similar to money market or bank deposits and can be placed “at call” or for a fixed term. For fixed term deposits, the interest rate payable by NSW TCorp is negotiated initially and is fixed for the term of the deposit, while interest rate payable on at call deposits can vary.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 129 Financial Statements

Notes to and forming part of the financial statements for the year ended 30 June 2012

Deposits at 30 June 2012 were earning an interest rate 3.96% (2010/11 4.75%) while over the year the weighted average interest rate was 4.90% (2010/11 5.37%). None of these assets are past due or impaired. c. Liquidity risk Liquidity risk is the risk that the Authority will be unable to meet its payment obligations when they fall due. The Authority continuously manages risk through monitoring future cash flows to ensure adequate holding of cash. The objective is to maintain a balance between continuity of funding and expenditure. During the current and prior years, there were no defaults or breaches on any payables. No assets have been pledged as collateral. The Authority’s exposure to liquidity risk is deemed insignificant based on prior periods’ data and current assessment of risk. The liabilities are recognised for amounts due to be paid in the future for goods or services received, whether or not invoiced. Amounts owing to suppliers (which are unsecured) are settled in accordance with the policy set out in NSW Treasury Circular 11/12. For small business suppliers, where terms are not specified, payment is made not later than 30 days from date of receipt of a correctly rendered invoice. For other suppliers, if trade terms are not specified, payment is made no later than the end of the month following the month in which an invoice or a statement is received. For small business suppliers, where payment is not made within the specified period, simple interest must be paid automatically unless an existing contract specifies otherwise. For payments to other suppliers the Head of an authority (or a person appointed by the Head of an authority) may automatically pay the supplier simple interest. The rate of interest applied during the year was Nil% (2011: Nil%). The table below summarises the maturity profile of the Authority’s financial liabilities, together with the interest rate exposure.

Interest Rate Exposure Maturity Dates

Weighted Nominal Fixed Variable Average < 1 year 1-5 years > 5 years Amount Interest rate Interest rate Effective Int. $’000 $’000 $’000 $’000 $’000 $’000 2012 Payables Rate

Accrued salaries, wages N/A 89 - - 89 - - and on-costs Creditors N/A 2,345 - - 2,345 - -

2,434 - - 2,434 - -

2011 Payables Accrued salaries, wages N/A 76 - - 76 - - and on-costs Creditors N/A 2,963 - - 2,963 - -

3,039 - - 3,039 - -

130 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Notes to and forming part of the financial statements for the year ended 30 June 2012

d. Market risk Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. The Authority’s exposures to market risk are primarily through price risks associated with the movement in the unit price of the Hour Glass Investment facilities. The Authority does not have any borrowings. The Authority has no exposure to foreign currency risk and does not enter into commodity contracts. The effect on profit and equity due to a reasonably possible change in risk variable is outlined in the information below, for interest rate risk and other price risk. A reasonably possible change in risk variable has been determined after taking into account the economic environment in which the Authority operates and the time frame for the assessment (i.e. until the end of the next annual reporting period). The sensitivity analysis is based on risk exposures in existence at the statement of financial position date. The analysis is performed on the same basis for 2011. The analysis assumes that all other variables remain constant. e. Interest rate risk As the Authority has no interest bearing liabilities its exposure to interest rate risk is minimal. The Authority does not account for any fixed rate financial instruments at fair value through profit or loss or as available for sale. Therefore for these financial instruments a change in interest rates would not affect profit or loss or equity. A reasonably possible change of + / - 1% is used, consistent with current trends in interest rates. The basis will be reviewed annually and amended where there is a structural change in the level of interest rate volatility. The Authority’s exposure to interest rate risk is set out below.

$’000

Carrying amount -1% +1%

Profit Equity Profit Equity

2012 Financial assets Cash and cash equivalents 2,811 (28) (28) 28 28 Receivables 937 - - - - Financial liabilities Payables 2,434 - - - -

2011 Financial assets Cash and cash equivalents 3,932 (39) (39) 39 39 Receivables 446 - - - - Financial liabilities Payables 3,039 - - - -

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 131 Financial Statements

Notes to and forming part of the financial statements for the year ended 30 June 2012

f. Other price risk Exposure to ‘other price risk’ primarily arises through the investment in the NSW TCorp Hour Glass Investment facilities, which are held for strategic rather than trading purposes. The Authority has no direct equity investments. The Authority holds units in the following Hour Glass investment trusts:

Investment 2012 2011 Facility Investment Sectors Horizon $’000 $’000

Cash Facility Cash, Money market instruments Up to 2 years 436 2,063

The unit price of each facility is equal to the total fair value of net assets held by the facility divided by the total number of units on issue for that facility. Unit prices are calculated and published daily. The Authority uses Level 2 hierarchy for the Hour Glass Investment Cash Facility as the prices are observable, however, no active market exists for the facilities as they are only accessible to government agencies. NSW TCorp as trustee for each of the above facility is required to act in the best interest of the unitholders and to administer the trusts in accordance with the trust deeds. As trustee, NSW TCorp has appointed external managers to manage the performance and risks of each facility in accordance with a mandate agreed by the parties. However, NSW TCorp, acts as manager for part of the Cash Facility. A significant portion of the administration of the facilities is outsourced to an external custodian. Investment in the Hour Glass facilities limits Authority’s exposure to risk, as it allows diversification across a pool of funds, with different investment horizons and a mix of investments. NSW TCorp provides sensitivity analysis information for each of the facilities, using historically based volatility information collected over a ten-year period, quoted at two standard deviations (i.e., 95% probability). The NSW TCorp Hour Glass Investment facilities are designated at fair value through profit or loss and therefore any change in unit price impacts directly on profit (rather than equity). A reasonably possible change is based on the percentage change in unit price (as advised by NSW TCorp) multiplied by the redemption value as at 30 June each year for each facility (balance from Hour Glass statement).

Impact on profit / loss

Change in 2012 2011 unit price $’000 $’000

Hour Glass Investment Cash Facility + 1% 1 21 - 1% (1) (21) g. Fair value Financial instruments are generally recognised at cost, with the exception of the TCorp Hour Glass facilities, which are measured at fair value. As discussed, the value of the Hour Glass Investments is based on Authority’s share of the value of the underlying assets of the facility, based on the market value. All of the Hour Glass facilities are valued using ‘redemption’ pricing. The amortised cost of financial instruments recognised in the statement of financial position approximates the fair value, because of the short-term nature of many of the financial instruments.

132 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Notes to and forming part of the financial statements for the year ended 30 June 2012

NOTE 18 - After Balance Date Events

There are no significant events subsequent to balance date.

End of audited financial statements

After Balance Date Events - POST audit The Minister for Primary Industries and Small Business announced on the 4th October 2012 the amalgamation of Sydney Metropolitan Catchment Management Authority with Hawkesbury-Nepean Catchment Management Authority. The financial consequences of this are that certain assets have been transferred to HNCMA that have no funding sources identified for their ongoing operation post 2012/13. The Authority is seeking ways of resolving these issues.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 133 The scenic lower Hawkesbury River near Mangrove Creek is popular for recreational activities and supports many aquaculture industries including oyster farming and prawning. Appendices Government Information Disclosures

Public Access to HNCMA Information The Government Information (Public Access) Act 2009 was implemented on 1 July 2010 and replaced the former Freedom of Information Act 1989. The new legislation created a public right to access government information, with the exception of information which is deemed not to be in the public interest to release (S. 14). The new legislation required the HNCMA to implement a range of specific actions to promote easier community access to information through the HNCMA website and other means. The new legislation provides penalties for non compliance.

134 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Implementation of the Government Information (Public Access) Publication Guide Act 2009 is supported by the Government Information Under S 20 of the Act, Agencies must have a Publication (Information Commissioner) Act 2009 creating the Office of Guide. The Publication Guide is similar to the Statement of the Information Act and the Government Information (Public Affairs under FOI. Section 20 states: Access) (consequential amendments and Repeal) Act 2009 for the repeal of the Freedom of Information Act. • An agency (other than a Minister) must have a guide (its publication guide) that: The Objectives of the GIPA Act (S3) are: a. describes the structure and functions of the a. authorising and encouraging the proactive public agency, and release of government information by agencies, and b. describes the ways in which the functions b. giving members of the public an enforceable right to (including, in particular, the decision making access government information. And functions) of the agency affect members of the c. providing that access to government information is public, and restricted only when there is an overriding public c. specifies any arrangements that exist to enable interest against disclosure. members of the public to participate in the The legislation requires the HNCMA to ensure formulation of the agencies policy and the exercise of the agencies functions, and a. greater availability of open access documents (S. 18), d. identifies the various kinds of government b. the creation of a publications guide (within six months information held by the agency, and of the commencement of the Act) for approval by the Information Commissioner (Division 2), and for review e. identifies the kinds of government information held every 12 months, by the agency that the agency makes (or will make) publicly available, and c. Creation and publication of a register of government contracts with a value greater than $150,000 (Class 1 f. specifies the manner in which the agency makes Contracts), (if applicable), (or will make) government information publicly available, and g. identifies the kinds of information d. Creation and publication of a register of government that are (or will be) made publicly available free of contracts with a value greater than $5 million (Class 3 charge and those kinds for which a charge is (or contracts), (if applicable), will be) imposed. e. Establishment of an administrative process for processing access applications. Administration of The HNCMA Publication Guide was adopted on the 29 access applications for other information that is not October 2010 and is located on the HNCMA Internet site categorised as “open access”. www.hn.cma.nsw.gov.au. The HNCMA is required to review the document every 12 months, with approval by the The HNCMA received no requests for information under Information Commissioner. applications through the Government Information (Public Access) Act 2009 in 2011/12. This follows a similar pattern to previous years where the Information on the HNCMA HNCMA received no direct Freedom of Information Act 1989 The structure and functions of the HNCMA, how these (FOI ) requests. functions affect the public and how the public can participate in the HNCMA policy development are detailed elsewhere in this annual report and are available on the HNCMA’s Internet site. The HNCMA Board’s policy advocates public access to non confidential documents through the HNCMA web site or by personal contact through our local offices.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 135 Appendices

Documents held by the HNCMA Accessing and The HNCMA holds the following categories of documents: amending HNCMA documents • policy documents and correspondence; Administration of requests under the GIPA Act for access to • documents on internal administration; documents held by the HNCMA is the responsibility of the HNCMA’s Business Manager as the Rights to Information • policy, minutes and correspondence to/ from boards Officer (RIO). and committees; and • policy documents and correspondence concerning Formal applications for access to documents under the grants, agreements and contracts. provisions of the Government Information (Public Access) Act 2009 must be made in writing, either on an application form or by a letter and accompanied by the $30 application fee and Access to Information directed to: Under the GIPA there are 4 Key Release of Information The Business Manager (Rights to Information Officer) Hawkesbury-Nepean Catchment Management Authority Provisions, these are: Locked Bag 2048, Goulburn NSW 2580 1. Mandatory disclosure of open access information Phone: (02) 4828 6703 (published on website, free of charge); Fax: (02) 4828 6765 2. Proactive release (proactively release as much Further information on applications may be obtained by government information as possible, in an appropriate contacting the HNCMA Business Manager who can also manner and free of charge, or at the lowest provide advice to assist with completion of the application. reasonable cost); 3. Informal release (release of information in response to Copies of documents may be requested, or originals may be a request without the need for a formal application, made available for examination under certain circumstances. unless there is a good reason to require one); 4. Formal Access application (in limited circumstances, Processing a GIPA request access to information will require a formal access application. People have a right to access information The Business Manager or RIO, following the determination of in this way unless the GIPA Act provides a reason to validity, will acknowledge receipt and validity of any request withhold the information). within 5 working days. Processing timeframes are within 20 days for determination, however if processing time has to be extended the Business Manager (RIO) will keep the applicant Accessing the informed as to the progress of their application. There may be HNCMA’s documents a need for further communication between the applicant and the Rights to Information Officer. Policies and publications can be accessed in several ways: Access to documents may be refused if there is an overriding • Internet www.hn.cma.nsw.gov.au public interest against disclosure under s 5 of GIPA. The • HNCMA offices as listed elsewhere in this HNCMA will provide reasons why access would be refused. annual report. If a request for access is refused, the applicant has rights of • HNCMA Rights to Information Officer (RIO) (see below) review and appeal by an: • Internal review by the HNCMA of the original decision, then if required by • External review by the Information Commissioner, and/ or • Review by the Administrative Decisions Tribunal (ADT).

136 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Letter to the Minister The Hon. Andrew Stoner, MP The Hon. Katrina Hodgkinson, MP Deputy Premier, Minister for Trade and Investment, Minister for Primary Industries and Minister for Regional Infrastructure and Services Minister for Small Business Level 30, Governor Macquarie Tower Level 30, Governor Macquarie Tower 1 Farrer Place, SYDNEY NSW 2000 1 Farrer Place, SYDNEY NSW 2000

Dear Deputy Premier Stoner and Minister Hodgkinson, We have pleasure in presenting the Hawkesbury-Nepean Catchment Management Authority’s Annual Report for the year ended 30 June 2012. This report has been prepared in accordance with section 17 of the Catchment Management Authorities Act 2003, and the Annual Reports (Statutory Bodies) Act 1984, and the Annual Reports (Statutory Bodies) Regulation 2005. This year’s report has also been prepared in response to advice that has been received from the Premier’s Department and NSW Audit Office. This report details our annual accounts as audited by the NSW Audit Office as well as the activities and achievements of the HNCMA. Yours sincerely

Robert Seldon Bernie Bugden Chairperson General Manager 25 October 2012

Internal Audit and Risk Management Attestation for the 2011-12 Financial Year for Hawkesbury-Nepean Catchment Management Authority I, Robert Seldon am of the opinion that the internal audit and risk management processes for The Hawkesbury-Nepean Catchment Management Authority depart from the following core requirements set out in Treasury Circular NSW TC 09/08 and that (a) the circumstances giving rise to these departures have been determined by the Portfolio Minister and (b) the Hawkesbury- Nepean Catchment Management Authority is implementing the following practicable alternative measures that will achieve a level of assurance equivalent to the requirement: These processes, including the practicable alternative measures being implemented, provide a level of assurance that will enable the senior management of the Hawkesbury-Nepean Catchment Management Authority to understand, manage and satisfactorily control risk exposures.

Reason for Departure and Description of Practicable Ministerially Determined Departure Alternative Measures Implemented

• An Internal Audit function has been established • All thirteen Catchment Management Authorities are covered and maintained by a comprehensive Corporate Governance Manual, which • An Audit and Risk Committee has been established has been prepared with the assistance of the Internal Audit Bureau. A copy of this Manual will be provided to Treasury • The Audit and Risk Committee has an independent chair upon request for assessment purposes and a majority of independent members. The Audit and Risk Committee has at least three members, and no more than five members

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 137 Reason for Departure and Description of Practicable Ministerially Determined Departure Alternative Measures Implemented

• The Audit and Risk Committee has a Charter consistent • The basis for this exception from the core requirements is with the content of the ‘model charter’ that the Catchment Management Authorities operate as • An enterprise risk management process that is appropriate independent organisations governed by boards separate to the department or statutory body has been established to the Department of Trade & Investment, Regional and maintained. The enterprise risk management process Infrastructure and Services (DTIRIS) is consistent with the current Australian/New Zealand • The existence of independent audit committees Standards (AS/NZS) on risk management reporting to statutory boards is an important feature • The operation of the Internal Audit function is consistent of good corporate governance and we are seeking to with IIA International Standards for the Professional maintain internal audit and risk committee arrangements Practice of Internal Audit. In addition, the following independent of the DTIRIS committee requirements must be met: • Submissions have been made to Treasury requesting a. the Chief Audit Executive has implemented a risk based a more permanent solution for the audit committees audit methodology for assessing and responding to for a number of the statutory bodies under the Super audit findings, and this approach has been endorsed Department structure by the Audit and Risk Committee • The NSW Catchment Management Authorities sought b. the Chief Audit Executive has ensured a risk rating has an exception from the core requirements from the been provided on every audit finding and those audit Portfolio Minister findings considered by the Chief Audit Executive to be • The Portfolio Minister granted the exception from the most significant have been reviewed by the Audit compliance with the terms of the policy. and Risk Committee c. the Chief Audit Executive has recommended a course of action for every audit finding, and these actions have been referred to operational management for response d. the department head or governing board of the statutory body has ensured that operational management has prepared an ‘agreed action plan’ for every internal audit e. the department head or governing board of the statutory body has ensured that operational management has reported and tracked the implementation of ‘agreed action plans’ to both the Audit and Risk Committee and the department head or governing board of the statutory body to ensure all agreed actions are implemented within agreed timeframes. The determination by the Portfolio Minister for the Catchment Management Authorities in respect of these departures, dated 22 November 2011, is appended to this attestation statement.

In accordance with a resolution of the Governing Board of the Statutory Body

Mr Robert Seldon Contact officer: Chair Sharon Elliott Hawkesbury-Nepean Catchment Management Authority Business Manager (02) 4828 6703 Date: 31 August 2012 0408 021 297

138 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 Acronyms

AAC Aboriginal Advisory Committee OW NSW Office of Water (HNCMA subcommittee) PVP Property Vegetation Plan made under AIP Annual Implementation Plan the Native Vegetation Act ACID Australian Company Institute of Directors RHS River Health Strategy (accompanies the HNCMA CAP) CAP Hawkesbury-Nepean Catchment Action Plan (10 year plan for the catchment) SAP International standard financial business management software provided CIMS Catchment Information Management System by Department of Commerce CMA Catchment Management Authority SES Socio-ecological systems CPS Catchment Protection Scheme SPC Strategic Planning Committee (Hawkesbury-Nepean CMA on ground project) (HNCMA subcommittee) CRG Community Reference Group SCA Sydney Catchment Authority CfoC Caring for Our Country WHS Workplace Health and Safety (Australian Government funding program) DOP Department of Planning and Infrastructure DPI NSW Department of Primary Industries DTIRIS Department of Trade, Industry, Regional Infrastructure and Services EEC Endangered ecological community EEO Equal Employment Opportunity FACG Financial Audit and Corporate Governance (HNCMA subcommittee) HNCMA Hawkesbury-Nepean Catchment Management Authority HSR Health and Safety Representative LGA Local government area LGAG Local Government Advisory Group (subcommittee of the HNCMA) LHPA Livestock Health and Pest Authority LMD Land Management Data-base (tool of the HNCMA) MERI Monitoring, evaluation, reporting and improvement MOU memorandum of understanding NGO Non-government organisation NRC Natural Resources Commission NRM Natural resource management OHN Office of the Hawkesbury-Nepean OE H Office of Environment and Heritage OHS Occupational Health and Safety

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 139 Quick Find Index

Aboriginal projects and programs..... 7, 10, 26, 45, 60, 84, 100 Landscapes...... 27-49 Acronyms...... 137 Legal changes...... 100 Aims and objectives...... 3-5 Legislation...... 134-135 Audits...... 76-79 Letter to the Minister...... 137 Biodiversity targets and results...... 51-53 Local government...... 85-86 Blue Mountains Western landscape...... 35 Looking forward...... 11 Board members...... 69-70 Hawkesbury Lower Nepean landscape...... 42 Board report...... 75 Management team...... 71-74 Budget – 2011/12...... 28, 77, 93-94, 107-108, 110, 125 Map...... 4 Budget – 2012/13...... 79 Monitoring and evaluation...... 63, 97 Bushland protection...... 1, 16-17, 18, 34, 40, 51 Multiculturalism...... 66 Business Systems...... 23-25 Native vegetation...... 1, 16-18, 34, 40, 51 Catchment Action Plan targets...... 7 Nutrient projects...... 32, 47 Catchment map...... 4 Occupational health and safety...... 87 Catchment assets...... 4-5 Offices...... backcover Chair’s foreword...... 8 On ground performance...... 27-49 Charter...... 2-3 Operations...... 12, 27-49 Climate Change...... 52, 56, 81 Payment of accounts...... 101 Community programs...... 13, 59, 89 Personnel policies...... 64 Consultants engaged...... 100 Profile of the catchment...... 4-5 Corporate governance...... 68-90 Resilience...... 11, 13 Credit card use...... 99 Risk management...... 76-79 Cultural heritage...... 26 River health programs...... 54-56 Disability plan...... 67 Soil and land programs...... 57-58 Energy management...... 92 Staff...... 61-67 Engagement (communities)...... 13, 59, 89 State targets...... 50-60 Equal employment opportunity (EEO)...... 64 Strategic planning...... 79-83 Financial analysis and performance...... 93-133 Structure...... 63 Financial statements...... 104-110 Sustainability...... 91-92 Freedom of information...... see Government information Threatened species...... 52 Functions...... 2 Training...... 59, 62, 66, 67 Funds to non-government organisations...... 100 Travel...... 79, 92 General Manager’s message...... 9 Vision and Mission...... 2-3 Government Information...... 134 Warragamba landscape...... 27-34 Highlights...... 1, 12-13 Water Projects...... 33, 39, 47, 48 Human resources...... 61-67 Year ahead...... 10-11 Insurance...... 21, 98-99 Investment performance...... 99 Key performance indicators...... 6 Land disposal...... 100 Landcare...... 21, 22

140 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 © Hawkesbury-Nepean Catchment Management Authority This report in copyright under the Berne Convention Copying of this report is permitted providing that the meaning is unchanged and the source is acknowledged. Published October 2012. Hawkesbury-Nepean Catchment Management Authority Locked Bag 2084, Goulburn NSW 2580 ISBN 978 1 74256 370 1 Copies of this annual report can be downloaded from the HNCMA website at www.hn.cma.nsw.gov.au Cover photo: Landholder Phillip Skyes herding sheep at Pelican Sheep Station, Goulburn NSW.

Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12 141 Hawkesbury-Nepean Catchment Management Authority offices:

Goulburn (Principal Office) 159 Auburn Street, Goulburn 2580 Locked Bag 2048, goulburn 2580 Tel (02) 4828 6747

Lithgow 3 ordnance avenue, lithgow 2790 PO Box 3109, bowenfels, Lithgow 2790 Tel (02) 6350 3110

Moss Vale Clarence House, 4/9 Clarence Street, Moss Vale 2577 PO Box 957, Moss Vale 2577 Tel (02) 4861 9010

Penrith 2-6 Station Street, penrith 2750 PO Box 4515, Penrith Westfield 2756 Tel (02) 4725 3050 www.hn.cma.nsw.gov.au

142 Hawkesbury-Nepean Catchment Management Authority Annual Report 2011/12