To lead, provide & facilitate
Torres Shire Council ANNUAL REPORT | 2012 to 2013 Disclaimer: Torres Shire Council advises that this publication may contain images or information of deceased Aboriginal and Torres Strait Islander people. INDEX
04. Introduction 20. Councillors’ Remuneration
05. The Torres Strait 22. Organisation Chart
06. History 23. Chief Executive Officer’s Report
08. Torres Shire In Brief 26. Corporate Governance
09. Torres Shire 29. Statistics & Other Information
11. Strategic Direction 30. Community Snapshots 2012/2013
13. Contacting the Council 34. Community Financial Report
14. Report from the Mayor 37. Sustainability Ratios 2012 to 2022
16. Our Councillors 38. Financial Outlook
19. Advisory Committees
APPENDICES
44. Financial Statements
92. Independent Auditor’s Report presented to the Local Government Council INTRODUCTION for adoption before 30th November in the year after the end of the financial year to which the report relates. This Torres Shire Council’s Annual Report provides an account of the organisation’s performance, activities and other information for the financial year - 1 July 2012 to 30 June COPIES 2013 Objectives and strategies addressed in this It is an important document by which Annual Report are contained in the Torres Council is transparently accountable for Shire Council 2013 -2017 Corporate Plan. its financial and operational performance Copies of both the Corporate Plan and this throughout the year and contains important Annual Report are available from: information for Residents and Ratepayers, Councillors and Staff, community groups, Torres Shire Council, government, developers / investors and other 68 Douglas Street, Thursday Island interested parties, on Council’s operations, Postal address – P O Box 171, achievements, challenges, culture, purposes Thursday Island Qld 4875 and plans for the future. Email - [email protected] Website - www.torres.qld.gov.au Council is strongly committed to serving the Shire and provides this Annual Report in accordance with legislation. FEEDBACK
Feedback and suggestions for any LEGISLATION improvement to this Annual Report are welcomed and maybe email to admin@ Under the Local Government Act 2009, a torres.qld.gov.au or by phone call to the local government must prepare an Annual Chief Executive Officer on Telephone (07) Report for each financial year which is from 4069 1336. 1st July to 30th June. The report must be
Pearl Shell Sculpture on Victoria Parade Foreshore, Thursday Island
Page 4 THE TORRES STRAIT
The Torres Strait islands, of more than a hundred islands, traditionally known as Zenadth Kes, are divided into:
Gudha Maluilgal - Boigu; Dauan and Saibai Islands
Muluilgal - Badu; Mabuiag and Moa Islands
Kulkulgal - Iama (Yam Is); Warraber (Sue Is); Poruma (Coconut Is) & Masig (Yorke Is)
Meriam - Mer (Murray Is); Erub (Darnley Is) and Ugar (Stephen Is)
Kaiwalagal - Waibene (Thursday Is); Ngurupai (Horn Is); Kirriri (Hammond Is); Muralug (Prince of Wales Is); Gealug (Friday Is); Mawai (Wednesday Is), Palilug (Goode Is)
There are three dialects spoken within the three groups of islands, predominated by the ‘creole’ language that emerged after the arrival of the missionaries:
Kala Kawa Ya (Top Western and Western group) Kala Lagau Ya (Central group) Meriam (Eastern group)
The Torres Strait is home of the First Nation Indigenous People of Australia - Torres Strait Islanders and Aboriginals.
The Torres Strait islands are part of the State of Queensland of Australia and the islands of Boigu, Dauan and Saibai are within an active international border where the neighbouring country of Papua New Guinea is visible from those islands’ shorelines.
The issues of Customs, Quarantine, Immigration and Defence are administered from Thursday Island within a Treaty that also maintains traditional cultural and trade ties between Papua New Guinea and the people of the Torres Strait.
Annual Report 2012 - 2013 Page 5 HISTORY
Torres Strait Islanders and Aboriginals occupied the Torres Strait during a period when the celestial tides provided a bridge between Papua New Guinea and Australia over 40,000 years ago.
The first place of permanent European settlement in Torres Strait was Somerset, south-east on the tip of Cape York Peninsula and occupied from 1863 to 1877. The settlement was moved to Port Kennedy – Thursday Island on account of the hazardous tidal channel between Somerset and Albany Island.
Thursday Island was considered as having a safe harbour and deep anchorage for the increasing shipping movements of the Pacific traders and the Christian missionaries throughout the Torres Strait.
Also with the discovery of pearl shell in the 1860’s this led to the influx of Japanese, Malays, Filipinos, Micronesian and European nationalities to this region.
The London Missionary Society (LMS) landed on Darnley Island on July 1, 1872 and introduced Christianity for the first time to its Torres Strait Islander inhabitants. The date of July 1 is recognised as the “Coming of the Light” and not only is that day commemorated annually on Darnley Island, known as Erub, but throughout the Torres Strait. It is a Torres Shire gazetted bank holiday each year.
The customary lores that still regulate the practices and customs of today’s traditional and contemporary Torres Strait culture is evident in the continual struggle for greater autonomy by the islanders which dates back to when Luis Vaes De Torres, the first navigator named Torres Strait.
In 1770 Captain James Cook made claim to the east coast of Australia, on Possession Island, in the name of the King of England, the British Crown under international award of terra nullius (which in legal terms means Australia was empty of inhabitants when it was first settled by Europeans). This concept was overturned by the Mabo High Court Decision on 3 June 1992 (this date is now commemorated as Mabo Day – a Torres Shire gazetted bank holiday).
Historical Japanese Grave Japanese Pearling Lugger Fleet
Page 6 Torres Shire Council Main Office Building, Thursday Island
The Inaugral Island Council Meeting at Masig in August 1937 set about the revival of the need to establish the prominancy of Torres Strait Islanders in Queensland and Local Government on the outer islands that would set a precedent for the Town Council on Thursday Island. The first migration of outer-island tribal group to Thursday Island occurred around the period of 1930 to form Tamwoy Reserve community under the Aboriginal and Torres Strait Islander Act.
Annual Report 2012 - 2013 Page 7 TORRES SHIRE IN BRIEF
• Torres Shire consists of Waibene (Thursday Island); Ngurupai (Horn Island); Gealug (Friday Island); Mawai (Wednesday Island); Muralug (Prince of Wales Island) and Palilug (Goode Island) and areas of the Northern Peninsula Area (NPA) of Cape York.
• Torres Shire is the northern most Shire in Queensland and is located in a Special Commonwealth Territory of Australia with an international border from the coast line of Western Province in Papua New Guinea down to the 11th degree parallel crossing the Cape York Peninsula at the Jardine River.
• Torres Shire is the northern most administration centre for the Commonwealth and State Governments based on Thursday Island.
• Torres Shire has a population of approximately 4,600 with a transient number of residents working in education, police, ambulance, medical, customs, recreation, travel and administrative needs based on Waibene and Ngurupai.
• Torres Shire owns and administers an international/domestic airport on Horn Island.
Horn Island Township Aerial View Turtle Sculptures on Victoria Parade Foreshore, Thursday Island
Page 8 TORRES SHIRE THURSDAY ISLAND
Thursday Island, also known as Waibene and central to the Kaurareg Archipeligo, is approximately 3.5 square kilometres. The administration centre of the Torres Shire is based on Thursday Island.
After almost 40 years of administration by a State Government Administrator the Torres Shire Council was restored to elected Council status in March 1991 and is now administered by a mainstream local authority Council comprising a Mayor and four Councillors.
Torres Shire Council has established an Indigenous Land Use Agreement (ILUA) with the Kaurareg Traditional Owners on specific aspects of its development and is covered by Native Title.
Virtually all commercial activities and social services are generated from Thursday Island.
The majority of the business centre is located in the main street of Douglas Street where there are motels, hotels, food takeaways, numerous retail shops including a chemist, newsagency, groceries and bakery, the Council Chambers, Australia Post & agent for Commonwealth Bank of Australia, National Bank of Australia, Queensland Public Health Centre & Dental Clinic, Police Station, Court House and residences.
Other facilities of the Federal and Queensland Governments maintaining services on Thursday Island include Immigration, Customs, Foreign Affairs & Trade, Fire & Rescue Services, Queensland Ambulance and the Federal Police. A joint Defence Force Base is situated at Hocking Point.
Several Churches are situated at the west end of Douglas Street, with a fully equipped General Hospital at the far end, staffed by professional medical and health personnel with the nursing staff quarters nearby. In emergency cases, patients are medivaced south and the Queensland Ambulance Service plays a major part in servicing the communities in the whole region.
The TI Cemetery is listed on the Australian Historic Register and a special section is dedicated to approx. 700 graves of Japanese pearl divers and Japanese residents.
Education facilities in the Torres Shire are provided at Our Lady of the Sacred Heart School, Tagai State Colleges - Primary Campus and Secondary Campus, Tagai TAFE and the Tagai State College at Horn Island Campus.
ANZAC Memorial at ANZAC Park, Thursday Island
Annual Report 2012 - 2013 Page 9 HORN ISLAND
Horn Island, known as Ngurupai, is an area of 53 sq. kilometres, has the Airport, Quarry, Landfill and the Loggy Creek dam which is a major infrastructure supplying water to Horn, Hammond & Thursday Islands. The township of Wasaga has a general store, cafe, churches, hotel, motel and museum, a sports stadium and children’s play-ground, Police, Health and emergency services.
There are two wharves, one provides an interchange service between the Airport and Thursday Island with daily ferry and water-taxi services for visitors and local commuters, and the other is used as a public cargo and shipping wharf.
PRINCE OF WALES ISLAND
Prince of Wales Island, also known as Muralug is the largest island in the Torres Strait, with an area of 203 sq. kilometres. It is mainly the traditional lands of the Kaurareg people but also contains a number of leased and freehold areas. The population is approx. 90 residents with homes along the most popular beaches at Muralug, Country Woman’s Beach, and Long Beach. Residents commute to nearby Thursday Island by dinghies for work, shopping, medical care etc , and a school boat operates to transport children to the schools on Thursday Island. Council maintains landfill and roads along the populated areas.
Dinghies moored at Engineer’s Wharf, Thursday Island – a normal node of transport between islands
INNER ISLANDS OF THE TORRES SHIRE
Goode Island - has a decomissioned lighthouse, a World War II derelict command post and look- out stations.
Friday Island - is used for camping and picnics and is the base for this area’s largest cultured pearl farm.
Tuesday lslands Group and Wednesday Island are uninhabitated islands nearby.
Page 10 STRATEGIC DIRECTION
VISION
To Lead, Provide & Facilitate
MISSION STATEMENT
Torres Shire Council through community consultation will focus on the promotion of community values together with the improvement of the quality of lifestyle whilst ensuring efficiency of servicing and protection of the environment
GOALS
Goals are identifiable long-term end results or outcomes which enable Council to achieve its Mission. Council has adopted the following goals:
• To develop an organisational environment that fosters fairness and honesty, high productivity and continual improvement in management and workplace practices. • To give optimum value for money. • To promote Council universally as being a professional and committed organisation dedicated to fulfilling the needs and expectations of the community. • To maintain excellent teamwork between the Community, Council and Staff. • To develop communication and consultation strategies to ensure a meaningful working partnership with all stakeholders.
OUR VALUES
Council aims to generate an organisational environment based on openness, honesty and respect which will improve the management of people, systems and resources available to Council.
Annual Report 2012 - 2013 Page 11 PARTNERSHIPS
Sunset at Bach Beach, Thursday Island
Council has developed working partnerships with key local organisations and government departments such as:
• Australian Defence Force • Cairns Regional Council • Community Employment Agencies • Dept of Aboriginal & Torres Strait Islander & Multicultural Affairs • Dept of Immigration & Citizenship • Horn Island Residents & Ratepayers Association • Islanders Board of Industry & Service • Mura Kosker Sorority Inc • Muralug Community Association • Northern Peninsula Area Regional Council • Port Kennedy Association • Ports North • Queensland Police Service • Queensland Ambulance • Queensland Fire & Rescue Services • Queensland Health Department • Torres Strait Island Regional Council • Torres Strait Regional Authority • Torres Strait Youth Sports & Recreation Association • Torres Strait Islanders Media Association Inc
Page 12 CONTACTING THE COUNCIL
ADMINISTRATION OFFICE
Postal Business Contact Location Email Website Address Hours Details
P.O. Box 171 68 Douglas Street 9am to 4pm Ph (07) 4069 1336 [email protected]. www.torres.qld. Thursday Island Thursday Island Monday to Friday gov.au gov.au Qld 4875 Fax (07) 4069 1835
LIBRARY
Postal Business Contact Location Email Website Address Hours Details
9am to 4pm 121-125 P.O. Box 171 Monday to Friday Ph/Fax [email protected]. www.torres.qld. Douglas Street Thursday Island gov.au gov.au Thursday Island Qld 4875 9am to 12.30pm (07) 4069 1983 Saturday
EMERGENCY AFTER HOURS
THURSDAY ISLAND Mobile 0429 691 330
HORN ISLAND Mobile 0429 691 338
Calm waters of Thursday Island
Annual Report 2012 - 2013 Page 13 REPORT FROM THE MAYOR
Maiem Seu Ngapa
It is a pleasure to present this report on the activities and progress made in the Torres Shire during the financial year 2012 -2013.
I acknowledge the Kaurareg People as the Traditional Custodians of the Kaiwalagal archipelago in which the Torres Shire Council administers its local government responsibilities. I also acknowledge the representatives of other Zenadth Kes Traditional Clan Groups residing within our Shire.
The Shire has achieved a lot during this year, despite the impact of the changing political landscape of the new State Government and its reforms. Every opportunity has been seized throughout the year to bring Government Ministers to the Council table to put forward our arguments and requests for accelerated economic growth and greater social equity for our families.
Council is prepared to take its agenda for reform and equity directly to Government Ministers and the Parliamentary Opposition, and in so doing build on behalf of our community, strong and continuing face to face relationships at the highest levels of Government and Parliamentary representation.
Council has heightened its campaign to ensure that the special needs of our Shire and our region are not further devalued or disconnected because of distance and isolation. It is important we build external contacts and connections, and be a recognized participant in broader social and political debate. Council sent delegations to the LGAQ Annual State Conference, LGAQ Campaign for Local Government Constitutional Recognition, Regional Organization of Councils of Cape York and Torres (ROCCY).
Council held its local obligation by hosting the 2012 Winds of Zendath Cultural Festival showcasing the unique Torres Strait Islander and Aboriginal people’s cultures and practices. The Festival’s theme, ‘Sovereignty’ was complemented by our youth’s participation in all traditional activities confirming the importance of cultural maintenance and practice throughout our region.
This year was an extremely busy year for the small yet cohesive team within the Torres Shire Council workforce. The team contributed enormously to service delivery as governed and outlined in the Council’s operational budget. I am pleased to report some important milestones of the year
The milestones for 2012-2013:
Wasaga Roads and Drainage Stage I – Practical completion of the Wasaga Roads and Drainage Stage I project was achieved. This civil construction project was funded by the Major Infrastructure Program Round 4. The roadworks on Wasaga (Horn Island) which include bitumen sealing and stormwater upgrades of Miskin Street, Tom Street, Airport Road and Wees Street (120m) was completed. This has been the largest roads and drainage construction project Torres Shire Council has undertaken in house.
Thursday island Child Care Centre – Upgrades to the TI Child Care Centre major works were delivered including new flooring to the entire Centre, replacement of sail shades with permanent shade structures, a new bus shelter, new fencing and other minor upgrade works. Council received grant funding of $500k to complete the upgrade program.
Page 14 Winds of Zenadth Cultural Festival 2012 – Under the theme of ‘Sovereignty’, Council delivered the 2012 Winds of Zenadth Cultural Festival celebrating the history, culture and traditions of the local indigenous peoples of the region. The Festival was held from the 18th to the 21st September 2012 on Ken Brown Oval.
Horn Island Affordable Housing Program – This project is a joint initiative of the Commonwealth’s Torres Strait Regional Authority (TSRA) and the Torres Shire Council in which TSRA provided funding of $3.4M. The project objectives are to provide indigenous home buyers with affordable housing who are residents in the Torres Strait and to provide employment and training in land sub-division development and housing construction and maintenance.
Other programs and functions delivered by Torres Shire Council in 2012-2013 include: • Free Dog Registration • Regional NAIDOC Awards • Clean-up Australia Day 2012 • State Government Community Cabinet on 26 May 2013 • Upgrades to the Ken Brown Oval grandstand shelters/shade structures • Visit from the Japanese Consul-General • Tourism Steering Committee Networking Function on-board the mv Fitzroy on 17 May 2013
The Council, as an elected Local Government body, cannot successfully govern unless its policies and directions are into effect in the manner and with the outcomes intended. I therefore express my appreciation for the support and advice provided once more this year by the Council Administration. I sincerely thank the Chief Exetive Officer and all members of our administration team for providing a sound and dependable quality of professional service to Council throughout the year.
In conclusion, I express my gratitude to my fellow Councillors for their commitment and dedication displayed in serving our community during 2012-2013.
Council has resolved many challenges, obstacles and frustrations this year and much progress has been made.
If any ratepayer or resident has any questions about the items in this report, please feel free to contact the Mayor, Councillor or the Chief Executive Officer.
Cr Napau Pedro Stephen
MAYOR
You Change, Your Community Change, You Lead & Design the Change
Annual Report 2012 - 2013 Page 15 OUR COUNCILLORS Cr. Napau Pedro Stephen - Mayor
Port folio for: Corporate Governance & Regional Relations/Partnership, Native Title including, but not confined to, Audit & Finance, Budget, Legislation, Inter- Government Relations, Regional Governance/Self-Determination, also Finance and Audit Committee, ROCCY Management Committee Tourism including Tourist Enhancements and Facilities, Tourist Industry Liaison, also Finance and Audit Committee, Disaster Management, Torres Shire Tourism Steering Committee
Mobile: 0408 981 644 Email: [email protected]
Cr Yen Loban - Deputy Mayor
Portfolio for: Economic Development including, but not confined to, Commercial Enterprises (Airport and Quarry) Commerce and Industry also Finance and Audit Committee, Ngurupai Sports Complex Advisory Committee
Mobile: 0409 586 059 Email: [email protected]
In my second term I again would like to thank the Shire constituents for putting their trust in electing me as their Local Government representative. I would like to thank my elective colleagues in supporting and working with me as a Councillor and Deputy Mayor.
The introduction of the new Local Government Act devolved many responsibilities to local Councils and clearly identifies Councillors’ legislative’s roles. To ensure I acquire the appropriate skills for my elected role I have attended all training seminars and conferences offered by Council to date.
I acknowledge the advice given to me over the last twelve months from Council staff to fulfil my achievements and goals which are:
1. Economic developments as in new business apprenticeship training, upgrade skills of the Torres Shire Council workers to meet the challengers of the Torres Shire Council 2. Affordable housing 3. Upgrade Airport 4. Upgrading the roads and beautification on Horn Island 5. Upgrading roads, water supply, power and pontoon landing on Prince of Wales and other inner islands (Entrance and Friday Island) 6. Thursday Island roads and the ring road plus Sadies Beach road and continuing the beautification of the island
Page 16 My Portfolio responsibilities as Deputy Mayor enable me to liaise with many government and non government agencies. It is important to establish this repour with these stakeholders to create strong working partnership to enhance our quality of island lifestyle.
I am committed to explore new initiatives and partnership for economic growth.
Cr. Allan Ketchell
Portfolio shared with Cr. Willie Wigness for: Planning Development and Environment including but not confined to, Town Planning, Housing, Land Use, Native Title, Ports, Rosehill Ramp, Town Beautification, Cemetery and Community Security
Mobile: 0408 796 641 Email: [email protected]
I wish to express my sincere thanks and appreciation to all Council’s staff for their efforts in keeping our Community clean and tidy.
Special thanks to my Councillor colleagues for their good decision making on achieving progress and finality with several projects.
To name a few of the projects:
1. The Rosehill Pontoon has been completed and is constantly being used by our constituents. 2. A section of the cemetery area and the foreshore opposite has had a clean up before the wet season to allow easy maintenance for the Council’s parks and garden crew. 3. The Horn Island Affordable Housing Project has progressed from Stages 1 and 2 which is the investigation and planning process and now well under its way to the final stage of implementation. 4. The Horn Island Airport Security Extension is ready to be upgraded very shortly. 5. Council and Department of Main Roads are in the planning stages of the resealing of the Thursday Island ring road.
With the assistance of my Council colleagues, my vision in my Portfolio for Torres Shire Council’s Planning and Development, is to lobby State and Federal Government to secure ownership of our Major Seaport Infrastructure within the Torres Shire.
It has been a very busy year and I look forward to working closely with Mayor Pedro Stephen, the other three Councillors and Council Staff to achieve future challengers and improvements to achieve better outcomes for our constituents in our Shire.
Annual Report 2012 - 2013 Page 17 OUR COUNCILLORS
Cr. John Abednego
Portfolio shared with Cr Willie Wigness for: Arts & Culture, Youth Sport & Recreation, Social Policy including, but not confined to, Community Events, Cultural Promotion, Youth Affairs & Youth Council, Sporting Amenities, Social Issues, Memorandums of Understanding and Partnerships with Community Organisations
Mobile: 0409 482 382 Email: [email protected]
I am proud to hold the portfolios which encompasses the Festivals, in particular this year’s 2012 Winds of Zenadth Cultural Festival.
The Festival held from the 18th to 21st September was supported by the theme ‘Sovereignty’. On behalf of the Torres Shire Council and the Indigenous Advisory Committee, I wish to acknowledge the dance teams, participants and residents and visitors who attended and contributed to the wonderful atmosphere. A Big Eso is extended to all the performers and dance teams who travelled throughout the Torres Strait and Northern Peninsula Area to attend and partake in the Festival on Thursday Island. An acknowledgement is extended to the Tagai State Colleges who provided an extraordinary cultural exchange during the Festival. It was a wonderful experience to witness and feel the strength of unity throughout the whole time commencing from the procession at ANZAC Park with the dance teams of our region displaying a sea of colours. Appreciation is extended to our Kaurareg families for their participation in facilitating the opening ceremony and our gratitude to Cygnet Repu, Christine Anu and the Ailan Kores sponsored by the Queensland Music Festival with Topology and The Zelam. All sponsors are acknowledged for their generous support towards making this Festival a memorable event in our region – the Torres Strait.
Cr. Willie Wigness
Portfolio shared with Cr. Allan Ketchell for: Planning Development and Environment including but not confined to, Town Planning, Housing, Land Use, Native Title, Ports, Rosehill Ramp, Town Beautification, Cemetery and Community Security, and
Portfolio shared with Cr John Abednego for: Arts & Culture, Youth Sport & Recreation, Social Policy including, but not confined to, Community Events, Cultural Promotion, Youth Affairs & Youth Council, Sporting Amenities, Social Issues, Memorandums of Understanding and Partnerships with Community Organisations
Mobile: 0407 125 948 Email: [email protected]
Page 18 ADVISORY COMMITTEES
Internal
Budget & Finance Review Meeting Mayor Stephen, Cr. Loban & Cr. Wigness Council of Elders Committee Cr. Abednego Disaster Management Committee Mayor Stephen Indigenous Advisory Committee Cr. Abednego Indigenous Managers Sub Committee Mayor Stephen Kaurareg Traditional Owners Advisory Committee Mayor Stephen Ngurupai Sports Complex Committee Cr. Loban Tourism Steering Committee Mayor Stephen
External
Torres Strait Regional Authority (TSRA) – MOU Mayor Stephen, Cr. Loban & Cr. Ketchell
Torres Strait Island Regional Council (TSIRC), Mayor Stephen & all Councillors and the Northern Peninsula Area Regional Council (NPARC)
Council Membership
Member of the Australian Local Government Association (ALGA) Member of Local Government Association of Queensland (LGAQ) Member of Regional Organisation of Council’s of Cape York (ROCCY) Member of Cape Indigenous Mayors Alliance (CIMA)
Agreements
Indigenous Land Use Agreement with the Mayor Stephen with Committee Kaurareg Traditional Owners
Friendship City Agreement with Mayor Stephen Kushimoto, Japan
Annual Report 2012 - 2013 Page 19 COUNCILLORS’ REMUNERATION
Pursuant to section 42(5) of the Local Government (Operations) Regulations 2010 and in accordance with the Local Government Remuneration and Discipline Tribunal Report 2012, Council adopted the following remuneration rates for the purpose of providing payment to Councillors effective from 1 January 2012:
Remuneration determined with a Reference Rate of $137,149 under “Special Category” for Torres Shire Council Elected Members are: Mayor 65%, Deputy Mayor 32.5% and Councillor 32.5%
1. Salary - Mayor $91,376 per annum; Deputy Mayor $52,717 per annum and Councillor $45,688 per annum. The remuneration fixed is all inclusive and no additional remuneration will be payable. 2. Method of Payment - Remuneration will be paid in equal instalments in line with the normal Council pay periods. Councillors are accountable to the Australian Taxation Office for receipt of this income as they are for any other income. 3. Superannuation - Elected members will be entitled to superannuation benefits in respect to their salary in accordance with section 226 of the Local Government Act 2009.”
Extract from Local Government Act 2009 159 When a councillor’s term starts A councillor’s term starts on— (a) if the councillor is elected-the day after the conclusion of the councillor’s election; (b) if the councillor is appointed—the day on which the councillor is appointed
160 When a councillor’s term ends A councillor’s term end- (a) if the councillor is elected- at a quadrennial election or at a fresh election-at the conclusion of the next quadrennial election;
conclusion, of the election of a councillor, means the day—
(b) if the election is to another local government— (i) for an election of all the councillors—when the last declaration of a poll conducted in the election is displayed in the local government’s public office; or
Current Councillors are paid till the day the results of the election are declared/displayed in the local government’s public office.
New Councillors are paid from the day following the declaration of election results.”
Councillors’ Remuneration
Amalgamation Local Government Mayor Deputy Mayor Councillor Loading (where Category Area applicable) Torres Shire No amalgamation $91,376 $52,717 $45,688 Special Category Council loading payable
Page 20
Refer to: http://www.localgovernment.qld.gov.au/docs/local_govt/remuneration-tribunal/report/ Refer to: http://www.localgovernment.qld.gov.au/docs/local_goremuneration-levels-by-range.pdfvt/remuneration for more information-tribunal/report/remuneration and a comparison-levels of -otherby-range.pdf Councillor for more information and a comparison of other Councillor remunerations inin otherother locallocal government government areas. areas.
Overseas Travel Overseas Travel There were no overseas travel Thereinvolved were by Councillorsno overseas during travel 2012 involved-13. by Councillors during 2012-13.
Councillor’s Meeting Attendances Councillor’s Meeting Attendances
Date Ordinary Mayor Napau Cr. Yen Loban Cr. John Abednego Cr. Allan Ketchell Cr. Willie Wigness (O) Pedro Stephen Special (S) 2012 17 July O 25 July S apology 21 Aug O 11 Sept S no apology 16 Oct O apology 20 Nov O 18 Dec O apology 18 Dec S apology 2013 15 Jan O apology apology 4 Feb S apology 19 Feb O apology 19 Mar O no apology 16 Apr O no apology 21 May O 11 Jun O apology apology 26 Jun S
Annual Report 2012-2013 Page 13
Annual Report 2012 - 2013 Page 21 ORGANISATION CHART MAY 2013
MAY 2013
COMMUNITY
COUNCI L
CHIEF EXECUTIVE OFFICER
Executive Secretary Overall Management Corporate & Community Planning Regional Governance Intergovernmental Relations Disaster Management Consultants Corporate Project Coordination Annual Report Mayor & Elected Members Support
DIRECTOR - CORPORATE & COMMUNITY SERVICES DIRECTOR - ENGINEERING & INFRASTRUCTURE SERVICES
Regulatory Services Purchasing & Supply Compliance Roads & Drainage Records Management Parks & Gardens HR Street Lighting Payroll Construction / Maintenance Staff Housing Airport Rates & Charges Quarry Council Plans Private Works Asset Management Boat Ramps Financial Management Plant Workshop Governance Building Infrastructure Policy Management Customer Service Depot Events Water,Water, Waste Waste Water/Sewerage Water/Sewerage Cemeteries Community Events and Community Services Cemeteries (excluding fees and WHS administrative related functions) Functions outlined for Corporate Services position
Annual Report 2012-2013 Page 14
Page 22 CHIEF EXECUTIVE OFFICER’S REPORT
Dalassa Yorkston
Welcome to the Torres Shire Council Annual Report 2012-2013.
I acknowledge the Kaurareg People as the traditional owners of the Kaiwalagal islands on which Torres Shire Council administers local government responsibilities.
It has been an encouraging year for Torres Shire Council which I am pleased to report key achievements performed in 2012-2013. The Council’s workforce has contributed towards the service delivery as outlined in the Council’s operational budget for the year.
Complementing our financial statements, this Annual Report contains a range of data and information which demonstrates the wide variety of services this Council provides. The financial results of 2012-2013 are an indication of the challenging environment and economic circumstances that Torres Shire Council faces as a local government located in a remote area of Australia.
As outlined in this Report a major review of Council’s management procedures were conducted in early 2012 and many of the initiatives and processes were updated to completion for the year ending 30 June 2013.
Highlights of the year from 1 July 2012 to 30 June 2013 are:
• Council & Executive Management attended the ‘New Councillor Governance and Financial Statements and Sustainability’ training workshop facilitated by the Department of Local Government and Queensland Treasury Corporation. • Formalisation of the joint Local Disaster Management Group (LDMG) between Torres Shire Council and Torres Strait Island Regional Council was achieved. This amalgamation will provide for better co-ordination in the event of a disaster across the Torres Strait involving both local government areas. • A Project Officer and Project Consultants were appointed for the Horn Island Affordable Housing Project. • Councillors and Executive Management attended the Annual Conference of the 2012 Local Government Association of Queensland (LGAQ) held in Brisbane in October. • $1.5M funded by the Department of Local Government and Planning for Improvements to Roads and Drainage in the Shire was delivered through the Infrastructure Safety Improvement Program. • Wasaga Roads and Drainage Project - Stage 1 successfully delivered in-house with Council as the Principal Project Manager. • Horn Island Airport new security screening facility was fully operational in time for the 1 July 2012 deadline implemented by the Federal Government’s new security laws at airports for passenger and baggage screening. • Jodoshu Buddhist priest Rev. James Henry Wilson conducted the Traditional Japanese Ancestral Observance/Honour Ceremony at the Japanese Monument, Thursday Island cemetery held annually in August.
Annual Report 2012 - 2013 Page 23 • In September the Hon. David Crisafulli MP, Minister for Local Government visited the Shire. During the Minister’s visit Council tabled significant issues currently affecting our Shire. • With the support of the Indigenous Advisory Committee, Council delivered another successful Winds of Zenadth Cultural Festival. This well attended event was held from 18th to 21st September 2012 at Ken Brown Oval. A tremendous effort was contributed by the staff in the planning and implementation of this event. • A tender for the Horn Island Airport Kiosk Lease was advertised and a new operator was successfully appointed to service our busy Airport. • In December the Indigenous State Infrastructure Program (ISIP) provided funding for the removal of abandoned vehicles to minimise vector control issues. Council provided an opportunity and declared an amnesty on abandoned vehicles on both Thursday Island and Horn Island for their removal to the landfill on Horn Island at no charge to the vehicle owners • In January, officers from Cairns City Council assisted our Council’s compliance officers with inspections of premises to check on registration and numbers of domestic animals, provide advice and offer registration and collars. • Council submitted a Discussion Paper - Providing Freehold Title in Aboriginal and Torres Strait Islander Communities to the Department of Natural Resources and Mines. • The State Government made over 250 changes to critical pieces of local government legislation which had an effect on Council’s powers, systems and operations and personal implications for elected members and officers. Our Councillors and Executive Management attended an Elected Member Update hosted by the Local Government Association of Queensland to recognise the Local Government Act and Regulations changes affecting Councils. • Our Council hosted a visit by Mr Junzo Fujita the Consul-General of Japan. • Cultural Heritage Act 2003 – the Department of Aboriginal and Torres Strait Islander & Multi- Cultural Affairs (DATSIMA) Principal Advisor Cultural Heritage delivered an information session aimed at improving the understanding and implementation of the Torres Strait Islander Cultural Heritage Act 2003 in March 2013, attended by management and staff. • Council commenced the hosting of Cross Cultural Training Workshops internally for all of our valued staff and Councillors. The workshops were delivered by a indigenous training business specialising in cultural awareness and were educational and fun, and more importantly allowed the participants a deeper understanding of the unique Torres Strait culture, protocols and relationships. • Established under the Local Government Act, Council takes pride in our readiness and ability to serve the needs of the people of our Shire through various processes of local government. This includes the training and development of our valued staff. • A comprehensive review and assessment of the Policy and Procedure Manual for the Torres Shire Council has been conducted by the Executive Management team. • Council developed the Horn Island Quarry Safety Management System. The Horn Island Quarry operates in the extractive industries which includes the undertaking of hazardous work requiring particular emphasis on the control of risks associated with – • operation of heavy plant (fixed and mobile) • moving equipment and work platforms • working with height • blasting and explosives • ground control • dust and hazardous substances • The National General Assembly was a significant opportunity for local government to meet and discuss the issues facing local government and develop agreed positions which can inform the development of ALGA’s policies. Councilors and Executive Management attended the NGA Forum; themed Foundations for the Future: Twenty 13. • Torres Shire Council Corporate Plan - Council’s Future Direction - A Vision for the Future 2006 to 2010 expired on 30 June 2010. Council was approved to extend the Corporate Plan until 30 December 2012 and the new Corporate Plan was partially developed in 2012-2013.
Page 24 • Council partnered with the Dengue Action Response Team (DART) and the Health and Hospital Service (HHS) for Dengue Surveillance to gain experience of vector control techniques and training for staff. • In April the Minister for National Parks, Recreation, SportChief and Racing, Executive Hon. Steve Officer Dickson’s Message MP, approved one year funding for the Torres Strait Community Sport and Recreation Program. The program was designed for the delivery and strategic planning of sport and recreation services in the Torres Strait region Iby wish a locally to express supported my sincere organization, appreciation in partnership to staff with of TSC for their commitment and service delivery in their the Department of National Parks, Recreation,specialised Sport field ofand work. Racing. Their Torres contribution, Shire Council productivity was and achievements are highly valued. selected to submit an Expression of Interest for the Program and was successful in attaining this grant funding program. • Premier of Queensland Community Cabinet - The Hon. Campbell Newman MP, Premier of Queensland and the Queensland Ministry hosted a Community Cabinet Meeting on Thursday Island on Sunday 26 May 2013. Torres Shire Council welcomed Premier Newman and his Cabinet Ministers to host their first Community Cabinet since the election in 2012. Formal meeting requests and deputations for Torres Shire Council were submitted. Various announcements were made from Ministers in relation to funding allocations for Torres Shire, which included the following: a) Hon. Glen Elmes MP, Minister for Aboriginal and Torres Strait Islander and Multi-Cultural Affairs announced $10K towards the Kai Kai Gardens Project over two years. b) Hon. Scott Emerson MP, Minister for Transport announced $2.4M towards the repairs and maintenance and resealing of the ring road on Thursday Island
Apart fromDalassa the Yorkstonabove management/governance issues it was extremely pleasing to see considerable progress has been made on several major initiatives as outlined in the Mayor’s Report.
IIn wish closing, to express I extend my my sincereappreciation appreciation and acknowledgement to staff of TSC to forthe theirMayor, commitment Councillors, andExecutive service delivery in their specialised field of work. TheirManagement contribution, team productivityand all Council and employeesachievements for theirare highlyefforts valued.over the past year for their considerable achievements. I would also like to say a big eso to the many individuals and local organisations that assisted our Council through sponsorship, partnership and many other ways.
Dalassa Yorkston Dalassa Yorkston Chief Executive Officer Chief Executive Officer
Annual Report 2012-2013 Page 15
Annual Report 2012 - 2013 Page 25 TORRES SHIRE COUNCIL ELECTED MEMBERS AND CORPORATE STAFF
Back row: Keith Yorkston, Geoff Ball, Dalassa Yorkston, Eddie Sailor, David McNicoll, Don Benjamin, Vicki Aabramczyk
Middle row: Diana Russell, Nola Ward Page, Mavis Bani, Marina Schaefer, Charmaine Zitha, Lee Ann Ketchell, Laura Perry, Ruth Yorkston, Rebecca Matthew, Nancy Kristianto
Front row: Cr. Willie Wigness, Cr. Yen Loban, Mayor Napau Pedro Stephen, Cr. John Abednego, Cr. Allan Ketchell
Page 26 CORPORATE GOVERNANCE
Corporate Governance encompasses all the arrangements through which an organisation directs and controls itself and the people associated with it. The principles of corporate governance provide the framework for the way Council does business.
Fundamental to good corporate governance is leadership, accountability, transparency, quality disclosure, probity, being participatory, efficiency and effectiveness. Combined, these factors are instrumental in developing quality services for the community and encouraging trust in our actions.
Policies & Procedures Fundamental to consistency in the way Council does business is the setting by Council of clear policies and procedures to formulate sound and coordinated decision making by all in the organisation.
Code of Conduct There were no breaches or alleged breaches of Councillor’s Code of Conduct during the 2012/13 year.
Strategic Leadership The Executive Management Team comprising of the Chief Executive Officer and Directors met on a weekly basis to set the strategic direction of the organisation.
General Complaints Process Council has a general complaints process for resolving complaints received from affected persons in respect of an administrative action of Council or an alleged minor breach of Council’s Code of Conduct by a Councillor. No complaints were lodged in 2012/13.
Accountability for Senior Officers The Chief Executive Officer and the two Directors are employed under fixed term performance based contracts of employment. Included in the contracts are strict values and performance measures to ensure considerable transparency and accountability.
Freedom of Information (FOI) Council encourages the sharing of information via avenues other than formal Freedom of Information procedure held by Council. Wherever possible, Council attempts to provide information upon request as a matter of course without the need to submit a formal FOI application. Requests can be made by contacting Council on (07) 4069 1336. No FOI application was received during 2012/13.
Ombudsman No issues were submitted from the Ombudsman to Council during 2012-2013.
Finance and Audit Committee Council’s Finance and Audit Committee met three times during the financial year to consider reports presented by staff and external auditors.
Equal Employment Opportunities (EEO) Council supports and practices EEO principles and has an EEO Management Plan for this purpose.
Annual Report 2012 - 2013 Page 27 Council Meetings Council Ordinary meetings were held on the third Tuesday of each month (except for the month of December when it was held on the second Tuesday of the month) commenced at 9am and are open to the public. Council also received community deputations to attend Council Meetings in 2012-2013.
Delegation Register Council’s Delegation Register records the delegated levels of authority and instruments of authority held by all Council officers and is reviewed annually. The current delegations have provided Council officers with the ability to conduct their day-to-day operations in a more efficient and effective manner.
Contract Management Tendering procedures are utilised in accordance with legislative requirements and designed to ensure that Council delivers the best value, with the least risk to the community. Council’s Procurement Policy and Tendering Policy ensures the highest levels of open accountability are adhered to.
Changes to Tenders There were no relevant actions under Section 177 (7) of the Local Government Act 2009 (Changes to Tenders) during the year.
Tenders and Expressions of Interest
Closing Date Number Details
31/01/2013 Tender 01/13 Horn Island Airport Kiosk
New Residents With the regular changeover of people within the Shire, Council encourages residents to obtain information at the Council Office on the many services and facilities provided.
Communication Links in the Community • Corporate Plan - Currently under development. • Corporate Objectives and Strategies • Annual Operational Plans • Report on Progress Against Corporate and Operational Plans • Annual Budget • Annual Report - Records progress on delivering Corporate Plan objectives • Monthly Council Meetings • Independent Annual Audit - by the Queensland Audit Office • Finance & Audit Committee
Page 28 • Public Access - Audit Reports and Council Minutes are publicly available. • Regional Plan • Community Plan • Financial Plan – 10 Year (Revised Annually) • Report on the Annual Review of the Implementation of the Long Term Plans • Risk Management Plan – Council wide • Annual Return on Community Engagement • Annual Return on Governance
Revenue Policy Council’s revenue raising activities are governed by the Revenue Policy was adopted at the Budget Meeting held in 30 July 2013. The policy provides details on how rates are levied and explains the differential rating system that more fairly shares the burden of rates including the different categories. All water, sewerage, and waste charges are based on the policy, as well as special levies, rate remissions, payments, discounts and private works. Copies of the Revenue Policy are available at www.torres.qld.gov.au
List of Registers Council maintains a list of registers that are available on request. These include:
LG Act Section Name of Register
Register of Interests of a Councillor* 248
Register of Electoral Gifts 433
Register of Delegations by Local 472 Government
Register of Local Laws 895
921 Map and Register of Roads
975 Register of General Charges
1132 Register of Delegations by the CEO
Register of Interests or Persons Related to 1140 a Councillor * This register pertains to the personal interests of all Councillors and Executive Staff. In addition, a register of personal gifts is also maintained to record gifts to Councillors and staff.
Annual Report 2012 - 2013 Page 29
STATISTICS & OTHER INFORMATION SHIRE ROADS PARKS AND RECREATION
SHIRE ROADS
Council Controlled Roads - Km State Controlled Roads - Km Number of public toilets – TI 7 Thursday Island 22.233 Thursday Island 4.6404.640 Number of playgrounds - 4 Horn Island 22.133 Total reserves controlled by Council 30 Prince of Wales Island 9.440 Goode Island & mainland area 19.100 Total Area 3514.35ha
SHIRE ROADS PARKS AND RECREATION
PARKS AND RECREATION
Council Controlled Roads - Km State Controlled Roads - Km Number of public toilets – TI 7 Thursday Island 22.233 Thursday Island 4.640 DOGS ANDNumber CAT ofS playgrounds - 4 Horn Island 22.133 Total reserves controlled by Council 30 Prince of Wales Island 9.440 All dogs and cats over three (3) months of age must be registered annually. Goode Island & mainland area 19.100 It is unlawfulTotal Areato keep an unspayed female3514.35ha or male dog unless the owner has paid a higher registration. Only two dogs are permitted on any property without Council approval, otherwise an annual permit fee applies to additional dogs.
Only two cats are permitted on any property.
If a dog is found to be roaming in public places without being on a lead, it maybe impounded and charges will apply before release to the owner. Torres Shire Council provides regular veterinary visits to Thursday and Horn Islands and dates of visits are available from Council Reception.
DOGS AND CATS Animal Complaints Torres Shire Council Cultural Festival Float Veterinarian Visits 2012/13 SHIRE ROADSSHIREBarking ROADS & aggressive dogs 10 PARKS ANDPARKS RECREATION AND RECREATION All dogs and cats over three (3) months of age must be registered annually. Date of Visit Number of No. of animals No. of animals Total of animal Straying & excessive numbers 3 It is unlawful to keep an unspayed female or male dog unless the owner has paid a higher registrationCouncil. Controlled Roads - Km State Controlled Roads - Km Consultations desexed having other seen by Vet CatsCouncil Controlled Roads - Km State Co18ntrolled Roads - Km Number of Numberpublic toilets of public – TI toilets – TI 7 7 Thursday IslandThursdayANIMAL Island MANAGEMENT22.233 22.233Thursday IslandThursday Island 4.640 4.640 surgery Only two dogs are permitted on any property without Council approval, otherwise an annual permit fee applies to additional dogs. Number of Numberplaygrounds of playgrounds - - 4 4 Horn Island Horn Island 22.133 22.133 JulyTotal reserves 2012Total controlled reserves by controlled Council32 by Council 30 30 8 5 45 Only two cats are permitted on any property. DOGS AND CATS Prince of WalesPrince Island of Wales Island Euthanased9.440 Animals9.440 Oct 2012 29 1 0 30 If a dog is found to be roaming in public places without being on a lead, it maybe impounded andGoode charges Island Goode & mainland Island will & area mainlandapply area before 19.100 release 19.100 to the owner. Total Area Total Area 3514.35ha 3514.35ha All Catsdogs -and feral cats over three (3) months of 22age must be registeredNov annually. 2012 21 13 1 35 Torres Shire Council provides regular veterinary visits to Thursday and Horn Islands and dates of visits are available from Council Reception. It isDogs unlawful – surrendered to keep an unspayed female 5or male dog unlessFeb the 2013owner has paid 29a higher 15 1 45
registration. Mar 2013 1 5 1 7 Animal Complaints Veterinarian Only Visits two 2012/13dogsImpounded are permitted and Released on any property without Council Mayapproval, 2013 otherwise an16 annual 9 1 26 Barking & aggressive dogs 10 DOGS ANDD OGCATS SAND CATS Date of Visit Number of No. ofpermit animals fee appliesNo. of to animals additional dogs.Total of animal June 2013 16 5 2 23 Straying & excessive numbers 3 Dogs 5 ConsultationsAll dogs andAll dogs catsdesexedOnly andover catsthreetwo over (3)cats threemonths havingare (3) of permittedmonths age other must of age be on registeremust anyseen be property.dregistere annuallyby Vetd . annually. Cats 18 It is unlawfulIt is tounlawful keepIf a andog to unspkeep isayed anfound unsp femaleayed surgeryto orbe female male roaming dog or male unless indog thepublic unless owner theplaces has owner paid withouthasa higher paid registrationa being higher registrationon. a lead,. it maybe impounded Only two Onlydogs twoareand dogspermitted charges are permitted on any will property on apply any withoutproperty before Council without release approval, Council to theapproval, otherwise owner. otherwise an annual an permit annual fee permit applies fee to applies additional to additional dogs. dogs. July 2012 32 8 5 45 Only two Onlycats twoareTorres catpermitteds are Shire permitted on any Council property. on any provides property. regular veterinary visits to Thursday and Horn Islands and dates Euthanased Animals Oct 2012 29 If a dog isIf founda dog tois befound1 roaming to be inroaming public placein public0 s without place sbeing without on beinga 30lead, on it maybea lead, itimpounded maybe impounded and charges and willcharges apply willbefore apply release before to release the owner to the. owner. of visits are available from Council Reception. Cats - feral 22 Nov 2012 21 Torres ShireTorres Council Shire13 provides Council regularprovides veterinary regular1 veterinary visits to Thursday visits to 35Thursday and Horn and Islands Horn and Islands dates and of visitsdates are of visitsavailable are availablefrom Council from Reception. Council Reception.
Dogs – surrendered 5 A nnual Report 2012-2013 Page 20 Feb 2013 29 15Animal ComplaintsAnimal Complaints 1 45 VeterinarianVeterinarian Visits 2012/13 Visits 2012/13 Barking &Barking aggressive & aggressive dogs dogs 10 10 Mar 2013 1 5 1 Date7 of VisitDate of VisitNumber of NumberNo. of of animalsNo. of animalsNo. of animalsNo. of animalsTotal of animalTotal of animal Straying &Straying excessive & excessive numbers numbers3 3 ConsultationsConsultations desexed desexedhaving otherhaving otherseen by Vetseen by Vet May 2013 16 Cats 9 118 26 Impounded and Released Cats 18 surgery surgery
Dogs 5 June 2013 16 5 2 July23 2012 July 2012 32 32 8 8 5 5 45 45 EuthanasedEuthanased Animals Animals Oct 2012Oct 2012 29 29 1 1 0 0 30 30 Cats - feralCats - feral 22 22 Nov 2012Nov 2012 21 21 13 13 1 1 35 35 Dogs – surrenderedDogs – surrendered 5 5 Feb 2013Feb 2013 29 29 15 15 1 1 45 45 Mar 2013Mar 2013 1 1 5 5 1 1 7 7 ImpoundedImpounded and Released and Released May 2013May 2013 16 16 9 9 1 1 26 26 Dogs Dogs 5 5 June 2013June 2013 16 16 5 5 2 2 23 23
Annual Report 2012-2013 Page 20
Annual ReportAnnual 2012 Report-2013 2012 -2013 Page 20 Page 20 Page 30 COMMUNITY SNAPSHOTS 2012/2013
Japanese Consul Visit 2012
Mayor Stephen with Japanese Consul - Mr Isoda July 2012
CHRISTMAS LIGHTS COMPETITION 2012
2012 Christmas Lights Competition winners with CEO & Deputy Mayor Cr. Loban
CRUISE SHIP MEET & GREETS 2013
Torres Shire Council staff welcoming passengers from visiting cruise ship
Annual Report 2012 - 2013 Page 31 NAIDOC AWARDS 2012
Badu Island Dancers
Torres Strait NAIDOC Ambassador award to the Family of Torres Strait NAIDOC Person of the Year Frank Loban with the late Bernard Namok with Torres Shire Mayor Stephen, Cr. Abednego and TSRA Chair Toshie Kris TSIRC Mayor Gela and Sponsor National Australia Bank
Torres Strait NAIDOC Award Sponsors NAIDOC King & Queen – Peter & Zipporah Geagea
Page 32 WINDS OF ZENADTH CULTURAL FESTIVAL 2012
Opening Ceremony Procession
Torres Shire Council staff with Kaurareg Traditional Owner Milton Savage
Opening Ceremony Procession
Saibai Island Dancers
Poruma Island Float
Inginoo Dance Team
Annual Report 2012 - 2013 Page 33 AUSTRALIA DAY 2013
Citizen of the Year Deidree Kasabad Achievement Certificate (Participation) Sarsha Louise Frazer with Cr. Ketchell Whap ASM & Deputy Mayor Cr. Loban
Achievement Medallion (Cultural) John Ngailu Whop Achievement Medallion Fauziah Renee Mosby with Mayor with Mayor Stephen Stephen
Achievement Certificate (Appreciation) Kathy Cook with Cr. Ketchell & Deputy Mayor Cr. Loban
Page 34 COMMUNITY FINANCIAL REPORT
SOURCES OF REVENUE – Where our money comes from…
Total revenue of $21,140,556 was received during 2012/13 year and consisted of Operating Revenue (including rates and charges) of $15,905,580 and Capital Revenue (including grants & contributions) of C$5,234,976.OMMUNITY FINANCIAL REPORT Sources of Revenue – Where our money comes from…Categories of revenue are as shown in the graph.
Total revenue of $21,140,556 was received during 2012/13 year and consisted of Operating Revenue (including rates and charges) of $15,905,580 and Capital Revenue (including grants & contributions) of $5,234,976. Categories of revenue are as shown in the graph.
Operating & Capital Revenue 2012/13
Net Rates & Utility Charges 24%
Fees and charges 21%
Rental Income 2% 24% 26% Interest Received 2% 22% 24% Sales –– contractcontract andand recoverable recoverable works works 5% 5%
2% Other recurrent revenue 2% 3% 2% 2% 2% 2% 2% 5% Grants, subsidies, contributions and donations 24% Capital revenue 22%
Annual Report 2012-2013 Page 27
Annual Report 2012 - 2013 Page 35 COMMUNITY FINANCIAL REPORT
OPERATING EXPENDITURE Where our money is spent…
Operating Expenditure Operating expenditure of $17,155,343 was incurred during 2012/13 and the categories of Where our money is spent… expenditure are as shown in the graph.
Operating expenditure of $17,155,343 was incurred during 2012/13 and the categories of expenditure are as shown in the graph
Operating Expenditure 2012/13
Employee costs 34% 36% 33% Materials & services 36%
28% Finance costs 3%
3% Depreciation and amortisation 28%
Capital Additions and Improvements 2012/13 Council incurred expenditure of Capital$5,337,327 Additions on capital and Improvements additions and 2012/13 improvements during 2012/13. This expenditure included fleet and office equipment purchases, building upgrades,Council roadworksincurred expenditure construction, of water$5,337,327 and sewerage on capital plant additions upgrades and and improvements Horn Island duringAirport Upgrade. 2012/13. This expenditure included fleet and office equipment purchases, building upgrades, roadworks construction, water and sewerage plant upgrades and Horn Island Airport Upgrade. Financial Position as at 30 June 2013 Council’s net worth (what CouncFinancialil owns, Positionless what as itat owes)30 June is 2013 known as Total Community Equity and at the end of the year was $182,750,191 represented by Council’s total assetsCouncil’s of $187,402,801 net worth (what less Council its total owns, liabilities less what of $4652,610. it owes) is known Categories as Total of Community Assets are Equity as shown and in the graph. at the end of the year was $182,750,191 represented by Council’s total assets of $187,402,801 less its total liabilities of $4652,610. Categories of Assets are as shown in the graph.
Annual Report 2012-2013 Page 28
Page 36 COMMUNITY FINANCIAL REPORT
Loan Borrowings The balance of Council’s loan borrowingsLoan Borrowings as at 30 June 2013 was $1,424,172. The balance of Council’s loan borrowings as at 30 June 2013 was $1,424,172. Community Grants No cash grant was given to any Communitycommunity Grants organisation during 2012-13. However, Council supported several community events through the provision of operational resources Noincluding cash grant labour, was plant given and to anyfacilities. community organisation during 2012-13. However, Council supported several community events through the provision of operational resources including labour, plant and facilities. Changes / Improvements to Council’s Financial and Assets Management During 2012/13 the following financialChanges management / Improvements practices to Council’s were improved Financial andand Assetspursued Management by Council: During 2012/13 the following financial management practices were improved and pursued by • Streamlining of processes includingCouncil: purchasing and inventory issues • Review of budget against actual• Streamlining revenue and of processes expenses, including Council’s purchasing liquidity and and inventory cash positions, issues accounts receivable levels, and capital works program. • Review of budget against actual revenue and expenses, Council’s liquidity and cash • Amendments to various policiespositions, as requi accountsred under receivable the Local levels, Government and capital Act works 2009 program. and Local Government Regulation 2012 • Amendments to various policies as required under the Local Government Act 2009 and Local Government Regulation 2012
Annual Report 2012-2013 Page 29
Annual Report 2012 - 2013 Page 37 TORRES SHIRE COUNCIL SUSTAINABILITY RATIOS 2013 TO 2023
Section 112 of the Local Government Act 2009 Relevant measures of financial sustainability:
The annual report for a financial year must state—
(a) the relevant measures of financial sustainability for the financial year for which the report has been prepared and the next 9 financial years; and
(b) an explanation of the local government’s financial management strategy that is consistent with the long-term financial forecast.
Sustainability of Council
In common with many other small local governments, particularly indigenous Councils, Torres Shire is unable to obtain substantial funding from rating. It is therefore heavily dependent on receiving funding from the State and Federal Governments.
Generally, all major new capital projects must receive a substantial proportion of external funding to be viable. This capital funding is reflected in the financial projections on the following pages.
Whilst Council has income to meet its normal functions, it is also heavily reliant on external funding for additional functions. Apart from the Commonwealth Financial Assistance Grant, the funding available is normally highly specific. If such funding becomes available, and Council does not have to outlay a substantial additional amount, Council will provide additional services. Because the nature of the services to be funded cannot be predicted, neither this funding, nor the corresponding expenditure is included in the projections.
The projections show that Council can continue to provide appropriate services with known and predictable funding sources. Council will maintain a healthy bank balance to ensure that it is financially resilient and able to cope with the impact of unexpected events.
Part of our plans for the future is to modernize our fleet plant. This will enable us to carry out works more efficiently and will limit increases in repair and maintenance costs.
Page 38 TORRES SHIRE COUNCIL FINANCIAL OUTLOOK 2013-2023
TORRES SHIRE COUNCIL FINANCIAL OUTLOOK 2013-2023
Target 13/14 14/15 15/16 16/17 17/18 18/19 19/20 20/21 21/22 22/23
Operating Surplus 0 - 15% -8% 11.5% 10.7% 10% 9% 9% 8.5% 8.1% 9.6% 10.7%
------Net Financial Liabilities < 60% -81% 122.9% 142.8% -155% 173.9% 184.9% 202.5% -212.6% 236.5% 258.8%
Asset Sustainability > 90% 26% 70.4% 35.4% 53.7% 16.6% 53% 14.2% 48.5% 0% 0%
OperatingOperating Revenue Revenue Vs. Vs. Operating Operating Expenditure Expenditure ($) ($)
25,000,000
20,000,000
15,000,000
10,000,000
5,000,000
0 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 Financial Year Ending 30 June
Total operating revenues Total operating expenses
Operating Surplus Revenue An indicator of the extent to which revenues raised cover operational expenses only or are available for capital funding purposes or other purposes. This chart shows that the costs to Council for its day-to day operations are planned to increase slowly over the ten year period in real terms. This is purely the effect of inflation on costs. It is expected that the income will, in the long term, will also keep pace with inflation. Due to Council’s low rate base, it is unsustainable for rates revenue to fund Council’s operations.
There will undoubtedly beOperating new funding Surplus for new Revenue activities but neither the income nor the expense has been included in the budget as they cannot be ascertained at the time of budgetAn indicator preparation. of the extent to which revenues raised cover operational expenses only or are Annual Report 2012-2013 available for capital funding purposes or other purposes. Page 31
This chart shows that the costs to Council for its day-to day operations are planned to increase slowly over the ten year period in real terms. This is purely the effect of inflation on costs. It is expected that the income will, in the long term, will also keep pace with inflation. Due to Council’s low rate base, it is unsustainable for rates revenue to fund Council’s operations.
There will undoubtedly be new funding for new activities but neither the income nor the expense has been included in the budget as they cannot be ascertained at the time of budget preparation.
Annual Report 2012 - 2013 Page 39 TORRES SHIRE COUNCIL FINANCIAL OUTLOOK 2013-2023
CashCash & & Debt Debt Balances Balances ($) ($)
70,000,000 60,000,000 50,000,000 40,000,000 30,000,000 20,000,000 10,000,000 0 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 -10,000,000 Financial Year Ending 30 June
Cash assets and cash equivalents
Cash Balances The blue line on the chart showsCash anticipates Balances cash balances. Much of this cash is held to meet specific obligations, for example grants for future works. Some of it is held as a bufferThe blue against line on unforeseen the chart shows financial anticipates needs cashin the balances. future. The Much cash of balancethis cash is is gheldenerally to meet held between $10m and $15m, depending on the particular situationspecific with obligations, grants and for expenses example atgrants the time.for future works. Some of it is held as a buffer against unforeseen financial needs in the future. The cash balance is generally held between $10m and The orange line represents the amount$15m, depending Council has on theborrowed particular for situation capital withexpenditure. grants and This expenses debt is at generally the time. reduced over the period as it is paid. The green line represents the net position of cash less debt. Because the debt is very small in relation to the cash this line closely follows the cash The orange line represents the amount Council has borrowed for capital expenditure. This debt line. is generally reduced over the period as it is paid. The green line represents the net position of cash less debt. Because the debt is very small in relation to the cash this line closely follows the cash line.
Annual Report 2012-2013 Page 32
Page 40 TORRES SHIRE COUNCIL FINANCIAL OUTLOOK 2013-2023
LiquidityLiquidity & &Interest Interest Coverage Coverage 500
400
300
200
100
0 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 Financial Year Ending 30 June
Current ratio (times) Net Finance Asset/Liabilities Ratio This is an indicator of the extent to which the net financial liabilities of Council can be serviced by its operating revenue. Net Finance Asset/Liabilities Ratio The blue line is the current ratio.This This is an shows indicator the of extent the extent to which to which current the net assets financial (includes liabilities cash, of accountsCouncil can receivable, be serviced and inventories) cover current liabilities (debts that need to paidby withinits operating 12 months). revenue.
The orange line shows the numberThe blue of monthsline is the expenses current ratio. can Thisbe paid shows out the of extent the cash to which held current by Council assets. (includesThis means cash, that Council has the financial accounts receivable, and inventories) cover current liabilities (debts that need to paid within 12 capacity to pay its creditors whenmonths). payments fall due.
The green line shows the proportionThe orange of operating line shows revenue the number used to of pay months interest expenses. This remains can be belowpaid out 2% of ofthe operating cash held revenue. by Council’s policy is to maintain debt repayments belowCouncil. 30% of This the means rates revenue. that Council In 2012has the-13, financial debt repayment capacity to($298,609) pay its creditors was 29.4% when ofpayments rates revenue ($1,015,151). It peaks in 2021 when all current falldebts due. are repaid.
The green line shows the proportion of operating revenue used to pay interest. This remains below 2% of operating revenue. Council’s policy is to maintain debt repayments below 30% of the rates revenue. In 2012-13, debt repayment ($298,609) was 29.4% of rates revenue ($1,015,151). It peaks in 2021 when all current debts are repaid.
Annual Report 2012-2013 Page 33
Annual Report 2012 - 2013 Page 41 TORRES SHIRE COUNCIL FINANCIAL OUTLOOK 2013-2023
CapexCapex & & Depreciation Depreciation ($) ($) 10,000,000 9,000,000 8,000,000 7,000,000 6,000,000 5,000,000 4,000,000 3,000,000 2,000,000 1,000,000 0 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 Financial Year Ending 30 June Note: Historical Gros s total capital expenditure (Cash and Non Cash) ($) includes land
Asset Sustainability Ratio Asset Sustainability Ratio An approximation of the extend to which the infrastructure assets managed by Council are being An approximation of the extendreplaced to which as thethese infrastructure reach the end assets of their managed useful lives. by Council are being replaced as these reach the end of their useful lives.
The blue line shows the amountThe spent blue each line showsyear on the capital amount assets. spent eachThe orange year on line capital shows assets. the annual The orange charge line for shows depreciation, the which represents the extent Council is using up its assets.annual chargeThe gap for between depreciation, the two which is the represents amount theCouncil extent is Council expanding is using its upasset its base.assets. Council The is making substantial new commitments to asset constructiongap betweenwith external the two funding, is the amountwhere available.Council is expandingThis provides its asset a solid base. base Councilfor Council’s is making future operations. substantial new commitments to asset construction with external funding, where available. This provides a solid base for Council’s future operations. Because Council receives operating revenue to cover its operating costs, including depreciation, the amount of revenue equal to the depreciation charge is available to pay for replacementBecause Council of assets receives as they operating are used revenue up. to cover its operating costs, including depreciation, the amount of revenue equal to the depreciation charge is available to pay for replacement of Remuneration to Senior Staffassets as they are used up.
Section 201 Local GovernmentRemuneration Act 2009 to Senior Staff
Section 201 Local Government Act 2009 (1) The annual report of a local government must state— (a) the total remuneration(1) Thepackages annual that report are of payable a local government(in the year mustto which state— the annual report relates) to senior contract employees; and (b) the number of senior contract(a) theemployees total remuneration who are being packages paid thateach are of payable the total (in rem theuneration year to which packages. the annual report relates) to senior contract employees; and (b) the number of senior contract employees who are being paid each of the total Annual Report 2012-2013 remuneration packages. Page 34
Page 42 TORRES SHIRE COUNCIL FINANCIAL OUTLOOK 2013-2023
(2) A senior contract employee is— (a) the chief executive officer; or
(b) any other local government employee who is employed— (i) on a contractual basis; and (ii) in a position that reports directly to the chief executive officer
1 senior contract employee with a total remuneration package in the range of $145,000 - $150,000 1 senior contract employee with a total remuneration package in the range of $125,000 - $130,000 1 senior contract employee with a total remuneration package in the range of $ 95,000 - $100,000
Internal Audit Section 190 (1)(h) of the Local Government Regulation states that:
The annual report for the financial year must contain the report of the internal audit for the year.
Council passed a resolution at its ordinary meeting on 19 October 2010 to establish an internal audit function.
An internal audit function helps Council to accomplish its objectives by bringing a systematic, disciplined approach to evaluate and improve effectiveness or risk management, control and governance processes in relation to:
• Effectiveness and efficiency of operations • Reliability and integrity of financial and operational information • Safeguarding of assets • Compliance with laws, regulations and contracts
An internal audit was conducted by Local Government Association of Queensland (LGAQ) on behalf of Council using the identified risk areas of Financial Sustainability, Governance, Infrastructure, Community Engagement, Planning/Regulation and Workforce in 2011-12.
Annual Report 2012 - 2013 Page 43 APPENDICES
FINANCIAL STATEMENTS APPENDIX 1
INDEPENDENT AUDITOR’S REPORT APPENDIX 2
Page 44 APPENDIX 1 FINANCIAL STATEMENTS
Annual Report 2012 - 2013 Page 45
APPENDIX 2 INDEPENDENT AUDITOR’S REPORT
Annual Report 2012 - 2013 Page 93
Annual Report 2012 - 2013 Page 95 Torres Shire Council 68 Douglas Street (PO BOX 171) Thursday Island, QLD 4875 Ph: (07 4069 1336) Fax: (07 4069 1845)
Acknowledgement to Art by Ceferino (Nino) Sabatino of Hammond Island