NORTH EAST VICTORIAN REGIONAL WASTE MANAGEMENT GROUP
TRADING AS
11th ANNUAL REPORT
FOR THE YEAR ENDED JUNE 30, 2008
TABLE OF CONTENTS Item Page No 1 Executive summary ...... 2 1.1 From the Chairman ...... 2 1.2 From the Executive Officer ...... 3 2 ESTABLISHMENT/ RESPONSIBLE MINISTER/ ROLE/ FUNCTIONS ...... 4 2.1 Manner of Establishment and the Relevant Ministers ...... 4 2.2 Objectives ...... 4 2.3 Organisational Structure...... 6 2.4 Nature and Range of Services Provision ...... 7 3 BOARD MEMBERSHIP/COMMITTEES/ MEETING ATTENDANCE...... 7 3.1 Directors’ Roles...... 7 3.2 Officers of the Board ...... 8 3.3 Sub Committees ...... 8 3.4 Statement of Workforce Data...... 9 4 OPERATIONS AND FINANCIALS...... 10 4.1 Budget Portfolio Outcomes ...... 10 4.2 Performance against Operational and Budgetary Objectives ...... 10 4.3 Five Year Financial Summary...... 11 4.4 Strategic Direction and Authority Development...... 12 4.5 Performance against Key Objectives ...... 12 4.6 Functional Area 1: Strategic Planning...... 12 4.7 Functional Area 2: Infrastructure And Facilities...... 13 4.8 Functional Area 3: Community Awareness ...... 14 4.9 Functional Area 4: Community Involvement ...... 15 4.10 Functional Area 5: Program Evaluation ...... 18 4.11 Significant Changes in Financial Position During the Year ...... 19 4.12 Consultancies Undertaken During the Reporting Period (Over & Under $100,000)...... 19 4.13 Major Contracts...... 19 4.14 Major Changes or Factors Affecting Performance ...... 19 4.15 Subsequent Events...... 19 4.16 Key Performance Indicators...... 19 4.17 The Future ...... 24 5 DISCLOSURES AND LEGISLATIVE COMPLIANCE ...... 24 5.1 Victorian Industry Participation Policy Disclosures...... 24 5.2 Information privacy...... 24 5.3 Merit and Equity...... 24 5.4 Application and Operation of FOI Act 1982...... 25 5.5 Whistleblowers Protection...... 25 5.6 Compliance with Building and Maintenance Provisions of the Building Act 1993 ...... 25 5.7 National Competition Policy ...... 25 5.8 Occupational Health and Safety...... 26 5.9 Office Based Environmental Impacts ...... 26 5.10 Cultural Diversity - Aged, Youth, Koories, NESb...... 26 5.11 Availability of other Information...... 26 5.12 Disclosure Index ...... 28 6 Risk Management attestation ...... 29 7 FINANCIAL REPORT ...... 30 7.1 Accountable Officers Declaration...... 30 7.2 Report of Auditor General’s Delegate ...... 46
1 EXECUTIVE SUMMARY
1.1 FROM THE CHAIRMAN
The last twelve months has seen changes in the staff at NevRwaste however the organisation has maintained the drive forward.
We have also increased our cooperative arrangements with like groups throughout north-east Victoria and the State and continued our relationships with cross border groups too.
The involvement of NevRwaste, together with its membership, in the Schools Environment Education Directory (SEED) has been beneficial and, having received additional funding, is to continue into the next year.
Rehabilitation of landfills within our region continues to be planned, subject, naturally, to additional funding from other sources.
The Recycling Annie campaign has seen good results together with the chance to produce long term change with some humour involved.
The revised edition of the NevRwaste newsletter is an opportunity to keep our stakeholders informed as to the current position and input is sought from our membership and stakeholders and should be directed to the Regional Education Officer.
The anti-cigarette butt litter program across the region has seen involvement by all members who have worked hard to achieve substantial reduction in this area and is to be commended.
The successful operation of any organisation depends on the commitment and support received. The staff are to be congratulated on their wholehearted efforts throughout the year.
The Audit Committee has produced effective oversight and actions to ensure financial and risk management procedures are firmly in place and subject to regular review.
The Members and their Officers have been effective particularly since the resurgence of the Technical Officer Committee and the Board is to be recognised for its deliberations and policy implementation. To all involved thank you for your efforts - they have all contributed to the success of the past year and set NevRwaste up for the future.
The regional waste system throughout Victoria is subject to a review being conducted by DSE, the outcome of this is yet to be agreed and the draft is yet to be released for comment. I believe change is in the wind and the aim must be to produce a better, more financially sourced organisation, better equip to serve the rural and regional communities of Victoria into the future on this most important sustainability issue.
In accordance with the Financial Management Act 1994, I am pleased to present the Report of Operations for the North East Victorian Regional Waste Management Group (NevRwaste) for the year ending 30 June 2008.
Peter Graham, OAM Chairperson Page 2
1.2 FROM THE EXECUTIVE OFFICER With the close of another financial and business year I would like to thank our members, their officers and our partner organisations for the strong continued support of NevRwaste in 2007-2008. Through these relationships were have delivered a comprehensive set of programs aimed at increasing the resource efficiency of North East Victoria. Some key achievements include: The preparation of six new rehabilitation plans for priority closed landfills The completion of the Sustainable Caravan Park Project, with 17 new Caravan Parks provided with assistance to improve their environmental performance in 2007/2008 The coordination of a region wide cigarette litter campaign with a focus on licensed venues to complement the state’s ‘Don’t Be a Tosser’ program The creation of a North East Schools Environment Education Directory by an interagency team, to assist schools to teach around sustainability The coordination of a large scale TV and print media campaign to reduce contamination in household recyclable bins The trial of electronic data collection devices within five councils to improve data collection from waste facilities Auditing all open landfills in the region to establish how they adhere to best practice Undertaking a skills assessment of waste facility staff in the region Assisting nine new organisations and seven events to become Waste Wise Certified.
A more detailed explanation of project achievements can be found in this document. NevRwaste officers are looking forward to building onto the great partnerships we have developed in 2007-08 and implementing the state’s policies and strategies at a regional and local level in 2008-2009.
Brooke Hermans Executive Officer
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2 ESTABLISHMENT/ RESPONSIBLE MINISTER/ ROLE/ FUNCTIONS
2.1 MANNER OF ESTABLISHMENT AND THE RELEVANT MINISTERS The North East Victorian Regional Waste Management Group is a Statutory Agency, established under the section 50F of the Environment Protection Act 1970. The Responsible Minister for the financial year was as follows:
• The Honourable John Thwaites, Minister for Water, Environment and Climate Change served from 1/07/2007 – 29/07/2007
• The Honourable John Brumby Premier served as Environment and Climate Change Minister from 30/07/2007 – 2/08/2007
• The Honourable Gavin Jennings, Minister for Environment and Climate Change served from the 3/08/2007 – 30/06/2008.
2.2 OBJECTIVES In partnership with its members NevRwaste develops regional plans to give effect to state-wide policies, strategies and programs at a local level. NevRwaste’s members play a key role in the provision of infrastructure and community programs, and in implementing the regional plans developed by NevRwaste. In their waste planning and management role, NevRwaste’s members add value to regional initiatives through contracting, service delivery, and provision of infrastructure and facilities. They also assist NevRwaste to deliver education programs through events, schools, and organisations in local communities. 222...222...111 NNNEEEVVVRRRWWWAAASSSTTTEEE’’’SSS MMMIIISSSSSSIIIOOONNN///VVVIIISSSIIIOOONNN NevRwaste’s Vision Our community practicing more efficient use of materials in their lifestyles & activities. NevRwaste’s Mission Work with our community to instill a growing awareness, capacity and passion for materials efficiency in their lifestyles and activities. 222...222...222 NNNEEEVVVRRRWWWAAASSSTTTEEE’’’SSS OOOBBBJJJEEECCCTTTIIIVVVEEESSS///PPPRRROOOGGGRRRAAAMMM AAARRREEEAAASSS... Strategic Planning Objective Regional waste management planning meeting the needs, expectations, and aspirations of the community Infrastructure and Facilities Objective Our community having supportive infrastructure and management systems aligned to their needs Community Awareness Objectives Our community having extensive knowledge of waste wise practices Members having improved capacity to understand and implement best practice in waste management programs and education Community Involvement Objective Effective, well coordinated community participation in waste wise education and infrastructure programs
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Program Evaluation Objective NevRwaste undertaking robust assessment and analysis of waste wise programs NevRwaste facilitating the collection, collation and dissemination of accurate data related to waste management
222...222...333 NNNEEEVVVRRRWWWAAASSSTTTEEE FFFUUUNNNCCCTTTIIIOOONNNSSS,,, PPPOOOWWWEEERRRSSS AAANNNDDD DDDUUUTTTIIIEEESSS... NevRwaste’s functions, according to section 50H of the Environment Protection Act 1970, are to: (a) plan for the management of municipal waste in its region, working in partnership with the councils in its region; (b) co-ordinate the activities of its members in its region to give effect in its region to State policies, strategies and programs relating to waste; and, (c) facilitate and foster best practices in waste management. In carrying out its functions the Group is to: (d) plan for municipal waste management in its region including- (i) preparing and keeping up to date a regional waste management plan; (ii) implementing and promoting the plan; (iii) setting performance targets for municipal waste reduction programs; (iv) developing, implementing, supporting and promoting municipal waste reduction and recycling programs; (e) co-ordinate the waste management activities of its members including- (i) introducing measures that lead to conformity of standards for waste reduction, waste management and litter prevention and control between its members; (ii) investigating and advising on landfill disposal costs and charges in the region; (iii) encouraging the training of staff involved in municipal waste management; (f) promote, commission and undertake research into waste management; (g) advise its members on best practices in municipal waste management; (h) promote improved waste management technologies; (i) promote and co-ordinate relevant community education in its region; and, (j) mediate disputes between its members. The Group may do anything that is necessary or convenient to enable it to perform its functions.
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2.3 ORGANISATIONAL STRUCTURE. NORTH EAST VICTORIAN REGIONAL WASTE MANAGEMENT GROUP
MANAGEMENT GROUP Chair: Peter Graham Deputy Chair: Neville Wright
DIRECTORS/ EXECUTIVE
NON EXECUTIVE DIRECTORS EXECUTIVE COMMITTEE NON EXECUTIVE DIRECTORS Alpine: Zuvele Leschen Indigo: Peter Graham Wodonga: John Mahony Benalla: Lyn Tanner Wangaratta: Neville Wright Falls Creek: Ben Derrick Towong: Terry Forrest Officer Representative: Dimitri Scordalides Mt Buller- Stirling: Louise Perrin Mansfield: Kim Steinle Mt Hotham: Nicole Epema
PROJECT SUB-COMMITTEES (CHAIRS) EXECUTIVE OFFICER Audit Committee: (Frank Smith) Brooke Hermans Caravan Park Project (John Mahony) Landfill Risk Project (Kim Steinle)
REGIONAL EDUCATION OFFICER Elsie Nielsen
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2.4 NATURE AND RANGE OF SERVICES PROVISION NevRwaste develops and applies regional strategies and initiatives in the context of State policy, through the State’s regional waste management framework under the Environment Protection Act 1970. As such NevRwaste plans for municipal waste management at a regional level and facilitates and fosters best practice in waste management within the North Eastern Waste Management Region, comprising the member municipalities of Alpine, Indigo, Mansfield, Towong, Benalla and Wangaratta and Wodonga. Under enabling legislation in the Alpine Resorts Management Act 1997, Falls Creek, Mt Hotham and Mt Buller-Mt Stirling Alpine Resort Management Boards have taken the opportunity to initiate resort specific municipal waste initiatives, through membership of NevRwaste. NevRwaste prepares and implements environmental (waste management) plans and reports, as part of its core functions and statutory obligations. In doing so NevRwaste works in partnership with other Government Agencies to promote and to maintain the principles of sustainability. NevRwaste articulates its long-term strategic position on the environment through the regional waste management plan, which is implemented through the business plan and reported on through this annual report. More specifically NevRwaste operates in partnership with the Environment Protection Authority (EPA), Sustainability Victoria and local authorities to implement state policies and strategies, relating to solid waste management and resource efficiency, in a regional and local setting. NevRwaste has a primary role in setting the regional strategic context for current and future waste management and resource recovery facilities. The strategic regional context informs statutory planning processes undertaken by Local Government, EPA, and the State Government around the siting and establishment of waste management and resource recovery facilities. Waste facilities are established through a works approval process overseen by the EPA who is obligated to refer works approval applications to the planning authority as part of that process.
3 BOARD MEMBERSHIP/COMMITTEES/ MEETING ATTENDANCE
3.1 DIRECTORS’ ROLES Though they operate in a voluntary role NevRwaste Directors undertake a number of responsibilities including: (a) approving, where appropriate, policy and other recommendations received from the Group, its sub-committees and staff (b) monitoring all Group policies; reviewing and recommending changes to the Group’s internal strategies and policies manual (c) reviewing the Board’s structure, approving changes, and preparing amendments (d) participating in the development of the Group’s business plan, waste management plan, constitution and annual report (e) considering and approving the Group’s annual budget (f) approving the hiring and release of the Executive Officer (g) assisting in developing and maintaining positive relations among the Board, committees, staff, and the community to enhance the Group’s mission
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3.2 OFFICERS OF THE BOARD NevRwaste’s Board is composed of ten directors representing each of the ten members. It met on five occasions in the 2007/08 Financial Year. Each director’s term of appointment and attendance record is shown below.
MEETING NUMBER AND DATE Î 1 2 3 4 5
Period of Director Appointed By Appointment July 2007 July 2007 Sep 2007 Nov 2007 Feb 2008 May 2008 th th th th th 12 27 29 7 8
Zuvele Leschen 01/07/07 30/06/08 Alpine Shire 9 9 Lyn Tanner 01/07/07 30/06/08 Benalla Rural City 9 9 9 9 9 Peter Graham 01/07/07 30/06/08 Indigo Shire 9 9 9 9 9 Steve Gore 01/07/07 27/09/07 Mansfield Shire 9 9 Kim Steinle 29/11/07 30/06/08 Mansfield Shire 9 9 9 Terry Forrest 01/07/07 30/06/08 Towong Shire 9 9 9 9 9 Neville Wright 01/07/06 30/06/08 Rural City of Wangaratta 9 9 9 9 John Mahony 01/07/06 30/06/08 City of Wodonga 9 9 9 9 Tom Pelly 01/07/07 27/09/07 Mount Hotham Resort Nicole Epema 07/02/08 30/06/08 Mount Hotham Resort 9 9 Louise Perrin 01/07/06 30/06/08 Mount Buller/Mt Stirling 9 9 Maternity Leave 9 Rt Ben Derrick 17/05/06 30/06/08 Falls Creek Resort 9 9 9 The Board appointed an Executive Committee composed of the following:
• Chairman: Peter Graham
• Deputy Chairman: Neville Wright
• Officer Representative: Dimitri Scordalides (Benalla Rural City)
• Executive Officer: Kevin Harvey (30/06/07 – 29/01/08)
• Executive Officer: Brooke Hermans (30/01/08 – 30/6/07)
3.3 SUB COMMITTEES Under its constitution and underlying Charter of Corporate Governance, NevRwaste establishes sub-committees according to its need and resources. In 2007/08 NevRwaste retained a permanent Audit Committee to ensure it met its obligations to the Financial Management Act 1994. The make-up, role, and output of that Committee is set by legislation and underlying Ministerial Directives. The Group also established sub-committees to accommodate external partnerships on the Sustainable Caravan Park project and the Landfill Risk Assessment project. 333...333...111 AAAUUUDDDIIITTT CCCOOOMMMMMMIIITTTTTTEEEEEE MMMEEEMMMBBBEEERRRSSSHHHIIIPPP In 2007/08 NevRwaste’s Audit Committee met five times, generally 10 days prior to scheduled board meeting. NevRwaste appointed an internal auditor, Mr Terry Lant, to undertake internal activities and reporting to the Committee.
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MEETING NUMBER AND DATE Î 1 2 3 4 5
Period of Director Appointed By Appointment Jun 2008 Jun Mar 2008 Nov 2007 April 2008 Sept 2007 th th th th th 4 24 18 13 29
Frank Smith 01/07/07 30/06/08 Independent Chairman 9 9 9 9 9 Roy Baird 01/07/07 30/06/08 Independent Member 9 9 9 9 Terry Forrest 01/07/07 30/06/08 NevRwaste Director 9 9 9 9 9 3.4 STATEMENT OF WORKFORCE DATA In 2007/2008 NevRwaste employed between 3-4 people. The breakdown of staff for the Group is as follows: ITEM (as at 30/6/08) (as at 30/6/07)
Total Employees 3 4 Male 1 2 Female 2 2 Part Time 1 1 Full Time 2 3 Equivalent Full Time (EFT) - - Senior Management (salary less than $120,000) 1 1 Age 25-34 2 2 Age 35-44 1 2 VPS 4 2 3 VPS 1 1
333...444...111 MMMAAANNNAAAGGGEEEMMMEEENNNTTT TTTEEEAAAMMM In implementing regional strategies, NevRwaste relies on both internal and external human resources. In 2007/08 NevRwaste employed two full time officers, an Executive Officer and a Regional Education Officer. Throughout the course of the year NevRwaste also employed four fixed term employees to deliver projects. (a) Executive Officer Role The main purpose of the Executive Officer position is to support the Group in the development and implementation of its plans, budgets, programs, projects and activities for waste management in the region, in accordance with relevant legislation, policy and guidelines, and consistent with regional needs and priorities. A key objective of the position is to ensure the Group develops and maintains a vision of continuous improvement in the management of waste and litter in the region, and makes progress towards the achievement of state wide policy goals and regional objectives for waste reduction.
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(b) Regional Education Officer The main purpose of the Regional Education Officer position is to support the development and delivery of community education programs and actions in the region. The strategic basis for these programs is defined in the Group’s waste management plan and business plan and reflected in the corresponding plans or strategies developed by Councils at the local level. A key objective of the position is to assist stakeholders in the region to develop the necessary understanding, capacity and commitment to change practices and undertake activities to reduce waste and litter, and hence support the Group’s progress towards the achievement of state wide policy goals and regional objectives. NevRwaste’s programs also rely upon the support of Directors and officers of members and other external organisations. (c) External Support The officers of NevRwaste members attend board and special project group meetings as well as other project based activities from time to time. Officers of the EPA, Sustainability Victoria and other Government and private sector organisations take part in regional activities.
4 OPERATIONS AND FINANCIALS
4.1 BUDGET PORTFOLIO OUTCOMES Of the $24 million forecast under “Statutory Activities and Environment Protection” in budget paper 3, and attributed to Sustainability Victoria and Regional Waste Management Groups, NevRwaste received $232,405. Furthermore, under its obligations to section 50QC of the Environment Protection Act 1970, NevRwaste has reported in section 7.1.3 of this report on all the activities it has undertaken that were funded by the landfill levy. 4.2 PERFORMANCE AGAINST OPERATIONAL AND BUDGETARY OBJECTIVES Under the landfill levy distribution NevRwaste received $232,405 in direct funding comprising $172,405 for administration and directors’ fees and $60,000 to support its Regional Education program. In addition Sustainability Victoria provided a ‘gap funding amount’ of $32,645 to assist in administration and Regional Education Officer Employment. Sustainability Victoria provided the opportunity for additional funding to NevRwaste through tied grants and informally reviewed NevRwaste’s business plan. Other project funds received from NevRwaste’s members comprise $112,910.
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4.3 FIVE YEAR FINANCIAL SUMMARY Table 4.3: Five-Year Financial Summary 2007- 2006- 2005- 2004- 2003-
2008 2007 2006 2005 2004 $ $ $ $ Landfill Levy Revenue 232,405 226,651 225,550 220,145 216,340 Government contributions 232,770 121,193 83,994 42,695 34,847 Member contributions 80,410 119,327 106,150 103,130 101,000 Other revenue 36,364 25,847 51,879 27,545 11,290 TOTAL REVENUE 581,949 493,018 467,573 393,515 363,477
Administration 310,076 364,453 369,710 266,845 312,554 Project Expenditure 161,843 94,492 84,165 185,805 88,296 TOTAL EXPENDITURE 471,919 458,945 453,875 452,650 400,850
Current Assets 424,987 312,650 281,326 242,917 299,710 Non-current assets 71,842 108,673 98,950 61,764 66,410 TOTAL ASSETS 496,829 421,323 380,276 304,681 366,120
Current Liabilities 79,681 66,090 45,827 19,303 32,749 Non-current liabilities 14,674 74,888 47,001 11,628 486 TOTAL LIABILITIES 94,355 140,978 92,828 30,961 33,235
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4.4 STRATEGIC DIRECTION AND AUTHORITY DEVELOPMENT. NevRwaste prepares and implements policies, strategies and programs that are articulated through its regional waste management plan and then implemented through the annual business planning and reporting process. EPA approves the waste management plans prepared by NevRwaste. DSE formally reviews NevRwaste’s annual report and advises the Minister on presentation of those reports to Parliament. In accordance with the distribution of the landfill levy NevRwaste received $232,405 in direct funding comprising $172,405 for administration and directors’ fees and $60,000 to support its Regional Education program. Members’ funds comprised $112,910 inclusive of $32,500 set aside for special projects. Sustainability Victoria provided the opportunity for additional funding to NevRwaste’s through tied grants and informally reviewed NevRwaste’s business plan. 4.5 PERFORMANCE AGAINST KEY OBJECTIVES The following report describes the progress on initiatives that were incorporated into the 2007/08 Business Plan. It describes the project, under its functional/objective area, its current status and any carryover arrangements necessary in 2008/09. Each functional area also has a table that reports against the key performance indicators that were set for projects in the 2007-2010 Business Plan.
4.6 FUNCTIONAL AREA 1: STRATEGIC PLANNING “REGIONAL WASTE MANAGEMENT PLANNING FOCUSED ON INFRASTRUCTURE AND SERVICES THAT PURSUE STATE AND REGIONAL PRIORITIES IN THE CONTEXT OF COMMUNITY NEEDS, EXPECTATIONS AND RESOURCES”
2007-2008 PROJECT STATED KPI 2007-2008 ACHEIVEMENT
Prepare landfill rehabilitation Complete by October 07 Complete by May 2008 plans
444...666...111 OOOTTTHHHEEERRR AAACCCHHHIIIEEEVVVEEEMMMEEENNNTTTSSS (((AAA))) RRREEEGGGIIIOOONNNAAALLL WWWAAASSSTTTEEE MMMAAANNNAAAGGGEEEMMMEEENNNTTT PPPLLLAAANNN RRREEEVVVIIIEEEWWW NevRwaste’s officers have continued to work with member organisations to complete a Draft Regional Waste Management Plan to replace the document approved by EPA in 1999. With the assistance of member’s a draft plan was completed in 2007. A consultant has since been appointed to complete the draft plan ready for public consultation. It is expected that the plan will be submitted to the EPA in the first half of the 2008/2009 financial year. (((BBB))) LLLAAANNNDDDFFFIIILLLLLL RRREEEHHHAAABBBIIILLLIIITTTAAATTTIIIOOONNN PPPLLLAAANNNSSS As part of the Landfill Risk Assessment Project funded through the Sustainability Fund, NevRwaste has been working with members to develop rehabilitation plans for closed regional landfills. Over the course of 2007/2008 geophysical surveys using electromagnetic methods were used to determine the extent of the waste mass at six closed landfills throughout the region. Using this
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and other information collected, six rehabilitation plans have been produced. These plans are currently with the EPA awaiting approval. (((CCC))) BBBUUUSSSIIINNNEEESSSSSS PPPLLLAAANNNNNNIIINNNGGG NevRwaste has worked with member organisations to determine priorities for action to be included in the 2008-2011 Business Plan. Group and individual meetings were held to produce a draft with the final consultation conducted at the Board Level.
4.7 FUNCTIONAL AREA 2: INFRASTRUCTURE AND FACILITIES “THE REGIONAL COMMUNITY HAVING ACCESS TO BEST PRACTICE WASTE MANAGEMENT INFRASTRCUTURE AND SERVICES”
2007-2008 PROJECT STATED KPI 2007-2008 ACHEIVEMENT
Rehabilitation works on sites with Complete by Jul 08 Not complete, carried over to relatively high risk 2008-09 Apply to Sustainability Victoria’s When advised No grant round held Infrastructure Grants for regional project to upgrade transfer stations to best practice Continue to work with councils to Ongoing Trial of hand held data establish best practice processes collection device held for data collection conducted
444...777...111 OOOTTTHHHEEERRR AAACCCHHHIIIEEEVVVEEEMMMEEENNNTTTSSS (((AAA))) RRREEEHHHAAABBBIIILLLIIITTTAAATTTIIIOOONNN WWWOOORRRKKKSSS OOONNN PPPRRRIIIOOORRRIIITTTYYY LLLAAANNNDDDFFFIIILLLLLL SSSIIITTTEEESSS... Stage three of the Landfill Risk Assessment Project, funded by the Sustainability Fund involves members completing landfill rehabilitation works on sites in the region. Individual MOU’s have been struck between NevRwaste and the Rural City of Wangaratta, Towong Shire Council and Alpine Shire Council to complete this final stage of the project in 2008/2009. The MOU’s formalise a commitment of councils to spend a combined $433,000 in 2008/2009 on landfill rehabilitation, supported by $50,000 from NevRwaste and the Sustainability Fund. (((BBB))) TTTRRRAAANNNSSSFFFEEERRR SSSTTTAAATTTIIIOOONNN UUUPPPGGGRRRAAADDDEEE PPPRRROOOJJJEEECCCTTT In its 2007/2008 business plan, NevRwaste assigned $30,000 funding to provide a matching contribution to an application through Sustainability Victoria’s Infrastructure Grants. Although Sustainability Victoria had indicated that these grants would be made available they were not advertised during the 2007/2008 financial year, meaning that this funding allocation was not spent. (((CCC))) TTTRRRAAANNNSSSFFFEEERRR SSSTTTAAATTTIIIOOONNN DDDAAATTTAAA CCCOOOLLLLLLEEECCCTTTIIIOOONNN PPPRRROOOJJJEEECCCTTT NevRwaste has been working on an ongoing project to improve the collection of data at Transfer Stations throughout the region. This past year saw the analysis and trial of an electronic hand held data collection system within five councils. Surveys on the viability of the system were then conducted across the region, with the results indicating that at this point the device was either too costly or too complex for many sites.
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One council, the Rural City of Wangaratta will install this type of system across their transfer stations in the 2008/2009 financial year. NevRwaste also worked with the Association of Regional Waste Management Groups to submit an application to the Sustainability Fund relating to improving data collection at waste facilities across the state. This project was successful in receiving funding and a NevRwaste Officer will work closely on this project through membership on the project steering committee.
4.8 FUNCTIONAL AREA 3: COMMUNITY AWARENESS “THE REGIONAL COMMUNITY POSSESSING EXTENSIVE KNOWLEDGE OF THE RANGE, CONVENIENCE AND RELEVANCE OF WASTE MANAGEMENT INFRASTRUCTURE AND SERVICES AVAILABLE TO THEM”
2007-2008 PROJECT STATED KPI 2007-2008 ACHEIVEMENT
Establish community awareness Members funds Promotion undertaken activities (eg: media, brochures) for transfer stations/resource recovery centres In conjunction with members, Complete June 2008 Complete assist in the promotion of a regional Detox Your Home facility in Wodonga, to the regional community NevRwaste to work with members Complete March 2008 Skills assessment undertaken in establishing professional & training planned development for Transfer Station Operators Continue to hold community open Complete by October 2007 Complete by May 2008 days and tours of MRF’s and other key facilities Waste reduction junk mail Complete by July 2008 Complete by July 2008 campaign Update the re-use guide and Update complete Update complete place on website Update NevRwaste website 2 updates per year 2 updates per year complete NevRwaste newsletter 2 per annum 1 produced
444...888...111 OOOTTTHHHEEERRR AAACCCHHHEEEIIIVVVEEEMMMEEENNNTTTSSS (((AAA))) DDDEEETTTOOOXXX YYYOOOUUURRR HHHOOOMMMEEE PPPRRROOOMMMOOOTTTIIIOOONNN A permanent ‘Detox Your Home’ site was established by the City of Wodonga in partnership with Sustainability Victoria in early 2008. NevRwaste worked with the City of Wodonga to promote the site across the waste management region. (((BBB))) MMMAAATTTEEERRRIIIAAALLLSSS RRREEECCCOOOVVVEEERRRYYY FFFAAACCCIIILLLIIITTTYYY (((MMMRRRFFF))) TTTOOOUUURRRSSS Community Attitude Surveys conducted in previous years had indicated that the community was confused about the destination of the materials in their recycling bins.
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For the past three years, in an effort to inform the community about the destination of these materials, tours have been held at MRF’s in the region. Tours were held at both the Wangaratta and Wodonga MRF’s in 2008. Recycling from the townships of Benalla and Mansfield is transported outside of the region to the Shepparton MRF, therefore ‘virtual tours’ were held in these townships to enable residents to see where their recycling goes. (((CCC))) JJJUUUNNNKKK MMMAAAIIILLL CCCAAAMMMPPPAAAIIIGGGNNN 15,000 junk mail postcards and mail box stickers were produced and distributed through the councils within the region. (((DDD))) WWWEEEBBBSSSIIITTTEEE UUUPPPGGGRRRAAADDDEEESSS &&& EEELLLEEECCCTTTOOONNNIIICCC NNNEEEWWWSSSLLLEEETTTTTTEEERRR The NevRwaste website is updated regularly to continue to provide a porthole for members and the community to access information. This year saw the development of a policy area for Directors to access the Charter of Corporate Governance and other relevant documents. NevRwaste also moved from the production of a paper newsletter to the production of an electronic newsletter in 2007/2008, which was distributed to stakeholders. (((EEE))) TTTRRRAAANNNSSSFFFEEERRR SSSTTTAAATTTIIIOOONNN PPPRRROOOFFFEEESSSSSSIIIOOONNNAAALLL DDDEEEVVVEEELLLOOOPPPMMMEEENNNTTT A detailed skills assessment was undertaken with transfer station operators within the Regional Waste Management Area. In cooperation with member organisations this information is now being used to plan for region wide nationally accredited professional development for waste operators. 4.9 FUNCTIONAL AREA 4: COMMUNITY INVOLVEMENT “EFFECTIVE, WELL COORDINATED COMMUNITY PARTICIPATION IN WASTE WISE EDUCATION AND INFRASTRUCTURE PROGRAMS”
2007-2008 PROJECT STATED KPI 2007-2008 ACHEIVEMENT
Coordination of 2nd session of Complete March 2008 Complete March 2008 television advertisements focussing on recycling Extend regional organics project Complete by July 2008 Not complete to be carried into second stage over Partner other organisations in Complete by May 2008 Complete by May 2008 developing a sustainable schools curriculum kit Develop list of major events to List developed List developed target Target two new events with 2 new events over 5,000 Working with CFA for major attendance over 5,000 each year fires and Yackandandah Folk Festival Provide assistance to events to 15 events 2007-2008 7 events 2007-2008 reach certification Twice yearly networking meeting 2 meetings per year 2 Schools Environment for Waste Wise Schools Education Road shows held
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Assist schools to reach Waste 8 schools by 2007-2008 8 schools certified Wise certification Encourage Falls Creek, Wodonga, 80% of members by June 2008 70% of members by June Towong, Mansfield and Mt 2008 Hotham to reach Waste Wise Certification Continued coordination of Campaign complete Campaign complete licensed venue cigarette littering campaign Continued support of network to 2 meetings attended per annum 3 meetings attended deal with illegal dumping issues Litter application to address Application submitted Application submitted for general litter in retail areas cigarette butt littering in throughout the region retail areas which was successful Continue work with Member LES projects complete LES project planned and Resorts on implementing their carried over into 2008/2009 Local Education Strategies to match ski season
444...999...111 OOOTTTHHHEEERRR AAACCCHHHIIIEEEVVVEEEMMMEEENNNTTTSSS (((AAA))) TTTRRRAAANNNSSSFFFEEERRR SSSTTTAAATTTIIIOOONNN PPPRRROOOMMMOOOTTTIIIOOONNN CCCAAAMMMPPPAAAIIIGGGNNN NevRwaste supported an application to the Sustainability Fund from the Goulburn Valley Regional Waste Management group on behalf of the Association of Regional Waste Management Groups to develop a media campaign to promote transfer stations state wide. This application was successful and NevRwaste will support its implementation in the 2008/2009 financial year. (((BBB))) RRREEECCCYYYCCCLLLIIINNNGGG AAANNNNNNIIIEEE MMMEEEDDDIIIAAA CCCAAAMMMPPPAAAIIIGGGNNN The Recycling Annie Campaign was launched on the 6th June 2007 and coordinated throughout 2007/2008. The campaign is a joint initiative of Resource GV, NevRwaste, Cleanaway and the Packaging Stewardship Council, supported by the sixteen member organisations of the two waste groups. The partners maintain that, whilst recycling is important to the home and business, material incorrectly recycled pose a safety risk to centre staff and can damage recycling equipment. Where there is a lot of inappropriate material, whole batches of recycling are sent to landfill meaning that people’s recycling effort may be wasted. The campaign aims to reduce contamination in household recycling bins and increase people’s knowledge of the types of materials they can recycle and thereby reduce contaminated recycling by 30% and to see levels stay under 5% by weight. The advertising campaign was aired in two rounds over the past year, once during July 2007 and then again during April, May and June 2008. The TV advertising has also been accompanied by a range of other promotions, including newspaper features, billboard tours and the development of a curriculum unit for schools relating to the campaign. (((CCC))) WWWAAASSSTTTEEE WWWIIISSSEEE • Seven Waste Wise Events held
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• Nine new organisations certified as Waste Wise
• One new school certified as Waste Wise
• Assisted Winton Motor Raceway to secure $20,000 to establish public place recycling at the venue
• Seven out of ten members are now certified as Waste Wise, with two, the Rural City of Wangaratta and Mansfield Shire Council receiving Silver certification in the past year.
(((DDD))) SSSCCCHHHOOOOOOLLLSSS EEENNNVVVIIIRRROOONNNMMMEEENNNTTTAAALLL EEEDDDUUUCCCAAATTTIIIOOONNN DDDIIIRRREEECCCTTTOOORRRYYY (((SSSEEEEEEDDD))) The Schools Environmental Education Directory is a joint initiative of a number of partners within the North East region, including, NevRwaste who host the project officer, North East Water, the Rural City of Wangaratta, Indigo Shire Council, the North East Greenhouse Alliance and the North East Catchment Management Authority. The project, which has been in development since 2006, has included extensive consultation with schools in the region to understand what tools teachers need to help them to expand their teaching around sustainability. As an outcome of the consultation an extensive website has been established, which will provide a one-stop-shop for schools to access curriculum resources and information on sustainability. www.necma.vic.gov.au/seed (((EEE))) OOORRRGGGAAANNNIIICCCSSS NevRwaste worked with a number of partners, including the North East Greenhouse Alliance, Charles Sturt University and the Albury Wodonga Food Securities Network to prepare an application relating to organics management in North East Victoria for the Sustainability Fund. The application for $172,000 funding was successful and NevRwaste will work to implement this project in 2008/2009. As part of the program a behavioural change program will be trialled focussing on avoiding food waste, in addition an organics strategy for North East Victoria will also be created. (((FFF))) LLLIIITTTTTTEEERRR CCCAAAMMMPPPAAAIIIGGGNNNSSS With the assistance of funding from Sustainability Victoria, NevRwaste actively participated in the 2007 Don’t be a Tosser Campaign. Regional activities included a large scale media and promotional blitz around cigarette butt littering and two enforcement blitz’s across the region. Seventy stainless steel ashtrays were installed outside licensed areas and a 9% reduction in butt littering was recorded as a result of the campaign. NevRwaste is also actively participating in the Murray River Litter Management Task Force. The inter-agency task force is working to reduce illegal dumping by campers along the Victorian side of the Murray River. A successful grant was also obtained to continue our region wide work a preventing cigarette litter in 2008/2009.
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4.10 FUNCTIONAL AREA 5: PROGRAM EVALUATION “THE REGIONAL COMMUNITY UTILISING THE WASTE MANAGEMENT INFRASTRUCTURE AND SERVICES AVAILABLE TO THEM IN AN EFFECTIVE AND EFFICIENT MANNER”
2007-2008 PROJECT STATED KPI 2007-2008 ACHEIVEMENT
Work with Wodonga, Indigo and Complete by Dec 2007 Not complete carried over Greenchip to implement trial into 2008-2009 including fruit and vegetable scraps in green organics collections Voluntary organics collection Complete by February 2008 Not complete survey Review of organics collection Complete by March 2008 Not complete due to trial not trials and plan for increase and taking place expansion, if required Collection of contamination rate Complete March 2008 Complete March 2008 information and plan for continued recycling campaign if necessary Continue to support Sustainable Complete November 2007 Complete November 2007 Caravan Park project and investigate other possibilities with priority areas Partner organisations evaluating Subject to funding Funding secured for 2008- broad scale impacts of importing 2009 and consuming food and other organics materials Retail Litter campaign Subject to funding Funding secured for 2008- 2009
444...111000...111 OOOTTTHHHEEERRR AAACCCHHHIIIEEEVVVEEEMMMEEENNNTTTSSS (((AAA))) SSSUUUSSSTTTAAAIIINNNAAABBBLLLEEE CCCAAARRRAAAVVVAAANNN PPPAAARRRKKK PPPRRROOOJJJEEECCCTTT The two year collaborative project hosted by NevRwaste was completed in November 2007. In the 2007-2008 financial years an additional seventeen caravan parks were supported to adopt initiatives around water, waste and energy conservation. A series of helpful fact sheets for Caravan Parks was also produced as a result of the project. (((BBB))) LLLAAANNNDDDFFFIIILLLLLL BBBEEESSSTTT PPPRRRAAACCCTTTIIISSSEEE AAAUUUDDDIIITTT A survey of all operating landfills within the North East Victorian Waste Management Region was conducted during the 07/08 financial year. The survey was designed in cooperation with the EPA and conducted to collect information on how the landfills met the EPA’s Best Practice Environmental Management Guideline -Siting, Design, Operation and Rehabilitation of Landfills (EPA publication 788). The results of these audits will now be used in future planning for waste management needs in the region.
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4.11 SIGNIFICANT CHANGES IN FINANCIAL POSITION DURING THE YEAR NevRwaste received Landfill Levy funds totalling $232,405 representing four full quarters’ payments, inclusive of $60,000 in funding to support the Regional Education Officer. The utilisation of these and other indirect funds from the landfill levy are summarised section 7.1.3. 4.12 CONSULTANCIES UNDERTAKEN DURING THE REPORTING PERIOD (OVER & UNDER $100,000) There were no consultancies in excess of $100,000 entered into during the reporting period. During the reporting period there was a total of one consultancy for the preparation of landfill rehabilitation plans, totalling $62,279 including GST. NevRwaste also utilised the services of an accountant at a cost of $4,972 and an internal auditor at a cost of $5,720. 4.13 MAJOR CONTRACTS NevRwaste did not enter into any contracts greater than $10 million in value during the reporting period. 4.14 MAJOR CHANGES OR FACTORS AFFECTING PERFORMANCE A number of staff changes have occurred at NevRwaste in the 2007/2008 financial year, these include the Regional Education Officer taking a secondment to other duties, the appointment of a new Regional Education Officer and the Executive Officer resigning and being replaced. Due to these factors and some grant funds being received in the 2007/2008 financial year but expected for expenditure in 2008/2009 a total of $149,300 worth of projects will be carried over into the 2008/2009 financial year, including:
Carry over projects Carry over amount Infrastructure and facilities funding $39,000 Data collection funding $11,000 Organics Trial $44,000 Alpine Local Education Strategy Funding $8,930 Litter Grant $20,000 Sustainable Schools Environmental Education Directory $26,370 TOTAL $149,300
4.15 SUBSEQUENT EVENTS Regional Waste Management Groups are currently under review by DSE. Depending on the outcomes of this review, this could impact on the current operations of Regional Waste Management Groups in the coming year. Minister Gavin Jennings was also appointed as the Minister for Environment and Climate Change on the 3rd of August 2007. It is also expected that a new Enterprise Bargaining Agreement for Regional Waste Management Groups will be formalised in the first half of the 2008/2009 financial year. Proposed increases in salaries and back pay have been included in the 2008/2009 Business Plan Budget. 4.16 KEY PERFORMANCE INDICATORS NevRwaste has adopted 6 key performance indicators (KPIs), which are based on targets set in the Towards Zero Waste (TZW) Strategy. Those KPIs continued to provide the focus of initiatives in NevRwaste’s 2007/08 Business Plan.
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Latest available figures from the 2006-2007 Sustainability Victoria Local Government Survey show that 38,277 tonnes of municipal kerbside materials were produced from council contracts in North East Victoria in 06-07. Of this 13,693 tonnes of organics and recyclables were recovered. A summary of the NevRwaste regional targets and the current performance at both a regional, council and resort level are shown in the following sections.
444...111666...111 KKKEEEYYY PPPEEERRRFFFOOORRRMMMAAANNNCCCEEE IIINNNDDDIIICCCAAATTTOOORRR 111::: PPPEEERRRCCCEEENNNTTTAAAGGGEEE RRREEECCCOOOVVVEEERRRYYY OOOFFF KKKEEERRRBBBSSSIIIDDDEEE MMMAAATTTEEERRRIIIAAALLLSSS As shown in Figure 1 the regional target for percentage recovery of kerbside materials is below that set by TZW. The main reason for this is the lack of potential for kerbside food and garden organics collections to be established across the entire region due to remote locations and low population densities in some municipalities. Maximum and minimum targets have been set for organics recovery, due to the uncertainty of the viability of establishing additional re-processing facilities, which is reflected in the figure below. On this basis NevRwaste will aim for between a 48 and 54% diversion rate by 2013-2014 in north-east council areas. Materials diverted from 2003-2006 have met the targets set for the region.
Figure 1. Percentage recovery of kerbside recyclables and organics against regional and TZW targets
70% 60% Actual Progress 50% Max. Regional Targets 40% 30% Min. Regional Targets 20%
Recovery Rate TZW Targets 10% 0% 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14
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444...111666...222 KKKEEEYYY PPPEEERRRFFFOOORRRMMMAAANNNCCCEEE IIINNNDDDIIICCCAAATTTOOORRR 222::: RRREEEGGGIIIOOONNNAAALLL KKKEEERRRBBBSSSIIIDDDEEE WWWAAASSSTTTEEE RRREEEDDDUUUCCCTTTIIIOOONNN
Figure 2. Regional Kerbside Waste Reduction Targets and Performance
600
500
400 Actual Performance 300 Min. Targets 200 Max. Targets
100
Kg per household per year per household per Kg 0
2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14
Figure 2 shows the regional kerbside waste reduction targets for council collections in the north-east. The figure demonstrates that NevRwaste members are tracking well towards the regional target of between 320-417kg per household by 2013-2014. 444...111666...333 KKKEEEYYY PPPEEERRRFFFOOORRRMMMAAANNNCCCEEE IIINNNDDDIIICCCAAATTTOOORRR 333::: KKKEEERRRBBBSSSIIIDDDEEE RRREEECCCYYYCCCLLLAAABBBLLLEEE RRREEECCCOOOVVVEEERRRYYY RRRAAATTTEEE NevRwaste has set a target of diverting 293kg of recyclables per household per year by 2013-2014. Figure 3 demonstrates that councils in the north-east were exceeding the regional targets from 2004- 2006. In the 2006-2007 financial years, north-east councils met their recyclable recovery target. Figure 3. Actual and targeted kilograms per household of kerbside recyclables recovered in North East Victoria
350 300 250 200 Actual 150 Progress 100 Regional 50 Targets
kg per household per year per household kg per 0 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14
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444...111666...444 KKKEEEYYY PPPEEERRRFFFOOORRRMMMAAANNNCCCEEE IIINNNDDDIIICCCAAATTTOOORRR 444::: KKKEEERRRBBBSSSIIIDDDEEE OOORRRGGGAAANNNIIICCCSSS RRREEECCCOOOVVVEEERRRYYY RRRAAATTTEEE
Figure 4. Actual and targeted kilograms per household of kerbside organics recovered in North East Victoria
200 180 160 140 120 100 Actual Progress 80 60 Max. Regional Targets 40 Min. Regional
Kg per household per year per household Kg per 20 Targets 0 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14
Maximum and minimum targets have been set for organics recovery, due to the uncertainty of the viability of establishing additional re-processing facilities. The minimum targets are based on a status quo situation where organics service delivery is not increased in the region. The maximum targets are based on the introduction of food waste collections in Indigo and Wodonga and the introduction of green waste collection in Benalla and Wangaratta. As shown in Figure 4, the introduction of a food waste system in Indigo and Wodonga between 2009- 2012 increases the organics recovered per household, whilst the introduction of a green organics system in Wangaratta and Benalla, between 2011-2013, decreases the kg per household recovery rate. As the performance of these systems improve the recovery rate begins to increase. Figure 4 shows that the region aims to increase the recovery rate for organics to up to 153kg per household with access to a service by 2013-2014. The regional performance against the targets has varied considerably since 2004-2005, however in 2006-2007 the regional average of 93kg per household per annum was in line with the regional targets set.
444...111666...555 KKKEEEYYY PPPEEERRRFFFOOORRRMMMAAANNNCCCEEE IIINNNDDDIIICCCAAATTTOOORRR 555::: AAACCCCCCEEESSSSSS TTTOOO KKKEEERRRBBBSSSIIIDDDEEE OOORRRGGGAAANNNIIICCCSSS CCCOOOLLLLLLEEECCCTTTIIIOOONNNSSS A key performance indicator has also been established for extension of kerbside organics services throughout the region. Currently 19,000 household have access to kerbside organics in Wodonga and Indigo, with nearly 5,000 households choosing to participate in the optional service. A maximum and minimum target has been established. The minimum target is based on a status quo situation, where no new organics re-processing facilities are established and the current Wodonga re- processing facility still only accepts green organics. The maximum targets are based on the introduction of a food waste processing system in Wodonga, which would lead to compulsory collections in Wodonga and Indigo Shire Councils. These targets are also based on the establishment of a green waste organics re-processor in the south of the region which would provide an optional service to Benalla and Wangaratta.
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Figure 5. Actual and targeted households with access and participating in kerbside organics collection in north-east Victoria
40000
35000
30000 Households with access 25000 (Max.) Households participating 20000 (Max.) Households participating 15000 (Min.) No. of households of No. 10000
5000
0 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14
444...111666...666 KKKEEEYYY PPPEEERRRFFFOOORRRMMMAAANNNCCCEEE IIINNNDDDIIICCCAAATTTOOORRR 555::: AAALLLPPPIIINNNEEE RRREEESSSOOORRRTTT RRREEECCCYYYCCCLLLIIINNNGGG RRREEECCCOOOVVVEEERRRYYY RRRAAATTTEEE Alpine Resorts maintain very different waste and recycling systems to the councils due to the extreme environmental conditions during their peak period. A separate key performance indicator has therefore been adopted for the three Resort Management areas. There is also very little potential for the recovery of organics from the Resort areas, therefore the diversion rate is based solely on the diversion of co-mingled recyclables. The Resorts are aiming to achieve an average diversion rate of 37% by 2013-2014. The resorts are tracking well towards their targets. Figure 6. Diversion rate of recyclables from Alpine Resort Areas
40% 35% 30% 25% 20%
15% Actual Progress
Recovery Rate Recovery 10% Resort targets 5% 0% 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14
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4.17 THE FUTURE NevRwaste has continued to develop a framework that’s supports its employment, corporate governance and strategic functions and has now strengthened and simplified its program structure. NevRwaste’s future programs, developed through a process involving its directors, members and key partners, will aim to implement the State’s Sustainability Framework, by delivering Towards Zero Waste and other relevant Strategies as they apply to the North Eastern Waste Management Region. NevRwaste delivers its programs under six key projects, each of which will progressively develop across NevRwaste’s five program areas: strategic planning; infrastructure and facilities; community awareness; community involvement; and evaluation. NevRwaste has incorporated the recent results of its regional litter surveys, landfill risk assessment and garbage bin audit to create a sharper focus on current programs. More importantly, this will enable us to create a new regional waste management plan that will have greater relevance to our members and will serve the regional community well into the future.
5 DISCLOSURES AND LEGISLATIVE COMPLIANCE
5.1 VICTORIAN INDUSTRY PARTICIPATION POLICY DISCLOSURES The Victorian Industry Participation Policy (VIPP) aims to ensure that local suppliers can participate in procurement and industry assistance activities across Government, wherever they offer the best value for money. The VIPP applies when the Victorian Government’s funding or provision of a grant exceeds $3 million in Metropolitan Melbourne and $1 million in regional Victoria. There were no contracts over $1 million awarded by NevRwaste during the reporting period. 5.2 INFORMATION PRIVACY The Information Privacy Act 2000 established a regime for the responsible collection and handling of personal information in the Victorian public sector. NevRwaste complies with the ten Information Privacy Principles set out in the Act. 5.3 MERIT AND EQUITY NevRwaste is committed to the principles of equal employment opportunity and the establishment and maintenance of a non-discriminatory work environment. NevRwaste aims to ensure that all persons are assessed solely on the basis of merit with respect to recruitment, promotion and access to training and other programs and facilities. This approach reflects NevRwaste’s desire to have a work place free from discrimination, where each person has the opportunity to progress to the extent of their ability and the needs of the organisation. NevRwaste is committed to the principles of merit and equity as covered under the Public Administration Act 2004, including: EMPLOYERS MUST ENSURE EMPLOYEES MUST
Decisions are based on merit. Act impartially.
Employees are treated fairly and reasonably. Display integrity including avoiding real or apparent conflict of interests. EEO is provided. Show accountability for actions.
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Reasonable avenues of redress against unfair or Provide responsive service. unreasonable treatment. 5.4 APPLICATION AND OPERATION OF FOI ACT 1982 NevRwaste is a State Statutory Agency under the Environment Protection Act 1970, and so is a ‘Government Agency’ under the terms of the Freedom of Information Act 1982. Accordingly, it is required to comply with the procedures that have been prescribed under which members of the public may gain access to information held by Agencies. A decision to release information is made by either the Principal Officer or an Authorised Officer. The Board of NevRwaste has determined that the Authorised Officer is the Executive Officer. There was no request received under the Freedom of Information Act 1982 during the reporting period. For fee of $22.70 the public can make written application for copies of information held by NevRwaste to the following. Ms. Brooke Hermans Authorised Officer North East Victorian Regional Waste Management Group Wangaratta Government Centre 62-68 Ovens St, WANGARATTA VIC 3677 Telephone: 5722 9433 Facsimile: 5722 9655 Email: [email protected]
5.5 WHISTLEBLOWERS PROTECTION The Whistleblowers Protection Act 2001 came into effect on 1 January 2002. The Act is designed to protect people who disclose information about serious wrong doing within the Victorian Public Sector and to provide a framework for the investigation of these matters. The protected disclosure coordinator for DSE acts as an agent for the NevRwaste to receive disclosures under the Act to which they apply DSE procedures. There were no disclosures under the Act, in relation to NevRwaste, during the year. Disclosures of improper conduct by NevRwaste or its employees may be made to the following: Michael Guarna The Ombudsman Victoria Protected Disclosure Coordinator Level 9 459 Collins Street Dept of Sustainability and Environment MELBOURNE VIC 3000 PO Box 500, East Melbourne Vic 3002 Telephone: 9613 6222 Telephone: 9637 8873 Toll free: 1800 806 314 Facsimile: 9637 8128 Email: [email protected] 5.6 COMPLIANCE WITH BUILDING AND MAINTENANCE PROVISIONS OF THE BUILDING ACT 1993 NevRwaste did not undertake any building works, that fall within the provisions of the Building Act 1993, as its premises are leased and contractors provide any waste management services. NevRwaste complies with the building maintenance provisions of the Building Act 1993. 5.7 NATIONAL COMPETITION POLICY The national competition reform agenda has resulted in a greater emphasis on the encouragement of competition in the community. Competitive neutrality is a principle of the
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National Competition Policy and requires that, as far as practicable, government owned businesses compete with private sector businesses on the same footing. NevRwaste, as the independent manager of, and investor in, NevRwaste’s assets, purchases services and goods in line with the Victorian Government Purchasing Authority’s guidelines. In doing this, NevRwaste applies the following principles:
• Value for Money • Open and Fair Competition • Accountability • VIPP policy NevRwaste adheres to the principles of the National Competition Policy to ensure that any business competition with private entities takes place in an environment where NevRwaste has no competitive advantage. The Environment Protection Act 1970 specifically precludes NevRwaste from undertaking waste management activity that is being carried out on a commercial basis anywhere in Victoria. NevRwaste strictly adheres to relevant provisions of the Environment Protection Act 1970 in relation to this issue. 5.8 OCCUPATIONAL HEALTH AND SAFETY NevRwaste provides programs to ensure that the human and financial costs of occupational injury and illness to staff are prevented or reduced, including improvements to safety of contractors. No WorkCover claims were lodged during the period. 5.9 OFFICE BASED ENVIRONMENTAL IMPACTS NevRwaste employs three officers that operate from leased premises in Wangaratta and has made a commitment to lead by example in promoting and maintaining the principles of sustainability within its office environment. As such NevRwaste participates in Sustainability Victoria’s Waste Wise program and is a member of the Eco Buy program and participates in the Wangaratta Government Centre Eco-leader Committee. 5.10 CULTURAL DIVERSITY - AGED, YOUTH, KOORIES, NESB All NevRwaste’s programs, services and strategies are planned to ensure that they reflect the needs of NevRwaste and its member’s community base and any of their particular cultural needs. NevRwaste is committed to policies, programs and strategies aimed at delivering culturally appropriate services to all Victorians. 5.11 AVAILABILITY OF OTHER INFORMATION Any information on the following, not included in the report of operations, is available on request, subject to subject to the Freedom of Information Act 1982, from NevRwaste’s Executive Officer either by phone on 5722 9433 or in writing to Wangaratta Government Centre, 62-68 Ovens St, WANGARATTA VIC 3676.
• Declarations of pecuniary interest including details of shares held, which have been duly completed by relevant officers. • Publications produced by NevRwaste, and how these can be obtained. • Changes in prices, fees, charges, rates and levies charged. • Major external reviews carried out on NevRwaste. • Major research and development activities undertaken. • Overseas travel undertaken including a summary of the objectives and outcomes of each visit. • Major promotional, public relations and marketing activities undertaken by NevRwaste to develop community awareness of NevRwaste and its services.
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• Assessments and measures undertaken to improve the OHS of employees. • A general statement on IR within NevRwaste and details of time lost through industrial accidents and disputes. • A list of major committees sponsored by NevRwaste, the purposes of each committee and the extent to which the purposes have been achieved.
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5.12 DISCLOSURE INDEX Clause Disclosure Page Report of Operations Charter & purpose FRD22B Manner of establishment and Relevant Minister 4 FRD22B Objectives, functions, powers and duties 4-5 FRD22B Nature and range of services provided 7 Management & structure FRD22B Names of board members (major committees – objectives and achievements) 8 FRD22B Chart setting out organisational structure 6 FRD22B Workforce data 9 FRD22B Merit and Equity 24 FRD22B Application and operation of FOI Act 1982 25 Financial and other information FRD22B Five year summary of the financial results 11 FRD22B Significant changes in financial position during the year 19 FRD22B Operational & budgetary objectives for the year and performance against those 11-18 objectives FRD22B Major changes or factors affecting performance 19 FRD22B Subsequent events which will affect operations in future years 19 FRD22B Consultancies > $100,000 19 FRD22B Consultancies – total No. and cost < $100,000 19 FRD12A Disclosure of major contracts 19 FRD22B Compliance with building and maintenance provisions of Building Act 1993 25 FRD22B Statement on implementation and compliance with National Competition Policy 25-26 FRD22B A statement of Occupational Health and Safety (OHS) matters 26 FRD22B Application and operation of the Whistleblowers Protection Act 2001 25 FRD24C Reporting of Office-based environmental impacts 26 FRD25B Victorian Industry Participation Policy Act 2003 24 FRD22B Statement that information listed in Part 9.1.3 (iv) is available on request 26-27 FRD10 Disclosure Index 28 Cultural Diversity 26 Information Privacy 24 Financial Statements Preparation SD 4.( c) Statement of preparation on an accrual basis 35 SD 4.2( c) Statement of compliance with Australian Accounting Standards and authoritative 35 pronouncements SD 4.2( c) Statement of compliance with accounting policies issued by the Minister for Finance 35 Operating Statement SD 4.2(b) Operating Statement for the year 31 SD 4.2(b) Operating revenue by class 31 SD 4.2(b) Depreciation 39 SD 4.2(b) Bad and doubtful debts 38 SD 4.2(b) Auditor-General’s fees 43 Balance Sheet SD 4.2(b) Balance Sheet for the year 32 Assets SD 4.2(b) Cash at bank or in hand 38 SD 4.2(b) Receivables, including trade debtors, loans and other debtors 34 SD 4.2(b) Other assets, including prepayments 38-39 SD 4.2(b) Property, plant & equipment 38-39 Liabilities SD 4.2(b) Trade and other creditors 40 SD 4.2(b) Provisions, including employee benefits 40 Equity SD 4.2(b) Reserves (Retained surplus) 32 Cash Flow Statement SD 4.2(b) Cash Flow Statement for the year 34 Notes to the financial statements FRD9A Notes to Financial Statements 35-37 FRD13 Government grants received or receivable and source 31 FRD23A Employee superannuation funds 36 Transactions with responsible persons and their related parties 43 FRD21A Responsible person and executive officer disclosure 43 SD 4.2(a) Statement of Recognised Income and Expenditure 31 SD 4.2(j) Accountable officer’s declaration 30 SD 4.5.5 Attestation on Risk Management 29
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6 RISK MANAGEMENT ATTESTATION
I, Peter Graham OAM the Chairperson of the Board certify that the North East Victorian Waste Management Group has risk management processes in place consistent with the Australian/New Zealand Risk Management Standard and an internal control system is in place that enables the executive to understand, manage and satisfactorily control risk exposures. The audit committee verifies this assurance and that the risk profile of the North East Victorian Regional Waste Management Group has been critically reviewed within the last 12 months.
Peter Graham OAM Chairperson 2/10/2008
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7 FINANCIAL REPORT
7.1 ACCOUNTABLE OFFICERS DECLARATION 777...111...111 FFFIIINNNAAANNNCCCIIIAAALLL AAAUUUDDDIIITTTIIINNNGGG Financial auditing is under the control of the Victorian Auditor-General’s Office. That Office has appointed Hugh McKenzie McHarg of Johnsons MME as the Auditor of the Group’s financial statements for the period ended June 30, 2008. 777...111...222 DDDEEECCCLLLAAARRRAAATTTIIIOOONNN UUUNNNDDDEEERRR DDDIIIRRREEECCCTTTIIIOOONNN 999...111...333(((IIIVVV))) OOOFFF TTTHHHEEE FFFIIINNNAAANNNCCCIIIAAALLL MMMAAANNNAAAGGGEEEMMMEEENNNTTT AAACCCTTT 111999999444 In accordance with Direction 9.1.3(iv) of the Financial Management Act 1994, NevRwaste will make all relevant information, such as declarations of pecuniary interest and details of overseas visits etc, available to the Minister on request. 777...111...333 RRREEEPPPOOORRRTTT OOONNN TTTHHHEEE UUUTTTIIILLLIIISSSAAATTTIIIOOONNN OOOFFF LLLAAANNNDDDFFFIIILLLLLL LLLEEEVVVYYY FFFUUUNNNDDDSSS RRREEECCCEEEIIIVVVEEEDDD NevRwaste received $232,405, representing four full quarters’ payments from the landfill levy, including $60,000 in funding to support a Regional Education Officer. The utilisation of these landfill levy funds is summarised below:
Expenditure Cost ($)
Employment of Executive Officer including on costs, long $136,975 service leave, holiday pay & recruitment costs for outgoing executive officer
Regional Education Officer including on costs $66,386
Internal & external auditing $15,796
Office rental and expenses $24,404
Insurance $3,195
Vehicle purchase operation and maintenance $11,708
Loss on vehicle disposal $7,930
Meeting expenses $1,847
Professional development including Directors $5,392
Depreciation $19,599
Total $293,232
Landfill Levy funds received $232,405
Difference (funded from gap funding and reserves) $60,827
Page 30 North East Victorian Regional Waste Management Group
Operating Statement
For the Year Ended 30 June 2008
2008 2007 Note $ $
Income Member contributions 80,410 77,500 Land fill levy 172,405 166,651 Regional projects 232,770 167,440 Government grants 60,000 60,000 Interest income 25,231 15,872 Other income 11,133 5,555 Total Income 581,948 493,018
Expenses Administrative costs (61,127) (75,785) Employee costs (248,949) (265,431) Regional program costs (161,843) (94,492) Depreciation and amortisation (19,599) (22,116) Loss on disposal of assets (7,930) (581) Finance costs (1,548) (540) Total Expenses (500,995) (458,945)
Net Result for the period 80,953 34,073
The accompanying notes form part of these financial statements Page 31
North East Victorian Regional Waste Management Group
Balance Sheet
As At 30 June 2008
2008 2007 Note $ $
ASSETS
Current assets Cash and cash equivalents 2 356,247 261,873 Trade and other receivables 3 68,740 88,117 Other current assets 4 - 2,141
Total current assets 424,987 352,131
Non-current assets Property, plant and equipment 5 71,842 104,494
Total non-current assets 71,842 104,494
TOTAL ASSETS 496,829 456,625
LIABILITIES
Current liabilities Trade and other payables 6 43,857 15,721 Interest bearing liabilities 7 3,893 3,595 Employee entitlements 8 31,931 83,844 Other current liabilities - 16,015
Total current liabilities 79,681 119,175
Non-current liabilities Interest bearing liabilities 7 12,036 15,929 Employee entitlements 8 2,638 -
Total non-current liabilities 14,674 15,929
TOTAL LIABILITIES 94,355 135,104
NET ASSETS 402,474 321,521
EQUITY Contributed capital 314,741 314,741 Accumulated surplus/(deficit) 87,733 6,780
TOTAL EQUITY 402,474 321,521
The accompanying notes form part of these financial statements Page 32
North East Victorian Regional Waste Management Group
Statement of Changes in Equity
For the Year Ended 30 June 2008
2008 Contributed Accumulated Capital Surplus Total Note $ $ $
Balance at Sunday, 1 July 2007 314,741 6,780 321,521
Surplus/(deficit) for period - 80,953 80,953
Balance at 30 June 2008 314,741 87,733 402,474
2007 Contributed Accumulated Capital Surplus Total Note $ $ $
Balance at 1 July 2006 314,741 (27,293) 287,448
Surplus/(deficit) for period - 34,073 34,073
Balance at 30 June 2007 314,741 6,780 321,521
The accompanying notes form part of these financial statements Page 33
North East Victorian Regional Waste Management Group
Cash Flow Statement
For the Year Ended 30 June 2008
2008 2007 Note $ $
Cash from operating activities: Receipts from landfill levy 234,848 227,119 Receipts from regional projects & grants 201,189 142,058 Receipts from member contributions 112,910 115,826 Receipts from other revenue 11,133 8,023 Payments to suppliers and employees (490,918) (448,961) Interest received 25,231 15,827 Interest paid (1,548) (540) Net cash provided by (used in) operating activities 15(a) 92,845 59,352
Cash flows from investing activities: Proceeds from sale of plant and equipment 35,273 - Acquisition of property, plant and equipment (30,149) (7,581)
Net cash provided by (used in) investing activities 5,124 (7,581)
Cash flows from financing activities: Payment of finance lease liabilities (3,595) (1,136)
Net cash provided by (used in) financing activities (3,595) (1,136)
Other activities:
Net increase (decreases) in cash held 94,374 50,635
Cash at beginning of financial year 261,873 211,238 Cash at end of financial year 2(a) 356,247 261,873
The accompanying notes form part of these financial statements Page 34
North East Victorian Regional Waste Management Group
Notes to the Financial Statements
For the Year Ended 30 June 2008
1 Accounting policies
(a) General information
The financial report of North East Victorian Regional Waste Management Group is a general purpose financial report that consists of an Operating Statement, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and notes accompanying these statements. The general purpose financial report has been prepared in accordance with Accounting Standards, Australian Accounting Interpretations, other authoritative pronouncements of the Australian Accounting Standards Board and the Financial Management Act 1994 and applicable Ministerial Directions.
The following is a summary of the material accounting policies adopted by the company in the preparation of the financial report. The accounting policies have been consistently applied, unless otherwise stated.
(b) Basis of preparation
Reporting Basis and Conventions
The financial report has been prepared on an accruals basis and is based on historical costs.
In the determination of whether an asset or liability is current or non-current, consideration is given to the time when each asset or liability is expected to be realised or paid. The asset or liability is classified as current if it is expected to be turned over within the next twelve months, being the Group's operational cycle - see 1(g) for a variation in relation to employee benefits.
The preparation of financial statements in conformity with A-IFRS requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the entity's accounting policies.
(c) Comparatives
When required by Accounting Standards, comparative figures have been adjusted to conform to changes in presentation for the current financial year.
(d) Plant and equipment
Each class of plant and equipment is carried at cost or fair value less, where applicable, any accumulated depreciation and/or impairment losses.
Depreciation
The depreciable amount of all fixed assets is depreciated on a straight-line basis over their useful lives to the company commencing from the time the asset is held ready for use.
The depreciation rates used for each class of depreciable assets are:
Page 35
North East Victorian Regional Waste Management Group
Notes to the Financial Statements
For the Year Ended 30 June 2008
1 Accounting policies continued
(d) Plant and equipment continued
Class of Fixed Asset Furniture, Fixtures and Fittings 10 - 20 % PC Motor Vehicles 18.75 % DV Computer Equipment 33 1/3 % PC
The assets' residual values and useful lives are reviewed, and adjusted if appropriate, at each balance sheet date.
(e) Impairment of Assets
Assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount. The recoverable amount is the higher of the asset's fair value less costs to sell and value in use. As the Group is a non-for-profit entity for reporting purposes, the value in use is the depreciated replacement cost of the asset.
(f) Cash and cash equivalents
Cash and cash equivalents include cash on hand, deposits held at call with banks, other short-term highly liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within short-term borrowings in current liabilities on the balance sheet.
(g) Employee benefits
Provision is made for the company's liability for employee benefits arising from services rendered by employees to balance date. Employee benefits that are expected to be settled within one year have been measured at the amounts expected to be paid when the liability is settled, plus related on-costs. Employee benefits payable later than one year have been measured at present value of the estimated future cash outflows to be made for those benefits.
Regardless of the expected timing of settlements, provisions made in respect of employee benefits are classified as a current liability, unless there is an unconditional right to defer the settlement of the liability for at least 12 months after the reporting date, in which case it would be classified as a non-current liability. Provisions made for unconditional long service leave are classified as a current liability, where the employee has a present entitlement to the benefit. The non-current liability represents long service leave entitlements accrued for employees with less than 7 years of continuous service.
The amount charged to the operating statement in respect of superannuation represents the contributions made by the Group to the superannuation plan in respect to the current services of Group staff. Superannuation contributions are made to the plans based on the relevant rules of each plan.
Page 36
North East Victorian Regional Waste Management Group
Notes to the Financial Statements
For the Year Ended 30 June 2008
1 Accounting policies continued
(h) Revenue
Interest revenue is recognised on a proportional basis taking into account the interest rates applicable to the financial assets.
Revenue from landfill levies, grants and contributions are recognised on receipt or when an entitlement to receive is established, whichever is sooner.
All revenue is stated net of the amount of goods and services tax (GST).
(i) Goods and Services Tax (GST)
Revenues, expenses and assets are recognised net of the amount of GST, except where the amount of GST incurred is not recoverable from the Australian Taxation Office. In these circumstances the GST is recognised as part of the cost of acquisition of the asset or as part of an item of the expense. Receivables and payables in the balance sheet are shown inclusive of GST.
Cash flows are presented in the cash flow statement on a gross basis, except for the GST component of investing and financing activities, which are disclosed as operating cash flows.
(j) Trade payables
Trade and other payables are stated at cost, which approximates fair value due to the short term nature of these liabilities.
(k) Leases
Leases of fixed assets where substantially all the risks and benefits incidental to the ownership of the asset, but not the legal ownership that are transferred to entities in the Group are classified as finance leases.
Finance leases are capitalised by recording an asset and a liability at the lower of the amounts equal to the fair value of the leased property or the present value of the minimum lease payments, including any guaranteed residual values. Lease payments are allocated between the reduction of the lease liability and the lease interest expense for the period.
Leased assets are amortised on a diminishing value basis over the shorter of their estimated useful lives or the lease term.
Lease payments for operating leases, where substantially all of the risks and benefits remain with the lessor, are charges as expenses in the periods in which they are incurred.
Page 37
North East Victorian Regional Waste Management Group
Notes to the Financial Statements
For the Year Ended 30 June 2008
2 Cash and cash equivalents 2008 2007 $ $ Cash at bank 356,073 261,834 Other cash and cash equivalents 174 39 356,247 261,873
(a) Reconciliation of Cash 2008 2006 Note $ $
Cash at the end of the financial year as shown in the cash flow statement is reconciled to items in the balance sheet as follows: Cash and cash equivalents 356,247 261,873
356,247 261,873
3 Trade and other receivables 2008 2007
Note $ $
CURRENT
Trade receivables 10,342 24,929
Other debtors 45 2,393
Accruals 58,353 60,796
68,740 88,118
4 Other Assets 2008 2007 $ $
CURRENT Prepayments - 2,141 - 2,141
Page 38
North East Victorian Regional Waste Management Group
Notes to the Financial Statements
For the Year Ended 30 June 2008
5 Property plant and equipment 2008 2007 $ $
PLANT AND EQUIPMENT
Leased plant and equipment Capitalised leased assets 20,660 20,660 Less accumulated amortisation (4,731) (1,136) Total leased plant and equipment 15,929 19,524
Furniture, fixture and fittings At cost 33,031 30,972 Less accumulated depreciation (24,099) (20,600) Total furniture, fixture and fittings 8,932 10,372
Motor vehicles At cost 60,091 100,312 Less accumulated depreciation (13,110) (25,714) Total motor vehicles 46,981 74,598 Total property, plant and equipment 71,842 104,494
(a) Movements in Carrying Amounts Plant & Furniture, Equipment Fixtures and Motor Leased Fittings Vehicles Total
$ $ $ $
Current Year Balance at the beginning of year 19,524 10,372 74,598 104,494 Additions - 2,059 28,091 30,150 Disposals - - (43,203) (43,203) Depreciation expense (3,595) (3,499) (12,505) (19,599)
Carrying amount at the end of year 15,929 8,932 46,981 71,842
Prior Year Balance at the beginning of year - 7,137 91,813 98,950 Additions 20,660 7,581 - 28,241 Loss on sale - (581) - (581) Depreciation expense (1,136) (3,765) (17,215) (22,116)
Carrying amount at the end of year 19,524 10,372 74,598 104,494
Page 39
North East Victorian Regional Waste Management Group
Notes to the Financial Statements
For the Year Ended 30 June 2008
6 Trade and other payables 2008 2007 $ $
CURRENT Trade payables 41,123 12 Accrued expenses 9,521 3,369 BAS obligations (9,807) 11,734 Superannuation payable 2,577 208 Other payables 443 398
43,857 15,721
7 Interest bearing liabilities 2008 2007 Note $ $
NON-CURRENT Finance lease obligation 12,036 15,929
CURRENT Finance lease obligation 3,893 3,595 15,929 19,524
8 Provisions Employee entitlements Total
$ $ Opening balance at 1 July 2007 83,844 83,844 Amounts used (49,275) (49,275)
Balance at 30 June 2008 34,569 34,569
2008 2007 $ $
CURRENT Annual leave 14,779 27,389 Long service leave 17,152 56,455 31,931 83,844
NON-CURRENT Long service leave 2,638 -
Page 40
North East Victorian Regional Waste Management Group
Notes to the Financial Statements
For the Year Ended 30 June 2008
9 Financial instruments
(a) Financial Risk Management Policies
The Group's activities expose it primarily to the financial risks of liquidity, credit risk and interest rate risk. The Board and Senior Management are responsible for monitoring and managing the financial risks of the Group. They monitor these risks through board meetings held 5 times per year where management reports are presented and analysed. The Group does not enter into derivative financial instruments and does not speculate in any type of financial instrument.
(i) Market Risk
Market risk is the risk that changes in market prices will affect the fair value or future cash flows of the Groups financial instruments. Market risk comprises foreign exchange risk, interest rate risk and other price risk. The Group's exposure to market risk is primarily through interest rate risk with surplus funds held in term deposits and deposits at call. The Groups finance lease is at a fixed interest rate. The Group has no exposure to foreign exchange risk or other price risk.
(ii) Interest rate and maturity analysis
The entity's exposure to interest rate risk, which is the risk that a financial instruments value will fluctuate as a result of changes in market interest rates and the classes of financial assets and financial liabilities, is as follows: Weighted Average Effective Interest Floating Interest Maturing within Maturing 1 to 5 Non-interest Total Rate Rate 1 Year Years Bearing 2008 2007 2008 2007 2008 2007 2008 2007 2008 2007 2008 2007 % % $ $ $ $ $ $ $ $ $ $
Financial Assets: Cash and cash equivalents 7.40 6.13 356,073 261,834 - - - - 174 39 356,247 261,873 Receivables ------68,740 88,118 68,740 88,117
Total Financial Assets 356,073 261,834 - - - - 68,914 88,157 424,987 349,990
Financial Liabilities: Trade and sundry payables - - 443 397 - - - - 43,414 15,324 43,857 15,721 Lease liabilities 8.00 8.00 - - 3,893 3,595 12,036 15,929 - - 15,929 19,524
Total Financial Liabilities 443 397 3,893 3,595 12,036 15,929 43,414 15,324 59,786 35,245
Page 41 North East Victorian Regional Waste Management Group
Notes to the Financial Statements
For the Year Ended 30 June 2008
(iii) Liquidity risk
Liquidity risk is the risk that the Group will not meet its financial obligations as they fall due. The Group manages its liquidity risk by maintaining adequate cash reserves and continually monitoring the Group's expenditure commitments and cash flow needs.
(iv) Credit risk
Credit risk is the risk of financial loss to the Group as a result of a counter party will default on its contractual obligations. The Groups exposure to credit risk is through its receivables balance which relates mainly to the grant funding receivable from DSE. The risk is not considered significant.
(v) Fair Values
Management consider that the carrying amount of financial assets and financial liabilities recorded in the financial statements approximates their fair values.
10 Capital and Leasing Commitments
(a) Finance Lease Commitments 2008 2007 Note $ $
Payable - minimum lease payments - no later than 12 months 5,027 5,027 - between 12 months and 5 years 13,405 18,432 Minimum lease payments 18,432 23,459 Less future finance changes (2,503) (3,935) Present value of minimum lease payments 15,929 19,524
(b) Operating Lease Commitments
Non-cancellable operating leases contracted for but not capitalised in the financial statements 2008 2007 $ $
Payable - minimum lease payments - not later than 12 months 11,490 11,490 - between 12 months and 5 years 30,640 42,130 42,130 53,620
11 Contingent Liabilities and Contingent Assets At the date of this report there are no known contingent liabilities that may become payable.
Page 42
North East Victorian Regional Waste Management Group
Notes to the Financial Statements
For the Year Ended 30 June 2008
12 Responsible Persons Disclosure
Responsible Minister – Environment and Climate Change The Hon John Thwaites, Minister for Water, Environment and Climate Change, 01/07/2007 - 29/07/2007 The Honourable John Brumby, Premier, 30/07/2007 – 02/08/2007 The Hon Gavin Jennings, Minister for Environment and Climate Chang, 04/08/2007 to 30/06/2008
Governing Board
Director Appointed by Zuvele Leschen Alpine Shire Lyn Tanner Benalla Rural City Peter Graham Indigo Shire Steve Gore Mansfield Shire Kim Steinle Mansfield Shire Terry Forrest Towong Shire Neville Wright Rural City of Wangaratta John Mahony City of Wodonga Tom Pelly Mount Hotham Resort Nicole Epema Mount Hotham Resort Louise Perrin Mt Buller-Mt Stirling Resort Ben Derrick Falls Creek Resort
Accountable Officers - Executive Officer Mr Kevin Harvey 01/07/07 - 29/01/08 Mrs Brooke Hermans 30/01/08 - 30/06/08
No responsible person received any remuneration from the Group.
The total remuneration of the Accountable Officers who are not members of the governing board did not exceed $100,000 during the reporting period.
The remuneration of the Minister is disclosed in the financial statements of the Department of Premier and Cabinet.
13 Auditors' Remuneration 2008 2007 $ $
Remuneration of the auditor of the company for: - Auditing the financial report 4,620 4,425
Page 43
North East Victorian Regional Waste Management Group
Notes to the Financial Statements
For the Year Ended 30 June 2008
14 Related party transactions
Transactions between related parties are on normal commercial terms and conditions no more favourable than those available to other parties unless otherwise stated.
There were no related party transactions during the period.
15 Cash Flow Information
(a) Reconciliation of Cash Flow from Operations with Profit after Income Tax 2008 2007 $ $ Net result for the period 80,953 34,073
Cash flows excluded from profit attributable to operating activities
Non-cash flows in profit Amortisation 3,595 1,136 Depreciation 16,004 20,980 Net loss on disposal of property, plant and equipment 7,930 581
Changes in assets and liabilities (Increase)/decrease in trade and term receivables 19,376 (19,455) (Increase)/decrease in prepayments 2,141 (715) Increase/(decrease) in trade payables and accruals 28,136 (12,050) Increase/(decrease) in other liabilities (16,015) 16,015 Increase/(decrease) in provisions (49,275) 18,787 Cashflow from operations 92,845 59,352
(b) Non-cash investing and financing activities Acquisition of plant and office equipment by means of a finance lease 20,660
16 Events after the end of the reporting period
No matters or circumstances have arisen since the end of the reporting period which significantly affected or may significantly affect the operations of the Group, the results of those operations, or the state of affairs of the Group in future financial years.
17 Group Details
Registered office
The registered office of the company is: North East Victorian Regional Waste Management Group 62-68 Ovens Street Wangaratta Victoria 3690
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7.2 REPORT OF AUDITOR GENERAL’S DELEGATE
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