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Council Meeting Agenda 23 June 2021 at 6:30Pm Embargoed OFFICIAL Council Meeting Agenda 23 June 2021 at 6:30pm Embargoed Reports Virtual Meeting Public Copy OFFICIAL Council Meeting Agenda OFFICIAL The City of Ballarat acknowledges the Traditional Custodians of the land we live and work on, the Wadawurrung and Dja Dja Wurrung People, and recognises their continuing connection to the land and waterways. We pay our respects to their Elders past, present and emerging and extend this to all Aboriginal and Torres Straight Islander People. 2 OFFICIAL Council Meeting Agenda OFFICIAL This meeting is being broadcast live on the internet and the recording of this meeting will be published on council’s website www.ballarat.vic.gov.au in the days following the meeting. Although every effort has been made to protect the privacy of the public, members of the public attending this meeting may be filmed. By remaining in the public gallery once the meeting commences, members of the public give their consent to being filmed, and for the recording of them to be made publicly available and used by council. Information about broadcasting and publishing recordings of council meetings is available in council’s Live Broadcasting and Recording of Council Meetings Procedure which is available on the council’s website. ORDER OF BUSINESS: 8. Officer Reports.................................................................................................................4 8.2. Adoption of 2021/22 Annual Budget ........................................................................4 8.3. Revenue and Rating Plan 2021-2025..................................................................111 8.4. Draft Community Vision .......................................................................................142 8.5. Draft Council Plan................................................................................................170 8.6. Draft Municipal Public Health & Wellbeing Plan ..................................................252 8.7. Events Strategy....................................................................................................304 3 OFFICIAL Council Meeting Agenda OFFICIAL 8. OFFICER REPORTS 8.2. ADOPTION OF 2021/22 ANNUAL BUDGET Division: Corporate Services Director: Stephen Bigarelli Author/Position: Stephen Bigarelli – Acting Director Corporate Services PURPOSE RECOMMENDATION 1. The purpose of this report is to present Council with the proposed 2021-2022 Budget for consideration. 2. This report addresses the legislative requirements for Council to consider to formally adopt the proposed 2021-2022 Budget for the City of Ballarat. BACKGROUND 3. The Local Government Act 2020 (the 2020 Act) provides a Council: Must prepare and adopt a Budget for each financial year and the subsequent three years by 30 June each year – Section 94(1) (a) Must develop the Budget and any revised Budget in accordance with the financial management principles – Section 96(1)(a) Must develop the Budget and any revised Budget in accordance with its community engagement policy – Section 96(1)(b) May develop the first budget in accordance with section 223 of the Local Government Act 1989 (the 1989 Act) if the Council has not adopted its first community engagement policy at the time that the budget is being developed– Section 96(2). 4. There is a transition period between the 1989 Act and the 2020 Act with the proposed 2021-2022 Budget being the first prepared under the 2020 legislation. 5. The City of Ballarat is in the process of developing its strategic plans as required under the 2020 Act. This budget has been prepared with recognition to the consultation processes for the draft documents currently in development; Draft Community Vision, Draft Council Plan, Draft Financial Plan and Draft Municipal Public Health and Wellbeing Plan. 6. This Budget supports the objectives outlined in the existing City of Ballarat Council Plan 2017-2021. Council has also considered the ongoing impacts of the COVID-19 pandemic on businesses and the community. 7. Pursuant to Section 96 of the 2020 Act, at its meeting held on 5 May 2021, Council resolved to advertise its 2021-2022 Draft Budget and invite written submissions to be received, and hear any verbal submissions, on Wednesday 9 June 2021 at an Unscheduled Council Meeting. 8. At the close of submissions, 9.00 am on Monday 7 June 2021, Council had received 17 submissions. 4 OFFICIAL Council Meeting Agenda OFFICIAL 9. Council considered each of the 17 written submissions and heard three verbal submissions from those wishing to compliment their written submissions at its meeting on Wednesday 9 June 2021. 10. Based on the feedback received there have been some minor changes to the allocation of expenses and income, but no change to the overall Operating Results, Balance Sheet or Cash Flow Statement. KEY MATTERS 11. The proposed Budget includes: The budgeted Statements of Comprehensive Income, Cash Flows, Balance Sheet, Capital Works, Changes in Equity and Human Resources; The strategic objectives to be undertaken during the financial; year and Service Performance Outcome Indicators in relation to each strategic direction; The relationship between the activities and initiatives in contributing to achieving the strategic objectives specified in Council Plan 2017-2021; Details of the activities and initiatives to be funded in the budget; and As required under the 2020 Act a schedule declaring the differential rates and charges. 12. While the 2020-2021 Budget was designed to respond to the devastating impact of COVID-19, this year’s budget reflects a renewed focus and commitment to growth, renewal and the delivery of projects and services. 13. After a zero per cent increase in rates last year - in response to the hardship experienced by many in our community during the pandemic - rates this year will increase by 1.5 per cent in line with the rate cap set by the Victorian Government. 14. The rate cap applies to the overall general rate revenue raised across all property types in the municipality. However, the change in the amount of rates charged for individual properties may be more or less than the 1.5 per cent rate cap, based on the movement in the value of individual properties. 15. Commercial and industrial rates will be reduced: in the 12 months to January 2021 values for residential, rural residential and farm properties increased at a higher rate than commercial and industrial properties. It has been determined that residential, rural residential and farm properties will share a greater proportion of the rate burden for 2021-2022 - and commercial and industrial rates will be reduced. Over the next four years Council will gradually reduce the differential for commercial and industrial properties to bring the differentials in line with other regional cities. 16. Proposed borrowings were allowed for in the 2020-2021 Budget as a safety net should Council revenue drop to a level that would require short term borrowings. Not only were these borrowings not drawn upon during the current financial year, the proposed 2021-2022 Budget does not include any proposed borrowings and in fact the four-year budget shows a significant decrease in borrowings. 17. This Budget includes a significant increase in investment in asset renewal: Council is responsible for almost $2 billion in built assets (i.e. bridges, roads and buildings); regular investment is critical to ensure these community assets are appropriately 5 OFFICIAL Council Meeting Agenda OFFICIAL maintained so they can continue to provide the level of service the community expects and needs. 18. This Budget also marks a new approach to reporting carry overs: $38 million dollars of undelivered capital works projects have been included in this budget to ensure transparency and to show our commitment to deliver the projects. In previous years carry overs were reported separately, in the following year. 19. Following a zero per cent increase in the waste charge last year, in line with a Council freeze on all rates and charges in response to COVID-19, this year will see a 14.75 per cent increase in the waste charge. This is due to the rising costs of waste collection and a significant increase in the EPA (Environment Protection Agency) levy to $105 a tonne. This increase in the levy will cost City of Ballarat ratepayers $3.4 million in the next year, which is $1.3 million more than last year. The levy will increase again next financial year. 20. Part of the waste charge will be used by City of Ballarat to set up a ‘Waste Reserve’ as a way of investing in crucial infrastructure which will divert and recover resources. This reserve is required to help deliver on Victorian Government policy initiatives as outlined in Recycling Victoria, as well as to provide for more sustainable options to manage increasing waste volumes. This initiative will support Ballarat’s transition to a circular economy, in line with community calls for an increased emphasis on sustainability. OFFICER RECOMMENDATION 21. That Council: 21.1 Resolves it has considered all submissions and presentations made to Council at its Unscheduled meeting held on 9 June 2021. 21.2 Pursuant to Section 94 of the Local Government Act 2020, to accept the proposed 2021-2022 Budget. 21.3 Discloses that as at 30 June 2021 the total amount borrowed by Council is $40.220 million 21.4 Projects that $4.481 million will be redeemed during the financial year; 21.5 Projects that as at 30 June 2022 Council borrowings will total $35.739 million. 21.6 Projects that the cost of servicing the borrowings during the financial year will be $1.563 million. 21.7 Proposes that rates in the dollar for each type of rate to be levied for the 12 month period from 1 July 2021 to 30 June 2022 are: 6 OFFICIAL Council Meeting Agenda OFFICIAL TYPE OF RATE RATE IN THE $ ON CIV Residential 0.00356664 Commercial 0.00952293 Industrial 0.00977259 Rural Residential 0.00320998 Farm 0.00256798 Recreational – 1* 0 Recreational - 2 0.00952293 Bridge Mall Special Rate 0.00304800 * Council has determined to levy a nil rate in the dollar for properties eligible to be rated under the provisions of the Cultural and Recreational Lands Act (1963), i.e.
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