Murray Darling Association Inc. T (03) 5480 3805 ABN: 64 636 490 493

[email protected] www.mda.asn.au Murray Darling Association Inc. T (03) 5480 3805 ABN: 64 636 490 493

463 High Street P.O. Box 1268 Echuca, Vic 3564

3rd Floor, 553 Kiewa Street P.O. Box 359 Albury, NSW 2640 Ordinary Meeting Region 2 MDA National Office, Moore Board Room 463-465 High Street, Echuca 3564 Wednesday 29th March, 2017 at 9:30am for a 10:00am start

MINUTES

1. ATTENDANCE 1.1 Present

Cr David Thurley National President Emma Bradbury CEO MDA Peter Harriott CEO Greater Shepparton City Council Cr Patterson Greater Shepparton City Council Margot Stork GM Murray River Council Cr Peter Mansfiled Moira Shire Council Peter George M & S Group Accounting – MDA incoming Treasurer Ken Pattison Individual Member Cr Colin Jones Berrigan Shire Cr Ross Booty Berrigan Shire Rowan Perkins GM Berrigan Shire Sally Dye Edward River Council CAC Mark Francis CEO CEO Murray River Tourism Jenny Johnson Individual Member Colin Mues MDBA Siobhan Leslie MDBA

1.2 Apologies

Cr Ed Cox Moira Shire Mr Steve Crawcour CEO Strathbogie Shire Council Cr McClaren Mayor Strathbogie Shire Council Cr Bissett Mayor Murrindindi Shire Council Margaret Abbey CEO Murrindindi Shire Council Cr Rhonda Sanderson Mayor Mitchell Shire Council David Turnbull CEO Mitchell Shire Council Cr Dinny Adem Mayor Greater Shepparton City Council Cr Adrian Western Mayor Campaspe Shire Council Jason Russell CEO Campaspe Shire Council Cr Jennifer Anderson Mayor Macendon Ranges Shire Council Peter Johnson CEO Macendon Ranges Shire Council Rosemary Hancock Municipal Association of Victoria Cr Margaret O'Rourke Mayor Bendigo City Council Suzannah Sheed MP Member for Shepparton Lisa Chesters MP Member for Bendigo Matt Hannon Mayor Berrigan Shire Council Don Oberin Life Member

1.3 Declaration of Interest

2. WELCOME Chair Cr David Thurley National President welcomed all in attendance.

3. MINUTES Motion: That the minutes of the last meeting of Region 2 held Friday 8th April, 2016 at Berrigan be accepted as a true and accurate record. C Jones/S Dye Carried

4. REPORTS 4.1 Chief Executive Officer’s Report – tabled Emma was asked to expand on any progress in prosecuting the case for local government to participate in Ministerial Council. Advised that the MDA along with several other regional local government groups has been invited to address the ministers at a roundtable of the Ministerial Council held in Mildura earlier this month. A copy of that address is attached.

Also discussed the decision by the board in developing the 2017 workplan to postpone the review of the MDA regional boundaries. This is an important body of work that will require a high level of engagement, collaboration, and participation by member councils to ensure regional alignments meet the needs of our members. Current resourcing, recent council amalgamations, and a sharp but still very recent increase in memberships all suggest that this work will benefit from being deferred for 12 months

4.2 Chairs Report MDA 2017 Planning Workshop – attached Board Meeting 363 Adelaide 15 February 2017 - attached Region membership and income - attached

Motion: That the reports be accepted. C Jones/M Stork Carried

5. STRATEGIC PLANNING (standing Agenda item for 2017) 5.1 Murray-Darling LGA Regional Plans - Region 2

Murray-Darling LGA Regional Plans are being developed in all MDA regions across the Basin. The plans will reflect the profile and issues of the region form local government and community perspective. They are intended to be a communication tool to share information and develop shared understanding across and between regions, and to support and leverage advocacy works by and among community groups.

All member Councils invited to provide submission of issues paper. Non-member Councils invited and encouraged to join the MDA in order to ensure that the issues and priorities relevant to their communities are recognized, understood and included in the profile.

Issues mentioned in discussion included o Issues identified by Region 1 concerning the implementation of the Basin Plan - water access & reliability, Constraints Management , Flood communications, the management and operations of Hume Dam, the negative social and economic impacts and the need for Easter flows for tourism also apply to Region 2 o Development of a clear understanding of a number of negative environmental impacts of the Plan across the region. o Concern regarding elements of the proposed release if the carp virus, including information sharing, costs, cleanup, impacts and unintended consequences. o Overall volumes and take across the GMID and the region.

Councils undertook to develop a community profile and issues paper, and submit to the MDA for collation and formulation into a first draft for tabling at the next Region 2 meeting of the MDA. Papers from councils to be provided within 60 days.

6. STAKEHOLDER PRESENTATION: 2017 Evaluation of the Basin Plan: MDBA’s approach, local government’s contribution Russell James Executive Director, Policy and Planning Colin Mues Chief Economist MDBA

Following the presentation – copy attached, general discussion of the approach MDBA will be taking to this evaluation. MDBA keen to engage with local government through the MDBA region meetings to get a clear understanding of local issues and impacts, and to ensure they are ‘asking the right questions’. MDBA will then be testing a number of propositions posited by analysis of ABS and census data. The timeline for the evaluation is very tight with the evaluation report due early in October.

7. GENERAL BUSINESS 7.1 2017 Workplan and priorities - Note report attached.

7.2 MDA Submissions – Amendments to the Basin Plan - Four submissions made in collaboration

with member councils in various catchments. Note submission attached.

7.3 MDA willMiniste continuerial Council to prosecute roundtable the caddressase that – l oMilduracal gov ernment, as the third level of government in Australia, and the one most directly connected to people we serve, needs to be involves at the front end in the decision making processes relating to the Basin Plan.

7.4 2017 Murray Darling Association Conference 11 - 13 October 2017 Discussion focused on the importance of councils considering their motions to the conference to ensure that motions are well crafted, relevant, and implementable. Ideally, motions should be presented with appropriate background and supporting material, and be endorsed as position of the proposing member council – either by alignment to policy or by resolution of council. Motions should then be presented to the region meeting for endorsement by te region prior to inclusion in the national conference agenda. This means that councils need to start preparing now.

The importance of well-crafted and considered motions cannot be overstated. Motions to conference are a very public statement of the credibility, professionalism and culture of the organization and its members.

7.5 Chairing council/regional leadership – Region 2 Consideration of who will chair the region. Several new requirements and provisions for the chair to consider under the new constitution, including the need to demonstrate capacity to resource the role, and effective regional leadership. City of Greater Shepparton offered to engage in further conversation with the MDA in relation to the role.

7.6 Media release from the MDBA advising River Murray flows variable in the lead up to Easter - 28 March 2017 Local communities and visitors to the River Murray downstream of Hume Dam and Yarrawonga during the Easter holidays are advised that flows and river heights will continue to vary through autumn. MDBA head of River Operations David Dreverman said river conditions at this time of year were largely dependent on system conditions and how much water was ordered by entitlement holders. "River levels this year from Hume to downstream of Yarrawonga have been lower than in recent years as demand further downstream has been mainly met by inter-valley transfers from the Goulburn and Murrumbidgee Rivers and by Menindee Lakes and Lake Victoria," Mr Dreverman said. "The amount of water called at this time of year, by irrigators in particular, can fluctuate quite a bit as the weather in autumn is typically variable. "If it is warm and dry, the demand for water can be high, so river levels rise as water is released from Hume Dam to meet demand. If there is rain, particularly in irrigation areas, demand lessens and river levels can drop. The shift from dry to wet conditions can happen quite suddenly, as has happened in recent years. "The MDBA does not own water, so we are not in a position to maintain river heights that exceed those required to deliver current orders." Mr Dreverman said it was too early to know how high flows would be at Easter but visitors, particularly downstream of Yarrawonga, should plan for the possibility of low river levels. "The important thing to remember is that river levels might not be the same as the last time you visited the river. We recommend people remain aware of changing flows over the coming month. "Those wishing to use the river for tourism and recreational boating should consider how they might adjust their activities should river heights be low. That includes making use of the many opportunities provided by weir pools on the Murray." For more information on flows, river heights and salinity levels, river users are advised to subscribe to updates in the River Murray weekly report and refer to livedata.mdba.gov.au

Members discussed and highlighted the importance of reasonable and regular flows to support the economic stability of those communities that rely on river based tourism.

There have been several years, particularly those where Easter falls later in April, where the river has dropped sharply coinciding with Easter holidays, with a resultant loss in visitation numbers and a compromise of tourism product value. The economic cost to businesses and communities has been immediate and devastating, with longer running costs associated with rebuilding the brand also significant.

Concern that the media release indicates an inconsistency with the Water Act (Part 2, Div 1, subdiv B) that states that the purpose of the Basin Plan is to provide for the integrated management of the Basin water resources in a way that promotes the objects of the Act by providing for inter alia (d) the use and management of the Basin water resources in a way that optimizes economic, social and environmental outcomes.

Motion: That the MDA request an immediate opportunity to meet with the MDBA and the Commonwealth Environmental Water Office to discuss the issues raised above, and to explore integrated and adaptive management strategies to deliver reliable flows that consider, recognize and accommodate the social and economic importance of the tourism sector to our Basin communities.

S Dye/R Booty Carried

8. NEXT MEETING TBA

9. CLOSE 12.00noon

[email protected] www.mda.asn.au T (03) 5480 3805 Murray Darling Association Inc. ABN: 64 636 490 493

463 High Street P.O. Box 1268 Echuca, Vic 3564

rd 3 Floor, 553 Kiewa Street P.O. Box 359 Albury, NSW 2640 Region 2 Ordinary Meeting Date: 8th April, 2016 Start Time: 10:04am Location: Berrigan Sporties, Stewart Street, Berrigan

MINUTES 1. ATTENDANCE 1.1 Present Des Bilske MDA Chair Deniliquin Council Emma Bradbury MDA CEO

Peter Connell Councillor Deniliquin Council Sally Dye Councillor Conargo Shire Jenny Johnson Private Member Louise Burge Private Member

Ruth McRae Mayor Jerilderie Shire Terry Hogan Councillor Jerilderie Shire Colin Jones Councillor Berrigan Shire

Jeff Shand Councillor Deniliquin Council Viv McGee Private Member Edward Cox Councillor Moira Shire Council Penny Sullivan Murray Darling Basin Association

David Dreverman Murray Darling Basin Association Greg Toll David Landini

1.2 Apologies Sharman Stone Margot Stork Murray Shire James Williams Councillor Greater Bendigo City Council Helen Leach Councillor Greater Bendigo City Council Bernard Curtain Mayor Berrigan Shire Ashley Hall Mayor Deniliquin Council David McKenzie Norm Brennan Mayor Conargo Shire

Moved Councillor Terry Hogan That the apologies be accepted. Seconded Viv McGee CARRIED

Page 1 of 3 2. WELCOME 2.1 Berrigan Councillor Colin Jones welcomed everyone to the Region 2 Meeting and thanked them for travelling to Berrigan. Berrigan is extremely dry at the moment with no irrigated rice and only small areas of pasture. 2.2 Mr Des Bilske – Chair Region 2

3. MINUTES 3.1 Minutes of the previous meeting on 27th November, 2015 in Deniliquin had been previously distributed to all members.

Moved Councillor Jeff Shand That the minutes of the previous meeting be accept as a true and correct record. Seconded Councillor Peter Connell CARRIED

4. BUSINESS ARISING 4.1 Discussion on finances and membership category

5. REPORTS 5.1 Chair Region 2 – Mr Des Bilske 5.2 CEO’s Report – Emma Bradbury • Presentation of the new Strategic Plan • After consultation with Andrew Scherman and Russell Kennedy on the Constitution, the correct functionality should be used rather than changing it. • Emma is currently on leave. Is committed to the Murray Darling Association and has spoken to the Board on succession based on a functional constitution and agreed strategy. This will be on a very tight budget.

6. GENERAL BUSINESS 6.1 Possible merger of Regions 2 & 3

Moved Viv McGee That membership be retained as two regions. Seconded Louise Burge CARRIED

6.2 MDA’s advocacy for, and involvement in the development of a structured and repeatable Basin Plan social and economic impacts evaluation framework that can distinguish the short term and one off impacts from the underlying performance of the plan. 6.3 Regional issues map – what are the top 3-4 key issues facing this region.

7. GUEST PRESENTATION 1. Topics: The Senate Select Committee on the Murray Darling Basin Plan, and the future of irrigated agriculture in the Goulburn Murray Irrigation District (GMID). The MDA is committed to being a valued source of accurate, concise and timely information by being a two-way conduit between our membership and responsible authorities.

Mr David Dreverman and Ms. Penny Sullivan from the Murray Darling Basin Authority addressed the meeting. • Nothing in the Basin Plan is fixed. Many factors have to be taken in consideration including industrial practices, quantities in cotton/rice/grains; China; mining and so on – communities are able to report quicker on these than governments. • Why should Government support people who own water, but don’t own land? These people are now buying land to create some security to the water they hold. • People coming into Australia as they see sovereign risks to enterprise in Australia as being less than those in other countries. Investment is high.

Page 2 of 3 Councillor Terry Hogan – can’t continue to evaporate water - lack of measurement of environmental outcomes - eliminate change – keep ignoring several serious components ie no more water. Response: Barrages on lower lakes. In 1902 local land holders mounted a campaign and in the 130’s demand for water was about a third of where it is today. As per recording the environmental demand is mainly upstream of Wellington. If they don’t have flows past Wellington then would have super saline environment than have now with high acidifications. Three periods in three years where no flows into the sea. Menindie lakes – 1.7 million gl of water released. Last inflow in 2013. Only minor inflows in this year. 53 gl in lakes this week. Can store one years’ full inflow in government storage.

Plan is about certainty to SA not to the irrigators. Answer: Basin Plan does not change any eligibility of water.

Mrs Louse Burge - not proponent of moving the barrages. MDBA has said that there are limits to change – need to look at things more holistically.

Mr David Landini - lot of people think that water in the lower lakes is wasted. Why not return this to a natural estuary?

Councillor Jeff Shand - Re Peter Smith & Ken Jury interviews in 2007 on 5 MU Conveyance Reserve.

Mr Greg Toll - Blue Green Algae is now down as far as Renmark. Topping moving water for stock. Can’t predict what triggers a bloom.

Councillor Edward Cox - With implementation of the Plan people in the Basin feel as if they are being ignored and talked over by the few inexperienced academics. Inflows and losses for the future should be taken into account with the events of storage – pocket diagrams of availability.

Mrs Louise Burge - Percentage of water from annual crops to permanent plantings. Removal of Bind Island.

Councillor Sally Dye - Reliability of water with decreased access from temporary trade. Supplementary water is not accessible. Negative Environmental impacts are not being monitored.

Mr Greg Toll - Visiting all their areas getting feedback on how hard they are being impacted.

Ms. Penny Sullivan – 2017 will be required to report.

8. NEXT MEETING

9. CLOSE The meeting closed at 1.15pm.

The Murray Darling Association acknowledges and thanks Berrigan Shire Council for their support in hosting this Ordinary meeting of Region 2.

Page 3 of 3

Chief Executive Officer’s Region Report Feb/Mar 2017

Prepared by: Emma Bradbury

Chief Executive Officer Phone: (03) 5480 3805 Murray Darling Association Email: [email protected] 463 High Street Website: www.mda.asn.au Echuca Vic 3564

1. Diary/Engagements

06/02/17 GMW Strategic Planning workshop Moama

07/02/17 Gannawarra Shire Council address – w/ Cr Thurley Keang

08/02/17 Murrindindi Council address – w/ Cr Thurley Toowoomba

14/02/17 Meeting Hon Minister Ian Hunter, SA Minister for Water w/ Chairs Adelaide

14/02/17 Meeting Coorong Council CEO Vince Cammel Adelaide

15/02/17 2017 MDA Planning Workshop – all Region Chairs Adelaide

15/02/17 Board Meeting 363 – election of the National Exec Adelaide

16/02/17 Meeting LGA SA President Mayor Rosenberg, and S Smith Adelaide

17/02/17 Legatus Central Local Govt address – w/ R8 Chair Cr Clarke Clare SA

17/02/17 Renmark – Meeting council exec. inspect Conference venues Renmark

24/02/17 Meeting – Ray Stubbs RAMROC w/ CrThurley Skype

28/02/17 Western Divisions Annual Conference Wentworth

02/03/17 Murray River Group of Councils w/ Cr Thurley Swan Hill

06/03/17 Region 5 AGM Skype

07/03/17 Bruce Male?? Canberra

07/03/17 Address Board Murray-Darling Basin Authority w/ Cr Thruley Canberra

07/03/17 Meet senior dept directors, Dept Ag & Water Res w/ Cr Thurley Canberra

08/03/17 Meeting Hon Sussan Ley MP, Member for Farrer Albury

09/03/17 Attend inaug Murray Central Regional Boating Advisory Group Moama

10/03/17 104.3 EMFM Radio – monthly program Echuca

10/03/17 Interim financial audit – MDA - MRG Auditors Echuca

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2. Strategy • Continuing to press the purpose of the Murray Darling Association being to provide effective representation of local government and the communities we represent, at state and federal level in the management of our Basin resources.

• Arguing for local government to have an active in informing decisions that impact our local communities.

• Promoting recent reforms and current achievements of the MDA, including: o New Constitution, guarantees proper representation of local government and ensure sectional interests not afforded a disproportionate voice. o Structure, model and value of the new MDA. o Regional leadership, new memberships, and engagement across the Northern Basin. o Equal engagement of council officers with elected delegates to ensure authoritative and properly informed representation of our local government areas. o Leadership of a more constructive, united, and informed dialogue between local, state and federal governments across the Basin.

• Future priorities including o Development of MDA regions Regional Basin Profile & Priorities Plans (issues maps). o Basin Plan Implementation Impacts Evaluation Framework project. o Delivering local government an active role in the decision-making processes that impact our communities under the implementation of the Basin Plan.

• Pursuing opportunities for the meaningful development of the strategic alliance outlined in the Memorandum of Understanding between the Murray Darling Basin Authority and the Murray Darling Association in support of our shared objectives.

Finance Our interim audit was conduct this month with exceptionally positive feedback from our auditors, noting their delight in the progress and standards of the association in the three years since they commenced as the MDA’s auditors. They also noted the healthy, if lean, state of our finances on budget to deliver our second consecutive surplus.

Advocacy Priorities Following correspondence last month from the MDA to all Basin Water Ministers requesting support for local government, via the MDA, to be formally recognized and included in the Basin Plan decision making processes, and an opportunity to meet to discuss this, the MDA, along with two other local government groups has been invited

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to addrss the Ministers in advance of the Ministerial Council in Mildura on March 17th. Local government will be represented by the MDA, RAMROC and Murray River Group of Councils. We have put the case that as the third level of government in Australia, and the one most directly connected to community, local government has a valuable contribution to make in the processes, community consultation, and the formulation of decisions made and taken in the continuing implementation of the Basin Plan. Response to date has been positive.

• MDA has drafted a response and partnered with a number of member councils across the northern Basin in the preparation of a response/submission to the proposed Basin Plan amendments. • MDA played an active role in seeking to mitigate adverse impact on local government and communities from the division between the states and the Federal Govt following the meeting of the Ministerial Council of Basin Governments in Adelaide in Nov 2016.

MDA Regional Boundary Review Water resource plans (WRPs) set out how water resources will be managed. They are developed by the Basin states, or in certain circumstances by the Authority, for approval by the Commonwealth Water Minister. A water resource plan area is a geographical area, of which there are 14 for surface water, 16 for groundwater and an additional six for surface water and groundwater combined. As far as possible, the boundaries match those of existing state water management areas. Consider the merits of MDA regional alignments taking WRPs as well as LGA boundaries into consideration. Standing agenda item for all 2017 region meetings.

3. Projects Social and Economic Impacts Evaluation Framework – funding still not yet secured to commence this project. Meetings in Canberra in March with a number of interested departmental stakeholders. Letters will go out to funding partners in the coming weeks.

Australian Institute of Company Directors – Following positive meetings in Melbourne, we are currently awaiting a project proposal from AICD.

4. Staff Matters MDA is committed to nurturing new talent and skills. We have recently joined the Schools Friendly Businesses consortium in Campaspe, and have taken on a School Based Apprentice/Trainee, Annette Waters. Annette is student at Rochester Secondary College ad has demonstrated an active involvement in community participation over several years.

5. Regions Meetings calendar 2017 – It is the ideas generated and the minutes/resolutions of the region meetings that provide the imprimatur for the MDA to carry forward our advocacy priorities and deliver on our purpose. Region meetings must be well run and attended, with

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chairs and committees ensuring that member councils are aware of and engaged in the meetings. Meeting schedules should be published on the MDA website. Any region that has not provided its 2017 meeting schedule to the MDA for publication on the website should do so immediately.

6. In brief – updates 2017 National Conference and AGM Committee – tentative date set for 11-13 October. This event will be held in Renmark.SA. East Coast Conferences has been engaged and a committee formed to organist the conference, with a number of high caliber sponsors already having requested an opportunity to sponsor and present. Senator the Hon Anne Ruston, Assistant Minister for Agriculture and Water Resources and has accepted the MDA’s invitation to open the conference. Premises lease – 463-465 High Street Echuca lease with Parks Victoria renewed for a further 2 years. The co-location of these two organizations in Echuca-Moama is extremely favorable to the MDA, both financially and in providing an exceptionally high quality workplace and positive team environment.

Emma Bradbury Chief Executive Officer

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Page | 5 [email protected] Murray Darling Association Inc. www.mda.asn.au T (03) 5480 3805 ABN: 64 636 490 493

463 High Street P.O. Box 1268 Echuca, Vic 3564

3rd Floor, 553 Kiewa Street P.O. Box 359 Ordinary Meeting of the Board Albury, NSW 2640 th Wednesday 15 February 2017. LGA House, 148 Frome St, Adelaide.

MINUTES - MEETING No. 363

1. ATTENDANCE 1.1 Present

Cr David Thurley Albury City Council Region 1 Cr Leigh Byron Balranald Shire Council Region 3 Mr Russell Peate Mid-Murray Council Region 5 Cr Barry Featherston Alexandrina Council Region 6 Cr Peter Jamieson ** Port Adelaide-Enfield Council Region 7 Cr Denis Clark Northern Areas Council Region 8 Cr Paul Maytom Leeton Shire Council Region 9 Mr Matthew Magin Balonne Shire Council Region 12 Emma Bradbury Murray Darling Assoc Chief Executive Officer ** Cr Jamieson in attendance by telephone

1.2 Apologies Mr Gerard José Mildura Rural City Council Region 4 Peter Gray Murray Darling Assoc Finance Officer

1.3 Declaration of Interests and Conflicts None declared.

1.2 Extra-ordinary Motion

Motion: That Northern Areas Council, represented by Cr Denis Clark and Balonne Shire Council represented by Matthew Magin, be invited to accept the role of Acting Chairs of Regions 8 and 12 respectively, and that they be extended full Board participation. L Byron/P Maytom Carried

2. PREVIOUS MINUTES

Motion: That the minutes of meeting 362 held November 25th 2016, Albury, Skype be accepted as an accurate record of that meeting.

B Featherston/P Mayom Carried

3. BUSINESS ARISING 3.1 Region Meeting Schedules Action item: All Region Chairs to confirm their 2017/18 meeting schedules, and forward details to the CEO by the end of February. CEO to post details on the MDA Events Calendar on the website. 3.2 Finance Matters 3.2.1 Subcommittee Terms of Reference Motion: That the Finance Committee Terms of Reference at attachment (A) be adopted.

L Byron/B Featherston Carried

3.2.2 Statement of Financial Principles Motion: That the Statement of Financial Principles at attachment (B) be adopted.

P Maytom/R Peate Carried

3.2.3 Status of Water Rights Action Item: The board requests a detailed briefing report on the value, status, and management options for the water shares owned by the Murray Darling Association be prepared and circulated in advance of board meeting 364.

3.2.4 Murray Darling Foundation Further discussion of the status of the Foundation. It was acknowledged that pursuit of the re- establishment of the Foundation by the executive do not form part of the 2017 Workplan due to a lack of surplus resources (financial and human). It was also noted that caution must be taken to ensure that any future activities of the Foundation w=aligned to the Association’s purpose, and were compliant with regulatory obligations.

Motion: That a) the activities and function of the Murray Darling Foundation be suspended until further notice, and b) the Murray Darling Association continue to peruse projects in line with our stated purpose.

P Maytom/P Jamieson Carried

4. REPORTS 4.1 Region Reports Region 12 Mr Matthew Magin, CEO of Balonne Shire reported on the impact of water buybacks undertaken in Region 12 as having enormous and devastating effects on the agricultural industry, associated rural industries and employment. This in turn is having negative impacts on community confidence and the long-term viability of our communities.

Direct implications Dirranbandi has lost an estimated 27% of its irrigation area, and under the proposed amendment of 320 GL water recovery scenario, would be reduced by up to 43%. More than 15% of agriculture and non-agriculture private sector jobs have been lost since water buybacks commenced. In St George, jobs in agriculture have dropped by more than 15% and non-agriculture private sector jobs are down more than 20%.

The effects of the Plan for St George are large enough for changes to the population to have implications in the longer term. The continued delivery of the Basin Plan will see 197 FTE - or 197 skilled workers, families, friends, home owners, volunteers and customers, lost from our St George and Dirranbandi communities. As a council vested in the stability and sustainability of our communities, we find the declaration for the Plan to cause further harm unacceptable.

Compounding implications The loss of employment from the shire has caused flow on and compounding issues, including the significant reduction of housing prices, reduction in school enrolments, reduced business activity, and increased stress within the community. The implications are a further loss of services and revenue opportunities, mental health concerns, strain on support services, and undermining confidence and ability to attract new industry.

It is estimated that cotton production in the Dirranbandi area has been reduced by 40,000 bales as a result of buy-backs. Dirranbandi is almost a ghost town - school numbers have reduced by 50%, 100 plus houses are unoccupied, businesses have closed, and the backpacker hostel has been unoccupied for some time.

The socio-economic report reveals that any additional buybacks will further exacerbate these impacts, which in turn will have further negative impacts on the Balonne Shire, and others across the region.

Region 8 Cr Clark, Mayor of Northern Areas Council spoke of the importance of an active drive for membership, engagement and participation across Region 8, noting that since the chair had been vacated by Rodney Button, the region may have lost some connection with the importance of the MDA, and Region 8’s role in it. Cr Clark noted that the member councils of Region 8 are working hard on the implementation of water re-use schemes to reduce their reliance on the Murray-Darling system. He noted also that member councils across the region are keen to ensure that they stand firm with and support those councils and regions more severely impacted as the availability of water and demand patterns vary across the Basin.

Region 7 Cr Jamieson, City of Port Adelaide Enfield noted that the upcoming Region 7 AGM to be held at the Adelaide City Council on March 2nd will be the 100th meeting of Region 7.

A vote of thanks was extended from the existing Chairs to both Northern Areas Council, and Balonne Shire Council for taking up active engagement and commitment to a leadership role on behalf their respective communities and regions.

4.2 Chief Executive Officer’s report Attachment E 4.3 Finance Report Attachment F 4.4 Correspondence Attachment G

Motion: That the reports be noted. D Clark/R Peate Carried

5. GENERAL BUSINESS 5.1 Adoption of the 2017 Workplan Attachment H

Motion: That the MDA 2017 Workplan as product of the 2017 Planning Workshop, held Wednesday 15th Feb be adopted.

B Featherston/P Maytom Carried

5.2 Annual election of the national executive. President Cr Thurley declared all positions vacant, and vacated the chair. E Bradbury assumed the chair, and called for nominations for National President.

Cr D Thurley Nominated P Maytom/L Byron. Nomination accepted. There being no further nominations, Cr D Thurley, Albury City Council duly elected National President. Cr Thurley resumed the chair and thanked his fellow board members.

Vice President The Chair called for nominations for National Vice President.

Cr B Featherston Nominated D Thurley/L Byron Nomination accepted. There being no further nominations, Cr B Featherston, Alexandrina Shire Council duly elected National Vice President. Cr Featherston thanked his fellow board members.

Treasurer Cr P Jamieson declared that he would not be re-nominating for the position. There being no other nominations for the role of treasurer the position was declared vacant. The chairman thanked Peter for his time in the role.

5.3 Social and Economic Impacts Assessment Framework Discussion about the need to review a number of details within the project proposal, and to actively peruse opportunities to get the project funded and underway as a matter of priority. Cr B Featherston and r Russell Peat to work with the CEO to ensure the details are up to date, and reflective of current priorities.

Motion: That the SEIAF project proposal be a) updated in line with revised funding and advocacy priorities and expectations b) promoted as a matter of top priority, in line with the 2017 Workplan. B Featherston/R Peate Carried

6. Next meeting - tba 7. MEETING CLOSE 4.40pm

[email protected] Murray Darling Association Inc. www.mda.asn.au T (03) 5480 3805 ABN: 64 636 490 493

463 High Street P.O. Box 1268 Echuca, Vic 3564

3rd Floor, 553 Kiewa Street P.O. Box 359 Ordinary Meeting of the Board Albury, NSW 2640

Finance Report – MEETING 363

Objective

To inform the Board of the financial affairs of the Association to enable the Board to meet its governance obligations in managing the Association.

Recommendation

That the Board receive the Finance Report.

Financial Report

The Financial Report for the period 1 July 2016 to 31 December 2016 comprising the following reports Cash Flow projections to 30 June 2017 Balance Sheet as at 31 December 2016 Profit & Loss Account for the six months to 31 December 2016 Aged receivables as at 31 December 2016 Bank register showing all deposits and withdrawals for all bank accounts

……………………………………………………………………………………………………………………………………………………………………….

Introduction

This finance report is intended to be a refresh of the format for these reports from now on. My perception is that such a refresh is required for the following reasons:

 Not all Directors may understand the full implications of the financial statements and it is therefore important that finance reports are clear about the organisation’s financial performance and position; even more so given the typical ‘tightness’ of its finances. That clarity may not have been sufficiently explicit in previous reports;

 Given the Finance Officer is a Certified Practicing Accountant, there may be a tendency to take reports at face value, rather than question or comment on the figures if they are not fully understood;

 It has been commented that the inclusion of early membership receipts, in June figures, could mask a potential deficit in the underlying profit figures for the year. This is a valid comment and the budget and forecast reports have now been adjusted to remove references to such income; and

 A finance subcommittee will be formed shortly to consider ways in which the organisation’s finances might be put on a more solid footing. The updating of the budget and forecast will enable that subcommittee to consider more clearly the task ahead.

Prepared by Peter Gray Approved by Emma Bradbury

Cash Flow Forecast

I normally consider this report as being the most important of the finance reports. This is because it compares year-to-date performance with budget, but also looks ahead to the potential position at 30 June regardless of budget. Therefore, it provides an early financial indicator of how the year will unfold.

The 2016/17 budget The overview structure of the 2016/17 budget is as follows:

Total opening bank balances of $53,592. (This figure excludes some $36,000 of membership income received in June 30, at which time the actual bank balances totaled $89,602).

From this opening figure must be deducted liabilities that were payable as at June 30. These amounted to $42,832; therefore the association’s real free-cash position on 1 July was $10,760. (The largest single liability was rent payable of $30,000).

The budget planned for an operating cash surplus of $24,964, and car repayments of $4,100.

The opening balance of $53,592, less $42,832 opening liabilities, plus $24,964 surplus, less $4,100 car payments, equate to the budget outcome of closing bank balances at 30 June 2017 of $31,624.

It should be noted that the conference contributes $18,000 - $20,000 to the operating surplus figure. Therefore, the underlying position is that, without the conference contribution, the association just about meets its operational expenses – there is very little give in the system.

2016/17 actual performance As at 30 December, the operating surplus of $142,530 was slightly higher than budget surplus of $135,045. As we are due to write-off some debtors (noted below), it can be said that year-to-date profit is about budget.

Please note: our membership income is largely received during July, August and September each year. After December we receive very little income, so any surplus at 31 December will be depleted by 30 June as operational expenses are paid during each succeeding month.

Gross income was less than budget, but expenses were also less than budget.

At this stage, we expect to meet budget operating surplus and closing cash position.

The underlying cash position for 2017/18 So, what is the current outlook for 2017/18, given that the Chief Executive Officer’s salary was increased during 2016/17 and a full year’s expense for that increased item is not reflected in the current year’s figures?

Excluding conference costs, the association’s underlying cash expenses would be about $230,000.

Assuming no changes to our current position, membership income would be about $200,000.

Therefore, excluding any conference surplus, we need to address an underlying cash deficit of about $30,000, plus build in some additional surplus to meet unforeseen contingencies.

Prepared by Peter Gray Approved by Emma Bradbury

Balance Sheet, 31 December 2016

Current Assets At 31 December, total cash in cheque and deposit accounts was $173,830.43. Of this amount, $166,787.61 was attributable to the Association, and $7,042.82 was attributable to the Foundation. As little to no further income will be received between now and June 30, these funds must carry the Association through to the next membership receipt round, between June and September 2017.

In addition, some $166,600 of New South Wales, South Australian and Victorian water rights value is still held by the Association and Foundation.

In addition, debtors were $22,133.84 as per the attached report. The total of $6,845.00 outstanding in the 90-day column substantially refers to unpaid individual memberships and one unpaid council membership. As these monies are now considered to be uncollectable, they will be written off in the January financials. Please note that none of this value has been taken up in the cash flow forecast, discussed below. Payments have since been received from MDBA and Rotary Club of Wentworth.

Current Liabilities All Australian Taxation Office liabilities are up to date to 31 December.

Sundry Creditors were $31,199.56. The bulk of this value, $30,000, is an accrual for rent payable to Parks Victoria (PV) for the Echuca office. We had not received an invoice from PV during the two years of the initial rental period, but accrued the rent due in our financial statements, including the finance report at the AGM. We have now been contacted by Parks Victoria and will be paying this accrued rent between January and June 2017.

You will also note remaining Foundation debenture loans of $3,500. Two of these loans were paid out in 2016 and 2017 from Foundation funds.

Profit & Loss Account The attached Profit & Loss Account provides the details of income and expenditure for the six months to 31 December 2016, the outcome being a profit of $139,240.33 for that period.

We have just agreed with Parks Victoria to extend our Echuca lease for a further two years at no increased rental, being $15,000 per annum.

Income and expenses to date are best viewed in context through the Cash Flow Forecast, noted above, but two items of note are conference gross income of $33,181 and conference expenses of $14,638, providing a net contribution of $18,500 to our finances.

Peter Gray Finance Manager

Prepared by Peter Gray Approved by Emma Bradbury

Chief Executive Officer’s Board Report 363 Feb 2017

Prepared by: Emma Bradbury

Chief Executive Officer Phone: (03) 5480 3805 Murray Darling Association Email: [email protected] 463 High Street Website: www.mda.asn.au Echuca Vic 3564

1. Diary

25/11/16 MDA Board Meeting 362 Albury

28/11/16 Meeting – QMDC CEO and other Toowoomba

29/11/2016 Meeting – Toowoomba Regional Council Mayor Cr Paul Antonio and Toowoomba CEO Brian Pidgeon

29/11/2016 Meeting – CEO Southern Downs Regional Council Warwick

30/11/2016 Meeting – CEO and Deputy Mayor Goondiwindi

1/12/2016 Presentation – Namoi Councils Joint Organization (8 councils) Tamworth

1/12/2016 Presentation – Western District Regional Councils Annual St George, Balonne Conference (12 councils and community) Shire

2/12/2016 Meeting Simon Zanetta, Snr Advisor on Water to QLD Water Brisbane Minister Dr Anthony Lyneham

14/12/2016 2017 National Conference Planning Meeting Skype

15/12/2016 Meeting – Deputy Prime Minister Joyce Sydney

22/12/2016 Meeting – The Hon Bob Katter Charters Towers

6/01/2017 Meeting – MDBA REO Merril Boyd Echuca

11/01/2017 Meeting – Campaspe Shire CEO & Chair of Murray River Group Echuca

17/01/2017 Meeting – Murray Rivers Council General Manager and Moama Administrator

19/01/2017 Meeting – AICD to discuss sponsorship and collaboration Melbourne (governance and strategy)

20/01/2017 Hosted event tennis – McArthur Group (2017 sponsorship) Melbourne

20/01/2017 Meeting – MAV CEO and President Melbourne

23/01/2017 Wangaratta Council Wangaratta

25/01/2017 Meeting – Balonne Shire Council Mayor and CEO Goondiwindi

Presentation – Council Workshop – Goondiwindi RC Goondiwindi

Meeting – MDBA Northern Basin Director Toowoomba Rod Shaw, Director of Southern Water Infrastructure Section 01/02/2017 Echuca Water Division, Department of Agriculture and Water Resources 02/02/2017 MDBA Community Information Session Moama

07/02/2017 Presentation - Gannawarra Shire Council Kerang

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2. Strategy Memberships Engagement – there has been a vigorous round of engagements with member and prospective member councils, as well as external stakeholders. Strong support being received via state LGAs, new and prospective member councils as well as regional groupings of councils.

Withdrawals While we have experienced solid growth in new memberships, with interest from non- member councils continuing to grow, there is also an increasing trend of withdrawals across several regions, with councils no longer just continuing membership year on year. With council budgets tightening in a very material sense, councils are reviewing their membership spends across a range of organizations and if they are not seeing value or involvement, or alignment to their Council Plans, they are withdrawing memberships. The MDA Strategic Plan and our advocacy priorities now demonstrate a strong alignment with the objectives of all Basin councils, but without effective communication and engagement, it will be increasingly difficult to retain existing memberships. Chairs and their councils need to actively consider their regional engagement strategies. (see also Finance notes below).

Joint Organisations and Groups of Councils Increasing trend in Joint Organizations and Groups of Councils interested in joining as groups. Proposal for a JO has been to offer membership to all councils in a JO, with a 20% discount applied. Discuss.

Finance MDA continues to operate on a budget that, while balanced is far too lean to continue deliver on purpose at the rate and caliber commensurate with stakeholder expectations and opportunity. Importance of establishing a finance committee cannot be overstated. Project opportunity with AICD may provide an additional revenue stream. Proposal pending. New requirements under the Constitution Advocacy Priorities • MDA has written to all Basin Water Ministers requesting support for local government, via the MDA, to be formally recognized and included in the Basin Plan decision making processes, and an opportunity to meet to discuss this, and how the MDA and our member councils can better work with our state and federal government on the continuing implementation of the Basin Plan. We have put the case that as the third level of government in Australia, and the one most directly connected to community, local government has a valuable contribution to make in the processes, community consultation, and the formulation of decisions made and taken in the continuing implementation of the Basin Plan. Response to date has been positive.

• MDA has drafted a response and partnered with a number of member councils across the northern Basin in the preparation of a

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response/submission to the proposed Basin Plan amendments. Submissions close 10/02/2017. • MDA played an active role in seeking to mitigate adverse impact on local government and communities from the division between the states and the Federal Govt following the meeting of the Ministerial Council of Basin Governments in Adelaide in Nov 2016.

3. Conference 2017 Sponsorship prospects Australian Tax Office McArthur Group Australian Institute of Company Directors

4. Projects Social and Economic Impacts Evaluation Framework – funding still not yet secured to commence this project. Meetings in Canberra in March with a number of interested departmental stakeholders. Letters will go out to funding partners in the coming weeks.

Australian Institute of Company Directors – Following positive meetings in Melbourne, we are currently awaiting a project proposal from AICD.

5. Staff Matters MDA is committed to nurturing new talent and skills. We have recently joined the Schools Friendly Businesses consortium in Campaspe, and have taken on a School Based Apprentice/Trainee, Annette Waters. Annette is a student at Rochester College , and has demonstrated an active engagement in civic affairs and local government over several years.

6. Regions Meetings calendar 2017 – It is the ideas generated and the minutes/resolutions of the region meetings that provide the imprimatur for the MDA to carry forward our advocacy priorities and deliver on our purpose. Region meetings must be well run and attended, with chairs and committees ensuring that member councils are aware of and engaged in the meetings. Meeting schedules should be published on the MDA website. Any region that has not provided its 2017 meeting schedule to the MDA for publication on the website should do so immediately.

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Region 12 – The MDA welcomes Balonne Shire Council Mayor Richard Marsh and CEO Matthew Magin to the role of Chair of Region 12. We look forward to their valuable contribution and detailed knowledge of Northern Basin issues. 7. In brief – updates 2017 National Conference and AGM Committee – tentative date set for 11-13 October. This event will be held in Renmark.SA. East Coast Conferences has been engaged and a committee formed to organist the conference, with a number of high caliber sponsors already having requested an opportunity to sponsor and present. Senator the Hon Anne Ruston, Assistant Minister for Agriculture and Water Resources and has accepted the MDA’s invitation to open the conference. Premises lease – 463-465 High Street Echuca lease with Parks Victoria renewed for a further 2 years. The co-location of these two organizations in Echuca-Moama is extremely favorable to the MDA, both financially and in providing an exceptionally high quality workplace and positive team environment.

Emma Bradbury Chief Executive Officer

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Finance Committee Terms of Reference

Purpose The Finance Committee provides advice to, and is a reference and support mechanism for, the Board in relation to the Association’s financial performance and position. The finance subcommittee is not a policy-making body nor does it have substantive executive function. However, it assists the board in developing board policy and monitoring organisational activity within the scope of its remit, and making recommendations to the board for resolution.

Key Objectives The role of the committee includes assisting the board with the organisation’s governance and exercising of due care, diligence, and skill in relation to the following key objectives:

• Ensure there is an income stream sufficient to deliver the Association’s operational requirements and strategic objectives. • Ensure the Board is accurately advised about the Association’s financial performance and position. • Ensure that an external audit of the financial statements is conducted annually, and the audited financial statements are included in the Annual Report. • Ensure the Board is provided with a monthly cash flow forecast such as will assist directors to understand the future bank position regardless of budget expectations;

Specific areas of responsibility

• Provide recommendations on the development of a resource plan, sufficient to meet the requirements of the Association’s strategic objectives. • Contribution to and review of the proposed annual budget, assessing alignment to strategic and resource plans and appropriateness of underlying assumptions before recommending it to the board; • Review the audited annual financial statements before their presentation to the board, to ensure they represent a true and fair view of the organisation’s financial position and performance and the organisation’s cash flow;

• Meet at least once per year with the external auditors to review results and discuss the adequacy and effectiveness of accounting; • Review the organisation’s monthly financial reports in a timely manner, making recommendations to the board as required; • Monitor the solvency of the organisation and raise any concerns to the board’s immediate attention. • Provide specific advice on financial matters as requested by the Board.

Powers of the Committee

• Board members of the committee act in an advisory capacity only. Responsibility for operational matters remains with the Chief Executive Officer. • The committee acts under direction of the Board and makes recommendations to the Board within the context of its Terms of Reference. • Unless there is a specific delegation of Board powers, the Finance Committee has no delegated powers.

Mode of Operation

• The finance committee will meet at least four times a year and hold extra meetings as required. A request for a meeting from the external auditors must be met. • The Subcommittee may invite additional board members, staff or external specialists to attend meetings or provide advice as deemed appropriate by the Subcommittee. • Minutes must be recorded for each Subcommittee meeting and held on file. • The notice and agenda of a meeting will include relevant supporting papers and must be made available to committee members and invitees at least one week prior to the meeting date.

Members The board will appoint finance subcommittee members and the chair of the committee. The chair of the committee must be non-executive and independent, and must not be the chair of the board. The finance subcommittee will include

• MDA National President or Vice President • MDA Treasurer • MDA Chief Executive Officer • MDA Finance Officer

Quorum A quorum will be present with any three of the four members present.

Authority The committee has no authority to make decisions on behalf of the board, to approve financial expenditure or plans, or commit the organisation to activities or undertakings not otherwise approved by the Board.

Responsible to The Board of Murray Darling Association Inc.

Duration of Appointment The term of appointment of the committee members who are directors will coincide with their board tenure. The tenure of any other committee members will be determined at time of appointment.

Voting Matters will generally be decided by consensus or, if a consensus can’t be reached, by a majority of votes from the members present.

Conflicts of interest Committee members will be invited to disclose conflicts of interest at the start of each meeting. Ongoing conflicts of interest need not be disclosed at each meeting once they have been acknowledged. Where members or invitees are deemed to have a real or perceived conflict of interest they will be excused from committee discussions about the issue where a conflict exists.

Secretariat duties The CEO of the MDA or another appropriate, designated person will act as secretary to the finance subcommittee. The secretary will help the chair to develop and distribute the agenda, papers, minutes, and calendar.

Minutes Minutes must be prepared, approved by the chair and circulated to the members within two weeks of a subcommittee meeting. The minutes must be ratified and signed by the chair at the following meeting.

Reporting to the board The chair of the finance subcommittee is to report to the board following each committee meeting. They may distribute a copy of the minutes supplemented with other necessary information, including recommendations requiring board action and/or approval. The chair is to organise a brief report on the information relating to the finance committee to be included in the organisation’s annual report.

Reviews The finance subcommittee will review its performance on an annual basis. The review may be conducted as a self-assessment and will be coordinated by the chair. The assessment may seek input from any person. Training needs will be monitored by the chair.

Statement of Financial Principles

Purpose

By implementing good financial management, and agreeing a number of set financial principles against which we operate, the MDA will be better able to deliver on our strategic goals in a sound and consistent manner.

1. MDA will achieve sufficient revenues to meet the operating expenses necessary to deliver on our purpose and demonstrate value to our stakeholders

2. MDA will meet core business obligations prior to allocating additional resources to operating projects and events

3. MDA will generate reasonable income from operating projects and events.

4. MDA will develop and maintain commitment to a Financial Sustainability Strategy.

5. MDA will not incur debt.

6. MDA’s budget targets will be agreed and met each year.

7. MDA will not use capital assets to meet operating expenses.

8. MDA will approve projects and subsidiaries only after consideration of alignment to the organisations core purpose and strategic plan.

9. MDA will remunerate staff commensurate with skill and performance at levels consistent with industry standards and in line with the expectations of the role.

Document date: 20/02/2017: Revise annually

2017 WORKPLAN

Our Purpose

To provide effective representation of local government and communities at state and federal levels in the management of our Basin resources. MDA Strategic Plan 2016-19

Introduction

Local government has a key role to play in the future of the Murray Darling Basin. As the peak representative body for local government across the Basin, the MDA is responsible for ensuring that our actions always deliver value to our members by ensuring a strong alignment with our Purpose.

As such, our Purpose provides the bedrock for our activities, and those activities are identified and agreed in the following workplan for the year ahead.

Our Strategic Plan provides the framework for the 2017 Workplan, which connects via a ‘clear line of sight’ from the Strategic Plan to our operational activities.

Further, the actions and activates identified in this workplan align with the CEO’s performance indicators and may be used as a measure of their performance in the role.

The key focus of the 2017 workplan is to build the capacity within our regions, ensuring strong governance and active engagement and thereby providing the imprimatur for the MDA to speak with authority about Basin matters on behalf of local government:

Limiting factors

Our reality is that we have a limited income base which, in turn, restricts what we can do, and how many we can employ to do it.

As such, we must ensure that Murray Darling Association is, and is seen to be a key Basin partner. To do this with limited resources means that we must be considered in our activities; do the right things and do them well.

The 2017 Workplan identifies the crucial elements reguired in order to deliver against our Purpose, and sets out the actions that will provide the greatest value and effect. If we are restricted in what we can do, let’s ensure that each activity adds to a firm foundation and structure for the following year’s work.

Key Strategic Activities for 2017

Strategic Objective and Workplan Activities Measures Responsibility supporting theme Strategic Goal: to be a valued source of 1. Identify and adopt an efficient, low- Seamless video conferencing in CEO/NP accurate, concise, valid, timely information cost system for Board and cross-region place for Board meetings • Develop effective communication communication systems: at Board level; from

communities to policymakers; and 2. Provide regular updates to inform Quarterly region reports across the regions. Region Chairs/CEO members of issues or that arise or exist distributed after each meeting

in different parts of the Basin

3. Develop an efficient content Regular content updates online management strategy TBA

CEO/Finance manager 4. Scope and budget part time IT/Content Budget allocation for management management service if social media

Quarterly e-newsletter CEO 5. Quarterly e-newsletter Goal: to facilitate informed and constructive 1. Develop a suite of tools and templates Regional Chair kit in place and CEO / Region Chairs debate which provide a good basis upon which being used by region secretariats Goal: to influence the policies of government regions can base their meetings. • Ensure that effective regional council

meetings are held regularly 2. Conduct quarterly meetings across all Regions are compliant with the regions. Region Chairs/CEO Constitution. • Identify the key politicians, department heads, agency heads and 3. Undertake meetings and form good Regions are developing regional other people who influence Basin working relationships with the key identities and priorities. people and agencies at state and policy and create a robust working network federal levels who need to be in our network. Region Chairs/CEO Strategic Objective and Workplan Activities Measures Responsibility supporting theme • Establish the new regional boundaries 4. Develop the Regional Issues maps x 12 Regional Chairs establish effective 5. Each region has a standing item on its regional, state-based, networks National President/CEO agenda for the Regional Issues map Networks are expanded and including some discussion of the Region Chairs effective. Regional Boundary review, scheduled Regional Chairs/CEO for 2018 Regions adopt Regional Strategy Review and adopt updated Regional Boundaries by Feb 2018 Goal: to be a strong, viable, self-sustaining 1. Directors have easy access to and develop Murray Darling Association holds a CEO/Board Members organisation a sound understanding of: the Constitution; current induction on file for each Chair • Each Board member has a clear the Strategic Plan; the Workplan and council understanding of the role of the

Association and his/her role on the Board National President/CEO An effective Board Agenda is in place • Our financial base is sufficient to do our 2. Budget agendas support implementation of

work. the Workplan

CEO/Board 3. Agree the Terms of Reference and initial Resolution of the Board at Meeting workplan for a specialist Finance 363 Subcommittee Adoption of the workplan at Meeting 364

4. Meet the 2016/17 budget expectations Budget met CEO/Board

5. Successfully complete the 2016/17 financial audit Audit certificate gained CEO

6. Prepare and approve the 2017/18 budget A balanced budget is developed and adopted CEO/Board Strategic Objective and Workplan Activities Measures Responsibility supporting theme 7. The role, if any, for the Foundation is determined Board discussion and decision Board

8. Increase membership

Membership income is sufficient to meet operating expenses CEO/Board/Regional Chairs

Regional Chairs take an active role in

developing their regional local government networks. Region Chairs

Secretariat support is strong and 9. Develop capacity within Chairing councils consistent across the regions. Region Chairs Meeting agendas and minutes are developed and distributes in a timely and efficient manner. Region Chairs/Council Officers provide reports and briefing papers on matters for consideration. Region Chairs/Council

Five yearly report card of Basin Plan implementation Colin Mues, MDBA Community questions so far • What are you going to do about the effects on communities? • Are sustainable diversion limits going to be changed through the 2017 Evaluation? • What about the 450 ‘up-water’? • Is this the same approach as the Northern Basin Review? • Which communities will the socioeconomic research be looking at? • Why and how is environmental water used? • What are the outcomes from environmental watering? • Is this just MDBA marking its own homework? Purpose To inform and improve remaining Basin Plan implementation by: 1. Taking stock • Are we on track with implementing the programs and mechanisms in the Plan? 2. Evaluate outcomes to date • Are the outcomes in line with what we would expect to see 5 years on? • Are there any unexpected outcomes i.e. benefits or impacts? • Is it too soon to tell? 3. Identify where Basin Plan implementation can be improved • Are there things we can change in the way we are implementing the Plan to get even better outcomes for the environment and Basin communities? Scope

Long-term outcomes to be assessed against outcomes expected to 2017 We are part way through implementation - Healthy and opportunity to assess resilient rivers, Productive and Healthy and resilient Improving success to date and resilient rivers, industries, and water wetlands and confident management potential improvements floodplains communities wetlands and floodplains Breadth of social and economic outcomes

Scope of outcomes being considered:

• Benefits Both measurable and hard to eg. tourism, recreational measure fishing, amenity and social/cultural • Costs Irrigation community impacts eg. Impacts on irrigated area, population, employment, wellbeing etc Isolate the impact of the BP from other drivers of change • Unanticipated Revealed through above – e.g. inconsistency with outcomes could be benefits or negative outcomes anticipated in the impacts Regulation Impact Statement (RIS) Evaluating implementation from a social and economic perspective • What has been done? What were the outcomes?

Level of analysis Crucial Datasets • Basin and regional 1. Composition of water recovery (catchment) scale • On-farm • Off-farm • Buybacks • Industry insights 2. Water use, trade and carryover 3. Irrigated area • Irrigation companies 4. Long run trends affecting MDB communities • Around 30 local communities 5. Local knowledge to explain big changes or unexpected results Approach to evaluation of social and economic outcomes

Comparative/demographic analysis

1. Basin/region/industry costs (impacts on irrigation communities)

ABS agricultural and population census and survey data; ABARES commodity price and production data; ABARE farm surveys data; Water use, trade and carryover data from IIOs and Water Registers; Regional wellbeing survey

2. Basin/region benefits (non-consumptive/amenity etc)

Tourism Australia survey data; Regional wellbeing survey; Recreational fishing industry survey data; CSIRO ecosystem services research Approach to evaluation of social and economic outcomes

Local community analysis

1. Impacts on irrigation communities

Community level information on water recovery, water use, trade and carryover, and irrigated area; Relationship with local employment in agriculture and ag-services

2. Other socio-demographic information on long term trends and current state

ABS agricultural and population census data (mainly socio-demographic characteristics) Approach to understanding outcomes for Aboriginal people – key questions • Sociocultural and economic outcomes for Aboriginal people?

• Effectiveness of Aboriginal participation in Basin scale and state water planning and management, particularly in relation to water resource planning and environmental water planning?

• How can Aboriginal involvement in water planning and management be improved? Evaluating implementation of environmental programs and mechanisms

Annual Strategies for Long-term Coordination watering maximising watering plans of watering priorities outcomes Evaluating environmental outcomes to date – expected environmental outcomes for 2017 Implementation of Basin Plan

2017? Ecological change in response to Basin Plan

Degree of improvement toward expected ecological outcomes

Time 2012 Evaluating environmental outcomes to date – expected environmental outcomes for 2017 The Basin-wide environmental watering strategy

1. River flows and 2. Native 3. Waterbirds 4. Native fish connectivity vegetation

Water recovered Maintain Maintain species to allow for some populations, Maintain extent diversity, improvement in distribution and and condition abundance and flows and movement breeding events. connectivity opportunities Improved implementation of the Basin Plan The evaluation will help us improve the implementation of the Basin Plan by telling us:

• The current condition of vegetation, waterbirds and fish in the Basin,

• Whether Basin Plan actions are resulting in opportunities for improvement, and

• What we need to do to ensure we achieve environmental outcomes. A phased engagement approach Community questions so far • What are you going to do about the effects on communities? • Are sustainable diversion limits going to be changed through the 2017 Evaluation? • What about the 450 ‘up-water’? • Is this the same approach as the Northern Basin Review? • Which communities will the socioeconomic research be looking at? • Why and how is environmental water used? • What are the outcomes from environmental watering? • Is this just MDBA marking its own homework?

2017 Submission to the Basin Plan Amendments proposed by the Murray Darling Basin Authority

Namoi Catchment

Introduction Acknowledgement

The Murray Darling Association Inc (MDA) and our member councils of the Namoi Councils Joint Organization thank the Murray Darling Basin Authority (MDBA) for the work done in undertaking the Northern Basin Review. We are pleased to provide the following submission to the in response to the proposed Basin Plan amendments.

Feedback contained in this submission is provided addressing four key topics as follows: 1. Northern Basin 2. Groundwater 3. Other practical Basin Plan proposed amendments 4. Other related feedback

Murray Darling Association

The Murray Darling Association is a membership-based peak representative organisation representing local government and the communities they serve across the Murray Darling Basin. Established in 1944, the MDA has a strong history steeped in the traditions and achievements of local government.

There are 179 local government organisations across the Basin whose communities derive their wellbeing from the resources of the area. The MDA provides our members with the means and opportunity to actively participate in informing water policy.

Our goal is to ensure local government, as the third tier of government in Australia, is strongly engaged in the decisions of state and federal government that impact the communities we serve.

The MDA supports the Basin Plan, and acknowledges that it has been agreed to by the Commonwealth, the ACT and the four Basin States, via the Intergovernmental Agreement on Implementing Water Reform in the Murray Darling Basin (the IGA). The MDA supports a united approach to the implementation of the Basin Plan that optimises social, economic, and environmental outcomes for the local communities our members represent. Namoi Councils Joint Organisation This submission has been prepared in collaboration with the Namoi Councils Joint Organisation, and member councils of MDA Region 11. The Namoi Councils Joint Organisation is a leading peak representative for the Namoi Region and has a key role in leading action in the region on key economic and social issues.

With member councils including Gwydir Shire Council, Gunnedah Shire Council, Liverpool Plains Shire Council, Moree Plains Shire Council, Narrabri Shire Council, Tamworth Regional Council, Walcha Council, and Associate Member Uralla Shire Council the Namoi Region covers over 66,456 km2 and represents a population of 117,500 people.

The leading industry in the region is agriculture which contributes 14.6% of the GRP. In 2016, the Namoi Councils Regional Priorities listed security of water supply in its top priorities.

The Namoi sub-region spans an area of approximately 29,300 square kilometres. It includes the regional towns of Gunnedah, Narrabri, Quirindi, Walgett, Werris Creek and Wee Waa in New South Wales. The landscape is dominated by highlands in the east and south and a broad floodplain in the west. The population of the subregion is estimated to be about 27,000 people concentrated along the Namoi River between Gunnedah and Narrabri. The river basin is home to the Indigenous communities of the Gomeroi people. About 80% of the subregion is used for agricultural production and forestry.

1. Northern Basin Review The MDA and our member Councils across the northern Basin welcome The Northern Basin Review, and broadly support the proposed amendments, particularly the proposed change to reduce the northern basin water recovery target from 390GL to 320GL.

However, the devil is in the detail and the councils of the Namoi region are concerned by the proposed amendment to recovery targets in the Naomi.

Catchment Current Basin Plan Proposed amendment Recovery (GL) (GL) to date*** (GL) Local Shared Total Local Assumed Total reduction reduction* reduction reduction shared reduction reduction* * Paroo 0 0 0 0 0 0 0

Warrego 8 0 8 8 0 8 8

d Nebine 1 0 1 1 0 1 1

l s Que Moonie 0 2 2 0 2 2 2

Condamine– 100 42 142 100 0 100 65 Balonne Queensland 8 15 23 14 15 29 15 Border Rivers Queensland 117 59 176 123 17 140 91 total Intersecting 0 8 8 0 8 8 8 Streams

Gwydir 42 14 56 42 0 42 48

l NSW Border

a 7 9 16 7 0 7 3

Rivers

u Namoi 10 14 24 20 0 20 13 o Macquarie-

ewS 65 18 83 55 16 71 83

N Castlereagh

Barwon–Darling 6 22 28 32 0 32 32

NSW total 130 85 215 156 24 180 187

Whole of North totals 247 143 390 279 41 320 278

As shown in the table above, the amendments propose an increase of 10GL in local reductions for the Namoi, effectively doubling the reduction rate for our immediate area.

With 7GL yet to be recovered under the proposed amendments, and all of that quantity now being deemed local reduction, the impacts on the communities within the Liverpool Plains, Narrabri Shire and Gunnedah Shire are likely to be significant. The Tamworth Regional Council area is a significant service centre with a diverse economy, and as the region adjoins these two directly impacted council areas, indirect and perhaps less significant impacts can be expected.

The only other Valley or catchment area to have had such a significant increase in local reduction rates while benefiting from a corollary decrease in assumed shared reduction is the Barwon-Darling. This appears to be something of an ‘accounting shift’, or at best a moot point as the total recovery to date has already met the target.

Deloitte Access Economics, May 2012 estimated in its report ‘The Value of Water to the Namoi Valley’ assessed the socio-economic impacts of water reform using a proposed reduction of 80GL in the Namoi, results in a decline of 0.6% in GRP, a reduction in cotton production of 9% which equates to 100 FTE (seasonal workforce).

It is noted that under the proposed amendments, the recoveries to date from the both the Gwydir and the Macquarie/Castlereagh exceed the required amount by 6GL and 12GL respectively.

Water is a critical input for agriculture and agribusiness. Agriculture is the mainstay industry for the region. The Namoi Councils Joint Organisation conducted a report into the future opportunities for the Namoi region. The ‘Shaping the Future Report’ completed by the Regional Australia Institute, said that for the region to grow, it should maximise agricultural innovation. Any threat to the growth of the agricultural sector is a concern to the Joint Organisation.

Submission

 That 7GL of these over-recoveries be applied to off-set the balance of recovery required for the Namoi Region local reduction.

 We encourage the full value of over-recovery be returned to the consumptive pool.

 We support maximising water recovery through improved irrigation infrastructure wherever possible, not through the purchase of water, as investing in irrigation infrastructure is a direct investment in communities and it leads to benefits that stay within the community.

 That the state and federal governments, and the MDBA to work more closely with local government, through the MDA and the Namoi Councils Joint Organisation to support the implementation of complementary measures and projects to mitigate the social and economic pain of further recovery, and to develop more imaginative approached to the use of environmental water, using local knowledge and expertise.

 That the MDBA and our state and federal governments adequately resource, and collaborate with local government as a key strategy in capturing and applying local knowledge and delivering community benefit in the continuing recovery of the required volumes.

2. Groundwater The proposed amendments to the sustainable diversion limits (SDLs) for groundwater in in the following areas:

• Eastern Porous Rock (New South Wales) • Western Porous Rock (New South Wales) • Goulburn–Murray (Victoria)

For the purposes of this submission, we confine our remarks to the Eastern Porous Rock (groundwater) catchment areas of the Gunnedah – Oxley Basin Murray-Darling Basin catchment.

The MDA and our member councils of the Namoi Councils Joint Organization support the proposed 13GL increase to take the SDL for that catchment to 127.5GL. We understand that the total entitlements currently on issue from that catchment amount to roughly 30GL, with an average of approximately 12GL per year currently extracted, leaving significant spare capacity for future growth and expansion in the area. Submission

 That an increase in SDL volumes in the Eastern Porous Rock, and other areas and a less conservative approach to setting SDLs than that taken by the MDBA can be justified if suitable management actions are in place to manage the potential impacts of increased groundwater take. We support the proposed amendments to the management rules.

 That the MDBA partner with local government to better communicate the positive capacity of our groundwater storages, providing a better level of social and economic confidence and certainty for our water dependent communities.

3. Other practical Basin Plan proposed amendments 3.1 Boundary changes to align better with state boundaries

Section 3.06 of the Basin Plan contains reference to datasets that identify the boundaries of the groundwater WRP areas. The MDA supports the proposed changes in Chapter 3, and corollary amendments to Schedule 4 to update maps and spatial datasets.

Similarly, the proposed amendment to Chapter 6 recognising changes to the SDL resource unit boundaries as a result of the state water planning area changes are seen as routine but important elements of ‘housekeeping’ to enhance interagency alignment and consistency.

We note that the proposed area changes do not change the SDLs in the associated SDL resource units, and support the changes on that basis. Submission

 The MDBA partner with the MDA and our member councils to undertake a body of work to further enhance interagency alignment and consistency and consistencies across the regions and states of the Basin.

3.2 Giving basin states extra time to specify the allocation of their shared water recovery targets.

Shared reduction amounts are specified under the Basin Plan to satisfy the environmental needs of the Murray and Darling rivers. The Authority proposes amendments to allow the Basin states additional time to nominate the allocation of the shared reduction amount across SDL resource units.

In its report, the MDBA notes that a social and economic analysis cannot be undertaken as the change provides the opportunity for a Basin State to request a reallocation of the shared reduction amount and it is uncertain whether this request will be made or what the scale of the request would be. Submission • That the NSW state government, and the MDBA work more closely with local government, through the MDA and the Namoi Councils JO to develop and specify the allocation of their shared water recovery targets in the most timely manner.

We have some concerns that there is no social and economic analysis of the uncertainty created by the absence of clear and accountable timelines and the compliance of the stats in meeting these.

3.3 Changes to the ACT's baseline diversion limit to reflect current water recovery Submission

Nil

3.4 Changes to compliance on sustainable diversion limits in certain circumstances

The Authority proposes to amend the way the cumulative balance of water take is calculated for the purposes of assessing compliance with the SDL for a particular circumstance. The proposed calculation would allow the Authority to account for a particular circumstance: that the Australian Government does not achieve the water recovery target that it is has set for itself. This amendment adjusts the cumulative balance on the register of take to allow for the annual removal of any debits which are incurred in the previous water accounting period, as a result of a particular circumstance that is considered beyond the basin state’s control. Submission

 No apparent impact on local government or the communities we serve by this amendment. We don’t really have a view on this, provided the amendment does not provide an unfair advantage to Cth over our regions in complying with and accounting for their obligations in reducing SDLs.

3.5 Minor changes to water trading rules to provide more clarity

The Authority proposes to amend the Basin Plan water trading rules to improve clarity. The changes clarify definitions without changing the overall operation of the water trading rules. The Authority obtained advice from the Australian Competition and Consumer Commission in preparing the proposed amendments. Submission

 that the changes to intervalley trade does not adversely impact local businesses and industry through a diminution of available allocation within a region, risking adverse impact on our regional industries.

 That the MDBA work closely with local government through the MDA and the Namoi Councils Joint Organisation to ensure that the practical implications of the proposed changes are properly understood and communicated through local government to our local business and industries.

3.6 Minor changes to the Basin Plan following changes to the Water Act 2007.

The 2016 amendments to the Water Act include a requirement for the Basin Plan monitoring and evaluation program to include five-yearly reviews of the social and economic impacts of the Basin Plan. In order to fully implement the new Water Act requirement, the Authority is proposing to include a review of social and economic impacts in the Monitoring and Evaluation Program in Chapter 13.

The Authority is also proposing to reschedule an assessment of monitoring, evaluation and reporting capabilities from 2017 to 2020. The proposed change to section 13.23(1) of the Basin Plan will align this provision with the new 2020 timing of the reviews outlined above.

Social and economic analysis and scientific knowledge the proposed amendments correct references following amendments to the Water Act and implement changes to the timing for reporting in line with the Australian Government response to the Water Act review. These changes are of an administrative or procedural nature and are not based on social or economic analysis, or scientific knowledge.

Submission

 We support the inclusion of a review of social and economic impacts in the Monitoring and Evaluation Program in Chapter 13.

 That the MDBA actively support local government through the MDA in the development of a rigorous and repeatable Basin Plan social and economic impacts evaluation framework that can distinguish the short term and one off impacts from the underlying performance of the plan.

 Further, that the MDBA incorporate the use of data drawn from the regions through the application of that framework in both the application and the assessment of monitoring, evaluation and reporting capabilities.

4. Other related feedback 4.1 The Murray–Darling Basin Authority (MDBA), in its published materials asserts that the MDBA is the agency responsible for establishing the Basin Plan in consultation with state and Commonwealth governments, industries, and communities.

 Local government across the basin is of the view that there is a significant oversight in that statement in so much as there is no reference there to consultation with local government. Local government in Australia is the third tier of government in Australia, and is that level of government most closely in touch with industries and community across their areas.

4.2 Appendix A to the report lists a number Northern Basin Review related publications.

 A more conventionally referenced bibliography, including publishing authors, publication dates and access links to supporting documents may have been beneficial in providing a detailed feedback.

 The MDA makes a note of appreciation of the help and expertise of Basin Authority staff in their guidance to and assistance in locating relevant supporting documents and information.

4.3 Recommendation 6. The Authority recommends there be a preference for water recovery based on irrigation infrastructure improvements rather than through water entitlement purchasing.

 The MDA member councils express their strong support this recommendation. The MDA has long advocated that buybacks are the most destructive form of water recovery, taking water out of the consumptive pool, reduces productive capacity. The knock-on effect of buybacks on local communities beyond the initial retirement of debt or cash injection for individual licence holders has been shown to be devastating on many Basin communities.

 Buybacks also create a ‘Swiss cheese effect’ in irrigation districts where operational costs remain fixed yet opportunity to recover those costs is negatively impacted through reduced delivery. Fees for remaining irrigators must go up to cover costs, creating further social and economic hardship, and increased cost burden to councils.

PO Box 1268, Echuca Vic 3564 | ph 03 5480 3805 | m 0429 905 017

www.mda.asn.au | [email protected]

Murray Darling Association Inc Cr David Thurley - National President Emma Bradbury - Chief Executive Officer

Namoi Councils Joint Organisation Cr Andrew Hope - Chairman Rebel Thomson - Executive Officer

[email protected] www.mda.asn.au T (03) 5480 3805 ABN: 64 636 490 493

463 High Street P.O. Box 1268 Echuca, Vic 3564

Murray–Darling Basin Ministerial Council 16 March 2017 – Mildura Presentation: Cr David Thurley – National President Ms Emma Bradbury – Chief Executive Officer

• The purpose of the Murray Darling Association has, since 1944 been to provide effective representation of local government and the communities we represent, at state and federal level in the management of our Basin resources. The association has coverage across the entirety of the Basin and beyond in SA, working well with and representing individual councils, ROCs, JOs, council and community groups and state based LGAs.

• It is in the interest of all governments and our Basin communities for local government, via the MDA and its member councils and groups to have the means and the opportunity to participate in the development of policy and decisions that impact our communities as decisions are being made. As the third level of government in Australia, and the one most directly connected to the people we serve, we are uniquely positioned to leverage local knowledge to develop solutions to several seemingly intractable challenges contained within the Plan. The MDA is seeking an enduring seat for local government at Ministerial Council.

• In undertaking an effective review of the social and economic impacts across the southern connected Basin in 2017, it is essential that governments and the MDBA are properly equipped with the tools required to ensure integrity of data, and community confidence in the findings.

• In 2016 the MDA developed a project proposal for the development of a Basin Plan Implementation Impacts Evaluation Framework. The project deliverable is a rigorous and repeatable Basin Plan impacts evaluation framework that can distinguish short term and one off impacts from the underlying performance of the Plan for use by all levels of government and the MDBA, to better understand the positive and negative social and economic impacts on our local communities.

• The 2013-2018 MoU between the MDA and the MDBA recognises the shared objectives of the Authority and local government via the MDA and commits both parties to involve the MDA in the gathering and collection of data as it relates to the MDBA’s monitoring and evaluation framework and reporting requirements dealing with social and economic impacts.

• The structure and model of the new MDA under the 2016 Constitution guarantees proper representation of local government and ensures sectional interests not afforded a disproportionate voice, providing the ideal vehicle for effective representation of local government across the Basin, and continuing collaboration with our state and federal counterparts.

It’s in the Balance

[email protected] www.mda.asn.au T (03) 5480 3805 ABN: 64 636 490 493

463 High Street P.O. Box 1268 Echuca, Vic 3564

National President

Cr David Thurley, Albury City Council has been National President of the Murray Darling Association since 2014. David is also an accomplished scientist, astronomer, and futurist.

On moving to the mainland from Tasmania in the early 1970s, David worked with the Australian Newsprint Mills, where was responsible for the development of processes to treat industrial waste water to sufficient quality to maintain or improve the health of the river system on its re-entry. David’s achievements and expertise in the treatment of waste water saw him work for companies around the world, helping them to improve their water recycling. David has worked in Malaysia, Brazil, England, France, Sweden and Greece. David is also a volunteer educator, delivering fun and creative science classes to students in schools in the Albury Wodonga area.

Chief Executive Officer

Emma Bradbury was appointed CEO in May 2014. With almost 20 years experience in business management, she was the co-founder and managing director of a successful chain of engineering businesses servicing the Queensland mining sector, and later the Principal of Bradbury Management Consulting. Emma moved to Victoria in 2006 where she owned and operated an irrigated mixed farming enterprise in Torrumbarry. Emma has a strong connection to community and local government having served as a councillor with the Shire of Campaspe from 2012- 2016, and has broad experience in education, governance and strategic development. Emma holds a Bachelor of Social Science, a Graduate Diploma in Education and is a graduate of the Australian Institute of Company Directors.

It’s in the Balance