TABLE OF CONTENTS
Shire Location 3 Mayor’s Report 4 Acting CEO’s Foreword 6 Councillor Profiles 8 Organisational Structure 13 Service Highlights 14 Victorian Local Sustainability Accord 14 Cities for Climate Protection 14 Eco Buy 14 Revegetation of Woollen Rises Quarry 14 The Buloke Biolink Project 14 Landcare 15 Recreation 16 Aquatic Facility Management 16 Playgrounds 17 Council Buildings/Property Management 18 Statutory and Strategic Land Use Planning 18 Building Control 19 Food Safety 19 Food Safety Programs 19 Infectious Disease 19 Immunisations 20 Gardasil 20 Tobacco Education and Enforcement Activity 20 Septic Tank Inspection 20 Plant and Fleet Management 20 Local Roads Management 21 Sealed Road Service Standards 21 Gravel Road Service Standards 21 Earth Formed and Paddock Access Roads 21 Associated Road Assets 21 Local Roads Rehabilitation 22 Local Roads and Town Streets Resealing Programs 22 Local Gravel Roads Re-sheeting Program 22 Local Sealed Roads Gravel Shoulder Re-sheeting Program 22 Local Roads Maintenance 22 Waste Management 22 Landfill Site Rehabilitation 23 Gravel Pit Restoration 23 Aerodromes 23 Transport Connections Project 23 Local Laws and Fire Prevention 23 Home Care Services 23 Delivered Meals 24 Personal Care 24 General Home Care 24 Property Maintenance 24 Respite Care 24
Buloke Shire Council 2006/2007 Annual Report 1
Volunteer Coordination 25 Community Aged Care Packages 25 Youth Services Officer 26 Youth Groups 26 FreeZA 26 Transition to Work 26 Networking/Partnerships 26 Economic Development 27 Urban Rural Friendship Alliance 29 Human Resources 29 Work Cover Claims 29 Work Cover Premiums 29 Risk Management 30 OH&S Committee 30 Information Available for Inspection 31 Freedom of Information Statement 32 Equal Opportunity Policy Statement 33 Best Value Statement 34 Employee Statistics 35 National Competition Policy Statement 36 Grants and Donations 37 Memberships 38 Performance Indicators 39 Community Satisfaction Survey 40 Council Contacts 41
Financial Statements 42 Comparison Report 43 Notes to Financial Report 51 Certification of Standard Statements 52 Financial Statements 54 Notes to Financial Report 5 Introduction to the Performance Statement 5 Certification of Performance Statement 41 Certification of Financial Statement Auditor General’s Report
Buloke Shire Council 2006/2007 Annual Report 2
SHIRE LOCATION
The Buloke Shire is located in north-west Victoria on the eastern edge of the Wimmera plains and southern Mallee, 300 km from Melbourne. It occupies an area of 8,000 square kilometres with a population of 6981 people – less than one person per square kilometre. The main townships within the Shire are: Birchip, Charlton, Donald, Sea Lake and Wycheproof.
Agriculture, specifically grain production, is the primary source of income and employment in the area. Other forms of farming, education, retail, community service sectors and light industry also provide employment and income.
Buloke Shire Council 2006/2007 Annual Report 3
MAYOR’S REPORT
It is a surprisingly difficult task to look back over a twelve month period and select just a few of the many events and happenings that have occurred to highlight in the Annual Report.
With a terrible 2006 behind us I think we all looked forward with optimism to this season. The 2007 season appeared to be one of the most promising, with a terrific start and above average commodity prices. Council has always considered itself to be in drought recovery and the development and implementation of actions to address the economic, social and community consequences of the continuing situation have dominated discussion with other levels of government, within the Council itself and within the community. The situation is such that it is inconsequential whether as individuals we believe in climate change or not. The reality is that weather patterns are becoming more unpredictable and have an ongoing impact on everything we do.
Council is grateful to the extensive financial support the Federal Government and State Government have given Buloke during this period. Without this support, the Buloke community would have felt the impact of the drought conditions much more than they have. Council is also grateful to the support provided by local health services, not-for-profit organisations, peak bodies, service clubs and community based organisations.
As I indicated in my introductory comments to the 2005-2006 Annual Report, tough times in Buloke always brings out the best in the community. In the face of continuing drought conditions, increased water shortages, very difficult economic circumstances and some tragic local incidents involving young people the Buloke community has continued to demonstrate its compassion, resilience and inner strength. This is what makes living in Buloke and representing the community at a Councillor level such as privilege. My Councillor colleagues and I are always proud to say we come from Buloke. Proud of what the Buloke community has achieved and proud of the way it works together irrespective of the circumstances that occur.
A particular highlight of the last year has been the continuing maturity of the Friendship Alliance between Buloke and the City of Hobsons Bay. The growth of this relationship has resulted in community organisations across the Shire strengthening ties with similar organisations in Hobsons Bay. Organisations from Hobsons Bay have supported festivals and events in Buloke, promoted Buloke based businesses in Hobsons Bay, financially assisted local community groups and provided sponsorship to a wide range of events and activities. There can be no doubt that the Friendship Alliance will continue to grow in strength in future years.
2006/07 has seen the maturing of Council’s commitment to Community Planning. Over the next 12 months each community within the Shire will be given the opportunity to develop, and/or update its community plan in a manner that suits that community. Community planning is already strongly embraced across the Shire. The funding Council has received to enhance this process will ensure more people embrace the opportunity to participate and help shape the future of their township/locality and the Shire as a whole.
It is also appropriate in the context of this report that I comment on the Council decision to bring forward the date on which the employment contract with the previous Chief Executive Officer was concluded. The decision, in mid November 2006, to take this action was not unanimous and created a divide in Council and the community that continued for some months. Whether seen as a poor decision, or a good decision, the action taken did lead to Council reviewing a number of governance procedures. Actions taken subsequent to this decision have included improvements to meeting procedures, the creation of new opportunities for community consultation and changes to the relationship between Councillors and the incumbent CEO.
Buloke Shire Council 2006/2007 Annual Report 4
I would also like to take this opportunity to recognize the long hours that all of my Councillor colleagues put into their role as a Councillor of the Shire of Buloke. As well as their duties as local representatives, Councillors are active participants in local, regional, statewide and sometimes national working parties on a wide range of matters affecting Buloke. As representatives of the Buloke community Councillors represent local interests in matters as diverse as Rail Freight, Saleyards Management, Waste Disposal, Catchment Management, Children’s Services, Highway Improvements, Community Safety, Library Services, Environmental Management, Heritage, Health Services, Youth Services, Aged Services and Emergency Management just to name a few of the meetings and forums Councillors regularly attend.
For a small Shire, Buloke has a BIG heart. This is reflected in the community spirit which is so evident in everything that happens in Buloke. Everyone works together and everyone puts in, this is the Buloke way.
Cr Reid Mather Mayor, Buloke Shire Council
Buloke Shire Council 2006/2007 Annual Report 5
ACTING CEO’S FOREWORD
2006/2007 has been a year for the council to focus on ‘getting the fundamentals right’. It has been a period of significant change, both for the organisation and for the future of our Shire.
At the organisational level budget processes have been reviewed, new financial reporting requirements introduced, governance procedures overhauled, new opportunities for community consultation instigated, community planning initiated and changes made to the management structure of the Council organisation.
In addition, from an operational viewpoint there have been a number of successful achievements including initiation of an after hours emergency response capability, improvements to animal control services, improved completion of capital works, employment of a full time youth officer, employment of a full time community building facilitator, preparation of a new environmental local law, construction of a new Children’s Services centre at Sea Lake, investment in new storm-water harvesting projects, winterisation of swimming pools to save water and a review of road maintenance practices too identify just a few highlights.
A review of Council’s Meeting Local Law was also completed during the course of the year resulting in revised meeting procedures, including the introduction of provisions for questions from the public and questions from Councillors. The new procedures have also resulted in a dramatic reduction in the number of items dealt with ‘in camera’.
The only significant negative from an operational view was the failure of staff to comply with the tender requirements of the Local Government Act 1989 (s186(1)) in relation to construction of the Charlton Storm Water Project. Three individual contracts were let to the one contractor for parts of what was clearly an integrated project. The total value of the three individual contracts was more than $100,000. The fault in this situation was with Council staff, not the contractor. Action has been taken to ensure all staff are aware of the legal requirements that apply in such situations.
Of particular importance was the Council’s decision to engage a full time youth development officer. Supported by the Uniting Church Donald, this initiative assisted the community to cope with several tragic situations involving young people during the course of the year.
Council also commenced the first stages of a major community planning exercise which will continue into 2007/08 and 2008/09. Supported by the Victorian Government this project will result in the preparation of up to 10 community plans on a township and/or locality basis which will inform the development of the Council Plan for the period 2008/09-20012/13.
In terms of infrastructure, attention has been focused on addressing road maintenance standards. Road maintenance is critical to the economic well being of the Shire due to the heavy reliance on the local road system to transport grain to bulk facilities. The new road maintenance standards will be used as the basis for 2007/08 budget preparation.
Council has also continued to lobby heavily for improved infrastructure funding and more generally for the development of a sustainable funding base for local government throughout Australia.
Drought has had an impact on a number of Council buildings in 2006/07 through foundation failures associated with dry soils. Assessment of the damage to building has been undertaken during the course of the year and will result in significant funds being allocated to repairs as part of the 2007/08 budget. Where appropriate insurance claims have been lodged.
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In the 2006/2007 financial year there was a general decline in the community’s perception of Council’s performance in the areas of ‘overall performance’, ‘advocacy’ and ‘community engagement’ as measured through the annual State Government survey. Perception of ‘customer contact’ remained the same as the previous year. Community perceptions in the 9 specific performance areas measured by the Survey remained unchanged. The results highlight the need for all areas of Council’s performance to receive greater focus and attention in the coming year.
Council finished the financial year in a strong financial position, principally due to the receipt of some unexpected grant funds from the Federal Government. Council had sufficient funds to meet all of its liabilities and has adequate reserves in place to meet its obligations to staff and the community. However, continued careful management of Council’s finances is required to ensure this situation remains into the future.
I would like to thank the councillors for their role as the elected representatives of the community and to gratefully acknowledge the support and commitment to the Shire of the Senior Management Team, our staff and contractors.
Warwick Heine Acting Chief Executive Officer.
Buloke Shire Council 2006/2007 Annual Report 7
COUNCILLOR PROFILES Mallee Ward
Councillor Reid Mather PO Box 2 Culgoa 3530 Phone: 03 5077 2264 Fax: 03 5077 2361 Mobile: 0428 772264
Cr Reid Mather has lived in the Buloke Shire most of his life. He and his wife Kerry and three children operate a grain focused farming business at Culgoa. Cr Mather’s interests include his family, community, music and travel.
Cr Mather’s committees include: • Assets & Infrastructure Committee • Waste Management Committee • Audit Committee • Community Building Initiative Reference Committee • North West Municipalities Association Taskforce – Federal Minister for Agriculture, Forestry and Fisheries. Buloke Council Delegate: • Wimmera Regional Library Corporation • North West Municipalities Association • Sea Lake & District Community Complex • Wimmera Regional Transport Group • MAV Rural and Regional Futures – Working Group • MAV Water Task Force Cr Mather is a member of the following community organisations: • Culgoa Hall Committee • Lions Club of Culgoa • Victorian No Till Association • Birchip Cropping Group
Councillor Robyn Ferrier PO Box 141, Birchip 3483 Phone: 03 5077 2215 Mobile: 0409 356838 Fax: 03 5077 2208 Email: [email protected]
Cr. Ferrier has lived in the Buloke Shire all of her life and has been involved in agriculture throughout this time. She has been a Councillor since the year 2000, serving two terms as Mayor. Cr Ferrier and her husband John have been running and growing a family farm business for 32 years. They have three daughters and one son. Family plays an important role in Cr Ferrier’s life. Cr Ferrier has a strong interest in local communities and their survival, music, sport and travel.
Cr Ferrier’s committees include: • Recreation, Culture and Heritage • Planning, Development and Tourism • Buloke Family Fun Day • Community Building Initiative Reference Group Buloke Council Delegate: • North West Municipalities Association • Urban Rural Links • Mallee Rural Links Buloke Shire Council 2006/2007 Annual Report 8
Councillor Bernadette Hogan PO Box 74, Birchip 3483 Phone: 03 5492 2766 Fax: 03 5492 2713
Born in Birchip, Cr Bernadette Hogan completed her schooling in Geelong and university studies in Melbourne where she worked as a tax accountant before returning to Birchip in 1994. She is married to local farmer Chris and works part-time as an accountant while raising four young children.
Cr Hogan is a strong advocate for retaining sustainable services, small business and employment opportunities in Buloke towns. An active member of the Birchip community she has held positions with several community committees and was elected to Council in November 2005.
Cr Hogan’s committees include: • Community Services
Buloke Council Delegate: • Heritage Committee • Business Excellence Awards Steering Committee
Lower Avoca Ward
Councillor Stuart McLean PO Box 42 Wycheproof 3527 Phone: 03 5493 7414 Fax: 03 5493 7790
Cr Stuart McLean is a primary producer on the Avoca River flood plain and has been a Councillor since 1997, serving two terms as Mayor in 1998–99 and 1999–2000. Cr McLean is married to Nuccia and has three children. His membership of community groups include: the Lions Club of Wycheproof, the Board of the North Central Catchment Management Authority and Chair Buloke- Northern Grampians Landcare Network, Vic Roads Northern Region Reference Group, Sheep Industry Advisory Committee and Energy Safe Victorian Rural Committee.
Cr McLean’s committees include: • Chair of Economic Development, Planning and Tourism Group • Chair of the Wycheproof Saleyards Committee Buloke Council Delegate: • Mid Murray Higher Education Working Party • Local Government representative, Victorian Feedlot Committee. • Chair of the Great Murray and Outback Touring Route • Regional Enterprise Network • Livestock Saleyards Association of Victoria (rep Mallee region)
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Councillor Peter Watts RMB 832, Charlton 3525 Phone: 03 5491 6246 Fax: 03 5491 6267
Cr Peter Watts is a fifth generation, primary producer and wool classer. He entered Local Government in 1987 and served two terms as Shire President of the Shire of Charlton. Prior to amalgamation, he served as a Commissioner in the Loddon Shire. Cr Watts is a former Vice President of the Australian Local Government Association (ALGA), former member of the Australian Land care Council and serves his community as a Justice of the Peace, is a member of the Lions Club of Charlton Coonooer Bridge Recreation Reserve Committee, C.B. Hall Committee, member Charlton Bowling Club and North Central Bowls Delegate and Umpire and Chair of Coaching panel.
Cr Watts’ committees include: • Assets and Infrastructure • Community Services Committee • Waste Management & Environment Committee • Charlton Park and Travellers Rest Committees • Community Building Initiative Buloke Council Delegate: • Calder Highway Improvement committee • Municipal Association of Victoria (substitute) • Country Fire Authority • Wimmera Regional Transport Group (Deputy) • Heritage Committee
Councillor Lloyd Paterson PO Box 168, Charlton 3525 Phone: 03 5491 1640 Fax: 03 5491 2429
Cr Lloyd Paterson is married to Maureen and has two sons. He is a long-time resident of Charlton and has worked in farming and shearing. He has also owned and operated retail businesses in Charlton, Port Fairy and Kerang. Cr Paterson is a life member of the Charlton A&P Society and a past president of the Rotary Club of Charlton and a Paul Harris Fellow. His recreation interests include cycling both coaching and racing.
Cr Paterson’s committees include: • Local Laws Committee • Recreation and Cultural Heritage Committee
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Mt Jeffcott Ward
Councillor Leo Tellefson 78 Aitken Avenue Donald 3480 Phone: 03 5497 2254 Fax: 03 5497 2251
Cr Tellefson has worked in rural industries as a meat worker, railway employee, weed and vermin control, forestry, food distribution and fencing, currently reliant on farming. He enjoys playing music and his interests include sustainable business and community development, youth, environmental issues, native plants and grasses, and maintaining and improving the health services necessary for country people. Serving his third term on Council.
Cr Tellefson’s committees include: • East Wimmera Health Service Board • Donald 2000 • Buloke Shire Youth Steering Committee • Buloke Biolink Committee • Buloke and Northern Grampians Landcare Steering Committee • Donald Community Information Centre Project Group • Planning Development & Tourism • Community Services • Waste Management and Environment Buloke Council Delegate • Central Victorian Greenhouse Alliance • Central Murray Regional Waste Management Group • Mallee Rural Counselling Service • Buloke Network • DSE – Native Vegetation Program • Victorian Local Sustainability Advisory Committee • MAV Strategic Environment Advisory Group • Sunraysia Highway Committee • Urban Rural Links • Business Excellence Awards Steering Committee
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Councillor Jan Corrie 11 Florence Court Donald 3480 Phone: 03 5497 1480 Fax: 03 5497 1983 Email: [email protected]
Cr Corrie retired from teaching in 2005, after 14 years at Donald High School. She has lived and worked within the region for 33 years and previously had a business in Charlton, before moving to live in Donald in 1984. Cr Corrie’s interests include gardening, bridge and golf.
Cr Corrie’s committees include: • Community Building Initiative reference committee • Recreation, Culture and Heritage • Watchem Progress Association • Secretary of the Donald Swimming Pool Committee of Management • Donald 2000 and Baby Boomers’ Festival • Streetscape Committees Buloke Council Delegate: • North Central Local Learning and Employment Network • Wimmera Regional Library Corporation • Buloke Local Safety Committee
Councillor Harold Flett 12 Sheep Hills Road Donald 3480 Phone: 03 5497 1964 Fax: 03 5497 1311 Mobile: 0427 986 283 Email: [email protected]
Cr Flett is a resident of the farming district of Laen, on the south west corner of the Buloke Shire. A grain grower, he is in business with his wife Jan and they have three adult children. Cr Flett had diverse community interests including his local church, Victorian Farmers Federation (VFF), Country Fire Authority (CFA) and is a former member of the Donald High School Council. He is a guest commentator for The Buloke Times newspaper and contributes to the ‘My Paddock’ column in The Wimmera Mail Times.
Cr Flett’s committees include: • Assets and Infrastructure Committee • General Services Committee • Local Laws Committee Buloke Council Delegate: • Municipal Association of Victoria • Wimmera Regional Transport Group (Deputy)
Buloke Shire Council 2006/2007 Annual Report 12
ORGANISATIONAL STRUCTURE
Buloke Shire Council 2006/2007 Annual Report 13
SERVICE HIGHLIGHTS
VICTORIAN LOCAL SUSTAINABILITY ACCORD Buloke Shire Council is working with the Central Victorian Greenhouse Alliance Councils (CVGA) and the CSIRO to identify current and future renewable energy opportunities for four central Victorian councils – Buloke, Bendigo, Ballarat and Loddon councils.
CITIES FOR CLIMATE PROTECTION The Cities for Climate Protection™ (CCP™) program involves the completion of five strategic and systematic milestones that target a 10% reduction in greenhouse gas emissions from the Council and the Community by 2010, as follows:
• Milestone 1: Conduct an emissions inventory of current Council and community activity and a forecast of emissions growth in the future. (Completed May 2001) • Milestone 2: Establish an emissions reduction goal. (Completed 2001) • Milestone 3: Prepare and adopt local Action Plan documenting actions to be taken to achieve the reduction goal. (Completed 2002) • Milestone 4: Implement the Local Action Plan (Completed July 2004) and • Milestone 5: Monitor and report on the implementation of the Local Action Plan.
Council completed Milestone 5 in 2005/06. The Milestone 5 Report for 2006/07 found corporate emissions were down by 391 equivalent tonnes (-12.3%) and community emissions down by 31,406 equivalent tonnes (-20.1%).
ECO BUY The Eco Buy program encourages Council to incorporate environmental considerations into its purchasing decisions.
Buloke was recognised at the 2007 Eco-Buy Awards for Excellence for the second highest per capita expenditure on greenhouse friendly products. Over the past year, Buloke Shire Council spent $ 264,001 on all green products. This included $ 4,319 on recycled products, $ 257,873 on greenhouse friendly products, such as LPG dedicated vehicles and $1,730 on green power or renewable energy products.
REVEGETATION OF WOOLLEN RISES QUARRY Students from Wycheproof P-12 College have worked with Council to help plant out the Woollen Rises Quarry.
The works consisted of revegetation of native indigenous species to the area, along two faces of the quarry. The students planted approximately 900 trees, shrubs and ground covers on the day.
THE BULOKE BIOLINK PROJECT Funded through the Federal governments Natural Heritage Trust, and National Action Plan, the Buloke Biolink project is a partnership between the Mallee CMA, North Central CMA, Buloke Shire and the Birchip Cropping Group.
The Buloke Biolink Project seeks to protect and enhance biodiversity values through vegetation management actions, with a range of on-ground works, which will include the protection of important remnant vegetation through fencing and a reduction in stock grazing pressures.
Some of the on-ground activities associated with this project include tree planting, direct seeding and fencing of new and remnant vegetation. The Buloke Biolink Project will also continue to undertake revegetation on roadside reserves and adjacent private land to improve the quality and condition of existing patches of remnants.
The Buloke Biolink Project offers incentives for fencing and revegetation, and depending upon the size of the work being undertaken, labour may also be available to assist with these works.
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LANDCARE 2006-07 is the fifth year in which the Shires of Buloke and Northern Grampians have partnered the North Central Catchment Management Authority to deliver support to Landcare and other community groups.
The program aims to support and build regional community capacity to participate and contribute more effectively in natural resource management and sustainable agricultural practices.
Groups supported in 2006/07 include:
Avon Plains Landcare Group Banyena Landcare Group St Arnaud Field Naturalists Group Carapooee Landcare Group Donald and District Landcare Group Charlton Landcare Group Donald History and Natural History Group Donald 2000 Inc Jeffcott North Landcare Group Emu Landcare Group Kooreh Landcare Group St Arnaud Hills Landcare Group Winjallok Landcare Group Stuart Mill Landcare Group Yawong Landcare Group Callawadda Landcare Group Teddywaddy Landcare Group Watchem Progress Association Lake Batyo Catyo Committee of Management Marnoo Land & Water Management Group Wooroonook Lake Foreshore Committee
Active Partnerships and Networks
North Central Catchment Management Authority Northern Grampians Shire Council Buloke Biolink Project Buloke Shire Department of Primary Industries Department of Sustainability and the Environment Environmental Protection Authority Parks Victoria Powercor Australia Landcare Australia Limited Central Victorian Greenhouse Alliance Australian Greenhouse Office ICLEI Conservation Volunteers Australia St Arnaud Community Resource Centre St Arnaud Community Capacity Building Initiative Rotary Club of St Arnaud
Training offered in 2006-07 included
• Weed stop training (2 Courses - 35 participants) • Farm Chemical Users Course (2 Courses - 15 participants) • Certificate IV in Workplace Training and Assessment: March to September 2007 (5 participants) • Sustainable Water Management (6 participants) • 12 skills development workshops and 17 awareness raising events.
Landcare Group Action Plans reviewed (Jeffcott North, Charlton, Kooreh and Carapooee)
Buloke Shire Council 2006/2007 Annual Report 15
RECREATION
Buloke Recreation Plan
In 2005, Council adopted its first Recreation Plan, providing future direction for Council’s sport and recreation facilities and services for the next ten years. Implementation continued in 2006/07.
Actions included continued production of a bi-monthly Recreation Newsletter to all sporting clubs in the Shire detailing upcoming events, grant opportunities, recreation initiatives and various issues affecting the sport and recreation clubs in the industry.
A copy of these publications and the Recreation Plan is available from the Buloke website www.buloke.vic.gov.au
Country Football Netball Program A grant of $60,000 was received to develop a second netball/tennis court and install improved lighting at the football and netball facilities in Nullawil.
Community Facility Funding Program A grant was to enhance safety and construct a dressage arena at the Charlton Pony Club.
A grant to construct two hard courts and lighting at the Charlton Tennis Complex
Recreation Drought Funding A grant of $170,000 to reduce the consumption of potable water at sport and recreation facilities through the use of alternate water sources. Projects include: • Donald stormwater harvesting system • Pipeworks at Wycheproof and Watchem Swimming Pools • Wycheproof stormwater system extension
AQUATIC FACILITY MANAGEMENT Council operates seven public swimming pools and each has had major works undertaken over the past 12 months. Those works include:
Charlton Major supports to brick walls in toilets, diving board repairs and roller door for kiosk.
Wycheproof Pre season inspection of filtered water lines, diving board repairs & further repairs to shade cloth area.
Berriwillock Paint both pools and associated signage. Install lifeguard viewing seat.
Sea Lake Paint both pools. Complete Lifeguard/First Aid room. Install child safe fence around toddler’s pool. Lay pavers to new entrance path.
Birchip Install solar power heating for Pool, fence off toddler’s pool area, erect expansive viewing/shade area. Minor repairs
Watchem Pre season inspection of filtered water lines, install recycle tank for backwash water reuse. Repairs to pre-filter.
Donald Reconfigure entrance to allow better access for disabled patrons. filtered water pipe replacement and repairs to perimeter fence and barbeque.
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PLAYGROUNDS Safety audits were conducted on all Council owned/controlled playgrounds in 2005/2006 to ensure that the forty (40) playgrounds met requirements of the current Australian Standards. The standards are intended to minimize potential hazards in the playground and the best way to minimize risk to the children using a playground is eliminate or at least minimize hazards in the first place and to back this up with an appropriate plan for dealing with problems as they arise.
The first phase of playground upgrades has commenced with the removal of those pieces of equipment that were not able to be made safe under the respective Australian standard guidelines. Compliant play areas are having soft fall renovations to bring them up to the required depths on a town by town program.
COUNCIL BUILDINGS/PROPERTY MANAGEMENT Council has 265 buildings under its control through one of the following mechanisms: • Council owned and managed; • Council owned but managed by a local committee; • Crown Land Reserves managed by Council or by an appointed local committee; • Crown Land Reserve Committees appointed by the Crown.
All buildings have been rated in terms of importance (rating 6 being the most important to rating 1 being the least important).
The 120 highest rated buildings have been inspected for condition assessment, including structural integrity, building standards compliance and OH&S requirements.
Major problems have been identified in the following buildings: • Donald Office, • Donald Shirt Factory, • Donald Recreation Reserve - Grand Stand, • Donald Netball - toilet block, • Charlton Kindergarten, • Birchip Leisure Centre, and • Birchip Hall.
Major building improvements undertaken in 2006/07 included:
Municipal Offices Birchip - Paint partial interior. Sea Lake - Paint balance of interior, Re roof entire building. Charlton - Paint exterior, remove asbestos veranda and reline. Donald - Install new water tank and pump. Paint exterior in heritage colour scheme. Wycheproof - Replace brickwork, repairs to front of building, upgrade shed to Record storage facility.
Pre-Schools Birchip - Install water tank
Senior Citizens Centres Donald - Reconfigure power switches. Replace boiling hot water unit
Public Halls Charlton - Major upgrades to toilet area Wycheproof - Paint supper room ceiling; Install disabled toilet next to supper room. Birchip - Upgrade rewiring for power boards Donald - Upgrade rewiring for power boards
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Other buildings/properties • Plans drawn up to extend Dog pound compound • Upgrade of Birchip Public Conveniences • Major Upgrade of Power supply to Donald Recreation Pavilion. • Upgrade of Power supply to Charlton Recreation Pavilion. • Power, lights & heating upgrade at Sea Lake sporting Complex. • Nandaly Hall renovation and upgrades. • Green Lake toilet and log cabin upgrade • Paint exterior of Golden Grains Museum Charlton • Major maintenance expenditure on the following. Sea Lake Complex, Travellers Rest Toilets Charlton, Centenary Park Wycheproof, Charlton Hall toilet upgrade.
STATUTORY AND STRATEGIC LAND USE PLANNING Council’s Statutory and Strategic Land Use Planning department operates with a part-time town planner and part-time planning administration officer providing the following services: information and advice about the Buloke Planning Scheme processes Planning Information Requests and issues Planning Certificates processes and coordinates Planning Permit Applications processes and coordinates Applications for Certification & Statements of Compliance for new Plans of Subdivision coordinates Planning Scheme & Municipal Strategic Statement (MSS) Reviews, and undertaking of changes required to the Planning Scheme
Statutory Planning Statistics 2004/05 2005/06 2006/07 Number of permits issued 54 72 80 Number of subdivisions certified 10 13 13 Permits still outstanding (30 June) 11 10 7
Strategic Land Use Planning Projects During the 2006/2007 financial year the following have been undertaken: • Shire-wide Heritage Study –Stage Two (continuing) • Shire-wide Residential Land Use Review (draft) • Amendment C13—Preparation of Draft Planning Scheme Amendment for correction of several anomalies and rezoning changes. • Amendment C14—Preparation of Draft Planning Scheme Amendment incorporating Heritage Study recommendations on “Precincts”
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BUILDING CONTROL The Building Control unit issues building permits, inspects building works and maintains enforcement of the building regulations.
There have been a number of demolitions of old, derelict, unsightly buildings including most of the former Charlton Primary School in Davies Street Charlton.
Five Star Energy requirements for all new domestic buildings will apply after 1st September 2007 for timber floors as well as concrete.
Building permits 2006/07
• New dwellings 13 • Extensions and alterations to dwellings 20 • New commercial/industrial/public buildings 7 • Extensions and alterations to commercial/industrial/public buildings 8 • Other (eg. sheds etc) 51 • Total Number of Permits 99 • Issued by Private Surveyors 9 • Issued by Municipal Building Surveyor 90 Value of all permits issued $5,562,089
FOOD SAFETY There are 191 registered food and health act premises registered with the Council.
Council periodically undertakes random inspections of food premises, accommodation premises and hairdressers and beauticians to ensure compliance with the Food Act 1984 and the Health Act 1958.
Food Safety Programs The Food Act requires all food premises to complete and submit a copy of their food safety program. The majority of food premises have complied.
The use of a food safety program is a vital component of food safety as it helps to ensure that the food being prepared and served is safe for human consumption.
The next step is for each food business to submit a copy of their Food Safety Supervisor qualifications. This is a new requirement requiring every food business to provide Council with written details of the name and the qualifications of their food safety supervisor. This must be received before the premises can be registered with Council.
INFECTIOUS DISEASE Council has been actively involved in the investigation of sporadic cases of gastro-intestinal illness, particularly single case incidents, in the last 12-month period.
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IMMUNISATIONS Public immunisation sessions are held on a monthly basis at Donald, Charlton, and Sea Lake, with sessions held in Wycheproof by appointment.
Recent statistics have shown that the current immunisation coverage rates in the Buloke Shire are above average in comparison with the rest of the state. This is mainly the result of Councils proactive effort in holding regular public immunisation sessions as well as the Shire’s School Immunisation Program and home visits for immunisation.
Gardasil 2006/07 saw the introduction of the Gardasil vaccine to the immunisation schedule. This vaccine was initially funded to high school girls aged from 12-18 years of age. Council was one of the first Councils to administer the vaccine to the five high schools across the Shire region in the State of Victoria.
TOBACCO EDUCATION AND ENFORCEMENT ACTIVITY New tobacco laws came into effect on the 1st of July 2007. From 1 July 2007 all enclosed licensed premises, such as hotels and other licensed venues, must be smoke free. Smoking is also prohibited in an outdoor dining or drinking area, such as a balcony or courtyard if the area has a roof in place and the total actual area of the wall surfaces exceeds 75% of the total notional wall area.
To help prepare licensed premises and affected sporting and community groups with the introduction of the new smoking bans Council conducted education visits and provided each premises with an information kit on the new laws as well as providing no smoking signage and personal ashtrays, to help combat the issue of cigarette butt litter.
SEPTIC TANK INSPECTION In the areas of the Shire which do not have reticulated sewage, properties are required to have individual onsite wastewater systems that collect, treat and dispose of, or reuse, the wastewater which is generated, depending on the system in use. These systems must be EPA approved and they must treat the wastewater and contain it within property boundaries. Council inspects and approves septic tank permit applications, to ensure that onsite wastewater systems comply with regulations ensuring compliance with the Environment Protection Act 1970 and the Septic Tank Code of Practice 2003.
PLANT AND FLEET MANAGEMENT Council accepted tenders for the replacement of the following plant items during 2006/07: • 1 Power Grader • 1 Street Sweeper • 8 Vehicles • 1 Diesel Local Laws vehicle - Specialised body • 3 LPG Utilities • 2 Diesel Utilities • 1 Diesel Mechanic Van - Specialised body • 1 Petrol Passenger S/Wagon • 1 X Mobile Solar Traffic Signals • 1 X Second-hand Concrete Kerb Extruder
Buloke Shire Council 2006/2007 Annual Report 20
LOCAL ROADS MANAGEMENT Council has undertaken a detailed review of the local road, footpath and kerb & channel network that included road segmentation and condition assessments.
This assessment identified 5,329.8kms of roads in the local network. The revised road network comprises of: • 1,017.9kms of sealed roads; • 1,346.1kms of gravel roads; • 2,965.8kms of earth formed roads; and
SEALED ROAD SERVICE STANDARDS Sealed roads are inspected on a 3 monthly cycle.
Increased service levels have been approved to provide patrolled maintenance at least 6 monthly, annual shoulder maintenance, and unscheduled maintenance when service standards fall below minimum service standards as determined by risk assessments.
New asset renewal standards include reseals at 15 years, re-sheeting of gravel shoulders every ten years and 80 year renewal of road pavement with a minimum trafficable seal /gravel width of 6 metres.
GRAVEL ROAD SERVICE STANDARDS Gravel roads are inspected on a 9 monthly schedule.
Increased service levels for grading will provide a maximum period of 18 months between maintenance grading of gravel roads, and further unscheduled maintenance will be implemented when roads fall below minimum standards as determined by risk assessments.
These changes will provide a higher average standard of gravel roads throughout the Shire.
New asset renewal standards for gravel roads will include 10 year gravel pavement re-sheeting to provide reliable all weather access with minimum gravel pavement width of 4 metres with a minimum safe travelling speed of 40 kilometres per hour.
EARTH FORMED AND PADDOCK ACCESS ROADS Earth formed and paddock access roads are inspected once every 5 years.
Service levels will be set at a maximum of 5 years for maintenance grader frequency. Unscheduled maintenance will be implemented when roads full below accepted safety and risk standards.
ASSOCIATED ROAD ASSETS
Council also maintains associated road reserve assets such as 106,185 m2 of footpaths, kerb and channel, signage, bridges, culverts, stormwater drainage, median strips, street trees and to a limited extent the roadside trees and vegetation.
Buloke Shire Council 2006/2007 Annual Report 21
LOCAL ROADS REHABILITATION Approximately 10.4 kilometres of local roads were rehabilitated and sealed in 2006/07. These included: • Devon Park Road, • Charlton Borung Road, • Sheephills Road, • Culgoa Watchupga Road, • Wilkur Watchupga Road; • Berriwillock Woomelang Road shoulder widening; and • Davies Street/ Kaye Street Roundabout reconstruction.
LOCAL ROADS AND TOWN STREETS RESEALING PROGRAMS In excess of 47.5 kilometres of local roads were sealed during 2006/07.
Bitumen sealing requires spraying hot bitumen to the road surface, spreading a controlled layer of 7mm, 10mm or 14mm stone aggregate and rolling this material into the hot bitumen. The surplus stone is then removed and the new road may require replacing centre-line, edge barrier-line, parking bay, school/pedestrian-crossing or Statcon ‘Stop’ or ‘Give Way’ line-marking.
LOCAL GRAVEL ROADS RE-SHEETING PROGRAM New gravel pavement was placed as a wearing surface on 60.4 kilometres of local gravel roads.
LOCAL SEALED ROADS GRAVEL SHOULDER RE-SHEETING PROGRAM Approximately 20.8 kilometres of gravel shoulder re-sheeting was completed in the past year.
LOCAL ROADS MAINTENANCE Key outputs included: • 440.0kms of shoulder grading on local sealed roads • 909.7kms of grading on local gravel roads • 849.9kms of grading on local earth formed roads
WASTE MANAGEMENT In 2006/07 Council moved closer to full cost recovery for waste services by increasing gate fees at all landfill sites.
The program to replace street bins with 240 litre wheelie bins in all town streets also moved closer to completion. This program will continue in 2007/08.
The program to replace drum style bins at recreation reserves with 240 litre wheelie bins was also progressed. This program will continue in 2007/08.
Council, in partnership with the Central Murray Waste Management Group, provided funds for towns in the Shire to become Plastic Bag Free. Towns that have signed up to the program so far include Sea Lake, Birchip and Wycheproof. Work is continuing with other towns. When fully implemented, this program will reduce the amount of plastic bags ending up in landfill.
Council, also in partnership with the Central Murray Waste Management Group, conducted a major advertising campaign to reduce ongoing problems with contamination in recycle bins. This campaign involved sending out around 3,200 recycling calendars, bin stickers and leaflets detailing what can and cannot be placed into recycling bins. Council also ran an advertising campaign in the local newspapers. Results of the campaign are still being analysed.
Buloke Shire Council 2006/2007 Annual Report 22
LANDFILL SITE REHABILITATION Council continued to implement the ‘Buloke Shire Council Closed Landfill Rehabilitation Plan’ with completion of rehabilitation of the former Watchupga landfill site.
GRAVEL PIT RESTORATION Staff continued with progressive gravel pit restoration in accordance with the Department Sustainability & Environment (DSE) permits at the following locations: • McEwen’s Pit (Granite Flat) • Spicer’s Pit (Wilkur) • Coffee’s Pit (Birchip) • Todd’s Pit (Towaninny)
Council also continued with ongoing restoration of Woollen Riser’s Pit (Narrewillock).
Security has been upgraded at all pits with new Quarry Management signage installed.
AERODROMES Council has five aerodromes that are operated in accordance with standards set by CASA.
Upgrade and maintenance works continued at Council aerodromes over the past 12 months.
TRANSPORT CONNECTIONS PROJECT Council continued to be an active participant in the Southern Mallee Transport Connections Project (SMTCP).
This project aims to address access, mobility, and transport disadvantage across the sub-region including the Buloke, Gannawarra, and Swan Hill municipalities. The project has made significant progress in strengthening the links between the community and public transport sectors with the objective of making better use of existing transport resources through new and coordinated approaches, and also to develop sustainable community transport options.
LOCAL LAWS & FIRE PREVENTION The Local Laws Unit issues permits relating to advertising signs, street furniture, the keeping of animals, special events such as community barbeques, circuses and charity collections.
During the 2006/2007 financial year the unit impounded 23 dogs and issued fines in excess of $6000.
The unit also undertakes the Municipal Fire Prevention role and officers inspect all residential properties within the Shire for fire hazards.
During the last fire danger period Fire Hazard Notices were issued to 240 households in the municipality, resulting in the compulsory clearance of 40 properties.
Buloke Shire Council 2006/2007 Annual Report 23
HOME CARE SERVICES Council manages, coordinates and delivers a range of Home and Community Care Services to the community. These services are jointly funded by the Federal Government, State Government and Council.
• HACC services target frail older people, younger people with disabilities, and their carers. Council Home Care staff provide basic support and maintenance to people living at home whose capacity for independent living is at risk, or who are at risk of premature or inappropriate admission to long term residential care.
• During 2006/07, HACC staff participated in a number of training initiatives including First Aid, manual handling, bullying and harassment, OH&S, mental health first aid, suicide first aid, Certificate 3 in HACC, and data management. • A HACC OH&S Working Group was also established to work collaboratively in reviewing relevant policies, procedures, and work practices to ensure that Council provides its services in a safe manner. • Council staff and contractors delivered over 20,000 hours of direct care services to eligible clients.
Delivered Meals Council’s Delivered Meals program (Meals on Wheels) provides a nutritious and appetising meal to eligible consumers in their own home.
Delivered meals are provided to individuals who have no other options for supporting their nutritional needs or who have been identified as nutritionally at risk.
In 2006/07, with the assistance of over 400 volunteers, approximately 15,000 meals were provide to more than 160 recipients.
The success of this program depends on the commitment of volunteers to deliver the meals. Council is appreciative of the contribution made by these volunteers. For older residents living alone, the personal contact with volunteers is as much a benefit to their well being as the meal itself.
Personal Care Personal Care Services enable older people and people with disabilities to live independently in the community and at home.
Personal care can include assistance with everyday tasks of daily living such as bathing or showering, dressing, shaving, grooming, eating, drinking, toileting, monitoring of medication, and support with prescribed exercise or therapy programs.
The need for personal care is determined following an assessment of each individual consumer’s needs. These needs may include access to personal care on a planned regular basis as well as short term or emergency support that may be required.
General Home Care Home Care services maintain a safe, secure, and healthy home environment for frail aged persons, younger people with a disability, and their resident carers.
Council’s Home Care staff can assist to prepare meals, do shopping, clean inside the home, undertake small errands, and pay bills for clients as required. They may also escort clients to attend local medical and related appointments.
Buloke Shire Council 2006/2007 Annual Report 24
Property Maintenance This HACC service provides assistance to eligible residents with minor maintenance and repair of their home, garden, or yard so that they can remain living in a safe and habitable environment.
Tasks performed under this program can include minor repairs to the dwelling, replacing tap washers, lawn mowing, removal of rubbish, and other minor household repairs that do not require the skills of a tradesperson such as a licensed electrician or plumber.
The installation of grab rails, access ramps, shower rails or special taps can also be arranged following appropriate assessment by an Occupational Therapist.
Respite Care Respite Care services support carers of frail older people and people with a disability by providing them with a break from their caring responsibilities.
Respite care also aims to provide an opportunity for the person being cared for to have a break or an outing with their usual carer.
Respite care can be provided in the form of planned regular respite, emergency respite, crisis respite, and occasional respite.
Volunteer Co-ordination The HACC Volunteer Coordination program coordinates the recruitment, training, and ongoing support of volunteers. A focus of the program is the Volunteer Transport service which assists frail aged residents to access specialist medical appointments in regional and metropolitan centres. There are currently 40 volunteers actively involved in the program and 5 vehicles provided by Council for their use. Community Aged Care Packages A Community Aged Care Package (CACP) is a planned and coordinated package of community care services aimed at assisting a person who requires management of services because of their complex care needs. These packages are targeted to frail older people living in their own home who would otherwise be eligible for at least low-level residential care. Council provides such packages as a member of the Loddon Mallee Community Services Officers Consortium. Council HACC staff also provide community care services under brokerage arrangements to a range of health service agencies.
Buloke Shire Council 2006/2007 Annual Report 25
YOUTH SERVICES Council was successful in obtaining funding from the State Government provided Youth Participation and Access Program to employ a part time Youth Officer. The Uniting Church in Australia identified the need for a dedicated Youth Worker and entered in a partnership arrangement with Council to upgrade the appointment to a full time position.
The Youth Officer commenced in February 2007 and has worked with young people to increase their life skills, knowledge and confidence so that they can actively participate in their community and advocate for their needs.
Youth Groups Each of the five major towns in the Shire has a functional youth group which meets with Council’s Youth Officer on a regular basis.
The youth groups consult with the young people in their communities and provide feedback, information and support to the Youth Officer. They pursue the issues that are important to the young people in their communities and have been involved with projects that include youth rooms, holiday activities, skate parks, fundraising and FreeZA events.
FreeZA FreeZA is a State Government initiative that targets young people between the ages of 14 and 18 years. The program funds local government to establish local youth committees to become directly involved in organising and implementing entertainment and cultural events according to their needs and desires. A FreeZA event is alcohol and drug free and typically involves a live band, dance party or similar.
FreeZA events hosted in Buloke this year included ‘Haywire’ in Donald, ‘Rampage’ in Birchip, ‘Disturbing the Peace’ in Wycheproof, ‘Paranoia’ in Charlton, and the ‘Night Under The Stars’ event on New Year’s Eve in Sea Lake.
Transition to Work Active Youth in Buloke, in conjunction with the NCLLEN, facilitated a Transition to Work night in Charlton for young people leaving school. This evening provided young people an opportunity to network with other young people in the area about the next stage of their life.
Networking/Partnerships Active Youth in Buloke is involved with youth networks and agencies in the region. These networks included the SMPCP (Southern Mallee Primary Care Partnership), NCLLEN and MMLLEN (Local Learning and Employment Networks), Mallee Regional Youth Affairs Network, Swan Hill and Wimmera Youth Networks and Wimmera and NDCH School Focus Youth Services.
The Buloke Youth Reference Group, which is made up of representatives from schools and agencies that provide services for youth in Buloke, is to be re-convened in 2007/08 to review and update the Buloke Youth Strategy which was developed in 2002.
Active Youth in Buloke works in partnership with schools in the Shire and has been involved in: agency planning days, Health programs, Advance, PACT training, Peer Skills, employability skills workshops, health careers expo, party safe day, and presentations from guest speakers addressing motivation, safe partying and domestic violence.
Buloke Shire Council 2006/2007 Annual Report 26
ECONOMIC DEVELOPMENT Despite 2006/07 being a tough year due to drought and variable weather conditions economic development has remained a major focus of Council.
A major focus for the year has been coordination of the distribution of Drought Funding from the Sate Government. $300,000 was received by Council from this source.
$75,000 from this pool of funds was distributed by Council to the 10 Township Forums and Progress Associations active across the Shire to fund small local initiatives. The remaining $225,000 was distributed to the following projects following a call for proposals from community based organisations:
Berriwillock Community Development Group Shade sail - Community Park & Main Street Birchip Community Leisure Centre Inc Build decking for viewing area in front of Leisure Centre Birchip Community Forum Storm water pipes for park watering system Birchip Playgroup Build safety fence Charlton Bowling Club Purchase & install electric stove & water tank Charlton Shire Hall Committee of Management Install air conditioning Charlton Park 2020 Committee Employ consultant for sporting and community groups Charlton Rotary Club Upgrade BBQ area at Rotary Park Gordon Park Committee of Management Tank & stand plus camp kitchen Coonooer Bridge Community Centre Air conditioner and garden Culgoa Community Co-op Ltd Toilets, landscaping and gardening Donald Lions Club Relocate rail carriages Donald Kindergarten Inc To tender stage a children’s precinct Nandaly Tennis Club & Golf Club Complete the Nandaly Sporting Club & Tennis Club Nullawil Historical Society Install lockable shed Advance Sea Lake Inc a) Sea Lake Preschool Inc. Construct a shade sail Advance Sea Lake Inc b) Sea Lake Pool Committee Install concrete ramp for disabled, elderly & prams Advance Sea Lake Inc c) Sea Lake Community Centre Erect colourbond shed for secure storage Wycheproof Hall Committee To convert store room to supper room Wycheproof Lions Club Fencing and signage
Council also received $50,000 from the Department of Victorian Communities to fund events to build community strength and resilience. The following events were funded: Funding of special events and Christmas decorations in each town $38,000 Buloke Family fun day $4,500 Bachelor and Spinsters Ball - Birchip $2,000 Off Road Racing - Donald $2,000 Off Road Racing - Sea Lake $2,000 Donald/Wycheproof/Charlton Racing $1,500
Buloke Shire Council 2006/2007 Annual Report 27
The Economic Development Unit also was involved in the following projects: • Water bores for fresh and saline ground water including production of seaweed, salt-water fish and fodder from saline ground water. • Group Self-Build Project (no deposit housing - assisting people in rental housing to build and own their own home. • Intensive Agricultural Industries - Turkeys, Poultry, Pigs, Squab, Quail, Sheep, Emu and meat processing. • Feed lots for sheep and cattle. • Sunrise Industries Biodiesel, Olive's Farm Forestry, Mineral Sands, Fish Farming and alternative crops. • Economic Development Strategy. • Contact point for Sister Council, Hobson Bay City Council. • Off road racing events ¾ Sea Lake Mallee Rally ¾ Victorian off Road Racing – Donald 500 • Tourism and tourism development including Great Murray Outback Tourist Route and brochures.
Projects that have attracted funding from grants and other schemes this year include: • Charlton Golden Grain Museum Heritage Victoria • Tchum Lake Redevelopment Small Town Development Fund • Tchum Lake Redevelopment Dept of Transport and Regional Services • Birchip History Museum Heritage Grant • Buloke Shire Council Chambers (Donald) Heritage Grant • Sea Lake Courthouse Heritage Grant • Donald Train Park Small Town Development Fund • Donald Town Space Small Town Development Fund • Birchip Memorial Park Redevelopment Small Town Development Fund • Community Building Initiative Dept for Victorian Communities • Nandaly Hall Small Town Development Fund • Green Lake Small Town Development Fund • Charlton Tennis Club 125 Years Event Funding • VORRA Easter Race Event Funding • Sea Lake Mallee Rally Event Funding • Charlton Travellers Rest Water Use Event Funding
The Economic Development Unit has also been involved in a number of tourism related projects, including the following: • Work with Hindmarsh, West Wimmera and Yarriambiack Shires to set up a North West Tourist association to stimulate East West tourism through Buloke Towns • Development of an events calendar on Council’s website • Introduction of a new GMOTR brochure to promote the towns along the highway as a stop over and be distributed nationally. • Production of town brochures. • Promotion of local events such as Agricultural shows, Buloke Family Fun Day, Baby Boomers Festival, Arts Festivals, Sea Lake Mallee Rally, Birchip B&S Ball, Charlton Cinema Promotion and Garden Expo.
Buloke Shire Council 2006/2007 Annual Report 28
URBAN RURAL FRIENDSHIP ALLIANCE A friendship alliance has been formed between Council and the Hobsons Bay City Council. The alliance is to share and create a greater understanding between city and country residents and their communities.
The exchange of ideas and skills has benefited staff and councillors of the two councils.
Hobsons Bay City Council and trader groups from within Hobsons Bay have shown an interest in and supported:
• Donald Chamber of Commerce and industry, • Advance Sea Lake Inc group. • Nullawil General Store, • Donald Primary School, • Wycheproof Resource Centre, • Birchip Forum, • Charlton Rex Theatre, and • Other local groups.
Each of the trader groups and schools in Hobsons Bay has shown an interest in supporting Buloke Shire towns, schools and forum groups.
HUMAN RESOURCES A complete review of Council’s Human Resource policies and procedures was completed in 2006/2007.
WORK COVER CLAIMS Eleven Work Cover claims were received during the last year. There was no pattern to the claims. All claims were investigated and action taken to improve work practices or modify work environments where required.
WORK COVER PREMIUMS Extensive work has continued to reduce Council’s Work Cover premiums which continue to be in excess of Local Government Sector averages. 2006/07 premiums reduced further from the previous year but continued effort is still required.
Premium Year State Average Buloke Shire Council Difference 06/07 2.5702% 3.7789% 1.2087% 05/06 2.9127% 4.8401% 1.9274% 04/05 2.0301% 6.3214% 4.2913%
Buloke Shire Council 2006/2007 Annual Report 29
RISK MANAGEMENT Buloke Shire Council has an established Risk Management Policy, Strategy and implementation plan, which clearly outlines Council’s commitment, and moral, financial and legal responsibility to effectively manage risk in all facets of the organisation. Achievements in 2006/07 included: • implementation of the risk management action plan, • completion of insurance audits, • development of the risk register, • the continued evolution of the Occupational Health and Safety Committee, and • liaison with WorkSafe throughout the audit process and compliance with notices.
Risk Management Insurance Audits It is a requirement of Buloke Shire Council’s insurers that appropriate risk management processes and practices are implemented throughout the organisation to minimise its exposure to asset and public liability insurance claims. Council is audited annually to determine compliance with the standards set by its insurers.
Results of the two audits undertaken in 2006/07 were poor and identified the need for improvements to recording keeping, tracking of complaint resolution and lack of an auditable inspection regime in some activity areas. An action plan to address these has been developed and is being implemented.
OCCUPATIONAL HEALTH & SAFETY COMMITTEE The Occupational Health and Safety (OH&S) Committee is designed to provide the opportunity for consultation with staff in safety matters throughout the workplace. This committee meets to discuss hazards identified within the workplace, trends associated with WorkCover Claims and to review and endorse OH&S policies and procedures. The committee meets monthly and consists of 12 active representatives.
Achievements of the committee in 2006/07 include: • Consultation on risk assessments for identified hazards within the workplace • Initiating CFA wildfire training for all who may be asked to enter a ‘fire zone’ • Consultation and support for all works depots and workshops to develop and maintain Hazardous Substance Registers as required by law. • Development of a new oil storage facility in the Birchip Depot • Development and implementation of equipment and associated strategies to prevent environmental hazards whilst replacing oil in machinery on the roadside. • Review of requirements for First Aid Kits throughout the organisation and implementation of a regular review and inspection procedure. • Review of road waste by-product storage facilities and the cleanup of current depot waste by-products.
Buloke Shire Council 2006/2007 Annual Report 30
INFORMATION AVAILABLE FOR INSPECTION
In accordance with Section 11 of the Local Government Regulations 2004, the following information is available for public inspection at the Shire Office, The Broadway, Wycheproof:
(a) Details of current allowances fixed for the Councillors under section 74 of the Act;
(b) Details of senior officers’ total salary packages for the current financial year and two previous years including the gross salary, the amount of the Council or employer contribution to superannuation, the value of any motor vehicle provided by the Council and the total value of any other benefits and allowances provided by the Council;
(c) Details of overseas or interstate travel, with the exception of interstate travel to a neighbouring municipality, undertaken in an official capacity by councillors or any member of Council staff in the previous 12 months including the names of the Councillors or members of Council staff and the date, destination, purpose and total cost of the overseas or interstate travel;
(d) Names of Council officers who were required to submit a return of interest during the financial year and the dates the returns were submitted.
(e) Names of Councillors who submitted returns of interest during the financial year and the dates the returns were submitted.
(f) Agendas for and minutes of ordinary and special meetings kept under section 93 of the Act except where such minutes relate to parts of meetings which have been closed to members of the public under section 89 of the Act;
(g) A list of all major committees established by Council and the purpose for which each committee was established;
(h) A list of all major committees established by the Council which were abolished or ceased to function during the financial year;
(i) Minutes of meetings of special committees established under section 86 of the Act except where such minutes relate to parts of meetings which have been closed to members of the public under section 89 of the Act;
(j) Applications for enrolment on the voters’ roll under Sections 12 and 13 of the Act for the immediate past roll and the next roll being prepared;
(k) Register of delegations kept under sections 87, 88 and 89 of the Act;
(l) Submissions received under section 223 of the Act during the previous 12 months;
(m) Agreements to establish regional corporations under section 196 of the Act;
(n) Register of all property, finance and operating leases involving land, buildings, plant, computer equipment and vehicles entered into by the Council as lessor or lessee that includes details of the name of the lessor or lessee and the term and the value of the lease; and
(o) Register of authorised officers appointed under section 224 of the Act.
Buloke Shire Council 2006/2007 Annual Report 31
FREEDOM OF INFORMATION STATEMENT
The Freedom of Information Act 1982 provides the public with access to Council documents.
The Act establishes a legally enforceable right for the community to access information in document form held by Council. Under Section 65AA “Report by Council” the following information is supplied for the period 1st July 2006 to 30th June 2007. a) Council did not receive any request for access to documents. b) There were no occasions arising where the applicant was not entitled to access a document pursuant to a request. c) The name and designation of the officer with authority to make a decision in relation to a request is:
Ms Gaynor Doreian Manager Administration and Process Improvement, Telephone: (03) 54780109 or email: [email protected]
Material Prepared by Council
The public may inspect free of charge, all the information prescribed under Part 10 of the Local Government Regulations 1990, including Council agendas and minutes, planning schemes, local laws, pecuniary interest register, town planning register, annual reports, corporate plan, yearly financial statements and council budget.
Procedures in Requesting Access to a Document
The first approach to Council would be a simple request by telephone, in person or in writing. Unless reasons exist for not doing so, Council will make documents readily available. If an applicant wishes to make a formal application under the Freedom of Information legislation, a written application must be made together with a fee of $21, on the prescribed form available from Council’s Freedom of Information Officer.
Buloke Shire Council 2006/2007 Annual Report 32
EQUAL OPPORTUNITY POLICY STATEMENT
The Buloke Shire Council is committed to providing workplace harmony and refuses to tolerate workplace harassment or any form of discrimination or offensive behaviour.
Council recognises the value of all staff and will select or promote individuals for employment, training and career advancement on the basis of personal merit in fair and open competition according to skills, qualifications, knowledge and efficiency relevant to the position involved.
All staff are required to treat colleagues and members of the public with courtesy and sensitivity to their rights, duties and aspirations.
The Human Resources Officer will be the Equal Opportunity Contact Officer to assist all persons in resolving problems, thus creating workplace harmony, positive morale and productive environment for all.
Buloke Shire Council 2006/2007 Annual Report 33
BEST VALUE STATEMENT
Council undertook no Best Value Reviews in 2006/07.
However by 30 June 2008 Council will have developed a business planning model for Best Value. Under this structure the Council will develop a Business Plan for each of its service areas to use as a vehicle to identify and document function and service improvement opportunities.
The business planning model will also fit within Council’s overall planning framework as these service plans will link to the Council Plan, which will in turn link into the 10 Community Plans currently being reviewed/developed as part of the Community Building Initiative referenced elsewhere in this Report.
Council is also undertaking a review of all of its key strategic documents to identify impacts on future service delivery plans and opportunities for improvement.
Buloke Shire Council 2006/2007 Annual Report 34
EMPLOYEE STATISTICS
Employees by Employment Type
FEMALE MALE TOTAL No % No % No % Full Time 16 12 78 78 94 40 Part Time 119 88 22 22 141 60 TOTAL 135 100 100 100 235 100
Employees by Council Departments
FEMALE MALE TOTAL No % No % No % Corporate Services 32 24 6 6 38 16 Community Services 84 62 4 4 88 37 Technical Services 18 13 86 86 104 44 Economic Services 0 0 3 3 3 1 Recreation & Culture 1 1 1 1 2 1 TOTAL 135 100 100 100 235 100
Employees by Employment Type and Council Departments
FEMALE MALE TOTAL Full Part Full Part Full Part Time Time Time Time Time Time Corporate Services 11 21 6 0 17 21 Community Services 2 82 2 2 4 84 Technical Services 3 15 67 19 70 34 Economic Services 0 0 2 1 2 1 Recreation & Culture 0 1 1 0 1 1 TOTAL 16 119 78 22 94 141
Buloke Shire Council 2006/2007 Annual Report 35
NATIONAL COMPETITION POLICY STATEMENT
Certification by Chief Executive Officer
Buloke Shire Council has complied with the requirements of the Local Government Improvement Incentive Program in respect of:
• National Competition Policy (in accordance with National Competition Policy and Local Government – A revised Statement of Victorian Government Policy (January 2002): for the financial year 2006/07 as set out below:
A. Trade Practices Compliance State whether the Council is compliant or non-compliant. Compliant If non-compliant, justify or cite actions to redress.
B. Local Law Compliance State whether the Council is Compliant compliant or non-compliant. If non-compliant, justify or cite actions to redress. C. Competitive Neutrality Compliance Compliant State whether the Council is compliant or non-compliant for all significant businesses, If non-compliant, justify or cite actions to redress.
I certify that:
a) this statement has been prepared in accordance with the 2005/06 Local Government Improvement Incentive guidelines issued in August 2006 for reporting on the following criteria: - National Competition Policy in accordance with National Competition Policy and Local Government – A Revised Statement of Victorian Government Policy (January 2002), and
b) this statement presents fairly the Council’s implementation of the National Competition Policy.
Buloke Shire Council 2006/2007 Annual Report 36
Grants and Donations
Community Development Grants The grants and donations aimed to enhance community development initiatives throughout the municipality. The following is a list of grant recipients of donations and business incentives for 2006/2007:
Organisation Grant/Donation
Donald Men’s Shed 100.00 Emergency services 200.00 Birchip Art Show 300.00 Business Incentive Polishing Room Donald 250.00 Business Incentive Treasure Chest Wycheproof 250.00 Business Incentive RJ Adlem Plumbing Charlton 250.00 Business Incentive Cheryl Durie Wycheproof 250.00 Business Incentive Nici and David Rose 250.00 Business Incentive Sea Lake 250.00 Wycheproof Show 100.00 Charlton Show 100.00 Sea Lake Art Show 150.00 Sea Lake Petanque Club 100.00 Donald Show 100.00 Business Incentive Axeman Café 250.00 Council Donation Donald Christmas Event 500.00 Council Donation Nullawil Christmas Event 500.00 Council Donation Culgoa Christmas Event 500.00 Council Donation Charlton Christmas Event 500.00 Council Donation Birchip Christmas Event 500.00 Council Donation Wycheproof Christmas Event 500.00 Council Donation Sea Lake Christmas Event 500.00 Council Donation Wycheproof School 100.00 Council Donation Donald School 100.00 Council Donation Charlton School 100.00 Council Donation Birchip School 100.00 Council Donation Tyrell School 100.00 Council Donation Wycheproof 100.00 Business Incentive Mad 250.00 Birchip Cropping group 5,500.00 Murray to Moyne Bus Donation (In-kind) 400.00 Business incentive Nullawil General Store 250.00 Apprenticeship Recognition Night 200.00 Business Incentive – Bodybiz 250.00
Total $13,850.00
Buloke Shire Council 2006/2007 Annual Report 37
MEMBERSHIPS & PERFORMANCE INDICATORS
Organisations that Council is a Member of and Membership Fees:
Organisation Membership Fee
Victorian Employers Chamber of Commerce and Industry 2,401.00
Wimmera Regional Library 89,142.00
Municipal Association of Victoria 8,481.00
Livestock Saleyards Association of Victoria Inc 1,007.00
North West Municipalities Association 400.00
Central Murray Regional Waste Management 3,850.00
Wimmera Regional Transport Group 1,802.00
$107,083.00
Buloke Shire Council 2006/2007 Annual Report 38
Victorian Local Government Performance Indicators
The Victorian Local Government Indicators are a set of measures that the Victorian Government requires Councils to report on.
2007 Performance Indicators Actual Actual 2006/2007 2005/2006
1 Average Rates & Charges per assessment $1,139.09 $1,056.54
2 Average Rates & Charges per residential $ 776.86 $ 705.14 assessment
3 Average Liabilities per Assessment $ 728.55 $ 728.55
4 Operating result per assessment $ 142.92 $ 142.92
5 Average Operating expenditure per assessment $2,370.05 $2,370.05
6 Community Satisfaction Rating for 57 62 Overall Performance
7 Average capital expenditure per assessment $ 828.27 $ 828.27
8 Renewal (Capital works) 81.62% 81.62%
9 Renewal & Maintenance 130.62% 130.62%
10 Community Satisfaction Rating for Council's Advocacy 66 66 & Community Representation on Key Local Issues.
11 Community Satisfaction Rating for Council's 60 60 Engagement in Decision Making on Key Local Issues.
Buloke Shire Council 2006/2007 Annual Report 39
COMMUNITY SATISFACTION SURVEY The Office of Local Government undertakes an annual state-wide survey of 30,000 Victorians (350 per municipality) The purpose of these telephone surveys is to measure community satisfaction with Council services. The main focus of the survey was on Council performance and the respondent's assessment of the importance of Council representation as well as an overall perception of performance, its trends and any issues which may have impacted the perception.
Assessment Base Indexed Indexed Mean Mean 2007 2006 1 Community satisfaction rating for overall performance generally of the Council. 57 62
2 Community satisfaction rating for council’s advocacy and community representation on key local issues 61 66 (Advocacy)
3 Community satisfaction rating for council’s engagement in decision making on key local issues. 54 70 (Community Engagement)
4 Community satisfaction rating for council’s interaction and responsiveness in dealing with the public. 74 74 (Customer Contact)
5 Community satisfaction rating for overall performance in key service areas. 66 66 (Individual service group ratings shown below).
2.1 Local Roads & Footpaths 52 48
2.2 Health & Human Services 75 73
2.3 Recreational Facilities 71 70
2.4 Appearance of Public Areas 71 70
2.5 Traffic Management & Parking Facilities 68 70
2.6 Waste Management 73 73
2.7 Enforcement of By Laws 64 65
2.8 Economic Development 57 57
2.9 Town Planning Policy & Approvals 65 64
Buloke Shire Council 2006/2007 Annual Report 40
COUNCIL CONTACTS
Postal Address:
PO Box 1 WYCHEPROOF Vic 3527
Email: [email protected] Website: www.buloke.vic.gov.au
Wycheproof Office - Corporate Administration & Finance
Phone: 03 5493 7400 Fax: 03 5493 7395
Acting Chief Executive Officer Warwick Heine Executive Assistant Yvonne Keane Manager Financial Operations Bill Ryan Manager Community Services Bill Keane Manager Administration & Process Gaynor Doreian Improvement . Customer Service Karyn Hutcheon
Birchip Office - Technical Services
Phone: 03 5492 2200 Fax: 03 5492 2630
Manager Works and Construction Warren Hemopo Manager Assets and Infrastructure Ian Palmer Environmental Compliance Officer Anna Arkoudis Technical Administrative Officer Patricia Arnel Customer Service Carol Reid / Janine Harrington
Donald Office - Planning, Building, Health & Development
Phone: 03 5497 1300 Fax: 03 5497 1419
Building Fred Brocklebank Environmental Health Officer Hayley Sutton Manager Community & Business Development Graeme Harris Customer Service Eleanor Grant / Mitzi Black
Charlton Office
Phone: 03 5491 1755 Fax: 03 5491 1723 Customer Service Heather O’Connor
Sea Lake
Phone: 03 5070 1218 Fax: 03 5070 1389 Customer Service Jean Alday / Graeme Blackshaw
Animal Control Phone: 03 5493 7400 Mobile: 0419 100 744 A.H 03 5493 7696 Enforcement & Municipal Fire Prevention Officer John Groves
Buloke Shire Council 2006/2007 Annual Report 41
COMPARISON REPORT
STANDARD STATEMENTS
for
BULOKE SHIRE COUNCIL’S
ANNUAL REPORT
ACTUAL v BUDGET
FOR THE YEAR ENDED 30 JUNE, 2007
Buloke Shire Council 2006/2007 Annual Report 42
Buloke Shire Council 2006/2007 Annual Report 43 BULOKE SHIRE COUNCIL STANDARD INCOME STATEMENT COMPARISON REPORT YEAR ENDED 30 JUNE 2007
Variation Explanation Report Material variances considered to be either 10% or $100,000 of comparative values.
Ref Item Commentary Revenues 1 Government Grants Unbudgeted capital grants funding, included $999,000 Auslink projects, Roads to Recovery $194,000 and Community Drought projects of $273,000. 2 Interest Increase in interest revenue attributed to higher interest rates available. 3 Statutory Fees and User Charges Variance due to unbudgeted Client contributions of $80,000, additional Animal Registration fees of $8,000, Planning Permits $10,000 and miscellanoeus income of $30,000. 4 Other Increase due to $61,000 unbudgeted valuation contribution received, together with $18,000 of additional scrap metals revenue. Budget figure includes Internal Plant Hire and Labour Oncost of $3,224,000.
Expenses 5 Employee Costs Variance explained through unfilled staff positions during the year.
6 Materials and Consumables Primarily, due to reduction in goods and services required. 7 Other Variance due to distribution of unbudgeted CommunityDrought Project funding, together with $1,457,000 of Internal Plant Hire. Delay in change-over of old street sweeper. New vehicle to be purchased in 2007/08. Old machine 8 Proceeds from Sale of assets written off following a fire. Delay in change-over of old street sweeper. New vehicle to be purchased in 2007/08. Old machine 9 Written Down Value of assets sold written off following a fire.
44 BULOKE SHIRE COUNCIL STANDARD BALANCE SHEET AS AT 30 JUNE 2007
Actual 2007 Budget 2007 Variances Ref CURRENT ASSETS $'000 $'000 $'000 % Cash assets 4,510 3,243 1,267 39 10 Receivables 1,210 950 260 27 11 Accrued Income 45 100 (55) (55) 12 Prepayments 468 100 368 368 13 Other financial assets 198 680 (482) (71) Total current assets 6,431 5,073 1,358 27
NON CURRENT ASSETS Receivables 4 10 (6) (60) 11 Investments in associates 143 152 (9) (6) Property, Infrastructure,Plant and Equipment 160,625 160,861 (236) (0) Total non-current Assets 160,772 161,023 (251) (0)
TOTAL ASSETS 167,203 166,096 1,107 1
CURRENT LIABILITIES Payables 854 1,456 (602) (41) 14 Trust Funds 36 40 (4) (10) 15 Employee benefits 910 1,402 (492) (35) 16 Provisions 173 110 63 57 Interest bearing liabilities 202 179 23 13 17 Total current liabilities 2,175 3,187 (1,012) (32)
NON CURRENT LIABILITIES Employee benefits 143 89 54 61 16 Provisions 646 511 135 26 18 Interest bearing liabilities 297 307 (10) (3) Total non current liabilities 1,086 907 179 20
TOTAL LIABILITIES 3,261 4,094 (833) (20)
NET ASSETS 163,942 162,002 1,940 1
EQUITY Accumulated surplus 53,544 51,758 1,786 3 19 Asset Revaluation Reserves 110,393 110,239 154 0 20 Other reserves 5 5 - - TOTAL EQUITY 163,942 162,002 1,940 1
45 BULOKE SHIRE COUNCIL STANDARD BALANCE SHEET COMPARISON REPORT YEAR ENDED 30 JUNE 2007
Variation Explanation Report Material variances considered to be either 10% or $100,000 of comparative values. Ref Item Commentary 10 Cash assets Greater cash balance caused by additional grants received and incomplete capital works projects carried forward. 11 Receivables Variance due to grant income for completed projects invoiced, but funding not yet received. 12 Accrued Income Less requirement to accrue at 30 June, as most 2006/07 income had been received by June 30. 13 Prepayments Prepayments decreased compared to budget, due to reduction in 2007/2008 expenses paid prior to 30 June 2007.
14 Payables Uncompleted capital works carried forward to 2007/08, contributes substantially to this variance. 15 Trust Funds Capital grant funding for non-Shire projects is being held awaiting project works expenditure. 16 Employee benefits Retirement, resignation and departures of staff, reduced the liability.
17 Interest bearing liabilities Current liability for loans greater than provided for in budget. 18 Provisions Variance due to increase in non-current long service liability. 19 Accumulated Surplus Favourable variance attributed to unbudgeted Auslink funding. 20 Asset Revaluation Reserve Revaluation of Bridges and Other Infrastructure provided an unbudgeted increase.
46 BULOKE SHIRE COUNCIL STANDARD STATEMENT OF CASH FLOWS YEAR ENDED 30 JUNE 2007 Actual 2007 Budget 2007 Variances $'000 $'000 $'000 % Ref. Receipts General Rates 6,543 6,437 106 2 20 Operating grants and contributions 3,778 3,773 5 0 Capital grants and contributions 4,496 2,996 1,500 50 21 Interest 210 198 12 6 User charges 1,362 1,201 161 13 Net GST refund/payment 54 (8) 62 (775) 22 Statutory fees 96 93 3 3 Other revenue 519 793 (274) (35) Total Receipts 17,058 15,483 1,575 10
Payments Employee costs (6,204) (5,484) (720) 13 23 Materials and consumables (3,336) (3,506) 170 (5) External contracts (1,316) (1,378) 62 (4) Utilities (488) (499) 11 (2) Finance costs (68) (72) 4 (6) Other expenses (742) (822) 80 (10) Total Payments (12,154) (11,761) (393) 3
Net cash provided by operating activities 4,904 3,722 1,182 32
Cash Flows from Investing Activities Proceeds from Sale of Property, Plant and Equipment 253 485 (232) (48) 24 Repayment of Loans and Advances 10 10 - - 25 Payments for Property, Plant and Equipment (4,878) (5,192) 314 (6) 26 Net Cash Provided in Investment Activities (4,615) (4,697) 82 (2)
Cash Flows from Financing Activities Trust Funds & Deposits (14) - (14) 0 27 Repayment of Borrowings (460) (477) 17 (4) 28 Net Cash Inflow (Outflow) from Financing Activities (474) (477) 3 (1)
Net Increase (Decrease) in cash and cash equivalents (185) (1,452) 1,267 (87) Cash and cash equivalents at beginning of year 4,695 4,695 - - Cash and cash equivalents at end of year 4,510 3,243 1,267 39
47 BULOKE SHIRE COUNCIL STANDARD STATEMENT OF CASH FLOWS COMPARISON REPORT YEAR ENDED 30 JUNE 2007
Variation Explanation Report Material variances considered to be either 10% or $100,000 of comparative values. Ref Item Commentary
20 General Rates Reflects reduction in Rates and Charges debtors. 21 Capital grants and contributions Unbudgeted capital grants funding, included $999,000 Auslink projects, Roads to Recovery $194,000 and Community Drought projects of $273,000. 22 Net GST refund/payment Variance represents the net variance between the claimable and payable GST at year-end. 23 Employee costs Increase was a result of retrospective adjustment to some allowances and senior management changes. 24 Proceeds from Sale of Property, Plant and Equipment New vehicle to be purchased in 2007/08. Old machine written off following a fire. 25 Repayment of Loans and Advances Greater rate of repayment. 26 Payments for Property, Plant and Equipment Variance due to carried forward capital projects to 2007/08. 27 Trust Funds & Deposits Unbudgeted capital grant funding for non-Shire projects received. 28 Repayment of Borrowings Budget estimate was greater than actual expenditure.
48 BULOKE SHIRE COUNCIL STANDARD STATEMENT OF CAPITAL WORKS YEAR ENDED 30 JUNE 2007 Actuals Budget 2007 2006/2007 Variances CAPITAL WORKS AREA $ $ $ % Ref Roads 2,259 2,329 70 3 Plant and Equipment 727 698 (29) (4) Buildings 836 1,016 180 18 1 Drainage 382 314 (68) (22) 2 Furniture and Equipment 285 385 100 26 3 Other Infrastructure 389 450 61 14 4
Total Capital Works 4,878 5,192 314 6
Represented by : Renewal 3,385 3,956 571 14 Upgrade 346 300 (46) (15) New assets 1,147 936 (211) (23)
Total Capital Works 4,878 5,192 314 6
Property, Plant and Equipment and Infrastructure movement Reconciliation
The movement between the previous year and current year in property, plant and equipment and infrastructure as shown in the Balance Sheet links to the net of the following items:
Total capital works 4,878 4,941 63 1 Asset revaluation movement 691 50 (641) (1,282) Depreciation (5,321) (5,268) 53 (1) Written down value of assets sold (257) (210) 47 (22)
Net movement in property, plant and (9) (487) (478) 98 equipment and infrastructure
49 BULOKE SHIRE COUNCIL STANDARD STATEMENT OF CAPITAL WORKS COMPARISON REPORT YEAR ENDED 30 JUNE 2007
Variation Explanation Report Material variances considered to be either 10% or $100,000 of comparative values. Ref Item Commentary
1 Buildings Some Shire office building works carried forward to 2007/2008.
2 Drainage Additional grant funded works.
3 Furniture and Equipment Computer software not yet acquired.
4 Other Infrastructure Playground works carried forward.
50 BULOKE SHIRE COUNCIL
Notes to the Financial Report for the year ended 30 June 2007
Notes to the Standard Statements
1(a). Basis of preparation of Standard Statements
These statements and supporting notes form a special purpose financial report prepared to meet the requirements of the Local Government Act 1989 and the Local Government (Finance and Reporting) Regulations 2004.
The Standard Statements have been prepared on accounting bases consistent with those used for the General Purpose Financial Statements and the Budget. The results reported in these statements are consistent with those reported in the General Purpose Financial Statements.
The Standard Statements are not a substitute for the General Purpose Financial Statements, which are included on pages 1 to 4 of the Annual Report. They have not been prepared in accordance with all Australian Accounting Standards or other authoritative Professional Pronouncements.
The Standard Statements compare council's financial plan, expressed through its budget, with actual performance. The Local Government Act 1989 requires explanation of any material variances. The Council has adopted a materiality threshold of 10% variance or $100,000.
The budget figures included in the Statements are those of the revised budget, adopted by Council on 29th February 2007. The budget was based on assumptions that were relevant at the time of adoption of the budget. The Council set guidelines and parameters for revenue and expense targets in this budget in order to meet council's business plan and financial performance targets for both the short and long term.
Detailed information on the actual financial results are contained in the General Purpose Financial Statements on pages 1 to 40. The detailed budget can be obtained by contacting council or through the council's website. The Standard Statements must be read with reference to these documents.
1(b). Basis of preparation of Standard Statements
The Standard Income Statement compares actual result with the Revised Budget for 2006/07, while the Income Statement has been prepared to give a comparison with the previous year. Consequently some line items have the same description while actual figures in one statement may not agree with the other. Major Variances are listed below: Standard Statement Financial Statement $'000 $'000 Rates and Charges 6520 7,264 Garbage charges included with rates on Financial Statement User Charges 1458 648 Garbage charges included with rates on Financial Statement Statutory Fees 96 38 Some fees included with User Charges on Financial Statement
This note also applies to the Standard Statement of Cash Flows. The other major variance in the Standard Statement of Cash Flows, is that GST has not been included on the relevant items on the Standard Statement. This is included as part of Government Receipts.
51
Buloke Shire Council 2006/2007 Annual Report 53 BULOKE SHIRE COUNCIL ANNUAL FINANCIAL REPORT For the Year Ended 30 June 2007
54 FINANCIAL REPORT Page Financial Statements Income Statement 1 Balance Sheet 2 Statement of Changes in Equity 3 Cash Flow Statement 4 Notes to Financial Statements Introduction 5 Note 1 Significant accounting policies 5 Note 2 Change in Accounting Policy 13 Note 3 Rates and charges 14 Note 4 Statutory fees and fines 14 Note 5 User fees 14 Note 6 Grants 15 Note 7 Contributions 16 Note 8 Reimbursements 16 Note 9 Other revenue 16 Note 10 Employee benefits 16 Note 11 Materials and services 17 Note 12 Bad and doubtful debts 17 Note 13 Depreciation and amortisation 17 Note 14 Other expenses 18 Note 15 Finance costs 18 Note 16 Investments in associates 18 Note 17 Cash and cash equivalents 18 Note 18 Trade and other receivables 19 Note 19 Inventories 19 Note 20 Property, plant and equipment, infrastructure 20 Note 21 Trade and other payables 25 Note 22 Trust funds 25 Note 23 Provisions 26 Note 24 Interest bearing loans and borrowings 27 Note 25 Reserves 28 Note 26 Reconciliation of cash flows from operating activities to surplus or deficit 29 Note 27 Reconciliation of cash and cash equivalents 29 Note 28 Financing arrangements 29 Note 29 Restricted assets 29 Note 30 Superannuation 30 Note 31 Commitments 31 Note 32 Operating leases 32 Note 33 Contingent liabilities and contingent assets 32 Note 34 Financial instruments 33 Note 35 Auditors' remuneration 35 Note 36 Events occurring after balance date 35 Note 37 Related party transactions 36 Note 38 Revenue, expenses and assets by functions/activities 37 Note 39 Financial ratios (Performance indicators) 38 Note 40 Capital expenditure 40 Note 41 Correction of Prior Period Errors 40 Performance Statement 41 Certification of the Financial Report 43
55 BULOKE SHIRE COUNCIL 2006/2007 Financial Report
Income Statement For the Year Ended 30 June 2007
Note 2007 2006 $'000 $'000
Revenue Rates and charges 3 7,264 6,721 Statutory fees and fines 43834 User fees 5 653 577 Contributions - Cash 7 113 99 Grants - Recurrent 6 3,781 3,494 Grants - Non-recurrent 6 4,496 3,712 Reimbursements 8 18 523 Other revenue 9 2,413 583
Total revenue 18,776 15,743
Expenses Employee benefits 10 (6,720) (5,456) Materials and services 11 (5,522) (5,376) Depreciation and amortisation 13 (5,321) (3,899) Other expenses 14 (418) (130) Finance costs 15 (102) (113)
Total expenses (18,083) (14,974)
Net gain(loss) on disposal of property, plant and equipment, infrastructure 53 133 Share of net profits(losses) of associates and joint ventures accounted for by the equity method 16 0 1
Surplus(deficit) for the period 746 903
The accompanying notes form part of this financial report
1 BULOKE SHIRE COUNCIL 2006/2007 Financial Report
Balance Sheet As at 30 June 2007
Note 2007 2006 $'000 $'000
Assets Current assets Cash and cash equivalents 17 4,510 4,695 Trade and other receivables 18 1,723 1,609 Inventories 19 198 197 Total current assets 6,431 6,501
Non-current assets Trade and other receivables 18 4 10 Investments in associates accounted for using the equity method 16 143 152 Property, plant and equipment, infrastructure 20 160,625 161,097 Total non-current assets 160,772 161,259 Total assets 167,203 167,760
Liabilities Current liabilities Trade and other payables 21 854 1,327 Trust funds and deposits 22 36 50 Provisions 23 1,083 1,593 Interest-bearing loans and borrowings 24 202 473 Total current liabilities 2,175 3,443
Non-current liabilities Provisions 23 789 674 Interest-bearing loans and borrowings 24 297 486 Total non-current liabilities 1,086 1,160 Total liabilities 3,261 4,603
Net Assets 163,942 163,157
Equity Accumulated surplus 53,544 52,963 Reserves 25 110,398 110,194
Total Equity 163,942 163,157
The accompanying notes form part of this financial report
2 BULOKE SHIRE COUNCIL 2006/2007 Financial Report
Statement of Changes in Equity For the Year Ended 30 June 2007
Asset Accumulated Revaluation Other Note Total Surplus Reserve Reserves 2007 2007 2007 2007 2007 $'000 $'000 $'000 $'000
Balance at beginning of the financial year 163,157 52,963 110,189 5 Surplus(deficit) for the year 746 746 - - Correction of prior period errors 41 (165) (165) Net asset revaluation increment(decrement) 25(a) 204 - 204 - Balance at end of the financial year 163,942 53,544 110,393 5
Asset Accumulated Revaluation Other Total Surplus Reserve Reserves 2006 2006 2006 2006 2006 $'000 $'000 $'000 $'000
Balance at beginning of the financial year 142,905 52,060 90,840 5 Surplus(deficit) for the year 903 903 - - Net asset revaluation increment(decrement) 25(a) 19,349 - 19,349 - Balance at end of the financial year 163,157 52,963 110,189 5
The accompanying notes form part of this financial report
3 BULOKE SHIRE COUNCIL 2006/2007 Financial Report Cash Flow Statement For the Year Ended 30 June 2007 2007 2006 Inflows/ Inflows/ (Outflows) (Outflows) Note $'000 $'000 Cash flows from operating activities
Rates 7,193 6,723 Statutory fees and fines 38 34 User charges and other fines (inclusive of GST) 712 616 Grants (inclusive of GST) 8,917 7,407 Contributions (inclusive of GST) 124 95 Reimbursements (inclusive of GST) 19 722 Interest 210 220 Rents (inclusive of GST) 44 46 Other receipts (inclusive of GST) 610 269 Net GST refund/payment (41) (160) Payments to suppliers (inclusive of GST) (5,841) (5,363) Payments to employees (including redundancies) (6,204) (5,327) Finance costs (508) (113) Other payments (369) (130) Net cash provided by (used in) operating activities 26 4,904 5,039
Cash flows from investing activities
Payments for property, plant and equipment, infrastructure (4,878) (5,233) Proceeds from sale of property, plant and equipment, infrastructure 253 409 Repayment of loans and advances from community organisations 10 29 Net cash provided by (used in) investing activities (4,615) (4,795)
Cash flows from financing activities
Trust funds and deposits 22 (14) 0 Proceeds from interest bearing loans and borrowings 0 286 Repayment of interest bearing loans and borrowings (460) (737) Net cash provided by (used in) financing activities (474) (451)
Net increase (decrease) in cash and cash equivalents (185) (207) Cash and cash equivalents at the beginning of the financial year 4,695 4,902
Cash and cash equivalents at the end of the financial year 27 4,510 4,695
Financing arrangements 28 600 600
Restrictions on cash assets 29 1,454 1,150
The accompanying notes form part of this financial report
4 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Introduction
(a) The Buloke Shire Council was established by an Order of the Governor in Council on 20 January 1995 and is a body corporate. The Council's main office is located at 367 Broadway, Wycheproof, Victoria 3527. (b) The purpose of the Council is to: - provide for the peace, order and good government of its municipal district; - to promote the social, economic and environmental viability and sustainability of the municipal district; - to ensure that resources are used efficiently and effectively and services are provided in accordance with the Best Value Principles to best meet the needs of the local community; - to improve the overall quality of life of people in the local community; - to promote appropriate business and employment opportunities; - to ensure that services and facilities provided by the Council are accessible and equitable; - to ensure the equitable imposition of rates and charges; and - to ensure transparency and accountability in Council decision making.
The following information is provided here: External Auditor - Auditor-General of Victoria Bankers - Bendigo Bank Website address - www.buloke.vic.gov.au
This financial report is a general purpose financial report that consists of an Income Statement, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement, and notes accompanying these financial statements. The general purpose financial report complies with Australian Accounting Standards, other authoritative pronouncements of the Australian Accounting Standards Board, the Local Government Act 1989, and the Local Government (Finance and Reporting) Regulations 2004.
Note 1 Significant accounting policies
(a) Basis of accounting
This financial report has been prepared on the accrual and going concern bases.
This financial report has been prepared under the historical cost convention, except where specifically stated in notes 1(g), 1(i), and 1(k).
Unless otherwise stated, all accounting policies are consistent with those applied in the prior year. Where appropriate, comparative figures have been amended to accord with current presentation, and disclosure has been made of any material changes to comparatives.
All entities controlled by Council that have material assets or liabilities, such as Special Committees of Management, have been included in this financial report. All transactions between these entities and the Council have been eliminated in full. Details of entities not included in this financial report based on their materiality are detailed in note 44.
5 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 1 Significant accounting policies (cont.)
(b) Change in accounting policies
There has been no changes in this accounting period to policies that would impact on the Financial Statements.
(c) Revenue recognition
Rates, grants and contributions
Rates, grants and contributions (including developer contributions) are recognised as revenues when the Council obtains control over the assets comprising these receipts.
Control over assets acquired from rates is obtained at the commencement of the rating year as it is an enforceable debt linked to the rateable property or, where earlier, upon receipt of the rates.
A provision for doubtful debts on rates has not been established as unpaid rates represents a charge against the rateable property that will be recovered when the property is next sold.
Control over granted assets is normally obtained upon their receipt (or acquittal) or upon earlier notification that a grant has been secured, and are valued at their fair value at the date of transfer.
Income is recognised when the Council obtains control of the contribution or the right to receive the contribution, it is probable that the economic benefits comprising the contribution will flow to the Council and the amount of the contribution can be measured reliably.
Where grants or contributions recognised as revenues during the financial year were obtained on condition that they be expended in a particular manner or used over a particular period and those conditions were undischarged at balance date, the unused grant or contribution is disclosed in note 6. The note also discloses the amount of unused grant or contribution from prior years that was expended on Council’s operations during the current year.
A liability is recognised in respect of revenue that is reciprocal in nature to the extent that the requisite service has not been provided at balance date.
User fees and fines
User fees and fines (including parking fees and fines) are recognised as revenue when the service has been provided, the payment is received, or when the penalty has been applied, whichever first occurs.
A provision for doubtful debts is recognised when collection in full is no longer probable.
Sale of property, plant and equipment, infrastructure
The profit or loss on sale of an asset is determined when control of the asset has irrevocably passed to the buyer.
Interest and rents
Interest and rents are recognised as revenue on a proportional basis when the payment is due, the value of the payment is notified, or the payment is received, whichever first occurs.
Dividends
Dividend revenue is recognised when the Council's right to receive payment is established.
6 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 1 Significant accounting policies (cont.)
(d) Depreciation and amortisation of property, plant and equipment, infrastructure, intangibles Buildings, land improvements, plant and equipment, infrastructure, heritage assets, and other assets having limited useful lives are systematically depreciated over their useful lives to the Council in a manner which reflects consumption of the service potential embodied in those assets. Estimates of remaining useful lives and residual values are made on a regular basis with major asset classes reassessed annually. Depreciation rates and methods are reviewed annually.
Where infrastructure assets have separate identifiable components that are subject to regular replacement, these components are assigned distinct useful lives and residual values and a separate depreciation rate is determined for each component. Road earthworks are not depreciated. Artworks are not depreciated. Straight line depreciation is charged based on the residual useful life as determined each year. Major depreciation periods used are listed below and are consistent with the prior year unless otherwise stated: Period Property Buildings 50 years Fittings 10 years Plant and Equipment Plant, machinery and equipment 6 - 10 years Fixtures, fittings and furniture 4 - 15 years Infrastructure Roads: Formation 100 years Pavement 80 years Seal 15 years Footpaths and cycleways 13-80 years Kerb and channel 50 years Drainage 100 years Bridges 50 years Landfills 10 years Other structures 50 years Other Fittings 6 - 10 years (e) Repairs and maintenance Routine maintenance, repair costs, and minor renewal costs are expensed as incurred. Where the repair relates to the replacement of a component of an asset and the cost exceeds the capitalisation threshold the cost is capitalised and depreciated. The carrying value of the replaced asset is expensed.
7 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 1 Significant accounting policies (cont.)
(f) Borrowing costs Borrowing costs are recognised as an expense in the period in which they are incurred, except where they are capitalised as part of a qualifying asset constructed by Council. Except where specific borrowings are obtained for the purpose of specific asset acquisition, the weighted average interest rate applicable to borrowings at balance date, excluding borrowings associated with superannuation, is used to determine the borrowing costs to be capitalised.
Borrowing costs include interest on bank overdrafts, interest on borrowings, and finance lease charges. (g) Recognition and measurement of assets Acquisition
The purchase method of accounting is used for all acquisitions of assets, being the fair value of assets provided as consideration at the date of acquisition plus any incidental costs attributable to the acquisition. Fair value is the amount for which the asset could be exchanged between knowledgeable willing parties in an arm's length transaction.
Where assets are constructed by Council, cost includes all materials used in construction, direct labour, borrowing costs incurred during construction, and an appropriate share of directly attributable variable and fixed overheads.
The following classes of assets have been recognised in note 22. In accordance with Council's policy, the threshold limits detailed below have applied when recognising assets within an applicable asset class and unless otherwise stated are consistent with the prior year: Threshold $'000 Property Land land All land improvements All Buildings buildings All building improvements All leasehold building improvements All heritage buildings All Plant and Equipment plant, machinery and equipment 1 fixtures, fittings and furniture 1 computers and telecommunications 1 leased plant and equipment 1 heritage plant & equipment 1 library books 1 Infrastructure Roads road pavements and seals All road substructure All road formation and earthworks All road kerb, channel and minor culverts All Bridges All bridges deck All bridges substructure All footpaths and cycleways All drainage All recreational, leisure and community facilities All waste management All parks, open space and streetscapes All landfills All aerodromes All off street car parks All Intangible assets intangible assets 1
8 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 1 Significant accounting policies (cont.)
(g) Recognition and measurement of assets (cont.)
Revaluation
Subsequent to the initial recognition of assets, non-current physical assets, other than plant and equipment , are measured at their fair value, being the amount for which the assets could be exchanged between knowledgeable willing parties in an arms length transaction. At balance date, the Council reviewed the carrying value of the individual classes of assets measured at fair value to ensure that each asset materially approximated its fair value. Where the carrying value materially differed from the fair value at balance date the class of asset was revalued.
In addition, Council undertakes a formal revaluation of land, buildings, and infrastructure assets on a regular basis ranging from 2 to 3 years. The valuation is performed either by experienced council officers or independent experts.
Where the assets are revalued, the revaluation increments are credited directly to the asset revaluation reserve except to the extent that an increment reverses a prior year decrement for that class of asset that had been recognised as an expense in which case the increment is recognised as revenue up to the amount of the expense. Revaluation decrements are recognised as an expense except where prior increments are included in the asset revaluation reserve for that class of asset in which case the decrement is taken to the reserve to the extent of the remaining increments. Within the same class of assets, revaluation increments and decrements within the year are offset.
Land under roads
The Council has elected not to recognise land under roads as an asset in accordance with AASB 1045 "Land under Roads", which extends the requirement to recognise and measure land under roads as an asset of Council until 30 June 2008.
(h) Cash and cash equivalents
For the purposes of the cash flow statement, cash and cash equivalents include cash on hand, deposits at call, and other highly liquid investments with original maturities of three months or less, net of outstanding bank overdrafts.
(i) Other financial assets
Managed funds are valued at fair value, being market value, at balance date. Any unrealised gains and losses on holdings at balance date are recognised as either a revenue or expense.
(j) Investments
Investments, other than investments in associates, are measured at cost.
(k) Accounting for investments in associates
Council's investment in associates is accounted for by the equity method as the Council has the ability to influence rather than control the operations of the entities. The investment is initially recorded at the cost of acquisition and adjusted thereafter for post-acquisition changes in the Council's share of the net assets of the entities. The Council's share of the financial result of the entities is recognised in the income statement.
9 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 1 Significant accounting policies (cont.)
(l) Tender deposits
Amounts received as tender deposits and retention amounts controlled by Council are recognised as Trust funds until they are returned or forfeited (refer to note 24).
(m) Employee benefits
Wages and salaries
Liabilities for wages and salaries and rostered days off are recognised and are measured as the amount unpaid at balance date and include appropriate oncosts such as work cover charges.
Annual leave
Annual leave entitlements are accrued on a pro rata basis in respect of services provided by employees up to balance date. Annual leave expected to be paid within 12 months is measured at nominal value based on the amount, including appropriate oncosts, expected to be paid when settled. Annual leave expected to be paid later than one year has been measured at the present value of the estimated future cash outflows to be made for these accrued entitlements. Commonwealth bond rates are used for discounting future cash flows.
Long service leave
Long service leave entitlements payable are assessed at balance date having regard to expected employee remuneration rates on settlement, employment related oncosts and other factors including accumulated years of employment, on settlement, and experience of employee departure per year of service. Long service leave expected to be paid within 12 months is measured at nominal value based on the amount expected to be paid when settled. Long service leave expected to be paid later than one year has been measured at the present value of the estimated future cash outflows to be made for these accrued entitlements. Commonwealth bond rates are used for discounting future cash flows.
Classification of employee benefits
An employee benefit liability is classified as a current liability if the Council does not have an unconditional right to defer settlement of the liability for at least 12 months after the end of the period. This would include all annual leave and unconditional long service leave entitlements.
Superannuation
A liability is recognised in respect of Council's present obligation to meet the unfunded obligations of defined benefit superannuation schemes to which its employees are members. The liability is defined as the Council's share of the scheme's unfunded position, being the difference between the present value of employees’ accrued benefits and the net market value of the scheme’s assets at balance date. The liability also includes applicable contributions tax of 17.65 %.
The superannuation expense for the reporting year is the amount of the statutory contribution the Council makes to the superannuation plan which provides benefits to its employees together with any movements (favourable/unfavourable) in the position of any defined benefits schemes. Details of these arrangements are recorded in note 33.
10 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 1 Significant accounting policies (cont.)
(n) Leases
Finance leases
Leases of assets where substantially all the risks and benefits incidental to ownership of the asset, but not the legal ownership, are transferred to the Council are classified as finance leases. Finance leases are capitalised, recording an asset and a liability equal to the present value of the minimum lease payments, including any guaranteed residual value. Lease payments are allocated between the reduction of the lease liability and the interest expense. Leased assets are amortised on a straight line basis over their estimated useful lives to the Council where it is likely that the Council will obtain ownership of the asset or over the term of the lease, whichever is the shorter. Leased assets are currently being amortised over a 5 year period.
Operating leases
Lease payments for operating leases are recognised as an expense in the years in which they are incurred as this reflects the pattern of benefits derived by the Council.
Leasehold improvements
Leasehold improvements are recognised at cost and are amortised over the unexpired period of the lease or the estimated useful life of the improvement, whichever is the shorter. At balance date, leasehold improvements are amortised over a 5 year period.
(o) Allocation between current and non-current
In the determination of whether an asset or liability is current or non-current, consideration is given to the time when each asset or liability is expected to be settled. The asset or liability is classified as current if it is expected to be settled within the next twelve months, being the Council's operational cycle, or if the Council does not have an unconditional right to defer settlement of a liability for at least 12 months after the reporting date.
(p) Agreements equally proportionately unperformed
The Council does not recognise assets and liabilities arising from agreements that are equally proportionately unperformed in the balance sheet. Such agreements are recognised on an 'as incurred' basis.
(q) Web site costs
Costs in relation to websites are charged as an expense in the period in which they are incurred.
(r) Goods and Services Tax (GST)
Revenues, expenses and assets are recognised net of the amount of GST, except where the amount of GST incurred is not recoverable from the Australian Tax Office. In these circumstances the GST is recognised as part of the cost of acquisition of the asset or as part of an item of the expense. Receivables and payables in the balance sheet are shown inclusive of GST. Cash flows are presented in the cash flow statement on a gross basis, except for the GST component of investing and financing activities, which are disclosed as operating cash flows.
(s) Impairment of assets
At each reporting date, the Council reviews the carrying value of its assets to determine whether there is any indication that these assets have been impaired. If such an indication exists, the recoverable amount of the asset, being the higher of the asset's fair value less costs to sell and value in use, is compared to the assets carrying value. Any excess of the assets carrying value over its recoverable amount is expensed to the income statement.
11 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 1 Significant accounting policies (cont.)
(t) Rounding
Unless otherwise stated, amounts in the financial report have been rounded to the nearest thousand dollars.
(u) Non-current assets held for sale
A non-current asset held for sale is measured at the lower of its carrying amount and fair value less costs to sell.
(v) Investment property
Investment property, comprising freehold office complexes, is held to generate long-term rental yields. All tenant leases are on arms length basis. Investment property is measured initially at cost, including transaction costs. After initial recognition, investment property is carried at fair value, determined annually by independent valuers. Changes to fair value are recorded in the income statement.
12 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June
Note 2 Change in Accounting Policy
The following Australian Accounting Standards have been issued or amended and are applicable to the Council but are not yet effective. They have not been adopted in preparation of the financial statements at reporting date.
Application date of AASB amendment Standards affected Outline of amendment Standard Application date for Council
AASB 2005-10 AASB 1 First time adoption The disclosure requirements of AASB 1/01/2007 1/07/2007 1/07/2007 Amendments to Australian of AIFRS 132: Financial Instruments: Disclosure Accounting Standards and Presentation have been replaced AASB 101 Presentation of due to the issuing of AASB 7: Financial Statements Financial Instruments: Disclosures in August 2005. These amendments will AASB 117 Leases involve changes to financial instrument disclosures within the financial report AASB 139 Financial instruments: However, there will be no direct impact Disclosure and on amounts included in the financial Presentation report as it is a disclosure standard.
AASB 7 Financial Insturments: AASB 132 Financial Instruments: As above. 1/01/2007 1/07/2007 1/07/2007 Disclosures Disclosure and Presentation
AASB 2006-3 AAS 27 Financial Reporting by From the beginning of the reporting period October 2006 1/07/2008 1/07/2008 Amendments to Australian Local Governments to which this Standard is first applied, Accounting Standards until the end of the first reporting period AASB1045 Land Under Roads: ending on or after 31 December 2007, Amendments to AAS transitional provisions shall apply. Under 27A, AAS 29A and those provisions, local governments, AAS 31A while encouraged to apply the full provisions of this Standard, may elect instead not to recognise land under roads as an asset in the balance sheet
The impact of any changes that may be required when the transitional provisions cease cannot be reliably estimated and is not disclosed in the financial report.
13 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
2007 2006 $'000 $'000
Note 3 Rates and charges
Council uses Capital Improved Value as the basis of valuation of all properties within the municipal district. The Capital Improved Value of a property is its estimated value of the property including improvements at the date of valuation.
The valuation base used to calculate general rates for 2006/2007 was $948.58 million (2005-2006 $837.35 million). The 2006/2007 rate in the CIV dollar was 0.6562 and the Farm Rate was 0.6835, (2005-2006, in the CIV dollar was 0.007314 cents and the Farm Rate was 0.007022.
Residential 1,449 1,224 Commercial 377 380 Farm/Rural 4,461 4,264 Supplementary rates and rate adjustments 00 Municipal charge 233 234 Garbage charge 698 573 Interest on Rates 46 44 Revenue in lieu of rates 02 7,264 6,721
The date of the last general revaluation of land for rating purposes within the municipal district was 1 January 2006, and the valuation first applied to the rating period commencing 1 July 2006
The date of the next general revaluation of land for rating purposes within the municipal district is 1 January 2008, and the valuation will be first applied in the rating year commencing 1 July 2008.
Note 4 Statutory fees and fines
Infringements and costs 69 Election Fines 12 Town planning fees 26 17 Land information certificates 56 Permits 00 38 34
Note 5 User fees
Recreation fees 79 86 Saleyard fees 45 40 Aged services fees 390 341 Registration fees 38 40 Building services fees 20 24 Fees_Truck Wash 610 Waste disposal fees 60 29 Other fees and charges 15 7 653 577
14 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
2007 2006 $'000 $'000
Note 6 Grants
Grants were received in respect of the following :
Recurrent Victoria Grants Commission - unallocated 2,174 2,031 Community Projects 309 0 School crossing supervisors 48 Youth Development 40 0 Maternal and child health 118 107 Family and children 145 176 Food services 29 28 Home help/linkages 383 358 Senior citizen centres 40 39 Stormwater Sustainability Fund 14 0 Training 24 0 Assessment/welfare support 96 70 Libraries 100 94 Recreation 62 199 Local government improvement incentives 150 Information Technology 20 Diesel Fuel Grant 58 51 Community Capacity Building Grant 33 Volunteer Co_Ordination Grant 31 30 Drought-Community Development Grant 50 57 Birchip Community Space Grant 20 18 Commonwealth Games 045 Service System Resourcing 34 0 Plant Management 13 0 Other 35 0
Total recurrent 3,781 3,494
Non-recurrent Commonwealth Government - Roads to Recovery 1,081 1,805 Commonwealth Government - Auslink 999 0 Victoria Grants Commission- local roads 1,573 1,527 Community health 322 Family and children 514 Recreation 279 252 Community Drought Projects 273 0 Buloke Water Bore Project 248 0 Other 35 92
Total non-recurrent 4,496 3,712
Conditions on Grants
Grants recognised as revenue during the year that were obtained on condition that they be expended in a specified manner that had not occurred at balance date were:
Roadworks 1,367 895 Community 812 Recreation 145 48
1,520 955
Grants which were recognised as revenue in prior years and were expended during the current year in the manner specified by the grantor were:
Economic development 0 (146) Drought relief 0 (400)
15 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
2007 2006 $'000 $'000
Community (12) (16) Recreation (48) (113) Roadworks (895) 0 (955) (675)
Net increase (decrease) in restricted assets resulting from grant revenues for the year: 565 280
Note 7 Contributions Cash Recreational, leisure and community facilities 52 97 Valuation 61 2 Other 00 113 99
Note 8 Reimbursements
VicRoads reimbursements 0 486 Imunisation reimbursements 22 Other 16 35 18 523
Note 9 Other revenue
Interest 212 202 Waste sales 78 133 Increase in carrying value of interest in associated entities 08 Other rent 40 43 Works 40 80 Commissions 07 Workcover 50 67 Insurance 37 9 Other 1,956 34 2,413 583
Note 10 Employee benefits
Wages and salaries 6,366 4,720 RDO entitlement (3) (60) Annual leave and long service leave (377) 85 Superannuation 492 441 Fringe benefits tax and work cover 242 270 6,720 5,456
16 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
2007 2006 $'000 $'000
Note 11 Materials and services
Contract payments Cleaning 320 Handyman 25 30 Consultants 180 365 Plant Hire-External 127 112 Meals on Wheels 140 149 Recycling 99 69 Revaluation 34 78 Information Technology 140 127 Waste Management 274 256 Audit Payments 28 26 Other 42 22 Materials Electricity 159 173 Fuel 856 872 Water and Sewage 104 195 Garbage Charge 48 29 Grants and Contributions 648 133 Insurance 338 331 Materials 1,269 1,417 Legal Fees 36 122 Printing and Stationery 66 71 Repairs and Maintenance 395 268 Telephone 196 238 Vehicle Registrations 81 95 Other 234 178 5,522 5,376
Note 12 Bad and doubtful debts
Parking fine debtors 00 Rates debtors 00 Other debtors 00 00
Note 13 Depreciation and amortisation
Property Land Land improvements 00 Buildings Buildings 655 337 Building improvements 00 Plant and Equipment Plant, machinery and equipment 769 709 Leases Assets-Plant and Equipment 063 Fixtures,fittings and furniture 132 163 Infrastructure Roads 2,997 1,974 Bridges 69 68 Footpaths and cycleways 226 158 Drainage 75 119 Kerb and Channel 241 238 Other 79 30 Landfills 78 40 5,321 3,899
17 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
2007 2006 $'000 $'000
Note 14 Other expenses
Councillors' allowances 132 130 Business Incentives 53 0 Operating Leases 224 0 Decrease in carrying value of interest in associated entities 9 0 Revaluation decrement-Bridges 0 0 418 130
Note 15 Finance costs
Interest-Unfunded Superanuation 0 0 Interest - Borrowings 36 66 Interest - Finance leases 32 35 Lease Costs 34 12 102 113 Less capitalised borrowing costs on qualifying assets 0 0 Finance costs 102 113
Rate used to capitalise finance costs 5.91% 6.07%
Note 16 Investment in associates
Investments in associates accounted for by the equity method Wimmera Regional Library Corporation 143 152 143 152
Council's share of accumulated surplus(deficit) Council's share of accumulated surplus(deficit) at start of year 57 63 Reported surplus/(defict) for year (10) 12 Transfers (to)/from reserves 13 (16) Distributions for the year 0 (1) Variation-Change in Equity 1 (1) Council's share of accumulated surplus(deficit) at end of year 61 57
Council's share of reserves Council's share of reserves at start of year 95 81 Transfers to reserves (2) (16) Variation-Change in Equity (11) 30 Council's share of reserves at end of year 82 95
Movement in carrying value of specific investment Carrying value of investment at start of year 152 144 Share of surplus for year (10) 12 Share of asset revaluation 00 Distributions received 0 (1) Variation-Change in Equity 1 (3) Carrying value of investment at end of year 143 152
Council's share of expenditure commitments Operating commitments 00 Capital commitments 00 00
Council's share of contingent liabilities and contingent assets 0 0
Note 17 Cash and cash equivalents
Cash on hand 22 Cash at bank 1,107 1,077 Term Deposits 3,401 3,616 4,510 4,695
18 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
2007 2006 $'000 $'000
Note 18 Trade and other receivables Current Rates debtors 459 389 Provision for doubtful debts-Other 00 Loans and advances to community organisations 15 15 Other Debtors 621 357 Accrued Income 45 275 Prepayments 468 430 Net GST receivable 115 143 1,723 1,609
Non-current Loans and advances to community organisations 410 410
Total 1,727 1,619
Note 19 Inventories Inventories for distribution 198 197 198 197
19 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 20 Property, plant and equipment, infrastructure 2007 2006 $'000 $'000 Summary at cost 12,299 8,233 at Valuation 225,581 224,969 Less accumulated depreciation (77,255) (72,105) Total 160,625 161,097
Property Land at cost 00 at Valuation as at 30 June 2006 1,999 2,009 1,999 2,009 Land-Other Controlled at valuation as at 30 June 2006 887 883 887 883 Total Land 2,886 2,892
Buildings -Freehold at cost 529 24 Less accumulated depreciation 0 (1) 529 23
at valuation as at 30 June 2006 27,239 27,239 Less accumulated depreciation (15,733) (15,214) 11,506 12,025
Buildings Controlled at cost 185 0 Less accumulated depreciation 00 185 0
at valuation as at 30 June 2006 8,390 8,390 Less accumulated depreciation (5,841) (5,707) 2,549 2,683 Total Buildings 14,769 14,731
Total Property 17,655 17,623
Valuation of land and buildings were undertaken by a qualified independent valuer Mr Alan Harvey (Fellow Australian Institute of Valuers). The valuation of buildings is at fair value based on current replacement cost less accumulated depreciation at the date of valuation. The valuation of land is at fair value, being market value based on highest and best use permitted by relevant land planning provisions.
Plant and Equipment
Plant, machinery and equipment at cost 6,943 5,600 Less accumulated depreciation (3,468) (2,635) 3,475 2,965 Fixtures, fittings and furniture at cost 1,629 1,414 Less accumulated depreciation (1,144) (1,029) 485 385 Leased plant and equipment at cost 0 942 Less accumulated amortisation 0 (258) 0 684 Other at cost 281 146 Less accumulated depreciation 0 (19) 281 127
20 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 20 Property, plant and equipment, infrastructure (cont.) 2007 2006 $'000 $'000 Other at valuation as at 30 June 2005 0 212 Less accumulated depreciation 0 (21) 0 191
at valuation as at 30 June 2007 411 0 Less accumulated depreciation (58) 0 353 0
Total Plant and Equipment 4,594 4,352
Infrastructure Road Formation at Council Valuation as at 30 June 2006 38,524 38,524 Less accumulated depreciation (8,396) (7,976) 30,128 30,548
Road Pavement at Council Valuation as at 30 June 2006 95,192 95,192 Less accumulated depreciation (23,064) (21,907) 72,128 73,285
at Cost 1,573 0 Less accumulated depreciation 00 1,573 0
Road Seal at Council Valuation as at 30 June 2006 21,194 21,194 Less accumulated depreciation (5,447) (4,027) 15,747 17,167
at Cost 531 0 Less accumulated depreciation 00 531 0
Bridges at cost 097 Less accumulated depreciation 00 097
at Council Valuation as at 30 June 2007 3,926 0 Less accumulated depreciation (2,173) 0 1,753 0
at Council Valuation as at 30 June 2005 0 3,566 Less accumulated depreciation 0 (1,992) 0 1,574
1,753 1,671 Footpaths at Council valuation as at 30 June 2006 7,475 7,475 Less accumulated depreciation (3,285) (3,058) 4,190 4,417
at Cost 18 0 Less accumulated depreciation 00 18 0
Kerbs and Channels at Council Valuation as at 30 June 2006 12,056 12,056 Less accumulated depreciation (4,511) (4,270) 7,545 7,786
at Cost 19 0 Less accumulated depreciation 00 19 0
21 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 20 Property, plant and equipment, infrastructure (cont.) 2007 2006 $'000 $'000 Drainage at Council Valuation as at 30 June 2006 7,465 7,465 Less accumulated depreciation (3,882) (3,807) 3,583 3,658
at Cost 369 0 Less accumulated depreciation 00 369 0
Work in Progress at cost 222 10 Less accumulated depreciation 00 222 10 Landfill at Council valuation as at 30 June 2006 823 764 Less accumulated depreciation (253) (184) 570 580
Total Infrastructure 138,376 139,122
Total Property, Plant and Equipment, Infrastructure 160,625 161,097
22 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
2007 2006 $'000 $'000
Note 21 Trade and other payables
Trade payables 630 1,002 Net GST payable 61 0 Accrued expenses 166 212 PAYG/Fringe Benefits (17) 97 Rates deposits 14 16 Other 00
854 1,327
Note 22 Trust funds and deposits
Purchase of Land on Terms 30 35 Grant funds held on behalf of community groups (7) 0 Other refundable deposits 13 15 36 50
25 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 23 Provisions Annual Long Tip Pit Business Total leave service restoration restoration Unit Profit leave share 2007 $ '000 $ '000 $ '000 $ '000 $ '000 $ '000
Balance at beginning of the financial year 0 0 579 78 5 662 Additional provisions 000670067 Amounts used 0 0 0 (26) (5) (31) Balance at the end of the financial year 0 0 646 52 0 698
2006
Balance at beginning of the financial year 0 0 619 99 5 723 Additional provisions 00069069 Amounts used 0 0 (40) (90) 0 (130) Increase in the discounted amount arising because of time and the effect of any change in the discount rate 000000 Balance at the end of the financial year 0 0 579 78 5 662
2007 2006 $'000 $'000 (a) Employee benefits Current (i) Annual leave 535 579 Long service leave 342 725 Retirement gratuity 022 Accrued employee expenses 154 184 1,031 1,510
Non-current (ii) Long service leave 143 95 143 95
Aggregate carrying amount of employee benefits: Current 1,031 1,510 Non-current 143 95 1,174 1,605
The following assumptions were adopted in measuring the present value of employee benefits:
Weighted average increase in employee costs 4.50% 4.75% Weighted average discount rates 5.23% 4.73% Weighted average settlement period 12 12
(i) Current All annual leave and the long service leave entitlements representing 10 or more years of continuous service - Short-term employee benefits, that fall due within 12 months after the end of the period 462 0 - Other long-term employee benefits that do not fall due within 12 months after the end of the period measured at present value 416 0 878 0 (ii) Non-current Long service leave representing less than 10 years of continuous service measured at present value 227 95
(b) Provisions
Current 1,083 1,593 Non-current 789 674 Total 1,872 2,267
26 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
2007 2006 $'000 $'000
Note 24 Interest-bearing loans and borrowings
Current Borrowings - secured 202 298 Lease Purchase Liability 0 175 202 473
Non-current Borrowings - secured 297 486
Total 499 959
The maturity profile for Council's borrowings is:
Not later than one year 202 473 Later than one year and not later than five years 297 486 Later than five years 0 499 959
Finance leases
Council had the following obligations under finance leases for the lease of equipment (the sum of which is recognised as a liability after deduction of future lease finance charges included in the obligation):
Not later than one year 0 205 Later than one year and not later than five years 00 Later than five years 00 Minimum lease payments 0 205 Less: Future finance charges 0 (30) Recognised in the balance sheet as: 0 175
Current Leases 0 175
Non-current Leases 00 Total 0 175
Aggregate carrying amount of interest-bearing loans and borrowings:
Current 202 648 Non-current 297 486 499 1,134
27 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 25 Reserves
Share of Balance at increment(decrement) beginning of Increment on revaluation of an Balance at end of reporting period (decrement) associate reporting period
(a) Asset revaluation reserves $'000 $'000 $'000 $'000
2007
Property Land 526 0 0 526 Land improvements 0 0 0 0 Buildings 3,427 0 0 3,427 3,953 0 0 3,953 Infrastructure Roads 96,092 0 0 96,092 Footpaths 3,120 0 0 3,120 Drains 1,949 0 0 1,949 Kerbs and channels 5,075 0 0 5,075 Bridges 0 32 0 32 Other Infrastrucutre 0 172 0 172 106,236 204 0 106,440
Total Asset revaluation reserves 110,189 204 0 110,393
2006
Property Land 0 526 0 526 Land improvements 0 0 0 0 Buildings 4,571 (1,144) 0 3,427 4,571 (618) 0 3,953 Infrastructure Roads 79,191 16,901 0 96,092 Footpaths 2,163 957 0 3,120 Drains 1,626 323 0 1,949 Kerbs and channels 3,289 1,786 0 5,075 86,269 19,967 0 106,236
Total Asset revaluation reserves 90,840 19,349 0 110,189
Balance at Transfer from Transfer to beginning of accumulated accumulated Balance at end of reporting period surplus surplus reporting period
(b) Other reserves $'000 $'000 $'000 $'000
2007
General Reserve 5 0 0 5 Pit Restoration Reserve 0 0 0 0 Total Other reserves 50 0 5
2006
General Reserve 5 0 0 5 Pit Restoration Reserve 0 0 0 0 Total Other reserves 50 0 5
28 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
2007 2006 $'000 $'000
Note 26 Reconciliation of cash flows from operating activities to surplus (deficit)
Surplus(deficit) for the period 746 903
Recognition of previously unrecognised non-current assets 00 Reversal of increments and decrements 262 0 Depreciation/amortisation 5,321 3,899 (Profit)/loss on disposal of property, plant and equipment, infrastructure (53) (133) Movement in carrying value of interest in associated entities (9) 0 Recognition of Tip Restoration Provision 0 0 Impairment losses 00 Other-Landfill Recognition 0 187
Change in assets and liabilities: (Increase)/decrease in trade and other receivables (306) 269 (Increase)/decrease in prepayments (38) 314 (Increase)/decrease in accrued income 230 55 Increase/(decrease) in trade and other payables (379) (545) (decrease)/increase in other liabilities (14) (5) (Increase)/decrease in inventories (1) (28) Increase/(decrease) in provisions 36 (197) Increase/(decrease) in employee benefits (431) (117) Increase/(decrease) in interest bearing liabilities (460) 437
Net cash provided by/(used in) operating activities 4,904 5,039
Note 27 Reconciliation of cash and cash equivalents
Cash and cash equivalents (see note 17) 4,510 4,695 Less bank overdraft 00 4,510 4,695 Note 28 Financing arrangements
Bank overdraft 600 600 Used facilities 00
Unused facilities 600 600
Note 29 Restricted assets
Council has cash and cash equivalents (note 17) that are subject to restrictions. As at the reporting date, Council had legislative restrictions in relation to employee entitlements (Long Service Leave).
Unexpended Grants 565 280 Long service leave (note 23) 853 820 Trust funds (note 22) 36 50 1,454 1,150
* Restricted asset for long service leave is based on the Local Government (Long Service Leave) Regulations 2002 and does not necessarily equate to the long service leave liability disclosed in Note 23, due to a different basis of calculation prescribed by the regulation.
29 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 30 Superannuation
Council makes employer superannuation contributions in respect of its employees to the Local Authorities Superannuation Fund (the Fund). Obligations for contributions are recognised as an expense in profit or loss when they are due. The Fund has two categories of membership, each of which is funded differently.
The Fund's accumulation category, Vision Super Saver, receives both employer and employee contributions on a progressive basis. Employer contributions are normally based on a fixed percentage of employee earnings (9% required under Superannuation Guarantee Legislation). No further liability accrues to the employer as the superannuation benefits accruing to employees are represented by their share of the net assets of the Fund.
The Fund's Defined Benefit Plan is a multi-employer sponsored plan. As the Fund's assets and liabilities are pooled and are not allocated by employer, the Actuary is unable to allocate benefit liabilities, assets and costs between employers. As provided under Paragraph 32 (b) of AASB 119, Council does not use defined benefit accounting for these contributions.
Council makes employer contributions to the defined benefit category of the Fund at rates determined by the Trustee on the advice of the Fund's Actuary. On the basis of the results of the most recent full actuarial investigation conducted by the Fund's actuary as at 31 December 2005, the Trustee has determined that the current funding arrangements are adequate for the expected Defined Benefit Plan liabilities. Council makes the following contributions:-
- 9.25% of members' salaries (same as previous year); - the difference between resignation and retrenchment benefits paid to any retrenched employees plus contributions tax (same as previous year);
The Fund's liability for accrued benefits was determined in the 30 June 2006 actuarial investigation pursuant to the requirements of Australian Accounting Standard AAS 25 as follows:
30-Jun-06 $'000
Net Market Value of Assets 3,443,686 Accrued Benefits (per accounting standards) 3,319,598 Difference between Assets and Accrued Benefits 124,088 Vested Benefits 3,040,443
The financial assumptions used to calculate the Accrued Benefits for the defined benefit category of the Fund were:
Net Investment Return 8.00% Salary Inflation 5.50% Price Inflation 3.00%
Details of contributions to superannuation funds during the year and contributions payable at 30 June are as follows: 2007 2006 $'000 $'000 Employer contributions to Local Authorities Superannuation Fund (Vision Super) 444 437 Employer contributions to Australian Retirement Fund 01 Employer contributions to HESTA Super Fund 71 Employer contributions to TWU Super Fund 31 Employer contributions to AMP Custom Super 30 Employer contributions to AMP Flexible Lifetime Super 20 Employer contributions to Australian Super 10 0 Employer contributions to Commonwealth Super Select 1 0 Employer contributions to FSP Super Fund 2 0 Employer contributions to Hostplus Super Fund 2 0 Employer contributions to ING Master Fund 1 0 Employer contributions to Life Track Super Fund 1 0 Employer contributions to LUCRF Super Fund 30 Employer contributions to MLC Master Key Super Fund Super Fund 2 0 Employer contributions to Prime Super Fund 10 Employer contributions to REST Super Fund 1 0
30 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 31 Commitments
The Council has entered into the following commitments Later than 1 Later than 2 year and not years and not Not later than 1 later than 2 later than 5 Later than 5 2007 year years years years Total $'000 $'000 $'000 $'000 $'000 Operating Recycling 77 0 0 0 77 Garbage collection 201 0 0 0 201 Communications 200 0 0 0 200 Information systems & technology 52 0 0 0 52 Insurances 497 0 0 0 497 Protective Clothing 00000 Electricity 159 0 0 0 159 Motor Vehicle Leases 224 0 0 0 224 Valuation Services 00000 Total 1,410 0 0 0 1,410
Capital Buildings 00000 Drainage 00000 Total 00000
Later than 1 Later than 2 year and not years and not Not later than 1 later than 2 later than 5 Later than 5 2006 year years years years Total $'000 $'000 $'000 $'000 $'000 Operating Recycling 119 455 0 0 574 Garbage collection 244 533 0 0 777 Communications 60 120 0 0 180 Information systems & technology 45 0 0 0 45 Insurances 679 0 0 0 679 Cleaning contracts for council buildings 38 0 0 0 38 Protective Clothing 30 0 0 0 30 Electricity 190 190 0 0 380 Motor Vehicle Leases 284 310 0 0 594 Valuation Services 31 0 0 0 31 Total 1,720 1,608 0 0 3,328
Capital Buildings 234 0 0 0 234 Total 234 0 0 0 234
31 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
2007 2006 $'000 $'000
Note 32 Operating leases
(a) Operating lease commitments
At the reporting date, the Council had the following obligations under non-cancellable operating leases for the lease of equipment and land and buildings for use within Council's activities (these obligations are not recognised as liabilities):
Not later than one year 224 224 Later than one year and not later than five years 0 310 Later than five years 00 224 534
Note 33 Contingent liabilities
Nil
32 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 34 Financial Instruments (a) Accounting Policy, terms and conditions financial instruments Note Accounting Policy Terms and Conditions Financial assets
Cash and cash 17 Cash on hand and at bank and money market call Cash on hand is at call and is not interest bearing.Cash at equivalents account are valued at face value. bank returned floating interest rate of 4.70% (4.25% 2005/2006).
Interest rate at balance date for term deposits ranged from 5.47% to 6.45% (5.50% to 6.00% 2005/2006).
Trade and other receivables Other debtors 18 Receivables are carried at nominal amounts due less any General debtors are unsecured and no interest is charged. provision for doubtful debts. A provision for doubtful Credit terms are based on 30 days. debts is recognised when collection in full is no longer probable. Collectibility of overdue accounts is assessed on an ongoing basis.
Financial Liabilities Trade and other 21 Liabilities are recognised for amounts to be paid in the General Creditors are unsecured, not subject to interest payables future for goods and services provided to Council as at charges and are normally settled within 30 days of invoice balance date whether or not invoices have been received. receipt.
Interest-bearing 24 Loans are carried at their principal amounts, which Borrowings are secured by way of mortgages over the loans and represent the present value of future cash flows general rates of the Council. borrowings associated with servicing the debt. Interest is accrued The weighted average interest rate on borrowings is 5.91% over the period it becomes due and recognised as part of during 2006/2007 (6.07% in 2005/2006). payables.
Finance leases are accounted for at their principal amount As at balance date, the Council had no finance leases. with the lease payments discounted to present value using the interest rates implicit in the leases.
Bank overdraft 28 Overdrafts are recognised at the principal amount. The overdraft is subject to annual review. Interest is charged as an expense as it accrues. It is secured by a mortgage over Council's general rates and is repayable on demand.
33 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 34 Financial instruments (cont.)
(b) Interest Rate Risk
The exposure to interest rate risk and the effective interest rates of financial assets and financial liabilities, both recognised and unrecognised,at balance date are as follows:
2007 Fixed interest maturing in: Floating interest 1 year or Over 1 to 5 More than 5 Non-interest rate less years years bearing Total $'000 $'000 $'000 $'000 $'000 $'000 Financial assets Cash and cash equivalents 4,510 0 0 0 0 4,510 Trade and other receivables 0000755755 Accrued income 0000 4545 Total financial assets 4,510 0 0 0 800 5,310
Weighted average interest rate 6.00%
Financial liabilities Trade and other payables 0000854854 Trust funds and deposits 0000 3636 Interest-bearing loans and borrowings 0 202 297 0 0 499 Total financial liabilities 0 202 297 0 890 1,389
Weighted average interest rate 6.00%
Net financial assets (liabilities) 4,510 (202) (297) 0 (90) 3,921
2006 Fixed interest maturing in:
Floating 1 year or Over 1 to 5 More than 5 Non-interest Interest rate less years years bearing Total $'000 $'000 $'000 $'000 $'000 $'000 Financial assets Cash and cash equivalents 4,695 0 0 0 4,695 Other financial assets 0000 0 Trade and other receivables 0000525525 Accrued income 0000275275 Total financial assets 4,695 0 0 0 800 5,495
Weighted average interest rate 6.00%
Financial liabilities Trade and other payables 00001,327 1,327 Trust funds and deposits 0000 5050 Interest-bearing loans and borrowings 0 648 486 0 0 1,134 Total financial liabilities 0 648 486 0 1,377 2,511
Weighted average interest rate 6.70%
Net financial assets (liabilities) 4,695 (648) (486) 0 (577) 2,984
34 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 34 Financial instruments (cont.)
(c) Net Fair Values
The aggregate net fair values of financial assets and financial liabilities, both recognised and unrecognised, at balance date are as follows:
Total carrying amount as per Financial Instruments Balance Sheet Aggregate net fair value 2007 2006 2007 2006 $'000 $'000 $'000 $'000
(1) Financial assets Cash and cash equivalents 4,510 4,695 4,510 4,695 Trade and other receivables 751 525 751 525 Accrued income 45 275 45 275 Total financial assets 5,306 5,495 5,306 5,495
(2) Financial liabilities Trade and other payables 854 1,327 854 1,327 Trust funds and deposits 36 50 36 50 Interest-bearing loans and borrowings 499 1,134 499 1,134 Total Financial liabilities 1,389 2,511 1,389 2,511
(d) Credit Risk
The maximum exposure to credit risk at balance date in relation to each class of recognised financial asset is represented by the carrying amount of those assets as indicated in the Balance Sheet.
Note 35 Auditors' remuneration 2007 2006 $'000 $'000 Audit fee to conduct external audit - Victorian Auditor-General 28 26 Internal audit fees 00 28 26
Note 36 Events occurring after balance date
There were no events occuring after balance date
35 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 37 Related party transactions
(i) Responsible Persons Names of persons holding the position of a Responsible Person at the Council at any time during the year are:
Councillors Councillor Reid Mather (Mayor) Councillor Bernadette Hogan Councillor Lloyd Paterson Councillor Peter Watts Councillor Stuart McLean Councillor Robyn Ferrier Councillor Leo Tellefson Councillor Janette Corrie Councillor Harold Flett Chief Executive Officer Mark Amirtharajah (1 July 2006 to 14 November 2006) Acting Chief Executive Officer Warwick Heine (15 November 2006 to Current.)
(ii) Remuneration of Responsible Persons The numbers of Responsible Officers, whose total remuneration from Council and any related entities fall within the following bands: 2007 2006 No. No. $1 - $ 9,999 04 $10,000 - $19,999 86 $20,000 - $29,999 00 $30,000 - $39,999 11 $80,000 - $80,999 10 $130000 - $139999 11 11 12
$'000 $'000 Total Remuneration for the reporting year for Responsible Persons included above amounted to: 414 260 Monetary increase in 2007 was due to the settlement of entitlements for the previous Chief Executive Officer.
(iii) No retirement benefits have been made by the Council to a Responsible Person. (2006/07, Nil).
(iv) No loans have been made, guaranteed or secured by the Council to a Responsible Person during the reporting year (2006/07, Nil).
(v) Other Transactions -Nil
(vi) Senior Officers Remuneration
A Senior Officer other than a Responsible Person, is an officer of Council who has management responsibilities and reports directly to the Chief Executive Officer or whose total annual remuneration exceeds $100,000.
The number of Senior Officers other than the Responsible Persons, are shown below in their relevant income bands: 2007 2006 Income Range: No. No. Less than $100,000 55 $100,000 - $109,999 01 56
$'000 $'000 Total Remuneration for the reporting year for Senior Officers included above, amounted to: 421 449
36 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report
Note 38 Income, expenses and assets by function/activities
Grant Other Total Total Revenue Revenue 2007 2007 2007 2006 $'000 $'000 $'000 $'000 INCOME Rates Revenue 0 6,520 6,520 6,102 Corporate Services 2,274 493 2,767 2,620 Community Services 963 423 1,386 1,348 Economic Services 760 17 777 143 Technical Services 96 955 1,051 894 Road Works 3,667 1,997 5,664 3,933 Environmental Services 0 0 0 55 Recreation and Culture 514 97 611 648 Proceeds from disposal of property, plant and equipment 0 253 253 604 Total Revenue as per Income Statement 8,274 10,755 19,029 16,347
2007 2006 $'000 $'000 EXPENSES Corporate Services 2,997 2,635 Community Services 1,708 1,662 Economic Services 401 263 Technical Services 4,183 5,139 Road Works 7,132 3,810 Environmental Services 0 137 Recreation and Culture 1,662 1,327 Written down value of assets sold 200 471 Total Expenditure as per Income Statement 18,283 15,444
SURPLUS/(DEFICIT) FOR THE YEAR 746 903
Allocation of Assets
Assets have been attributed to the following functions/activities: 2007 2006 $'000 $'000 Economic Development 2,375 879 Technical 121,397 145,378 Community 2,375 2,465 Corporate 3,568 963 Recreation & Culture 30,743 11,649 160,458 161,334
37 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 39 Financial ratios (Performance indicators) 2007 2007 2006 2006 2005 2005 $'000 (%) $'000 (%) $'000 (%) (a) Debt servicing ratio (to identify the capacity of Council to service its outstanding debt)
Debt servicing costs 102 113 143 = 0.54% = 0.72% = 0.95% Total revenue 18,776 15,743 14,987
Debt servicing costs refer to the payment of interest on loan borrowings, finance lease, and bank overdraft. The ratio expresses the amount of interest paid as a percentage of Council's total revenue.
(b) Debt commitment ratio (to identify Council's debt redemption strategy)
Debt servicing & redemption costs 562 850 1,251 = 7.74% = 12.65% = 19.34% Rate revenue 7,264 6,721 6,470
The strategy involves the payment of loan principal and interest, finance lease principal and interest. The ratio expresses the percentage of rate revenue utilised to pay interest and redeem debt principal.
(c) Revenue ratio (to identify Council's dependence on non-rate income)
Rate revenue 7,264 6,721 6,470 = 38.69% ==42.69% 42.86% Total revenue 18,776 15,743 15,097
The level of Council's reliance on rate revenue is determined by assessing rate revenue as a proportion of the total revenue of Council.
(d) Debt exposure ratio (to identify Council's exposure to debt)
Total indebtedness 2,408 3,783 3,699 = 8.93% = 14.02% = 13.84% Total realisable assets 26,960 26,989 26,727
For the purposes of the calculation of financial ratios, realisable assets are those assets which can be sold and which are not subject to any restriction on realisation or use.
Any liability represented by a restricted asset (note 29) is excluded from total indebtedness.
The following assets are excluded from total assets when calculating Council's realisable assets: land and buildings on Crown land; restricted assets; heritage assets; total infrastructure assets; and Council's investment in associate.
This ratio enables assessment of Council's solvency and exposure to debt. Total indebtedness refers to the total liabilities of Council. Total liabilities are compared to total realisable assets which are all Council assets not subject to any restriction and are able to be realised. The ratio expresses the percentage of total liabilities for each dollar of realisable assets.
38 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 39 Financial ratios (Performance indicators) (cont.) 2007 2007 2006 2006 2005 2005 $'000 (%) $'000 (%) $'000 (%) (e) Working capital ratio (to assess Council's ability to meet current commitments)
Current assets 6,431 6,501 6,098 = 295.68% = 188.82% 204.15%= Current liabilities 2,175 3,443 2,987
The ratio expresses the level of current assets the Council has available to meet its current liabilities.
(f) Adjusted working capital ratio (to assess Council's ability to meet current commitments)
Current assets 6,431 6,501 6,098 = 350.85% = 239.18% = 262.05% Current liabilities 1,833 2,718 2,327
The ratio expresses the level of current assets the Council has available to meet its current liabilities.
Current liabilities have been reduced to reflect the long service leave that is shown as a current liability because Council does not have an unconditional right to defer settlement of the liability for at least twelve months after the reporting date, but is not likely to fall due within 12 months after the end of the period.
39 BULOKE SHIRE COUNCIL Notes to the Financial Report 2006/2007 Financial Report For the Year Ended 30 June 2007
Note 2007 2006 $'000 $'000
Note 40 Capital expenditure
Capital expenditure areas
Roads 2,259 2,026 Drainage 382 61 Land and buildings 836 1,077 Plant and equipment 727 1,744 Furniture and equipment 285 167 Other 389 158 Total capital works 4,878 5,233
Represented by: Renewal of infrastructure 3,385 3,631 Upgrade of infrastructure 346 626 New assets 1,147 976 Total capital works 4,878 5,233
Property, plant and equipment, infrastructure movement
The movement between the previous year and the current year in property, plant and equipment, infrastructure as shown in the Balance Sheet links to the net of the following items:
Total capital works 4,878 5,233 Asset revaluation movement 25(a) 204 19,349 Depreciation/amortisation 13 (5,321) (3,899) Written down value of assets sold 22 (199) (681) Net movement in property, plant and equipment, infrastructure 22 (438) 20,002
(a) Renewal
Expenditure on an existing asset which returns the service potential or the life of the asset up to that which it had originally. It is periodically required expenditure, relatively large (material) in value compared with the value of the components or sub-components of the asset being renewed. As it reinstates existing service potential, it has no impact on revenue, but may reduce future operating and maintenance expenditure if completed at the optimum time.
(b) Upgrade
Expenditure which enhances an existing asset to provide a higher level of service or expenditure that will increase the life of the asset beyond that which it had originally. Upgrade expenditure is discretional and often does not result in additional revenue unless direct user charges apply. It will increase operating and maintenance expenditure in the future because of the increase in the council’s asset base.
(c) Expansion
Expenditure which extends an existing asset, at the same standard as is currently enjoyed by residents, to a new group of users. It is discretional expenditure which increases future operating and maintenance costs, because it increases council’s asset base, but may be associated with additional revenue from the new user group.
Note 41 Correction of Prior Period Errors During the reporting year ending 30 June 2007, it was discovered that retained earnings was not balanced correctly to the general ledger in prior years, due to errors in closing off the accounting system at year end. As the amount is immaterial and it is unknown which balance sheet accounts the variance related to, an adjustment has been made to the 30 June 2007 retained earnings.
40 BULOKE SHIRE COUNCIL 2006/2007 Financial Report
Introduction to the Performance Statement
The Victorian Government is of the view that it is reasonable to expect all councils to collect and publish performance information. The Government has amended the Local Government Act (Section 153 of the Local Government Act 1989) to ensure that local government develops new performance accountability mechanisms which allow for a consistent approach in the collection and reporting of information regarding financial performance, operating costs and community satisfaction. Without comparable figures, a great deal of benefit of measuring performance is lost.
The use of performance indicators by local government is a significant first step towards achieving:
· an improved capacity to objectively measure council performance leading to a better set of relationships
· better informed local communities.
The Statement outlines the the performance targets and measures set in relation to key strategic activities in respect
Activity Performance Measure Performance Target Performance Result 1 Complete Capital % of works completed by 90% completion. 94% of Capital Budget completed Works program. 30th June 2007. 2006/2007 2 Undertake Service Productivity Improvement. Productivity Improvements -50KNo action taken prior to Acting CEO appointment in Reviews/Productivity then 120K in future years. November 2006. Advised no works have been done Initiatives. since that date.
3 Achieve projected Result as presented in Achieve + or -10% of The result was substantially better than budget due Budget Operating Financial Performance of target budget Result to a substantial AusLink payment being received that Result. Statement. was not originally budgeted in the period.
4 Continue to carry out Worksafe Satisfactory completion Complete all works by Worksafe items for Whycheproof office partially completed. Improvements to of all budgeted works June 2007. Customer service doors installed. Other works being Council workplaces. within budget. reviewed by risk manager ongoing.
5 Review Road Management Plan. Satisfactory completion of Completed document to be Original Road Management plan prepared November plan. presented to Council by 2004. Reviewed new road hierachy and plan September 2007. approved by council June 2007
6 Continue review of Council Satisfactory completion Satisfactory completion Draft Prepared final document still not completed for building Asset Register. of review. of review by end of April 2007 submission to Council. Ongoing. Produce asset disposal strategy and schedule.
7 Continue review of road Assets and Satisfactory completion of CEO presentation to Council Road Hierachy standards have been approved by prepare a strategy. Road Hierachy. November / December 2006. council June 2007.
8 Prepare 5 Year Rolling Priority Satisfactory preparation of plan Adopted by Council by May Pools plan prepared. Playground plan approved by Program for Capital works. by February 2007. 2007 council in 2006. Other plans still being prepared.
9 Develop Buloke Shire Satisfactory completion. Completed by December 2006 Development of Marketing kit has since been Council Marketing Kit. put on hold until economic development strategy is completed. 10 Develop 5 Community Plans under Progress Report to Milestones. Progress Report to Milestones Commenced April 2007. One community plan CBI and Drought funding Initiative. 10 plans by end of June 2007. completed. Other community plans due to be completed within adjusted timeframes agreed with the department. Anticipated completion by end of June 2008.
11 Implement HR / Payroll Software Satisfactory Implementation . To be completed by end of Payroll system and HR systems not upgraded to date. June 2007. These items have been include in the 2007 - 2008 capital budget for completion in that year. 12 Implementation of Asset ManagemenSatisfactory Implementation . To be completed by April 2007. Partial implementation of system achieved by 30 June. and maintenance system. software has been installed and reports are starting to be generated from the system. 13 Develop Economic Satisfactory Development of Plan To be completed by Funding has been approved for strategy development. Development Strategy. December 2006. Regional Development Victoria given extension for completion to 31/10/07.
41 BULOKE SHIRE COUNCIL 2006/2007 Financial Report
PERFORMANCE STATEMENT As at 30 June 2007 Actual performance compared to Annual Actual performance for 2006/2007 Annual Plan Indicators Business Plan (ABP) for 2006/2007 compared to 2005/2006
CSMP CSMP CSMP April ABP April April Community Satisfaction 2007 Target Difference 2007 2006 Difference Actual 2006/2007 Actual Actual
CS.1 Community satisfaction rating for OVERALL PERFORMANCE GENERALLY of the council. 57 59 (2) 57 62 (5) Community satisfaction rating for COUNCIL"S ADVOCACY AND COMMUNITY REPRESENTATION on key local issues. CS.2 (Advocacy) 61 58 3 61 66 (5) Community satisfaction rating for COUNCIL'S ENGAGEMENT IN DECISION MAKING on key local issues. (Community CS.3 Engagement) 54 67 (13) 54 60 (6) Community satisfaction rating for COUNCIL'S INTERACTION AND RESPONSIVENESS in dealing with the public. (Customer CS.4 Contact) 74 78 (4) 74 73 1 Community satisfaction rating for overall performance in key service areas and responsibilities.(Individual sevice group ratings CS.5 shown below) 66 66 - 66 66 - CS.5a Community satisfaction rating for LOCAL ROADS AND FOOTPATHS 52 47 5 52 48 4 CS.5b Community satisfaction rating for HEALTH AND HUMAN SERVICES 75 75 - 75 73 2 CS.5c Community satisfaction rating for RECREATIONAL FACILITIES 71 68 3 71 70 1 CS.5d Community satisfaction rating for APPEARANCE OF PUBLIC AREAS 71 72 (1) 71 70 1 CS.5e Community satisfaction rating for TRAFFFIC MANAGEMENT AND PARKING FACILITIES 68 70 (2) 68 70 (2) CS.5f Community satisfaction rating for WASTE MANAGEMENT 73 74 (1) 73 73 - CS.5g Community satisfaction rating for ENFORCEMENT OF BY LAWS 64 68 (4) 64 65 (1) CS.5h Community satisfaction rating for ECONOMIC DEVELOPMENT 57 60 (3) 57 57 - CS.5i Community satisfaction rating for TOWN PLANNING AND POLICY APPROVAL 65 66 (1) 65 64 1
Footnote: CS means Community Satisfaction CSMP means Community Satisfaction Measured Performance
The best performed area was Local Roads and footpaths. However, Health and Human Services,Recreational Facilities, appearance of public areas and facilities and town planning showed improvement.
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