agenda - finance and infrastructure standing committee ... · 1/21/2020 · the plant utilisation...

OUR VISIONA progressive region creating opportunities for all

OUR MISSIONWe are a council committed to continuous improvement, a sustainable

future and efficient investment in our communities

OUR VALUESRespect and Integrity

Accountability and TransparencyProviding Value

Commitment and Teamwork

OUR PRIORITIESStrong, vibrant communities

Building and maintaining quality infrastructureSupporting our local economy

Protecting our people and our environmentLeadership and governance

Our organisation

Finance and Infrastructure Standing Committee Meeting

Notice is hereby given pursuant to the provisions of the Local Government Regulation 2012, that the next Meeting of the Central Highlands Regional Council will be held in the Council Chambers, 65 Egerton Street, Emerald on

Tuesday, 21 January 2020At 8.30am

For the purpose of considering the items included on the Agenda.

Scott MasonChief Executive Officer

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Agenda - Finance and Infrastructure Standing Committee Meeting - 21 January 2020

Central Highlands Regional Council 2 of 61

AGENDA CONTENTS1 PRESENT ..................................................................................................................................................32 APOLOGIES..............................................................................................................................................33 LEAVE OF ABSENCE...............................................................................................................................34 CONFIRMATION OF MINUTES OF PREVIOUS MEETING .....................................................................34.1 Minutes - Finance and Infrastructure Standing Committee Meeting - 10 December 2019 .....................35 BUSINESS ARISING OUT OF MINUTES ...............................................................................................106 REVIEW OF OUTSTANDING MEETING ACTIONS ...............................................................................107 REVIEW OF UPCOMING AGENDA ITEMS............................................................................................108 MATERIAL PERSONAL INTEREST, CONFLICT OF INTEREST, PERSONAL GIFTS AND BENEFITS

.................................................................................................................................................................109 DECISION ACTION REPORTS...............................................................................................................119.2 Infrastructure and Utilities......................................................................................................................11

9.2.1 Springsure Tambo Maintenance Proposal .... approx 15 mins ......................................................1110 INFORMATION REPORTS .....................................................................................................................1410.1 Customer and Commercial Services.....................................................................................................14

10.1.1 Customer and Commercial Services Departmental Update ….. approx 10 minutes .....................1410.1.2 Emerald Saleyards Coordination Committee Meeting Minutes - 16 December 2019 ..... approx 5

mins................................................................................................................................................3510.1.3 Emerald Airport Advisory Committee Meeting Minutes - 16 December 2019 ..... approx 5 mins ..42

10.2 Infrastructure and Utilities......................................................................................................................4910.2.1 Infrastructure and Utilities Departmental Update .... approx 15 mins............................................49

11 CLOSED SESSION .................................................................................................................................5911.1 Infrastructure and Utilities Departmental Update .... approx 10 mins....................................................5911.2 Customer and Commercial Services Departmental Update ….. approx 5 mins ...................................6012 GENERAL BUSINESS ............................................................................................................................6113 CLOSURE OF MEETING ........................................................................................................................61



1 PRESENT

2 APOLOGIES

3 LEAVE OF ABSENCE

4 CONFIRMATION OF MINUTES OF PREVIOUS MEETING

4.1 Minutes - Finance and Infrastructure Standing Committee Meeting - 10 December 2019

Finance and Infrastructure Standing Committee Meeting

Meeting of the Central Highlands Regional Council Finance and Infrastructure Standing Committee Meeting held in the Executive Meeting Rooms 1 and 2, 65 Egerton Street, Emerald on

Tuesday, 10 December 2019

Commenced at 8.30am

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CENTRAL HIGHLANDS REGIONAL COUNCIL

FINANCE AND INFRASTRUCTURE STANDING COMMITTEE MEETING

TUESDAY 10 DECEMBER 2019

MINUTES CONTENTS

PRESENT .................................................................................................................................................... 2

APOLOGIES ................................................................................................................................................ 2

LEAVE OF ABSENCE ................................................................................................................................. 2

CONFIRMATION OF MINUTES OF PREVIOUS MEETING ......................................................................... 2

Finance and Infrastructure Standing Committee Meeting: 12 November 2019 ............................................. 2

Business Arising Out Of Minutes .................................................................................................................. 2

Outstanding Meeting Actions ........................................................................................................................ 2

Review of Upcoming Agenda Items .............................................................................................................. 2

MATERIAL PERSONAL INTEREST, CONFLICT OF INTEREST, PERSONAL GIFTS AND BENEFITS .... 2

DECISION REPORT .................................................................................................................................... 3

Infrastructure and Utilities ......................................................................................................................... 3

Recycled products on road infrastructure ..................................................................................................... 3

INFORMATION REPORTS .......................................................................................................................... 3

Corporate Services ..................................................................................................................................... 3

Asset Condition Inspection Report ................................................................................................................ 3

Plant Utilisation ............................................................................................................................................. 4

Customer and Commercial Services ......................................................................................................... 4

Customer and Commercial Departmental Update ......................................................................................... 4

Infrastructure and Utilities ......................................................................................................................... 5

Infrastructure and Utilities Departmental Update .......................................................................................... 5

GENERAL BUSINESS ................................................................................................................................. 5

CLOSURE OF MEETING ............................................................................................................................. 5



MINUTES – FINANCE AND INFRASTRUCTURE STANDING COMMITTEE MEETING – TUESDAY 10 DECEMBER 2019 – PAGE 2

MINUTES – FINANCE AND INFRASTRUCTURE STANDING COMMITTEE MEETING HELD AT 8.30AM TUESDAY 10 DECEMBER 2019 IN THE CENTRAL HIGHLANDS REGIONAL EXECUTIVE MEETING ROOMS 1 AND 2, EMERALD OFFICE.

PRESENT Councillors Councillor (Crs) K. Hayes (Mayor), G. Godwin-Smith (Deputy Mayor / Chair) Councillors C. Brimblecombe, M. Daniels, G. Nixon and C. Rolfe Officers General Manager Communities J. McDougall, Acting General Manager Corporate Services G. Joubert, Acting General Manager Infrastructure and Utilities J. Hoolihan, General Manager Customer and Commercial Services M. Webster, Minute Secretary L. Pugh. Observer(s) Nil APOLOGIES Nil LEAVE OF ABSENCE Nil CONFIRMATION OF MINUTES OF PREVIOUS MEETING Finance and Infrastructure Standing Committee Meeting: 12 November 2019 Resolution:

Cr Daniels moved and seconded by Cr Nixon “That the minutes of the previous Finance and Infrastructure Standing Committee Meeting held on 12 November 2019 be confirmed.” FISC 2019 / 12 / 10 / 001 Carried (6-0)

Business Arising Out Of Minutes Cr Nixon asked for an update on the Road Use payments from Sojitz. Acting General Manager J. Hoolihan advised that Sojitz have submitted a figure and Central Highlands Regional Council are awaiting supporting documentation to justify truck loads. Outstanding Meeting Actions Cr Nixon requested that a meeting with herself, Road Maintenance Overseer South/East R. Moss and Parks and Gardens (Springsure/Rolleston) L. Jackson at the Rolleston Flood Boat Accessibility site be arranged. Review of Upcoming Agenda Items Nil MATERIAL PERSONAL INTEREST, CONFLICT OF INTEREST, PERSONAL GIFTS AND BENEFITS Nil




Attendance Infrastructure Project Engineer R. De Azevedo entered the meeting at 8:43am.

DECISION REPORT Infrastructure and Utilities Recycled products on road infrastructure Executive Summary The following report provides Central Highlands Regional Council with information on the use of recycled glass in construction materials. The report covers the standards and examines learnings from Rockhampton Regional Council (RRC) who have used the same material. Resolution:

Cr Daniels moved and seconded by Cr Brimblecombe “That Central Highlands Regional Council receive and note the report and further initiate a discussion on recycled glass and other initiatives at the Central Queensland Regional Organisation of Councils forum”.

FISC 2019 / 12/ 10 / 002 Carried (6-0)

Attendance

Infrastructure Project Engineer R. De Azevedo left the meeting at 9:04am. Manager Asset Management C. Campbell and Coordinator Strategic Asset Management E. Bullock entered the meeting at 9:04am.

INFORMATION REPORTS Corporate Services Asset Condition Inspection Report Executive Summary This report provides an update on the progress of the Asset Physical Condition Inspection Program (APCI)

and includes the sealed road inspection analysis, report and findings. The preliminary analysis and findings

of the sewer inspection program for Springsure, Capella and Tieri are also provided.

The Asset Management (AM) team have successfully completed a contract for the sealed roads and kerb

and channel asset classes. Currently, eight other contracts for asset condition assessment and data

verification are in various stages of execution. The balance of asset classes that have not been assessed

will be planned and scoped for execution next year.

Resolution:

Cr Rolfe moved and seconded by Cr Nixon “That Central Highlands Regional Council receive the

Corporate Services Asset Condition Inspection Project report.”

FISC 2019 / 12/ 10 / 003 Carried (6-0)

Attendance

Coordinator Strategic Asset Management E. Bullock left the meeting at 9:29am.




Plant Utilisation Executive Summary The following report provides information on the utilisation, management and forward planning of the Council’s plant. Through monitoring and reporting corporate services is developing and delivering a more effective and financially fiscal plan for the Council’s plant.

Resolution:

Cr Daniels moved and seconded by Cr Nixon “That Central Highlands Regional Council receive and note the plant utilisation report.”

FISC 2019 / 12/ 10 / 004 Carried (6-0)

Attendance

Manager Asset Management C. Campbell left the meeting at 9:43am. Manager Airport S. Kloppers entered the meeting at 9:43am. Customer and Commercial Services Customer and Commercial Departmental Update

Executive Summary The following report provides an update on key activities for the Customer and Commercial Services department.

1. Airport

Operational Matters

Capital Projects

2. Quarry

Operational Matters

3. Saleyard

Operational Matters

Capital Projects

4. Property Services

Staff and Community Housing

Leasing and Licensing

Resolution:

Cr Daniels moved and seconded by Cr Rolfe “That Central Highlands Regional Council receive the Customer and Commercial Services departmental update report, highlighting key activities for the month of

November 2019.” FISC 2019 / 12/ 10 / 005 Carried (6-0)

Attendance

Manager Airport S. Kloppers left the meeting at 9:55am. Water Utilities Manager P. Manning and Acting Manager Infrastructure T. Meredith entered the meeting at 9:56am.




Infrastructure and Utilities Infrastructure and Utilities Departmental Update

Executive Summary The following report provides an update on key activities for the Infrastructure and Utilities department.

1. Infrastructure

Monthly Capital Works - Update

Monthly Maintenance Works – Update

Transport Advisory Group (TAG) meeting minutes

Santos GLNG – Arcadia Valley Update

State Controlled Roads Related meeting minutes – 28 November 2019

2. Water Utilities

Irrigators Advisory Committee meetings

Woorabinda Government Champions meeting

Capital Works - Update Resolution:

Cr Brimblecombe moved and seconded by Cr Rolfe “That Central Highlands Regional Council receive the Infrastructure and Utilities departmental update report, highlighting key activities for the month of November

2019.” FISC 2019 / 12/ 10 / 006 Carried (6-0)

Attendance

Water Utilities Manager P. Manning and Acting Manager Infrastructure T. Meredith left the meeting at 10.07am.

GENERAL BUSINESS Nil

CLOSURE OF MEETING There being no further business, the Chair closed the meeting at 10:07am. CONFIRMED CHAIR DATE





5 BUSINESS ARISING OUT OF MINUTES

6 REVIEW OF OUTSTANDING MEETING ACTIONS

7 REVIEW OF UPCOMING AGENDA ITEMS

8 MATERIAL PERSONAL INTEREST, CONFLICT OF INTEREST, PERSONAL GIFTS AND BENEFITS



9 DECISION ACTION REPORTS

9.2 Infrastructure and Utilities

9.2.1 Springsure Tambo Maintenance Proposal .... approx 15 mins

DECISION REPORT

Date: 21 January 2020 Presentation Duration: Approx. 15 minutes

To: Finance and Infrastructure Standing Committee Meeting

Author: Tyronne Meredith, Acting Manager Infrastructure

Authorising Officer: Gerhard Joubert, General Manager Infrastructure and Utilities

File Reference: NIL

EXECUTIVE SUMMARY:

Central Highlands Regional Council (Council) is currently engaged in a 12 month contract with Coopers Grader Hire for maintenance grading works on the Springsure-Tambo Road and adjacent local roads. This arrangement provides benefits in the terms of increased responsiveness to emergent issues and cost efficiencies in establishing plant and equipment. It is proposed that a Request for Tender be released to find a suitable contractor to complete the scope of work for a two year period.

OFFICER RECOMMENDATION:

That Central Highlands Regional Council approve the release of a Request for Tender for maintenance grading works on the Springsure-Tambo Road and adjacent local roads for a period of a further two years.

REPORT:

In March 2018 Council entered into a 12 month contract with Coopers Grader Hire for the maintenance grading of the Springsure-Tambo Road and adjacent local roads on a unit rate basis. Prior to this contract arrangement, Council undertook maintenance works on the Springsure Tambo Road in conjunction with other works in the area either using internal resources or subcontracting the works on an as needs basis.

Process of WorksRegular inspections of the road occur between Council’s Roads Overseer and Coopers Grader Hire representatives. These inspections are used to assess condition of previous works and to determine a program for the upcoming month. As Coopers Grader Hire are now based in the area on a semi-permanent basis, they can mobilise between sites on the road quickly and cost efficiently enabling them to react to emergent issues before they further evolve. This was not typically achieved using internal resources due to the requirement to demobilise from other Council roads.

Effect on Road ConditionIt is difficult to compare road conditions prior to post contract due to the prolonged drought conditions and anecdotal increases in heavy vehicle movements. There has been positive feedback from local road users to date regarding the contract. In the first half of the 2019/20 financial year 105km of the road received a medium formation grade, 10km received a heavy formation grade and 3km received a heavy formation grade with additional gravel.

Effect on BudgetThe works detailed above for the first half of the financial year, in addition to other minor works, was completed at a cost of $238,000.



Council has claimed a total of $295,000 to date for the maintenance activities on Springsure-Tambo Road, under the Road Maintenance Performance Contract (RMPC) with Department of Transport and Main Roads (DTMR).

Future ProcessIt is proposed that a similar contract be established for a two-year period. This would require Council to go through the tender process. It is proposed that the scope, apart from an increase in time period, remain fundamentally unchanged.

CONSIDERATIONS / IMPLICATIONS:

Corporate/Operational Plan Reference: 2. Building and Maintaining Quality Infrastructure; 2.1.4 - Plan and deliver essential infrastructure that supports a sustainable future.2.2 - Corporate Plan Strategy: Affordable and well serviced infrastructure2.2.2 - Develop a roads and transport strategy ensuring the efficient and effective use of resources.

3. Supporting our Local Economy; 3.2.1 - Facilitate opportunities for existing businesses and emerging industries to consolidate and grow.

Budget/Financial/Resourcing: Works on the Springsure-Tambo Road are budgeted under a two-year RMPC between DTMR and Council.

Work on adjacent Council roads are budgeted for under the operational budget.

Legal/Policy/Delegations:Procurement as per Local Government Act 2009 and Local Government Regulations 2012Procurement as per Council’s Procurement Policy

Communication/Engagement:Ongoing consultation has occurred between Council representatives and local road users. The Request for Tender will be advertised through the local papers and Council website.

Risk Assessment: Low risk as proposed Contract will be procured and managed under Council’s Procurement Guidelines and General Conditions of Contract.

Further Council has a high risk appetite providing that the opportunity or return providing a demonstrated benefit or return for the organisation/community.

Timings/Deadlines:It is intended to have the tender process completed prior to the end of February 2020.

Alternatives considered:The alternative of completing the works using day labour resources was considered however due to the benefits previously discussed this is not recommended.

SUMMARY:

Central Highlands Regional Council is currently engaged in a contract with Coopers Grader Hire for maintenance grading works on the Springsure-Tambo Road and adjacent local roads. It is proposed that a Request for Tender be released to find a suitable contractor to complete the scope of work for a two year period.

ATTACHMENTS:

Nil



– END OF REPORT –



10 INFORMATION REPORTS

10.1 Customer and Commercial Services

10.1.1 Customer and Commercial Services Departmental Update ….. approx 10 minutes

DEPARTMENTAL UPDATE



Author: Andrew Gissel, Commercial AnalystJoe Newman, Coordinator QuarriesRhiannon Casey, Property and Leasing OfficerSalomon Kloppers, Manager Airport Steven Williams, Coordinator Property Services Tim Maguire, Saleyards Manager

Authorising Officer: Jason Hoolihan, Acting General Manager Customer and Commercial Services

File Reference: Nil

EXECUTIVE SUMMARY:

The following report provides an update on key activities for the Customer and Commercial Services department.

1. Airport Operational Matters Capital Projects Financial Performance

2. Quarry Operational Matters Financial Performance

3. Saleyards Operational Matters Capital Projects Financial Performance

4. Property Services Staff and Community Housing Financial Performance Leasing and Licensing


That Central Highlands Regional Council receive the Customer and Commercial Services departmental update report, highlighting key activities for the month of December 2019.

REPORT:



1. AIRPORT

Operational Aviation maintenance and checks As per aviation and maintenance requirements several systems were tested throughout the

month of December and were reported as fully operational and in good condition.

Aeroplane Landing Areas (ALA) All ALA’s have been visited this month. Ongoing and recurring maintenance has been

performed.

Car Park The tender evaluation panel recommendation for the car park system replacement provider is

imminent. Phase one of the car park project has been delivered with the communication systems,

underground services and IT component has been replaced. This has already resulted in a decrease in boom-up time.

Additional changes have been made that allow the system to function when communications break down (when arriving passengers swamp the mobile network at the airport).

Security All security findings of previous audits have been acquitted and accepted by the Department of

Home Affairs.

Staffing A recruitment process concluded with a replacement administration officer being employed due

to the resignation of the administration officer earlier during the period.

Capital ProjectsAir Hub Concept and Design SEEC Pty Ltd are in the process of preparing the concepts and business case for the Emerald

Airport Air Hub project for council’s consideration.

Project Denison All works related to project Denison have now been completed. Negotiations with Boral to leave the asphalt plant on site until the end of the general aviation

project was successful. This will result in simpler logistics and a higher quality asphalt being available to seal the new general aviation apron.



RPT Apron

RPT Apron



RWY 06/24

ALA Fencing Capella, Dingo and Duaringa The Duaringa aerodrome fencing has been completed. Capella and Dingo fencing is planned to

commence towards the end of quarter one.



Emerald airport entrance road surface upgrade The work has been designed and will be conducted during March 2020 using the asphalt plant

on site.

Terminal Works (concept and design) The design is currently out for peer review to ensure that engineering planning for the project

was done thoroughly. Monies have been made available as part of Budget Review One to progress this project.

Helipad Rolleston and Springsure A successful tenderer has been identified for the helicopter landing areas in Rolleston and

Springsure. Works are planned to commence during February 2020.

Emerald Airport General Aviation Apron Reconstruction This project is being delivered, with a stage one (of four) being completed. The photo below showing current progress, where stage two is to be sealed during January. This will deliver stage two and stage three. It is anticipated that the final phase of this project will

be entered towards the end of January 2020, with delivery in March 2020. Asphalt will now be provided by the on-site asphalt plant resulting in fresher asphalt than if it had

to be carted in from elsewhere.

Current Phase 2 area on general aviation apron.



Financial Performance Net earning surplus for the year of $801K which is $399K or 33% of adopted BR1 budget

($1,200K). Operating revenue ($3,576K) is $727K or 17% shy of budget ($4,303K) with the variance

against budget arising from the fact that the budgeted increase in fees and charges did not come into effect until the beginning of the second quarter resulting in a shortfall in revenue from Passenger Security Tax, Passenger Head Tax and Plane Landing Fees.

Operating expenses ($1,482K) are $332K or 18% shy of budget ($1,815K) with detailed variance analysis not yet available in the new system (Technology One).

Passenger numbers for December are unknown at the time of writing, but passenger numbers for November (18,007) were up by 913 PAX or 5.3% on the same period last year (17,094), but down by 66 PAX or 0.4% on phased (BR1) budget (18,073). YTD passenger numbers (93,489) are up by 3,727 PAX or 4.2% on the same period last year (89,762), and up by 1,520 PAX or 1.7% on phased (BR1) budget (91,969).

Parking numbers for December are unknown at the time of writing, but parking numbers for November (2,636) were up by 57 (2.2%) on previous month (2,579), but down by 1,053 (28.5%) on the same period last year (3,689) due to the problems experienced with the parking machines. YTD parking numbers (17,197) are down by 1,934 or 10.1% on the same period last year (19,131). Both short term and long-term parking numbers have plummeted since the parking machines started to fail in September and no meaningful trend analysis is currently possible.

Capital expenditure is on track with 70.9% of BR1 budget ($19.7M) spent or committed.

2. QUARRY

Operational Matters Sales for the month of December 2019 were 11,552 tonnes. Bringing the total tonnes for the first

half of the financial year to 110,326 tonnes. Sales will continue to be strong in the new year with multiple projects coming to shovel ready. Throughout the month of December 2019 Shepton Quarry has continued operating with low staff

levels. Interviews were conducted with some positive results hoping to onboard in the new year. Sales also continued out of Mungabunda Quarry in December 2019 along with some on-selling

from other external quarries.

Financial Performance Net earnings surplus for the year of $483K which is $629K better than expected ($145K deficit). Revenue ($3,788K) is $1,445K or 62% ahead of budget ($2,343K) due to continued strong

external and internal sales out of Shepton Quarry. Operating expenses ($3,011K) are $810K or 37% over budget ($2,201K) with the overspend

reflective of the increase in activity. $10K invested in finalising the variable speed drive for the VSI (carry-over project from last year)

3. SALEYARDS

Operational Matters Total number sold at regular Auction Sales for the month of December 2019 was 3,017 head.

There was an additional 1,770 head of private weigh cattle and 10,021 head private uses of the dip, 0 head cattle load on trains and 278 head of cattle weigh/scan/transfer, 317 head of cattle spelling.

Total gross sales for the month to date are $3,163,252.02. The market has fallen in rates under the pressure of extensive numbers and continued dry

season impacting the producers. Saleyards experienced very high demand for dipping, spelling and private weigh services over

the Christmas period. A reflection of the demand from producers as they continue to off load number due to the continuing dry conditions in the eastern states.



Sourcing Hay has created some on-going challenges for the facility.

Capital ProjectsReplacement of the Electrical Service Pits Gurneys Electrical are continuing with works on the project and expect completion end of March

2020.

20 x 10m Shed for Hay Storage Construction of the Hay shed is now completed and in use for the storage of our hay supplies.

This project know awaits some lighting elements.

Construction of Spelling Yards Reel Planning CQ have lodged the planning application to CHRC planners on the 25 November

2019.

Western Side Selling Pens, Change Fixed Panels to Gates Work will commence on in February 2020.

Financial Performance Net earnings surplus for the year of $194K which is $268K ahead of budget ($74K deficit). Operating revenue ($837K) is $279K or 50% ahead of a conservative budget ($558K) with all

major revenue lines contributing to the better than expected result. Feed sales in particular are exceeding all expectations, up by $188K or 230% on budget.

Operating expenses ($492K) are $11K or 2% ahead of budget ($481K) with an overspend on Materials ($60K) reflective of the increase in feed sales, offset by an underspend on Employee Benefits. Detailed variance analysis is unavailable.

Cattle numbers for December (5,043 head) were down by 349 head or 6.5% on the same period last year (5,392 head), but up by 1,282 head or 34.1% on phased (BR1) budget (3,761 head). YTD cattle numbers (56,328 head) are down by 2,821 head or 4.8% on the same period last year (59,149 head), but up by 8,859 head or 18.7% on phased (BR1) budget (47,469 head).

Capital expenditure is on track with 34% of adopted BR1 capex budget ($2.3M) spent or committed.

4. PROPERTY SERVICES

Staff and Community Housing ‘Hard to Let Application’ for Units 1-6 Malvern/Huntley Street Capella, have been endorsed by

the Department of Housing and Public Works (DHPW). Request for Quote for annual pest control and termite inspections to be evaluated and awarded

with work to commence as soon as possible. The storm that occurred in Duaringa 12 December 2019 caused damage to six houses.

Rectification of the damage has commenced with Property Services awaiting a second quote to undertake the scope of work.

Leasing and Licensing Completion of purchase of Lot 55 New Street, Emerald Queensland (Lot 55 on SP142401). Application for Minister’s approval to enter into a trustee lease over Comet Water Shed Road,

Comet (Lot 36 on SP127166) has been submitted. Execution of licence agreement between Council and Sojitz Gregory Crinum Pty Ltd for the

Selma Pipeline, located within Council’s road reserve and freehold land commenced 1 December 2019 and expiry in line with mining leases.

Execution of licence agreement between Council and the Lochington Recreation Club for temporary use of fatigue management self-contained cabin commenced 1 November 2019 and expiring 30 June 2020.



Native Title Two property services staff attended the Institute of Public Works engineering Australasia

Queensland (IPWEAQ) Native Title and Cultural Heritage Session on 4 December 2019 in Rockhampton.

Property Services are in the process of organising training on the Aboriginal and Cultural Heritage online compliance system through the IPWEAQ.

Council has undertaken significant work in compiling a Native Title Compliance system and an Aboriginal Heritage Compliance system. Both of these systems are a manual and paper based.

IPWEA has used CHRC’s compliance work and created an electronic version. In recognition of the input from Council, IPWEA have agreed to waive subscription fees for a

period of 5 years and to acknowledge Council in the introduction of the new systems. Representative from IPWEA will attend visit the Emerald office in Feb/March this year to

undertake user training and induction in the use of the online system. This will significantly improve the systems we originally proposed.

Financial Performance Net earnings deficit for the year of $714K* which is $6K below budget ($708K deficit). Result

includes $493K of depreciation. Updated (BR1) budget also includes an unphased donation of $370K to the Housing Company.

Revenue ($565K) is $34K or 6% ahead of budget ($530K) with occupancy rates marginally higher than expected.

Operating expenses ($785K) are $40K ahead of budget ($745K) with the variance attributable to the budget phasing of the afore mentioned donation ($185K), offset by delays in processing of water notices, and work on smoke alarm upgrades yet to commence.

Capital expenditure is taking off with 17% of BR1 budget ($2.1M) spent or committed.

ATTACHMENTS:

1. Management Report - Airport - December 2019 [10.1.1.1 - 5 pages]2. Management Report - Quarry - December 2019 [10.1.1.2 - 2 pages]3. Management Report - Saleyards - December 2019 [10.1.1.3 - 4 pages]4. Management Report - Housing Services - December 2019 [10.1.1.4 - 2 pages]


NotesYTD

Actuals

YTD

Budget

Remaining

Budget

YTD

Budget

Utilised (%)

Original

Full Year

BudgetOperating Income

Aerodrome User Fees and Charges 1 3,575,740 4,302,538 726,798 83% 8,415,866

Other Income - - - 0% -

Total Operating Income 3,575,740 4,302,538 726,798 83% 8,415,866

Operating Expenses

Employee Benefits ( 391,998) ( 481,505) ( 89,507) 81% ( 994,146)

Materials and Services ( 962,345) ( 1,194,006) ( 231,661) 81% ( 2,349,080)

Other Expenses ( 1,689) ( 10,937) ( 9,248) 15% ( 67,455)

Internal - Plant Hire & Overheads ( 126,150) ( 128,226) ( 2,076) 98% ( 233,953)

Total Operating Expenses ( 1,482,183) ( 1,814,674) ( 332,492) 82% ( 3,644,634)

EBITDA - surplus/(deficit) 2 2,093,557 2,487,864 394,307 84% 4,771,232

Non-Operating Expenses

Finance Costs (Interest on Loans) ( 374,926) ( 370,068) 4,858 101% ( 740,433)

Depreciation ( 917,352) ( 917,352) - 100% ( 1,835,432)

Total Non-Operating Expenses ( 1,292,278) ( 1,287,420) 4,858 100% ( 2,575,865)

NET EARNINGS - surplus/(deficit) 801,279 1,200,444 399,164 67% 2,195,367

Notes:

1. Details of aerodrome user fees and charges are shown in Table 1 below2. EBITDA = Earnings Before Interest, Taxes, Depreciation and Amortization

Table 1

NotesYTD

Actuals

YTD

Budget

Remaining

Budget

YTD

Budget

Utilised (%)

Original

Full Year

Budget

Operating Income

Aerodrome User Fees and Charges (Total) 3,575,740 4,302,538 726,798 83% 8,415,866

Summarised as:

Public Carpark Fees 388,546 403,111 14,565 96% 780,000

Lease/Rent Fees Received 122,650 123,666 1,016 99% 247,425

Passenger Security Tax 709,723 970,468 260,745 73% 1,890,000

Plane Parking Fees 1,077 - ( 1,077) 0% -

Passenger Head Tax 1,774,993 2,146,793 371,800 83% 4,180,909

Plane Landing Fees - Avdata 1 428,156 552,648 124,492 77% 1,105,744

Car Rental Company Carpark Fees 124,233 99,960 ( 24,273) 124% 200,000

Other Income (Charter Departing and Late Opening) 26,362 5,892 ( 20,470) 447% 11,788

Notes:

1. Plane landing fees are collected by Avdata. The income is the actual payment collected by Avdata.

Table 2

NotesYTD

Actuals

YTD

Budget

Remaining

Budget

YTD

Budget

Utilised (%)

Original

Full Year


Public Carpark Fees 388,546 403,111 14,565 96% 780,000

Car Rental Company Carpark Fees 124,233 99,960 ( 24,273) 124% 200,000

Other Revenue - - - 0%

Total Operating Income 512,779 503,071 ( 9,708) 102% 980,000

Operating Expenses

Employee Benefits - - - 0% -

Materials and Services ( 27,077) ( 48,534) ( 21,457) 56% ( 97,100)

Other Expenses - - - 0% -

Internal - Plant Hire & Overheads - - - 0% -

Total Operating Expenses ( 27,077) ( 48,534) ( 21,457) 56% ( 97,100)

EBITDA - surplus/(deficit) 485,702 454,537 ( 31,165) 107% 882,900


Finance Costs (Interest on Loans) 3,136 - ( 3,136) 0% -

Depreciation ( 99,012) ( 99,012) - 100% ( 198,101)

Total Non-Operating Expenses ( 95,876) ( 99,012) ( 3,136) 97% ( 198,101)

NET EARNINGS - surplus/(deficit) 389,826 355,525 ( 34,301) 110% 684,799

Airport Carparks 2019/20

Operating Income and Expenses - Aerodrome

For Period Ending

December 2019

Aerodrome User Fees and Charges 2019/20

2019/20



CAPITAL PROJECTS AS AT 31 DECEMBER 2019

Capital ProjectsYTD Year Actuals

2019/20

2019/20

Commitments

Total Actuals +

Commitments

2019/20

Adopted Carry

Overs from

2019/20

Budget

2019/20

Proposed Carry-

overs and BR1

Adjustments

Total Budget% Spent of Total

Budget

19938 - Emerald Airport Car Park System 34,041 73,769 107,810 38,000 38,000 284%

19939 - Terminal Works (concept and design) 4,725 123,775 128,500 95,000 95,000 135%

15727 - Extend/widen taxiway B-1 to txy D as first stage of GA apron area upgrade 773,302 2,580,304 3,353,606 3,000,000 3,000,000 112%

15728 - Emerald Airport Runway overlay 7,081,582 2,964,022 10,045,604 13,000,000 307,758 13,307,758 75%

18323 - Check In / Glass partition changes 2,100 2,500 4,600 - 4,600 4,600 100%

18890 - Emerald Airport Air Hub Concept & Design 45,476 7,650 53,126 228,067 - 50,000 278,067 19%

19513 - Rolleston aerodrome runway resurfacing 741 741 - 741 741 100%

19514 - Emerald airport CCTV terminal upgrade project 148 148 - 148 148 100%

19772 - Springsure Aerodrone runway resurfacing 741 741 - 741 741 100%

19850 - Fire System Design 31,007 31,850 62,857 - 65,360 65,360 96%

19940 - ALA Fencing, Capella. 5,644 3,800 9,444 243,000 243,000 4%

19941 - ALA Fencing, Dingo 429 429 135,000 135,000 0%

19943 - ALA Fencing, Duaringa 1,288 150,371 151,659 135,000 135,000 112%

19942 - ALA Grading, Capella 2,402 2,402 72,000 72,000 3%

19944 - Helipad Rolleston 6,210 6,210 45,000 45,000 14%

19945 - Helipad Springsure 6,210 6,210 45,000 45,000 14%

19936 - Concept and design funding - Airport 2,400 2,400 47,500 (40,000) 7,500 32%

19947 - Screening equipment replacement (GBA RFT admin) - - 10,000 10,000 0%

18584 - Emerald Airport - Enhance entrance statement (Works for Queensland 17-19) 37,818 37,818 - 32,107 32,107 118%

19937 - Emerald Airport access ring road reseal scope and design - - 14,250 14,250 0%

19946 - Emerald airport entrance road surface upgrade 4,130 220 4,350 135,000 135,000 3%

NEW - 15/33 Seal Design - - 30,000 30,000 0%

NEW - Rollestone runway seal design - - 10,000 10,000 0%

NEW - Terminal security upgrade - - 2,000,000 2,000,000 0%

Total Capital Expenditure 8,040,393 5,938,262 13,978,655 228,067 17,014,750 2,461,455 19,704,272 70.9%

ASSETS & LIABILITIES AS AT 30 JUNE 2018

Replacement

Value

Accumulated

Depreciation

Written Down

Value 30/06/18

Closing Balance

30/06/18

ASSETS

Existing Non-Depreciating Assets

Land & Improvements (Excluding Land Held as Inventory) 4,345,000 - 4,345,000 4,345,000

WIP (Capex) - - - -

Total Non-Depreciating Assets 4,345,000 - 4,345,000 4,345,000

Existing Depreciating Assets

Buildings 8,634,227 1,770,376- 6,863,851 6,863,851

Roads, Drainage and Bridge Network 25,905,213 7,923,602- 17,981,610 17,981,610

Site Improvements 10,127,856 1,988,022- 8,139,834 8,139,834

Stormwater Pipes 16,335 966- 15,369 15,369

Motor Vehicles 23,213 2,371- 20,842 20,842

Total Depreciating Assets 44,706,843 11,685,337- 33,021,506 33,021,506

TOTAL ASSETS 49,051,843 11,685,337- 37,366,506 37,366,506

LIABILITIES

Loans

Loan Balance n/a n/a n/a 14,490,864

TOTAL LIABILITIES n/a n/a n/a 14,490,864

RECONCILIATION OF RESERVES AS AT 30 JUNE 2018

Aerodrome Fund

Opening Reserve

Balance

01/07/2017

Actual Transfers

To Reserves

Actual Transfers

From Reserves

Actual Reserve

Balance

30/06/2018

Internally Allocated Reserves Aerodrome Business Unit 6,628,875 1,792,154 (1,335,866) 7,085,163

Carry Over Capital Projects 187,471 187,471

Future Capital Sustainability - Unspent Depreciation 608,206 1,112,671 1,720,877

Total 7,424,552 2,904,825 (1,335,866) 8,993,511

Externally Restricted Reserves Constrained Grants & Subsidies 62,111 71,581 (108,692) 25,000

-

-

Total 62,111 71,581 (108,692) 25,000



Passenger Numbers

July 19,345 18,754 18,734 18,812 17,744 19,431 22,412 24,696

August 18,687 18,740 19,064 17,900 18,284 19,014 21,099 23,657

September 18,065 17,664 16,786 17,381 17,910 19,016 21,223 23,740

October 19,385 18,737 18,084 18,773 18,383 19,203 22,398 24,892

November 18,007 18,073 17,094 17,777 18,409 19,122 19,486 21,448

December 15,861 15,110 15,099 16,551 17,342 18,193 21,601

January 15,829 15,185 15,693 15,788 15,624 15,709 20,182

February 15,901 15,532 15,920 15,426 16,003 15,642 19,638

March 18,223 16,951 18,129 18,643 18,344 19,270 22,261

April 16,773 16,463 16,565 16,421 16,530 19,270 21,350

May 18,074 17,865 17,825 17,595 18,101 18,433 20,928

June 17,370 17,205 16,874 17,130 18,377 19,353 20,840

Total 93,489 210,000 204,073 206,748 208,284 216,107 232,488 265,233

Actual PAX

14/15

Actual PAX

13/14Month

Actual PAX

This Year

Budget PAX

This Year

Actual PAX

17/18

Actual PAX

16/17

Actual PAX

15/16

Actual PAX

18/19

-

5,000

10,000

15,000

20,000

25,000

30,000

Pa

sse

ng

er

No

.

2019/20 Passenger Number (PAX)

Actual PAX

This Year

Budget PAX

This Year

Actual PAX

18/19

Actual PAX

17/18

Actual PAX

16/17

Actual PAX

15/16

Actual PAX

14/15

Actual PAX

13/14

-

500,000

1,000,000

1,500,000

2,000,000

2,500,000

Public Carpark

Fees

Lease/Rent

Fees Received

Passenger

Security Tax

Plane Parking

Fees

Passenger

Head Tax

Plane Landing

Fees - Avdata

Car Rental

Company

Carpark Fees

Charter

Departing and

Late Opening

$

December 2019 Aerodrome YTD Revenue vs Current YTD Budget

YTD Actuals

YTD Budget

-

200,000

400,000

600,000

800,000

1,000,000

1,200,000

1,400,000

Employee Benefits Materials and

Services

Internal - Plant Hire

and Overheads

Finance Costs

(Interest on Loan

and Bad Debts)

Depreciation Other Expenses

$

December 2019 Aerodrome YTD Expenditure vs YTD Budget

YTD Actuals

YTD Budget



Parking Numbers

Month PAX ST Parking PAX/ST

Duration

(Days) /

ST User LT Parking PAX/LT

Duration

(Days) /

LT User

Total

Parking

Jul-17 18,812 3,879 4.85 1.00 774 24.30 5.69 4,653

Aug-17 17,900 3,305 5.42 1.06 735 24.35 5.98 4,040

Sep-17 17,381 3,286 5.29 0.96 722 24.07 5.80 4,008

Oct-17 18,773 3,155 5.95 1.17 801 23.44 5.77 3,956

Nov-17 17,777 3,181 5.59 1.12 756 23.51 6.02 3,937

Dec-17 15,099 3,074 4.91 0.96 588 25.68 5.55 3,662

Jan-18 15,693 2,906 5.40 1.10 726 21.62 6.87 3,632

Feb-18 15,920 2,705 5.89 1.14 637 24.99 5.65 3,342

Mar-18 18,129 3,152 5.75 1.10 719 25.21 5.60 3,871

Apr-18 16,565 3,010 5.50 1.09 767 21.60 5.92 3,777

May-18 17,825 2,857 6.24 1.18 783 22.77 5.78 3,640

Jun-18 16,874 3,011 5.60 1.03 712 23.70 5.62 3,723

Jul-18 18,734 3,195 5.86 1.03 717 26.13 6.06 3,912

Aug-18 19,064 3,141 6.07 1.00 804 23.71 5.85 3,945

Sep-18 16,786 2,854 5.88 0.94 748 22.44 5.78 3,602

Oct-18 18,084 3,157 5.73 0.92 826 21.89 5.76 3,983

Nov-18 17,094 2,948 5.80 0.88 741 23.07 5.65 3,689

Dec-18 15,110 3,093 4.89 0.80 593 25.48 5.92 3,686

Jan-19 15,039 2,862 5.25 0.87 684 21.99 6.80 3,546

Feb-19 15,704 2,711 5.79 0.97 759 20.69 5.69 3,470

Mar-19 16,951 2,857 5.93 0.83 831 20.40 5.41 3,688

Apr-19 16,463 3,052 5.39 0.73 806 20.43 6.13 3,858

May-19 17,865 2,705 6.60 0.80 895 19.96 5.43 3,600

Jun-19 17,205 3,024 5.69 0.70 840 20.48 5.39 3,864

Jul-19 19,345 3,153 6.14 0.70 961 20.13 5.67 4,114

Aug-19 18,687 2,950 6.33 0.77 921 20.29 5.41 3,871

Sep-19 18,065 3,074 5.88 0.68 923 19.57 5.39 3,997

Oct-19 19,385 1,954 9.92 0.72 625 31.02 6.02 2,579

Nov-19 18,007 2,123 8.48 0.62 513 35.10 5.79 2,636

0

5,000

10,000

15,000

20,000

25,000

Jul-

17

Au

g-1

7

Se

p-1

7

Oct

-17

No

v-1

7

De

c-1

7

Jan

-18

Fe

b-1

8

Ma

r-1

8

Ap

r-1

8

Ma

y-1

8

Jun

-18

Jul-

18

Au

g-1

8

Se

p-1

8

Oct

-18

No

v-1

8

De

c-1

8

Jan

-19

Fe

b-1

9

Ma

r-1

9

Ap

r-1

9

Ma

y-1

9

Jun

-19

Jul-

19

Au

g-1

9

Se

p-1

9

Oct

-19

No

v-1

9

Passenger & Parking Numbers

PAX Total Parking Trend (PAX) Trend (Parking)

0

200

400

600

800

1,000

1,200

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

Jul-

17

Au

g-1

7

Se

p-1

7

Oct

-17

No

v-1

7

De

c-1

7

Jan

-18

Fe

b-1

8

Ma

r-1

8

Ap

r-1

8

Ma

y-1

8

Jun

-18

Jul-

18

Au

g-1

8

Se

p-1

8

Oct

-18

No

v-1

8

De

c-1

8

Jan

-19

Fe

b-1

9

Ma

r-1

9

Ap

r-1

9

Ma

y-1

9

Jun

-19

Jul-

19

Au

g-1

9

Se

p-1

9

Oct

-19

No

v-1

9

Lon

g T

erm

Sh

ort

Te

rm

Short & Long Term Parking Numbers

ST Parking LT Parking Trend (ST) Trend (LT)

0

1

2

3

4

5

6

7

8

Jul-

17

Au

g-1

7

Se

p-1

7

Oct

-17

No

v-1

7

De

c-1

7

Jan

-18

Fe

b-1

8

Ma

r-1

8

Ap

r-1

8

Ma

y-1

8

Jun

-18

Jul-

18

Au

g-1

8

Se

p-1

8

Oct

-18

No

v-1

8

De

c-1

8

Jan

-19

Fe

b-1

9

Ma

r-1

9

Ap

r-1

9

Ma

y-1

9

Jun

-19

Jul-

19

Au

g-1

9

Se

p-1

9

Oct

-19

No

v-1

9

Ave

rag

e D

ays

pe

r V

isit

Short & Long Term Parking Duration

ST Parking LT Parking Trend (ST) Trend (LT)



Aerodrome Finance Ratios Dec-19

Self-Generation Ratio

(Cash Inflow + Retained Cash) / Cash Outflow

Cash at beginning of reporting period (01/07/19) ¹ 11,203,173

Cash inflow for the reporting period (01/07/19 - 31/12/19) ² 2,907,577

Cash outflow for the reporting period (01/07/19 - 31/12/19) ³ 10,186,638

Self-Generation Ratio 139%

Target Ratio 100%

Does Self-Generation Ratio meet or exceed Target Ratio? YES

Notes:

² Cash inflow represents opening trade receivable plus sales earned for the reporting period less

closing trade receivables

Operating Surplus Ratio

(Net Operating Surplus / Total Operating Revenue) (%)

Net Operating Surplus/(Deficit) 2,093,557

Total Operating Revenue 3,575,740

Operating Surplus Ratio 59%

Target Ratio 10%

Does Operating Surplus Ratio meet or exceed Target Ratio? YES

Asset Sustainability Ratio

(Capital Expenditure on the Replacement of Assets (renewals) / Depreciation Expense)

Capital Expenditure 8,040,393

Depreciation Expense 917,352

Asset Sustainability Ratio 876%

Target Ratio 90%

Does Asset Sustainability Ratio meet or exceed Target Ratio? YES

Days Receivables

Trade Receivables / Sales x Period Days

Opening Trade Receivables at 01/07/19 694,949

Closing Trade Receivables at 31/12/19 1,363,112

Sales 3,575,740

Period Days (01/07/19 - 31/12/19) 184

Accounts Receivable Turnover Ratio 3

Days Receivable 53

Target Days 30

Does Days Receivable Ratio meet or fall below Target Days? NO

¹ Aerodrome does not have its own bank account, opening cash represents balance of reserves as at 01/07/18

³ Cash outflow represents purchases of materials and services, wages, interests, loan redemption and capital

purchases for the reporting period

139%

100%

0%

20%

40%

60%

80%

100%

120%

140%

160%

Self-Generation Ratio Target Ratio


59%

10%

0%

10%

20%

30%

40%

50%

60%

70%

Operating Surplus Ratio Target Ratio


876%

90%

0%

100%

200%

300%

400%

500%

600%

700%

800%

900%

1000%

Asset Sustainability Ratio Target Ratio


53

30

-

10

20

30

40

50

60

Days Receivable Target Days

Days Receivable



Consolidated Quarry Operating Result

NotesYTD

Actuals

YTD

Budget

Remaining

Budget

YTD

Budget

Utilised (%)

Original

Full Year

Budget

Operating Income

Quarry Sales Revenue 3,783,185 2,343,394 (1,439,791) 161% 4,062,000 Other Revenues 5,311 0 (5,311) No Budget 427,500Total Operating Income 3,788,497 2,343,394 -1,445,103 162% 4,489,500

Operating Expenses

Employee Benefits (286,292) (317,181) (30,889) 90% (567,061) Materials & Services (1,863,711) (1,451,381) 412,330 128% (2,704,499) Incl $1,007 extraordinary (Marrawah Law - quarry lease amendment)

Movement in Inventory 1 (410,137) (100,000) 310,137 410% 200,000 Other Expenses (7,037) (6,838) 199 103% (13,675) Internal - Plant Hire (285,654) (167,088) 118,566 171% (246,383) Internal - Overheads (158,549) (158,484) 65 100% (317,099)Total Operating Expenses (3,011,381) (2,200,972) 810,409 137% (3,648,717)

EBITDA - surplus/(deficit) 2 777,116 142,422 (634,694) 545.6% 840,783


Finance Costs (181,768) (175,884) 5,884 103% (351,903)

Depreciation (111,990) (111,990) 0 100% (224,066)Total Non-Operating Expenses (293,758) (287,874) 5,884 102% (575,969)

NET EARNINGS - surplus/(deficit) 483,358 (145,452) (628,810) -332% 264,813

Notes:

1. Shown separately in table above in order to not skew Materials & Services

2. EBITDA = Earnings Before Interest, Taxes, Depreciation and Amortization

YTD Actuals

2019/20Commitments

Total Actuals +

Commitments

2018/19

Proposed Carry

Forward

Adjustments

Proposed BR1

AdjustmentsTotal Budget

% Spent of

Total Budget

10,362 - 10,362 10,363 - 10,363 100%

- - - - - No Budget

- - 19,299 30,700 49,999 0%

10,362 - 10,362 29,662 30,700 60,362 17%


Replacement

Value

Accumulated

Depreciation &

Impairment1

Written Down

Value 30/06/18

Closing Balance

30/06/18

- - -

n/a n/a 1,915,677 1,915,677

n/a n/a 504,521 504,521

- - 2,420,198 2,420,198

14,464,168 (10,241,751) 4,222,417 4,222,417

14,464,168 (10,241,751) 4,222,417 4,222,417

14,464,168 (10,241,751) 6,642,615 6,642,615

n/a n/a n/a 8,572,221

2,773,191

37,938

370,673

n/a n/a n/a 11,754,023 1 Accumulated depreciation $2,565,105; impairment of fixed crushing plant $7,676,6462 See table below3 Please note that only $201,759 of these provisions are funded as at 30 June 2018

*Inventory Details as at 30 June 2018 - Shepton Quarry

Volume

ton

BASE GRAVEL 2.1 - COUNCIL 19,001



ROCK - MINUS 100MM - COUNCIL 1,057

AGGREGATE 7MM - COUNCIL 11,582




CONCRETE AGGREGATE - COUNCIL 15,981

BALLAST - COUNCIL 9,015

CRUSHER DUST COUNCIL 44,111

UNSPEC GRAVEL - COUNCIL 2,912

MINUS 75MM SLECT FILL- COUNCIL 7,549

SIZED ROCK - COUNCIL 7

AGGREGATE 20MM - COUNCIL 357

UNDERGROUND MIX 312

148,803

*Inventory Details as at 30 June 2018 - Mungabunda

Volume

ton



UNSPEC GRAVEL - COUNCIL 4,501

SIZED ROCK - COUNCIL 475

34,600


Quarry Fund

Opening Reserve

Balance

01/07/2017

Actual Transfers

From Reserves

Closing

Reserve

Balance

30/06/2018

579,846 (192,637) 387,209

579,846 (192,637) 387,209

- - -

-

Product Name

18325 - Contruct stormwater run-off control system

ASSETS

LIABILITIES

TOTAL ASSETS

TOTAL LIABILITIES



Provisions

Land & Improvements (Excluding Land Held as Inventory)

Inventory2

- Shepton Quarry

Externally Restricted Reserves

Constrained Grants & Subsidies

Total

Capital Projects

17510 - Precoat plant upgrade to meet compliance

Operating Income and Expenses - QuarryFor Period Ending

December 20192019/20

Budget

2019/20

Quarry Rehabilitation Provision3

- Shepton Quarry

Total Capital Expenditure

Total Depreciating Assets

Loans

- Mungabunda

Property Plant & Equipment

Loan Balance

Future Capital Sustainability - Unspent Depreciation

Total

Product Name

- Mungabunda

- Other Quarry Sites

19823 - Variable Speed Drive for VSI

-

Actual Transfers To

Reserves

-

Total Inventory

Total Inventory

Internally Allocated Reserves

Quarry Business Unit



Quarry Finance Ratios Dec-19


((Cash Inflow + Retained Cash) / Cash Outflow)

Cash at beginning of reporting period (01/07/19) ¹ -

Cash inflow for the reporting period (01/07/19 - 31/12/19) ² 3,501,174



Target Ratio 1

Does Self-Generation Ratio meet or exceed Target Ratio? No

Notes:

² Cash inflow represents opening trade receivables plus sales earned for the reporting period less closing trade receivables



Net Operating Surplus/(Deficit) 777,116Total Operating Revenue 3,788,497

Operating Surplus Ratio 21%

Target Ratio 10%

Does Operating Surplus Ratio exceed Target Ratio? Yes



Capital Expenditure 10,362Depreciation Expense 111,990


Target Ratio 90%

Does Asset Sustainability Ratio exceed Target Ratio? No

Days Receivables


Opening Trade Receivables at 01/07/19 933,940 Closing Trade Receivables at 31/12/19 1,221,263 Sales 3,788,497 Period Days (01/07/18 - 31/12/19) 184 Accounts Receivable Turnover Ratio 4

Days Receivable 52

Target Days 30

Does Days Receivable Ratio meet or fall below Target Days? No

Days Inventory

Inventory / Cost of Goods Sold x Period Days

Inventory on Hand 31/10/19 2,045,222 Cost of Goods Sold (Opening Stock + Production - Closing Stock) 1,161,166 Period Days (01/07/18 - 31/12/19) 184

Days Inventory 324

Target Days 90

Does Days Inventory Ratio meet or fall below Target Days? No

¹ Quarry does not have its own bank account, opening cash represents balance of reserves as at 01/07/18

³ Cash outflow represents purchases of materials and services, wages, interests, loan redemption and capital purchases for

the reporting period

100% 100%

0%

20%

40%

60%

80%

100%

120%



21%

10%

0%

5%

10%

15%

20%

25%



9%

90%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%



52

30

-

10

20

30

40

50

60


Days Receivable

324

90

-

50

100

150

200

250

300

350

Days Inventory Target Days

Days Inventory



NotesYTD

Actuals

YTD

Budget

Remaining

Budget

YTD

Budget

Utilised (%)

Original

Full Year

Budget

Operating Income

User Fees and Charges 1 837,212 558,266 ( 278,946) 150% 1,113,270

Total Operating Income 837,212 558,266 ( 278,946) 150% 1,113,270

Operating Expenses

Employee Benefits ( 189,083) ( 234,914) ( 45,831) 80% ( 486,363)

Materials & Services ( 201,529) ( 141,228) 60,301 143% ( 271,652)

Other Expenses ( 5,329) ( 5,466) ( 137) 97% ( 23,124)

Internal Plant Hire ( 15,743) ( 19,734) ( 3,991) 80% ( 39,490)

Overheads Allocated ( 80,751) ( 80,154) 597 101% ( 160,372)

Total Operating Expenses ( 492,435) ( 481,496) 10,939 102% ( 981,001)

EBITDA - surplus/(deficit) 2 344,777 76,770 ( 268,007) 449% 132,269

Non-Opertating Expenses

Finance Costs ( 10,391) ( 10,200) 191 102% ( 20,404)

Depreciation ( 140,286) ( 140,286) - 100% ( 280,684)

Total Non-Operating Expenses ( 150,677) ( 150,486) 191 100% ( 301,088)

NET EARNINGS - surplus/(deficit) 194,100 ( 73,716) ( 267,816) -263% ( 168,819)

Notes:

1. Refer Table 1 below


NotesYTD

Actuals

YTD

Budget

Remaining

Budget

YTD

Budget

Utilised (%)

Original

Full Year

Budget

Operating Income

Saleyards User Fees and Charges (Total) 837,212 558,266 ( 278,946) 150% 1,113,270

Summaried as:

User Fees & Charges

Saleyards Agents Fees 11,709 12,090 381 97% 12,090

Yard Dues 463,082 413,132 ( 49,950) 112% 834,990

Dipping Fees 65,967 30,330 ( 35,637) 217% 60,680

Lease/Rent Fees Received 9,997 9,978 ( 19) 100% 19,970

Other User Charges (Sundry) 4,717 4,998 281 -

Feed Sales 268,925 81,420 ( 187,505) 330% 162,900

Spelling Fees 547 - ( 547) 10,000

Cattle Tags 6,529 5,316 ( 1,213) 123% 10,640

Load / Unload Fees 5,740 1,002 ( 4,738) 573% 2,000

Notes:

YTD Actuals

2019/20

2019/20

Commitments

Total Actuals +

Commitments

2019/20

Proposed Carry

Forward

Adjustments

Total Budget% Spent of

Total Budget

114,431 114,431 - 127,195 127,195 90%

- 14,545 14,545 - 20,205 20,205 72%

161,137 38,240 199,377 - 266,425 266,425 75%

41,281 16,684 57,965 - 47,733 47,733 121%

46,149 57,806 103,956 1,303,500 - 1,303,500 8%

34,576 34,576 - 32,740 32,740 106%

100,284 30,139 130,423 300,150 - 300,150 43%

88,650 88,650 80,000 80,000 111%

41,955 6,408 48,363 80,000 80,000 60%

- - 47,500 47,500 0%

2,097 4,423 6,520 25,000 25,000 26%

630,560 168,246 798,806 1,836,150 494,298 2,330,448 34%Total Capital Expenditure

19848 - Scalehouse Roof

19865 - Delivery Lanes 3 and 4

19949 - Catwalk for Top of Double Decker Ramp

19948 - Concept and design funding - Saleyards

19950 - Western Side Selling Pens, Change Fixed Panels to Gates

Saleyards User Fees & Charges 2019/20

2019/20

Budget

2019/20

Operating Income and Expenses - Saleyards

For Period Ending

December 2019

Table 1

Capital Projects

19507 - Additional Double Decker Dump Ramp

19509 - Light pole Replacement

19847 - Spelling Yard

19835 - Draft Area - Additional Shade

19508 - 20 x 10m Shed for Hay Storage

19506 - Replacement of the Electrical Service Pits




Replacement

Value

Accumulated

Depreciation

Written Down

Value 30/06/18

Closing Balance

30/06/18

ASSETS


Land & Improvements 850,000 - 850,000 850,000

Inventory (hay, dip, tags) 3,655 3,655

Total Non-Depreciating Assets 850,000 - 853,655 853,655


Buildings and Facilities 135,280 (43,244) 92,036 92,036

Water Infrastructure 155,147 (76,479) 78,667 78,667

Site Improvements 6,596,331 (1,795,520) 4,800,811 4,800,811

Total Depreciating Assets 6,886,758 (1,915,243) 4,971,515 4,971,515

TOTAL ASSETS 7,736,758 (1,915,243) 5,825,170 5,825,170

LIABILITIES

Loans

Loan Balance 441,725

TOTAL LIABILITIES 441,725


Saleyards Fund

Opening

Reserve Balance

01/07/2017

Actual Transfers

From Reserves

Closing

Reserve

Balance

30/06/2018

220,578 (220,578) -

(264,962) -

-

220,578 (485,540) -

(50,000) -

-

- (50,000) -

Saleyards Business Unit



Constrained Grants & Subsidies

Future Capital Sustainability - Unspent Depreciation

50,000

Actual Transfers To

Reserves

264,962

50,000

264,962



0 50,000 100,000 150,000 200,000 250,000 300,000 350,000 400,000 450,000 500,000

Saleyards Agents Fees

Yard Dues

Dipping Fees

Lease/Rent Fees Received

Other User Charges (Sundry)

Feed Sales

Spelling Fees

Cattle Tags

Load / Unload Fees

December 2019 Saleyards YTD Revenue vs Current YTD Budget

YTD Budget (BR1) YTD Actuals

-

20,000

40,000

60,000

80,000

100,000

120,000

-

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

10,000

11,000

12,000

13,000

Saleyards Cattle Sale Numbers 2019/20

Private Sale Numbers

Agent Sale Numbers

2019/20 Cumulative Budget

2019/20 Actuals

$0

$1,000,000

$2,000,000

$3,000,000

$4,000,000

$5,000,000

$6,000,000

$7,000,000

$8,000,000

$9,000,000

$10,000,000

July August September October November December January February March April May June

Value of Saleyards Cattle Sales

Cattle Sales Value 2019/20

Cattle Sales Value 2018/19

0 50,000 100,000 150,000 200,000 250,000

Employee Benefits

Materials & Services

Other Expenses

Internal Plant Hire

Overheads Allocated

Financial Costs (Interest on Loans)

Depreciation

December 2019 Saleyards YTD Expenditure vs Current YTD Budget

YTD Budget (BR1) YTD Actuals



Saleyards Finance Ratios Dec-19


((Cash Inflow + Retained Cash) / Cash Outflow)

Cash at beginning of reporting period (01/07/19) ¹ -

Cash inflow for the reporting period (01/07/19 - 31/12/19) ² 765,158



Target Ratio 100%

Does Self-Generation Ratio meet or exceed Target Ratio? NO

Notes:



Net Operating Surplus/(Deficit) 344,777

Total Operating Revenue 837,212

Operating Surplus Ratio 41.2%

Target Ratio 10.0%

Does Operating Surplus Ratio meet or exceed Target Ratio? YES



Capital Expenditure 630,560

Depreciation Expense 140,286


Target Ratio 90%

Does Asset Sustainability Ratio meet or exceed Target Ratio? YES

Days Receivables


Opening Trade Receivables at 01/07/19 84,061

Closing Trade Receivables at 31/12/19 156,115

Sales 837,212

Period Days (01/07/18 - 31/12/19) 184

Accounts Receivable Turnover Ratio 7

Days Receivable 26

Target Days 30

Does Days Receivable Ratio meet or fall below Target Days? YES

¹ Saleyards does not have its own bank account, opening cash represents balance of reserves as at 01/07/18

² Cash inflow represents opening trade receivables plus sales earned for the reporting period less closing trade receivables

³ Cash outflow represents purchases of materials and services, wages, interests, loan redemption and capital purchases for the

reporting period

50%

100%

0%

20%

40%

60%

80%

100%

120%



41%

10%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%



449%

90%

0%

50%

100%

150%

200%

250%

300%

350%

400%

450%

500%



26

30

-

5

10

15

20

25

30

35


Days Receivable



Housing Services Operating Result

NotesYTD

Actuals

YTD

Budget

Remaining

Budget

YTD

Budget

Utilised (%)

Original

Full Year


Rental Income 560,557 530,232 -30,325 106% 1,060,880

Other Income 4,013 0 -4,013 No Budget -

Total Operating Income 564,570 530,232 -34,338 106% 1,060,880

Operating Expenses

Employee Benefits (66,350) (43,163) 23,187 154% (87,671)

Materials & Services (245,772) (321,282) (75,510) 76% (958,221)

Other Expenses (463,757) (371,508) 92,249 125% (2,698)

Internal Plant Hire (9,555) (9,366) 189 102% (18,740)

Total Operating Expenses (785,435) (745,319) 40,116 105% (1,067,330)

EBITDA - surplus/(deficit) 1 (220,865) (215,087) 5,778 102.7% (6,450)


Finance Costs 0 0 0 No Budget 0

Depreciation (492,948) (492,948) 0 100% (986,298)

Total Non-Operating Expenses (492,948) (492,948) 0 100% (986,298)

NET EARNINGS - surplus/(deficit) (713,813) (708,035) 5,778 101% (992,748)

Notes:


YTD Actuals

2019/20

2019/20

Commitments

Original Budget

2019/20

Budget

Review 1Total Budget

% Spent of

Total Budget

- - 360,000 360,000 0%

- 155,853 47,500 (30,700) 16,800 928%

42,474 13,449 360,000 68,580 428,580 13%

24,699 133,378 1,350,000 1,350,000 12%

67,173 302,680 2,117,500 37,880 2,155,380 17%

Notes:


Replacement

Value

Accumulated

Depreciation

Written Down

Value 30/06/17

Closing Balance

30/06/17

- - - -

40,309,007 8,034,712- 32,274,295 32,274,295

1,257,431 267,178- 990,253 990,253

41,566,438 8,301,890- 33,264,549 33,264,549

41,566,438 8,301,890- 33,264,549 33,264,549

n/a n/a n/a -

RECONCILIATION OF OTHER RESERVES AS AT 30 JUNE 2018

General Fund

Opening Reserve

Balance

01/07/2017

Actual Transfers

To / (From)

Reserves

- -

- -

- -

- -

- -

- -

- -

Operating Income and Expenses - Housing ServicesFor Period Ending

December 2019

Total Capital Expenditure

Capital Projects

19953 - Construct staff housing at Nogoa Rise Estate

19952 - Upgrade Community Housing

2019/20

ASSETS

19951 - Concept and design funding - Property Services

19266 - Staff Housing upgrades

Total Actuals +

Commitments

2019/20

-

155,853

55,923

158,077

369,853


Land Inventory

Land Assets

Total Non-Depreciating Assets

-


Buildings

Site Improvements

Total Depreciating Assets

TOTAL ASSETS

-

Total -

TOTAL LIABILITIES

Specific Reserve NameActual Reserve

Balance 30/06/2018


Unspent depreciation -

LIABILITIES

Loans

Loan Balance


-

-

Total -



-

100,000

200,000

300,000

400,000

500,000

600,000

Rental Income Other Income

$

December 2019 Housing Services YTD Actuals vs Current YTD Budget

YTD Actuals

YTD Budget (BR1)

-

100,000

200,000

300,000

400,000

500,000

600,000

Employee Costs Materials & Services Other Expenses Internal Plant Hire Depreciation

$

December 2019 Housing Services YTD Expenditure vs Current YTD Budget

YTD Actuals

YTD Budget (BR1)





10.1.2 Emerald Saleyards Coordination Committee Meeting Minutes - 16 December 2019 ..... approx 5 mins

INFORMATION REPORT

Date: 21 January 2020 Presentation Duration: Approx 5 minutes


Author: Aimee Carson, Executive Assistant Customer and Commercial Services


File Reference: 1494710

EXECUTIVE SUMMARY:

The Emerald Saleyards Coordination Committee held their quarterly meeting on 16 December 2019. Items discussed during the committee meeting included Workplace Health and Safety, Financial Update, Operational Matters and Capital Works Projects.


That Central Highlands Regional Council receive the minutes of the Emerald Saleyards Coordination Committee meeting held on 16 December 2019.

REPORT:

The Emerald Saleyards Coordination Committee held their quarterly meeting on 16 December 2019. Items discussed during the committee meeting included Workplace Health and Safety, Financial Update, Operational Matters and Capital Works Projects.


Corporate/Operational Plan Reference: 5. Leadership and Governance;5.4.1 - Optimise management of council’s commercial business units.

Budget/Financial/Resourcing: Nil

Legal/Policy/Delegations:Sections 264 and 265 – Local Government Regulation 2012Terms of Reference – Emerald Saleyards Coordination Committee

Communication/Engagement:Committee members include Emerald Saleyards Stakeholders.

Risk Assessment: Coordination Committee structure endorsed by Council.Minutes provided to Council for transparency.

Timings/Deadlines:Nil



Alternatives considered:Nil

ATTACHMENTS:

1. 20191216 - Minutes - Emerald Saleyards Coordination Committee [10.1.2.1 - 5 pages]


Emerald Saleyards Committee Meeting Minutes

16 December 2019

Meeting chaired by: Cr Christine Rolfe

Present: Tim Maguire, Andrew Gissel, Michelle Webster, Ian Burnett.

Apologies: Cr Gail Nixon, Cr Megan Daniels, Don Tucker, Steve Oppermann, Terry Ray.

Minute Taker: Aimee Carson

Item Topic Discussion Summary Action

Meeting Commenced 1:03pm

1 Confirmation of Minutes from Previous Meeting

The minutes of the previous Emerald Saleyards Coordination Committee held on 19 August 2019 were confirmed.

2

Business and Action Arising from Previous Minutes

Item 2 – Action Item 2 – Discuss with Infrastructure Department the relocation of the load

ramp.

• Cr Rolfe to discuss the loading ramp with the General Manager Infrastructure and

Utilities. It was noted that there has been no feedback in relation to the removal of

the ramp to date.

Item 2 – Action Item 4 – Ask Council to consider Manager Saleyards in discussions of

drought management plan, water supply Peter Manning.



Emerald Saleyards Coordination Committee Meeting Page 2 16 December 2019

• It is proposed that the concept and design funding budget will be utilised for

scoping onsite water harvesting concepts.

3 Conflict of Interest of Material Personal Interest

There was no conflict of interest reported.

4 Workplace Health and Safety

Tim Maguire advised the committee that:

• No recent incidents.

• Following the installation of the existing catwalk to the double decker ramp, there

was a driver that had complained that he hit his head on the tapered entry ramp.

The design has been modified to mitigate this issue.

• An additional gate and fence have been installed near the dip to mitigate potential

WHS issues which will allow independent use of the draft facility and the dip

simultaneously.

• The original catwalk for the double decker ramp will be installed in segments run

between the two existing single deck loading ramps.

• A discussion was held in relation to an issue with deceased beasts.

5 Financial Update

Andrew Gissel provided the financial update as follows: Net earnings surplus of $97K which is $124K better than expected ($27K deficit). Operating revenue ($563K) is $164K or 41% above budget ($399K) with all revenue lines performing better than expected. Feed Sales and Dipping are outstanding. Operating expenses ($365K) are $40K or 12% above budget ($326K) as a reflection of the significant increase in throughput and sales. Cattle numbers for October (10,518) were up significantly on last year (7,333), and up significantly on budget (6,070). YTD cattle numbers (41,295) are down slightly on last year (42,432); but up on budget (34,450). Financial ratios are healthy with only the self-generation ratio lagging due to large, upfront capital expenses in the period. As funding comes through, this will rectify itself.




Aged debtors are down by $11K from $117K to $106K with $3.5K in 90 days. Capital expenditure is off to a strong start for the year with $534K or 23% of budget ($2,330K) already spent or committed.

6 Surveillance Program for RBE and NLIS

This item wasn’t discussed as the date for comments has already passed.

7 Saleyards Manager Update

Tim Maguire advised the committee that:

Operational Matters

• 8,000 head sold during the November and 3,000 head sold during the two sales in

December.

• Ongoing dry sees an enormous amount of cattle, spelling, dipping, feeding with

cattle being transported to southern feedlots.

• Increased dipping due to clearance required transporting sound to feedlots and

north to Townsville for the export markets.

• Major issues with hay supply, which we need to watch and monitor.

• Regular supplier bought another 300 bales, using 70 to 80 bales per day.

• Do not wish to turn any customers away due to the building of sound relationships

ongoing.

• In consultation with the Saleyards staff they have agreed to cancel their leave

during this busy period.

• The weather is dictating the amount of cattle coming through the yards and being at

the crossroads for transportation is assisting with the increase of throughput.

• The annual clean-up and maintenance is also underway.

• Saleyards have entered into an agreement with Biosecurity Queensland to

complete a stand still exercise ie disease incursion.

Ian Burnett commented that it is good business and the customer will remember the

service they were provided during this time.




Capital Work Projects

Hay Shed

• Some lighting to be installed to finalise the project.

Service pits

• The other projects have required upgrades to the mains.

• It is proposed that the two remaining pits will be removed not replaced.

Additional Double Decker Dump Ramp

• Ramp and southern catwalk are complete.

• Northern catwalk will be supplied and installed by the contractor mid to late

January.

Light Pole Replacement

• Eastern and western replacements have been completed.

• There are four posts that require removal to finalise the project.

Spelling Yards

• Approval has been received from Aurizon.

• Reel Planning have lodged the development approval.

Draft Area – Additional Shade

• Completed.

Scalehouse Roof

• Completed.

Delivery Lanes 3 and 4

• Completed.

Catwalk for top of double decker ramp

• Catwalk is installed.

• Ongoing modifications are being completed.




Western side Selling Pens, Change fixed panels to gates

• Works will commence in January 2020.

Concept design funding

• It is proposed that these funds will be utilised to investigate on site water harvesting

and the cattle grid and fencing to secure the saleyard site.

8 General Business

Cr Rolfe had advised that there had been discussions around the positioning of the new double decker dump ramp.

• Engagement meeting was held in relation to the double decker ramp, proposed to move the single double decker ramp closer to the hay shed and install the double decker dump ramp in its position.

• Consultation occurred with the transport representative.

• Did not have the funding to move the positioning of the ramps. Fundamentally used two of the longest configurations at the existing ramp and the same at the new position, completed the same activity at the new location it was unable to be completed.

• Subsequent to the meeting and the activity, the preferred position of installation for the use of the new ramp is where it has been now placed.

Meeting Closed at 2:03pm





10.1.3 Emerald Airport Advisory Committee Meeting Minutes - 16 December 2019 ..... approx 5 mins

INFORMATION REPORT

Date: 21 January 2020 Presentation Duration: Approx 5 minutes

To: Finance and Infrastructure Standing Committee

Author: Aimee Carson, Executive Assistant Customer and Commercial Services


File Reference: 1494711

EXECUTIVE SUMMARY:

The Emerald Airport Advisory Committee held their quarterly meeting on 16 December 2019. Items discussed during the committee meeting included workplace health and safety, financial update, operational matters and capital works projects.


That Central Highlands Regional Council receive the minutes of the Emerald Airport Advisory Committee meeting held on 16 December 2019.

REPORT:

The Emerald Airport Advisory Committee held their quarterly meeting on 16 December 2019. Items discussed during the committee meeting included workplace health and safety, financial update, operational matters and capital works projects.


Corporate/Operational Plan Reference: 5. Leadership and Governance;5.4.1 - Optimise management of council’s commercial business units.

Budget/Financial/Resourcing: Nil

Legal/Policy/Delegations:Sections 264 and 265 – Local Government Regulation 2012Terms of Reference – Emerald Airport Advisory Committee

Communication/Engagement:Committee members include Emerald Airport Stakeholders.

Risk Assessment: Advisory Committee structure endorsed by Council.Minutes provided to Council for transparency.

Timings/Deadlines:Nil

Alternatives considered:Nil



ATTACHMENTS:

1. 20191216 - Minutes - Emerald Airport Advisory Committee Meeting [10.1.3.1 - 5 pages]


Emerald Airport Advisory Committee Meeting Minutes

16 December 2019

Meeting chaired by: Cr Kerry Hayes (Mayor)

Present: Michelle Webster, General Manager Customer and Commercial Services; Salomon Kloppers, Manager Airport; Andrew Gissel, Commercial Analyst; Peter Dowling, CHDC; Jake Grant, Swissport; Matthew Daly, Star Aviation; John Gordon, GA Representative.

Apologies: Cr Gail Nixon, Cr Alan McIndoe, Andrew Park, ISS; Simon Booker, Virgin Australia; Jessica Richer, Qantas; Peter Heumiller, GA Representative.

Minute Taker: Aimee Carson

Item Topic Discussion Summary Action

The Mayor welcomed everyone to the meeting and thanked the members of the committee for coming along and providing their insights because the feedback from the committee assists CHRC with making the decisions.

1 Confirmation of Previous Minutes The minutes of the previous Emerald Airport Advisory Committee held on 2 September 2019 were confirmed.

2 Conflict of Interest or Material Change of Use

There was no conflict of interest or material personal interest advised from Committee members.

3 Review of Outstanding Actions Item 6 – Salomon Kloppers to provide letter of decision to Mr John Gordon and Mr Peter Heumiller advising of GA appointment.



Emerald Airport Advisory Committee Page 2 16 December 2019

• The letters were written on 21 October 2019 and forwarded electronically.

Item 7 – Salomon Kloppers to meet with Peter Dowling to discuss data collected by Telstra.

• Costs that Telstra had quoted to provide samples of data were significant. Considering the cost and potential benefit, approaching the issue from a whole of council point of view may be more sensible.

• Michelle Webster confirmed that this would need to be looked at as future budget consideration and would need to see if there was any investment from the rest of council.

• Peter Dowling advised that the Mayors resources round table meeting was held recently which saw 9 out of 10 operators at the table. One of the entities were interested in a broad sense with other routes flying into Emerald. Planning to go back to them for employee numbers to support a business case.

4 Workplace Health and Safety Salomon Kloppers advised the committee of:

• An incident where an operator from Boral had some of the lime fall into the cuff of the sleeve which caused skin irritation.

• A few near misses, at the beginning of the runway project, these were wrapped up and dealt with according to processes.

Terminal Upgrade Project

• Terminal upgrade works will be completed during operational hours and will have terminal changes, contractors and customers to contend with.

• The planning of the terminal upgrade logistics is taking up most of the time, specifically in relation to WHS issues.

• The upgrade will include power, water and data upgrades.

Michelle Webster asked whether there would be any learnings from Whitsundays who had a full terminal upgrade completed recently.

• Salomon Kloppers advised that there have been some changes made to the draft scope of works following discussions held with Whitsundays.




• The biggest risk is that it won’t be completed within the required deadline.

• Currently the proposed project timeline is as follows: o 85-90% of the completed engineering drawings are due this

week. o Will be sent for peer review which will take 4 weeks. o RFT to issue end of January early February. o Due to the size of the project will provide a 5-week response

period, closing in March. o Panel to review, decide and obtain endorsement in April/May. o Commence construction in June.

• The project could also be broken up into smaller projects, unsure as yet, this concept will have to be reviewed.

Michelle Webster commented that the new stairs for the Alliance flights were great.

5 Financial Update

Andrew Gissel provided a financial update to the committee as follows:

Net earnings surplus for the year of $766K which is $88K or 10% shy of budget ($855K). Operating revenue ($2,816K) is $116K or 4% shy of budget ($2,933K) with a shortfall in Security Tax ($105K), Head Tax ($34K) and Landing Fees ($76K) partially off-set by the other revenue lines. Operating expenses ($1,185K) are $35K or 3% shy of budget ($1,220K) explained by an underspend on Employee Costs (wages). Passenger numbers for October (19,385) were up by 1,301 PAX or 7.2% on the same period last year (18,084), and up by 648 PAX or 3.5% on budget (18,737). YTD passenger numbers (75,482) are up by 2,814 PAX or 3.9% on the same period last year (72,668), and up by 1,586 or 2.1% on budget (73,896). Parking numbers October (2,579) were down by 1,418 (35.5%) on previous month (3,997), and down by 1,404 (35.2%) on the same period last year (3,983) thanks to the ongoing issues with the parking machines and the boom




gates having to be left up. YTD parking numbers (14,561) are down by 881 or 5.7% on last year (15,442). Financial ratios are healthy. Aged debtors are down by $171K from $596K to $425K with $10K in 90 days and $13.8K in 60 days.

Capital expenditure is off to a strong start with $13.55M or 68.8% of budget

($19.7M) already spent or committed.

6 General Aviation Representative for Committee

Mayor welcomed John Gordon to the committee and advised that:

• John Gordon and Paul Huemiller have been very active at the engagement meetings that were held regarding the 15/33 runway;

• Their knowledge of GA client base made the decision easy.

• The committee meetings provide a voice for the GA stakeholders amongst others.

• It is a good forum for all to look at operational matters.

Salomon Kloppers found it very useful as John and Peter have been invaluable to the airport with the assistance, they have provided with the planning of the GA project.

Michelle Webster advised that the council made the decision a number of years ago to ensure that profits of the airport are used for upgrades to the airport. This has allowed a number of capital projects to be completed without burdening the rate payer.

7 Airport Manager Update

• Safety Matters

• Risk Matters

• Operational Matters

• Capital Works Projects o Terminal

Redevelopment o Project Denison o General Aviation

Salomon Kloppers provided the Airport Manager update as follows:

Safety Matters

• No safety or security issues to date.

Risk Matters

• GA works having to make up materials that are suitable, keeping a close eye on that. Need to ensure that the job requirements are met.




Operational Matters

• Car park hoping to complete the purchase orders for the equipment by the end of the week.

• Internal roads were supposed to be completed two weeks ago, due to the heavy vehicle movements for the GA area, have delayed it to March 2020.

• ALAs will have a number of projects in the process of being delivered including fencing, (practical completion in Duaringa last week) and the construction of helipads in Springsure and Rolleston (awaiting regional airports grant funds outcome due end of January).

Terminal Upgrade

• A big thanks to Matt and Jake for their input on the terminal upgrade design.

• Advanced stages of development.

• Work to start May or June.

• Car park to commence earlier.

• Fire system to be finalised to go to RFT.

• The screening equipment grant came through last week, finalising administration functions for the funding grant. RFT planned for February, equipment to be delivered during September/October, and commissioning on November/December.

8 General Business Peter Dowling advised the committee that the CHDC development register is to be signed off for board this week and will be placed on website. Moving office to across the road, mid-January.

The Mayor advised the committee that discussions are continuing with carriers and supporting businesses/employers regarding potential route development. Agricultural, medical, educations link with Toowoomba and a bit of need with Townsville.

Meeting closed 12:15pm





10.2 Infrastructure and Utilities

10.2.1 Infrastructure and Utilities Departmental Update .... approx 15 mins

DEPARTMENTAL UPDATE



Author: Peter Manning, Manager Water UtilitiesKym Downey, Project Development and Contract DeliveryTyronne Meredith, Acting Manager Infrastructure

Authorising Officer: Gerhard Joubert, General Manager Infrastructure and Utilities

File Reference: NIL

EXECUTIVE SUMMARY:

The following report provides an update on key activities for the Infrastructure and Utilities department.

1. Infrastructure Capital Monthly Works Update Infrastructure Monthly Maintenance Update Dawson Highway Meteor Downs South Mine Intersection

2. Water Utilities Qldwater Water Skills Partnership Qldwater Technical Reference Group Drinking Water Quality Management Plan Annual Report

3. Project Development and Contract Delivery Sojitz MDS and Sojitz Gregory – Road Use Direction Update

4. General Manager Response from Director General Neil Scales – State Government investment in transport

infrastructure in Central Highlands Queensland Road Safety Action Plan 2020-21


That Central Highlands Regional Council receive the Infrastructure and Utilities departmental update report, highlighting key activities for the month of December 2019.

REPORT:

1. INFRASTRUCTURE

Monthly Capital Works – Update

Pave and SealRetro Street Centre Seal: Works are complete.Borilla Street Centre Seal:



Works are complete.Buckland Road: Buckland Road works are complete awaiting the second seal later in 2020.

A view of the sealed Buckland Road

RehabilitationGem Road: Rehabilitation works on Gem Road are complete.Mayfair Drive: Rehabilitation works on Mayfair Drive have been completed. An asphalt surface will be laid in February 2020Codenwarra Road:

Rehabilitation and widening works have been commenced on Codenwarra Road

ResheetingWyuna Road: Wyuna Road resheeting has been completed with approximately 5km undertakenTanderra Road: Tanderra Road resheeting is complete with approximately 6km undertaken.

FootpathsCharles Street - SpringsureCharles Street footpath is complete.Margaret Street - DuaringaMargaret Street footpath is complete.Wattle Street - BlackwaterWattle Street footpath is complete.



Kerb and ChannelMayfair Drive - EmeraldMayfair Drive entrance kerb and channel works have been completed.Columba Street - BlackwaterColumba Street kerb and channel is complete

Projects in DesignRifle Range Road Cycleway: (Construct 19/20 & 20/21)Design commenced, due to be completed early March 2020.Malvern Road Pave and Seal: (Construct 19/20)Preliminary design received, reviewed and final design due to be completed 20 December 2019.Keilambete Road Pave and Seal: (Construct 19/20)Preliminary design received, reviewed and final design due to be completed January 2020.Dame Street Extension: (Construct 19/20)Preliminary design received, reviewed and final design due to be completed January 2020.Mares Tail Lane Pave and Seal: (Construct 19/20)Preliminary design received, reviewed and final design due to be completed January 2020.

3

Grasstree Road Embankment Reconstruction: (Construct 19/20)Preliminary design received and awaiting review.

Lilyvale Road Reconstruction: (Construct 19/20)Issued for Construction (IFC) design for section one supplied. IFC design for section two commenced. Construction of stage one is due to commence in January 2020Arcadia Valley Road Widening: (Construct 19/20)Design commenced, due to be completed first quarter 2020.Bauman Way Reconstruction: (Construct 20/21)Design commenced, due to be completed first quarter 2020.

Yeates Avenue Reconstruction: (Construct 20/21)Design commenced, due to be completed first quarter 2020.Nogoa River Rec Trail: (Construct 19/20)Design commenced, due to be completed first quarter 2020.

Infrastructure Monthly Maintenance Update

See attached Infrastructure Maintenance Report for December 2019.

Dawson Highway Meteor Downs South Mine IntersectionGeneral Manager Infrastructure and Utilities Gerhard Joubert and Manager Infrastructure Jason Hoolihan met with Department of Transport and Main Roads (DTMR) District Director Peter Trim and Manager of Project Planning and Corridor Management Brett Skyring to discuss joint council and DTMR issues. Since the meeting DTMR have confirmed that the proposed upgrades to the existing access to the Dawson Highway for the Sojitz Mine and the proposed new access for the Train Load-Out Project to the Dawson Highway are consistent with the TMR warrants for works for the speed, physical environment and intended uses.

DTMR have committed to issuing strict conditions as part of the relevant approvals. The upgrades to the existing access will facilitate the right-hand movements out of the mine site and the left turn movements in to the rail load-out site.

Approved designs with proposed advanced warning signs for the intersections below:



Mine Access and upgrade

Mine Load Out Access One



Mine Load Out Access Two

2. WATER UTILITIES

Qldwater Water Skills PartnershipPeter Manning attended the qldwater combined Water Skills Partnership and Water Industry Worker meeting on 5 December 2019. The presentations and discussions included:

An update of the Water Industry Worker (WIW) qualification pilot trial being undertaken at Mackay Regional Council. WIW is a specialised certificate qualification specifically for water and wastewater network workers, rather than a certificate in Water Industry Operations.

A presentation on the proposed changes to the framework for WIW career progression at Urban Utilities (the new name of Queensland Urban Utilities). The new framework incorporates behavioural skills, such as teamwork, customer service and leadership, rather than simply technical skills.

A general discussion on the decline in Registered Service Providers servicing the water industry in both Queensland and New South Wales. The Executive Officer of NSW Water Directorate attended the meeting to discuss the potential for collaboration.

Qldwater Technical Reference GroupPeter Manning attended the qldwater Technical Reference Group meeting on 6 December 2019 on behalf of the CEO. At the meeting we covered:

A review of the events planned for 2020. A presentation by SEQWater on selected research work they had undertaken, such as E.Coli

source identification in water catchments and a remote sampling device they had developed for dam reservoirs.

A presentation from the Department of Natural Resources, Mines and Energy (DNRME). They discussed the work currently being done in assessing the funding for the Queensland Water Regional Alliance Program (QWRAP). There was a demonstration of the webtool being developed to enable searching and comparing water service provider KPI data from the next state comparative KPI report.

The group reviewed and had input into a section (key priority) of the Queensland water industry road map that is being developed to inform strategic direction. The key priorities are



o Data transforming the water sectoro Strategic sector-wide investmento Regional Innovationo Harmonising water regulationo Resource recovery and renewableso Catchment resilience in a changing environmento Understanding and exceeding customer expectationso Building jpobs in a changing industryo Next Gen watero Small, remote and nimble.

Drinking Water Quality Management Plan Annual ReportThe Drinking Water Quality Management Plan (DWQMP) Annual Report for the year ending 30 June 2019 was submitted to the drinking water regulator (DNRME) on 18 December. This has also been added to our website, as per the legislative requirement.

3. PROJECT DEVELOPMENT AND CONTRACT DELIVERY

Sojitz MDS – Road Use DirectionIn April 2018 Council issued a Road Use Direction (RUD) to Sojitz MDS Mining Pty Ltd setting out conditions under which the company could haul coal on Council’s road network.

As condition of this RUD the proponent is required to pay compensation at a rate of $0.1598 per tonne of coal hauled to compensate Council for increased maintenance and rehabilitation on the impacted road network.

In the 2018/19 financial year Sojitz MDS Mining Pty Ltd hauled a total of 456,158 tonnes of coal. An invoice has been issued for $72,894 (excluding GST).

Sojitz Gregory – Road Use DirectionIn December 2019 Council issued a Road Use Direction to Sojitz Coal Mining Pty Ltd setting out conditions under which the company could haul coal from Kestrel Mine to Gregory Mine.

This road use direction is limited to the haulage of 100,000 tonne during a four month timeframe ending 30 March 2020. The proponent has been conditioned to pay compensation at a rate of $0.4449 - $0.5248 per tonne of coal hauled. This difference in compensation rate is due to the proponent specifying several different vehicle types for the haulage.

4. GENERAL MANAGER

Response from Director General Neil Scales - State Government investment in transport infrastructure in Central HighlandsSee attached the response from Director-General Neil Scales, Department of Transport and Main Roads in relation to the correspondence Central Highlands Regional Council sent on 16 October 2019 regarding the State Government investment in transport infrastructure in the Central Highlands Region.

Queensland Road Safety Action Plan 2020-21Coinciding with the launch of last year’s Christmas road safety campaign, the Minister for Transport and Main Roads, the Hon. Mark Bailey unveiled the new Queensland Road Safety Action Plan 2020-21, a two-year plan to support the government's goal of achieving zero fatalities and serious injuries.Emerging road safety issues such as driver distractions and preparing for technology, including autonomous vehicles are covered in the new action plan.

The Road Safety plan actions also includes: delivering new education programs for drink drivers and reforms to the Alcohol Ignition Interlock

Program installing flashing school signs at an additional 200 school zones a pilot of connected and automated vehicles fitted with Cooperative Intelligent Transport Systems strengthening of road safety education and outcomes for our indigenous communities



establishing a database of Queensland speed limits that will provide essential information for connected vehicles and will assist in the development of speed management initiatives

continued expansion of pedestrian protection at signalised intersections and crossings to enhance pedestrian safety.

A copy of the action plan can be found on Roads and Transport portfolio page of LG Online.

ATTACHMENTS:

1. Attachment A - Infrastructure Maintenance Reporting - December 2019 [10.2.1.1 - 1 page]2. Attachment B - Response from Director General Department of Transport and Main Roads Neil

Scales [10.2.1.2 - 2 pages]


https://aus01.safelinks.protection.outlook.com/?url=https://www.lgaq.asn.au/group/guest/roads-and-transport&data=02%7C01%[email protected]%7C4969fb89dba5427adf5408d794d78b21%7C5ad25f7535b8460f93b51b944e39bfd6%7C0%7C0%7C637141525780351491&sdata=/pk71kFJONASIHxGnGzMKO/dP3OwF7Iei0PEFJebK2U=&reserved=0

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11 CLOSED SESSION

11.1 Infrastructure and Utilities Departmental Update .... approx 10 mins

CLOSED SESSION REPORT

This report is CONFIDENTIAL under Section 275 (1) (h) of the Local Government Regulation 2012 which permits the Council meeting to be closed to the public to discuss:



11.2 Customer and Commercial Services Departmental Update ….. approx 5 mins

CLOSED SESSION REPORT

This report is CONFIDENTIAL under Section 275 (1) (h) of the Local Government Regulation 2012 which permits the Council meeting to be closed to the public to discuss:



12 GENERAL BUSINESS

13 CLOSURE OF MEETING

agenda - finance and infrastructure standing committee ... · 1/21/2020 · the plant utilisation...

Documents