agenda of council meeting - 15 00 2019

Business Paper

Council Meeting

Monday, 15 July 2019

6:30pm

Council Chambers,

Level 2, Administration Building,

4-20 Eton Street, Sutherland

Council Meeting 15 July 2019

ORDER OF BUSINESS

1. ACKNOWLEDGEMENT OF COUNTRY

2. OPENING PRAYER / RELIGIOUS OBSERVANCE

3. APOLOGIES

4. DISCLOSURES OF INTEREST

5. PUBLIC FORUM

6. CONFIRMATION OF MINUTES OF THE PREVIOUS MEETINGS

7. MAYORAL MINUTES

8. REPORTS OF THE CORPORATE GOVERNANCE COMMITTEE HELD ON 1 JULY 2019

GOV021-19 Local Government NSW Annual Conference 2019 - Appointment of Delegates

9. REPORTS OF THE SHIRE SERVICES COMMITTEE HELD ON 1 JULY 2019

SER009-19 Proposed Acquisition of 41 Riverview Road Oyster Bay for Open Space Purposes

10. REPORTS OF THE SHIRE INFRASTRUCTURE AND PUBLIC DOMAIN COMMITTEE HELD

ON 1 JULY 2019

INF011-19 Sutherland Shire Floodplain Risk Management Committee Charter

11. REPORTS OF THE SHIRE STRATEGIC PLANNING COMMITTEE HELD ON 1 JULY 2019

PLN021-19 Results of Exhibition Draft Voluntary Planning Agreement (VPA) Kirrawee South

Village

PLN022-19 Draft Local Strategic Planning Statement for Exhibition

PLN023-19 Planning Proposal Wattlebird Bushland Reserve

12. REPORTS FROM OFFICERS

COR026-19 Licence Renewal to Woolooware Golf Course - 1R Harnleigh Ave Woolooware

COR027-19 Installation of Solar Panels On Council-Owned Buildings

COR028-19 Proposed New War Memorial, Peace Park, Sutherland

COR029-19 Cash Payments and Investments Report - June 2019

COR030-19 Report and Minutes of the Meetings of the Sutherland Traffic and Traffic Safety

Committee and Consultative Traffic Forum held on Friday, 5 July 2019


13. MOTIONS OF WHICH NOTICE HAS BEEN GIVEN

14. MOTION

MOT016-19 Request for Tree Removal - 3 Caroline Street, Oyster Bay

MOT017-19 Woronora Caravan Park

15. PRESENTATION OF PETITIONS

16. QUESTIONS

17. CONSIDERATION OF BUSINESS IN CLOSED SESSION

18. CONFIDENTIAL REPORTS FROM OFFICERS


REPORTS OF THE CORPORATE GOVERNANCE COMMITTEE HELD ON 1 JULY 2019

GOV021-19 LOCAL GOVERNMENT NSW ANNUAL CONFERENCE 2019 - APPOINTMENT

OF DELEGATES

EXECUTIVE SUMMARY

The Local Government NSW Annual Conference 2019 is being held at the William Inglis Hotel,

155 Governor Macquarie Drive, Warwick Farm, from 14-16 October 2019.

For this year’s Conference, Council needs to appoint voting delegates for Motions and the

election of Office Bearers and the Board.

Council is entitled to appoint ten voting delegates in each category.

Council will resolve attendees, voting delegates and alternates when this report is considered

by Council at the meeting to be held on 15 July 2019.

Council has the opportunity to put forward Motions to the Conference, which members have

been asked to submit by 12 midnight (AEST) on Monday 19 August 2019. In line with LGNSW

rules, the latest date Motions will be accepted for inclusion in the Conference Business Paper is

12 midnight (AEST) on Monday 16 September 2019.

COMMITTEE RECOMMENDATION

THAT:

Consideration of this matter be deferred to the Council Meeting to be held on 15 July 2019 pending:

a. expressions of interest being sought from Councillors to attend the Local Government NSW

Annual Conference 2019; and

b. the submission of any proposed Motions for the Conference.


REPORTS OF THE SHIRE SERVICES COMMITTEE HELD ON 1 JULY 2019

SER009-19 PROPOSED ACQUISITION OF 41 RIVERVIEW ROAD OYSTER BAY FOR

OPEN SPACE PURPOSES

EXECUTIVE SUMMARY

The privately owned property at 41 Riverview Road, Oyster Bay adjoins Carina Bay Reserve

and is zoned public open space. It is one of a number of properties earmarked for purchase

under the Development Contribution Plan 2016, to increase open space at Carina Bay Reserve.

This land is listed in the Sutherland Shire Local Environmental Plan 2015 and Council has a

statutory obligation to acquire this property. Section 7.11 funds (previously Section 94) are held

in trust for this purpose.

Council has been attempting to acquire the open space zoned property for some time and, in

response to Council’s correspondence, the owner has invited Council to acquire the property.

Council arranged an independent valuation and based on this made an offer to purchase the

property, subject to Council resolution. The owner responded with their own valuation and are

seeking to negotiate terms with Council. Financial details are under separate cover attached to

this report.

The acquisition of the subject property satisfies an objective of the Sutherland Shire LEP 2015,

Development Contribution Plan 2016, and will assist Council in providing the community with

increased open space at Oyster Bay. It is recommended that Council approve the purchase of

this property.


THAT:

1. The acquisition of part Lot 91 Deposited Plan 14716 known as part of 41 Riverview Road

Oyster Bay to increase open space at Carina Bay Reserve, Oyster Bay at terms and

conditions to the satisfaction of the Chief Executive Officer be approved.

2. In accordance with the Power of Attorney dated 24 October 2018 (Registered 29 October

2018, Book 4751 No. 700) Manjeet Grewal, Council’s Chief Executive Officer, execute any

necessary documentation to give effect to this resolution.


REPORTS OF THE SHIRE INFRASTRUCTURE AND PUBLIC DOMAIN COMMITTEE

HELD ON 1 JULY 2019

INF011-19 SUTHERLAND SHIRE FLOODPLAIN RISK MANAGEMENT COMMITTEE

CHARTER

EXECUTIVE SUMMARY

Since 2016, the Sutherland Shire Floodplain Risk Management Committee has met with the aim

to advise Council on floodplain risk management studies and plans for selected catchments

across Sutherland Shire.

The Committee’s charter has been updated to better reflect the entire floodplain risk

management process, provide improved community representation, reflect the recent NSW

machinery of government changes and extend the term of the committee in perpetuity.

Adoption of the updated charter will ensure Council remains effective in satisfying its duty of

care to the local community to manage potential flooding.


THAT:

Council adopts the revised Sutherland Shire Floodplain Risk Management Committee Charter.


REPORTS OF THE SHIRE STRATEGIC PLANNING COMMITTEE HELD ON 1 JULY 2019

PLN021-19 RESULTS OF EXHIBITION DRAFT VOLUNTARY PLANNING AGREEMENT

(VPA) KIRRAWEE SOUTH VILLAGE

EXECUTIVE SUMMARY

The Draft Voluntary Planning Agreement (VPA) for South Village Kirrawee (brick pit site) was

publicly exhibited for 28 days, between 8 May 2019 and 4 June 2019.

The purpose of the Agreement is to secure public benefits in conjunction with the South Village

development at 566-594 Princes Highway, Kirrawee (DA15/1134).

Two submissions were received during the exhibition period. It is considered that content of

these submission do not generate the need to amend the VPA, but will help inform how the

monetary contribution towards infrastructure in Oak Road is spent.

It is recommend that the Voluntary Planning Agreement be entered into as exhibited.


THAT:

1. The Draft Voluntary Planning Agreement Kirrawee South Village be entered into as exhibited.


2018, Book 4751 No. 700), Council’s Chief Executive Officer execute any necessary

documentation to give effect to this resolution.

3. At an appropriate time, a Report be provided to Council on how best to improve the amenity of

the Oak Road Precinct using the funds provided by the VPA:

(i) following consultation with the owners of businesses in the shopping strip; and

(ii) taking into account any changes to the relevant traffic flow conditions recommended by

the Consultative Traffic Forum consequent upon (i) above.


PLN022-19 DRAFT LOCAL STRATEGIC PLANNING STATEMENT FOR EXHIBITION

EXECUTIVE SUMMARY

Council is required to prepare and exhibit a draft Local Strategic Planning Statement (LSPS)

that sets the direction for land use planning for the next 20 years in Sutherland Shire.

The LSPS seeks to align the directions in the Community Strategic Plan and the South District

Plan to inform the preparation of Sutherland Shire’s next Local Environmental Plan.

The draft LSPS contains a future land use vision to 2040 and 21 priorities, arranged in four

high-level themes: ‘Infrastructure and Collaboration’, ‘Liveability’, ‘Productivity’ and

‘Sustainability’.

Council has a statutory obligation to place the draft LSPS on public exhibition for a minimum of

28 days. Given the significance of the draft LSPS to future planning in Sutherland Shire, a

period of deeper community engagement would be valuable to help refine the draft LSPS.

A Councillor and staff study group would provide an opportunity to refine the community

engagement strategy, and help consider how community feedback can be best addressed

within the LSPS framework.

The Final LSPS is required to be adopted by 31 March 2020.


THAT:

1. The draft Local Strategic Planning Statement (Attachment A) be endorsed for public exhibition

and community engagement, subject to final formatting.

2. A program of community engagement be undertaken to inform the development of the Local

Strategic Planning Statement.

3. A Councillor study group be established to progress the Local Strategic Planning Statement.


PLN023-19 PLANNING PROPOSAL WATTLEBIRD BUSHLAND RESERVE

EXECUTIVE SUMMARY

153R Gannons Road, Caringbah (Lot 108 DP 5179) is the parcel of land generously gifted to

Council by the owner of 153 Gannons Road so that it can become an extension to Wattlebird

Bushland Reserve.

This Planning Proposal seeks to rezone that land for open space purposes.

The Planning Proposal was referred to the Sutherland Shire Local Planning and the Panel

recommends the land be zoned E2 Environmental Conservation, rather than RE1 Public

Recreation, to ensure consistency with zoning of the adjoining reserve. Officers acknowledge

that this is a better outcome.

This report seeks Council’s endorsement of the amended Planning Proposal and its referral to

NSW Planning, Industry and Environment for Gateway Determination.


THAT:

1. The advice of the Sutherland Shire Local Planning Panel in relation to this Planning Proposal

be accepted that land be zoned E2 Environmental Conservation.

2. Planning Proposal SSLEP2015 Wattlebird Bushland Reserve, Caringbah South be submitted

to NSW Planning, Industry and Environment for a Gateway Determination.

3. Council advise the Department that it is willing to exercise plan making functions pursuant to

Section 3.31 of the Environmental Planning and Assessment Act 1979.

4. The Chief Executive Officer be given delegated authority to make any amendments that are

required by the Gateway Determination before the draft planning proposal is exhibited.

5. Subject to a positive Gateway Determination, the Planning Proposal be exhibited in

accordance with Council’s policies and the conditions of the Gateway Determination.


CO

R02

6-1

9

COR026-19 LICENCE RENEWAL TO WOOLOOWARE GOLF COURSE - 1R

HARNLEIGH AVE WOOLOOWARE

Attachments: Appendix A,⇩ Appendix B⇩ and Appendix C⇩

EXECUTIVE SUMMARY

Woolooware Golf Course Management Pty Ltd are seeking a new licence for the community

land used as a golf course at 1 Harnleigh Ave Woolooware.

Council offered the club a 3 year licence renewal.

In keeping with the requirement of Section 47A of the Local Government Act 1993 the proposed

lease was publicly exhibited, advertised and neighbours notified. Submissions were received,

as such the matter must be considered by Council.

It is recommended Council note the submissions received and proceed to grant the 3 year

licence to Woolooware Golf Course Management Pty Ltd.

REPORT RECOMMENDATION

THAT:

1. Land known as Woolooware Golf Course be licenced to Woolooware Golf Course

Management Pty Ltd at terms and conditions to the satisfaction of the Chief Executive Officer.

2. Submissions raised by the community be noted.


2018, Book 4751 No.700) Manjeet Grewal, Council’s Chief Executive Officer, execute any

necessary documentation to give effect to this resolution.


CO

R02

6-1

9

PURPOSE

This report is to advise Council of submissions received during the advertising of a licence renewal to

Woolooware Golf Course Management Pty Ltd (The Club).

BACKGROUND

Woolooware Golf Course Management Pty Ltd have licenced the land known as Woolooware Golf

Course, Community classified land, since 2014. The licence provides The Club with non-exclusive use

of the land to operate and maintain a golf course while providing access to the public. The current

licence expired June 2019 and is currently holding over, the Club has requested a new licence for 3

years. Attachment C is an aerial map of the area proposed to be licenced.

The proposed Licence is cost neutral with the operational management and maintenance of the golf

course being the responsibility of The Club. The Club retains all of the income generated from the golf

course and is responsible for all expenditure associated with operation, maintenance and capital

upgrades of the course. The Club has a capital works programme outlining all upgrades it intends to

undertake over the next 5 years. Attachment A provides a copy of Woolooware Golf Courses audited

Financial Statements for 2018. Attachment B provides Woolooware Golf Courses average annual

player numbers for the past 5 years.

The Club also holds a commercial lease on the clubhouse, which expires in 2032.

DISCUSSION

In the absence of a long term strategy for the land a 3 year licence term was proposed by Council to

retain future flexibility. Subsequently the proposed licence was advertised in the St George and

Sutherland Shire Leader on 6 March 2019 and notified to adjoining owners as required by Section 47A

of the Local Government Act 1993. Submissions were received, requiring the matter to be referred to

Council to consider the granting of the licence.

Summary of Submissions

CONCERN RECOMMENDATION

(1) The term ‘licence’ was mistaken to relate to the (liquor) licence for the clubhouse and the understanding a Licence could be terminated with little notice.

Council to note. The licence termination clause is consistent with community leases.

(2) Why the discrepancy between the clubhouse lease expiring in 2032 and the course licence being offered for 3 year term.

Clubhouse has exclusive use and made capital upgrades which justified long term lease

(3) Council’s Open Space Strategy could recommend turning part of the course into playing fields to meet increasing community demand. Concern this will impact the golf course.

Open Space Strategy will provide the framework for the development of a long term plan for the site.


CO

R02

6-1

9

CONCERN RECOMMENDATION

(4) Members of Woolooware Golf Club will be hesitant about renewing membership without reasonable assurance of longer term viability.

3 year license has been offered to the Club

(5) Playing fields would be advantageous for the younger demographic to the detriment of the communities older demographic.


(6) Council should resubmit the Woolooware Golf Course proposal for public comment with the intentions of the foreshadowing Open Space Strategy outlining future intentions of the course.


RESOURCING STRATEGY IMPLICATIONS

The licence requires The Club to take responsibility for the operation, maintenance and capital

upgrades to the course. Council has no financial responsibility for the golf course, as such there will be

no impact on Council’s Long Term Financial Plan.

The Open Space Strategy will direct Council’s resources to align planning and managing open space

with the objections and outcomes described in the Strategy, via the Delivery Program and Operational

Plan. Any resulting project for the long term use of the site will be considered on its merits as part of

Council’s annual budget process.

Proposed Terms of Licence

Non- exclusive licence – public access permitted

Term – 3 years

Rent - $580 per annum, annual rent increase - 3%

Operational, maintenance & capital upgrade expenditure - 100% lessee responsibility

Outgoings – 100% lessee responsibility

Income from course – 100% retained by lessee, surplus reinvested into course upgrades

Licensee to report:

O income & expenditure

O annual audited financial statements

O course attendance figures

COMMUNITY ENGAGEMENT

The proposed licence was advertised in The St George and Sutherland Shire Leader on 6 March 2019

as required by section 47A of the Local Government Act 1993. Notices were exhibited at the site and

Council’s Customer Service Centre. Letters were sent to adjoining and nearby residents inviting

written comments to be provided to Council.


CO

R02

6-1

9

STRATEGIC ALIGNMENT

The proposal meets the strategies in our adopted Delivery Program of:

Community Strategic Plan Strategy Delivery Program (2017-2021) Deliverables

3.1 A community with access to services, programs and facilities to support and enhance health and well-being

3M.1 Develop and implement Property Services Business Plan that facilitates effective and best use of assets that meet the changing needs of the community

6.3 Provide welcoming, safe and accessible places and spaces that encourage active lifestyles.

6G.2 Deliver Sport Assets (sports fields, ancillary buildings and amenities) works and maintenance programs to agreed levels of service for quality, function and safety

POLICY AND LEGISLATIVE REQUIREMENTS

The Local Government Act 1993 section 47A requires a licence over Community Land to be publicly

exhibited, and if a submission is made by way of objection to the proposal, before granting the lease,

licence or other estate, Council must consider all submissions received.

CONCLUSION

It is recommended Council note the submissions made and endorse the granting of a 3 year licence to

Woolooware Golf Course Management Pty Ltd to operate and maintain Woolooware Golf Course.

RESPONSIBLE OFFICER

The officer responsible for the preparation of this Report is the Manager Property Services, Lani

Richardson, who can be contacted on 9710 0614.

File Number: 2015/228925


CO

R02

6-1

9

Ap

pe

nd

ix A


CO

R02

6-1

9

Ap

pe

nd

ix B


CO

R02

6-1

9

Ap

pe

nd

ix C


CO

R02

7-1

9

COR027-19 INSTALLATION OF SOLAR PANELS ON COUNCIL-OWNED

BUILDINGS

Attachments: Appendix A⇩

EXECUTIVE SUMMARY

This report is in response to the resolution in MOT039-18 of 19 November 2018.

The installation of solar PhotoVoltaic (PV) panels at large electricity consumption sites, such as

Leisure Centres, should be deferred until after the results of monitoring equipment are obtained.

The installation of PV panels at small site locations is not considered a sufficiently feasible

investment at this time.

The sale of electricity back to the grid has been investigated and is not feasible.


THAT:

Monitoring equipment be installed at Engadine Leisure Centre with an allocation of $35,000 from

the existing Energy Efficiency Program budget 2019/20.


CO

R02

7-1

9

PURPOSE

This report is in response to the Council decision MOT039-18 of 19 November 2018.

BACKGROUND

On 19 November 2018 Council via MOT039-18, resolved:

THAT Council receive a report within the next four months that details the:

1. Potential to implement solar panels on Council-owned building roof tops, aimed at reducing

Council’s overall network-supplied electricity demand and consumption, and

2. Financial and other benefits achieved by solar panel installations at domestic, commercial,

other Councils and State/National Governments, including other countries users [sic], of roof

top solar electricity generation and supply, and

3. Opportunity for excess electricity generated to be sold/returned back into the network, and/or

including use by Council at other sites.

Council invested in a similar program from 2009 to 2013 and undertook several solar panel

installations on buildings. A number of these installations are now reaching a point in their life cycle

where a reduction in the efficiency of electricity generation is occurring. The largest installation is on

the roof of the Administration Centre. Over the past ten years improvement in solar panel technology

and manufacture (watts per sqm) has seen the price of solar panels fall significantly.

To provide a comparison of improvements since 2011 the current ten panel system at Caldarra

Avenue Early Learning Centre is rated at 1.75 kilowatts but a modern ten panel array would generate

3.3 kilowatts.

It is often difficult to measure the effectiveness of some of these systems without monitoring

equipment being installed. The solar tube system at Anzac Youth Centre serving Engadine Leisure

Centre has already been reviewed and will be retired later this year when the planned roof renewal is

undertaken at the Youth Centre.

A list of Council-owned and controlled sites where solar panel/tube systems are currently installed is in

Table 1, Appendix A.

DISCUSSION

The operating environment for electricity costs and the feasibility of renewable generation within New

South Wales and Australia is the product of commercial markets being heavily influenced by the

policies of the State and Federal Governments.


CO

R02

7-1

9

While the Federal Government is the most significant market influence, different State Governments

setting different renewable energy generation targets also impact on electricity costs as part of the

national grid in terms of reliability and spot prices at times of high demand. For this reason interstate

experiences were not reviewed.

Looking more broadly beyond Australia it is submitted that the individual country operating

environments, particularly in Europe, are not readily comparable to Australia. The energy market and

even the average daily number of hours of sunlight makes the feasibility assessment more difficult.

Consequently, overseas experiences were not considered.

The same standard of solar PV panels is available worldwide with the price to the end purchaser

varying and depending on the amount of available Government subsidy. As such, the primary focus of

this report will be to respond to Resolutions 1 and 3 in the context of Council’s own operating

environment for electricity. An explanation of this operating environment is necessary to understand

the economics of PV electrical generation at Council building sites.

For several years, Council has been an active party in seeking energy efficiencies in reduced

consumption but less active in the field of energy generation from renewables. The reason for this is

that Sutherland Shire Council has pursued its opportunities from a perspective of return on investment

for renewable energy generation.

Until recent years Council has been the beneficiary of exceptionally attractive low tariff rates for

electricity relating to its large consumption sites.

Small Sites

The current electricity consumption charges for the contract negotiated by SSROC for Council’s small

sites effective from 1 July 2019 range from maximum peaks rates between 17.6 cents per kilowatt

hour to 38 cents per kilowatt hour. Table 2 in Appendix A provides examples of small sites electricity

cost breakdown.

The tariffs in Table 2 do not include the various non-consumption costs which are also included in

electricity bills. It should be noted that there are five different tariff rate scenarios applying to the

Council sites in the contract.

Large Sites

Large sites are different in tariff rates. Council at its large electricity consumption sites receives a

significant discount when compared to small site tariffs. This discount is in consideration of the volume

of electricity Council guarantees to consume at these sites. Table 3 indicates the movement in

electricity charges for large sites in 2018/19 and going forward under the new contract which started

on 1 July 2019. The trend in pricing is a gradual decline.


CO

R02

7-1

9

It should be noted that consumption is not the only component of a total energy bill. The following is an

actual example from a large site bill for Sutherland Leisure Centre ending 31 May 2019 where the

majority of energy consumption was at shoulder and off peak times:

Energy Charges (consumption) $4,794

Network Charges $7,008

Environmental charges $1,410

The above example clearly shows the total bill cost in the form of the “poles and wires” and load

demand availability cost to Council as a consumer can easily exceed actual consumption cost.

The cost of electricity to Council for its large sites is covered by a recent award of contract to Origin

Energy which commenced on 1 July 2019.The largest electricity cost is incurred by Leisure Centres.

The recent installation of utilities monitoring equipment at Sutherland Leisure Centre has provided an

ability to analyse and improve energy costs at the sites. Other large sites on the contract list include

Engadine and Caringbah Leisure Centres, the Administration Centre, Bath Road Depot, the

Entertainment Centre, Hazelhurst Gallery, Cronulla Central, Engadine Community Centre and Square.

The tariffs in Table 3 for the new large site contract, secured by an SSROC initiative, for three years

from 1 July 2019, are still favourable compared to residential consumers in NSW at a typical average

of 33 cents per kWh. This new contract also contains a renewable energy component from the large

solar farm in Moree to reduce greenhouse gas emissions.

Potential to Generate Electricity from Roof Top Solar PV Installations

When looking at new PV installations the approach for Council is to consider the subject using the

following criteria:

Look at small sites first.

Calculate solar PV generation based on an average of 4.2 hours sunlight a day (standard

benchmark).

Give priority to building locations which have high energy demand during peak period tariffs.

Make no assumption of selling excess generation back to the grid.

Determine a reasonable payback period for investment based on total value of electricity

generated in comparison to the expected useful life of the solar panel installation.

Installation of Solar Panels at Large Electricity Consumption Sites

Staff have been modelling potential sites for PV generation and the common theme which is evident is

that the relatively low tariff rate for electricity acts as a disincentive for investment.

Council’s Leisure Centres feature prominently in the large site contract and the following example of

calculation for Engadine Leisure Centre indicates the simple payback period is too long to be a viable

investment.


CO

R02

7-1

9

Cost of grid energy

Cost of a 90 KWh/day PV system installed

Average 4.2 hours/day for generation

Annual value of PV generated electricity

Simple payback period

Estimated renewal costs of PV installation components during payback

period

Revised payback period after renewal cost considered

8¢/kWh

$39,795

32,977 kWh/year

$2,638

15 years

$4,300

16.7 years

Although PV investment is not considered feasible Engadine Leisure Centre is the obvious choice for

installation of monitoring equipment. Energy costs (gas and electricity) are a significant component of

operating costs and installation of monitoring equipment over gas and electricity allows Council to

make better informed decisions to improve the operating efficiency of the Leisure Centre going

forward.

Monitoring equipment can also be attached to water supply to monitor consumption and can provide

real time data identifying the existence of water leaks within the centre which could go unnoticed until

the next water bill is received. Leaks within pipework of an Aquatic centre are not rare and can impact

on the cost of energy used to heat water if it is a leakage of warm pool water.

The data acquired from the monitoring equipment will assist Council in developing responses to

maintain service delivery with a more efficient use of available energy sources.

The benefits of the monitoring equipment are as follows:

Access to necessary information in real time to maximise energy usage.

Manage demand changes by in-depth analysis of demand patterns.

Plan infrastructure changes with better understanding of energy consumption.

Based on a recent installation at Sutherland Leisure centre a budget allocation of $35,000 should be

adequate to cover the cost of similar equipment at Engadine Leisure Centre.

In relation to feasibility assessment of PV installations the key component of the PV installation is the

inverter which represents a significant proportion of capital cost. The inverter is estimated to require

renewal eight years after original installation. If the inverter fails no electricity is generated.

There are penalties in the large site contract associated with the reduction of consumption of electricity

by more than 20% at a site triggering the right of Origin Energy to apply a higher tariff rate to a site. In

addition there is also a demand penalty in the contract where, if consumption increases above a

certain level of consumption during peak periods, an amount is applied for the whole month even if

there is an only single 30 minute spike during the billing period. The penalty is intended to take stress

off the grid during peak demand periods.


CO

R02

7-1

9

The fine tolerances in consumption and the resulting penalties for operating outside these tolerances

make it imperative that remote monitoring of energy consumption in real time be implemented as a

priority and this has already occurred at Sutherland Leisure Centre.

In relation to large sites there are a number of actions available to investigate further to reduce peak

demand availability charges between 10 am and 2 pm before capital is committed to extra generation

of electricity on site by solar panels:

Smart load management – adjusting temperatures on air conditioning in the middle of hot days.

Running non–essential electrical plant and services outside peak times.

Load shedding – similar to smart load management but using technology to turn off or ramp

down non–essential demand circuits to reduce total demand.

Non–conventional chillers – utilising natural gas-fuelled chillers during peak electrical demands

to avoid penalty demand charges at peak times.

Energy storage and demand levelling – moving demand from peak to non-peak times by

storage of chilled water accumulated at non-peak times to be used at peak times.

Extra generation from gas - the use of co–generation plant to provide electricity to avoid peak

electrical demand charges is already in place at Sutherland Leisure Centre. The technology at

Sutherland Leisure Centre is old and is a one size fits all approach. Staff are researching the

replacement of the existing ageing co–generation plant with smaller on demand micro turbines.

Extra generation from solar–reliability is not as strong as co-generation but can still be viable

subject to energy production matching site demands and feasibility thresholds.

As indicated above the first action to be taken on large site energy management is consideration of

installing energy monitoring equipment to better understand demand in real time. This will enable the

appropriate action/s from the list above to be implemented in an orderly and efficient manner.

Installation of Solar Panels at Small Electricity Consumption Sites

The economics of PV solar generation at small sites has been considered and this is demonstrated by

revisiting the example of small sites previously referred to in the report. Table 4 indicates payback

period at the sample sites to be between 7.9 to 10.7 years. Having regard to the downward trend cost

of panels and a potential declining trend for electricity prices to Council it is submitted that the payback

period makes the investment now a marginal proposition.

It is submitted that in a dynamic market of increased solar panel efficiency and electricity prices being

more uncertain in timeframes greater than six years (two contract periods) then six years should be

the payback hurdle rate. Staff are now in a position to annually review modelling of the solar panel

proposition and will re-submit it for consideration if the modelling indicates a payback of six years or

less.


CO

R02

7-1

9

Sale of Excess Electricity or Re-Use of Excess Electricity by Council

In order to assess the feasibility of the sale of electricity back to the grid the reality is that the system

must be designed to produce electricity above that required for peak demand on site. The modelling

used in this report has been based on system design being specified to meet the shoulder demand

rather than the peak demand load. There is a significant difference between a domestic solar

installation which is unoccupied during the day using little electricity and generating electricity back to

the grid and a commercial solar installation for a building which is actively consuming electricity in

large amounts for such equipment as pumps and air conditioning.

In order to have an option to pursue sale of excess electricity back to the grid, there must be an

agreement with the electricity supplier to receive the electricity.

Under the large site contact with Origin negotiated by SSROC, councils were obliged to nominate the

sites generating excess electricity to the grid. At the same time Council had no such site and

therefore this option is not available until the contract is renewed in 2022.

Under the small sites contract, the tariff feed in rates set by ERM for existing Early Learning Centre

sites have been set at zero indicating a reluctance by the supplier to buy electricity from the Council.

Due to the contract arrangements for both large and small sites, sale back to the grid cannot be

pursued.

Risk Management

The most serious risk associated with the subject matter of the report is the future trend on electricity

prices. Based on the new contracts the trend for electricity prices over the next three years is one of

gradual decline of a total of eight percent (8%) for large sites until 2022. This trend, if sustained, would

further reduce the financial feasibility of PV installations.

If the price of solar panels based on wattage output continue to fall the feasibility of small site

installations can be reviewed. This would need to be counterbalanced against a minor downward trend

for small site electricity prices over the next three years. As indicated above, setting conservative

payback periods for investment in PV installations is probably a good risk management tool.


This is a new project to be delivered within a program funded from the 2019/20 Capital Program

which. The 2019/2020 Energy Efficiency Program budget is nominated as the source for the $35,000

cost.

This is a relatively low cost project and it is considered that it can be project managed within existing

resources of Shire Infrastructure Division without serious impact on other projects.


CO

R02

7-1

9

With regard to asset management, the monitoring equipment has very low maintenance cost due to

lack of moving parts but depreciation based on 15 year useful life is noted. A summary of the impacts

on the LTFP are as follows:

LTFP IMPACT TABLE

WHOLE OF ASSET LIFE COST ASSESSMENT

Capital Cost $35,000

Funding Sources

Grant Funds 0

Council Funds $35,000

Annual LTFP Impacts:

Operational/Maintenance Costs (current dollars) 0

Annual Depreciation (15 years useful life) $2,340

Operational Savings # 0

Additional Income 0

NET ANNUAL IMPACT ON LTFP $2,340

Expected Renewal Date 2034

Notes:

# The use of monitoring equipment to determine alteration of electricity and gas demand patterns should generate operational

savings to pay for the system within five years.


There is no direct community engagement intended other than information on the implementation of

the works.

STRATEGIC ALIGNMENT


2.1 Effectively manage and conserve our resources

2G Review and Implement Corporate Energy and Water Efficiency Plan.


There are no specific legislative provisions relating to the subject matter of the report.

CONCLUSION

In terms of installing solar PV generation on Council’s buildings it is considered the feasibility

assessment does not support installation at this time and the first priority is to manage electricity

demand patterns within the large sites contract locations to avoid consumption penalties. The

installation of monitoring equipment at Engadine Leisure Centre is a logical step to optimise energy

consumption at the site to sustain efficient service delivery.


CO

R02

7-1

9

In relation to small sites, it is suggested that PV generation is a not feasible option based on simple

payback periods outlined in the report. At this stage it is not considered feasible to develop and install

Solar PV installations with the intention to sell excess electricity back to the grid at large sites due to

the lack of opportunity afforded in current supply contracts.

RESPONSIBLE OFFICER

The officer responsible for the preparation of this Report is the Manager Asset Management Services,

Phillip Mansfield, who can be contacted on 9710 0104.



CO

R02

7-1

9

Ap

pe

nd

ix A


CO

R02

8-1

9

COR028-19 PROPOSED NEW WAR MEMORIAL, PEACE PARK, SUTHERLAND

Attachments: Appendix A⇩

EXECUTIVE SUMMARY

Council has been approached by Shire RSL Sub–Branches to support the construction of a new

memorial to commemorate the centenary of armistice to recognise the approximately 500

persons across the Shire who volunteered to serve in the First World War.

It is hoped that with Council support, the project can be delivered before Remembrance Day on

11 November 2019.

The total project cost has been estimated at $30,650 with Federal grant funding of $16,500 and

Council conditionally underwriting the remaining funding to a cap of $14,150 while the RSL Sub-

Branches pursue further avenues of funding.

It is recommended Council endorse and coordinate delivery of the project with works contracted

externally.


THAT:

1. Council receive and note the report on the Centenary of Armistice Sutherland War Memorial

Project.

2. Council amend the Operational Plan 2019/20 to include the Centenary of Armistice Sutherland

War Memorial project in the Capital Program, funded by a $16,500 specific purpose grant and

general purpose revenue up to a maximum of $14,150.

3. The Mayor write to the RSL Sub-Branches involved in this project and thank them for bringing

this project forward.


CO

R02

8-1

9

PURPOSE

To seek approval to include the centenary of Armistice memorial project for delivery in the Capital

2019/2020 Works program and authorise funding.

BACKGROUND

Council has been previously approached by Shire RSL Sub-Branches to support this important

community initiative and Council has previously indicated in principle support for the project. The

concept is to commemorate the centenary of armistice in 2018 by having a single new memorial to

recognise the service and sacrifice of the approximately 500 persons who voluntarily enlisted to serve

from the Shire.

DISCUSSION

The First World War, which ended at 11.00 am on 11 November 1918, is an important part of

Australian history due to the very large number of casualties. These are immortalised in the number of

memorials across Australia constructed after the war. The Shire has a number of memorials including

the 1921 Sutherland stone obelisk memorial, relocated into Peace Park in 1992, built from sandstone

sourced from Thomas Holt’s former home Sutherland House.

The intention of the new project is to record in one central place all the names of those who served

from the Shire. This new project has involved research by RSL Sub-Branches to identify and include

those names previously omitted from the various local memorials across the Shire.

The project involves a new memorial adjacent to the 2005 Memorial Wall which recognised the four

service arms, Army, Navy, Air Force and the Merchant Navy. The design of the new memorial will

complement the 2005 Memorial Wall and not impact on the 1921 memorial.

There is an urgency submitted by the community to have the project completed by 11 November this

year. In order for this to occur it is necessary to have this project authorised to enable works to

proceed.

The project details can be found in the concept plan in Appendix A. The cost of the project has been

estimated and the suggested funding associated with the project is as follows:

Federal Government grant $ 16,500

Sutherland Council $ 14,150

Total cost (ex GST) $ 30,650

It is proposed Council’s contribution be capped at the figure nominated above and that it is expected

the RSL Sub-Branches will pursue other avenues of funding to reduce Council’s contribution.


CO

R02

8-1

9


This is a new project outside the 2019/20 Capital Program which will require the 2019/2020

Operational Plan to be amended to enable it to proceed.

This is a relatively modest project of low complexity and cost and it is considered that it can be project

managed within existing resources of Shire Infrastructure Division without serious impact on other

projects.

With regard to asset management, war memorials have low whole of life costs due to use of long lived

materials used in construction and acceptance of some wear and tear being recognised in the passing

of years. A summary of the impacts on the LTFP are as follows:

LTFP IMPACT TABLE

WHOLE OF ASSET LIFE COST ASSESSMENT

Capital Cost $30,650

Funding Sources

Grant Funds $16,500

Council Funds $14,150

Annual LTFP Impacts:

Operational/Maintenance Costs (current dollars) $200

Annual Depreciation (100 years useful life) $306

Operational Savings 0

Additional Income 0

NET ANNUAL IMPACT ON LTFP $506

Expected Renewal Date # 2119

# War memorials can be expected to last longer than 100 years as evidenced by the existing 1921 memorial.


Discussions have taken place with representatives of Shire RSL Sub–Branches and they are actively

encouraging Council to support this project.

STRATEGIC ALIGNMENT


3.3. Opportunities will be fostered that help build

a sense of community.

3A Develop and implement Community Services

Business Plan


There are no specific legislative and policy considerations applying to this report.


CO

R02

8-1

9

CONCLUSION

It is considered that the project being put forward by the RSL sub-branches for the construction of a

memorial to commemorate the centenary of Armistice will build community understanding of the

service and sacrifice associated with the First World War. The project will identify the individuals

involved and encourage present and future generations to appreciate the current rights and freedoms

fought for by those who served.

RESPONSIBLE OFFICER

The officer responsible for the preparation of this report is the Manager Asset Management Services,

Phillip Mansfield, who can be contacted on 9710 0104.



CO

R02

8-1

9

Ap

pe

nd

ix A


CO

R02

9-1

9

COR029-19 CASH PAYMENTS AND INVESTMENTS REPORT - JUNE 2019

Attachments: Appendix A⇩ and Appendix B⇩

EXECUTIVE SUMMARY

This report provides details of Council’s investment performance for the period ending 30 June

2019, along with presenting cash and investment balances and diversification.

Council may invest funds that are not, at any particular time, required for any other purpose.

Investment of these funds must be in accordance with relevant legislation and regulations and

in accordance with Council’s Policy for Investment of Cash Balances. Details of these

investments must be reported to Council monthly.

The return on Council’s portfolio to 30 June 2019 was 2.77% compared to the benchmark of

1.97%.

All investments have been made in accordance with legislative requirements and within relevant

Council policy.


THAT:

The information concerning Bank Balances and Investments held as at 30 June 2019 be received

and noted.


CO

R02

9-1

9

PURPOSE

The purpose of this report is to advise Council of funds invested in accordance with Section 625 of the

Local Government Act. Additionally, the report provides details and certification as required by Clause

212(1) of the Local Government (General) Regulation 2005.

BACKGROUND

The Cash Payments and Investments Report is required to be submitted for Council’s consideration

each month detailing investments and their performance.

DISCUSSION

Council invests funds which are not required in the short term for any other purpose. These

investments are governed by strict legislative requirements and Council’s Policy for Investment of

Cash Balances. The Responsible Accounting Officer must report to Council monthly details of the

funds invested and certify that they have been made in accordance with the legislation and policy.

The return on Council’s total investment portfolio has averaged 2.77% for the period to 30 June 2019

against a benchmark of 1.97%. Total interest earned for the twelve months was $4,846,474 against an

annual budget of $4.637 million, of which $1,703,798.12 is applicable to the restricted Developer

Contributions. Details of the investments and performance are in the attached document (Appendix B).

Appendix A outlines the Summary of Bank Balances as at 30 June 2019, and identifies cash

movements throughout the month along with a summary bank reconciliation statement.


Actual interest from investments has exceeded budget by 4.53%, although a proportion of this amount

is applicable to other funds. The full amount of the interest gain will improve Council’s operational

performance, however the amounts applicable to other funds will be restricted and the gain will not

fully benefit general revenue. Although there are a number of year end entries to be finalised, the

benefit to general revenue is estimated at $180K.

The increase in investment income is the result of higher than originally anticipated investment funds,

primarily from restricted assets held. Estimated investment income for future years has been assessed

in line with the increased funds level and in line with the recent reductions in official interest rates.


Appropriate consultation has occurred with Council’s financial investment advisor and fund managers.


CO

R02

9-1

9

STRATEGIC ALIGNMENT


1.4 Ensure community confidence in Sutherland

Shire Council.

1E Implement the Finance Strategy including

the Long Term Financial Plan.


Council invests funds in accordance with Section 625 of the Local Government Act. Council also has

an Investment of Cash Balances Policy that outlines how investments can be made, including

procedures and reporting requirements.

Clause 212(1) of the Local Government (General) Regulation 2005 requires a written monthly report of

all money invested to be considered at the first council meeting following month-end.

CERTIFICATION BY RESPONSIBLE ACCOUNTING OFFICER

In accordance with Clause 212 of the Local Government (General) Regulation 2005, I hereby certify

that all investments have been made in accordance with the Act, the regulations and Council's

investment policy.

Greg Hayes

Manager Finance and

Responsible Accounting Officer

RESPONSIBLE OFFICER

The officer responsible for the preparation of this Report is the Manager Finance, Greg Hayes, who

can be contacted on 9710 0334.



CO

R02

9-1

9

Ap

pe

nd

ix A


CO

R02

9-1

9

Ap

pe

nd

ix B


CO

R03

0-1

9

COR030-19 REPORT AND MINUTES OF THE MEETINGS OF THE SUTHERLAND

TRAFFIC AND TRAFFIC SAFETY COMMITTEE AND CONSULTATIVE

TRAFFIC FORUM HELD ON FRIDAY, 5 JULY 2019

Attachments: Appendix A⇩ and Appendix B⇩

EXECUTIVE SUMMARY

Meetings of the Sutherland Traffic and Traffic Safety Committee and Consultative Traffic Forum

were held on Friday 5 July 2019.

The Minutes of the Meetings are attached as Appendix A and Appendix B.


THAT:

1. The committee recommendations contained in the Minutes of the Sutherland Traffic and

Traffic Safety Committee Meeting held on Friday 5 July 2019, attached as Appendix A, be

adopted.

2. The recommendations contained in the Minutes of the Consultative Traffic Forum Meeting held

on Friday 5 July 2019, attached as Appendix B, be adopted.

RESPONSIBLE OFFICER

The officer responsible for the preparation of this Report is the Team Leader Traffic & Transport

Services, Greg Holding, who can be contacted on 9710 0514.



CO

R03

0-1

9

Ap

pe

nd

ix A


CO

R03

0-1

9

Ap

pe

nd

ix B


MO

T01

6-1

9

MOT016-19 REQUEST FOR TREE REMOVAL - 3 CAROLINE STREET, OYSTER

BAY

Pursuant to Notice, Councillor Croucher submitted the following Motion:

THAT:

1. Council receives a report at its next meeting on the request from Mr and Mrs Chivers to

remove a tree located on Council property adjacent to 3 Caroline Street, Oyster Bay.

2. The report includes:

a. Details of the request and the reasons for seeking removal;

b. Outcomes from the visual assessment and TRAQ assessment undertaken;

c. An assessment against the relevant criteria in Part 4 of Chapter 39 in Sutherland Shire

Development Control Plan 2015; and

d. Recommendations for the management of the tree and associated costs (if applicable).



MO

T01

7-1

9

MOT017-19 WORONORA CARAVAN PARK

Pursuant to Notice, Councillor Riad submitted the following Motion:

THAT Council:

1. Exercises its authority to determine the s.68 (of the Local Government Act, 1993) application

submitted in relation to Woronora Caravan Park at 1 Menai Road, Woronora, to install a

moveable dwelling.

2. Receives a report that details the assessment of the application against the relevant legislation

and provides a recommendation by October 2019.


agenda of council meeting - 15 00 2019

Documents