local government association of the northern territory · 2017. 5. 11. · territory (lgant)...

LOCAL GOVERNMENT ASSOCIATIONOF THE NORTHERN TERRITORY

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LOCAL GOVERNMENT ASSOCIATION

OF THE NORTHERN TERRITORY

LOCAL GOVERNMENT ASSOCIATION

OF THE NORTHERN TERRITORY

2010/2011 ANNUAL REPORT


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CONTENTS PAGE

Chief Executive Officer’s Report…………………………………………………………..3

About this Report……………………………………………………………………………4

About the Association……………………………………………………………………… 5

Vision……………………………………………………………………………….. 6

Mission……………………………………………………………………………… 6

Core Values…………………………………………………………………………6

Goals………………………………………………………………………………...6

Membership 2010 – 2011………………………………………………………………… 7

Local Government areas in the Northern Territory…………………………………… 8

Executive Committee Members……………………………………………………........9

Organisational Structure………………………………………………………………… .12

Service Providers & Sponsors………………………………………………………….. .13

President’s Report on Behalf of the Executive………………………………………....14

Strategic Plan Achievements 2010/2011……………………………………………… .16

Financial Reports as at 30 June 2011…………………………………………………. .32

Official publication of the Local Government Association of the Northern Territory ©


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CHIEF EXECUTIVE OFFICER'S REPORT

Alderman Kerry Moir

President

Local Government Association of the Northern Territory

PO Box 2017

PARAP NT 0804

Dear Madam President

In accordance with Clause 18.3 of the Local Government Association of the NorthernTerritory (LGANT) constitution I submit the Annual Report (‘the Report’) and audited financialstatements for the 2010-11 financial year.

LGANT’s financial position and performance were sound at 30 June 2011 and theAssociation was able to meet its debts as they fell due.

LGANT is very grateful for the continued support from both the Territory and Commonwealthgovernments and particularly in terms of their financial assistance to LGANT. Much of thatassistance is aimed at improving conditions within the local government sector and inproviding LGANT with resources to both facilitate and encourage coordination of activitiesamongst councils in the Northern Territory.

LGANT very much appreciated the Darwin City and Alice Springs Town Councils providing itwith venues for LGANT’s general and reference group meetings. LGANT also thanks itssponsors and continued its acknowledgement of them in its publications.

LGANT also gives sincere thanks to firms that have provided it with advisory and consultingservices, in particular Peter Anderson (local government index), Cridlands (legalservices),the Western Australian Local Government Association (industrial relations andhuman resource services) and consultants to LGANT, Maree McLinden (internal finances)and Sue Davey (Human Resources and Training). All of these persons or entities enabledLGANT to expand its outcomes for member councils.

Tony Tapsell

CHIEF EXECUTIVE OFFICER


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ABOUT THIS REPORT

This report is the 20th Annual Report of the Local Government Association of the NorthernTerritory and it is for the financial year 1 July 2010 to 30 June 2011 and is prepared formembers of the Association and other parties.

This report has been prepared in compliance with clause 18.3 of the LGANT constitutionwhich requires it to be tabled for the members of the Association at an Annual Generalmeeting. This meeting will take place on 23 November 2011.

The report details the financial position and performance of the Association for the financialyear, as well as background material on local government in the Northern Territory, theAssociation’s membership, directions and achievements during the year.

If anyone has any queries about the report they can contact the Association. Contact detailsare as follows:

Telephone: (08) 8944 9688

Facsimile: (08) 8941 2665

Email: [email protected]


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ABOUT THE ASSOCIATION

Business Overview

The office of the Association is located at the Parap Business Centre, 21 Parap Road, Parap,NT.

The Local Government Association of the Northern Territory was first incorporated in 1992 asthe single peak body representing local government in the Northern Territory. LGANT isestablished as an incorporated body under section 242 of the Local Government Act 2008 ofthe Northern Territory.

LGANT has an eight member Executive Committee which has overall carriage of theAssociation’s affairs as detailed in the Association’s constitution and governance charter.The Chief Executive Officer has delegated authority for staff matters and implementsdecisions of the Executive and those made at general meetings. LGANT’s policy statementsare regularly updated and reflect the local government sector response to particular issues.

The Executive and staff review the Association’s strategic plan each February and this reportincludes feedback on achievements against the plan for 2010/2011.

LGANT:

exists as a provider of support services, a coordinator of collective effort and as anadvocate for its members and forms part of the system of local government inAustralia which includes:

1. Councils

2. State and Territory Local Government Associations

3. the Australian Local Government Association

undertakes advocacy work for councils in the Northern Territory by being a ‘voice’ formember councils or representing their collective views to other spheres ofgovernment and the public. This helps increase their understanding of the views andpositions of local government in the Northern Territory

obtains views from its members through various communication channels, mostimportantly at meetings where it calls for resolutions on a range of policies andactions. Progress reports are circulated regularly to members through minutes ofmeetings and reports

is a member of the Australian Local Government Association (ALGA), along withother State Local Government Associations and the Australian Capital Territorygovernment. ALGA is local government’s voice at the national level with theCommonwealth government.

has a strong interest in the development of local government.


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High level elements of LGANT’s strategic plan

VisionFor LGANT to lead, represent and be influential for the benefit of local government.

MissionTo provide leadership, support and influential representation for the local government sectoron all issues pertaining to local government.

Core ValuesTo achieve the mission and vision identified, the guiding principle of LGANT is to beresponsive and supportive to the needs of its members. Our values are: transparency

honesty

accountability

responsiveness

accessibility

flexibility

innovation

Strategic GoalsLGANT’s goals as stated in the strategic plan are:

to enhance the status and performance of local government in the Northern Territory

to effectively advocate for and represent member councils

to promote communication between our members, stakeholders and the broadercommunity

to provide effective and efficient services to our members.

MembershipMembership of LGANT is voluntary and open to all local governments in the NorthernTerritory and it is also able to admit associate members under Clause 6.4 of its constitution.During 2010–2011 LGANT had two associate members. A list of members can be found onthe following pages.


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LGANT MEMBERSHIP 2010 – 2011

During 2010-11, 16 local governments in the Northern Territory were members of LGANTincluding:

5 municipalities

11 shires

The Mabunji Aboriginal Resource Centre, based in Borroloola, and the NhulunbuyCorporation Limited continued as associate members throughout 2010-11. Bothorganisations are involved in the delivery of local government-type services.

Member organisations as at 30 June 2011

Alice Springs Town Council (Municipal Council)

Barkly Shire Council

Belyuen Shire Council

Central Desert Shire Council

City of Palmerston (Municipal Council)

Coomalie Shire

Darwin City Council (Municipal Council)

East Arnhem Shire Council

Katherine Town Council (Municipal Council)

Litchfield Council (Municipal Council)

Mabunji Aboriginal Resource Centre

MacDonnell Shire Council

Nhulunbuy Corporation Limited

Roper Gulf Shire Council

Tiwi Islands Shire Council

Victoria Daly Shire Council

Wagait Shire Council

West Arnhem Shire Council

Local government

Local government

Local government

Local government

Local government

Local government

Local government

Local government

Local government

Local government

Association

Local government

Company

Local government

Local government

Local government

Local government

Local government


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LOCAL GOVERNMENT AREAS IN THE NORTHERN TERRITORY

AS AT 30 JUNE 2011


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EXECUTIVE COMMITTEE MEMBERS 2010/2011Clause 14.4 of the Constitution requires LGANT’s Executive to be made up of eight (8)members. Seven (7) members are elected and one (1) is appointed by the Darwin CityCouncil. Of the eight member Executive, four members (three elected and one appointed),make up the representation from municipal councils and the other four members are electedfrom shire councils.

As at 30 June 2011 the Executive consisted of the following members:

President Alderman Kerry Moir (Darwin City Council)Vice President - Shires Councillor Ray Wooldridge (Victoria Daly Shire)Vice President - Municipals Mayor Damien Ryan (Alice Springs Town Council)Executive Members: Alderman Helen Galton (Darwin City Council); Mayor Tony

Jack (Roper Gulf Shire); Mayor Robert MacLeod (City ofPalmerston); Councillor David Norton (West Arnhem Shire);President Norbert Patrick (Central Desert Shire Council).

Alderman Kerry MoirPresident of the AssociationKerry has served on the Darwin City Council continuously since 1992. Inthat time Kerry has been Deputy Lord Mayor as well as Chairman of theCorporate Services Committee. She serves on many Darwin City Counciloutside committees including the NT Regional Development AustraliaCommittee (formerly known as the NT Area Consultative Committee) andthe Settlement Planning Committee.

Kerry was first appointed to the Executive Committee in 2000 as the Darwin City Councilrepresentative and retained this position until October 2004 when she was elected as theVice President representing municipals. In April 2005 Kerry was elected to the position ofPresident. Kerry was appointed as a Director on the Board of the Australian LocalGovernment Association in December 2006.

Councillor Ray WooldridgeVice President of the Association representing Shire councilsRay served for two and a half years as a councillor with the Pine CreekCommunity Government Council before taking on the position ofPresident, which he held until Pine Creek was amalgamated into theVictoria Daly Shire in 2008.Ray has served on LGANT’s Executive Committee since 2002, waselected as Vice President representing shires in March 2009 and is a Director on the Boardof the Australian Local Government Association. Ray is a chartered chemist and Principal ofNorth Australian Laboratories Pty Ltd in Pine Creek.


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Mayor Damien RyanVice President of the Association representing Municipal councilsDamien was elected to the Alice Springs Town Council in March 2008 andserves on various council committees. Damien was elected to the LGANTExecutive Committee as Vice President representing municipals at theannual general meeting in November 2010.Damien is currently involved in the Alice Springs Transformation Plan, AliceSprings Desert Knowledge Leadership Program, Alice Springs Planning forthe Future, Outback Highway Development Council, Tourism Central Australia Executive,Regional Development Australia Northern Territory (RDA NT) and the Centralian GirlsAcademy Advisory Committee. He is a Commissioner of the NT Grants Commission, amember of the Indigenous Education and Employment Taskforce (IEET), Alice SpringsAlcohol Reference Panel, NT Tobacco Control Advisory Committee and is Vice-President ofthe Finke Desert Race Committee and a Patron of Squash NT.

Alderman Helen GaltonExecutive Member representing MunicipalsHelen commenced as the appointed Darwin City Council representative onthe LGANT Executive Committee in October 2004. Elected to Darwin CityCouncil in the Lyons Ward in 1988-1992 (did not seek re-election) and2004, Helen holds positions on a number of Council committees includingCorporate and Economic Development Committee, the Audit Committee,Capital City Committee, Chairman of the Town Planning Committee andthe CBD Parking Advisory Committee. She is also Secretary of theAustralian Local Government Women’s Association (ALGWA) NT Chapter and held theposition of Deputy Lord Mayor on the Darwin City Council for 2005-2006. Helen is a formerGeneral Manager of Tourism Top End and currently Vice President of the AutomobileAssociation of the Northern Territory.

Mayor Tony Jack

Executive Member representing ShiresTony was elected to the Roper Gulf Shire in November 2008. Tony holdspositions on a number of committees including the Mungoorbada AboriginalCorporation, the Macarthur River Mines (MRM) Community Benefit Trustand the Mawa Association in Borroloola (an economic developmentorganisation). He was a member of the former Aboriginal and Torres Strait IslanderCommission (ATSIC) Regional Council, Indigenous Housing Authority of the NT (IHANT) andplayed an active part as the chair of the Shire Transitional Committee from 2006-2008. Hewas elected to the LGANT Executive Committee at the March 2009 Annual General meeting.Tony runs a 300 head cattle station on his homeland 60kms from Robinson River (SouthWest Gulf Ward). He has a strong understanding of business, employment opportunities forlocal people, housing issues and many other issues surrounding Roper Gulf Shire servicedelivery.


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Mayor Robert MacleodExecutive Member representing MunicipalsRobert was elected to the City of Palmerston Council in 2000 and becameMayor in May 2007. He represents the City of Palmerston on manycommittees and organisations including the National Local GovernmentDrug and Alcohol Advisory Committee; Crimestoppers NT andCrimestoppers Australia; Partnership Steering Committee; PalmerstonRegional Safe Communities Committee; Entrepreneurial Working Party;Palmerston Sister City Advisory Committee; Community Grants Scheme; Top End RegionalOrganisation of Councils; Palmerston Regional Business Association and the Top EndRegional Executive Committee.Robert’s working background in the private sector is mainly in defence and the oil and gassector, working with Halliburton and ConocoPhillips in senior management positions and heis a Justice of the Peace. He was elected to the Executive Committee at the March 2009Annual General meeting.

Councillor David NortonExecutive Member representing ShiresDavid was elected to the West Arnhem Shire Council in 2010. He haslived in Jabiru since October 1989 and holds positions on the WestArnhem Shire Finance and Policy Committee and the West ArnhemShire Audit Committee. David has held offices as Council Chairman,Vice Chairman and Administration Committee Chairman of the Jabiru Town Council, LGANTVice President – Municipals and NT Grants Commissioner – Municipal.David has been a member of the management team of Jabiru Foodland since 2002 and isalso a Justice of the Peace, a correspondent for the Territory Regional Weekly and a NortyBusiness Services Sole Trader.David’s working background has been in biology as a laboratory technician and he hasworked for the Environment Research Institute for the Supervising Scientist and the LondonBorough of Croydon Planning Department, Appeals, Enforcement and Survey. He waselected to the Executive Committee at the November 2010 Annual General meeting.

President Norbert PatrickExecutive Member representing ShiresNorbert resides in Lajamanu and was elected President for the CentralDesert Shire Council in September 2009. He has been employed as aCommunity Liaison Officer and as a Sport/Recreation Officer for theLajamanu Community Government Council and has undertakentraining in education, office administration, community management, first aid and fire safety.Norbert’s vision is to get people and organisations to work together to make their placesbetter for everyone. He was elected to the Executive Committee in May 2010.


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ORGANISATIONAL STRUCTURE

LOCAL GOVERNMENT ASSOCIATION OF THE NORTHERN TERRITORYORGANISATIONAL STRUCTURE AS AT 30 JUNE 2010


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SERVICE PROVIDERS & SPONSORS TO LGANT

Auditor

Kevin Blacker & Associates

PO Box 38170

WINNELLIE NT 0821

BankersWestpac Bank

Smith Street

DARWIN NT 0800

InsuranceJardine Lloyd Thomson

PO Box 2321

FORTITUDE VALLEY BC QLD 4006

Association Sponsors

LGANT offers thanks and acknowledges the assistance provided to it by its five majorsponsors in the 2010-2011 year and its minor sponsors of Local Super, Collins AndersonManagement, RBA - Exceloo and DA Christie P/L – All Park Products.


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PRESIDENT'S REPORT ON BEHALF OF THE EXECUTIVE

Dear members,

LGANT was once again heavily engaged in carrying out activities on behalf of its membercouncils and associate members. It also met its commitments to the Territory andCommonwealth governments and the Australian Local Government Association.

Much of the advocacy work completed during the year carried on from the previous year asanyone familiar with advocacy would know and expect. Some issues, like legislative orpolicy change, take a long time to come to fruition and I can confidently say, were vigorouslypursued throughout the year. Perhaps the most pleasing aspect of LGANT’s advocacy workwas to learn of the Territory government’s announcement of three years’ funding for the eightlarge shires to be used for Indigenous employment. This was a crucial issue for the sectorand LGANT is particularly proud of having played a part in achieving a successful outcomefor shires.

Some of the more important issues and projects pursued by LGANT during the yearincluded:

obtaining financial commitments from the Territory and Commonwealth governmentsfor Indigenous employment in shires until 2014

collaborating with the Territory and Commonwealth governments to organise eventsto celebrate 2010 as the Year of Women in Local Government

after being a long term advocate for a container deposit scheme in the NorthernTerritory LGANT was pleased to see the Territory government introduce containerdeposit legislation in November 2010

lobbying the Territory government to present its plans for transferring 8000 kilometresof local roads from the Territory government to local government in years to come -an issue that hopefully will become clearer next financial year

lobbying for, and achieving change, by the Territory government to elected memberallowances

developing a local government cost index for measuring the changes in council coststo be used by councils as one measure in the setting of general rates

lobbying and gaining confirmation from the Territory government that financialsustainability studies of shire councils would be done next financial year

providing input to Local Implementation Plans for ‘growth towns’ on Aboriginal land

collaborating with the Territory government to secure funding for:

o asset and financial management for Northern Territory councils under theCommonwealth government’s ‘Local Government Reform Fund’

o the development of emergency management plans by councils


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o development of an Indigenous workforce development planning strategy forshires.

pursuing with the Territory government issues to do with:

o local government elections and voting systems

o local government procurement

o local government engagement in the Remote Service Delivery processes

o an employee who can also be a councillor

o local government rates and charges

o local government reforms to do with the Wagait, Belyuen and Coomaliecouncils and areas of unincorporated land

o the recognition of local government in the Australian constitution and in afuture Territory constitution

o planning in local government areas

o securing leases on Aboriginal land for properties shires have in interest in

o land being available in major centres to ease the burden on housing

support to LGANT from the Commonwealth government for the implementation ofelected member professional development programs.

LGANT also committed to the work of the Australian Local Government Association onmatters such as:

the recognition of local government in the Australian constitution

funding for local government, especially the extension of the Roads to Recoveryprogram

policy development, particularly to do with transport

advocacy of local government issues at the Federal level

the details of which are expanded on in the next section of this report.

The Executive Committee is once again grateful for the support of member councils inproviding input to its work, including that which councils provide at LGANT meetings.

Kerry MoirPresident


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STRATEGIC PLAN ACHIEVEMENTS 2010-2011Key achievements against outcomes for 2010/2011

1.1 Outcome: Professional development of elected members and Council stafftakes place

Achievements:Some of the more significant projects LGANT assisted councils with during 2010/2011included: LGANT delivered training in September and November 2010 and April 2011 to 14

local government employees who completed a Certificate IV in Workplace Trainingand Assessment. The purpose of this training is to bring more resources to the effortof delivering elected member training in-house in specific areas of need such asinduction training for new councilors

LGANT engaged the Northern Territory Chamber of Commerce to deliver timemanagement training for human resource managers in councils

in May 2011 LGANT was contracted by the Department of Families, Housing,Community Services and Indigenous Affairs (FaHCSIA) to coordinate a GovernanceSupport Project, commencing in 2011/2012, specifically targeted at remoteIndigenous shires to:o coordinate the development of governance plans for shireso facilitate network opportunities for indigenous representatives of local

government entitieso support governance training activities of the shires, including further rounds of

the train the trainer programo develop and maintain appropriate support materialso assist with the development and implementation of mentoring programs for

elected members asset management workshops for staff were delivered to six councils through the

Local Government Reform Fund long term asset and financial planning management workshops for elected members

were delivered to five councils through the Local Government Reform Fund All 16 member councils attended individual Emergency Management and Disaster

Recovery workshops and forums facilitated by LGANT, as part of the NorthernTerritory Emergency Services “Natural Disaster Resilience Program” to assistmember councils to develop Emergency Recovery Plans

elected member training was provided to:o City of Palmerston Councilo The Mayor of West Arnhem Shire

assistance with CEO performance reviews was provided to:o Darwin City Councilo Roper Gulf Shireo Victoria Daly Shireo Tiwi Islands Shire

assistance with the recruitment of staff was provided to:o West Arnhem Shireo Mabunji Aboriginal Resource Association Incorporatedo Mungoorbada Aboriginal Corporation


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1.2 Outcome: Policy formulation, implementation and review is undertaken

Achievements:LGANT:

continued the relationship with the Western Australian Local Government Association(WALGA) Workplace Solutions throughout the year. As part of this agreementWorkplace Solutions provided a comprehensive human resource policy manual whichwas regularly updated and available online to LGANT members

researched and submitted drug and alcohol and accounting policy examples forshires to consider for adoption

adopted its own procedures for:o content management of the LGANT websiteo reporting of IT issueso the development/review of LGANT policy statements

updated the LGANT Governance Charter over the course of the year to clarify theprocess for members to nominate to represent local government on formal andinformal committees, and to provide members with a clear process for submittingmotions for LGANT meetings.

LGANT policies adopted, amended or deleted during the year following Executive or generalmeetings included those to do with:

climate change minimum energy performance requirements housing for Indigenous persons regional housing transport and infrastructure regional development environment waste management international links policy development rating tendering Agenda 21 plans Councils acting as enforcement agencies

1.3 Outcome: A requirement for extensive plans to be in place prior to the transferof barge landings, boat ramps and airports from the TerritoryGovernment to local government

Achievements:LGANT:

continued to engage with its reference groups and Territory government agenciesabout the frameworks and principles to apply in the transfer of the above assetshowever the directions are only likely to become clear once the Territory


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government releases its NT Transport Strategy which is expected some time nextfinancial year

lobbied and advocated, along with member councils, for the NT government toprovide funds for employing and training airport reporting officers in shires andwas pleased when the government agreed to this request.

1.4 Outcome: Local government revenues are boosted, costs are reduced andcouncils are assessed for their financial sustainability

Achievements:LGANT: sought independent financial sustainability reviews to be done for councils and this

was confirmed by the Territory government during the year, with work to commencenext financial year for shire councils

continued its negotiations with the Territory government over the incapacity ofcouncils to access Territory government contracts for the supply of goods andservices with outcomes likely to see such access being achieved next financial year

sought amendments to the Local Government Act that would allow councils to saveon costs by increasing the options available to them for accessing tenders called byother councils and for allowing councils to arrange collective tenders

sought an exemption under Regulation 31 of the Local Government (Accounting)Regulations from councils having to call tenders for mobile garbage bins/industrialcontainers and associated products and services as well as tractors, slashers, ride-onmowers and other associated equipment and to access such equipment under theLocal Government National Procurement Network tender using local suppliers.

1.5 Outcome: A requirement for extensive plans demonstrating an orderlyappropriately funded transfer to be in place prior to the transfer of local roadsfrom the Territory government to local government

Achievements:LGANT: lobbied the Territory government to provide details of its plans for effecting the

transfer which included a submission to the Minister for Transport. LGANT expectsthe government will release details next financial year

sought data on local roads which the Territory government undertook to collect (in theform of Local Roads Baseline Condition Survey and Gap Analysis reports detailingthe recurring repair and maintenance required on these roads) with the reportsexpected to be released next financial year

met with the Federal Minister for Transport the Hon Anthony Albanese MP at aCommonwealth government’s Community Cabinet meeting in Palmerston to addressroad funding and the transfer of local roads from the NT government to localgovernment.


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1.6 Outcome: An asset and financial management framework for councils in theNorthern Territory is implemented

Achievements:In 2010 LGANT was engaged by the Northern Territory Department of Housing, LocalGovernment and Regional Services to facilitate the delivery of an asset and financialmanagement and planning project under the Federal Local Government Reform Fund. Thisproject is ongoing and involves coordinating and facilitating workshops for council staff andelected members to increase understanding (and practice of) the importance of planning andcatering for the lifecycle costs of assets. Further outcomes included: the establishment of a Steering Committee, with representatives from the Department

of Housing, Local Government and Regional Services, LGANT, the Institute of PublicWorks Engineering Australia (IPWEA), the Northern Shires and Big Rivers RegionCouncils and the Southern Region Councils

‘Sustainable Communities’ (a two-hour training program designed by IPWEA forelected members) which was delivered to elected members at Roper Gulf ShireCouncil, Katherine Town Council, Tiwi Islands Shire Council, City of PalmerstonCouncil and Litchfield Council

two training packages for staff which were delivered to councils, being:o ‘NAMS (National Asset Management Strategy).PLUS’ a four day training program

designed by IPWEA specifically for staff of municipal councils which wasdelivered to Darwin City Council, Litchfield Council and the City of PalmerstonCouncil

o Asset Management for Small Rural Remote Councils (AM4SRRC), a two daytraining program designed by IPWEA specifically for staff of small, rural andremote councils which was delivered to Roper Gulf Shire Council, Katherine TownCouncil and Victoria Daly Shire Council.

1.7 LGANT continues to service infrastructure and manage parts of the local roadnetwork in the Northern Territory on behalf of local government

Achievements:LGANT is responsible for the maintenance of 2,174 km of a local road network on behalf oflocal government in the Northern Territory (12 km sealed, 290km gravel, 501km formed and137km flat bladed track) in the Central Desert, Barkly, East Arnhem and Roper Gulf Shireareas.LGANT: managed and acquitted funds used under the Roads to Recovery Program for two

projects, being the resheeting of Mungulwurru Road and construction of culverts onthe McLaren Creek Road both of which also had successful audits completed

with the assistance of the NT Department of Housing, Local Government andRegional Services and under the auspices of the Natural Disaster Recovery ReliefAgreement (NDRRA) rehabilitated 250km of road network damaged followingCyclone Paul in the East Arnhem Shire area

completed maintenance grades on local roads in the Central Desert, Barkly, EastArnhem and Roper Gulf Shire areas

provided input towards the “Local Roads Baseline Condition Survey and GapAnalysis” reports (which deal with recurring repair and maintenance only) for theabove road network. The reports identified the recurrent funding gap for these roads


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at $1,250,000 per annum. The road condition rating found the network inspectedresulted in 17% of it being good, 64% fair and 19% poor.

1.8 Outcome: Proposals are submitted in response to legislation enacted orproposed by the Territory and Commonwealth governments

Achievements:LGANT provided submissions throughout the year on the following legislation: Residential Tenancies Act Environment Protection (Beverage Containers and Plastic Bags) Bill 2010 Ministerial Investment Guidelines for Councils Local Government Act NT Heritage Conservation Act Alice Springs Public Places Bylaw Public and Environmental Health Bill 2010 Environment Protection and Biodiversity Conservation Act 1999 Local Government Electoral Regulations Local Government Accounting Regulations – procurement provisions Pastoral Lands Act and Native Vegetation Bill

1.9 Outcome: Sustaining environments including securing land tenure andinfluencing land use planning in local government areas is performed

Achievements:LGANT: progressed the development of Urban and Rural Subdivision Guidelines courtesy of

funding provided by the NT Department of Housing, Local Government and RegionalServices with this work due to be completed in late November 2011

facilitated a Planning Forum on 14 February 2011 with government agencies andmember councils on issues and matters of collaboration between the two spheres ofgovernment over land use planning in local government areas

the President and officers of LGANT attended the Northern Territory government’sWeddell Design Forum in September 2010 and provided input

submitted in May 2011 comment to the Northern Territory government on the GreaterDarwin Region Land Use Plan. Some of the recommendations made included:o that sites for waste management facilities be identified in the Land Use Plan

following consultation with councilso that the development of a public transport strategy be included as a target in the

Land Use Plan rather than being mentioned as an optiono that the Land Use Plan mentions the focus of public transport will be on making it

excellent rather than suggesting it only be introduced on the grounds of economicforecasts

o that public transport land corridors be clearly depicted in the Land Use Plan forfuture rapid transit of public transport


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o that the Land Use Plan be altered to say that the Territory government will fully(commencing at an early stage) involve local government in its land use planningdecisions so that local government can itself make and implement plans of itsown in a timelv manner

continued its involvement with Charles Darwin University (CDU) and BatchelorInstitute of Indigenous Tertiary Education (BIITE) to coordinate the delivery of wastemanagement training to employees in shires. This included:o contributing to the development of certificate level training materialso facilitating discussions between the above organisations and East Arnhem Shire

Council

met with the Parliamentary Secretary for Climate Change, Mark Dreyfus, at theCommonwealth government’s Community Cabinet meeting in Palmerston. Issuesdiscussed included:o local government’s concern over the impact of a carbon pricing mechanismo local government’s role in the Northern Territory government’s planning and

climate change adaptation planso the need for local government to obtain relevant data to make good decisions

about climate changeo the vulnerability of some Northern Territory ‘growth towns’ and Commonwealth

government remote service delivery sites to climate change impacts met on 6 June 2011 with Professor Ross Garnaut, climate change advisor to the

Commonwealth government, about carbon pricing mechanisms submitted a local government position paper to the NRM Board on the Integrated

Natural Resource Management Plan for the NT.

2.1 Outcome: Member councils engage with LGANT on key issues to ensurecollaboration and/or representation is achieved

Achievements:The principal means of engagement LGANT has with its member councils is throughattendance at council meetings and at LGANT Executive, general and reference groupmeetings. Apart from engagements reported elsewhere in this report some of the moreimportant areas LGANT collaborated with its members included: attending meetings of the following councils to advise on LGANT’s actions and issues

relevant to them:o Victoria Daly Shire on 19 October 2010o Coomalie Community Government Council on 19 October 2010o Alice Springs Town Council on 25 October 2010o Tiwi Islands Shire on 27 October 2010o City of Palmerston on 2 November 2010o Roper Gulf Shire on 17 November 2010o Barkly Shire on 18 November 2010o Katherine Town Council on 6 December 2010o Central Desert Shire on 8 December 2010


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o West Arnhem Shire on 8 December 2010o MacDonnell Shire on 9 December 2010

Convening CEO Forums and dealing with matters such as:o CEO remuneration packageso procurement in local governmento governance support for councilso leases on Aboriginal lando subdivisional guidelineso swimming pool guidelineso amendments to the Local Government Act and related legislationo growth towns and service deliveryo transfer of roads to local governmento activities of the Australian Centre for Excellence in Local Governmento elected member allowanceso Indigenous employmento infrastructure fund applicationso the future of local government reform in the NT

Mayors and Presidents Forums were convened by LGANT and matters dealt withincluded:

o council employees who are elected memberso elected member trainingo recruiting a CEOo Indigenous economic developmento recogniton of local government in the Australian Constitutiono leasing on Aboriginal land

the Environment, Transport and Infrastructure Reference Group (EITRG)meetings were convened by LGANT with meetings held in Alice Springs 7/8 July2010 (with 11 participants), Nhulunbuy 4/5 November 2010 (with 15 participants) andPalmerston 3/4 March 2011 (with 13 participants). Presenters and issues ofrelevance and interest to local government included:

o Department Lands and Planning: bituminous surfacing working group land use planning and land tenure local road data collection gap analysis Black Spot Program and local area traffic management program the functions of the Surveyor General the Place Names Committee’s role and processes

o Institute of Public Works Engineers Australia (IPWEA) asset and financial management and planning

o Department of Natural Resources, Environment, the Arts, and Sports container deposit legislation

o Queensland Local Government Association - Local Buy National Procurement Network


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o Department of Housing, Local Government and Regional Services Local Government Reform Fund

o Council of Commonwealth government Road Reform Plan heavy vehicle reform

o Northern Territory Fire and Emergency Services bushfire safer place strategy emergency recovery/resilience plan

o the work of Natural Resource Management Boardo the work of Top End Trainingo the work of Australian Road Research Board

Outcomes from the ETIRG meetings included: responses to LGANT’s procurement proposals guidelines for the management of remote pools were developed and will

be launched in November 2011 local government sub divisional guidelines are being produced and will be

issued in November 2011 agreement to develop emergency management resilience/recovery plans LGANT obtained associate membership of IPWEA Queensland Chapter

which was extended to two officers from each of its member councils sothat councils could access IPWEA services

a legal opinion on local roads management and control was obtained forall councils.

the Human Resource Reference Group meetings were convened by LGANT andmatters dealt with included:

o the importance of CEO and council communicationso sector wide employmento elected member capacity development activitieso Government Skills Australia activities and impacts on councilso Critical Skills Investment Fund – ensured members were up to date with

application guidelines and considered the potential for NT local governmentprojects

o national skills shortages the following presentations were given to this group at its meetings:

o Job Services Australia – services available to employerso Working with Children cards – two presentations by the NT Department of

Justice on council responsibilities in relation to these cards and howremote shires can assist employees to obtain them

o Occupational Health & Safety legislation – how national harmonization willimpact on councils

o Workplace Solutions – transitioning of staff from Community DevelopmentEmployment Projects (CDEP) to full or part time employment

o the importance of standard data collection for employment statistics. the Finance Reference Group meeting was convened in November 2010 by LGANT

and matters dealt with included:


24

o audit committeeso financial reporting and grant acquittalso rates and services chargeso fraud protection planso LGANT budget submission to the NT governmento local government land lease costso asset managemento risk managemento financial sustainability of councilso rate capping and conditional rating.

Other areas of engagement included: an agreement with WALGA Workplace Solutions LGANT where members have

access to industrial relations advice. This service was accessed 451 times byNorthern Territory councils for services including advocacy, unfair dismissal,enterprise agreements, employee contracts and award interpretation

funding through the Department of Business and Employment (on behalf of theDepartment of Education, Employment and Workplace Relations) to implement aworkforce planning and development program for local government in the NT. Thefirst phase of the project was commenced during the year with a template beingdesigned and available for councils to use next financial year in developing their ownworkforce development plans

producing a template (which included a framework and guidelines) to determine localroad hierarchies as a tool for assisting councils to prioritise their road expendituresand works

assisting the East Arnhem and Tiwi Islands Shire Councils to adopt road hierarchiesfor their local government areas.

2.2 Outcome: Northern Territory local government representatives are appointedto relevant boards and committees

Achievements:Throughout the year LGANT managed processes to do with the nomination ofrepresentatives to Territory and Commonwealth government committees including the: Indigenous Economic Development Taskforce Remote Pools Working Group Local Government Reform Fund Steering Committee NT Tobacco control Advisory Committee Aboriginal Peak Body for Children, Youth & Families in NT Working Group Neighbourhood Watch NT Committee Northern Territory Grants Commission Local Government (Accounting) Advisory Committee NT Place Names Committee NT Water Safety Advisory Council Human Services Training Advisory Council


25

NT 2011 Towards State 7 Constitutional Convention EnvironmeNT Grants Committee EcoLinks Stakeholder Reference Group NT Climate Change Policy Committee and participation in NT Climate Change

Adaptation Taskforce Plastic Bag Stakeholder Reference Group

LGANT also provided: a part time liaison officer function for the Regional Operations Centre run jointly by

the Territory and Commonwealth governments to help coordinate responses fromlocal government on its reporting of progress in Local Implementation Plans forgrowth towns and remote service delivery sites

local government representation on the Australian Sports Commission’s SportsDemonstration Projects steering committee

local government representation in the delivery of the National Partnership forRemote Service Delivery in the Northern Territory through membership of:

o The Northern Territory Regional Operations Centre – Board of Managemento The Governance and Leadership Working Groupo The Healthy Homes Working Groupo Every Child, Every Day School Attendance Working Groupo NT Homelessness Working Groupo Integrated Family Services Working Groupo Community Services Working Group.

2.3 Outcome: Local government has partnership agreements with the NT andCommonwealth governments that bring maximum benefit to members and arehonoured by all parties

Achievements:LGANT:

submitted a draft partnership agreement to the Territory government in November2010 and is waiting for a response to it

participated in activities at the national level through ALGA on the review of the Inter-governmental Agreement establishing Principles Guiding Inter-GovernmentalRelations on Local Government Matters (‘the IGA’). The IGA expired in April 2011and a decision on its future will be made next financial year.

2.4 Outcome: the interests of Northern Territory local government are promoted atthe national level through the Australian Local Government Association(ALGA).

Achievements:LGANT’s CEO, President and Vice President Shires participated in the following ALGAmeetings: all general meetings and the annual general meeting ALGA strategic planning meeting on 23 February 2011


26

the National General Assembly of Local Government from 19-22 June 2011 the ALGA Post General Assembly Teleconference on 29 July 2010 the National Local Roads and Transport Congress in Bunbury, Western Australia,

from 13-15 October 2010

Outcomes from these meetings and the processes that flow from them included: the adoption of the ALGA annual budget for 2011/2012 the adoption of the Draft Action Plan 2011 – 14, Headline Priority Actions and Key

Performance Indicators the issuing of the State of the Regions Report for 2010/11 the issuing of the report titled: The Local Roads Funding Gap – A study of local roads

funding in Australia 1999-2000 to 2019-2020 the issue of the ALGA 2010/11 Federal Budget Submission including the provision of

services to Indigenous communities the development of a national report on local government legal liability, mitigation and

litigation arising from climate change with a view to developing an advocacy proposalto governments to address the issue if necessary

the reports to the LGANT Executive and members on ALGA general meeting issuesand activities

promotion of recognition of local government in the Australian constitution.

LGANT has represented and promoted the interests of local government at the national levelin the Northern Territory in such forms as: ALGA led national discussions related to the National Broadband Network and Digital

Television switchover the Indigenous Enumeration Working Group, hosted by the Australian Bureau of

Statistics in preparation for the 2011 census attendance at Australian Centre for Excellence in Local Government (ACELG)

Indigenous and Workforce Development round tables. LGANT’s engagement withACELG ensures that the unique characteristics of local government in the NorthernTerritory are acknowledged in ACELG projects

the National Local Government Workforce Development Working Group withmembers from all State/Territory local government associations

the Government Skills Australia Industry Advisory Committee in relation to the localgovernment training package

the Climate Change Policy working group, including participation in the ACELGclimate change roundtable.

2.5 Outcome: The interests of local government are promoted at the Territory level

Achievements:LGANT has for a long time had a policy supporting container deposit legislation (CDL) andhas lobbied over many years the NT government for the introduction of it. In November 2010LGANT was most pleased when the NT government passed legislation that would bring acontainer deposit scheme into effect in 2011.


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LGANT and its member councils are represented on the following important bodies both ofwhich deliberated over legislative and financial matters, including:: Administration and Legislation Advisory Committee

o Elected member allowanceso procurement by local governmento $100 deposit for candidates for council electionso postal voting and local government electoral systemo a councillor who can also be an employeeo conditionally rateable lando local government chargeso portability of long service and accrued recreation leave between the Territory

and local government sectors

Local Government Accounting Advisory Committeeo local government investment guidelineso grant acquittal processeso local government borrowingso elected member allowanceso local government cost indexo financial sustainability

LGANT further promoted the interests of local government through: meetings with the Department of Housing, Local Government and Regional Services

in July, August and December 2010 and May and June 2011

meetings with the Minister for Local Government in September, October, Novemberand December 2010 and February 2011

a teleconference with the Minister for Local Government and Mayors and Presidentsto discuss funding for Indigenous employment in July 2010

meetings with the Hon Gerry Wood MLA to discuss legislative changes meetings with the Shadow Minister for Local Government the Hon Willem Westra van

Holthe MLA to discuss LGANT activities and legislative change meetings with representatives from the NT Department of Natural Resources,

Environment, The Arts and Sport (NRETAS) regarding container deposit legislation a meeting with the NT Environmental Protection Agency (EPA) consultants to provide

input into the Environmental Assessment Act review process meetings with the Chief Minister’s Department regarding the Climate Change

Adaptation Action Plan meetings with representatives from the NT Department of Natural Resources,

Environment, The Arts and Sport to clarify changes to landfill licensing for smallcommunity landfills

participation in the NT Asbestos Disposal Working Group to improve methods fordisposing of asbestos from NT and Australian government buildings in remotecommunities

attending Darwin Harbour Catchment Gamba Grass Strategy Stakeholder meetings attending the Southern Region Fires Working Group meeting.


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3.1 Outcome: LGANT identifies and responds to information and communicationneeds of member councils

Achievements:LGANT receives many requests for information and advice from its members most of whichare answered by telephone or email. Other information and advice LGANT providedincluded: publication of a 2011 calendar circulated to member councils in 2010. This calendar

highlights dates of significance to local government and the Northern Territory and isa promotional tool for both member councils and external organisations. The themefor 2011 was “community services” and member councils were asked to submitphotographs from their council that reflected services that they provide to theircommunities. Councils responded well to the request and as a result the quality of thecalendar was greatly improved with the inclusion of wide range of photos from acrossthe NT

publication of a 2011-2012 LGANT Directory which is issued to all councils in the NTand not for profit organisations free of charge. Commercial organizations are chargeda nominal fee to cover delivery costs. The aim of the directory is to facilitatecommunication with the member councils and external organisations and to provideinformation about the nature of local government in the NT

a fortnightly newsletter, This Week at LGANT, which is distributed on-line to around200 recipients with articles broadly sorted into the following categories:

o top newso roads and infrastructureo environment and sustainabilityo people and capacity developmento other news

a member satisfaction survey in September 2010 with results reported in November2010 at the Association’s general meeting. The results were also used as part of thereview of LGANT’s strategic plan for 2011/12

subscribing to the EasyGrants Newsletter which is emailed to member councils paying the annual Austroads subscription so member councils have access to

expertise and publications to assist them in managing their local road networks

subscribing, on behalf of its members, to the IPWEA Queensland Chapter.

3.2 Outcome: Organised opportunities are provided for networking amongstmembers and between members and stakeholder groups

Achievements:As well as securing the nomination of members to the committees mentioned in Outcome2.2, LGANT representatives from across the Northern Territory participated in a variety ofexternal committees including the: Regional Development Australia NT Committee (formerly the NT Area Consultative

Committee) Public Library Advisory Committee NT Settlement Planning Committee


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Road Safety Black Spot Committee NT Road Safety Coordination Group NT Population Intelligence Working Group Community Safety Working Group Animal Welfare Advisory Committee National Local Government Drug and Alcohol Advisory Committee NT weed Advisory Committee Sports Demonstration Project Steering Committee

Reports from representatives of most committees were included in the agendas at Executivemeetings as well as the annual general meeting in November 2010.

LGANT organised (or helped organise) other events and meetings including: CEO Forums in August and November 2010, and March 2011 Mayors and Presidents Forums in November 2010, and March 2011 Finance Reference Group in November 2010 Human Resources Reference Group in July and November 2010, and March 2011 Environment, Transport and Infrastructure Group in July and November 2010 and

March 2011 monthly Executive meetings (except in January 2011) general meetings in November 2010 and March 2011 workshops with each member council, government agencies and non government

organizations to develop individual local government emergency recovery plans two forums between member councils, Strategic Indigenous Housing and

Infrastructure Program (SIHIP) and government agencies on planning and assethandover of municipal services in subdivisions in Indigenous urban living areas aswell as the growth towns

a Year of Women in Local Government dinner function to look at ways more womencan be encouraged to become involved in the local government sector. More than 50women attended to show their support for women in local government and thefunction provided a networking opportunity for them

presentations to the eight remote/regional shire councils to encourage current femaleelected members and, where appropriate, council staff to engage with women at thecommunity level to promote women’s participation in shire councils as electedmembers or local board members as part of the Year of Women in LocalGovernment. 185 people attended these presentations with 63 females participating

a briefing session that was attended by representatives from Litchfield, Darwin,Palmerston and Alice Springs (telephone) councils where container deposit industryexperts “Boomerang Alliance” provided the following information:

o An explanation of the various mechanisms that this scheme could functionunder – what works in what areas, and how to make the most of it

o awareness of the issues that may ariseo clarification of some of the costso how to channel money back into litter management.


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4.1 Outcome: Plans, systems and processes, financial, human resources and assetmanagement practices are in place and operating effectively

Achievements:LGANT’s effective operating practices include: Territory Technology Solutions were engaged to supply regular IT support to LGANT weekly/monthly managers’ and staff meetings were held over the 2010/2011 period

the Association’s Executive Committee reviewed LGANT’s strategic plan in February2011. The plan and annual budget was adopted by members at the general meetingon 1 April 2011

financial reports were submitted to each meeting of the Executive two minor sponsorships were cancelled (RBA-Exceloo and the Australian Institute of

Company Directors) but other current sponsorships were reaffirmed

performance appraisals were undertaken for staff members LGANT’s asset register was updated and vehicles were replaced during the year body corporate issues were attended to in terms of security alarms, parking, signage,

cleaning, tenancy management and participation in an emergency fire drill a review of LGANT telecommunications infrastructure was implemented resulting in

the purchase of a new phone system which will return a saving of $4000/yr over 5years

LGANT called for tenders for its banking services and has remained with WestpacBanking.

4.2 Outcome: LGANT promotes its activities to its members and key stakeholders

Achievements:LGANT: issued media releases and the LGANT President and Vice President Shires engaged

in radio and television interviews on local government issues

published the annual report for the 2009/10 financial year which was published inNovember 2010

upgraded the LGANT website which has now had a full 12 months online. During thisperiod a total of 7480 unique visitors were recorder to the site, viewing an average of3.7 pages per visit for a total of 10 761 visits. 69% of these visitors were new visits.The key traffic sources for these visits were Google (44%), nt.gov.au (7%) and ALGA(5%). 21% of the total visits were from direct traffic. The top 10 pages visited were:o LGANT Home pageo About LGANTo People Developmento Current Council Vacancieso Advocacy & Representationo Infrastructureo Members Mapo Contact Uso Sustainability and Environment


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trained LGANT staff to enable responsible officers to maintain the content of theirsection of the LGANT web site

developed two 30 second advertisements in early 2011 to raise the profile of localgovernment in the Northern Territory. These ads will be made available to membersin late 2011 and will be shown on TV commencing in Local Government Week inOctober 2011. Development of the advertisements was made possible through thepayment of a levy by members

made key LGANT documents available for download from the LGANT website andregularly updated them. These include the LGANT Policy document, GovernanceCharter and Constitution

planned for Local Government Week to be held from 10-16 October 2011 published a President’s report in the Local Government Focus newspaper in July

2010 released a LGANT Media Release re $30M funding for Indigenous jobs in April 2011 wrote letters to the Editor, NT News on ‘Shires Here To Stay’ in May 2011.

5.1 Outcome: The case for a fair share of funds for local government in theNorthern Territory is maintained

Achievements:LGANT: put a 2011/2012 budget submission to the NT Treasurer in November 2010 on the

funding needs of local government for key areas including:o building on local government reformso infrastructure and the environmento people and communityo COAG reforms – financial and asset management

Provided input to ALGA for its 2010/11 Federal budget submission.


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FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2011

STATEMENT BY THE PRESIDENT

I, Kerry Moir, President of the Local Government Association of the Northern Territory, statethat in my opinion, the financial statements (as set out) are properly drawn up so as topresent fairly the state of affairs of the Association as at 30 June 2011 and of the results andcash flows of the Association for the year then ended.

July 2011 PRESIDENT

STATEMENT BY THE CHIEF EXECUTIVE OFFICER

I, Tony Tapsell, being the Chief Executive Officer of the Local Government Association of theNorthern Territory, state that to the best of my knowledge and belief the financial statements(as set out) present fairly the state of affairs of the Association as at 30 June 2011 and of theresults and cash flows of the Association for the year then ended.

July 2011 CHIEF EXECUTIVE OFFICER


1

STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE 2011

2011 2010

$ $ASSETS Notes

Current AssetsCash (2) 5 817 572 5 114 720Debtors (3) 57 158 29 785Prepayments 21 561 21 518

5 896 291 5 166 023

Non-Current AssetsMotor Vehicles (4) 72 025 73 149Furniture and Fittings (4) 58 725 73 932Buildings (4) 3 149 067 2 372 877

3 279 817 2 519 958

Total Assets 9 176 108 7 685 981

LESS LIABILITIES

Current LiabilitiesCreditors 66 465 99 863Payments Received in Advance (5) 310 308 271 614Income Deferral (5) 1 305 671 941 119Accruals 23 598 16 100Loans – Motor Vehicles (6) 0 0Loans – Building (6) 0 0Provision – Annual Leave 112 903 106 176Provision – Long Service Leave 78 028 72 277Other Current Liabilities 0 0

1 896 973 1 507 149

Non-current LiabilitiesLoans – Motor Vehicles (6) 69 612 52 547Loans – Building (6) 2 100 000 2 100 000Provision – Long Service Leave 21 460 22 741Provision –Capital Equipment Purchases 13 000 13 000Provision –Property, Mobile Equipment, other assets 469 000 319 000Provision – Legal and Constitutional Activities 50 000 0

2 723 072 2 507 288

Total Liabilities 4 620 045 4 014 437

NET ASSETS 4 556 063 3 671 544

ACCUMULATED FUNDSBalance at the beginning of the year 3 671 544 4 597 045To Reserves (200 000) (160 000)Revaluation of Premises 796 243 0Surplus (Deficit) for the year 288 276 (765 501)Balance at the end of the year 4 556 063 3 671 544


2

OPERATING STATEMENT FOR THE YEAR ENDED 30 JUNE 2011

Notes 2011 2010$ $

INCOME FROM ORDINARY ACTIVITIES

User Charges and Fees (7) 911 408 916 631Interest 189 817 120 473Other Revenues from ordinary activities 10 000 10 000NT Govt Contributions for Operating Purposes (8) 1 178 994 264 818Federal Govt Contributions for Operating Purposes (9) 1 499 244 1 430 208

Total Income from ordinary activities 3 789 463 2 742 130

Add Net Profit from sale of assets 1 620 682

Total Income 3 791 083 2 742 130

EXPENDITURE FROM ORDINARY ACTIVITIES

Employee Costs 681 759 623 870Materials and contracts 2 244 437 2 367 108Depreciation 77 842 63 552Other operating expenses (10) 352 672 264 210Interest Charges 143 476 190 430

Total Expenses from ordinary activities 3 500 186 3 514 170

Add Net Loss on disposal of assets 2 621 369

Total Expenditure 3 502 808 3 514 539

Total Income 3 791 083 2 742 812Less Total Expenditure 3 502 807 3 514 539

Surplus (Deficit) for the year from ordinary activities 288 276 (771 727)Add Extraordinary Item

Insurance Claim 0 6 226

NET SURPLUS/(DEFICIT) FOR THE YEAR 288 276 (765 501)


3

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 30 JUNE 2011

Cash Flows from operating activities Notes 2011 2010$ $

Payments to Suppliers (2 273 838) (2 281 183)

Payments to Employees (667 104) (607 694)

Payment of Interest (143 476) (146 184)

Payment of other Expenses (318 002) (229 558)

Borrowing Costs (34 670) (34 652)

Receipts from members 599 583 595 095

Interest received 62 349 56 991

Interest received for other projects 127 468 63 481

Northern Territory Government 1 238 994 264 818

Commonwealth Government 1 439 244 1 430 208

Other User Fees and Charges 257 090 391 830

Other Contributions to Projects 0 0

Sponsorship – Association 37 363 31 182

Net Cash Flows used in operating activities 325 001 (465 666)

Cash flows from Investing ActivitiesPurchase of fixed assets (41 494) (37 296)

Proceeds from sale of fixed assets (1 001) 312

Net cash Flows used in investing activities (42 459) (36 984)

Cash flows from Financing ActivitiesLoans – Parap Building 0 0

Loans – Parap Building Principal Repayments 0 0

Loans - Motor Vehicles 43 893 0

Loans – Motor Vehicles Principal Repayments (26 829) (16 151)

Advances Received 38 694 18 590

Income Deferred 364 552 941 119

Net Cash Flows used in financing activities 420 310 943 558

Cash flows from Insurance RecoveriesInsurance payment – repairs to building 0 6 226

Net Cash Flows from insurance recoveries 0 0

Net Increase/(Decrease) in cash held 702 852 447 134

Cash at the beginning of the year 5 114 720 4 667 586

Cash at the end of the year 5 817 572 5 114 720


4

NOTES TO, AND FORMING PART OF, THE FINANCIAL STATEMENTS FOR THE YEARENDED 30 JUNE 20111. STATEMENT OF ACCOUNTING POLICIES

a) Basis of Accounting

This special purpose financial report has been prepared for distribution to themembers. The accounting policies used in the preparation of this report areconsistent with the previous year and are described below.

(i) The accounts have been prepared using the accrual basis of accountingincluding the historical cost convention and the going concern assumption.

(ii) The requirements of Australian Accounting Standards promulgated by theaccounting profession do not have mandatory applicability to the LocalGovernment Association of the Northern Territory in relation to the yearended 30 June 2011 because the entity is not a “reporting entity” asdefined therein. The Association has, however prepared the financialstatements in accordance with all Australian Accounting standards, withthe following exceptions: AAS33: Presentation and Disclosure of FinancialInstruments.

b) Economic Dependency

The Association is reliant upon the receipt of government grants and memberssubscriptions to operate as a going concern.

c) Fixed Assets

Fixed assets are carried at cost.Depreciation is provided on a straight line basis on all fixed assets recorded in thebalance sheet at rates calculated to allocate the cost less estimated residual valueat the end of the estimated useful lives of the assets of the Association againstrevenue over those estimated useful lives.Depreciation is calculated on the permanent fixtures of the premises. The premisesitself is not depreciated. A sinking fund has been established by the body corporatefor future maintenance and asset renewals of common areas.

d) Revenue RecognitionRevenue is recognized to the extent that it is probable that the economic benefitswill flow to the entity and the revenue can be reliably measured. The followingspecific recognition criteria must also be met before revenue is recognized:

GrantsAll grants are brought to account as revenue in the statement of income andexpenditure when received and the unexpended portion is taken up as aliability in the Balance Sheet. Unexpended grants received during the2010/11 financial year being grants recognized as revenues which wereobtained on the condition that they be expended in a particular manner orused over a particular period, and those conditions were undischarged atyear end are taken up as income deferred in the balance sheet.

SubscriptionsSubscriptions are recorded on an accrual basis

User chargesUser charges are recorded on an accrual basis


5

NOTES TO, AND FORMING PART OF, THE FINANCIAL STATEMENTS FOR THE YEARENDED 30 JUNE 2011 (continued)

e) CashFor the purposes of the statement of cash flows, the Association considers cash toinclude cash on hand and in banks.

f) Employee Entitlements

Provision is made for employee entitlement benefits accumulated as a result ofemployees rendering service up to the reporting date. The benefits include wagesand salaries, annual leave and long service leave.

g) Taxation

The Local Government Association of the Northern Territory is an exempt bodyunder the Income Tax Assessment Act.

h) Superannuation

The contribution made to the Local Government Superannuation Scheme was atthe rate of 11% for contributory Association employees and 9% for non-contributoryAssociation employees.

i) LoansVehicles:

The Association has loans with the Westpac Bank for its vehicles. See note 5 forcommitment details.Office Building:

The Association has a Commercial Loan with the Westpac Bank for the purchase ofthis asset. See note 5 for commitment details

2. CASHCash at bank at 30th June 2011 at Westpac Darwin comprised the following:

2011 2010$ $

LGANT Reserve Term Deposit Account 549 088 365 985Project Holding Account 3 670 871 2 303 980Natural Resource Management Account 7 222 181 148Swimming Pool Term Deposit – Commonwealth Funds 276 021 336 108Community Infrastructure OIPC Term Deposit Account 174 897 226 773Barkly Tablelands – Stewardship for Oil Account 62 580 50 752Loan Repayment Account 19 841 17 323Payroll Account 18 233 52 489Tasks of Opportunity Account 0 58 375Tied Project Holding Account 767 132 1 027 417Operating Account 271 187 493 869

5 817 072 5 114 219Petty Cash 500 500

5 817 572 5 114 719


6


3. DEBTORS2011 2011

$ $Debtors 57 158 29 785Provision for Doubtful Debts 0 0

57 158 29 785

4. FIXED ASSETS2011 2010

$ $Motor Vehicles 104 321 95 973Less Accumulated Depreciation 32 296 22 825Total Motor Vehicles 72 025 73 148

Furniture, fittings & equipment at cost 211 852 220 274Less Accumulated Depreciation 153 127 146 342Total Furniture and Fittings 58 725 73 932

Building – Parap 2 436 279 2 436 279Plus Asset Revaluation 796 243 0Less Accumulated Depreciation on fixtures 83 455 63 401Total Building – Parap 3 149 067 2 372 878

Total Fixed Assets 3 279 817 2 519 958

5 INCOME DEFFERED AND RECEIVED IN ADVANCE2011 2010

$ $Federal Assistance Grant – Local Roads Funding 290 398 271 614Roads to Recovery 70 719 0Natural Disaster Relief Recovery Programme 367 154 0Local Government Reform Fund Asset Management Programme 166 450 0Subdivision Guidelines 45 455 0NT Natural Disaster Resilience Programme 59 912 180 346Binjari Multi Purpose Centre 0 351 960Guidelines Design & Construction of Pools 0 60 000Elected Member Capacity Building Stage 2 77 802 188 219Year of Women in Local Government – Emerging Leaders 13 839 90 133Year of Women in Local Government – Event 12 285 70 461Governance Support Programme 399 258 0Workforce Planning & Development Programme 112 707 0

1 615 979 1 212 733


7


6. EXPENDITURE COMMITMENT2011 2010

$ $Bank Loan - vehicles

not later than 1 year 31 010 28 101later than 1 year but not later than 2 years 45 494 11 723later than 2 years but not later than 5 years 0 17 815

76 504 57 639less future interest charge 6 892 5 092loan liability 69 612 52 547

The break-up of this loan liability is as follows:current liability 26 396 25 221non current liability 43 216 27 326

69 612 52 547

Parap Building Purchase

Commercial Loan:

A Commercial Loan of $2,100,000 with an annual interest charge of approximately $176,984is held with the Westpac bank for the Association’s Parap premises. The date ofcommencement of the loan was 22 November 2006. The time frame for this loan is 5 years.The loan will be renegotiated in the 2011/2012 financial year with a view to changing toprincipal and interest payments. The interest payments are made on a quarterly basis withthe interest being deducted in advance from the loan amount.

The status of this loan is as follows:

Non current liability 2 100 000

7. USER CHARGES AND FEES$

Subscriptions, Meeting Charges and Sponsorship 652 775Rental Charges 213 015Project Management and Consultancy Fees 45 618Total User Charges and Fees 911 408

8. NT GOVERNMENT CONTRIBUTIONS FOR OPERATING PURPOSES$

Transport and Infrastructure 718 441Local Government Reform Fund 28 750Natural Disaster Resilience Programme 120 434Corporate Governance 311 370Total NT Government Contributions 1 178 995

9. FEDERAL GOVERNMENT CONTRIBUTIONS FOR OPERATING PURPOSES$

Local Roads Funding 1 126 836Roads to Recovery – LGANT 79 615Binjari Multi-Purpose Building 232 051Swimming Pool Guidelines 60 000Governance Support Programme 742Total Federal Government Contributions 1 499 244


8


10. OTHER OPERATING EXPENSES$

Internal Management 115 954Advocacy, Representation and Information Services 47 874Human Resource Support and Development 100 933Engineering and Environment Project Management 87 911Total Other Operating Expenses 352 672

11. STATEMENT OF CASH FLOWS2011 2010

$ $a) Reconciliation of CashCash at Bank 5 817 072 5 514 220Petty Cash Imprest 500 500

5 817 572 5 514 720b) Reconciliation of Net Cash Used inOperating Activities to Operating Result

Operating result 288 276 (771 728)Add/(Subtract) non cash itemsDepreciation 77 842 63 552Amortisation 0 0Interest Adjustment on Commercial Loan 0 44 246Profit/Loss on Sale of Fixed Assets 1001 (312)

367 119 (664 242)Add/(Subtract) operating flowsIncrease/(Decrease) in Trade Creditors, Accruals (25 900) 77 496Increase/(Decrease) in Provisions 11 198 21 175(Increase)/Decrease in Debtors (27 373) 91 476(Increase)/Decrease in Prepayments (43) 8 429

Net Cash used in operating activities 325 001 465 666

12. SEGMENT INFORMATION

The Local Government Association manages grants and other Government fundedmonies on behalf of councils in the Northern Territory. The Association operates inDarwin, Australia.

13. CONTINGENT LIABILITIES

The Local Government Association is not aware of any contingent liabilities at 30June 2011, however it is a member of CouncilBiz and that membership may carrysome exposure to future liability.”


9


14. UNEXPENDED GRANT MONIES CARRIED FORWARD TO THE 2011/2012FINANCIAL YEAR

The Association has contingent liabilities to repay grants received but not fullyexpended at year end for projects of $3 767 207. Included in this figure areunexpended grants totaling $1 615 970 received in advance or income deferred untilthe 2011/2012 financial year.

MovementsOpeningBalance Received/

ClosingBalance

1 July 2010 Receivable Expended 30 June 2011

$ $ $ $

Local Roads Funding 1006037 1126836 654151 1478722Local Roads Funding received in advance (refer note 5) 0 290398 0 290398Binjari Multi Purpose Building Fit-out 0 50000 50000 0Binjari Multi Purpose Building ICSI 0 130000 130000 0Binjari Multi Purpose Building LPF 0 171960 171960 0Swimming Pool Refurbishment - Commonwealth 338378 14233 107959 244652Transfer of Roads and Alliance 12416 0 0 12416Community Services Programme 176802 10125 31070 155857Local Adaptation Pathways Programme - ClimateChange 108858 1506 109618 746Sustainability Programmes Co-ordinator 6710 0 730 5980Stewardship - Barkley Waste Oil Project 55252 6126 0 61378Local government Reform - Rates Impact Statements 66324 0 8250 58074Governance Resource Kit 133412 0 0 133412Elected Member Capacity Building Stage 1 115779 0 115779 0

Grant income received in advance or deferred to 2011/12 financial year (refer note 5)Elected Member Capacity Building Stage 2 0 188219 110417 77802Year of Women in Local Government-EmergingLeaders 0 90133 76294 13839Year of Women in Local Government - Event 0 70461 58176 12285Governance Support 0 400000 742 399258Roads to Recovery - LGANT 60626 150334 140241 70719Guidelines Design & construction of Pools 0 60680 60680 0Workforce Planning and Development 0 179180 66483 112697NT Natural Disaster Resilience Programme 0 180346 120434 59912Flood Relief 0 1085595 718440 367155Local Government Reform Fund 0 195200 28750 166450Subdivision Guidelines 0 45455 0 45455

TOTAL UNEXPENDED GRANTS 2080594 4446787 2760174 3767207

15. OTHER COMMITTED FUNDS CARRIED FORWARD TO THE 2011/2012 FINANCIAL YEAR

OpeningBalance 1July 2011

Movements

ClosingBalance 30June 2011Received/Receivable Expended

$ $ $ $Engineering Management Charges 656645 216223 104006 768862Environmental Management Charges 58570 21948 7757 72761Human Resource and Industrial Relations Charges 0 95371 46706 48665

TOTAL OTHER COMMITTED FUNDS 715215 333542 158469 890288


10


BUDGET COMPARISON REPORT AS AT 30 JUNE 2011INCOME

DIRECTORATEOriginalBudget

Actual Income to30/6/11

Comparison ofActual to Original

Budget over(under)Actual Income

to 30/6/10$ $ $ $

Office of the Chief Executive 877000 983653 106653 919599People and Development 64000 340056 276056 54192Technical and Environmental Services 1732000 2631177 899177 1775246

TOTAL INCOME 2673000 3954886 1281886 2749037

EXPENDITURE

DIRECTORATEOriginalBudget

ActualExpenditure to

30/6/11

Comparison ofActual to Original

Budget over(under)

ActualExpenditure to

30/6/10$ $ $ $

Office of the Chief Executive 803000 910164 107164 799473People and Development 400000 520617 120617 284416Technical and Environmental Services 2358000 2279028 -78972 2484695

TOTAL EXPENDITURE 3561000 3709809 148809 3568584

Total income and expenditure figures include capital income and expenditure and internal transfers during the2010/2011 financial year. See notes 13 and 14 on funds carried forward to the 2011/2012 financial yearNotes to Budget Comparison Report:

Office of the Chief ExecutiveIncome and Expenditure: Income included funds for the purchase of assets during the 2010/2011 financial yearThe increase in expenditure was due to the employment of a Policy Development Officer

People and DevelopmentIncome: Additional grant funding was received for specific projects identified during the 2010/11 financial yearGrant funding obtained on the condition that they be expended in a particular or used over a particular periodand those conditions were undischarged at year end has been transferred to liabilities as income deferredThis income will be recognised in the 2011/2012 operational statement to match the expenditure.

Expenditure: Expenditure in line with project funding carried forward from the 09/10 financial yearOther expenditure matches increased revenue.Other unexpended funds to be carried forward to the 2011/12 financial year

Technical and Environmental ServicesIncome: Additional funding was received for specific projects identified during the 2010/11 financial yearGrant funding obtained on the condition that they be expended in a particular or used over a particular periodand those conditions were undischarged at year end has been transferred to liabilities as income deferredThis income will be recognised in the 2011/2012 operational statement to match the expenditure.

Expenditure: Expenditure in line with project funding carried forward from the 09/10 financial year.Other expenditure matches increased revenue.Other unexpended funds to be carried forward to the 2011/12 financial year

local government association of the northern territory · 2017. 5. 11. · territory (lgant)...

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