Addendum Agenda of Strategy and Assets Committee

Addendum Agenda - Strategy and Assets Committee – Tuesday 12 June 2018

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SA18.154 Pilot Project- Council Land Review
Sanctuary Point

HPERM Ref: D18/163855

Group: Assets & Works Group

Section: Business & Property

Attachments: 1. Map - Pilot Project Area ⇩

2. SA17.157 Shoalhaven City Council Property Strategy - Public Exhibition ⇩

Purpose / Summary

This report provides Council with the opportunity to endorse Sanctuary Point as the location of the Land Review Pilot Project to test the outcomes proposed in the Shoalhaven City Council Property Strategy.

Recommendation

That:

1. Council endorse Sanctuary Point as the location of the Land Review Pilot Project;

2. Staff engage with the community and residents of Sanctuary Point to identify:

a. community expectations with regard to parks and reserves;

b. the appetite of the community to dispose of some Community land to fund improvements to underutilised or underembellished parks and reserves;

3. Staff undertake detailed investigation of Community land within the Pilot Area including those identified in the Community Infrastructure Strategic Plan 2017-2036 to identify which land may be suitable for full or partial disposal; and

4. Council receive a further report detailing outcomes of the community consultation and the detailed investigation of land.

Options

1. Resolve as recommended.

Implications: Key outcomes recommended in the Shoalhaven City Council Property Strategy will be delivered. Council will be provided with an opportunity to engage with the community of Sanctuary Point and to make recommendations regarding the parks and reserves that are not meeting residents’ expectations.

2. Not resolve as recommended and resolve along the following lines:

“That the General Manager (Director Works and Assets) prepares a report that identifies an alternative pilot area to Sanctuary Point as the preferred location of the Land Review Pilot Project.”

Implications: Council will be provided with an opportunity to engage with the community of another locality and to make recommendations regarding the parks and reserves that are not meeting residents’ expectations.

Background

In 2015 the Council Land Review was initiated as a joint task between various sections of Council to undertake an audit of all Council owned land. The Property Unit completed the Land Review in 2017.

The Shoalhaven City Council Property Strategy was drafted in late 2016 and considered at the Strategy and Assets Committee meeting on 13 June 2017, where Council resolved as follows (vide minute no MIN17.505):

That

1. Council place on public exhibition the draft Shoalhaven City Council Property Strategy for a minimum of 28 days for comment.

2. Should Council receive no objections or submissions that would mean only a minor alteration to the Strategy, then the Strategy be deemed adopted at the conclusion of the submission period.

3. Should Council receive submissions that are considered to have a significant effect on the Strategy then a further report be presented to Council.

The report presented to the Strategy and Assets Committee is provided for Councillors’ information as attachment 2.

Key Outcomes of the Property Strategy

· Define one area to conduct a Pilot Project to:

o test the findings of the Land Review and implementation of the Strategy and;

o test the recommendations from Council’s other Plans including the Community Infrastructure Strategic Plan 2017-2036;

o gather feedback on the community’s priorities;

o identify the availability and suitability of Council owned land parcels in the suburb; and

o gauge community support for funding quality improvements in their suburb, by selling some or part of the Council owned land that is not meeting the Community’s current needs.

Location – Pilot Area

The Pilot Area is defined as all land within the suburb of Sanctuary Point and also includes land between The Basin Rd, Island Point Rd, The Wool Rd and St Georges Basin (refer Attachment 1).

It should be noted that as the pilot implementation progresses it may become necessary to consult or consider properties on the edges on the Pilot Area. Hence the boundaries should not be considered as hard boundaries.

Council Land within the Pilot Area

Land Classification	No. of Council Properties	Total Area
Community Land	148	62.2 ha
Operational Land	31	41.9 ha
TOTAL	179	104.1 ha

Community Infrastructure Strategic Plan 2017-2036 (CISP)

Delivering upon the recommendations of the CISP is a key driver of the Property Strategy as well as the selection of Sanctuary Point as the location of the Pilot Project. Sanctuary Point is located within Planning Area Three within the CISP. Sports and recreation parks within Planning Area Three were described in the CISP as follows:

“There is a current surplus of land for recreation and sports parks in planning area three. Despite this, the recreation parks, in particular, are well dispersed around the planning area, with many district parks located along the foreshore.

Consistent with the trend across Shoalhaven, the level of embellishments in a number of recreation parks do not meet the desired standard. Just over two thirds of residents in planning area three are happy with the quality of the recreation parks in the area, however, with the influx of tourists during the warmer months, greater pressure will be placed on the existing network. Upgrading the embellishments within a number of parks, particularly foreshore parks, will create popular, high quality, destination parks that residents and tourists will want to visit and return too. With an ageing population, embellishments should also support low impact activities such as walking and cycling, as well as play opportunities.

Promotion of the foreshore recreation parks would also increase their usage. Many of the linear parks are located behind residential properties, with some residents’ backyards encroaching onto Council open space land.”

Community Sport & Recreation Infrastructure

Among the 148 Community land parcels within Sanctuary Point there are:

· 3 district sports parks

· 3 district recreation parks

· 2 local recreation parks

Open Space Requirements for Sanctuary Point

Sanctuary Point has a current population of 7,407 and a forecast population of 7,709 by 2036. The CISP identified an overall surplus of open space (both sports and recreation) within Planning Area Three. Using best practice, the following are the provision standards for open space as applied to Sanctuary Point.

Open Space Type	Hierarchy	Provision Standard	Area Required (based on 2036 forecast population)
Recreation Parks	Local	0.5ha per 1,000 people	3.85ha
	District	0.6ha per 1,000 people	4.62ha
	Regional	0.2ha per 1,000 people	1.54ha
Sports Parks	District	1.3ha per 1,000 people	10.01ha
	Regional	0.6ha per 1,000 people	4.62ha
TOTAL OPEN SPACE REQUIRED – SANCT. POINT			24.64ha
TOTAL AREA- ALL COMMUNITY LAND- SANCT. POINT			62.2ha

The above is a high level assessment of open space within Sanctuary Point and lends weight to Sanctuary Point being an ideal locality to use for the Pilot Project. Specifically the detailed review of Council land in the Pilot Area is seeking to identify land which offers limited recreational use by the community and may present opportunities for divestment and/or conversion to another purpose.

Delivering Community Outcomes - Community Consultation

The community consultation undertaken for the CISP identified a number of opportunities to embellish sport and recreation spaces within Sanctuary Point. Of late there has also been an upswell of support for improvements to Council facilities including foreshore reserve activation and the creation of a boardwalk at Larmer Ave Reserve.

Further community consultation within the Pilot Project is proposed to gather feedback on the community’s recreation priorities and to gauge community support for funding quality improvements to open spaces in their suburb, by selling some of the Council owned land that is not meeting the Community’s current recreation needs.

Possible Future Disposals

Should the community engagement and the detailed property investigation identify any Community land deemed to be surplus to needs, no such Community land can be sold without extensive community support, reclassification and possibly rezoning (via a Council endorsed Planning Proposal). It should be noted that as per the adoption of the CISP at Council’s Strategy & Assets Committee meeting on 21 February 2017, Council resolved in part (MIN17.103 (8)):

“Before Council plans to sell, rationalise, or close any park, reserve or community hall that it be the subject of a separate report to Council.”

Community Engagement

A community engagement plan will be drafted as a result of this report prior to any community engagement.

Policy Implications

The recommendations of this report are in accordance with POL16/256 - Development and/or Disposal of Council Lands.

Addendum Agenda - Strategy and Assets Committee – Tuesday 12 June 2018

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SA18.155 Public Amenity Priority List

HPERM Ref: D18/185569

Group: Assets & Works Group

Attachments: 1. Full List - Draft - Public Amenities - Priority List May 2018 ⇩

Purpose / Summary

The purpose of this report is to allow Council to consider updating the priority list for Public Amenities (toilets) Buildings prior to the list being published for public comment. (It includes new, replacement, refurbishment, extension and decommission projects.)

The adoption of a priority list is not to commit funding but to signal Council’s funding intentions to guide staff and the community in the preparation of draft annual budgets, maintenance activities and long term financial planning.

This priority list will ultimately be the output of the Core Asset Management Plan – Public Amenities (toilets). The Asset Management Plan (AMP) was last revised and adopted by Council in 2014 and is currently being reviewed and updated.

Recommendation (Item to be determined under delegated authority)

That Council:

1. Adopt the draft Public Amenity Top 20 Priority List.

2. Advertise the draft priority list (Trim Ref D18/184686) for a minimum of 28 days and consider the feedback in a future report to Council.

Options

1. That Council adopt the draft Public Amenity Top 20 Priority List. Council advertise the draft priority list (Trim Ref D18/184686) for a minimum of 28 days and consider the feedback in a future report to Council.

Implications: Allows Council to seek community comment on the listed priorities.

2. That the General Manager (Director Assets and Works) arrange a workshop of Councillors and appropriate staff to work through the Public Amenity Priority List and report the outcome of that workshop back to a future meeting of Council for consideration.

Implications: Allows further discussion with Councillors before adopting the draft list of priority works.

Background

Council owns approximately $3.7 billion in infrastructure assets and the asset base is constantly growing.

The maintenance, along with capital works (new, replacement, refurbishment, extension and decommission) of assets is a complicated process and unless managed effectively can become inefficient and costly.

Various AMPs have been adopted since 2005 (currently 36). The International Infrastructure Management Manual (IIMM) has a measure on a maturity index from (Unaware to Aware to Basic to Core to Intermediate to Advanced) for AMPs. The majority of adopted AMPs are at an asset maturity level of aware to basic. Core AMPs have a ten-year forecast and it is proposed to have this financial forecast integrated within the long term financial plan (LTFP).

The foundation of a core AMP is as follows:

1. Defining levels of service (LOS) – lists the services/responses and the extent to which each service/response is to be provided by Council for each asset type

2. Future demand – identifies drivers, forecasts, impact on assets, management plans and asset programs to meet demand. This section will often refer to outputs from Integrated Strategic Infrastructure Planning documents (i.e. Highway strategies, arterial road strategies, Zoning Plans etc).

3. Life cycle management – how Council will manage its existing assets (i.e. renew/ upgrade/decommission) to provide the required services efficiently and effectively.

4. Risk management practices – how the organisation will assess and manage the risks that assets are exposed in particular what preventative measures and trade-offs are appropriate.

5. Financial Summary – Strategy and forecasts for whole of life costings, including what funds are required to provide the required services.

6. Asset Management Improvement Plan (AMIP). Monitoring – how the Plan will be monitored to ensure it is meeting Council’s objectives.

One of the key outcomes of each AMP is to produce a 20-year Capital Spend Plan for new works and renewal works. Efforts are now being focused to continue developing the 36 existing AMPs and others identified. It is expected that each AMP will have the following generic information available by the end of the 2019/20 financial year.

Executive Summary

Description of Services and Key/Critical Assets

Basic asset inventory information

Top Down condition and performance description

Current funded levels of service

Future Demand forecasts

1. Operational and Maintenance Budget

2. Renewal Budget (with 10 year works program)

3. Growth Budget (with 10 year works program)

Whilst the (AMP) development emphasis is underway, Council will need to continue the practice of allocating annual budgets from adopted programs, or “Priority Lists”.

Shoalhaven City currently provides 119 public amenities buildings and the current replacement cost is $14,370,126.

The condition of the public amenities is summarised as follows:

Condition Number Percentage

1- Good/Very Good 50.4%

2- Fair 19.7%

3- Poor/Very Poor 29.9%

It is noted that there have been changes to the priority list from 2014, with Sanctuary Point – Clifton Reserve and Culburra Beach – Curleys Reserve being embellished, funding grants for improvements to pedestrian access at Sussex Inlet – Chris Creek, and recent Notices of Motion (NOM) in relation to public amenities which need to consider the reprioritising the priority strategy list from the adopted 2014 AMP. This is an opportunity to update Public Amenity (toilet) Priority List prior to readoption of the AMP.

At the Ordinary meeting on the April 2018 Council resolved as follows (via minute no MIN18.303)

That Council:

1. Negotiate with the Trustees of the Tomerong School of Arts to procure a site within the grounds of the School of Arts to build a public toilet.

2. Investigate the use of section 94 contributions for the construction of the public toilet.

A further refinement of the list will be made if necessary at the conclusion of these negotiations.

Consideration

A weighted average index was adopted in the 2014 AMP and has been further reviewed to assist in strategizing the priority list. A further analysis has been undertaken of towns and commercial shopping precincts.

The attached priority list is proposed to have a timely intervention and to manage the assets in line with efficient funding patterns (see Attachment 1).

This allows Council to consider the allocation of funds in an effective manner until the Core Asset Management Plan reaches the level of detail that will see it influence the Ten Year Financial Plan with a degree of certainty giving regard to Levels of Service and Council’s acceptable revenue stream.

Council does provide toilets at sporting precincts as well, but these are only included when open for public use.

For Councillors’ convenience, a summarised version of the table containing the top 20 is provided above. It is proposed that this list will be the list that will be advertised.

Community Engagement

Engagement is undertaken with each community consultative body when public amenities in their area is on the top 10 priority list

Policy Implications

The adoption of this priority list will assist Council staff to further refine the Core Asset Management Plan – Public Amenities (toilets), which will enable its review and updating for adoption and help it align it to Council’s LTFP.

Financial Implications

The projects allocated in the current 2017/2018 budget are Clifton Reserve Sanctuary Point (started), Bendalong Boat Harbour (commencement in June 2018), and Culburra Beach Curleys Bay (Community are building). At this stage the allocated funding is still considered sufficient.

The current draft of the 2018/2019 budget has an allocation of Berry CBD, community consultation including public meeting, community have requested for Apex Park. SRV Cudmirrah Errol Bond reserve - Goonawarra Drive.

The adoption of this priority list will not have annual financial implications; it will however signal Council’s intentions and this will guide staff and the community in the preparation of draft annual budgets.

As outlined above the adoption of this priority list will ultimately assist Council to refine its ten-year LTFP and thus manage the asset demands for scarce financial resources.

A summary of the current budget v priority list is as follows.

Financial year	Financial year Budget	Estimated capital cost	Funding gap
2017/18	$287,000	$325,000	-$38,000
2018/19	$680,000	$680,000	$0
2019/20	$307,500	$243,400	$64,100
2020/21	$314,000	$370,800	-$56,800
2021/22	$320,000	$230,000	$90,000
2022/23	$326,000	$290,250	$35,750
2023/24	$333,000	$180,000	$153,000
2024/25	$340,000	$410,800	-$70,800
2025/26	$347,000	$343,400	$3,600
2026/27	$354,000	$382,000	-$28,000
2027/28	$361,000	$468,920	-$107,920

	$3,969,500	$3,924,570	$44,930

The above indicates a surplus of $44,930 in the LTFP over the next 10 years.

Risk Implications

Funding model will not match priority list.