Agenda of Ordinary Council

Ordinary Council meeting28 July 2020

General Manager's Report No. GM6/20

Subject: Randwick City Council Operational Plan and Budget 2020-21

Executive Summary

· The draft Operational Plan and Budget 2020-21 was placed on public exhibition from 10 June 2020 to 9 July 2020. During this time a wide range of activities were undertaken to seek community feedback;

· A total of 49 submissions were received during the exhibition period. All these submissions were logged, considered and responded to (refer to attachment 1);

· Minor administrative changes have been made to the draft 2020-21 Operational Plan;

· The recommended 2020-21 Operational Plan and Budget details the individual projects and actions that will be undertaken in 2020-21 to achieve the commitments made in the current Delivery Program;

· The recommended 2020-21 Operational Plan and Budget incorporates specific measures to address the impacts of COVID-19. Over $52M in initiatives and projects, including $48.6M of infrastructure delivery is focused on the creation of over 3,000 jobs, community support, business support and recovery planning; and

· The budget impact of the COVID-19 support measures and reductions in revenue, results in a significant reduction in the anticipated operating result. This budget shortfall will necessitate the take up of borrowings in order to meet the planned capital works program, create jobs and to help stimulate our local economy.

Recommendation

That:

a) the Operational Plan for 2020-21 be adopted as per the attached, and that the General Manager be authorised to make any minor changes as requested by the Council or the Office of Local Government NSW;

b) the Budget for 2020-21 be adopted as per the attached;

c) the Fees and Charges be adopted for 2020-21 as per the attached;

d) Council make and levy the ordinary Residential Rate for 2020-21, under s.494 and s.498(1)(a) and (2) of the Local Government Act 1993, as a rate of 0.00137973 in the dollar on the land value of all rateable land within the City of Randwick being categorised as Residential;

e) Council make and levy the ordinary Business Rate for 2020-21, under s.494 and s.498(1)(a) and (2) of the Local Government Act 1993, as a rate of 0.00497171 in the dollar on the land value of all rateable land within the City of Randwick being categorised as Business;

f) Council make and levy the ordinary Port Botany Business rate for 2020-21, under s.494 and s.498(1)(a) and (2) of the Local Government Act 1993, as a rate of 0.00795053 in the dollar on the land value of all rateable land within the Port Botany Business sub-category area, defined by the SP1 Special Activities zone of the Three Ports SEPP 2013;

g) Council make and levy the Environmental Levy special Rate for 2020-21, under s.495 and s.498(1)(b) and (2) of the Local Government Act 1993, as a rate of 0.00011416 in the dollar on the land value of all rateable land within the City of Randwick;

h) Council make and levy the ordinary Residential minimum rate for 2020-21 under s.548(1)(a), (2), (4) and (5) of the Local Government Act 1993, as $897.08;

i) Council make and levy the ordinary Business minimum rate for 2020-21 under s.548(1)(a), (2), (4) and (5) of the Local Government Act 1993, as $1,445.61;

j) Council make and levy the Port Botany Business minimum rate for 2020-21 under s.548(1)(a), (2), (4) and (5) of the Local Government Act 1993, as $1,445.61;

k) Council make and levy the Domestic Waste Management Charge for 2020-21 under s.496 of the Local Government Act 1993, as $604.75;

l) Council make and levy a Domestic Waste Management Charge for an additional 140 litre service for 2020-21 under s.496 of the Local Government Act 1993, as $291.00;

m) Council make and levy a Domestic Waste Management Availability Charge for vacant/unoccupied Residential land under s.496 of the Local Government Act 1993, as $303.00;

n) Council make and levy the Stormwater Management Service Charge for residential properties for 2020-21 under s.496A of the Local Government Act 1993, as $25.00;

o) Council make and levy the Stormwater Management Service Charge for residential strata/Company titled properties for 2020-21 under s.496A of the Local Government Act 1993, as $12.50;

p) Council make and levy the Stormwater Management Service Charge for business properties for 2020-21 under s.496A of the Local Government Act 1993, as $25.00 plus an additional $25.00 for each 350m² or part thereof by which the parcel of land exceeds 350m²;

q) Council make and levy the Stormwater Management Service Charge for business strata/Company titled properties for 2020-21 under s.496A of the Local Government Act 1993, calculated in accordance with the land area as per business properties and then apportioned by unit entitlement subject to a minimum charge of $5.00 per business strata lot.

r) the interest rate on overdue rates for 2020-21 be set at the maximum rate as determined by the Minister for Local Government under s.566(3) of the Local Government Act 1993, of 0 per cent per annum from 1 July – 31 December 2020 and 7 per cent per annum from 1 January – 30 June 2021;

s) Council grant a further $100 rebate in addition to the existing statutory $250 pensioner concession in 2020-21 for eligible pensioners, with the additional rebate to be split $75 to the Domestic Waste Management Charge and $25 to the Environmental Levy; and

t) the Responsible Accounting Officer be delegated to make changes as adopted by Council.

Attachment/s:

1.⇩	Submissions and responses - 2020-21 Operational Plan and Budget and Fees and Charges
2.	2020-21 Operational Plan and Budget	Included under separate cover
3.	2020-21 Fees and Charges	Included under separate cover

Purpose

The purpose of this report is to:

· Address all submissions received in response to exhibition of the Draft Operational Plan and Budget 2020-21 (and associated fees and charges);

· Detail any recommended changes to the Operational Plan and Budget 2020-21; and

· Adopt the Randwick City Council Operational Plan 2020-21, including the 2020-21 Budget and associated Fees and Charges.

Discussion

City resilience is the capacity of individuals, communities, businesses and systems within a city to survive, adapt and thrive, no matter what chronic stress or acute shock they may experience.

Globally, we continue to experience an unforeseen shock in the form of the COVID-19 pandemic. Locally, this pandemic has had a significant impact on our community and has forced us to change the way we live, work and play. Our local businesses and industries have suffered, and chronic stresses, such as affordability, social cohesion and poor mental health continue to be felt.

The focus of the recommended Operational Plan and budget is therefore resilience. Council has a leadership role that requires us to take both a short-term and long-term approach to supporting our community through the recent shock.

To support this approach, the recommended budget includes proceeding with the IPART approved rating increase of 5.52%, the adoption of an ambitious capital works program of $48.6M, as well as increasing borrowings by $6.5M to $14.5M. At the heart of these recommendations is the aim to see our community recover and thrive through business support, economic stimulus and support for those who are most at need. The capital works program is estimated to create over 3,000 jobs alone.

The recommended Operational Plan also maintains service levels and progresses priorities that have been set over multiple years. Although some short-term disruptions and delays may have been experienced due to recent restrictions, we remain on track to achieve the key objectives of the Delivery Plan adopted by Council and our Operational Plan reflects this.

Activities

As detailed above, the activities included in the recommended operational plan are focused on building a resilient Randwick as well as the continued delivery of high quality services, projects and capital works.

The proposed capital works program will allocate $10.7M to roads, footpaths and cycling facilities; $10.4M to planning, renewal and construction of open space and recreation assets including playgrounds; $26M for community building projects such as the Matraville Youth and Cultural Hall and Blenheim House, improvements at the Randwick Community Nursery, refurbishment of Coogee Surf Club and master planning for Maroubra Beach; and $1.5M in drainage construction, including Council’s gross pollutant trap replacement program.

Other projects to start in the coming financial year will include the refurbishment of the amenities facility at Yarra Bay, completing our largest stormwater harvesting system at Maroubra Beach, building new playgrounds in Kokoda Park, Kensington and Coral Sea Park in Maroubra and creating a new plaza in Meeks St Kingsford.

In addition to supporting job creation through our ambitious capital works program, the actions in the recommended 2020-21 Operational Plan will provide community and business support and assist business recovery through initiatives such as:

· Interest-free options for rates and annual charges.

· Rental subsidies for 6 months for childcare, not-for-profit organisations and local small businesses leasing council properties.

· Activation of public places and spaces.

· 100% subsidy for 12 months on business DA fees, footway dining, A-frame signage fees and food safety inspection fees.

· A new Economic Development and Placemaking team to work with local business to support resilience and plan for recovery.

· Grant funding to support the arts industry.

· Support for early intervention domestic and family violence initiatives as well as mental health and suicide awareness initiatives.

· Help for seniors to combat social isolation.

Exhibition

The draft Operational Plan and Budget 2020-21 was placed on public exhibition from 10 June 2020 to 9 July 2020.

During the exhibition period the following activities were undertaken:

· A YourSay Randwick website was launched on 10 June 2020:

https://www.yoursay.randwick.nsw.gov.au/Budget2020-21

o The site included the 2020-21 Draft Operational Plan and Budget and Draft Fees and Charges, an overview video and suburb highlight Information Sheets;

o The site had 3380 unique visitors during the exhibition period;

o 5436 documents were downloaded (743 Draft Operational Plan and Budget, 517 Draft Fees and Charges and the remaining 4176 downloads were the suburb specific Information Sheets); and

o 24 submissions were made through YourSay;

· The public exhibition was featured in Council’s weekly email bulletin Randwick News on 10June and listed on 24 June 2020;

· A listing was included in the Mayor’s Column in the Beast Magazine July 2020 issue and online, and Southern Courier online;

· A direct email campaign was launched on 6 July 2020. Using Council’s eNews database, eNews subscribers were sent a ‘Budget Special’ email campaign with projects relevant to their suburb of residence;

Campaign	Recipients	Opens	Clicks
Clovelly	1373	35%	21%
Coogee and South Coogee	5310	31%	15%
Kensington and Kingsford	6097	35%	12%
La Perouse, Phillip Bay and Little Bay	1216	37%	24%
Malabar	757	40%	31%
Maroubra	6947	31%	13%
Matraville and Chifley	2509	34%	21%
Randwick	8031	28%	8%

· A feature story was included in Council’s SCENE Magazine winter edition distributed to 65,000 households in Randwick City;

· Bus shelter posters were displayed at 9 bus stops across Randwick City;

· Exhibition materials were available online on Council’s Your Say Randwick website and in hard copy at the Customer Service Centre & Council’s three libraries;

· Precincts were notified of the consultation via email;

· Information sheets detailing projects by suburb were published online and were downloaded as follows:

Maroubra 770 downloads

Coogee and South Coogee 750 downloads

Randwick 519 downloads

Matraville and Chifley 480 downloads

Kingsford and Kensington 679 downloads

Clovelly 392 downloads

La Perouse, Phillip Bay and Little Bay 329 downloads

Malabar 257 downloads;

· Council’s Facebook page was used to post the overview video; and

· Cinema advertising was undertaken at The Ritz Randwick.

Forty nine (49) formal submissions were received in response to the exhibition. 10 of these raised rates as a key issue of concern. Some of the other topics included; fees & charges, reconciliation, cycleways, pedestrian safety, waste management, parks and playgrounds, lighting, footpaths, town centre upgrades, flooding and major projects.

All formal submissions were logged, reviewed and responded to – with a full list tabled as an attachment to this report.

Continuing the approach used successfully in recent years, Council again sought input from the Precincts during the preparation phase (rather than the exhibition stage). There were 10 issues/suggestions raised by the Precincts at the initial stage, covering aspects such as: Playground upgrades, road resurfacing, signage, amenities maintenance and upgrades, ocean pool cleaning, security, pedestrian facilities and stormwater management.

The Audit, Risk and Improvement Committee, at their meeting 17^th July 2020, reviewed and discussed the Draft Randwick City Council Operational Plan 2020-21, including the 2020-21 Budget and associated Fees and Charges, with no concerns raised.

Recommended changes

Recommended Operational Plan 2020-21

The following minor administrative changes have been made to the Draft Operational Plan 2020-21:

· The duplicate action under 2a.1 has been deleted;

· The words ‘by providing’ have been added to the second action under 9a.1; and

· Four spelling mistakes were corrected.

Recommended Capital Works Program 2020-21

There are no changes to the Draft 2020-21 Capital Works Program.

Recommended Budget 2020-21

There are no changes to the Draft 2020-21 Budget.

Recommended Fees and Charges 2020-21

There are no changes to the Draft 2020-21 Fees and Charges.

There are no changes to the Draft 2020-21 Revenue Policy – annual rates and charges.

Strategic alignment

The relationship with the City Plan is as follows:

Outcome/Direction	Delivery Program actions
Outcome	1. Leadership in sustainability
Direction	1a. Council has a long-term vision based on sustainability.

Resourcing Strategy implications

The recommended 2020-21 Budget has been compiled in accordance with the Council’s adopted Resourcing Strategy (Asset Management Plans, Workforce Strategy, Digital Strategy and Long-Term Financial Plan).

The development of the recommended 2020-21 Budget has followed the five financial objectives contained in the Long-Term Financial Plan.

· Deliver operating surpluses

· Fund existing service levels

· Fund infrastructure renewals

· Ensure financial stability

· Create a positive financial legacy

The recommended Budget for 2020-21 is balanced and sustainable, with a budget surplus of $203,323.

In acknowledging the COVID-19 pandemic has uncertainty and a level of financial sensitivity, the budget has been developed based on the best information available and well considered assumptions at the time of drafting. It is expected these assumptions will change over time and Council is positioned to proactively monitor and respond to these movements.

Policy and legislative requirements

The recommended 2020-21 Randwick City Council Operational Plan has been prepared in accordance with s.405 of the Local Government Act 1993.

All actions in the Delivery Program and Operational Plan are further detailed in internal departmental plans, project plans, service standards and individual work plans. The Delivery Program and Operational Plan are supported by integrated planning systems which include assignment of responsibility, timeframe of projects and key performance indicators for services. All actions are reported on and accountability is observed through quarterly reporting.

Conclusion

All submissions received in response to exhibition of the draft Operational Plan and Budget 2020-21 have been considered and responded to.

The recommended 2020-21 Operational Plan and Budget incorporates measures to achieve each of the commitments of our current delivery program and respond to the impacts of COVID-19.

The recommended Budget for 2020-21 is balanced and sustainable.

Responsible officer: Emma Fitzroy, Business Strategist

File Reference: F2020/03002

Ordinary Council meeting28 July 2020

General Manager's Report No. GM7/20

Subject: The Randwick City Draft Environment Strategy

Executive Summary

· The draft Environment Strategy is the first of Council’s six informing strategies under the Integrated Planning and Reporting Framework.

· Informing strategies are a long-term strategy sitting between the City Plan and Council’s Delivery Program, acknowledging the long term nature of decision-making within Local Government.

· Informing strategies articulate clear objectives and strategic approaches that follow SMART (specific, measurable, achievable, relevant and timebound) principles, best placing council to succeed.

· Despite being long-term, informing strategies should be considered ‘living documents’, being reviewed and adjusted regularly to respond to changing social, economic and environmental circumstances.

· The Outcomes, Objectives and Principles established within our draft Environment Strategy formalise those key priorities and investment areas delivered over the past decade and a half via our very successful Sustaining our City program. The draft Environment Strategy provides a new transparency and accountability for the achievement of environmental protection and conservation goals by Council on behalf of its community.

· Outcomes represented in the draft Environment Strategy include: Biodiversity Conservation; Climate Change; Resource Conservation; and Coastal Protection.

· The draft Environment Strategy is the culmination of over 16 years of environmental initiatives and innovations. It is also importantly a reason to celebrate and take pride in our community’s commitment and achievements in protecting, restoring and conserving our environment for our current population and for future generations.

Recommendation

That Council endorses the draft Environment Strategy for public exhibition.

Attachment/s:

1.⇩

Draft Environment Strategy

Purpose

The purpose of this report is to seek Council’s endorsement of Randwick’s draft Environment Strategy for public exhibition.

Background

The Integrated Planning and Reporting Framework

The Integrated Planning and reporting Framework (IPRF) provides a structure and system for strategic planning within NSW Local Government. Our IPRF ensures a long-term vision for our community, outlining priorities and aspirations for the future, while setting medium and short term goals and actions to help us get there.

A diagram of the IPRF and its components are detailed below.

The Randwick City Plan identifies the main priorities and aspirations of the community and provides a clear set of strategies to achieve this vision for the future. The responsibility for implementation of this plan is not limited to Council, but requires everyone in the community to participate, along with State agencies, non-government organisations, business partners and community groups.

Supporting the achievement of outcomes in the Randwick City Plan, are a range of long-term plans that are focused on specific priority areas. These plans are developed into informing strategies, many of which we are currently developing further, including in the areas of environment, arts and culture, recreation and open space, integrated transport, housing and economic development.

Informing strategies provide each newly elected Council with a long-term direction, acknowledging that the long-term view Council must take in its decision-making, despite a Council term only lasting 4 years. The strategic approaches contained within the informing strategies inform the development of the Delivery Program for the Council’s term.

The Delivery Program is aligned to the Local Government election cycle and turns the strategic goals within the longer-term plans into action. It is through this program that Council makes a commitment to the Randwick City Plan, acting upon those issues that are within its area of responsibility.

The Delivery Program must be supported by a resourcing strategy which enables the outcomes of Council’s objectives through a workforce strategy, long term financial plan, asset management plans, IMT strategy and customer experience strategy. Without aligning available resources to the desired actions and approaches, the outcomes become unachievable.

Council is currently undertaking significant work in reviewing and redeveloping the Integrated Planning and Reporting Framework for Randwick. Once complete, the strategies and programs must continue to be reviewed and adapted to changing social, economic and environmental circumstances.

Randwick’s draft Environment Strategy is the first of 6 Informing Strategies for Council.

Discussion

Council has a long history of and demonstrated commitment to sustainability and environmental leadership. This has been delivered primarily via its innovative and widely recognised Sustaining our City initiative.

In 2019 a process commenced to formalise existing programs and approaches into an integrated and coherent draft Environment Strategy that takes a whole of community approach to clearly defining the outcomes and measures required to meet the environmental challenges faced by our current and future generations. This draft Strategy is based on 4 key Outcomes, 5 Principles, 6 Objectives, and 32 Strategic Approaches. These outcomes and objectives are summarised below.

Environment Strategy – Outcomes and Objectives

Outcomes	Objectives
Biodiversity Conservation – restore and protect the diversity of ecosystems	Increase by 20% indigenous and native plants across Randwick City by 2030
Climate Change – a community more knowledgeable, proactive and responsive to climate change impacts	Reducing greenhouse gas emissions (measured by CO2-equivalent) by 60% across Randwick City by 2030
Conserving Resources – our limited natural resources are protected	Increase residential recycling by 70% across Randwick City and divert 75% or waste from landfill by 2025 Reducing the consumption of energy and water across Randwick per capita by 30% by 2030
Coastal Protection – coastal and marine environments are protected and conserved	Achieving a “Good” or “Very Good” result from the Department of Planning, Industry and Environment’s Beach Watch water quality monitoring program Ensuring community satisfaction of the coastal experience is retained above 80% in surveys conducted from 2020 onwards

Randwick’s draft 2020 Environment Strategy is also underpinned by 5 principles applying across each of the outcomes. These include:

· Equity - maintaining a balance between the natural and urban environment

· Sustainability - our natural environment is maintained, protected and nurtured to best meet the needs of the present and future generations

· Conservation - improving and protecting Randwick City's biodiversity and natural assets

· Partnering - working collaboratively with the community and other organisations, especially our Indigenous custodians

· Informing - a community and Council that is informed and aware of the value of the natural environment and the impact of everyday activities.

Each of the main strategic approaches has been developed to meet SMART principles, being that they are specific, measurable, achievable, relevant and timebound.

As a next step, action plans will be developed to further distill these approaches to tangible and accountable implementation measures within Council’s Delivery Program.

Communications plan

A detailed Communications Plan will be implemented to maximise community understanding of and provide an opportunity to comment on our draft Environment Strategy.

This plan will incorporate all avenues of our electronic social networking platforms with additional invitation opportunities provided via bus shelters advertising and street banners. Due to the current circumstances of social-distancing an extended period for comment will be provided to residents.

Strategic alignment

The relationship with the City Plan is as follows:

Outcome/Direction	Delivery Program actions
Outcome	1. Leadership in sustainability
Direction	1a. Council has a long-term vision based on sustainability.

Resourcing Strategy implications

Randwick’s draft Environment Strategy is resourced through its environmental program budget. This provides a level of resourcing for Council’s sustainability initiatives and environmental improvements of approximately $4.7M in 2020-21.

Policy and legislative requirements

Randwick’s draft Environment Strategy has been prepared as one of 6 informing strategies that is aligned with our City Plan and Operational Plan for 2020-21. It will also inform Council’s future community strategic plan.

Conclusion

Randwick is recognised as a leader in sustainability across the local government sector. The draft Environment Strategy is the culmination of over 16 years of environmental initiatives and innovations. It is also importantly a reason to celebrate and take pride in our community’s commitment and achievements in protecting, restoring and conserving our environment for our current population and for future generations.

Responsible officer: Peter Maganov, Manager Sustainability

File Reference: F2020/00390

Ordinary Council meeting28 July 2020

Director City Planning Report No. CP22/20

Subject: Kensington and Kingsford Draft DCP

Executive Summary

· This report outlines a draft Development Control Plan for the Kensington and Kingsford Town Centres (draft DCP) and seeks Council’s endorsement for its public exhibition (Attachments A, B, C, D).

· The draft DCP translates key objectives and implementation actions from the K2K Planning Strategy (endorsed by Council in 2019) and provides detailed planning controls and guidance for development applications (DAs) within the Kensington and Kingsford town centres.

· The draft DCP supports and supplements the proposed amendments to the RLEP 2012 outlined in the K2K Planning Proposal which is currently with the Department of Planning, Industry and Environment (DPIE) awaiting gazettal.

· The draft DCP covers a range of design matters including: new built form controls for all sites within the town centres, detailed design guidelines for development including heritage and contributory buildings, a design excellence process for landmark buildings in strategic locations, environmental provisions covering landscaped area, flooding and sustainability, parking rates, public domain improvements, inclusionary zoning to increase the amount of affordable housing and a community infrastructure charge.

Recommendation

That Council endorse:

a) the draft DCP for the Kensington and Kingsford Town Centres for public exhibition.

b) minor editing, formatting and clarification of clauses and diagrams in the draft DCP prior to public exhibition.

c) the draft Kensington and Kingsford DCP as interim policy guideline pending its adoption.

Attachment/s:

1.⇩	Draft K2K DCP - Part A
2.⇩	Draft K2K DCP - Part B
3.⇩	Draft K2K DCP - Part C
4.⇩	Draft K2K DCP - Part D

Purpose

The report outlines a draft DCP for the Kensington and Kingsford town centres including the process for its preparation, background work and overview of the structure and content of the document. It is recommended that the draft DCP be endorsed for public exhibition to allow for community feedback.

Background

The Kensington and Kingsford town centres have been subject to a lengthy planning review by Council officers and assessment by the Department of Planning, Industry and Environment (DPIE) and the Independent Planning Commission (IPC) undertaken over 2015-2019. Council’s review process aimed to bring the planning framework up to date and ensure that a robust, comprehensive and place-based strategy is in place to guide future development.

The comprehensive planning process included an international urban design competition to define key urban design principles and the vision for each of the two centres which in turn underpinned the themes and implementation actions in the K2K Planning Strategy and subsequent K2K Planning Proposal. The overarching drivers for the preparation of the Strategy and Planning Proposal are:

· Developing appropriate planning controls that are fair and equitable rather than ad hoc planning proposals determining the future character of the centres;

· Council taking the lead in developing a planning strategy informed by an international design competition, expert advice and community input;

· Provision of a range of essential community benefits for the area;

· The need to create sustainable, planned and coordinated growth that facilitates the long- term rejuvenation of the Centres; and

· Responding to population forecasts and dwelling targets for the area.

At the Ordinary Council meeting of 28 May 2019 Council endorsed the K2K Planning Proposal and associated documents for public exhibition. The K2K Planning Proposal seeks amendments to the Randwick Local Environmental Plan 2012 to reflect the implementation actions of the K2K Strategy. The RLEP 2012 is the statutory planning instrument for Randwick City, which sets out

key development controls such as building height, Floor Space Ratio (FSR) and minimum lot size.

The K2K Planning Proposal outlines a range of amendments to the RLEP 2012 pertaining to the Kensington and Kingsford town centres including revised heights and FSRs, active frontages, non-residential floor space, dedication of affordable housing units (or monetary contribution), a community infrastructure contribution, design excellence and architectural competitions.

The K2K Planning Proposal was endorsed by Council on 10 December 2019 and forwarded to the Department for final review and legal opinion, with gazettal expected in August 2020.

The DPIE has advised that it is nearing completion of its review of the draft K2K LEP amendments and gazettal is imminent. Therefore, Council’s endorsement of the draft DCP for public exhibition is now timely and important to ensure the objectives and vision of the Planning Strategy are clearly articulated and to provide guidance for development proposals and Council officer assessment.

Draft DCP - preparation process

The draft DCP has been prepared and will be exhibited consistent with the requirements of the Environmental Planning and Assessment Act 1979 and Regulation.

It provides detailed built form and design controls to support the proposed RLEP standards for the Kensington and Kingsford town centres.

The draft DCP must be publicly exhibited for a minimum of 28 days for community feedback. In the event that the proposed amendments to the RLEP 2012 are gazetted prior to the exhibition and/or finalisation of the draft DCP, this report recommends that the draft DCP be endorsed as an interim Council policy to apply from commencement of the updated RLEP 2012 provisions. It is considered that this would provide a transparent approach and consistent advice for applicants and the community when preparing and reviewing DAs.

The draft DCP has had considerable input into its preparation including services from urban design consultants to develop diagrams and test block by block controls, services from transport/traffic consultants, acoustic consultants and internal heritage, engineering and other technical advice. The draft DCP incorporates comments and suggestions made by the Design Review Panel on 7 July 2020.

There have been two development applications for student accommodation which have been submitted for the key node sites following architectural competitions managed by the proponent “Scape” (the triangle site at Kingsford Junction and one of the node sites at Todman Square). Council is also considering another DA for a mixed-use development comprising ground floor retail and upper level apartments at the northern end of the Kensington Town Centre (31-41 Anzac Pde). A number of pre-DA applications have been submitted for other sites within the two corridors, seeking to develop in accordance with the new draft controls. Preliminary assessments are being carried out on these DAs and these will be progressed once the new LEP has been legally made.

Contents of draft DCP

The draft DCP contents are summarised as follows:

Principles and intent

· Guiding principles for all development in the Kensington and Kingsford town centres focusing on affordable housing, character, urban design and architectural excellence, sustainability, and public realm improvements. All DAs will be required to demonstrate how they address the key guiding principles.

· A new desired future character statement is provided for each town centre focusing on economic prosperity, liveability, environmental sustainability, design excellence, celebration of heritage and greening of the public realm.

Design Excellence

· Design excellence provisions requiring development at strategic node sites (Todman Square, Kingsford Junction and Kingsford Midtown) to be subject to an architectural competition to select the best design outcome for the site.

· Well-articulated buildings providing a human scale response, variety, good proportions, high quality materials and finishes.

· Active street frontages to support economic activity and streetscape vibrancy.

Public domain

· To ensure new development contributes to a high-quality public domain consistent with the K2K Strategy.

· Buildings are to be setback between 1.5m and 2.5m to achieve footpath widening (other than heritage and contributory buildings).

· Provide new high quality through site links and share-ways.

· Protect solar access to important public spaces.

· Public domain plan to be submitted demonstrating consistency with public domain objectives that enhance urban living.

· Advertising and signage provisions for a consistent approach, minimise clutter and good design to complement architecture.

Landscaping

· To ensure new development contributes to the ‘greening’ of the town centres and tree planting.

· New controls for all development to encourage environmental sustainability including a new landscaped area provision equating to at least 100% of the site area as landscaped ground plane, green wall, terrace, podium and roof treatments.

Sustainability

· Controls to encourage the centres to evolve as environmentally sustainable districts with a focus on best practice environmentally sensitive design, energy efficiency, water conservation, waste and resource minimization.

· All applications are to include electric vehicle charging stations.

· Buildings at key sites are to achieve more than 5-star green star performance and other sites to achieve a minimum 5 star.

· Design of buildings to encourage sufficient solar access including student accommodation.

· Localised automated waste collection system to be included in basements. Guidelines have been prepared to encourage underground piping for waste to be collected via automated suction equipment fitted on garbage trucks. This will reduce truck movements, deliver improved amenity on streets and enable for efficient use of floor space previously allocated to garbage storage.

Heritage Items and Contributory Buildings

· Controls for heritage items and contributory buildings, as a better guide for development consistent with heritage character in the town centres. The proposed new controls are based on external heritage consultant and Council heritage officer advice.

Parking rates

· New parking rates have been determined on the basis of:

o The town centres’ high level of accessibility to major employment nodes including the Sydney CBD and the Randwick Collaboration Area.

o Availability and frequency of public transport including the new light rail infrastructure in place.

o Requirements under the Affordable Housing SEPP which provide lower parking rates for boarding houses.

o Requirements under SEPP 65 – Apartment Design Guide which provide lower rates for residential flat buildings in designated accessible Sydney locations (including Kensington and Kingsford), reflecting those contained in the Guide to Traffic Generating Developments (GTTGD).

o The need to encourage sustainable and active transport (walking, cycling and public transport), reduce environmental impacts and traffic congestion.

o Demographic trends which demonstrate lower rates of car ownership amongst new residents in the local area (e.g. students residing in purpose-built student accommodation).

· Increased requirements for bicycle and motorcycles

· Requirement for all DAs to submit a green travel plan to manage travel behaviour.

Block by block controls

· Block controls provide the maximum building envelopes that can be developed on any given site and are based on the maximum LEP height controls and requirements outlined in the Apartment Design Guide (referred to in SEPP 65). The block controls are indicative of future development that can be achieved on a site and are to be used as a guide to achieve high quality development that responds to the site context, transition heights and address amenity issues such as visual and acoustic privacy and solar access.

· The block diagrams are accompanied by explanations, desired future character statements and controls for front, side and rear setbacks, upper level setbacks for towers above the 4 Storey Street wall, preferred location of new share-ways and mid-block links.

Non-residential floor space

· Further detail on the LEP requirement for a minimum 1:1 non-residential FSR component for strategic node sites to ensure there is sufficient floor space available to accommodate a mix of shops, hospitality related businesses, creative and innovation spaces and other commercial services adjacent to light rail stops.

Student Housing

· A new section on student housing to ensure high quality development that delivers excellent design and amenity to residents.

· Preparation of a management plan to address ongoing operations.

· Preparation of an acoustic report addressing noise sources.

· Preparation of a traffic and transport report.

Affordable Housing

· An inclusionary zoning approach for the centres requiring that a percentage of units be dedicated towards affordable housing.

· All new development submitted within the first two years of the LEP being made must dedicate affordable housing equivalent to 3% of gross residential floor area. The rate increases to 5% thereafter. Each dwelling to be dedicated is to have a minimum area of 50m2. The dedication is to be via in-kind contribution of completed units and a monetary contribution is to be paid if the calculated percentage is less than 50m2.

Community Infrastructure

· Community infrastructure is to be provided in accordance with the Council-endorsed CIC Plan calculated on the development uplift.

· The CIC will ensure the required community infrastructure can be delivered to support growth, regeneration and transformation within the corridor to meet the needs of future residents, workers and visitors.

· Requirements for specific community infrastructure to be provided at strategic node sites as part of new development including innovation centres, multipurpose creative space and a community hub.

Other provisions

· A new section on the night-time economy to foster vibrant, diverse and active night life for all members of the community.

· New acoustic provisions to achieve internal amenity balanced with the desire to achieve a vibrant environment for each town centre.

· Housing mix for the elderly, family households and people living with a disability.

· Minimum floor to ceiling heights.

· A range of provisions to encourage late night trading and activation of the public domain.

· Encourage public art integrated in the building design to contribute to a sense of place and character.

S.7.12 Contributions

The K2K contributions framework includes a new s.7.12 Plan based on all new development contributing 2.5% of capital investment value (CIV). The current City-wide s.7.12 Plan is based on 1% of CIV. This new Plan is currently being considered by the DPIE for adoption by the Minister for Planning. In December 2019, Council endorsed the S.7.12 Plan for the corridor and will commence once the Minister has made the changes to the EPA Regulation (cl 25K).

Other provisions

· A new section on the night-time economy to foster vibrant, diverse and active night life for all members of the community.

· New acoustic provisions to achieve internal amenity balanced with the desire to achieve a vibrant environment for each town centre.

· Housing mix for the elderly, family households and people living with a disability.

· Minimum floor to ceiling heights.

· A range of provisions to encourage late night trading and activation of the public domain.

· Encourage public art integrated in the building design to contribute to a sense of place and character.

Design Review Panel Comments

The draft DCP was recently referred to the Design Review Panel for comment as per the requirements of the Environmental Planning & Assessment Regulation 2000 and SEPP 65 - Design Quality of Residential Flat Development. This has allowed for an independent evaluation process to ascertain the applicability and usability of the draft DCP in a practical context.

The Panel was generally supportive of the draft DCP and made recommendations on improvements to the block by block control diagrams and a number of provisions which have been incorporated into the attached draft DCP.

Community Consultation Program for the draft DCP

A consultation strategy has been developed for the exhibition of the draft DCP and will include a range of informative and interactive measures to engage the community, including:

· Exhibition period for a statutory minimum of 28 days

· Display of the draft DCP and supporting information on Council’s website and in hardcopy form at the Administration building and libraries

· Dedicated Yoursay site for information and submissions

· Newspaper advertisements and Mayoral Columns

· Direct written notification to existing databases of interested persons

· Resident precinct group and Chamber of Commerce information packages

· Referral to relevant government agencies and stakeholders

· Referral to the independent expert Design Review Panel (already undertaken); and

· Planners available by phone or email on any queries.

Strategic alignment

The relationship with the City Plan is as follows:

Outcome/Direction	Delivery Program actions
Outcome	4. Excellence in urban design and development.
Direction	4a. Improved design and sustainability across all development.

Resourcing Strategy implications

Preparation of the draft DCP has been substantially undertaken in-house with additional costs relating to the development of block by block diagrams and acoustic provisions, as well as printing, advertising and distribution of exhibition/consultation material. These costs have been funded via the Strategic Planning 2019-20 budget.

Exhibition and community engagement of the draft DCP will be funded from the 2020-21 Strategic planning budget.

Policy and legislative requirements

The draft DCP for the two centres is being prepared in accordance with Division 3.6 Development control plans (DCPs) of the Environmental Planning and Assessment Act. The EPA Regulations (Part 3) specify the form, content, exhibition and approval of DCPs. A DCP must be publicly exhibited informing the community of the places, dates and times for inspection of the draft plan. Council is the authority responsible for exhibiting and approving the DCP in accordance with the EPA Regulation.

In accordance with Council’s Community Participation Plan the mandatory exhibition timeframe for DCPs is 28 days.

Conclusion

The draft DCP provides detailed guidance for new development within the Kensington and Kingsford corridor to achieve excellence in building and urban design, enhance the character of each town centre and establish a high level of liveability and economic and employment opportunities. The draft DCP aims to achieve the vision established in the K2K Planning Strategy and to supplement provisions contained in the draft LEP.

In preparing the draft DCP, advice has been obtained from the Design Review Panel, urban design consultants in relation to the building envelope controls, acoustic consultant in relation to the noise provisions, transport/traffic consultants in relation to parking provisions and relevant internal expert advice.

Following consideration of this report by Council, the draft DCP and supporting documentation will be placed on public exhibition, with formal consultation intended to commence in August 2020. This report also recommends Council’s endorsement of the draft DCP as an interim policy until the final DCP is formally adopted by Council and comes into effect. This is considered necessary to ensure proper consideration of likely impacts of new development within the corridor, including environmental impacts on both the natural and built environments, and social and economic impacts in the locality. It is considered that this would provide a clearer approach and consistent advice for applicants and the community when preparing and reviewing DAs.

Following exhibition of the draft DCP, Council officers will consider submissions and report these back to Council with any recommended revisions to the document.

Responsible officer: Stella Agagiotis, Coordinator Strategic Planning; Asanthika Kappagoda, Senior Strategic Planner

File Reference: F2019/01418

Ordinary Council meeting28 July 2020

Director City Planning Report No. CP23/20

Subject: Provision of energy and water saving incentives for residents and businesses

Executive Summary

· In February 2020, Council resolved a report be brought back on the feasibility of introducing Victoria’s Solar Savers program to Randwick residents.

· Although NSW legislation prevents a similar rates-based payment model as enabled for Solar Savers in Victoria, sound options are available to incentivise energy and water saving measures for Randwick householders living in multi-unit or single dwellings across the LGA.

· Randwick Council has been supporting and facilitating energy savings measures for its residents, mainly solar, through its ongoing partnership with Australian Energy Foundation (previously Our Energy Future). This partnership has contributed to over 1,000 rooftop solar installations, or approximately one-third of Randwick City’s total solar rooftop installs.

· The opportunity described below seeks Council support to re-establish targeted incentives as applied previously in Randwick, to offer residents in units or houses a choice of energy and water saving measures they can consider enabling tangible financial savings for the householder and environmental benefits into the future.

Recommendation

That Council approves a targeted rebates program for Randwick residents and businesses to incentivise energy and water savings measures (not just solar) in a well-communicated, equitable program for householders living in both multi-unit and single dwellings.

Attachment/s:

Nil

Purpose

On 25 February 2020, Council resolved (Cr Seng/Veitch, NM3/20), that the General Manager bring back a report to Council on the feasibility of introducing the “Solar Savers Program” as is widely implemented in many local government areas in Victoria with consideration of the following:

a) Council pays the upfront cost and the ratepayer pays it off over ten years via interest-free instalments through their rate notices;

b) the financial incentive and assistance this provides to homeowners and businesses to install solar panels;

c) the savings it provides to the consumer’s energy bills; and

d) its environmental benefits by reducing the carbon footprint.

This report discusses the feasibility of this proposal and provides alternative approaches to achieve similar outcomes as the Solar Savers Program.

Discussion

Solar Savers Program

There are two types of Solar Savers Programs operating in local councils in Victoria, both actively supporting householders to install quality and affordable rooftop solar systems. The first is the Darebin Council Solar Savers program and the second is the broader Solar Savers program conducted across 10 participating councils, including Hepburn Shire Council and City of Monash. The Darebin Solar Savers program includes rates-based financial assistance, while the wider Solar Savers program only includes access to vetted solar installers, similar to the Australian Energy Foundation (AEF) program currently operating for Randwick residents.

The Darebin Solar Savers Program operates with a number of key steps that include:

1. Darebin residents submit an application to join the Darebin Solar Savers Program.

2. Once capacity becomes available in the program, the applicant’s details are passed onto Darebin’s selected installer who provides an obligation-free quote for the resident.

3. If the quote is accepted by the applicant, Darebin Council pays the up-front cost of the system, including installation

4. The ratepayer pays back the cost of the system to Council over 10 years, interest-free, through a Special Rate charge each quarter. The savings made by the ratepayer on their electricity bills outweigh the additional cost on their quarterly rates (Darebin City Council remains the owner of the rooftop solar system until the total cost is paid back. If a home with a Solar Savers system is sold before the system is paid back, the remainder of the cost is deducted from the sale of the property, as with any other outstanding Council rates).

5. For quality control purposes, Darebin City Council then arranges for 5-10% of all installations to be checked by independent auditors.

This Solar Savers Program costs Darebin Council around $5m per year, with approximately $700,000 used for the program’s administration and $4.3m for the upfront cost of the rooftop solar system installations.

Solar Savers Feasibility

The NSW Department of Planning, Industry and Environment (DPIE) has confirmed to Randwick that a rates-based model such as that available in Victoria to finance rooftop solar installations would require amendments to the NSW Local Government Act 1993. However, Council could progress with an alternative loan scheme not linked to rates, but it would also be burdened by significant administrative costs as found in the Darebin model.

A set of options are provided below on how Randwick Council might provide alternative offerings to its residents capable of providing similar benefits as the Darebin Solar Savers Program.

Continue Council’s partnership with the Australian Energy Foundation

Council has been partnering with the Australian Energy Foundation (AEF) since July 2017 (known previously as Our Energy Future). The AEF provides the following services for residents and small businesses in Randwick:

· A free energy-specialist hotline for residents to obtain reliable and independent energy and rooftop solar advice (based in Australia);

· Information sessions (free-of-charge) on energy efficiency, rooftop solar and other energy saving measures;

· Access to a vetted list of suppliers and installers for: rooftop solar and batteries, LEDs, air-conditioning, hot water heat pumps, insulation and draft proofing, and pool pump controllers.

· Additional services and programs which member Councils can choose to opt into or out of, such as the Solar for Apartments Program.

Since the AEF program commenced in Randwick in July 2017, over 700 Randwick residents have attended solar information sessions and over 1,850 residents have requested a quote from an AEF vetted supplier. This has resulted in 156 rooftop solar arrays being installed via the AEF installers and another 850 arrays installed via other installers. The 1,006 arrays installed since the program began in July 2017 equates to approximately one third of Randwick’s total installations.

Whilst the AEF program does not include rates-based finance, it does share many similarities to the Darebin Solar Savers in that it seeks to simplify the solar installation process by providing residents with access to reliable information, vetted installers and quality products, warranties and checks.

Promote low or zero interest loans

NSW residents are currently able to access the Federal Governments ‘Small-scale Technology Certificate’ rebate (which applies to all rooftop solar systems installed in Australia by accredited installers) and also lower-interest finance via loan platforms underpinned by the Australian Government’s Clean Energy Finance Corporation (CEFC). These low-interest loans could be promoted to Randwick residents via the Australian Energy Foundation program.

Additionally, the NSW Government is conducting its Empowering Homes pilot program for approximately 300,000 households in the Hunter Region, offering interest-free loans up to $14,000 for solar and batteries to residents. Current advice is that this program is expected to roll out across NSW following the completion of the 12-month pilot. Council will continue to follow the progress of the NSW Government’s Empowering Homes Pilot Program to see if and when the offering can be promoted to Randwick residents.

Offer rebates to incentivise uptake

Randwick Council has previously incentivised residents with rebates to assist householders install rooftop solar and other energy and water efficiency measures. This incentive was via a financial rebate to decrease the upfront purchase and installation costs. Although requiring a major investment by the resident, two key benefits of this approach are:

1. rebates can be targeted to specific residents which face the greatest barriers to implementation, i.e. in Randwick’s case this may include apartments or tenants looking to install solar; and,

2. rebates can be adjusted to incorporate a wide or narrow set of energy saving or environmental measures with minimal additional administrative work (e.g. battery storage and rainwater tanks).

Examples of current local government solar rebates programs include Ku-Ring-Gai Municipal Council’s ‘Energy Smart’ program and the City of Adelaide’s Sustainability Incentives Scheme.

Offering a small number of rebates not only provides financial support to the recipients, but also to the small business suppliers who install the energy and water saving technologies. This may be particularly useful as Australia begins to emerge from the worst of the Covid-19 crisis.

Importantly, offering a range of rebates presents a fairer and more equitable option to both tenants and to owners of both single-dwellings and multi-unit housing types across Randwick LGA.

Randwick’s draft environment strategy has identified the importance of incentivising energy saving and solar installations for households and businesses. Based on Council’s previous rebates experience a rebate incentive program could be established and delivered in conjunction with Council’s other Covid-19 responses.

Such a program of rebates would be funded via Council’s existing environmental levy program and be offered for six to 12 months with a review and report to Council prior to a further extension.

Table 1 - Sustainability Rebates to be offered

Rebate per applicant:

$3,000

Total allocated budget:

$90,000

Rebate per applicant:

$2,000

Total allocated budget:

$30,000

Technology	Applicant	Criteria / Information	Example Installation	Total Cost	Rebate	Applicant Cost	Annual Financial Savings	Annual Energy / Water Savings	Annual Emission Savings
Rooftop Solar	Houses	· Maximum rebate $500	Installation of a 5 kW rooftop solar system.	$5,000	$50 / kW ($250)	$4,750	$1,100	(65%)	6.5 tCO₂-e
	Rented Houses Rented Business	· Maximum rebate $1,000	Installation of a 5 kW rooftop solar system.	$5,000	$100 / kW ($500)	$4,500	$1,100	7,300 kWh	6.5 tCO₂-e
	Apartments	· Maximum rebate $2,000	Installation of a 5 kW rooftop solar system.	$8,000	$200 / kW ($1,000)	$7,000	$1,100	7,300 kWh	6.5 tCO₂-e
	Solar for Apartments Program	· Maximum one per apartment	Registering for the Australian Energy Foundation’s Solar for Apartment Program.	$1,500	$1,000	$500	Savings will be calculated by Council on a per-case basis.
Pool Pumps	Houses Apartments	· Minimum 7 Energy Star · Must replace maximum 5 Energy Star	Replacing the average pool pump with a 7 Energy Star pump.	$1,300	$300	$1,000	$475	1,750 kWh (70%)	1.5 tCO₂-e
Hot Water System	Houses Apartments Business	· Rooftop solar hot water or electric heat pumps · Must replace gas or electric water heater	Replacing an electric storage heater with an electric heat pump.	$3,000	$500	$2,500	$600	(80%)	3 tCO₂-e
Rainwater Tanks	Houses Business	· Minimum 500 L capacity · Maximum rebate $500	Installation of a 2,000 L water tank.	$1,500	$0.2 / L ($400)	$1,100	$200	40%	n.a.
Rainwater Tanks	Apartments	· Minimum 1,000 L capacity · Maximum rebate $1,000	Installation of a 2,000 L water tank.	$1,500	$0.3 / L ($600)	$900	$200	40%	n.a.
Home and Business Energy Assessments	Houses Apartments Business	· Provided by the Australian Energy Foundation	A detailed energy assessment of a home or business provided by the Australian Energy Foundation.	$300	$150	$150	n.a.	n.a.	n.a.
Maximum Rebate	Houses	· Applicants can apply for multiple rebates up until the Maximum Rebate amount is reached.	Rebate per applicant: $2,000 Total allocated budget: $30,000
	Apartments
	Business
2020 / 2021 Rebates Budget Total	All	· Budget will not be allocated to technologies individually. · Budget can be revised from 1 July 2021 based on demand.	$150,000

Strategic alignment

The relationship with the City Plan is as follows:

Outcome/Direction	Delivery Program actions
Outcome	10. A healthy environment.
Direction	10f. Energy conservation and efficiency programs are implemented.

Resourcing Strategy implications

The 2020/21 budget has allocated $150,000 to be provided as financial support or incentives for residential and business energy and water saving measures. As the numbers of rebates to be applied for the various energy and water saving measures are unknown, it is proposed to monitor and report on the take-up of these measures to Council every 4 months. This level of rebate is intended to only be available for the current financial year. These limitations will be communicated to ensure a proper understanding of the basis for the rebates.

Policy and legislative requirements

Randwick’s City Plan, outcome 10 aims to foster sustainable behavioural outcomes, establish partnerships for the achievement of such outcomes and facilitate programs to reduce energy and water consumption and achieve reductions in greenhouse gas emissions.

Randwick’s draft Environment Strategy identifies incentivisation for the installation of energy and water saving measures including solar for residents and businesses across the LGA.

Conclusion

While Darebin Solar Savers Program is a suitable initiative in Victoria, legislative provisions in NSW do not currently enable this rates-based mechanism to support householder solar uptake across the Randwick LGA. Previous rebate programs and current solar initiatives for Randwick residents have already contributed to approximately 11% of suitable single dwellings to have installed rooftop solar (approximately 3,000 homes).

Offering a small number of targeted energy and water saving rebates including solar, provides a fairer and more equitable option and opportunity for residents in both single-dwellings and multi-units to consider their own financial situation and choose the most effective or relevant measure to invest in for their family and dwelling type. A range of well-placed measures could be adjusted relatively quickly and importantly, would provide financial support for the recipients as well as the small business suppliers involved in installing the selected energy or water saving technologies.

Such a program would support delivery of Council’s new environment strategy. However, an early review would be appropriate if the NSW Government were to announce a timeframe for the wider roll-out of its Empowering Homes initiative currently operating across the Hunter Region as a pilot project.

Responsible officer: Peter Maganov, Manager Sustainability

File Reference: F2008/00383

Outcome/Direction	Delivery Program actions
Outcome	6. A liveable city.
Direction	6c. The safety of our community is paramount and is acknowledged and supported through proactive policies, programs and stategies.

Ordinary Council meeting28 July 2020

Director City Planning Report No. CP25/20

Subject: Discussion Paper: A Housing Strategy for NSW

Executive Summary

· The NSW Government is preparing a state-wide Housing Strategy to respond to changing housing needs across NSW over the next 20 years. The NSW Housing Strategy will set a new 20-year vision for housing in NSW and outline the key priorities and actions the NSW Government and industry partners will take to achieve this vision.

· To help inform the NSW Housing Strategy and Action Plan, the Department of Planning, Industry and Environment (DPIE) has prepared A Housing Strategy for NSW Discussion Paper (the Discussion Paper) which is currently on public exhibition. The Discussion Paper identifies the NSW Government’s current thinking around the future of housing in NSW, its challenges and suggested actions for improvement.

· The Discussion Paper is arranged around the four interrelated themes of supply, diversity, affordability and resilience. It sets out a proposed vision for housing in NSW, the factors that influence housing in NSW and the strategic context in which the NSW Housing Strategy will be developed, a summary of key trends across housing and how the government will respond to these trends and preliminary directions that could be explored in the NSW Housing Strategy and Action Plan, once finalised.

· The Discussion Paper outlines that the NSW Housing Strategy is not intended to be an additional consideration to Council’s Local Strategic Planning Statement (LSPS) and Housing Strategy but rather will sit alongside it. The Strategy’s actions will inform strategic planning and identify policy areas that could help councils deliver housing actions as set out in their Local Strategic Planning Statement or Housing Strategy.

· Council’s draft submission (attached) supports a unified policy approach on housing in NSW, but requests further detail as to how the key directions will be implemented as part of the NSW Housing Strategy and Action Plan. In addition, the submission calls for stronger action on affordable and social housing provision to be prioritised. Other key points in the submission relate to data collection and access, housing diversity, resilient housing and local character.

· Following exhibition of the Discussion Paper, DPIE will review community submissions and seek to finalise the strategy and initial action plans in early 2021. The actions of the NSW Housing Strategy and Action Plan are to be reviewed, monitored and reported on every 4 years.

Recommendation

That Council:

a) endorse the submission on the NSW Government’s Discussion Paper: A Housing Strategy for NSW; and

b) authorise minor editing and formatting changes to the submission prior to its finalisation.

Attachment/s:

1.⇩

RCC Submission to A Housing Strategy for NSW- Discussion Paper

Purpose

This report provides an overview of the NSW Government’s A Housing Strategy for NSW Discussion Paper (the Discussion Paper) which is currently on public exhibition and Council’s submission to it. It also seeks Council’s endorsement of the attached draft submission.

Discussion

Overview of the Discussion Paper

The Discussion Paper will inform the development of the first new state-wide Housing Strategy to address existing and projected housing need across NSW. The proposed 20-year vision is for ‘housing that supports security, comfort and choice for all people at all stages of their lives, achieved through supply that meets the demand for diverse, affordable and resilient housing and responds to environmental, cultural, social and economic contexts’.

The proposed vision is based on four key themes:

1. Housing supply in the right locations at the right time – a pipeline of housing that creates a choice of housing for people and households at different price points.

2. Diverse housing for diverse needs – this includes housing for people earning low to very-low incomes, older people, younger households, multi-generational households, people working in essential services and people with a disability; and culturally appropriate housing for people of all backgrounds, including Aboriginal people.

3. Housing that is more affordable – There needs to be support and opportunity across the housing continuum so that everybody can access the benefits of stable housing.

4. Enduring and resilient housing – Housing must be designed to respond to its changing environment including climate, natural hazards and the character of the local area.

These outcomes and preliminary directions are grouped under the key themes which are summarised below.

Theme 1: Housing supply in the right location and the right time

This theme discusses trends in housing supply and population growth across NSW as well as notable differences in the housing needs of Greater Sydney and regional NSW. For example, the Discussion Paper outlines that in 2016, 7.7 million people lived in NSW, with 60 per cent of the state’s population living in Greater Sydney while 40 per cent lived in regional NSW. Based on DPIE’s 2019 Population Projections, the state’s population is expected to grow to 10.5 million people by 2041, of which Greater Sydney is expected to reach a population of around 7 million.

The Discussion Paper does not provide local government area specific analysis, but it acknowledges the strategic work underway by local councils in responding to housing supply through the Greater Sydney Commission’s Regional and District plans, local strategic planning statements, housing strategies and local planning instruments.

In relation to housing supply, the Discussion Paper notes that more than 60 per cent of all housing development in Greater Sydney in the last five years has been apartments; three quarters of these were four storeys or higher. It also notes that in the last five years, 80 per cent of new housing in Greater Sydney was built in infill areas (areas within Greater Sydney’s existing urban area) and 20 per cent in land release areas on its urban fringe.

In relation to housing approvals, the Discussion Paper outlines that there has been a historical undersupply of 100,000 homes in Greater Sydney. It estimates that around 40,000 new homes are needed each year in Greater Sydney to continue to meet expected population growth over the next 20 years. From November 2018 to November 2019, 34,765 homes were approved in Greater Sydney, 14 per cent higher than the average of the last 20 years (30,373 homes).

The Discussion Paper notes that housing approvals have recently declined, and planning reforms have been introduced to stimulate growth and modernise the NSW planning system. Despite these reforms, the Discussion Paper acknowledges that housing approvals is influenced by policy and/or regulatory frameworks beyond the planning system such as market fluctuations, economic conditions and taxation policy.

The Discussion Paper identifies the following key directions/ actions that the NSW Housing Strategy must address to support Theme 1:

1.1 Maintain a housing development pipeline in Greater Sydney

1.2 Improve data collection use and access

1.3 Coordinate regional development and investment

1.4 Better utilise available NSW Government-owned land.

Theme 2: Diverse housing for diverse needs

This theme considers different types of housing and looks at how a diverse choice of housing can reflect the needs and preferences of households. The Discussion Paper notes that the most common households in NSW are families with children, followed by couples and single person households. It notes that there has been a slight increase in the number of larger households, (despite accounting for only around four per cent of households in NSW) which may reflect housing undersupply and affordability issues. It also notes that there is a growing proportion of families living in apartments.

The Discussion Paper provides an overview of housing for Aboriginal people, outlining that homes with more bedrooms, larger bedrooms or larger living rooms are necessary to meet family kinship or cultural obligations. It also notes that the proportion of older people living in NSW is increasing and the proportion of older people living in coastal and regional areas will also continue to increase. With an ageing population, it is expected that more single-person and couple-only households including empty nesters will live in large family homes, which reflects the desire among older people to continue to live in their communities as they get older. The Discussion Paper notes that currently, only about 10 per cent of people aged over 65 live in a retirement village or nursing home. In the next 25 years, it is expected that the number of people aged 65 and over will increase by 85 per cent.

In relation to housing needs for people with disability, the Discussion Paper indicates that only five per cent of people with a disability live in a non-private dwelling such as a group home or aged care facility where care is provided (excluding social housing).

The Discussion Paper identifies the following key directions that the NSW Housing Strategy must address to support Theme 2:

2.1 Improve housing options for older people

2.2 Improve housing options for people with disability

2.3 Support a range of housing types and sizes.

Theme 3: Housing with improved affordability and stability

This theme is centred on affordability and the need for stable and affordable housing to promote people’s sense of wellbeing. It acknowledges that when people face affordability pressures, there are flow-on impacts on demand for social housing and homelessness services.

The Discussion Paper notes that two-thirds of NSW households owned their home in 2016. Rates are higher in regional NSW compared to Greater Sydney, where homeowners are more likely to have a mortgage. Of the remaining households, most rent in the private market. Not surprising, renting is more common in Greater Sydney than regional NSW and around five percent of households live in social or affordable rental housing. The Discussion Paper outlines that the trend for people experiencing homelessness is increasing. On census night in 2016, 37,800 people experienced homelessness in NSW. Of the estimated 2,600 people who were sleeping rough, 1,500 lived in regional NSW and 1,100 people in Greater Sydney.

The Discussion Paper describes the housing affordability challenge for first home buyers and notes that housing prices nearly doubled in Greater Sydney between 2012 and 2017. As a result, home ownership rates are dropping, particularly in Greater Sydney and among young people. Other key trends include larger and longer household debt for those households that do own their home and with that more people are reaching retirement age with a mortgage. In relation to renting, the proportion of renting households in Greater Sydney has increased, due to delayed or falling home ownership rates. The Discussion Paper also notes the dominance of small-scale investors in NSW who own rental housing contributes to rental instability, as owners can end tenancies quickly.

Rental stress is highest among single parents and single-person households in Greater Sydney. Rental affordability is particularly a challenge for lower income earners including young people and key workers. The Discussion Paper notes that only one in ten rental properties in NSW are affordable for very-low income households and less than one in three are affordable for low-income households.

In addition, the Discussion Paper highlights that supply of social housing has not kept pace with demand and more than 50,000 households remain on the waitlist for government-owned social housing. The Discussion Paper notes the mismatch between current social housing stock and what people on the waiting list require. It also notes that about one in five social housing properties is more than 50 years old, leading to high maintenance costs. The Discussion Paper outlines that social housing has evolved from supporting mostly working-class families to now supporting very-low income and pension dependent households whose long-term housing needs are not being met in private rental housing. Older people make up more than half of all social housing tenants (as at June 2019).

Other key points to note include the alarming trend in the number of women aged 65 and over who account for the fastest growing cohort of people experiencing homelessness (after men aged 20-34). The Discussion Paper states that a Housing First model is effective when tackling homelessness, particularly for people with complex needs. Housing First provides safe and permanent housing as the first priority for people experiencing homelessness. Once housing is secured, a team of support workers can then address tenants’ complex needs. Mission Australia’s Common Ground project in Sydney is one such program in operation. The key barrier and challenge to a roll out of the model is land availability and finance.

The Discussion Paper identifies the following key directions that the NSW Housing Strategy must address to support Theme 3:

3.1 Provide additional support for first home buyers

3.2 Ensure appropriate rights, responsibilities and choice for tenants

3.3 Modernise affordable housing policies and schemes

3.4 Increase and improve how social housing is built and managed

3.5 Better utilise available government-owned land to address homelessness.

Theme 4: Responsive and resilient housing

This theme is about the importance of the design and construction of housing to be resilient in the face of environmental and resource pressure – demonstrating energy and water efficiency in the design of new homes, mandating design considerations for healthy and safe living, and improved certification around design excellence and construction standards. It also discusses the importance of housing to respond to the surrounding community, services and sense of place.

The Discussion Paper notes that resilient housing can be considered in four ways – homes that support people’s comfort, homes that keep people safe, homes located in the context of their local area, and homes designed to minimise environmental impacts. Key trends to note are that natural hazards (bushfires, flooding, storms) are increasing in frequency and intensity and this can affect the resilience of a home. Many existing houses and apartments are not energy or water efficient. The housing sector in NSW is resource intensive and produces about 26 per cent of NSWs total greenhouse gas emissions.

The Discussion Paper notes technological advancements such as renewable energy technologies, and that integrating smart technologies into housing will assist in reducing an individual or community’s emissions as well as their household costs.

There is also discussion on the need for better building quality and safety. This is in consideration of recent events in NSW such as the defects at Mascot Towers and Opal Tower in Sydney Olympic Park. These high-profile examples have highlighted concerns about the construction industry and the building quality of some apartment dwellings.

The Discussion Paper identifies the following key directions that the NSW Housing Strategy must address to support Theme 4.

4.1 Continually improve the quality and resilience of new housing

4.2 Improve the environmental sustainability of existing housing

4.3 Improve environmental sustainability and resilience in residential precincts

4.4 Support housing and residential precincts that are responsive to natural hazards

4.5 Consider alternative transport approaches in major centres.

Randwick City Council’s submission

Council’s draft submission (attached) supports the development of the State’s first housing strategy providing a unified housing narrative and action plan to address housing need for the next 20 years. For many of the key points raised in the submission, further detail is required to explain the NSW Housing Strategy and Action Plan will implement the directions of the Discussion Paper.

Key points from the submission are summarised as follows:

· The priorities and actions of the LSPS and Housing Strategy is at the forefront of planning for the housing needs of the Randwick City community.

· Housing supply alone will not solve the affordability crisis in NSW and Sydney in particular.

· The NSW Government should focus on the delivery of social and affordable housing on government-owned land to help meet the housing needs of more than 50,000 households currently on the wait list for social and affordable housing. A 30-50% affordable rental housing target on the redevelopment of state government owned land should be introduced at a minimum.

· Investment by the NSW Government in the provision of social and affordable housing can provide a two-fold benefit of boosting the economy and supporting the rising number of vulnerable households in Greater Sydney post COVID-19.

· Council requests that the NSW Housing Strategy and Action Plan includes an action to provide more ‘real time’ data on building activity and further resources be invested in DPIE’s Planning Portal to verify development data, particularly in relation to approvals under the ARHSEPP.

· Council supports the key directions in relation to the provision of diverse housing for diverse needs, but notes that the key to the success of the NSW Housing Strategy and Action Plan and Council’s Housing Strategy will be to ensure that these housing options are offered at a range of price points to ensure accessibility to all members of the community. As such, further detail on how this can be achieved is requested for inclusion in the Housing Strategy and Action Plan.

· Council reiterates its position that the State Environmental Planning Policy (Affordable Rental Housing) 2009 (ARHSEPP) should be amended to better deliver on its primary objective of providing genuine affordable housing to those in need. At present, the ARHSEPP provides for density bonuses for new generation boarding houses without the need to provide any genuine affordable housing which has generated significant concerns from the community.

· There is little information regarding inclusionary zoning schemes enabled by State Environmental Planning Policy No. 70 – Affordable Housing (Revised Schemes) (SEPP 70). The NSW Housing Strategy and Action Plan should include actions which outline how inclusionary zoning through SEPP 70 will be supported.

· Council calls on the NSW government to strengthen Theme 4 to outline a trajectory towards zero carbon buildings by 2030, and a greater focus on passive lighting and cooling in new developments.

· To provide certainty for the residential building industry in NSW a similar (step change) trajectory for BASIX target improvements should be adopted and outlined in the NSW Housing Strategy. This trajectory towards zero carbon buildings would encourage and drive innovation in the construction industry and provide better environmental outcomes.

· Council strongly believes that local character should be a key consideration when planning for future housing growth and believes that greater consideration of local character should be provided in the NSW Housing Strategy and Action Plan. Council also notes that the Low Rise Housing Diversity Code and the AHSEPP provide dwellings that may not meet Council and the community’s expectations regarding local character.

· Council questions whether Direction 4.5: Consider alternative transport approaches in major centres is an appropriate fit for the NSW Housing Strategy, given that integrating land use and transport and the promotion of active transport is an overarching theme in other strategic documents such as The Greater Sydney Region Plan, the Eastern City District Plan and Future Transport 2056. There is little discussion of this direction in the Discussion Paper and it feels more like an afterthought, rather than a clear action for the Housing Strategy. Notwithstanding, if this direction is to be included in the Housing Strategy and Action Plan, it should be strengthened by rephrasing it to include ‘major redevelopment sites, social housing estate renewal and precincts’.

· Council supports the direction regarding design excellence and strengthening construction standards. It is essential that quality and safety in buildings is addressed to restore confidence in the construction industry.

Strategic alignment

The relationship with the City Plan is as follows:

Outcome/Direction	Delivery Program actions
Outcome	4. Excellence in urban design and development.
Direction	4b. New and existing development is managed by a robust framework.

Resourcing Strategy implications

Nil.

Policy and legislative requirements

The Greater Sydney Region Plan, District Plans and Future Transport 2056, Randwick LSPS and Housing Strategy.

Conclusion

Council supports the development of the State’s first housing strategy providing a unified housing narrative and action plan to address housing need for the next 20 years. While the overall vision and directions of the Discussion Paper are generally supported, Council requests that further detail is outlined as to how these directions will be implemented. In addition, the submission calls for a stronger action on affordable and social housing provision to be prioritised. Other key points raised in the submission relate to data collection use and access, housing diversity, resilient housing and local character.

Responsible officer: Elena Sliogeris, Coordinator Strategic Planning; Timothy Walsh, Environmental Planning Officer

File Reference: F2004/07991

RCC Submission to A Housing Strategy for NSW- Discussion Paper

Attachment 1

SUBMISSION: A HOUSING STRATEGY FOR NSW – DISCUSSION PAPER

Introduction

Randwick City Council (Council) welcomes the opportunity to comment on A Housing Strategy for NSW – Discussion Paper (the Discussion Paper) and supports the development of the State’s first housing strategy providing a unified housing narrative and action plan to address housing need for the next 20 years.

Council recently finalised and endorsed its Local Strategic Planning Statement (LSPS) and Housing Strategy which set the strategic framework to guide growth and change to meet projected population and housing need in Randwick City for the next 20 years. Council’s Housing Strategy outlines a housing vision where housing meets the needs of our diverse community through a mix of housing types and sizes located in and around our town centres and suburbs, new housing will be of a high quality design and contribute to our desired future character, and affordable housing will be delivered to cater to the specific housing needs of lower to middle income residents. This housing vision will be achieved through 8 key priorities:

1. Ensure a balanced approach to growth across Randwick City

2. Diverse housing to meet the needs of the community

3. Focus growth in and around town and strategic centres close to transport, jobs and services

4. Increase affordable housing across Randwick City

5. Ensure new development is consistent with the desired future character of areas

6. Ensure design excellence and sustainability principles in new development

7. Ensure future redevelopment sites are aligned with future transport investment

8. Support housing growth with appropriate infrastructure

The Housing Strategy includes affordable rental and social housing targets to ensure that the City remains socially diverse. Council has long been an advocate for the provision of affordable rental housing for its community, and is one of only a few metropolitan councils to have an affordable rental housing program in operation (since 2006) with 24 affordable rental dwellings currently tenanted and an additional 200 affordable rental dwellings in the pipeline. As noted in the Discussion Paper, councils in NSW have the best knowledge of their local areas, and Council’s actions through its LSPS and Housing Strategy is already at the forefront of planning for our community’s housing needs. Notwithstanding, Council is of the view that State Environmental Planning Policies (SEPPs) that have the primary objective of housing supply as reinforced in the Discussion Paper are undermining this important strategic work.

Despite this, Council is in general support of the directions and overall vision as outlined in the Discussion Paper. However, we request that further detail is outlined as to how the directions will be implemented as part of the NSW Housing Strategy and Action Plan. We believe that as a matter of priority the NSW Government should focus on the delivery of social and affordable housing on government-owned land to help meet the housing needs of more than 50,000 households currently on the wait list for social and affordable housing. Council would like to see more of a commitment to this in the NSW Housing Strategy and Action Plan. This is particularly pertinent given the State Government’s focus on ‘shovel ready projects’ that can support jobs and the economy in response to the economic impacts of COVID-19.

Our submission addresses the four themes of the Discussion Paper around supply, diversity, affordability and resilience with comments provided under these key themes below.

Theme 1 – Housing supply in the right locations

The key directions under this theme are to:

1.1 Maintain a housing development pipeline in Greater Sydney

1.2 Improve data collection use and access

1.3 Coordinate regional development and investment

1.4 Better utilise available NSW Government-owned land

The focus of this theme is to drive housing supply. However, we raise caution that housing supply alone will not solve the affordability crisis, particularly to those in need of affordable rental and/or social housing. Research by the Australian National University^{^[i]} has demonstrated that despite record housing completions and an oversupply of housing in many inner Sydney suburbs, property prices still increased over time. And while the market has experienced a recent decline in house prices in response to the economic impacts from the COVID-19 pandemic, it will not improve affordability for people already locked out of the market. This is due, in part, to the rapid inflation of house prices long ago which has far outstripped the capacity of most lower-income households to buy a home in Sydney^{^[ii]}. Council notes that in Randwick City there has been an 80% decrease in the percentage of affordable rental housing stock for very-low income households, a 72.9% decrease for low income households and a 43.5% decrease for moderate income households between 2006 and 2016^{^[iii]}.

What is needed is genuine action by the NSW Government to deliver social and affordable housing to address the current wait list for this type of housing. Given that the NSW government is the largest landowner in the state, we request that the NSW Housing Strategy includes clear targets and/or trajectory on how the current 50,000 households’ housing needs will be met. If there is to be any meaningful supply of affordable rental or social housing, the State Government should be seeking at least a 30% to 50% affordable rental housing target on the redevelopment of state government owned land. The Housing Strategy and Action Plan should also develop an evaluation system for such targets to ensure that they can be monitored into the future.

Research by UNSW City Futures Research Centre commissioned by CHIA NSW and Homelessness NSW^{^[iv]} predicts that, over the next 20 years, two in ten new homes would need to be or social housing and a further one in ten for affordable housing. Based on this, we request that the NSW Housing strategy includes key actions and targets which will identify the state government’s own land to facilitate the supply of affordable rental and social housing. Council also notes recent research commissioned by the NSW Council of Social Service (NCOSS) which found that the rapid downturn in residential construction as a result of COVID-19 could cost upwards of 85,000 jobs over the next 18 months and investment in social and affordable housing will boost the economy and support the rising number of vulnerable households in Greater Sydney^{^[v]}.

Council supports Direction 1.2 Improve data collection use and access as a fundamental action to understanding housing supply and need. This is particularly relevant for development under SEPPs such as State Environmental Planning Policy (Affordable Rental Housing) 2009 (ARHSEPP) of which approvals have not been monitored by DPIE for some time. Council undertook its own review into the impacts of the ARHSEPP within the suburbs of Randwick City which included an audit of development approvals of new generation boarding houses under this policy. It was found that there had been more than 900 rooms approved (from 2009-July 2017) since the ARHSEPP was introduced which represents a significant contribution of housing approvals and completions to the local housing market which was not being accounted for by DPIE.

The data by which DPIE relies upon to monitor net dwelling completions in Greater Sydney are Sydney Water connections. In using this approach, a new generation boarding house approved under the ARHSEPP is counted by DPIE as one Sydney Water connection and therefore as one new dwelling. This means that the data does not reflect the true increase in density of the site and the number of boarding house rooms are not accurately reflected in the DPIEs dwelling completions data. Furthermore, there needs to be improvements in the timeliness and accuracy of data collection and release by the DPIE. Currently, the most recent dwelling completion data publicly available from the DPIE’s Metropolitan Housing Monitor Webpage is 6 months old (i.e. from December 2019). Council requests that the NSW Housing Strategy and Action Plan includes an action to provide more ‘real time’ data on building activity and further resources be invested in DPIE’s Planning Portal to verify development data, particularly in relation to approvals under the ARHSEPP.

Theme 2 – Diverse housing for diverse needs

The key directions under this theme are to:

· 2.1 Improve housing options for older people

· 2.2 Improve housing options for people with disability

· 2.3 Support a range of housing types and sizes

Council supports the key directions of Theme 2 regarding diverse housing for diverse needs. However, we would like to see further detail on how these directions will be implemented as actions in the NSW Housing Strategy and Action Plan. Council’s Housing Strategy contains actions to improve housing options for older people and people with a disability. It also recognises the trend of more families living in apartments and the need to provide diverse housing options to the community. The Housing Strategy identifies ‘low rise diversity zones’ which can provide for terraces and smaller lot housing types (in the R2 zone) to enable options to downsize from the large family home and/or options to upsize. The key to the success of the NSW Housing Strategy and Action Plan and Council’s Housing Strategy will be to ensure that these housing options are offered at a range of price points to ensure accessibility to all members of the community. On this basis, we request that the Housing Strategy provide further detail on how the State Government will facilitate diverse housing options at a price point accessible to all members of the community.

Theme 3 – Housing with improved affordability and stability

The key directions under this theme are to:

· 3.1 Provide additional support for first home buyers

· 3.2 Ensure appropriate rights, responsibilities and choice for tenants

· 3.3 Modernise affordable housing policies and schemes

· 3.4 Increase and improve how social housing is built and managed

· 3.5 Better utilise available government-owned land to address homelessness

Council supports these directions, particularly Directions 3.3 and 3.4. In relation to Direction 3.3 Modernise affordable housing policies and schemes, Council has on several occasions called on the Minister for Planning and Public Spaces to amend the ARHSEPP to better deliver on its primary policy objective – to provide genuine affordable rental housing to those in need. The ARHSEPP provides for density bonuses for new generation boarding houses (made permissible under the SEPP) which go over and above those of the adopted local planning framework. It does so without the need to provide any genuine affordable rental housing to those in need. In some cases, such boarding houses are commanding rents of up to $500 a week in Randwick City^{^[vi]}, which is not considered affordable for low income earners. The proliferation of new generation boarding houses within Randwick City has generated significant concerns from the community. It is also noted that there is little information in the Discussion Paper regarding inclusionary zoning enabled by State Environmental Planning Policy No. 70 – Affordable Housing (Revised Schemes) (SEPP 70). The NSW Housing Strategy and Action Plan should include actions which outlines that the NSW Government will support inclusionary zoning schemes and/or a minimum meaningful target for the provision of affordable rental housing for housing growth areas, employment generating precincts, centres and/or any major redevelopment sites.

On this basis, there needs to be clear direction provided in the Housing Strategy and Action Plan as to how these affordable housing policies will be modernised, with outcomes that are deliverable and deliver on their primary objective to provide genuine affordable housing for those in need in NSW.

Theme 4: Responsive and resilient housing

· 4.1 Continually improve the quality and resilience of new housing

· 4.2 Improve the environmental sustainability of existing housing

· 4.3 Improve environmental sustainability and resilience in residential precincts

· 4.4 Support housing and residential precincts that are responsive to natural hazards

· 4.5 Consider alternative transport approaches in major centres

We support the directions around housing resilience and the continual improvement of BASIX to keep up with global best practice. Council calls on the NSW Government to further strengthen this Theme to outline a trajectory towards zero carbon buildings by 2030. This is in line with the National Construction Code trajectory to achieve zero energy (and carbon) ready buildings from 2028 and beyond. Similarly, Green Star Australia has developed a Carbon Positive Roadmap in 2018 to outline a framework for a trajectory towards a positive built environment to 2028. To provide certainty for the residential building industry in NSW a similar (step change) trajectory for BASIX target improvements should be adopted and outlined in the NSW Housing Strategy. This trajectory towards zero carbon buildings would encourage and drive innovation in the construction industry and provide better environmental outcomes for NSW.

In relation to resilient housing, there needs to be a greater focus on passive lighting and cooling in new developments. Council considers that a reliance on heating, ventilation and air conditioning to meet the needs of heating and cooling in dwellings is not resilient, particularly as the risk of blackouts increase as a result of predicted climate change heatwaves. Ventilation and other factors such as air flow, humidity and sunshine are also becoming more important, particularly considering the current COVID-19 pandemic. Council recommends that modifications to housing design should have a greater focus on passive ventilation via private open space, balconies and cross ventilation via windows, and passive lighting (via sunshine) to enable greater health and wellbeing outcomes.

Council notes that this theme provides some discussion around how housing and place, noting that each community in NSW has a distinct identity and function. Local character is also briefly mentioned in other sections of the Discussion Paper. Council has embarked on its own local character analysis for all land within Randwick City, which has resulted in the creation of draft local character areas, draft special character areas and draft local character statements that have been prepared based on DPIE’s methodology for identifying local character. This work has been on public exhibition and it is intended that this work will be included in the Randwick LEP through a local character map layer and associated clause. Council also prepared its LSPS and Housing Strategy with local character as a key consideration, namely when considering areas for future housing growth and areas to provide for more diverse housing types. Council also notes that the Low Rise Housing Diversity Code and the AHSEPP provide dwellings that may not meet Council and the community’s expectations regarding local character. Council strongly believes that local character should be a key consideration when planning for future housing growth and believes that greater consideration of local character should be provided in the NSW Housing Strategy and Action Plan.

Council questions whether Direction 4.5: Consider alternative transport approaches in major centres is an appropriate fit for the NSW Housing Strategy, given that integrating land use and transport and the promotion of active transport is an overarching theme in The Greater Sydney Region Plan, District Plans and Future Transport 2056. There is little discussion of this direction in the Discussion Paper and it feels more like an afterthought, rather than a clear action for the Housing Strategy. Notwithstanding, if this direction is to be included in the Housing Strategy and Action Plan, it should be strengthened by rephrasing it to include ‘major redevelopment sites, social housing estate renewal and precincts’.

Council supports the direction on improved certification around design excellence and construction standards and request clear actions as to how this direction will be implemented. It is essential that quality and safety in buildings is addressed to restore confidence in the construction industry, particularly given the increase in higher density dwellings in NSW as projected in the Discussion Paper.

Randwick City Council appreciates the opportunity to comment on the Discussion Paper and supports the development of the State’s first housing strategy providing a unified housing narrative and action plan to address housing need for the next 20 years. While the overall vision and directions of the Discussion Paper are generally supported, Council requests that further detail is outlined as to how the directions will be implemented as part of the NSW Housing Strategy and Action Plan. Council also reiterates that as a matter of priority the NSW Government should focus on the delivery of social and affordable housing on government-owned land to help meet the housing needs of more than 50,000 households currently on the wait list for social and affordable housing. Furthermore, Council would like to see improved data collection and monitoring, clear direction on how the ARHSEPP can be modernised and meet its primary objective of providing affordable rental housing for those in need, strengthening of and a greater promotion of resilient housing through BASIX targets and a greater consideration of local character when planning for future housing growth.

Should you have any questions or queries regarding Randwick City Council’s submission, please contact Timothy Walsh, Environmental Planning Officer on 9093 6741 or timothy.walsh@randiwck.nsw.gov.au.

Sincerely,

Kerry Kyriacou

Director City Planning

References

Outcome/Direction	Delivery Program actions
Outcome	4. Excellence in urban design and development.
Direction	4b. New and existing development is managed by a robust framework.

Ordinary Council meeting28 July 2020

Director City Services Report No. CS32/20

Subject: Meeks Street Plaza Upgrade: Community Consultation Outcomes and Next Steps

Executive Summary

· Randwick City Council allocated funding in the 2019-20 Capital Works Budget to design and construct a new plaza on Meeks Street, Kingsford. The funds have been included in the draft 2020-21 Revote Program.

· In September and October 2019, Council sought community feedback on place making opportunities for the Meeks Street Plaza. Subsequently, a draft concept plan was developed and exhibited for consultation in early to mid-2020.

· The community were supportive of the draft concept plan with most of the feedback related to keeping the plaza clean and well-maintained. This was followed by comments related to lighting, planting native trees and more seating.

· Some concerns were raised by commercial operators/owners (2 submissions) regarding the loss of a small amount of existing car parking spaces within the Middle Lane car park. This loss of car parking will be offset by the upgraded Rainbow Street car park that is being currently constructed.

· The Meeks Street Plaza draft concept plan is presented to Council for endorsement so that we can proceed to the design development and documentation phase of the project.

Recommendation

That:

a) the submissions on the Meeks Street Plaza draft concept design from the community consultation be received and noted.

b) the Meeks Street Plaza draft concept design be endorsed and the detailed design and documentation be undertaken.

Attachment/s:

1.⇩	Community Consultaion Report: Stage 1 (What the community would like to see)
2.⇩	Consultation Report: Stage 2 Dated 19 May 2020 (General Community, Land and Business Owners Feedback on the Draft Concept Design)
3.⇩	Meeks Street Plaza Draft Concept Design

Purpose

This report presents the Meeks Street Plaza draft concept design and describes the comprehensive consultation that took place for the proposed Meeks Street Plaza upgrade. The key results of the community consultation are summarised and in consideration of these results, the report makes further recommendations for the delivery of the project.

Discussion

The comprehensive consultation that was undertaken and the feedback received is presented below. We have also included responses to the feedback and how it will be considered in the design development of the project.

Background

Council developed a light rail support program to construct supporting infrastructure along the light rail corridor. The closure of a section of Meeks Street, Kingsford between Anzac Parade and Middle Lane was identified for construction of a plaza to support the Kingsford town centre.

The aim of constructing a plaza at this location is to deliver a well-designed public place that contributes to the visual quality and livability for the Kingsford community. The plaza will also support business operators and nearby landowners.

Two stages of community consultation have been undertaken. The first stage sought to receive ideas for the location and the second to receive feedback in response to the exhibited Meeks Street Plaza Draft Concept Plan (refer to attachment 3).

The concept plan focuses on greening the plaza, extending available space to provide more outdoor seating and dining, a new performance stage and a lawn area for local event and group gatherings. The design also retains vehicular access to existing driveways and rights of way.

Submissions from the general community strongly support the plaza design, including the lawn and performance space. There was significant feedback related to the need to keep the plaza clean and well maintained. Further suggestions for the area include festive lighting, public art, a play element, bike infrastructure, planting native trees and more seating. The comments also sought initiatives including pop-ups (e.g. coffee cart) and a council supported events program.

There were three submissions from close-by commercial operators/landowners. One submission required a clarification of the boundary of the plaza to ensure that future development was not impacted. The two other submissions, although supportive of a plaza, raised concerns regarding the loss of parking (7 spaces) from the small Middle Lane carpark. The car park is impacted due to the proposal to extend the plaza into this area to create a lawn area.

It is considered that the proposed lawn area provides significant benefit to the potential activities and uses of the plaza. The parking will be more than compensated by the additional public parking at the upgraded Rainbow Street carpark that is due for completion in 2020.

Stage 1 Consultation: What the community would like to see

In September and October 2019, Council sought feedback from the community on how we can improve the Meeks Street Plaza to create a vibrant and welcoming place for people to meet, congregate and celebrate (refer attachment 1).

The consultation was open for 30 days between 18 September and 18 October 2019. This stage of consultation program aimed to:

· Obtain feedback from the community about what they'd like to see on the site.

· Meet locals on site to see how they use the space and how they want to use it in the future.

· Undertake Community engagement activities, including:

o A dedicated consultation website to complete a survey and share an idea

o Pop-ups at Meeks Street Plaza: 16 and 17 October 2019

o Email to Your Say Randwick subscribers (4505 residents): 19 September 2019

o Randwick Council ad in Southern Courier: 24 September 2019

o Randwick News (weekly email): 25 September, 2 & 9 October 2019

o Flyer drop to residents around Meeks Street Plaza

o Facebook post on 23 September 2019 reaching 4,806 people and generating 396 engagements (post clicks, likes, shares and comments)

o Meeting with Kingsford Chamber of Commerce

o Listing on Randwick City Council’s Current Consultations webpage

o Councilor notification.

Stage 1 Consultation Outcomes

During the consultation period, 106 surveys were completed online, 43 ideas shared, and more than 180 votes were made on the vision boards.

Based on the feedback, Council was told that the community want a green, safe and lively space at Meeks Street Plaza. To achieve this, the plaza should incorporate more trees and plantings, seating, local markets, outdoor dining and space for local performers.

Meeks Street Plaza Concept Design

In response to the feedback from the Stage 1 Consultation, the Landscape Consultants developed a draft concept plan (shown below and in more detail as attachment 3) that focused on greening the plaza, extending available space to provide more outdoor seating and dining, a new performance stage and lawn area for local events and group gatherings. The concept design retains vehicular access to existing driveways and the right of way. However, there are 7 car spaces lost from the car park.

Stage 2 Consultation: General Community, Land and Business Owners Feedback on the Draft Concept Design (Refer attachment 2)

The stage 2 consultation was open for 28 days between 8 April and 5 May 2020, then extended to 12 June 2020 to capture more feedback from business and property owners located near the plaza.

The community were asked to view the concept plan and provide their feedback via an online comment or written submission to Council.

Stage 2 Consultation Activities

Due to the Covid-19 restrictions, the community engagement undertaken for the Stage 2 Consultation was restricted to online/contactless activities only. This included:

· A dedicated consultation website to view the concept plan, make a comment or send a submission.

· Email to Your Say Randwick subscribers (4926 residents): 9 April 2020.

· Randwick Council ad in Southern Courier: 15 April 2020.

· Randwick News (weekly email): 15 April 2020.

· Facebook post on 17 April 2020 reaching 6858 people and generating 1052 engagements (post clicks, likes, shares and comments).

· Discussion with Kingsford Chamber of Commerce.

· Listing on Randwick City Council’s Current Consultations webpage.

· Councilor notification: 8 April 2020.

· Email to all precincts: 8 April 2020.

· Letter to business and property owners in proximity.

Stage 2 Consultation Outcomes

Council’s Your Say Randwick website as part of Stage 2 consultation, allowed the community to view the concept plan and make a submission. The concept plan was on exhibition from 8 April to 5 May 2020, a total of 28 days. During this time there were:

· 1205 unique visits to the Your Say Randwick webpage

· 756 downloads of the concept plan

· 17 comments on Your Say Randwick

· 6 submissions.

The attached Community Consultation Reports provide the full content of the feedback received. (refer to Attachment 1 & 2).

Strategic alignment

The relationship with the City Plan is as follows:

Outcome/Direction	Delivery Program actions
Outcome	6. A liveable city.
Direction	6a. Our public infrastructure and assets are planned, managed and funded to meet the community expectations and defined levels of service.

Resourcing Strategy implications

Funds of $1.73 million have been included in the draft 2020/21 Capital Revote Program to undertake the planning, design and construction of the Meeks Street Plaza.

Policy and legislative requirements

N/A

Conclusion

Council has undertaken community consultation and developed a conceptual plaza design for Meeks Street, between Anzac Parade and Middle Lane. This is a primary section of the Kingsford commercial precinct and an upgraded presentation and plaza design will contribute to the unique character of this village, resulting in a greatly improved public domain.

The design development of the plaza will consider the community feedback to ensure the best possible outcomes are delivered. The loss of a small number of car spaces from the Middle Street carpark is considered acceptable given the nearby additional spaces in Rainbow Street car park due to the benefits gained from a larger plaza.

Responsible officer: Kerry Colquhoun, Coordinator Open Space Assets

File Reference: PROJ/10760/2016/1

Ordinary Council meeting28 July 2020

Director City Services Report No. CS33/20

Subject: Sense of Community Play Streets

Executive Summary

· There are many studies that provide evidence of the value and benefits of ‘Play Streets’, which involve the closure of residential streets for recreation and play by local children.

· Requests from the community have been received asking for the Council to implement local ‘Play Streets’.

Recommendation

That:

a) “Sense of Community Play Streets” be trialed through the 2020-21 year at a small number of appropriate locations, in line with the details within this report; and

b) at the conclusion of the trial, an evaluation report be brought back to the Council with recommendations on future actions.

Attachment/s:

Nil

Purpose

To seek the Council’s support for the implementation of trial “Sense of Community Play Streets” within the Randwick Council area.

Discussion

At several locations across Australia, innovative Councils are implementing Play Streets for a range of positive reasons. Randwick Council officers had recently commenced some pre-planning in order to inform the Council of the concept. In the meantime, however, Waverley Council recently announced that they will be implementing Play Streets and now a small number of Randwick residents have contacted Randwick Council requesting that we implement them too.

The concept of “Play Streets” began more than 100 years ago, in NYC when parts of the street were closed to traffic and vendors and two pianos were brought into the street, to allow a ‘place for music, sport and recreation’, this was at a time when access to outdoor space for children from poorer neighborhoods was limited. In London play streets evolved from street parties that were held to celebrate royal coronations, weddings and Jubilees.

The concept has grown to mean the partial closure of a road to allow street play by children.

There are now many studies that provide evidence of the value and benefits of ‘Play Streets’ and organisations such as Play Australia are strong advocates of the concept. Many Councils around Australia are facilitating the introduction of ‘Play Streets’ into their urban environments. Several residents have reached out to the Council asking for the implementation of local Play Streets in their areas.

The proposed Randwick Model

In Randwick, it is proposed that ‘Play Streets’ be a resident led initiative, (similar to our ‘Sense of Community Christmas Street Parties’). Interested residents would apply to regularly, temporarily, close off their street to vehicular traffic for the purpose of allowing children to play. Generally, like street parties, more than 75% of the street’s residents would have to agree to the street closure.

Application:

The Application to host “Play Streets” would be an online form administered through Council’s website and actioned within the Integrated Transport Department.

Frequency:

The application would be for a regular closure, decided by the applicant. This could be for a couple of hours a day once a week, or it could be for half a day once a month or any variation that suits.

Staffing the closure:

A key difference with a street party is that staffing of the road closure would be undertaken by the local residents. The Council would support the residents in becoming fully trained and qualified in setting up and managing a road closure. It is proposed that Council would organise and fund the appropriate training and qualifications that are required by resident “Play street” organisers. Ultimately this will result in better local ownership of the process, will create a greater sense of community and will be more cost effective over the longer term.

Traffic Management:

Traffic Management Plans (TMPs) are required of all street closures, and in the instance of “Play Streets” an approved Traffic Management Plan would be provided by Council. The implementation of the TMP would be undertaken by the trained residents managing the road closure. Permanent road markings would identify exact placement of the equipment, reflecting the relevant TMP.

Insurance:

Council’s insurers confirm that approved “Play Streets” will be insured under Council’s Casual Hirers protection through Statewide Mutual. This cover is for a public liability claim arising from an incident which occurs upon the street. Event organisers will need to satisfy the requirements of Council’s insurer prior to the approval of the street closure being granted.

Approvals:

Under the Transport for NSW Guidelines, temporary road closures for such activities are required to be approved by Council directly, provided that the applicants adhere to the guidelines. The standard conditions that Council imposes on organisers are to keep the general public and the participants of the event safe, to direct traffic safely around the event, to inform the emergency services of the event and to reduce the impacts of the event on non-event users.

Equipment:

Barricades, traffic cones, signage and any other equipment required for setting up the road closure would be provided by Council to the organizer, however, the organiser would be required to arrange for the safe storage of the equipment for future recurring events.

Notification:

Notification of all those affected by the closure would be required. One notice providing all the relevant dates and times would be suitable.

Evaluation:

It is proposed that 12 months after the commencement of the program an evaluation be undertaken. This would include feedback from organisers about the participation and involvement of residents. Resident surveys would be undertaken on any impacts and feedback from children about their experiences.

Strategic alignment

The relationship with the City Plan is as follows:

Outcome/Direction	Delivery Program actions
Outcome	2. A vibrant and diverse community.
Direction	2b. Strong partnerships between the Council, community groups and government agencies.
Outcome	6. A liveable city.
Direction	6c. The safety of our community is paramount and is acknowledged and supported through proactive policies, programs and stategies.
Outcome	9. Integrated and accessible transport.
Direction	9d. Residential amenity is protected by appropriate traffic management.

Resourcing Strategy implications

Within the Draft Budget for 2020-21 a sum of $25,000 has been proposed to be allocated to develop a Play Streets Policy and Guidelines under the Traffic and Road Safety Program. This funding will support the trial of a small number of ‘pilot’ streets where the proposal can be trialed. Arising from the trials will be a better understanding of longer-term costs if the Council resolved to expand this program.

Policy and legislative requirements

Temporary road closures must be undertaken within the requirements of NSW legislation. Any proposed temporary road closure would be processed through the Traffic Committee procedures.

Conclusion

There is much evidence that the introduction of play streets to a neighborhood can foster many positive outcomes. Physical exercise, social interaction, local friendships and neighborhood watch can all be improved with such programs. Accordingly, it is recommended that Council support a small number of pilot locations where Sense of Community Play Streets be trialed. At the conclusion of the trials a report would be brought back to the Council evaluating the outcomes from the trials.

Responsible officer: Tony Lehmann, Manager Integrated Transport

File Reference: F2004/07160

Ordinary Council meeting28 July 2020

Director City Services Report No. CS34/20

Subject: Parking arrangements for staff of the Prince of Wales Hospitals and ancillary agencies

Executive Summary

· Council has resolved to seek improvements for Prince of Wales Hospital staff parking.

· Due to the current pandemic the Council has issued Special Parking Permits to the Prince of Wales Hospital and to the Sydney Children’s Hospital, Randwick, for distribution to their respective ICU and ED staff.

· Changes to car parking arrangements have not been possible in recent times due to existing commercial car park lease arrangements.

· The commercial carpark lease is soon to be renegotiated and the Hospital has indicated that the new lease will have, as one of its objectives, improvements for staff parking.

· Additionally, the Prince of Wales’ Green Travel Plans will positively contribute to many staff and visitors choosing alternatives to bringing their car to the campus.

· It is recommended that Council note the positive actions that the South Eastern Area Health is undertaking and continue to work with them on improving transport options within the POWH / UNSW / Randwick collaboration area.

Recommendation

That Council note the positive actions that the South Eastern Area Health is undertaking on improving transport options within the POWH / UNSW / Randwick collaboration area.

Attachment/s:

Nil

Purpose

This report addresses the Council Resolution regarding parking arrangements for staff associated with the Prince of Wales Hospitals. And, this report also informs the Council of the current position regarding NSWHealth parking operations.

Discussion

In May 2018 the Council resolved (Matson/Veitch):

That Council seek to open negotiations with State Government and Prince of Wales Hospital authorities to allow hospital staff to have free access to the complexes on-site carpark in order to reduce parking competition with residents in adjacent streets and to achieve better work, health and safety for the staff.

In response to the resolution Council Officers facilitated discussions with senior hospital representatives. This discussion revealed that the commercial lease of the hospitals’ carpark was fixed and that there was not much flexibility available in the operation of the car parking.

More recently Council Officers have become aware that the commercial lease of the carpark is soon coming to an end. In discussions with the Hospitals’ Corporate Services section it is understood that the new lease will include more flexibility about the improved ability of hospital staff to park their vehicles in the carpark. Hand in hand with this flexibility, NSWHealth is well advanced with the development of their Green Travel Plan for the site. They are exploring a number of alternate arrangements for staff travel.

The Green Travel Plan includes improved induction of Prince of Wales Hospital’s staff (highlighting the many alternatives to driving to the site), improvements to infrastructure to meet the needs of staff who walk, jog or ride bikes to work (including End-of-Trip facilities such as showers / personal lockers / bike parking etc.), the establishment and operation of Car Pooling arrangements (Inc. possible reduced fees for vehicles occupied by two or more staff), distribution of better public transport information and introduction of Opal Card top-up facilities at the campus. Additionally, the Green Travel Plan incorporates regular surveys of staff and visitors to highlight key transport issues and outline travel patterns and trends of people travelling to and from the Campus, enabling the monitoring of the effectiveness of measures in increasing use of non-car driver travel options.

Recent communication, received from Council’s Manager Integrated Transport from the Environmental Sustainability Lead - Directorate of Strategy, Innovation and Improvement, South Eastern Sydney Local Health District states:

“Through a collaborative partnership between NSW Government and Randwick City Council, we

have an immediate opportunity to work together to connect our communities and share a future vision of an integrated active transport network.”. So, together, Randwick City Council and South Eastern Area Health will continue to work on improving transport options within the POWH / UNSW / Randwick collaboration area.”

Council officers, in the development of our informing strategies, will include this collaboration in both the Environmental and Integrated Transport Strategies.

Special parking arrangements during the pandemic

In addition to the above actions, the administration of the Hospitals has worked closely with the Council regarding special parking arrangements for the staff of the two Intensive Care Units (ICU) and the two Emergency Departments (ED). The Council has issued Special Parking Permits to the Prince of Wales Hospital and to the Sydney Children’s Hospital, Randwick, for distribution to their respective ICU and ED staff. These Permits allow ICU & ED staff (who are on the frontline for the testing and treatment of COVID-19 affected patients) to park in nearby Resident Parking Areas and to park in specifically created Special Permit Parking zones, near to the Hospital. These Permits ease, somewhat, the parking conditions for these pandemic frontline staff.

Strategic alignment

The relationship with the City Plan is as follows:

Outcome/Direction	Delivery Program actions
Outcome	9. Integrated and accessible transport.
Direction	9e. Parking is managed to balance convenience against against reduced car reliance.

Resourcing Strategy implications

There are no financial implications for the Council associated with this report.

Conclusion

Given the positive direction being undertaken by Health NSW with regard to the upcoming commercial lease for the Prince of Wales Hospital carpark, and, given the direction which the Prince of Wales Hospital is heading with regard to implementation of its Green Travel Plan, it is considered important for the Council to indicate its support of these proposed changes. A letter of support from the Council is considered appropriate.

Responsible officer: Tony Lehmann, Manager Integrated Transport

File Reference: F2012/00032

Ordinary Council meeting28 July 2020

Director City Services Report No. CS35/20

Subject: The Heffron Centre - Progress Report

Executive Summary

· In 2013 Council resolved to move the South Sydney Rabbitohs Football Club (SSFC) to Heffron Park.

· In 2016 Council resolved to construct the new Community High Performance Centre (CHPC) asset on Bunnerong Road with the inclusion of current Council assets the indoor multipurpose sports centre and gymnastics facility forming the new ‘Heffron Centre’.

· In 2017 Council agreed to terms to construct and fund the Showcase sporting field.

· In 2019 Council resolved to enter in the Agreement for Lease and Licence with the SSFC for the Heffron Centre Community High Performance Centre and Showcase Field.

· The Project Control Group has been active for over one (1) year and has achieved significant milestones to date.

· To date the project remains “ON TRACK” for completion in 2022.

· Remaining funding is required in the 2021-22 Financial year for the Showcase Field.

Recommendation

That:

a) Council note the projects progress report; and

b) Council in the 2021-22 financial year allocate $1,257,827 from the Capital Works Program and $700,000 from the Domestic Waste Reserve to complete the required funding for the Showcase Field.

Attachment/s:

1.⇩

Heffron Park Masterplan Revised 2017

Purpose

The purpose of this report is to;

a) Provide Council with clarity regarding the Heffron Centre resolved scope of works;

b) Provide Council with a project progress report of milestones and actions completed to date and an update on the current budget status for the Heffron Centre since the activation of the ‘Project Control Group’ (PCG) in May 2019.

Background

25 June 2013 (MM48/13) Council resolved to progress the proposal to relocate the South Sydney “Rabbitohs” Rugby League Club (SSFC) training and administration facilities to Heffron Park; and provide a cap of $3 million of Council funding to be placed on this project.”

9February 2016 (W5/16) Council resolved to support in principle the construction of the new Community and High-Performance Centre to be located in the western part of Heffron Park, on Bunnerong Road.

In relocating the CHPC to this western park area it was also endorsed to replace the adjacent current indoor sports facility and the gymnastics facility into one building to provide efficiencies of operating and construction costs and minimise their impact on the park.

13 December 2016 (GF41/16) Council endorsed the probity plan and negotiation protocol; and resolved to enter into direct negotiations with the South Sydney District Rugby League Football Club Limited for an Agreement for Lease and Licence for the Community and High-Performance Centre.

28 March 2017 (GF9/17) Council resolved to commence preparation of an Agreement for Lease and Licence for the Community and High-Performance Centre and provide the General Manager with delegated authority to sign the Terms Sheet on behalf of Council and forward to Souths.

In reference to the agreement for Licence for use of sports field, Council in this resolution, agreed to construct and fund the Showcase sporting field (approx. 14,091 square meters) as approved in the Heffron Park Plan of Management and Masterplan.

At the time of the Council report in 2017, Souths had secured $17 million for the project. This funding consisted of $10 million from the Australian Federal Government, $3 million from the Council and $4 million from Souths themselves. Subsequently, a further $8.696 million was secured through the State Government National Rugby League Centres of Excellence Program resulting in a total project funding pool of $25.696 million.

This funding was allocated for the Community High Performance Centre and not the Indoor Sports, Gymnastics or showcase fields as these assets fall outside of the PPP and would require Council funding.

27 February 2018 (F4/18) Council resolved to endorse the Capital Expenditure Review; and give the General Manager authority to certify the Initial Assessment of the proposed Private Public Partnership with South Sydney District Rugby League Football Club Limited to jointly develop The South Sydney Rabbitohs Community and High Performance Centre and lodge the Public Private Partnership initial assessment with the NSW Office of Local Government.

Later in 2018 Council received correspondence from the Office of Local Government (OLG) confirming Council has complied with OLG guidelines and no further assessments or approvals are required.

26 February 2019 Council resolved to delegate authority to the General Manager to execute the Agreement for Lease and Licence (AFL) on behalf of Council for the Heffron Park Community and High-Performance Centre”.

Following this resolution in May 2019 Council’s General Manager activated the Project Control for the project under the governance structure endorsed in the AFL. The PCG in its first meeting adopted its terms of reference in which the noted purpose of the group was clearly defined:

“The Project Control Group (PCG) will provide high-level stakeholder oversight and leadership to the South Sydney Rabbitohs’ Community and High-Performance Centre of Excellence project. The PCG will ensure all project objectives are met within the project specified time, cost and quality.”

The PCG provide the progress update noted below.

Progress Report

Scope

Based on the previous Council Resolutions to date (as noted above) the scope includes:

1. The Heffron Centre

1.1. Community High Performance Centre (CHPC)

Note: Scope Included in approved OLG Public Private Partnership Review

1.1.1. Facilities accessible by the general community, being:

1.1.1.1. Meeting rooms

1.1.1.2. Lecture Theatre

1.1.1.3. Café with kitchen

1.1.1.4. Public toilets

1.1.1.5. Entry foyer and reception

1.1.2. Rabbitohs administration area accommodating senior management, media, membership, finance, corporate and retail; and

1.1.3. Rabbitohs football department area supported by high quality training facilities such as a gymnasium, aquatic, medical and physiotherapy, high altitude chamber and player facilities.

1.2. Indoor Multi-purpose Sporting Facility

Note: Scope Included in approved OLG Capital Expenditure Review

1.2.1. The indoor multi-purpose facility will provide an indoor sport court area that meets the requirements of the popular sports of basketball, badminton, volleyball, netball and futsal.

1.2.2. The court area will be based on the largest court of these courts, being netball, and will feature a ceiling height to meet regional activity requirements.

1.2.3. The indoor multi-purpose facility will be approximately 1,450m2 in area, and include the following:

1.2.3.1. Court area and run off

1.2.3.2. Spectator and official’s area

1.2.3.3. Storage

1.2.3.4. Entry / front of house

1.2.3.5. Amenities, change rooms

1.2.3.6. Parking and loading

1.3. Gymnastics Facility

Note: Scope Included in approved OLG Capital Expenditure Review

1.3.1. The Heffron Centre will feature a new indoor gymnastics facility that can accommodate artistic, rhythmic, aerobic and acrobatic gymnastics disciplines. Consideration will also be given to planning for a future trampoline area.

1.3.2. The facility will be built to regional level standard, and will cater for all levels of participation, from grassroots to elite competition levels. The facility will be sized to cater for regional gymnastic events and spectator numbers.

1.3.3. The facility will be approximately 1,300m2 in area and will feature:

1.3.3.1. Gymnastics hall – training, competition, spectator and program space

1.3.3.2. Entry / front of house

1.3.3.3. Office and administration areas

1.3.3.4. Amenities and change rooms

1.3.3.5. Storage

1.3.3.6. Parking and loading

1.4. Showcase Field

Note: Listed in the Heffron Park Plan of Management Masterplan, revised 2017 and Council Report GF9/17

1.4.1. Construction of a new High-Performance showcase field off Bunnerong Road, Maroubra

1.4.2. Scope includes (but not limited to):

1.4.2.1. Demolition of existing structures, fencing and tennis courts

1.4.2.2. Bulk Earthworks

1.4.2.3. Remediation works (removal of asbestos contamination)

1.4.2.4. Utility services works including electrical /sewer/ potable water / bore water

1.4.2.5. Stormwater Drainage works including connection to Sydney Water Culvert

1.4.2.6. Supply and installation of irrigation tank, pumps and reticulation

1.4.2.7. Concrete paving

1.4.2.8. Fencing and ball netting

1.4.2.9. Perched water table field surface profile

1.4.2.10. Field and path lighting

1.4.2.11. Conduiting for security and communications

1.4.2.12. Planting and turfing

ü The project scope is noted as “ON TRACK” As reported to the PCG on 16 July 2020

Budget

Project	Funding	Estimated Project Cost*	Source	Reference
Community High Performance Centre (CHPC)	$4,000,000	$25,696,000	SSFC	GF9/17 – Council Resolution
	$10,000,000		Federal Government	GF9/17 – Council Resolution
	$8,696,000		State Government	GF9/17 – Council Resolution
	$3,000,000		RCC	MM48/13 – Council Resolution
Sub total	$25,696,000	$25,696,000	ON BUDGET
Indoor Multi-purpose Sporting Facility & Gymnastics Facility	$3,135,000	$25,773,667	State Government
	$22,598,667	$25,773,667	RCC (18/19 Operational Plan) RCC (2018-21 Financial Strategy)	GM14/18 – Council Resolution GM38/17 – Council Resolution
Sub total	$25,773,667	$25,773,667	ON BUDGET
Showcase Field	$4,516,099	$6,315,577	RCC (18/19 Operational Plan) RCC (19/20 Operational Plan)	GM14/18 – Council Resolution CO26/19 – Council Resolution
Sub total	$4,516,099	$6,315,577	SHORTFALL
TOTAL	$55,827,417	$57,785,244

Table 1 – Heffron Centre Project Budget

*Estimated project cost as at July 2020 from Cost Consultant Report – Rider Levett Bucknall

ü The project budget for the Community High Performance Centre and the Indoor Multipurpose Sporting Facility and Gymnastics Facility is noted as “ON TRACK” As reported to the PCG on 16 July 2020

o The funding requirements for the remaining $1,957,827 Showcase field is noted in the Resourcing Strategy Implications of this report.

Program

At its ordinary Council Meeting on 22 October 2019, the Project Management firm NS Projects were approved for engagement for delivery of the Heffron Centre. NS Projects at this time provided the following project program that is utilised to report on project progress to date.

Milestone	Estimated Completion Date	Status
Stage 1 – Appointment of Design Team and Pre-Design	March 2020	COMPLETE
Stage 2 – Concept Design	May 2020	COMPLETE
Stage 3 – Development Application Lodgement	August 2020 / September 2020	ON TRACK
Stage 4 – Design Development	March 2021	ON TRACK
Stage 5 – Tender Documentation	March 2021	ON TRACK
Stage 6 – Tender Process	June 2021	ON TRACK
Stage 7 – For Construction Documentation	July 2021	ON TRACK
Stage 8 – Construction Certificate	July 2021	ON TRACK
Stage 9 - Construction	August 2022	ON TRACK
Stage 10 – Defects Liability	August 2023	ON TRACK

ü The project program is noted as “ON TRACK” As reported to the PCG on 16 July 2020

Safety and the environment

Safety in Design (SID) is being considered by the Project Team transitioning through early Schematic Design. The SID process will be documented by the Lead Design Consultant, in conjunction with other design disciplines.

Environmental investigations have been conducted on-site, with reports received and referenced by the Project Team. Practices and management processes will need to be adopted through design and construction, and are being defined with the Project Team, given the presence of uncontrolled material on-site documented in the Remediation Action Plan and Environmental Management Plan for the site. Contingency allowances have been made for these measures.

No significant safety or environmental matters to note at this stage of the project.

Sustainable design initiatives are being investigated by the Team for integration into the design and scope of the Project. These include:

· Solar Photovoltaic Cells (PV) for renewable energy provision to reduce electricity consumption form the grid.

· Rainwater harvesting for re-use to reduce consumption of scheme water.

· Bore water irrigation of fields and soft landscape areas to reduce consumption of scheme water.

· Stormwater harvesting for re-use for replenishing the aquifer due to bore water usage.

· Natural ventilation, where appropriate, to reduce the use of air conditioning / mechanical services.

Stakeholders

At the PCG meeting on the 15 April 2020 the “Heffron Centre Community Consultation Plan” was endorsed. Within this plan the following consultation activities were adopted:

Activity	Status
Stage 1 – Launch Engagement & Concept Design (March to May 2020)
Councillor Briefing	COMPLETE
Brand Design	COMPLETE
Post/Card Letter	COMPLETE
Your Say Website – Community Consultation	COMPLETE
Facebook Live Event	COMPLETE
Content Package	COMPLETE
Stakeholder Briefings	COMPLETE
Work Shops – Preferred Designs	COMPLETE
PCG Update	COMPLETE
Stage 2 – Pre-Development Application (June to August 2020)
Stakeholder Workshops	COMPLETE
Facebook Live Event	ON TRACK
Stakeholder Email Update	ON TRACK
Outcome Report	ON TRACK
Stage 3 – Public Exhibition (September to October 2020)
Content Package 2	ON TRACK
Community Drop-in Sessions	ON TRACK
Content Package 3	ON TRACK

ü The community consultation and stakeholder management are noted as “ON TRACK” As reported to the PCG on 16 July 2020.

o ‘Stage 4 – Construction’ community consultation activities are currently being developed for endorsement by the PCG

Design

Following the feedback from Councilors and major stakeholders in June / July 2020 the project has moved from the concept design into schematic design in preparation for lodgment of Development Application (DA) in early September 2020.

Design Element	Status
Community & High-Performance Centre (CHPC)	Schematic design underway.
Gymnastics Centre	Schematic design underway
Indoor Multi-Purpose Facility	Schematic design underway.
Showcase Sports Field & South West Field Lighting	Design Complete (Completed by RCC in 2018)
Car Parking, Landscape & surrounding Public Realm	Schematic design underway.

In performing the due diligence in the required studies for the Heffron Centre the status of the follow investigations may be noted:

Investigation	Status
Environmental	Complete
Geotechnical	Complete
Hazardous Materials (HAZMAT)	Complete
Traffic & Parking	Investigation Complete – Final Report being developed
Acoustics	Investigation Commenced
Onsite utility services	Complete
Irrigation	Investigation Complete – Final Report being developed

ü The design and documentation are noted as “ON TRACK” As reported to the PCG on 16 July 2020.

Procurement

Since the activation of the PCG in May 2019 many key consultants have been engaged in the development of the project and associated design documentation. These consultants include:

· Project Manager – NS Group	· Community Engagement - Urbis	· Risk Management - JLT
· Lead Design – Co.Op Studio	· Environment & Geotech – Douglas Partners	· Probity Advisor – Walter Partners
· Cost Consultant – Rider Levett Bucknell	· Surveyor – GeoSurv	· Landscape Architect – JMD Design
· Planning – Ethos Urban	· Business Plan – OTIUM Planning Group

The remaining significant procurement activities include:

1. Gymnastics & Indoor Sports Centre Operator

On the basis of the business management model developed by OTIUM GROUP Council will advertise an Expression of Interest (EOI) for a Gymnastics & Indoor Sports Centre Operator respectively in July 2020. Following the EOI, a Request for Tender (RFT) process will be run in order to identify a suitable organization/s to lease and operate the Gymnastics Centre & Indoor Sports Centre.

2. Head Contractor Procurement

Through NS Projects the PCG will be working on a procurement strategy for the Head Contractor in July 2020. It is expected that the head contractor will be engaged in July 2021.

It should be noted that the procurement of all major consultants to date through he PCG group have been under the guidance and oversight of the Probity Advisor – Walter Partners. To date Walter Partners have provided certificates of compliance for:

· Engagement of the Project Manager

· Engagement of the Lead Design Consultant

· The Heffron Centre Cost Apportionment Strategy.

ü The procurement activities are noted as “ON TRACK” As reported to the PCG on 16 July 2020.

Risk

The Risk Management Plan (RMP) was developed for the Heffron Centre as an appendix document to support the Public Private Partnership and Capital Expenditure Review submissions to the OLG. This bespoke RMP was developed under the expertise and guidance of Jardine Lloyd Thomson (JLT) Risk Management Experts. Since the OLG submission JLT have facilitated multiple risk workshop sessions with key personnel from both RCC and the SSFC. These include;

· 7-9 May 2019

· 27 June 2019

· 17 July 2020

· 23 July 2020.

It should be noted by Council that outside of these facilitated workshops the risk register and management plan responsibility lie with the PCG where risks are reported on monthly. To date the most significant risk to the project has been the pandemic COVID – 19. The PCG through its functions with the Project Manager – NSW Projects had to consider the potential impacts the pandemic could have on the project. In the design phase several mitigation strategies were implemented by the consultant group to ensure the project continued as per program.

ü The risk management activities are noted as “ON TRACK” As reported to the PCG on 16 July 2020.

Strategic alignment

The relationship with the City Plan is as follows:

Outcome/Direction	Delivery Program actions
Outcome	1. Leadership in sustainability
Direction	1c. Continuous improvement in service delivery based on accountability, transparency and good governance.
Outcome	2. A vibrant and diverse community.
Direction	2c. New and upgraded community facilities that are multipurpose and in accessible locations.
Outcome	4. Excellence in urban design and development.
Direction	4a. Improved design and sustainability across all development.

Resourcing Strategy implications

In early 2017 Council resolved to “fund and construct” the showcase sporting field in addition to the Community High Performance Centre, Indoor Multi-purpose sports facility and gymnastics facility.

Later in 2017 Council Officers had the showcase sporting fields specification costed by the projects then cost consultants to an estimated value of $5,572,502. It should be noted that at this stage of the project the full extent of contamination / remediation works of the removal of the old tennis centre in which the field would be relocated was unknown.

The field was earmarked for construction as the first stage of the Heffron Centre at the completion of the new Heffron Tennis Centre in 2019 to replace the old Tennis Courts. To protect any damage on the new showcase field asset from stage 2 building works the program was realigned to construct the field last.

As at 7 July 2020 Cost Consultant – Rider Levett Bucknall (RLB) have provided an up to date and current estimated total project cost for the showcase field to be $6,315,577.

The Showcase field Council asset has recently been funded over multiple financial years. As noted in the project budget update of this report the remaining funding for the showcase field is required to be allocated.

It is now expected that the Showcase field is to be constructed in early 2022. The breakdown of the current estimated project cost for the showcase field is as follows:

Item	Description	Cost
Showcase Field	Construction	$5,325,000
(Cnr Bunnerong & Jersey Road)	Escalation since 2019	$210,000
	Expenditure to date	$415,577
	Contingencies	$365,000
	Project Total	*$6,315,577*
2018/19 Budget	Capital Allocation	-$3,170,000
2019/20 Budget	Capital Allocation	-$1,187,750
	Remaining Funds required	$1,957,827

To complete the funding required for the Heffron Showcase Field it is suggested that in the 2021-22 Financial Year Council allocate $1,257,827 from the Capital Works Program and $700,000 is allocated in the Domestic Waste Reserve.

Policy and legislative requirements

· Local Government Act 1993

· International Standard for Risk Management, ISO 31000:2009

· The Department of Local Government's Guidelines on the Procedures and Processes to be followed by Local Government in Public-Private Partnership, 1 September 2005 Guidelines.

Conclusion

Council formally adopted the Heffron Centre – Agreement for Lease and License with the South Sydney Rabbitohs Football Club in February 2019. This document outlined the governance structure for the project. In May 2019 Council’s General Manager then activated the Project Control Group for the Heffron Centre. Since this time significant progress has been made and milestones achieved on the project. To date the project remains “ON TRACK” for completion in 2022.

Responsible officer: Todd Clarke, Director City Services

File Reference: F2019/10812/3

Ordinary Council meeting28 July 2020

Director Corporate Services Report No. CO37/20

Subject: Investment Report - June 2020

Executive Summary

· This report outlines Council’s investment portfolio and performance as at 30 June 2020.

· All investments have been made in accordance with the Act, Regulations and Council’s Investment Policy.

· For the month of June, the portfolio provided a return of +0.13% (monthly), outperforming the benchmark AusBond Bank Bill Index return by +0.12%.

· The overweight position to AMP Bank following their credit downgrade in August 2019, from A- to BBB+ will continue to be managed as existing assets mature and favourable sell opportunities are presented.

· Cashflow continues to be monitored daily in light of current COVID-19 pandemic revenue reductions. Investments will be managed to ensure liquidity to meet operational requirements.

Recommendation

That the Investment Report for June 2020 be received and noted.

Attachment/s:

1.⇩

Certificate by Responsible Accounting Officer - June 2020

Purpose

The Local Government (General) Regulation requires a written report to be provided to the Ordinary meeting of the Council giving details of all monies invested and a certificate as to whether or not the investments have been made in accordance with the Act, the regulations and the Council’s Investment Policy

Discussion

As at 30 June 2020, Council held investments with a market value of $84.28 million. The portfolio value decreased during June by ~$8.847 million. The decrease is representative of a negative cash flow for the month reflecting the net effect of revenue receipts (rates, grants & miscellaneous) offset by capital works expenditure and other operational payments.

Official interest rates have fallen to all-time-lows, and Council will see a decline in interest income over the next 12 months and through to such time when interest rates increase.

The size of the investment portfolio may vary significantly from month to month as a result of cash flows for the period. Cash outflows (expenditure) are typically relatively stable from one month to another. Cash inflows (income) are cyclical and are largely dependent on the rates instalment due dates and the timing of grant payments including receipts of the Financial Assistance Grants.

The COVID-19 pandemic has adversely impacted Council’s financial position and the funds available for investment. It is anticipated that the investment portfolio will continue to reduce as funds maturing are used to cover additional expenses and reductions in revenue. The impact of the recent Minister’s announcement of 0% p.a. interest on overdue rates and charges from 1 July to 31 December 2020, will sustain reduced levels of cash inflows for the first six months of 2020-21 until interest on overdue rates and charges is reinstated at 7% p.a. from 1 January to 30 June 2021.

The ability to ensure that there is sufficient cash in the business to operate on a day to day basis will continue to be challenging, as will:

· ensuring that council maintains a balanced operating result;

· ensuring that payments are received on time to control debtors; and

· managing and financing capital projects correctly.

On Call Funds

On call funds are held to meet Council’s immediate cash flow requirements. With the 31 August 2020 rates instalment now pushed out to 30 September 2020, the balance of available on call funds have been increased to cover the shortfall in income over this period.

Investment

Rating

Balance

1 June 2020

Movement

Balance

30 June 2020

Interest Rate

CBA

AA-

$12,720,820

$1,347,473

$11,373,347

0.55%

Term Deposits

· At month end, the portfolio included $40.10 million in term deposits.

· Term Deposits made up 47.58% of the total investment portfolio.

· Four deposits totalling $7.50 million matured in June.

· No new term deposits were placed during June.

· As at the end of June, the weighted average deposit yield stood at 1.76%

Investment	Rating	Balance 1 June 2020	Movement	Balance 30 June 2020	Date Invested	Maturity Date	Interest Rate
Westpac	AA-	$1,000,000	0	$1,000,000	07/08/2018	05/08/2020	2.89%
ING Bank	A	$1,000,000	0	$1,000,000	20/08/2018	29/07/2020	2.85%
ING Bank	A	$2,000,000	0	$2,000,000	06/09/2018	09/09/2020	2.85%
ING Bank	A	$1,000,000	0	$1,000,000	20/09/2018	23/09/2020	2.90%
AMP	BBB+	$1,000,000	0	$1,000,000	19/11/2018	17/11/2020	2.95%
NAB	AA-	$1,500,000	-$1,500,000	0	05/03/2019	17/06/2020	2.65%
Westpac	AA-	$1,500,000	0	$1,500,000	22/08/2019	02/09/2020	1.62%
NAB	AA-	$1,500,000	0	$1,500,000	22/08/2019	08/07/2020	1.59%
CBA	AA-	$1,500,000	0	$1,500,000	29/08/2019	22/07/2020	1.56%
CBA	AA-	$2,000,000	-$2,000,000	0	30/08/2019	24/06/2020	1.57%
Westpac	AA-	$1,500,000	0	$1,500,000	30/08/2019	30/09/2020	1.58%
Westpac	AA-	$1,500,000	0	$1,500,000	30/08/2019	14/10/2020	1.57%
Westpac	AA-	$2,000,000	0	$2,000,000	03/09/2019	16/09/2020	1.57%
NAB	AA-	$2,000,000	-$2,000,000	0	03/09/2019	10/06/2020	1.58%
Westpac	AA-	$2,000,000	0	$2,000,000	03/09/2019	28/10/2020	1.56%
Westpac	AA-	$1,500,000	0	$1,500,000	16/09/2019	09/12/2020	1.70%
ING Bank	A	$2,000,000	0	$2,000,000	19/11/2019	16/12/2020	1.57%
ING Bank	A	$1,600,000	0	$1,600,000	28/11/2019	30/12/2020	1.55%
ING Bank	A	$2,000,000	0	$2,000,000	2/12/2019	23/6/2021	1.55%
NAB	AA-	$1,500,000	0	$1,500,000	12/12/2019	21/10/2020	1.50%
NAB	AA-	$2,000,000	-$2,000,000	0	04/02/2020	29/6/2020	1.53%
ING Bank	A	$2,000,000	0	$2,000,000	24/02/2020	06/10/2021	1.60%
ING Bank	A	$2,000,000	0	$2,000,000	27/02/2020	10/03/2021	1.60%
Macquarie Bank	A+	$1,500,000	0	$1,500,000	28/02/2020	06/01/2021	1.50%
NAB	AA-	$2,000,000	0	$2,000,000	28/02/2020	17/03/2021	1.40%
Macquarie Bank	A+	$1,500,000	0	$1,500,000	02/03/2020	15/07/2020	1.70%
ING Bank	A	$2,000,000	0	$2,000,000	02/03/2020	31/03/2021	1.50%
Macquarie Bank	A+	$1,500,000	0	$1,500,000	02/03/2020	04/11/2020	1.60%
Macquarie Bank	A+	$1,500,000	0	$1,500,000	04/03/2020	13/01/2021	1.55%
Total		$47,600,000	$7,500,000	$40,100,000

Floating Rate Notes (FRNs)

· The portfolio includes $32.807 million in floating rate notes;

· FRNs are classified as “held for trading” and are required to be reported at the latest indicative market valuations at month end.

· The indicative market value of the FRNs as at the 30 June 2020 increased by ~$72k after markets continue to rebound in response to fiscal and monetary stimulus provided by government and central banks.

Investment	Rating	Purchase Price	Indicative Value 30 June 2020	Date Invested	Maturity Date	Interest Rate
Suncorp	A+	$2,000,000	$2,015,352	16/08/2017	16/08/2022	90D BBSW + 97 bpts
CBA	AA-	$2,000,000	$2,018,972	25/01/2018	25/04/2023	90D BBSW + 80 bpts
Westpac	AA-	$2,000,000	$2,020,192	06/03/2018	06/03/2023	90D BBSW + 83 bpts
NAB	AA-	$2,000,000	$2,024,452	16/05/2018	16/05/2023	90D BBSW + 90 bpts
CBA	AA-	$1,500,000	$1,520,139	16/08/2018	16/08/2023	90D BBSW + 93 bpts
AMP	BBB+	$2,000,000	$2,000,212	10/09/2018	10/09/2021	90D BBSW + 108 bpts
NAB	AA-	$3,000,000	$3,040,278	26/09/2018	26/09/2023	90D BBSW + 93 bpts
NAB	AA-	$2,000,000	$2,026,852	09/11/2018	26/09/2023	90D BBSW + 93 bpts
Westpac	AA-	$2,000,000	$2,028,632	16/11/2018	16/11/2023	90D BBSW + 95 bpts
CBA	AA-	$3,000,000	$3,059,988	11/01/2019	11/01/2024	90D BBSW + 113 bpts
NAB	AA-	$3,000,000	$3,051,168	26/02/2019	26/02/2024	90D BBSW + 104 bpts
AMP	BBB+	$992,820	$988,447	21/03/2019	30/03/2022	90D BBSW + 129 bpts
Macquarie Bank	A+	$2,000,000	$2,002,392	07/08/2019	07/08/2024	90D BBSW + 80 bpts
Citibank	A+	$1,000,000	$992,996	14/11/2019	14/11/2024	90D BBSW + 88 bpts
NAB	AA-	$2,000,000	$2,013,332	21/01/2021	21/01/2025	90D BBSW + 77 bpts
Macquarie Bank	A+	$2,000,000	$2,004,012	12/02/2020	12/02/2025	90D BBSW + 84 bpts
Total		$32,492,820	$32,807,417

Performance

The following graph shows the investment returns achieved against the AusBond Bank Bill Index and the official Reserve Bank of Australia (RBA) cash interest rate for the period June 2017 to June 2020.

For the month of June, the total portfolio of term deposits (T/Ds) and floating rate notes (FRNs) provided a solid return of +0.13% (actual), outperforming the benchmark AusBond Bank Index return by +0.12% (actual). The outperformance continues to be driven by a combination of deposits that were originally invested longer than 6 months, as well as the higher yielding FRNs locked in at attractive margins and sold prior to maturity, realising small capital gains and boosting returns.

The FRN portfolio’s performance (on an accrual basis) has started to narrow the gap compared to the deposit portfolio, as evidenced by the returns over the past 12 months. This has partially been attributed to the strategic sales, realising capital gains and then switching proceeds into higher yielding (new) FRNs. This is likely to reverse, following the multiple rate cuts delivered over the past year.

Over the past 12 months, the combined term deposit and FRN portfolio returned 1.92% p.a., outperforming bank bills by 1.08% p.a. The overall return remains solid given deposit rates have again surpassed their all-time lows following the RBA’s recent successive interest rate cuts.

The RBA official cash rate of 0.25%, is expected to remain unchanged until it’s objective of full employment and inflation are reached. (Note: With the economic impact of the COVID-19 pandemic, we are unlikely to see the unemployment rate down to 4.5% and inflation within their 2-3% target band any time soon).

Performance	1 month	3 months	6 months	FYTD	1 year
Official Cash Rate	0.02%	0.06%	0.21%	0.65%	0.65%
AusBond Bank Bill Index	0.01%	0.06%	0.32%	0.85%	0.85%
Council’s T/D Portfolio	0.15%	0.44%	0.88%	1.98%	1.98%
Council’s FRN Portfolio	0.09%	0.34%	0.80%	1.84%	1.84%
Council’s Portfolio	0.13%	0.40%	0.85%	1.92%	1.92%
Outperformance	0.12%	0.34%	0.53%	1.08%	1.08%

Council’s Portfolio & Compliance

Asset Allocation

Most of the portfolio is spread between term deposits (47.58%) and senior floating rate notes (38.93%). The remainder of the portfolio is held in the overnight cash accounts with CBA (13.49%). The FRNs add additional liquidity and are generally accessible within 2-3 business days.

Term to Maturity

The portfolio remains diversified from a maturity perspective with a spread of maturities out to 5 years. Medium-term (2-5 years) assets account for around 35% of the total investment portfolio.

Compliant	Horizon	Invested	%	Min Limit	Max Limit
	0-90 days	$24,373,347	28.92%	10%	100%
	91-365 days	$25,100,000	29.78%	20%	100%
	1-2 years	$4,988,660	5.92%	0%	70%
	2-5 years	$29,818,757	35.38%	0%	50%
	5-10 years	$0	0.00%	0%	25%

The investment portfolio is regularly reviewed in order to maximise investment performance and minimise risk. Comparisons are made between existing investments with available products that are not part of the Council’s portfolio. Independent advice is sought on new investment opportunities.

Credit Quality

As at the end of May, applying the long-term S&P ratings only, Council had an overweight position to AMP Bank following their credit downgrade on 27th August 2019, from A- to BBB+. Their short-term rating remains unchanged at A-2. This downgrade was a result of AMP Group selling its life insurance arm. S&P believed that the group's profits will be less diversified going forward due to this sale.

AMP Bank investments held at time of ratings downgrade: $8,981,125

Balance of holdings as at 30 June 2020: $3,988,660

This overweight position can be managed as existing assets mature and rebalanced accordingly. With Council’s advisors advising “investors holding any senior-ranking assets (cash, term deposits or senior securities – FRNs or bonds) with AMP Bank should not be concerned given they continue to have a robust balance sheet with their level of capital remaining above the minimum regulatory requirement set by APRA.”

Compliant	Rating	Invested	Invested	Max. Limit	Available
	AA Category	$51,677,352	61.32%	100%	$32,603,412
	A Category	$28,614,752	33.95%	80%	$38,809,859
X	BBB Category	$3,988,660	4.73%	0.00%	-$3,988,660
	Unrated ADIs	$0.00	0.00%	0.00%	$0

Under the Financial Claims Scheme (FCS), the first $250,000 is guaranteed by the Federal Government (rated AAA by S&P), per investor, per ADI

Counterparty

The table below shows the individual counterparty exposures against Council’s current investment policy based on long term S&P ratings.

Compliant	Issuer	Rating	Invested	%	Max. Limit	Available
	CBA	AA-	$19,472,446	23.10%	40%	$14,239,860
	NAB	AA-	$17,156,082	20.36%	40%	$16,556,223
	Westpac	AA-	$15,048,824	17.86%	40%	$18,663,481
	Citibank	A+	$992,996	1.18%	25%	$20,077,195
	Suncorp	A+	$2,015,352	2.39%	25%	$19,054,839
	ING Bank	A	$15,600,000	18.51%	25%	$5,470,191
	Macquarie Bank	A	$10,006,404	11.87%	25%	$11,063,787
X	AMP Bank	BBB+	$3,988,660	4.73%	0%	-$3,988,660

Portfolio Balance

The following graph illustrates the movement in the investment portfolio from June 2019 to June 2020.

Strategic alignment

The relationship with the City Plan is as follows:

Outcome/Direction	Delivery Program actions
Outcome	1. Leadership in sustainability
Direction	1a. Council has a long-term vision based on sustainability.

Resourcing Strategy implications

The budget provision for investment income from this source is $1,468,980. Income received to 30 June 2020 is $1,458,919.89

Policy and legislative requirements

Council is authorised by Section 625 of the Local Government Act to invest its surplus funds. Funds may only be invested in the form of investment notified by Order of the Minister dated 12 January 2011. The Local Government (General) Regulation prescribes the records that must be maintained in relation to Council’s Investment Policy

Conclusion

Funds are invested with the aim of achieving budgeted income in the 2019-20 financial year and outperforming the AusBond Bank Bill Index over a 12-month period.

All investments as at 30 June 2020 have been made in accordance with the Local Government Act, the regulations and Council’s Investment Policy.

Responsible officer: Gail Johnston, Financial Operations Accountant

File Reference: F2016/06527

Ordinary Council meeting28 July 2020

Director Corporate Services Report No. CO38/20

Subject: Contingency Fund - Status as at 30 June 2020

Executive Summary

· For the 2019-20 financial year there have been 59 Contingency Fund allocations totaling $296,525.82.

· For the 2020-21 financial year there have been 11 Contingency Fund allocations totaling $67,428.00.

Recommendation

That the status of the contingency fund allocations for 2019-20 and 2020-21, be noted.

Attachment/s:

Nil

Purpose

The purpose of this report is to detail the progressive amount of donations, allocations, waiving of fees and other similar contributions that are funded from the Contingency Fund budget.

Discussion

For the 2019-20 financial year there have been 59 allocations totaling $296,525.82 and for the 2020-21 financial year there have been 11 Contingency Fund allocations totaling $67,428.00. All allocations are listed in the table below.

Meeting	Details	Approved allocation
2019-20 Contingency Fund allocations
Annual contributions (ongoing)
Planning Committee – 13 Mar 2012	Annual contribution – Australia Day Botany Bay Regatta	$750.00
Ord Council - 17 Sep 2013	Annual Contribution (5 years from 2015-16 to 2019-20) Waiving of Fees – Rainbow Club Australia Inc – Murray Rose’s Malabar Magic Ocean Swim	$27,000.00
Ord Council - 23 Sep 2014	Annual contribution (5 years from 2015-16 to 2019-20) - Randwick Boys High School - 'Mayor's Award'	$1,000.00
Ord Council - 26 Apr 2016	Annual contribution (5 years from 2016-17 to 2020-21) - Sydney Children’s Foundation Gold Telethon)	$5,000.00
Ord Council - 26 Apr 2016	Annual contribution (5 years from 2016-17 to 2020-21) - Sydney Children’s Foundation Lights for Kids Christmas campaign)	$2,000.00
Ord Council - 25 July 2017	Annual contribution (5 years from 2017-18 to 2021-22) - Randwick Girls’ High School - 'Mayor's Award'	$1,000.00
Ord Council - 27 Jun 2017	Annual contribution - Sponsorship and in-kind support - Surfing NSW - Junior State Surfing Title	$16,000.00
Ord Council - 28 Nov 2017	Sydney Film Festival – sponsorship (3 years 2017-18 to 2019-20)	$5,000.00
Ord Council - 16 Oct 2018	Annual contribution (3 years from 2018-19 to 2020-21) - Renewal of Community Partnership Agreement with Westpac Helicopter Rescue Service	$20,000.00
One-off allocations
Ord Council - 28 May2019	NSW Police Force and International Students Beach Soccer Day	$4,968.00
Ord Council - 28 May2019	Celebrating the 50th Anniversary of the Wrapping of Little Bay by Christo and Jean-Claude	$3,000.00
Ord Council - 25 Jun 2019	Waiving of fees – St George Coptic Orthodox Church Annual Fete	$1,768.00
Ord Council - 25 Jun 2019	Financial assistance – Attendance at UN Youth Australia Young Diplomats Tour 2020	$1,500.00
Ord Council - 25 Jun 2019	Financial assistance – Taste of Coogee event booklet	$6,000.00
Ord Council - 23 July 2019	Donation – SOS Pre-School - plants	$300.00
Ord Council - 23 July 2019	Financial assistance – Australia Blind Football (Soccer)	$500.00
Ord Council - 23 July 2019	Donation – Rotary Club (to assist Royal Women’s Hospital Randwick)	$1,200.00
Ord Council – 27 Aug 2019	Financial assistance – Protect Our 1 Inc	$605.00
Ord Council – 27 Aug 2019	Waiving of fees and donation – EPI Active Healthcare	$2,466.00
Ord Council – 27 Aug 2019	Waiving of fees – Surf Life Saving and Pool Rescue Coaching Clinic – use of DRLC	$5,220.00
Ord Council – 27 Aug 2019	Waiving of fees – The Hon. Pat Farmer’s “Quicksand” event – Maroubra Beach	$4,307.00
Ord Council – 27 Aug 2019	Waiving of fees – Maroubra Charity Car Show	$7,878.72
Ord Council – 27 Aug 2019	Financial assistance – Naming of the Coogee Oval Scoreboard	$5,000.00
Ord Council – 17 Sept 2019	Waiving of fees - Filipino Cultural and Arts Festival	$3,207.00
Ord Council – 17 Sept 2019	Waiving of Fees - Boomerang Bags Sydney Eastern Suburbs – Margaret Martin Library	$245.00
Ord Council – 17 Sept 2019	Donation of plants - St Aidan's Public School	$300.00
Ord Council – 17 Sept 2019	Waiving of Fees - Maroubra RSL Junior Diggers Swimming Club – Use of DRLC	$1,095.00
Ord Council – 17 Sept 2019	Donation of plants - Prince of Wales Hospital Request for a Memorial Tree	$300.00
Ord Council – 17 Sept 2019	Donation of plants - The Coast Centre for Seniors	$300.00
Ord Council – 22 Oct 2019	Waiving of fees - St Luke's Anglican Church Carols by Candlelight	$3,820.00
Ord Council – 22 Oct 2019	Waiving of fees - The Bloody Long Walk	$2,361.00
Ord Council – 22 Oct 2019	Waiving of fees - Coogee Beach Volleyball	$1,034.00
Ord Council – 22 Oct 2019	Waiving of fees - South Coogee Public School Fiesta Event	$5,400.00
Ord Council – 22 Oct 2019	Financial support - The Prince of Wales Hospital Foundation Lighting the Way of the Future Gala Dinner	$2,200.00
Ord Council – 22 Oct 2019	Waiving of fees - Randwick Botany Cycling Club Inc - Retro Day	$797.00
Ord Council – 22 Oct 2019	Financial support - Rainbow Street Public School - Fundraising Twilight Cinema	$200.00
Ord Council – 22 Oct 2019	Vale Jeffrey Leonard Sayle OAM – donation to Randwick Junior Academy	$100.00
Ord Council – 26 Nov 2019	Waiving of fees - St Nicolas Anglican Church – Carols by the Sea	$2,373.00
Ord Council – 26 Nov 2019	Waiving of fees - Gujaga Aboriginal Corporation	$7,437.00
Ord Council – 26 Nov 2019	Support for Drought Affected Communities in NSW	$10,000.00
Ord Council – 26 Nov 2019	Financial Assistance - Coogee Family Fun Day	$11,920.95
Ord Council – 26 Nov 2019	Sponsorship - World Festival of Magic	$1,200.00
Ord Council – 10 Dec 2019	Waiving of fees - Lycée Condorcet – use of DRLC for Asia-Pacific Swimming Championship [Note: This event has been postponed until further notice due to COVID-19. The organisers hope to advise new dates around June 2020]	$15,018.00
Ord Council – 10 Dec 2019	Waiving of fees - 2020 Greek Epiphany Festival	$15,587.00
Ord Council – 10 Dec 2019	Waiving of fees and financial support - WSL Maroubra Carve Pro 2020	$17,362.00
Ord Council – 10 Dec 2019	Donation - Salvation Army Disaster Appeal (for NSW Bushfires)	$5,000.00
Ord Council – 25 Feb 2020	Waiving of fees – Margaret Martin Library - The Coogee Owls [Note: This allocation is for monthly meetings from March to December 2020. Meetings are on hold until further notice due to COVID-19]	~~$780.93~~ $546.65
Ord Council – 25 Feb 2020	Donation – Plants – Burger Centre	$300.00
~~Ord Council – 25 Feb 2020~~	~~Waiving of fees – Coogee Beach – Irish Support Agency – St Patrick’s Day Fundraiser~~ [Note: event cancelled due to COVID-19]	~~$385.00~~
Ord Council – 25 Feb 2020	Financial support – Harmony Day unveiling – Muralisto School Student Mural [Note: Donation processed however, event postponed. Awaiting rescheduled date]	$5,000.00
Ord Council – 25 Feb 2020	Financial support – Windgap Foundation Annual Gala Ball [Note: Tickets purchased however, event postponed. Awaiting rescheduled date]	$2,400.00
Ord Council – 25 Feb 2020	Support for bushfire affected communities – staff accommodation, travel and sustenance	$18,413.00
Ord Council – 25 Feb 2020	Waiving of fees – Save Yarra Bay water and beach protest	$7,595.00
Ord Council – 24 Mar 2020	Waive of fees – Use of DRLC for Maroubra Swimming Club carnivals for the 2020 season [Note: Event postponed until further notice due to COVID-19]	$880.00
Ord Council – 24 Mar 2020	Waiving of fees - Boomerang Bags Eastern Suburbs - use of Sustainable classroom at the Randwick Community Centre – including repurposing Council’s used banners into bags for Council’s use [Note: Postponed until further notice due to COVID-19]	$3,825.00
Ord Council – 24 Mar 2020	Donation of plants - St Basil’s Aged Care Facility	$300.00
Ord Council – 24 Mar 2020	Waiving of fees - “Can Too Foundation” - Ocean Swim Training Program at Clovelly Beach [Note: reduced allocation as 1 swim event cancelled due to COVID-19]	~~$5,187.00~~ $4,446.00
Ord Council – 24 Mar 2020	Waiving of fees and donation - The Stomp event - launch the Swiss8 app for returned servicemen [Note: Event postponed until further notice due to COVID-19]	$3,958.00
Ord Council – 28 April 2020	Financial assistance - Deli Women and Children's Centre During the Pandemic	$17,700.00
Ord Council – 28 April 2020	Donation - Cancer Warrior Australia - light up the Randwick Town Hall on World Ovarian Cancer Day	$500.00
Ord Council – 26 May 2020	Donation of plants - St Luke’s Anglican Church Clovelly	$942.50
Total – 2019-20 Contingency Fund allocations:		$296,525.82
2020-21 Contingency Fund allocations
Annual contributions (ongoing)
Planning Committee – 13 Mar 2012	Annual contribution – Australia Day Botany Bay Regatta	$750.00
Ord Council - 26 Apr 2016	Annual contribution (5 years from 2016-17 to 2020-21) - Sydney Children’s Foundation Gold Telethon)	$5,000.00
Ord Council - 26 Apr 2016	Annual contribution (5 years from 2016-17 to 2020-21) - Sydney Children’s Foundation Lights for Kids Christmas campaign)	$2,000.00
Ord Council - 25 July 2017	Annual contribution (5 years from 2017-18 to 2021-22) - Randwick Girls’ High School - 'Mayor's Award'	$1,000.00
Ord Council - 27 Jun 2017	Annual contribution - Sponsorship and in-kind support - Surfing NSW - Junior State Surfing Title	$16,000.00
Ord Council - 16 Oct 2018	Annual contribution (3 years from 2018-19 to 2020-21) - Renewal of Community Partnership Agreement with Westpac Helicopter Rescue Service	$20,000.00
Ord Council – 10 Dec 2019	Annual Contribution (5 years from 2020-21 to 2024-25) Waiving of Fees – Rainbow Club Australia Inc – Murray Rose’s Malabar Magic Ocean Swim ($14,500 per year commencing 2020-21)	$14,500.00
Ord Council – 23 June 2020	Annual Contribution (ongoing) – Sponsorship - Establishment of Sister City Scholarship - Temora	$1,500.00
Ord Council – 23 June 2020	Annual Contribution (ongoing) – Sponsorship - Establishment of Sister City Scholarship - Narrabri	$1,500.00
One-off allocations
Ord Council – 10 Dec 2019	Waiving of fees – Coogee Life Saving Club Run Swim Coogee [Note: this event has been postponed until further notice due to COVID-19. The organisers hope to reschedule to the end of 2020]	$2,278.00
Ord Council – 24 Mar 2020	Waive of fees – Use of DRLC for Maroubra Swimming Club carnivals for the 2020 season [Note: Event postponed until further notice due to COVID-19]	$2,900.00
Total – 2020-21 Contingency Fund allocations:		$67,428.00

Strategic alignment

The relationship with the City Plan is as follows:

Outcome/Direction	Delivery Program actions
Outcome	2. A vibrant and diverse community.
Direction	2a. Meet the needs of our diverse community and provide equitable access to social services and infrastructure.

Resourcing Strategy implications

Council has allocated $170,868.00 in the 2019-20 Budget for contingencies. The budget adjustment will be dealt with as part of quarterly budget reviews.

Policy and legislative requirements

Local Government Act 1993 – section 377

Conclusion

This report contains the details of all Contingency Fund allocations as at 30 June 2020 for the 2019-20 and 2020-21 financial years.

Responsible officer: Julie Hartshorn, Senior Administrative Coordinator

File Reference: F2017/07396

Ordinary Council meeting28 July 2020

Director Corporate Services Report No. CO40/20

Subject: 2019-20 Budget Carry Overs

Executive Summary

· The 2019-20 budget included a number of projects that were not completed within the financial year or were delayed due to the impact of the COVID-19 pandemic.

· This report details the funding carry overs from the 2019-20 budget to the 2020-21 budget, including the following major carry over projects:

o The Heffron Centre / Showcase field $4,483,761

o Purcell Park $2,369,916

o Pioneers Park $2,293,932

o Maroubra Stormwater Harvesting $1,506,227

o Building Works $3,865,268

o Grant funded projects $2,714,771

o Roads and footpaths projects $1,437,436

o Information and Technology projects $1,641,235

o Open space projects $1,653,415

o Drainage works $140,000

o Other projects $362,763

· Adoption of the recommendation formally carries over committed and unexpended 2019-20 budgets into the 2020-21 budget for the projects outlined in the attachment.

Recommendation

That the 2019-20 funding Carry Over schedule be adopted as per the attachment.

Attachment/s:

1.⇩

2019-20 Carry Over Schedule

Purpose

The purpose of this report is to carry over unspent funds from the 2019-20 financial year to the new 2020-21 financial year due to the following reasons:

· Projects have already commenced and expenditure is committed;

· Grant funding has been received for projects spanning a timeframe beyond 30 June 2020;

· The funds were voted towards the latter part of the 2019-20 financial year, and the project has not yet commenced or been completed;

· Funding for the project is to be raised over more than one financial year;

· The project was delayed or deferred due to the impact of the COVID-19 pandemic.

A full list of these projects and their funding is itemised as an attachment to this report.

Discussion

The Council undertakes a programmed and disciplined approach to financial planning and management. There are a number of projects that have not been completed as at 30 June 2020 and the funding allocation needs to be carried forward to 2020-21.

The total amount proposed for carrying forward into the 2020-21 budget is $22,468,724. This amount is matched with funding that was set aside in the 2019-20 budget. Funding sources include unexpended grants, section 7.12 contributions, internally and externally restricted reserve funds.

The carry over allocations will be added to the 2020-21 budget

The recommended carry overs are in addition to previously considered revotes for works that were not commenced in prior years. Previous revotes have already been incorporated into the 2020-21 draft budget.

Major Carry Over Projects

Project Name	Amount
The Heffron Centre / Showcase field	$4,483,761
Purcell Park	$2,369,916
Pioneers Park	$2,293,932
Maroubra Stormwater Harvesting	$1,506,227
Building Works	$3,865,268
Grant funded projects	$2,714,771
Roads and footpaths projects	$1,437,436
Information and technology projects	$1,641,235
Open space works	$1,653,415
Drainage works	$140,000
Other projects	$362,763
TOTAL	$22,468,724

Strategic alignment

The relationship with the City Plan is as follows:

Outcome/Direction	Delivery Program actions
Outcome	1. Leadership in sustainability
Direction	1b. Council is a leader in the delivery of social, financial and operational activities.

Resourcing Strategy implications

Adoption of the recommendation formally carries over committed and unexpended 2019-20 budgets into the 2020-21 budget for the projects outlined in the attachment. As the Council has already set aside funds for these projects, there is no further financial impact for this matter.

Policy and legislative requirements

Local Government Act 1993; Part 3, Financial Management.

Local Government (General) Regulation 2005; Part 9, Division 3, Budgeting by councils.

NSW Government OLG, Local Government Code of Accounting Practice and Financial Reporting.

Conclusion

The endorsement of the carry overs will ensure the continuation of funding allocation to facilitate completion of the listed projects.

Responsible officer: Greg Byrne, Chief Financial Officer

File Reference: F2020/00328

SEPP 1 AND CLAUSE 4.6 REGISTER BETWEEN 03 JUNE 2020 TO 10 JULY 2020
Council DA reference No.	Lot No.	DP No.	Street No.	Street name	Suburb/ Town	Post-code	Category of develop-ment	EPI	Zone	Development standard to be varied	Justification of variation	Extent of variation	Concur-ring authority	Date DA determined	Approved by
DA/211/2020	5	15555	350	Maroubra Rd	MAROUBRA	2035	14: Other	RLEP 2012	R2 - Low Density Residential	Clause 4.1 - Minimum Lot Size	Maintains compatible scale with neighbouring buildings and does not adversely impact in terms of overshadowing, privacy and views.	Lot A- 249.9.51m2 / Lot B - 223.4m2 or Lot B over by 6.9%	NSW Dept of Planning	29-Jun-20	DEL
DA/41/2019	3	1102370	181	Botany St	RANDWICK	2031	1: Residential - Alterations & additions	RLEP 2012	R1 - General Residential	Clause 4.3 - Building height of 10m	Maintains compatible scale with neighbouring buildings and does not adversely impact in terms of overshadowing, privacy and views.	Building height is up to 10.65m or up to 6.5%	NSW Dept of Planning	06-Jul-20	DEL
DA435/2019	42	8693	27	Banks St	MAROUBRA	2035	2: Residential - Single new dwelling	RLEP 2012	R2 - Low Density Residential	Clause 4.3 - Building height of 9.5m	Maintains compatible scale with neighbouring buildings and does not adversely impact in terms of overshadowing, privacy and views	Building height is up to 9.9m or up to 4.2%	NSW Dept of Planning	19-Jun-20	DEL
DA/578/2019	429	31973	5	Chicago Ave	MAROUBRA	2035	4: Residential - New multi unit < 20 dwellings	RLEP 2012	R3 - Medium Density	Clause 4.4 - FSR = 0.75:1	Maintains compatible scale with neighbouring buildings and does not adversely impact in terms of overshadowing, privacy and views	FSR increased to 0.81:1 or 8.5%	NSW Dept of Planning	19-Jun-20	DEL
DA/651/2019	100	1115587	76	Bream St	Coogee	2034	1: Residential - Alterations & additions	RLEP 2012	R3 - Medium Density	Clause 4.3 - Building height of 12m Clause 4.4 - FSR = 0.9:1	Maintains compatible scale with neighbouring buildings and does not adversely impact in terms of overshadowing, privacy and views	Proposed height = 13.96m or 16.3% (no increase to existing building height) Proposed FSR = 1.46:1 or 62.2% but existing FSR is 1.53:1	NSW Dept of Planning	11-Jun-20	RLPP