How did we get here? - PowerPoint PPT Presentation

��������� �������������

How did we get here…? • 30 years of rate pegging • Cost shifting by NSW Government • Government requirements on asset reporting • Our unique environment ��������� ������������� 2

��������� ������������� 3

Becoming Fit for the Future What are the Fit for the Future options? 1. Scale and capacity + Joint Organisation = Template 2 2. Rural Council – Councils with a current, or projected, population under 10,000 3. Voluntary Merger 4. A model for the Far West ��������� ������������� 4

What does a Fit for the Future council look like? A Fit for the Future council is one that is: • Sustainable • Efficient • Effectively manages infrastructure and delivers services for communities • Has the scale and capacity to engage effectively across community, industry and government. ��������� ������������� 5

• What does a Fit for the Future council do? • What is the starting point for assessment? • Who would be part of the North Coast Joint Organisation? ��������� �������������

����������������� Part of the Fit for Future package is a self-assessment tool to help Council determine whether their past performance indicates that they are “Fit for the Future”. A summary of the self-assessment results are as follows: ��������� ������������� 7

How do we compare? ��������� ������������� 8

What are the influences and drivers affecting our position? • Rates/annual charges • Raw materials/labour costs • Grant revenue • Cash flow requirements • Depreciation • Past/present/future borrowings • Asset renewal expenditure • Current and future interest rates • Asset revaluations • Annual operating costs • Written down value of infrastructure • Asset maintenance • Agreed service level expectations • Cost shifting by State Government • Only 3% share of Federal tax revenue What are the future threats and opportunities? • Government grants • Greater use of S.94 funds and internal • Service level reviews (essential/non- reserves essential) • Raw material and labour cost fluctuations • Rating of State forests/crown reserves • Shift towards whole of life costing for any • Review of depreciation new asset purchases • Rating revenue • Subsidised borrowings (TCorp) • Review of fees and charges • Interest rate fluctuations • Alternative revenue streams • Intergenerational equity • Infrastructure revaluations • Population fluctuations • Fluctuations in operating expenses due to one off grant payments (flood damage/RMS) ��������� ������������� 9

Our back story Organisational realignment 2012 around effectiveness, productivity outcomes, • customer focus Departmental and functional reviews, including processes - ongoing • Community Satisfaction Survey and Planning Process Review Survey • Service Review process utilising ACELG process SmartGov Toolkit • Special Rate Variation secured 2013 • Establishment of Governance arrangements around the SRV including a committee • of council to oversee productivity initiatives and progress of works. Examples include land and property review, fees and charges review SRV Committee supported by Internal Program Boards./Project framework • Appointment of a CFO • Establishment of an internal audit function • Development of a Leadership and Engagement Framework – horizontal and vertical • (Councillors, Senior Leaders, Leaders, and Operational Team Leaders) Implementation of a procurement roadmap to streamline procurement and deliver • more cost efficient outcomes Working regionally – Waste, Libraries, Internal Audit, Asset Management • Regional collaboration e.g. WHS, E-Learning, Planning, Asset Management • ��������� ������������� 10

Fit for the Future is a journey… 4 Stages of becoming Fit for the Future: • Self assessment • Preparing a roadmap and submit by June 2015 • Review by expert panel • FFF Councils begin implementation of roadmap ��������� ������������� 11

Where are we heading… The fit for the future road ahead….. • Financial Sustainability Framework • Asset Framework, (condition data, backlog, revaluation and depreciation) • Participation in the MIDROC Regional Asset project • Service Reviews, consolidating work to date for refinement into FFF submission along with consideration of service levels • Integration of other initiatives into FFF submission e.g. Procurement Roadmap, Land and Property Review, modelling re rateable land • Shared servicing • Regional collaboration • Informing and engaging with our community ��������� ������������� 12

Thought starters… Questions? ��������� ������������� 13